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SIXTY-FIFTH DAY




MORNING SESSION




House Chamber, Olympia, Tuesday, March 18, 1997


             The House was called to order at 9:30 a.m. by the Speaker. The Clerk called the roll and a quorum was present.


             The flag was escorted to the rostrum by a Sergeant at Arms Color Guard, Pages Craig Shindler and Rebekah Finley. Prayer was offered by Dr. Roy Barsh, Senior Pastor, Greater Dimension Metropolitan Church, Tacoma.


             Reading of the Journal of the previous day was dispensed with and it was ordered to stand approved.


INTRODUCTIONS AND FIRST READING

 

HB 2265           by Representatives Cole, Mason, Butler, Ogden and Linville; by request of Office of Financial Management

 

AN ACT Relating to modifying the timelines for development and implementation of the student assessment system; reenacting and amending RCW 28A.630.885; repealing 1995 c 335 s 803 (uncodified); and providing an expiration date.

 

Referred to Committee on Education.

 

HB 2266           by Representative H. Sommers; by request of Office of Financial Management

 

AN ACT Relating to medicaid nursing facility contracting moratorium; and adding a new section to chapter 74.09 RCW.

 

Referred to Committee on Appropriations.

 

HB 2267           by Representatives Huff, H. Sommers, Hatfield, Kessler, Lambert, Ogden, Dickerson, Kenney and Wensman; by request of Office of Financial Management

 

AN ACT Relating to the disaster response account; adding a new section to chapter 38.52 RCW; and declaring an emergency.

 

Referred to Committee on Appropriations.

 

HB 2268           by Representatives H. Sommers and O'Brien; by request of Office of Financial Management

 

AN ACT Relating to extending the time frame for revision of the nursing home payment system; amending RCW 74.46.430, 74.46.510, and 74.46.595; reenacting and amending RCW 74.46.450; and adding a new section to chapter 74.46 RCW.

 

Referred to Committee on Appropriations.

 

HB 2269           by Representatives Appelwick, Mason, Kenney, Ogden, Lantz, Conway, O'Brien and Linville; by request of Office of Financial Management

 

AN ACT Relating to civil legal services for the indigent; adding a new section to chapter 43.330 RCW; and declaring an emergency.

 

Referred to Committee on Appropriations.

 

HB 2270           by Representative H. Sommers; by request of Office of Financial Management

 

AN ACT Relating to assessments for forest fire protection; amending RCW 76.04.610; and declaring an emergency.

 

Referred to Committee on Appropriations.

 

HB 2271           by Representative Cody; by request of Office of Financial Management

 

AN ACT Relating to an increase in the amount of motor vehicle excise tax transmitted to the county public health account; and reenacting and amending RCW 82.44.110.

 

Referred to Committee on Appropriations.

 

HB 2272           by Representatives Huff, Clements, Alexander, Wensman, Sehlin and Mitchell

 

AN ACT Relating to transferring the enforcement of existing cigarette and tobacco taxes from the department of revenue to the liquor control board; amending RCW 66.44.010, 82.24.010, 82.24.110, 82.24.130, 82.24.190, 82.24.250, 82.24.550, and 82.32.300; adding a new section to chapter 82.24 RCW; adding a new section to chapter 82.26 RCW; and prescribing penalties.

 

Referred to Committee on Appropriations.

 

HB 2273           by Representatives Ballasiotes, Costa, Radcliff, Appelwick, Constantine, Scott, Mason, Butler, Kenney, Ogden, Lantz, O'Brien, Dickerson and Poulsen

 

AN ACT Relating to the safe storage of firearms; adding a new section to chapter 9A.36 RCW; adding a new section to chapter 9.41 RCW; and prescribing penalties.

 

Referred to Committee on Law & Justice.

 

SSB 5102          by Senate Committee on Natural Resources & Parks (originally sponsored by Senators Oke and Winsley)

 

Revising the provision imposing an annual recreational surcharge on certain personal use food fish licenses.

 

Referred to Committee on Natural Resources.

 

SSB 5103          by Senate Committee on Natural Resources & Parks (originally sponsored by Senators Oke and Winsley)

 

Increasing the number of alternate operators allowed under certain commercial fishery licenses.

 

Referred to Committee on Natural Resources.

 

SB 5160            by Senator McCaslin

 

Eliminating the presidential primary.

 

Referred to Committee on Government Administration.

 

E2SSB 5184     by Senate Committee on Ways & Means (originally sponsored by Senators Roach and Oke)

 

Authorizing an additional rod recreational fishing license.

 

Referred to Committee on Natural Resources.

 

SSB 5308          by Senate Committee on Energy & Utilities (originally sponsored by Senators Horn, Finkbeiner, Franklin, Fraser and Winsley; by request of Secretary of State)

 

Regulating electronic signatures.

 

Referred to Committee on Commerce & Labor.

 

SSB 5322          by Senate Committee on Health & Long-Term Care (originally sponsored by Senators Deccio, Thibaudeau and Kohl)

 

Removing regulatory barriers to the provision of oral health care services to rural, remote, and underserved populations.

 

Referred to Committee on Health Care.

 

SSB 5332          by Senate Committee on Energy & Utilities (originally sponsored by Senators Finkbeiner, Strannigan, Schow and Benton)

 

Prohibiting the department of information services from spending funds for multimedia kiosks for the Washington information network except for maintenance and operation of existing kiosks.

 

Referred to Committee on Energy & Utilities.

 

SSB 5409          by Senate Committee on Health & Long-Term Care (originally sponsored by Senators Long, Thibaudeau, Kohl, Wojahn, Kline and Winsley; by request of Governor Lowry)

 

Modifying child death review.

 

Referred to Committee on Health Care.

 

SB 5439            by Senators Morton, Hargrove, Stevens and Benton

 

Providing an exclusion for what constitutes surface mining.

 

Referred to Committee on Natural Resources.

 

2SSB 5508        by Senate Committee on Ways & Means (originally sponsored by Senators Hochstatter, Oke, Morton, Swecker, Finkbeiner, Horn, Stevens and Schow)

 

Enacting the third grade reading accountability act.

 

Referred to Committee on Education.

 

SSB 5509          by Senate Committee on Ways & Means (originally sponsored by Senators Rossi, Roach, Zarelli, Winsley, Long, Morton, Goings, Finkbeiner, Oke, Hochstatter, Benton, Johnson, Stevens, McCaslin and Rasmussen)

 

Changing definitions regarding offenders.

 

Referred to Committee on Criminal Justice & Corrections.

 

SB 5542            by Senators Long, Hargrove, Schow and Kohl; by request of Department of Corrections

 

Repealing the alien offender camp.

 

Referred to Committee on Criminal Justice & Corrections.

 

SB 5566            by Senators Sheldon, Oke and Prince

 

Collecting solid waste or recyclables.

 

Referred to Committee on Transportation Policy & Budget.

 

ESSB 5592       by Senate Committee on Education (originally sponsored by Senators Stevens, Hochstatter, Zarelli, Schow, Morton, Benton, Deccio, Rossi, Roach, Strannigan, West and Oke)

 

Providing for abstinence education.

 

Referred to Committee on Health Care.

 

SSB 5701          by Senate Committee on Agriculture & Environment (originally sponsored by Senators Morton, Rasmussen and Swecker)

 

Licensing distributors of commercial soil.

 

Referred to Committee on Agriculture & Ecology.

 

SB 5748            by Senators West and Spanel; by request of Department of Revenue

 

Reducing the penalty for failure to file manufacturing machinery and equipment exemption certificates or annual summaries.

 

Referred to Committee on Finance.

 

SSB 5750          by Senate Committee on Financial Institutions, Insurance & Housing (originally sponsored by Senators Winsley, Prentice, Hale and Heavey)

 

Allowing commercial property casualty policies to be issued prior to filing the form or rate with the insurance commissioner.

 

Referred to Committee on Financial Institutions & Insurance.

 

ESSB 5759       by Senate Committee on Human Services & Corrections (originally sponsored by Senators Long, Hargrove, Zarelli, Franklin, Winsley, Oke and Roach)

 

Changing sex offender risk level classification and public notification procedures.

 

Referred to Committee on Criminal Justice & Corrections.

 

ESSB 5762       by Senate Committee on Commerce & Labor (originally sponsored by Senators Heavey, West, Schow, Deccio, Rasmussen, Brown, McCaslin and Goings)

 

Benefitting the equine industry.

 

Referred to Committee on Trade & Economic Development.

 

SSB 5770          by Senate Committee on Human Services & Corrections (originally sponsored by Senators Stevens and Thibaudeau)

 

Protecting child records.

 

Referred to Committee on Children & Family Services.

 

ESB 5774         by Senators Roach, McCaslin, Fairley and Oke; by request of Supreme Court

 

Authorizing appellate judges to be appointed as pro tempore judges to complete pending business at the end of their terms of office.

 

Referred to Committee on Law & Justice.

 

SB 5795            by Senators Benton and Haugen; by request of Department of Licensing

 

Regulating vehicle and vessel licensing.

 

Referred to Committee on Transportation Policy & Budget.

 

SB 5888            by Senators Schow, Heavey and Hale; by request of Department of Labor & Industries

 

Authorizing the continuation of a special insuring agreement for workers' compensation for the United States department of energy.

 

Referred to Committee on Commerce & Labor.

 

SSB 5903          by Senate Committee on Government Operations (originally sponsored by Senators Hale, Morton, Wood and Winsley)

 

Authorizing the use of local hotel-motel taxes for operation of performing and cultural arts facilities.

 

Referred to Committee on Government Administration.

 

2SSB 6002        by Senate Committee on Ways & Means (originally sponsored by Senators Long, Hargrove and Oke)

 

Supervising mentally ill offenders.

 

Referred to Committee on Criminal Justice & Corrections.

 

SSB 6046          by Senate Committee on Energy & Utilities (originally sponsored by Senator Finkbeiner)

 

Creating a study by the utilities and transportation commission on universal telecommunications service.

 

Referred to Committee on Energy & Utilities.

 

SJM 8009         by Senators Rasmussen, Roach, Hochstatter, Hargrove, Stevens, Wood, Long, Loveland, Winsley and Kohl

 

Promoting the use of the Eddie Eagle Gun Safety Program in our schools.

 

Referred to Committee on Education.


             There being no objection, the bills and memorial listed on the day's introduction sheet under the fourth order of business were referred to the committees so designated.


             There being no objection, the House advanced to the sixth order of business.


SECOND READING


             HOUSE BILL NO. 1338, by Representatives Mulliken, Hatfield, Reams, Mielke, Doumit, McMorris and Schoesler

 

Increasing flexibility for counties and cities in implementing growth management.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1338 was substituted for House Bill No. 1338 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1338 was read the second time.


             Representative Mulliken moved the adoption of the following amendment by Representative Mulliken: (290)

             Beginning on page 1, after the enacting clause, strike all of section 1 and insert the following:


             "Sec. 1. RCW 36.70A.040 and 1995 c 400 s 1 are each amended to read as follows:

             (1)(a) Each county that has both a population of fifty thousand or more and, until May 16, 1995, has had its population increase by more than ten percent in the previous ten years or, on or after May 16, 1995, has had its population increase by more than seventeen percent in the previous ten years, and the cities located within such county, and any other county regardless of its population that has had its population increase by more than twenty percent in the previous ten years, and the cities located within such county, shall ((conform with all of the requirements of this chapter)) plan under this section. However, the county legislative authority of such a county with a population of less than ((fifty)) seventy-five thousand population may adopt a resolution removing the county, and the cities located within the county, from the requirement((s of adopting comprehensive land use plans and development regulations under this chapter)) to plan under this section if this resolution is adopted and filed with the department by December 31, ((1990, for counties initially meeting this set of criteria)) 1997, or within((sixty days))six months of the date the office of financial management certifies that a county meets this set of criteria under subsection (5) of this section. A county that adopts a resolution removing the county, and the cities located within the county, from the requirement to plan under this section remains subject to the requirements for the designation and protection of critical areas and the designation of natural resource lands under RCW 36.70A.060(2), 36.70A.170, and 36.70A.172.

             (b) Once a county meets either of these sets of criteria and the county has not adopted a resolution under subsection (a) of this section, the requirement to ((conform with all of the requirements of this chapter)) plan under this section remains in effect, even if the county no longer meets one of these sets of criteria.

             (2) The county legislative authority of any county that does not ((meet either of the sets of criteria established)) plan under ((subsection (1) of)) this section may adopt a resolution indicating its intention ((to have subsection (1) of this section apply to)) that the county plan under this section. Each city, located in a county that ((chooses to plan)) adopts a resolution under this subsection((,)) shall ((conform with all of the requirements of this chapter)) plan under this section. Once such a resolution has been adopted, the county and the cities located within the county remain subject to all of the requirements of this ((chapter.))section. However, a county with a population of seventy-five thousand or less that, before the effective date of this act, adopted a resolution of intention under this subsection to plan under this section may adopt a resolution removing the county, and the cities located within the county, from the requirement to plan under this section if the resolution is adopted and filed with the department by December 31, 1997. A county that adopts a resolution removing the county, and the cities located within the county, from the requirement to plan under this section remains subject to the requirements for the designation and protection of critical areas and the designation of natural resource lands under RCW 36.70A.060(2), 36.70A.170, and 36.70A.172.

             (3) Any county or city that is initially required to ((conform with all of the requirements of this chapter)) plan under this section, and, where applicable, the county legislative authority has not adopted a resolution removing the county from these requirements as provided in subsection (1) of this section, shall take actions under this chapter as follows: (a) The county legislative authority shall adopt a county-wide planning policy under RCW 36.70A.210; (b) the county and each city located within the county shall designate critical areas, agricultural lands, forest lands, and mineral resource lands, and adopt development regulations conserving these designated agricultural lands, forest lands, and mineral resource lands and protecting these designated critical areas, under RCW 36.70A.170 and 36.70A.060; (c) the county shall designate and take other actions related to urban growth areas under RCW 36.70A.110; (d) if the county has a population of fifty thousand or more, the county and each city located within the county shall adopt a comprehensive plan under this chapter and development regulations that are consistent with and implement the comprehensive plan on or before July 1, 1994, and if the county has a population of less than fifty thousand, the county and each city located within the county shall adopt a comprehensive plan under this chapter and development regulations that are consistent with and implement the comprehensive plan by January 1, 1995, but if the governor makes written findings that a county with a population of less than fifty thousand or a city located within such a county is not making reasonable progress toward adopting a comprehensive plan and development regulations the governor may reduce this deadline for such actions to be taken by no more than one hundred eighty days. Any county or city subject to this subsection may obtain an additional six months before it is required to have adopted its development regulations by submitting a letter notifying the department of community, trade, and economic development of its need prior to the deadline for adopting both a comprehensive plan and development regulations.

             (4) Any county or city that is required to ((conform with all the requirements of this chapter)) plan under this section, as a result of the county legislative authority adopting its resolution of intention under subsection (2) of this section, and the county legislative authority has not adopted a resolution removing the county from these requirements under subsection (2) of this section, shall take actions under this chapter as follows: (a) The county legislative authority shall adopt a county-wide planning policy under RCW 36.70A.210; (b) the county and each city that is located within the county shall adopt development regulations conserving agricultural lands, forest lands, and mineral resource lands it designated under RCW 36.70A.060 within one year of the date the county legislative authority adopts its resolution of intention; (c) the county shall designate and take other actions related to urban growth areas under RCW 36.70A.110; and (d) the county and each city that is located within the county shall adopt a comprehensive plan and development regulations that are consistent with and implement the comprehensive plan not later than four years from the date the county legislative authority adopts its resolution of intention, but a county or city may obtain an additional six months before it is required to have adopted its development regulations by submitting a letter notifying the department of community, trade, and economic development of its need prior to the deadline for adopting both a comprehensive plan and development regulations.

             (5) If the office of financial management certifies that the population of a county that ((previously had not been required to)) does not plan under ((subsection (1) or (2) of)) this section has changed sufficiently to meet either of the sets of criteria specified under subsection (1) of this section, and where applicable, the county legislative authority has not adopted a resolution removing the county from these requirements as provided in subsection (1) of this section, the county and each city within such county shall take actions under this chapter as follows: (a) The county legislative authority shall adopt a county-wide planning policy under RCW 36.70A.210; (b) the county and each city located within the county shall adopt development regulations under RCW 36.70A.060 conserving agricultural lands, forest lands, and mineral resource lands it designated within one year of the certification by the office of financial management; (c) the county shall designate and take other actions related to urban growth areas under RCW 36.70A.110; and (d) the county and each city located within the county shall adopt a comprehensive land use plan and development regulations that are consistent with and implement the comprehensive plan within four years of the certification by the office of financial management, but a county or city may obtain an additional six months before it is required to have adopted its development regulations by submitting a letter notifying the department of community, trade, and economic development of its need prior to the deadline for adopting both a comprehensive plan and development regulations.

             (6) A copy of each document that is required under this section shall be submitted to the department at the time of its adoption."


             Beginning on page 7, line 17, strike all of sections 4 and 5


             Renumber the remaining sections consecutively and correct the title.


             Representatives Mulliken and Lantz spoke in favor of the adoption of the amendment. The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Mulliken, Lantz, Robertson, DeBolt, Cairnes, Reams, and Parlette spoke in favor of passage of the bill.


             Representatives Sheldon, Anderson, Fisher, Dunshee, Gardner, and Romero spoke against passage of the bill.


             Representative Zellinsky demanded the previous question and it was sustained.


             The Speaker stated the question before the House to be final passage of Engrossed Substitute House Bill No. 1338.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 1338 and the bill passed the House by the following vote: Yeas - 58, Nays - 40, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Crouse, DeBolt, Delvin, Doumit, Dunn, Dyer, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, O'Brien, Parlette, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sullivan, Sump, Talcott, Thomas, L., Thompson, Van Luven, Zellinsky and Mr. Speaker - 58.

             Voting nay: Representatives Anderson, Appelwick, Ballasiotes, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Dickerson, Dunshee, Fisher, Gardner, Kastama, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Morris, Murray, Ogden, Poulsen, Quall, Regala, Romero, Scott, Sehlin, Sommers, H., Thomas, B., Tokuda, Veloria, Wensman, Wolfe and Wood - 40.


             Engrossed Substitute House Bill No. 1338, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1434, by Representatives McMorris, Hatfield, Boldt, Cole and Conway; by request of Secretary of State

 

Providing for the quality awards council.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1434 was substituted for House Bill No. 1434 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1434 was read the second time.


             Representative Lisk moved the adoption of the following amendment by Representative Lisk: (318)


             On page 3, line 27, after "July 1," strike "2004" and insert "((2004)) 1999"


             Representative Lisk spoke in favor of the adoption of the amendment.


             Representative Gardner spoke against adoption of the amendment.


             The amendment was adopted.


             With the consent of the House, amendment number 113 to Substitute House Bill No. 1434 was withdrawn.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representative McMorris spoke in favor of passage of the bill.


             Representatives Gardner and Lisk spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Engrossed Substitute House Bill No. 1434.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 1434 and the bill passed the House by the following vote: Yeas - 87, Nays - 11, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Conway, Cooke, Cooper, Costa, Crouse, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kessler, Koster, Lambert, Lantz, Linville, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Schmidt, D., Schmidt, K., Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Wensman, Wood, Zellinsky and Mr. Speaker - 87.

             Voting nay: Representatives Butler, Cole, Constantine, DeBolt, Gardner, Kenney, Lisk, Romero, Schoesler, Veloria and Wolfe - 11.


             Engrossed Substitute House Bill No. 1434, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1490, by Representatives Thompson, Mielke, L. Thomas, McMorris, Chandler, Sterk and Delvin

 

Clarifying liability of drivers of authorized emergency vehicles.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1490 was substituted for House Bill No. 1490 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1490 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Thompson and Sterk spoke in favor of passage of the bill.


             Representatives Constantine, Costa, O'Brien and Appelwick spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1490.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1490 and the bill passed the House by the following vote: Yeas - 58, Nays - 40, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Conway, Cooke, Crouse, DeBolt, Delvin, Dunn, Dyer, Grant, Hankins, Honeyford, Huff, Johnson, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Parlette, Pennington, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 58.

             Voting nay: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Gombosky, Hatfield, Hickel, Kastama, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Morris, Murray, O'Brien, Ogden, Poulsen, Quall, Radcliff, Regala, Romero, Scott, Sommers, H., Tokuda, Veloria, Wolfe and Wood - 40.


             Substitute House Bill No. 1490, having received the constitutional majority, was declared passed.


             There being no objection, the House deferred consideration of House Bill No. 1527 and the bill held it's place on the second reading calendar.


             HOUSE BILL NO. 1492, by Representatives Buck, Kessler and Schoesler

 

Creating easements across natural area preserves.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1492 was substituted for House Bill No. 1492 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1492 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Buck, Kessler and Hatfield spoke in favor of passage of the bill.


             Representatives Constantine, Appelwick and Regala spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1492.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1492 and the bill passed the House by the following vote: Yeas - 63, Nays - 35, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Crouse, DeBolt, Delvin, Doumit, Dunn, Dunshee, Dyer, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kessler, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, O'Brien, Parlette, Pennington, Radcliff, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 63.

             Voting nay: Representatives Anderson, Appelwick, Blalock, Butler, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Dickerson, Fisher, Gardner, Gombosky, Kastama, Keiser, Kenney, Lantz, Linville, Mason, Murray, Ogden, Poulsen, Quall, Reams, Regala, Romero, Scott, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 35.


             Substitute House Bill No. 1492, having received the constitutional majority, was declared passed.


             There being no objection, the House deferred consideration of House Bill No. 1528 and the bill held it's place on the second reading calendar.


             HOUSE BILL NO. 1536, by Representatives Backlund, Cody and Dyer

 

Modifying regulation of respiratory care practitioners.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1536 was substituted for House Bill No. 1536 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1536 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Backlund and Murray spoke in favor of passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1536.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1536 and the bill passed the House by the following vote: Yeas - 97, Nays - 1, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 97.

             Voting nay: Representative Sherstad - 1.


             Substitute House Bill No. 1536, having received the constitutional majority, was declared passed.


             There being no objection, the House deferred consideration of House Bill No. 1548 and the bill held it's place on the second reading calendar.


             HOUSE BILL NO. 1612, by Representatives Koster, O'Brien, Thompson, Dunshee, D. Schmidt, Kenney, Costa, Cooper, Backlund and Cole

 

Designating and funding a highway project to be done under a design-build procedure.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1612 was substituted for House Bill No. 1612 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1612 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Koster, O'Brien, D. Schmidt, Thompson and K. Schmidt spoke in favor of passage of the bill.


             Representative Fisher spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1612.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1612 and the bill passed the House by the following vote: Yeas - 74, Nays - 24, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooper, Costa, Crouse, DeBolt, Delvin, Dunn, Dunshee, Dyer, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Kessler, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Quall, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 74.

             Voting nay: Representatives Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooke, Dickerson, Doumit, Fisher, Gardner, Gombosky, Keiser, Kenney, Lantz, Linville, Mason, Poulsen, Regala, Romero, Sullivan, Tokuda and Veloria - 24.


             Substitute House Bill No. 1612, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1619, by Representatives Zellinsky, Dyer, Cody, Skinner, Parlette, Sherstad and Clements

 

Increasing compensation for members of medical boards.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1619 was substituted for House Bill No. 1619 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1619 was read the second time.


             Representative Backlund moved the adoption of the following amendment by Representative Backlund: (231)

             On page 1, line 14, after "exceed" strike "five hundred" and insert "two hundred fifty"


             Representatives Backlund and Murray spoke in favor of the adoption of the amendment. The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Zellinsky and Murray spoke in favor of passage of the bill.


             The Speaker stated the question before the House to be final passage of Engrossed Substitute House Bill No. 1619.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 1619 and the bill passed the House by the following vote: Yeas - 98, Nays - 0, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 98.


             Engrossed Substitute House Bill No. 1619, having received the constitutional majority, was declared passed.


             The Speaker called upon Representative Pennington to preside.


             HOUSE BILL NO. 1655, by Representatives Hankins, Cooper, Fisher, Romero, Blalock, Constantine, Gardner, O'Brien, Scott, Zellinsky, Hatfield and Keiser

 

Extending protection for bus drivers.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1655 was substituted for House Bill No. 1655 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1655 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Hankins, Cooper and Sheahan spoke in favor of passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Substitute House Bill No. 1655.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1655 and the bill passed the House by the following vote: Yeas - 98, Nays - 0, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 98.


             Substitute House Bill No. 1655, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1721, by Representatives McMorris, Koster, Honeyford, Van Luven and Mulliken

 

Providing economic opportunities for private enterprise.


             The bill was read the second time. There being no objection, Second Substitute House Bill No. 1721 was substituted for House Bill No. 1721 and the second substitute bill was placed on the second reading calendar.


             Second Substitute House Bill No. 1721 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives McMorris and D. Schmidt spoke in favor of passage of the bill.


             Representatives Gardner and Dunshee spoke against passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Second Substitute House Bill No. 1721.


ROLL CALL


             The Clerk called the roll on the final passage of Second Substitute House Bill No. 1721 and the bill passed the House by the following vote: Yeas - 59, Nays - 39, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dunn, Dyer, Grant, Hankins, Hickel, Honeyford, Huff, Johnson, Kastama, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Parlette, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 59.

             Voting nay: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Gombosky, Hatfield, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Morris, Murray, O'Brien, Ogden, Poulsen, Quall, Regala, Romero, Scott, Sheldon, Sommers, H., Tokuda, Veloria, Wolfe and Wood - 39.


             Second Substitute House Bill No. 1721, having received the constitutional majority, was declared passed.


STATEMENT FOR THE JOURNAL


             I intended to vote NAY on Second Substitute House Bill No. 1721.


BRIAN SULLIVAN, 29th District


             HOUSE BILL NO. 1730, by Representatives Chandler, Schoesler and Grant

 

Changing provisions relating to sufficient cause for nonuse of water rights.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1730 was substituted for House Bill No. 1730 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1730 was read the second time.


             Representative Mastin moved the adoption of the following amendment by Representative Mastin: (238)


             On page 3, after line 16, strike all material through "reference." on page 4, line 17


             Correct the title.


             Representative Mastin spoke in favor of the adoption of the amendment. The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representative Chandler spoke in favor of passage of the bill.


             Representative Linville spoke against passage of the bill.


COLLOQUY


             Representative Chandler: Would the Representative from the District 16 yield to a question? You sponsored the amendments that added these provisions to this bill in the Agriculture and Ecology Committee. Are you now opposed to them?


             Representative Mastin: Not at all. But, I believe that the clarification they provide is unnecessary. This is already the law.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Engrossed Substitute House Bill No. 1730.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 1730 and the bill passed the House by the following vote: Yeas - 63, Nays - 35, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dunn, Dyer, Gombosky, Grant, Hankins, Hickel, Honeyford, Huff, Johnson, Kessler, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, O'Brien, Parlette, Pennington, Quall, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 63.

             Voting nay: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Hatfield, Kastama, Keiser, Kenney, Lantz, Linville, Mason, Murray, Ogden, Poulsen, Regala, Romero, Scott, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 35.


             Engrossed Substitute House Bill No. 1730, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1734, by Representatives Zellinsky, L. Thomas, Benson, DeBolt, Dyer and Pennington

 

Modifying personal injury protection automobile insurance coverage.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1734 was substituted for House Bill No. 1734 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1734 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Zellinsky, L. Thomas, Smith, Dyer and Benson spoke in favor of passage of the bill.


             Representatives Wolfe, Sullivan, Keiser and Gardner spoke against passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Substitute House Bill No. 1734.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1734 and the bill passed the House by the following vote: Yeas - 56, Nays - 42, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dunn, Dyer, Gombosky, Hankins, Honeyford, Huff, Johnson, Koster, Linville, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 56.

             Voting nay: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Grant, Hatfield, Hickel, Kastama, Keiser, Kenney, Kessler, Lambert, Lantz, Mason, Morris, Murray, O'Brien, Ogden, Parlette, Poulsen, Quall, Regala, Romero, Scott, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 42.


             Substitute House Bill No. 1734, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1770, by Representatives Alexander, Linville, Hatfield, Anderson, Doumit, Buck, Chandler and Kessler.


             Setting the fee for the transfer of Dungeness crab — coastal fishery licenses.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1770 was substituted for House Bill No. 1770 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1770 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Alexander and Regala spoke in favor of passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Substitute House Bill No. 1770.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1770 and the bill passed the House by the following vote: Yeas - 98, Nays - 0, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 98.


             Substitute House Bill No. 1770, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1780, by Representatives Sheahan, L. Thomas, Pennington, Delvin, Sherstad, Hickel and Kessler

 

Modifying service of process.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1780 was substituted for House Bill No. 1780 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1780 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Sheahan and Constantine spoke in favor of passage of the bill.


MOTION


             On motion by Representative Delvin, Representative Hickel was excused.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Substitute House Bill No. 1780.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1780 and the bill passed the House by the following vote: Yeas - 97, Nays - 0, Absent - 0, Excused - 1.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 97.

             Excused: Representative Hickel - 1.


             Substitute House Bill No. 1780, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1815, by Representatives Reams and Sump

 

Changing standing for purposes of growth management hearings.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1815 was substituted for House Bill No. 1815 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1815 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Reams and Cairnes spoke in favor of passage of the bill.


             Representatives Lantz, Murray and Gardner spoke against passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Substitute House Bill No. 1815.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1815 and the bill passed the House by the following vote: Yeas - 62, Nays - 36, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Doumit, Dunn, Dyer, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kessler, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Parlette, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 62.

             Voting nay: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Dunshee, Fisher, Gardner, Gombosky, Kastama, Keiser, Kenney, Lantz, Linville, Mason, Morris, Murray, O'Brien, Ogden, Poulsen, Quall, Regala, Romero, Scott, Sommers, H., Tokuda, Veloria, Wolfe and Wood - 36.


             Substitute House Bill No. 1815, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1816, by Representatives Reams and Sump

 

Changing the mandatory elements of comprehensive plans under the growth management act.


