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EIGHTIETH DAY
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MORNING SESSION
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Senate Chamber, Olympia, Wednesday, April 2, 1997
The Senate was called to order at 10:00 a.m. by President Owen. The Secretary called the roll and announced to the President that all Senators were present except Senator McDonald. On motion of Senator Hale, Senator McDonald was excused.
The Sergeant at Arms Color Guard, consisting of Pages Nona Lambert and Brock Jones, presented the Colors. Reverend Sandra Lee, pastor of the Unitarian Universalist Congregation of Olympia, offered the prayer.
MOTION
On motion of Senator Johnson, the reading of the Journal of the previous day was dispensed with and it was approved.
REPORTS OF STANDING COMMITTEES
March 27, 1997
SB 5721 Prime Sponsor, Senator Anderson: Allowing bare-boat charters. Reported by Committee on Ways and Means
MAJORITY recommendation: That Substitute Senate Bill No. 5721 be substituted therefor, and the substitute bill do pass. Signed by Senators West, Chair; Strannigan, Vice Chair; Bauer, Brown, Fraser, Hochstatter, Kohl, Long, McDonald, Roach, Rossi, Sheldon, Spanel, Swecker, Thibaudeau, Winsley and Zarelli.
Passed to Committee on Rules for second reading.
March 31, 1997
SB 5999 Prime Sponsor, Senator Deccio: Financing a stadium and exhibition center and technology grants. Reported by Committee on Ways and Means
MAJORITY Recommendation: That Substitute Senate Bill No. 5999 be substituted therefor, and the substitute bill do pass. Signed by Senators West, Chair; Deccio, Vice Chair; Bauer, Kohl, Long, Loveland, Schow, Sheldon, Snyder, Spanel, Swecker, Thibaudeau and Winsley.
HOLD.
March 31, 1997
SB 6068 Prime Sponsor, Senator West: Enhancing legal advertising of state measures. Reported by Committee on Ways and Means
MAJORITY Recommendation: That Substitute Senate Bill No. 6068 be substituted therefor, and the substitute bill do pass. Signed by Senators West, Chair; Deccio, Vice Chair; Strannigan, Vice Chair; Brown, Fraser, Hochstatter, Long, Loveland, McDonald, Rossi, Snyder, Swecker, Thibaudeau, Winsley and Zarelli.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 1193 Prime Sponsor, House Committee on Government Administration: Controlling personal service contracts. Reported by Committee on Government Operations
MAJORITY Recommendation: Do pass as amended. Signed by Senators McCaslin, Chair; Hale, Vice Chair; Haugen, Horn and Patterson.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 1235 Prime Sponsor, House Committee on Appropriations: Prohibiting consultants from charging state agencies for access to data generated under their personal services contracts. Reported by Committee on Government Operations
MAJORITY Recommendation: Do pass. Signed by Senators McCaslin, Chair; Hale, Vice Chair; Anderson, Haugen, Horn, Patterson and Swanson.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 1320 Prime Sponsor, House Committee on Government Administration: Designating Anux junius as the official insect of the state of Washington. Reported by Committee on Education
MAJORITY Recommendation: Do pass. Signed by Senators Hochstatter, Chair; Finkbeiner, Vice Chair; Johnson, McAuliffe, Rasmussen and Zarelli.
Passed to Committee on Rules for second reading.
April 1, 1997
HB 1332 Prime Sponsor, Representative Sheahan: Authorizing diversion agreements to prohibit contact with victims or witnesses of offenses committed by the juvenile. Reported by Committee on Human Services and Corrections
MAJORITY Recommendation: Do pass as amended. Signed by Senators Long, Chair; Zarelli, Vice Chair; Franklin, Hargrove, Kohl and Schow.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 1425 Prime Sponsor, House Committee on Capital Budget: Adopting the recommendations of the alternative public works methods oversight committee. Reported by Committee on Government Operations
MAJORITY Recommendation: Do pass as amended. Signed by Senators McCaslin, Chair; Hale, Vice Chair; Anderson, Haugen, Horn and Patterson.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 1433 Prime Sponsor, House Committee on Capital Budget: Leasing property to counties for correctional facilities. Reported by Committee on Human Services and Corrections
MAJORITY Recommendation: Do pass as amended. Signed by Senators Long, Chair; Zarelli, Vice Chair; Franklin, Hargrove, Kohl, Schow and Stevens.
