BILL REQ. #:  Z-0526.1 



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HOUSE BILL 1448
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State of Washington58th Legislature2003 Regular Session

By Representatives Sommers, Fromhold and Wallace; by request of Office of Financial Management

Read first time 01/27/2003.   Referred to Committee on Appropriations.



     AN ACT Relating to general government-related statutory changes necessary to implement the 2003-2005 omnibus operating appropriations bill; amending RCW 43.185.050, 43.330.090, 43.132.020, 43.132.030, 43.132.800, 43.132.810, 27.04.045, 27.04.100, 27.18.010, 27.12.100, 40.06.020, 17.15.040, 40.06.030, 42.30.110, 70.95C.060, 41.45.010, 41.45.054, and 41.45.060; reenacting and amending RCW 41.45.070 and 43.135.045; repealing RCW 43.07.220, 43.07.230, 43.07.240, 43.07.365, 36.27.100, 36.27.110, 36.27.120, 38.52.040, and 43.105.290; providing an effective date; and declaring an emergency.

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

Sec. 1   RCW 43.185.050 and 2002 c 294 s 6 are each amended to read as follows:
     (1) The department shall use moneys from the housing trust fund and other legislative appropriations to finance in whole or in part any loans or grant projects that will provide housing for persons and families with special housing needs and with incomes at or below fifty percent of the median family income for the county or standard metropolitan statistical area where the project is located. At least thirty percent of these moneys used in any given funding cycle shall be for the benefit of projects located in rural areas of the state as defined by the department. If the department determines that it has not received an adequate number of suitable applications for rural projects during any given funding cycle, the department may allocate unused moneys for projects in nonrural areas of the state.
     (2) Activities eligible for assistance from the housing trust fund and other legislative appropriations include, but are not limited to:
     (a) New construction, rehabilitation, or acquisition of low and very low-income housing units;
     (b) Rent subsidies;
     (c) Matching funds for social services directly related to providing housing for special-need tenants in assisted projects;
     (d) Technical assistance, design and finance services and consultation, and administrative costs for eligible nonprofit community or neighborhood-based organizations;
     (e) Administrative costs for housing assistance groups or organizations when such grant or loan will substantially increase the recipient's access to housing funds other than those available under this chapter;
     (f) Shelters and related services for the homeless, including emergency shelters and overnight youth shelters;
     (g) Mortgage subsidies, including temporary rental and mortgage payment subsidies to prevent homelessness;
     (h) Mortgage insurance guarantee or payments for eligible projects;
     (i) Down payment or closing cost assistance for eligible first-time home buyers;
     (j) Acquisition of housing units for the purpose of preservation as low-income or very low-income housing; and
     (k) Projects making housing more accessible to families with members who have disabilities.
     (3) Legislative appropriations from capital bond proceeds may be used only for the costs of projects authorized under subsection (2)(a), (i), and (j) of this section, and not for the administrative costs of the department.
     (4) Moneys from repayment of loans from appropriations from capital bond proceeds may be used for all activities necessary for the proper functioning of the housing assistance program except for activities authorized under subsection (2)(b) and (c) of this section.
     (5) Administrative costs of the department shall not exceed ((four)) five percent of the annual funds available for the housing assistance program.

Sec. 2   RCW 43.330.090 and 1998 c 245 s 85 are each amended to read as follows:
     (1) The department shall work with private sector organizations, local governments, local economic development organizations, and higher education and training institutions to assist in the development of strategies to diversify the economy, facilitate technology transfer and diffusion, and increase value-added production by focusing on targeted sectors. The targeted sectors may include, but are not limited to, software, forest products, biotechnology, environmental industries, recycling markets and waste reduction, aerospace, food processing, tourism, film and video, microelectronics, new materials, robotics, and machine tools. The department shall, on a continuing basis, evaluate the potential return to the state from devoting additional resources to a targeted sector's approach to economic development and including additional sectors in its efforts. The department shall use information gathered in each service delivery region in formulating its sectoral strategies and in designating new targeted sectors.
     (2) The department shall ensure that the state continues to pursue a coordinated program to expand the tourism industry throughout the state in cooperation with the public and private tourism development organizations. The department shall work to provide a balance of tourism activities throughout the state and during different seasons of the year. ((In addition, the department shall promote, market, and encourage growth in the production of films and videos, as well as television commercials within the state; to this end the department is directed to assist in the location of a film and video production studio within the state.))
     (3) In assisting in the development of a targeted sector, the department's activities may include, but are not limited to:
     (a) Conducting focus group discussions, facilitating meetings, and conducting studies to identify members of the sector, appraise the current state of the sector, and identify issues of common concern within the sector;
     (b) Supporting the formation of industry associations, publications of association directories, and related efforts to create or expand the activities or industry associations;
     (c) Assisting in the formation of flexible networks by providing (i) agency employees or private sector consultants trained to act as flexible network brokers and (ii) funding for potential flexible network participants for the purpose of organizing or implementing a flexible network;
     (d) Helping establish research consortia;
     (e) Facilitating joint training and education programs;
     (f) Promoting cooperative market development activities;
     (g) Analyzing the need, feasibility, and cost of establishing product certification and testing facilities and services; and
     (h) Providing for methods of electronic communication and information dissemination among firms and groups of firms to facilitate network activity.

