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The House was called to order at 10:00 a.m. by the Speaker (Representative Pennington presiding). 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 Bryan Vasques and Alex Fitterer. Prayer was offered by Representative Jim McIntire.

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

The Speaker (Representative Pennington presiding) introduced The Honorable Fidel Ramos, the former President of the Republic of the Philippines (from 1992 to 1998). Mr. Ramos addressed members of the House. Mr. Ramos was visiting Washington State on a trade mission. He introduced the people accompanying him.

The Senate receded from its amendment to SUBSTITUTE HOUSE BILL NO. 1450 and passed the bill without said amendments,

HOUSE RESOLUTION NO. 2001-4651 by Representatives Veloria, Cody, Schual-Berke, Campbell, Kenney, Mitchell, Dunn, Van Luven, Clements, Alexander, Quall, Armstrong, McDermott and Esser

WHEREAS, Multiple sclerosis (MS) is an unpredictable neurological disease that affects nearly a third of a million people in the United States; and

WHEREAS, Approximately 200 people each week are diagnosed with MS, more than one person every hour; and

WHEREAS, The unpredictable physical and emotional effects, such as blurred vision, loss of balance, poor coordination, slurred speech, tremors, numbness, extreme fatigue, even paralysis and blindness, can last the rest of their lives; and

WHEREAS, Onset of symptoms occurs most often between the ages of 20 and 40, at the prime of life when the impact of a chronic illness can be most damaging to family and career; and

WHEREAS, MS can be a very costly illness to an individual in terms of lost wages estimated annually at $22,000, the cost of health care estimated annually at $21,500, as well as time spent by family members providing care; and

WHEREAS, Approximately 150-220 per 100,000 people in Washington state have MS, making the incidence rate in this state one of the highest in the nation; and

WHEREAS, The National Multiple Sclerosis Society, Greater Washington Chapter services over 6,500 people with multiple sclerosis in 23 Western and Central Washington counties; and

WHEREAS, Every month the National Multiple Sclerosis Society, Greater Washington Chapter responds to hundreds of requests for information from people newly diagnosed with the disease, their families, friends, employers, and health professionals; and

WHEREAS, The Pacific Northwest Alliance of MS Centers works in collaboration with community clinicians, nurses, researchers, and persons affected by multiple sclerosis to organize ongoing patient educational lecture series; and

WHEREAS, The Pacific Northwest Alliance of MS Centers is working toward conducting collaborative clinical research to develop and maintain a common patient data base; and

WHEREAS, The MS clinics in the region are working towards sharing information about specific resources available, educational events, research opportunities, emerging findings in MS research, and ideas for improving MS patient care;

NOW, THEREFORE, BE IT RESOLVED, That the House of Representatives of the state of Washington declare the month of May to be MS Awareness Month, to educate the residents of Washington state about this disease; and

BE IT FURTHER RESOLVED, That the House of Representatives of the state of Washington also recognize that the Pacific Northwest is a region with one of the highest concentrations of MS in the country, and there is great demand for specialized MS care.

HOUSE RESOLUTION NO. 2001-4653 by Representatives Hankins, Fisher, Armstrong, Lisk and Hunt

WHEREAS, Sidney Wallace Morrison, known to most as "Sid," was born in the Yakima Valley in the state of Washington on May 13, 1933, and has ever since brought joy and honor to his parents Charlie and Ann, the entire Morrison family, and the many neighbors and friends within the Yakima Valley who are his roots, including his Toppenish High School classmates; and

WHEREAS, Sid served in the United States Army and graduated from Washington State College and throughout his career has been an advocate for the men and women serving in the nation's military and the students and alumnus of what is now Washington State University; and

WHEREAS, Sid and Marcella Morrison raised three girls and a boy and sustained the family ranch and business growing apples, cherries, pears, and other fruits that are the pride of Washington state's agricultural bounty; and

WHEREAS, Sid became a leader within Washington state's tree fruit industry and throughout his career has been a friend and advocate for all of the state's agricultural interests nationally and abroad; and

WHEREAS, Sid served the citizens of the state's 15th legislative district in the state House of Representatives and Senate, rising to positions of leadership in both bodies; and

WHEREAS, Sid served with distinction in the United States House of Representatives for 12 years, representing the state's 4th Congressional District; and

WHEREAS, During his days in the Congress, Sid worked hard to: establish the Goat Rocks and William O. Douglas wilderness areas, the Columbia Gorge National Scenic Area, the Mount St. Helens National Volcanic Monument; preserve working forests and sustain timber-dependent communities that rely on them; establish adequate water supplies to serve the needs of the environment and all that depends on the cool clean waters of the Yakima River and its creeks and tributaries; promote the nation's agricultural products throughout the world; and support research to sustain world-class family farms; and

WHEREAS, Sid was also a leader in Congress in providing reliable energy supplies and providing the nation with a strong defense, supporting the energy needs of the nation, new advanced high technology, science and space research, and the transformation of the Hanford Nuclear Reservation from a vital instrument of our nation's security into a national clean-up laboratory dedicated to the protection of the environment that surround it, and the Columbia River that passes through it; and

WHEREAS, Sid's congressional service also saw him advocate for civil rights, small businesses, people in need of organ donation, and the wide variety of needs of every citizen seeking help with the federal bureaucracy, assuring that his office served as a model of constituent service; and

WHEREAS, Sid made good on his promise to serve just 12 years in the Congress and then sought to bring the state together by campaigning hard to become the state's Governor; and

WHEREAS, Sid was named by the Washington State Department of Transportation as Secretary of Transportation in 1993 with the charge to prepare the state's transportation systems for the 21st century; and

WHEREAS, Sid proudly led the men and women of the Washington State Department of Transportation, always inspiring them to do their best and make the state's transportation agency a leader in the nation with the call to "Move it Better"; and

WHEREAS, During Sid's tenure at the department, major accomplishments included the completion of Interstate 90, the Mount St. Helens Memorial Highway, Highway 395 connecting Pasco and Ritzville, the Sequim By-Pass, voter approval of new mass transit to serve central Puget Sound, restoration of rail passenger service between Vancouver, B.C. and Eugene, Oregon, a new First Avenue South Bridge, Tacoma's Cable Stay Bridge on Highway 509, construction of three new Jumbo Mark II ferries and two new fast passenger ferries, safety improvements that have helped make Washington's highways safer each year and always among the safest in the nation, the steady improvement of the pavement conditions on all the state's roads, completion of major portions of the state's High-Occupant Vehicle System, development of the state's first long-range multimodal transportation plan, 30 percent growth in transit ridership, 15 percent growth in ferry ridership, support for freight rails that carry over 74 million tons of cargo each year, and freight mobility systems that support international trade tied to one in every three jobs in the state; and

WHEREAS, Sid led the state's transportation employees who sustain 18,000 miles of highway lanes, 3,300 bridges and tunnels, 70,000 acres of road side, six mountain passes, and 29 ferries and 20 ferry terminals that carry 26 million passengers each year and successfully complete over 99 percent of every ride; and

WHEREAS, Sid has always promoted the entire state's transportation needs, embracing the diversity of the state's communities and the diversity of all the people who keep the state moving and became a leader within the nation's transportation community; and

WHEREAS, Sid's career has always represented the best in civility, bipartisanship, results-oriented government, and service to all the people of the state with honor and integrity and is known to most everyone as the model of a "nice guy";

NOW, THEREFORE, BE IT RESOLVED, That the House of Representatives recognize the outstanding contributions of Sid Morrison, who has dedicated his life to making the state of Washington a better place, and wish him continued good fortune and active engagement in the affairs of the great state of Washington as he retires as Secretary of the Washington State Department of Transportation; and

BE IT FURTHER RESOLVED, That copies of this resolution be immediately transmitted by the Chief Clerks of the House of Representatives to the family of Sid Morrison.

The Senate refuses to concur in the House amendment to ENGROSSED SUBSTITUTE SENATE BILL NO. 5937, and asks the House to recede therefrom,

There being no objection, the House refused to recede from its amendments to Engrossed Substitute Senate Bill No. 5937, insisted on its position and asked the Senate to concur therein.

The Senate receded from the amendment by Senator(s) Kastama, Finkbeiner, McAuliffe and Zarelli to ENGROSSED SUBSTITUTE HOUSE BILL NO. 2137. Under suspension of the rules Engrossed Substitute House Bill No. 2137, was returned to second reading for purpose of amendment. The Senate adopted amendment 2137-S.E AAS 04/19/01 S-2711.2, and passed the bill as amended by the Senate.

(1) It is unlawful for a person to carry onto, or to possess on, public or private elementary or secondary school premises, school-provided transportation, or areas of facilities while being used exclusively by public or private schools:

(c) Any device commonly known as "nun-chu-ka sticks", consisting of two or more lengths of wood, metal, plastic, or similar substance connected with wire, rope, or other means;

(d) Any device, commonly known as "throwing stars", which are multi-pointed, metal objects designed to embed upon impact from any aspect; or

(e) Any air gun, including any air pistol or air rifle, designed to propel a BB, pellet, or other projectile by the discharge of compressed air, carbon dioxide, or other gas.

(2) Any such person violating subsection (1) of this section is guilty of a gross misdemeanor. If any person is convicted of a violation of subsection (1)(a) of this section, the person shall have his or her concealed pistol license, if any revoked for a period of three years. Anyone convicted under this subsection is prohibited from applying for a concealed pistol license for a period of three years. The court shall send notice of the revocation to the department of licensing, and the city, town, or county which issued the license.

Any violation of subsection (1) of this section by elementary or secondary school students constitutes grounds for expulsion from the state's public schools in accordance with RCW 28A.600.010. An appropriate school authority shall promptly notify law enforcement and the student's parent or guardian regarding any allegation or indication of such violation.

Upon the arrest of a person at least ((twelve)) thirteen years of age and not more than twenty-one years of age for violating subsection (1)(a) of this section, the person shall be detained or confined in a juvenile or adult facility for up to seventy-two hours. The person shall not be released within the seventy-two hours until after the person has been examined and evaluated by the ((county-designated mental health professional)) person or agency designated by the local regional support network unless the court in its discretion releases the person sooner after a determination regarding probable cause or on probation bond or bail.

Within twenty-four hours of the arrest, the arresting law enforcement agency shall refer the person to the ((county-designated mental health professional for examination and evaluation under chapter 71.05 or 71.34 RCW)) person or agency designated by the local regional support network to conduct a mental health examination and evaluation and inform a parent or guardian of the person of the arrest, detention, and examination. ((The county-designated mental health professional shall examine and evaluate the person subject to the provisions of chapter 71.05 or 71.34 RCW.)) Notification to the parent or guardian shall occur prior to any examination or evaluation by the person or agency designated by the local regional support network. The examination and evaluation shall occur within twenty-four hours of receiving the referral. The examination shall occur at the facility in which the person is detained or confined. If the person has been released on probation((,)) bond((,)) or bail, the examination shall occur wherever is appropriate.

The ((county-designated mental health professional)) person or agency designated by the local regional support network may, when appropriate, determine whether to refer the person to the county-designated mental health professional or the county-designated chemical dependency specialist for examination and evaluation for commitment proceedings in accordance with chapter 71.05, 71.34, or 70.96A RCW. When a referral is made by the person or agency designated by the local regional support network, the county-designated mental health professional or the county-designated chemical dependency specialist shall examine the person subject to the provisions of chapter 71.05, 71.34, or 70.96A RCW within twenty-four hours of receiving the referral. The examination shall occur at the facility in which the person is detained or confined. If the person has been released on probation((,)) bond((,)) or bail, the examination shall occur wherever is appropriate.

Upon completion of any examination by the person or agency designated by the local regional support network, the county-designated mental health professional, or the county-designated chemical dependency specialist, the results of the examination shall be sent to the court with jurisdiction, the school, the parents, and to the person if eighteen years of age or older, and the court shall consider those results in making any determination about the person. However, any reference in the examination report or reports to facts or circumstances of the alleged acts which resulted in the arrest of the person shall not be admissible in any criminal or juvenile proceeding if the person was unrepresented by counsel at the time of the examination, or had not been arraigned prior to the examination.

The person or agency designated by the local regional support network, the county-designated mental health professional, and the county-designated chemical dependency specialist shall((, to the extent permitted by law,)) notify a parent or guardian of the person, if the person is under the age of eighteen, that an examination and evaluation has taken place and the results of the examination. Nothing in this subsection prohibits the delivery of additional, appropriate mental health examinations to the person while the person is detained or confined.

If the ((county-designated mental health professional)) person or agency designated by the local regional support network determines it is appropriate, the ((county-designated mental health professional)) person or agency designated by the local regional support network may refer the person to the local regional support network for follow-up services or the department of social and health services or other community providers for other services to the family and individual.

(a) Any student or employee of a private military academy when on the property of the academy;

(b) Any person engaged in military, law enforcement, or school district security activities;

(c) Any person who is involved in a convention, showing, demonstration, lecture, or firearms safety course authorized by school authorities in which the firearms of collectors or instructors are handled or displayed;

(d) Any person while the person is participating in a firearms or air gun competition approved by the school or school district;

(e) Any person in possession of a pistol who has been issued a license under RCW 9.41.070, or is exempt from the licensing requirement by RCW 9.41.060, while picking up or dropping off a student;

(f) Any nonstudent at least eighteen years of age legally in possession of a firearm or dangerous weapon that is secured within an attended vehicle or concealed from view within a locked unattended vehicle while conducting legitimate business at the school;

(g) Any nonstudent at least eighteen years of age who is in lawful possession of an unloaded firearm, secured in a vehicle while conducting legitimate business at the school; or

(h) Any law enforcement officer of the federal, state, or local government agency.

(4) Subsections (1)(c) and (d) of this section do not apply to any person who possesses nun-chu-ka sticks, throwing stars, or other dangerous weapons to be used in martial arts classes authorized to be conducted on the school premises.

(5) Except as provided in subsection (3)(b), (c), (f), and (h) of this section, firearms are not permitted in a public or private school building.

(6) "GUN-FREE ZONE" signs shall be posted around school facilities giving warning of the prohibition of the possession of firearms on school grounds.

NEW SECTION. Sec. 2. A new section is added to chapter 9.61 RCW to read as follows:

Upon the arrest of a person at least thirteen years of age and not more than twenty-one years of age for violating RCW 9.61.160 by making a threat to bomb, on public or private elementary or secondary school premises, school provided transportation, or areas of facilities while being used exclusively by public or private schools, the person shall be detained or confined in a juvenile or adult facility for up to seventy-two hours. The person shall not be released within the seventy-two hours until after the person has been examined and evaluated by the person or agency designated by the local regional support network unless the court in its discretion releases the person sooner after a determination regarding probable cause or on probation bond or bail.

Within twenty-four hours of the arrest, the arresting law enforcement agency shall refer the person to the person or agency designated by the local regional support network to conduct a mental health examination and evaluation and inform a parent or guardian of the person of the arrest, detention, and examination. Notification to the parent or guardian shall occur prior to any examination or evaluation by the person or agency designated by the local regional support network. The examination and evaluation shall occur within twenty-four hours of receiving the referral. The examination shall occur at the facility in which the person is detained or confined. If the person has been released on probation bond or bail, the examination shall occur wherever is appropriate.

The person or agency designated by the local regional support network may, when appropriate, determine whether to refer the person to the county-designated mental health professional or the county-designated chemical dependency specialist for examination and evaluation for commitment proceedings in accordance with chapter 71.05, 71.34, or 70.96A RCW. When a referral is made by the person or agency designated by the local regional support network, the county-designated mental health professional or the county-designated chemical dependency specialist shall examine the person subject to the provisions of chapter 71.05, 71.34, or 70.96A RCW within twenty-four hours of receiving the referral. The examination shall occur at the facility in which the person is detained or confined. If the person has been released on probation bond or bail, the examination shall occur wherever is appropriate.

The person or agency designated by the local regional support network, the county-designated mental health professional, and the county-designated chemical dependency specialist shall notify a parent or guardian of the person, if the person is under the age of eighteen, that an examination and evaluation has taken place and the results of the examination. Nothing in this section prohibits the delivery of additional, appropriate mental health examinations to the person while the person is detained or confined.

