Passed by the House February 25, 2005 Yeas 95   ________________________________________ Speaker of the House of Representatives Passed by the Senate April 7, 2005 Yeas 45   ________________________________________ President of the Senate | I, Richard Nafziger, Chief Clerk of the House of Representatives of the State of Washington, do hereby certify that the attached is HOUSE BILL 1409 as passed by the House of Representatives and the Senate on the dates hereon set forth. ________________________________________ Chief Clerk | |
Approved ________________________________________ Governor of the State of Washington | Secretary of State State of Washington |
State of Washington | 59th Legislature | 2005 Regular Session |
Read first time 01/24/2005. Referred to Committee on Commerce & Labor.
AN ACT Relating to updating references to contract liquor stores; amending RCW 66.04.010, 66.08.026, 66.08.050, 66.08.235, 66.16.040, 66.16.041, 66.16.080, 66.20.160, 66.20.180, 66.24.380, 66.44.120, and 41.40.023; and repealing RCW 66.16.030.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 1 RCW 66.04.010 and 2004 c 160 s 1 are each amended to read
as follows:
In this title, unless the context otherwise requires:
(1) "Alcohol" is that substance known as ethyl alcohol, hydrated
oxide of ethyl, or spirit of wine, which is commonly produced by the
fermentation or distillation of grain, starch, molasses, or sugar, or
other substances including all dilutions and mixtures of this
substance. The term "alcohol" does not include alcohol in the
possession of a manufacturer or distiller of alcohol fuel, as described
in RCW 66.12.130, which is intended to be denatured and used as a fuel
for use in motor vehicles, farm implements, and machines or implements
of husbandry.
(2) "Authorized representative" means a person who:
(a) Is required to have a federal basic permit issued pursuant to
the federal alcohol administration act, 27 U.S.C. Sec. 204;
(b) Has its business located in the United States outside of the
state of Washington;
(c) Acquires ownership of beer or wine for transportation into and
resale in the state of Washington; and which beer or wine is produced
anywhere outside Washington by a brewery or winery which does not hold
a certificate of approval issued by the board; and
(d) Is appointed by the brewery or winery referenced in (c) of this
subsection as its exclusive authorized representative for marketing and
selling its products within the United States in accordance with a
written agreement between the authorized representative and such
brewery or winery pursuant to this title. The board may waive the
requirement for the written agreement of exclusivity in situations
consistent with the normal marketing practices of certain products,
such as classified growths.
(3) "Beer" means any malt beverage or malt liquor as these terms
are defined in this chapter.
(4) "Beer distributor" means a person who buys beer from a domestic
brewery, microbrewery, beer certificate of approval holder, or beer
importers, or who acquires foreign produced beer from a source outside
of the United States, for the purpose of selling the same pursuant to
this title, or who represents such brewer or brewery as agent.
(5) "Beer importer" means a person or business within Washington
who purchases beer from a beer certificate of approval holder or who
acquires foreign produced beer from a source outside of the United
States for the purpose of selling the same pursuant to this title.
(6) "Brewer" or "brewery" means any person engaged in the business
of manufacturing beer and malt liquor. Brewer includes a brand owner
of malt beverages who holds a brewer's notice with the federal bureau
of alcohol, tobacco, and firearms at a location outside the state and
whose malt beverage is contract-produced by a licensed in-state
brewery, and who may exercise within the state, under a domestic
brewery license, only the privileges of storing, selling to licensed
beer distributors, and exporting beer from the state.
(7) "Board" means the liquor control board, constituted under this
title.
(8) "Club" means an organization of persons, incorporated or
unincorporated, operated solely for fraternal, benevolent, educational,
athletic or social purposes, and not for pecuniary gain.
(9) "Consume" includes the putting of liquor to any use, whether by
drinking or otherwise.
(10) "Contract liquor store" means a business that sells liquor on
behalf of the board through a contract with a contract liquor store
manager.
(11) "Dentist" means a practitioner of dentistry duly and regularly
licensed and engaged in the practice of his profession within the state
pursuant to chapter 18.32 RCW.
(((11))) (12) "Distiller" means a person engaged in the business of
distilling spirits.