Passed to Committee on Rules for second reading.
April 1, 1997
HB 1439 Prime Sponsor, Representative B. Thomas: Authorizing counties to set deadlines for petitioning for changes in assessed valuation. Reported by Committee on Government Operations
MAJORITY Recommendation: Do pass as amended. Signed by Senators McCaslin, Chair; Hale, Vice Chair; Haugen, Horn, Patterson and Swanson.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 1535 Prime Sponsor, House Committee on Health Care: Declaring a naturopath a health care practitioner for certain purposes. Reported by Committee on Health and Long-Term Care
MAJORITY Recommendation: Do pass. Signed by Senators Deccio, Chair; Wood, Vice Chair; Benton, Franklin and Strannigan.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 1574 Prime Sponsor, House Committee on Higher Education: Creating the historically Black college fund pilot project. Reported by Committee on Higher Education
MAJORITY Recommendation: Do pass and be referred to Committee on Ways and Means. Signed by Senators Wood, Chair; Winsley, Vice Chair; Hale, Kohl, Patterson, Prince and Sheldon.
Referred to Committee on Ways and Means.
April 1, 1997
SHB 1784 Prime Sponsor, House Committee on Child and Family Service: Regulating public assistance fraud. Reported by Committee on Health and Long-Term Care
MAJORITY Recommendation: Do pass and be referred to Committee on Ways and Means. Signed by Senators Deccio, Chair; Wood, Vice Chair; Benton and Strannigan.
MINORITY Recommendation: Do not pass. Signed by Senator Fairley.
Referred to Committee on Ways and Means.
March 31, 1997
EHB 1821 Prime Sponsor, Representative B. Thomas: Consolidating business and occupation tax rates into fewer categories. Reported by Committee on Ways and Means
MAJORITY Recommendation: Do pass as amended. Signed by Senators West, Chair; Deccio, Vice Chair; Strannigan, Vice Chair; Fraser, Hochstatter, Kohl, Long, McDonald, Rossi, Snyder, Spanel, Swecker, Winsley and Zarelli.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 1859 Prime Sponsor, House Committee on Child and Family Service: Revising provisions on abuse of children and adult dependent and developmentally disabled persons. Reported by Committee on Human Services and Corrections
MAJORITY Recommendation: Do pass as amended. Signed by Senators Long, Chair; Zarelli, Vice Chair; Franklin, Hargrove, Kohl, Schow and Stevens.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 1867 Prime Sponsor, House Committee on Health Care: Revising provisions for food sanitation and safety. Reported by Committee on Health and Long-Term Care
MAJORITY Recommendation: Do pass. Signed by Senators Deccio, Chair; Wood, Vice Chair; Benton, Fairley, Franklin and Wojahn.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 1930 Prime Sponsor, House Committee on Government Administration: Restricting copying of birth certificates. Reported by Committee on Health and Long-Term Care
MAJORITY Recommendation: Do pass. Signed by Senators Deccio, Chair; Wood, Vice Chair; Benton, Fairley, Franklin, Strannigan and Wojahn.
Passed to Committee on Rules for second reading.
April 1, 1997
SHB 2090 Prime Sponsor, House Committee on Higher Education: Establishing a community and technical college employees attendance incentive program. Reported by Committee on Higher Education
MAJORITY Recommendation: Do pass and be referred to Committee on Ways and Means. Signed by Senators Wood, Chair; Winsley, Vice Chair; Hale, Kohl, Patterson, Prince, Sheldon and West.
Referred to Committee on Ways and Means.
April 1, 1997
HB 2146 Prime Sponsor, Representative Huff: Regulating claims against the University of Washington. Reported by Committee on Higher Education
MAJORITY Recommendation: Do pass as amended. Signed by Senators Wood, Chair; Winsley, Vice Chair; Hale, Kohl, Patterson, Prince, Sheldon and West.
