HOUSE BILL REPORT

HB 2508

As Reported by House Committee On:

Local Government & Housing

Title:  An act relating to medical plans for elected city officials.

Brief Description:  Revising provisions relating to medical plans for elected city officials.

Sponsors:  Representatives Berkey, Casada, Dunshee, DeBolt, Sullivan, Crouse and Kirby.

Brief History:

Committee Activity:

Local Government & Housing:  1/31/02 [DP].

Brief Summary of Bill

$Adds city and town elected officials to the list of elected officials for whom the cost of a health insurance policy is not considered additional compensation.

HOUSE COMMITTEE ON LOCAL GOVERNMENT & HOUSING

Majority Report:  Do pass. Signed by 11 members: Representatives Dunshee, Chair; Edwards, Vice Chair; Mulliken, Ranking Minority Member; Berkey, Crouse, DeBolt, Dunn, Hatfield, Kirby, Mielke and Sullivan.

Staff:  Scott MacColl (786‑7106).

Background:

A county, city, or other political subdivision may provide for part or all of a health insurance plan for its employees and elected officials. 

Municipal elected officials are prohibited from receiving salary increases in the same term of office in which the increase was voted.  The cost of the plan to the public agency is not additional compensation to the employees or elected officials that are covered by the plan.  The elected officials for whom coverage is not considered additional compensation are school, fire, port, public utility, water‑sewer, public hospital, and irrigation district elected commissioners and any county elected officials.

Summary of  Bill:

The elected officials for whom the cost of medical plans is not considered additional compensation, is expanded to include all city and town elected officials. The decision by a city or town to extend a policy or plan, must be included on the council agenda, adopted in an open meeting, and included as a line item in the city budget.

Appropriation:  None.

Fiscal Note:  Not Requested.

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

Testimony For:  This bill is about equity for local government officials.  The authority is probably already in statute, however clarity would be better.  This bill provides specific clarification that whoever provides insurance, the insurance is not considered additional compensation within the same term of office.

Testimony Against:  None.

Testified:  Representative Berkey, prime sponsor; Ron Rosenbloom, Association of Washington Cities.