VETO MESSAGE ON SB 5693-S

                   May 18, 1999

To the Honorable President and Members,

  The Senate of the State of Washington

Ladies and Gentlemen:

     I am returning herewith, without my approval as to sections 3 and 6, Engrossed Substitute Senate Bill No. 5693 entitled:

"AN ACT Relating to establishing a public/private endowment for developmental disabilities services;"

     Engrossed Substitute Senate Bill No. 5693 creates a developmental disabilities fund that is funded through private contributions and state appropriations.  Its intent is to encourage and assist families engaging in long-range financial planning for the lifetime care of family members with disabilities by seeking private contributions to a state managed endowment.

     While I agree with this intent and understand the desire of parents to make sure that they have planned for the lifetime care of a family member with disabilities, there are many fundamental policy issues unanswered in this bill:

!The legislation contains no definition of "developmentally disabled."  A state-supported endowment should use the same or very similar definition as used in other state-funded programs for people with developmental disabilities in order to allow coordination with existing state-supported programs.

!This legislation provides no opportunity for the State Investment Board to invest in non-governmental securities.

!This legislation does not preclude using state funds for additional services beyond the case management plan.  State dollars should not be used to fund additional services beyond a case management plan.

!It needs clarification that while a governing board will work out the rules in concert with the Department of Community, Trade and Economic Development (CTED), it is CTED that will formally adopt the rules.  CTED should adopt any rules needed to govern provision of services and dispersal of funds.

!It is unclear if the program is just for individuals whose families contribute, or for all families.  Provisions must be made for distribution of funds when contributions are made by entities that do not have family members benefiting from the fund.

!It is unclear as to the responsibility of the endowment fund when funds last longer than the life of a person with developmental disabilities or when the person lives longer than fund contributions.

     Section 3 of the bill is related to the powers of the State Investment Board with regard to the endowment.  Section 6 relates to the development of the proposed operating plan.  My intent with this veto is to allow the creation of an endowment, but remove mechanisms for distribution of funds and functions for the governing board.  I anticipate that the policy concerns I have outlined will be dealt with during the next legislative session.

     For these reasons, I have vetoed sections 3 and 6 of Engrossed Substitute Senate Bill No. 5693.

     With the exception of sections 3 and 6, Engrossed Substitute Senate Bill No. 5693 is approved."

                   Respectfully submitted,

                   Gary Locke

                   Governor