Passed to Committee on Rules for second reading.
April 1, 1997
ESHB 2193 Prime Sponsor, House Committee on Higher Education: Allowing the joint center for higher education transportation fees and excluding higher education and the joint center for higher education from the state agency parking account. Reported by Committee on Higher Education
MAJORITY Recommendation: Do pass as amended and be referred to Committee on Ways and Means. Signed by Senators Wood, Chair; Winsley, Vice Chair; Hale, Kohl, Patterson, Prince, Sheldon and West.
Referred to Committee on Ways and Means.
April 1, 1997
HJM 4000 Prime Sponsor, Representative Sterk: Honoring law enforcement officers. Reported by Committee on Government Operations
MAJORITY Recommendation: Do pass. Signed by Senators McCaslin, Chair; Hale, Vice Chair; Anderson, Haugen, Horn, Patterson and Swanson.
Passed to Committee on Rules for second reading.
MOTION
On motion of Senator Johnson, the rules were suspended, Senate Bill No. 5999 was advanced to second reading and placed on the second reading calendar.
MESSAGES FROM THE GOVERNOR
GUBERNATORIAL APPOINTMENTS
January 18, 1997
TO THE HONORABLE, THE SENATE OF THE STATE OF WASHINGTON
Ladies and Gentlemen:
I have the honor to submit the following reappointment, subject to your confirmation.
Judge Ricardo Martinez, reappointed January 18, 1997, for a term ending August 2, 1999, as a member of the Sentencing Guidelines Commission.
Sincerely,
GARY LOCKE, Governor
Referred to Committee on Law and Justice.
March 19, 1997
TO THE HONORABLE, THE SENATE OF THE STATE OF WASHINGTON
Ladies and Gentlemen:
I have the honor to submit the following appointment, subject to your confirmation.
Dean S. Lum, appointed March 19, 1997, for a term ending September 30, 2001, as a member of the Board of Trustees for Seattle, South Seattle and North Seattle Community College District No. 6.
Sincerely,
GARY LOCKE, Governor
Referred to Committee on Higher Education.
INTRODUCTION AND FIRST READING
SCR 8411 by Senators West and Snyder
Exempting Senate Bill No. 5999 from cutoff dates.
WHEREAS, Senate Concurrent Resolution No. 8402 established cutoff dates for consideration of legislation during the 1997 Regular Session of the Fifty-fifth Legislature;
NOW, THEREFORE, BE IT RESOLVED, By the Senate of the state of Washington, the House of Representatives concurring, That the cutoff dates established in Senate Concurrent Resolution No. 8402 shall not apply to Senate Bill No. 5999.
MOTION
On motion of Senator Johnson, the rules were suspended, Senate Concurrent Resolution No. 8411 was advanced to second reading and read the second time.
MOTION
On motion of Senator Johnson, the rules were suspended, Senate Concurrent Resolution No. 8411 was advanced to third reading, the second reading considered the third and the concurrent resolution was placed on final passage and adopted.
SENATE CONCURRENT RESOLUTION NO. 8411 was adopted by voice vote.
At 10:15 a.m., there being no objection, the President declared the Senate to be at ease.
The Senate was called to order at 10:19 a.m. by President Owen.
