BP BHEAD INT S [atlas:bill]

AN ACT Relating to fiscal matters; amending RCW 72.09.050; amending 1997 c 149 ss 143, 713, 802, 804, 901, 903, 904, 906, 907, 908, and 909 (uncodified); amending 1997 c 454 s 509 (uncodified); amending 1998 c 346 ss 105, 106, 110, 114, 115, 117, 121, 128, 201, 202, 203, 204, 205, 206, 207, 208, 209, 210, 211, 212, 213, 214, 217, 218, 219, 220, 222, 302, 304, 307, 308, 401, 402, 502, 503, 504, 505, 507, 509, 510, 511, 512, 513, 514, 515, 604, 607, 609, 701, 702, 704, 705, 706, 717, 801, 802, 803, 902, and 903 (uncodified); adding new sections to 1997 c 149 (uncodified); making appropriations; and declaring an emergency.

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

PART I

GENERAL GOVERNMENT

Sec. 101. 1998 c 346 s 105 (uncodified) is amended to read as follows:

FOR THE COURT OF APPEALS

General Fund Appropriation (FY 1998)........... $ 10,340,000

General Fund Appropriation (FY 1999)........... $ ((~~10,307,000~~))

10,322,000

TOTAL APPROPRIATION................. $ ((~~20,647,000~~))

20,662,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $271,000 of the general fund fiscal year 1999 appropriation is provided solely for an additional judge position and related support staff in division I in King county, effective July 1, 1998.

(2) $490,000 of the general fund fiscal year 1998 appropriation is provided solely for remodeling existing space in division I court facilities to house additional staff.

Sec. 102. 1998 c 346 s 106 (uncodified) is amended to read as follows:

FOR THE COMMISSION ON JUDICIAL CONDUCT

General Fund Appropriation (FY 1998)........... $ 692,000

General Fund Appropriation (FY 1999)........... $ ((~~714,000~~))

719,000

TOTAL APPROPRIATION................. $ ((~~1,406,000~~))

1,411,000

Sec. 103. 1998 c 346 s 110 (uncodified) is amended to read as follows:

FOR THE PUBLIC DISCLOSURE COMMISSION

General Fund Appropriation (FY 1998)........... $ 1,568,000

General Fund Appropriation (FY 1999)........... $ ((~~1,262,000~~))

1,630,000

TOTAL APPROPRIATION................. $ ((~~2,830,000~~))

3,198,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $306,000 of the general fund fiscal year 1998 appropriation and $72,000 of the general fund fiscal year 1999 appropriation are provided solely for technology for customer service improvements.

(2) $111,000 of the fiscal year 1998 general fund appropriation is provided for attorney general services for the public disclosure commission's investigations of the Washington education association and the building industry association of Washington, and other cases.

Sec. 104. 1998 c 346 s 114 (uncodified) is amended to read as follows:

FOR THE CITIZENS' COMMISSION ON SALARIES FOR ELECTED OFFICIALS

General Fund Appropriation (FY 1998)........... $ 11,000

General Fund Appropriation (FY 1999)........... $ ((~~63,000~~))

144,000

TOTAL APPROPRIATION................. $ ((~~74,000~~))

155,000

Sec. 105. 1998 c 346 s 115 (uncodified) is amended to read as follows:

FOR THE ATTORNEY GENERAL

General Fund--State Appropriation (FY 1998).... $ 4,161,000

General Fund--State Appropriation (FY 1999).... $ ((~~3,831,000~~))

3,919,000

General Fund--Federal Appropriation............. $.................................. 2,248,000

Public Safety and Education Account

Appropriation.............................. $ 1,291,000

New Motor Vehicle Arbitration Account

Appropriation.............................. $ 1,094,000

Legal Services Revolving Account

Appropriation.............................. $ ((~~125,758,000~~))

129,234,000

TOTAL APPROPRIATION................. $ ((~~138,383,000~~))

141,947,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The attorney general shall report each fiscal year on actual legal services expenditures and actual attorney staffing levels for each agency receiving legal services. The report shall be submitted to the office of financial management and the fiscal committees of the senate and house of representatives no later than ninety days after the end of each fiscal year.

(2) The attorney general shall include, at a minimum, the following information with each bill sent to agencies receiving legal services: (a) The number of hours and cost of attorney services provided during the billing period; (b) cost of support staff services provided during the billing period; (c) attorney general overhead and central support costs charged to the agency for the billing period; (d) direct legal costs, such as filing and docket fees, charged to the agency for the billing period; and (e) other costs charged to the agency for the billing period. The attorney general may, with approval of the office of financial management change its billing system to meet the needs of its user agencies.

(3) $300,000 of the fiscal year 1998 general fund--state appropriation ((is)) and $63,000 of the fiscal year 1999 general fund‑-state appropriation are provided for a comprehensive assessment of environmental and public health impacts and for other costs related to pursuing remedies for pollution in the Spokane river basin.

(4) $440,000 of the fiscal year 1998 general fund--state appropriation and $410,000 of the fiscal year 1999 general fund--state appropriation are provided solely to implement the supervision management and recidivist tracking program to allow the department of corrections and local law enforcement agencies to share information concerning the activities of offenders on community supervision.

Sec. 106. 1998 c 346 s 117 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF COMMUNITY, TRADE, AND ECONOMIC DEVELOPMENT

General Fund--State Appropriation (FY 1998).... $ 57,078,000

General Fund--State Appropriation (FY 1999).... $ ((~~61,451,000~~))

62,426,000

General Fund--Federal Appropriation............. $.................................. 164,000,000

General Fund--Private/Local Appropriation...... $ 6,903,000

Public Safety and Education Account

Appropriation.............................. $ 8,720,000

Public Works Assistance Account

Appropriation.............................. $ 2,223,000

Building Code Council Account Appropriation.... $ 1,366,000

Administrative Contingency Account

Appropriation.............................. $ 1,776,000

Low-Income Weatherization Assistance Account

Appropriation.............................. $ 923,000

Violence Reduction and Drug Enforcement Account

Appropriation.............................. $ 6,042,000

Manufactured Home Installation Training Account

Appropriation.............................. $ 250,000

Washington Housing Trust Account

Appropriation.............................. $ 7,999,000

Public Facility Construction Loan Revolving Account

Appropriation.............................. $ 515,000

Clean Washington Account Appropriation (FY 1998) $ 11,000

TOTAL APPROPRIATION................. $ ((~~319,257,000~~))

320,232,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $2,962,500 of the general fund‑-state appropriation for fiscal year 1998 and $3,602,500 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for a contract with the Washington technology center. For work essential to the mission of the Washington technology center and conducted in partnership with universities, the center shall not pay any increased indirect rate nor increases in other indirect charges above the absolute amount paid during the 1995-97 biennium.

(2) $155,000 of the general fund--state appropriation for fiscal year 1998 and $445,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for a contract with the Washington manufacturing extension partnership.

(3) $9,964,000 of the general fund--federal appropriation is provided solely for the drug control and system improvement formula grant program, to be distributed in state fiscal year 1998 as follows:

(a) $3,603,250 to local units of governments to continue the multi-jurisdictional narcotics task forces;

(b) $500,000 to the department to continue the state-wide drug prosecution assistance program in support of multijurisdictional narcotics task forces;

(c) $1,306,075 to the Washington state patrol for coordination, investigative, and supervisory support to the multijurisdictional narcotics task forces and for methamphetamine education and response;

(d) $240,000 to the department for grants to support tribal law enforcement needs;

(e) $900,000 to drug courts in eastern and western Washington;

(f) $300,000 to the department for grants to provide sentencing alternatives training programs to defenders;

(g) $200,000 for grants to support substance-abuse treatment in county jails;

(h) $517,075 to the department for legal advocacy for victims of domestic violence and for training of local law enforcement officers and prosecutors on domestic violence laws and procedures;

(i) $903,000 to the department to continue youth violence prevention and intervention projects;

(j) $91,000 for the governor's council on substance abuse;

(k) $99,000 for program evaluation and monitoring;

(l) $100,000 for the department of corrections for a feasibility study of replacing or updating the offender based tracking system.

(m) $498,200 for development of a state-wide system to track criminal history records; and

(n) No more than $706,400 to the department for grant administration and reporting.

These amounts represent the maximum Byrne grant expenditure authority for each program. No program may expend Byrne grant funds in excess of the amounts provided in this section. If moneys in excess of those appropriated in this section become available, whether from prior or current fiscal year Byrne grant distributions, the department shall hold these moneys in reserve and may not expend them without a specific appropriation. These moneys shall be carried forward and applied to the pool of moneys available for appropriation for programs and projects in the succeeding fiscal year. As part of its budget request for the succeeding fiscal year, the department shall estimate and request authority to spend any funds remaining in reserve as a result of this subsection.

(4) $11,715,000 of the general fund‑-federal appropriation is provided solely for the drug control and system improvement formula grant program, to be distributed in state fiscal year 1999 as follows:

(a) $3,878,250 to local units of government to continue multijurisdictional narcotics task forces;

(b) $531,000 to the department to continue the drug prosecution assistance program in support of multijurisdictional narcotics task forces;

(c) $1,363,075 to the Washington state patrol for coordination, investigative, and supervisory support to the multijurisdictional narcotics task forces and for methamphetamine education and response;

(d) $256,000 to the department for grants to support tribal law enforcement needs;

(e) $1,093,000 to drug courts in eastern and western Washington;

(f) $312,000 to the department for grants assisting in the development, conduct, and training on sentencing alternatives;

(g) $261,000 to the department to continue a substance-abuse treatment in jails program, to test the effect of treatment on future criminal behavior;

(h) $581,075 to the department to continue domestic violence legal advocacy;

(i) $949,000 to the department to continue youth violence prevention and intervention projects;

(j) $91,000 to the department to continue the governor's council on substance abuse;

(k) $99,000 to the department to continue evaluation of Byrne formula grant programs;

(l) $1,496,200 to the office of financial management for the criminal history records improvement program; and

(m) $804,400 to the department for required grant administration, monitoring and reporting on Byrne formula grant programs.

These amounts represent the maximum Byrne grant expenditure authority for each program. No program may expend Byrne grant funds in excess of the amounts provided in this subsection. If moneys in excess of those appropriated in this subsection become available, whether from prior or current fiscal year Byrne grant distributions, the department shall hold these moneys in reserve and may not expend them without specific appropriation. These moneys shall be carried forward and applied to the pool of moneys available for appropriation for programs and projects in the succeeding fiscal year. As part of its budget request for the succeeding year, the department shall estimate and request authority to spend any funds remaining in reserve as a result of this subsection.

(5) $1,000,000 of the general fund fiscal year 1998 appropriation and $1,000,000 of the general fund fiscal year 1999 appropriation are provided solely to implement Engrossed Substitute House Bill No. 1576 (buildable lands) or Senate Bill No. 6094 (growth management). If neither bill is enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(6) $4,766,000 of the public safety and education account appropriation, $1,000,000 of the fiscal year 1998 general fund‑-state appropriation, and $1,034,000 of the fiscal year 1999 general fund‑-state appropriation are provided solely for indigent civil legal representation services contracts and contracts administration. The amounts provided in this subsection are contingent upon enactment of section 2 of Engrossed Substitute House Bill No. 2276 (civil legal services for indigent persons). If section 2 of the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(7) $643,000 of the general fund--state fiscal year 1998 appropriation and $643,000 of the general fund--state fiscal year 1999 appropriation are provided solely to increase payment rates for contracted early childhood education assistance program providers. It is the legislature's intent that these amounts shall be used primarily to increase compensation for persons employed in direct, front-line service delivery.

(8) $75,000 of the general fund--state fiscal year 1998 appropriation and $75,000 of the general fund--state fiscal year 1999 appropriation are provided solely as a grant for the community connections program in Walla Walla county.

(9) $300,000 of the general fund--state fiscal year 1998 appropriation and $300,000 of the general fund--state fiscal year 1999 appropriation are provided solely to contract with the Washington state association of court-appointed special advocates/guardians ad litem (CASA/GAL) to establish pilot programs in three counties to recruit additional community volunteers to represent the interests of children in dependency proceedings. Of this amount, a maximum of $30,000 shall be used by the department to contract for an evaluation of the effectiveness of CASA/GAL in improving outcomes for dependent children. The evaluation shall address the cost-effectiveness of CASA/GAL and to the extent possible, identify savings in other programs of the state budget where the savings resulted from the efforts of the CASA/GAL volunteers. The department shall report to the governor and legislature by October 15, 1998.

(10) $75,000 of the general fund--state appropriation for fiscal year 1999 is provided solely for state sponsorship of the "BIO 99" international biotechnology conference and exhibition in the Seattle area in 1999.

(11) $698,000 of the general fund--state appropriation for fiscal year 1998, $697,000 of the general fund--state appropriation for fiscal year 1999, and $1,101,000 of the administrative contingency account appropriation are provided solely for contracting with associate development organizations.

(12) $50,000 of the general fund--state appropriation for fiscal year 1998 and $50,000 of the general fund--state appropriation for fiscal year 1999 are provided solely to expand the long-term care ombudsman program.

(13) $60,000 of the general fund‑-state appropriation for fiscal year 1998 and $60,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for implementation of the Puget Sound work plan action item DCTED-01.

(14) $20,000 of the general fund--state appropriation for fiscal year 1998 is provided solely for a task force on tourism promotion and development. The task force shall report to the legislature on its findings and recommendations by January 31, 1998.

(15) $61,000 of the general fund--state appropriation for fiscal year 1998 and $60,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for the pacific northwest economic region (PNWER).

(16) $123,000 of the general fund‑-state appropriation for fiscal year 1998 and $124,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the community development finance program.

(17) Within the appropriations provided in this section, the department shall conduct a study of possible financial incentives to assist in revitalization of commercial areas and report its findings and recommendations to the appropriate committees of the legislature by November 15, 1997.

((~~(19)~~)) (18) $1,000,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the development of housing for low-income temporary or migrant farm workers through grants awarded after the effective date of this act. The legislature finds that providing housing for low-income temporary or migrant workers is a public purpose. The department shall prioritize grants and shall award grants on a competitive basis to local governments, nonprofit corporations, or other nonprofit entities. Grant moneys awarded by the department under this subsection may be matched by nonstate sources on a dollar-for-dollar basis, in cash or in-kind. Of the amount provided in this subsection, $100,000 is provided solely for restroom and shower facilities at the Horn Rapids Park in Benton county; no match need be provided for this project. The amount provided in this subsection is contingent upon enactment of sections 1 through 8 of Second Substitute Senate Bill No. 6168. If any of these sections of the bill are not enacted by June 30, 1998, this subsection is null and void, and the amounts provided in this subsection shall lapse. Any amounts provided in this subsection not committed to grants by June 30, 1999, shall lapse.

((~~(20)~~)) (19) $275,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for coastal erosion project grants to the city of Ocean Shores.

((~~(21)~~)) (20) $191,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the implementation of Substitute House Bill No. 2556 (child abuse prevention and treatment). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

((~~(22)~~)) (21) $965,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the implementation of Substitute Senate Bill No 6655 (Spokane intercollegiate research and technology institute).

((~~(23)~~)) (22) $92,000 of the general fund--state appropriation for fiscal year 1999 is provided solely for the implementation of Engrossed Substitute Senate Bill No. 6560 (electric power customer rights). For any portion of the appropriation that is expended for contracted services, the department shall: (a) Form an advisory committee consisting of representatives from public utility districts and residential, commercial, and industrial customers; and (b) submit for review and approval by the advisory committee the request for proposal and selection of the successful bidder or bidders. If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

((~~(24)~~)) (23) $383,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the emergency food assistance program.

((~~(25)~~)) (24) $120,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for grants to licensed overnight youth shelters for the purpose of assisting the shelters in meeting the minimum requirements for receiving a license under chapter 74.15 RCW. The department may provide grants of up to twenty thousand dollars per year for each shelter. Only shelters that are currently licensed are eligible to receive the grants. Funds may be used for the following purposes, including but not limited to: Additional staff, food, facility maintenance, or beds, provided that these costs are necessary to meet the licensing and facility standards adopted by the department of social and health services. For purposes of this subsection, "overnight youth shelter" means a licensed facility operated by a nonprofit agency that provides overnight shelter to homeless or runaway youth because of family problems or dysfunctions.

((~~(26)~~)) (25) $27,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the sexual assault program within the office of crime victims advocacy.

((~~(27)~~)) (26) $37,000 of the general fund--state appropriation for fiscal year 1998 and $128,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for deposit in the state trade fair fund. If Engrossed Second Substitute Senate Bill No. 6562 is not enacted by June 30, 1998, the amounts provided in this subsection shall lapse.

((~~(28)~~)) (27) $1,100,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the early childhood education and assistance program.

(28) $975,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for grants to counties for year 2000 contingency planning. The department may provide each county with a grant of $25,000, provided that the county identifies a year 2000 contingency coordinator and develops a contingency plan.

Sec. 107. 1998 c 346 s 121 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF RETIREMENT SYSTEMS--OPERATIONS

Dependent Care Administrative Account

Appropriation.............................. $ 357,000

Department of Retirement Systems Expense Account

Appropriation.............................. $ 34,481,000

TOTAL APPROPRIATION................. $ 34,838,000

The appropriations in this section are subject to the following conditions and limitations:

(1) ((~~$1,373,000~~)) $527,000 of the department of retirement systems expense account appropriation is provided solely for the information systems project known as the electronic document image management system. Authority to expend this amount is conditioned on compliance with section 902 of this act.

(2) $1,259,000 of the department of retirement systems expense account appropriation is provided solely for the information systems project known as the receivables management system. Authority to expend this amount is conditioned on compliance with section 902 of this act.

(3) The department of retirement systems shall complete a study examining whether it would be cost-effective to contract out the administration functions for the dependent care assistance program and shall report to the fiscal committees of the legislature by December 15, 1997.

(4) $118,000 of the department of retirement systems expense account appropriation is provided solely to implement Engrossed Substitute House Bill No. 2491 (TRS/PERS plan I gain sharing). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(5) $920,000 of the department of retirement systems expense account appropriation is provided solely to implement Substitute Senate Bill No. 6306 (creating the Washington school employees' retirement system). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(6) $42,000 of the department of retirement systems expense account appropriation is provided solely for the implementation of Engrossed Senate Bill No. 6305 (death benefits for port and university police). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

Sec. 108. 1997 c 149 s 143 (uncodified) is amended to read as follows:

FOR THE BOARD OF ACCOUNTANCY

Certified Public Accountants' Account

Appropriation................................... $ ((~~978,000~~))

1,001,000

The appropriation in this section is subject to the following conditions and limitations: $22,000 of the certified public accountants' account appropriation is provided solely for the implementation of Engrossed House Bill No. 3901 (implementing welfare reform). If the bill is not enacted by June 30, 1997, the amount provided shall lapse.

Sec. 109. 1998 c 346 s 128 (uncodified) is amended to read as follows:

FOR THE MILITARY DEPARTMENT

General Fund--State Appropriation (FY 1998).... $ 8,602,000

General Fund--State Appropriation (FY 1999).... $ ((~~9,390,000~~))

15,040,000

General Fund--Federal Appropriation............. $.................................. ((~~34,314,000~~))

34,307,000

General Fund--Private/Local Appropriation...... $ 238,000

Flood Control Assistance Account Appropriation. $ 3,000,000

Enhanced 911 Account Appropriation............. $ ((~~26,782,000~~))

29,392,000

Disaster Response Account‑-State Appropriation. $ ((~~25,487,000~~))

30,316,000

Disaster Response Account‑-Federal Appropriation $ ((~~110,812,000~~))

141,966,000

TOTAL APPROPRIATION................. $ ((~~218,625,000~~))

262,861,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $365,000 of the general fund‑-state appropriation for fiscal year 1998, ((~~$1,145,000~~)) $5,974,000 of the general fund--state appropriation for fiscal year 1999, $3,000,000 of the flood control assistance account appropriation, and $6,197,000 of the general fund--federal appropriation are provided solely for deposit in the disaster response account to cover costs pursuant to subsection (2) of this section.

(2) ((~~$25,122,000~~)) $27,483,000 of the disaster response account--state appropriation is provided solely for the state share of response and recovery costs associated with federal emergency management agency (FEMA) disaster number 1079 (November/December 1995 storms), FEMA disaster 1100 (February 1996 floods), FEMA disaster 1152 (November 1996 ice storm), FEMA disaster 1159 (December 1996 holiday storm), FEMA disaster 1172 (March 1997 floods), FEMA disaster 1252 (1998 northeast counties floods), FEMA disaster 1255 (1998 Kelso landslide), and to assist local governmental entities with the matching funds necessary to earn FEMA funds for FEMA disaster 1100 (February 1996 floods). ((~~$356,000~~)) $2,824,000 of the disaster response account‑-state appropriation is provided solely for fire mobilization costs. $9,000 of the disaster response account‑-state appropriation is provided solely for costs associated with FEMA disaster 1182 (Pend Oreille county 1997 spring flood).

(3) $100,000 of the general fund‑-state fiscal year 1998 appropriation and $100,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for the implementation of a conditional scholarship program pursuant to chapter 28B.103 RCW.

(4) $35,000 of the general fund‑-state fiscal year 1998 appropriation and $35,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for the north county emergency medical service.

(5) $36,000 of the general fund‑-state fiscal year 1998 appropriation and $72,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for emergency worker claims pursuant to chapter 38.52 RCW.

(6) $825,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for reimbursement of costs associated with activation of the Washington national guard for preserving the peace at the July 1998 Makah days celebration.

(End of part)

PART II

HUMAN SERVICES

Sec. 201. 1998 c 346 s 201 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES. (1) Appropriations made in this act to the department of social and health services shall initially be allotted as required by this act. Subsequent allotment modifications shall not include transfers of moneys between sections of this act except as expressly provided in subsection (3) of this section((~~, nor shall allotment modifications permit moneys that are provided solely for a specified purpose to be used for other than that purpose~~)).

(2) The department of social and health services shall not initiate any services that will require expenditure of state general fund moneys unless expressly authorized in this act or other law. The department may seek, receive, and spend, under RCW 43.79.260 through 43.79.282, federal moneys not anticipated in this act as long as the federal funding does not require expenditure of state moneys for the program in excess of amounts anticipated in this act. If the department receives unanticipated unrestricted federal moneys, those moneys shall be spent for services authorized in this act or in any other legislation providing appropriation authority, and an equal amount of appropriated state general fund moneys shall lapse. Upon the lapsing of any moneys under this subsection, the office of financial management shall notify the legislative fiscal committees. As used in this subsection, "unrestricted federal moneys" includes block grants and other funds that federal law does not require to be spent on specifically defined projects or matched on a formula basis by state funds.

(3)(a) The appropriations to the department of social and health services in chapters 149 and 454, Laws of 1997, as amended, shall be expended for the programs and in the amounts specified therein. However, after May 1, ((~~1998~~)) 1999, unless specifically prohibited by this act, the department may transfer ((~~general fund‑-state appropriations for fiscal year 1998~~)) moneys among programs and among amounts including amounts provided under conditions and limitations after approval by the director of the office of financial management. ((~~However, the department shall not transfer general fund‑-state appropriations from the economic services program for the 1997-99 fiscal biennium.~~))

(b) To the extent that the transfer of appropriations under subsection (a) of this section is insufficient to fund actual expenditures in fiscal year 1998 in the medical assistance program that exceed the expenditures projected in the November 1997 medical assistance caseload forecast, the department may transfer general fund appropriations, not to exceed five million dollars, within the medical assistance program from fiscal year 1999 into fiscal year 1998.

(c) The director of financial management shall notify the appropriate fiscal committees of the senate and house of representatives in writing prior to approving any allotment modifications.

Sec. 202. 1998 c 346 s 202 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-CHILDREN AND FAMILY SERVICES PROGRAM

General Fund‑-State Appropriation (FY 1998).... $ 201,453,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~213,035,000~~))

201,156,000

General Fund‑-Federal Appropriation............. $.................................. ((~~252,300,000~~))

293,517,000

General Fund‑-Private/Local Appropriation.. ... $ 400,000

Violence Reduction and Drug Enforcement Account

Appropriation.............................. $ 4,332,000

TOTAL APPROPRIATION................. $ ((~~671,520,000~~))

700,858,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $16,510,000 of the general fund‑-state appropriation for fiscal year 1998 ((~~and $17,508,000 of the general fund‑-state appropriation for fiscal year 1999 are~~)) is provided solely for purposes consistent with the maintenance of effort requirements under the federal temporary assistance for needy families program established under P.L. 104-193.

(2) $4,332,000 of the violence reduction and drug enforcement account appropriation and $3,733,000 of the general fund‑-federal appropriation are provided solely for the operation of the family policy council, the community public health and safety networks, and delivery of services authorized under the federal family preservation and support act. Within the funds provided, the family policy council shall contract for an evaluation of the community networks with the institute for public policy and shall provide for audits of ten networks. Within the funds provided, the family policy council may build and maintain a geographic information system database tied to community network geography.

(3) $577,000 of the general fund‑-state fiscal year 1998 appropriation and $577,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely to contract for the operation of one pediatric interim care facility. The facility shall provide residential care for up to twelve children through two years of age. Seventy-five percent of the children served by the facility must be in need of special care as a result of substance abuse by their mothers. The facility also shall provide on-site training to biological, adoptive, or foster parents. The facility shall provide at least three months of consultation and support to parents accepting placement of children from the facility. The facility may recruit new and current foster and adoptive parents for infants served by the facility. The department shall not require case management as a condition of the contract.

(4) $481,000 of the general fund‑-state fiscal year 1998 appropriation and $481,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for up to three nonfacility-based programs for the training, consultation, support, and recruitment of biological, foster, and adoptive parents of children through age three in need of special care as a result of substance abuse by their mothers, except that each program may serve up to three medically fragile nonsubstance-abuse-affected children. In selecting nonfacility-based programs, preference shall be given to programs whose federal or private funding sources have expired or that have successfully performed under the existing pediatric interim care program.

(5) $640,000 of the general fund‑-state appropriation for fiscal year 1998 and $640,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely to fund Second Substitute Senate Bill No. 5710 (juvenile care and treatment), including section 2 of the bill. Amounts provided in this subsection to implement Second Substitute Senate Bill No. 5710 must be used to serve families who are screened from the child protective services risk assessment process. Services shall be provided through contracts with community-based organizations. If neither bill is enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(6) $594,000 of the general fund‑-state appropriation for fiscal year 1998, $556,000 of the general fund‑-state appropriation for fiscal year 1999, and $290,000 of the general fund‑-federal appropriation are provided solely to fund the provisions of Engrossed Second Substitute House Bill No. 2046 (foster parent liaison). The department shall establish a foster parent liaison in each department of social and health services region of the state and contract with a private provider to implement a recruitment and retention program for foster parents and adoptive families. The department shall provide a minimum of two hundred additional adoptive and foster home placements by June 30, 1998. If the bill is not enacted by June 30, 1997, the amounts in this subsection shall lapse.

(7) $433,000 of the fiscal year 1998 general fund‑-state appropriation, $395,000 of the fiscal year 1999 general fund‑-state appropriation, and $894,000 of the general fund‑-federal appropriation are provided solely to increase the rate paid to private child-placing agencies.

(8) $580,000 of the general fund‑-state appropriation for fiscal year 1998 and $580,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for development and expansion of child care training requirements and optional training programs. The department shall adopt rules to require annual training in early childhood development of all directors, supervisors, and lead staff at child care facilities. Directors, supervisors, and lead staff at child care facilities include persons licensed as family child care providers, and persons employed at child care centers or school age child care centers. The department shall establish a program to fund scholarships and grants to assist persons in meeting these training requirements. The department shall also develop criteria for approving training programs and establish a system for tracking who has received the required level of training. In adopting rules, developing curricula, setting up systems, and administering scholarship programs, the department shall consult with the child care coordinating committee and other community stakeholders.

