SENATE BILL REPORT

SB 6583

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.

Background: Department of Corrections (Corrections). Corrections is responsible for administering adult correctional programs operated by the State of Washington and confining those offenders who violate criminal laws. This includes overseeing state correctional institutions and programs for offenders supervised in the community. Corrections currently operates 12 prison facilities including eight major prisons and four minimum-security prisons.

Lean Performance Management. Lean performance management is an approach to increase efficiency and eliminate waste from operations with input from front-line employees. Results Washington was established in 2013, through Executive Order 13-04, for the stated purpose of creating a data-driven performance management initiative to affect government operations through Lean thinking. According to a Results Washington 2016 progress report, this process includes a series of goal areas, including: healthy and safe communities; and efficient, effective, and accountable government. Within each goal area there are relevant improvement measures along with strategies and action items designed to meet those measures.

Baldrige Performance Assessments. A 1987 act established a federal program to evaluate management quality of U.S. businesses. Both the Baldrige Performance Excellence Program and the Malcolm Baldrige National Quality Award are administered by the National Institute of Standards and Technology, within the U.S. Department of Commerce. The program currently publishes performance excellence frameworks used by trained examiners to evaluate management in both for-profit and nonprofit organizations, including government entities. Following an assessment, an examiner scores an organization's management quality.

Summary of Bill: Establishes Performance Management Planning Requirements. Corrections must develop a robust LEAN performance management plan (Plan) to be overseen by the Governor, and coordinate performance activities between correctional facilities. The Plan must include the mission of Corrections and goals for achievement. A stated goal of coordinated performance measures and frameworks is to: enhance the ability to compare performance between facilities; and aid in the standardization of practices where appropriate.

Requires Baldrige Assessments. The plan must conform to the Baldridge Excellence Framework most applicable to nonprofit government operations. Additionally, Corrections must undergo a Baldrige assessment every two years until it achieves a 60 percent Baldrige score, with a goal of doing so within seven years of its first assessment. If this is achieved, Corrections must apply for a Malcolm Baldrige National Quality Award. If not, Corrections must attempt to achieve certification under an internationally recognized quality management system.

Directs Audits. The State Auditor must immediately conduct a performance audit of Corrections' management systems, and also one year after implementation.

Establishes Reporting Requirements. Corrections must provide a timeline relating to performance management planning to the Governor and the Legislature within 60 days of the effective date of the bill, and periodic reports to the Legislature on the status of its performance management planning. Additionally, Corrections must work towards implementation of real-time, web-based tracking and reporting of its performance management activities.