MOTION
On motion of Senator Spanel, the following resolution was adopted:
SENATE RESOLUTION 1997-8647
By Senators Spanel and Haugen
WHEREAS, The beautiful Skagit Valley is the tulip capital of the Northwest; and
WHEREAS, Every April the tulips are in bloom, celebrating the beginning of spring; and
WHEREAS, The Skagit Valley Tulip Festival begins the festival season in Washington State; and
WHEREAS, This year’s fourteenth annual event will run from March 28 through April 13, focusing on the communities of Sedro-Woolley, Burlington, Anacortes, LaConner, Mount Vernon, and Concrete; and
WHEREAS, Holly Weigand and Alex McDonald were chosen as this year’s Skagit Valley Tulip Festival Ambassadors; and
WHEREAS, Nearly half a million people visited the Skagit Valley Tulip Festival last year, participating in the joy and excitement of this annual event and contributing to the economy of the Skagit Valley; and
WHEREAS, This year’s visitors will be greeted by more than one thousand five hundred acres of tulips reflecting all the colors of the rainbow and by the fullness of life in the valley and its wonderful people; and
WHEREAS, Highlights of the event include the Kiwanis Annual Salmon Barbeque, Art in a Pickle Barn, the Tulip Pedal Bike Ride, the Tulip 10k Slug Run/Walk, the Downtown Mount Vernon Street Fair and much more;
NOW, THEREFORE, BE IT RESOLVED, That the Senate salutes the six communities of the Skagit Valley, their Chambers of Commerce, Skagit Valley Tulip Festival Ambassadors, and the Tulip Festival Committee for their Skagit Valley Tulip Festival; and
BE IT FURTHER RESOLVED, That we commend the community leaders and corporate sponsors for the success of this important event and encourage citizens from across Washington State to take the time to enjoy this spectacular display; and
BE IT FURTHER RESOLVED, That copies of this resolution be immediately transmitted by the Secretary of the Senate to Audrey Smith, Tulip Festival Executive Director, and Alex McDonald and Holly Weigand, Skagit Valley Tulip Festival Ambassadors.
Senators Spanel and Haugen spoke to Senate Resolution 1997-8647.
MOTION
On motion of Senator Johnson, the Senate reverted to the sixth order of business.
SECOND READING
SENATE BILL NO. 5999, by Senators Deccio and Kohl (by request of Governor Locke)
Financing a stadium and exhibition center and technology grants.
MOTIONS
On motion of Senator West, Substitute Senate Bill No. 5999 was substituted for Senate Bill No. 5999 and the substitute bill was placed on second reading and read the second time.
Senator Heavey moved that the following amendments by Senators Heavey and Schow be considered simultaneously and be adopted:
On page 6, line 7, after "site" insert ", but the site must be in accordance with the results of the election under section 606 of this act" On page 38, after line 2, strike all of section 606 and insert the following: "NEW SECTION. Sec. 606. The secretary of state shall submit this act to the people for adoption and ratification, or rejection, at a special election to be held in this state on June 3, 1997, in accordance with Article II, section 1 of the state Constitution and the laws adopted to facilitate its operation. The special election shall be limited to submission of this act to the people. Additionally, the secretary of state shall submit a choice for the preferred site of the new stadium should this act be adopted. The ballot shall contain two questions. The first question: "Shall certain taxes be raised to fund a professional football stadium?" The second question, if the first is approved: "Shall the location of the new stadium be: (1) The pioneer square district of Seattle; or (2) in a renovated Husky stadium?" The ballot shall be so printed that a voter can express separately by making one cross (X) for each, two preferences, first, as to the voter's preference on approval or rejection of the measure itself, and secondly, as between one location option and the other. If the majority of those voting on the first preference is for rejection of the measure, the measure fails. If a majority voting on the first preference is for approval of the measure, then the measure shall be law and the location shall be the location option receiving a majority of the votes." Debate ensued.
The President declared the question before the Senate to be the adoption of the amendments by Senators Heavey and Schow on page 6, line 7, and page 38, after line 2, to Substitute Senate Bill No. 5999.
The motion by Senator Heavey failed and the amendments were not adopted on a rising vote.
MOTION
Senator Schow moved that the following amendments by Senators Schow and Heavey be considered simultaneously and be adopted:
Beginning on page 9, after line 2, strike all of sections 201 and 202 and insert the following: "NEW SECTION. Sec. 201. A new section is added to chapter 82.04 RCW to read as follows: (1) Upon every person engaging within this state in the business of playing professional football in the national football league, professional baseball in major league baseball, or professional basketball in the national basketball association, as to such persons, the amount of tax with respect to such business shall be equal to the gross income of the business multiplied by a rate of 1.5 percent. (2) Upon every person engaging within this state in the business of printing daily newspapers, radio broadcasting, or television broadcasting, in addition to the tax imposed under RCW 82.04.280, there is imposed a surtax equal to twenty percent of the tax due under RCW 82.04.280.
