HOUSE BILL REPORT

HB 1003

BYRepresentatives Haugen, McMullen and Spanel

Changing provisions relating to county pay periods.

House Committe on Local Government

Majority Report:  Do pass.  (14)

      Signed by Representatives Haugen, Chair; Cooper, Vice Chair; Beck, Bumgarner, Butterfield, Dorn, Ferguson, Hine, Jones, Nealey, Nelson, Nutley, Rayburn and Zellinsky.

House Staff:Steve Lundin (786-7127)

AS REPORTED BY COMMITTEE ON LOCAL GOVERNMENT FEBRUARY 4, 1988

BACKGROUND:

Salaries of county officers and employees, in counties other than 8th and 9th class counties, may be paid twice monthly as follows: (1)  The auditor draws a warrant on the county treasurer not later than the 20th day of the month for services provided from the first to the 15th day of a month; and (2)  The auditor draws a warrant on the county treasurer not later than the fifth day of the following month for services provided from the 16th to the last day of a month.

The county legislative authority of any county may establish a bi-weekly pay period where compensation is received not later than seven days following the end of each two week pay period.

All counties have a monthly pay period if neither option is taken.  Counties of class AA through 7th class with a monthly pay period, must have a draw system.  Not more than 40% of the salary from the first day to the 15th day of any month can be drawn by an employer or officer at a date not later than the 20th day of the month.  The balance is payable not later than the fifth day of the following month.

Monthly pay is provided in counties of the 8th and 9th class, and the county legislative authority may provide for a draw procedure as described above.

SUMMARY:

The law relating to county pay periods with twice monthly payments is altered as follows: (1) the last pay day for the first half of the monthly pay period is extended from the 20th day of the month to the last day of the month; and (2) the last pay day for the second half of the monthly pay period is extended from the fifth day of the following month to the 15th day of the following month.

The law relating to monthly county pay periods is altered as follows: (1) no draw period is specified for any month; (2) the last day for a draw day is extended from the 20th day of a month to the last day of the month; and (3) the last day for payment of the remainder of the salary that is not drawn is extended from the fifth day of the following month to the fifteenth day of the following month.

Fiscal Note:      Not Requested.

House Committee ‑ Testified For:    Jerry McInturff, Skagit County Auditor; Gary Zandel, Lewis County Auditor; Win Rush, State Auditors Office; and Sherfyl Wilson, Department of Retirement Systems.

House Committee - Testified Against:      None Presented.

House Committee - Testimony For:    Many counties have difficulty preparing payrolls within five days of the end of the work period.  This is especially true for employees paid on an hourly basis, such as law enforcement and road department personnel.  This will save counties money on payments to Labor and Industries to employees paid on an hourly basis.  Less costly payroll process programs can be purchased if more time is allowed to make payments for actual work instead of estimated work.

House Committee - Testimony Against:      None Presented.