5931-S AMS BAUM MOOR 311

SSB 5931 - S AMD 440

By Senators Baumgartner, Kastama, Tom

ADOPTED 05/17/2011

On page 4, beginning on line 10, strike all of section 104 and insert the following:

"NEW SECTION. Sec. 104. A new section is added to chapter 43.19 RCW to read as follows:

(1) The executive powers and management of the department shall be administered as described in this section.

(2) The executive head and appointing authority of the department is the director. The director is appointed by the governor, subject to confirmation by the senate. The director serves at the pleasure of the governor. The director is paid a salary fixed by the governor in accordance with RCW 43.03.040. If a vacancy occurs in the position of director while the senate is not in session, the governor shall make a temporary appointment until the next meeting of the senate at which time he or she shall present to that body his or her nomination for the position.

(3) The director may employ staff members, who are exempt from chapter 41.06 RCW, and any additional staff members as are necessary to administer this chapter, and such other duties as may be authorized by law. The director may delegate any power or duty vested in him or her by this act or other law, including authority to make final decisions and enter final orders in hearings conducted under chapter 34.05 RCW.

(4) The internal affairs of the department are under the control of the director in order that the director may manage the department in a flexible and intelligent manner as dictated by changing contemporary circumstances. Unless specifically limited by law, the director has complete charge and supervisory powers over the department. The director may create the administrative structures as the director deems appropriate, except as otherwise specified by law, and the director may employ personnel as may be necessary in accordance with chapter 41.06 RCW, except as otherwise provided by law.

(5) At the beginning of each fiscal biennium, the office of financial management shall conduct a review of the programs and services that are performed by the department to determine whether the program or service may be performed by the private sector in a more cost-efficient and effective manner than being performed by the department. In conducting this review, the office of financial management shall:

(a) Examine the existing activities currently being performed by the department, including but not limited to an examination of services for their performance, staffing, capital requirements, and mission. Programs may be broken down into discrete services or activities or reviewed as a whole; and

(b) Examine the activities to determine which specific services are available in the marketplace and what potential for efficiency gains or savings exist.

(6) The office of financial management shall select at least six activities or services that have been determined as an activity that may be provided by the private sector at an effective and cost-efficient manner, including for the 2011-2013 fiscal biennium the bulk printing services. Priority for selection shall be given to agency activities or services that are significant, ongoing functions. For each of the selected activities, the department of enterprise services shall use a request for information, request for proposal, or other procurement process to determine if a contract for the activity would result in the activity being provided at a reduced cost and with greater efficiency. The department of enterprise services may contract with one or more vendors to provide the service as a result of the procurement process.

(7) If the office of financial management determines via the procurement process that the activity cannot be provided by the private sector at a reduced cost and greater efficiency, the department of enterprise services may cancel the procurement without entering into a contract and shall promptly notify the legislative fiscal committees of such a decision.

(8) The office of financial management shall prepare a biennial report summarizing the results of the examination of the agency's programs and services. In addition to the programs and services examined and the result of the examination, the report shall provide information on any procurement process that does not result in a contract for the services. During each regular legislative session held in odd-numbered years, the legislative fiscal committees shall hold a public hearing on the report and the department's activities under subsections (5) through (7) of this section.

(9) The joint legislative and audit review committee shall conduct an audit of the implementation of subsections (5) through (7) of this section, and report to the legislature by January 1, 2018, on the results of the audit."

On page 78, line 37, after “The” strike “requirements” and insert:

“((~~requirements~~)) processes set forth in subsections (1), (4), and (5)”

On page 78, line 37, after “to” insert “: (a)”

On page 79, line 1, after “74.13.031(5)” strike all material through “agency” on line 3 and insert “;

(b) the acquisition of printing services by a state agency;

(d) the consolidated technology services agency”

EFFECT: Directs the contract letting shall be done by the department of enterprise services, not the office of financial management, and provides clarifying language about the procurement process.

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