(9) The department shall provide a report to the legislature by November 1997 on the growth in additional rates paid to foster parents beyond the basic monthly rate. This report shall explain why exceptional, personal, and special rates are being paid for an increasing number of children and why the amount paid for these rates per child has risen in recent years. This report must also recommend methods by which the legislature may improve the current foster parent compensation system, allow for some method of controlling the growth in costs per case, and improve the department's and the legislature's ability to forecast the program's needs in future years.

(10) $100,000 of the general fund‑-state appropriation for fiscal year 1998 and $100,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for legal costs associated with the defense of vendors operating a secure treatment facility, for actions arising from the good faith performance of treatment services for behavioral difficulties or needs.

(11) $2,745,000 of the fiscal year 1998 general fund‑-state appropriation, $2,745,000 of the fiscal year 1999 general fund‑-state appropriation, and $1,944,000 of the general fund‑-federal appropriation are provided solely for the category of services titled "intensive family preservation services."

(12) $1,642,000 of the fiscal year 1998 general fund‑-state appropriation and $1,207,000 of the fiscal year 1999 general fund‑-state appropriation and $1,551,000 of the general fund‑-federal appropriation are provided solely to continue existing continuum of care and street youth projects.

(13) $1,456,000 of the general fund‑-state appropriation for fiscal year 1998, $1,474,000 of the general fund‑-state appropriation for fiscal year 1999 and $1,141,000 of the general fund‑-federal appropriation are provided solely for the improvement of quality and capacity of the child care system and related consumer education. The activities funded by this appropriation shall include, but not be limited to: Expansion of child care resource and referral network services to serve additional families, to provide technical assistance to child care providers, and to cover currently unserved areas of the state; development of and incentives for child care during nonstandard work hours; and the development of care for infants, toddlers, preschoolers, and school age youth. These amounts are provided in addition to funding for child care training and fire inspections of child care facilities. These activities shall also improve the quality and capacity of the child care system.

(14)(a) $6,565,000 of the general fund‑-state appropriation for fiscal year 1998 and $7,454,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for distribution to county juvenile court administrators to fund the costs of processing truancy, children in need of services, and at-risk youth petitions. The department shall not retain any portion of these funds to cover administrative or any other departmental costs. The department, in conjunction with the juvenile court administrators, shall develop an equitable funding distribution formula. The formula shall neither reward counties with higher than average per petition processing costs nor shall it penalize counties with lower than average per petition processing costs.

(b) Each quarter during the 1997-1999 fiscal biennium, each county shall report the number of petitions processed and the total costs of processing the petitions in each of the following categories: Truancy, children in need of services, and at-risk youth. Counties shall submit the reports to the department no later than 45 days after the end of the quarter. The department shall forward this information to the chair and ranking minority member of the house appropriations committee and the senate ways and means committee no later than 60 days after a quarter ends. These reports are deemed informational in nature and are not for the purpose of distributing funds.

(15) $70,000 of the fiscal year 1999 general fund‑-state appropriation is provided solely for foster parent intervention support teams.

(16) $255,000 of the general fund‑-state appropriation for fiscal year 1999 and $67,000 of the general fund‑-federal appropriation are provided solely for implementation of Substitute House Bill No. 2556 (child abuse prevention and treatment). If the bill is not enacted by June 30, 1998, the amounts provided in this subsection shall lapse.

(17) The department and the attorney general shall jointly make recommendations to the legislature to reduce or limit the state's liability for damages in child welfare cases, including shelter care and dependency proceedings. The recommendations shall be submitted to the appropriate committees of the legislature by December 1, 1998.

(18) To the extent funds are available, the department shall pay the expense of fingerprint criminal history record checks for low-income family day care homes through the federal bureau of investigation. The department may promulgate rules to set eligibility levels.

(19) Sufficient funding is provided in this section to implement Engrossed Substitute Senate Bill No. 6238 (dependent children).

Sec. 203. 1998 c 346 s 203 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-JUVENILE REHABILITATION PROGRAM

(1) COMMUNITY SERVICES

General Fund‑-State Appropriation (FY 1998).... $ 35,894,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~35,522,000~~))

37,224,000

General Fund‑-Federal Appropriation............. $.................................. ((~~13,365,000~~))

8,417,000

General Fund‑-Private/Local Appropriation...... $ 378,000

Violence Reduction and Drug Enforcement Account

Appropriation.............................. $ 14,080,000

TOTAL APPROPRIATION................. $ ((~~99,239,000~~))

95,993,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $527,000 of the violence reduction and drug enforcement account appropriation is provided solely for deposit in the county criminal justice assistance account solely for costs to the criminal justice system associated with the implementation of Engrossed Third Substitute House Bill No. 3900 (revising the juvenile code). If Engrossed Third Substitute House Bill No. 3900 is not enacted by June 30, 1997, the amount provided in this subsection shall lapse. The amount provided in this subsection is intended to provide funding for county adult court costs associated with the implementation of Engrossed Third Substitute House Bill No. 3900 and shall be distributed in accordance with RCW 82.14.310.

(b) $2,917,000 of the violence reduction and drug enforcement account is provided solely for the implementation of Engrossed Third Substitute Senate Bill No. 3900 (revising the juvenile code). The amount provided in this subsection is intended to provide funding for county impacts associated with the implementation of Third Substitute Senate Bill No. 3900 and shall be distributed to counties as prescribed in the current consolidated juvenile services (CJS) formula. If the bill is not enacted by June 30, 1997, the amounts provided shall lapse.

(c) $2,350,000 of the general fund‑-state fiscal year 1998 appropriation and $2,350,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for an early intervention program to be administered at the county level. Moneys shall be awarded on a competitive basis to counties that have submitted plans for implementation of an early intervention program consistent with proven methodologies currently in place in the state. The juvenile rehabilitation administration shall develop criteria for evaluation of plans submitted and a timeline for awarding funding and shall assist counties in creating and submitting plans for evaluation.

(d) $1,221,000 of the violence reduction and drug enforcement appropriation is provided solely to implement alcohol and substance abuse treatment for locally committed offenders. The juvenile rehabilitation administration shall award these moneys on a competitive basis to counties that have submitted a plan for the provision of treatment services approved by the division of alcohol and substance abuse. The juvenile rehabilitation administration shall develop criteria for evaluation of plans submitted and a timeline for awarding funding and shall assist counties in creating and submitting plans for evaluation. If Engrossed Third Substitute House Bill No. 3900 (juvenile code revisions) is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(e) $100,000 of the general fund‑-state fiscal year 1998 appropriation and $100,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for the juvenile rehabilitation administration to contract with the institute for public policy for the responsibilities assigned in Engrossed Third Substitute House Bill No. 3900 (juvenile code revisions). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(f) $400,000 of the violence reduction and drug enforcement account appropriation is provided solely for the development of standards measuring the effectiveness of chemical dependency treatment and for conducting evaluations of chemical dependency programs pursuant to Engrossed Third Substitute House Bill No. 3900 (revising the juvenile code). If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse. The juvenile rehabilitation administration shall consult with the division of alcohol and substance abuse and contract with the University of Washington to develop the standards and conduct the evaluations.

(g) $150,000 of the general fund‑-state fiscal year 1998 appropriation and $150,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for a contract to expand the services of the teamchild project to additional sites. Priority use of these funds shall be to provide teamchild service to early repeat offenders to help ensure they receive appropriate child welfare and educational services.

(h) $2,700,000 of the violence reduction and drug enforcement account appropriation is provided solely to implement community juvenile accountability grants pursuant to chapter 338, Laws of 1997 (juvenile justice). Funds provided in this subsection may be used solely for community juvenile accountability grants, administration of the grants, and evaluations of programs funded by the grants.

(i) $2,175,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the implementation of Second Substitute Senate Bill No. 6445 (child community facility placement). If the bill is not enacted by June 30, 1998, the amounts provided in this subsection shall lapse. The funds are intended to improve the security of state-operated and privately contracted group homes. By June 30, 1999, the juvenile rehabilitation administration shall report to the appropriate policy and fiscal committees of the legislature on the specific actions, and the cost of each action, taken to improve security at both state-operated and contracted group homes.

(j) $150,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the Skagit county delinquency prevention project.

(2) INSTITUTIONAL SERVICES

General Fund‑-State Appropriation (FY 1998).... $ 43,909,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~45,977,000~~))

43,016,000

General Fund‑-Private/Local Appropriation...... $ 727,000

Violence Reduction and Drug Enforcement Account

Appropriation.............................. $ 15,281,000

TOTAL APPROPRIATION................. $ ((~~105,894,000~~))

102,933,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $3,680,000 of the violence reduction and drug enforcement account appropriation is provided solely for the implementation of Engrossed Third Substitute House Bill No. 3900 (juvenile code revisions). If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(b) $105,000 of the general fund‑-state appropriation for fiscal year 1998 and $377,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for costs associated with implementing chapter 386, Laws of 1997 (juvenile care and treatment).

(c) $44,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely to implement House Bill No. 1172 (sex offender registration). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(3) PROGRAM SUPPORT

General Fund‑-State Appropriation (FY 1998).... $ 1,930,000

General Fund‑-State Appropriation (FY 1999).... $ 1,654,000

General Fund‑-Federal Appropriation............. $ 156,000

Violence Reduction and Drug Enforcement Account

Appropriation.............................. $ 421,000

TOTAL APPROPRIATION................. $ 4,161,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $92,000 of the general fund‑-state fiscal year 1998 appropriation and $36,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for the implementation of Substitute Senate Bill No. 5759 (risk classification). If the bill is not enacted by June 30, 1997, the amounts provided shall lapse.

(b) $206,000 of the general fund‑-state fiscal year 1998 appropriation is provided solely for the implementation of Engrossed Second Substitute Senate Bill No. 5710 (juvenile care and treatment). If the bill is not enacted by June 30, 1997, the amount provided shall lapse.

(c) $97,000 of the general fund‑-state fiscal year 1998 appropriation and $36,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for the implementation of Engrossed Third Substitute House Bill No. 3900 (juvenile code revisions). If the bill is not enacted by June 30, 1997, the amounts provided shall lapse.

(d) Within the amounts provided in this subsection, the juvenile rehabilitation administration (JRA) shall develop by January 1, 1998, a staffing model for noncustody functions at JRA institutions and work camps. The models should, whenever possible, reflect the most efficient practices currently being used within the system.

(e) $15,000 of the general fund‑-state appropriation for fiscal year 1998 and $175,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the study required in Second Substitute Senate Bill No. 6445 (child community facility placement). If the bill is not enacted by June 30, 1998, the amounts provided in this subsection shall lapse. The juvenile rehabilitation administration (JRA) shall contract with the institute for public policy for the studies required by the bill.

Sec. 204. 1998 c 346 s 204 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-MENTAL HEALTH PROGRAM

(1) COMMUNITY SERVICES/REGIONAL SUPPORT NETWORKS

General Fund‑-State Appropriation (FY 1998).... $ 170,940,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~173,645,000~~))

170,565,000

General Fund‑-Federal Appropriation............. $.................................. ((~~299,651,000~~))

294,831,000

General Fund‑-Private/Local Appropriation...... $ 4,000,000

TOTAL APPROPRIATION................. $ ((~~648,236,000~~))

640,336,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) Regional support networks shall use portions of the general fund‑-state appropriation for implementation of working agreements with the vocational rehabilitation program which will maximize the use of federal funding for vocational programs.

(b) From the general fund‑-state appropriations in this subsection, the secretary of social and health services shall assure that regional support networks reimburse the aging and adult services program for the general fund‑-state cost of medicaid personal care services that enrolled regional support network consumers use because of their psychiatric disability.

(c) $1,304,000 of the general fund‑-state appropriation for fiscal year 1998, $3,356,000 of the general fund‑-state appropriation for fiscal year 1999, and $5,056,000 of the general fund‑-federal appropriation are provided solely for distribution to those regional support networks whose 1997-99 allocation would otherwise be less than the regional support network would receive if all funding appropriated in this subsection (1) of this section for medicaid outpatient mental health services were distributed among all regional support networks at the state-wide average per capita rate for each eligibility category.

(d) At least thirty days prior to entering contracts that would capitate payments for voluntary psychiatric hospitalizations, the mental health division shall report the proposed capitation rates, and the assumptions and calculations by which they were established, to the budget and forecasting divisions of the office of financial management, the appropriations committee of the house of representatives, and the ways and means committee of the senate.

(e) $533,000 of the general fund‑-state appropriation for fiscal year 1999 and $587,000 of the general fund‑-federal appropriation are provided solely for the implementation of the Second Substitute Senate Bill No. 6214 (mentally ill commitment). If the bill is not enacted by June 30, 1998, the amounts provided in this subsection shall lapse.

(2) INSTITUTIONAL SERVICES

General Fund‑-State Appropriation (FY 1998).... $ 62,368,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~60,698,000~~))

64,763,000

General Fund‑-Federal Appropriation............. $.................................. ((~~133,504,000~~))

137,358,000

General Fund‑-Private/Local Appropriation...... $ ((~~25,007,000~~))

24,339,000

TOTAL APPROPRIATION................. $ ((~~281,577,000~~))

288,828,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) The state mental hospitals may use funds appropriated in this subsection to purchase goods and supplies through hospital group purchasing organizations when it is cost-effective to do so.

(b) The mental health program at Western state hospital shall continue to use labor provided by the Tacoma prerelease program of the department of corrections.

(c) $246,000 of the general fund‑-state fiscal year 1998 appropriation and $318,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for funding outside medical costs. The mental health division shall provide a report on outside medical costs to the fiscal committees of the legislature by September 30, 1998, and September 30, 1999. The report shall detail the monthly and per capita expenditures for outside medical costs at each state hospital.

(d) $256,000 of the general fund‑-state fiscal year 1998 appropriation and $254,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for funding pharmacy and new drug costs. The mental health division shall provide a report on pharmacy and new drug costs to the fiscal committees of the legislature by September 30, 1998, and September 30, 1999. The report shall detail monthly and per capita expenditures for pharmacy and new drug costs for each state hospital. Expenditures for each new generation atypical antipsychotic medication including clozapine, resperidone, olanzapine, and any newly introduced medications of this nature shall be specifically reported.

(e) ((~~$1,700,000~~)) $1,000,000 of the general fund‑‑state fiscal year ((~~1998~~)) 1999 appropriation is provided solely for replacing lost federal revenues in fiscal year ((~~1998~~)) 1999 due to a changed definition of discharge for medicare reimbursement purposes. The mental health division must aggressively pursue the prompt resolution of issues resulting in this loss of revenues with the federal health care financing administration. In the event any or all of the lost federal revenues are restored, an equal amount of the general fund‑‑state fiscal year ((~~1998~~)) 1999 appropriation shall lapse.

(f) Within the funds provided in this section, the mental health division shall develop by October 1, 1998, a staffing model for direct and indirect functions for the wards at each of the state hospitals. The model should, whenever possible, reflect the most efficient practices for providing treatment and therapeutic services appropriate to the characteristics and needs of the individual patient.

(g) $1,508,000 of the general fund‑-state appropriation for fiscal year 1999, $92,000 of the general fund‑-federal appropriation, and $107,000 of the general fund private/local appropriation are provided solely for the implementation of the Second Substitute Senate Bill No. 6214 (mentally ill commitment). If the bill is not enacted by June 30, 1998, the amounts provided in this subsection shall lapse.

(3) CIVIL COMMITMENT

General Fund Appropriation (FY 1998)........... $ 7,174,000

General Fund Appropriation (FY 1999)........... $ ((~~7,779,000~~))

8,079,000

TOTAL APPROPRIATION................. $ ((~~14,953,000~~))

15,253,000

The appropriations in this subsection are subject to the following conditions and limitations: ((~~(a)~~)) $2,088,000 of the general fund‑-state fiscal year 1998 appropriation and $2,415,000 of the general fund-‑state fiscal year 1999 appropriation are provided solely for court-related costs for residents at the special commitment center.

(4) SPECIAL PROJECTS

General Fund‑-State Appropriation (FY 1998).... $ 50,000

General Fund‑-State Appropriation (FY 1999).... $ 450,000

General Fund‑-Federal Appropriation............. $.................................. 3,826,000

TOTAL APPROPRIATION................. $ 4,326,000

The appropriations in this subsection are subject to the following conditions and limitations: $50,000 of the general fund‑-state appropriation for fiscal year 1998 and $450,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for development and operation of the pilot project for mentally ill offenders described in Substitute Senate Bill No. 6002 (mentally ill offenders). If the bill is not enacted by June 30, 1997, the amounts provided shall lapse.

(5) PROGRAM SUPPORT

General Fund‑-State Appropriation (FY 1998).... $ 2,537,000

General Fund‑-State Appropriation (FY 1999).... $ 2,569,000

General Fund‑-Federal Appropriation............. $.................................. 3,085,000

TOTAL APPROPRIATION................. $ 8,191,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $60,000 of the general fund‑-state appropriation for fiscal year 1998 is provided solely to increase the department's capacity to carry out legislative intent set forth in RCW 71.24.400 through 71.24.415. To facilitate this activity, the secretary shall appoint an oversight committee of project stakeholders including representatives from: Service providers, mental health regional support networks, the department's mental health division, the department's division of alcohol and substance abuse, the department's division of children and family services, and the department's medical assistance administration. The oversight group shall continue to seek ways to streamline service delivery as set forth in RCW 71.24.405 until at least July 1, 1998.

(b) $96,000 of the general fund-‑state appropriation for fiscal year 1999 is provided solely for the implementation of Second Substitute Senate Bill No. 6214 (mentally ill commitment). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(c) $100,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the evaluation required by Second Substitute Senate Bill No. 6214 (mentally ill commitment). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse. The mental health division shall contract with the institute for public policy for this evaluation.

Sec. 205. 1998 c 346 s 205 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-DEVELOPMENTAL DISABILITIES PROGRAM

Notwithstanding any other limitations in this section, the secretary shall transfer $1,140,000 of the general fund‑-state appropriation, and $1,060,000 of the general fund‑-federal appropriation, or so much thereof as may be necessary, among subsections of this section to implement Second Substitute Senate Bill No. 6751 (developmental disabilities service options).

(1) COMMUNITY SERVICES

General Fund‑-State Appropriation (FY 1998).... $ 147,757,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~166,773,000~~))

170,291,000

General Fund‑-Federal Appropriation............. $.................................. ((~~226,737,000~~))

229,937,000

Health Services Account Appropriation.......... $ 639,000

TOTAL APPROPRIATION................. $ ((~~541,906,000~~))

548,624,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) The health services account appropriation and $692,000 of the general fund‑-federal appropriation are provided solely for the enrollment in the basic health plan of home care workers with family incomes below 200 percent of the federal poverty level who are employed through state contracts. Enrollment in the basic health plan for home care workers with family incomes at or above 200 percent of poverty shall be covered with general fund‑-state and matching general fund‑-federal revenues that were identified by the department to have been previously appropriated for health benefits coverage, to the extent that these funds had not been contractually obligated for worker wage increases prior to March 1, 1996.

(b) $365,000 of the general fund‑-state appropriation for fiscal year 1998 and $1,543,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for employment, or other day activities and training programs, for young people who complete their high school curriculum in 1997 or 1998.

(c) $24,399,000 of the general fund‑-state appropriation for fiscal year 1998 and $28,729,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely to deliver personal care services. Within these amounts, sufficient funding is provided to restore funding for medicaid personal care exceptional rates to the fiscal year 1997 level. If the secretary of social and health services determines that total expenditures are likely to exceed these appropriated amounts, the secretary shall take action as required by RCW 74.09.520 to adjust either functional eligibility standards or service levels or both sufficiently to maintain expenditures within appropriated levels. Such action may include the adoption of emergency rules and may not be taken to the extent that projected over-expenditures are offset by under-expenditures elsewhere within the program's general fund‑-state appropriation. Prior to making eligibility changes which would terminate all services to some persons, the secretary should first exercise all opportunities to manage the average cost per person served, through methods such as promoting the use of informal care; assuring that local offices are effectively and consistently authorizing the least expensive level of care which can meet recipient needs; and reducing on a sliding-scale basis the amount of service authorized per functional need level, with smaller reductions for greater levels of need.

(d) $144,000 of the general fund‑-state appropriation for fiscal year 1998, $453,000 of the general fund‑-state appropriation for fiscal year 1999, and $654,000 of the general fund‑-federal appropriation are provided solely to continue operation of the united cerebral palsy residential center during the period in which its residents are phasing into new community residences.

(e) $197,000 of the general fund‑-state appropriation for fiscal year 1998 and $197,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely to contract with the Washington initiative for supported employment for the purpose of continuing the promotion of supported employment services for persons with disabilities.

((~~(g)~~)) (f) $2,151,000 of the general fund‑-state appropriation for fiscal year 1998, $5,782,000 of the general fund‑-state appropriation for fiscal year 1999, and $8,362,000 of the general fund‑-federal appropriation are provided solely to develop and operate secure residential and day program placements for persons who seem likely to present a significant risk to the public safety if their current residential arrangement were to continue.

((~~(h)~~)) (g) $426,000 of the general fund‑-state appropriation for fiscal year 1999 and $469,000 of the general fund‑-federal appropriation are provided solely to develop and operate community services for persons residing at eastern and western state hospitals whose needs are such that they cannot be served in existing community vacancies.

((~~(i)~~)) (h) $200,000 of the general fund‑-state appropriation for fiscal year 1998 and $1,592,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for employment and day program services for adults who are not currently able to participate in such services because of funding limitations.

((~~(j)~~)) (i) $105,000 of the general fund‑-state appropriation for fiscal year 1998, $933,000 of the general fund‑-state appropriation for fiscal year 1999, and $1,029,000 of the general fund‑-federal appropriation are provided solely to develop and operate community services for persons moving from the residential habilitation centers as a result of an agreement with the federal department of justice or a settlement agreement to a lawsuit.

(2) INSTITUTIONAL SERVICES

General Fund‑-State Appropriation (FY 1998).... $ 65,277,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~64,187,000~~))

63,220,000

General Fund‑-Federal Appropriation............. $.................................. ((~~145,897,000~~))

146,073,000

General Fund‑-Private/Local Appropriation...... $ 9,729,000

TOTAL APPROPRIATION................. $ ((~~285,090,000~~))

284,299,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) With the funds appropriated in this subsection, the secretary of social and health services shall develop an eight-bed program at Yakima valley school specifically for the purpose of providing respite services to all eligible individuals on a state-wide basis, with an emphasis on those residing in central Washington.

(b) $112,000 of the general fund‑-state appropriation for fiscal year 1998, $113,000 of the general fund‑-state appropriation for fiscal year 1999, and $75,000 of the general fund‑-federal appropriation are provided solely for a nursing community outreach project at Yakima valley school. Registered nursing staff are to provide nursing assessments, consulting services, training, and quality assurance on behalf of individuals residing in central Washington.

(c) $200,000 of the general fund‑-state appropriation for fiscal year 1998, $200,000 of the general fund‑-state appropriation for fiscal year 1999, and $400,000 of the general fund‑-federal appropriation are provided solely for the development of a sixteen-bed program at Yakima valley school specifically for the purpose of providing respite services to all eligible individuals on a state-wide basis, with an emphasis on those residing in central Washington.

(3) PROGRAM SUPPORT

General Fund‑-State Appropriation (FY 1998).... $ 2,530,000

General Fund‑-State Appropriation (FY 1999).... $ 2,501,000

General Fund‑-Federal Appropriation............. $.................................. 1,637,000

TOTAL APPROPRIATION................. $ 6,668,000

(4) SPECIAL PROJECTS

General Fund‑-Federal Appropriation.................. $.................................. 12,030,000

Sec. 206. 1998 c 346 s 206 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-AGING AND ADULT SERVICES PROGRAM

General Fund‑-State Appropriation (FY 1998).... $ 409,469,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~425,130,000~~))

421,686,000

General Fund‑-Federal Appropriation............. $.................................. ((~~910,685,000~~))

900,943,000

General Fund‑-Local Appropriation.............. $ ((~~1,781,000~~))

1,757,000

Health Services Account Appropriation.......... $ ((~~2,232,000~~))

1,793,000

TOTAL APPROPRIATION................. $ ((~~1,749,297,000~~))

1,735,648,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The entire health services account appropriation and $2,175,000 of the general fund‑-federal appropriation are provided solely for the enrollment in the basic health plan of home care workers with family incomes below 200 percent of the federal poverty level who are employed through state contracts. Enrollment in the basic health plan for home care workers with family incomes at or above 200 percent of poverty shall be covered with general fund‑-state and matching general fund‑-federal revenues that were identified by the department to have been previously appropriated for health benefits coverage, to the extent that these funds had not been contractually obligated for worker wage increases prior to March 1, 1996.

(2) $1,277,000 of the general fund‑-state appropriation for fiscal year 1998 and $1,277,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for operation of the volunteer chore program.

(3) (($113,534,000 of the general fund‑-state appropriation for fiscal year 1998, $125,310,000 of the general fund‑-state appropriation for fiscal year 1999, of which no less than forty-nine percent shall be allotted for expenditure during the first six months of fiscal year 1999, and $7,374,000 of the general fund‑-federal social services block grant appropriation, are provided solely to deliver chore, COPES, and medicaid personal care services. If the secretary of social and health services determines that total expenditures are likely to exceed these amounts, the secretary shall take action as required by RCW 74.09.520, 74.39A.120, and 74.09.530 to adjust functional eligibility standards and/or service levels sufficiently to maintain expenditures within appropriated levels. Such action may include the adoption of emergency rules, and shall not be taken to the extent that projected over-expenditures are offset by under-expenditures resulting from lower than budgeted nursing home caseloads. Prior to making eligibility changes which would terminate all services to some persons, the secretary should first exercise all opportunities to manage the average cost per person served, through methods such as promoting the use of informal care; assuring that local offices are effectively and consistently authorizing the least expensive level of care that can meet recipient needs; using waiting lists for individuals with lower levels of need in order to limit monthly growth; and reducing on a sliding-scale basis the amount of service authorized per functional need level, with smaller reductions for greater levels of need.

(4) $1,080,000 of the general fund‑-state appropriation for fiscal year 1999 is provided to maintain service eligibility for persons receiving services through the chore, COPES, or medicaid personal care programs in the event eligibility adjustments may be necessary or are made in accordance with subsection (3) of this section. The department may use seventy-five percent of amounts not needed for that purpose to implement quality of care enhancements.

~~(5)~~)) $26,000 of the general fund‑-state appropriation for fiscal year 1998, $59,000 of the general fund‑-state appropriation for fiscal year 1999, and $85,000 of the general fund‑-federal appropriation are provided solely to employ registered nurses rather than social workers to fill six of the new field positions to be filled in fiscal year 1998 and seven more of the new positions to be filled in fiscal year 1999. These registered nurses shall conduct assessments, develop and monitor service plans, and consult with social work staff to assure that persons with medical needs are placed in and receive the appropriate level of care.

((~~(6)~~)) (4) $425,000 of the general fund‑-state appropriation for fiscal year 1998 and $882,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely to implement Second Substitute Senate Bill No. 5179 (nursing facility reimbursement). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

((~~(7)~~)) (5) $242,000 of the general fund‑-state appropriation for fiscal year 1998, $212,000 of the general fund‑-state appropriation for fiscal year 1999, and $498,000 of the general fund‑-federal appropriation are provided solely for operation of a system for investigating allegations of staff abuse and neglect in nursing homes, as provided in Second Substitute House Bill No. 1850 (long-term care standards of care).