(((12))) (13) "Domestic brewery" means a place where beer and malt
liquor are manufactured or produced by a brewer within the state.
(((13))) (14) "Domestic winery" means a place where wines are
manufactured or produced within the state of Washington.
(((14))) (15) "Druggist" means any person who holds a valid
certificate and is a registered pharmacist and is duly and regularly
engaged in carrying on the business of pharmaceutical chemistry
pursuant to chapter 18.64 RCW.
(((15))) (16) "Drug store" means a place whose principal business
is, the sale of drugs, medicines and pharmaceutical preparations and
maintains a regular prescription department and employs a registered
pharmacist during all hours the drug store is open.
(((16))) (17) "Employee" means any person employed by the board((,
including a vendor, as hereinafter in this section defined)).
(((17))) (18) "Fund" means 'liquor revolving fund.'
(((18))) (19) "Hotel" means every building or other structure kept,
used, maintained, advertised or held out to the public to be a place
where food is served and sleeping accommodations are offered for pay to
transient guests, in which twenty or more rooms are used for the
sleeping accommodation of such transient guests and having one or more
dining rooms where meals are served to such transient guests, such
sleeping accommodations and dining rooms being conducted in the same
building and buildings, in connection therewith, and such structure or
structures being provided, in the judgment of the board, with adequate
and sanitary kitchen and dining room equipment and capacity, for
preparing, cooking and serving suitable food for its guests: PROVIDED
FURTHER, That in cities and towns of less than five thousand
population, the board shall have authority to waive the provisions
requiring twenty or more rooms.
(((19))) (20) "Importer" means a person who buys distilled spirits
from a distillery outside the state of Washington and imports such
spirituous liquor into the state for sale to the board or for export.
(((20))) (21) "Imprisonment" means confinement in the county jail.
(((21))) (22) "Liquor" includes the four varieties of liquor herein
defined (alcohol, spirits, wine and beer), and all fermented,
spirituous, vinous, or malt liquor, or combinations thereof, and mixed
liquor, a part of which is fermented, spirituous, vinous or malt
liquor, or otherwise intoxicating; and every liquid or solid or
semisolid or other substance, patented or not, containing alcohol,
spirits, wine or beer, and all drinks or drinkable liquids and all
preparations or mixtures capable of human consumption, and any liquid,
semisolid, solid, or other substance, which contains more than one
percent of alcohol by weight shall be conclusively deemed to be
intoxicating. Liquor does not include confections or food products
that contain one percent or less of alcohol by weight.
(((22))) (23) "Manufacturer" means a person engaged in the
preparation of liquor for sale, in any form whatsoever.
(((23))) (24) "Malt beverage" or "malt liquor" means any beverage
such as beer, ale, lager beer, stout, and porter obtained by the
alcoholic fermentation of an infusion or decoction of pure hops, or
pure extract of hops and pure barley malt or other wholesome grain or
cereal in pure water containing not more than eight percent of alcohol
by weight, and not less than one-half of one percent of alcohol by
volume. For the purposes of this title, any such beverage containing
more than eight percent of alcohol by weight shall be referred to as
"strong beer."
(((24))) (25) "Package" means any container or receptacle used for
holding liquor.
(((25))) (26) "Permit" means a permit for the purchase of liquor
under this title.
(((26))) (27) "Person" means an individual, copartnership,
association, or corporation.
(((27))) (28) "Physician" means a medical practitioner duly and
regularly licensed and engaged in the practice of his profession within
the state pursuant to chapter 18.71 RCW.
(((28))) (29) "Prescription" means a memorandum signed by a
physician and given by him to a patient for the obtaining of liquor
pursuant to this title for medicinal purposes.
(((29))) (30) "Public place" includes streets and alleys of
incorporated cities and towns; state or county or township highways or
roads; buildings and grounds used for school purposes; public dance
halls and grounds adjacent thereto; those parts of establishments where
beer may be sold under this title, soft drink establishments, public
buildings, public meeting halls, lobbies, halls and dining rooms of
hotels, restaurants, theatres, stores, garages and filling stations
which are open to and are generally used by the public and to which the
public is permitted to have unrestricted access; railroad trains,
stages, and other public conveyances of all kinds and character, and
the depots and waiting rooms used in conjunction therewith which are
open to unrestricted use and access by the public; publicly owned
bathing beaches, parks, and/or playgrounds; and all other places of
like or similar nature to which the general public has unrestricted
right of access, and which are generally used by the public.