             The bill was read the second time.


             With the consent of the House, amendment number 237 to House Bill No. 1816 was withdrawn.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Reams, Cairnes, Mastin, Delvin and Backlund spoke in favor of passage of the bill.


             Representatives Gardner, Constantine, Anderson and Ogden spoke against passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of House Bill No. 1816.


ROLL CALL


             The Clerk called the roll on the final passage of House Bill No. 1816 and the bill passed the House by the following vote: Yeas - 61, Nays - 37, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Crouse, DeBolt, Delvin, Dunn, Dyer, Grant, Hankins, Hickel, Honeyford, Huff, Johnson, Kessler, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, O'Brien, Parlette, Pennington, Quall, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 61.

             Voting nay: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Gombosky, Hatfield, Kastama, Keiser, Kenney, Lantz, Linville, Mason, Morris, Murray, Ogden, Poulsen, Regala, Romero, Scott, Sommers, H., Tokuda, Veloria, Wolfe and Wood - 37.


             House Bill No. 1816, having received the constitutional majority, was declared passed.


             The Speaker assumed the chair.


             HOUSE BILL NO. 1817, by Representatives Chandler, Kessler, Alexander, Linville, DeBolt, O'Brien, Skinner, Wolfe, McMorris, Ogden, D. Sommers, Hankins, Cooke and Mason

 

Authorizing reclaimed water demonstration projects.


             The bill was read the second time. There being no objection, Second Substitute House Bill No. 1817 was substituted for House Bill No. 1817 and the second substitute bill was placed on the second reading calendar.


             Second Substitute House Bill No. 1817 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Chandler, Kessler and Alexander spoke in favor of passage of the bill.


             The Speaker stated the question before the House to be final passage of Second Substitute House Bill No. 1817.


ROLL CALL


             The Clerk called the roll on the final passage of Second Substitute House Bill No. 1817 and the bill passed the House by the following vote: Yeas - 98, Nays - 0, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 98.


             Second Substitute House Bill No. 1817, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1823, by Representative Reams

 

Requiring local governments to periodically update their shoreline master programs.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1823 was substituted for House Bill No. 1823 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1823 was read the second time.


             With the consent of the House, amendment number 241 to Substitute House Bill No. 1823 was withdrawn.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Reams and Romero spoke in favor of passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1823.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1823 and the bill passed the House by the following vote: Yeas - 91, Nays - 7, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cole, Constantine, Conway, Cooke, Cooper, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 91.

             Voting nay: Representatives Cody, Costa, Fisher, Gardner, Murray, Regala and Tokuda - 7.


             Substitute House Bill No. 1823, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1840, by Representatives Dyer and L. Thomas

 

Requiring that persons who are appointed or authorized to solicit applications for enrollment in the Washington basic health plan comply with the insurance code.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1840 was substituted for House Bill No. 1840 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1840 was read the second time.


             Representative Keiser moved the adoption of the following amendment by Representative Keiser: (274)


             On page 2, line 25, after "RCW" insert ". For purposes of this subsection (1)(b), "solicit" does not include distributing information and applications for the basic health plan and responding to questions"


             Representatives Keiser and L. Thomas spoke in favor of the adoption of the amendment. The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representative Dyer spoke in favor of passage of the bill.


             The Speaker stated the question before the House to be final passage of Engrossed Substitute House Bill No. 1840.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 1840 and the bill passed the House by the following vote: Yeas - 98, Nays - 0, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 98.


             Engrossed Substitute House Bill No. 1840, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1842, by Representatives Honeyford, Clements, Boldt, Lisk, McMorris, Koster, Skinner, Johnson, L. Thomas and Mulliken

 

Changing the minimum length of the school year if disaster circumstances exist.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1842 was substituted for House Bill No. 1842 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1842 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Honeyford, Cole and Keiser spoke in favor of passage of the bill.


             Representative D. Sommers spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1842.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1842 and the bill passed the House by the following vote: Yeas - 85, Nays - 13, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Costa, Dickerson, Doumit, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, Ogden, Parlette, Pennington, Poulsen, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 85.

             Voting nay: Representatives Benson, Cooper, Crouse, DeBolt, Delvin, Dunn, Dunshee, Hickel, Koster, O'Brien, Quall, Sommers, D. and Thompson - 13.


             Substitute House Bill No. 1842, having received the constitutional majority, was declared passed.


STATEMENT FOR THE JOURNAL


             I intended to vote NAY on Substitute House Bill No. 1842.

MARK DOUMIT, 19th District


STATEMENT FOR THE JOURNAL


             I intended to vote NAY on Substitute House Bill No. 1842.

KIP TOKUDA, 37th District


             There being no objection, the House deferred consideration of House Bill No. 1854 and House Bill No. 1866, and the bills held their place on the second reading calendar.


             HOUSE BILL NO. 1871, by Representatives Zellinsky, L. Thomas and Benson


             Allowing auto policies to require exhaustion of the at-fault party's coverage.


             The bill was read the second time. There being no objection, the committee recommendation was not adopted.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Zellinsky, L. Thomas and Smith spoke in favor of passage of the bill.


             Representatives Constantine, Hickel, Appelwick and Quall spoke against the passage of the bill.


             The Speaker stated the question before the House to be final passage of House Bill No. 1871.


ROLL CALL


             The Clerk called the roll on the final passage of House Bill No. 1871 and the bill passed the House by the following vote: Yeas - 49, Nays - 49, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dunn, Dyer, Honeyford, Huff, Johnson, Koster, Lisk, McDonald, McMorris, Mielke, Mulliken, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 49.

             Voting nay: Representatives Anderson, Appelwick, Backlund, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Kastama, Keiser, Kenney, Kessler, Lambert, Lantz, Linville, Mason, Mastin, Mitchell, Morris, Murray, O'Brien, Ogden, Parlette, Poulsen, Quall, Regala, Romero, Scott, Sheldon, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 49.


             House Bill No. 1871, having failed to received the constitutional majority, was declared failed.


             There being no objection, all bills passed today were immediately transmitted to the Senate.


             HOUSE BILL NO. 1873, by Representatives Boldt, Dunn and Mulliken

 

Clarifying annexation procedures for cities and towns annexing populated and nonpopulated areas.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1873 was substituted for House Bill No. 1873 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1873 was read the second time.


             Representative Boldt moved the adoption of the following amendment by Representative Boldt: (244)


             On page 4, beginning on line 32, strike "five percent of the city’s or town’s population prior to the annexation or one hundred" and insert "two percent of the city’s or town’s population prior to the annexation or fifty"


             On page 5, beginning on line 5, strike "five percent of the city’s or town’s population prior to the annexation or one hundred" and insert "two percent of the city’s or town’s population prior to the annexation or fifty"


             On page 5, beginning on line 15, strike "five percent of the city’s or town’s population prior to the annexation or one hundred" and insert "two percent of the city’s or town’s population prior to the annexation or fifty"


             On page 5, beginning on line 37, strike "five percent of the city’s or town’s population prior to the annexation or one hundred" and insert "two percent of the city’s or town’s population prior to the annexation or fifty"


             On page 10, beginning on line 12, strike "five percent of the city’s or town’s population prior to the annexation or one hundred" and insert "two percent of the city’s or town’s population prior to the annexation or fifty"


             On page 10, beginning on line 21, strike "five percent of the city’s or town’s population prior to the annexation or one hundred" and insert "two percent of the city’s or town’s population prior to the annexation or fifty"


             On page 10, beginning on line 31, strike "five percent of the city’s or town’s population prior to the annexation or one hundred" and insert "two percent of the city’s or town’s population prior to the annexation or fifty"


             Representatives Boldt, Gardner and Pennington spoke in favor of the adoption of the amendment.


             Representative D. Schmidt spoke against the adoption of the amendment.


             The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Boldt, D. Schmidt and Dunshee spoke in favor of passage of the bill.


             Representative Scott spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Engrossed Substitute House Bill No. 1873.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 1873 and the bill passed the House by the following vote: Yeas - 66, Nays - 32, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dunn, Dunshee, Dyer, Gardner, Gombosky, Grant, Hankins, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mastin, McDonald, McMorris, Mielke, Morris, Mulliken, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Robertson, Schmidt, D., Schoesler, Sehlin, Sheahan, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Zellinsky and Mr. Speaker - 66.

             Voting nay: Representatives Anderson, Appelwick, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Fisher, Hatfield, Kenney, Mason, Mitchell, Murray, O'Brien, Ogden, Regala, Romero, Schmidt, K., Scott, Sheldon, Sommers, H., Sullivan, Tokuda, Veloria, Wensman, Wolfe and Wood - 32.


             Engrossed Substitute House Bill No. 1873, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1891, by Representatives Dyer and Wolfe

 

Authorizing the distribution of certain governmental lists of public information to private companies for use by federal, state or local governments and certain business entities.


             The bill was read the second time.


             Representative Dyer moved the adoption of the following amendment by Representative Dyer (282):


             Strike everything after the enacting clause and insert the following:


             "NEW SECTION. Sec. 1. It is the intent of the legislature to delineate between legitimate business use of public records and inappropriate commercial use. It is also the intent of the legislature to protect the privacy of citizens from inappropriate commercial use of public records by providing disincentives for such use. It is also the intent of the legislature to allow agencies to recover a reasonable share of the costs of providing contracted enhanced electronic access to public records for business purposes. Furthermore, the legislature seeks to encourage public-private cooperation in ways that further the public mission of the state and to maintain and enhance public access to public records for the purpose of encouraging public oversight and facilitating other desirable social and economic benefits."


             Sec. 2. RCW 42.17.020 and 1995 c 397 s 1 are each amended to read as follows:

"           (1) "Agency" includes all state agencies and all local agencies. "State agency" includes every state office, department, division, bureau, board, commission, or other state agency. "Local agency" includes every county, city, town, municipal corporation, quasi-municipal corporation, or special purpose district, or any office, department, division, bureau, board, commission, or agency thereof, or other local public agency.

             (2) "Authorized committee" means the political committee authorized by a candidate, or by the public official against whom recall charges have been filed, to accept contributions or make expenditures on behalf of the candidate or public official.

             (3) "Ballot proposition" means any "measure" as defined by RCW 29.01.110, or any initiative, recall, or referendum proposition proposed to be submitted to the voters of the state or any municipal corporation, political subdivision, or other voting constituency from and after the time when the proposition has been initially filed with the appropriate election officer of that constituency prior to its circulation for signatures.

             (4) "Benefit" means a commercial, proprietary, financial, economic, or monetary advantage, or the avoidance of a commercial, proprietary, financial, economic, or monetary disadvantage.

             (5) "Bona fide political party" means:

             (a) An organization that has filed a valid certificate of nomination with the secretary of state under chapter 29.24 RCW;

             (b) The governing body of the state organization of a major political party, as defined in RCW 29.01.090, that is the body authorized by the charter or bylaws of the party to exercise authority on behalf of the state party; or

             (c) The county central committee or legislative district committee of a major political party. There may be only one legislative district committee for each party in each legislative district.

             (6) "Business use" or "business purpose" means a use of public records, including, but not limited to those records that contain personally identifiable information, in government data bases for the purpose of meeting regulatory requirements, conducting business in a safe and legal manner, or validating information provided by one party, and does not result in an unsolicited commercial contact to persons identified in such records. Furthermore such business use or business purpose must comply with the provisions of RCW 42.17.300 (2) through (4).

             (7) "Depository" means a bank designated by a candidate or political committee pursuant to RCW 42.17.050.

             (((7))) (8) "Treasurer" and "deputy treasurer" mean the individuals appointed by a candidate or political committee, pursuant to RCW 42.17.050, to perform the duties specified in that section.

             (((8))) (9) "Candidate" means any individual who seeks nomination for election or election to public office. An individual seeks nomination or election when he or she first:

             (a) Receives contributions or makes expenditures or reserves space or facilities with intent to promote his or her candidacy for office;

             (b) Announces publicly or files for office;

             (c) Purchases commercial advertising space or broadcast time to promote his or her candidacy; or

             (d) Gives his or her consent to another person to take on behalf of the individual any of the actions in (a) or (c) of this subsection.

             (((9))) (10) "Caucus political committee" means a political committee organized and maintained by the members of a major political party in the state senate or state house of representatives.

             (((10))) (11) "Commercial advertiser" means any person who sells the service of communicating messages or producing printed material for broadcast or distribution to the general public or segments of the general public whether through the use of newspapers, magazines, television and radio stations, billboard companies, direct mail advertising companies, printing companies, or otherwise.

             (((11))) (12) "Commission" means the agency established under RCW 42.17.350.

             (((12))) (13) "Compensation" unless the context requires a narrower meaning, includes payment in any form for real or personal property or services of any kind((: PROVIDED, That)). However, for the purpose of compliance with RCW 42.17.241, the term "compensation" shall not include per diem allowances or other payments made by a governmental entity to reimburse a public official for expenses incurred while the official is engaged in the official business of the governmental entity.

             (((13))) (14) "Continuing political committee" means a political committee that is an organization of continuing existence not established in anticipation of any particular election campaign.

             (((14))) (15)(a) "Contribution" includes:

             (i) A loan, gift, deposit, subscription, forgiveness of indebtedness, donation, advance, pledge, payment, transfer of funds between political committees, or anything of value, including personal and professional services for less than full consideration;

             (ii) An expenditure made by a person in cooperation, consultation, or concert with, or at the request or suggestion of, a candidate, a political committee, or their agents;

             (iii) The financing by a person of the dissemination, distribution, or republication, in whole or in part, of broadcast, written, graphic, or other form of political advertising prepared by a candidate, a political committee, or its authorized agent;

             (iv) Sums paid for tickets to fund-raising events such as dinners and parties, except for the actual cost of the consumables furnished at the event.

             (b) "Contribution" does not include:

             (i) Standard interest on money deposited in a political committee's account;

             (ii) Ordinary home hospitality;

             (iii) A contribution received by a candidate or political committee that is returned to the contributor within five business days of the date on which it is received by the candidate or political committee;

             (iv) A news item, feature, commentary, or editorial in a regularly scheduled news medium that is of primary interest to the general public, that is in a news medium controlled by a person whose business is that news medium, and that is not controlled by a candidate or a political committee;

             (v) An internal political communication primarily limited to the members of or contributors to a political party organization or political committee, or to the officers, management staff, or stockholders of a corporation or similar enterprise, or to the members of a labor organization or other membership organization;

             (vi) The rendering of personal services of the sort commonly performed by volunteer campaign workers, or incidental expenses personally incurred by volunteer campaign workers not in excess of fifty dollars personally paid for by the worker. "Volunteer services," for the purposes of this section, means services or labor for which the individual is not compensated by any person;

             (vii) Messages in the form of reader boards, banners, or yard or window signs displayed on a person's own property or property occupied by a person. However, a facility used for such political advertising for which a rental charge is normally made must be reported as an in-kind contribution and counts towards any applicable contribution limit of the person providing the facility;

             (viii) Legal or accounting services rendered to or on behalf of:

             (A) A political party or caucus political committee if the person paying for the services is the regular employer of the person rendering such services; or

             (B) A candidate or an authorized committee if the person paying for the services is the regular employer of the individual rendering the services and if the services are solely for the purpose of ensuring compliance with state election or public disclosure laws.

             (c) Contributions other than money or its equivalent are deemed to have a monetary value equivalent to the fair market value of the contribution. Services or property or rights furnished at less than their fair market value for the purpose of assisting any candidate or political committee are deemed a contribution. Such a contribution must be reported as an in-kind contribution at its fair market value and counts towards any applicable contribution limit of the provider.

             (((15))) (16) "Elected official" means any person elected at a general or special election to any public office, and any person appointed to fill a vacancy in any such office.

             (((16))) (17) "Election" includes any primary, general, or special election for public office and any election in which a ballot proposition is submitted to the voters: PROVIDED, That an election in which the qualifications for voting include other than those requirements set forth in Article VI, section 1 (Amendment 63) of the Constitution of the state of Washington shall not be considered an election for purposes of this chapter.

             (((17))) (18) "Election campaign" means any campaign in support of or in opposition to a candidate for election to public office and any campaign in support of, or in opposition to, a ballot proposition.

             (((18))) (19) "Election cycle" means the period beginning on the first day of December after the date of the last previous general election for the office that the candidate seeks and ending on November 30th after the next election for the office. In the case of a special election to fill a vacancy in an office, "election cycle" means the period beginning on the day the vacancy occurs and ending on November 30th after the special election.

             (((19))) (20) "Enhanced electronic access" means the contracted electronic delivery of public records in a format or through electronic delivery systems, by written agreement that complies with RCW 42.17.300 (2) through (4), at the request and for the business purpose of the party seeking the records, but which are not developed or maintained by an agency for its internal use or for the provision of public access to public records.

             (21) "Expenditure" includes a payment, contribution, subscription, distribution, loan, advance, deposit, or gift of money or anything of value, and includes a contract, promise, or agreement, whether or not legally enforceable, to make an expenditure. The term "expenditure" also includes a promise to pay, a payment, or a transfer of anything of value in exchange for goods, services, property, facilities, or anything of value for the purpose of assisting, benefitting, or honoring any public official or candidate, or assisting in furthering or opposing any election campaign. For the purposes of this chapter, agreements to make expenditures, contracts, and promises to pay may be reported as estimated obligations until actual payment is made. The term "expenditure" shall not include the partial or complete repayment by a candidate or political committee of the principal of a loan, the receipt of which loan has been properly reported.

             (((20))) (22) "Final report" means the report described as a final report in RCW 42.17.080(2).

             (((21))) (23) "General election" means the election that results in the election of a person to a state office. It does not include a primary.

             (((22))) (24) "Gift," is as defined in RCW 42.52.010.

             (((23))) (25) "Immediate family" includes the spouse, dependent children, and other dependent relatives, if living in the household. For the purposes of RCW 42.17.640 through 42.17.790, "immediate family" means an individual's spouse, and child, stepchild, grandchild, parent, stepparent, grandparent, brother, half brother, sister, or half sister of the individual and the spouse of any such person and a child, stepchild, grandchild, parent, stepparent, grandparent, brother, half brother, sister, or half sister of the individual's spouse and the spouse of any such person.

             (((24))) (26) "Independent expenditure" means an expenditure that has each of the following elements:

             (a) It is made in support of or in opposition to a candidate for office by a person who is not (i) a candidate for that office, (ii) an authorized committee of that candidate for that office, (iii) a person who has received the candidate's encouragement or approval to make the expenditure, if the expenditure pays in whole or in part for political advertising supporting that candidate or promoting the defeat of any other candidate or candidates for that office, or (iv) a person with whom the candidate has collaborated for the purpose of making the expenditure, if the expenditure pays in whole or in part for political advertising supporting that candidate or promoting the defeat of any other candidate or candidates for that office;

             (b) The expenditure pays in whole or in part for political advertising that either specifically names the candidate supported or opposed, or clearly and beyond any doubt identifies the candidate without using the candidate's name; and

             (c) The expenditure, alone or in conjunction with another expenditure or other expenditures of the same person in support of or opposition to that candidate, has a value of five hundred dollars or more. A series of expenditures, each of which is under five hundred dollars, constitutes one independent expenditure if their cumulative value is five hundred dollars or more.

             (((25))) (27)(a) "Intermediary" means an individual who transmits a contribution to a candidate or committee from another person unless the contribution is from the individual's employer, immediate family as defined for purposes of RCW 42.17.640 through 42.17.790, or an association to which the individual belongs.

             (b) A treasurer or a candidate is not an intermediary for purposes of the committee that the treasurer or candidate serves.

             (c) A professional fund-raiser is not an intermediary if the fund-raiser is compensated for fund-raising services at the usual and customary rate.

             (d) A volunteer hosting a fund-raising event at the individual's home is not an intermediary for purposes of that event.

             (((26))) (28) "Legislation" means bills, resolutions, motions, amendments, nominations, and other matters pending or proposed in either house of the state legislature, and includes any other matter that may be the subject of action by either house or any committee of the legislature and all bills and resolutions that, having passed both houses, are pending approval by the governor.

             (((27))) (29) "Lobby" and "lobbying" each mean attempting to influence the passage or defeat of any legislation by the legislature of the state of Washington, or the adoption or rejection of any rule, standard, rate, or other legislative enactment of any state agency under the state Administrative Procedure Act, chapter 34.05 RCW. Neither "lobby" nor "lobbying" includes an association's or other organization's act of communicating with the members of that association or organization.

             (((28))) (30) "Lobbyist" includes any person who lobbies either in his or her own or another's behalf.

             (((29))) (31) "Lobbyist's employer" means the person or persons by whom a lobbyist is employed and all persons by whom he or she is compensated for acting as a lobbyist.

             (((30))) (32) "Person" includes an individual, partnership, joint venture, public or private corporation, association, federal, state, or local governmental entity or agency however constituted, candidate, committee, political committee, political party, executive committee thereof, or any other organization or group of persons, however organized.

             (((31))) (33) "Person in interest" means the person who is the subject of a record or any representative designated by that person, except that if that person is under a legal disability, the term "person in interest" means and includes the parent or duly appointed legal representative.

             (((32))) (34) "Personally identifiable information" means information disclosed by an individual as a prerequisite to the receipt of a license, approval, award, product, or service from a government agency, which may include name, address, telephone number, social security number, photographs, fingerprints, or computerized images thereof.

             (35) "Political advertising" includes any advertising displays, newspaper ads, billboards, signs, brochures, articles, tabloids, flyers, letters, radio or television presentations, or other means of mass communication, used for the purpose of appealing, directly or indirectly, for votes or for financial or other support in any election campaign.

             (((33))) (36) "Political committee" means any person (except a candidate or an individual dealing with his or her own funds or property) having the expectation of receiving contributions or making expenditures in support of, or opposition to, any candidate or any ballot proposition.

             (((34))) (37) "Primary" means the procedure for nominating a candidate to state office under chapter 29.18 or 29.21 RCW or any other primary for an election that uses, in large measure, the procedures established in chapter 29.18 or 29.21 RCW.

             (((35))) (38) "Public office" means any federal, state, county, city, town, school district, port district, special district, or other state political subdivision elective office.

             (((36))) (39) "Public record" includes any writing containing information relating to the conduct of government or the performance of any governmental or proprietary function prepared, owned, used, or retained by any state or local agency regardless of physical form or characteristics. For the office of the secretary of the senate and the office of the chief clerk of the house of representatives, public records means legislative records as defined in RCW 40.14.100 and also means the following: All budget and financial records; personnel leave, travel, and payroll records; records of legislative sessions; reports submitted to the legislature; and any other record designated a public record by any official action of the senate or the house of representatives.

             (((37))) (40) "Recall campaign" means the period of time beginning on the date of the filing of recall charges under RCW 29.82.015 and ending thirty days after the recall election.

             (((38))) (41) "State legislative office" means the office of a member of the state house of representatives or the office of a member of the state senate.

             (((39))) (42) "State office" means state legislative office or the office of governor, lieutenant governor, secretary of state, attorney general, commissioner of public lands, insurance commissioner, superintendent of public instruction, state auditor, or state treasurer.

             (((40))) (43) "State official" means a person who holds a state office.

             (((41))) (44) "Surplus funds" mean, in the case of a political committee or candidate, the balance of contributions that remain in the possession or control of that committee or candidate subsequent to the election for which the contributions were received, and that are in excess of the amount necessary to pay remaining debts incurred by the committee or candidate prior to that election. In the case of a continuing political committee, "surplus funds" mean those contributions remaining in the possession or control of the committee that are in excess of the amount necessary to pay all remaining debts when it makes its final report under RCW 42.17.065.

             (((42))) (45) "Writing" means handwriting, typewriting, printing, photostating, photographing, and every other means of recording any form of communication or representation, including, but not limited to, letters, words, pictures, sounds, or symbols, or combination thereof, and all papers, maps, magnetic or paper tapes, photographic films and prints, motion picture, film and video recordings, magnetic or punched cards, discs, drums, diskettes, sound recordings, and other documents including existing data compilations from which information may be obtained or translated.

             As used in this chapter, the singular shall take the plural and any gender, the other, as the context requires."


             Sec. 3. RCW 42.17.260 and 1995 c 397 s 11 and 1995 c 341 s 1 are each reenacted and amended to read as follows:

"           (1) Each agency, in accordance with published rules, shall make available for public inspection and copying all public records, unless the record falls within the specific exemptions of subsection (6) of this section, RCW 42.17.310, 42.17.315, or other statute which exempts or prohibits disclosure of specific information or records. To the extent required to prevent an unreasonable invasion of personal privacy interests protected by RCW 42.17.310 and 42.17.315, an agency shall delete identifying details in a manner consistent with RCW 42.17.310 and 42.17.315 when it makes available or publishes any public record; however, in each case, the justification for the deletion shall be explained fully in writing.

             (2) For informational purposes, each agency shall publish and maintain a current list containing every law, other than those listed in this chapter, that the agency believes exempts or prohibits disclosure of specific information or records of the agency. An agency's failure to list an exemption shall not affect the efficacy of any exemption.

             (3) Each local agency shall maintain and make available for public inspection and copying a current index providing identifying information as to the following records issued, adopted, or promulgated after January 1, 1973:

             (a) Final opinions, including concurring and dissenting opinions, as well as orders, made in the adjudication of cases;

             (b) Those statements of policy and interpretations of policy, statute, and the Constitution which have been adopted by the agency;

             (c) Administrative staff manuals and instructions to staff that affect a member of the public;

             (d) Planning policies and goals, and interim and final planning decisions;

             (e) Factual staff reports and studies, factual consultant's reports and studies, scientific reports and studies, and any other factual information derived from tests, studies, reports, or surveys, whether conducted by public employees or others; and

             (f) Correspondence, and materials referred to therein, by and with the agency relating to any regulatory, supervisory, or enforcement responsibilities of the agency, whereby the agency determines, or opines upon, or is asked to determine or opine upon, the rights of the state, the public, a subdivision of state government, or of any private party.

             (4) A local agency need not maintain such an index, if to do so would be unduly burdensome, but it shall in that event:

             (a) Issue and publish a formal order specifying the reasons why and the extent to which compliance would unduly burden or interfere with agency operations; and

             (b) Make available for public inspection and copying all indexes maintained for agency use.

             (5) Each state agency shall, by rule, establish and implement a system of indexing for the identification and location of the following records:

             (a) All records issued before July 1, 1990, for which the agency has maintained an index;

             (b) Final orders entered after June 30, 1990, that are issued in adjudicative proceedings as defined in RCW 34.05.010(1) and that contain an analysis or decision of substantial importance to the agency in carrying out its duties;

             (c) Declaratory orders entered after June 30, 1990, that are issued pursuant to RCW 34.05.240 and that contain an analysis or decision of substantial importance to the agency in carrying out its duties;

             (d) Interpretive statements as defined in RCW 34.05.010(8) that were entered after June 30, 1990; and

             (e) Policy statements as defined in RCW 34.05.010(14) that were entered after June 30, 1990.

             Rules establishing systems of indexing shall include, but not be limited to, requirements for the form and content of the index, its location and availability to the public, and the schedule for revising or updating the index. State agencies that have maintained indexes for records issued before July 1, 1990, shall continue to make such indexes available for public inspection and copying. Information in such indexes may be incorporated into indexes prepared pursuant to this subsection. State agencies may satisfy the requirements of this subsection by making available to the public indexes prepared by other parties but actually used by the agency in its operations. State agencies shall make indexes available for public inspection and copying. State agencies may charge a fee to cover the actual costs of providing individual mailed copies of indexes.

             (6) A public record may be relied on, used, or cited as precedent by an agency against a party other than an agency and it may be invoked by the agency for any other purpose only if(()):

             (a) It has been indexed in an index available to the public; or

             (b) Parties affected have timely notice (actual or constructive) of the terms thereof.

             (7) Each agency shall establish, maintain, and make available for public inspection and copying a statement of the actual per page cost or other costs, if any, that it charges for providing photocopies of public records and a statement of the factors and manner used to determine the actual per page cost or other costs, if any.

             (a) In determining the actual per page cost for providing photocopies of public records, an agency may include all costs directly incident to copying such public records including the actual cost of the paper and the per page cost for use of agency copying equipment. In determining other actual costs for providing photocopies of public records, an agency may include all costs directly incident to shipping such public records, including the cost of postage or delivery charges and the cost of any container or envelope used.

             (b) In determining the actual per page cost or other costs for providing copies of public records, an agency may not include staff salaries, benefits, or other general administrative or overhead charges, unless those costs are directly related to the actual cost of copying the public records. Staff time to copy and mail the requested public records may be included in an agency's costs.

             (8) An agency need not calculate the actual per page cost or other costs it charges for providing photocopies of public records if to do so would be unduly burdensome, but in that event: The agency may not charge in excess of fifteen cents per page for photocopies of public records or for the use of agency equipment to photocopy public records and the actual postage or delivery charge and the cost of any container or envelope used to mail the public records to the requestor.

             (9) This chapter shall not be construed as giving authority to any agency, the office of the secretary of the senate, or the office of the chief clerk of the house of representatives to give, sell or provide access to lists of individuals requested for commercial purposes, and agencies, the office of the secretary of the senate, and the office of the chief clerk of the house of representatives shall not do so unless specifically authorized or directed by law: PROVIDED, HOWEVER, That lists of applicants for professional licenses and of professional licensees shall be made available to those professional associations or educational organizations recognized by their professional licensing or examination board, upon payment of a reasonable charge ((therefor)), and comply with the provisions of RCW 42.17.300 (3) and (4): PROVIDED FURTHER, That such recognition may be refused only for a good cause pursuant to a hearing under the provisions of chapter 34.05 RCW, the Administrative Procedure Act."