(3) Proceeds of the tax imposed under this section shall be deposited into the stadium and exhibition center account created in section 214 of this act. Sec. 202. RCW 82.04.290 and 1996 c 1 s 2 are each amended to read as follows: (1) Upon every person engaging within this state in the business of providing selected business services other than or in addition to those enumerated in RCW 82.04.250 or 82.04.270; as to such persons the amount of tax on account of such activities shall be equal to the gross income of the business multiplied by the rate of 2.0 percent.
(2) Upon every person engaging within this state in banking, loan, security, investment management, investment advisory, or other financial businesses, other than or in addition to those enumerated in subsection (3) of this section; as to such persons, the amount of the tax with respect to such business shall be equal to the gross income of the business, multiplied by the rate of 1.6 percent. (3) Upon every person engaging within this state in the business of providing international investment management services, as to such persons, the amount of tax with respect to such business shall be equal to the gross income or gross proceeds of sales of the business multiplied by a rate of 0.275 percent. (4) Upon every person engaging within this state in any business activity other than or in addition to those enumerated in RCW 82.04.230, 82.04.240, 82.04.250, 82.04.255, 82.04.260, 82.04.270, section 201 of this act, and 82.04.280, and subsections (1), (2), and (3) of this section; as to such persons the amount of tax on account of such activities shall be equal to the gross income of the business multiplied by the rate of 1.75 percent. This section includes, among others, and without limiting the scope hereof (whether or not title to materials used in the performance of such business passes to another by accession, confusion or other than by outright sale), persons engaged in the business of rendering any type of service which does not constitute a "sale at retail" or a "sale at wholesale." The value of advertising, demonstration, and promotional supplies and materials furnished to an agent by his principal or supplier to be used for informational, educational and promotional purposes shall not be considered a part of the agent's remuneration or commission and shall not be subject to taxation under this section. Sec. 203. RCW 82.04.360 and 1991 c 324 s 19 and 1991 c 275 s 2 are each reenacted and amended to read as follows: (1) This chapter shall not apply to any person in respect to his or her employment in the capacity of an employee or servant as distinguished from that of an independent contractor. For the purposes of this section, the definition of employee shall include those persons that are defined in section 3121(d)(3)(B) of the Internal Revenue Code of 1986, as amended through January 1, 1991. (2) A booth renter, as defined by RCW 18.16.020, is an independent contractor for purposes of this chapter. (3) Persons engaging in the business of playing professional football in the national football league, professional baseball in major league baseball, or professional basketball in the national basketball association shall not be considered to be employees under this section. NEW SECTION. Sec. 204. (1) A tax is imposed on each sale of executive suites, luxury box seats, and personal seat licenses in stadiums that exhibit professional football from the national football league, professional baseball from major league baseball, or professional basketball from the national basketball association, in this state. The rate of the tax shall be ten percent of the sales price. (2) This tax shall be paid by the buyer to the seller and each seller shall collect from the buyer the full amount of the tax payable in respect to each taxable sale, unless the seller is prohibited from collecting the tax from the buyer under the state Constitution or the Constitution or laws of the United States. (3) The tax shall be stated separately from the selling price in any sales invoice or any instrument of sale. Failure to separately state the tax shall create a conclusive presumption that the tax has not been collected. (4) Proceeds of the tax imposed under this section shall be deposited into the stadium and exhibition center account created in section 214 of this act. Sec. 205. RCW 36.100.090 and 1995 1st sp.s. c 14 s 6 are each amended to read as follows: (1) The governing board of a public facilities district may apply for deferral of taxes on the construction of buildings, site preparation, and the acquisition of related machinery and equipment for a new public facility. Application shall be made to the department of revenue in a form and manner prescribed by the department of revenue. The application shall contain information regarding the location of the public facility, estimated or actual