Sec. 3   RCW 43.132.020 and 2000 c 182 s 2 are each amended to read as follows:
     The director of financial management or the director's designee shall, in cooperation with appropriate legislative committees and legislative staff, establish a mechanism for the determination of the fiscal impact of proposed legislation which if enacted into law would directly or indirectly increase or decrease revenues received or expenditures incurred by counties, cities, towns, or any other units of local government. The office of financial management shall, when requested by a member of the state legislature, report in writing as to such fiscal impact and said report shall be known as a "fiscal note".
     Such fiscal notes shall indicate by fiscal year the total impact on the local governments involved for the first two years the legislation would be in effect and also a cumulative six year forecast of the fiscal impact. Where feasible and applicable, the fiscal note also shall indicate the fiscal impact on each individual county or on a representative sampling of cities, towns, or other units of local government.
     A fiscal note as defined in this section shall be provided only upon request of any member of the state legislature. A request for a fiscal note on legislation shall be considered to be a continuing request for a fiscal note on any formal alteration of the legislation in the form of amendments to the legislation that are adopted by a committee or a house of the legislature or a substitute version of such legislation that is adopted by a committee and preparation of the fiscal note on the prior version of the legislation shall stop, unless the legislator requesting the fiscal note specifies otherwise or the altered version is first adopted or enacted in the last week of a legislative session.
     Fiscal notes shall be completed within one week of the request unless a longer time period is allowed by the requesting legislator. In the event a fiscal note has not been completed within one week of a request, a daily report shall be prepared for the requesting legislator by the director of financial management which report summarizes the progress in preparing the fiscal note. If the request is referred to the ((director of community, trade, and economic development)) municipal research council created in chapter 43.110 RCW, the daily report shall also include the date and time such referral was made.

Sec. 4   RCW 43.132.030 and 1995 c 399 s 80 are each amended to read as follows:
     The director of financial management ((is hereby empowered to)) may designate the ((director of community, trade, and economic development as the official)) municipal research council as responsible for the preparation of fiscal notes authorized and required by this chapter. It is the intent of the legislature that when necessary the resources of other state agencies, appropriate legislative staffs, and the various associations of local government may be employed in the development of such fiscal notes.

Sec. 5   RCW 43.132.800 and 2000 c 182 s 5 are each amended to read as follows:
     (1) The office of financial management, in consultation with the ((department of community, trade, and economic development)) municipal research council, shall annually prepare a report on the fiscal impacts to counties, cities, towns, and other units of local governments, arising from selected laws enacted in the preceding five-year period. The office of financial management, in consultation with the ((department of community, trade, and economic development)) municipal research council, shall annually select up to five laws to include within this report from a recommended list of laws approved by the legislature. The office of financial management, in consultation with the ((department of community, trade, and economic development)) municipal research council, may select up to five laws to include within this report if the legislature does not approve a recommended list.
     (2) The preparation of the reports required in subsection (1) of this section is subject to available funding.

Sec. 6   RCW 43.132.810 and 2000 c 182 s 6 are each amended to read as follows:
     The office of financial management, in consultation with the ((department of community, trade, and economic development)) municipal research council, shall prepare a report for the legislature on or before December 31st of every even-numbered year on local government fiscal notes, and reports on the fiscal impacts on local governments arising from selected laws, that were prepared over the preceding two-year period.