(((30))) (31) "Regulations" means regulations made by the board
under the powers conferred by this title.
(((31))) (32) "Restaurant" means any establishment provided with
special space and accommodations where, in consideration of payment,
food, without lodgings, is habitually furnished to the public, not
including drug stores and soda fountains.
(((32))) (33) "Sale" and "sell" include exchange, barter, and
traffic; and also include the selling or supplying or distributing, by
any means whatsoever, of liquor, or of any liquid known or described as
beer or by any name whatever commonly used to describe malt or brewed
liquor or of wine, by any person to any person; and also include a sale
or selling within the state to a foreign consignee or his agent in the
state. "Sale" and "sell" shall not include the giving, at no charge,
of a reasonable amount of liquor by a person not licensed by the board
to a person not licensed by the board, for personal use only. "Sale"
and "sell" also does not include a raffle authorized under RCW
9.46.0315: PROVIDED, That the nonprofit organization conducting the
raffle has obtained the appropriate permit from the board.
(((33))) (34) "Soda fountain" means a place especially equipped
with apparatus for the purpose of dispensing soft drinks, whether mixed
or otherwise.
(((34))) (35) "Spirits" means any beverage which contains alcohol
obtained by distillation, including wines exceeding twenty-four percent
of alcohol by volume.
(((35))) (36) "Store" means a state liquor store established under
this title.
(((36))) (37) "Tavern" means any establishment with special space
and accommodation for sale by the glass and for consumption on the
premises, of beer, as herein defined.
(((37) "Vendor" means a person employed by the board as a store
manager under this title.))
(38) "Winery" means a business conducted by any person for the
manufacture of wine for sale, other than a domestic winery.
(39) "Wine" means any alcoholic beverage obtained by fermentation
of fruits (grapes, berries, apples, et cetera) or other agricultural
product containing sugar, to which any saccharine substances may have
been added before, during or after fermentation, and containing not
more than twenty-four percent of alcohol by volume, including sweet
wines fortified with wine spirits, such as port, sherry, muscatel and
angelica, not exceeding twenty-four percent of alcohol by volume and
not less than one-half of one percent of alcohol by volume. For
purposes of this title, any beverage containing no more than fourteen
percent of alcohol by volume when bottled or packaged by the
manufacturer shall be referred to as "table wine," and any beverage
containing alcohol in an amount more than fourteen percent by volume
when bottled or packaged by the manufacturer shall be referred to as
"fortified wine." However, "fortified wine" shall not include: (a)
Wines that are both sealed or capped by cork closure and aged two years
or more; and (b) wines that contain more than fourteen percent alcohol
by volume solely as a result of the natural fermentation process and
that have not been produced with the addition of wine spirits, brandy,
or alcohol.
This subsection shall not be interpreted to require that any wine
be labeled with the designation "table wine" or "fortified wine."
(40) "Wine distributor" means a person who buys wine from a
domestic winery, wine certificate of approval holder, or wine importer,
or who acquires foreign produced wine from a source outside of the
United States, for the purpose of selling the same not in violation of
this title, or who represents such vintner or winery as agent.
(41) "Wine importer" means a person or business within Washington
who purchases wine from a wine certificate of approval holder or who
acquires foreign produced wine from a source outside of the United
States for the purpose of selling the same pursuant to this title.