             Sec. 4. RCW 42.17.300 and 1995 c 397 s 14 and 1995 c 341 s 2 are each reenacted and amended to read as follows:

"           (1) No fee shall be charged for the inspection of public records. No fee shall be charged for locating public documents and making them available for copying. A reasonable charge may be imposed for providing copies of public records and for the use by any person of agency equipment or equipment of the office of the secretary of the senate or the office of the chief clerk of the house of representatives to copy public records, which charges shall not exceed the amount necessary to reimburse the agency, the office of the secretary of the senate, or the office of the chief clerk of the house of representatives for its actual costs directly incident to such copying. Agency charges for photocopies shall be imposed in accordance with the actual per page cost or other costs established and published by the agency. In no event may an agency charge a per page cost greater than the actual per page cost as established and published by the agency. To the extent the agency has not determined the actual per page cost for photocopies of public records, the agency may not charge in excess of fifteen cents per page.

             (2) An agency may provide information for business use, for which disclosure is permitted by law, in a particular form, number, or means of access as requested, and if the information is not otherwise maintained or accessible by the agency in that form, may establish rates by contract unless otherwise provided by law. Agencies shall base fees on the recovery of the actual cost of providing enhanced electronic access for business purposes. The revenue from enhanced electronic access for business use must be dedicated to the development, maintenance, and refurbishment of electronic information systems and the support of electronic public access systems.

             (3) All state agencies, unless otherwise directed, specified, or prohibited by this chapter or other state statutes, shall allow otherwise appropriate access to public records for business purposes only through means of a contractual agreement between the agency and the entity requesting the access, hereinafter referred to as the contractor.

             (4) The agreements for access to public records for business purposes shall require, at a minimum, the following limitations, provided in this section as a general guide to be specifically crafted by each agency as necessary and appropriate for individual legal and contractual requirements:

             (a) The contractor shall use the information provided by the agency only in connection with the use for which the information was initially sought by the contractor and approved by the agency;

             (b) The contractor agrees to protect the confidentiality of the information to which access has been provided under the agreement;

             (c) The contractor, or any employee or agent of the contractor, shall not furnish in any form, to any person, corporation, partnership, association, or organization, a copy of any information, in whole or in part, provided by the agency, without the express written consent of the agency for the provision of the information for a purpose;

             (d) The contractor shall adhere to any current or subsequently amended statutory or administrative rules regulating privacy or confidentiality relating to the information provided by the agency;

             (e) Any exceptions, revisions, or waivers to these limitations requested by the contractor must be approved in writing by the agency and received by the contractor prior to the requested use of the information which is otherwise limited;

             (f) No name or address of any individual furnished by the agency to the contractor shall be published or otherwise disclosed by the contractor in any manner not otherwise approved by the agency;

             (g) The contractor, or any officer, employee, or agent of the contractor, shall not furnish in any form, to any person, corporation, partnership, association, or organization, any of the individual's personally identifiable information provided by the agency under the agreement for the purpose of making unsolicited commercial contact with the individuals named or otherwise identified, unless specifically approved, in writing, by the agency;

             (h) The contractor agrees that the agency may provide "control" or "salted" data as a portion of provided information as a means to ensure that any personally identifiable information is utilized only for the specific purposes allowed under the terms of the agreement;

             (i) The contractor shall not gain any proprietary right to or interest in any information provided by the agency and shall not assign their interest in the agreement or any portion thereof to any person, corporation, partnership, association, or organization of any kind;

             (j) The contractor accepts full responsibility and liability for any violations of the agreement by the contractor or any officer, employee, or agent of the contractor and any such violation shall result in immediate termination by the agency of all information provision to the contractor or any officer, employee, or agent of the contractor in any form and immediate forfeiture to the agency of any agency provided information, in any form, held by the contractor or any officer, employee, or agent of the contractor; and

             (k) The agency reserves additional unrestricted financial remedies, on a per-record basis, for any violation of the agreement by the contractor or any officer, employee, or agent of the contractor, in addition to any penalty allowed under state law."


             Sec. 5. RCW 42.17.310 and 1996 c 305 s 2, 1996 c 253 s 302, 1996 c 191 s 88, and 1996 c 80 s 1 are each reenacted and amended to read as follows:

"           (1) The following are exempt from public inspection and copying:

             (a) Personal information in any files maintained for students in public schools, patients or clients of public institutions or public health agencies, or welfare recipients.

             (b) Personal information in files maintained for employees, appointees, or elected officials of any public agency to the extent that disclosure would violate their right to privacy.

             (c) Information required of any taxpayer in connection with the assessment or collection of any tax if the disclosure of the information to other persons would (i) be prohibited to such persons by RCW 82.32.330 or (ii) violate the taxpayer's right to privacy or result in unfair competitive disadvantage to the taxpayer.

             (d) Specific intelligence information and specific investigative records compiled by investigative, law enforcement, and penology agencies, and state agencies vested with the responsibility to discipline members of any profession, the nondisclosure of which is essential to effective law enforcement or for the protection of any person's right to privacy.

             (e) Information revealing the identity of persons who are witnesses to or victims of crime or who file complaints with investigative, law enforcement, or penology agencies, other than the public disclosure commission, if disclosure would endanger any person's life, physical safety, or property. If at the time a complaint is filed the complainant, victim or witness indicates a desire for disclosure or nondisclosure, such desire shall govern. However, all complaints filed with the public disclosure commission about any elected official or candidate for public office must be made in writing and signed by the complainant under oath.

             (f) Test questions, scoring keys, and other examination data used to administer a license, employment, or academic examination.

             (g) Except as provided by chapter 8.26 RCW, the contents of real estate appraisals, made for or by any agency relative to the acquisition or sale of property, until the project or prospective sale is abandoned or until such time as all of the property has been acquired or the property to which the sale appraisal relates is sold, but in no event shall disclosure be denied for more than three years after the appraisal.

             (h) Valuable formulae, designs, drawings, and research data obtained by any agency within five years of the request for disclosure when disclosure would produce private gain and public loss.

             (i) Preliminary drafts, notes, recommendations, and intra-agency memorandums in which opinions are expressed or policies formulated or recommended except that a specific record shall not be exempt when publicly cited by an agency in connection with any agency action.

             (j) Records which are relevant to a controversy to which an agency is a party but which records would not be available to another party under the rules of pretrial discovery for causes pending in the superior courts.

             (k) Records, maps, or other information identifying the location of archaeological sites in order to avoid the looting or depredation of such sites.

             (l) Any library record, the primary purpose of which is to maintain control of library materials, or to gain access to information, which discloses or could be used to disclose the identity of a library user.

             (m) Financial information supplied by or on behalf of a person, firm, or corporation for the purpose of qualifying to submit a bid or proposal for (i) a ferry system construction or repair contract as required by RCW 47.60.680 through 47.60.750 or (ii) highway construction or improvement as required by RCW 47.28.070.

             (n) Railroad company contracts filed prior to July 28, 1991, with the utilities and transportation commission under RCW 81.34.070, except that the summaries of the contracts are open to public inspection and copying as otherwise provided by this chapter.

             (o) Financial and commercial information and records supplied by private persons pertaining to export services provided pursuant to chapter 43.163 RCW and chapter 53.31 RCW, and by persons pertaining to export projects pursuant to RCW 43.23.035.

             (p) Financial disclosures filed by private vocational schools under chapters 28B.85 and 28C.10 RCW.

             (q) Records filed with the utilities and transportation commission or attorney general under RCW 80.04.095 that a court has determined are confidential under RCW 80.04.095.

             (r) Financial and commercial information and records supplied by businesses or individuals during application for loans or program services provided by chapters 43.163, 43.160, 43.330, and 43.168 RCW, or during application for economic development loans or program services provided by any local agency.

             (s) Membership lists or lists of members or owners of interests of units in timeshare projects, subdivisions, camping resorts, condominiums, land developments, or common-interest communities affiliated with such projects, regulated by the department of licensing, in the files or possession of the department.

             (t) All applications for public employment, including the names of applicants, resumes, and other related materials submitted with respect to an applicant.

             (u) The residential addresses and residential telephone numbers of employees or volunteers of a public agency which are held by the agency in personnel records, employment or volunteer rosters, or mailing lists of employees or volunteers.

             (v) The residential addresses and residential telephone numbers of the customers of a public utility contained in the records or lists held by the public utility of which they are customers.

             (w)(i) The federal social security number of individuals governed under chapter 18.130 RCW maintained in the files of the department of health, except this exemption does not apply to requests made directly to the department from federal, state, and local agencies of government, and national and state licensing, credentialing, investigatory, disciplinary, and examination organizations; (ii) the current residential address and current residential telephone number of a health care provider governed under chapter 18.130 RCW maintained in the files of the department, if the provider requests that this information be withheld from public inspection and copying, and provides to the department an accurate alternate or business address and business telephone number. On or after January 1, 1995, the current residential address and residential telephone number of a health care provider governed under RCW 18.130.140 maintained in the files of the department shall automatically be withheld from public inspection and copying unless the provider specifically requests the information be released, and except as provided for under RCW 42.17.260(9).

             (x) Information obtained by the board of pharmacy as provided in RCW 69.45.090.

             (y) Information obtained by the board of pharmacy or the department of health and its representatives as provided in RCW 69.41.044, 69.41.280, and 18.64.420.

             (z) Financial information, business plans, examination reports, and any information produced or obtained in evaluating or examining a business and industrial development corporation organized or seeking certification under chapter 31.24 RCW.

             (aa) Financial and commercial information supplied to the state investment board by any person when the information relates to the investment of public trust or retirement funds and when disclosure would result in loss to such funds or in private loss to the providers of this information.

             (bb) Financial and valuable trade information under RCW 51.36.120.

             (cc) Client records maintained by an agency that is a domestic violence program as defined in RCW 70.123.020 or 70.123.075 or a rape crisis center as defined in RCW 70.125.030.

             (dd) Information that identifies a person who, while an agency employee: (i) Seeks advice, under an informal process established by the employing agency, in order to ascertain his or her rights in connection with a possible unfair practice under chapter 49.60 RCW against the person; and (ii) requests his or her identity or any identifying information not be disclosed.

             (ee) Investigative records compiled by an employing agency conducting a current investigation of a possible unfair practice under chapter 49.60 RCW or of a possible violation of other federal, state, or local laws prohibiting discrimination in employment.

             (ff) Business related information protected from public inspection and copying under RCW 15.86.110.

             (gg) Financial, commercial, operations, and technical and research information and data submitted to or obtained by the clean Washington center in applications for, or delivery of, program services under chapter 70.95H RCW.

             (hh) Information and documents created specifically for, and collected and maintained by a quality improvement committee pursuant to RCW 43.70.510, regardless of which agency is in possession of the information and documents.

             (ii) Personal information in files maintained in a data base created under RCW 43.07.360.

             (jj) Computer programs and software developed by agencies alone or in partnership with other public and private entities. For the purposes of this chapter, software is the programming source codes or object codes developed by an agency or developed by a private contractor for an agency. However, information contained in or accessible through those computer programs and software that is disclosable under state law is not exempt from disclosure under this chapter.

             (2) Except for information described in subsection (1)(c)(i) of this section and confidential income data exempted from public inspection pursuant to RCW 84.40.020, the exemptions of this section are inapplicable to the extent that information, the disclosure of which would violate personal privacy or vital governmental interests, can be deleted from the specific records sought. No exemption may be construed to permit the nondisclosure of statistical information not descriptive of any readily identifiable person or persons.

             (3) Inspection or copying of any specific records exempt under the provisions of this section may be permitted if the superior court in the county in which the record is maintained finds, after a hearing with notice thereof to every person in interest and the agency, that the exemption of such records is clearly unnecessary to protect any individual's right of privacy or any vital governmental function.

             (4) Agency responses refusing, in whole or in part, inspection of any public record shall include a statement of the specific exemption authorizing the withholding of the record (or part) and a brief explanation of how the exemption applies to the record withheld."


             Sec. 6. RCW 43.105.310 and 1996 c 171 s 15 are each amended to read as follows:

             (1) State agencies and local governments that collect and enter information concerning individuals into electronic records and information systems that will be widely accessible by the public under RCW 42.17.020 shall ensure the accuracy of this information to the extent possible. To the extent possible, information must be collected directly from, and with the consent of, the individual who is the subject of the data. Agencies shall establish procedures for correcting inaccurate information, including establishing mechanisms for individuals to review information about themselves and recommend changes in information they believe to be inaccurate. The inclusion of personal information in electronic public records that is widely available to the public should include information on the date when the data base was created or most recently updated. If personally identifiable information is included in electronic public records that are made widely available to the public, agencies must follow retention and archival schedules in accordance with chapter 40.14 RCW, retaining personally identifiable information only as long as needed to carry out the purpose for which it was collected.

             (2) Personally identifiable information submitted to a government agency by a person shall be used by that agency for the purpose for which it was submitted. However, the information may be disclosed to any other government agency, including any court or law enforcement agency, in carrying out its functions, or to any authorized agent acting on behalf of a state, federal, or local agency in carrying out its functions. Further, the information may be disclosed for business use and for any purpose otherwise provided by law.

             (3) State agencies and local governments that collect personally identifiable information that is subject to disclosure under chapter 42.17 RCW or other law shall, to the extent practicable, post or publish public notice that the information gathered may be disclosable as a public record. The agency-specific public notice will reflect the common uses of such records. Upon request, state agencies and local governments shall provide a written statement regarding the circumstances under which specific personally identifiable information may be disclosed to the public or for business purposes."


             On page 1, line 2 of the title, after "form;" strike the remainder of the title and insert "amending RCW 42.17.020 and 43.105.310; reenacting and amending RCW 42.17.260, 42.17.300, and 42.17.310; and creating a new section."


             Representatives Dyer and Wolfe spoke in favor of the adoption of the amendment. The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Dyer, Wolfe and Smith spoke in favor of passage of the bill.


             The Speaker stated the question before the House to be final passage of Engrossed House Bill No. 1891.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed House Bill No. 1891 and the bill passed the House by the following vote: Yeas - 98, Nays - 0, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 98.


             Engrossed House Bill No. 1891, having received the constitutional majority, was declared passed.


MESSAGES FROM THE SENATE

March 17, 1997

Mr. Speaker:


             The Senate has passed:

SUBSTITUTE SENATE BILL NO. 5005,

SUBSTITUTE SENATE BILL NO. 5006,

ENGROSSED SUBSTITUTE SENATE BILL NO. 5044,

SENATE BILL NO. 5094,

SUBSTITUTE SENATE BILL NO. 5135,

SENATE BILL NO. 5150,

SENATE BILL NO. 5211,

SUBSTITUTE SENATE BILL NO. 5318,

ENGROSSED SENATE BILL NO. 5185,

SUBSTITUTE SENATE BILL NO. 5282,

ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 5306,

SENATE BILL NO. 5383,

SENATE BILL NO. 5452,

SUBSTITUTE SENATE BILL NO. 5562,

SUBSTITUTE SENATE BILL NO. 5563,

SUBSTITUTE SENATE BILL NO. 5575,

SUBSTITUTE SENATE BILL NO. 5621,

SUBSTITUTE SENATE BILL NO. 5715,

SUBSTITUTE SENATE BILL NO. 5755,

SUBSTITUTE SENATE BILL NO. 5802,

SUBSTITUTE SENATE BILL NO. 5813,

SENATE BILL NO. 5874,

SECOND SUBSTITUTE SENATE BILL NO. 5886,

ENGROSSED SENATE BILL NO. 5959,

SUBSTITUTE SENATE BILL NO. 6022,

and the same are herewith transmitted.

Susan Carlson, Deputy Secretary


March 17, 1997

Mr. Speaker:


             The Senate has passed:

SECOND SUBSTITUTE SENATE BILL NO. 5084,

SENATE BILL NO. 5164,

SUBSTITUTE SENATE BILL NO. 5290,

SUBSTITUTE SENATE BILL NO. 5336,

ENGROSSED SUBSTITUTE SENATE BILL NO. 5491,

ENGROSSED SUBSTITUTE SENATE BILL NO. 5574,

SUBSTITUTE SENATE BILL NO. 5629,

SENATE BILL NO. 5651,

ENGROSSED SUBSTITUTE SENATE BILL NO. 5739,

SUBSTITUTE SENATE BILL NO. 5936,

SENATE BILL NO. 5938,

ENGROSSED SUBSTITUTE SENATE BILL NO. 5970,

SENATE BILL NO. 5998,

and the same are herewith transmitted.

Susan Carlson, Deputy Secretary


             There being no objection, the House deferred consideration of House Bill No. 1898 and House Bill No. 1930, and the bills held their places on the second reading calendar.


             HOUSE BILL NO. 1948, by Representatives D. Schmidt, Thompson, Scott and Koster

 

Concerning annexations by cities and towns.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1948 was substituted for House Bill No. 1948 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1948 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives D. Schmidt and Thompson spoke in favor of passage of the bill.


             Representatives Dunshee spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1948.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1948 and the bill passed the House by the following vote: Yeas - 54, Nays - 44, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Ballasiotes, Benson, Buck, Bush, Carlson, Carrell, Chandler, Clements, Crouse, DeBolt, Delvin, Dyer, Gardner, Grant, Hankins, Hickel, Honeyford, Huff, Johnson, Kessler, Lantz, Linville, Lisk, Mastin, McMorris, Mitchell, Morris, O'Brien, Ogden, Parlette, Quall, Radcliff, Reams, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thompson, Van Luven, Wolfe and Mr. Speaker - 54.

             Voting nay: Representatives Anderson, Appelwick, Backlund, Blalock, Boldt, Butler, Cairnes, Chopp, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Dickerson, Doumit, Dunn, Dunshee, Fisher, Gombosky, Hatfield, Kastama, Keiser, Kenney, Koster, Lambert, Mason, McDonald, Mielke, Mulliken, Murray, Pennington, Poulsen, Regala, Robertson, Romero, Scott, Thomas, L., Tokuda, Veloria, Wensman, Wood and Zellinsky - 44.


             Substitute House Bill No. 1948, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1950, by Representatives D. Schmidt, Thompson, Scott and Koster

 

Regulating incorporations of towns.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1950 was substituted for House Bill No. 1950 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1950 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives D. Schmidt and Gardner spoke in favor of passage of the bill.


             Representative Dunshee spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1950.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1950 and the bill passed the House by the following vote: Yeas - 88, Nays - 10, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Conway, Cooper, Costa, Crouse, DeBolt, Delvin, Doumit, Dunn, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lantz, Linville, Lisk, Mason, Mastin, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Quall, Radcliff, Reams, Regala, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 88.

             Voting nay: Representatives Backlund, Constantine, Cooke, Dickerson, Dunshee, Lambert, McDonald, Poulsen, Robertson and Thomas, L. - 10.


             Substitute House Bill No. 1950, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1978, by Representatives Sheahan, Mitchell and O'Brien; by request of Washington State Patrol

 

Providing alternative methods for the disposal of firearms in the possession of the state patrol.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1978 was substituted for House Bill No. 1978 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1978 was read the second time.


             Representative Costa moved the adoption of the following amendment by Representative Costa: (239)


             On page 3, line 28, after "dealers" strike everything through "inoperative" on line 31 and insert "or destroyed, at the discretion of the chief of the Washington state patrol"


             Representative Costa and Cody spoke in favor of the adoption of the amendment.


             Representatives Sherstad, Carrell and Sterk spoke against adoption of the amendment.


             Division was demanded. The Speaker divided the House. The results of the division was 36-YEAS; 62-NAYS. The amendment was not adopted.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Sheahan and Carrell spoke in favor of passage of the bill.


             Representative Costa spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1978.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1978 and the bill passed the House by the following vote: Yeas - 70, Nays - 28, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Conway, Cooke, Cooper, Crouse, DeBolt, Delvin, Doumit, Dunn, Dunshee, Dyer, Gardner, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Kessler, Koster, Lambert, Linville, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, O'Brien, Parlette, Pennington, Quall, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 70.

             Voting nay: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Costa, Dickerson, Fisher, Gombosky, Keiser, Kenney, Lantz, Mason, Murray, Ogden, Poulsen, Regala, Romero, Scott, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 28.


             Substitute House Bill No. 1978, having received the constitutional majority, was declared passed.


             There being no objection, the House deferred consideration of House Bill No. 1980 and the bill held it’s place on the second reading calendar.


             HOUSE BILL NO. 1992, by Representatives McMorris, Honeyford, Clements and Thompson

 

Implementing workplace safety rules.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1992 was substituted for House Bill No. 1992 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1992 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives McMorris and Wood spoke in favor of passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1992.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1992 and the bill passed the House by the following vote: Yeas - 98, Nays - 0, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 98.


             Substitute House Bill No. 1992, having received the constitutional majority, was declared passed.


             There being no objection, the House deferred consideration of House Bill No. 2011 and House Bill No. 2027, and the bills held their places on the second reading calendar.


             HOUSE BILL NO. 2080, by Representatives Parlette, Reams, Mulliken, Chandler and Boldt

 

Regulating classification of lands with long-term commercial significance.


             The bill was read the second time. There being no objection, Second Substitute House Bill No. 2080 was substituted for House Bill No. 2080 and the second substitute bill was placed on the second reading calendar.


             Second Substitute House Bill No. 2080 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Parlette and Gardner spoke in favor of passage of the bill.


             The Speaker stated the question before the House to be final passage of Second Substitute House Bill No. 2080.


ROLL CALL


             The Clerk called the roll on the final passage of Second Substitute House Bill No. 2080 and the bill passed the House by the following vote: Yeas - 98, Nays - 0, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 98.


             Second Substitute House Bill No. 2080, having received the constitutional majority, was declared passed.


             There being no objection, the House deferred consideration of House Bill No. 2096 and the bill held it’s place on the second reading calendar.



             HOUSE BILL NO. 2105, by Representatives Sterk and D. Sommers

 

Extending authority of public transportation benefit districts to contract with counties, cities, and towns.


             The bill was read the second time. There being no objection, Substitute House Bill No. 2105 was substituted for House Bill No. 2105 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 2105 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representative Sterk spoke in favor of passage of the bill.


             Representative Fisher spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 2105.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 2105 and the bill passed the House by the following vote: Yeas - 68, Nays - 30, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Doumit, Dunn, Dyer, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Ogden, Parlette, Pennington, Quall, Reams, Robertson, Schmidt, D., Schmidt, K., Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Wood, Zellinsky and Mr. Speaker - 68.

             Voting nay: Representatives Anderson, Appelwick, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Dunshee, Fisher, Gardner, Linville, Mason, Morris, Murray, O'Brien, Poulsen, Radcliff, Regala, Romero, Schoesler, Scott, Sommers, H., Sullivan, Tokuda, Veloria and Wolfe - 30.


             Substitute House Bill No. 2105, having received the constitutional majority, was declared passed.


             The Speaker called upon Representative Pennington to preside.


MOTION FOR RECONSIDERATION


             Representative Quall, having voted on the prevailing side, moved that the House immediately reconsider the vote on Substitute House Bill No. 2105. The motion passed.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Substitute House Bill No. 2105.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 2105 and the bill passed the House by the following vote: 66, 32 Yeas - 66, Nays - 32, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Doumit, Dunn, Dyer, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kessler, Koster, Lambert, Lantz, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Parlette, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Wood, Zellinsky and Mr. Speaker - 66.

             Voting nay: Representatives Anderson, Appelwick, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Dunshee, Fisher, Gardner, Kenney, Linville, Mason, Morris, Murray, O'Brien, Ogden, Poulsen, Quall, Regala, Romero, Schoesler, Scott, Sommers, H., Sullivan, Tokuda, Veloria and Wolfe - 32.


             Substitute House Bill No. 2105, having received the constitutional majority, was declared passed.


RESOLUTION


             HOUSE RESOLUTION NO. 97-4639, by Representatives Schoesler, Sheahan, Buck, Tokuda, Conway, D. Sommers, Benson, Crouse, Radcliff, McMorris, Mulliken, Hickel, DeBolt, Boldt, Bush, Smith, Mielke, Scott and Hankins


             WHEREAS, Athletics is one of the most effective ways for girls and women in the United States to develop leadership skills, self-discipline, initiative, and confidence; and

             WHEREAS, Sports and fitness activity contributes to emotional and physical well-being, increased self-esteem, and develops strong bodies; and

             WHEREAS, The communication and cooperation skills learned through athletic experience play a key role in the contributions of athletes to the home, school, and community; and

             WHEREAS, The honor of being high school state champions reflects positively upon the character of the school, the students, the parents, and the community; and

             WHEREAS, The Ritzville High School Girls' Basketball Team has won the 1997 State "B" championship and as such they have demonstrated the importance of work and how performance, effort, and decisions directly affect future career and educational opportunities;

             NOW, THEREFORE, BE IT RESOLVED, That the House of Representatives honor and congratulate the Ritzville High School Girls' Basketball Team for their hard work, dedication, and sacrifice in achieving this significant accomplishment; and

             BE IT FURTHER RESOLVED, That the families of these students be commended for the encouragement and support they have provided to these student athletes; and

             BE IT FURTHER RESOLVED, That the coaches, teachers, classmates, parents, and community of Ritzville be recognized for the important part they played in helping these athletes excel; and

             BE IT FURTHER RESOLVED, That copies of this resolution be immediately transmitted by the Chief Clerk of the House of Representatives to Head Coach John Foulkes, Assistant Coach Howard Manke, and Ritzville High School Girls' Basketball Team members: Jamie Wellsandt, Tracy Warriner, Jennifer Kramer, Erin Weber, Niffer Horpedahl, Megan Wellsandt, Katie Kirkendall, Shannon Russell, Megan Yerxa, Jamie Alspach, Carlye Zicha, and Jennifer Janzen.


             Representative Schoesler moved adoption of the resolution.


             Representatives Schoesler, Sheahan and Tokuda spoke in favor of the resolution.


             House Resolution No. 4639 was adopted.


             There being no objection, the House deferred consideration of House Bill No. 2136 and House Bill No. 2164, and the bills held their places on the second reading calendar.


             HOUSE BILL NO. 2172, by Representatives Chandler, Mielke and Mastin

 

Removing a fee on the use of bees for pollination services.


             The bill was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representative Chandler spoke in favor of passage of the bill.


             Representatives Linville and Dickerson spoke against passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of House Bill No. 2172.


ROLL CALL


             The Clerk called the roll on the final passage of House Bill No. 2172 and the bill passed the House by the following vote: Yeas - 73, Nays - 25, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Constantine, Cooke, Cooper, Crouse, DeBolt, Delvin, Doumit, Dunn, Dyer, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Ogden, Parlette, Pennington, Quall, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Wood, Zellinsky and Mr. Speaker - 73.

             Voting nay: Representatives Anderson, Butler, Cody, Cole, Conway, Costa, Dickerson, Dunshee, Fisher, Gardner, Gombosky, Kessler, Lantz, Linville, Mason, Murray, O'Brien, Poulsen, Regala, Romero, Scott, Sheldon, Tokuda, Veloria and Wolfe - 25.


             House Bill No. 2172, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 2198, by Representatives Reams, Thompson and Mielke

 

Allowing counties and cities that plan under the growth management act to manage their shorelines in a streamlined process.


             The bill was read the second time. There being no objection, Substitute House Bill No. 2198 was substituted for House Bill No. 2198 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 2198 was read the second time.


             Representative Reams moved the adoption of the following amendment by Representative Reams: (314)


             On page 28, after line 21, insert the following:


             "NEW SECTION. Sec. 49. This act takes effect July 1, 1998."


             Correct the title.


             Representative Reams spoke in favor of the adoption of the amendment. The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Reams and Thompson spoke in favor of passage of the bill.


             Representatives Lantz, Romero and Gardner spoke against passage of the bill.


             Representative Reams again spoke in favor of passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Engrossed Substitute House Bill No. 2198.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 2198 and the bill passed the House by the following vote: Yeas - 55, Nays - 43, Absent - 0, Excused - 0.

             Voting yea: Representatives Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dyer, Grant, Hankins, Hickel, Honeyford, Huff, Johnson, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Parlette, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 55.

             Voting nay: Representatives Alexander, Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Dunn, Dunshee, Fisher, Gardner, Gombosky, Hatfield, Kastama, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Morris, Murray, O'Brien, Ogden, Poulsen, Quall, Regala, Romero, Scott, Sheldon, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 43.


             Engrossed Substitute House Bill No. 2198, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 2227, by Representatives Clements and McMorris

 

Establishing requirements for health services providers under industrial insurance.


             The bill was read the second time. There being no objection, Substitute House Bill No. 2227 was substituted for House Bill No. 2227 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 2227 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Clements and Wood spoke in favor of passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Substitute House Bill No. 2227.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 2227 and the bill passed the House by the following vote: Yeas - 98, Nays - 0, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 98.


             Substitute House Bill No. 2227, having received the constitutional majority, was declared passed.


             There being no objection, the House deferred consideration of House Joint Resolution No. 4206 and House Joint Resolution No. 4208, and the bills held their places on the second reading calendar.


             HOUSE BILL NO. 1269, by Representatives Robertson, Costa, Scott, Tokuda, Delvin and L. Thomas

 

Providing moneys for the death investigations' account.


             The bill was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Robertson and Costa spoke in favor of passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of House Bill No. 1269.


ROLL CALL


             The Clerk called the roll on the final passage of House Bill No. 1269 and the bill passed the House by the following vote: Yeas - 95, Nays - 3, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Buck, Bush, Butler, Cairnes, Carlson, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 95.

             Voting nay: Representatives Boldt, Carrell and Pennington - 3.


             House Bill No. 1269, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1317, by Representatives Honeyford, Sheldon, Crouse and McMorris

 

Regulating amusement games.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1317 was substituted for House Bill No. 1317 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1317 was read the second time.


             Representative Wood moved the adoption of the following amendment by Representative Wood: (331)


             On page 3, line 37, after "of" strike "five" and insert "two"


             Representatives Wood and Honeyford spoke in favor of the adoption of the amendment. The amendment was adopted.


             The bill was order engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Honeyford, Wood, Sheldon, Smith and Robertson spoke in favor of passage of the bill.


             Representative Cole spoke against passage of the bill.


             The Speaker (Representative Pennington presiding) stated the question before the House to be final passage of Engrossed Substitute House Bill No. 1317.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 1317 and the bill passed the House by the following vote: Yeas - 92, Nays - 6, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Doumit, Dunn, Dunshee, Dyer, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 92.