((~~(8)~~)) (6) For purposes of implementing ((~~Second Substitute House Bill No. 2935~~)) chapter 322, Laws of 1998 (nursing ((~~facility~~)) home payment rates), the weighted average nursing facility payment rate for fiscal year 1999 shall be no more than ((~~$117.36~~)) $115.79, excluding nurse's aide training. ((Each nursing facility's July 1 through September 30, 1998, medicaid payment rate shall be its June 30, 1998, rate increased by 2.0 percent, except for the property and return on investment component rates, which shall not be increased. Beginning October 1, 1998, component rates rebased on 1996 costs shall be adjusted for economic trends and conditions by 5.18 percent.

~~(9)~~)) (7) $50,000 of the general fund‑-state appropriation for fiscal year 1998 and $50,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for payments to any nursing facility licensed under chapter 18.51 RCW which meets all of the following criteria: (a) The nursing home entered into an arm's length agreement for a facility lease prior to January 1, 1980; (b) the lessee purchased the leased nursing home after January 1, 1980; and (c) the lessor defaulted on its loan or mortgage for the assets of the home after January 1, 1991, and prior to January 1, 1992. Payments provided pursuant to this subsection shall not be subject to the settlement, audit, or rate-setting requirements contained in chapter 74.46 RCW.

((~~(10)~~)) (8) $506,000 of the general fund‑-state appropriation for fiscal year 1998, $502,000 of the general fund‑-state appropriation for fiscal year 1999, and $1,095,000 of the general fund‑-federal appropriation are provided solely for an increase in the state payment rates for adult residential care and enhanced adult residential care.

(((11) $274,000 of the general fund‑-state appropriation for fiscal year 1998, $1,357,000 of the general fund‑-state appropriation for fiscal year 1999, and the entire general fund‑-local appropriation are provided solely for boarding home licensure and quality assurance by the department of social and health services only if Engrossed House Bill No. 2410 (boarding home administration) is enacted by June 30, 1998. If the bill is not enacted, the amounts provided in this subsection shall be allocated to the department of health, which will manage the boarding home licensure and quality assurance program.))

Sec. 207. 1998 c 346 s 207 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-ECONOMIC SERVICES PROGRAM

General Fund‑-State Appropriation (FY 1998).... $ 508,243,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~512,200,000~~))

519,204,000

General Fund‑-Federal Appropriation............. $.................................. ((~~951,615,000~~))

900,036,000

TOTAL APPROPRIATION................. $ ((~~1,972,058,000~~))

1,927,483,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The legislature finds that, with the passage of the federal personal responsibility and work opportunity act and Engrossed House Bill No. 3901, the temporary assistance for needy families is no longer an entitlement. The legislature declares that the currently appropriated level for the program is sufficient for the next few budget cycles. To the extent, however, that currently appropriated amounts exceed costs during the 1997-99 biennium, the department is encouraged to set aside excess federal funds for use in future years.

(2) $485,000 of the general fund‑-state fiscal year 1998 appropriation, $3,186,000 of the general fund‑-state fiscal year 1999 appropriation, and $3,168,000 of the general fund‑-federal appropriation are provided solely to continue to implement the previously competitively procured electronic benefits transfer system through the western states EBT alliance for distribution of cash grants and food stamps so as to meet the requirements of P.L. 104-193.

(3) $50,000 of the fiscal year 1998 general fund‑-state appropriation is provided solely for a study of child care affordability as directed in section 403 of Engrossed House Bill No. 3901 (implementing welfare reform). The study shall be performed by the Washington institute for public policy. If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(4) $500,000 of the fiscal year 1998 general fund‑-state appropriation and $500,000 of the fiscal year 1999 general fund‑-state appropriation are provided solely for an evaluation of the WorkFirst program as directed in section 705 of Engrossed House Bill No. 3901 (implementing welfare reform). The study shall be performed by the joint legislative audit and review committee. If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(5) $73,129,000 of the general fund‑-federal appropriation is provided ((~~solely~~)) for child care assistance for low-income families in the WorkFirst program and for low-income working families as authorized in Engrossed House Bill No. 3901 (implementing welfare reform). All child care assistance provided shall be subject to a monthly copay to be paid by the family receiving the assistance.

(6) $7,624,000 of the fiscal year 1998 general fund‑-state appropriation, ((~~$18,489,000~~)) $11,730,000 of the fiscal year 1999 general fund‑-state appropriation, and $29,781,000 of the general fund‑-federal appropriation are provided solely for implementation of Engrossed House Bill No. 3901 (implementing welfare reform), including sections 404 and 405. If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse. The level of benefits in the food program for legal immigrants authorized in the bill shall be equivalent to benefits provided by the federal food stamp program.

(7) $56,461,000 of the fiscal year 1998 general fund‑-state appropriation and ((~~$59,393,000~~)) $51,673,000 of the fiscal year 1999 general fund‑-state appropriation are provided ((~~solely~~)) for cash assistance to recipients in the general assistance‑-unemployable program. The department shall take any and all actions necessary to maintain expenditures within these amounts.

(8) $55,995,000 of the fiscal year 1998 general fund‑-state appropriation, ((~~$55,995,000~~)) $44,146,000 of the fiscal year 1999 general fund‑-state appropriation, and ((~~$184,510,000~~)) $121,821,000 of the general fund‑-federal appropriation are provided ((~~solely~~)) to administer a low-income child care program as authorized in Engrossed House Bill No. 3901 (implementing welfare reform). ((~~The child care program funds shall be allotted as follows:~~

(a) Each six-month period shall have $27,997,500 general fund‑-state and $46,127,500 general fund‑-federal funds allotted to be spent during that six-month period for low-income child care assistance.

(b) The department may spend up to the allotted amount for child care assistance during each six-month period. Any funds not spent during the six-month period may be held over and allotted in the next six-month period, subject to the provisions of subsection (5) of this section.

~~(c) Federal funds allotted for child care but not spent in fiscal year 1998 may be transferred to fiscal year 1999 for allotment but state funds must be spent in the year appropriated.~~

~~(10)~~)) (9) Within the amounts provided in this section, the department shall implement the study requirements of Engrossed Substitute House Bill No. 2900 (pro rata calculation of temporary assistance for needy families grants).

Sec. 208. 1998 c 346 s 208 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-ALCOHOL AND SUBSTANCE ABUSE PROGRAM

General Fund‑-State Appropriation (FY 1998).... $ 15,459,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~15,330,000~~))

15,621,000

General Fund‑-Federal Appropriation............. $.................................. ((~~81,112,000~~))

81,132,000

General Fund‑-Private/Local Appropriation...... $ 630,000

Public Safety and Education Account

Appropriation.............................. $ 3,210,000

Violence Reduction and Drug Enforcement Account

Appropriation.............................. $ 74,889,000

TOTAL APPROPRIATION................. $ ((~~190,630,000~~))

190,941,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $2,062,000 of the general fund‑-federal appropriation and $7,482,000 of the violence reduction and drug enforcement account appropriation are provided solely for the grant programs for school districts and educational service districts set forth in RCW 28A.170.080 through 28A.170.100, including state support activities, as administered through the office of the superintendent of public instruction.

(2) $1,902,000 of the general fund‑-state fiscal year 1998 appropriation, $1,902,000 of the general fund‑-state fiscal year 1999 appropriation, and $1,592,000 of the general fund‑-federal appropriation are provided solely for alcohol and substance abuse assessment, treatment, including treatment for drug affected infants and toddlers, and child care services for clients of the division of children and family services. Assessment shall be provided by approved chemical dependency treatment programs as requested by child protective services personnel in the division of children and family services. Child care shall be provided as deemed necessary by the division of children and family services while parents requiring alcohol and substance abuse treatment are attending treatment programs.

(3) $760,000 of the fiscal year 1998 general fund‑-state appropriation and $760,000 of the fiscal year 1999 general fund‑-state appropriation are provided solely to fund a program serving mothers of children affected by fetal alcohol syndrome and related conditions, known as the birth-to-three program. The program may be operated in two cities in the state.

(4) $3,210,000 of the public safety and education account appropriation is provided solely for the continuation of treatment alternatives to street crimes (TASC) programs in Pierce, Snohomish, Clark, King, Spokane, and Yakima counties.

Sec. 209. 1998 c 346 s 209 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-MEDICAL ASSISTANCE PROGRAM

General Fund‑-State Appropriation (FY 1998).... $ 666,815,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~681,372,000~~))

685,662,000

General Fund‑-Federal Appropriation............. $.................................. ((~~2,086,149,000~~))

2,116,047,000

General Fund‑-Private/Local Appropriation...... $ ((~~306,601,000~~))

312,762,000

Health Services Account Appropriation.......... $ 254,506,000

Emergency Medical and Trauma Care Services

Account Appropriation...................... $ 4,600,000

TOTAL APPROPRIATION................. $ ((~~4,000,043,000~~))

4,040,392,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The department shall continue to make use of the special eligibility category created for children through age 18 and in households with incomes below 200 percent of the federal poverty level made eligible for medicaid as of July 1, 1994.

(2) It is the intent of the legislature that Harborview medical center continue to be an economically viable component of the health care system and that the state's financial interest in Harborview medical center be recognized.

(3) Funding is provided in this section for the adult dental program for Title XIX categorically eligible and medically needy persons and to provide foot care services by podiatric physicians and surgeons.

(4) $1,622,000 of the general fund‑-state appropriation for fiscal year 1998 and $1,622,000 of the general fund‑-state appropriation for fiscal year 1999 are provided for treatment of low-income kidney dialysis patients.

(5) $80,000 of the general fund‑-state appropriation for fiscal year 1998, $80,000 of the general fund‑-state appropriation for fiscal year 1999, and $160,000 of the general fund‑-federal appropriation are provided solely for the prenatal triage clearinghouse to provide access and outreach to reduce infant mortality.

(6) ((The department shall employ the managed care contracting and negotiation strategies defined in Substitute Senate Bill No. 5125 to assure that the average per-recipient cost of managed care services for temporary assistance to needy families and expansion populations increases by no more than two percent per year in calendar years 1998 and 1999.

(7) The department shall seek federal approval to require adult medicaid recipients who are not elderly or disabled to contribute ten dollars per month toward the cost of their medical assistance coverage. The department shall report on the progress of this effort to the house of representatives and senate health care and fiscal committees by September 1 and November 15, 1997.

~~(8)~~)) $325,000 of the general fund‑-state appropriation for fiscal year 1998 and $325,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely to increase rates paid for air ambulance services.

(((9) $1,468,000 of the general fund‑-state appropriation for fiscal year 1999 is to be expended solely to the extent necessary because the federal government has not approved the department's request to require certain recipients to pay ten dollars per month toward the cost of their medical assistance.

~~(10)~~)) (7) By November 1, 1998, the department shall report to the health care and fiscal committees of the legislature on the estimated average monthly number of nongrant medical assistance recipients who do not meet the earned income eligibility standards that were in effect prior to November 1997.

Sec. 210. 1998 c 346 s 210 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-VOCATIONAL REHABILITATION PROGRAM

General Fund‑-State Appropriation (FY 1998).... $ 9,046,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~8,603,000~~))

9,091,000

General Fund‑-Federal Appropriation............. $.................................. ((~~79,080,000~~))

78,579,000

General Fund‑-Private/Local Appropriation...... $ 2,904,000

TOTAL APPROPRIATION................. $ ((~~99,633,000~~))

99,620,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The division of vocational rehabilitation shall negotiate cooperative interagency agreements with local organizations, including higher education institutions, mental health regional support networks, and county developmental disabilities programs to improve and expand employment opportunities for people with severe disabilities served by those local agencies.

(2) $363,000 of the general fund‑-state appropriation for fiscal year 1998, $506,000 of the general fund‑-state appropriation for fiscal year 1999, and $3,208,000 of the general fund‑-federal appropriation are provided solely for vocational rehabilitation services for individuals enrolled for services with the developmental disabilities program who complete their high school curriculum in 1997 or 1998.

Sec. 211. 1998 c 346 s 211 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-ADMINISTRATION AND SUPPORTING SERVICES PROGRAM

General Fund‑-State Appropriation (FY 1998).... $ 25,818,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~25,744,000~~))

25,875,000

General Fund‑-Federal Appropriation............. $.................................. ((~~43,037,000~~))

42,544,000

General Fund‑-Private/Local Appropriation...... $ 270,000

TOTAL APPROPRIATION................. $ ((~~94,869,000~~))

94,507,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The department may transfer up to $1,289,000 of the general fund‑-state appropriation for fiscal year 1998, $1,757,000 of the general fund‑-state appropriation for fiscal year 1999, and $2,813,000 of the general fund‑-federal appropriation to the administration and supporting services program from various other programs to implement administrative reductions.

(2) The secretary of social and health services and the director of labor and industries shall report to the appropriate fiscal and policy committees of the legislature by July 1, 1997, and every six months thereafter on the measurable changes in employee injury and time-loss rates that have occurred in the state developmental disabilities, juvenile rehabilitation, and mental health institutions as a result of the upfront loss-control discount agreement between the agencies.

(3) $60,000 of the general fund‑-state appropriation for fiscal year 1998 is provided solely for a welfare fraud pilot program as described by House Bill No. 1822 (welfare fraud investigation).

(4) $55,000 of the fiscal year 1998 general fund‑-state appropriation, $64,000 of the fiscal year 1999 general fund‑-state appropriation, and $231,000 of the general fund‑-federal appropriation are provided solely for implementation of Engrossed House Bill No. 3901 (implementing welfare reform). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

((~~(6)~~)) (5) The department shall report on the allowance for clothing, personal maintenance, and necessary incidentals provided to persons who receive services funded by state and federal moneys under Title XIX of the social security act. The report shall discuss the range of allowances granted for different populations and programs and compare the allowances to those provided to similar populations in other western states. The report shall also evaluate the need for a uniform amount provided to all populations and, if a uniform allowance is provided, at what level that allowance should be set. In compiling the report, the department shall consult with affected parties and divisions. The report shall be submitted by December 1, 1998, to the chairs and the ranking minority members of the appropriate committees of the legislature.

Sec. 212. 1998 c 346 s 212 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-CHILD SUPPORT PROGRAM

General Fund‑-State Appropriation (FY 1998).... $ 21,344,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~20,965,000~~))

22,913,000

General Fund‑-Federal Appropriation............. $.................................. ((~~145,321,000~~))

150,874,000

General Fund‑-Private/Local Appropriation...... $ ((~~32,673,000~~))

30,802,000

TOTAL APPROPRIATION................. $ ((~~220,303,000~~))

225,933,000

The appropriations provided in this section are subject to the following conditions and limitations:

(1) The department shall contract with private collection agencies to pursue collection of AFDC child support arrearages in cases that might otherwise consume a disproportionate share of the department's collection efforts. The department's child support collection staff shall determine which cases are appropriate for referral to private collection agencies. In determining appropriate contract provisions, the department shall consult with other states that have successfully contracted with private collection agencies to the extent allowed by federal support enforcement regulations.

(2) The amounts appropriated in this section for child support legal services shall be expended only by means of contracts with local prosecutor's offices.

(3) $305,000 of the general fund‑-state fiscal year 1998 appropriation, $494,000 of the general fund‑-state fiscal year 1999 appropriation, and $1,408,000 of the general fund‑-federal appropriation are provided solely to implement Engrossed House Bill No. 3901 (implementing welfare reform). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

Sec. 213. 1998 c 346 s 213 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES‑-PAYMENTS TO OTHER AGENCIES PROGRAM

General Fund‑-State Appropriation (FY 1998).... $ 25,292,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~24,792,000~~))

24,980,000

General Fund‑-Federal Appropriation............. $.................................. ((~~18,966,000~~))

18,778,000

TOTAL APPROPRIATION................. $ 69,050,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $263,000 of the fiscal year 1998 general fund‑-state appropriation, $349,000 of the fiscal year 1999 general fund‑-state appropriation, and $1,186,000 of the general fund‑-federal appropriation are provided solely for implementation of Engrossed House Bill No. 3901 (implementing welfare reform). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(2) $113,000 of the fiscal year 1999 general fund‑-state appropriation and $31,000 of the general fund‑-federal appropriation are provided solely for the implementation of Substitute House Bill No. 2556 (child abuse prevention and treatment). If this bill is not enacted by June 30, 1998, the amounts provided in this subsection shall lapse.

Sec. 214. 1998 c 346 s 214 (uncodified) is amended to read as follows:

FOR THE STATE HEALTH CARE AUTHORITY

General Fund‑-State Appropriation (FY 1998).... $ 6,316,000

General Fund‑-State Appropriation (FY 1999).... $ 6,317,000

State Health Care Authority Administration

Account Appropriation...................... $ ((~~14,969,000~~))

14,966,000

Health Services Account Appropriation.......... $ ((~~341,800,000~~))

332,544,000

TOTAL APPROPRIATION................. $ ((~~369,402,000~~))

360,143,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The general fund‑-state appropriations are provided solely for health care services provided through local community clinics.

(2) Within funds appropriated in this section and sections 205 and 206 of chapter 149, Laws of 1997, the health care authority shall continue to provide an enhanced basic health plan subsidy option for foster parents licensed under chapter 74.15 RCW and workers in state-funded homecare programs. Under this enhanced subsidy option, foster parents and homecare workers with family incomes below 200 percent of the federal poverty level shall be allowed to enroll in the basic health plan at a cost of ten dollars per covered worker per month.

(3)(((a) Effective October 1997, the health care authority shall require organizations and individuals that are paid to deliver basic health plan services to contribute a minimum of thirty dollars per enrollee per month if the organization or individual chooses to sponsor an individual's enrollment in the subsidized basic health plan.

~~(b)~~)) Effective July 1998, the health care authority shall require organizations and individuals which are paid to deliver basic health plan services and which choose to sponsor enrollment in the subsidized basic health plan to pay the following: (i) A minimum of fifteen dollars per enrollee per month for persons below 100 percent of the federal poverty level; and (ii) a minimum of twenty dollars per enrollee per month for persons whose family income is 100 percent to 200 percent of the federal poverty level.

(4) (($150,000 of the health services account appropriation is provided solely to implement health care savings accounts. If legislation requiring a pilot project of such accounts is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

~~(5)~~)) $270,000 of the health services account appropriation is provided solely to pay commissions to agents and brokers in accordance with RCW 70.47.015(5) for application assistance provided to persons on the reservation list as of June 30, 1997, who enroll in the subsidized basic health plan on or after July 1, 1997.

((~~(6)~~)) (5) $250,000 of the state health care authority administrative account appropriation is provided solely to process claims arising from the settlement in Retired State Employees v. State of Washington (Thurston county superior court cause no. 92-2-01294-1).

((~~(7)~~)) (6) The health care authority administrator is directed to pay claims resulting from a court-approved stipulated settlement in Retired State Employees et al. v. State of Washington (Thurston county superior court cause no. 92-2-01294-1) using funds in the public employees' and retirees' insurance account. The legislature recognizes that payment of these claims may reduce premium stabilization reserves below target levels on an interim basis. It is the legislature's intent that the viability of health care authority-administered programs be preserved and that the benefit levels for health care authority-administered programs not be reduced in the event premium stabilization reserves are used to pay such claims.

((~~(8)~~)) (7) $330,000 of the health services account appropriation is provided solely to implement Substitute House Bill No. 3109 (basic health plan enrollee income verification). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

Sec. 215. 1998 c 346 s 217 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF LABOR AND INDUSTRIES

General Fund Appropriation (FY 1998)........... $ 6,805,000

General Fund Appropriation (FY 1999)........... $ ((~~7,069,000~~))

7,017,000

Public Safety and Education Account‑-

State Appropriation........................ $ ((~~16,082,000~~))

16,078,000

Public Safety and Education Account‑-

Federal Appropriation...................... $ 6,002,000

Public Safety and Education Account‑-

Private/Local Appropriation................ $ 2,178,000

Electrical License Account Appropriation........ $...................................... ((~~22,542,000~~))

22,515,000

Farm Labor Revolving Account Appropriation..... $ 28,000

Worker and Community Right-to-Know Account

Appropriation.............................. $ 2,187,000

Public Works Administration Account

Appropriation.............................. $ 1,975,000

Accident Account‑-State Appropriation.......... $ ((~~151,634,000~~))

151,890,000

Accident Account‑-Federal Appropriation........ $ 9,112,000

Medical Aid Account‑-State Appropriation........ $...................................... ((~~154,142,000~~))

154,519,000

Medical Aid Account‑-Federal Appropriation..... $ 1,592,000

Plumbing Certificate Account Appropriation..... $ 947,000

Pressure Systems Safety Account Appropriation... $........................................... 2,106,000

TOTAL APPROPRIATION................. $ ((~~384,401,000~~))

384,951,000

The appropriations in this section are subject to the following conditions and limitations:

(1) Expenditures of funds appropriated in this section for the information systems projects identified in agency budget requests as "claims service delivery", "electrical permitting and inspection system", and "credentialing information system" are conditioned upon compliance with section 902 of this act.

(2) Pursuant to RCW 7.68.015, the department shall operate the crime victims compensation program within the public safety and education account funds appropriated in this section. In the event that cost containment measures are necessary, the department may (a) institute copayments for services; (b) develop preferred provider and managed care contracts; (c) coordinate with the department of social and health services to use the public safety and education account as matching funds for federal Title XIX reimbursement, to the extent this maximizes total funds available for services to crime victims.

(3) $54,000 of the general fund appropriation for fiscal year 1998 and $54,000 of the general fund appropriation for fiscal year 1999 are provided solely for an interagency agreement to reimburse the board of industrial insurance appeals for crime victims appeals.

(4) The secretary of social and health services and the director of labor and industries shall report to the appropriate fiscal and policy committees of the legislature by July 1, 1997, and every six months thereafter on the measurable changes in employee injury and time-loss rates that have occurred in the state developmental disabilities, juvenile rehabilitation, and mental health institutions as a result of the upfront loss-control discount agreement between the agencies.

(5) The expenditures of the elevator, factory assembled structures, and contractors' registration and compliance programs may not exceed the revenues generated by these programs.

(6) $101,000 of the plumbing certificate account appropriation is provided solely for the implementation of Substitute Senate Bill No. 5749 (pipe installer). If the bill is not enacted by June 30, 1997, the amount provided shall lapse.

(7) $56,000 of the medical aid account appropriation and $52,000 of the accident account appropriation are provided solely for evaluating agency operational improvements.

(8) $593,000 of nonappropriated funds from the medical aid account shall be provided solely for allocation to the joint legislative audit and review committee for a performance audit and operations review of the state workers' compensation system pursuant to Substitute Senate Bill No. 6030.

(9) $170,000 of the accident account‑-state appropriation and $170,000 of the medical aid account‑-state appropriation are provided solely for payment to the office of the attorney general for legal services provided in the 1995-97 biennium.

(10) $686,000 of the accident account appropriation and $686,000 of the medical aid account appropriation for fiscal year 1999 are provided solely to fund 24 claims manager positions in fiscal year 1999 (12 worker compensation adjudicator 2 and 12 worker compensation adjudicator 3 positions). With these new positions, the department is expected to reduce time-loss duration in claims by 5 percent by June 30, 2000, and an additional 2.5 percent by June 30, 2001. The average caseload for level 2 claims managers should also drop to approximately 190 by June 30, 2000. The director of the department shall report to the appropriate fiscal and policy committees of the legislature and the office of financial management by June 30, 1998, and every year thereafter, on the measurable progress made toward attaining these goals. The 1998 report shall indicate the baseline figures from July 1, 1997. If substantial progress has not been achieved by June 30, 2000, the 24 claims manager positions and the funding associated with these positions shall be discontinued.

Sec. 216. 1998 c 346 s 218 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF VETERANS AFFAIRS

(1) HEADQUARTERS

General Fund Appropriation (FY 1998)........... $ 1,609,000

General Fund Appropriation (FY 1999)........... $ 1,404,000

Industrial Insurance Premium Refund Account

Appropriation.............................. $ 80,000

Charitable, Educational, Penal, and Reformatory

Institutions Account Appropriation......... $ 4,000

TOTAL APPROPRIATION................. $ 3,097,000

The appropriations in this subsection are subject to the following conditions and limitations: $200,000 of the general fund appropriation for fiscal year 1998 is provided solely as the state's contribution to the construction of a memorial on the state capitol grounds to the men and women who served in the nation's armed forces during the second world war. The department shall raise the remaining two-thirds of the memorial's cost from individual and corporate contributions.

(2) FIELD SERVICES

General Fund‑-State Appropriation (FY 1998).... $ 2,418,000

General Fund‑-State Appropriation (FY 1999).... $ 2,420,000

General Fund‑-Federal Appropriation............. $ 26,000

General Fund‑-Private/Local Appropriation...... $ 85,000

TOTAL APPROPRIATION................. $ 4,949,000

(3) INSTITUTIONAL SERVICES

General Fund‑-State Appropriation (FY 1998).... $ 6,576,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~5,522,000~~))

5,385,000

General Fund‑-Federal Appropriation............. $.................................. ((~~18,950,000~~))

19,004,000

General Fund‑-Private/Local Appropriation...... $ ((~~14,561,000~~))

14,911,000

TOTAL APPROPRIATION................. $ ((~~45,609,000~~))

45,876,000

Sec. 217. 1998 c 346 s 219 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF HEALTH

General Fund‑-State Appropriation (FY 1998).... $ 63,189,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~73,170,000~~))

72,623,000

General Fund‑-Federal Appropriation............. $.................................. ((~~262,504,000~~))

262,488,000

General Fund‑-Private/Local Appropriation...... $ ((~~23,578,000~~))

24,356,000

Hospital Commission Account Appropriation...... $ 3,089,000

Health Professions Account Appropriation........ $...................................... ((~~36,255,000~~))

35,522,000

Emergency Medical and Trauma Care Services Account

Appropriation.............................. $ ((~~21,042,000~~))

5,857,000

Safe Drinking Water Account Appropriation...... $ 2,494,000

Death Investigations Account Appropriation..... $ 650,000

Drinking Water Assistance Account‑-Federal

Appropriation.............................. $ 5,385,000

Waterworks Operator Certification Appropriation $ 588,000

Water Quality Account Appropriation............. $.................................. 3,065,000

Violence Reduction and Drug Enforcement

Account Appropriation...................... $ 469,000

State Toxics Control Account Appropriation..... $ 2,854,000

Medical Test Site Licensure Account

Appropriation.............................. $ 1,624,000

Youth Tobacco Prevention Account Appropriation. $ 1,812,000

Health Services Account Appropriation.......... $ 6,115,000

TOTAL APPROPRIATION................. $ ((~~507,883,000~~))

492,180,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $2,134,000 of the health professions account appropriation is provided solely for the development and implementation of a licensing and disciplinary management system. Expenditures are conditioned upon compliance with section 902 of this act. These funds shall not be expended without appropriate project approval by the department of information systems.

(2) Funding provided in this section for the drinking water program data management system shall not be expended without appropriate project approval by the department of information systems. Expenditures are conditioned upon compliance with section 902 of this act.

(3) The department or any successor agency is authorized to raise existing fees charged to the nursing professions and midwives; chemical dependency counselors; by the pharmacy board; and for boarding home; hospital; and home health, home care, and hospice agency licenses, in excess of the fiscal growth factor established by Initiative Measure No. 601, if necessary, to meet the actual costs of conducting business and the appropriation levels in this section.