Sec. 2 RCW 66.08.026 and 2004 c 63 s 1 are each amended to read
as follows:
All administrative expenses of the board incurred on and after
April 1, 1963, shall be appropriated and paid from the liquor revolving
fund. These administrative expenses shall include, but not be limited
to: The salaries and expenses of the board and its employees, the cost
of establishing, leasing, maintaining, and operating state liquor
stores and warehouses, legal services, pilot projects, annual or other
audits, and other general costs of conducting the business of the
board, and the costs of supplying, installing, and maintaining
equipment used in state liquor stores and ((agency)) contract liquor
((vendor)) stores for the purchase of liquor using debit or credit
cards. The administrative expenses shall not, however, be deemed to
include costs of liquor and lottery tickets purchased, the cost of
transportation and delivery to the point of distribution, other costs
pertaining to the acquisition and receipt of liquor and lottery
tickets, packaging and repackaging of liquor, agency commissions for
((agency)) contract liquor ((vendor)) stores, transaction fees
associated with credit or debit card purchases for liquor in state
liquor stores and in ((the)) contract liquor stores ((of agency liquor
vendors)) pursuant to RCW 66.16.040 and 66.16.041, sales tax, and those
amounts distributed pursuant to RCW 66.08.180, 66.08.190, 66.08.200,
66.08.210 and 66.08.220. Agency commissions for ((agency)) contract
liquor ((vendor)) stores shall be established by the liquor control
board after consultation with and approval by the director of the
office of financial management. All expenditures and payment of
obligations authorized by this section are subject to the allotment
requirements of chapter 43.88 RCW.
Sec. 3 RCW 66.08.050 and 1997 c 228 s 1 are each amended to read
as follows:
The board, subject to the provisions of this title and the rules,
shall:
(1) Determine the localities within which state liquor stores shall
be established throughout the state, and the number and situation of
the stores within each locality;
(2) Appoint in cities and towns and other communities, in which no
state liquor store is located, contract liquor ((vendors)) stores. In
addition, the board may appoint, in its discretion, a manufacturer that
also manufactures liquor products other than wine under a license under
this title, as a ((vendor)) contract liquor store for the purpose of
sale of liquor products of its own manufacture on the licensed premises
only. Such contract liquor ((vendors)) stores shall ((be agents of the
board and)) be authorized to sell liquor ((to such persons, firms or
corporations as provided for the sale of liquor from a state liquor
store)) under the guidelines provided by law, rule, or contract, and
such ((vendors)) contract liquor stores shall be subject to such
additional rules and regulations consistent with this title as the
board may require;
(3) Establish all necessary warehouses for the storing and
bottling, diluting and rectifying of stocks of liquors for the purposes
of this title;
(4) Provide for the leasing for periods not to exceed ten years of
all premises required for the conduct of the business; and for
remodeling the same, and the procuring of their furnishings, fixtures,
and supplies; and for obtaining options of renewal of such leases by
the lessee. The terms of such leases in all other respects shall be
subject to the direction of the board;
(5) Determine the nature, form and capacity of all packages to be
used for containing liquor kept for sale under this title;
(6) Execute or cause to be executed, all contracts, papers, and
documents in the name of the board, under such regulations as the board
may fix;
(7) Pay all customs, duties, excises, charges and obligations
whatsoever relating to the business of the board;
(8) Require bonds from all employees in the discretion of the
board, and to determine the amount of fidelity bond of each such
employee;
(9) Perform services for the state lottery commission to such
extent, and for such compensation, as may be mutually agreed upon
between the board and the commission;
(10) Accept and deposit into the general fund-local account and
disburse, subject to appropriation, federal grants or other funds or
donations from any source for the purpose of improving public awareness
of the health risks associated with alcohol consumption by youth and
the abuse of alcohol by adults in Washington state. The board's
alcohol awareness program shall cooperate with federal and state
agencies, interested organizations, and individuals to effect an active
public beverage alcohol awareness program;
(11) Perform all other matters and things, whether similar to the
foregoing or not, to carry out the provisions of this title, and shall
have full power to do each and every act necessary to the conduct of
its business, including all buying, selling, preparation and approval
of forms, and every other function of the business whatsoever, subject
only to audit by the state auditor: PROVIDED, That the board shall
have no authority to regulate the content of spoken language on
licensed premises where wine and other liquors are served and where
there is not a clear and present danger of disorderly conduct being
provoked by such language.