             Voting nay: Representatives Cole, Dickerson, Fisher, Keiser, Regala and Sommers, D. - 6.


             Engrossed Substitute House Bill No. 1317, having received the constitutional majority, was declared passed.


MOTION


             Representative Lisk demanded a Call of the House and the demand was sustained.


CALL OF THE HOUSE


             The Speaker resumed the chair.


             The Sergeant at Arms was instructed to lock the doors.


             The Clerk called the roll and a quorum was present.


             The House proceeded under the Call of the House.


             HOUSE BILL NO. 1821, by Representatives B. Thomas, Mulliken, Bush, Zellinsky, Kastama, Sullivan, Wensman, Carrell and Schoesler

 

Consolidating business and occupation tax rates into fewer categories.


             The bill was read the second time.


             With the consent of the House, amendment number 321 to House Bill No. 1821 was withdrawn.


             Representative B. Thomas moved the adoption of the following amendment by Representative B. Thomas: (324)


             On page 11, beginning on line 14, strike all of section 13 and insert:

             "NEW SECTION. Sec. 13. This act takes effect July 1, 1998."


             Correct the title accordingly.


             Representatives B. Thomas and Dunshee spoke in favor of the adoption of the amendment. The amendment was adopted.


             Representative B. Thomas moved the adoption of the following amendment by Representative B. Thomas: (326)

             On page 8, beginning on line 6, strike all of section 9


             On page 11, after line 11, insert:

             "NEW SECTION. Sec. 12. This act does not affect any existing right acquired or liability or obligation incurred under the sections amended or repealed in this act or under any rule or order adopted under those sections, nor does it affect any proceeding instituted under those sections."


             Renumber sections consecutively, correct any internal references accordingly, and correct the title.


             Representatives B. Thomas and Dunshee spoke in favor of the adoption of the amendment. The amendment was adopted.


             Representative B. Thomas moved the adoption of the following amendment by Representative B. Thomas: (325)

             On page 11, after line 11, insert:

             "Sec. 12. RCW 82.04.4452 and 1994 sp.s. c 5 s 2 are each amended to read as follows:

              (1) In computing the tax imposed under this chapter, a credit is allowed for each person whose research and development spending during the year in which the credit is claimed exceeds 0.92 percent of the person's taxable amount during the same calendar year.

             (2) The credit is equal to the greater of the amount of qualified research and development expenditures of a person or eighty percent of amounts received by a person other than a public educational or research institution in compensation for the conduct of qualified research and development, multiplied by the rate ((of 0.515 percent)) provided in RCW 82.04.260(5) in the case of a nonprofit corporation or nonprofit association engaging within this state in research and development, and ((2.5 percent)) the rate provided in RCW 82.04.290(2) for every other person.

             (3) Any person entitled to the credit provided in subsection (2) of this section as a result of qualified research and development conducted under contract may assign all or any portion of the credit to the person contracting for the performance of the qualified research and development.

             (4) The credit, including any credit assigned to a person under subsection (3) of this section, shall be taken against taxes due for the same calendar year in which the qualified research and development expenditures are incurred. The credit, including any credit assigned to a person under subsection (3) of this section, for each calendar year shall not exceed the lesser of two million dollars or the amount of tax otherwise due under this chapter for the calendar year.

             (5) Any person taking the credit, including any credit assigned to a person under subsection (3) of this section, whose research and development spending during the calendar year in which the credit is claimed fails to exceed 0.92 percent of the person's taxable amount during the same calendar year shall be liable for payment of the additional taxes represented by the amount of credit taken together with interest, but not penalties. Interest shall be due at the rate provided for delinquent excise taxes retroactively to the date the credit was taken until the taxes are paid. Any credit assigned to a person under subsection (3) of this section that is disallowed as a result of this section may be taken by the person who performed the qualified research and development subject to the limitations set forth in subsection (4) of this section.

             (6) Any person claiming the credit, and any person assigning a credit as provided in subsection (3) of this section, shall file an affidavit form prescribed by the department which shall include the amount of the credit claimed, an estimate of the anticipated qualified research and development expenditures during the calendar year for which the credit is claimed, an estimate of the taxable amount during the calendar year for which the credit is claimed, and such additional information as the department may prescribe.

             (7) A person claiming the credit shall agree to supply the department with information necessary to measure the results of the tax credit program for qualified research and development expenditures.

             (8) The department shall use the information required under subsection (7) of this section to perform three assessments on the tax credit program authorized under this section. The assessments will take place in 1997, 2000, and 2003. The department shall prepare reports on each assessment and deliver their reports by September 1, 1997, September 1, 2000, and September 1, 2003. The assessments shall measure the effect of the program on job creation, the number of jobs created for Washington residents, company growth, the introduction of new products, the diversification of the state's economy, growth in research and development investment, the movement of firms or the consolidation of firms' operations into the state, and such other factors as the department selects.

             (9) For the purpose of this section:

             (a) "Qualified research and development expenditures" means operating expenses, including wages, compensation of a proprietor or a partner in a partnership as determined under rules adopted by the department, benefits, supplies, and computer expenses, directly incurred in qualified research and development by a person claiming the credit provided in this section. The term does not include amounts paid to a person other than a public educational or research institution to conduct qualified research and development. Nor does the term include capital costs and overhead, such as expenses for land, structures, or depreciable property.

             (b) "Qualified research and development" shall have the same meaning as in RCW 82.63.010.

             (c) "Research and development spending" means qualified research and development expenditures plus eighty percent of amounts paid to a person other than a public educational or research institution to conduct qualified research and development.

             (d) "Taxable amount" means the taxable amount subject to the tax imposed in this chapter required to be reported on the person's combined excise tax returns during the year in which the credit is claimed, less any taxable amount for which a credit is allowed under RCW 82.04.440.

             (10) This section shall expire December 31, 2004."


             Renumber sections consecutively, correct any internal references accordingly, and correct the title.


             Representatives B. Thomas and Dunshee spoke in favor of the adoption of the amendment. The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives B. Thomas, Dunshee, Dickerson, Pennington and Morris spoke in favor of passage of the bill.


             The Speaker stated the question before the House to be final passage of Engrossed House Bill No. 1821.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed House Bill No. 1821 and the bill passed the House by the following vote: Yeas - 97, Nays - 1, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Murray, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 97.

             Voting nay: Representative Cody - 1.


             Engrossed House Bill No. 1821, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1930, by Representatives Chandler, Linville, D. Schmidt and Sheldon

 

Restricting copying of birth certificates.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1930 was substituted for House Bill No. 1930 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1930 was read the second time.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Chandler and Scott spoke in favor of passage of the bill.


             The Speaker stated the question before the House to be final passage of Substitute House Bill No. 1930.


ROLL CALL


             The Clerk called the roll on the final passage of Substitute House Bill No. 1930 and the bill passed the House by the following vote: Yeas - 96, Nays - 2, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Backlund, Ballasiotes, Benson, Blalock, Boldt, Buck, Bush, Butler, Cairnes, Carlson, Carrell, Chandler, Chopp, Clements, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Crouse, DeBolt, Delvin, Dickerson, Doumit, Dunn, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Hickel, Honeyford, Huff, Johnson, Kastama, Keiser, Kenney, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mason, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, O'Brien, Ogden, Parlette, Pennington, Poulsen, Quall, Radcliff, Reams, Regala, Robertson, Romero, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thompson, Tokuda, Van Luven, Veloria, Wensman, Wolfe, Wood, Zellinsky and Mr. Speaker - 96.

             Voting nay: Representatives Murray and Thomas, L. - 2.


             Substitute House Bill No. 1930, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 1952, by Representatives Dyer, Morris, Backlund, Grant and Sherstad

 

Modifying health facility and services provisions.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1952 was substituted for House Bill No. 1952 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1952 was read the second time.


             Representative Dyer moved the adoption of the following amendment by Representative Dyer: (294)


             On page 4, line 14, after "means" strike "a" and insert ": (a) Speciality tertiary burn services designed to treat complex burn cases; (b) tertiary neonatal intensive care nursery or obstetric services designed to treat complex nursery or obstetric cases; (c) transplantation of specific solid organs, including heart, liver, pancreas, lung, small bowel, kidney, and bone marrow; (d) open heart surgery, therapeutic cardiac catheterization, or percutaneous translumenal coronary angioplasty; (e) inpatient physical rehabilitation services for persons with usually nonreversible, multiple function impairments of moderate-to-severe complexity resulting in major changes in the patient's lifestyle and requiring intervention by several rehabilitation disciplines; (f) specialized tertiary inpatient pediatric service designed to treat complex pediatric cases for more than twenty-four hours; or (g) a similar"


             Representative Dyer and Morris spoke in favor of the adoption of the amendment. The amendment was adopted.


             Representative Dyer moved the adoption of the following amendment by Representative Dyer: (295)


             On page 12, beginning on line 32, after "before" strike "July 1, 1997" and insert "January 1, 1998"


             Representative Dyer spoke in favor of the adoption of the amendment. The amendment was adopted.


             Representative Dyer moved the adoption of the following amendment by Representative Dyer: (296)


             On page 13, beginning on line 25, after "(b)" strike all material through "chapter" on line 34, and insert "A facility in the offices of either an individual or group practice of physicians or other health care practitioners regulated under Title 18 RCW, who are providing services within their scope of practice, including a facility that is physically separate from the practice, if the privilege of using the facility is not extended to regulated practitioners outside the individual or group practice. However, such a facility may request licensure as an ambulatory surgery center if the facility meets the requirements of this chapter and rules adopted under this chapter"


             Representative Dyer spoke in favor of the adoption of the amendment. The amendment was adopted.


             Representative Dyer moved the adoption of the following amendment by Representative Dyer: (297)


             On page 14, line 15, after "change" insert ", limit,"


             Representative Dyer spoke in favor of the adoption of the amendment. The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representative Dyer spoke in favor of passage of the bill.


             Representative Cody spoke against passage of the bill.


COLLOQUY


             Representative Skinner: Would the gentleman from the 5th District yield to a question? Does this bill allow a hospital to establish, or purchase nursing facility bed capacity outside of the Certificate of Need requirements that remain in place for nursing facility beds?


             Representative Dyer: No, nothing in this bill alters the current requirements under which nursing home bed capacity is approved or transferred from one facility to another.


             The Speaker stated the question before the House to be final passage of Engrossed Substitute House Bill No. 1952.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 1952 and the bill passed the House by the following vote: Yeas - 61, Nays - 37, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Constantine, Cooke, Crouse, DeBolt, Delvin, Dunn, Dunshee, Dyer, Gombosky, Grant, Hankins, Hickel, Honeyford, Huff, Kastama, Koster, Lambert, Lantz, Lisk, Mastin, McDonald, Mielke, Mitchell, Morris, Mulliken, Ogden, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Scott, Sehlin, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sommers, H., Sterk, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 61.

             Voting nay: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Conway, Cooper, Costa, Dickerson, Doumit, Fisher, Gardner, Hatfield, Johnson, Keiser, Kenney, Kessler, Linville, Mason, McMorris, Murray, O'Brien, Parlette, Poulsen, Quall, Regala, Romero, Schoesler, Sheahan, Sullivan, Sump, Tokuda, Veloria, Wolfe and Wood - 37.


             Engrossed Substitute House Bill No. 1952, having received the constitutional majority, was declared passed.


             HOUSE BILL NO. 2018, by Representatives Dyer, Grant, Backlund, Quall, Zellinsky, Sheldon, Sherstad, Morris, Parlette, Scott and Skinner

 

Enacting health insurance reform.


             The bill was read the second time. There being no objection, Substitute House Bill No. 2018 was substituted for House Bill No. 2018 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 2018 was read the second time.


             Representative Dyer moved the adoption of the following amendment by Representative Dyer: (313)


             Strike everything after the enacting clause and insert the following:


"HEALTH INSURANCE REFORM

PART I--CONSUMER PROTECTIONS


             NEW SECTION. Sec. 101. UTILIZATION REVIEW--INTENT. "The legislature intends that the delivery of quality health care services to individuals in the state of Washington be consistent with a wise use of resources. It is therefore the purpose of this act to define standards for utilization review of health care services and to promote the delivery of health care in a cost-effective manner. The legislature reaffirms its commitment to improving health care services through encouraging the availability of effective and consistent utilization review throughout this state. The legislature believes that standards for utilization review will help assure quality oversight of individual case evaluations in this state."


             NEW SECTION. Sec. 102. A new section is added to chapter 41.05 RCW to read as follows:

             UTILIZATION REVIEW--DEFINITIONS. "Unless the context clearly requires otherwise, the definitions in this section apply throughout sections 103 and 104 of this act:

             (1) "Certification" means a determination by a review organization that an admission, extension of stay, or other health care service or procedure has been reviewed and, based on the information provided, meets the clinical requirements for medical necessity, appropriateness, level of care, or effectiveness under the auspices of the applicable health benefit plan.

             (2) "Review organization" means an entity performing utilization review, including a disability insurer regulated under chapter 48.20 or 48.21 RCW, health care service contractor as defined in RCW 48.44.010, or health maintenance organization as defined in RCW 48.46.020, and entities affiliated with, under contract with, or acting on behalf of a health carrier.

             (3) "Utilization review" means the prospective, concurrent, or retrospective assessment of the necessity and appropriateness of the allocation of health care resources and services of a provider or facility, given or proposed to be given to an enrollee or group of enrollees."


             NEW SECTION. Sec. 103. A new section is added to chapter 41.05 RCW to read as follows:

             UTILIZATION REVIEW--REVIEW ORGANIZATION. "(1) Beginning on January 1, 1998, every review organization that performs utilization review of inpatient medical and surgical benefits and outpatient medical and surgical benefits for residents of this state shall meet the standards set forth in this section and section 104 of this act.

             (a) Review organizations shall comply with all applicable state and federal laws to protect confidentiality of enrollee medical records.

             (b) Any certification by a review organization as to the medical necessity or appropriateness of an admission, length of stay, extension of stay, or service or procedure must be made in accordance with medical standards or guidelines approved by a licensed physician.

             (c) Any determination by a review organization to deny an admission, length of stay, extension of stay, or service or procedure on the basis of medical necessity or appropriateness must be made by a licensed physician who has reasonable access to board certified specialty providers in making such determinations.

             (d) Review organizations shall make staff available to perform utilization review activities by toll-free or collect telephone, at least forty hours per week during normal business hours.

             (e) Review organizations shall have a phone system capable of accepting or recording, or both, incoming phone calls during other than normal business hours and shall respond to these calls within two business days.

             (f) Review organizations shall maintain a documented utilization review program description and written utilization review criteria based on reasonable medical evidence. The program must include a method for reviewing and updating criteria. Review organizations shall make utilization review criteria available upon request to the participating provider involved in a specific case under review.

             (g) Review organizations shall designate a licensed physician to participate in utilization review program implementation.

             (2) The Washington state health care authority shall periodically examine review organization accreditation standards of the utilization review accreditation commission, the national committee for quality assurance, and other national accreditation organizations for appropriateness and, if deemed appropriate, shall adopt rules exempting a review organization from the requirements of section 104 of this act if certified by a national credentialing entity approved by the authority. The powers of the Washington state health care authority set forth in this section are transferred to the office of the insurance commissioner on January 1, 2001."


             NEW SECTION. Sec. 104. A new section is added to chapter 41.05 RCW to read as follows:

             UTILIZATION REVIEW--STANDARDS. "(1) Notification of an initial determination by the review organization to certify an admission, length of stay, extension of stay, or service or procedure must be mailed or otherwise communicated to the provider of record or the enrollee, or the enrollee's authorized representative, or both, within two business days of the determination and following the receipt of all information necessary to complete the review.

             (2) Notification of an initial determination by the review organization to deny an admission, length of stay, extension of stay, or service or procedure must be mailed or otherwise communicated to the provider of record or the enrollee, or the enrollee's authorized representative, or both, within one business day of the determination and following the receipt of all information necessary to complete the review.

             (3) Any notification of a determination to deny an admission, length of stay, extension of stay, or service or procedure must include:

             (a) The review organization's decision in clear terms and the rationale in sufficient detail for the enrollee to respond further to the review organization's decision; and

             (b) The procedures to initiate an appeal of an adverse determination.

             (4) Health care facilities and providers shall cooperate with the reasonable efforts of review organizations to ensure that all necessary enrollee information is available in a timely fashion by phone during normal business hours. Health care facilities and providers shall allow on-site review of medical records by review organizations. These provisions are subject to the requirements regarding health care information disclosure in chapter 70.02 RCW."


             NEW SECTION. Sec. 105. A new section is added to chapter 41.05 RCW to read as follows:

             UTILIZATION REVIEW--LIMITED RECORD ACCESS. "In performing a utilization review, a review organization is limited to access to specific health carrier information necessary to complete the review being performed."


             NEW SECTION. Sec. 106. GRIEVANCE PROCEDURES--INTENT. "The legislature is committed to the efficient use of state resources in promoting public health and protecting the rights of individuals in the state of Washington. The purpose of this act is to provide standards for the establishment and maintenance of procedures by health carriers to assure that covered persons have the opportunity for the appropriate resolution of their grievances, as defined in this act."


             NEW SECTION. Sec. 107. A new section is added to chapter 48.43 RCW to read as follows:

             GRIEVANCE PROCEDURES--STANDARDS. "(1) Every health carrier shall use written procedures for receiving and resolving grievances from covered persons. At each level of review of a grievance, the health carrier shall include a person or persons with sufficient background and authority to deliberate the merits of the grievance and establish appropriate terms of resolution. The health carrier's medical director or designee shall be available to participate in the review of any grievance involving a clinical issue or issues. A grievance that includes an issue of clinical quality of care as determined by the health carrier's medical director or designee may be directed to the health carrier's quality assurance committee for review and comment. Nothing in this section alters any protections afforded under statutes relating to confidentiality and nondiscoverability of quality assurance activities and information.

             (2)(a) A complaint that is not submitted in writing may be resolved directly by the health carrier with the covered person, and is not considered a grievance subject to the review, recording, and reporting requirements of this section.

             (b) The health carrier is required to provide telephone access to covered persons for purposes of presenting a complaint for review. Each telephone number provided shall be toll free or collect within the health carrier's service area and provide reasonable access to the health carrier without undue delays during normal business hours.

             (3)(a) A grievance may be submitted by a covered person or a representative acting on behalf of the covered person through written authority to assure protection of the covered person's private information. Within three working days of receiving a grievance, the health carrier shall acknowledge in writing the receipt of the grievance and the department name and address where additional information may be submitted by the covered person or authorized representative of the covered person. The health carrier shall process the grievance in a reasonable length of time not to exceed thirty days from receipt of the written grievance. If the grievance involves the collection of information from sources external to the health carrier and its participating providers, the health carrier has an additional thirty days to process the covered person's grievance.

             (b) The health carrier shall provide the covered person, or authorized representative of the covered person, with a written determination of its review within the time frame specified in (a) of this subsection. The written determination shall contain at a minimum:

             (i) The health carrier's decision in clear terms and the rationale in sufficient detail for the covered person or authorized representative of the covered person to respond further to the health carrier's decision; and

             (ii) When the health carrier's decision is not wholly favorable to the covered person, a description of the process to obtain a second level grievance review of the decision, including the time frames required for submission of a request by the covered person or authorized representative of the covered person.

             (4)(a) A health carrier shall provide a second level grievance review for those covered persons who are dissatisfied with the first level grievance review decision and who submit a written request for review. The second level review process shall include an opportunity for the covered person or authorized representative of the covered person to appear in person before the representative or representatives of the health carrier. The covered person or authorized representative of the covered person must ask for a personal appearance in the written request for a second level review.

             (b) The health carrier shall process the grievance in a reasonable length of time, not to exceed thirty days from receipt of the request for a second level review. The time required to resolve the second level review may be extended for a specified period if mutually agreed upon by the covered person or authorized representative of the covered person and the health carrier.

             (c) A health carrier's procedures for conducting a second level review must include the following:

             (i) The second level review panel shall be comprised of representatives of the health carrier not otherwise participating in the first level review. If the grievance involves a clinical issue or issues, the health carrier shall appoint a health care professional with appropriate qualifications who was not previously involved with the grievance under review and shall ensure reasonable access to board-certified specialty providers as typically manage the issue under review;

             (ii) The review panel shall schedule the review meeting to reasonably accommodate the covered person or authorized representative of the covered person and not unreasonably deny a request for postponement of the review requested by the covered person or authorized representative of the covered person; and

             (iii) The health carrier shall notify the covered person or authorized representative of the covered person in writing at least fifteen days in advance of the scheduled review date unless a shorter time frame is agreed to by the health carrier and the covered person. The review meeting shall be held at a location within the health carrier's service area that is reasonably accessible to the covered person or authorized representative of the covered person. In cases where a face-to-face meeting is not practical for geographic reasons, a health carrier shall offer the covered person or authorized representative of the covered person the opportunity to communicate with the review panel, at the health carrier's expense, by conference call, video conferencing, or other appropriate technology as determined by the health carrier.

             (d) The health carrier shall issue a written decision to the covered person or authorized representative of the covered person within five working days of completing the review meeting. The decision shall include:

             (i) A statement of the health carrier's understanding of the nature of the grievance and all pertinent facts;

             (ii) The health carrier's decision in clear terms and the rationale for the review panel's decision; and

             (iii) Notice of the covered person's right to any further review by the health carrier.

             (e) Determination of a grievance at the final level review that is unfavorable to the covered person may be submitted by the covered person or authorized representative of the covered person to nonbinding mediation. Mediation shall be conducted under mediation rules similar to those of the American arbitration association, the center for public resources, the judicial arbitration and mediation service, RCW 7.70.100, or any other rules of mediation agreed to by the parties.

             (5) Each health carrier as defined in this chapter shall file with the commissioner its procedures for review and adjudication of grievances initiated by covered persons.

             (6) The health carrier shall maintain accurate records of each grievance to include the following:

             (a) A description of the grievance, the date received by the health carrier, and the name and identification number of the covered person; and

             (b) A statement as to which level of the grievance procedure the grievance has been brought, the date at which it was brought to each level, the decision reached at each level, and a summary description of the rationale for the decision.

             (7) Each health carrier shall make an annual report available to the commissioner. The report shall include for each type of health benefit plan offered by the health carrier: The number of covered lives; the total number of grievances received divided into the following categories: Access, health carrier customer service, health care provider or facility service, claim payment, and dispute resolution; the number of grievances resolved at each level; and the total number of favorable and unfavorable decisions.

             (8) A notice of the availability and the requirements of the grievance procedure, including the address where a written grievance may be filed, shall be included in or attached to the policy, certificate, membership booklet, outline of coverage, or other evidence of coverage provided by the health carrier to its enrollees.

             (9) The notice shall include a toll-free telephone number for a covered person to obtain verbal explanation of the grievance procedure.

             (10) A health carrier shall establish written procedures for the expedited review of a grievance involving a situation where the time to resolve a grievance according to the procedures set forth in this section would seriously jeopardize the life or health of a covered person. A request for an expedited review may be submitted orally or in writing by a covered person or authorized representative of the covered person. A health carrier's procedures for establishing an expedited review process shall include the following:

             (a) The health carrier shall appoint an appropriate health care professional to participate in expedited reviews and shall provide reasonable access to board-certified specialty providers as typically manage the issue under review.

             (b) A health carrier shall provide expedited review to all requests concerning an admission, availability of care, continued stay, or review of a health care service for a covered person who has received emergency services but has not been discharged from a facility.

             (c) All necessary information, including the health carrier's decision, shall be transmitted between the health carrier and the covered person or authorized representative of the covered person by telephone, facsimile, or the most expeditious method available as determined by the health carrier.

             (d) A health carrier shall make a decision and notify the covered person or authorized representative of the covered person as expeditiously as the medical condition of the covered person requires, but no more than two business days after the request for expedited review is received by the health carrier. If the expedited review is a concurrent review determination, the service shall be continued without liability to the covered person until the covered person or authorized representative of the covered person has been notified of the decision by the health carrier.

             (e) A health carrier shall provide written confirmation of its decision concerning an expedited review within two working days of providing notification of that decision to the enrollee, if the initial notification was not in writing. The written notification shall contain the provisions required in subsection (3) of this section pertaining to a first level grievance review.

             (f) In any case where the expedited review process does not resolve a difference of opinion between a health carrier and the covered person, the covered person or authorized representative of the covered person may request a second level grievance review. In conducting the second level grievance review, the health carrier shall adhere to time frames that are reasonable under the circumstances, but in no event to exceed the time frames specified in subsection (4) of this section pertaining to second level grievance review.

             (11) The Washington state health care authority shall periodically examine grievance procedure accreditation standards of the national committee for quality assurance or other national accreditation organizations for appropriateness and, if deemed appropriate, shall adopt rules exempting a health carrier from the requirements of this section if certified by a national accreditation organization approved by the authority. The powers of the Washington state health care authority set forth in this section are transferred to the office of the insurance commissioner on January 1, 2001."


             Sec. 108. RCW 48.43.055 and 1995 c 265 s 20 are each amended to read as follows:

             GRIEVANCE PROCEDURE FOR HEALTH CARE PROVIDERS. "Each health carrier as defined under RCW 48.43.005 shall file with the commissioner its procedures for review and adjudication of complaints initiated by ((covered persons or)) a health care provider((s)). Procedures filed under this section shall provide a fair review for consideration of complaints. Every health carrier shall provide reasonable means whereby ((any person)) a health care provider aggrieved by actions of the health carrier may be heard in person or by their authorized representative on their written request for review. If the health carrier fails to grant or reject such request within thirty days after it is made, the complaining ((person)) provider may proceed as if the complaint had been rejected. A complaint that has been rejected by the health carrier may be submitted to nonbinding mediation. Mediation shall be conducted pursuant to mediation rules similar to those of the American arbitration association, the center for public resources, the judicial arbitration and mediation service, RCW 7.70.100, or any other rules of mediation agreed to by the parties."


             NEW SECTION. Sec. 109. GRIEVANCE PROCEDURES--REPEALER. "RCW "48.46.100 and 1975 1st ex.s. c 290 s 11 are each repealed."


             NEW SECTION. Sec. 110. NETWORK ADEQUACY--INTENT. "The legislature declares that it is in the public interest that health carriers utilizing provider networks use reasonable means of assessing that their provider networks are adequate to provide covered services to their enrollees. The legislature finds that empirical assessment of provider network adequacy is in developmental stages, and that rigid, formulaic approaches are unworkable and inhibit innovation and approaches tailored to meet the needs of varying communities and populations. The legislature therefore finds that, given these limitations, an assessment is needed to determine whether network adequacy requirements are needed and, if necessary, whether the type of measures used by current accreditation programs, such as the national committee on quality assurance, meets these needs."


             NEW SECTION. Sec. 111. NETWORK ADEQUACY--STUDY AND RESTRICTION. "(1) The department of health, in consultation with the office of the insurance commissioner, the department of social and health services, the health care authority, the health care policy board, consumers, providers, and health carriers, shall review the need for network adequacy requirements. The review must include an evaluation of the approaches used by the national committee on quality assurance and any similar, nationally recognized accreditation programs. The department shall submit its report and recommendations to the health care committees of the legislature by January 1, 1998, and include recommendations on:

             (a) Whether legislatively determined network adequacy requirements are necessary and advisable and the evidence to support this;

             (b) If standards are needed, to what extent such standards can be made consistent with the national committee on quality assurance standards, and whether national committee on quality assurance accredited carriers, or carriers accredited by other, nationally recognized accreditation programs, should be exempted from state review and requirements;

             (c) Whether and how the state could promote uniformity of approach across commercial purchaser requirements and state and federal agency requirements so as to assure adequate consumer access while promoting the most efficient use of public and private health care financial resources;

             (d) Means to assure that health carriers and health systems maintain the flexibility necessary to responsibly determine the best ways to meet the needs of the populations they serve while controlling the costs of the health care services provided;

             (e) Which types of health systems and health carriers should be subject to network adequacy requirements, if any; and

             (f) An objective estimate of the potential costs of such requirements and any recommended oversight functions.

             (2) No agency may engage in rule making relating to network adequacy until the legislature has reviewed the findings and recommendations of the study and has passed legislation authorizing the department of health or other appropriate agency to engage in rule making in this area in accordance with the policy direction set by the legislature."


             NEW SECTION. Sec. 112. A new section is added to chapter 41.05 RCW to read as follows:

             ACCESS PLAN REQUIREMENTS. "(1) Beginning July 1, 1997, health carriers, as defined in RCW 48.43.005, shall develop and update annually an access plan that meets the requirements of this section for each of the health care networks that the carrier offers in this state. The health carrier shall make the access plans available on its business premises and shall provide nonproprietary information to any interested party upon request. The carrier shall prepare an access plan prior to offering a health plan utilizing a substantially different health care network. The plan shall include, at least, the following:

             (a) The health carrier's network of providers and facilities by license, certification and registration type, and by geographic location;

             (b) The health carrier's process for monitoring and assuring on an ongoing basis the sufficiency of the provider network to meet the covered health care needs of its enrolled populations; and

             (c) The health carrier's methods for assessing the health care needs of covered persons and their satisfaction with services.

             (2) On or before August 1, 1997, each health carrier shall submit its access plan or plans to the Washington state health care authority for purposes of assisting the authority with its report and recommendations on network adequacy standards required under section 111 of this act.

             (3) The Washington state health care authority shall periodically examine accreditation standards of the national committee for quality assurance or other national accreditation organizations for appropriateness and, if deemed appropriate, shall adopt rules exempting a health carrier from the requirements of this section if certified by a national accreditation organization approved by the authority. The powers of the Washington state health care authority set forth in this section are transferred to the office of the insurance commissioner on January 1, 2001."


             NEW SECTION. Sec. 113. A new section is added to chapter 74.09 RCW to read as follows:

             MEDICAL ASSISTANCE WAIVERS. "To the extent that federal statutes or regulations, or provisions of waivers granted to the department of social and health services by the federal department of health and human services, include standards that differ from the minimums stated in sections 101 through 107, 110, and 112 of this act, those sections do not apply to contracts with health carriers awarded pursuant to RCW 74.09.522.