(4) $1,526,000 of the general fund‑-state fiscal year 1998 appropriation and $1,741,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for the implementation of the Puget Sound water work plan and agency action items, DOH-01, DOH-02, DOH-03, DOH-04, DOH-05, DOH-06, DOH-07, DOH-08, DOH-09, DOH-10, DOH-11, and DOH-12.

(5) ((~~$10,000,000~~)) $6,115,000 of the health services account appropriation is provided solely for distribution to local health departments for distribution on a per capita basis. Prior to distributing these funds, the department shall adopt rules and procedures to ensure that these funds are not used to replace current local support for public health programs.

(6) $500,000 of the general fund‑-state appropriation for fiscal year 1998 and $500,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for operation of a youth suicide prevention program at the state level, including a state-wide public educational campaign to increase knowledge of suicide risk and ability to respond and provision of twenty-four hour crisis hotlines, staffed to provide suicidal youth and caregivers a source of instant help.

(7) The department of health shall not initiate any services that will require expenditure of state general fund moneys unless expressly authorized in this act or other law. The department may seek, receive, and spend, under RCW 43.79.260 through 43.79.282, federal moneys not anticipated in this act as long as the federal funding does not require expenditure of state moneys for the program in excess of amounts anticipated in this act. If the department receives unanticipated unrestricted federal moneys, those moneys shall be spent for services authorized in this act or in any other legislation that provides appropriation authority, and an equal amount of appropriated state moneys shall lapse. Upon the lapsing of any moneys under this subsection, the office of financial management shall notify the legislative fiscal committees. As used in this subsection, "unrestricted federal moneys" includes block grants and other funds that federal law does not require to be spent on specifically defined projects or matched on a formula basis by state funds.

(8) $259,000 of the health professions account appropriation is provided solely to implement Engrossed House Bill No. 3901 (implementing welfare reform). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(9) $150,000 of the general fund‑-state fiscal year 1998 appropriation and $150,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for community‑based oral health grants that may fund sealant programs, education, prevention, and other oral health interventions. The grants may be awarded to state or federally funded community and migrant health centers, tribal clinics, or public health jurisdictions. Priority shall be given to communities with established oral health coalitions. Grant applications for oral health education and prevention grants shall include (a) an assessment of the community's oral health education and prevention needs; (b) identification of the population to be served; and (c) a description of the grant program's predicted outcomes.

(10) ((~~$21,042,000~~)) $5,857,000 of the emergency medical and trauma care services account appropriation is provided solely for implementation of Substitute Senate Bill No. 5127 (trauma care services). If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(11) $500,000 of the general fund‑-state appropriation for fiscal year 1998 and $500,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for family support and provider training services for children with special health care needs.

(12) $300,000 of the general fund‑-federal appropriation is provided solely for an abstinence education program which complies with P.L. 104-193. $400,000 of the general fund‑-federal appropriation is provided solely for abstinence education projects at the office of the superintendent of public instruction and shall be transferred to the office of the superintendent of public instruction for the 1998-99 school year. The department shall apply for abstinence education funds made available by the federal personal responsibility and work opportunity act of 1996 and implement a program that complies with the requirements of that act.

(13) $50,000 of the general fund‑-state appropriation for fiscal year 1998 and $50,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the implementation of Second Substitute House Bill No. 1191 (mandated health benefit review). If the bill is not enacted by June 30, 1997, the amounts provided in this section shall lapse.

(14) $100,000 of the general fund‑-state appropriation for fiscal year 1998 and $100,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the volunteer retired provider program. Funds shall be used to increase children's access to dental care services in rural and underserved communities by paying malpractice insurance and professional licensing fees for retired dentists participating in the program.

(15) $852,000 of the drinking water assistance account‑-federal appropriation is provided solely for an interagency agreement with the department of community, trade, and economic development to administer, in cooperation with the public works board, loans to local governments and public water systems for projects and activities to protect and improve the state's drinking water facilities and resources.

(16) $3,347,000 of the fiscal year 1998 general fund‑-state appropriation and ((~~$3,347,000~~)) $2,600,000 of the fiscal year 1999 general fund‑-state appropriation are provided solely for the AIDS prescription drug program and HIV intervention program. The department shall operate the program within total appropriations. The department shall take such actions as are necessary to control expenditures, including administrative efficiencies such as reductions to provider reimbursement rates, modifications to financial eligibility, modifications to the scope of services, and client cost sharing mechanisms. The department shall identify program policy changes required to manage within the amounts provided.

(17) Funding provided in this section is sufficient to implement section 8 of Engrossed Substitute House Bill No. 2264 (eliminating the health care policy board).

(18) $2,075,000 of the fiscal year 1998 general fund‑-state appropriation and $2,075,000 of the fiscal year 1999 general fund‑-state appropriation are provided solely for the Washington poison center.

(19) $650,000 of the death investigations account appropriation is provided solely for the implementation of state-wide child mortality reviews. Local health jurisdictions shall coordinate child mortality reviews for children from birth to eighteen years of age, develop local child mortality review protocols, and serve as the appointing authority and lead agency for local child death review teams. The department of health shall develop standard aggregate data elements, collect and analyze local child mortality review data, provide technical assistance to local child mortality review teams, and approve local child death review protocols. If House Bill No. 1269 (death investigations account) is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(20) $1,125,000 of the fiscal year 1998 general fund‑-state appropriation and $1,125,000 of the fiscal year 1999 general fund‑-state appropriation are provided solely for deposit in the county public health account.

(21) $60,000 of the general fund‑-state appropriation for fiscal year 1998 and $60,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for attorney general services and such other activities not covered by fee revenues as are necessary for implementation of Engrossed Substitute House Bill No. 2264 (health care policy). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(22) $250,000 of the fiscal year 1998 general fund‑-state appropriation $250,000 of the fiscal year 1999 general fund‑-state appropriation are provided solely for operation of a naturopathic health clinic constructed in 1996.

(23) $60,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the implementation of Second Substitute Senate Bill No. 6168 (temporary worker housing). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(24) $250,000 of the general fund‑-federal appropriation is provided solely to conduct monitoring for thyroid diseases for eligible people exposed to radiation from Hanford between 1945 and 1951, and is contingent upon the execution of an agreement with the state of Oregon that the state of Washington will function as a subrecipient for the Hanford medical monitoring program grant. If such an agreement is not executed by September 30, 1998, the amount provided in this subsection shall lapse.

(25) (($730,000 of the health professions account appropriation is provided solely for the purposes of the impaired physician program. If Second Substitute House Bill No. 1618 (impaired physician program) or substantially similar legislation is enacted by June 30, 1998, the amounts provided in this subsection shall lapse.

~~(26)~~)) $1,000,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for the breast and cervical cancer screening program.

((~~(27)~~)) (26) Within existing resources, the department shall maintain funding support for neurodevelopmental centers and in no case shall that support in fiscal year 1999 be reduced below the total sum awarded by contract to neurodevelopmental centers in fiscal year 1998.

((~~(29)~~)) (27) $300,000 of the general fund‑-state appropriation is provided solely for the implementation of a hepatitis A emergency vaccination program. This entire amount shall be passed through to county health districts that have employed a public education effort and have infection rates in excess of 100 per 100,000 population.

Sec. 218. 1998 c 346 s 220 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF CORRECTIONS

The appropriations to the department of corrections in chapter 454, Laws of 1997, as amended, shall be expended for the programs and in the amounts specified therein. However, after April 1, ((~~1998~~)) 1999, unless specifically prohibited by this act, the department may transfer general fund‑-state appropriations for fiscal year ((~~1998~~)) 1999 between the institutional services and community corrections programs after approval by the director of the office of financial management. The director of the office of financial management shall notify the appropriate fiscal committees of the senate and house of representatives in writing prior to approving any deviations from appropriation levels.

(1) ADMINISTRATION AND PROGRAM SUPPORT

General Fund Appropriation (FY 1998)........... $ 13,926,000

General Fund Appropriation (FY 1999)........... $ 13,910,000

Violence Reduction and Drug Enforcement Account

Appropriation.............................. $ 500,000

TOTAL APPROPRIATION................. $ 28,336,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $187,000 of the general fund fiscal year 1998 appropriation and $155,000 of the general fund fiscal year 1999 appropriation are provided solely for implementation of Substitute Senate Bill No. 5759 (risk classification). If the bill is not enacted by July 1, 1997, the amounts provided shall lapse.

(b) $500,000 of the violence reduction and drug enforcement account appropriation is provided solely for a feasibility study regarding the replacement of the department's offender based tracking system. This appropriation is conditioned on the department satisfying the requirements of section 902, chapter 149, Laws of 1997.

(2) INSTITUTIONAL SERVICES

General Fund‑-State Appropriation (FY 1998).... $ 289,665,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~303,830,000~~))

306,872,000

General Fund‑-Federal Appropriation............. $.................................. 18,097,000

Industrial Insurance Premium Rebate Account

Appropriation.............................. $ 673,000

Violence Reduction and Drug Enforcement Account

Appropriation.............................. $ 1,614,000

TOTAL APPROPRIATION................. $ ((~~613,879,000~~))

616,921,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) The department shall provide funding for the pet partnership program at the Washington corrections center for women at a level at least equal to that provided in the 1995-97 biennium.

(b) $3,978,000 of the general fund‑-state fiscal year 1998 appropriation and $5,381,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for the criminal justice costs associated with the implementation of Engrossed Third Substitute House Bill No. 3900 (revising the juvenile code). If Engrossed Third Substitute House Bill No. 3900 is not enacted by June 30, 1997, the amounts provided shall lapse.

(c) The department of corrections shall accomplish personnel reductions with the least possible impact on correctional custody staff, community custody staff, and correctional industries. For the purposes of this subsection, correctional custody staff means employees responsible for the direct supervision of offenders.

(d) $296,000 of the general fund‑-state appropriation for fiscal year 1998 and $297,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely to increase payment rates for contracted education providers. It is the legislature's intent that these amounts shall be used primarily to increase compensation for persons employed in direct, front-line service delivery.

(e) The department may expend funds generated by contractual agreements entered into for mitigation of severe overcrowding in local jails. If any funds are generated in excess of actual costs, they shall be deposited in the state general fund. Expenditures shall not exceed revenue generated by such agreements and shall be treated as recovery of costs.

(f) $70,000 of the general fund‑‑state fiscal year 1999 appropriation is provided solely for the implementation of Senate Bill No. 6139 (amphetamine crimes). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(g) $36,000 of the general fund‑‑state fiscal year 1999 appropriation is provided solely for the implementation of House Bill No. 1172 (sex offender registration). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(h) $8,000 of the general fund‑‑state fiscal year 1999 appropriation is provided solely for the implementation of House Bill No. 2628 (methamphetamine manufacture). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(3) COMMUNITY CORRECTIONS

General Fund Appropriation (FY 1998)....... ... $ 88,830,000

General Fund Appropriation (FY 1999)........... $ 90,670,000

TOTAL APPROPRIATION................. $ 179,500,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $27,000 of the general fund fiscal year 1998 appropriation and $185,000 of the general fund fiscal year 1999 appropriation are provided solely for the criminal justice costs associated with the implementation of Engrossed Third Substitute House Bill No. 3900 (revising the juvenile code). If Engrossed Third Substitute House Bill No. 3900 is not enacted by June 30, 1997, the amounts provided shall lapse.

(b) The department of corrections shall accomplish personnel reductions with the least possible impact on correctional custody staff, community custody staff, and correctional industries. For the purposes of this subsection, correctional custody staff means employees responsible for the direct supervision of offenders.

(c) $467,000 of the general fund appropriation for fiscal year 1998 and $505,000 of the general fund appropriation for fiscal year 1999 are provided solely to increase payment rates for contracted education providers and contracted work release facilities. It is the legislature's intent that these amounts shall be used primarily to increase compensation for persons employed in direct, front-line service delivery.

(d) $45,000 of the general fund‑‑state fiscal year 1999 appropriation is provided solely for the implementation of Substitute Senate Bill No. 5760 (mentally ill offenders). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(e) $609,000 of the general fund‑‑state fiscal year 1998 appropriation and $226,000 of the general fund‑‑state fiscal year 1999 appropriation are provided solely for costs associated with allowing community corrections officers to carry firearms.

(4) CORRECTIONAL INDUSTRIES

General Fund Appropriation (FY 1998)................ $ 4,055,000

General Fund Appropriation (FY 1999)................ $ 4,167,000

TOTAL APPROPRIATION...................... $ 8,222,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $100,000 of the general fund fiscal year 1998 appropriation and $100,000 of the general fund fiscal year 1999 appropriation are provided solely for transfer to the jail industries board. The board shall use the amounts provided only for administrative expenses, equipment purchases, and technical assistance associated with advising cities and counties in developing, promoting, and implementing consistent, safe, and efficient offender work programs.

(b) $50,000 of the general fund appropriation for fiscal year 1998 and $50,000 of the general fund appropriation for fiscal year 1999 are provided solely for the correctional industries board of directors to hire one staff person, responsible directly to the board, to assist the board in fulfilling its duties.

(5) INTERAGENCY PAYMENTS

General Fund Appropriation (FY 1998)........... $ 6,851,000

General Fund Appropriation (FY 1999)........... $ ((~~6,538,000~~))

6,788,000

TOTAL APPROPRIATION................. $ ((~~13,389,000~~))

13,639,000

Sec. 219. 1998 c 346 s 222 (uncodified) is amended to read as follows:

FOR THE EMPLOYMENT SECURITY DEPARTMENT

General Fund‑-State Appropriation (FY 1998).... $ 1,260,000

General Fund‑-State Appropriation (FY 1999).... $ 1,261,000

General Fund‑-Federal Appropriation............. $.................................. ((~~198,628,000~~))

178,472,000

General Fund‑-Private/Local Appropriation...... $ 28,650,000

Unemployment Compensation Administration Account‑-

Federal Appropriation...................... $ 182,312,000

Administrative Contingency Account

Appropriation.............................. $ 13,527,000

Employment Service Administrative Account

Appropriation.............................. $ 14,500,000

Employment & Training Trust Account

Appropriation.............................. $ 600,000

TOTAL APPROPRIATION................. $ ((~~440,738,000~~))

420,582,000

The appropriations in this section are subject to the following conditions and limitations:

(1) Expenditures of funds appropriated in this section for the information systems projects identified in agency budget requests as "claims and adjudication call centers", "data/wage quality initiative", and "one stop information connectivity" are conditioned upon compliance with section 902 of this act.

(2) $600,000 of the employment and training trust account appropriation is provided solely for the account's share of unemployment insurance tax collection costs.

(3) $1,126,000 of the general fund‑-federal appropriation is provided solely for the continuation of job placement centers colocated on community and technical college campuses.

(4) The employment security department shall spend no more than $25,049,511 of the unemployment compensation administration account‑-federal appropriation for the general unemployment insurance development effort (GUIDE) project, except that the department may exceed this amount by up to $2,600,000 to offset the cost associated with any vendor-caused delay. The additional spending authority is contingent upon the department fully recovering these moneys from any project vendors failing to perform in full. Authority to spend the amount provided by this subsection is conditioned on compliance with section 902 of this act.

(5) $60,000 of the general fund‑-state fiscal year 1998 appropriation and $61,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for the King county reemployment support center.

(6) $1,200,000 of the general fund‑-state fiscal year 1998 appropriation and $1,200,000 of the general fund‑-state fiscal year 1999 appropriation are provided solely for labor market information and employer outreach activities.

(7) $948,000 of the administrative contingency account appropriation and $838,000 of the employment service administrative account appropriation are provided solely for the department to evaluate the tax determination system compared to other systems, improve the disclosure of information on the employer rate notice, and address deficiencies in the tax information system (TAXIS).

((~~(10)~~)) (8) $327,000 of the unemployment compensation administration account‑-federal appropriation and $486,000 of the employment service administrative account appropriation are provided solely for the department to replace field office computers that are not compliant with Year 2000 conversion standards.

(End of part)

PART III

NATURAL RESOURCES

Sec. 301. 1998 c 346 s 302 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF ECOLOGY

General Fund‑-State Appropriation

(FY 1998)............................. $ ((~~26,013,000~~))

23,513,000

General Fund‑-State Appropriation

(FY 1999)............................. $ ((~~25,860,000~~))

23,351,000

General Fund‑-Federal Appropriation........ $.................................. ((~~46,240,000~~))

46,232,000

General Fund‑-Private/Local Appropriation. $ 1,200,000

Special Grass Seed Burning Research Account

Appropriation........................ $ 71,000

Reclamation Revolving Account

Appropriation......................... $ 2,441,000

Flood Control Assistance Account

Appropriation......................... $ 4,850,000

State Emergency Water Projects Revolving Account

Appropriation......................... $ 319,000

Waste Reduction/Recycling/Litter Control

Appropriation......................... $ 10,316,000

State and Local Improvements Revolving Account

(Waste Facilities) Appropriation...... $ 601,000

State and Local Improvements Revolving Account

(Water Supply Facilities)

Appropriation......................... $ 1,366,000

Basic Data Account Appropriation.......... $ 182,000

Vehicle Tire Recycling Account

Appropriation......................... $ ((~~357,000~~))

401,000

Water Quality Account Appropriation........ $.................................. 2,892,000

Wood Stove Education and Enforcement Account

Appropriation......................... $ 848,000

Worker and Community Right-to-Know Account

Appropriation......................... $ 469,000

State Toxics Control Account

Appropriation......................... $ ((~~53,715,000~~))

53,706,000

Local Toxics Control Account

Appropriation......................... $ 4,759,000

Water Quality Permit Account

Appropriation......................... $ 20,378,000

Underground Storage Tank Account

Appropriation......................... $ 2,638,000

Solid Waste Management Account

Appropriation......................... $ 971,000

Hazardous Waste Assistance Account

Appropriation......................... $ 3,615,000

Air Pollution Control Account

Appropriation......................... $ 16,224,000

Oil Spill Administration Account

Appropriation......................... $ 6,998,000

Air Operating Permit Account

Appropriation......................... $ 3,808,000

Freshwater Aquatic Weeds Account

Appropriation......................... $ 1,829,000

Oil Spill Response Account

Appropriation......................... $ 7,078,000

Metals Mining Account Appropriation........ $ 42,000

Water Pollution Control Revolving Account‑-State

Appropriation......................... $ 349,000

Water Pollution Control Revolving Account‑-Federal

Appropriation......................... $ 1,726,000

Biosolids Permit Account Appropriation.... $ 567,000

Environmental Excellence Account

Appropriation......................... $ 247,000

TOTAL APPROPRIATION............. $ ((~~248,969,000~~))

243,987,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $3,211,000 of the general fund‑-state appropriation for fiscal year 1998, $3,211,000 of the general fund‑-state appropriation for fiscal year 1999, $394,000 of the general fund‑-federal appropriation, $2,017,000 of the oil spill administration account, $819,000 of the state toxics control account appropriation, and $3,591,000 of the water quality permit fee account are provided solely for the implementation of the Puget Sound work plan and agency action items DOE-01, DOE-02, DOE-03, DOE-04, DOE-05, DOE-06, DOE-07, DOE-08, and DOE-09.

(2) $2,000,000 of the state toxics control account appropriation is provided solely for the following purposes:

(a) To conduct remedial actions for sites for which there are no potentially liable persons, for which potentially liable persons cannot be found, or for which potentially liable persons are unable to pay for remedial actions; and

(b) To provide funding to assist potentially liable persons under RCW 70.105D.070(2)(d)(xi) to pay for the cost of the remedial actions; and

(c) To conduct remedial actions for sites for which potentially liable persons have refused to conduct remedial actions required by the department; and

(d) To contract for services as necessary to support remedial actions.

(3) $200,000 of the general fund‑-state appropriation for fiscal year 1998 is provided solely for the implementation of Engrossed Substitute House Bill No. 1118 (reopening a water rights claim filing period). If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(4) $3,600,000 of the general fund‑-state appropriation for fiscal year 1998 and $3,600,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the auto emissions inspection and maintenance program. Expenditures of the amounts provided in this subsection are contingent upon a like amount being deposited in the general fund from the auto emission inspection fees in accordance with RCW 70.120.170(4).

(5) $170,000 of the oil spill administration account appropriation is provided solely for implementation of the Puget Sound work plan action item UW-02 through a contract with the University of Washington's Sea Grant program in order to develop an educational program that targets small spills from commercial fishing vessels, ferries, cruise ships, ports, and marinas.

(6) The merger of the office of marine safety into the department of ecology shall be accomplished in a manner that will maintain a priority focus on oil spill prevention, as well as maintain a strong oil spill response capability. The merged program shall be established to provide a high level of visibility and ensure that there shall not be a diminution of the existing level of effort from the merged programs.

(7) The entire environmental excellence account appropriation is provided solely for the implementation of Engrossed Second Substitute House Bill No. 1866 (environmental excellence). If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse. In implementing the bill, the department shall organize the needed expertise to process environmental excellence applications after an application has been received.

(8) $200,000 of the freshwater aquatic weeds account appropriation is provided solely to address saltcedar weed problems.

(9) $4,498,000 of the waste reduction, recycling, and litter control account appropriation is provided for fiscal year 1998 and $5,818,000 is provided for fiscal year 1999 to be expended in the following ratios: Fifty percent for a litter patrol program to employ youth and correctional work crews to remove litter from places that are most visible to the public; twenty percent for grants to local governments for litter cleanup under RCW 70.93.250; and thirty percent for public education and awareness programs and programs to foster local waste reduction and recycling efforts. From the amounts provided in this subsection, the department shall provide $352,000 through an interagency agreement to the department of corrections to hire correctional crews to remove litter in areas that are not accessible to youth crews.

(10) The entire biosolids permit account appropriation is provided solely for implementation of Engrossed Senate Bill No. 5590 (biosolids management). If the bill is not enacted by June 30, 1997, the entire appropriation is null and void.

(11) $29,000 of the general fund‑-state appropriation for fiscal year 1998 and $99,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the implementation of Substitute House Bill No. 1985 (landscape management plans). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(12) $60,000 of the freshwater aquatic weeds account appropriation is provided solely for a grant to the department of fish and wildlife to control and eradicate purple loosestrife using the most cost-effective methods available, including chemical control where appropriate.

(13) $250,000 of the flood control assistance account appropriation is provided solely as a reappropriation to complete the Skokomish valley flood reduction plan. The amount provided in this subsection shall be reduced by the amount expended from this account for the Skokomish valley flood reduction plan during the biennium ending June 30, 1997.

(14) $600,000 of the flood control assistance account appropriation is provided solely to complete flood control projects that were awarded funds during the 1995-97 biennium. These funds shall be spent only to complete projects that could not be completed during the 1995-97 biennium due to delays caused by weather or delays in the permitting process.

(15) $113,000 of the general fund--state appropriation for fiscal year 1998 and $112,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for implementation of Substitute Senate Bill No. 5505 (assistance to water applicants). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(16) $70,000 of the general fund--state appropriation for fiscal year 1998 and $70,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for implementation of Substitute Senate Bill No. 5785 (consolidation of groundwater rights). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(17) $20,000 of the general fund--state appropriation for fiscal year 1998 and $20,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for implementation of Substitute Senate Bill No. 5276 (water right applications). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(18) $500,000 of the general fund‑-state appropriation for fiscal year 1998 and $500,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the continuation of the southwest Washington coastal erosion study.

((~~(21)~~)) (19) $195,000 of the underground storage tank account appropriation is provided solely for the implementation of Substitute Senate Bill No. 6130 (underground storage tanks). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

((~~(22)~~)) (20) $417,000 of the local toxics control account appropriation is provided solely to implement Substitute Senate Bill No. 6474 (fertilizer regulation). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

((~~(23)~~)) (21) Using up to $19,000 of the special grass seed burning research account appropriation the department shall provide funding to Washington State University to conduct a grass burning emissions study.

((~~(24)~~)) (22) Within the amounts provided in this section, the department shall conduct a demonstration project on the effectiveness of the state-registered herbicide "Navigate" for the control of Eurasian water milfoil in Loon Lake in Stevens county. The department shall provide a grant to the Stevens county weed board to cover fifty percent of the cost of application of the herbicide. A local match of fifty percent of the cost of application of the herbicide is required. Permits and approvals necessary to implement the demonstration project may be conditioned by the department to protect public health and the environment, but approval may not be withheld.

((~~(25)~~)) (23) Within the amounts provided in this section, the department shall provide funds to Yakima county superior court for staff and associated costs to support the Yakima river basin water rights adjudication.

Sec. 302. 1998 c 346 s 304 (uncodified) is amended to read as follows:

FOR THE STATE PARKS AND RECREATION COMMISSION

General Fund‑-State Appropriation (FY 1998).... $ 20,489,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~20,595,000~~))

20,589,000

General Fund‑-Federal Appropriation............. $.................................. 3,122,000

General Fund‑-Private/Local Appropriation...... $ 59,000

Winter Recreation Program Account

Appropriation.............................. $ ((~~779,000~~))

759,000

Off Road Vehicle Account Appropriation......... $ 251,000

Snowmobile Account Appropriation............... $ ((~~3,260,000~~))

3,240,000

Aquatic Lands Enhancement Account Appropriation $ 321,000

Public Safety and Education Account

Appropriation.............................. $ 48,000

Industrial Insurance Premium Refund

Appropriation.............................. $ 10,000

Waste Reduction/Recycling/Litter Control

Appropriation.............................. $ 34,000

Water Trail Program Account Appropriation...... $ 14,000

Parks Renewal and Stewardship Account

Appropriation.............................. $ ((~~25,894,000~~))

25,871,000

TOTAL APPROPRIATION................. $ ((~~74,876,000~~))

74,807,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $189,000 of the aquatic lands enhancement account appropriation is provided solely for the implementation of the Puget Sound work plan agency action items P&RC-01 and P&RC-03.

(2) $264,000 of the general fund--federal appropriation is provided for boater programs state-wide and for implementation of the Puget Sound work plan.

(3) $45,000 of the general fund‑-state appropriation for fiscal year 1998 is provided solely for a feasibility study of a public/private effort to establish a reserve for recreation and environmental studies in southwest Kitsap county.

(4) Within the funds provided in this section, the state parks and recreation commission shall provide to the legislature a status report on implementation of the recommendations contained in the 1994 study on the restructuring of Washington state parks. This status report shall include an evaluation of the campsite reservation system including the identification of any incremental changes in revenues associated with implementation of the system and a progress report on other enterprise activities being undertaken by the commission. The report may also include recommendations on other revenue generating options. In preparing the report, the commission is encouraged to work with interested parties to develop a long-term strategy to support the park system. The commission shall provide this report by December 1, 1997.

(5) $48,000 of the general fund‑-state appropriation for fiscal year 1998 and $202,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for development of underwater park programs and facilities. The department shall work with the underwater parks program task force to develop specific plans for the use of these funds.

(6) Fees approved by the state parks and recreation commission in 1997 for camping, snow parks, wood debris collection, and Fort Worden state park are authorized to exceed the fiscal growth factor under RCW 43.135.055.

(((7) $20,000 of the winter recreation program account appropriation and $20,000 of the snowmobile account appropriation are provided solely for a grant for the operation of the Northwest avalanche center.))