If the person or agency designated by the local regional support network determines it is appropriate, the person or agency designated by the local regional support network may refer the person to the local regional support network for follow-up services or the department of social and health services or other community providers for other services to the family and individual."

On page 1, line 1 of the title, after "premises;" strike the remainder of the title and insert "amending RCW 9.41.280; and adding a new section to chapter 9.61 RCW."

There being no objection, the House refused to concur in the Senate Amendment(s) to Engrossed Substitute House Bill No. 2137 and asked the Senate to recede therefrom.

The Senate receded from the amendment by Committee on Judiciary to HOUSE BILL NO. 1227. Under suspension of the rules House Bill No.1227 was returned to second reading for the purpose of amendment. The Senate adopted amendment 1227 AAS 04/19/01 S-2700.1, and passed the bill as amended by the Senate.

"Sec. 1. RCW 9A.76.110 and 1982 1st ex.s. c 47 s 23 are each amended to read as follows:

(1) A person is guilty of escape in the first degree if((,)) he or she knowingly escapes from custody or a detention facility while being detained pursuant to a conviction of a felony or an equivalent juvenile offense((, he escapes from custody or a detention facility)).

(2) It is an affirmative defense to a prosecution under this section that uncontrollable circumstances prevented the person from remaining in custody or in the detention facility or from returning to custody or to the detention facility, and that the person did not contribute to the creation of such circumstances in reckless disregard of the requirement to remain or return, and that the person returned to custody or the detention facility as soon as such circumstances ceased to exist.

(b) Having been charged with a felony or an equivalent juvenile offense, he or she knowingly escapes from custody; or

(c) ((Having been found to be a sexually violent predator and being under an order of conditional release, he or she leaves the state of Washington without prior court authorization)) Having been committed under chapter 10.77 RCW for a sex, violent, or felony harassment offense and being under an order of conditional release, he or she knowingly leaves or remains absent from the state of Washington without prior court authorization.

Sec. 3. RCW 9A.76.170 and 1983 1st ex.s. c 4 s 3 are each amended to read as follows:

(1) Any person having been released by court order or admitted to bail with knowledge of the requirement of a subsequent personal appearance before any court of this state, or of the requirement to report to a correctional facility for service of sentence, and who ((knowingly)) fails to appear or who fails to surrender for service of sentence as required is guilty of bail jumping.

(2) It is an affirmative defense to a prosecution under this section that uncontrollable circumstances prevented the person from appearing or surrendering, and that the person did not contribute to the creation of such circumstances in reckless disregard of the requirement to appear or surrender, and that the person appeared or surrendered as soon as such circumstances ceased to exist.

(a) A class A felony if the person was held for, charged with, or convicted of murder in the first degree;

(b) A class B felony if the person was held for, charged with, or convicted of a class A felony other than murder in the first degree;

(d) A misdemeanor if the person was held for, charged with, or convicted of a gross misdemeanor or misdemeanor.

The following definitions are applicable in this chapter unless the context otherwise requires:

(1) "Custody" means restraint pursuant to a lawful arrest or an order of a court, or any period of service on a work crew: PROVIDED, That custody pursuant to chapter 13.34 RCW and RCW 74.13.020 and 74.13.031 and chapter 13.32A RCW shall not be deemed custody for purposes of this chapter;

(2) "Detention facility" means any place used for the confinement of a person (a) arrested for, charged with or convicted of an offense, or (b) charged with being or adjudicated to be a juvenile offender as defined in RCW 13.40.020 as now existing or hereafter amended, or (c) held for extradition or as a material witness, or (d) otherwise confined pursuant to an order of a court, except an order under chapter 13.34 RCW or chapter 13.32A RCW, or (e) in any work release, furlough, or other such facility or program;

(3) "Contraband" means any article or thing which a person confined in a detention facility is prohibited from obtaining or possessing by statute, rule, regulation, or order of a court;

(4) "Uncontrollable circumstances" means an act of nature such as a flood, earthquake, or fire, or a medical condition that requires immediate hospitalization or treatment, or an act of man such as an automobile accident or threats of death, forcible sexual attack, or substantial bodily injury in the immediate future for which there is no time for a complaint to the authorities and no time or opportunity to resort to the courts.

The offender score is measured on the horizontal axis of the sentencing grid. The offender score rules are as follows:

The offender score is the sum of points accrued under this section rounded down to the nearest whole number.

(1) A prior conviction is a conviction which exists before the date of sentencing for the offense for which the offender score is being computed. Convictions entered or sentenced on the same date as the conviction for which the offender score is being computed shall be deemed "other current offenses" within the meaning of RCW 9.94A.400.

(2) Class A and sex prior felony convictions shall always be included in the offender score. Class B prior felony convictions other than sex offenses shall not be included in the offender score, if since the last date of release from confinement (including full-time residential treatment) pursuant to a felony conviction, if any, or entry of judgment and sentence, the offender had spent ten consecutive years in the community without committing any crime that subsequently results in a conviction. Class C prior felony convictions other than sex offenses shall not be included in the offender score if, since the last date of release from confinement (including full-time residential treatment) pursuant to a felony conviction, if any, or entry of judgment and sentence, the offender had spent five consecutive years in the community without committing any crime that subsequently results in a conviction. Serious traffic convictions shall not be included in the offender score if, since the last date of release from confinement (including full-time residential treatment) pursuant to a felony conviction, if any, or entry of judgment and sentence, the offender spent five years in the community without committing any crime that subsequently results in a conviction. This subsection applies to both adult and juvenile prior convictions.

(3) Out-of-state convictions for offenses shall be classified according to the comparable offense definitions and sentences provided by Washington law. Federal convictions for offenses shall be classified according to the comparable offense definitions and sentences provided by Washington law. If there is no clearly comparable offense under Washington law or the offense is one that is usually considered subject to exclusive federal jurisdiction, the offense shall be scored as a class C felony equivalent if it was a felony under the relevant federal statute.

(4) Score prior convictions for felony anticipatory offenses (attempts, criminal solicitations, and criminal conspiracies) the same as if they were convictions for completed offenses.

(5)(a) In the case of multiple prior convictions, for the purpose of computing the offender score, count all convictions separately, except:

(i) Prior offenses which were found, under RCW 9.94A.400(1)(a), to encompass the same criminal conduct, shall be counted as one offense, the offense that yields the highest offender score. The current sentencing court shall determine with respect to other prior adult offenses for which sentences were served concurrently or prior juvenile offenses for which sentences were served consecutively, whether those offenses shall be counted as one offense or as separate offenses using the "same criminal conduct" analysis found in RCW 9.94A.400(1)(a), and if the court finds that they shall be counted as one offense, then the offense that yields the highest offender score shall be used. The current sentencing court may presume that such other prior offenses were not the same criminal conduct from sentences imposed on separate dates, or in separate counties or jurisdictions, or in separate complaints, indictments, or informations;

(ii) In the case of multiple prior convictions for offenses committed before July 1, 1986, for the purpose of computing the offender score, count all adult convictions served concurrently as one offense, and count all juvenile convictions entered on the same date as one offense. Use the conviction for the offense that yields the highest offender score.

(b) As used in this subsection (5), "served concurrently" means that: (i) The latter sentence was imposed with specific reference to the former; (ii) the concurrent relationship of the sentences was judicially imposed; and (iii) the concurrent timing of the sentences was not the result of a probation or parole revocation on the former offense.

(6) If the present conviction is one of the anticipatory offenses of criminal attempt, solicitation, or conspiracy, count each prior conviction as if the present conviction were for a completed offense. When these convictions are used as criminal history, score them the same as a completed crime.

(7) If the present conviction is for a nonviolent offense and not covered by subsection (11) or (12) of this section, count one point for each adult prior felony conviction and one point for each juvenile prior violent felony conviction and 1/2 point for each juvenile prior nonviolent felony conviction.

(8) If the present conviction is for a violent offense and not covered in subsection (9), (10), (11), or (12) of this section, count two points for each prior adult and juvenile violent felony conviction, one point for each prior adult nonviolent felony conviction, and 1/2 point for each prior juvenile nonviolent felony conviction.

(9) If the present conviction is for a serious violent offense, count three points for prior adult and juvenile convictions for crimes in this category, two points for each prior adult and juvenile violent conviction (not already counted), one point for each prior adult nonviolent felony conviction, and 1/2 point for each prior juvenile nonviolent felony conviction.

(10) If the present conviction is for Burglary 1, count prior convictions as in subsection (8) of this section; however count two points for each prior adult Burglary 2 or residential burglary conviction, and one point for each prior juvenile Burglary 2 or residential burglary conviction.

(11) If the present conviction is for a felony traffic offense count two points for each adult or juvenile prior conviction for Vehicular Homicide or Vehicular Assault; for each felony offense count one point for each adult and 1/2 point for each juvenile prior conviction; for each serious traffic offense, other than those used for an enhancement pursuant to RCW 46.61.520(2), count one point for each adult and 1/2 point for each juvenile prior conviction.

(12) If the present conviction is for a drug offense count three points for each adult prior felony drug offense conviction and two points for each juvenile drug offense. All other adult and juvenile felonies are scored as in subsection (8) of this section if the current drug offense is violent, or as in subsection (7) of this section if the current drug offense is nonviolent.

(13) If the present conviction is for ((Willful Failure to Return from Furlough, RCW 72.66.060, Willful Failure to Return from Work Release, RCW 72.65.070, or)) Escape from Community Custody, RCW 72.09.310, count only prior escape convictions in the offender score. Count adult prior escape convictions as one point and juvenile prior escape convictions as 1/2 point.

(14) If the present conviction is for Escape 1, RCW 9A.76.110, or Escape 2, RCW 9A.76.120, count adult prior convictions as one point and juvenile prior convictions as 1/2 point.

(15) If the present conviction is for Burglary 2 or residential burglary, count priors as in subsection (7) of this section; however, count two points for each adult and juvenile prior Burglary 1 conviction, two points for each adult prior Burglary 2 or residential burglary conviction, and one point for each juvenile prior Burglary 2 or residential burglary conviction.

(16) If the present conviction is for a sex offense, count priors as in subsections (7) through (15) of this section; however count three points for each adult and juvenile prior sex offense conviction.

(17) If the present conviction is for an offense committed while the offender was under community placement, add one point.

NEW SECTION. Sec. 6. A new section is added to chapter 10.88 RCW to read as follows:

A law enforcement agency shall deliver a person in custody to the accredited agent or agents of a demanding state without the governor's warrant provided that:

(1) Such person is alleged to have broken the terms of his or her probation, parole, bail, or any other release of the demanding state; and

(2) The law enforcement agency has received from the demanding state an authenticated copy of a prior waiver of extradition signed by such person as a term of his or her probation, parole, bail, or any other release of the demanding state and photographs or fingerprints or other evidence properly identifying the person as the person who signed the waiver.

(1) RCW 72.65.070 (Wilfully failing to return--Deemed escapee and fugitive--Penalty) and 1967 c 17 s 7; and

(2) RCW 72.66.060 (Wilfully failing to return--Deemed escapee and fugitive--Penalty) and 1971 ex.s. c 58 s 7.

NEW SECTION. Sec. 8. The laws repealed by this act are repealed except with respect to rights and duties which matured, penalties which were incurred, proceedings which were begun prior to the effective date of this act, or proceedings which are initiated after this act for violations committed prior to the effective date of this act.

NEW SECTION. Sec. 9. 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, 2001."

On page 1, line 1 of the title, after "custody;" strike the remainder of the title and insert "amending RCW 9A.76.110, 9A.76.120, 9A.76.170, 9A.76.010, and 9.94A.360; adding a new section to chapter 10.88 RCW; creating a new section; repealing RCW 72.65.070 and 72.66.060; prescribing penalties; providing an effective date; and declaring an emergency."

There being no objection, the House concurred in the Senate amendment to House Bill No. 1227.

The Speaker (Representative Pennington presiding) stated the question before the House to be the final passage of House Bill No. 1227 as amended by the Senate.

Representatives Ballasiotes and O'Brien spoke in favor of the passage of the bill.

On motion of Representative Santos, Representatives Gombosky, Kenney, Murray and Speaker Chopp were excused. On motion of Representative Schoesler, Representatives DeBolt, Mitchell and Speaker Ballard were excused.

The Clerk called the roll on the final passage of House Bill No. 1227 as amended by the Senate and the bill passed the House by the following vote: Yeas - 91, Nays - 0, Absent - 0, Excused - 7.

Voting yea: Representatives Ahern, Alexander, Anderson, Armstrong, Ballasiotes, Barlean, Benson, Berkey, Boldt, Buck, Bush, Cairnes, Campbell, Carrell, Casada, B. Chandler, G. Chandler, Clements, Cody, Conway, Cooper, Cox, Crouse, Darneille, Delvin, Dickerson, Doumit, Dunn, Dunshee, Edmonds, Edwards, Eickmeyer, Ericksen, Esser, Fisher, Fromhold, Grant, Haigh, Hankins, Hatfield, Hunt, Hurst, Jackley, Jarrett, Kagi, Keiser, Kessler, Kirby, Lambert, Lantz, Linville, Lisk, Lovick, Marine, Mastin, McDermott, McIntire, McMorris, Mielke, Miloscia, Morell, Morris, Mulliken, O'Brien, Ogden, Pearson, Pennington, Pflug, Poulsen, Quall, Reardon, Roach, Rockefeller, Romero, Ruderman, Santos, Schindler, Schmidt, Schoesler, Schual-Berke, Sehlin, Simpson, Skinner, Sommers, Sump, Talcott, Tokuda, Van Luven, Veloria, Wood, and Woods - 91.

Excused: Representatives DeBolt, Gombosky, Kenney, Mitchell, Murray, Speaker Ballard, and Speaker Chopp - 7.

House Bill No. 1227 as amended by the Senate having received the necessary constitutional majority, was declared passed.

The Senate receded from the amendment by Committee on Human Services & Corrections to SECOND SUBSTITUTE HOUSE BILL NO. 1249. Under suspension of the rules Second Substitute House Bill No. 1249, was returned to second reading for purpose of amendment. The Senate adopted amendment 1249-S2 AAS 04/19/01 S-2710.1, and passed the bill as amended by the Senate.

"NEW SECTION. Sec. 1. A new section is added to chapter 74.13 RCW, to be codified after RCW 74.13.010, to read as follows:

The legislature finds that accreditation of children's services by an independent entity can significantly improve the quality of services provided to children and families. Accreditation involves an ongoing commitment to meeting nationally recognized standards of practice in child welfare and holds organizations accountable for achieving improved outcomes for children.

Accreditation is a structured process designed to facilitate organizational change and improvement within individual local offices. Standards require improved case management, documentation, internal case management practices, and accountability. Accreditation requires the establishment of clear communication with biological parents, foster and adoptive parents, providers, the courts, and members of the community.

NEW SECTION. Sec. 2. A new section is added to chapter 74.13 RCW, to be codified after section 1 of this act, to read as follows:

The department shall undertake the process of accreditation with the goal of completion by July 2006. The department, in conjunction with a national independent accreditation entity, shall report to the appropriate legislative committees its progress towards complete accreditation on an annual basis, starting December 2001."

On page 1, line 1 of the title, after "services;" strike the remainder of the title and insert "and adding new sections to chapter 74.13 RCW."

There being no objection, the House concurred in the Senate amendment to Second Substitute House Bill No. 1249.

The Speaker (Representative Pennington presiding) stated the question before the House to be the final passage of Second Substitute House Bill No. 1249 as amended by the Senate.

The Clerk called the roll on the final passage of Second Substitute House Bill No. 1249 as amended by the Senate and the bill passed the House by the following vote: Yeas - 90, Nays - 0, Absent - 0, Excused - 8.

Excused: Representatives DeBolt, Gombosky, Kenney, Mitchell, Murray, Veloria, Speaker Ballard, and Speaker Chopp - 8.

Second Substitute House Bill No. 1249 as amended by the Senate having received the necessary constitutional majority, was declared passed.