"                                                       PART II--MARKETPLACE STABILITY"


             NEW SECTION. Sec. 201. LEGISLATIVE INTENT. "The legislature intends that individuals in the state of Washington have access to affordable individual health plan coverage. The legislature reaffirms its commitment to guaranteed issue and renewability, portability, and limitations on use of preexisting condition exclusions. The legislature also finds that the lack of incentives for individuals to purchase and maintain coverage independent of anticipated need for health care has contributed to soaring health care claims experience in many individual health plans. The legislature therefore intends that refinements be made to the state's individual market reform laws to provide needed incentives and to help assure that more affordable coverage is accessible to Washington residents."


             Sec. 202. RCW 48.43.005 and 1995 c 265 s 4 are each amended to read as follows:

             DEFINITIONS. "Unless otherwise specifically provided, the definitions in this section apply throughout this chapter.

             (1) "Adjusted community rate" means the rating method used to establish the premium for health plans adjusted to reflect actuarially demonstrated differences in utilization or cost attributable to geographic region, age, family size, and use of wellness activities.

             (2) "Basic health plan" means the plan described under chapter 70.47 RCW, as revised from time to time.

             (3) "Basic health plan model plan" means a health plan as required in RCW 70.47.060(2)(d).

             (4) "Concurrent review" means utilization review conducted during a patient's hospital stay or course of treatment.

             (5) "Covered person" or "enrollee" means a person covered by a health plan including an enrollee, subscriber, policyholder, beneficiary of a group plan, or individual covered by any other health plan.

             (((3))) (6) "Dependent" means, at a minimum, the enrollee's legal spouse and unmarried dependent children who qualify for coverage under the enrollee's health benefit plan.

             (7) "Eligible employee" means an employee who works on a full-time basis with a normal work week of thirty or more hours. The term includes a self-employed individual, including a sole proprietor, a partner of a partnership, and may include an independent contractor, if the self-employed individual, sole proprietor, partner, or independent contractor is included as an employee under a health benefit plan of a small employer, but does not work less than thirty hours per week and derives at least seventy-five percent of his or her income from a trade or business through which he or she has attempted to earn taxable income and for which he or she has filed the appropriate internal revenue service form. Persons covered under a health benefit plan pursuant to the consolidated omnibus budget reconciliation act of 1986 shall not be considered eligible employees for purposes of minimum participation requirements of chapter 265, Laws of 1995.

             (((4))) (8) "Emergency medical condition" means the emergent and acute onset of a symptom or symptoms, including severe pain, that would lead a prudent layperson acting reasonably to believe that a health condition exists that requires immediate medical attention, if failure to provide medical attention would result in serious impairment to bodily functions or serious dysfunction of a bodily organ or part, or would place the person's health in serious jeopardy.

             (9) "Emergency services" means otherwise covered health care services medically necessary to evaluate and treat an emergency medical condition, provided in a hospital emergency department.

             (10) "Enrollee point-of-service cost-sharing" means amounts paid to health carriers directly providing services, health care providers, or health care facilities by enrollees and may include copayments, coinsurance, or deductibles.

             (((5))) (11) "Grievance" means a written complaint submitted by or on behalf of a covered person regarding: (a) Denial of payment for medical services or nonprovision of medical services included in the covered person's health benefit plan, or (b) service delivery issues other than denial of payment for medical services or nonprovision of medical services, including dissatisfaction with medical care, waiting time for medical services, provider or staff attitude or demeanor, or dissatisfaction with service provided by the health carrier.

             (12) "Health care facility" or "facility" means hospices licensed under chapter 70.127 RCW, hospitals licensed under chapter 70.41 RCW, rural health care facilities as defined in RCW 70.175.020, psychiatric hospitals licensed under chapter 71.12 RCW, nursing homes licensed under chapter 18.51 RCW, community mental health centers licensed under chapter 71.05 or 71.24 RCW, kidney disease treatment centers licensed under chapter 70.41 RCW, ambulatory diagnostic, treatment, or surgical facilities licensed under chapter 70.41 RCW, drug and alcohol treatment facilities licensed under chapter 70.96A RCW, and home health agencies licensed under chapter 70.127 RCW, and includes such facilities if owned and operated by a political subdivision or instrumentality of the state and such other facilities as required by federal law and implementing regulations.

             (((6))) (13) "Health care provider" or "provider" means:

             (a) A person regulated under Title 18 or chapter 70.127 RCW, to practice health or health-related services or otherwise practicing health care services in this state consistent with state law; or

             (b) An employee or agent of a person described in (a) of this subsection, acting in the course and scope of his or her employment.

             (((7))) (14) "Health care service" means that service offered or provided by health care facilities and health care providers relating to the prevention, cure, or treatment of illness, injury, or disease.

             (((8))) (15) "Health carrier" or "carrier" means a disability insurer regulated under chapter 48.20 or 48.21 RCW, a health care service contractor as defined in RCW 48.44.010, or a health maintenance organization as defined in RCW 48.46.020.

             (((9))) (16) "Health plan" or "health benefit plan" means any policy, contract, or agreement offered by a health carrier to provide, arrange, reimburse, or pay for health care services except the following:

             (a) Long-term care insurance governed by chapter 48.84 RCW;

             (b) Medicare supplemental health insurance governed by chapter 48.66 RCW;

             (c) Limited health care services offered by limited health care service contractors in accordance with RCW 48.44.035;

             (d) Disability income;

             (e) Coverage incidental to a property/casualty liability insurance policy such as automobile personal injury protection coverage and homeowner guest medical;

             (f) Workers' compensation coverage;

             (g) Accident only coverage;

             (h) Specified disease and hospital confinement indemnity when marketed solely as a supplement to a health plan;

             (i) Employer-sponsored self-funded health plans; and

             (j) Dental only and vision only coverage.

             (((10))) (17) "Basic health plan services" means that schedule of covered health services, including the description of how those benefits are to be administered, that are required to be delivered to an enrollee under the basic health plan, as revised from time to time.

             (((11))) (18) "Preexisting condition" means any medical condition, illness, or injury that existed any time prior to the effective date of coverage.

             (((12))) (19) "Premium" means all sums charged, received, or deposited by a health carrier as consideration for a health plan or the continuance of a health plan. Any assessment or any "membership," "policy," "contract," "service," or similar fee or charge made by a health carrier in consideration for a health plan is deemed part of the premium. "Premium" shall not include amounts paid as enrollee point-of-service cost-sharing.

             (((13))) (20) "Small employer" means any person, firm, corporation, partnership, association, political subdivision except school districts, or self-employed individual that is actively engaged in business that, on at least fifty percent of its working days during the preceding calendar quarter, employed no more than fifty eligible employees, with a normal work week of thirty or more hours, the majority of whom were employed within this state, and is not formed primarily for purposes of buying health insurance and in which a bona fide employer-employee relationship exists. In determining the number of eligible employees, companies that are affiliated companies, or that are eligible to file a combined tax return for purposes of taxation by this state, shall be considered an employer. Subsequent to the issuance of a health plan to a small employer and for the purpose of determining eligibility, the size of a small employer shall be determined annually. Except as otherwise specifically provided, a small employer shall continue to be considered a small employer until the plan anniversary following the date the small employer no longer meets the requirements of this definition. The term "small employer" includes a self-employed individual or sole proprietor. The term "small employer" also includes a self-employed individual or sole proprietor who derives at least seventy-five percent of his or her income from a trade or business through which the individual or sole proprietor has attempted to earn taxable income and for which he or she has filed the appropriate internal revenue service form 1040, schedule C or F, for the previous taxable year.

             (((14))) (21) "Wellness activity" means an explicit program of an activity consistent with department of health guidelines, such as, smoking cessation, injury and accident prevention, reduction of alcohol misuse, appropriate weight reduction, exercise, automobile and motorcycle safety, blood cholesterol reduction, and nutrition education for the purpose of improving enrollee health status and reducing health service costs.

             (((15) "Basic health plan" means the plan described under chapter 70.47 RCW, as revised from time to time.))"


             Sec. 203. RCW 48.43.025 and 1995 c 265 s 6 are each amended to read as follows:

             PREEXISTING CONDITION LIMITATIONS MODIFIED. "(1) Except as otherwise specified in RCW 48.43.035:

             (a) No carrier may reject an individual for health plan coverage based upon preexisting conditions of the individual ((and)).

             (b) No carrier may deny, exclude, or otherwise limit coverage for an individual's preexisting health conditions; except that a carrier may impose a three-month benefit waiting period for preexisting conditions for which medical advice was given, or for which a health care provider recommended or provided treatment within three months before the effective date of coverage.

             (c) All health carriers offering any individual health plan to any individual must allow open enrollment to eligible applicants into all individual health plans offered by the carrier during the full month of July of each year. The individual health plans exempt from guaranteed continuity under RCW 48.43.035(4) are exempt from this requirement. All applications for open enrollment coverage must be complete and postmarked to or received by the carrier in the month of July in any year following the effective date of this section. Coverage for these applicants must begin the first day of the next month subject to receipt of timely payment consistent with the terms of the policies.

             (d) Carriers may limit acceptance of applicants who apply outside of the open enrollment period specified in (c) of this subsection provided all of the following conditions are met:

             (i) The applicant has not maintained coverage as required in (f) of this subsection;

             (ii) The applicant is not applying as a newly eligible dependent meeting the requirements of (g) of this subsection; and

             (iii) The carrier uses uniform health evaluation criteria and practices among all individual health plans it offers.

             (e) If a carrier refuses to enroll an applicant, it must offer to enroll the applicant in the Washington state health insurance pool in an expeditious manner as determined by the board of directors of the pool. Declination by the applicant to enroll must be done in written form.

             (f) Carriers may not refuse enrollment based upon health evaluation criteria to otherwise eligible applicants who have been covered either continuously or for any part of the three-month period immediately preceding the date of application for the new individual health plan under a comparable group or individual health benefit plan with substantially similar benefits. For purposes of this subsection, in addition to provisions in RCW 48.43.015, the following publicly administered coverage shall be considered comparable health benefit plans: The basic health plan established by chapter 70.47 RCW; the medical assistance program established by chapter 74.09 RCW; and the Washington state health insurance pool, established by chapter 48.41 RCW, as long as the person is continuously enrolled in the pool until the next open enrollment period. If the person is enrolled in the pool for less than three months, she or he will be credited for that period up to three months.

             (g) Carriers shall accept for enrollment all newly eligible dependents of an enrollee for enrollment onto the enrollee's individual health plan at any time of the year, provided application is made within sixty-three days of eligibility, or such longer time as provided by law or contract.

             (h) At no time are carriers required to accept for enrollment any individual residing outside the state of Washington, except for qualifying dependents who reside outside the carrier service area.

             (i) For purposes of this section, "open enrollment" means the annual thirty-one day period during the month of July during which all health carriers offering individual health plan coverage must accept onto individual coverage any state resident within the carrier's service area regardless of health condition who submits an application in accordance with RCW 48.43.035(1).

             (2) No carrier may avoid the requirements of this section through the creation of a new rate classification or the modification of an existing rate classification. A new or changed rate classification will be deemed an attempt to avoid the provisions of this section if the new or changed classification would substantially discourage applications for coverage from individuals or groups who are higher than average health risks. ((These)) The provisions of this section apply only to individuals who are Washington residents."


             Sec. 204. RCW 48.43.035 and 1995 c 265 s 7 are each amended to read as follows:

             GUARANTEED ISSUE AND CONTINUITY OF COVERAGE MODIFIED. "(1) Except as otherwise specified in RCW 48.43.025, all health carriers shall accept for enrollment any state resident within the carrier's service area and provide or assure the provision of all covered services regardless of age, sex, family structure, ethnicity, race, health condition, geographic location, employment status, socioeconomic status, other condition or situation, or the provisions of RCW 49.60.174(2). The insurance commissioner may grant a temporary exemption from this subsection, if, upon application by a health carrier the commissioner finds that the clinical, financial, or administrative capacity to serve existing enrollees will be impaired if a health carrier is required to continue enrollment of additional eligible individuals.

             (2) Except as provided in subsection (((5))) (7) of this section, all health plans shall contain or incorporate by endorsement a guarantee of the continuity of coverage of the plan. For the purposes of this section, a plan is "renewed" when it is continued beyond the earliest date upon which, at the carrier's sole option, the plan could have been terminated for other than nonpayment of premium. In the case of group plans, the carrier may consider the group's anniversary date as the renewal date for purposes of complying with the provisions of this section.

             (3) The guarantee of continuity of coverage required in health plans shall not prevent a carrier from canceling or nonrenewing a health plan for:

             (a) Nonpayment of premium;

             (b) Violation of published policies of the carrier approved by the insurance commissioner;

             (c) Covered persons entitled to become eligible for medicare benefits by reason of age who fail to apply for a medicare supplement plan or medicare cost, risk, or other plan offered by the carrier pursuant to federal laws and regulations;

             (d) Covered persons who fail to pay any deductible or copayment amount owed to the carrier and not the provider of health care services;

             (e) Covered persons committing fraudulent acts as to the carrier;

             (f) Covered persons who materially breach the health plan; ((or))

             (g) Change or implementation of federal or state laws that no longer permit the continued offering of such coverage; or

             (h) Cessation of a plan offering in accordance with subsection (5) or (8) of this section.

             (4) The provisions of this section do not apply in the following cases:

             (a) A carrier has zero enrollment on a product; ((or))

             (b) ((A carrier replaces a product and the replacement product is provided to all covered persons within that class or line of business, includes all of the services covered under the replaced product, and does not significantly limit access to the kind of services covered under the replaced product. The health plan may also allow unrestricted conversion to a fully comparable product; or

             (c))) A carrier is withdrawing from a service area or from a segment of its service area because the carrier has demonstrated to the insurance commissioner that the carrier's clinical, financial, or administrative capacity to serve enrollees would be exceeded.

             (5) A health carrier may discontinue offering or materially modify a particular health plan, only if:

             (a) The health carrier provides notice to each covered person provided coverage of this type of such discontinuation or modification at least ninety days prior to the date of the discontinuation or modification of coverage;

             (b) The health carrier offers to each covered person provided coverage of this type the option to purchase any other health plan currently being offered by the health carrier to similar covered persons in the market category and geographic area; and

             (c) In exercising the option to discontinue or modify a particular health plan and in offering the option of coverage under (b) of this subsection, the health carrier acts uniformly without regard to any health-status related factor of covered persons or persons who may become eligible for coverage.

             (6) At the time a plan is renewed, a health carrier may modify the health plan coverage so long as such modification is in accordance with subsection (5) of this section.

             (7) The provisions of this section do not apply to health plans deemed by the insurance commissioner to be unique or limited or have a short-term purpose, after a written request for such classification by the carrier and subsequent written approval by the insurance commissioner.

             (8) A health carrier may discontinue all health plan coverage in one or more of the following lines of business:

             (a)(i) Individual; or

             (ii)(A) Small group (1-50 members); and

             (B) Large group (51+ members);

             (b) Only if:

             (i) The health carrier provides notice to the office of the insurance commissioner and to each person covered by a plan within the line of business of such discontinuation at least one hundred eighty days prior to the expiration of coverage; and

             (ii) All plans issued or delivered in the state by the health carrier in such line of business are discontinued, and coverage under such plans in such line of business is not renewed; and

             (iii) The health carrier may not issue any health plan coverage in the line of business and state involved during the five-year period beginning on the date of the discontinuation of the last health plan not so renewed.

             (9) The portability provisions of RCW 48.43.015 continue to apply to all enrollees whose health insurance coverage is modified or discontinued pursuant to this section."


             Sec. 205. RCW 70.47.060 and 1995 c 266 s 1 and 1995 c 2 s 4 are each reenacted and amended to read as follows:

"           The administrator has the following powers and duties:

             (1) To design and from time to time revise a schedule of covered basic health care services, including physician services, inpatient and outpatient hospital services, prescription drugs and medications, and other services that may be necessary for basic health care. In addition, the administrator may offer as basic health plan services chemical dependency services, mental health services and organ transplant services; however, no one service or any combination of these three services shall increase the actuarial value of the basic health plan benefits by more than five percent excluding inflation, as determined by the office of financial management. All subsidized and nonsubsidized enrollees in any participating managed health care system under the Washington basic health plan shall be entitled to receive (([covered basic health care services])) covered basic health care services in return for premium payments to the plan. The schedule of services shall emphasize proven preventive and primary health care and shall include all services necessary for prenatal, postnatal, and well-child care. However, with respect to coverage for groups of subsidized enrollees who are eligible to receive prenatal and postnatal services through the medical assistance program under chapter 74.09 RCW, the administrator shall not contract for such services except to the extent that such services are necessary over not more than a one-month period in order to maintain continuity of care after diagnosis of pregnancy by the managed care provider. The schedule of services shall also include a separate schedule of basic health care services for children, eighteen years of age and younger, for those subsidized or nonsubsidized enrollees who choose to secure basic coverage through the plan only for their dependent children. In designing and revising the schedule of services, the administrator shall consider the guidelines for assessing health services under the mandated benefits act of 1984, RCW 48.42.080, and such other factors as the administrator deems appropriate.

             However, with respect to coverage for subsidized enrollees who are eligible to receive prenatal and postnatal services through the medical assistance program under chapter 74.09 RCW, the administrator shall not contract for such services except to the extent that the services are necessary over not more than a one-month period in order to maintain continuity of care after diagnosis of pregnancy by the managed care provider.

             (2)(a) To design and implement a structure of periodic premiums due the administrator from subsidized enrollees that is based upon gross family income, giving appropriate consideration to family size and the ages of all family members. The enrollment of children shall not require the enrollment of their parent or parents who are eligible for the plan. The structure of periodic premiums shall be applied to subsidized enrollees entering the plan as individuals pursuant to subsection (9) of this section and to the share of the cost of the plan due from subsidized enrollees entering the plan as employees pursuant to subsection (10) of this section.

             (b) To determine the periodic premiums due the administrator from nonsubsidized enrollees. Premiums due from nonsubsidized enrollees shall be in an amount equal to the cost charged by the managed health care system provider to the state for the plan plus the administrative cost of providing the plan to those enrollees and the premium tax under RCW 48.14.0201.

             (c) An employer or other financial sponsor may, with the prior approval of the administrator, pay the premium, rate, or any other amount on behalf of a subsidized or nonsubsidized enrollee, by arrangement with the enrollee and through a mechanism acceptable to the administrator, but in no case shall the payment made on behalf of the enrollee exceed the total premiums due from the enrollee.

             (d) To develop, as an offering by all health carriers providing coverage identical to the basic health plan, as configured on January 1, 1996, a basic health plan model plan ((benefits package)) with uniformity in enrollee cost-sharing requirements.

             (3) To design and implement a structure of enrollee cost sharing due a managed health care system from subsidized and nonsubsidized enrollees. The structure shall discourage inappropriate enrollee utilization of health care services, and may utilize copayments, deductibles, and other cost-sharing mechanisms, but shall not be so costly to enrollees as to constitute a barrier to appropriate utilization of necessary health care services.

             (4) To limit enrollment of persons who qualify for subsidies so as to prevent an overexpenditure of appropriations for such purposes. Whenever the administrator finds that there is danger of such an overexpenditure, the administrator shall close enrollment until the administrator finds the danger no longer exists.

             (5) To limit the payment of subsidies to subsidized enrollees, as defined in RCW 70.47.020. The level of subsidy provided to persons who qualify may be based on the lowest cost plans, as defined by the administrator.

             (6) To adopt a schedule for the orderly development of the delivery of services and availability of the plan to residents of the state, subject to the limitations contained in RCW 70.47.080 or any act appropriating funds for the plan.

             (7) To solicit and accept applications from managed health care systems, as defined in this chapter, for inclusion as eligible basic health care providers under the plan. The administrator shall endeavor to assure that covered basic health care services are available to any enrollee of the plan from among a selection of two or more participating managed health care systems. In adopting any rules or procedures applicable to managed health care systems and in its dealings with such systems, the administrator shall consider and make suitable allowance for the need for health care services and the differences in local availability of health care resources, along with other resources, within and among the several areas of the state. Contracts with participating managed health care systems shall ensure that basic health plan enrollees who become eligible for medical assistance may, at their option, continue to receive services from their existing providers within the managed health care system if such providers have entered into provider agreements with the department of social and health services.

             (8) To receive periodic premiums from or on behalf of subsidized and nonsubsidized enrollees, deposit them in the basic health plan operating account, keep records of enrollee status, and authorize periodic payments to managed health care systems on the basis of the number of enrollees participating in the respective managed health care systems.

             (9) To accept applications from individuals residing in areas served by the plan, on behalf of themselves and their spouses and dependent children, for enrollment in the Washington basic health plan as subsidized or nonsubsidized enrollees, to establish appropriate minimum-enrollment periods for enrollees as may be necessary, and to determine, upon application and on a reasonable schedule defined by the authority, or at the request of any enrollee, eligibility due to current gross family income for sliding scale premiums. No subsidy may be paid with respect to any enrollee whose current gross family income exceeds twice the federal poverty level or, subject to RCW 70.47.110, who is a recipient of medical assistance or medical care services under chapter 74.09 RCW. If, as a result of an eligibility review, the administrator determines that a subsidized enrollee's income exceeds twice the federal poverty level and that the enrollee knowingly failed to inform the plan of such increase in income, the administrator may bill the enrollee for the subsidy paid on the enrollee's behalf during the period of time that the enrollee's income exceeded twice the federal poverty level. If a number of enrollees drop their enrollment for no apparent good cause, the administrator may establish appropriate rules or requirements that are applicable to such individuals before they will be allowed to reenroll in the plan.

             (10) To accept applications from business owners on behalf of themselves and their employees, spouses, and dependent children, as subsidized or nonsubsidized enrollees, who reside in an area served by the plan. The administrator may require all or the substantial majority of the eligible employees of such businesses to enroll in the plan and establish those procedures necessary to facilitate the orderly enrollment of groups in the plan and into a managed health care system. The administrator may require that a business owner pay at least an amount equal to what the employee pays after the state pays its portion of the subsidized premium cost of the plan on behalf of each employee enrolled in the plan. Enrollment is limited to those not eligible for medicare who wish to enroll in the plan and choose to obtain the basic health care coverage and services from a managed care system participating in the plan. The administrator shall adjust the amount determined to be due on behalf of or from all such enrollees whenever the amount negotiated by the administrator with the participating managed health care system or systems is modified or the administrative cost of providing the plan to such enrollees changes.

             (11) To determine the rate to be paid to each participating managed health care system in return for the provision of covered basic health care services to enrollees in the system. Although the schedule of covered basic health care services will be the same for similar enrollees, the rates negotiated with participating managed health care systems may vary among the systems. In negotiating rates with participating systems, the administrator shall consider the characteristics of the populations served by the respective systems, economic circumstances of the local area, the need to conserve the resources of the basic health plan trust account, and other factors the administrator finds relevant.

             (12) To monitor the provision of covered services to enrollees by participating managed health care systems in order to assure enrollee access to good quality basic health care, to require periodic data reports concerning the utilization of health care services rendered to enrollees in order to provide adequate information for evaluation, and to inspect the books and records of participating managed health care systems to assure compliance with the purposes of this chapter. In requiring reports from participating managed health care systems, including data on services rendered enrollees, the administrator shall endeavor to minimize costs, both to the managed health care systems and to the plan. The administrator shall coordinate any such reporting requirements with other state agencies, such as the insurance commissioner and the department of health, to minimize duplication of effort.

             (13) To evaluate the effects this chapter has on private employer-based health care coverage and to take appropriate measures consistent with state and federal statutes that will discourage the reduction of such coverage in the state.

             (14) To develop a program of proven preventive health measures and to integrate it into the plan wherever possible and consistent with this chapter.

             (15) To provide, consistent with available funding, assistance for rural residents, underserved populations, and persons of color."


             Sec. 206. RCW 48.20.028 and 1995 c 265 s 13 are each amended to read as follows:

             TENURE DISCOUNTS--INDIVIDUAL DISABILITY COVERAGE. "(1)(a) An insurer offering any health benefit plan to any individual shall offer and actively market to all individuals a health benefit plan providing benefits identical to the schedule of covered health ((services)) benefits that are required to be delivered to an individual enrolled in the basic health plan subject to RCW 48.43.035. Nothing in this subsection shall preclude an insurer from offering, or an individual from purchasing, other health benefit plans that may have more or less comprehensive benefits than the basic health plan, provided such plans are in accordance with this chapter. An insurer offering a health benefit plan that does not include benefits provided in the basic health plan shall clearly disclose these differences to the individual in a brochure approved by the commissioner.

             (b) A health benefit plan shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.20.390, 48.20.393, 48.20.395, 48.20.397, 48.20.410, 48.20.411, 48.20.412, 48.20.416, and 48.20.420 if the health benefit plan is the mandatory offering under (a) of this subsection that provides benefits identical to the basic health plan, to the extent these requirements differ from the basic health plan.

             (2) Premiums for health benefit plans for individuals shall be calculated using the adjusted community rating method that spreads financial risk across the carrier's entire individual product population. All such rates shall conform to the following:

             (a) The insurer shall develop its rates based on an adjusted community rate and may only vary the adjusted community rate for:

             (i) Geographic area;

             (ii) Family size;

             (iii) Age; ((and))

             (iv) Tenure discounts; and

             (v) Wellness activities.

             (b) The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments which shall begin with age twenty and end with age sixty-five. Individuals under the age of twenty shall be treated as those age twenty.

             (c) The insurer shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection.

             (d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

             (e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs not to exceed twenty percent.

             (f) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

             (i) Changes to the family composition;

             (ii) Changes to the health benefit plan requested by the individual; or

             (iii) Changes in government requirements affecting the health benefit plan.

             (g) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. This subsection does not restrict or enhance the portability of benefits as provided in RCW 48.43.015.

             (h) A tenure discount for continuous enrollment in the health plan of two years or more may be offered, not to exceed ten percent.

             (3) Adjusted community rates established under this section shall pool the medical experience of all individuals purchasing coverage, and shall not be required to be pooled with the medical experience of health benefit plans offered to small employers under RCW 48.21.045.

             (4) As used in this section, "health benefit plan," "basic health plan," "adjusted community rate," and "wellness activities" mean the same as defined in RCW 48.43.005."


             Sec. 207. RCW 48.44.022 and 1995 c 265 s 15 are each amended to read as follows:

             TENURE DISCOUNTS--HEALTH CARE SERVICE CONTRACTORS. "(1)(a) A health care service contractor offering any health benefit plan to any individual shall offer and actively market to all individuals a health benefit plan providing benefits identical to the schedule of covered health ((services)) benefits that are required to be delivered to an individual enrolled in the basic health plan, subject to the provisions in RCW 48.43.035. Nothing in this subsection shall preclude a contractor from offering, or an individual from purchasing, other health benefit plans that may have more or less comprehensive benefits than the basic health plan, provided such plans are in accordance with this chapter. A contractor offering a health benefit plan that does not include benefits provided in the basic health plan shall clearly disclose these differences to the individual in a brochure approved by the commissioner.

             (b) A health benefit plan shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.44.225, 48.44.240, 48.44.245, 48.44.290, 48.44.300, 48.44.310, 48.44.320, 48.44.325, 48.44.330, 48.44.335, 48.44.340, 48.44.344, 48.44.360, 48.44.400, 48.44.440, 48.44.450, and 48.44.460 if the health benefit plan is the mandatory offering under (a) of this subsection that provides benefits identical to the basic health plan, to the extent these requirements differ from the basic health plan.

             (2) Premium rates for health benefit plans for individuals shall be subject to the following provisions:

             (a) The health care service contractor shall develop its rates based on an adjusted community rate and may only vary the adjusted community rate for:

             (i) Geographic area;

             (ii) Family size;

             (iii) Age; ((and))

             (iv) Tenure discounts; and

             (v) Wellness activities.

             (b) The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments which shall begin with age twenty and end with age sixty-five. Individuals under the age of twenty shall be treated as those age twenty.

             (c) The health care service contractor shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection.

             (d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

             (e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs not to exceed twenty percent.

             (f) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

             (i) Changes to the family composition;

             (ii) Changes to the health benefit plan requested by the individual; or

             (iii) Changes in government requirements affecting the health benefit plan.

             (g) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. This subsection does not restrict or enhance the portability of benefits as provided in RCW 48.43.015.

             (h) A tenure discount for continuous enrollment in the health plan of two years or more may be offered, not to exceed ten percent.

             (3) Adjusted community rates established under this section shall pool the medical experience of all individuals purchasing coverage, and shall not be required to be pooled with the medical experience of health benefit plans offered to small employers under RCW 48.44.023.

             (4) As used in this section and RCW 48.44.023 "health benefit plan," "small employer," "basic health plan," "adjusted community rates," and "wellness activities" mean the same as defined in RCW 48.43.005."


             Sec. 208. RCW 48.46.064 and 1995 c 265 s 17 are each amended to read as follows:

             TENURE DISCOUNTS--HEALTH MAINTENANCE ORGANIZATIONS. "(1)(a) A health maintenance organization offering any health benefit plan to any individual shall offer and actively market to all individuals a health benefit plan providing benefits identical to the schedule of covered health ((services)) benefits that are required to be delivered to an individual enrolled in the basic health plan, subject to the provisions in RCW 48.43.035. Nothing in this subsection shall preclude a health maintenance organization from offering, or an individual from purchasing, other health benefit plans that may have more or less comprehensive benefits than the basic health plan, provided such plans are in accordance with this chapter. A health maintenance organization offering a health benefit plan that does not include benefits provided in the basic health plan shall clearly disclose these differences to the individual in a brochure approved by the commissioner.

             (b) A health benefit plan shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.46.275, ((48.26.280 [48.46.280])) 48.46.280, 48.46.285, 48.46.290, 48.46.350, 48.46.355, 48.46.375, 48.46.440, 48.46.480, 48.46.510, 48.46.520, and 48.46.530 if the health benefit plan is the mandatory offering under (a) of this subsection that provides benefits identical to the basic health plan, to the extent these requirements differ from the basic health plan.

