"NEW SECTION.  Sec. 1   A new section is added to chapter 19.30 RCW to read as follows:
     The legislature finds that farm labor contractors can benefit migrant and seasonal workers by providing the opportunity for stable full-time work, and farm labor contractors can benefit agricultural employers by providing farm skilled workers and assisting employers in complying with numerous hiring regulations. The legislature also finds that there is the potential for abuse of workers, and the potential for increased liability for farmers, if the industry is not properly regulated. It is therefore the intent of the legislature to establish a vibrant and well-regulated farm labor contracting industry to mutually benefit farmers and farm workers in our state.

Sec. 2   RCW 19.30.030 and 1985 c 280 s 3 are each amended to read as follows:
     LICENSE--REQUIREMENTS FOR ISSUING. The director shall not issue to any person a license to ((act)) operate as a farm labor contractor until:
     (1) Such person has executed a written application for each year that the applicant seeks to operate as a farm labor contractor. The written application shall be on a form prescribed by the director, be subscribed and sworn to by the applicant, and contain((ing)): (a) A statement by the applicant of all facts required by the director concerning the applicant's character, competency, responsibility, and the manner and method by which he or she proposes to conduct operations as a farm labor contractor if such license is issued((,)); and (b) the names and addresses of all persons financially interested, either as partners, stockholders, associates, profit sharers, or providers of board or lodging to agricultural employees in the proposed operation as a labor contractor, together with the amount of their respective interests;
     (2) The director shall create a simplified license renewal application for the second and subsequent years that an entity applies for a license;
     (3) The director, after investigation, is satisfied as to the character, competency, and responsibility of the applicant;
     (((3))) (4) The applicant has paid to the director a license fee ((of: (1) Thirty-five dollars in the case of a farm labor contractor not engaged in forestation or reforestation, or (2) one hundred dollars in the case of a farm labor contractor engaged in forestation or reforestation or such other sum as the director finds necessary, and adopts by rule, for the administrative costs of evaluating applications)). The director shall determine the appropriate amount of the license fee, not to exceed one hundred dollars for a farm labor contractor not engaged in forestation or reforestation, and two hundred dollars for a farm labor contractor engaged in forestation or reforestation;
     (((4))) (5) The applicant has successfully passed a qualifying examination designed to test the applicant's ability, knowledge, and proficiency to conduct and manage the business of a farm labor contractor in compliance with applicable laws and regulations. By July 1, 2012, the director shall prescribe the requirements for and the manner of testing the competency of license applicants;
     (6) The applicant has filed proof satisfactory to the director of the existence of a policy of insurance with any insurance carrier authorized to do business in the state of Washington in an amount satisfactory to the director, which insures the contractor against liability for damage to persons or property arising out of the contractor's operation of, or ownership of, any vehicle or vehicles for the transportation of individuals in connection with the contractor's business, activities, or operations as a farm labor contractor;
     (((5))) (7) The applicant has filed a surety bond or other security which meets the requirements set forth in RCW 19.30.040;
     (((6))) (8) The applicant executes a written statement which shall be subscribed and sworn to and shall contain the following declaration:
     "With regards to any action filed against me concerning my activities as a farm labor contractor, I appoint the director of the Washington department of labor and industries as my lawful agent to accept service of summons when I am not present in the jurisdiction in which the action is commenced or have in any other way become unavailable to accept service"; and
     (((7))) (9) The applicant has stated on his or her application whether or not ((his or her contractor's license or the license of)) the applicant or any of ((his or her)) the applicant's agents, partners, associates, stockholders, or profit sharers:
     (a) Has ever ((been)) had his or her license suspended, revoked, or denied by any state or federal agency((, and whether or not there are any outstanding judgments against him or her or any of his or her agents, partners, associates, stockholders, or profit sharers)); and
      (b) Has any outstanding debts against him or her from final state or federal administrative determinations or judgments in any state or federal court arising out of activities as a farm labor contractor in any state or country.

NEW SECTION.  Sec. 3   The department of labor and industries shall convene a work group to discuss concerns and develop recommendations regarding the licensure and regulation of farm labor contractors. The work group shall report its recommendations to the house of representatives commerce and labor committee and the senate labor, commerce, research and development committee by December 1, 2007. Any recommendations requiring amendments or additions to the farm labor contractor act shall include proposed legislation. Any recommendations requiring appropriations shall include proposed decision packages. This section expires April 1, 2008."