[atlas:bill]

AN ACT Relating to quality improvement; and adding new sections to chapter 41.04 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. A new section is added to chapter 41.04 RCW to read as follows:

(1) Each state agency shall develop and implement a quality management program to improve the quality, efficiency, and effectiveness of the public services it provides through business process redesign, employee involvement, and other quality management techniques. Each agency shall ensure that front line agency employees are engaged in the program and shall provide employees with the training necessary to successful implementation of efforts toward quality improvement. Each agency shall, where applicable, include collective bargaining representatives in the development and operation of the quality management program.

(2) Each agency shall ensure that its quality management program:

(a) Designates a person responsible for improving the quality of systems and work processes within the agency. State agencies under the supervision of the governor shall ensure that the designated person reports to the agency head and serves as the agency's quality improvement contact with any subcabinet group established by the governor to assess management improvement results;

(b) Identifies immediate-term and near-term opportunities to improve services and reduce costs;

(c) Identifies goals and utilizes strategic business planning and performance measures to establish priorities and measure progress toward meeting them. Each state agency shall develop performance measures to assess customer satisfaction, agency progress toward accomplishing outcomes specified in the agency budget under RCW 43.88.090, and the impact of initiatives instituted under the quality management program as a whole;

(d) Reports the results of its quality management program on a quarterly basis. Each agency shall ensure that its report specifies improved outcomes for public service and efficiency. Any agency in its report may describe methods of measuring customer and stakeholder satisfaction, of engaging agency employees in the program, and of assessing the extent to which business practices have been changed to improve quality, efficiency, and effectiveness;

(e) Evaluates the results of its quality, service, and management improvement programs and assesses program effects upon leadership, information and analysis, strategic planning, human resource development and management, process improvement, business results, and customer focus and satisfaction;

(f) Develops a plan for quality improvement, documenting efforts made up to the date of the report and addressing all matters enumerated in this subsection.

(3) State agencies under the supervision of the governor shall report program results to the governor and shall, on a quarterly basis, document and report program results to any subcabinet group created by the governor to monitor management improvement results. State agencies under elected executive officials other than the governor shall report program results to the elected executive official on a quarterly basis.

(4) Each state agency shall integrate efforts made under this section with quality management programs undertaken under executive order or other authority. State agencies under the supervision of the governor, other than institutions of higher education, shall develop and implement a complete quality management program by June 30, 2001. All other state agencies shall develop and implement a complete quality management program by June 30, 2003.

(5) State agencies shall submit successful and high quality management programs to the governor's quality achievement award program or equivalent program, for potential recognition.

(6) For purposes of this section, "state agency" includes every elected state executive official and every department, division, board, commission, and institution of the executive branch of state government, including institutions of higher education, as defined in RCW 28B.10.016.

NEW SECTION. Sec. 2. A new section is added to chapter 41.04 RCW to read as follows:

Both houses of the legislature shall develop and implement quality improvement programs as described under section 1 of this act by June 30, 2001, but shall report the results of these efforts to the leadership of each major political party caucus within its house.

NEW SECTION. Sec. 3. A new section is added to chapter 41.04 RCW to read as follows:

(1) Local governments are encouraged to develop and implement quality management programs as set forth in section 1 of this act. On or before June 30, 2002, each local government with an annual budget of three million dollars or more in the preceding year shall submit to the office of financial management a brief report, not to exceed two pages, summarizing any efforts it has taken to develop and implement a quality management program. The office of financial management shall submit a summary of these reports to the legislature annually.

(2) For purposes of this section, "local government" includes every county, city, town, special district, municipal corporation, and quasi-municipal corporation in the state.