HOUSE BILL REPORT

HB 2645

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As Reported by House Committee On:

Appropriations

Title: An act relating to eliminating accounts.

Brief Description: Eliminating accounts.

Sponsors: Representatives Hudgins, Robinson and Ormsby; by request of Office of Financial Management.

Brief History:

Committee Activity:

Appropriations: 1/28/16, 2/4/16 [DPS].

Brief Summary of Substitute Bill

  • Eliminates numerous accounts and transfers remaining balances in those accounts to the State General Fund.

HOUSE COMMITTEE ON APPROPRIATIONS

Majority Report: The substitute bill be substituted therefor and the substitute bill do pass. Signed by 29 members: Representatives Dunshee, Chair; Ormsby, Vice Chair; Chandler, Ranking Minority Member; Parker, Assistant Ranking Minority Member; Wilcox, Assistant Ranking Minority Member; Buys, Cody, Condotta, Dent, Fitzgibbon, Haler, Harris, Hudgins, S. Hunt, Jinkins, Kagi, Lytton, Magendanz, Manweller, Pettigrew, Robinson, Sawyer, Schmick, Springer, Stokesbary, Sullivan, Tharinger, Van Werven and Walkinshaw.

Minority Report: Do not pass. Signed by 1 member: Representative Taylor.

Minority Report: Without recommendation. Signed by 1 member: Representative MacEwen.

Staff: Lily Sobolik (786-7157).

Background:

In addition to the State General Fund, which may be expended for any lawful purpose, the state maintains several hundred accounts that are dedicated to particular statutory purposes. These accounts generally fall into one of three categories: (1) accounts located in the State Treasury, which require appropriation by the Legislature; (2) accounts held in the custody of the State Treasurer, which may or may not require legislative appropriation; and (3) accounts located in state agencies and institutions of higher education, known as local accounts. State law requires the State Treasurer, in each odd-numbered year, to provide the Office of Financial Management a list of any accounts believed to be obsolete.

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Summary of Substitute Bill:

The following accounts are eliminated:Ÿ

Any residual balance of funds remaining in any account eliminated will be transferred to the State General Fund. Conforming statutory changes are made to reflect the repeal of the various accounts.

Substitute Bill Compared to Original Bill:

The original bill included the following accounts for elimination: the Mortgage Recovery Fund Account, State and Local Improvements Revolving Account, Waste Disposal Facilities, 1980 Account, Institutional Impact Account, Military Department Active State Service Account, State and Local Improvements Revolving Account, and the Tourism Development and Promotion Account. The substitute bill does not eliminate these accounts.

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Appropriation: None.

Fiscal Note: Available. New fiscal note requested on February 9, 2016.

Effective Date of Substitute Bill: The bill takes effect June 30, 2016.

Staff Summary of Public Testimony:

(In support) State law requires the Office of Financial Management to periodically review accounts, and make recommendations to the Legislature about eliminating obsolete accounts. This bill is doing that periodic account clean-up. There are a few errors in the underlying bill; a proposed substitute bill is recommended.

(Opposed) None.

Persons Testifying: Representative Hudgins, prime sponsor; and Scott Merriman, Office of Financial Management.

Persons Signed In To Testify But Not Testifying: None.