The Senate receded from the amendment by Senator Brown to SUBSTITUTE HOUSE BILL NO. 1314. Under suspension of the rules Substitute House Bill No. 1314 was returned to second reading for purpose of amendment. The Senate adopted amendment 1314-S AAS 04/18/01 S-2690.2, and passed the bill as amended by the Senate.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,847,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,847,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$11,694,000

The appropriations in this section are subject to the following conditions and limitations: The appropriations shall be transferred to the legislative systems revolving fund. Transfer authority shall not be granted for the 2001-03 fiscal biennium.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $904,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((852,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((1,756,000))

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $13,144,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((14,569,000))

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((25,085,000))

Judicial Information Systems Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$19,016,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((71,814,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Funding provided in the judicial information systems account appropriation shall be used for the operations and maintenance of technology systems that improve services provided by the supreme court, the court of appeals, the office of public defense, and the administrator for the courts.

(2) No moneys appropriated in this section may be expended by the administrator for the courts for payments in excess of fifty percent of the employer contribution on behalf of superior court judges for insurance and health care plans and federal social security and medicare and medical aid benefits. Consistent with Article IV, section 13 of the state Constitution and 1996 Attorney General's Opinion No. 2, it is the intent of the legislature that the costs of these employer contributions shall be shared equally between the state and county or counties in which the judges serve. The administrator for the courts shall continue to implement procedures for the collection and disbursement of these employer contributions.

(3) $223,000 of the public safety and education account appropriation is provided solely for the gender and justice commission.

(4) $308,000 of the public safety and education account appropriation is provided solely for the minority and justice commission.

(5) $278,000 of the general fund--state appropriation for fiscal year 2000, $285,000 of the general fund--state appropriation for fiscal year 2001, and $263,000 of the public safety and education account appropriation are provided solely for the workload associated with tax warrants and other state cases filed in Thurston county.

(6) $200,000 of the public safety and education account appropriation is provided solely for a unified family court pilot program. Of this amount, $150,000 is provided for the costs of establishing the program and $50,000 is provided for costs associated with evaluating the efficacy of the program. The pilot program grant is limited to the 1999-01 biennium. After this time, it is assumed that funding for continuation of the unified family court or expansion to other counties would be provided by local jurisdictions based on the results of the evaluation of the program.

(7) $130,000 of the general fund--state appropriation for fiscal year 2000 and $130,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the new judicial positions authorized by Engrossed Senate Bill No. 5036 (superior court judges).

(8) $132,000 of the general fund--state appropriation for fiscal year 2000 and $136,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the state's portion of increased costs in the superior court mandatory arbitration program.

(9) $750,000 of the general fund--state appropriation for fiscal year 2001 is provided solely to increase the number of children served by court-appointed special advocates in dependency matters. The office of the administrator for the courts, after consulting with the Washington association of juvenile court administrators and the Washington association of court-appointed special advocate/guardian ad litem programs, shall distribute the funds to volunteer court-appointed special advocate/guardian ad litem programs. The distribution of funding shall be based on the number of children who need volunteer court-appointed special advocate representation and shall be equally accessible to all volunteer court-appointed special advocate/guardian ad litem programs. The administrator for the courts shall not retain more than six percent of total funding to cover administrative or any other agency costs.

(10) $30,000 of the public safety and education account--state appropriation is provided solely for the office of the administrator for the courts to convene a task force to review whether there are revisions to existing statutes and court rules which, if implemented, would decrease the likelihood of an inappropriate imposition of the death penalty.

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $500,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((12,490,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((12,990,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $558,000 of the public safety and education account appropriation is provided solely to increase the reimbursement for private attorneys providing constitutionally mandated indigent defense in nondeath penalty cases.

(2) $51,000 of the public safety and education account appropriation is provided solely for the implementation of House Bill No. 1599 (court funding). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(3) Amounts provided from the public safety and education account appropriation in this section include funding for investigative services in death penalty personal restraint petitions.

(4) The entire general fund--state appropriation is provided solely for a dependency and termination legal representation funding pilot program.

(a) The goal of the pilot program shall be to enhance the quality of legal representation in dependency and termination hearings, thereby reducing the number of continuances requested by contract attorneys, including those based on the unavailability of defense counsel. To meet the goal, the pilot shall include the following components:

(i) A maximum caseload requirement of 90 dependency and termination cases per full-time attorney;

(ii) Implementation of enhanced defense attorney practice standards, including but not limited to those related to reasonable case preparation and the delivery of adequate client advice, as developed by Washington state public defense attorneys and included in the office of public defense December 1999 report Costs of Defense and Children's Representation in Dependency and Termination Hearings;

(iv) Effective implementation of indigency screening of all dependency and termination parents, guardians, and legal custodians represented by appointed counsel.

(b) The pilot program shall be established in one eastern and one western Washington juvenile court.

(c) The director shall contract for an independent evaluation of the pilot program benefits and costs. An interim evaluation shall be submitted to the governor and fiscal committees of the legislature no later than January 1, 2001. A final evaluation shall be submitted to the governor and the fiscal committees of the legislature no later than ninety days following the close of the 1999-01 fiscal biennium.

(5) $50,000 of the public safety and education account--state appropriation is provided solely for the implementation of Substitute House Bill No. 2491 (DNA testing of offenders). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,762,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,720,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $209,000

Water Quality Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$700,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((12,315,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $1,612,000 of the general fund--state appropriation for fiscal year 2000, $1,588,000 of the general fund--state appropriation for fiscal year 2001, $700,000 of the water quality account appropriation, and $209,000 of the general fund--federal appropriation are provided solely for the implementation of the Puget Sound work plan and agency action items PSAT-01 through PSAT-05.

(2) $100,000 of the general fund--state appropriation for fiscal year 2000 and $100,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the salmon recovery office to support the efforts of the independent science panel.

(3) $62,000 of the fiscal year 2000 general fund--state appropriation and $63,000 of the fiscal year 2001 general fund--state appropriation are provided solely to implement Second Substitute Senate Bill No. 5595 or Engrossed Substitute House Bill No. 2079, establishing the salmon recovery funding board in the office of the governor. If legislation establishing the board is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(4) $3,000 of the general fund--state appropriation for fiscal year 2001 is provided solely to implement Senate Bill No. 5408 (state medal of valor).

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,751,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((2,170,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((3,921,000))

The appropriations in this section are subject to the following conditions and limitations: $328,000 of the general fund--state appropriation for fiscal year 2000 and $760,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the implementation of Engrossed Second Substitute Senate Bill No. 5931 (electronic filing and public access). If the bill is not enacted by June 30, 1999, the amounts provided shall lapse.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $14,043,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((8,399,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$120,000

Archives and Records Management Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . $((5,489,000))

Archives and Records Management Account--Private/Local Appropriation. . . . . . . . . . . . . . . . . .$((4,123,000))

Department of Personnel Service Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . $681,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((32,855,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $2,355,000 of the general fund--state appropriation for fiscal year 2000 is provided solely to reimburse counties for the state's share of primary and general election costs and the costs of conducting mandatory recounts on state measures.

(2) $3,780,000 of the general fund--state appropriation for fiscal year 2000 ((is)) and $1,621,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to reimburse counties for the state's share of presidential preference primary election costs. For expenses payable in fiscal year 2001, counties shall be reimbursed only for those actual presidential preference primary election costs that the secretary of state validates as eligible for reimbursement.

(3) $2,106,000 of the general fund--state appropriation for fiscal year 2000 and (($2,663,000)) $2,413,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the verification of initiative and referendum petitions, maintenance of related voter registration records, and the publication and distribution of the voters and candidates pamphlet.

(4) $125,000 of the general fund--state appropriation for fiscal year 2000 and $125,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for legal advertising of state measures under RCW 29.27.072.

(5)(a) $1,870,350 of the general fund--state appropriation for fiscal year 2000 and $1,907,757 of the general fund--state appropriation for fiscal year 2001 are provided solely for continuing the contract with a nonprofit organization to produce gavel-to-gavel television coverage of state government deliberations and other events of state-wide significance during the 1999-2001 biennium.

(b) The funding level for each year of the contract shall be based on the amount provided in this subsection and adjusted to reflect the implicit price deflator for the previous year. The nonprofit organization shall be required to raise contributions or commitments to make contributions, in cash or in kind, in an amount equal to forty percent of the state contribution. The office of the secretary of state may make full or partial payment once all criteria in (a) and (b) of this subsection have been satisfactorily documented.

(c) The nonprofit organization shall prepare an annual independent audit, an annual financial statement, and an annual report, including benchmarks that measure the success of the nonprofit organization in meeting the intent of the program.

(d) No portion of any amounts disbursed pursuant to this subsection may be used, directly or indirectly, for any of the following purposes:

(i) Attempting to influence the passage or defeat of any legislation by the legislature of the state of Washington by any county, city, town, or other political subdivision of the state of Washington, or by the congress, or the adoption or rejection of any rule, standard, rate, or other legislative enactment of any state agency;

(iii) Providing any: (A) Gift; (B) honoraria; or (C) travel, lodging, meals, or entertainment to a public officer or employee.

(6) (($867,000)) $1,252,000 of the archives and records management account--state appropriation is provided solely for operation of the central microfilming bureau under RCW 40.14.020(8).

(7) $120,000 of the general fund--private/local appropriation is provided solely for the Washington quality awards council.

(8) $20,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for the operations of the task force on archaeology and historic preservation. The task force shall develop a single recommendation for consideration by the legislature and the governor on the issue of the location of the office of archaeology and historic preservation within state government. The recommended location shall maximize the office of archaeology and historic preservation's stature, visibility, accessibility, and delivery of service state-wide in the context of its critical role as an important link among downtown and neighborhood revitalization efforts, the cultural tourism movement, rural economic development initiatives, and the preservation of the structures and sites that still remain as the legacy of Washington's rich and diverse heritage. The task force shall consider and include in its recommendation how best both to realize the potential of the office of archaeology and historic preservation to generate revenue from services it could provide in international, national, state, local, and private venues and also how best to achieve adequate funding from all funding sources to assure that the office of archaeology and historic preservation can provide the best possible service to the citizens of the state. There shall be eleven members of the task force as follows: One member shall be the state historic preservation officer or his or her designee; two members shall be representatives of state agencies; two members shall be representatives of local governments; there shall be one representative each from the Washington state historical society, the eastern Washington state historical society, the Washington trust for historic preservation, and Indian tribes; and two members shall be representatives of the private sector who have experience in preservation of historic buildings or archaeological sites or who have particular interest in the issue of preservation of historic buildings and archaeological sites. The state historic preservation officer shall be the chair of the task force. The task force shall report to appropriate committees of the legislature and the governor by January 1, 2001.

(9) $8,000 of the fiscal year 2001 general fund--state appropriation is provided solely to implement Senate Bill No. 5408 (state medal of valor).

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $215,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((215,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((430,000))

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 67,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((128,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((195,000))

The appropriations in this section are subject to the following conditions and limitations and are sufficient for the commission to: (1) Carry out statutorily required public hearings; (2) enter into an agreement with the department of personnel to provide data sharing, research support, and training for commission members and staff; (3) employ part-time staff in fiscal year 2000 to respond to requests for information; and (4) begin full-time staffing in September 2000 to allow for orientation and training for commission members prior to the next salary setting cycle. $25,000 of the general fund--state appropriation for fiscal year 2000 and $10,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for office rent for the remainder of the biennium, increased AFRS and consolidated mail costs, general administration consulting services, and unexpected commission meeting costs related to litigation. Future funding for lease costs beyond the current biennium shall be contingent upon the agency's colocation with another agency.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,079,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((4,557,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,526,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,338,000

New Motor Vehicle Arbitration Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,109,000

Legal Services Revolving Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $118,390,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((131,999,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) The attorney general shall report each fiscal year on actual legal services expenditures and actual attorney staffing levels for each agency receiving legal services. The report shall be submitted to the office of financial management and the fiscal committees of the senate and house of representatives no later than ninety days after the end of each fiscal year.

(2) The attorney general and the office of financial management shall modify the attorney general billing system to meet the needs of user agencies for greater predictability, timeliness, and explanation of how legal services are being used by the agency. The attorney general shall provide the following information each month to agencies receiving legal services: (a) The full-time equivalent attorney services provided for the month; (b) the full-time equivalent investigator services provided for the month; (c) the full-time equivalent paralegal services provided for the month; and (d) direct legal costs, such as filing and docket fees, charged to the agency for the month.

(3) $154,000 of the fiscal year 2000 general fund--state appropriation and $308,000 of the fiscal year 2001 general fund--state appropriation are provided solely for the costs associated with the legal defense and implementation of initiative measures ((No. 695)) approved by the voters in fiscal years 2000 and 2001.

(4) $486,000 of the legal services revolving account appropriation is provided solely to support activities related to vulnerable adults. Such activities include providing technical assistance for guardianships, financial exploitation cases, protection orders, and providing assistance to police and prosecutors addressing vulnerable adults.

(5) $200,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for costs associated with enforcing state authority on taxation of liquor with respect to Resolution T-022-00, or any other tax or regulatory ordinances regarding liquor, adopted by the Confederated Tribes and Bands of the Yakama Nation.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $12,600,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((13,208,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((23,340,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$500,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((49,648,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $50,000 of the general fund--state appropriation for fiscal year 2000 is provided solely to evaluate and promote the use by state and local agencies of the training facilities at the Hanford reservation.

(2) Funding in this section provides for a feasibility study to collect Washington enrollment data on distance learning programs sponsored by in-state and out-of-state private institutions in cooperation with the higher education coordinating board and the state board for community and technical colleges. Findings shall be submitted to the appropriate committees of the legislature by January 2000.

(3) $75,000 of the fiscal year 2000 general fund--state appropriation and $75,000 of the fiscal year 2001 general fund--state appropriation are provided solely to track and administer state and federal funding for salmon recovery allocated by the salmon recovery funding board established under Second Substitute Senate Bill No. 5595 or Engrossed Substitute House Bill No. 2079.

(4) The office of financial management, in collaboration with the institutions of higher education, the higher education coordinating board, and the state board for community and technical colleges, shall modify state information systems in order to provide consistent data on students engaged in distance learning. Higher education institutions shall provide enrollment information in support of this effort. Reporting on the numbers and categories of students enrolled in distance learning by class level and institutions shall begin by fall term, 2000. Washington independent institutions of higher education are encouraged to participate in this process and to provide distance learner enrollment data.

(5) $1,000,000 of the general fund--state appropriation and $500,000 of the general fund--private/local appropriation are provided solely for the commission on early learning. One-half of the amount provided from the general fund--state shall not be expended unless matched by an equal amount from private sources.

(6) $329,000 of the general fund--state appropriation for fiscal 2001 is provided solely to develop a centralized database of social service contract information as recommended by the task force on agency contracting services.

(7) $689,000 of the general fund--state appropriation is provided solely for information systems improvements at the department of fish and wildlife, including a network upgrade, purchase of personal computers, and support for agency information systems.

(8) $795,000 of the general fund--state appropriation is provided solely for improvements in the basic business practices at the department of fish and wildlife, including budget monitoring, cost accounting, time accounting and payroll systems, and license revenue forecasting.

(9) $75,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for the task force on health care reinsurance established by Second Substitute Senate Bill No. 6067 (health insurance coverage). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(10) $285,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for the office of financial management to adopt and publish uniform guidelines for the effective and efficient management of personal service contracts and client service contracts by all state agencies, conduct training on these guidelines for agency personnel, and conduct risk-based audits of personal service and client service contracts, as generally described in Second Substitute House Bill No. 2738 (state agency personal service contract practices).

(a) The guidelines shall, at a minimum, include: (i) Accounting methods, systems, measures, and principles to be used by agencies and contractors; (ii) precontract procedures for selecting potential contractors based on their qualifications and ability to perform; (iii) incorporation of performance measures and measurable benchmarks in contracts, and the use of performance audits; (iv) uniform contract terms to ensure contract performance and compliance with state and federal standards; (v) proper payment and reimbursement methods to ensure that the state receives full value for taxpayer moneys, including cost settlements and cost allowance; (vi) post-contract procedures, including methods for recovering improperly spent or overspent moneys for disallowance and adjustment; (vii) adequate contract remedies and sanctions to ensure compliance; (viii) monitoring, fund tracking, risk assessment, and auditing procedures and requirements; (ix) financial reporting, record retention, and record access procedures and requirements; (x) procedures and criteria for terminating contracts for cause or otherwise; and (xi) other subjects related to effective and efficient contract management.