Sec. 7   RCW 27.04.045 and 2002 c 342 s 3 are each amended to read as follows:
     Within available resources appropriated for these purposes, the state librarian shall be responsible and accountable for the following functions:
     (1) Establishing content-related standards for common formats and agency indexes for state agency-produced information. In developing these standards, the state librarian is encouraged to seek involvement of, and comments from, public and private entities with an interest in such standards;
     (2) Managing and administering the state library;
     (3) Exerting leadership in information access and the development of library services;
     (4) Acquiring library materials, equipment, and supplies by purchase, exchange, gift, or otherwise((; and, as appropriate, assisting the legislature, other state agencies, and other libraries in the cost-effective purchase of information resources));
     (5) Employing and terminating personnel in accordance with chapter 41.06 RCW as may be necessary to implement the purposes of this chapter;
     (6) Entering into agreements with other public or private entities as a means of implementing the mission, goals, and objectives of the state library and the entity with which it enters such agreements. In agreements for services between the library and other state agencies, the library may negotiate an exchange of services in lieu of monetary reimbursement for the library's indirect or overhead costs, when such an arrangement facilitates the delivery of library services;
     (7) ((Maintaining a library at the state capitol grounds to effectively provide library and information services to members of the legislature, state officials, and state employees in connection with their official duties;
     (8)
)) Serving as the depository for newspapers published in the state of Washington thus providing a central location for a valuable historical record for scholarly, personal, and commercial reference and circulation;
     (((9))) (8) Promoting and facilitating electronic access to public information and services, including providing, or providing for, a service that identifies, describes, and provides location information for government information through electronic means, and that assists government agencies in making their information more readily available to the public;
     (((10))) (9) Collecting ((and distributing copies of)) state publications, as defined in RCW 40.06.010, prepared by any state agency for distribution. The state library shall maintain the state publications distribution center, as provided in chapter 40.06 RCW. The office of the secretary of state, on recommendation of the state librarian, may provide by rule for deposit with the state library of up to three copies of each publication;
     (((11))) (10) Providing for the sale of library material in accordance with RCW 27.12.305;
     (((12) Providing advisory services to state agencies regarding their information needs;
     (13) Providing for library and information service to residents and staff of state-supported residential institutions;
     (14)
)) (11) Providing for library and information services to persons throughout the state who are blind and/or physically handicapped;
     (((15))) (12) Assisting individuals and groups such as libraries, library boards, governing bodies, and citizens throughout the state toward the establishment and development of library services;
     (((16))) (13) Making studies and surveys of library needs in order to provide, expand, enlarge, and otherwise improve access to library facilities and services throughout the state;
     (((17))) (14) Serving as an interlibrary loan, information, reference, and referral resource for all libraries in the state. The state library may charge lending fees to other libraries that charge the state library for similar services. Money paid as fees shall be retained by the state library as a recovery of costs; and
     (((18))) (15) Accepting and expending in accordance with the terms thereof grants of federal, state, local, or private funds. For the purpose of qualifying to receive such grants, the state librarian is authorized to make applications and reports required by the grantor.

Sec. 8   RCW 27.04.100 and 1990 c 68 s 1 are each amended to read as follows:
     (1) In recognition of prison overcrowding and the hazardous nature of employment in state institutions and offices, the legislature hereby provides a supplementary program to reimburse employees ((of the state library)) working in institutional libraries for some of their costs attributable to their being the victims of offender or resident assaults. This program shall be limited to the reimbursement provided in this section.
     (2) An employee is only entitled to receive the reimbursement provided in this section if the ((state librarian, or the state librarian's designee,)) director of the agency in which the institutional library is located finds that each of the following has occurred:
     (a) An offender or resident has assaulted the employee while the employee is performing the employee's official duties and as a result thereof the employee has sustained injuries which have required the employee to miss days of work; and
     (b) The assault cannot be attributable to any extent to the employee's negligence, misconduct, or failure to comply with any rules or conditions of employment.
     (3) The reimbursement authorized under this section shall be as follows:
     (a) The employee's accumulated sick leave days shall not be reduced for the workdays missed;
     (b) For each workday missed for which the employee is not eligible to receive compensation under chapter 51.32 RCW, the employee shall receive full pay; and
     (c) With respect to workdays missed for which the employee will receive or has received compensation under chapter 51.32 RCW, the employee shall be reimbursed in an amount which, when added to that compensation, will result in the employee receiving full pay for the workdays missed.
     (4) Reimbursement under this section may not last longer than three hundred sixty-five consecutive days after the date of the injury.
     (5) The employee shall not be entitled to the reimbursement provided in subsection (3) of this section for any workday for which the ((state librarian, or the state librarian's designee,)) agency director finds that the employee has not diligently pursued his or her compensation remedies under chapter 51.32 RCW.
     (6) The reimbursement shall only be made for absences which the ((state librarian, or the state librarian's designee,)) agency director believes are justified.
     (7) While the employee is receiving reimbursement under this section, he or she shall continue to be classified as a state employee and the reimbursement amount shall be considered as salary or wages.
     (8) All reimbursement payments required to be made to employees under this section shall be made by the ((state library)) agency for whom the employee works. The payments shall be considered as a salary or wage expense and shall be paid by the ((state library)) agency in the same manner and from the same appropriations as other salary and wage expenses of the ((state library)) agency.
     (9) Should the legislature revoke the reimbursement authorized under this section or repeal this section, no affected employee is entitled thereafter to receive the reimbursement as a matter of contractual right.
     (10) For the purposes of this section, "offender or resident" means: (a) Inmate as defined in RCW 72.09.020, (b) offender as defined in RCW 9.94A.030, (c) any other person in the custody of or subject to the jurisdiction of the department of corrections, or (d) a resident of a state institution.