Sec. 4 RCW 66.08.235 and 2002 c 371 s 918 are each amended to
read as follows:
The liquor control board construction and maintenance account is
created within the state treasury. The liquor control board shall
deposit into this account a portion of the board's markup, as
authorized by chapter 66.16 RCW, placed upon liquor as determined by
the board. Moneys in the account may be spent only after
appropriation. The liquor control board shall use deposits to this
account to fund construction and maintenance of a centralized
distribution center for liquor products intended for sale through the
board's liquor store and ((vendor)) contract liquor store system.
During the 2001-2003 fiscal biennium, the legislature may transfer from
the liquor control board construction and maintenance account to the
state general fund such amounts as reflect the appropriations
reductions made by the 2002 supplemental appropriations act for
administrative efficiencies and savings.
Sec. 5 RCW 66.16.040 and 2004 c 61 s 1 are each amended to read
as follows:
Except as otherwise provided by law, an employee in a state liquor
store or ((agency)) contract liquor store may sell liquor to any person
of legal age to purchase alcoholic beverages and may also sell to
holders of permits such liquor as may be purchased under such permits.
Where there may be a question of a person's right to purchase
liquor by reason of age, such person shall be required to present any
one of the following officially issued cards of identification which
shows his/her correct age and bears his/her signature and photograph:
(1) Liquor control authority card of identification of any state or
province of Canada.
(2) Driver's license, instruction permit or identification card of
any state or province of Canada, or "identicard" issued by the
Washington state department of licensing pursuant to RCW 46.20.117.
(3) United States armed forces identification card issued to active
duty, reserve, and retired personnel and the personnel's dependents,
which may include an imbedded, digital signature in lieu of a visible
signature.
(4) Passport.
(5) Merchant Marine identification card issued by the United States
Coast Guard.
The board may adopt such regulations as it deems proper covering
the cards of identification listed in this section.
No liquor sold under this section shall be delivered until the
purchaser has paid for the liquor in cash, except as allowed under RCW
66.16.041. The use of a personal credit card does not rely upon the
credit of the state as prohibited by Article VIII, section 5 of the
state Constitution.
Sec. 6 RCW 66.16.041 and 2004 c 63 s 2 are each amended to read
as follows:
(1) The state liquor control board shall accept bank credit card
and debit cards for purchases in state liquor stores, under such rules
as the board may adopt. The board shall authorize contract liquor
((vendors)) stores appointed under RCW 66.08.050 to accept bank credit
cards and debit cards for liquor purchases under this title, under such
rules as the board may adopt.
(2) If a contract liquor ((vendor operating an agency)) store
chooses to use credit or debit cards for liquor purchases, the board
shall provide equipment and installation and maintenance of the
equipment necessary to implement the use of credit and debit cards.
Any equipment provided by the board to ((an agency)) a contract liquor
((vendor)) store for this purpose may be used only for the purchase of
liquor.
(((3) If the revenues and expenditures associated with implementing
the use of credit and debit cards for the purchase of alcohol from
state liquor stores and agency stores operated by liquor vendors
results in a reduction of the liquor revolving fund balance for fiscal
year 1999 and the 1999-01 biennium, the board shall consider increasing
the price of alcohol products to offset the reduction.))
Sec. 7 RCW 66.16.080 and 1988 c 101 s 1 are each amended to read
as follows:
No sale or delivery of liquor shall be made on or from the premises
of any state liquor store, nor shall any store be open for the sale of
liquor, on Sunday, unless the board determines that unique
circumstances exist which necessitate Sunday liquor sales by ((vendors
appointed under RCW 66.08.050(2))) a contract liquor store of products
of ((their)) the contract liquor store's own manufacture, not to exceed
one case of liquor per customer.
Sec. 8 RCW 66.20.160 and 1973 1st ex.s. c 209 s 4 are each
amended to read as follows:
Words and phrases as used in RCW 66.20.160 to 66.20.210, inclusive,
shall have the following meaning:
"Card of identification" means any one of those cards described in
RCW 66.16.040.
"Licensee" means the holder of a retail liquor license issued by
the board, and includes any employee or agent of the licensee.
"Store employee" means a person employed in a state liquor store
((or agency)) to sell liquor.