Sec. 303. 1998 c 346 s 307 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF FISH AND WILDLIFE

General Fund‑-State Appropriation (FY 1998).... $ 35,857,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~44,998,000~~))

45,585,000

General Fund‑-Federal Appropriation............. $.................................. ((~~75,037,000~~))

74,989,000

General Fund‑-Private/Local Appropriation...... $ 26,983,000

Off Road Vehicle Account Appropriation......... $ 488,000

Aquatic Lands Enhancement Account

Appropriation.............................. $ 5,593,000

Public Safety and Education Account

Appropriation.............................. $ 586,000

Industrial Insurance Premium Refund

Appropriation.............................. $ 120,000

Recreational Fisheries Enhancement

Appropriation.............................. $ ((~~2,387,000~~))

2,787,000

Warm Water Game Fish Account Appropriation..... $ 2,419,000

Wildlife Account Appropriation.................. $............................. ((~~44,122,000~~))

46,174,000

Game Special Wildlife Account‑-State

Appropriation.............................. $ 1,911,000

Game Special Wildlife Account‑-Federal

Appropriation.............................. $ 10,844,000

Game Special Wildlife Account‑-Private/Local

Appropriation.............................. $ 350,000

Oil Spill Administration Account Appropriation. $ 843,000

Environmental Excellence Account Appropriation. $ 20,000

Eastern Washington Pheasant Enhancement Account

Appropriation.............................. $ 547,000

Regional Fisheries Enhancement--Federal

Appropriation.............................. $ 750,000

TOTAL APPROPRIATION................. $ ((~~253,855,000~~))

256,846,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $1,181,000 of the general fund‑-state appropriation for fiscal year 1998 and $1,181,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the implementation of the Puget Sound work plan agency action items DFW-01, DFW-03, DFW-04, and DFW-8 through DFW-15.

(2) $188,000 of the general fund‑-state appropriation for fiscal year 1998 and $155,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for a maintenance and inspection program for department-owned dams. The department shall submit a report to the governor and the appropriate legislative committees by October 1, 1998, on the status of department-owned dams. This report shall provide a recommendation, including a cost estimate, on whether each facility should continue to be maintained or should be decommissioned.

(3) $832,000 of the general fund‑-state appropriation for fiscal year 1998 and $825,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely to implement salmon recovery activities and other actions required to respond to federal listings of salmon species under the endangered species act.

(4) $350,000 of the wildlife account appropriation, $72,000 of the general fund--state appropriation for fiscal year 1998, and $73,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for control and eradication of class B designate weeds on department owned and managed lands. The amounts from the general fund‑-state appropriations are provided solely for control of spartina.

(5) $140,000 of the wildlife account appropriation is provided solely for a cooperative effort with the department of agriculture for research and eradication of purple loosestrife on state lands.

(6) In controlling weeds on state-owned lands, the department shall use the most cost-effective methods available, including chemical control where appropriate, and the department shall report to the appropriate committees of the legislature by January 1, 1998, on control methods, costs, and acres treated during the previous year.

(7) $193,000 of the general fund--state appropriation for fiscal year 1998, $194,000 of the general fund--state appropriation for fiscal year 1999, and $300,000 of the wildlife account appropriation are provided solely for the design and development of an automated license system.

(8) The department is directed to offer for sale its Cessna 421 aircraft by June 30, 1998. Proceeds from the sale shall be deposited in the wildlife account.

(9) $500,000 of the general fund‑-state appropriation for fiscal year 1998 and $500,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely to continue the department's habitat partnerships program during the 1997-99 biennium.

(10) $350,000 of the general fund--state appropriation for fiscal year 1998 and $350,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for purchase of monitoring equipment necessary to fully implement mass marking of coho salmon.

(11) $238,000 of the general fund‑-state appropriation for fiscal year 1998 and $219,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the implementation of Substitute House Bill No. 1985 (landscape management plans). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(12) $150,000 of the general fund--state appropriation for fiscal year 1998 and $150,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for a contract with the United States department of agriculture to carry out animal damage control projects throughout the state related to cougars, bears, and coyotes.

(13) $97,000 of the general fund--state appropriation for fiscal year 1998 and $98,000 of the general fund--state appropriation for fiscal year 1999 are provided solely to implement animal damage control programs for Canada geese in the lower Columbia river basin.

(14) $170,000 of the general fund--state appropriation for fiscal year 1998, $170,000 of the general fund--state appropriation for fiscal year 1999, and $360,000 of the wildlife account appropriation are provided solely to hire additional enforcement officers to address problem wildlife throughout the state.

(15) $133,000 of the general fund--state appropriation for fiscal year 1998 and $133,000 of the general fund--state appropriation for fiscal year 1999 are provided solely to implement Substitute Senate Bill No. 5442 (flood control permitting). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(16) $100,000 of the aquatic lands enhancement account appropriation is provided solely for grants to the regional fisheries enhancement groups.

(17) $547,000 of the eastern Washington pheasant enhancement account appropriation is provided solely for implementation of Substitute Senate Bill No. 5104 (pheasant enhancement program). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(18) $150,000 of the general fund--state appropriation for fiscal year 1998 and $150,000 of the general fund--state appropriation for fiscal year 1999 are provided solely to hire Washington conservation corps crews to maintain department-owned and managed lands.

(19) The entire environmental excellence account appropriation is provided solely for implementation of Engrossed Second Substitute House Bill No. 1866 (environmental excellence). If the bill is not enacted by June 30, 1997, the entire appropriation is null and void.

(20) $156,000 of the recreational fisheries enhancement appropriation is provided solely for Substitute Senate Bill No. 5102 (fishing license surcharge). If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(21) $25,000 of the general fund‑-state appropriation for fiscal year 1998 and $25,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for staffing and operation of the Tennant Lake interpretive center.

(22) It is the intent of the legislature that, within the general fund‑-state appropriations provided in this section, the department shall prioritize its resources to provide expedited assistance to businesses seeking permitting and technical assistance for rural economic development projects.

(23) $750,000 of the regional fisheries enhancement‑-federal appropriation is provided solely for the regional fisheries enhancement groups. The amount in this section may be spent for project identification, design, permitting, and implementation; volunteer coordination; and administrative costs as approved under RCW 75.50.100 and 75.50.115(1)(d). All amounts not committed to approved project, volunteer coordination, or administrative costs by May 31, 1998, shall be made available to any of the regional fisheries enhancement groups that have submitted project approval requests that exceed their available funding from the regional fisheries enhancement group account and the regional fisheries enhancement salmonid recovery account. Redistribution of the moneys shall be based on the criteria established in RCW 75.50.115(1)(e), and shall ensure to the greatest extent possible that the funds are spent during the 1998 in-stream season.

(24) $700,000 of the general fund--state appropriation for fiscal year 1999 is provided solely for grants to habitat restoration lead entities formed in accordance with sections 7 through 10 of Engrossed Substitute House Bill No. 2496 (salmon recovery planning) for administrative activities and development of habitat-restoration project lists. If any of these sections of the bill are not enacted by June 30, 1998, the amounts provided in this subsection shall lapse. Of this amount, $100,000 is provided as a grant to the regional committee lead entity for administrative activities in the Snake river evolutionarily significant unit.

(25) $50,000 of the general fund--state appropriation for fiscal year 1999 is provided solely for operation of the independent science panel in accordance with section 6 of Engrossed Substitute House Bill No. 2496 (salmon recovery planning). If this section of the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(26) $450,000 of the general fund--state appropriation for fiscal year 1999 is provided solely for fish passage technical assistance to local governments, volunteer groups, and regional fisheries enhancement groups in accordance with Engrossed Substitute House Bill No. 2496 (salmon recovery planning). The department shall also contract with the department of transportation to train staff at the department of transportation to become proficient in providing fish passage technical assistance. If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(27) $250,000 of the general fund--state appropriation for fiscal year 1999 is provided solely for excessive deer and elk damage claims.

(28) $393,000 of the general fund--state appropriation for fiscal year 1999 is provided solely for the implementation of Substitute Senate Bill No. 6324 (fish remote site incubators). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(29) $1,000,000 of the general fund--state appropriation for fiscal year 1999, $400,000 of the general fund--federal appropriation, and $225,000 of the general fund--local appropriation are provided solely to contract for the mass marking of all appropriate state-wide department chinook salmon hatchery production in accordance with Second Substitute Senate Bill No. 6264 (chinook salmon mass marking). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(30) $3,500,000 of the general fund--state appropriation for fiscal year 1999 is provided solely for salmon restoration projects funded according to sections 7 through 10 of Second Substitute House Bill No. 2496 (salmon recovery planning). Of this amount, $500,000 is provided solely for a block grant to the conservation districts located in the Snake river evolutionarily significant unit for habitat restoration projects. If any of these sections of the bill are not enacted by June 30, 1998, the amounts provided in this subsection shall lapse.

(31) $1,170,000 of the general fund--state appropriation for fiscal year 1999 and $3,500,000 of the general fund--federal appropriation are provided solely to implement a license buy-back program for commercial fishing licenses.

(32) $5,000 of the general fund‑-state appropriation for fiscal year 1998 and $40,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for implementation of Substitute Senate Bill No. 6114 (nonindigenous aquatic species). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(33) $1,000,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for purchasing computer equipment to support implementation of Second Substitute Senate Bill No. 6330 (fish and wildlife licenses). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(34) $506,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for improvements to information management systems and business practices within the agency.

Sec. 304. 1998 c 346 s 308 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF NATURAL RESOURCES

General Fund‑-State Appropriation (FY 1998).... $ 23,767,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~24,410,000~~))

31,105,000

General Fund‑-Federal Appropriation............. $.................................. 1,156,000

General Fund‑-Private/Local Appropriation...... $ 422,000

Forest Development Account Appropriation........ $...................................... ((~~49,963,000~~))

49,923,000

Off Road Vehicle Account Appropriation......... $ 3,628,000

Surveys and Maps Account Appropriation......... $ 2,088,000

Aquatic Lands Enhancement Account

Appropriation.............................. $ 4,869,000

Resource Management Cost Account

Appropriation.............................. $ ((~~89,769,000~~))

89,734,000

Waste Reduction/Recycling/Litter Control

Appropriation.............................. $ 450,000

Surface Mining Reclamation Account

Appropriation.............................. $ 1,420,000

Aquatic Land Dredged Material Disposal Site Account

Appropriation.............................. $ 751,000

Natural Resources Conservation Areas Stewardship

Account Appropriation...................... $ 77,000

Air Pollution Control Account Appropriation.... $ 890,000

Metals Mining Account Appropriation............. $ 62,000

TOTAL APPROPRIATION................. $ ((~~204,472,000~~))

210,342,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $7,017,000 of the general fund‑-state appropriation for fiscal year 1998 and ((~~$6,900,000~~)) $13,290,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for emergency fire suppression.

(2) $18,000 of the general fund‑-state appropriation for fiscal year 1998, $18,000 of the general fund‑-state appropriation for fiscal year 1999, and $957,000 of the aquatic lands enhancement account appropriation are provided solely for the implementation of the Puget Sound work plan agency action items DNR-01, DNR-02, and DNR-04.

(3) $380,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for updating forest practices rules and for replacing the mapping application planning system.

(4) $450,000 of the resource management cost account appropriation is provided solely for the control and eradication of class B designate weeds on state lands. The department shall use the most cost-effective methods available, including chemical control where appropriate, and report to the appropriate committees of the legislature by January 1, 1998, on control methods, costs, and acres treated during the previous year.

((~~(4)~~)) (5) $1,332,000 of the general fund‑-state appropriation for fiscal year 1998 and $1,713,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for fire protection activities.

((~~(5)~~)) (6) $541,000 of the general fund‑-state appropriation for fiscal year 1998 and $549,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the stewardship of natural area preserves, natural resource conservation areas, and the operation of the natural heritage program.

((~~(6)~~)) (7) $2,300,000 of the aquatic lands enhancement account appropriation is provided for the department's portion of the Eagle Harbor settlement.

((~~(7)~~)) (8) $195,000 of the general fund‑-state appropriation for fiscal year 1998 and $220,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the implementation of Substitute House Bill No. 1985 (landscape management plans). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

((~~(8)~~)) (9) $600,000 of the general fund‑-state appropriation for fiscal year 1998 and $600,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for the cooperative monitoring, evaluation, and research projects related to implementation of the timber-fish-wildlife agreement.

((~~(9)~~)) (10) $6,568,000 of the forest development account appropriation is provided solely for silviculture activities on forest board lands. To the extent that forest board counties apply for reconveyance of lands pursuant to Substitute Senate Bill No. 5325 (county land transfers), the amount provided in this subsection shall be reduced by an amount equal to the estimated silvicultural expenditures planned in each county that applies for reconveyance.

((~~(12)~~)) (11) $71,000 of the resource management cost account appropriation is provided solely for a study of the current method for determining water-dependent rents in accordance with Second Substitute Senate Bill No. 6156 (state aquatic lands leases). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

((~~(13)~~)) (12) $117,000 of the general fund--state appropriation for fiscal year 1999 is provided solely for a geographic information systems inventory of Washington sand, gravel, and construction rock resources.

((~~(14)~~)) (13) $50,000 of the resource management cost account appropriation is provided solely for a field study of biological control methods for eradication of spartina.

((~~(15)~~)) (14) $50,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for a study of potential finfish net-pen aquaculture sites in the Strait of Juan de Fuca and along the Pacific coast.

(End of part)

PART IV

TRANSPORTATION

Sec. 401. 1998 c 346 s 401 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF LICENSING

General Fund Appropriation (FY 1998)........... $ 4,686,000

General Fund Appropriation (FY 1999)........... $ 4,717,000

Architects' License Account Appropriation...... $ 829,000

Cemetery Account Appropriation.................. $ 197,000

Professional Engineers' Account Appropriation... $........................................... 2,700,000

Real Estate Commission Account Appropriation... $ 7,062,000

Master License Account Appropriation........... $ 6,963,000

Uniform Commercial Code Account Appropriation... $........................................... 3,521,000

Real Estate Education Account Appropriation.... $ 606,000

Funeral Directors And Embalmers Account

Appropriation.............................. $ 418,000

TOTAL APPROPRIATION................. $ 31,699,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $21,000 of the general fund fiscal year 1998 appropriation and $22,000 of the general fund fiscal year 1999 appropriation are provided solely to implement House Bill No. 1827 or Senate Bill No. 5754 (boxing, martial arts, wrestling). If neither bill is enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(2) $40,000 of the master license account appropriation is provided solely to implement Substitute Senate Bill No. 5483 (whitewater river outfitters). If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(3) $229,000 of the general fund fiscal year 1998 appropriation and $195,000 of the general fund fiscal year 1999 appropriation are provided solely for the implementation of Senate Bill No. 5997 (cosmetology inspections). If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(4) $31,000 of the general fund fiscal year 1998 appropriation, $1,000 of the general fund fiscal 1999 appropriation, $7,000 of the architects' license account appropriation, $18,000 of the professional engineers' account appropriation, $14,000 of the real estate commission account appropriation, $40,000 of the master license account appropriation, and $3,000 of the funeral directors and embalmers account appropriation are provided solely for the implementation of Engrossed House Bill No. 3901 (implementing welfare reform). If the bill is not enacted by June 30, 1997, the amounts provided in this subsection shall lapse.

(5) $17,000 of the professional engineers' account appropriation is provided solely to implement Senate Bill No. 5266 (engineers/land surveyors). If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(6) $110,000 of the general fund fiscal year 1998 appropriation is provided solely to implement Senate Bill No. 5998 (cosmetology advisory board). If the bill is not enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(7) $11,000 of the general fund fiscal year 1998 appropriation and $2,000 of the general fund fiscal year 1999 appropriation are provided solely to implement Substitute House Bill No. 1748 or Substitute Senate Bill No. 5513 (vessel registration). If neither bill is enacted by June 30, 1997, the amount provided in this subsection shall lapse.

(8)(a) Pursuant to RCW 43.135.055, during the 1997-99 fiscal biennium, the department may increase fees in excess of the fiscal growth factor in the appraisers and camp resorts programs; however, such increases shall not exceed an annual increase of eight percent.

(b) Pursuant to RCW 43.135.055, during the 1997-99 fiscal biennium, the department may increase fees in excess of the fiscal growth factor in the professional athletics, employment agencies, and security guards programs to the extent necessary to defray the costs of the administration of these programs as set forth in RCW 43.24.086.

(c) Before raising fees in excess of the fiscal growth factor pursuant to this subsection, the department shall notify the chairs and ranking minority members of the appropriate fiscal committees of the legislature.

(9) Within the amounts provided in this section, the department shall provide information detailing each specific component of the overhead costs allocated to each program within the business and professions division. The department shall establish procedures to allow each program within the business and professions division to review and modify its business processes in order to reduce administrative costs. The department of licensing shall provide a report to the fiscal committees of the legislature by October 1, 1998, detailing the specific procedures established pursuant to the requirements of this subsection.

(10) $110,000 of the general fund fiscal year 1999 appropriation is provided solely for the implementation of the Substitute Senate Bill No. 6507 (cosmetology advisory board). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(11) $75,000 of the general fund fiscal year 1999 appropriation is provided solely for costs associated with fully implementing chapter 178, Laws of 1997 (cosmetology inspections).

Sec. 402. 1998 c 346 s 402 (uncodified) is amended to read as follows:

FOR THE STATE PATROL

General Fund--State Appropriation (FY 1998).... $ 8,312,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~21,791,000~~))

21,859,000

General Fund‑-Federal Appropriation............. $.................................. 5,784,000

General Fund‑-Private/Local Appropriation...... $ 341,000

Public Safety and Education Account

Appropriation.............................. $ 4,483,000

County Criminal Justice Assistance Account

Appropriation.............................. $ 3,905,000

Municipal Criminal Justice Assistance Account

Appropriation.............................. $ 1,573,000

Fire Service Trust Account Appropriation........ $ 92,000

Fire Service Training Account Appropriation.... $ 2,295,000

State Toxics Control Account Appropriation..... $ 439,000

Violence Reduction and Drug Enforcement Account

Appropriation.............................. $ 570,000

Fingerprint Identification Account

Appropriation.............................. $ 3,220,000

TOTAL APPROPRIATION................. $ ((~~52,805,000~~))

52,873,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $254,000 of the fingerprint identification account appropriation is provided solely for an automated system that will facilitate the access of criminal history records remotely by computer or telephone for preemployment background checks and other non-law enforcement purposes. The agency shall submit an implementation status report to the office of financial management and the legislature by September 1, 1997.

(2) $264,000 of the general fund‑-federal appropriation is provided solely for a feasibility study to develop a criminal investigation computer system. The study will report on the feasibility of developing a system that uses incident-based reporting as its foundation, consistent with FBI standards. The system will have the capability of connecting with local law enforcement jurisdictions as well as fire protection agencies conducting arson investigations. The study will report on the system requirements for incorporating case management, intelligence data, imaging, and geographic information. The system will also provide links to existing crime information databases such as WASIS and WACIC. The agency shall submit a copy of the proposed study workplan to the office of financial management and the department of information services for approval prior to expenditure. A final report shall be submitted to the appropriate committees of the legislature, the office of financial management, and the department of information services no later than June 30, 1998.

(3) Pursuant to chapter 43.135 RCW, during the 1997-99 fiscal biennium, the Washington state patrol is authorized to raise existing fees charged for background fingerprint checks on current and potential school district and educational service district employees by six dollars.

(4) $166,000 of the general fund--state appropriation for fiscal year 1998 and $499,000 of the general fund--state appropriation for fiscal year 1999 are provided solely as state matching funds required to complete changes to the WACIC and WASIS systems.

(5) To address year 2000 concerns about the automated fingerprint identification system (AFIS), the Washington state patrol may contract with an intergovernmental consortium for the use of a year 2000 compatible AFIS system. Under this approach, the state patrol would begin paying a monthly usage fee starting in fiscal year 2000.

(6) $58,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely to implement House Bill No. 1172 (sex offender registration). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(End of part)

PART V

EDUCATION

Sec. 501. 1998 c 346 s 502 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-FOR STATE ADMINISTRATION

General Fund‑-State Appropriation (FY 1998).... $ 20,423,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~58,171,000~~))

58,298,000

General Fund‑-Federal Appropriation............. $.................................. 49,439,000

Public Safety and Education Account

Appropriation.............................. $ 2,598,000

Violence Reduction and Drug Enforcement Account

Appropriation.............................. $ 3,672,000

Education Savings Account Appropriation........ $ 39,312,000

TOTAL APPROPRIATION................. $ ((~~173,615,000~~))

173,742,000

The appropriations in this section are subject to the following conditions and limitations:

(1) AGENCY OPERATIONS

(a) $394,000 of the general fund‑-state appropriation for fiscal year 1998 and $394,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for the operation and expenses of the state board of education, including basic education assistance activities.

(b)(i) $250,000 of the general fund‑-state appropriation for fiscal year 1998 and $250,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for enhancing computer systems and support in the office of superintendent of public instruction. These amounts shall be used to: Make a database of school information available electronically to schools, state government, and the general public; reduce agency and school district administrative costs through more effective use of technology; and replace paper reporting and publication to the extent feasible with electronic media. The superintendent, in cooperation with the commission on student learning, shall develop a state student record system including elements reflecting student achievement. The system shall be made available to the office of financial management and the legislature with suitable safeguards of student confidentiality. The superintendent shall report to the office of financial management and the legislative fiscal committees by December 1 of each year of the biennium on the progress and plans for the expenditure of these amounts.

(ii) The superintendent, in cooperation with the commission on student learning, shall develop a feasibility plan for a state student record system, including elements reflecting student academic achievement on goals 1 and 2 under RCW 28A.150.210. The feasibility plan shall be made available to the office of financial management and the fiscal and education committees of the legislature for approval before a student records database is established, and shall identify data elements to be collected and suitable safeguards of student confidentiality and proper use of database records, with particular attention to eliminating unnecessary and intrusive data about nonacademic related information.

(c) $348,000 of the public safety and education account appropriation is provided solely for administration of the traffic safety education program, including in-service training related to instruction in the risks of driving while under the influence of alcohol and other drugs.

(d) $50,000 of the general fund--state appropriation for fiscal year 1998 and $50,000 of the general fund--state appropriation for fiscal year 1999 are provided solely to implement Substitute Senate Bill No. 5394 (school audit resolutions).

(e) The superintendent shall conduct a study and make recommendations to the 1999 legislature regarding a definition of and standards for skills centers. The standards shall be related to the cost differential of skills centers as compared to secondary vocational education allocations provided in the appropriations act and other relevant factors. The study shall also address proposals for new skills centers known as of August 31, 1998, and compare and analyze, insofar as possible, the proposals with the recommended standards. The study shall be submitted to the governor and the appropriate committees of the legislature by November 25, 1998.

(f) The superintendent shall prepare a study which compares the state's administrative and statutory requirements to provide special education with the requirements of federal law. A preliminary report shall be provided to the policy and fiscal committees of the legislature by October 15, 1998, and a final report shall be provided by December 15, 1998.

(2) STATE-WIDE PROGRAMS

(a) $2,174,000 of the general fund‑-state appropriation is provided for in-service training and educational programs conducted by the Pacific Science Center.

(b) $63,000 of the general fund‑-state appropriation is provided for operation of the Cispus environmental learning center.

(c) $2,754,000 of the general fund‑-state appropriation is provided for educational centers, including state support activities. $100,000 of this amount is provided to help stabilize funding through distribution among existing education centers that are currently funded by the state at an amount less than $100,000 a biennium.

(d) $100,000 of the general fund‑-state appropriation is provided for an organization in southwest Washington that received funding from the Spokane educational center in the 1995-97 biennium and provides educational services to students who have dropped out.

(e) $2,148,000 of the general fund--state fiscal year 1998 appropriation and $2,151,000 of the general fund--state fiscal year 1999 appropriation are provided solely for implementation of reading initiatives to improve reading in early grades as enacted by the 1997 legislature. Of this amount, $4,300,000 is provided solely to implement Engrossed Substitute House Bill No. 2042. Funds shall be used solely for the selection and purchase of the second grade reading tests in accordance with section 2 of the bill, scoring costs associated with the administration of the tests in the 1998-99 school year in accordance with section 5 of the bill, and grants to school districts in accordance with sections 4 and 7 of the bill.

(f) $3,672,000 of the violence reduction and drug enforcement account appropriation and $2,250,000 of the public safety education account appropriation are provided solely for matching grants to enhance security in schools. Not more than seventy-five percent of a district's total expenditures for school security in any school year may be paid from a grant under this subsection. The grants shall be expended solely for the costs of employing or contracting for building security monitors in schools during school hours and school events. Of the amount provided in this subsection, at least $2,850,000 shall be spent for grants to districts that, during the 1988-89 school year, employed or contracted for security monitors in schools during school hours. However, these grants may be used only for increases in school district expenditures for school security over expenditure levels for the 1988-89 school year.

(g) $200,000 of the general fund--state appropriation for fiscal year 1998, $200,000 of the general fund‑-state appropriation for fiscal year 1999, and $400,000 of the general fund--federal appropriation transferred from the department of health are provided solely for a program that provides grants to school districts for media campaigns promoting sexual abstinence and addressing the importance of delaying sexual activity, pregnancy, and childbearing until individuals are ready to nurture and support their children. Grants to the school districts shall be for projects that are substantially designed and produced by students. The grants shall require a local private sector match equal to one-half of the state grant, which may include in-kind contribution of technical or other assistance from consultants or firms involved in public relations, advertising broadcasting, and graphics or video production or other related fields.

(h) $1,500,000 of the general fund‑-state appropriation for fiscal year 1998 and $1,500,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for school district petitions to juvenile court for truant students as provided in RCW 28A.225.030 and 28A.225.035. Allocation of this money to school districts shall be based on the number of petitions filed.

(i) $300,000 of the general fund‑-state appropriation is provided for alcohol and drug prevention programs pursuant to RCW 66.08.180.

(j)(i) $19,656,000 of the education savings account appropriation for fiscal year 1998 and $19,656,000 of the education savings account appropriation for fiscal year 1999 are provided solely for matching grants and related state activities to provide school district consortia with programs utilizing technology to improve learning. A maximum of $150,000 each fiscal year of this amount is provided for administrative support and oversight of the K-20 network by the superintendent of public instruction. The superintendent of public instruction shall convene a technology grants committee representing private sector technology, school districts, and educational service districts to recommend to the superintendent grant proposals that have the best plans for improving student learning through innovative curriculum using technology as a learning tool and evaluating the effectiveness of the curriculum innovations. After considering the technology grants committee recommendations, the superintendent shall make matching grant awards, including granting at least fifteen percent of funds on the basis of criteria in (ii)(A) through (C) of this subsection (2)(j).

(ii) Priority for award of funds will be to (A) school districts most in need of assistance due to financial limits, (B) school districts least prepared to take advantage of technology as a means of improving student learning, and (C) school districts in economically distressed areas. The superintendent of public instruction, in consultation with the technology grants committee, shall propose options to the committee for identifying and prioritizing districts according to criteria in (i) and (ii) of this subsection (2)(j).

(iii) Options for review criteria to be considered by the superintendent of public instruction include, but are not limited to, free and reduced lunches, levy revenues, ending fund balances, equipment inventories, and surveys of technology preparedness. An "economically distressed area" is (A) a county with an unemployment rate that is at least twenty percent above the state-wide average for the previous three years; (B) a county that has experienced sudden and severe or long-term and severe loss of employment, or erosion of its economic base resulting in decline of its dominant industries; or (C) a district within a county which (I) has at least seventy percent of its families and unrelated individuals with incomes below eighty percent of the county's median income for families and unrelated individuals; and (II) has an unemployment rate which is at least forty percent higher than the county's unemployment rate.

(k) $50,000 of the general fund--state appropriations is provided as matching funds for district contributions to provide analysis of the efficiency of school district business practices. The superintendent of public instruction shall establish criteria, make awards, and provide a report to the fiscal committees of the legislature by December 15, 1997, on the progress and details of analysis funded under this subsection (2)(k).