Sec. 9   RCW 27.18.010 and 1982 c 123 s 17 are each amended to read as follows:
     As used in this chapter, except where the context otherwise requires:
     (1) "Compact" means the interstate library compact.
     (2) "Public library agency", with reference to this state, means the state library and any county or city library or any regional library, rural county library district library, island library district library, or intercounty rural library district library.
     (((3) "State library agency", with reference to this state, means the commissioners of the state library.))

Sec. 10   RCW 27.12.100 and 1965 c 63 s 1 are each amended to read as follows:
     An intercounty rural library district shall be established by joint action of two or more counties proceeding by either of the following alternative methods:
     (1) The boards of county commissioners of any two or more counties shall adopt identical resolutions proposing the formation of such a district to include all of the areas outside of incorporated cities or towns in such counties as may be designated in such resolutions. In lieu of such resolutions a petition of like purport signed by ten percent of the registered voters residing outside of incorporated cities or towns of a county, may be filed with the county auditor thereof, and shall have the same effect as a resolution. The proposition for the formation of the district as stated on the petition shall be prepared by the attorney general ((upon request of the state library commission)). Action to initiate the formation of such a district shall become ineffective in any county if corresponding action is not completed within one year thereafter by each other county included in such proposal. The county auditor in each county shall check the validity of the signatures on the petition and shall certify to the board of county commissioners the sufficiency of the signatures. If each petition contains the signatures of ten percent of the registered voters residing outside the incorporated cities and towns of the county, each board of county commissioners shall pass a resolution calling an election for the purpose of submitting the question to the voters and setting the date of said election. When such action has been taken in each of the counties involved, notification shall be made by each board of county commissioners to the board of county commissioners of the county having the largest population according to the last federal census, who shall give proper notification to each county auditor. At the next general or special election held in the respective counties there shall be submitted to the voters in the areas outside of incorporated cities and towns a question as to whether an intercounty rural library district shall be established as outlined in the resolutions or petitions. Notice of said election shall be given the county auditor pursuant to RCW 29.27.080. The county auditor shall provide for the printing of a separate ballot and shall provide for the distribution of ballots to the polling places pursuant to RCW 29.04.020. The county auditor shall instruct the election boards in split precincts. The respective county canvassing boards in each county to be included within the intercounty rural library district shall canvass the votes and certify the results to the county auditor pursuant to chapter 29.62 RCW; the result shall then be certified by each county auditor to the county auditor of the county having the largest population according to the last federal census. If a majority of the electors voting on the proposition in each of the counties affected shall vote in favor of such district it shall thereby become established, and the board of county commissioners of the county having the largest population according to the last federal census shall declare the intercounty rural library district established. If two or more of the counties affected are in an existing intercounty rural library district, then the electors in areas outside incorporated cities and towns in those counties shall vote as a unit and the electors in areas outside incorporated cities and towns in each of the other affected counties shall vote as separate units. If a majority of the electors voting on the proposition in the existing district and a majority of the voters in any of the other affected counties shall vote in favor of an expanded intercounty rural library district it shall thereby become established.
     (2) The county commissioners of two or more counties meeting in joint session attended by a majority of the county commissioners of each county may, by majority vote of those present, order the establishment of an intercounty rural library district to include all of the area outside of incorporated cities and towns in as many of the counties represented at such joint meeting as shall be determined by resolution of such joint meeting. If two or more counties are in an existing intercounty rural library district, then a majority vote of all of the commissioners present from those counties voting as a unit, and a majority vote of the commissioners present from any other county shall cause the joint session to order the establishment of an expanded intercounty rural library district. No county, however, shall be included in such district if a majority of its county commissioners vote against its inclusion in such district.

Sec. 11   RCW 40.06.020 and 2002 c 342 s 5 are each amended to read as follows:
     There is hereby created as a division of the state library, and under the direction of the state librarian, a state publications distribution center. Within funds appropriated for this purpose, the center shall utilize the depository library system to permit citizens economical and convenient access to state publications. To this end the secretary of state shall make such rules as may be deemed necessary to carry out the provisions of this chapter.

Sec. 12   RCW 17.15.040 and 1997 c 357 s 5 are each amended to read as follows:
     (1) The interagency integrated pest management coordinating committee is created. The committee is composed of the integrated pest management coordinator from each agency or institution listed under RCW 17.15.020 and the representatives designated under RCW 17.15.030. The coordinator from the department of agriculture shall serve as chair of the committee.
     (2) The interagency integrated pest management coordinating committee shall share information among the state agencies and institutions and facilitate interagency coordination.
     (3) The interagency integrated pest management coordinating committee shall meet at least two times a year. All meetings of the committee must be open to the public. The committee shall give public notice of each meeting.
     (4) By November 30th of each odd-numbered year up to and including November 30th, 2001, the department of agriculture, with the advice of the interagency integrated pest management coordinating committee, shall prepare a report on the progress of integrated pest management programs. ((The report is to be made available through the state library and placed on the legislative alert list.))