(b) The office of financial management shall provide a training course for agency personnel responsible for executing and managing personal service contracts and client service contracts. The course must contain training on effective and efficient contract management under the guidelines established under this subsection.

(c) The office of financial management shall conduct risk-based audits of the contracting practices associated with individual personal service and client service contracts from multiple state agencies to ensure compliance with the guidelines established in this subsection. The office of financial management shall forward the results of the audits conducted under this subsection to the governor, the appropriate standing committees of the legislature, and the joint legislative audit and review committee.

(11) $30,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for a review of K-12 regional cost differences. The office of financial management shall conduct research, including a review of existing methods of determining regional cost differences. Regional cost differences shall include, but not be limited to, the cost of renting, leasing, or purchasing housing. The office of financial management shall report findings on cost differences on a regional basis and make recommendations on options for mitigating these differences to the appropriate committees of the house of representatives and senate by December 15, 2000.

(12) $243,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for an audit of the state ferry capital program. The audit of ferry capital operations shall determine the following: Whether the ferry system is acquiring, protecting, and using its resources economically and efficiently; the causes of inefficiencies or uneconomical practices; and whether the ferry system has complied with laws and regulations governing economy and efficiency. This audit shall build on audits performed by, or under the direction of, the joint legislative audit and review committee on ferry capital operations. In establishing the scope of this audit, the director of financial management shall solicit public comments from interested parties and benchmark the state ferry capital operations to other public and private ferry capital operations. To address the intent of this subsection, the director may contract for specialized expertise. The audit report shall be delivered on or before January 1, 2001, to the governor and to the fiscal committees of the state legislature.

Administrative Hearings Revolving Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . $((20,749,000))

Department of Personnel Service Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . $16,999,000

Higher Education Personnel Services Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . $1,640,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$18,639,000

The appropriations in this section are subject to the following conditions and limitations:

(1) The department shall reduce its charge for personnel services to the lowest rate possible.

(2) The department of personnel service account appropriation contains sufficient funds to continue the employee exchange program with the Hyogo prefecture in Japan.

(3) $515,000 of the department of personnel service account appropriation is provided solely for the development and implementation of a new employment application processing system to: Provide for electronic applications via the internet, provide continuous application acceptance, provide increased public access to job openings, allow for single applications for multiple jobs, and provide for scanning of larger applicant databases as job openings arise.

(4) $190,000 of the department of personnel service account appropriation is provided solely for the expansion of the executive fellowship program.

(5) $108,000 of the department of personnel service account appropriation is provided solely for increased funding of the administrative expenses of the combined fund drive.

(6) $52,000 of the department of personnel service account appropriation is provided solely to implement House Bill No. 5432 (retiree charitable deductions). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(7) The department of personnel has the authority to charge agencies for expenses associated with converting its payroll/personnel computer system to accommodate the year 2000 date change and to implement plan 3 of the public employees' retirement system. Funding to cover these expenses shall be realized from the agency FICA savings associated with the pretax benefits contributions plan.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $216,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((225,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((441,000))

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $190,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((188,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((378,000))

Dependent Care Administrative Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . .$361,000

Department of Retirement Systems Expense Account--State Appropriation. . . . . . . . . . . . . . . . . .$((44,608,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((44,969,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $92,000 of the department of retirement systems expense account appropriation is provided solely to implement Substitute Senate Bill No. 5030 (Washington state patrol surviving spouse retirement). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(2) $259,000 of the department of retirement systems expense account appropriation is provided solely to implement Substitute House Bill No. 1024 (retirement system option). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(3) $55,000 of the department of retirement systems expense account appropriation is provided solely to implement Substitute Senate Bill No. 6012 (investment board fund values). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(4) $22,000 of the department of retirement systems expense account appropriation is provided solely to implement Senate Bill No. 5432 (PERS retiree charitable deductions). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(5) $50,000 of the department of retirement systems expense account appropriation is provided solely for the department to prepare and distribute to state employees information about options under the federal tax code for tax-advantaged retirement savings.

(6) $3,731,000 of the department of retirement systems expense account appropriation is provided solely for the information systems project known as the electronic document image management system. Authority to expend this amount is conditioned on compliance with section 902 of this act.

(7) The department shall adjust the retirement systems administrative rate during the 1999-2001 biennium as necessary to provide for law enforcement officers' and fire fighters' retirement system employer funding for a study of LEOFF plan 1 medical liabilities by the office of the state actuary.

(8) $293,000 of the department of retirement systems expense account appropriation is provided solely to implement Substitute House Bill No. 2604 (survivor options). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(9) $2,879,000 of the department of retirement systems expense account appropriation is provided solely to implement Engrossed Substitute Senate Bill No. 6530 (pension enhancements). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(10) $480,000 of the department of retirement systems expense account appropriation is provided solely for increased charges for services provided by the department of information systems. The two departments shall submit a report on the causes of the increased charges to the office of financial management no later than September 1, 2000.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $69,998,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((68,171,000))

Timber Tax Distribution Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,893,000

Waste Education/Recycling/Litter Control--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . $101,000

State Toxics Control Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 67,000

Oil Spill Administration Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 14,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((143,244,000))

The appropriations in this section are subject to the following conditions and limitations: The department of revenue shall conduct a study and prepare a report of current state and local taxation of the electricity industry and options for changes to avoid revenue loss, promote competitive neutrality, and encourage economic development within the electricity industry. The study shall include an analysis of the following: (1) Current state and local taxation of the wholesale and retail electricity industry, including tax incidence, rate, base, collection, and allocation of taxes; (2) trends in the wholesale and retail electricity markets affecting current and future revenue streams, including power imports and exports by in-state and out-of-state suppliers; (3) The extent to which existing state and local tax laws may be insufficient to protect revenue streams in light of identifiable wholesale and retail market changes; and (4) whether the tax code is adequate to fairly tax new participants in the market such as brokers, marketers, aggregators, and traders. The department shall conduct the study with support from the utilities and transportation commission, the energy division of the department of community, trade, and economic development, and the state auditor. The department shall consult with energy utilities, retail electric customers, local governments, independent power producers, brokers, marketers, traders, other interested parties, and the chairs and ranking minority members of the committees of the senate and the house of representatives with jurisdiction over electricity issues periodically throughout the course of the study, and shall submit its report to the legislature and the governor by December 1, 1999.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,293,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((1,284,000))

Liquor Control Board Construction and Maintenance Account--State Appropriation. . . . . . . . . . $((9,998,000))

Liquor Revolving Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((129,422,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((141,997,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $2,804,000 of the liquor revolving account appropriation is provided solely for the agency information technology upgrade. This amount provided in this subsection is conditioned upon satisfying the requirements of section 902 of this act.

(2) $105,000 of the liquor revolving account appropriation is provided solely for the implementation of Engrossed Substitute Senate Bill No. 5712 (motel liquor licenses). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(3) $300,000 of the liquor revolving account appropriation is provided solely for the board to develop a business plan. The board shall provide copies of the plan to the office of financial management and the fiscal committees of the legislature by September 30, 1999.

(4) $1,985,000 of the liquor control board construction and maintenance account appropriation is provided solely for the operation of the temporary distribution center.

(5) $53,000 of the liquor revolving account appropriation is provided solely to train new enforcement agents. In cooperation with the board, the criminal justice training commission shall establish a training curriculum that is appropriate for liquor enforcement officers. Nothing in this subsection makes liquor officers eligible for membership in the law enforcement and fire fighters' pension systems.

(6) $2,885,000 of the liquor control board construction and maintenance account appropriation is provided solely for mandatory redemption of certificates of participation used to finance the distribution center and material handling system.

(7) $242,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for legal services related to the cigarette tobacco tax enforcement program.

(8) $925,000 of the liquor revolving account appropriation is provided solely for unanticipated expenditures in contract agency vendor commissions caused by increased sales volume.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $10,889,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((8,344,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((22,148,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$238,000

Enhanced 911 Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((19,507,000))

Disaster Response Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((10,157,000))

Disaster Response Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((46,699,000))

Worker and Community Right to Know Fund--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . .$285,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((118,267,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $2,470,000 of the general fund--state appropriation for fiscal year 2000 ((is)) and $3,227,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for deposit in the disaster response account to cover costs pursuant to section 402(9) of this act and subsection (2) of this section.

(2) (($9,855,000)) $8,787,000 of the disaster response account--state appropriation is provided solely for the state share of response and recovery costs associated with federal emergency management agency (FEMA) disaster 1079 (November/December 1995 storms), FEMA disaster 1100 (February 1996 floods), FEMA disaster 1152 (November 1996 ice storm), FEMA disaster 1159 (December 1996 holiday storm), FEMA disaster 1172 (March 1997 floods), FEMA disaster 1252 (1998 northeast counties floods), and FEMA disaster 1255 (Kelso landslide). The military department may, upon approval of the director of the office of financial management, use portions of the disaster response account--state appropriation to offset costs of new disasters occurring before June 30, 2001. The military department is to submit a report quarterly to the office of financial management and the fiscal committees of the house of representatives and senate detailing disaster costs, including: (a) Estimates of total costs; (b) incremental changes from the previous estimate; (c) actual expenditures; (d) estimates of total remaining costs to be paid; and (d) estimates of future payments by biennium. This information is to be displayed by individual disaster by fund, and by type of assistance.

(3) $100,000 of the general fund--state fiscal year 2000 appropriation and $100,000 of the general fund--state fiscal year 2001 appropriation are provided solely for implementation of the conditional scholarship program pursuant to chapter 28B.103 RCW.

(4) $35,000 of the general fund--state fiscal year 2000 appropriation and $35,000 of the general fund--state fiscal year 2001 appropriation are provided solely for the north county emergency medical service.

(5) $302,000 of the disaster response account--state appropriation is provided solely for the costs of activating the national guard during the world trade organization conference in Seattle.

(6) $4,003,000 of the disaster response account--state appropriation is provided solely for fire mobilization costs.

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES. (1) Appropriations made in this act to the department of social and health services shall initially be allotted as required by this act. Subsequent allotment modifications shall not include transfers of moneys between sections of this act except as expressly provided in this act, nor shall allotment modifications permit moneys that are provided solely for a specified purpose to be used for other than that purpose, except as expressly provided in subsection (3) of this section.

(2) The department of social and health services shall not initiate any services that will require expenditure of state general fund moneys unless expressly authorized in this act or other law. The department may seek, receive, and spend, under RCW 43.79.260 through 43.79.282, federal moneys not anticipated in this act as long as the federal funding does not require expenditure of state moneys for the program in excess of amounts anticipated in this act. If the department receives unanticipated unrestricted federal moneys, those moneys shall be spent for services authorized in this act or in any other legislation providing appropriation authority, and an equal amount of appropriated state general fund moneys shall lapse. Upon the lapsing of any moneys under this subsection, the office of financial management shall notify the legislative fiscal committees. As used in this subsection, "unrestricted federal moneys" includes block grants and other funds that federal law does not require to be spent on specifically defined projects or matched on a formula basis by state funds.

(3)(a) The appropriations to the department of social and health services in this act shall be expended for the programs and in the amounts specified herein. However, after May 1, 2000, unless specifically prohibited by this act, the department may transfer general fund--state appropriations for fiscal year 2000 among programs after approval by the director of financial management. However, the department shall not transfer state moneys that are provided solely for a specified purpose except as expressly provided in subsection (3)(b) of this section.

(b) After May 1, 2001, after approval by the director of financial management and unless specifically prohibited by this act, the department may transfer moneys among programs, including federal moneys that are provided solely for a specified purpose. However, the department shall not transfer state moneys that are provided for a specified purpose except as expressly provided in subsection (3)(d) of this section.

(c) To the extent that transfers under subsection (3)(a) of this section are insufficient to fund actual expenditures in excess of fiscal year 2000 caseload forecasts and utilization assumptions in the medical assistance, long-term care, foster care, adoption support, voluntary placement, and child support programs, the department may transfer state moneys that are provided solely for a specified purpose after approval by the director of financial management.

(((c))) (d) To the extent that transfers under subsection (3)(b) of this section are insufficient to fund actual expenditures in excess of fiscal year 2001 caseload forecasts and utilization assumptions in the medical assistance, long-term care, foster care, adoption support, and child support programs, the department may transfer state moneys that are provided solely for a specified purpose after approval by the director of financial management.

(e) The director of financial management shall notify the appropriate fiscal committees of the senate and house of representatives in writing prior to approving any allotment modifications.

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES--CHILDREN AND FAMILY SERVICES PROGRAM

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $196,694,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((214,000,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((355,146,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$400,000

Violence Reduction and Drug Enforcement Account--State Appropriation. . . . . . . . . . . . . . . . . . $4,194,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $457,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((770,891,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $594,000 of the general fund--state appropriation for fiscal year 2000, $1,964,000 of the general fund--state appropriation for fiscal year 2001, and $195,000 of the general fund--federal appropriation are provided solely for the implementation of Engrossed Second Substitute House Bill No. 5557 (the HOPE act) or sections 10 through 29 of Engrossed Second Substitute House Bill No. 1493. If neither bill is enacted by June 30, 1999, the funds shall be provided for:

(a) The department to contract for 10 temporary residential placements, for up to 30 days, for street youth by June 30, 2000, and for 29 temporary residential placements for street youth by June 30, 2001. These street youth ((shall be sixteen to eighteen years old who are dependents of the state, and)) are persons under the age of eighteen who live outdoors or in other unsafe locations not intended for occupancy by a minor((, and whose permanency plan of care does not include return to home or family reunification. The department shall contact the missing children's clearinghouse regarding these youth. The department may approve placements for fourteen and fifteen-year olds who also meet these criteria. Youth who receive these placements may receive one or more of the following services: Educational services, vocational training, job readiness assistance, job search assistance, chemical dependency treatment, and counseling)) and who are not residing with a parent or at their legally authorized residence; and

(b) For the department to contract for 10 residential placements for dependent youth by June 30, 2000, and for 29 residential placements for youth by June 30, 2001. These youth shall be aged sixteen through eighteen who live outdoors or in unsafe locations not intended for occupancy by a minor, and whose permanency plan does not include return to home or family reunification. These placements may be available to youth up to eighteen years of age. Youth who receive these placements shall receive training related to one or more of the following: Basic education, employment, money management and other skills that will assist the youth in developing independent living skills.

(2) $2,191,000 of the fiscal year 2000 general fund--state appropriation, $2,191,000 of the fiscal year 2001 general fund--state appropriation, and $1,540,000 of the general fund--federal appropriation are provided solely for the category of services titled "intensive family preservation services." The reduction in funds assumed in this section is intended to realign the appropriation with actual service levels and expenditures and is not intended to reduce the current level of intensive family preservation services across the state.

(3) $670,925 of the general fund--state fiscal year 2000 appropriation and $670,925 of the general fund--state fiscal year 2001 appropriation are provided to contract for the operation of one pediatric interim care facility. The facility shall provide residential care for up to thirteen children through two years of age. Seventy-five percent of the children served by the facility must be in need of special care as a result of substance abuse by their mothers. The facility shall also provide on-site training to biological, adoptive, or foster parents. The facility shall provide at least three months of consultation and support to parents accepting placement of children from the facility. The facility may recruit new and current foster and adoptive parents for infants served by the facility. The department shall not require case management as a condition of the contract.

(4) $513,000 of the general fund--state fiscal year 2000 appropriation and $513,000 of the general fund--state fiscal year 2001 appropriation are provided for up to three nonfacility-based programs for the training, consultation, support, and recruitment of biological, foster, and adoptive parents of children through age three in need of special care as a result of substance abuse by their mothers, except that each program may serve up to three medically fragile nonsubstance-abuse-affected children. In selecting nonfacility-based programs, preference shall be given to programs whose federal or private funding sources have expired or that have successfully performed under the existing pediatric interim care program.