             (2) Premium rates for health benefit plans for individuals shall be subject to the following provisions:

             (a) The health maintenance organization shall develop its rates based on an adjusted community rate and may only vary the adjusted community rate for:

             (i) Geographic area;

             (ii) Family size;

             (iii) Age; ((and))

             (iv) Tenure discounts; and

             (v) Wellness activities.

             (b) The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments which shall begin with age twenty and end with age sixty-five. Individuals under the age of twenty shall be treated as those age twenty.

             (c) The health maintenance organization shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection.

             (d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

             (e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs not to exceed twenty percent.

             (f) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

             (i) Changes to the family composition;

             (ii) Changes to the health benefit plan requested by the individual; or

             (iii) Changes in government requirements affecting the health benefit plan.

             (g) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. This subsection does not restrict or enhance the portability of benefits as provided in RCW 48.43.015.

             (h) A tenure discount for continuous enrollment in the health plan of two years or more may be offered, not to exceed ten percent.

             (3) Adjusted community rates established under this section shall pool the medical experience of all individuals purchasing coverage, and shall not be required to be pooled with the medical experience of health benefit plans offered to small employers under RCW 48.46.066.

             (4) As used in this section and RCW 48.46.066, "health benefit plan," "basic health plan," "adjusted community rate," "small employer," and "wellness activities" mean the same as defined in RCW 48.43.005."


             Sec. 209. RCW 48.41.030 and 1989 c 121 s 1 are each amended to read as follows:

             HEALTH INSURANCE POOL--DEFINITIONS. "As used in this chapter, the following terms have the meaning indicated, unless the context requires otherwise:

             (1) "Accounting year" means a twelve-month period determined by the board for purposes of record-keeping and accounting. The first accounting year may be more or less than twelve months and, from time to time in subsequent years, the board may order an accounting year of other than twelve months as may be required for orderly management and accounting of the pool.

             (2) "Administrator" means the entity chosen by the board to administer the pool under RCW 48.41.080.

             (3) "Board" means the board of directors of the pool.

             (4) "Commissioner" means the insurance commissioner.

             (5) "Health care facility" has the same meaning as in RCW 70.38.025.

             (6) "Health care provider" means any physician, facility, or health care professional, who is licensed in Washington state and entitled to reimbursement for health care services.

             (7) "Health care services" means services for the purpose of preventing, alleviating, curing, or healing human illness or injury.

             (8) "Health ((insurance)) coverage" means any group or individual disability insurance policy, health care service contract, and health maintenance agreement, except those contracts entered into for the provision of health care services pursuant to Title XVIII of the Social Security Act, 42 U.S.C. Sec. 1395 et seq. The term does not include short-term care, long-term care, dental, vision, accident, fixed indemnity, disability income contracts, civilian health and medical program for the uniform services (CHAMPUS), 10 U.S.C. 55, limited benefit or credit insurance, coverage issued as a supplement to liability insurance, insurance arising out of the worker's compensation or similar law, automobile medical payment insurance, or insurance under which benefits are payable with or without regard to fault and which is statutorily required to be contained in any liability insurance policy or equivalent self-insurance.

             (9) "Health plan" means any arrangement by which persons, including dependents or spouses, covered or making application to be covered under this pool, have access to hospital and medical benefits or reimbursement including any group or individual disability insurance policy; health care service contract; health maintenance agreement; uninsured arrangements of group or group-type contracts including employer self-insured, cost-plus, or other benefit methodologies not involving insurance or not governed by Title 48 RCW; coverage under group-type contracts which are not available to the general public and can be obtained only because of connection with a particular organization or group; and coverage by medicare or other governmental benefits. This term includes coverage through "health ((insurance)) coverage" as defined under this section, and specifically excludes those types of programs excluded under the definition of "health ((insurance)) coverage" in subsection (8) of this section.

             (10) (("Insured" means any individual resident of this state who is eligible to receive benefits from any member, or other health plan.

             (11))) "Medical assistance" means coverage under Title XIX of the federal Social Security Act (42 U.S.C., Sec. 1396 et seq.) and chapter 74.09 RCW.

             (((12))) (11) "Medicare" means coverage under Title XVIII of the Social Security Act, (42 U.S.C. Sec. 1395 et seq., as amended).

             (((13))) (12) "Member" means any commercial insurer which provides disability insurance, any health care service contractor, and any health maintenance organization licensed under Title 48 RCW. "Member" shall also mean, as soon as authorized by federal law, employers and other entities, including a self-funding entity and employee welfare benefit plans that provide health plan benefits in this state on or after May 18, 1987. "Member" does not include any insurer, health care service contractor, or health maintenance organization whose products are exclusively dental products or those products excluded from the definition of "health ((insurance)) coverage" set forth in subsection (8) of this section.

             (13) "Network provider" means a health care provider who has contracted in writing with the pool administrator to accept payment from and to look solely to the pool according to the terms of the pool health plans.

             (14) "Plan of operation" means the pool, including articles, by-laws, and operating rules, adopted by the board pursuant to RCW 48.41.050.

             (15) "Point of service plan" means a benefit plan offered by the pool under which a covered person may elect to receive covered services from network providers, or nonnetwork providers at a reduced rate of benefits.

             (16) "Pool" means the Washington state health insurance pool as created in RCW 48.41.040.

             (((16))) (17) "Substantially equivalent health plan" means a "health plan" as defined in subsection (9) of this section which, in the judgment of the board or the administrator, offers persons including dependents or spouses covered or making application to be covered by this pool an overall level of benefits deemed approximately equivalent to the minimum benefits available under this pool."


             Sec. 210. RCW 48.41.060 and 1989 c 121 s 3 are each amended to read as follows:

             HEALTH INSURANCE POOL--BOARD POWERS MODIFIED. "The board shall have the general powers and authority granted under the laws of this state to insurance companies, health care service contractors, and health maintenance organizations, licensed or registered to ((transact)) offer or provide the kinds of ((insurance)) health coverage defined under this title. In addition thereto, the board may:

             (1) Enter into contracts as are necessary or proper to carry out the provisions and purposes of this chapter including the authority, with the approval of the commissioner, to enter into contracts with similar pools of other states for the joint performance of common administrative functions, or with persons or other organizations for the performance of administrative functions;

             (2) Sue or be sued, including taking any legal action as necessary to avoid the payment of improper claims against the pool or the coverage provided by or through the pool;

             (3) Establish appropriate rates, rate schedules, rate adjustments, expense allowances, agent referral fees, claim reserve formulas and any other actuarial functions appropriate to the operation of the pool. Rates shall not be unreasonable in relation to the coverage provided, the risk experience, and expenses of providing the coverage. Rates and rate schedules may be adjusted for appropriate risk factors such as age and area variation in claim costs and shall take into consideration appropriate risk factors in accordance with established actuarial underwriting practices consistent with Washington state individual plan rating requirements under RCW 48.20.028, 48.44.022, and 48.46.064;

             (4) Assess members of the pool in accordance with the provisions of this chapter, and make advance interim assessments as may be reasonable and necessary for the organizational or interim operating expenses. Any interim assessments will be credited as offsets against any regular assessments due following the close of the year;

             (5) Issue policies of ((insurance)) health coverage in accordance with the requirements of this chapter;

             (6) Appoint appropriate legal, actuarial and other committees as necessary to provide technical assistance in the operation of the pool, policy, and other contract design, and any other function within the authority of the pool; and

             (7) Conduct periodic audits to assure the general accuracy of the financial data submitted to the pool, and the board shall cause the pool to have an annual audit of its operations by an independent certified public accountant."


             Sec. 211. RCW 48.41.080 and 1989 c 121 s 5 are each amended to read as follows:

             HEALTH INSURANCE POOL--ADMINISTRATOR'S POWER MODIFIED. "The board shall select an administrator from the membership of the pool whether domiciled in this state or another state through a competitive bidding process to administer the pool.

             (1) The board shall evaluate bids based upon criteria established by the board, which shall include:

             (a) The administrator's proven ability to handle ((accident and health insurance)) health coverage;

             (b) The efficiency of the administrator's claim-paying procedures;

             (c) An estimate of the total charges for administering the plan; and

             (d) The administrator's ability to administer the pool in a cost-effective manner.

             (2) The administrator shall serve for a period of three years subject to removal for cause. At least six months prior to the expiration of each three-year period of service by the administrator, the board shall invite all interested parties, including the current administrator, to submit bids to serve as the administrator for the succeeding three-year period. Selection of the administrator for this succeeding period shall be made at least three months prior to the end of the current three-year period.

             (3) The administrator shall perform such duties as may be assigned by the board including:

             (a) All eligibility and administrative claim payment functions relating to the pool;

             (b) Establishing a premium billing procedure for collection of premiums from ((insured)) covered persons. Billings shall be made on a periodic basis as determined by the board, which shall not be more frequent than a monthly billing;

             (c) Performing all necessary functions to assure timely payment of benefits to covered persons under the pool including:

             (i) Making available information relating to the proper manner of submitting a claim for benefits to the pool, and distributing forms upon which submission shall be made; ((and))

             (ii) Taking steps necessary to offer and administer managed care benefit plans; and

             (iii) Evaluating the eligibility of each claim for payment by the pool;

             (d) Submission of regular reports to the board regarding the operation of the pool. The frequency, content, and form of the report shall be as determined by the board;

             (e) Following the close of each accounting year, determination of net paid and earned premiums, the expense of administration, and the paid and incurred losses for the year and reporting this information to the board and the commissioner on a form as prescribed by the commissioner.

             (4) The administrator shall be paid as provided in the contract between the board and the administrator for its expenses incurred in the performance of its services."


             Sec. 212. RCW 48.41.110 and 1987 c 431 s 11 are each amended to read as follows:

             HEALTH INSURANCE POOL--BENEFITS MODIFIED. "(1) The pool is authorized to offer one or more managed care plans of coverage. Such plans may, but are not required to, include point of service features that permit participants to receive in-network benefits or out-of-network benefits subject to differential cost shares. Covered persons enrolled in the pool on January 1, 1997, may continue coverage under the pool plan in which they are enrolled on that date. However, the pool may incorporate managed care features into such existing plans.

             (2) The administrator shall prepare a brochure outlining the benefits and exclusions of the pool policy in plain language. After approval by the board of directors, such brochure shall be made reasonably available to participants or potential participants. The health insurance policy issued by the pool shall pay only usual, customary, and reasonable charges for medically necessary eligible health care services rendered or furnished for the diagnosis or treatment of illnesses, injuries, and conditions which are not otherwise limited or excluded. Eligible expenses are the usual, customary, and reasonable charges for the health care services and items for which benefits are extended under the pool policy. Such benefits shall at minimum include, but not be limited to, the following services or related items:

             (a) Hospital services, including charges for the most common semiprivate room, for the most common private room if semiprivate rooms do not exist in the health care facility, or for the private room if medically necessary, but limited to a total of one hundred eighty inpatient days in a calendar year, and limited to thirty days inpatient care for mental and nervous conditions, or alcohol, drug, or chemical dependency or abuse per calendar year;

             (b) Professional services including surgery for the treatment of injuries, illnesses, or conditions, other than dental, which are rendered by a health care provider, or at the direction of a health care provider, by a staff of registered or licensed practical nurses, or other health care providers;

             (c) The first twenty outpatient professional visits for the diagnosis or treatment of one or more mental or nervous conditions or alcohol, drug, or chemical dependency or abuse rendered during a calendar year by one or more physicians, psychologists, or community mental health professionals, or, at the direction of a physician, by other qualified licensed health care practitioners;

             (d) Drugs and contraceptive devices requiring a prescription;

             (e) Services of a skilled nursing facility, excluding custodial and convalescent care, for not more than one hundred days in a calendar year as prescribed by a physician;

             (f) Services of a home health agency;

             (g) Chemotherapy, radioisotope, radiation, and nuclear medicine therapy;

             (h) Oxygen;

             (i) Anesthesia services;

             (j) Prostheses, other than dental;

             (k) Durable medical equipment which has no personal use in the absence of the condition for which prescribed;

             (l) Diagnostic x-rays and laboratory tests;

             (m) Oral surgery limited to the following: Fractures of facial bones; excisions of mandibular joints, lesions of the mouth, lip, or tongue, tumors, or cysts excluding treatment for temporomandibular joints; incision of accessory sinuses, mouth salivary glands or ducts; dislocations of the jaw; plastic reconstruction or repair of traumatic injuries occurring while covered under the pool; and excision of impacted wisdom teeth;

             (n) Maternity care services, as provided in the managed care plan to be designed by the pool board of directors;

             (o) Services of a physical therapist and services of a speech therapist;

             (((o))) (p) Hospice services;

             (((p))) (q) Professional ambulance service to the nearest health care facility qualified to treat the illness or injury; and

             (((q))) (r) Other medical equipment, services, or supplies required by physician's orders and medically necessary and consistent with the diagnosis, treatment, and condition.

             (((2))) (3) The board shall design and employ cost containment measures and requirements such as, but not limited to, care coordination, provider network limitations, preadmission certification, and concurrent inpatient review which may make the pool more cost-effective.

             (((3))) (4) The pool benefit policy may contain benefit limitations, exceptions, and ((reductions)) cost shares such as copayments, coinsurance, and deductibles that are consistent with managed care products, except that differential cost shares may be adopted by the board for nonnetwork providers under point of service plans. The pool benefit policy cost shares and limitations must be consistent with those that are generally included in health ((insurance)) plans ((and are)) approved by the insurance commissioner; however, no limitation, exception, or reduction may be ((approved)) used that would exclude coverage for any disease, illness, or injury.

             (5) The pool may not reject an individual for health plan coverage based upon preexisting conditions of the individual or deny, exclude, or otherwise limit coverage for an individual's preexisting health conditions; except that it may impose a three-month benefit waiting period for preexisting conditions for which medical advice was given, or for which a health care provider recommended or provided treatment, within three months before the effective date of coverage. The pool may not avoid the requirements of this section through the creation of a new rate classification or the modification of an existing rate classification."


             Sec. 213. RCW 48.41.200 and 1987 c 431 s 20 are each amended to read as follows:

             HEALTH INSURANCE POOL--RATE MODIFIED. "The pool shall determine the standard risk rate by calculating the average group standard rate for groups comprised of up to ((ten)) fifty persons charged by the five largest members offering coverages in the state comparable to the pool coverage. In the event five members do not offer comparable coverage, the standard risk rate shall be established using reasonable actuarial techniques and shall reflect anticipated experience and expenses for such coverage. Maximum rates for pool coverage shall be one hundred fifty percent for the indemnity health plan and one hundred twenty-five percent for managed care plans of the rates established as applicable for group standard risks in groups comprised of up to ((ten)) fifty persons((. All rates and rate schedules shall be submitted to the commissioner for approval))."


             Sec. 214. RCW 48.41.130 and 1987 c 431 s 13 are each amended to read as follows:

             HEALTH INSURANCE POOL--SUBSTANTIAL EQUIVALENT CLARIFIED. "All policy forms issued by the pool shall conform in substance to prototype forms developed by the pool, and shall in all other respects conform to the requirements of this chapter, and shall be filed with and approved by the commissioner before they are issued. The pool shall not issue a pool policy to any individual who, on the effective date of the coverage applied for, already has or would have coverage substantially equivalent to a pool policy as an insured or covered dependent, or who would be eligible for such coverage if he or she elected to obtain it at a lesser premium rate. However, coverage provided by the basic health plan, as established pursuant to chapter 70.47 RCW, shall not be deemed substantially equivalent for the purposes of this section."


             NEW SECTION. Sec. 215. A new section is added to chapter 48.44 RCW to read as follows:

             LOSS RATIOS--HEALTH CARE SERVICE CONTRACTORS. "(1) For purposes of RCW 48.44.020(2)(d), benefits in a contract shall be deemed reasonable in relation to the amount charged provided that the anticipated loss ratio is at least:

             (a) Sixty-five percent for individual subscriber contract forms;

             (b) Seventy percent for franchise plan contract forms;

             (c) Eighty percent for group contract forms other than small group contract forms; and

             (d) Seventy-five percent for small group contract forms.

             (2) With the approval of the commissioner, contract, rider, and endorsement forms that provide substantially similar coverage may be combined for the purpose of determining the anticipated loss ratio.

             (3) A health care service contractor may charge the rate for prepayment of health care services in any contract identified in RCW 48.44.020(1) upon filing of the rate with the commissioner. If the commissioner disapproves the rate, the commissioner shall explain in writing the specific reasons for the disapproval. A health care service contractor may continue to charge such rate pending a final order in any hearing held under chapters 48.04 and 34.05 RCW, or if applicable, pending a final order in any appeal. Any amount charged that is determined in a final order on appeal to be unreasonable in relation to the benefits provided is subject to refund.

             (4) For the purposes of this section:

             (a) "Anticipated loss ratio" means the ratio of all anticipated claims or costs for the delivery of covered health care services including incurred but not reported claims and costs and medical management costs to premium minus any applicable taxes.

             (b) "Small group contract form" means a form offered to a small employer as defined in RCW 48.43.005(13)."


             NEW SECTION. Sec. 216. A new section is added to chapter 48.46 RCW to read as follows:

             LOSS RATIOS--HEALTH MAINTENANCE ORGANIZATIONS. "(1) For purposes of RCW 48.46.060(3)(d), benefits shall be deemed reasonable in relation to the amount charged provided that the anticipated loss ratio is at least:

             (a) Sixty-five percent for individual subscriber contract forms;

             (b) Seventy percent for franchise plan contract forms;

             (c) Eighty percent for group contract forms other than small group contract forms; and

             (d) Seventy-five percent for small group contract forms.

             (2) With the approval of the commissioner, contract, rider, and endorsement forms that provide substantially similar coverage may be combined for the purpose of determining the anticipated loss ratio.

             (3) A health maintenance organization may charge the rate for prepayment of health care services in any contract identified in RCW 48.46.060(1) upon filing of the rate with the commissioner. If the commissioner disapproves the rate, the commissioner shall explain in writing the specific reasons for the disapproval. A health maintenance organization may continue to charge such rate pending a final order in any hearing held under chapters 48.04 and 34.05 RCW, or if applicable, pending a final order in any appeal. Any amount charged that is determined in a final order on appeal to be unreasonable in relation to the benefits provided is subject to refund.

             (4) For the purposes of this section:

             (a) "Anticipated loss ratio" means the ratio of all anticipated claims or costs for the delivery of covered health care services including incurred but not reported claims and costs and medical management costs to premium minus any applicable taxes.

             (b) "Small group contract form" means a form offered to a small employer as defined in RCW 48.43.005(13)."


             NEW SECTION. Sec. 217. A new section is added to chapter 48.21 RCW to read as follows:

             LOSS RATIOS--GROUPS' DISABILITY COVERAGE. "The following standards and requirements apply to group and blanket disability insurance policy forms and manual rates:

             (1) Specified disease group insurance shall generate at least a seventy-five percent loss ratio regardless of the size of the group.

             (2) Group disability insurance, other than specified disease insurance, as to which the insured pay all or substantially all of the premium shall generate loss ratios no lower than those set forth in the following table.

 

Number of Certificate Holders                                         Minimum Overall

at Issue, Renewal, or Rerating                                                Loss Ratio

 

                          9 or less                                                             60%

                          10 to 24                                                             65%

                          25 to 49                                                             70%

                          50 to 99                                                             75%

                          100 or more                                                       80%

 

             (3) Group disability policy forms, other than for specified disease insurance, for issue to single employers insuring less than one hundred lives shall generate loss ratios no lower than those set forth in subsection (2) of this section for groups of the same size.

             (4) The calculating period may vary with the benefit and premium provisions. The company may be required to demonstrate the reasonableness of the calculating period chosen by the actuary responsible for the premium calculations.

             (5) A request for a rate increase submitted at the end of the calculating period shall include a comparison of the actual to the expected loss ratios and shall employ any accumulation of reserves in the determination of rates for the selected calculating period and account for the maintenance of such reserves for future needs. The request for the rate increase shall be further documented by the expected loss ratio for the new calculating period.

             (6) A request for a rate increase submitted during the calculating period shall include a comparison of the actual to the expected loss ratios, a demonstration of any contributions to or support from the reserves, and shall account for the maintenance of such reserves for future needs. If the experience justifies a premium increase it shall be deemed that the calculating period has prematurely been brought to an end. The rate increase shall further be documented by the expected loss ratio for the next calculating period.

             (7) The commissioner may approve a series of two or three smaller rate increases in lieu of one larger increase. These should be calculated to reduce the lapses and antiselection that often result from large rate increases. A demonstration of such calculations, whether for a single rate increase or a series of smaller rate increases, satisfactory to the commissioner, shall be attached to the filing.

             (8) Companies shall review their experience periodically and file appropriate rate revisions in a timely manner to reduce the necessity of later filing of exceptionally large rate increases.

             (9) The definitions in section 220 of this act and the provisions in section 219 of this act apply to this section."


             NEW SECTION. Sec. 218. A new section is added to chapter 48.20 RCW to read as follows:

             LOSS RATIOS--INDIVIDUAL DISABILITY COVERAGE. "The following standards and requirements apply to individual disability insurance forms:

             (1) The overall loss ratio shall be deemed reasonable in relation to the premiums if the overall loss ratio is at least sixty percent over a calculating period chosen by the insurer and satisfactory to the commissioner.

             (2) The calculating period may vary with the benefit and renewal provisions. The company may be required to demonstrate the reasonableness of the calculating period chosen by the actuary responsible for the premium calculations. A brief explanation of the selected calculating period shall accompany the filing.

             (3) Policy forms, the benefits of which are particularly exposed to the effects of inflation and whose premium income may be particularly vulnerable to an eroding persistency and other similar forces, shall use a relatively short calculating period reflecting the uncertainties of estimating the risks involved. Policy forms based on more dependable statistics may employ a longer calculating period. The calculating period may be the lifetime of the contract for guaranteed renewable and noncancellable policy forms if such forms provide benefits that are supported by reliable statistics and that are protected from inflationary or eroding forces by such factors as fixed dollar coverages, inside benefit limits, or the inherent nature of the benefits. The calculating period may be as short as one year for coverages that are based on statistics of minimal reliability or that are highly exposed to inflation.

             (4) A request for a rate increase to be effective at the end of the calculating period shall include a comparison of the actual to the expected loss ratios, shall employ any accumulation of reserves in the determination of rates for the new calculating period, and shall account for the maintenance of such reserves for future needs. The request for the rate increase shall be further documented by the expected loss ratio for the new calculating period.

             (5) A request for a rate increase submitted during the calculating period shall include a comparison of the actual to the expected loss ratios, a demonstration of any contributions to and support from the reserves, and shall account for the maintenance of such reserves for future needs. If the experience justifies a premium increase it shall be deemed that the calculating period has prematurely been brought to an end. The rate increase shall further be documented by the expected loss ratio for the next calculating period.

             (6) The commissioner may approve a series of two or three smaller rate increases in lieu of one large increase. These should be calculated to reduce lapses and anti-selection that often result from large rate increases. A demonstration of such calculations, whether for a single rate increase or for a series of smaller rate increases, satisfactory to the commissioner, shall be attached to the filing.

             (7) Companies shall review their experience periodically and file appropriate rate revisions in a timely manner to reduce the necessity of later filing of exceptionally large rate increases."


             NEW SECTION. Sec. 219. A new section is added to chapter 48.20 RCW to read as follows:

             LOSS RATIOS--DISABILITY COVERAGE EXEMPTIONS. "Sections 217 and 218 of this act apply to all insurers and to every disability insurance policy form filed for approval in this state after the effective date of this section, except:

             (1) Additional indemnity and premium waiver forms for use only in conjunction with life insurance policies;

             (2) Medicare supplement policy forms that are regulated by chapter 48.66 RCW;

             (3) Credit insurance policy forms issued pursuant to chapter 48.34 RCW;

             (4) Group policy forms other than:

             (a) Specified disease policy forms;

             (b) Policy forms, other than loss of income forms, as to which all or substantially all of the premium is paid by the individuals insured thereunder;

             (c) Policy forms, other than loss of income forms, for issue to single employers insuring less than one hundred employees;

             (5) Policy forms filed by health care service contractors or health maintenance organizations;

             (6) Policy forms initially approved, including subsequent requests for rate increases and modifications of rate manuals."


             NEW SECTION. Sec. 220. A new section is added to chapter 48.20 RCW to read as follows:

             LOSS RATIOS--DISABILITY COVERAGE DEFINITIONS. "(1) The "expected loss ratio" is a prospective calculation and shall be calculated as the projected "benefits incurred" divided by the projected "premiums earned" and shall be based on the actuary's best projections of the future experience within the "calculating period."

             (2) The "actual loss ratio" is a retrospective calculation and shall be calculated as the "benefits incurred" divided by the "premiums earned," both measured from the beginning of the "calculating period" to the date of the loss ratio calculations.

             (3) The "overall loss ratio" shall be calculated as the "benefits incurred" divided by the "premiums earned" over the entire "calculating period" and may involve both retrospective and prospective data.

             (4) The "calculating period" is the time span over which the actuary expects the premium rates, whether level or increasing, to remain adequate in accordance with his or her best estimate of future experience and during which the actuary does not expect to request a rate increase.

             (5) The "benefits incurred" is the "claims incurred" plus any increase, or less any decrease, in the "reserves."

             (6) The "claims incurred" means:

             (a) Claims paid during the accounting period; plus

             (b) The change in the liability for claims that have been reported but not paid; plus

             (c) The change in the liability for claims that have not been reported but which may reasonably be expected.

             The "claims incurred" does not include expenses incurred in processing the claims, home office or field overhead, acquisition and selling costs, taxes or other expenses, contributions to surplus, or profit.

             (7) The "reserves," as referred to in sections 217 and 218 of this act include:

             (a) Active life disability reserves;

             (b) Additional reserves whether for a specific liability purpose or not;

             (c) Contingency reserves;

             (d) Reserves for select morbidity experience; and

             (e) Increased reserves that may be required by the commissioner.

             (8) The "premiums earned" means the premiums, less experience credits, refunds, or dividends, applicable to an accounting period whether received before, during, or after such period.

             (9) Renewal provisions are defined as follows:

             (a) "Guaranteed renewable" means renewal cannot be declined by the insurance company for any reason, but the insurance company can revise rates on a class basis.

             (b) "Noncancellable" means renewal cannot be declined nor can rates be revised by the insurance company."                               PART III--BENEFITS AND SERVICE DELIVERY"


             NEW SECTION. Sec. 301. A new section is added to chapter 48.43 RCW to read as follows:

             EMERGENCY MEDICAL SERVICES. "(1) When conducting a review of the necessity and appropriateness of emergency services or making a benefit determination for emergency services:

             (a) A health carrier shall cover emergency services necessary to screen and stabilize a covered person if a prudent layperson acting reasonably would have believed that an emergency medical condition existed. In addition, a health carrier shall not require prior authorization of such services provided prior to the point of stabilization if a prudent layperson acting reasonably would have believed that an emergency medical condition existed. With respect to care obtained from a nonparticipating hospital emergency department, a health carrier shall cover emergency services necessary to screen and stabilize a covered person if a prudent layperson would have reasonably believed that use of a participating hospital emergency department would result in a delay that would worsen the emergency, or if a provision of federal, state, or local law requires the use of a specific provider or facility. In addition, a health carrier shall not require prior authorization of such services provided prior to the point of stabilization if a prudent layperson acting reasonably would have believed that an emergency medical condition existed and that use of a participating hospital emergency department would result in a delay that would worsen the emergency.

             (b) If an authorized representative of a health carrier authorizes coverage of emergency services, the health carrier shall not subsequently retract its authorization after the emergency services have been provided, or reduce payment for an item or service furnished in reliance on approval, unless the approval was based on a material misrepresentation about the covered person's health condition made by the provider of emergency services.

             (c) Coverage of emergency services may be subject to applicable copayments, coinsurance, and deductibles, and a health carrier may impose reasonable differential cost-sharing arrangements for emergency services rendered by nonparticipating providers, if such differential between cost-sharing amounts applied to emergency services rendered by participating provider versus nonparticipating provider does not exceed fifty dollars. Differential cost sharing for emergency services may not be applied when a covered person presents to a nonparticipating hospital emergency department rather than a participating hospital emergency department when the health carrier requires preauthorization for postevaluation or poststabilization emergency services if:

             (i) Due to circumstances beyond the covered person's control, the covered person was unable to go to a participating hospital emergency department in a timely fashion without serious impairment to the covered person's health; or

             (ii) A prudent layperson possessing an average knowledge of health and medicine would have reasonably believed that he or she would be unable to go to a participating hospital emergency department in a timely fashion without serious impairment to the covered person's health.

             (d) If a health carrier requires preauthorization for postevaluation or poststabilization services, the health carrier shall provide access to an authorized representative twenty-four hours a day, seven days a week, to facilitate review. In order for postevaluation or poststabilization services to be covered by the health carrier, the provider or facility must make a documented good faith effort to contact the covered person's health carrier within thirty minutes of stabilization, if the covered person needs to be stabilized. The health carrier's authorized representative is required to respond to a telephone request for preauthorization from a provider or facility within thirty minutes. Failure of the health carrier to respond within thirty minutes constitutes authorization for the provision of immediately required medically necessary postevaluation and poststabilization services, unless the health carrier documents that it made a good faith effort but was unable to reach the provider or facility within thirty minutes after receiving the request.

             (e) A health carrier shall immediately arrange for an alternative plan of treatment for the covered person if a nonparticipating emergency provider and health plan cannot reach an agreement on which services are necessary beyond those immediately necessary to stabilize the covered person consistent with state and federal laws.

             (2) Nothing in this section is to be construed as prohibiting the health carrier from requiring notification within the time frame specified in the contract for inpatient admission or as soon thereafter as medically possible but no less than twenty-four hours. Nothing in this section is to be construed as preventing the health carrier from reserving the right to require transfer of a hospitalized covered person upon stabilization. Follow-up care that is a direct result of the emergency must be obtained in accordance with the health plan's usual terms and conditions of coverage. All other terms and conditions of coverage may be applied to emergency services."