Sec. 9 RCW 66.20.180 and 1973 1st ex.s. c 209 s 6 are each
amended to read as follows:
A card of identification shall be presented by the holder thereof
upon request of any licensee, store employee, contract liquor store
manager, contract liquor store employee, peace officer, or enforcement
officer of the board for the purpose of aiding the licensee, store
employee, contract liquor store manager, contract liquor store
employee, peace officer, or enforcement officer of the board to
determine whether or not such person is of legal age to purchase liquor
when such person desires to procure liquor from a licensed
establishment or state liquor store or ((agency)) contract liquor
store.
Sec. 10 RCW 66.24.380 and 2004 c 133 s 2 are each amended to read
as follows:
There shall be a retailer's license to be designated as a special
occasion license to be issued to a not-for-profit society or
organization to sell spirits, beer, and wine by the individual serving
for on-premises consumption at a specified event, such as at picnics or
other special occasions, at a specified date and place; fee sixty
dollars per day.
(1) The not-for-profit society or organization is limited to sales
of no more than twelve calendar days per year. For the purposes of
this subsection, special occasion licensees that are "agricultural area
fairs" or "agricultural county, district, and area fairs," as defined
by RCW 15.76.120, that receive a special occasion license may, once per
calendar year, count as one event fairs that last multiple days, so
long as alcohol sales are at set dates, times, and locations, and the
board receives prior notification of the dates, times, and locations.
The special occasion license applicant will pay the sixty dollars per
day for this event.
(2) The licensee may sell beer and/or wine in original, unopened
containers for off-premises consumption if permission is obtained from
the board prior to the event.
(3) Sale, service, and consumption of spirits, beer, and wine is to
be confined to specified premises or designated areas only.
(4) Spirituous liquor sold under this special occasion license must
be purchased at a state liquor store or ((agency)) contract liquor
store without discount at retail prices, including all taxes.
(5) Any violation of this section is a class 1 civil infraction
having a maximum penalty of two hundred fifty dollars as provided for
in chapter 7.80 RCW.
Sec. 11 RCW 66.44.120 and 2003 c 53 s 299 are each amended to
read as follows:
(1) No person other than an employee of the board shall keep or
have in his or her possession any official seal prescribed under this
title, unless the same is attached to a package which has been
purchased from a ((vendor or store employee)) liquor store or contract
liquor store; nor shall any person keep or have in his or her
possession any design in imitation of any official seal prescribed
under this title, or calculated to deceive by its resemblance thereto,
or any paper upon which any design in imitation thereof, or calculated
to deceive as aforesaid, is stamped, engraved, lithographed, printed,
or otherwise marked.
(2)(a) Except as provided in (b) of this subsection, every person
who willfully violates this section is guilty of a gross misdemeanor
and shall be liable on conviction thereof for a first offense to
imprisonment in the county jail for a period of not less than three
months nor more than six months, without the option of the payment of
a fine, and for a second offense, to imprisonment in the county jail
for not less than six months nor more than one year, without the option
of the payment of a fine.
(b) A third or subsequent offense is a class C felony, punishable
by imprisonment in a state correctional facility for not less than one
year nor more than two years.