(l) $19,797,000 of the general fund--state appropriation for fiscal year 1999 is provided solely for the purchase of classroom instructional materials and supplies. The superintendent shall allocate the funds at a maximum rate of $20.82 per full-time equivalent student, beginning September 1, 1998, and ending June 30, 1999. The expenditure of the funds shall be determined at each school site by the individual teacher. School districts shall distribute all funds received to school buildings without deduction.

(m) $15,000 of the general fund--state appropriation is provided solely to assist local districts vocational education programs in applying for low frequency FM radio licenses with the federal communications commission.

(n) $35,000 of the general fund--state appropriation is provided solely to the state board of education to design a program to encourage high school students and other adults to pursue careers as vocational education teachers in the subject matter of agriculture.

(o) $25,000 of the general fund--state appropriation for fiscal year 1998 and $25,000 of the general fund--state appropriation for fiscal year 1999 are provided solely for allocation to the primary coordinators of the state geographic alliance to improve the teaching of geography in schools.

(p) $1,000,000 of the general fund--state appropriation is provided for state administrative costs and start-up grants for alternative programs and services that improve instruction and learning for at-risk and expelled students consistent with the objectives of Engrossed House Bill No. 1581 (disruptive students/offenders). Each grant application shall contain proposed performance indicators and an evaluation plan to measure the success of the program and its impact on improved student learning. Applications shall contain the applicant's plan for maintaining the program and/or services after the grant period, shall address the needs of students who cannot be accommodated within the framework of existing school programs or services and shall address how the applicant will serve any student within the proposed program's target age range regardless of the reason for truancy, suspension, expulsion, or other disciplinary action. Up to $50,000 per year may be used by the superintendent of public instruction for grant administration. The superintendent shall submit an evaluation of the alternative program start-up grants provided under this section, and section 501(2)(q), chapter 283, Laws of 1996, to the fiscal and education committees of the legislature by November 15, 1998. Grants shall be awarded to applicants showing the greatest potential for improved student learning for at-risk students including:

(i) Students who have been suspended, expelled, or are subject to other disciplinary actions;

(ii) Students with unexcused absences who need intervention from community truancy boards or family support programs;

(iii) Students who have left school; and

(iv) Students involved with the court system.

The office of the superintendent of public instruction shall prepare a report describing student recruitment, program offerings, staffing practices, and available indicators of program effectiveness of alternative education programs funded with state and, to the extent information is available, local funds. The report shall contain a plan for conducting an evaluation of the educational effectiveness of alternative education programs.

(q) $1,600,000 of the general fund‑-state appropriation is provided for grants for magnet schools to be distributed as recommended by the superintendent of public instruction pursuant to chapter 232, section 516(13), Laws of 1992.

(r) $4,300,000 of the general fund‑-state appropriation is provided for complex need grants. Grants shall be provided according to amounts shown in LEAP Document 30C as developed on April 27, 1997, at 03:00 hours.

(s) $17,000,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely to implement Engrossed Second Substitute Senate Bill No. 6509 (successful readers act). Of this amount, $9,000,000 is provided solely for beginning reading instructional programs pursuant to section 2(1) of the bill and $8,000,000 is provided solely for volunteer tutor and mentor programs pursuant to section 2(2) of the bill. The superintendent shall notify districts of the availability of the funds by April 15th, 1998, and shall include in the notification limitations on rates for stipends and other cost factors. Stipends authorized under section 2(5) of the bill shall not exceed five days per program at a rate not to exceed $222 per five-hour day, including fringe benefits. The superintendent shall establish allocation guidelines for other cost factors associated with providing the programs. If the bill is not enacted by June 30, 1998, the amounts provided in this subsection shall lapse.

(t) $15,000 of the general fund‑-state appropriation for fiscal year 1998 and $100,000 of the general fund‑-state appropriation for fiscal year 1999 are provided solely for a study and recommendations related to education of offenders prosecuted as adults in accordance with Engrossed Substitute Senate Bill No. 6600 (correctional facilities education program). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(u) $375,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for increased costs of providing a norm-referenced test to all third grade students and retests of certain third grade students and other costs in accordance with Second Substitute House Bill No. 2849 (student achievement). If the bill is not enacted by June 30, 1998, the amount provided in this subsection shall lapse.

(v) $50,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely for development and operation of a skills center in Port Angeles, contingent on meeting the standard for qualifying for skills center funding as developed by the superintendent of public instruction in subsection (1)(e) of this section.

(w) $400,000 of the fiscal year 1999 general fund--state appropriation is provided solely for matching funds to improve the fiscal and student data capabilities of the Washington school information processing cooperative. The funds shall be allocated only if at least 267 school districts remain members of the cooperative for the 1998-99 school year.

Sec. 502. 1998 c 346 s 503 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-FOR GENERAL APPORTIONMENT (BASIC EDUCATION)

General Fund Appropriation (FY 1998)........... $ 3,405,645,000

General Fund Appropriation (FY 1999)........... $ ((~~3,473,603,000~~))

3,458,153,000

TOTAL APPROPRIATION................. $ ((~~6,879,248,000~~))

6,863,798,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The appropriation for fiscal year 1998 includes such funds as are necessary for the remaining months of the 1996-97 school year.

(2) Allocations for certificated staff salaries for the 1997-98 and 1998-99 school years shall be determined using formula‑generated staff units calculated pursuant to this subsection. Staff allocations for small school enrollments in (d) through (f) of this subsection shall be reduced for vocational full-time equivalent enrollments. Staff allocations for small school enrollments in grades K-6 shall be the greater of that generated under (a) of this subsection, or under (d) and (e) of this subsection. Certificated staffing allocations shall be as follows:

(a) On the basis of each 1,000 average annual full-time equivalent enrollments, excluding full-time equivalent enrollment otherwise recognized for certificated staff unit allocations under (c) through (f) of this subsection:

(i) Four certificated administrative staff units per thousand full-time equivalent students in grades K-12;

(ii) 49 certificated instructional staff units per thousand full-time equivalent students in grades K-3;

(iii) An additional 5.3 certificated instructional staff units for grades K-3. Any funds allocated for these additional certificated units shall not be considered as basic education funding;

(A) Funds provided under this subsection (2)(a)(iii) in excess of the amount required to maintain the statutory minimum ratio established under RCW 28A.150.260(2)(b) shall be allocated only if the district documents an actual ratio equal to or greater than 54.3 certificated instructional staff per thousand full-time equivalent students in grades K-3. For any school district documenting a lower certificated instructional staff ratio, the allocation shall be based on the district's actual grades K-3 certificated instructional staff ratio achieved in that school year, or the statutory minimum ratio established under RCW 28A.150.260(2)(b), if greater;

(B) Districts at or above 51.0 certificated instructional staff per one thousand full-time equivalent students in grades K-3 may dedicate up to 1.3 of the 54.3 funding ratio to employ additional classified instructional assistants assigned to basic education classrooms in grades K-3. For purposes of documenting a district's staff ratio under this section, funds used by the district to employ additional classified instructional assistants shall be converted to a certificated staff equivalent and added to the district's actual certificated instructional staff ratio. Additional classified instructional assistants, for the purposes of this subsection, shall be determined using the 1989-90 school year as the base year;

(C) Any district maintaining a ratio equal to or greater than 54.3 certificated instructional staff per thousand full-time equivalent students in grades K-3 may use allocations generated under this subsection (2)(a)(iii) in excess of that required to maintain the minimum ratio established under RCW 28A.150.260(2)(b) to employ additional basic education certificated instructional staff or classified instructional assistants in grades 4-6. Funds allocated under this subsection (2)(a)(iii) shall only be expended to reduce class size in grades K-6. No more than 1.3 of the certificated instructional funding ratio amount may be expended for provision of classified instructional assistants; and

(iv) Forty‑six certificated instructional staff units per thousand full-time equivalent students in grades 4-12;

(b) For school districts with a minimum enrollment of 250 full-time equivalent students whose full-time equivalent student enrollment count in a given month exceeds the first of the month full-time equivalent enrollment count by 5 percent, an additional state allocation of 110 percent of the share that such increased enrollment would have generated had such additional full-time equivalent students been included in the normal enrollment count for that particular month;

(i) Vocational education programs approved by the superintendent of public instruction, a maximum of 0.92 certificated instructional staff units and 0.08 certificated administrative staff units for each 18.3 full-time equivalent vocational students for the 1997-98 school year and for each 19.5 full-time equivalent vocational students in the 1998-99 school year. Beginning with the 1998-99 school year, districts documenting staffing ratios of less than 1 certificated staff per 19.5 students shall be allocated the greater of the total ratio in subsections (2)(a)(i) and (iv) of this section or the actual documented ratio;

(ii) Skills center programs approved by the superintendent of public instruction for skills centers approved prior to September 1, 1997, 0.92 certificated instructional staff units and 0.08 certificated administrative units for each 16.67 full-time equivalent vocational students;

(iii) Indirect cost charges, as defined by the superintendent of public instruction, to vocational-secondary programs shall not exceed 10 percent; and

(iv) Vocational full-time equivalent enrollment shall be reported on the same monthly basis as the enrollment for students eligible for basic support, and payments shall be adjusted for reported vocational enrollments on the same monthly basis as those adjustments for enrollment for students eligible for basic support.

(d) For districts enrolling not more than twenty‑five average annual full-time equivalent students in grades K-8, and for small school plants within any school district which have been judged to be remote and necessary by the state board of education and enroll not more than twenty‑five average annual full-time equivalent students in grades K-8:

(i) For those enrolling no students in grades 7 and 8, 1.76 certificated instructional staff units and 0.24 certificated administrative staff units for enrollment of not more than five students, plus one‑twentieth of a certificated instructional staff unit for each additional student enrolled; and

(ii) For those enrolling students in grades 7 or 8, 1.68 certificated instructional staff units and 0.32 certificated administrative staff units for enrollment of not more than five students, plus one‑tenth of a certificated instructional staff unit for each additional student enrolled;

(e) For specified enrollments in districts enrolling more than twenty‑five but not more than one hundred average annual full-time equivalent students in grades K-8, and for small school plants within any school district which enroll more than twenty‑five average annual full-time equivalent students in grades K-8 and have been judged to be remote and necessary by the state board of education:

(i) For enrollment of up to sixty annual average full-time equivalent students in grades K-6, 2.76 certificated instructional staff units and 0.24 certificated administrative staff units; and

(ii) For enrollment of up to twenty annual average full-time equivalent students in grades 7 and 8, 0.92 certificated instructional staff units and 0.08 certificated administrative staff units;

(f) For districts operating no more than two high schools with enrollments of less than three hundred average annual full-time equivalent students, for enrollment in grades 9-12 in each such school, other than alternative schools:

(i) For remote and necessary schools enrolling students in any grades 9-12 but no more than twenty‑five average annual full-time equivalent students in grades K-12, four and one‑half certificated instructional staff units and one‑quarter of a certificated administrative staff unit;

(ii) For all other small high schools under this subsection, nine certificated instructional staff units and one‑half of a certificated administrative staff unit for the first sixty average annual full time equivalent students, and additional staff units based on a ratio of 0.8732 certificated instructional staff units and 0.1268 certificated administrative staff units per each additional forty‑three and one‑half average annual full time equivalent students.

Units calculated under (f)(ii) of this subsection shall be reduced by certificated staff units at the rate of forty‑six certificated instructional staff units and four certificated administrative staff units per thousand vocational full-time equivalent students.

(g) For each nonhigh school district having an enrollment of more than seventy annual average full-time equivalent students and less than one hundred eighty students, operating a grades K-8 program or a grades 1-8 program, an additional one-half of a certificated instructional staff unit; and

(h) For each nonhigh school district having an enrollment of more than fifty annual average full-time equivalent students and less than one hundred eighty students, operating a grades K-6 program or a grades 1-6 program, an additional one‑half of a certificated instructional staff unit.

(3) Allocations for classified salaries for the 1997‑98 and 1998‑99 school years shall be calculated using formula‑generated classified staff units determined as follows:

(a) For enrollments generating certificated staff unit allocations under subsection (2)(d) through (h) of this section, one classified staff unit for each three certificated staff units allocated under such subsections;

(b) For all other enrollment in grades K-12, including vocational full-time equivalent enrollments, one classified staff unit for each sixty average annual full-time equivalent students; and

(c) For each nonhigh school district with an enrollment of more than fifty annual average full-time equivalent students and less than one hundred eighty students, an additional one‑half of a classified staff unit.

(4) Fringe benefit allocations shall be calculated at a rate of 20.22 percent in the 1997‑98 and 1998-99 school years for certificated salary allocations provided under subsection (2) of this section, and a rate of 18.65 percent in the 1997‑98 and 1998-99 school years for classified salary allocations provided under subsection (3) of this section.

(5) Insurance benefit allocations shall be calculated at the maintenance rate specified in section 504(2) of this act, based on the number of benefit units determined as follows:

(a) The number of certificated staff units determined in subsection (2) of this section; and

(b) The number of classified staff units determined in subsection (3) of this section multiplied by 1.152. This factor is intended to adjust allocations so that, for the purposes of distributing insurance benefits, full-time equivalent classified employees may be calculated on the basis of 1440 hours of work per year, with no individual employee counted as more than one full-time equivalent.

(6)(a) For nonemployee-related costs associated with each certificated staff unit allocated under subsection (2)(a), (b), and (d) through (h) of this section, there shall be provided a maximum of $7,950 per certificated staff unit in the 1997‑98 school year and a maximum of $8,053 per certificated staff unit in the 1998-99 school year.

(b) For nonemployee-related costs associated with each vocational certificated staff unit allocated under subsection (2)(c)(i) of this section, there shall be provided a maximum of $15,147 per certificated staff unit in the 1997‑98 school year and a maximum of $19,775 per certificated staff unit in the 1998-99 school year.

(c) For nonemployee-related costs associated with each vocational certificated staff unit allocated under subsection (2)(c)(ii) of this section, there shall be provided a maximum of $15,147 per certificated staff unit in the 1997-98 school year and a maximum of $15,344 per certificated staff unit in the 1998-99 school year.

(7) Allocations for substitute costs for classroom teachers shall be distributed at a maintenance rate of $354.64 per allocated classroom teachers exclusive of salary increase amounts provided in section 504 of this act. Solely for the purposes of this subsection, allocated classroom teachers shall be equal to the number of certificated instructional staff units allocated under subsection (2) of this section, multiplied by the ratio between the number of actual basic education certificated teachers and the number of actual basic education certificated instructional staff reported state‑wide for the 1996-97 school year.

(8) Any school district board of directors may petition the superintendent of public instruction by submission of a resolution adopted in a public meeting to reduce or delay any portion of its basic education allocation for any school year. The superintendent of public instruction shall approve such reduction or delay if it does not impair the district's financial condition. Any delay shall not be for more than two school years. Any reduction or delay shall have no impact on levy authority pursuant to RCW 84.52.0531 and local effort assistance pursuant to chapter 28A.500 RCW.

(9) The superintendent may distribute a maximum of $6,114,000 outside the basic education formula during fiscal years 1998 and 1999 as follows:

(a) For fire protection for school districts located in a fire protection district as now or hereafter established pursuant to chapter 52.04 RCW, a maximum of $447,000 may be expended in fiscal year 1998 and a maximum of $453,000 may be expended in fiscal year 1999;

(b) For summer vocational programs at skills centers, a maximum of $1,948,000 may be expended each fiscal year;

(d) A maximum of $500,000 per fiscal year may be expended for programs providing skills training for secondary students who are enrolled in extended day school-to-work programs, as approved by the superintendent of public instruction. The funds shall be allocated at a rate not to exceed $500 per full-time equivalent student enrolled in those programs.

(10) For the purposes of RCW 84.52.0531, the increase per full-time equivalent student in state basic education appropriations provided under this act, including appropriations for salary and benefits increases, is ((~~2.5~~)) 2.4 percent from the 1996‑97 school year to the 1997‑98 school year, and ((~~1.1~~)) 0.8 percent from the 1997‑98 school year to the 1998‑99 school year.

(11) If two or more school districts consolidate and each district was receiving additional basic education formula staff units pursuant to subsection (2)(b) through (h) of this section, the following shall apply:

(a) For three school years following consolidation, the number of basic education formula staff units shall not be less than the number of basic education formula staff units received by the districts in the school year prior to the consolidation; and

(b) For the fourth through eighth school years following consolidation, the difference between the basic education formula staff units received by the districts for the school year prior to consolidation and the basic education formula staff units after consolidation pursuant to subsection (2)(a) through (h) of this section shall be reduced in increments of twenty percent per year.

Sec. 503. 1998 c 346 s 504 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-FOR SCHOOL EMPLOYEE COMPENSATION ADJUSTMENTS

General Fund Appropriation (FY 1998)........... $ 79,412,000

General Fund Appropriation (FY 1999)........... $ ((~~115,187,000~~))

114,752,000

TOTAL APPROPRIATION................. $ ((~~194,599,000~~))

194,164,000

The appropriations in this section are subject to the following conditions and limitations:

(1) ((~~$174,999,000~~)) $174,096,000 is provided for a cost of living adjustment of 3.0 percent effective September 1, 1997, for state formula staff units. The appropriations include associated incremental fringe benefit allocations at rates of 19.58 percent for certificated staff and 15.15 percent for classified staff.

(a) The appropriations in this section include the increased portion of salaries and incremental fringe benefits for all relevant state-funded school programs in part V of this act. Salary adjustments for state employees in the office of superintendent of public instruction and the education reform program are provided in part VII of this act. Increases for general apportionment (basic education) are based on the salary allocation schedules and methodology in section 502 of this act. Increases for special education result from increases in each district's basic education allocation per student. Increases for educational service districts and institutional education programs are determined by the superintendent of public instruction using the methodology for general apportionment salaries and benefits in section 502 of this act.

(b) The appropriations in this section provide salary increase and incremental fringe benefit allocations based on formula adjustments as follows:

(i) For pupil transportation, an increase of $0.60 per weighted pupil‑mile for the 1997‑98 school year and maintained for the 1998-99 school year;

(ii) For education of highly capable students, an increase of $6.81 per formula student for the 1997‑98 school year and maintained for the 1998-99 school year; and

(iii) For transitional bilingual education, an increase of $17.69 per eligible bilingual student for the 1997‑98 school year and maintained for the 1998-99 school year; and

(iv) For learning assistance, an increase of $8.74 per entitlement unit for the 1997‑98 school year and maintained for the 1998-99 school year.

(c) The appropriations in this section include ((~~$903,000~~)) $901,000 for salary increase adjustments for substitute teachers at a rate of $10.64 per unit in the 1997-98 school year and maintained in the 1998-99 school year.

(2) ((~~$19,600,000~~)) $19,532,000 is provided for adjustments to insurance benefit allocations. The maintenance rate for insurance benefit allocations is $314.51 per month for the 1997-98 and 1998-99 school years. The appropriations in this section provide for a rate increase to $317.34 per month for the 1997-98 school year and $335.75 per month for the 1998-99 school year at the following rates:

(a) For pupil transportation, an increase of $0.03 per weighted pupil‑mile for the 1997‑98 school year and $0.19 for the 1998-99 school year;

(b) For education of highly capable students, an increase of $0.20 per formula student for the 1997‑98 school year and $1.35 for the 1998-99 school year;

(c) For transitional bilingual education, an increase of $.46 per eligible bilingual student for the 1997‑98 school year and $3.44 for the 1998-99 school year; and

(d) For learning assistance, an increase of $.36 per funded unit for the 1997‑98 school year and $2.70 for the 1998-99 school year.

(3) The rates specified in this section are subject to revision each year by the legislature.

(4) For the 1997-98 school year, the superintendent shall prepare a report showing the allowable derived base salary for certificated instructional staff in accordance with RCW 28A.400.200 and LEAP Document 12D, and the actual derived base salary paid by each school district as shown on the S-275 report and shall make the report available to the fiscal committees of the legislature no later than February 15, 1998.

Sec. 504. 1998 c 346 s 505 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-FOR PUPIL TRANSPORTATION

General Fund Appropriation (FY 1998)........... $ 175,168,000

General Fund Appropriation (FY 1999)........... $ ((~~179,439,000~~))

178,936,000

TOTAL APPROPRIATION................. $ ((~~354,607,000~~))

354,104,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The appropriation for fiscal year 1998 includes such funds as are necessary for the remaining months of the 1996‑97 school year.

(2) A maximum of $1,441,000 may be expended for regional transportation coordinators and related activities. The transportation coordinators shall ensure that data submitted by school districts for state transportation funding shall, to the greatest extent practical, reflect the actual transportation activity of each district.

(3) $30,000 of the fiscal year 1998 appropriation and $40,000 of the fiscal year 1999 appropriation are provided solely for the transportation of students enrolled in "choice" programs. Transportation shall be limited to low-income students who are transferring to "choice" programs solely for educational reasons.

(4) Allocations for transportation of students shall be based on reimbursement rates of $34.47 per weighted mile in the 1997-98 school year and $34.61 per weighted mile in the 1998-99 school year exclusive of salary and benefit adjustments provided in section 504 of this act. Allocations for transportation of students transported more than one radius mile shall be based on weighted miles as determined by superintendent of public instruction times the per mile reimbursement rates for the school year pursuant to the formulas adopted by the superintendent of public instruction. Allocations for transportation of students living within one radius mile shall be based on the number of enrolled students in grades kindergarten through five living within one radius mile of their assigned school times the per mile reimbursement rate for the school year times 1.29.

Sec. 505. 1998 c 346 s 507 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-FOR SPECIAL EDUCATION PROGRAMS

General Fund‑-State Appropriation (FY 1998).... $ 371,687,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~378,405,000~~))

377,879,000

General Fund‑-Federal Appropriation............. $.................................. 143,106,000

TOTAL APPROPRIATION................. $ ((~~893,198,000~~))

892,672,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The appropriation for fiscal year 1998 includes such funds as are necessary for the remaining months of the 1996‑97 school year.

(2) The superintendent of public instruction shall distribute state funds to school districts based on two categories, the optional birth through age two program for special education eligible developmentally delayed infants and toddlers, and the mandatory special education program for special education eligible students ages three to twenty-one. A "special education eligible student" means a student receiving specially designed instruction in accordance with a properly formulated individualized education program.

(3) For the 1997-98 and 1998-99 school years, the superintendent shall distribute state funds to each district based on the sum of:

(a) A district's annual average headcount enrollment of developmentally delayed infants and toddlers ages birth through two, times the district's average basic education allocation per full-time equivalent student, times 1.15; and

(b) A district's annual average full-time equivalent basic education enrollment times the funded enrollment percent determined pursuant to subsection (4)(c) of this section, times the district's average basic education allocation per full-time equivalent student times 0.9309.

(4) The definitions in this subsection apply throughout this section.

(a) "Average basic education allocation per full-time equivalent student" for a district shall be based on the staffing ratios required by RCW 28A.150.260 (i.e., 49/1000 certificated instructional staff in grades K-3, and 46/1000 in grades 4-12) and shall not include enhancements for K-3, secondary vocational education, or small schools.

(b) "Annual average full-time equivalent basic education enrollment" means the resident enrollment including students enrolled through choice (RCW 28A.225.225) and students from nonhigh districts (RCW 28A.225.210) and excluding students residing in another district enrolled as part of an interdistrict cooperative program (RCW 28A.225.250).

(c) "Enrollment percent" means the district's resident special education annual average enrollment including those students counted under the special education demonstration projects, excluding the birth through age two enrollment, as a percent of the district's annual average full-time equivalent basic education enrollment. For the 1997-98 and the 1998-99 school years, each district's funded enrollment percent shall be:

(i) For districts whose enrollment percent for 1994-95 was at or below 12.7 percent, the lesser of the district's actual enrollment percent for the school year for which the allocation is being determined or 12.7 percent.

(ii) For districts whose enrollment percent for 1994-95 was above 12.7 percent, the lesser of:

(A) The district's actual enrollment percent for the school year for which the special education allocation is being determined; or

(B) The district's actual enrollment percent for the school year immediately prior to the school year for which the special education allocation is being determined if greater than 12.7 percent; or

(C) For 1997-98, the 1994-95 enrollment percent reduced by 75 percent of the difference between the district's 1994-95 enrollment percent and 12.7 percent and for 1998-99, 12.7 percent.

(5) At the request of any interdistrict cooperative of at least 15 districts in which all excess cost services for special education students of the districts are provided by the cooperative, the maximum enrollment percent shall be 12.7, and shall be calculated in the aggregate rather than individual district units. For purposes of this subsection (4) of this section, the average basic education allocation per full-time equivalent student shall be calculated in the aggregate rather than individual district units.

(6) A maximum of $12,000,000 of the general fund‑-state appropriation for fiscal year 1998 and a maximum of $12,000,000 of the general fund‑-state appropriation for fiscal year 1999 are provided as safety net funding for districts with demonstrated needs for state special education funding beyond the amounts provided in subsection (3) of this section. Safety net funding shall be awarded by the state safety net oversight committee.

(a) The safety net oversight committee shall first consider the needs of districts adversely affected by the 1995 change in the special education funding formula. Awards shall be based on the amount required to maintain the 1994-95 state special education excess cost allocation to the school district in aggregate or on a dollar per funded student basis.

(b) The committee shall then consider unusual needs of districts due to a special education population which differs significantly from the assumptions of the state funding formula. Awards shall be made to districts that convincingly demonstrate need due to the concentration and/or severity of disabilities in the district. Differences in program costs attributable to district philosophy or service delivery style are not a basis for safety net awards.

(7) Prior to June 1st of each year, the superintendent shall make available to each school district from available data the district's maximum funded enrollment percent for the coming school year.

(8) The superintendent of public instruction may adopt such rules and procedures as are necessary to administer the special education funding and safety net award process. Prior to revising any standards, procedures, or rules in place for the 1996-97 school year, the superintendent shall consult with the office of financial management and the fiscal committees of the legislature.

(9) The safety net oversight committee appointed by the superintendent of public instruction shall consist of:

(a) Staff of the office of superintendent of public instruction;

(b) Staff of the office of the state auditor;

(d) One or more representatives from school districts or educational service districts knowledgeable of special education programs and funding.

(10) A maximum of $4,500,000 of the general fund‑-federal appropriation shall be expended for safety net funding to meet the extraordinary needs of one or more individual special education students.

(11) A maximum of $678,000 may be expended from the general fund‑-state appropriations to fund 5.43 full-time equivalent teachers and 2.1 full-time equivalent aides at children's orthopedic hospital and medical center. This amount is in lieu of money provided through the home and hospital allocation and the special education program.

(12) A maximum of $1,000,000 of the general fund‑-federal appropriation is provided for projects to provide special education students with appropriate job and independent living skills, including work experience where possible, to facilitate their successful transition out of the public school system. The funds provided by this subsection shall be from federal discretionary grants.

(13) A school district may carry over up to 10 percent of general fund‑-state funds allocated under this program; however, carry over funds shall be expended in the special education program.

(14) Beginning in the 1997-98 school year, the superintendent shall increase the percentage of federal flow-through to school districts to at least 84 percent. In addition to other purposes, school districts may use increased federal funds for high cost students, for purchasing regional special education services from educational service districts, and for staff development activities particularly relating to inclusion issues.

(15) Up to one percent of the general fund--federal appropriation shall be expended by the superintendent for projects related to use of inclusion strategies by school districts for provision of special education services. The superintendent shall prepare an information database on laws, best practices, examples of programs, and recommended resources. The information may be disseminated in a variety of ways, including workshops and other staff development activities.

