HOUSE OF REPRESENTATIVES

                      Olympia, Washington

Bill Analysis      Bill No.  HB 2133

Claiming the proceeds recovered on behalf of recipients of state assistance.

Brief Title                              Hearing Date: 2/26/99

Reps. Romero and McMorris                  Staff: Steve Lundin

Sponsor(s)                          State Government Committee

                                              Phone:  786-7127

BACKGROUND:

The state is subrogated to the rights of an injured or ill person against a tort feasor, who caused the injury or illness as the result of negligence or other wrong, or the tort feasor=s insurer for, purposes of being reimbursed for the costs of medical care provided to that person under pubic assistance programs or for residential care provided to that person in a state hospital for the mentally ill or a rehabilitative care center for the developmentally disabled.  An attorney representing the person in an action against a third party shall notify the department at the time of filing a claim, commencing an action, negotiating a settlement, or accepting a settlement offer from the tort feasor or the tort feasor=s insurer.  The Department of Social and Health Services shall be given 30 days notice before such a judgement, award, or settlement may be satisfied.

SUMMARY:

Proceeds  from a judgement, award, or settlement  over the subrogated rights the state has for injured or ill persons who receive public assistance or care at a state hospital for the mentally ill or rehabilitative care center for the developmentally disabled, that are necessary to fully satisfy the Department=s lien against recovery, are placed into a trust account or in the registry of the court until the Department=s lien is satisfied.

FISCAL NOTE:  Not requested.

EFFECTIVE DATE:  Ninety days after adjournment of session in which bill is passed.