(5) $140,000 of the fiscal year 2001 state general fund appropriation is provided solely for the department to establish and maintain a toll-free telephone number and an electronic on-line system for communication of information regarding child day-care centers and family day-care providers. This number shall be available during standard business hours, and during nonbusiness hours callers shall be able to leave messages. The number shall be published in reasonably available printed and electronic media. The number shall be easily identifiable as a method that callers may use to determine whether a day-care provider is licensed, determine whether a day-care provider is in good standing regarding licensing requirements, determine the general nature of enforcement actions against the provider, obtain information on how to report suspected or observed noncompliance with licensing requirements, obtain information on how to report health, safety, and welfare concerns, receive follow-up assistance including information on the office of the family and children's ombudsman, and receive referral information on other agencies or entities that may be of further assistance to the caller. Upon request, the department shall disclose the receipt, general nature, current status and resolution of all complaints on record with the department after the effective date of this section against a child day-care center or family day-care provider that result in an enforcement action. The department shall make available to the public during business hours all inspection reports and notices of enforcement actions involving child day-care centers and family day-care providers consistent with chapter 42.17 RCW. The department shall include in the inspection report a statement of the corrective measures taken by the center or provider.

(6) $2,311,000 of the fiscal year 2000 general fund--state appropriation, $2,370,000 of the fiscal year 2001 general fund--state appropriation, and $4,182,000 of the violence reduction and drug enforcement account appropriation are provided solely for the family policy council and community public health and safety networks.

(7) $90,000 of the general fund--state appropriation for fiscal year 2000, $91,000 of the general fund--state appropriation for fiscal year 2001, and $64,000 of the general fund--federal appropriation are provided solely to implement Substitute House Bill No. 1619 (foster parent reimbursements). If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(8) $121,000 of the general fund--state appropriation for fiscal year 2000, $101,000 of the general fund--state appropriation for fiscal year 2001, and $80,000 of the general fund--federal appropriation are provided solely for the implementation of Substitute House Bill No. 1668 (foster parent training). If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(9) $213,000 of the general fund--state appropriation for fiscal year 2000, $93,000 of the general fund--state appropriation for fiscal year 2001, and $78,000 of the general fund--federal appropriation are provided solely to implement Second Substitute House Bill No. 1692 or sections 1 through 7 of Senate Bill No. 5127 (child abuse investigations). If neither of these bills is enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(10) $348,000 of the general fund--federal appropriation is provided solely for the department to determine the character of persons who have unsupervised access to children in care, including exempt child care providers defined in RCW 74.15.020, through a conviction record and pending charges check at the Washington state patrol, in order to authorize payment for care. If a check through the Washington state patrol or the federal bureau of investigation has been completed within the preceding year of the department's request, the department may rely upon the previous check for persons who confirm no offenses have been committed within the last year. Further, the appropriation is provided to the department to implement a waiver process and administrative hearing review process for exempt child care providers whose background check may otherwise disqualify them. This subsection does not establish any obligation, duty, or cause of action.

(11) $457,000 of the public safety and education account is provided to train service providers in serving and advocating for domestic violence victims with disabilities, monitor batterer treatment programs for compliance with certification standards, fund domestic violence services to underserved populations, and support the fatality review process.

(12) $2,214,000 of the general fund--state appropriation for fiscal year 2001 and $686,000 of the general fund--federal appropriation are provided solely for an increase in the combined adoption support and foster care caseloads. Of the amounts provided in this subsection, $1,107,000 shall not be expended if the total expenditures for these programs or per capita expenditures for fiscal year 2000 or for the first quarter of fiscal year 2001 for any portion of these caseloads exceed the November 1999 expenditure forecast and the department does not provide a detailed report comparing the forecasted and actual expenditures per case by rate payment category and the reasons for each overexpenditure by December 1, 2000, to the appropriate policy and fiscal committees of the legislature.

(13) $100,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for allocation, without deduction for administrative costs by the department, to the educational institute for rural families to ensure continued seasonal child care in region two of the department. These funds are not intended to supplant the contracted rate of reimbursement or the total reimbursement for the provision of seasonal child care by this provider.

(14) $174,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for a foster parent retention pilot program. This program will be directed at foster parents caring for children who act out sexually, as described in House Bill No. 2709 (foster parent retention program).

(15) The amounts provided in this section are sufficient to implement Engrossed Second Substitute Senate Bill No. 6400 (domestic violence).

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES--JUVENILE REHABILITATION PROGRAM

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $35,379,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((38,283,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((9,732,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$380,000

Juvenile Accountability Incentive Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . .$6,548,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $10,700,000

Violence Reduction and Drug Enforcement Account--State Appropriation. . . . . . . . . . . . . . . . . . $((20,977,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((121,999,000))

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $666,000 of the violence reduction and drug enforcement account appropriation is provided solely for deposit in the county criminal justice assistance account for costs to the criminal justice system associated with the implementation of chapter 338, Laws of 1997 (juvenile code revisions). The amounts provided in this subsection are intended to provide funding for county adult court costs associated with the implementation of chapter 338, Laws of 1997 and shall be distributed in accordance with RCW 82.14.310.

(b) $5,742,000 of the violence reduction and drug enforcement account appropriation is provided solely for the implementation of chapter 338, Laws of 1997 (juvenile code revisions). The amounts provided in this subsection are intended to provide funding for county impacts associated with the implementation of chapter 338, Laws of 1997 and shall be distributed to counties as prescribed in the current consolidated juvenile services (CJS) formula.

(c) $1,161,000 of the general fund--state appropriation for fiscal year 2000, $1,162,000 of the general fund--state appropriation for fiscal year 2001, $5,000,000 of the violence reduction and drug enforcement account appropriation, and $177,000 of the juvenile accountability incentive account--federal appropriation are provided solely to implement community juvenile accountability grants pursuant to chapter 338, Laws of 1997 (juvenile code revisions). Funds provided in this subsection may be used solely for community juvenile accountability grants, administration of the grants, and evaluations of programs funded by the grants.

(d) $2,419,000 of the violence reduction and drug enforcement account appropriation is provided solely to implement alcohol and substance abuse treatment programs for locally committed offenders. The juvenile rehabilitation administration shall award these moneys on a competitive basis to counties that submitted a plan for the provision of services approved by the division of alcohol and substance abuse. The juvenile rehabilitation administration shall develop criteria for evaluation of plans submitted and a timeline for awarding funding and shall assist counties in creating and submitting plans for evaluation.

(e) $100,000 of the general fund--state appropriation for fiscal year 2000 and $100,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for juvenile rehabilitation administration to contract with the institute for public policy for responsibilities assigned in chapter 338, Laws of 1997 (juvenile code revisions).

(f) The juvenile rehabilitation administration, in consultation with the juvenile court administrators, may agree on a formula to allow the transfer of funds among amounts appropriated for consolidated juvenile services, community juvenile accountability act grants, the chemically dependent disposition alternative, and the special sex offender disposition alternative.

(g) $75,000 of the general fund--state appropriation for fiscal year 2000 and $100,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for a contract for expanded services of the teamchild project.

(h) $75,000 of the general fund--state appropriation for fiscal year 2000 is provided solely for the Skagit county delinquency prevention project.

(i) $350,000 of the general fund--state appropriation for fiscal year 2000, $735,000 of the general fund--state appropriation for fiscal year 2001, $229,000 of the general fund--federal appropriation, and $673,000 of the violence reduction and drug enforcement account appropriation are provided solely to increase payment rates for contracted service providers. It is the legislature's intent that these amounts be used primarily to increase compensation for persons employed in direct, front-line service delivery.

(j) No later than January 1, 2001, the Washington state institute for public policy shall report to the legislature on the outcomes of low and moderate risk juvenile rehabilitation administration offenders who were released without supervision compared to those who were released with supervision. The study shall compare both the recidivism rates as well as the nature of any new criminal offenses each group commits. The legislature shall consider the results of this study in making any decision to continue or revise parole services for this group of offenders.

(k) $16,000 of the general fund--state appropriation for fiscal year 2000 and $16,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the implementation of Substitute Senate Bill No. 5214 (firearms on school property). If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse. The amounts provided in this subsection are intended to provide funding for county impacts associated with the implementation of Substitute Senate Bill No. 5214 and shall be distributed to counties as prescribed in the current consolidated juvenile services (CJS) formula.

(l) $3,440,000 of the general fund--state appropriation for fiscal year 2000 and $3,441,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for distribution to county juvenile court administrators to fund the costs of processing truancy, children in need of services, and at-risk youth petitions. The department shall not retain any portion of these funds to cover administrative or any other departmental costs. The department, in conjunction with the juvenile court administrators, shall develop an equitable funding distribution formula. The formula shall neither reward counties with higher than average per-petition processing costs nor shall it penalize counties with lower than average per-petition processing costs.

(m) $6,000,000 of the public safety and education account--state appropriation is provided solely for distribution to county juvenile court administrators to fund the costs of processing truancy, children in need of services, and at-risk youth petitions. To the extent that distributions made under (l) and (m) of this subsection and pursuant to section 801 of this act exceed actual costs of processing truancy, children in need of services, and at-risk youth petitions, the department, in consultation with the respective juvenile court administrator and the county, may approve expenditure of funds provided in this subsection on other costs of the civil or criminal justice system. When this occurs, the department shall notify the office of financial management and the legislative fiscal committees. The department shall not retain any portion of these funds to cover administrative or any other departmental costs. The department, in conjunction with the juvenile court administrators, shall develop an equitable funding distribution formula. The formula shall neither reward counties with higher than average per petition processing costs nor shall it penalize counties with lower than average per petition processing costs.

(n) $4,700,000 of the public safety and education account appropriation is provided solely for distribution to counties pursuant to stipulation and agreed-to order of dismissal in Thurston county superior court case number 98-2-02458. The department shall not retain any portion of these funds to cover administrative or any other departmental costs.

(o) The distributions made under (l), (m), and (n) of this subsection and distributions from the county criminal justice assistance account made pursuant to section 801 of this act constitute appropriate reimbursement for costs for any new programs or increased level of service for purposes of RCW 43.135.060.

(p) Each quarter during the 1999-01 fiscal biennium, each county shall report the number of petitions processed and the total actual costs of processing the petitions in each of the following categories: Truancy, children in need of services, and at-risk youth. Counties shall submit the reports to the department no later than 45 days after the end of the quarter. The department shall forward this information to the chair and ranking minority member of the house of representatives appropriations committee and the senate ways and means committee no later than 60 days after a quarter ends. These reports are deemed informational in nature and are not for the purpose of distributing funds.

(q) $31,000 of the violence reduction and drug enforcement account appropriation is provided solely for the evaluation of the juvenile offender co-occurring disorder pilot program implemented pursuant to section 204 of this 2000 act.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $46,815,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((48,061,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$740,000

Violence Reduction and Drug Enforcement Account--State Appropriation. . . . . . . . . . . . . . . . . . $((15,282,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((110,898,000))

The appropriations in this subsection are subject to the following conditions and limitations: $37,000 of the general fund--state appropriation for fiscal year 2000 and $74,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to increase payment rates for contracted service providers. It is the legislature's intent that these amounts be used primarily to increase compensation for persons employed in direct, front-line service delivery.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,419,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,421,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $317,000

Juvenile Accountability Incentive Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . .$1,100,000

Violence Reduction and Drug Enforcement Account--State Appropriation. . . . . . . . . . . . . . . . . . $421,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$4,678,000

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $165,723,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((179,190,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((305,644,000))

General Fund--Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,827,000

Health Services Account Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,225,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((653,609,000))

The appropriations in this subsection are subject to the following conditions and limitations:

(a) Regional support networks shall use portions of the general fund--state appropriation for implementation of working agreements with the vocational rehabilitation program which will maximize the use of federal funding for vocational programs.

(b) From the general fund--state appropriations in this subsection, the secretary of social and health services shall assure that regional support networks reimburse the aging and adult services program for the general fund--state cost of medicaid personal care services that enrolled regional support network consumers use because of their psychiatric disability.

(c) $711,000 of the general fund--state appropriation for fiscal year 2000 and $757,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to directly reimburse eligible providers for the medicaid share of mental health services provided to persons eligible for both medicaid and medicare.

(d) $64,000 of the general fund--state appropriation for fiscal year 2000 and $150,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for regional support networks to participate in prerelease treatment planning and to conduct involuntary commitment evaluations, as required by Substitute Senate Bill No. 5011 (mentally ill offenders). If the bill is not enacted by June 30, 1999, these amounts shall lapse.

(e) $5,000 of the general fund--state appropriation for fiscal year 2000 and $466,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for case management and other community support services, as authorized by Substitute Senate Bill No. 5011 (mentally ill offenders). If the bill is not enacted by June 30, 1999, these amounts shall lapse.

(f) Within funds appropriated in this subsection, the department shall contract with the Clark county regional support network for development and operation of a pilot project demonstrating new and collaborative methods for providing intensive mental health services in the school setting for severely emotionally disturbed children who are medicaid eligible. Project services are to be delivered by teachers and teaching assistants who qualify as, or who are under the supervision of, mental health professionals meeting the requirements of WAC 275-57. The department shall increase medicaid payments to the regional support network by the amount necessary to cover the necessary and allowable costs of the demonstration, not to exceed the upper payment limit specified for the regional support network in the department's medicaid waiver agreement with the federal government. The regional support network shall provide the department with (i) periodic reports on project service levels, methods, and outcomes; (ii) protocols, guidelines, and handbooks suitable for use by other school districts and regional support networks seeking to replicate the pilot project's approach; and (iii) intergovernmental transfer equal to the state share of the increased medicaid payment provided for operation of this project.

(g) $47,000 of the general fund--state appropriation for fiscal year 2000 and $47,000 of the general fund--state appropriation for fiscal year 2001 are provided for implementation of Substitute Senate Bill No. 5214 (firearms on school premises). If the bill is not enacted by June 30, 1999, the amounts provided shall lapse.

(h) The general fund--state appropriation for fiscal year 2001 includes $1,891,000 to replace federal funding for outpatient services which is no longer available due to the reduction in the federal medical assistance percentage. The department shall distribute these additional state funds among the regional support networks according to each regional support network's capitation rate by eligibility category.

(i) The appropriations in this subsection include an increase in funding for medicaid outpatient services as a result of the forecasted increase in the number of persons eligible for medicaid over the number previously budgeted. The department shall distribute these additional appropriations among the regional support networks according to each regional support network's capitation rate by eligibility category.

(j) The health services account appropriation is provided solely for implementation of strategies which the department and the affected regional support networks conclude will best assure continued availability of community-based inpatient psychiatric services in all areas of the state. Such strategies may include, but are not limited to, emergency contracts for continued operation of inpatient facilities otherwise at risk of closure because of demonstrated, disproportionate uncompensated care; start-up grants for development of evaluation and treatment facilities; and increases in the rate paid for inpatient psychiatric services for medically indigent and/or general assistance for the unemployed patients. The funds provided in this subsection must be: (i)(A) Prioritized for use in those areas of the state which are at greatest risk of lacking sufficient inpatient psychiatric treatment capacity; (B) prioritized for use by those hospitals which do not receive low-income disproportionate share hospital payments as of the date of application for funding; (C) matched on a one-quarter local, three-quarters state basis by funding from the regional support network or networks in the area in which the funds are expended; and (D) used to support strategies which can be sustained during the 2001-03 biennium at a state cost no more than 100 percent greater than the amount provided in this subsection. Payments from the amount provided in this subsection shall not be made to any provider that has not agreed((: (ii)(A))) that, except for prospective rate increases, the payment shall offset, on a dollar-for-dollar basis, any liability that may be established against the state for the rate of state reimbursement for inpatient psychiatric care((; and (B) that the provider will maintain or enhance its inpatient psychiatric treatment capacity throughout the period ending June 30, 2001, or for the duration of the funding, whichever is later)). The funds provided in this subsection shall not be considered "available resources" as defined in RCW 71.24.025 and are not subject to the distribution formula established pursuant to RCW 71.24.035.