costs, time schedules for completion and operation, and other information required by the department of revenue. The department of revenue shall approve the application within sixty days if it meets the requirements of this section. (2) The department of revenue shall issue a sales and use tax deferral certificate for state and local sales and use taxes due under chapters 82.08, 82.12, and 82.14 RCW on the public facility. The use of the certificate shall be governed by rules established by the department of revenue. (3) The public facilities district shall begin paying the deferred taxes in the fifth year after the date certified by the department of revenue as the date on which the public facility is operationally complete. The first payment is due on December 31st of the fifth calendar year after such certified date, with subsequent annual payments due on December 31st of the following nine years. Each payment shall equal ten percent of the deferred tax. (4) The department of revenue may authorize an accelerated repayment schedule upon request of the public facilities district. (5) Interest shall not be charged on any taxes deferred under this section for the period of deferral, although all other penalties and interest applicable to delinquent excise taxes may be assessed and imposed for delinquent payments under this section. The debt for deferred taxes is not extinguished by insolvency or other failure of the public facilities district. (6) Applications and any other information received by the department of revenue under this section are not confidential and are subject to disclosure. Chapter 82.32 RCW applies to the administration of this section. (7) As used in this section, "public facility" means a baseball stadium with a retractable roof or canopy and natural turf or a stadium and exhibition center as defined in section 101 of this act." Renumber the remaining sections consecutively and correct any internal references accordingly. On page 19, line 12, after "201" insert ", 204," On page 37, line 21, after "(1) Section" strike "201" and insert "204" Debate ensued.
POINT OF INQUIRY
Senator Benton: "Senator Heavey, are the taxes that these amendments will impose intended to replace the taxes on all the citizens of the state in terms of the license--the additional sales tax on licensed items and/or the portion of the general fund taxes? Are they intended to replace that? Do these amendments do that, as well?"
Senator Heavey: "Yes."
Further debate ensued.
POINT OF INQUIRY
Senator Heavey requested Senator Kohl to yield to a question, but Senator Kohl would not yield to a question.
Further debate ensued.
The President declared the question before the Senate to be the adoption of the amendments by Senators Schow and Heavey on page 9, after line 2; page 19, line 12; and page 37, line 21, to Substitute Senate Bill No. 5999.
The motion by Senator Schow failed and the amendments were not adopted on a rising vote.
MOTIONS
On motion of Senator West, the rules were suspended, Substitute Senate Bill No. 5999 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.
Debate ensued.
POINT OF INQUIRY
Senator Thibaudeau: "Senator Deccio, there was a newspaper report that the Legislature could approve new additional funding sources after the public vote. My understanding is that we passed an amendment--as a matter of fact, I offered it--and we all voted for it lidding the amount of state dollars that could be spent. Is that your understanding or is that a problem?"
Senator Deccio: "I understand that that issue is going to be addressed in the House and they will take care of it over there."
Senator Thibaudeau: "But, it was lidded in the Ways and Means?"
Senator Deccio: "Yes."
Senator Thibaudeau: "Thank you, Senator. Thank you, Mr. President."
Further debate ensued.
DEMAND FOR PREVIOUS QUESTION
Senators West, Deccio and Hale demanded the previous question and the demand was sustained.
The President declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5999.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 5999 and the bill passed the Senate by the following vote: Yeas, 25; Nays, 23; Absent, 0; Excused, 1.
Voting yea: Senators Bauer, Deccio, Goings, Hale, Horn, Jacobsen, Kohl, Long, Loveland, McAuliffe, McCaslin, Morton, Newhouse, Prentice, Prince, Rasmussen, Sellar, Sheldon, Snyder, Spanel, Swecker, Thibaudeau, West, Winsley and Wood - 25. Voting nay: Senators Anderson, Benton, Brown, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kline, Oke, Patterson, Roach, Rossi, Schow, Stevens, Strannigan, Swanson, Wojahn and Zarelli - 23. Excused: Senator McDonald - 1. SUBSTITUTE SENATE BILL NO. 5999, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.
MOTION
At 11:06 a.m., on motion of Senator Johnson, the Senate adjourned until 12:00 noon, Thursday, April 3, 1997.
BRAD OWEN, President of the Senate
MIKE O'CONNELL, Secretary of the Senate