Sec. 13   RCW 40.06.030 and 1977 ex.s. c 232 s 10 are each amended to read as follows:
     (1) Every state agency shall promptly deposit copies of each of its state publications with the state library in quantities as certified by the state librarian as required to meet the needs of the depository library system. Upon consent of the issuing state agency such state publications as are printed by the public printer shall be delivered directly to the ((center)) library.
     (2) In the interest of economy and efficiency, the state librarian may specifically or by general rule exempt a given state publication or class of publications from the requirements of this section in full or in part.

Sec. 14   RCW 42.30.110 and 2001 c 216 s 1 are each amended to read as follows:
     (1) Nothing contained in this chapter may be construed to prevent a governing body from holding an executive session during a regular or special meeting:
     (a) To consider matters affecting national security;
     (b) To consider the selection of a site or the acquisition of real estate by lease or purchase when public knowledge regarding such consideration would cause a likelihood of increased price;
     (c) To consider the minimum price at which real estate will be offered for sale or lease when public knowledge regarding such consideration would cause a likelihood of decreased price. However, final action selling or leasing public property shall be taken in a meeting open to the public;
     (d) To review negotiations on the performance of publicly bid contracts when public knowledge regarding such consideration would cause a likelihood of increased costs;
     (e) To consider, in the case of an export trading company, financial and commercial information supplied by private persons to the export trading company;
     (f) To receive and evaluate complaints or charges brought against a public officer or employee. However, upon the request of such officer or employee, a public hearing or a meeting open to the public shall be conducted upon such complaint or charge;
     (g) To evaluate the qualifications of an applicant for public employment or to review the performance of a public employee. However, subject to RCW 42.30.140(4), discussion by a governing body of salaries, wages, and other conditions of employment to be generally applied within the agency shall occur in a meeting open to the public, and when a governing body elects to take final action hiring, setting the salary of an individual employee or class of employees, or discharging or disciplining an employee, that action shall be taken in a meeting open to the public;
     (h) To evaluate the qualifications of a candidate for appointment to elective office. However, any interview of such candidate and final action appointing a candidate to elective office shall be in a meeting open to the public;
     (i) To discuss with legal counsel representing the agency matters relating to agency enforcement actions, or to discuss with legal counsel representing the agency litigation or potential litigation to which the agency, the governing body, or a member acting in an official capacity is, or is likely to become, a party, when public knowledge regarding the discussion is likely to result in an adverse legal or financial consequence to the agency.
     This subsection (1)(i) does not permit a governing body to hold an executive session solely because an attorney representing the agency is present. For purposes of this subsection (1)(i), "potential litigation" means matters protected by RPC 1.6 or RCW 5.60.060(2)(a) concerning:
     (A) Litigation that has been specifically threatened to which the agency, the governing body, or a member acting in an official capacity is, or is likely to become, a party;
     (B) Litigation that the agency reasonably believes may be commenced by or against the agency, the governing body, or a member acting in an official capacity; or
     (C) Litigation or legal risks of a proposed action or current practice that the agency has identified when public discussion of the litigation or legal risks is likely to result in an adverse legal or financial consequence to the agency;
     (j) To consider, in the case of the state library ((commission)) or its advisory bodies, western library network prices, products, equipment, and services, when such discussion would be likely to adversely affect the network's ability to conduct business in a competitive economic climate. However, final action on these matters shall be taken in a meeting open to the public;
     (k) To consider, in the case of the state investment board, financial and commercial information when the information relates to the investment of public trust or retirement funds and when public knowledge regarding the discussion would result in loss to such funds or in private loss to the providers of this information.
     (2) Before convening in executive session, the presiding officer of a governing body shall publicly announce the purpose for excluding the public from the meeting place, and the time when the executive session will be concluded. The executive session may be extended to a stated later time by announcement of the presiding officer.

Sec. 15   RCW 70.95C.060 and 1988 c 177 s 6 are each amended to read as follows:
     (1) The office shall establish a statewide waste reduction hot line with the capacity to refer waste generators and the public to sources of information on specific waste reduction techniques and procedures. The hot line shall coordinate with all other state waste hot lines.
     (2) The director shall ((work with the state library to)) establish a data base system that shall include proven waste reduction techniques and case studies of effective waste reduction. The data base system shall be: (a) Coordinated with all other state agency data bases on waste reduction; (b) administered in conjunction with the statewide waste reduction hot line; and (c) readily accessible to the public.

