Beginning on page 31, line 15, strike all of section 16 and insert the following:

"NEW SECTION. Sec. 16. (1) Beginning December 1, 2020, and every five years thereafter, the department of enterprise services must provide:

(a) Recommendations for adjusting, for inflation, the bid limit thresholds for public works contracting processes and purchases, based upon changes in the consumer price index during that time period; and

(b) Rationale and supporting documentation for any other recommended changes for adjusting the bid limit thresholds for public works contracting processes and purchases beyond inflation under (a) of this subsection.

(i) The public works contracting processes and purchases must include the local government entities subject to the following statutes: RCW 74.38.050, 28A.335.190, 28B.10.029, 28B.10.350, 28B.50.330, 35.21.225, 35.21.730, 35.22.620, 35.23.352, 35.57.020, 35.61.135, 35A.40.210, 36.100.030, 36.32.235, 36.32.240, 36.32.245, 36.32.250, 52.14.110, 53.08.120, 53.08.135, 54.04.070, 54.04.082, 57.08.050, 70.44.140, 71.24.300, 74.38.050, 87.03.435, 87.03.436, 87.03.437, and 89.30.154 and chapters 17.28, 27.12, 28A.310, 35.82, 36.57, 36.57A, 36.69, 36.73, 39.04, 39.34, 48.62, 70.46, 85.38, and 89.08 RCW.

(ii) For purposes of this section, "local government" refers to all counties, cities, towns, other political subdivisions, and special purpose districts.

(2) The department must calculate the new dollar thresholds and submit a report, which includes proposed legislation to the legislature, with the recommended adjusted threshold changes to the appropriate committees of the legislature on December 1, 2020, and every five years thereafter.

(3) The department shall consult with the capital projects advisory review board when calculating the new dollar thresholds prior to the distribution of the recommendations to the legislature."

EFFECT: (1) Eliminates the provisions that: (a) Require the Office of Financial Management (OFM) to adjust the bid limit thresholds (for inflation) for public works contracting processes and purchases, based upon changes in the consumer price index during that time period; and (b) require OFM to calculate the new dollar thresholds and transmit them to the Code Reviser for publication in the Washington State Register at least one month before the new dollar thresholds are to take effect.

(2) Adds new provisions that require the Department of Enterprise Services (DES), beginning on December 1, 2020, and every 5 years thereafter, to provide: (a) Recommendations and proposed legislation for adjusting the bid limits thresholds for public works contracting processes and purchases, based upon changes in the consumer price index during that time period; and (b) rationale and supporting documentation for any recommendations that adjusts the bid limits beyond inflation. Requires DES to submit a report to the appropriate committees of the legislature by December 1, 2020. Authorizes DES to consult with the Capital Projects Advisory Review Board prior to the distribution of the recommendations.