(k) $1,000,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for implementation of Substitute House Bill No. 2663 (atypical antipsychotic medications). If Substitute House Bill No. 2663 is not enacted by June 30, 2000, the amount provided in this subsection shall lapse. Prior to implementing the projects established in the bill, the department shall report to the appropriate policy and fiscal committees of the legislature on proposed medication delivery and monitoring systems and arrangements for obtaining manufacturer discounts or rebates. No more than $175,000 of the funds provided in this subsection may be used for state and contractor start-up, evaluation, and administration of the projects, and no more than $100,000 of that amount may be for ongoing costs which continue beyond fiscal year 2001. The department may transfer and allot the state component of such administrative costs to its mental health program support subprogram. The funds provided in this subsection shall not be considered "available resources" as defined in RCW 71.24.025 and are not subject to the distribution formula established pursuant to RCW 71.24.035.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $69,797,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((72,279,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((141,129,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$29,809,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((313,014,000))

The appropriations in this subsection are subject to the following conditions and limitations:

(a) The state mental hospitals may use funds appropriated in this subsection to purchase goods and supplies through hospital group purchasing organizations when it is cost-effective to do so.

(b) The mental health program at Western state hospital shall continue to use labor provided by the Tacoma prerelease program of the department of corrections.

(c) The department shall use general fund--local appropriations in this subsection to establish a third-party revenue incentive pool, which shall be used for staff-initiated projects which will increase the quality of care at the state hospitals. For fiscal year 2000, the incentive pool shall be (i) the first $200,000 by which revenues from third-party payers exceed $28,000,000; and (ii) fifty percent of any amounts beyond $28,200,000, up to a maximum of $500,000. For fiscal year 2001, the incentive pool shall be (iii) the first $350,000 by which third-party revenues exceed $28,480,000; and (iv) fifty percent of any amounts beyond $28,830,000, up to a maximum of $700,000. For purposes of this subsection, "third-party revenues" does not include disproportionate share hospital payments or the federal share of salaries and benefit allocations. The department may establish separate incentive pools for each hospital. The department may also divide the annual revenue target into quarterly goals, and make funds available from the incentive pool on a quarterly basis.

(d) $444,000 of the general fund--state appropriation for fiscal year 2000, $1,866,000 of the general fund--state appropriation for fiscal year 2001, $196,000 of the general fund--private/local appropriation, and $157,000 of the general fund--federal appropriation are provided for improved, more specialized care for persons with developmental disabilities during their treatment for a psychiatric illness at the state hospitals.

(e) By March 1, 2001, the department shall modify the treatment approach on at least two state hospital wards to more cost-effective models of care. The models shall place greater emphasis upon community transition, or upon long-term support, than upon intensive psychiatric rehabilitation for residents for whom such an alternative model of care is determined appropriate by their treatment team. The alternative treatment approaches may include closure of a ward and use of hospital staff to provide transitional community services, in coordination with the regional support networks.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $10,895,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((11,940,000))

Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$14,000,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((36,835,000))

The appropriations in this subsection are subject to the following conditions and limitations:

(a) The department shall report to the fiscal committees of the legislature by October 1, 1999, on plans for increasing the efficiency of staffing patterns at the civil commitment center sufficiently to operate within authorized staffing and expenditure levels.

(b) The violence reduction and drug enforcement account appropriation is provided solely for deposit into the state building and construction account for design and construction of a new special commitment center facility (capital project 00-2-001). These funds shall not be transferred for other purposes as otherwise provided in section 201(3)(b) of this act. The amount provided in this subsection is subject to the review and allotment procedures under sections 902 and 903 of chapter 379, Laws of 1999. In accordance with section 909 of chapter 379, Laws of 1999, the department of corrections is responsible for project management.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $444,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $443,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,282,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$4,169,000

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,612,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((2,706,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((3,227,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((8,545,000))

The appropriations in this subsection are subject to the following conditions and limitations:

(a) By December 1, 1999, the department shall provide the fiscal committees of the legislature with an independent assessment of options for increasing the efficiency and effectiveness of current systems and organizational structures for billing third-party payers for hospital services.

(b) $100,000 of the general fund--state appropriation for fiscal year 2000, $100,000 of the general fund--state appropriation for fiscal year 2001, and $120,000 of the general fund federal appropriation are provided solely for the institute for public policy to evaluate the impacts of Substitute Senate Bill No. 5011 (mentally ill offenders), and of chapter 297, Laws of 1998 (commitment of mentally ill persons). If Substitute Senate Bill No. 5011 is not enacted by June 30, 1999, one-half of each of these amounts shall lapse.

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES--DEVELOPMENTAL DISABILITIES PROGRAM

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $185,473,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((205,593,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((325,535,000))

Health Services Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $262,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((716,863,000))

The appropriations in this subsection are subject to the following conditions and limitations:

(a) The health services account appropriation and $127,000 of the general fund--federal appropriation are provided solely for health care benefits for home care workers with family incomes below 200 percent of the federal poverty level who are employed through state contracts for twenty hours per week or more. Premium payments for individual provider home care workers shall be made only to the subsidized basic health plan. Home care agencies may obtain coverage either through the basic health plan or through an alternative plan with substantially equivalent benefits.

(b) $3,100,000 of the general fund--state appropriation for fiscal year 2000, $4,650,000 of the general fund--state appropriation for fiscal year 2001, and $8,250,000 of the general fund--federal appropriation are provided solely to increase services and supports for people with developmental disabilities. These funds shall be expended in accordance with priorities established by the stakeholder advisory group established in accordance with chapter 216, Laws of 1998 (developmental disabilities), except that (i) at least 50 percent of these amounts must be used to increase the number of people receiving residential, employment, family support, or other direct services; (ii) the services and supports must be designed and implemented such that the cost of continuing them in the 2001-03 biennium does not exceed $19.2 million, of which no more than $9.3 million is from state funds; and (iii) strong consideration shall be given to the need for increased wages for direct care workers in contracted residential programs.

(c) $413,000 of the general fund--state appropriation for fiscal year 2000, $1,172,000 of the general fund--state appropriation for fiscal year 2001, and $694,000 of the general fund--federal appropriation are provided solely for employment, or other day activities and training programs, for young people who complete their high school curriculum in 1999 or 2000.

(d) $1,919,000 of the general fund--state appropriation for fiscal year 2000, $6,673,000 of the general fund--state appropriation for fiscal year 2001, and $7,361,000 of the general fund--federal appropriation are provided solely to improve services for persons with developmental disabilities who would otherwise be at risk of needing involuntary commitment to or prolonged treatment at state psychiatric hospitals. The department shall use these funds to enhance the community crisis response system managed by regional support networks, improve crisis prevention and stabilization services through the developmental disabilities community services system, and expand community residential capacity for persons with developmental disabilities who are ready for discharge from state psychiatric hospitals. Funding for community residential capacity is sufficient to move a biennium total of 48 patients out of the state hospitals at a reasonable pace by June 30, 2001. The department shall manage the intensity of services provided so that the average cost per day does not exceed $300 per person placed in this expanded community residential capacity. The department shall report to the appropriate committees of the legislature progress towards implementing this subsection after each calendar quarter. The legislature finds that, in addition to the appropriations in this subsection for improvements in services to persons with developmental disabilities who are committed to the custody of the secretary under chapter 71.05 RCW, it is necessary to study long-term treatment alternatives and their legal, fiscal, and policy implications. Therefore, the department shall provide a report to the ways and means committee of the senate and the appropriations committee of the house of representatives by December 1, 2000, containing options and recommendations for secure treatment programs. The report shall identify various treatment models that could be implemented and various types and locations of secure facilities, both state-owned and leased, in which programs could be sited, together with the department's recommendations. The report shall evaluate the potential for siting such programs on the grounds of existing state residential habilitation centers. The report shall also include analysis of advantages and disadvantages associated with contracting for some or all of the new program options identified. The report shall evaluate the options based on short-term and long-term costs, client and community security, efficiency of coordination with other service delivery systems, and how they address specific legal issues. In developing this report, the department shall invite participation by representatives of the Washington protection and advocacy system (WPAS), and shall include in the report WPAS' position on options and recommendations submitted by the department and any additional recommendations made by WPAS. The legislature recognizes a need to improve long-term services provided to individuals with developmental disabilities who are undergoing involuntary treatment under chapter 71.05 RCW. The legislature is committed to providing resources necessary to address issues in the U.S. District Court case of Allen v. Western State Hospital.

(e) $513,000 of the general fund--state appropriation for fiscal year 2000, $1,421,000 of the general fund--state appropriation for fiscal year 2001, and $2,033,000 of the general fund--federal appropriation are provided to develop and operate secure residential and day program placements for persons who seem likely to pose a significant risk to the public safety if their current residential arrangement were to continue.

(f) $209,000 of the general fund--state appropriation for fiscal year 2000, $664,000 of the general fund--state appropriation for fiscal year 2001, and $939,000 of the general fund--federal appropriation are provided to increase wages as required by Initiative No. 688 (state minimum wage) for contracted adult family homes, adult residential care facilities, hourly and daily family support providers, and hourly attendant care providers.

(g) $1,978,000 of the general fund--state appropriation for fiscal year 2000, $4,475,000 of the general fund--state appropriation for fiscal year 2001, and $6,989,000 of the general fund--federal appropriation are provided solely to increase compensation for individual and agency home care workers. Payments to individual providers are to be increased from $6.18 per hour to $6.68 per hour on July 1, 1999, and to $7.18 per hour on July 1, 2000. Payments to agency providers are to be increased to $11.97 per hour on July 1, 1999, and to $12.62 per hour on July 1, 2000. All but 14 cents per hour of the July 1, 1999, increase to agency providers, and all but 15 cents per hour of the additional July 1, 2000, increase is to be used to increase wages for direct care workers. The appropriations in this subsection also include the funds needed for the employer share of unemployment and social security taxes on the amount of the increase.

(h) Within amounts appropriated in this subsection, the developmental disabilities program shall contract for a pilot program to test an alternative service delivery model for persons with autism. The department must use a competitive process to determine the site of the pilot. The pilot program must be time-limited and subject to an evaluation of client outcomes to determine the effectiveness and efficiency of the pilot program compared to the standard service model for persons with autism.

(i) $500,000 of the general fund--state appropriation for fiscal year 2001 and $160,000 of the general fund--federal appropriation are provided solely for increased family support services and related case management support.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $66,076,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((67,478,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((146,482,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$10,227,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((290,263,000))

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,431,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,435,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,080,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$6,946,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $12,007,000

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES--AGING AND ADULT SERVICES PROGRAM

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $446,025,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((475,043,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((979,301,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$3,910,000

Health Services Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((2,104,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((1,906,383,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) The entire health services account appropriation, (($2,118,000)) $4,756,000 of the general fund--federal appropriation, $923,000 of the general fund--state appropriation for fiscal year 2000, and (($958,000)) $1,019,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for health care benefits for home care workers who are employed through state contracts for at least twenty hours per week. Premium payments for individual provider home care workers shall be made only to the subsidized basic health plan. Home care agencies may obtain coverage either through the basic health plan or through an alternative plan with substantially equivalent benefits.

(2) $1,640,000 of the general fund--state appropriation for fiscal year 2000 and $1,640,000 of the general fund--state appropriation for fiscal year 2001, plus the associated vendor rate increase for each year, are provided solely for operation of the volunteer chore services program.

(3) For purposes of implementing Engrossed Second Substitute House Bill No. 1484 (nursing home payment rates), the weighted average nursing facility payment rate for fiscal year 2000 shall be no more than $10.85 for the capital portion of the rate and no more than $108.20 for the noncapital portion of the rate. For fiscal year 2001, the weighted average nursing facility payment rate shall be no more than $11.44 for the capital portion of the rate and no more than (($111.21)) $111.84 for the noncapital portion of the rate. These rates include vendor rate increases, but exclude nurse's aide training.

(4) In addition to the rates set forth in subsection (3), $286,000 of the general fund--state appropriation for fiscal year 2000 and $310,000 of the general fund--federal appropriation are provided solely for supplemental rate adjustments for certain nursing facilities. In accordance with RCW 74.46.431, the department shall use these funds to apply an additional economic trends and conditions adjustment factor to the rate of any facility whose total rate allocation would otherwise be less than its April 1, 1999, total rate, adjusted for case-mix changes. This supplemental adjustment factor shall be the percentage by which the facility's April 1, 1999, rate would otherwise exceed the rate calculated in accordance with chapter 74.46 RCW and subsection (3) of this section, except that (a) no adjustment shall be provided for any amounts by which a facility's rate is lower due to a reduction in its facility-average medicaid case-mix score; and (b) the adjustment factor shall be reduced proportionately for all facilities by the percentage by which total supplemental payments would otherwise exceed the funds provided for such payments in this subsection. This subsection applies only to rates paid for services provided between July 1, 1999, and March 31, 2000.

(5) $50,000 of the general fund--state appropriation for fiscal year 2000 and $50,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for payments to any nursing facility licensed under chapter 18.51 RCW which meets all of the following criteria: (a) The nursing home entered into an arm's length agreement for a facility lease prior to January 1, 1980; (b) the lessee purchased the leased nursing home after January 1, 1980; and (c) the lessor defaulted on its loan or mortgage for the assets of the home after January 1, 1991, and prior to January 1, 1992. Payments provided pursuant to this subsection shall not be subject to the settlement, audit, or rate-setting requirements contained in chapter 74.46 RCW.

(6) Funds are appropriated in this section to increase compensation for individual and for agency home care providers. Payments to individual home care providers are to be increased from $6.18 per hour to $6.68 per hour on July 1, 1999, and to $7.18 per hour on July 1, 2000. Payments to agency providers are to increase to $11.97 per hour on July 1, 1999, and to $12.62 per hour on July 1, 2000. All but 14 cents per hour of the July 1, 1999, increase to agency providers, and all but 15 cents per hour of the additional July 1, 2000, increase is to be used to increase wages for direct care workers. The appropriations in this subsection also include the funds needed for the employer share of unemployment and social security taxes on the amount of the increase.

(7) $200,000 of the general fund--state appropriation for fiscal year 2000, $80,000 of the general fund--state appropriation for fiscal year 2001, and $280,000 of the general fund--federal appropriation are provided solely for enhancement and integration of existing management information systems to (a) provide data at the local office level on service utilization, costs, and recipient characteristics; and (b) reduce the staff time devoted to data entry.

(8) The department of social and health services shall provide access and choice to consumers of adult day health services for the purposes of nursing services, physical therapy, occupational therapy, and psychosocial therapy. Adult day health services shall not be considered a duplication of services for persons receiving care in long-term care settings licensed under chapter 18.20, 72.36, or 70.128 RCW.

(9) $1,452,000 of the general fund--state appropriation for fiscal year 2000, $1,528,000 of the general fund--state appropriation for fiscal year 2001, and $2,980,000 of the general fund--federal appropriation are provided solely for implementation of Second Substitute House Bill No. 1546 (in-home care services). If Second Substitute House Bill No. 1546 is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(10) $610,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for implementation of Substitute House Bill No. 2454 (caregiver support). If Substitute House Bill No. 2454 is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(11) $8,000 of the general fund--state appropriation for fiscal year 2000, $131,000 of the general fund--state appropriation for fiscal year 2001, and $139,000 of the general fund--federal appropriation are provided solely for implementation of Substitute House Bill No. 2637 (background checks). If the bill is not enacted by June 30, 2000, the amounts provided in this subsection shall lapse.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $427,742,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((410,913,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((1,229,774,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$30,807,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((2,099,236,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $284,083,000 of the general fund--state appropriation for fiscal year 2000, $268,114,000 of the general fund--state appropriation for fiscal year 2001, $1,140,342,000 of the general fund--federal appropriation, and $28,371,000 of the general fund--local appropriation are provided solely for the WorkFirst program and child support operations. WorkFirst expenditures include TANF grants, diversion services, subsidized child care, employment and training, other WorkFirst related services, allocated field services operating costs, and allocated economic services program administrative costs. Within the amounts provided in this subsection, the department shall:

(a) Continue to implement WorkFirst program improvements that are designed to achieve progress against outcome measures specified in RCW 74.08A.410. Valid outcome measures of job retention and wage progression shall be developed and reported quarterly to appropriate fiscal and policy committees of the legislature for families who leave assistance, measured after 12 months, 24 months, and 36 months. An increased attention to job retention and wage progression is necessary to emphasize the legislature's goal that the WorkFirst program succeed in helping recipients gain long-term economic independence and not cycle on and off public assistance. The wage progression measure shall report the median percentage increase in quarterly earnings and hourly wage after 12 months, 24 months, and 36 months. The wage progression report shall also report the percent with earnings above one hundred percent and two hundred percent of the federal poverty level. The report shall compare former WorkFirst participants with similar workers who did not participate in WorkFirst. The department shall also report percentage of families who have returned to temporary assistance for needy families after 12 months, 24 months, and 36 months.