Sec. 16   RCW 41.45.010 and 2002 c 26 s 3 are each amended to read as follows:
     It is the intent of the legislature to provide a dependable and systematic process for funding the benefits provided to members and retirees of the public employees' retirement system, chapter 41.40 RCW; the teachers' retirement system, chapter 41.32 RCW; the law enforcement officers' and fire fighters' retirement systems, chapter 41.26 RCW; the school employees' retirement system, chapter 41.35 RCW; and the Washington state patrol retirement system, chapter 43.43 RCW.
     The legislature finds that the funding status of the state retirement systems has improved dramatically since 1989. Because of the big reduction in unfunded pension liabilities, it is now prudent to adjust the long-term economic assumptions that are used in the actuarial studies conducted by the state actuary. The legislature finds that it is reasonable to increase the salary growth assumption in light of Initiative Measure No. 732, to increase the investment return assumption in light of the asset allocation policies and historical returns of the state investment board, and to reestablish June 30, 2024, as the target date to achieve full funding of all liabilities in the public employees' retirement system plan 1, the teachers' retirement system plan 1, and the law enforcement officers' and fire fighters' retirement system plan 1.
     The funding process established by this chapter is intended to achieve the following goals:
     (1) To continue to fully fund the public employees' retirement system plans 2 and 3, the teachers' retirement system plans 2 and 3, the school employees' retirement system plans 2 and 3, and the law enforcement officers' and fire fighters' retirement system plan 2 as provided by law;
     (2) To fully amortize the total costs of the public employees' retirement system plan 1, the teachers' retirement system plan 1, and the law enforcement officers' and fire fighters' retirement system plan 1, not later than June 30, 2024;
     (3) To establish predictable long-term employer contribution rates which will remain a relatively constant proportion of the future state budgets, while allowing for adjustments to reflect changing economic, demographic, and financial conditions; and
     (4) To fund, to the extent feasible, benefit increases for plan 1 members and all benefits for plan 2 and 3 members over the working lives of those members so that the cost of those benefits are paid by the taxpayers who receive the benefit of those members' service.

Sec. 17   RCW 41.45.054 and 2002 c 7 s 1 are each amended to read as follows:
     The basic employer and state contribution rates and plan 2 member contribution rates are changed to reflect the 2000 actuarial valuation, incorporating the 1995-2000 actuarial experience study conducted by the office of the state actuary, and to reflect changes in actuarial methods adopted by the 2003 legislature. The results of the 2000 actuarial valuation shall be adjusted to reflect an April 1, 2002, implementation date.
     (1) Beginning ((April 1, 2002)) July 1, 2003, the following employer contribution rates shall be charged:
     (a) ((1.10)) 1.40 percent for the public employees' retirement system; and
     (b) ((2.64)) 3.03 percent for the law enforcement officers' and fire fighters' retirement system plan 2.
     (2) Beginning ((April 1, 2002)) July 1, 2003, the basic state contribution rate for the law enforcement officers' and fire fighters' retirement system plan 2 shall be ((1.75)) 2.02 percent.
     (3) Beginning ((April 1, 2002)) September 1, 2003, the following employer contribution rates shall be charged:
     (a) ((0.96)) 1.40 percent for the school employees' retirement system; and
     (b) ((1.05)) 1.0 percent for the teachers' retirement system.
     (4) Beginning ((April 1, 2002)) July 1, 2003, the following member contribution rates shall be charged:
     (a) ((0.65)) 0.80 percent for the public employees' retirement system plan 2; and
     (b) ((4.39)) 5.05 percent for the law enforcement officers' and fire fighters' retirement system plan 2.
     (5) Beginning ((April 1, 2002)) September 1, 2003, the following member contribution rates shall be charged:
     (a) ((0.35)) 0.80 percent for the school employees' retirement system plan 2; and
     (b) ((0.15)) 0.0 percent for the teachers' retirement system plan 2.
     (((6) The contribution rates in this section shall be collected through June 30, 2003.))