Sec. 12 RCW 41.40.023 and 2001 c 37 s 1 are each amended to read
as follows:
Membership in the retirement system shall consist of all regularly
compensated employees and appointive and elective officials of
employers, as defined in this chapter, with the following exceptions:
(1) Persons in ineligible positions;
(2) Employees of the legislature except the officers thereof
elected by the members of the senate and the house and legislative
committees, unless membership of such employees be authorized by the
said committee;
(3)(a) Persons holding elective offices or persons appointed
directly by the governor: PROVIDED, That such persons shall have the
option of applying for membership during such periods of employment:
AND PROVIDED FURTHER, That any persons holding or who have held
elective offices or persons appointed by the governor who are members
in the retirement system and who have, prior to becoming such members,
previously held an elective office, and did not at the start of such
initial or successive terms of office exercise their option to become
members, may apply for membership to be effective during such term or
terms of office, and shall be allowed to establish the service credit
applicable to such term or terms of office upon payment of the employee
contributions therefor by the employee with interest as determined by
the director and employer contributions therefor by the employer or
employee with interest as determined by the director: AND PROVIDED
FURTHER, That all contributions with interest submitted by the employee
under this subsection shall be placed in the employee's individual
account in the employee's savings fund and be treated as any other
contribution made by the employee, with the exception that any
contributions submitted by the employee in payment of the employer's
obligation, together with the interest the director may apply to the
employer's contribution, shall not be considered part of the member's
annuity for any purpose except withdrawal of contributions;
(b) A member holding elective office who has elected to apply for
membership pursuant to (a) of this subsection and who later wishes to
be eligible for a retirement allowance shall have the option of ending
his or her membership in the retirement system. A member wishing to
end his or her membership under this subsection must file, on a form
supplied by the department, a statement indicating that the member
agrees to irrevocably abandon any claim for service for future periods
served as an elected official. A member who receives more than fifteen
thousand dollars per year in compensation for his or her elective
service, adjusted annually for inflation by the director, is not
eligible for the option provided by this subsection (3)(b);
(4) Employees holding membership in, or receiving pension benefits
under, any retirement plan operated wholly or in part by an agency of
the state or political subdivision thereof, or who are by reason of
their current employment contributing to or otherwise establishing the
right to receive benefits from any such retirement plan except as
follows:
(a) In any case where the retirement system has in existence an
agreement with another retirement system in connection with exchange of
service credit or an agreement whereby members can retain service
credit in more than one system, such an employee shall be allowed
membership rights should the agreement so provide;
(b) An employee shall be allowed membership if otherwise eligible
while receiving survivor's benefits;
(c) An employee shall not either before or after June 7, 1984, be
excluded from membership or denied service credit pursuant to this
subsection solely on account of: (i) Membership in the plan created
under chapter 2.14 RCW; or (ii) enrollment under the relief and
compensation provisions or the pension provisions of the volunteer fire
fighters' relief and pension fund under chapter 41.24 RCW;
(d) Except as provided in RCW 41.40.109, on or after July 25, 1999,
an employee shall not be excluded from membership or denied service
credit pursuant to this subsection solely on account of participation
in a defined contribution pension plan qualified under section 401 of
the internal revenue code;
(e) Employees who have been reported in the retirement system prior
to July 25, 1999, and who participated during the same period of time
in a defined contribution pension plan qualified under section 401 of
the internal revenue code and operated wholly or in part by the
employer, shall not be excluded from previous retirement system
membership and service credit on account of such participation;
(5) Patient and inmate help in state charitable, penal, and
correctional institutions;
(6) "Members" of a state veterans' home or state soldiers' home;
(7) Persons employed by an institution of higher learning or
community college, primarily as an incident to and in furtherance of
their education or training, or the education or training of a spouse;
(8) Employees of an institution of higher learning or community
college during the period of service necessary to establish eligibility
for membership in the retirement plans operated by such institutions;
(9) Persons rendering professional services to an employer on a
fee, retainer, or contract basis or when the income from these services
is less than fifty percent of the gross income received from the
person's practice of a profession;
(10) Persons appointed after April 1, 1963, by the liquor control
board as ((agency vendors)) contract liquor store managers;
(11) Employees of a labor guild, association, or organization:
PROVIDED, That elective officials and employees of a labor guild,
association, or organization which qualifies as an employer within this
chapter shall have the option of applying for membership;
(12) Retirement system retirees: PROVIDED, That following
reemployment in an eligible position, a retiree may elect to
prospectively become a member of the retirement system if otherwise
eligible;
(13) Persons employed by or appointed or elected as an official of
a first class city that has its own retirement system: PROVIDED, That
any member elected or appointed to an elective office on or after April
1, 1971, shall have the option of continuing as a member of this system
in lieu of becoming a member of the city system. A member who elects
to continue as a member of this system shall pay the appropriate member
contributions and the city shall pay the employer contributions at the
rates prescribed by this chapter. The city shall also transfer to this
system all of such member's accumulated contributions together with
such further amounts as necessary to equal all employee and employer
contributions which would have been paid into this system on account of
such service with the city and thereupon the member shall be granted
credit for all such service. Any city that becomes an employer as
defined in RCW 41.40.010(4) as the result of an individual's election
under this subsection shall not be required to have all employees
covered for retirement under the provisions of this chapter. Nothing
in this subsection shall prohibit a city of the first class with its
own retirement system from: (a) Transferring all of its current
employees to the retirement system established under this chapter, or
(b) allowing newly hired employees the option of continuing coverage
under the retirement system established by this chapter.