PART IV--MISCELLANEOUS"


             NEW SECTION. Sec. 401. COMMON TITLE. "This act shall be known as the consumer assistance and insurance market stabilization act."


             NEW SECTION. Sec. 402. Part headings and section captions used in this act are not part of the law.


             NEW SECTION. Sec. 403. SEVERABILITY CLAUSE. "If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected."


             NEW SECTION. Sec. 404. EFFECTIVE DATES. "(1) Sections 105 through 109 and 301 of this act take effect January 1, 1998.

             (2) Section 112 of this act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect July 1, 1997."


             Correct the title accordingly.


             Representative Wood moved the adoption of the following amendment (302) to the amendment by Representative Dyer: (313)


             Beginning on page 3, line 18, strike all of sections 103-111 and insert

             "NEW SECTION. Sec. 103. A new section is added to chapter 48.43 RCW to read as follows:

             The office of the insurance commissioner shall consider review organization accreditation standards of the utilization review accreditation commission, the national committee for quality assurance, and other national accreditation organizations for appropriateness when adopting rules establishing requirements for review organizations.

             NEW SECTION. Sec. 104. A new section is added to chapter 48.43 RCW to read as follows:

             The office of the insurance commissioner shall consider grievance procedure accreditation standards of the national committee for quality assurance or other national accreditation organizations for appropriateness when adopting rules regarding grievance procedures for all health carriers.

             NEW SECTION. Sec. 105. NETWORK ADEQUACY--STUDY AND RESTRICTION. The office of the insurance commissioner, in consultation with the department of health, the department of social and health services, the health care authority, consumers, providers, and health carriers, shall review the need for network adequacy requirements and, if deemed necessary, shall adopt network adequacy rules for all health carriers."


             Renumber the remaining sections consecutively.


             On page 12, line 28, after "chapter" strike "41.05" and insert "48.43"


             On page 13, beginning on line 16, strike all of subsection (3) and insert

             "(3) The office of the insurance commissioner shall adopt rules to implement the requirements of this section."


             Representatives Wood and Cody spoke in favor of the adoption of the amendment to the amendment.


             Representative Dyer spoke against the adoption of the amendment. The amendment to the amendment was not adopted.


             With the consent of the House, amendment number 311 to amendment 313 to Substitute House Bill No. 2018 was withdrawn.


             Representative Cody moved the adoption of the following amendment (315) to the amendment by Representative Dyer: (313)


             On page 14, beginning on line 15 of the amendment, after "(1)" strike all material through "activities" on line 18 and insert ""((Adjusted)) Community rate" means the rating method used to establish the premium for health plans adjusted to reflect actuarially demonstrated differences in utilization or cost attributable to geographic region((, age,)) and family size((, and use of wellness activities))"


             Beginning on page 27, after line 18 of the amendment, strike all of sections 206 through 208 and insert the following:


             "Sec. 206. RCW 48.20.028 and 1995 c 265 s 13 are each amended to read as follows:

             (1)(a) An insurer offering any health benefit plan to any individual shall offer and actively market to all individuals a health benefit plan providing benefits identical to the schedule of covered health services that are required to be delivered to an individual enrolled in the basic health plan. Nothing in this subsection shall preclude an insurer from offering, or an individual from purchasing, other health benefit plans that may have more or less comprehensive benefits than the basic health plan, provided such plans are in accordance with this chapter. An insurer offering a health benefit plan that does not include benefits provided in the basic health plan shall clearly disclose these differences to the individual in a brochure approved by the commissioner.

             (b) A health benefit plan shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.20.390, 48.20.393, 48.20.395, 48.20.397, 48.20.410, 48.20.411, 48.20.412, 48.20.416, and 48.20.420 if the health benefit plan is the mandatory offering under (a) of this subsection that provides benefits identical to the basic health plan, to the extent these requirements differ from the basic health plan.

             (2) Premiums for health benefit plans for individuals shall be calculated using the ((adjusted)) community rating method that spreads financial risk across the carrier's entire individual product population. All such rates shall conform to the following:

             (a) The insurer shall develop its rates based on ((an adjusted)) a community rate and may only vary the ((adjusted)) community rate for:

             (i) Geographic area; and

             (ii) Family size((;

             (iii) Age; and

             (iv) Wellness activities)).

             (b) ((The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments which shall begin with age twenty and end with age sixty-five. Individuals under the age of twenty shall be treated as those age twenty.

             (c) The insurer shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection.

             (d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

             (e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs not to exceed twenty percent.

             (f))) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

             (i) Changes to the family composition;

             (ii) Changes to the health benefit plan requested by the individual; or

             (iii) Changes in government requirements affecting the health benefit plan.

             (((g))) (c) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. This subsection does not restrict or enhance the portability of benefits as provided in RCW 48.43.015.

             (3) ((Adjusted)) Community rates established under this section shall pool the medical experience of all individuals purchasing coverage((, and shall not be required to be pooled with the medical experience of health benefit plans offered to small employers under RCW 48.21.045)).

             (4) As used in this section, "health benefit plan," "basic health plan," and "((adjusted)) community rate((," and "wellness activities))" mean the same as defined in RCW 48.43.005.


             Sec. 207. RCW 48.44.022 and 1995 c 265 s 15 are each amended to read as follows:

             (1)(a) A health care service contractor offering any health benefit plan to any individual shall offer and actively market to all individuals a health benefit plan providing benefits identical to the schedule of covered health services that are required to be delivered to an individual enrolled in the basic health plan. Nothing in this subsection shall preclude a contractor from offering, or an individual from purchasing, other health benefit plans that may have more or less comprehensive benefits than the basic health plan, provided such plans are in accordance with this chapter. A contractor offering a health benefit plan that does not include benefits provided in the basic health plan shall clearly disclose these differences to the individual in a brochure approved by the commissioner.

             (b) A health benefit plan shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.44.225, 48.44.240, 48.44.245, 48.44.290, 48.44.300, 48.44.310, 48.44.320, 48.44.325, 48.44.330, 48.44.335, 48.44.340, 48.44.344, 48.44.360, 48.44.400, 48.44.440, 48.44.450, and 48.44.460 if the health benefit plan is the mandatory offering under (a) of this subsection that provides benefits identical to the basic health plan, to the extent these requirements differ from the basic health plan.

             (2) Premium rates for health benefit plans for individuals shall be subject to the following provisions:

             (a) The health care service contractor shall develop its rates based on ((an adjusted)) a community rate and may only vary the ((adjusted)) community rate for:

             (i) Geographic area; and

             (ii) Family size((;

             (iii) Age; and

             (iv) Wellness activities)).

             (b) ((The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments which shall begin with age twenty and end with age sixty-five. Individuals under the age of twenty shall be treated as those age twenty.

             (c) The health care service contractor shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection.

             (d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

             (e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs not to exceed twenty percent.

             (f))) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

             (i) Changes to the family composition;

             (ii) Changes to the health benefit plan requested by the individual; or

             (iii) Changes in government requirements affecting the health benefit plan.

             (((g))) (c) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. This subsection does not restrict or enhance the portability of benefits as provided in RCW 48.43.015.

             (3) ((Adjusted)) Community rates established under this section shall pool the medical experience of all individuals purchasing coverage((, and shall not be required to be pooled with the medical experience of health benefit plans offered to small employers under RCW 48.44.023)).

             (4) As used in this section and RCW 48.44.023 "health benefit plan," "small employer," "basic health plan," and "((adjusted)) community rates((," and "wellness activities))" mean the same as defined in RCW 48.43.005.


             Sec. 208. RCW 48.46.064 and 1995 c 265 s 17 are each amended to read as follows:

             (1)(a) A health maintenance organization offering any health benefit plan to any individual shall offer and actively market to all individuals a health benefit plan providing benefits identical to the schedule of covered health services that are required to be delivered to an individual enrolled in the basic health plan. Nothing in this subsection shall preclude a health maintenance organization from offering, or an individual from purchasing, other health benefit plans that may have more or less comprehensive benefits than the basic health plan, provided such plans are in accordance with this chapter. A health maintenance organization offering a health benefit plan that does not include benefits provided in the basic health plan shall clearly disclose these differences to the individual in a brochure approved by the commissioner.

             (b) A health benefit plan shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.46.275, ((48.26.280 [48.46.280])) 48.46.280, 48.46.285, 48.46.290, 48.46.350, 48.46.355, 48.46.375, 48.46.440, 48.46.480, 48.46.510, 48.46.520, and 48.46.530 if the health benefit plan is the mandatory offering under (a) of this subsection that provides benefits identical to the basic health plan, to the extent these requirements differ from the basic health plan.

             (2) Premium rates for health benefit plans for individuals shall be subject to the following provisions:

             (a) The health maintenance organization shall develop its rates based on ((an adjusted)) a community rate and may only vary the ((adjusted)) community rate for:

             (i) Geographic area; and

             (ii) Family size((;

             (iii) Age; and

             (iv) Wellness activities)).

             (b) ((The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments which shall begin with age twenty and end with age sixty-five. Individuals under the age of twenty shall be treated as those age twenty.

             (c) The health maintenance organization shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection.

             (d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

             (e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs not to exceed twenty percent.

             (f))) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

             (i) Changes to the family composition;

             (ii) Changes to the health benefit plan requested by the individual; or

             (iii) Changes in government requirements affecting the health benefit plan.

             (((g))) (c) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. This subsection does not restrict or enhance the portability of benefits as provided in RCW 48.43.015.

             (3) ((Adjusted)) Community rates established under this section shall pool the medical experience of all individuals purchasing coverage((, and shall not be required to be pooled with the medical experience of health benefit plans offered to small employers under RCW 48.46.066)).

             (4) As used in this section and RCW 48.46.066, "health benefit plan," "basic health plan," "((adjusted)) community rate," and "small employer((," and "wellness activities))" mean the same as defined in RCW 48.43.005."


             Representatives Cody and Conway spoke in favor of the adoption of the amendment to the amendment.


             Representatives Dyer and Backlund spoke against the adoption of the amendment to the amendment. The amendment to the amendment was not adopted.


             Representative Cody moved the adoption of the following amendment (306) to the amendment by Representative Dyer: (313)


             On page 20, beginning on line 3, strike all of section 204


             Renumber the remaining sections consecutively and correct the title.


             Representative Cody spoke in favor of the adoption of the amendment to the amendment.


             Representatives Dyer spoke against the adoption of the amendment to the amendment. The amendment was not adopted.


             With the consent of the House, amendment number 310 to the amendment 313 to Substitute House Bill No. 2018 was withdrawn.


             Representative Anderson moved the adoption of the following amendment (345) to the amendment by Representative Dyer: (313)


             On page 22, after line 28 of the amendment, insert the following:


             "NEW SECTION. Sec. 205. A new section is added to chapter 48.43 RCW to read as follows:

             POINT-OF-SERVICE PLAN OPTION. As of January 1, 1998, every health carrier that offers a managed care plan, as defined in rule by the commissioner, to an individual, employer, or other group shall offer a point-of-service plan option, whereby a covered person may elect to receive plan health care services from a provider or facility not contracting with the carrier under the covered person's plan. The carrier may charge the covered person an additional cost for receiving such services in a manner determined in rule by the commissioner.


             Sec. 206. RCW 48.46.020 and 1990 c 119 s 1 are each amended to read as follows:

             As used in this chapter, the terms defined in this section shall have the meanings indicated unless the context indicates otherwise.

             (1) "Health maintenance organization" means any organization receiving a certificate of registration by the commissioner under this chapter which provides comprehensive health care services, including a point-of-service plan option, pursuant to section 205 of this act, to enrolled participants of such organization on a group practice per capita prepayment basis or on a prepaid individual practice plan, except for an enrolled participant's responsibility for copayments and/or deductibles, either directly or through contractual or other arrangements with other institutions, entities, or persons, and which qualifies as a health maintenance organization pursuant to RCW 48.46.030 and 48.46.040.

             (2) "Comprehensive health care services" means basic consultative, diagnostic, and therapeutic services rendered by licensed health professionals together with emergency and preventive care, inpatient hospital, outpatient and physician care, at a minimum, and any additional health care services offered by the health maintenance organization.

             (3) "Enrolled participant" means a person who or group of persons which has entered into a contractual arrangement or on whose behalf a contractual arrangement has been entered into with a health maintenance organization to receive health care services.

             (4) "Health professionals" means health care practitioners who are regulated by the state of Washington.

             (5) "Health maintenance agreement" means an agreement for services between a health maintenance organization which is registered pursuant to the provisions of this chapter and enrolled participants of such organization which provides enrolled participants with comprehensive health services rendered to enrolled participants by health professionals, groups, facilities, and other personnel associated with the health maintenance organization.

             (6) "Consumer" means any member, subscriber, enrollee, beneficiary, or other person entitled to health care services under terms of a health maintenance agreement, but not including health professionals, employees of health maintenance organizations, partners, or shareholders of stock corporations licensed as health maintenance organizations.

             (7) "Meaningful role in policy making" means a procedure approved by the commissioner which provides consumers or elected representatives of consumers a means of submitting the views and recommendations of such consumers to the governing board of such organization coupled with reasonable assurance that the board will give regard to such views and recommendations.

             (8) "Meaningful grievance procedure" means a procedure for investigation of consumer grievances in a timely manner aimed at mutual agreement for settlement according to procedures approved by the commissioner, and which may include arbitration procedures.

             (9) "Provider" means any health professional, hospital, or other institution, organization, or person that furnishes any health care services and is licensed or otherwise authorized to furnish such services.

             (10) "Department" means the state department of social and health services.

             (11) "Commissioner" means the insurance commissioner.

             (12) "Group practice" means a partnership, association, corporation, or other group of health professionals:

             (a) The members of which may be individual health professionals, clinics, or both individuals and clinics who engage in the coordinated practice of their profession; and

             (b) The members of which are compensated by a prearranged salary, or by capitation payment or drawing account that is based on the number of enrolled participants.

             (13) "Individual practice health care plan" means an association of health professionals in private practice who associate for the purpose of providing prepaid comprehensive health care services on a fee-for-service or capitation basis.

             (14) "Uncovered expenditures" means the costs to the health maintenance organization of health care services that are the obligation of the health maintenance organization for which an enrolled participant would also be liable in the event of the health maintenance organization's insolvency and for which no alternative arrangements have been made as provided herein. The term does not include expenditures for covered services when a provider has agreed not to bill the enrolled participant even though the provider is not paid by the health maintenance organization, or for services that are guaranteed, insured, or assumed by a person or organization other than the health maintenance organization.

             (15) "Copayment" means an amount specified in a subscriber agreement which is an obligation of an enrolled participant for a specific service which is not fully prepaid.

             (16) "Deductible" means the amount an enrolled participant is responsible to pay out-of-pocket before the health maintenance organization begins to pay the costs associated with treatment.

             (17) "Fully subordinated debt" means those debts that meet the requirements of RCW 48.46.235(3) and are recorded as equity.

             (18) "Net worth" means the excess of total admitted assets as defined in RCW 48.12.010 over total liabilities but the liabilities shall not include fully subordinated debt.

             (19) "Participating provider" means a provider as defined in subsection (9) of this section who contracts with the health maintenance organization or with its contractor or subcontractor and has agreed to provide health care services to enrolled participants with an expectation of receiving payment, other than copayment or deductible, directly or indirectly, from the health maintenance organization.

             (20) "Carrier" means a health maintenance organization, an insurer, a health care services contractor, or other entity responsible for the payment of benefits or provision of services under a group or individual agreement.

             (21) "Replacement coverage" means the benefits provided by a succeeding carrier.

             (22) "Insolvent" or "insolvency" means that the organization has been declared insolvent and is placed under an order of liquidation by a court of competent jurisdiction.

             (23) "Point-of-service plan option" means an option whereby a covered person may elect to receive plan health care services from a health care provider or health care facility not contracting with the carrier under the covered person's plan in a manner determined by the commissioner.


             Sec. 207. RCW 48.46.030 and 1990 c 119 s 2 are each amended to read as follows:

             Any corporation, cooperative group, partnership, individual, association, or groups of health professionals licensed by the state of Washington, public hospital district, or public institutions of higher education shall be entitled to a certificate of registration from the insurance commissioner as a health maintenance organization if it:

             (1) Provides comprehensive health care services, including a point-of-service plan option, pursuant to section 205 of this act, to enrolled participants on a group practice per capita prepayment basis or on a prepaid individual practice plan and provides such health services either directly or through arrangements with institutions, entities, and persons which its enrolled population might reasonably require as determined by the health maintenance organization in order to be maintained in good health; and

             (2) Is governed by a board elected by enrolled participants, or otherwise provides its enrolled participants with a meaningful role in policy making procedures of such organization, as defined in RCW 48.46.020(7), and 48.46.070; and

             (3) Affords enrolled participants with a meaningful grievance procedure aimed at settlement of disputes between such persons and such health maintenance organization, as defined in RCW 48.46.020(8) and 48.46.100; and

             (4) Provides enrolled participants, or makes available for inspection at least annually, financial statements pertaining to health maintenance agreements, disclosing income and expenses, assets and liabilities, and the bases for proposed rate adjustments for health maintenance agreements relating to its activity as a health maintenance organization; and

             (5) Demonstrates to the satisfaction of the commissioner that its facilities and personnel are reasonably adequate to provide comprehensive health care services to enrolled participants and that it is financially capable of providing such members with, or has made adequate contractual arrangements through insurance or otherwise to provide such members with, such health services; and

             (6) Substantially complies with administrative rules and regulations of the commissioner for purposes of this chapter; and

             (7) Submits an application for a certificate of registration which shall be verified by an officer or authorized representative of the applicant, being in form as the commissioner prescribes, and setting forth:

             (a) A copy of the basic organizational document, if any, of the applicant, such as the articles of incorporation, articles of association, partnership agreement, trust agreement, or other applicable documents, and all amendments thereto;

             (b) A copy of the bylaws, rules and regulations, or similar documents, if any, which regulate the conduct of the internal affairs of the applicant, and all amendments thereto;

             (c) A list of the names, addresses, members of the board of directors, board of trustees, executive committee, or other governing board or committee and the principal officers, partners, or members;

             (d) A full and complete disclosure of any financial interests held by any officer, or director in any provider associated with the applicant or any provider of the applicant;

             (e) A description of the health maintenance organization, its facilities and its personnel, and the applicant's most recent financial statement showing such organization's assets, liabilities, income, and other sources of financial support;

             (f) A description of the geographic areas and the population groups to be served and the size and composition of the anticipated enrollee population;

             (g) A copy of each type of health maintenance agreement to be issued to enrolled participants;

             (h) A schedule of all proposed rates of reimbursement to contracting health care facilities or providers, if any, and a schedule of the proposed charges for enrollee coverage for health care services, accompanied by data relevant to the formulation of such schedules;

             (i) A description of the proposed method and schedule for soliciting enrollment in the applicant health maintenance organization and the basis of compensation for such solicitation services;

             (j) A copy of the solicitation document to be distributed to all prospective enrolled participants in connection with any solicitation;

             (k) A financial projection which sets forth the anticipated results during the initial two years of operation of such organization, accompanied by a summary of the assumptions and relevant data upon which the projection is based. The projection should include the projected expenses, enrollment trends, income, enrollee utilization patterns, and sources of working capital;

             (l) A detailed description of the enrollee complaint system as provided by RCW 48.46.100;

             (m) A detailed description of the procedures and programs to be implemented to assure that the health care services delivered to enrolled participants will be of professional quality;

             (n) A detailed description of procedures to be implemented to meet the requirements to protect against insolvency in RCW 48.46.245;

             (o) Documentation that the health maintenance organization has an initial net worth of one million dollars and shall thereafter maintain the minimum net worth required under RCW 48.46.235; and

             (p) Such other information as the commissioner shall require by rule or regulation which is reasonably necessary to carry out the provisions of this section.

             A health maintenance organization shall, unless otherwise provided for in this chapter, file a notice describing any modification of any of the information required by subsection (7) of this section. Such notice shall be filed with the commissioner."


             Renumber the remaining sections consecutively and correct internal references accordingly.


             Representatives Anderson and Cody spoke in favor of the adoption of the amendment to the amendment.


             Representatives Dyer spoke against the adoption of the amendment to the amendment.


             Representative Hatfield demanded an electronic roll call vote and the demand was sustained.


ROLL CALL


             The Clerk called the roll on the adoption of the amendment (345) to the amendment (313) on page 27, line 18, to Substitute House Bill No. 2018 and the amendment was not adopted by the following vote: Yeas - 42, Nays - 56, Absent - 0, Excused - 0.

             Voting yea: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Gombosky, Grant, Hatfield, Kastama, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Morris, Murray, O'Brien, Ogden, Poulsen, Quall, Regala, Romero, Sheldon, Sommers, D., Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 42.

             Voting nay: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dunn, Dyer, Hankins, Hickel, Honeyford, Huff, Johnson, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Parlette, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sherstad, Skinner, Smith, Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 56.


             Representative Cody moved the adoption of the following amendment (304) to the amendment by Representative Dyer: (313)


             On page 27, after line 18 of the amendment, insert the following:

             "(16) To ensure that all persons who are eligible for the medical assistance program, pursuant to chapter 74.09 RCW, are fully enrolled in that program prior to plan application."


             Representative Cody spoke in favor of the adoption of the amendment to the amendment.


             Representative Dyer spoke against the adoption of the amendment to the amendment. The amendment was not adopted.


             Representative Cody moved the adoption of the following amendment (305) to the amendment by Representative Dyer: (313)


             On page 27, after line 18 of the amendment, insert the following:

             "(16)(a) To develop and implement a three-year pilot program to provide group health insurance coverage that is attractive and affordable for employers seeking to offer health insurance benefits for employees and their dependents, and that addresses the employers' administrative needs. The goal of the pilot program is to encourage employers in Washington state to provide employee health benefits, with particular focus on small businesses and employers that are uninsured. By October 1, 1998, the health care authority shall make available group insurance coverage for purchase by employers, with ten or fewer employees, who apply and are selected to participate in the pilot program. Coverage provided under the pilot program shall replace group coverage currently offered for employers, including home care agencies, through the basic health plan. The health care authority may contract with managed health care systems or other health insurance carriers to provide group coverage under this program. The health care authority may establish enrollment limits for the employer group pilot program, based on available funding, and may adopt rules to implement the pilot program consistent with this subsection. Participation of employers and home care agencies in the pilot program is subject to reasonable guidelines and eligibility rules established by the health care authority.

             (b) To establish a technical advisory committee to advise the health care authority on the development of the employer group pilot program under this subsection, including administrative policies and procedures, eligibility criteria, structure of premium subsidies, and benefit design. The technical advisory committee shall include, but is not limited to, representatives of small businesses both those that have not participated in basic health plan coverage as well as those that have; home care agencies; employees; licensed insurance agents and brokers with expertise in employee health benefit programs; and managed health care plans. The technical advisory committee shall review current barriers to providing employer group coverage through the basic health plan, including issues regarding the administration of state premium funding for low-income group enrollees. The committee shall study alternative strategies for encouraging employers to offer employee health insurance coverage, including but not limited to: Incentives such as reduced premiums and tax credits for employers providing coverage; alternative eligibility criteria and benefit designs for the employer group product; strategies and requirements for marketing to employer groups; and policies on commissions for licensed agents and brokers for sale of the employer group coverage. The committee shall consider ways to prevent undue competition with private insurance carriers; prevent impacts on access to health care coverage; and ensure compliance with applicable state and federal laws and regulations. The health care authority may contract with consultants with expertise in group products to assist the technical advisory committee in developing and evaluating alternatives.

             (c) To submit to the legislature by December 1, 1997, a report that summarizes the work of the technical advisory committee and provides a plan for implementing the employer group pilot program. The report must include recommended statutory changes, if any, and must outline the proposed design of the employer group coverage and other administrative policies for implementation of the pilot program.

             (d) To monitor and evaluate the effectiveness of the employer group pilot program established under this subsection. By December 1, 2000, the health care authority shall submit a report to the legislature on the preliminary results of the pilot program. The report must include recommendations on whether to continue the program beyond the three-year pilot period."


             Representatives Cody and Conway spoke in favor of the adoption of the amendment to the amendment.


             Representatives Dyer and Cooke spoke against the adoption of the amendment to the amendment.


             Representative Hatfield demanded an electronic roll call vote and the demand was sustained.


ROLL CALL


             The Clerk called the roll on the adoption of the amendment (305) to the amendment (313) on page 27, after line 18, to Substitute House Bill No. 2018 and the amendment was not adopted by the following vote: Yeas - 40, Nays - 58, Absent - 0, Excused - 0.

             Voting yea: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Gombosky, Grant, Hatfield, Kastama, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Morris, Murray, O'Brien, Ogden, Poulsen, Quall, Regala, Romero, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 40.

             Voting nay: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dunn, Dyer, Hankins, Hickel, Honeyford, Huff, Johnson, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Parlette, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 58.


             Representative Murray moved the adoption of the following amendment (300) to the amendment by Representative Dyer: (313)


             On page 38, after line 5 of the amendment, insert the following:

             "Sec. 212. RCW 48.41.100 and 1995 c 34 s 5 are each amended to read as follows:

             (1) Any individual person who is a resident of this state is eligible for coverage upon providing evidence of rejection for medical reasons, a requirement of restrictive riders, an up-rated premium, or a preexisting conditions limitation on health insurance, the effect of which is to substantially reduce coverage from that received by a person considered a standard risk, by at least one member within six months of the date of application. Evidence of rejection may be waived in accordance with rules adopted by the board.

             (2) The following persons are not eligible for coverage by the pool:

             (a) Any person having terminated coverage in the pool unless (i) twelve months have lapsed since termination, or (ii) that person can show continuous other coverage which has been involuntarily terminated for any reason other than nonpayment of premiums;

             (b) ((Any person on whose behalf the pool has paid out five hundred thousand dollars in benefits;

             (c))) Inmates of public institutions and persons whose benefits are duplicated under public programs.

             (3) Any person whose health insurance coverage is involuntarily terminated for any reason other than nonpayment of premium may apply for coverage under the plan."


             Renumber the remaining sections consecutively and correct internal references accordingly.


             Beginning on page 38, line 29 of the amendment, after "(a)" strike all material through "(r)" on page 39, line 36, and insert "Prevention services, consistent with the schedule established by the United States public health service;

             (b) Well child care;

             (c) Hospital services, including charges for the most common semiprivate room, for the most common private room if semiprivate rooms do not exist in the health care facility, or for the private room if medically necessary, but limited to ((a total of one hundred eighty inpatient days in a calendar year, and limited to)) thirty days inpatient care for mental and nervous conditions, or alcohol, drug, or chemical dependency or abuse per calendar year;

             (((b))) (d) Professional services including surgery for the treatment of injuries, illnesses, or conditions, other than dental, which are rendered by a health care provider, or at the direction of a health care provider, by a staff of registered or licensed practical nurses, or other health care providers;

             (((c))) (e) The first twenty outpatient professional visits for the diagnosis or treatment of one or more mental or nervous conditions or alcohol, drug, or chemical dependency or abuse rendered during a calendar year by one or more physicians, psychologists, or community mental health professionals, or, at the direction of a physician, by other qualified licensed health care practitioners;

             (((d))) (f) Drugs ((and contraceptive devices)) requiring a prescription;

             (((e))) (g) Reproductive health services;

             (h) Services of a skilled nursing facility, excluding custodial and convalescent care, for not more than one hundred days in a calendar year as prescribed by a physician;

             (((f))) (i) Services of a home health agency;

             (((g))) (j) Chemotherapy, radioisotope, radiation, and nuclear medicine therapy;

             (((h))) (k) Oxygen;

             (((i))) (l) Anesthesia services;

             (((j))) (m) Prostheses, other than dental;

             (((k))) (n) Durable medical equipment which has no personal use in the absence of the condition for which prescribed;

             (((l))) (o) Diagnostic x-rays and laboratory tests;

             (((m))) (p) Oral surgery limited to the following: Fractures of facial bones; excisions of mandibular joints, lesions of the mouth, lip, or tongue, tumors, or cysts excluding treatment for temporomandibular joints; incision of accessory sinuses, mouth salivary glands or ducts; dislocations of the jaw; plastic reconstruction or repair of traumatic injuries occurring while covered under the pool; and excision of impacted wisdom teeth;

             (((n))) (q) Maternity care services, including obstetric, prenatal, and postbirth care, as provided in the managed care plan to be designed by the pool board of directors;

             (r) Services of a physical therapist and services of a speech therapist;

             (((o))) (s) Hospice services;

             (((p))) (t) Professional ambulance service to the nearest health care facility qualified to treat the illness or injury; and

             (((q))) (u)"


             On page 40, after line 25 of the amendment, insert the following:


             "Sec. 213. RCW 48.41.120 and 1989 c 121 s 8 are each amended to read as follows:

             (1) Subject to the limitation provided in subsection (3) of this section, a pool indemnity policy offered in accordance with this chapter shall impose a deductible. Deductibles of five hundred dollars and one thousand dollars on a per person per calendar year basis shall initially be offered. The board may authorize deductibles in other amounts. The deductible shall be applied to the first five hundred dollars, one thousand dollars, or other authorized amount of eligible expenses incurred by the covered person.

             (2) Subject to the limitations provided in subsection (3) of this section, a mandatory coinsurance requirement shall be imposed on the pool indemnity policy at the rate of twenty percent of eligible expenses in excess of the mandatory deductible.

             (3) The maximum aggregate pool indemnity policy out of pocket payments for eligible expenses by the insured in the form of deductibles and coinsurance shall not exceed in a calendar year:

             (a) One thousand five hundred dollars per individual, or three thousand dollars per family, per calendar year for the five hundred dollar deductible policy;

             (b) Two thousand five hundred dollars per individual, or five thousand dollars per family per calendar year for the one thousand dollar deductible policy; or

             (c) An amount authorized by the board for any other deductible policy.

             (4) Eligible expenses incurred by a covered person in the last three months of a calendar year, and applied toward a deductible, shall also be applied toward the deductible amount in the next calendar year.