(b) Develop informational materials that educate families about the difference between cash assistance and work support benefits. These materials must explain, among other facts, that the benefits are designed to support their employment, that there are no time limits on the receipts of work support benefits, and that immigration or residency status will not be affected by the receipt of benefits. These materials shall be posted in all community service offices and distributed to families. Materials must be available in multiple languages. When a family leaves the temporary assistance for needy families program, receives cash diversion assistance, or withdraws a temporary assistance for needy families application, the department of social and health services shall educate them about the difference between cash assistance and work support benefits and offering them the opportunity to begin or to continue receiving work support benefits, so long as they are eligible. The department shall provide this information through in-person interviews, over the telephone, and/or through the mail. Work support benefits include food stamps, medicaid for all family members, medicaid or state children's health insurance program for children, and child care assistance. The department shall report annually to the legislature the number of families who have had exit interviews, been reached successfully by phone, and sent mail. The report shall also include the percentage of families who elect to continue each of the benefits and the percentage found ineligible by each substantive reason code. A substantive reason code shall not be "other." The report shall identify barriers to informing families about work support benefits and describe existing and future actions to overcome such barriers.

(c) Provide $500,000 from the general fund--state appropriation for fiscal year 2000 and $500,000 from the general fund--state appropriation for fiscal year 2001 for continuation of the WorkFirst evaluation conducted by the joint legislative audit and review committee.

(d) Report to the appropriate committees of the legislature by December 1, 2000, how the new federal child support incentive system can be used to maximize federal incentive payments and to support the greatest achievement of WorkFirst program goals. In the event that the department earns federal child support incentive payments in excess of amounts budgeted, the department shall use one-half of those additional funds to offset general fund--state allotments and one-half of those additional funds to improve child support services. The department shall also work with the Washington state association of county clerks to identify ways to protect the confidentiality of social security numbers on court documents needed by the child support enforcement system while ensuring the reliability of this information without significantly increasing the cost to administer the child support system. The department shall report its recommendations for protecting the confidentiality of social security numbers to appropriate committees of the legislature by December 1, 2000.

(e) Provide up to $500,000 of the general fund--federal appropriation to the office of financial management for a study of rate setting methods and policy for subsidized child care, the best method for coordinating and consolidating child care and early education programs currently funded by state government, and for a review of the various state programs for low-income families with children. The child care rate study shall analyze the effects of rate setting policy on the affordability and quality of the overall child care market. The child care and early education program study shall evaluate how current programs may be coordinated and consolidated to provide the most efficient level of administration, grant funding, and increased accessibility by families who are served by these programs. The study of state programs for low-income families shall compare and contrast eligibility and access to these programs and identify ways to coordinate or consolidate these programs to reduce administrative costs and improve access. The office shall submit a report to the department of social and health services and the appropriate committees of the legislature by December 1, 2000.

(f) Convene a working group that includes stakeholders and recipients of public assistance to establish basic customer service performance measures and goals. The customer service measures and goals will seek to make support for working families a priority. Customer service measures and goals may include, but are not limited to: Hours of operation that allow working families to get services without missing work, reduced wait times, systems for answering and returning phone calls in a timely manner, access to benefits that support work, access to job training and education, and, access to services for families with limited literacy or English skills, and families with special needs. The department shall report to the legislature by January 2001 the establishment of customer service measures and goals, and the departmental actions to assure the goals are being met.

(g) Use existing flexibility in federal and state welfare laws and regulations to support, on a limited basis, longer education and training plans that have a strong likelihood to lead to long-term economic independence for recipient.

(h) Provide up to $1,400,000 of the general fund--federal appropriation for after-school care for middle school youth through programs such as those described in House Bill No. 2530 (after-school care).

(i) Provide up to $2,710,000 of the general fund--federal appropriation for training and technical assistance for child care providers seeking training to enable them to competently serve children with special needs as described in House Bill No. 2869 (child care provider training).

(j) Provide $230,000, or as much thereof as may be necessary, to the department of health to expand the vasectomy project to temporary assistance for needy families clients and their partners until such time as a federal family planning waiver is granted that will cover these services.

(k) Ensure that funds provided in this subsection to implement policies that disregard or exempt a portion of recipients' income are designed to achieve stated WorkFirst program goals and outcomes. Income disregards are effective incentives to help WorkFirst families move towards economic independence. Income disregard policy shall not discriminate based on who the specific employer is.

(2) $43,408,000 of the general fund--state appropriation for fiscal year 2000 and (($43,386,000)) $46,420,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for cash assistance and other services to recipients in the general assistance--unemployable program. Within these amounts, the department may expend funds for services that assist recipients to reduce their dependence on public assistance, provided that expenditures for these services and cash assistance do not exceed funds provided. The department shall by July 1, 2000, begin using federal funds provided in subsection (1) of this section, as allowed by federal rules, for the costs of providing income assistance to children with court-appointed guardians or court-appointed custodians.

(3) $5,444,000 of the general fund--state appropriation for fiscal year 2000 and $5,632,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the food assistance program for legal immigrants. The level of benefits shall be equivalent to the benefits provided by the federal food stamp program.

(4) RCW 74.08A.280 permits the department to develop contracts for state-wide welfare-to-work services. Within amounts available in this section, the department shall provide progress reports on the use of such contracting to the fiscal committees of the legislature by January 1, 2001. Each of these reports shall describe the number of current contracts for temporary assistance for needy families (TANF) or WorkFirst services that the department has with community social service providers and a description of the services being provided through each of those contracts.

(5) The legislature finds that, since the passage of the federal personal responsibility and work opportunity act in 1997, Washington's public assistance population has declined dramatically, and that the currently appropriated level for the temporary assistance for needy families program is sufficient for the 1999-01 biennium. The legislature further finds that federal funding for the temporary assistance for needy families program may decrease after the current five-year block grant has expired. The legislature declares that at least $60,000,000 of the year-end balance in the federal TANF grant shall be held in reserve by the office of financial management at the close of the 1999-01 biennium.

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES--ALCOHOL AND SUBSTANCE ABUSE PROGRAM

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $21,338,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((22,101,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((90,373,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,204,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,102,000

Violence Reduction and Drug Enforcement Account--State Appropriation. . . . . . . . . . . . . . . . . . $77,150,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((219,268,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $1,960,000 of the general fund--state appropriation for fiscal year 2000 and $1,960,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for expansion of 50 drug and alcohol treatment beds for persons committed under RCW 70.96A.140. Patients meeting the commitment criteria of RCW 70.96A.140 but who voluntarily agree to treatment in lieu of commitment shall also be eligible for treatment in these additional treatment beds. The department shall develop specific placement criteria for these expanded treatment beds to ensure that this new treatment capacity is prioritized for persons incapacitated as a result of chemical dependency and who are also high utilizers of hospital services.

(2) $18,000 of the general fund--state appropriation for fiscal year 2000, $88,000 of the general fund--state appropriation for fiscal year 2001, and $116,000 of the general fund--federal appropriation are provided solely for activities related to chemical dependency services under subsection 202(1) of this act. If that subsection is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(3) $1,444,000 of the general fund--state appropriation for fiscal year 2000, $1,484,000 of the general fund--state appropriation for fiscal year 2001, and $330,000 of the general fund--federal appropriation are provided for implementation of Engrossed Substitute Senate Bill No. 5480 (drug-affected infants) or sections 1 through 17 of Second Substitute House Bill No. 1574. If legislation expanding services to prevent drug-affected infants is not enacted by June 30, 1999, the amounts provided in this subsection shall be provided solely for the development and implementation of comprehensive programs for alcohol and drug abusing mothers and their young children. The pilot programs shall be implemented in several locations, including at least one rural location. The pilot programs shall also be supported with TANF funds provided in section 208 of this act as a way to reduce prolonged dependency on public assistance for program participants.

(4) $442,000 of the public safety and education account--state appropriation is provided solely for drug courts that have a net loss of federal grant funding from fiscal year 2000 to fiscal year 2001. The legislature finds that drug courts reduce criminal justice costs for both state and local governments. This appropriation is intended to cover approximately one-half of the lost federal funding. It is the intent of the legislature to provide state assistance to counties to cover a part of lost federal funding for drug courts for a maximum of three years.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $744,327,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((834,864,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((2,542,652,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((258,616,000))

Appropriation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $9,200,000

Health Services Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((487,040,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((4,876,699,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) The department shall continue to make use of the special eligibility category created for children through age 18 and in households with incomes below 200 percent of the federal poverty level made eligible for medicaid as of July 1, 1994.

(2) It is the intent of the legislature that Harborview medical center continue to be an economically viable component of the health care system and that the state's financial interest in Harborview medical center be recognized.

(3) Funding is provided in this section for the adult dental program for Title XIX categorically eligible and medically needy persons and to provide foot care services by podiatric physicians and surgeons.

(4) $1,647,000 of the general fund--state appropriation for fiscal year 2000 and $1,672,000 of the general fund--state appropriation for fiscal year 2001 are provided for treatment of low-income kidney dialysis patients.

(5) $80,000 of the general fund--state appropriation for fiscal year 2000, $80,000 of the general fund--state appropriation for fiscal year 2001, and $160,000 of the general fund--federal appropriation are provided solely for the prenatal triage clearinghouse to provide access and outreach to reduce infant mortality.

(6) The department shall report to the fiscal committees of the legislature by September 15, 1999, and again by December 15, 1999, on (a) actions it has taken and proposes to take to increase the share of medicare part B premium payments upon which it is collecting medicaid matching funds; (b) the percentage of such premium payments for each month of service subsequent to June 1998 which have been paid with unmatched, state-only funds; and (c) why matching funds could not be collected on those payments.

(7) The department shall report to the fiscal committees of the legislature by December 1, 1999, and again by October 1, 2000, on the amount which has been recovered from third-party payers as a result of its efforts to improve coordination of benefits on behalf of "basic health plan-plus" enrollees.

(8) The department shall report to the health care and fiscal committees of the legislature by December 1, 1999, on options for controlling the growth in medicaid prescription drug expenditures through strategies such as but not limited to volume purchasing, selective contracting, supplemental drug discounts, and improved care coordination for high utilizers.

(9) $3,992,000 of the health services account appropriation and $7,651,000 of the general fund--federal appropriation are provided solely for health insurance coverage for children with family incomes between 200 percent and 250 percent of the federal poverty level, as provided in Substitute Senate Bill No. 5416 (children's health insurance program). If the bill is not enacted by June 30, 1999, these amounts shall lapse.

(10) Upon approval from the federal health care financing administration, the department shall implement the section 1115 family planning waiver to provide family planning services to persons with family incomes at or below two hundred percent of the federal poverty level.

(11) In accordance with Substitute Senate Bill No. 5968, $70,821,000 of the health services account appropriation for fiscal year 2000, (($42,041,000)) $67,331,000 of the health services account appropriation for fiscal year 2001, and (($120,278,000)) $146,579,000 of the general fund--federal appropriation, or so much thereof as may be expended without exceeding the medicare upper payment limit, are provided solely for supplemental payments to nursing homes operated by rural public hospital districts. Such payments shall be distributed among the participating rural public hospital districts proportional to the number of days of medicaid-funded nursing home care provided by each district during the preceding calendar year, relative to the total number of such days of care provided by all participating rural public hospital districts. Prior to making any supplemental payments, the department shall first obtain federal approval for such payments under the medicaid state plan. The payments shall further be conditioned upon (a) a contractual commitment by the association of public hospital districts and participating rural public hospital districts to make an intergovernmental transfer to the state treasurer, for deposit into the health services account, equal to at least ((87)) 89 percent of the total supplemental payment amounts received during the 1999-01 fiscal biennium; and (b) a contractual commitment by the participating districts to not allow expenditures covered by the supplemental payments to be used for medicaid nursing home rate-setting. The participating districts shall retain no more than a total of $30,000,000 for the 1999-01 biennium.

(12) In determining financial eligibility for medicaid-funded services, the department is authorized to disregard recoveries by Holocaust survivors of insurance proceeds or other assets, as defined in RCW 48.104.030.

(13) $1,529,000 of the general fund--state appropriation for fiscal year 2000, $4,077,000 of the general fund--state appropriation for fiscal year 2001, and $5,394,000 of the general fund--federal appropriation are provided solely for implementation of the settlement negotiated by the department and the attorney general in the case of Allenmore et al. vs. DSHS.

(14) From funds provided in this section, the department shall develop disease state management and therapeutic substitution programs which will substantially maintain or enhance the quality of the drug benefit for medical assistance recipients, while controlling overall health care costs. In designing the disease state management programs, the department shall research programs which have proven effective with similar populations in other states, and shall then work with concerned provider and consumer groups to adapt those strategies to Washington's service delivery system. The department shall work with its drug utilization and education council to develop a therapeutic substitution program for at least two classes of drugs. Under the therapeutic substitution program, the council shall analyze pharmacoeconomic research on the costs and benefits of all drugs within the class, and identify the most cost-effective drug or drugs within the class for placement on the formulary. Other drugs within the class shall be preauthorized when clinically indicated under criteria established by the council. The department shall report to appropriate committees of the legislature by December 1, 2000, prior to implementing its proposed strategies.

(15) (($14,848,000)) $27,100,000 of the health services account appropriation for fiscal year 2001 and (($15,269,000)) $27,800,000 of the general fund--federal appropriation are provided solely for additional disproportionate share hospital payments to public hospital districts. Such additional payments shall not be made prior to federal approval of a revision in the medicaid payment methodology for state teaching hospitals, and shall not exceed the increase in medicaid payments which results from that change. The payments shall further be conditioned upon a contractual commitment by the participating public hospital districts to make an intergovernmental transfer to the health services account equal to at least ((77)) 85 percent of the additional disproportionate share payment. The participating districts shall retain no more than (($7,000,000)) $7,800,000 of the additional disproportionate share payment. At least 28 percent of the amounts retained by the participating hospital districts shall be allocated to the state teaching hospitals.

(16)(a) $49,000 of the general fund--state appropriation for fiscal year 2001 and $49,000 of the general fund--federal appropriation for fiscal year 2001 are provided solely for the medical assistance administration and the health care authority to jointly conduct a state-wide study to:

(i) Determine payment sources and rates paid for primary health care providers performing outpatient primary care services and primary care in hospital emergency rooms for the state's medical assistance programs, including healthy options, and the basic health plan. To determine payment sources and rates paid, the agencies may seek information in relation to such factors as:

(A) The rates paid to primary care providers for their medical assistance programs, including healthy options, and basic health plan contracts; and

The agencies are authorized to attain this information from health plans or providers. The agencies shall maintain the confidentiality of data collected for the purpose of the study;

(ii) Determine which primary care providers serve a relatively high number of low-income clients, and how that affects their medical practice. For purposes of the study, "primary care providers" includes pediatricians, family practitioners, general practitioners, internists, physician assistants, and advanced registered nurse practitioners; and

(iii) Develop proposals to support these providers' medical practices. The agencies must determine what constitutes a relatively high percentage of low-income clients for individual primary care providers who contract for medical assistance administration programs, including healthy options, and the basic health plan, and recommend whether and at what point this disproportionately high percentage should result in additional compensation to the primary care provider. The agencies shall recommend a method to calculate a payment adjustment designed to help support medical practices, according to the study's findings.

(b) In conducting the study, the agencies shall determine which regions of the state to include in the study, based on factors the agencies determine will provide the most representative data state-wide. The agencies shall also consult with interested parties, including any organization or agency affected by this subsection, throughout the course of the study.

(c) The agencies shall report to the legislature by December 1, 2000, with the results of the primary health care provider study. The report shall include recommendations on: (i) What constitutes a disproportionately high percentage of low-income clients; (ii) possible payment adjustments for these providers; (iii) methods to implement such a rate adjustment; and (iv) what such a payment adjusted program will cost.