(16) Amounts appropriated within this section are sufficient to fund the provisions of House Bill No. 2682 (school medicaid incentive payments).

Sec. 506. 1998 c 346 s 509 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-FOR LOCAL EFFORT ASSISTANCE

General Fund Appropriation (FY 1998)........... $ 82,079,000

General Fund Appropriation (FY 1999)........... $ ((~~86,272,000~~))

83,042,000

TOTAL APPROPRIATION................. $ ((~~168,351,000~~))

165,121,000

Sec. 507. 1998 c 346 s 510 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-FOR INSTITUTIONAL EDUCATION PROGRAMS

General Fund‑-State Appropriation (FY 1998).... $ 16,897,000

General Fund‑-State Appropriation (FY 1999).... $ ((~~18,596,000~~))

18,932,000

General Fund‑-Federal Appropriation............. $.................................. 8,548,000

TOTAL APPROPRIATION................. $ ((~~44,041,000~~))

44,377,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The general fund‑-state appropriation for fiscal year 1998 includes such funds as are necessary for the remaining months of the 1996‑97 school year.

(2) State funding provided under this section is based on salaries and other expenditures for a 220‑day school year. The superintendent of public instruction shall monitor school district expenditure plans for institutional education programs to ensure that districts plan for a full-time summer program.

(3) State funding for each institutional education program shall be based on the institution's annual average full-time equivalent student enrollment. Staffing ratios for each category of institution shall remain the same as those funded in the 1995-97 biennium.

(4) $1,196,000 of the fiscal year 1999 general fund--state appropriation is provided to implement Engrossed Substitute Senate Bill No. 6600 (correctional facilities education programs). If Engrossed Substitute Senate Bill No. 6600 is enacted, beginning in the 1998-99 school year, the funded staffing ratios for education programs for juveniles age 18 or less in department of corrections facilities shall be the same as those provided for education programs in delinquent institutions under the department of social and health services. If the bill is not enacted by June 30, 1998, the amounts provided in this subsection shall lapse.

Sec. 508. 1998 c 346 s 511 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-FOR PROGRAMS FOR HIGHLY CAPABLE STUDENTS

General Fund Appropriation (FY 1998)........... $ 5,701,000

General Fund Appropriation (FY 1999)........... $ ((~~6,121,000~~))

6,093,000

TOTAL APPROPRIATION................. $ ((~~11,822,000~~))

11,794,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The appropriation for fiscal year 1998 includes such funds as are necessary for the remaining months of the 1996‑97 school year.

(2) Allocations for school district programs for highly capable students shall be distributed at a maximum rate of $311.12 per funded student for the 1997-98 school year and $311.35 per funded student for the 1998-99 school year, exclusive of salary and benefit adjustments pursuant to section 504 of this act. The number of funded students shall be a maximum of two percent of each district's full-time equivalent basic education enrollment.

(3) $350,000 of the appropriation is for the centrum program at Fort Worden state park.

(4) $186,000 of the appropriation is for the odyssey of the mind and future problem-solving programs.

Sec. 509. 1998 c 346 s 512 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-EDUCATION REFORM PROGRAMS

General Fund Appropriation (FY 1998)........... $ 18,605,000

General Fund Appropriation (FY 1999)........... $ ((~~22,017,000~~))

21,967,000

TOTAL APPROPRIATION................. $ ((~~40,622,000~~))

40,572,000

The appropriations in this section are subject to the following conditions and limitations:

(1) ((~~$17,153,000~~)) $17,103,000 is provided for the operation of the commission on student learning and the development and implementation of student assessments. The commission shall cooperate with the superintendent of public instruction in defining measures of student achievement to be included in the student record system developed by the superintendent pursuant to section 501(1)(b) of this act.

(2) $2,190,000 is provided solely for training of paraprofessional classroom assistants and certificated staff who work with classroom assistants as provided in RCW 28A.415.310.

(3) $2,970,000 is provided for mentor teacher assistance, including state support activities, under RCW 28A.415.250 and 28A.415.260. Funds for the teacher assistance program shall be allocated to school districts based on the number of beginning teachers.

(4) $4,050,000 is provided for improving technology infrastructure, monitoring and reporting on school district technology development, promoting standards for school district technology, promoting statewide coordination and planning for technology development, and providing regional educational technology support centers, including state support activities, under chapter 28A.650 RCW.

(5) $7,200,000 is provided for grants to school districts to provide a continuum of care for children and families to help children become ready to learn. Grant proposals from school districts shall contain local plans designed collaboratively with community service providers. If a continuum of care program exists in the area in which the school district is located, the local plan shall provide for coordination with existing programs to the greatest extent possible. Grant funds shall be allocated pursuant to RCW 70.190.040.

(6) $5,000,000 is provided solely for the meals for kids program under RCW 28A.235.145 through 28A.235.155.

(7) $1,260,000 is provided for technical assistance related to education reform through the office of the superintendent of public instruction, in consultation with the commission on student learning, as specified in RCW 28A.300.130 (center for the improvement of student learning).

(8) $799,000 of the fiscal year 1999 appropriation is provided solely for the leadership internship program for superintendents, principals, and program administrators. The purpose of the program is to provide funds to school districts to provide partial release time for district employees in an internship with an appropriate mentor. The funds shall be distributed by the superintendent to school districts subject to the following conditions and limitations:

(i) The superintendent with the assistance of an advisory board that includes school administrators and higher education representatives shall select internship participants giving priority to candidates who intend to serve in school districts where finding qualified applicants has been difficult.

(ii) Candidates if accepted in the internship program must agree to seek employment in Washington after receiving certification, participate in education improvement training activities, and participate in evaluations of the effectiveness of the internship program.

(iii) The maximum amount of state funding for each internship shall not exceed the daily rate of providing a substitute teacher for the equivalent of up to forty-five days and the funds shall be used to pay for partial release time while the school district employee is completing the internship.

(iv) The superintendent may withhold a maximum of seven percent of the funds for costs of implementing the program.

Sec. 510. 1998 c 346 s 513 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-FOR TRANSITIONAL BILINGUAL PROGRAMS

General Fund Appropriation (FY 1998)........... $ 30,711,000

General Fund Appropriation (FY 1999)........... $ ((~~32,185,000~~))

33,026,000

TOTAL APPROPRIATION................. $ ((~~62,896,000~~))

63,737,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The appropriation for fiscal year 1998 provides such funds as are necessary for the remaining months of the 1996-97 school year.

(2) The superintendent of public instruction shall study the formula components proposed for the 1998-99 school year and prepare a report to the legislature no later than January 15, 1998.

(3) The superintendent shall distribute a maximum of $643.78 per eligible bilingual student in the 1997-98 and 1998-99 school years, exclusive of salary and benefit adjustments provided in section 503 of this act.

Sec. 511. 1998 c 346 s 514 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-FOR THE LEARNING ASSISTANCE PROGRAM

General Fund Appropriation (FY 1998)........... $ 60,224,000

General Fund Appropriation (FY 1999)........... $ ((~~61,000,000~~))

60,458,000

TOTAL APPROPRIATION................. $ ((~~121,224,000~~))

120,682,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The appropriation for fiscal year 1998 provides such funds as are necessary for the remaining months of the 1996‑97 school year.

(2) For making the calculation of the percentage of students scoring in the lowest quartile as compared with national norms, beginning with the 1991-92 school year, the superintendent shall multiply each school district's 4th and 8th grade test results by 0.86.

(3) Funding for school district learning assistance programs shall be allocated at maximum rates of $378.33 per funded unit for the 1997-98 school year and $378.88 per funded unit for the 1998-99 school year exclusive of salary and benefit adjustments provided in section 504 of this act. School districts may carryover up to 10 percent of funds allocated under this program; however, carryover funds shall be expended for the learning assistance program.

(a) A school district's funded units for the 1997-98 and 1998-99 school years shall be the sum of the following:

(i) The district's full-time equivalent enrollment in kindergarten through 6th grade, times the 5-year average 4th grade test result as adjusted pursuant to subsection (2) of this section, times 0.92; and

(ii) The district's full-time equivalent enrollment in grades 7 through 9, times the 5-year average 8th grade test result as adjusted pursuant to subsection (2) of this section, times 0.92; and

(iii) If in the prior school year the district's percentage of October headcount enrollment in grades K-12 eligible for free and reduced price lunch exceeded the state average, subtract the state average percentage of students eligible for free and reduced price lunch from the district's percentage and multiply the result by the district's K-12 annual average full-time equivalent enrollment for the current school year times 22.30 percent.

Sec. 512. 1998 c 346 s 515 (uncodified) is amended to read as follows:

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION‑-LOCAL ENHANCEMENT FUNDS

General Fund Appropriation (FY 1998)........... $ 49,493,000

General Fund Appropriation (FY 1999)........... $ ((~~55,659,000~~))

55,459,000

TOTAL APPROPRIATION................. $ ((~~105,152,000~~))

104,952,000

The appropriations in this section are subject to the following conditions and limitations:

(1) A maximum of ((~~$50,418,000~~)) $50,312,000 is provided for learning improvement allocations to school districts to enhance the ability of instructional staff to teach and assess the essential academic learning requirements for reading, writing, communication, and math in accordance with the timelines and requirements established under RCW 28A.630.885. However, special emphasis shall be given to the successful teaching of reading. Allocations under this section shall be subject to the following conditions and limitations:

(a) In accordance with the timetable for the implementation of the assessment system by the commission on student learning, the allocations for the 1997-98 and 1998-99 school years shall be at a maximum annual rate per full-time equivalent student of $36.69 for students enrolled in grades K-4, $30.00 for students enrolled in grades 5-7, and $22.95 for students enrolled in grades 8-12. Allocations shall be made on the monthly apportionment schedule provided in RCW 28A.510.250.

(b) A district receiving learning improvement allocations shall:

(i) Develop and keep on file at each building a student learning improvement plan to achieve the student learning goals and essential academic learning requirements and to implement the assessment system as it is developed. The plan shall delineate how the learning improvement allocations will be used to accomplish the foregoing. The plan shall be made available to the public upon request;

(ii) Maintain a policy regarding the involvement of school staff, parents, and community members in instructional decisions;

(iii) File a report by October 1, 1998, and October 1, 1999, with the office of the superintendent of public instruction, in a format developed by the superintendent that: Enumerates the activities funded by these allocations; the amount expended for each activity; describes how the activity improved understanding, teaching, and assessment of the essential academic learning requirements by instructional staff; and identifies any amounts expended from this allocation for supplemental contracts; and

(iv) Provide parents and the local community with specific information on the use of this allocation by including in the annual performance report required in RCW 28A.320.205, information on how funds allocated under this subsection were spent and the results achieved.

(c) The superintendent of public instruction shall compile and analyze the school district reports and present the results to the office of financial management and the appropriate committees of the legislature no later than November 15, 1998, and November 15, 1999.

(2) ((~~$54,734,000~~)) $54,640,000 is provided for local education program enhancements to meet educational needs as identified by the school district, including alternative education programs. This amount includes such amounts as are necessary for the remainder of the 1996-97 school year. Allocations for the 1997-98 school year shall be at a maximum annual rate of $29.86 per full-time equivalent student and $28.81 per full-time equivalent student for the 1998-99 school year as determined pursuant to subsection (3) of this section. Allocations shall be made on the monthly apportionment payment schedule provided in RCW 28A.510.250.

(3) Allocations provided under this section shall be based on school district annual average full-time equivalent enrollment in grades kindergarten through twelve: PROVIDED, That for school districts enrolling not more than one hundred average annual full-time equivalent students, and for small school plants within any school district designated as remote and necessary schools, the allocations shall be as follows:

(a) Enrollment of not more than 60 average annual full-time equivalent students in grades kindergarten through six shall generate funding based on sixty full-time equivalent students;

(b) Enrollment of not more than 20 average annual full-time equivalent students in grades seven and eight shall generate funding based on twenty full-time equivalent students; and

(c) Enrollment of not more than 60 average annual full-time equivalent students in grades nine through twelve shall generate funding based on sixty full-time equivalent students.

(4) Funding provided pursuant to this section does not fall within the definition of basic education for purposes of Article IX of the state Constitution and the state's funding duty thereunder.

(5) Receipt by a school district of one-fourth of the district's allocation of funds under this section, shall be conditioned on a finding by the superintendent that:

(a) The district is enrolled as a medicaid service provider and is actively pursuing federal matching funds for medical services provided through special education programs, pursuant to RCW 74.09.5241 through 74.09.5256 (Title XIX funding); and

(b) The district is filing truancy petitions as required under chapter 312, Laws of 1995 and RCW 28A.225.030.

Sec. 513. 1997 c 454 s 509 (uncodified) is amended to read as follows:

FOR THE STATE BOARD OF EDUCATION

Education Savings Account Appropriation to the

Common School Construction Account......... $ ((~~12,621,000~~))

78,916,000

(End of part)

PART VI

HIGHER EDUCATION

Sec. 601. 1998 c 346 s 604 (uncodified) is amended to read as follows:

FOR UNIVERSITY OF WASHINGTON

General Fund Appropriation (FY 1998)........... $ 283,923,000

General Fund Appropriation (FY 1999)........... $ ((~~293,988,000~~))

296,786,000

Death Investigations Account Appropriation..... $ ((~~2,162,000~~))

2,342,000

Industrial Insurance Premium Refund Account

Appropriation.............................. $ 514,000

Accident Account Appropriation.................. $............................. 4,969,000

Medical Aid Account Appropriation.............. $ 4,989,000

TOTAL APPROPRIATION................. $ ((~~590,545,000~~))

593,523,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $2,019,000 of the general fund appropriation for fiscal year 1998 and $3,029,000 of the general fund appropriation for fiscal year 1999 shall be placed in reserve. The office of financial management shall approve the allotment of amounts under this subsection upon notification by the higher education coordinating board. These amounts are provided for the preparation of plans and for the achievement of measurable and specific improvements towards performance and accountability goals as outlined in section 601(3) of this act.

(2) $800,000 of the general fund appropriation for fiscal year 1998 and $1,896,000 of the general fund appropriation for fiscal year 1999 are provided solely to support additional upper-division and graduate level enrollments at the Tacoma branch campus above the 1996-97 budgeted FTE level.

(3) $593,000 of the general fund appropriation for fiscal year 1998 and $1,547,000 of the general fund appropriation for fiscal year 1999 are provided solely to support additional upper-division and graduate level enrollments at the Bothell branch campus above the 1996-97 budgeted FTE level.

(4) $186,000 of the general fund appropriation for fiscal year 1998 and $186,000 of the general fund appropriation for fiscal year 1999 are provided solely for assessment of student outcomes.

(5) $324,000 of the general fund appropriation for fiscal year 1998 and $324,000 of the general fund appropriation for fiscal year 1999 are provided solely to recruit and retain minority students and faculty.

(6) $130,000 of the general fund appropriation for fiscal year 1998 and $130,000 of the general fund appropriation for fiscal year 1999 are provided solely for the implementation of the Puget Sound work plan agency action item UW-01.

(7) $1,200,000 of the general fund appropriation for fiscal year 1998 and $1,200,000 of the general fund appropriation for fiscal year 1999 are provided solely for competitively offered faculty recruitment and retention salary adjustments. The university shall provide a report in their 1999-01 biennial operating budget request submittal on the effective expenditure of funds for the purposes of this subsection.

(8) $47,000 of the fiscal year 1998 general fund appropriation and $47,000 of the fiscal year 1999 general fund appropriation are provided solely to employ a fossil preparator/educator in the Burke Museum. The entire amounts provided in this subsection shall be provided directly to the Burke Museum.

(9) $75,000 of the general fund appropriation for fiscal year 1998 and $75,000 of the general fund appropriation for fiscal year 1999 are provided solely for enhancements to research capabilities at the Olympic natural resources center.

(10) $150,000 of the general fund appropriation for fiscal year 1999 is provided solely for remodeling and equipment necessary to accommodate enrollment growth at the Bothell branch campus.

(11) $560,000 of the general fund appropriation for fiscal year 1999 is provided solely for the disabilities, opportunities, internetworking, and technology program.

(12) ((~~$3,000,000~~)) $6,538,000 of the general fund appropriation for fiscal year 1999 is provided solely to establish a high speed internet-2 hub and research testbed.

(13) $150,000 of the general fund appropriation for fiscal year 1999 is provided solely to support the physicians assistant program in Spokane.

(14) $352,000 of the death investigations account appropriation is provided solely for staff and equipment for the state toxicology laboratory to support implementation of quality control procedures and laboratory certification, and for enhanced screening of sexual assault victims, blood alcohol and volatile intoxicants analysis, and blood tests for marijuana in driving cases.

(15) $74,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely to pay the increased employer funding rate resulting from the settlement in Burbage et al. v. State of Washington (Thurston county superior court cause no. 94-2-02560-8), as referenced in section 707(1)(c) of this act. If the stipulated settlement is not approved by the court by August 1, 1998, the amount provided in this subsection shall lapse.

(16) $397,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely to pay the increased employer funding rate resulting from the settlement in Retired State Employees et al. v. State of Washington (Thurston county superior court cause no. 92-2-01294-1), as referenced in section 707(1)(d) of this act. If the stipulated settlement is not approved by the court by August 1, 1998, the amount provided in this subsection shall lapse.

(17) $180,000 of the death investigations account appropriation is provided for the forensic pathologist fellowship program.

Sec. 602. 1998 c 346 s 607 (uncodified) is amended to read as follows:

FOR CENTRAL WASHINGTON UNIVERSITY

General Fund Appropriation (FY 1998)........... $ 37,244,000

General Fund Appropriation (FY 1999)........... $ ((~~38,749,000~~))

38,899,000

TOTAL APPROPRIATION ................. $ ((~~75,993,000~~))

76,143,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $269,000 of the general fund appropriation for fiscal year 1998 and $403,000 of the general fund appropriation for fiscal year 1999 shall be placed in reserve. The office of financial management shall approve the allotment of amounts under this subsection upon notification by the higher education coordinating board. These amounts are provided for the preparation of plans and for the achievement of measurable and specific improvements towards performance and accountability goals as outlined in section 601(3) of this act.

(2) $186,000 of the general fund appropriation for fiscal year 1998 and $186,000 of the general fund appropriation for fiscal year 1999 are provided solely for assessment of student outcomes.

(3) $70,000 of the general fund appropriation for fiscal year 1998 and $70,000 of the general fund appropriation for fiscal year 1999 are provided solely to recruit and retain minority students and faculty.

(4) $51,000 of the general fund appropriation for fiscal year 1998 and $51,000 of the general fund appropriation for fiscal year 1999 are provided solely for competitively offered faculty recruitment and retention salary adjustments. The college shall provide a report in their 1999-01 biennial operating budget request submittal on the effective expenditure of funds for the purposes of this subsection.

(5) $11,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely to pay the increased employer funding rate resulting from the settlement in Burbage et al. v. State of Washington (Thurston county superior court cause no. 94-2-02560-8), as referenced in section 707(1)(c) of this act. If the stipulated settlement is not approved by the court by August 1, 1998, the amount provided in this subsection shall lapse.

(6) $62,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely to pay the increased employer funding rate resulting from the settlement in Retired State Employees et al. v. State of Washington (Thurston county superior court cause no. 92-2-01294-1), as referenced in section 707(1)(d) of this act. If the stipulated settlement is not approved by the court by August 1, 1998, the amount provided in this subsection shall lapse.

Sec. 603. 1998 c 346 s 609 (uncodified) is amended to read as follows:

FOR WESTERN WASHINGTON UNIVERSITY

General Fund Appropriation (FY 1998)........... $ 47,822,000

General Fund Appropriation (FY 1999)........... $ ((~~48,951,000~~))

49,001,000

TOTAL APPROPRIATION.............. ... $ ((~~96,773,000~~))

96,823,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $342,000 of the general fund appropriation for fiscal year 1998 and $514,000 of the general fund appropriation for fiscal year 1999 shall be placed in reserve. The office of financial management shall approve the allotment of amounts under this subsection upon notification by the higher education coordinating board. These amounts are provided for the preparation of plans and for the achievement of measurable and specific improvements towards performance and accountability goals as outlined in section 601(3) of this act.

(2) $186,000 of the general fund appropriation for fiscal year 1998 and $186,000 of the general fund appropriation for fiscal year 1999 are provided solely for assessment of student outcomes.

(3) $93,000 of the general fund appropriation for fiscal year 1998 and $93,000 of the general fund appropriation for fiscal year 1999 are provided solely to recruit and retain minority students and faculty.

(4) $66,000 of the general fund appropriation for fiscal year 1998 and $67,000 of the general fund appropriation for fiscal year 1999 are provided solely for competitively offered faculty recruitment and retention salary adjustments. The university shall provide a report in their 1999-01 biennial operating budget request submittal on the effective expenditure of funds for the purposes of this subsection.

(5) $15,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely to pay the increased employer funding rate resulting from the settlement in Burbage et al. v. State of Washington (Thurston county superior court cause no. 94-2-02560-8), as referenced in section 707(1)(c) of this act. If the stipulated settlement is not approved by the court by August 1, 1998, the amount provided in this subsection shall lapse.

(6) $81,000 of the general fund‑-state appropriation for fiscal year 1999 is provided solely to pay the increased employer funding rate resulting from the settlement in Retired State Employees et al. v. State of Washington (Thurston county superior court cause no. 92-2-01294-1), as referenced in section 707(1)(d) of this act. If the stipulated settlement is not approved by the court by August 1, 1998, the amount provided in this subsection shall lapse.

(7) $87,000 of the general fund appropriation for fiscal year 1999 is provided solely for administrative support for the North Snohomish, Island, and Skagit consortium.

(End of part)

PART VII

SPECIAL APPROPRIATIONS

Sec. 701. 1998 c 346 s 701 (uncodified) is amended to read as follows:

FOR THE STATE TREASURER‑-BOND RETIREMENT AND INTEREST, AND ONGOING BOND REGISTRATION AND TRANSFER CHARGES: FOR GENERAL FUND BOND DEBT

General Fund Appropriation (FY 1998)........... $ 448,355,000

General Fund Appropriation (FY 1999)........... $ ((~~484,005,000~~))

478,444,000

General Fund Bonds Subject to the Limit Bond

Retirement Account Appropriation........... $ ((~~932,360,000~~))

926,799,000

TOTAL APPROPRIATION................. $ ((~~1,864,720,000~~))

1,853,598,000

The appropriations in this section are subject to the following conditions and limitations: The general fund appropriation is for deposit into the general fund bonds subject to the limit bond retirement account.

Sec. 702. 1998 c 346 s 702 (uncodified) is amended to read as follows:

FOR THE STATE TREASURER‑-BOND RETIREMENT AND INTEREST, AND ONGOING BOND REGISTRATION AND TRANSFER CHARGES: FOR GENERAL OBLIGATION DEBT TO BE REIMBURSED AS PRESCRIBED BY STATUTE

General Fund Appropriation (FY 1998)........... $ 23,186,000

General Fund Appropriation (FY 1999)........... $ 25,642,000

General Fund Bonds Excluded from the Limit

Bond Retirement Account Appropriation...... $ ((~~48,828,000~~))

48,812,000

Reimbursable Bonds Excluded from the Limit Bond

Retirement Account Appropriation........... $ 104,933,000

Reimbursable Bonds Subject to the Limit Bond

Retirement Account Appropriation........... $ 2,264,000

TOTAL APPROPRIATION................. $ ((~~204,853,000~~))

204,837,000

The appropriations in this section are subject to the following conditions and limitations: The general fund appropriation is for deposit into the general fund bonds excluded from the limit bond retirement account.

NEW SECTION. Sec. 703. A new section is added to 1997 c 149 (uncodified) to read as follows:

FOR THE DISASTER RESPONSE ACCOUNT. The sum of five million dollars is appropriated for the fiscal year ending June 30, 1999, from the general fund to the disaster response account for the purpose of creating a contingency pool to fund fire-related costs. Allocations may be provided from the disaster response account for fire mobilization costs or fire suppression costs in excess of the amounts appropriated for these purposes.

NEW SECTION. Sec. 704. A new section is added to 1997 c 149 (uncodified) to read as follows:

FOR THE OFFICE OF FINANCIAL MANAGEMENT‑-FIRE-RELATED CONTINGENCY COSTS. The sum of five million dollars is appropriated from the disaster response account for the purpose of making allocations for fire mobilization costs or fire suppression costs in excess of the amounts appropriated for these purposes.

NEW SECTION. Sec. 705. A new section is added to 1997 c 149 (uncodified) to read as follows:

FOR THE AGRICULTURAL LANDS ACCOUNT. The sum of four million dollars is appropriated for the fiscal year ending June 30, 1999, from the general fund to the agricultural college lands account for management costs.

NEW SECTION. Sec. 706. A new section is added to 1997 c 149 (uncodified) to read as follows:

FOR THE WASHINGTON STATE UNIVERSITY AGRICULTURAL PERMANENT ACCOUNT. The sum of thirty-six million three hundred thousand dollars is appropriated for the fiscal year ending June 30, 1999, from the general fund to the agricultural permanent account.

NEW SECTION. Sec. 707. A new section is added to 1997 c 149 (uncodified) to read as follows:

FOR COMMON SCHOOL CONSTRUCTION. The sum of twenty-two million three hundred fifty thousand dollars is appropriated for the fiscal year ending June 30, 1999, from the general fund to the common school construction account for the purposes of RCW 28A.515.320.

Sec. 708. 1998 c 346 s 704 (uncodified) is amended to read as follows:

FOR THE OFFICE OF FINANCIAL MANAGEMENT‑-YEAR 2000 ALLOCATIONS

General Fund‑-Federal Appropriation............. $.................................. 2,883,000

Liquor Revolving Account Appropriation......... $ 131,000

Health Care Authority Administrative Account

Appropriation.............................. $ 631,000

Accident Account Appropriation.................. $............................. 1,102,000

Medical Aid Account Appropriation.............. $ 1,102,000

Unemployment Compensation Administration Account--

Federal Appropriation...................... $ 1,313,000

Employment Services Administrative Account

Appropriation.............................. $ 461,000

Forest Development Account Appropriation........ $ 156,000

Off Road Vehicle Account Appropriation......... $ 7,000

Surveys and Maps Account Appropriation......... $ 1,000

Aquatic Lands Enhancement Account Appropriation $ 8,000

Resource Management Cost Account Appropriation. $ 348,000

TOTAL APPROPRIATION................. $ 8,143,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The appropriations will be allocated by the office of financial management to agencies to complete Year 2000 date conversion maintenance on their computer systems. Agencies shall submit their estimated costs of conversion to the office of financial management by July 1, 1997.

(2) Up to $10,000,000 of the cash balance of the data processing revolving account may be expended on agency Year 2000 date conversion costs, embedded chips, and contingency activities. The $10,000,000 will be taken from the cash balances of the data processing revolving account's two major users, as follows: $7,000,000 from the department of information services and $3,000,000 from the office of financial management. The office of financial management in consultation with the department of information services shall allocate these funds as needed to complete the date conversion projects.

(3) Agencies receiving these allocations shall report at a minimum to the information services board and to the governor every six months on the progress of Year 2000 maintenance efforts.