Notwithstanding any other provision of this chapter, persons
transferring from employment with a first class city of over four
hundred thousand population that has its own retirement system to
employment with the state department of agriculture may elect to remain
within the retirement system of such city and the state shall pay the
employer contributions for such persons at like rates as prescribed for
employers of other members of such system;
(14) Employees who (a) are not citizens of the United States, (b)
do not reside in the United States, and (c) perform duties outside of
the United States;
(15) Employees who (a) are not citizens of the United States, (b)
are not covered by chapter 41.48 RCW, (c) are not excluded from
membership under this chapter or chapter 41.04 RCW, (d) are residents
of this state, and (e) make an irrevocable election to be excluded from
membership, in writing, which is submitted to the director within
thirty days after employment in an eligible position;
(16) Employees who are citizens of the United States and who reside
and perform duties for an employer outside of the United States:
PROVIDED, That unless otherwise excluded under this chapter or chapter
41.04 RCW, the employee may apply for membership (a) within thirty days
after employment in an eligible position and membership service credit
shall be granted from the first day of membership service, and (b)
after this thirty-day period, but membership service credit shall be
granted only if payment is made for the noncredited membership service
under RCW 41.50.165(2), otherwise service shall be from the date of
application;
(17) The city manager or chief administrative officer of a city or
town, other than a retiree, who serves at the pleasure of an appointing
authority: PROVIDED, That such persons shall have the option of
applying for membership within thirty days from date of their
appointment to such positions. Persons serving in such positions as of
April 4, 1986, shall continue to be members in the retirement system
unless they notify the director in writing prior to December 31, 1986,
of their desire to withdraw from membership in the retirement system.
A member who withdraws from membership in the system under this section
shall receive a refund of the member's accumulated contributions.
Persons serving in such positions who have not opted for membership
within the specified thirty days, may do so by paying the amount
required under RCW 41.50.165(2) for the period from the date of their
appointment to the date of acceptance into membership;
(18) Persons serving as: (a) The chief administrative officer of
a public utility district as defined in RCW 54.16.100; (b) the chief
administrative officer of a port district formed under chapter 53.04
RCW; or (c) the chief administrative officer of a county who serves at
the pleasure of an appointing authority: PROVIDED, That such persons
shall have the option of applying for membership within thirty days
from the date of their appointment to such positions. Persons serving
in such positions as of July 25, 1999, shall continue to be members in
the retirement system unless they notify the director in writing prior
to December 31, 1999, of their desire to withdraw from membership in
the retirement system. A member who withdraws from membership in the
system under this section shall receive a refund of the member's
accumulated contributions upon termination of employment or as
otherwise consistent with the plan's tax qualification status as
defined in internal revenue code section 401.
Persons serving in such positions who have not opted for membership
within the specified thirty days, may do so at a later date by paying
the amount required under RCW 41.50.165(2) for the period from the date
of their appointment to the date of acceptance into membership;
(19) Persons enrolled in state-approved apprenticeship programs,
authorized under chapter 49.04 RCW, and who are employed by local
governments to earn hours to complete such apprenticeship programs, if
the employee is a member of a union-sponsored retirement plan and is
making contributions to such a retirement plan or if the employee is a
member of a Taft-Hartley retirement plan;
(20) Beginning on July 22, 2001, persons employed exclusively as
trainers or trainees in resident apprentice training programs operated
by housing authorities authorized under chapter 35.82 RCW, (a) if the
trainer or trainee is a member of a union-sponsored retirement plan and
is making contributions to such a retirement plan or (b) if the
employee is a member of a Taft-Hartley retirement plan.
NEW SECTION. Sec. 13 RCW 66.16.030 (Vendor to be in charge) and
1933 ex.s. c 62 s 6 are each repealed.