Sec. 18   RCW 41.45.060 and 2002 c 26 s 2 are each amended to read as follows:
     (1) The state actuary shall provide actuarial valuation results based on the economic assumptions and asset value smoothing technique included in RCW 41.45.035 or adopted by the council under RCW 41.45.030 or 41.45.035.
     (2) Not later than September 30, 2002, and every two years thereafter, consistent with the economic assumptions and asset value smoothing technique included in RCW 41.45.035 or adopted under RCW 41.45.030 or 41.45.035, the council shall adopt and may make changes to:
     (a) A basic state contribution rate for the law enforcement officers' and fire fighters' retirement system;
     (b) Basic employer contribution rates for the public employees' retirement system, the teachers' retirement system, and the Washington state patrol retirement system to be used in the ensuing biennial period; and
     (c) A basic employer contribution rate for the school employees' retirement system for funding both that system and the public employees' retirement system plan 1.
     The contribution rates adopted by the council shall be subject to revision by the legislature.
     (3) The employer and state contribution rates adopted by the council shall be the level percentages of pay that are needed:
     (a) To fully amortize the total costs of the public employees' retirement system plan 1, the teachers' retirement system plan 1, and the law enforcement officers' and fire fighters' retirement system plan 1 not later than June 30, 2024, except as provided in subsection (5) of this section. The net contribution rate developed in subsection (4) of this section shall be used as the normal cost;
     (b) To also continue to fully fund the public employees' retirement system plans 2 and 3, the teachers' retirement system plans 2 and 3, the school employees' retirement system plans 2 and 3, and the law enforcement officers' and fire fighters' retirement system plan 2 in accordance with RCW 41.45.061, 41.45.067, and this section; and
     (c) For the law enforcement officers' and fire fighters' system plan 2 the rate charged to employers, except as provided in RCW 41.26.450, shall be thirty percent of the cost of the retirement system and the rate charged to the state shall be twenty percent of the cost of the retirement system.
     (4) The ((aggregate actuarial cost)) projected unit credit method with a fifteen-year amortization of unfunded liabilities shall be used to calculate a combined plan 2 and 3 employer contribution rate ((and a)). The aggregate actuarial cost method shall be used to calculate the Washington state patrol retirement system contribution rate.
     (5) The council shall immediately notify the directors of the office of financial management and department of retirement systems of the state and employer contribution rates adopted. The rates shall be effective for the ensuing biennial period, subject to any legislative modifications.
     (6) The director of the department of retirement systems shall collect the rates established in RCW ((41.45.053 through June 30, 2003)) 41.45.054. ((Thereafter, the director shall collect those rates adopted by the council. The rates established in RCW 41.45.053, or by the council, shall be subject to revision by the council.))

Sec. 19   RCW 41.45.070 and 2001 2nd sp.s. c 11 s 16 and 2001 2nd sp.s. c 11 s 15 are each reenacted and amended to read as follows:
     (1) In addition to the basic employer contribution rate established in RCW 41.45.060 or ((41.45.053)) 41.45.054, the department shall also charge employers of public employees' retirement system, teachers' retirement system, school employees' retirement system, or Washington state patrol retirement system members an additional supplemental rate to pay for the cost of additional benefits, if any, granted to members of those systems. Except as provided in subsections (6) and (7) of this section, the supplemental contribution rates required by this section shall be calculated by the state actuary and shall be charged regardless of language to the contrary contained in the statute which authorizes additional benefits.
     (2) In addition to the basic state contribution rate established in RCW 41.45.060 or ((41.45.053)) 41.45.054 for the law enforcement officers' and fire fighters' retirement system plan 2, the department shall also establish a supplemental rate to pay for the cost of additional benefits, if any, granted to members of the law enforcement officers' and fire fighters' retirement system plan 2. Except as provided in subsection (6) of this section, this supplemental rate shall be calculated by the state actuary and the state treasurer shall transfer the additional required contributions regardless of language to the contrary contained in the statute which authorizes the additional benefits.
     (3) The supplemental rate charged under this section to fund benefit increases provided to active members of the public employees' retirement system plan 1, the teachers' retirement system plan 1, and Washington state patrol retirement system, shall be calculated as the level percentage of all members' pay needed to fund the cost of the benefit not later than June 30, 2024.
     (4) The supplemental rate charged under this section to fund benefit increases provided to active and retired members of the public employees' retirement system plan 2 and plan 3, the teachers' retirement system plan 2 and plan 3, and the school employees' retirement system plan 2 and plan 3((, or)) shall be sufficient to amortize the unfunded liability portion of the cost of the benefit over a fifteen-year period. The supplemental rate charged under this section to fund benefit increases provided to the law enforcement officers' and fire fighters' retirement system plan 2((,)) shall be calculated as the level percentage of all members' pay needed to fund the cost of the benefit, as calculated under RCW 41.45.060, 41.45.061, or 41.45.067.
     (5) The supplemental rate charged under this section to fund postretirement adjustments which are provided on a nonautomatic basis to current retirees shall be calculated as the percentage of pay needed to fund the adjustments as they are paid to the retirees. The supplemental rate charged under this section to fund automatic postretirement adjustments for active or retired members of the public employees' retirement system plan 1 and the teachers' retirement system plan 1 shall be calculated as the level percentage of pay needed to fund the cost of the automatic adjustments not later than June 30, 2024.
     (6) A supplemental rate shall not be charged to pay for the cost of additional benefits granted to members pursuant to chapter 340, Laws of 1998.
     (7) A supplemental rate shall not be charged to pay for the cost of additional benefits granted to members pursuant to chapter 41.31A RCW; section 309, chapter 341, Laws of 1998; or section 701, chapter 341, Laws of 1998.