Sec. 709. 1998 c 346 s 705 (uncodified) is amended to read as follows:

FOR THE OFFICE OF FINANCIAL MANAGEMENT‑-YEAR 2000 CONVERSION

General Fund Appropriation (FY 1998)................ $ 233,000

General Fund Appropriation (FY 1999)................ $ 33,000

Hospital Commission Account Appropriation........... $ 115,000

Architects' License Account Appropriation........... $ 3,000

Professional Engineers' Account Appropriation........ $ 9,000

Real Estate Commission Account Appropriation........ $ 24,000

Health Professions Account Appropriation............. $ 275,000

Master License Account Appropriation.. ............ $ 70,000

Safe Drinking Water Account Appropriation........... $ 50,000

Uniform Commercial Code Account Appropriation........ $ 11,000

Unemployment Compensation Administration Account‑-

Federal Appropriation........................... $ 3,245,000

Department of Retirement Systems Expense Account

Appropriation................................... $ 890,000

Health Services Account Appropriation............... $ 254,000

TOTAL APPROPRIATION...................... $ 5,212,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The appropriations will be allocated by the office of financial management to agencies to perform Year 2000 date conversion maintenance on their computer systems, embedded chips, and contingency activities and are provided solely for these purposes.

(2) Agencies receiving these allocations shall report at a minimum to the information services board and to the governor every six months on the progress of Year 2000 maintenance efforts.

Sec. 710. 1998 c 346 s 706 (uncodified) is amended to read as follows:

FOR THE OFFICE OF FINANCIAL MANAGEMENT‑-YEAR 2000 CONTINGENCY POOL

General Fund Appropriation (FY 1998)................ $ 800,000

General Fund Appropriation (FY 1999)................ $ 4,200,000

Year 2000 Contingency Revolving Account

Appropriation................................... $ 5,000,000

TOTAL APPROPRIATION...................... $ 10,000,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The appropriations will be allocated by the office of financial management, in consultation with the department of information systems or the department of general administration, to agencies to perform Year 2000 maintenance on their computer systems, embedded chips, and contingency activities and are provided solely for these purposes.

(2) To facilitate the transfer of moneys from dedicated funds and accounts, the state treasurer is directed to transfer sufficient moneys from each dedicated fund or account to the Year 2000 contingency revolving account, hereby created in the state treasury, in accordance with schedules provided by the office of financial management for additional Year 2000 maintenance on their computer systems.

(3) All agencies that receive these allocations will report upon request throughout the biennium to the information services board and to the governor on the progress of Year 2000 maintenance efforts.

Sec. 711. 1997 c 149 s 713 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF RETIREMENT SYSTEMS‑-CONTRIBUTIONS TO RETIREMENT SYSTEMS

The appropriations in this section are subject to the following conditions and limitations: The appropriations shall be made on a monthly basis consistent with chapter 41.45 RCW.

(1) There is appropriated for state contributions to the law enforcement officers' and fire fighters' retirement system:

General Fund Appropriation (FY 1998)........... $ 68,350,000

General Fund Appropriation (FY 1999)........... $ ((~~72,750,000~~))

74,750,000

Of the appropriations in this subsection, $50,000 of the general fund fiscal year 1998 appropriation and $50,000 of the general fund fiscal year 1999 appropriation are provided solely for House Bill No. 1099 (LEOFF retirement plan I). If the bill is not enacted by June 30, 1997, these amounts shall lapse.

(2) There is appropriated for contributions to the judicial retirement system:

General Fund Appropriation (FY 1998)........... $ 8,500,000

General Fund Appropriation (FY 1999)........... $ 8,500,000

(3) There is appropriated for contributions to the judges retirement system:

General Fund Appropriation (FY 1998)........... $ 750,000

General Fund Appropriation (FY 1999)........... $ 750,000

TOTAL APPROPRIATION................. $ ((~~159,600,000~~))

161,600,000

NEW SECTION. Sec. 712. A new section is added to 1997 c 149 (uncodified) to read as follows:

FOR SUNDRY CLAIMS. The following sums, or so much thereof as may be necessary, are appropriated from the general fund, unless otherwise indicated, for relief of various individuals, firms, and corporations for sundry claims. These appropriations are to be disbursed on vouchers approved by the director of general administration, except as otherwise provided, as follows:

(1) Reimbursement of criminal defendants acquitted on the basis of self-defense, pursuant to RCW 9A.16.110:

(a) Heather S. Lausten, claim number SCJ 98-02 $ 2,089

(b) Michael A. McGee, claim number SCJ 98-03 $ 10,364

(d) Lukes Markishtum, claim number SCJ 98-06 $ 3,832

(e) Francesco Cozza, claim number SCJ 98-07 $ 10,862

(f) Jason Brown, claim number SCJ 98-08 $ 21,093

(g) Darius Deshields, claim number SCJ 98-10 $ 4,000

(h) Justin D. Rogers, claim number SCJ 98-11 $ 52,114

(i) Justin Anderson, claim number SCJ 98-12 $ 3,769

(j) R. L. Heaverlo, claim number SCJ 98-13 $ 2,145

(k) James A. Patten, claim number SCJ 98-14 $ 6,963

(l) Robert S. Cain, claim number SCJ 98-15 $ 2,169

(m) Jason Near, claim number SCJ 98-16 $ 4,304

(n) Michael Fontana, claim number SCJ 98-17 $ 3,201

(o) Hillel Schwartz, claim number SCJ 98-18 $ 5,758

(2) Payment from the state wildlife account for damage to crops by wildlife, pursuant to RCW 77.36.040:

Gordon Sylvester, claim number SCG 98-03 $ 6,925

Sec. 713. 1998 c 346 s 717 (uncodified) is amended to read as follows:

INCENTIVE SAVINGS‑-FY 1999. The sum of ((~~seventy-five~~)) one hundred million dollars or so much thereof as may be available on June 30, 1999, from the total amount of unspent fiscal year 1999 state general fund appropriations is appropriated for the purposes of ((~~House Bill No. 2240 or Substitute Senate Bill No. 6045~~)) RCW 43.79.460 in the manner provided in this section.

(1) Of the total appropriated amount, one-half of that portion that is attributable to incentive savings, not to exceed twenty-five million dollars, is appropriated to the savings incentive account for the purpose of improving the quality, efficiency, and effectiveness of agency services, and credited to the agency that generated the savings.

(2) The remainder of the total amount, not to exceed seventy-five million dollars, is appropriated to the education savings account.

(3) For purposes of this section, the total amount of unspent state general fund appropriations does not include the appropriations made in this section or any amounts included in across-the-board allotment reductions under RCW 43.88.110.

NEW SECTION. Sec. 714. A new section is added to 1997 c 149 (uncodified) to read as follows:

The sum of six million dollars is appropriated for the fiscal year ending June 30, 1999, from the general fund to the fair fund for the purposes set forth under RCW 15.76.115. Of this amount, up to two million dollars shall be allotted from the fair fund for each of the fiscal years ending June 30, 1999, June 30, 2000, and June 30, 2001.

(End of part)

PART VIII

OTHER TRANSFERS AND APPROPRIATIONS

Sec. 801. 1998 c 346 s 801 (uncodified) is amended to read as follows:

FOR THE STATE TREASURER‑-STATE REVENUES FOR DISTRIBUTION

General Fund Appropriation for fire insurance

premiums distribution...................... $ ((~~6,617,250~~))

5,645,404

General Fund Appropriation for public utility

district excise tax distribution........... $ ((~~35,183,803~~))

32,201,185

General Fund Appropriation for prosecuting attorneys

salaries................................... $ ((~~2,960,000~~))

2,879,908

General Fund Appropriation for motor vehicle excise

tax distribution........................... $ ((~~84,721,573~~))

60,839,289

General Fund Appropriation for local mass transit

assistance................................. $ ((~~383,208,166~~))

284,666,379

General Fund Appropriation for camper and travel

trailer excise tax distribution............. $ ((~~3,904,937~~))

3,779,292

General Fund Appropriation for boating

safety/education and law enforcement

distribution....................... ........ $ ((~~3,616,000~~))

3,750,381

Aquatic Lands Enhancement Account Appropriation

for harbor improvement revenue distribution $ ((~~142,000~~))

152,342

Liquor Excise Tax Account Appropriation for liquor

excise tax distribution.................... $ ((~~22,287,746~~))

24,134,742

Liquor Revolving Fund Appropriation for liquor

profits distribution....................... $ ((~~36,989,000~~))

50,199,076

Timber Tax Distribution Account Appropriation

for distribution to "Timber" counties...... $ ((~~107,146,000~~))

85,930,224

Municipal Sales and Use Tax Equalization Account

Appropriation.............................. $ ((~~66,860,014~~))

67,308,480

County Sales and Use Tax Equalization Account

Appropriation.............................. $ ((~~11,843,224~~))

11,183,832

Death Investigations Account Appropriation for

distribution to counties for publicly funded

autopsies.................................. $ ((~~1,266,000~~))

1,365,401

County Criminal Justice Account Appropriation... $........................................... ((~~81,354,471~~))

78,354,744

Municipal Criminal Justice Account

Appropriation.............................. $ ((~~32,522,450~~))

32,010,188

County Public Health Account Appropriation..... $ ((~~44,279,086~~))

49,012,899

TOTAL APPROPRIATION................. $ ((~~924,901,720~~))

793,413,766

The total expenditures from the state treasury under the appropriations in this section shall not exceed the funds available under statutory distributions for the stated purposes.

Sec. 802. 1998 c 346 s 802 (uncodified) is amended to read as follows:

WILDLIFE ACCOUNT LOAN. On June 30, 1998, the state treasurer shall lend three million five hundred thousand dollars from the state general fund to the wildlife account. Expenditure of funds is dependent upon the following conditions:

(1) By April 17, 1998, the department of fish and wildlife shall submit an expenditure reduction plan for the 1997-99 biennium for the state wildlife account to the office of financial management, the senate ways and means committee, and the house of representatives appropriations committee. The plan shall specify positions to be eliminated by program. The reductions shall be limited to activities currently funded by the wildlife account.

(2) By April 17, 1998, the department of fish and wildlife shall submit a list of properties proposed for sale, with a site description of each property, to the office of financial management, the senate ways and means committee, and the house of representatives appropriations committee.

(3) Beginning with the fourth quarter of fiscal year 1998, the department of fish and wildlife shall submit quarterly revenue and expenditure reports for the wildlife account to the office of financial management, the senate ways and means committee, and the house of representatives appropriations committee.

(4) The department of fish and wildlife shall develop, with the office of financial management and the department of revenue, a model for forecasting revenues to the state wildlife account. This forecast shall be incorporated into the quarterly revenue and expenditure reports.

(5) By ((~~November 1, 1998~~)) June 30, 1999, the department of fish and wildlife shall submit a six-year financial plan for the state wildlife account for fiscal years 1999-05 to the office of financial management, the senate ways and means committee, and the house of representatives appropriations committee. The plan shall include repayment of this loan by June 30, 2001. If the actual fund balance for the state wildlife account is less than $1,500,000 at the end of the 1999-01 biennium, the date for repayment of the loan is extended to June 30, 2003.

Failure to comply with the terms and conditions of this section shall cause the loan to be immediately payable.

Sec. 803. 1997 c 149 s 802 (uncodified) is amended to read as follows:

FOR THE STATE TREASURER‑-FEDERAL REVENUES FOR DISTRIBUTION

Forest Reserve Fund Appropriation for federal forest

reserve fund distribution.................. $ ((~~58,801,910~~))

56,515,669

General Fund Appropriation for federal flood control

funds distribution......................... $ 4,000

General Fund Appropriation for federal grazing fees

distribution............................... $ ((~~52,000~~))

22,102

General Fund Appropriation for distribution of

federal funds to counties in conformance with

P.L. 97-99 Federal Aid to Counties......... $ ((~~885,916~~))

1,629,491

TOTAL APPROPRIATION................. $ ((~~59,743,826~~))

58,171,262

The total expenditures from the state treasury under the appropriations in this section shall not exceed the funds available under statutory distributions for the stated purposes.

Sec. 804. 1998 c 346 s 803 (uncodified) is amended to read as follows:

FOR THE STATE TREASURER‑-TRANSFERS

General Fund: For transfer to the Water Quality

Account.................................... $ ((~~28,595,900~~))

29,379,600

General Fund: For transfer to the Flood Control

Assistance Account......................... $ 4,000,000

State Convention and Trade Center Account: For

transfer to the State Convention and Trade

Center Operations Account.................. $ ((~~3,877,000~~))

Water Quality Account: For transfer to the Water

Pollution Control Account. Transfers shall be

made at intervals coinciding with deposits of

federal capitalization grant money into the

account. The amounts transferred shall not

exceed the match required for each federal

deposit.................................... $ ((~~21,688,000~~))

29,379,600

State Treasurer's Service Account: For transfer to

the general fund on or before June 30, 1999 an

amount up to $3,600,000 in excess of the cash

requirements of the State Treasurer's Service

Account.................................... $ 3,600,000

Public Works Assistance Account: For transfer to

the Drinking Water Assistance Account...... $ 9,949,000

County Sales and Use Tax Equalization Account:

For transfer to the County Public Health

Account.................................... $ ((~~2,191,498~~))

2,146,222

Sec. 805. 1997 c 149 s 804 (uncodified) is amended to read as follows:

FOR THE DEPARTMENT OF RETIREMENT SYSTEMS‑-TRANSFERS

General Fund Appropriation: For transfer to the

department of retirement systems expense fund

for the administrative expenses of the judicial

retirement system............................... $ 16,000

(End of part)

PART IX

MISCELLANEOUS

Sec. 901. 1997 c 149 s 901 (uncodified) is amended to read as follows:

EXPENDITURE AUTHORIZATIONS. The appropriations contained in this act are maximum expenditure authorizations. Pursuant to RCW 43.88.037, moneys disbursed from the treasury on the basis of a formal loan agreement shall be recorded as loans receivable and not as expenditures for accounting purposes. To the extent that moneys are disbursed on a loan basis, the corresponding appropriation shall be reduced by the amount of loan moneys disbursed from the treasury during the 1997-99 biennium.

Sec. 902. 1998 c 346 s 902 (uncodified) is amended to read as follows:

INFORMATION SYSTEMS PROJECTS. Agencies shall comply with the following requirements regarding information systems projects when specifically directed to do so by this act.

(1) Agency planning and decisions concerning information technology shall be made in the context of its information technology portfolio. "Information technology portfolio" means a strategic management approach in which the relationships between agency missions and information technology investments can be seen and understood, such that: Technology efforts are linked to agency objectives and business plans; the impact of new investments on existing infrastructure and business functions are assessed and understood before implementation; and agency activities are consistent with the development of an integrated, nonduplicative state-wide infrastructure.

(2) Agencies shall use their information technology portfolios in making decisions on matters related to the following:

(a) System refurbishment, acquisitions, and development efforts;

(b) Setting goals and objectives for using information technology in meeting legislatively-mandated missions and business needs;

(d) Ensuring appropriate transfer of technological expertise for the operation of any new systems developed using external resources; and

(e) Progress toward enabling electronic access to public information.

(3) The agency shall produce a feasibility study for information technology projects at the direction of the information services board and in accordance with published department of information services policies and guidelines. At a minimum, such studies shall include a statement of: (a) The purpose or impetus for change; (b) the business value to the agency, including an examination and evaluation of benefits, advantages, and cost; (c) a comprehensive risk assessment based on the proposed project's impact on both citizens and state operations, its visibility, and the consequences of doing nothing; (d) the impact on agency and state-wide information infrastructure; and (e) the impact of the proposed enhancements to an agency's information technology capabilities on meeting service delivery demands.

(4) The agency shall produce a comprehensive management plan for each project. The plan or plans shall address all factors critical to successful completion of each project. The plan(s) shall include, but is not limited to, the following elements: A description of the problem or opportunity that the information technology project is intended to address; a statement of project objectives and assumptions; a definition and schedule of phases, tasks, and activities to be accomplished; and the estimated cost of each phase. The planning for the phased approach shall be such that the business case justification for a project needs to demonstrate how the project recovers cost or adds measurable value or positive cost benefit to the agency's business functions within each development cycle.

(5) The agency shall produce quality assurance plans for information technology projects. Consistent with the direction of the information services board and the published policies and guidelines of the department of information services, the quality assurance plan shall address all factors critical to successful completion of the project and successful integration with the agency and state information technology infrastructure. At a minimum, quality assurance plans shall provide time and budget benchmarks against which project progress can be measured, a specification of quality assurance responsibilities, and a statement of reporting requirements. The quality assurance plans shall set out the functionality requirements for each phase of a project.

(6) A copy of each feasibility study, project management plan, and quality assurance plan shall be provided to the department of information services, the office of financial management, and legislative fiscal committees. The plans and studies shall demonstrate a sound business case that justifies the investment of taxpayer funds on any new project, an assessment of the impact of the proposed system on the existing information technology infrastructure, the disciplined use of preventative measures to mitigate risk, and the leveraging of private-sector expertise as needed. Authority to expend any funds for individual information systems projects is conditioned on the approval of the relevant feasibility study, project management plan, and quality assurance plan by the department of information services and the office of financial management.

(7) Quality assurance status reports shall be submitted to the department of information services, the office of financial management, and legislative fiscal committees at intervals specified in the project's quality assurance plan.

Sec. 903. 1997 c 149 s 903 (uncodified) is amended to read as follows:

VIDEO TELECOMMUNICATIONS. The department of information services shall act as lead agency in coordinating video telecommunications services for state agencies. As lead agency, the department shall develop standards and common specifications for leased and purchased telecommunications equipment and assist state agencies in developing a video telecommunications expenditure plan. No agency may spend any portion of any appropriation in this act for new video telecommunication equipment, new video telecommunication transmission, or new video telecommunication programming, or for expanding current video telecommunication systems without first complying with chapter 43.105 RCW, including but not limited to, RCW 43.105.041(2), and without first submitting a video telecommunications expenditure plan, in accordance with the policies of the department of information services, for review and assessment by the department of information services under RCW 43.105.052. Prior to any such expenditure by a public school, a video telecommunications expenditure plan shall be approved by the superintendent of public instruction. The office of the superintendent of public instruction shall submit the plans to the department of information services in a form prescribed by the department. The office of the superintendent of public instruction shall coordinate the use of video telecommunications in public schools by providing educational information to local school districts and shall assist local school districts and educational service districts in telecommunications planning and curriculum development. Prior to any such expenditure by a public institution of postsecondary education, a telecommunications expenditure plan shall be approved by the higher education coordinating board. The higher education coordinating board shall coordinate the use of video telecommunications for instruction and instructional support in postsecondary education, including the review and approval of instructional telecommunications course offerings.

Sec. 904. 1997 c 149 s 904 (uncodified) is amended to read as follows:

EMERGENCY FUND ALLOCATIONS. Whenever allocations are made from the governor's emergency fund appropriation to an agency that is financed in whole or in part by other than general fund moneys, the director of financial management may direct the repayment of such allocated amount to the general fund from any balance in the fund or funds which finance the agency. No appropriation shall be necessary to effect such repayment.

Sec. 905. 1998 c 346 s 903 (uncodified) is amended to read as follows:

STATUTORY APPROPRIATIONS. In addition to the amounts appropriated in this act for revenues for distribution, state contributions to the law enforcement officers' and fire fighters' retirement system, and bond retirement and interest including ongoing bond registration and transfer charges, transfers, interest on registered warrants, and certificates of indebtedness, there is also appropriated such further amounts as may be required or available for these purposes under any statutory formula or under chapters 39.94 and 39.96 RCW or any proper bond covenant made under law.

Sec. 906. 1997 c 149 s 906 (uncodified) is amended to read as follows:

BOND EXPENSES. In addition to such other appropriations as are made by this act, there is hereby appropriated to the state finance committee from legally available bond proceeds in the applicable construction or building funds and accounts such amounts as are necessary to pay the expenses incurred in the issuance and sale of the subject bonds.

Sec. 907. 1997 c 149 s 907 (uncodified) is amended to read as follows:

LEGISLATIVE FACILITIES. Notwithstanding RCW 43.01.090, the house of representatives, the senate, and the permanent statutory committees shall pay expenses quarterly to the department of general administration facilities and services revolving fund for services rendered by the department for operations, maintenance, and supplies relating to buildings, structures, and facilities used by the legislature for the biennium beginning July 1, 1997.

Sec. 908. 1997 c 149 s 908 (uncodified) is amended to read as follows:

AGENCY RECOVERIES. Except as otherwise provided by law, recoveries of amounts expended pursuant to an appropriation, including but not limited to, payments for material supplied or services rendered under chapter 39.34 RCW, may be expended as part of the original appropriation of the fund to which such recoveries belong, without further or additional appropriation. Such expenditures shall be subject to conditions and procedures prescribed by the director of financial management. The director may authorize expenditure with respect to recoveries accrued but not received, in accordance with generally accepted accounting principles, except that such recoveries shall not be included in revenues or expended against an appropriation for a subsequent fiscal period. This section does not apply to the repayment of loans, except for loans between state agencies.

Sec. 909. 1997 c 149 s 909 (uncodified) is amended to read as follows:

GENERALLY ACCEPTED ACCOUNTING PRINCIPLES. The appropriations of moneys and the designation of funds and accounts by this and other acts of the 1997 legislature shall be construed in a manner consistent with legislation enacted by the 1985, 1987, 1989, 1991, 1993, and 1995 legislatures to conform state funds and accounts with generally accepted accounting principles.

Sec. 910. RCW 72.09.050 and 1995 c 189 s 1 are each amended to read as follows:

The secretary shall manage the department of corrections and shall be responsible for the administration of adult correctional programs, including but not limited to the operation of all state correctional institutions or facilities used for the confinement of convicted felons. In addition, the secretary shall have broad powers to enter into agreements with any federal agency, or any other state, or any Washington state agency or local government providing for the operation of any correctional facility or program for persons convicted of felonies or misdemeanors or for juvenile offenders. Such agreements for counties with local law and justice councils shall be required in the local law and justice plan pursuant to RCW 72.09.300. The agreements may provide for joint operation or operation by the department of corrections, alone, for by any of the other governmental entities, alone. The secretary may expend funds appropriated for the 1997-1999 biennium to enter into agreements with any local government or private organization in any other state, providing for the operation of any correctional facility or program for persons convicted of felonies. The secretary may employ persons to aid in performing the functions and duties of the department. The secretary may delegate any of his or her functions or duties to department employees, including the authority to certify and maintain custody of records and documents on file with the department. The secretary is authorized to promulgate standards for the department of corrections within appropriation levels authorized by the legislature.

Pursuant to the authority granted in chapter 34.05 RCW, the secretary shall adopt rules providing for inmate restitution when restitution is determined appropriate as a result of a disciplinary action.

Sec. 911. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.

Sec. 912. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect immediately.

(End of part)

INDEX PAGE #

AGENCY RECOVERIES............................................. 132

AGRICULTURAL LANDS ACCOUNT.................................... 117

ATTORNEY GENERAL................................................ 3

BOARD OF ACCOUNTANCY........................................... 12

BOND EXPENSES................................................. 132

CENTRAL WASHINGTON UNIVERSITY................................. 113

CITIZENS' COMMISSION ON SALARIES FOR ELECTED OFFICIALS.......... 3

COMMISSION ON JUDICIAL CONDUCT.................................. 2

COMMON SCHOOL CONSTRUCTION.................................... 118

COURT OF APPEALS................................................ 1

DEPARTMENT OF COMMUNITY, TRADE, AND ECONOMIC DEVELOPMENT........ 4

DEPARTMENT OF CORRECTIONS...................................... 55

DEPARTMENT OF ECOLOGY.......................................... 61

DEPARTMENT OF FISH AND WILDLIFE................................ 68

DEPARTMENT OF HEALTH........................................... 49

DEPARTMENT OF LABOR AND INDUSTRIES............................. 46

DEPARTMENT OF LICENSING........................................ 77

DEPARTMENT OF NATURAL RESOURCES................................ 74

DEPARTMENT OF RETIREMENT SYSTEMS

AGRICULTURAL COLLEGE LANDS ACCOUNT............................ 117

CONTRIBUTIONS TO RETIREMENT SYSTEMS........................... 120

OPERATIONS..................................................... 11

TRANSFERS..................................................... 127

DEPARTMENT OF SOCIAL AND HEALTH SERVICES....................... 15

ADMINISTRATION AND SUPPORTING SERVICES PROGRAM................. 42

AGING AND ADULT SERVICES PROGRAM............................... 33

ALCOHOL AND SUBSTANCE ABUSE PROGRAM............................ 38

CHILD SUPPORT PROGRAM.......................................... 43

CHILDREN AND FAMILY SERVICES PROGRAM........................... 16

DEVELOPMENTAL DISABILITIES PROGRAM............................. 29

ECONOMIC SERVICES PROGRAM...................................... 36

JUVENILE REHABILITATION PROGRAM................................ 21

MEDICAL ASSISTANCE PROGRAM..................................... 39

MENTAL HEALTH PROGRAM.......................................... 25

PAYMENTS TO OTHER AGENCIES PROGRAM............................. 44

VOCATIONAL REHABILITATION PROGRAM.............................. 41

DEPARTMENT OF VETERANS AFFAIRS................................. 49

DISASTER RESPONSE ACCOUNT..................................... 117

EMERGENCY FUND ALLOCATIONS.................................... 131

EMPLOYMENT SECURITY DEPARTMENT................................. 59

EXPENDITURE AUTHORIZATIONS.................................... 128

GENERALLY ACCEPTED ACCOUNTING PRINCIPLES...................... 132

INCENTIVE SAVINGS

FY 1999....................................................... 122

INFORMATION SYSTEMS PROJECTS.................................. 128

LEGISLATIVE FACILITIES........................................ 132

MILITARY DEPARTMENT............................................ 13

OFFICE OF FINANCIAL MANAGEMENT

FIRE-RELATED CONTINGENCY COSTS................................ 117

YEAR 2000 ALLOCATIONS......................................... 118

YEAR 2000 CONTINGENCY POOL.................................... 119

YEAR 2000 CONVERSION.......................................... 119

PUBLIC DISCLOSURE COMMISSION.................................... 2

STATE BOARD OF EDUCATION...................................... 110

STATE HEALTH CARE AUTHORITY.................................... 44

STATE PARKS AND RECREATION COMMISSION.......................... 66

STATE PATROL................................................... 79

STATE TREASURER

BOND RETIREMENT AND INTEREST.................................. 116

FEDERAL REVENUES FOR DISTRIBUTION............................. 125

STATE REVENUES FOR DISTRIBUTION............................... 123

TRANSFERS..................................................... 126

STATUTORY APPROPRIATIONS...................................... 131

SUNDRY CLAIMS................................................. 121

SUPERINTENDENT OF PUBLIC INSTRUCTION

EDUCATION REFORM PROGRAMS..................................... 104

GENERAL APPORTIONMENT (BASIC EDUCATION)........................ 89

INSTITUTIONAL EDUCATION PROGRAMS.............................. 103

LEARNING ASSISTANCE PROGRAM................................... 107

LOCAL EFFORT ASSISTANCE....................................... 103

LOCAL ENHANCEMENT FUNDS....................................... 108

PROGRAMS FOR HIGHLY CAPABLE STUDENTS.......................... 104

PUPIL TRANSPORTATION........................................... 98

SCHOOL EMPLOYEE COMPENSATION ADJUSTMENTS....................... 96

SPECIAL EDUCATION PROGRAMS..................................... 99

STATE ADMINISTRATION........................................... 82

TRANSITIONAL BILINGUAL PROGRAMS............................... 106

UNIVERSITY OF WASHINGTON...................................... 111

VIDEO TELECOMMUNICATIONS...................................... 130

WASHINGTON STATE UNIVERSITY AGRICULTURAL PERMANENT ACCOUNT.... 117

WESTERN WASHINGTON UNIVERSITY................................. 114

WILDLIFE ACCOUNT.............................................. 124