SENATE BILL REPORT

                  SHB 2729

                    As of February 16, 2000

Title:  An act relating to personal service contracts entered into by state agencies.

Brief Description:  Requiring disclosure of salaries by contractors performing personal service contracts for state agencies.

Sponsors:  House Committee on State Government (originally sponsored by Representatives Clements, Dickerson, Lisk, B. Chandler and Thomas).

Brief History:

Committee Activity:  State & Local Government:  2/16/2000.

SENATE COMMITTEE ON STATE & LOCAL GOVERNMENT

Staff:  Roger Brodniak (786-7445)

Background:  State agencies enter into a variety of contracts, including contracts for personal services and client services.  Personal service contracts are contracts with consultants to provide professional or technical expertise.

Client service contracts are a type of personal service contract.  Client service contracts are contracts for services provided directly to agency clients.

Most personal service contracts over $20,000 must be competitively bid.  Competitively bid personal service contracts must be filed with the Office of Financial Management (OFM).  Certain competitively bid personal service contracts must also be approved by OFM.  Client service contracts are not subject to these requirements.

Summary of Bill:  An agency entering into a personal service or client service contract must require the contractor to disclose financial information to the agency.  This information includes:  the salaries, bonuses, travel allowances, commissions, or other forms of remuneration that the contractor pays to the contractor's officers, the executive director, the employee who executed the contract, and the employee responsible for ensuring compliance with the contract.

The contractor must disclose the information to the agency within one year of the contract's effective date, but no later than the contract's termination date.  OFM must establish a uniform reporting format for disclosure of the information.

Appropriation:  None.

Fiscal Note:  Not requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.