             (5) Out of pocket cost for managed care enrollees must not exceed one hundred dollars per day for inpatient care, ten dollars per visit for outpatient care, and twenty percent of the cost of nongeneric prescription drugs."


             Renumber the remaining sections consecutively and correct internal references accordingly.


             Representatives Murray, Cody and Conway spoke in favor of the adoption of the amendment to the amendment.


             Representatives Dyer and Smith spoke against the adoption of the amendment to the amendment. The amendment was not adopted.


             Representative Murray moved the adoption of the following amendment (299) to the amendment by Representative Dyer: (313)


             On page 40, line 36 of the amendment, after "one hundred" strike "twenty-five"


             Representative Murray spoke in favor of the adoption of the amendment to the amendment.


             Representative Dyer spoke against the adoption of the amendment to the amendment. The amendment was not adopted.


             Representative Conway moved the adoption of the following amendment (301) to the amendment by Representative Dyer: (313)


             Beginning on page 40, after line 25 of the amendment, strike all of sections 213 through 218 and insert the following:"

             "NEW SECTION. Sec. 213. A new section is added to chapter 48.01 RCW to read as follows:

             (1) The commissioner may disapprove a health care service contractor or health maintenance organization's health benefit plan if the benefits provided in the plan are unreasonable in relation to the amount charged for the contract. A rate is reasonable in relation to benefits if it is based on the following elements and is at or above the minimum loss ratio in subsection (2) of this section:

             (a) An actuarially sound estimate of all future claims costs associated with the filing for the rate renewal period. Claims costs and capitation expenses used in the actuarial estimate should recognize, as applicable, the savings and costs associated with managed care provisions of the contracts included in the filing;

             (b) An actuarially sound estimate of all prudently incurred claims settlement, operational, and administrative expenses that are allocated to the filing on the basis of a reasonable and consistent method;

             (c) A reasonable, expected cost of capital or contribution to surplus to the extent not offset by investment income and other income, and considering the level of unassigned surplus available to the carrier.

             When a carrier files rates with the commissioner, it must demonstrate that it has accounted for and allocated each of these costs in a well-supported and verifiable manner so that the commissioner can determine whether the proposed rates satisfy the requirements of RCW 48.44.020 and 48.46.060.

             (2) For purposes of this section, equity, net worth, or unassigned surplus shall be computed according to statutory accounting principles that must be reconciled to the books and records of the company. In the absence of a means to allocate equity or unassigned surplus to specific products or groups of products, the equity calculation and the related cost of capital calculation or required contribution to surplus shall be made on a total company basis. The rate derived shall be assigned to the contract filing at issue.

             (a) The anticipated loss ratio for each contract included in a filing shall be at or above the following:

 

Individual contracts                                 75%

Small employer contracts                        75%

Merit pool                                                85%

Negotiated contracts                                85%

             (b) Negotiated contracts for which the anticipated loss ratio is as great as shown in (a) of this subsection shall be deemed reasonable in relation to the amount charged, except in the case of extraordinary circumstances.

             (c) The loss ratio shall be calculated on the basis of the projected incurred claims divided by the anticipated total earned premium for the contract or grouping of contracts in the filing for the projected renewal period; but in no case shall the loss ratio for any contract included in the filing be less than that shown in (a) of this subsection."


             Renumber the remaining sections consecutively and correct internal references accordingly.


             Representatives Conway, Wood and Cody spoke in favor of the adoption of the amendment to the amendment.


             Representative Dyer, Zellinsky and Smith spoke against the adoption of the amendment to the amendment.


             Representative Conway again spoke in favor of the adoption of the amendment to the amendment.


             Representative Hatfield demanded an electronic roll call vote and the demand was sustained.


ROLL CALL


             The Clerk called the roll on the adoption of the amendment (301) to the amendment (313) on page 40, after line 25, to Substitute House Bill No. 2018, and the amendment was not adopted by the following vote: Yeas - 41, Nays - 57, Absent - 0, Excused - 0.

             Voting yea: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Gombosky, Grant, Hatfield, Kastama, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Morris, Murray, O'Brien, Ogden, Poulsen, Quall, Regala, Romero, Scott, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 41.

             Voting nay: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dunn, Dyer, Hankins, Hickel, Honeyford, Huff, Johnson, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Parlette, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 57.


             Representative Cody moved the adoption of the following amendment (298) to the amendment by Representative Dyer: (313)


             On page 49 of the amendment, after line 36, insert the following:

"PART IV--HEALTH PLAN LIABILITY

             NEW SECTION. Sec 401. A new section is added to chapter 48.43 RCW to read as follows:

             (1) No public or private health carrier subject to the jurisdiction of the state of Washington may propose, issue, sign, or renew an agreement of any kind, including an enrollee service agreement, that contains a clause or language whose effect, in any way, is to disclaim liability for the care delivered or not delivered to an enrollee because of a decision of the health carrier as to whether the care was a covered service, medically necessary, economically provided, medically appropriate, or similar consideration.

             (2) No public or private health carrier subject to the jurisdiction of the state of Washington may propose, issue, sign, or renew an agreement of any kind, including an enrollee service agreement, that contains a clause or language whose effect, in any way, is to shift liability to the provider or the patient, or both, for the care delivered or not delivered in material part because of a payment or other related decision of the health carrier. A clause is a violation of this subsection if, by way of illustration and not limitation, it says that the decision to obtain care is between the provider and the patient, failing to acknowledge the role of payment in such decisions.

             (3) Nothing in this section is to be construed to create new liability on anyone for the health carrier's payment or related decisions. The intent of this section is only to prevent health carriers from disclaiming or shifting any existing liability to either providers or patients, or both."


Renumber remaining parts and sections consecutively, correct internal references accordingly, correct the table of contents accordingly, and correct the title accordingly.


             Representative Cody spoke in favor of the adoption of the amendment to the amendment.


             Representatives Backlund and Dyer spoke against the adoption of the amendment to the amendment.


             Representative Hatfield demanded an electronic roll call vote and the demand was sustained.


ROLL CALL


             The Clerk called the roll on the adoption of the amendment (298) to the amendment (313) on page 49, line 36, to Substitute House Bill No. 2018 and the amendment was not adopted by the following vote: Yeas - 43, Nays - 55, Absent - 0, Excused - 0.

             Voting yea: Representatives Anderson, Appelwick, Backlund, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Gombosky, Grant, Hatfield, Kastama, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Morris, Murray, O'Brien, Ogden, Poulsen, Quall, Regala, Romero, Scott, Smith, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 43.

             Voting nay: Representatives Alexander, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dunn, Dyer, Hankins, Hickel, Honeyford, Huff, Johnson, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Parlette, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 55.


             Representative Dyer moved the adoption of the following amendment (342) to the amendment by Representative Dyer: (313)


             On page 49 of the amendment, after line 37, insert the following:

             "NEW SECTION. Sec. 401. WICKLINE CLAUSE STUDY. (1) There is some question regarding who should be liable when a health carrier or other third party-payer refuses to pay for or provide health services recommended by a health care provider and the patient suffers injury as a result of not receiving the recommended care. This issue typically arises in managed care systems, which integrate the financing and delivery of health care services to covered persons through selected providers. Contracts between health carriers and providers may address potential liability issues regarding the relationships between the carriers and the providers. Some contracts shift potential liability for a health carrier’s decision not to pay for recommended health services to the provider or patient through what are commonly referred to as "Wickline clauses". These clauses generally state it is a medical decision between the provider and patient as to whether the patient receives services that the carrier refuses to cover; this ignores the fact that the decision not to provide coverage influences the decision of the patient whether to receive the recommended care. The legislature intends to review the policy questions raised by this issue, particularly to what extent the carrier should be able to avoid liability for its decisions by insulating itself through its contracts with providers.

             (2) A joint task force on Wickline clauses shall review the practice of contractually assigning or avoiding potential liability for decisions by health carriers or other third-party payers not to pay for health care services recommended by a health care provider.

The task force shall be comprised of two members of the house of representatives appointed by the speaker of the house, one from each major caucus, two members of the senate appointed by the president of the senate, one from each major caucus, and eight persons appointed by the legislative members of the task force. The eight non-legislative persons on the task force shall consist of: 2 representatives of health care providers; 2 representatives of health care consumers; 2 representatives of health carriers; and 2 representatives of self-funded health plans. The legislative members shall organize and administer the task force. Staffing shall be provided by the office of program research and senate committee services.

             (3) The task force shall report to the health care committees of the legislature by December 1, 1997. The report shall discuss the policy issues regarding Wickline clauses and the more general issue of potential liability for decisions of health carriers and others not to cover health care recommended by the provider. The report may contain recommendations for the legislature to consider."


             Renumber remaining sections consecutively and correct internal references accordingly.


             Representative Dyer spoke in favor of the adoption of the amendment to the amendment. The amendment was adopted.


             Representative Conway moved the adoption of the following amendment (349) to the amendment by Representative Dyer: (313)


             On page 49, after line 37 of the amendment, insert the following:

             "NEW SECTION. Sec. 401. The legislature intends that health care insurers have open pharmacy networks. Insurers must offer contractual agreements to all pharmacies willing to meet applicable terms and conditions of the policy contract. Insurers may not impose upon a beneficiary a copay, deductible, coinsurance, or prescription quantity limit that is not imposed upon all beneficiaries in the plan. Pharmacy services are known to be a necessary component in the overall health care system. Therefore, the legislature intends to promote access to ensure the citizens of Washington state can easily obtain their pharmacy services.


             NEW SECTION. Sec. 402. Every health plan delivered, issued for delivery, or renewed by a health carrier on and after January 1, 1998, that provides for payment of all or a portion of prescription costs, or reimbursement of prescription costs, must:

             (1) Not limit the purchase of prescription medicines to specific pharmacies;

             (2) Not discriminate between different providers of pharmacy services by requiring the payment of different copayments, coinsurance levels, deductibles, or prescription quantity limits by the covered pharmacy patient depending on the identity or nature of the provider of pharmacy services;

             (3) Not prohibit a qualified provider of pharmacy services from becoming a provider under the policy if the applicant pharmacy indicates a desire to be recognized as a provider and meets all the applicable terms and conditions of the policy contract; and

             (4) Offer a provider of pharmacy services the same terms and conditions.


             NEW SECTION. Sec. 403. Section 402 of this act does not apply to:

             (1) A provider of pharmacy services if that provider cannot or will not meet all of the applicable terms and conditions of the policy contract; or

             (2) A health maintenance organization that provides pharmaceutical services through pharmacists it employs at pharmacies it owns. A health maintenance organization is exempt in geographic areas in which it owns the pharmacy or pharmacies, but is not exempt in other geographic areas in which the health maintenance organization does not provide pharmacy services through its own pharmacy and employees.


             NEW SECTION. Sec. 404. (1) A health carrier, as defined in this chapter, who violates section 402 of this act or a rule adopted under that section may be subject to a penalty of not less than one thousand dollars nor more than fifty thousand dollars for each violation, payable to the health services account.

             (2) A person may bring action against a carrier to recover damages suffered as the result of a violation of section 402 of this act or a rule adopted under that section. Proof of a violation constitutes prima facie evidence of damages.


             NEW SECTION. Sec. 405. Sections 402 through 404 of this act are each added to chapter 48.43 RCW."


             Renumber the remaining sections consecutively and correct internal references accordingly.


             Representative Conway spoke in favor of the adoption of the amendment to the amendment.


             Representatives Dyer and Parlette spoke against the adoption of the amendment to the amendment. The amendment was not adopted.


             Representative Wood moved the adoption of the following amendment (303) to the amendment by Representative Dyer: (313)


             On page 50, after line 14, insert

             "NEW SECTION. Sec. 405. NULL AND VOID CLAUSE. If specific funding for the purpose of subsidizing the enrollment of not less than two hundred thousand residents in the basic health plan, pursuant to chapter 70.47 RCW, is not provided by June 30, 1997, in the omnibus appropriations act, this act is null and void."


             Representative Wood spoke in favor of the adoption of the amendment to the amendment.


POINT OF ORDER


             Representative Dyer: Mr. Speaker, I request a ruling on Scope and Object on amendment 303 to the amendment.


SPEAKER'S RULING


             Mr. Speaker: Representative Dyer, the Speaker is ready to rule on your Scope and Object request.


             The subject portion of the title to Substitute House Bill No. 2018 is: "AN ACT Relating to health insurance reform;"


             The Scope of the bill, as measured by the title of the act, is broad. The Act is a comprehensive reform of health related insurance code provisions found in title 48 RCW.


             Amendment 303 by Representative Wood proposes to add a null and void clause to the bill unless the budget document provides monies for subsidizing enrollment in the basic health care plan under Chapter 70.47 RCW.


             While both the bill and the amendment deal with health care, the bill addresses reform of insurance laws, and the amendment simply requires additional funding of a current law plan and does not propose any changes to insurance law.


             The Speaker finds that Amendment 303 is not within in the Scope of Substitute House Bill No. 2018.


             Representative Dyer, your Point of Order is well taken.


             The Speaker stated the question before the House to be final adoption of amendment 313 as amended to Substitute House Bill No. 2018.


             Representative Dyer spoke in favor of the adoption of the amendment.


             Division was demanded. The Speaker divided the House. The results of the division was 57-YEAS; 41-NAYS. The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Zellinsky, Backlund, Smith, Wensman, Pennington, Dyer and Benson spoke in favor of passage of the bill.


             Representatives Cody, Conway, Murray and Costa spoke against passage of the bill.


             The Speaker stated the question before the House to be final passage of Engrossed Substitute House Bill No. 2018.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 2018 and the bill passed the House by the following vote: Yeas - 66, Nays - 32, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Cooke, Crouse, DeBolt, Delvin, Dunn, Dyer, Grant, Hankins, Hickel, Honeyford, Huff, Johnson, Kessler, Koster, Lambert, Lantz, Linville, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Morris, Mulliken, Parlette, Pennington, Quall, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Scott, Sehlin, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sullivan, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 66.

             Voting nay: Representatives Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Gombosky, Hatfield, Kastama, Keiser, Kenney, Mason, Murray, O'Brien, Ogden, Poulsen, Regala, Romero, Sommers, H., Tokuda, Veloria, Wolfe and Wood - 32.


             Engrossed Substitute House Bill No. 2018, having received the constitutional majority, was declared passed.


             There being no objection, Rule 13C was suspended.


             HOUSE BILL NO. 1031, by Representatives Sterk, Mulliken, Koster, Johnson, Thompson, D. Sommers, Boldt, Sheahan, Sherstad, Carrell, Bush, Smith, Chandler, D. Schmidt and Backlund

 

Limiting late-term and partial-birth abortions.


             The bill was read the second time.


MOTION


             Representative Appelwick moved that consideration of House Bill No. 1031 be postponed indefinitely.


             The Speaker stated the question before the House to be the motion to postpone indefinitely consideration of House Bill No. 1031.


             Representatives Appelwick and Costa spoke in favor of adoption of the motion.


             Representatives Sterk and Sheahan spoke against the adoption of the motion.


             Representative Lisk explained to the members that under House Rule 15C, that when a measure has been postponed indefinitely, it can not be re-introduced during the session.


             Representative Robertson demanded an electronic roll call vote and the demand was sustained.


             The Speaker stated the question to be adoption of the motion to indefinitely postpone action on House Bill No. 1031.


ROLL CALL


             The Clerk called the roll on the final adoption of the motion to indefinitely postpone action on House Bill No. 1130 and the motion was adopted by the House by the following vote: Yeas - 54, Nays - 44, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Anderson, Appelwick, Ballasiotes, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Dickerson, Doumit, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Kastama, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Mitchell, Morris, Murray, O'Brien, Ogden, Parlette, Poulsen, Quall, Radcliff, Reams, Regala, Romero, Schmidt, K., Scott, Sheldon, Skinner, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe, Wood and Zellinsky - 54.

             Voting nay: Representatives Backlund, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Crouse, DeBolt, Delvin, Dunn, Hickel, Honeyford, Huff, Johnson, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mulliken, Pennington, Robertson, Schmidt, D., Schoesler, Sehlin, Sheahan, Sherstad, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman and Mr. Speaker - 44.


             HOUSE BILL NO. 1130, by Representatives Thompson, Koster, Mulliken, L. Thomas, Bush, Backlund, Dunn, Sump, Mielke, Pennington, Talcott, Chandler, Johnson, Lambert, D. Sommers, Sheahan, McDonald, D. Schmidt, McMorris, Sterk, Boldt, Crouse, Benson, DeBolt and Sherstad

 

Reaffirming and protecting the institution of marriage.


             The bill was read the second time. There being no objection, Substitute House Bill No. 1130 was substituted for House Bill No. 1130 and the substitute bill was placed on the second reading calendar.


             Substitute House Bill No. 1130 was read the second time.


             Representative Murray moved that the House postpone indefinitely consideration on House Bill No. 1130.


             Representatives Murray, Doumit, Costa and Quall spoke in favor of the adoption of the motion.


             Representatives Thompson and Mastin spoke against adoption of the motion.


             Representative Hatfield demanded an electronic roll call vote and the demand was sustained.


ROLL CALL


             The Clerk called the roll on the adoption of the motion to postpone indefinitely consideration on Substitute House Bill No. 1130 and the motion was not adopted by the following vote: Yeas - 45, Nays - 53, Absent - 0, Excused - 0.

             Voting yea: Representatives Anderson, Appelwick, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Dickerson, Doumit, Dunshee, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Kastama, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Morris, Murray, O'Brien, Ogden, Parlette, Poulsen, Quall, Regala, Romero, Scott, Sehlin, Sommers, H., Sullivan, Tokuda, Veloria, Wolfe and Wood - 45.

             Voting nay: Representatives Alexander, Backlund, Ballasiotes, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Crouse, DeBolt, Delvin, Dunn, Dyer, Hickel, Honeyford, Huff, Johnson, Koster, Lambert, Lisk, Mastin, McDonald, McMorris, Mielke, Mitchell, Mulliken, Pennington, Radcliff, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Wensman, Zellinsky and Mr. Speaker - 53.


             With the consent of the House, amendment numbers 347, 030, 346, 110, 114, 083 and 103 to Substitute House Bill No. 1130 were withdrawn.


             Representative Thompson moved the adoption of the following amendment by Representative Thompson: (229)


             Strike everything after the enacting clause and insert the following:

             "NEW SECTION. Sec. 401. (1) In P.L. 104-199; 110 Stat. 219, the Defense of Marriage Act, Congress granted authority to the individual states to either grant or deny recognition of same-sex marriages recognized as valid in another state. The Defense of Marriage Act defines marriage for purposes of federal law as a legal union between one man and one woman as husband and wife and provides that a state shall not be required to give effect to any public act or judicial proceeding of any other state respecting marriage between persons of the same sex if the state has determined that it will not recognize same-sex marriages.

             (2) The legislature and the people of the state of Washington find that matters pertaining to marriage are matters reserved to the sovereign states and, therefore, such matters should be determined by the people within each individual state and not by the people or courts of a different state.


             NEW SECTION. Sec. 402. (1) It is a compelling interest of the state of Washington to reaffirm its historical commitment to the institution of marriage as a union between a man and a woman as husband and wife and to protect that institution.

             (2) The court in Singer v. Hara, 11 Wn. App. 247 (1974) held that the Washington state marriage statute does not allow marriage between persons of the same sex. It is the intent of the legislature by this act to codify the Singer opinion and to fully exercise the authority granted the individual states by Congress in P.L. 104-199; 110 Stat. 219, the Defense of Marriage Act, to establish public policy against same-sex marriage in statutory law that clearly and definitively declares same-sex marriages will not be recognized in Washington, even if they are made legal in other states.


             Sec. 403. RCW 26.04.010 and 1973 1st ex.s. c 154 s 26 are each amended to read as follows:

             (1) Marriage is a civil contract ((which may be entered into by persons of)) between a male and a female who have each attained the age of eighteen years, and who are otherwise capable((: PROVIDED, That)).

             (2) Every marriage entered into in which either ((party shall not have)) the husband or the wife has not attained the age of seventeen years ((shall be)) is void except where this section has been waived by a superior court judge of the county in which one of the parties resides on a showing of necessity.


             Sec. 404. RCW 26.04.020 and 1927 c 189 s 1 are each amended to read as follows:

             (1) Marriages in the following cases are prohibited:

             (((1))) (a) When either party thereto has a wife or husband living at the time of such marriage((.));

             (((2))) (b) When the ((parties thereto)) husband and wife are nearer of kin to each other than second cousins, whether of the whole or half blood computing by the rules of the civil law; or

             (c) When the parties are persons other than a male and a female.

             (((3))) (2) It ((shall be)) is unlawful for any man to marry his father's sister, mother's sister, daughter, sister, son's daughter, daughter's daughter, brother's daughter or sister's daughter; it ((shall be)) is unlawful for any woman to marry her father's brother, mother's brother, son, brother, son's son, daughter's son, brother's son or sister's son.

             (3) A marriage between two persons that is recognized as valid in another jurisdiction is valid in this state only if the marriage is not prohibited or made unlawful under this section.


             NEW SECTION. Sec. 405. A new section is added to chapter 9A.04 RCW to read as follows:

             The legislature finds that political speech is one of the highest forms of protected speech under the state and federal constitutions and that persons who are engaged in public debate on a political issue whether before the legislature or on the ballot as an initiative or referendum deserve the highest protections of the law. The legislature further finds that it is egregious when individuals commit criminal acts against other persons for any reason and that it is especially egregious when individuals commit criminal acts against other persons who are engaged in public debate simply because they disagree with the political speech or stance of the victim. The legislature hereby declares that individuals who commit such criminal acts against the person or property of others must be expeditiously prosecuted and appropriately punished in order to maintain public safety, protect law-abiding persons, and ensure the guarantee of free speech for every citizen.


             NEW SECTION. Sec. 406. In recognition of the fact that it has been the sole and continuous policy of both the territory and the state of Washington to limit the definition of legal marriage to a civil contract between a male and female and that Washington case law has long upheld the right of the state to limit the definition of legal marriage so as to not include same-sex marriages, this act is remedial in nature and takes effect retroactively as of January 1, 1997, as it applies to cases involving same-sex marriage.


             NEW SECTION. Sec. 407. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.


             NEW SECTION. Sec. 408. This act shall be submitted to the people for their adoption and ratification, or rejection, in accordance with Article II, section 1, of the state Constitution, and the laws adopted to facilitate the operation thereof, at a state-wide special election ordered by the legislature to be held in this state on the date specified for a state primary in RCW 29.13.070."


             Correct the title accordingly.


             Representative Murray moved the adoption of the following amendment (358) to the amendment by Representative Thompson (229):


             On page 1, line 7 strike "(1)"


             On page 1 beginning on line 17, strike all of subsection (2)


             On page 1, line 22 strike "(1)"


             On page 1, beginning on line 26, strike all of subsection (2)


             On page 2, beginning on line 26, strike all of subsection (3)


             Correct the title and internal references accordingly.


             Representative Murray spoke in favor of the adoption of the amendment to the amendment.


             Representative Thompson spoke against adoption of the amendment to the amendment. The amendment was not adopted.


             Representative Murray moved the adoption of the following amendment (359) to the amendment by Representative Thompson (229):


             On page 1, beginning on line 15, after "sex" strike "((if the state has determined that it will not recognize same-sex marriages))


             Correct the title accordingly.


             Representative Murray spoke in favor of the adoption of the amendment to the amendment.


             Representative Thompson spoke against adoption of the amendment to the amendment.


             Division was demanded. The Speaker divided the House. The results of the division was 41-YEAS; 57-NAYS. The amendment to the amendment was not adopted.


             The Speaker stated the question before the House to be final adoption of the striking amendment (229) to Substitute House Bill No. 1130.


             Representatives Thompson, Benson, DeBolt, Sheahan and Carlson spoke in favor of the adoption of the amendment.


             Representatives Murray, Doumit, Appelwick, Constantine, Dickerson and Costa spoke against the adoption of the amendment.


             Representative Thompson again spoke in favor of the adoption of the amendment.


             Representative Wensman spoke against the amendment.


             The amendment was adopted.


             The bill was ordered engrossed.


             There being no objection, the rules were suspended, the second reading considered the third and the bill was placed on final passage.


             Representatives Thompson and D. Schmidt spoke in favor of passage of the bill.


             Representatives Murray, Romero Veloria, Kenney, Costa and Appelwick spoke against the passage of the bill.


             The Speaker stated the question before the House to be final passage of Engrossed Substitute House Bill No. 1130.


ROLL CALL


             The Clerk called the roll on the final passage of Engrossed Substitute House Bill No. 1130 and the bill passed the House by the following vote: Yeas - 50, Nays - 48, Absent - 0, Excused - 0.

             Voting yea: Representatives Alexander, Backlund, Benson, Boldt, Buck, Bush, Cairnes, Carlson, Carrell, Chandler, Clements, Crouse, DeBolt, Delvin, Dunn, Hickel, Honeyford, Huff, Johnson, Kastama, Koster, Lambert, Lisk, McDonald, McMorris, Mielke, Mitchell, Mulliken, Parlette, Pennington, Reams, Robertson, Schmidt, D., Schmidt, K., Schoesler, Sheahan, Sheldon, Sherstad, Skinner, Smith, Sommers, D., Sterk, Sump, Talcott, Thomas, B., Thomas, L., Thompson, Van Luven, Zellinsky and Mr. Speaker - 50.

             Voting nay: Representatives Anderson, Appelwick, Ballasiotes, Blalock, Butler, Chopp, Cody, Cole, Constantine, Conway, Cooke, Cooper, Costa, Dickerson, Doumit, Dunshee, Dyer, Fisher, Gardner, Gombosky, Grant, Hankins, Hatfield, Keiser, Kenney, Kessler, Lantz, Linville, Mason, Mastin, Morris, Murray, O'Brien, Ogden, Poulsen, Quall, Radcliff, Regala, Romero, Scott, Sehlin, Sommers, H., Sullivan, Tokuda, Veloria, Wensman, Wolfe and Wood - 48.


             Engrossed Substitute House Bill No. 1130, having received the constitutional majority, was declared passed.


             There being no objection, the House advanced to the eighth order of business.


MOTION FOR RECONSIDERATION


             Representative Gombosky, having voted on the prevailing side, moved that the House immediately reconsider the vote on Engrossed Substitute House Bill No. 1130.


             Division was demanded. The Speaker divided the House. The results of the division was 49-YEAS; 49-NAYS. The motion did not passed.


             There being no objection, the Committee on Law & Justice was relieved of House Bill No. 2078 which was advanced to the next working day's second reading calendar.


MOTION


             On motion by Representative Lisk, the Call of the House was dissolved.


             There being no objection, the House advanced to the eleventh order of business.


MOTION


             On motion by Representative Lisk, the House adjourned until 9:00 a.m., Wednesday, March 19, 1997.


CLYDE BALLARD, Speaker

TIMOTHY A. MARTIN, Chief Clerk


1031

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .98

1130

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99

1130 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .99

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .103

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .99, 103

1269

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48

1317

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48

1317 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .48

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49

1338

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6

1338 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9

1434

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9

1434 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

1490

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

1490 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

1492

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

1492 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

1527

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11

1528

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12

1536

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

1536 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

1548

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12

1612

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

1612 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

1619

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

1619 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

1655

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

1655 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

1721

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

1721 (2nd Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

1730

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

1730 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

1734

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

1734 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

1770

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

1770 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

1780

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

1780 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

1815

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

1815 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20

1816

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21

1817

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21

1817 (2nd Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21

1821

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .49

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52

1823

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21

1823 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

1840

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

1840 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23

1842

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23

1842 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

1854

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24

1866

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24

1871

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

1873

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

1873 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26

1891

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .26

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

1898

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39

1930

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39

1930 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53

1948

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

1948 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40

1950

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40

1950 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40

1952

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53

1952 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .53

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54

1978

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40

1978 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .41

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41

1980

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .41

1992

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41

1992 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42

2011

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .42

2018

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54

2018 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .54

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98

2027

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .42

2078

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .103

2080

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42

2080 (2nd Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43

2096

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .43

2105

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43

2105 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .44

2136

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .45

2164

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .45

2172

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46

2198

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46

2198 (Sub)

Second Reading Amendment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .46

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47

2227

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47

2227 (Sub)

Second Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47

Third Reading Final Passage. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47

2265

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

2266

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

2267

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

2268

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

2269

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

2270

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

2271

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

2272

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

2273

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

4206

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .47

4208

Other Action. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .47

4639 Honoring Ritzville High School Girls' Basketball

Introduced. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44

Adopted. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45

5005 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5006 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5044 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5084 (2nd Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5094

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5102 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

5103 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

5135 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5150

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5160

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

5164

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5184 (2nd Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

5185

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5211

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5282 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5290 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5306 (2nd Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5308 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

5318 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5322 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

5332 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

5336 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5383

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5409 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

5439

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

5452

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5491 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5508 (2nd Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

5509 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

5542

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

5562 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5563 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5566

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

5574 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5575 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5592 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

5621 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5629 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5651

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5701 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

5715 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5739 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5748

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

5750 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

5755 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5759 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

5762 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

5770 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

5774

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

5795

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

5802 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5813 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5874

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5886 (2nd Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5888

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

5903 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

5936 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5938

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5959

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

5970 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

5998

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

6002 (2nd Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

6022 (Sub)

Messages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

6046 (Sub)

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

8009

Intro & 1st Reading. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

HOUSE OF REPRESENTATIVES

Motion for Reconsideration; Representative Gombosky, ESHB 1130. . . . . . . . . . . . . . . . . . . . . . . . . . .103

Point of Order, Representative Dyer. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 97

Statement for the Journal; Representative Doumit. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

Statement for the Journal; Representative Sullivan. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16

Statement for the Journal; Representative Tokuda. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

HOUSE OF REPRESENTATIVES (REPRESENTATIVE PENNINGTON PRESIDING)

Motion for Reconsideration; Representative Quall, SHB 2105. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44

SPEAKER OF THE HOUSE

Speaker's Ruling: Scope & Object: 2018-S #303; Point well taken. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 97