Sec. 20   RCW 43.135.045 and 2001 c 3 s 9, 2000 2nd sp.s. c 5 s 1, and 2000 2nd sp.s. c 2 s 3 are each reenacted and amended to read as follows:
     (1) The emergency reserve fund is established in the state treasury. During each fiscal year, the state treasurer shall deposit in the emergency reserve fund all general fund -- state revenues in excess of the state expenditure limit for that fiscal year. Deposits shall be made at the end of each fiscal quarter based on projections of state revenues and the state expenditure limit. The treasurer shall make transfers between these accounts as necessary to reconcile actual annual revenues and the expenditure limit for fiscal year 2000 and thereafter.
     (2) The legislature may appropriate moneys from the emergency reserve fund only with approval of at least two-thirds of the members of each house of the legislature, and then only if the appropriation does not cause total expenditures to exceed the state expenditure limit under this chapter.
     (3) The emergency reserve fund balance shall not exceed five percent of annual general fund -- state revenues as projected by the official state revenue forecast. Any balance in excess of five percent shall be transferred on a quarterly basis by the state treasurer as follows: Seventy-five percent to the student achievement fund hereby created in the state treasury and twenty-five percent to the general fund balance. The treasurer shall make transfers between these accounts as necessary to reconcile actual annual revenues for fiscal year 2000 and thereafter. When per-student state funding for the maintenance and operation of K-12 education meets a level of no less than ninety percent of the national average of total funding from all sources per student as determined by the most recent published data from the national center for education statistics of the United States department of education, as calculated by the office of financial management, further deposits to the student achievement fund shall be required only to the extent necessary to maintain the ninety-percent level. Remaining funds are part of the general fund balance and these funds are subject to the expenditure limits of this chapter.
     (4) The education construction fund is hereby created in the state treasury.
     (a) Funds may be appropriated from the education construction fund exclusively for common school construction or higher education construction.
     (b) Funds may be appropriated for any other purpose only if approved by a two-thirds vote of each house of the legislature and if approved by a vote of the people at the next general election. An appropriation approved by the people under this subsection shall result in an adjustment to the state expenditure limit only for the fiscal period for which the appropriation is made and shall not affect any subsequent fiscal period.
     (5) Funds from the student achievement fund shall be appropriated to the superintendent of public instruction strictly for distribution to school districts to meet the provisions set out in the student achievement act. Allocations shall be made on an equal per full-time equivalent student basis to each school district. ((Earnings of the emergency reserve fund under RCW 43.84.092(4)(a) shall be transferred quarterly to the multimodal transportation account, except for those earnings that are in excess of thirty-five million dollars each fiscal year. Within thirty days following any fiscal year in which earnings transferred to the multimodal transportation account under this subsection did not total thirty-five million dollars, the state treasurer shall transfer from the emergency reserve fund an amount necessary to bring the total deposited in the multimodal transportation account under this subsection to thirty-five million dollars. The revenues to the multimodal transportation account reflected in this subsection provide ongoing support for the transportation programs of the state. However, it is the intent of the legislature that any new long-term financial support that may be subsequently provided for transportation programs will be used to replace and supplant the revenues reflected in this subsection, thereby allowing those revenues to be returned to the purposes to which they were previously dedicated.))

NEW SECTION.  Sec. 21   The following acts or parts of acts are each repealed:
     (1) RCW 43.07.220 (Oral history program) and 1991 c 237 s 1;
     (2) RCW 43.07.230 (Oral history advisory committee -- Members) and 1991 c 237 s 2;
     (3) RCW 43.07.240 (Oral history advisory committee -- Duties) and 1991 c 237 s 3; and
     (4) RCW 43.07.365 (Oral history activities -- Funding -- Rules) and 2002 c 358 s 3.

NEW SECTION.  Sec. 22   The following acts or parts of acts are each repealed:
     (1) RCW 36.27.100 (Statewide drug prosecution assistance program--Created) and 1995 c 399 s 41 & 1989 c 271 s 236;
     (2) RCW 36.27.110 (Statewide drug prosecution assistance program--Advisory committee -- Selection of project director) and 1989 c 271 s 237; and
     (3) RCW 36.27.120 (Statewide drug prosecution assistance program--Personnel -- Review of assignments -- Supervision of special deputies) and 1989 c 271 s 238.

NEW SECTION.  Sec. 23   RCW 38.52.040 (Emergency management council -- Members -- Ad hoc committees -- Function as state emergency response commission -- Rules review) and 1995 c 269 s 1202, 1988 c 81 s 18, 1984 c 38 s 5, 1979 ex.s. c 57 s 8, 1975-'76 2nd ex.s. c 34 s 82, 1974 ex.s. c 171 s 6, & 1951 c 178 s 5 are each repealed.

NEW SECTION.  Sec. 24   RCW 43.105.290 (Electronic access to public records -- Government information locator service pilot project) and 1996 c 171 s 13 are each repealed.

NEW SECTION.  Sec. 25   Sections 16 through 19, 21, and 22 of this act are necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and take effect July 1, 2003.

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