(17) From funds appropriated in this section, the medical assistance program shall assist the Washington state institute for public policy with the assessment of options for expanding medicaid eligibility required in section 607 of this 2000 act. Such assistance shall include analysis of medicaid enrollment and expenditure data needed for enrollment and cost projections; information and advice on state and federal medicaid requirements; and liaison with state and federal officials in other states undertaking similar expansions.

(18) $290,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for implementation of the asset exemption provisions of House Bill No. 2686. If these provisions are not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES--VOCATIONAL REHABILITATION PROGRAM

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $8,770,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((8,635,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((81,906,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,865,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((101,176,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) The division of vocational rehabilitation shall negotiate cooperative interagency agreements with state and local organizations to improve and expand employment opportunities for people with severe disabilities served by those organizations.

(2) $190,000 of the general fund--state appropriation for fiscal year 2000, $240,000 of the general fund--state appropriation for fiscal year 2001, and $1,590,000 of the general fund--federal appropriation are provided solely for vocational rehabilitation services for individuals enrolled for services with the developmental disabilities program who complete their high school curriculum in 1999 or 2000.

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES--ADMINISTRATION AND SUPPORTING SERVICES PROGRAM

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $26,004,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((20,119,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((43,227,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$720,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((90,070,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Funding is provided for the incremental cost of lease renewals and for the temporary increased costs for relocating staff out of state office building no. 2 (OB2) during the renovation of that building. Of this increase, $2,400,000 is provided for relocating staff. This amount is recognized as one-time-only funding for the 1999-01 biennium. As part of the 2001-2003 budget request, the department shall update the estimate of increased cost for relocating staff, including specifying what portion of that increase is due to providing more square footage per FTE in the new leased space compared to the space occupied previously.

(2) The department may transfer up to $528,000 of the general fund--state appropriation for fiscal year 2000, $1,057,000 of the general fund--state appropriation for fiscal year 2001, and $812,000 of the general fund--federal appropriation to the administration and supporting services program from various other programs to implement administrative reductions.

(3) The department may transfer and allot up to $5,560,000 of the general fund--state appropriation for fiscal year 2001 and $3,518,000 of the general fund--federal appropriation to the administration and supporting services program from various other programs in the department to achieve fiscal reductions assumed in this section. In selecting reductions in the various other programs, the department shall place a higher priority on reductions in administrative support functions as opposed to direct client services. Reductions in positions providing direct client services shall be implemented only if those reductions can be justified by reduced workload or through reorganization or other efficiencies that do not result in a risk of failing to meet federal or state certification or licensing standards. In achieving the level of savings assumed in this subsection, the department shall not eliminate or reduce funding and/or staff that would shift or transfer filing or appeal workload to superior courts. By September 1, 2000, the department shall report its plan to implement the savings in this section to the fiscal committees of the legislature.

(4) $187,000 of the general fund--state appropriation for fiscal year 2000, $746,000 of the general fund--state appropriation for fiscal year 2001, and (($2,251,000)) $2,500,000 of the general fund--federal appropriation are provided to implement a new fraud and abuse detection system. By December 1, 2000, the department shall provide a report to the fiscal committees of the legislature that will include: The actual cost recovery in fiscal year 1999 and fiscal year 2000, prior to implementation of the new fraud and abuse detection system; actual cost avoidance in fiscal year 1999 and fiscal year 2000, prior to implementation of the new fraud and abuse detection system; actual cost recovery and actual cost avoidance achieved to date after implementation in fiscal year 2000 and 2001, compared to the savings included in sections 202, 205, 206, and 209 of this 2000 act; and the criteria and methodology used for determining cost recovery and cost avoidance.

FOR THE DEPARTMENT OF SOCIAL AND HEALTH SERVICES--PAYMENTS TO OTHER AGENCIES PROGRAM

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $31,190,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $31,225,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((21,932,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((84,347,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $100,000

Death Investigations Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $148,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((17,632,000))

Municipal Criminal Justice Assistance Account--Local Appropriation. . . . . . . . . . . . . . . . . . . . . $412,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((17,880,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $125,000 of the public safety and education account appropriation is provided solely for information technology upgrades and improvements for the criminal justice training commission.

(2) $481,000 of the public safety and education account appropriation is provided solely for the implementation of provisions of chapter 351, Laws of 1997 (criminal justice training) dealing with supervisory and management training of law enforcement personnel. Within the funds provided in this subsection, the criminal justice training commission shall provide the required training in the least disruptive manner to local law enforcement agencies and may include, but is not limited to, regional on-site training, interactive training, and credit for training given by the home department.

(3) $1,990,000 of the public safety and education account appropriation is provided solely for expanding the basic law enforcement academy (BLEA) from 469 hours to 720 hours. The funds provided in this subsection are assumed sufficient for the criminal justice training commission to provide expanded BLEA training to 330 attendees in fiscal year 2000 and 660 attendees in fiscal year 2001.

(4) $180,000 of the public safety and education account appropriation is provided solely for the implementation of Second Substitute House Bill No. 1176 (sexually violent offender records). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(5) $276,000 of the public safety and education account appropriation is provided solely for the implementation of Second Substitute House Bill No. 1692 or sections 1 through 7 of Senate Bill No. 5127 (child abuse investigations). If neither of these bills is enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(6) $50,000 of the public safety and education account appropriation is provided solely for additional domestic violence training courses for 911 operators.

(7) $215,000 of the public safety and education account appropriation is provided solely for the Washington association of sheriffs and police chiefs to conduct a study of law enforcement services and expenditures for both counties and cities within the county for counties with populations over one hundred fifty thousand. The study shall begin no later than July 1, 2000, and shall be completed by ((June 30)) October 31, 2001. The final report shall be distributed by the Washington association of sheriffs and police chiefs to the appropriate standing committees of the legislature. The study shall:

(a) Make recommendations to improve the efficiency of delivering law enforcement services. The recommendations may be made to law enforcement jurisdictions, Washington association of sheriffs and police chiefs, units of local government, and the legislature;

(b) Research, compile, and analyze data sufficient to provide a comprehensive analysis of the costs and total expenditures for law enforcement. These costs include but are not limited to special services, defined as but not limited to: SWAT teams, bomb disposal units, air support, marine units, hostage negotiation teams, homicide investigation units, drug units, canine units, arson investigation teams, computer fraud and forensics units, domestic violence and special assault units, and gang and youth violence units. The study shall identify duplications and inefficiencies in current service delivery;

(c) Obtain data from all local governments on the types of costs identified in (b) of this subsection. This data will be compiled and analyzed by the agency or organization that conducts the study for each county; and

(d) Obtain data from those counties and law enforcement agencies where master interlocal agreements, joint specialty service units, and other cooperative arrangements have been developed between law enforcement agencies to improve the effectiveness, efficiency, and ensured quality of specialty law enforcement services.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,268,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,240,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((18,756,000))

Public Safety and Education Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,950,000

Public Safety and Education Account--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . $3,057,000

Electrical License Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$24,402,000

Farm Labor Revolving Account--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 28,000

Worker and Community Right-to-Know Account--State Appropriation. . . . . . . . . . . . . . . . . . . . .$2,211,000

Public Works Administration Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,996,000

Accident Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$167,092,000

Accident Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$9,112,000

Medical Aid Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$169,172,000

Medical Aid Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,592,000

Plumbing Certificate Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $971,000

Pressure Systems Safety Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,167,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((422,014,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Pursuant to RCW 7.68.015, the department shall operate the crime victims compensation program within the public safety and education account funds appropriated in this section. In the event that cost containment measures are necessary, the department may (a) institute copayments for services; (b) develop preferred provider and managed care contracts; (c) coordinate with the department of social and health services to use the public safety and education account as matching funds for federal Title XIX reimbursement, to the extent this maximizes total funds available for services to crime victims. Cost containment measures shall not include holding invoices received in one fiscal period for payment from appropriations in subsequent fiscal periods.

(2) $2,665,000 of the public safety and education account--state appropriation is provided solely for additional costs for client benefits in the crime victims compensation program, provided that no more than $5,095,000 of the appropriations provided in subsection (1) of this section is expended for department administration of the crime victims compensation program.

(3) From within funds provided, the department shall improve customer service and satisfaction for injured workers by speeding up the process for reporting injuries, and shall enhance vocational rehabilitation services for injured workers.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,640,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,628,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $134,000

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 78,000

Industrial Insurance Premium Refund Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . .$ 78,000

Appropriation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$3,560,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $39,000 of the general fund--state appropriation is provided solely as an additional state contribution toward the cost of constructing a memorial on the state capitol grounds to the men and women who served in the nation's armed forces during the second world war.

(b) $231,000 of the general fund--state appropriation for fiscal year 2000 is provided solely for disbursement to the national World War II memorial fund for construction and maintenance of the national monument honoring the men and women from Washington and the other states who served in the nation's armed forces during the second world war.

(c) $200,000 of the general fund--state appropriation for fiscal year 2001 is provided solely to conduct a predesign study for replacement of aging skilled nursing facilities. The predesign study shall comply with the requirements of sections 902 and 903, chapter 379, Laws of 1999.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,466,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,494,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((26,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,495,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((6,481,000))

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,346,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,790,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $23,002,000

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$16,527,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$49,665,000

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $62,840,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $64,284,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((268,032,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((68,648,000))

Hospital Commission Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$2,378,000

Health Professions Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$37,529,000

Appropriation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $14,856,000

State Drinking Water Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$2,531,000

Drinking Water Assistance Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,456,000

Waterworks Operator Certification--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $593,000

Water Quality Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$3,124,000

Accident Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$258,000

Medical Aid Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 45,000

State Toxics Control Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,614,000

Health Services Account Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$12,992,000

Medical Test Site Licensure Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,651,000

Youth Tobacco Prevention Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,804,000

Tobacco Prevention and Control Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . .$15,620,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((565,255,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $2,434,000 of the health professions account appropriation is provided solely for the development and implementation of a licensing and disciplinary management system. Expenditures are conditioned upon compliance with section 902 of this act. These funds shall not be expended without appropriate project approval by the department of information systems.

(2) The department or any successor agency is authorized to raise existing fees charged to the nursing assistants, podiatrists, and osteopaths; for certificate of need; for temporary worker housing; for state institution inspection; for residential care facilities and for transient accommodations, in excess of the fiscal growth factor established by Initiative Measure No. 601, if necessary, to meet the actual costs of conducting business and the appropriation levels in this section.

(3) $339,000 of the general fund--state appropriation for fiscal year 2000, $339,000 of the general fund--state appropriation for fiscal year 2001, and $678,000 of the general fund--federal appropriation are provided solely for technical assistance to local governments and special districts on water conservation and reuse. $339,000 of the general fund--federal amount may be expended in each fiscal year of the biennium, only if the state receives greater than $25,000,000 from the federal government for salmon recovery activities in that fiscal year. Funds authorized for expenditure in fiscal year 2000 may be expended in fiscal year 2001.

(4) $1,685,000 of the general fund--state fiscal year 2000 appropriation and $1,686,000 of the general fund--state fiscal year 2001 appropriation are provided solely for the implementation of the Puget Sound water work plan and agency action items, DOH-01, DOH-02, DOH-03, and DOH-04.

(5) The department of health shall not initiate any services that will require expenditure of state general fund moneys unless expressly authorized in this act or other law. The department may seek, receive, and spend, under RCW 43.79.260 through 43.79.282, federal moneys not anticipated in this act as long as the federal funding does not require expenditure of state moneys for the program in excess of amounts anticipated in this act. If the department receives unanticipated unrestricted federal moneys, those moneys shall be spent for services authorized in this act or in any other legislation that provides appropriation authority, and an equal amount of appropriated state moneys shall lapse. Upon the lapsing of any moneys under this subsection, the office of financial management shall notify the legislative fiscal committees. As used in this subsection, "unrestricted federal moneys" includes block grants and other funds that federal law does not require to be spent on specifically defined projects or matched on a formula basis by state funds.

(6) $620,000 of the tobacco prevention and control account appropriation and $209,000 of the general fund--federal appropriation are provided solely for implementation of Engrossed Substitute Senate Bill No. 5516 or, if the bill is not enacted, for the development of a sustainable, long-term, comprehensive tobacco control program. The plan shall identify a specific set of outcome measures that shall be used to track long range progress in reducing the use of tobacco. Nationally accepted measures that can be used to compare progress with other states shall be included. The plan shall emphasize programs that have demonstrated effectiveness in achieving progress towards the specified outcome measures. Components of the plan that do not have a record of success may be included, provided that the plan also includes the means of evaluating those components. The plan shall also include an inventory of existing publically funded programs that seek to prevent the use of tobacco, alcohol, or other drugs by children and youth and recommendations to coordinate and consolidate these programs in order to achieve greatest positive outcomes within total available resources. A preliminary plan shall be submitted to the appropriate committees of the legislature by December 1, 1999.

(7) $2,075,000 of fiscal year 2000 general fund--state appropriation and $2,075,000 of fiscal year 2001 general fund--state appropriation are provided for the Washington poison center. The department shall require the center to develop a long range financing plan that identifies options for diversifying funding for center operations, including, but not limited to, federal grants, private sector grants and sponsorships, and multistate or regional operating agreements. The plan shall be submitted to the appropriate committees of the legislature by December 1, 2000.

(8) $50,000 of fiscal year 2000 general fund--state appropriation and $50,000 of fiscal year 2001 general fund--state appropriation are provided solely for fund raising and other activities for the development of early hearing loss clinics. The development plan for these clinics shall not assume ongoing general fund--state appropriations.

(9) $15,000,000 of the tobacco prevention and control account appropriation is provided solely for the implementation of a sustainable, long-term tobacco control program. The integrated components of the program may include: Community-based programs, cessation, public awareness and education, youth access, and assessment and evaluation. A final plan will define the sustainable implementation of the long-term program given the remaining available balance in the tobacco prevention and control account. This plan shall be submitted to the appropriate committees of the legislature by September 1, 2000.

(10) $24,000 of the fiscal year 2000 general fund--state appropriation and $117,000 of the fiscal year 2001 general fund--state appropriation are provided solely to implement Second Substitute Senate Bill No. 6199 (patient bill of rights). If the bill is not enacted by June 30, 2000, the amounts provided in this subsection shall lapse.

The appropriations to the department of corrections in chapter 309, Laws of 1999, as amended, shall be expended for the programs and in the amounts specified therein. However, after April 1, ((2000)) 2001, unless specifically prohibited by this act, the department may transfer general fund--state appropriations for fiscal year ((2000)) 2001 between the correctional operations and community supervision programs after approval by the director of financial management. The director of financial management shall notify the appropriate fiscal committees of the senate and house of representatives in writing prior to approving any deviations from appropriation levels.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $26,064,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $28,022,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,962,000

Violence Reduction and Drug Enforcement Account Appropriation. . . . . . . . . . . . . . . . . . . . . . . $2,000,000

Cost of Supervision Fund Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,254,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$61,302,000

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $72,000 of the general fund--state appropriation for fiscal year 2000, $212,000 of the general fund--state appropriation for fiscal year 2001, $2,962,000 of the public safety and education account appropriation, $2,000,000 of the violence reduction drug enforcement account appropriation, and $2,254,000 of the cost of supervision fund appropriation are provided solely for replacement of the department's offender-based tracking system. These amounts are subject to section 902 of this act.

(b) $462,000 of the general fund--state appropriation for fiscal year 2000 and $538,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the implementation of Engrossed Second Substitute Senate Bill No. 5421 (offender accountability). If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $360,685,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((364,386,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((35,577,000))

Violence Reduction and Drug Enforcement Account--State Appropriation. . . . . . . . . . . . . . . . . . $((1,614,000))

Public Health Services Account Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((1,884,000))

Institutional Welfare Betterment Account Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,570,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((766,716,000))

The appropriations in this subsection are subject to the following conditions and limitations:

(a) Not more than $3,000,000 may be expended to provide financial assistance to counties for monitoring and treatment services provided to felony offenders involved in drug court programs pursuant to sections 7 though 12 of Engrossed Second Substitute House Bill No. 1006 (drug offender sentencing). The secretary may negotiate terms, conditions, and amounts of assistance with counties or groups of counties operating drug courts, and may review charging and other documents to verify eligibility for payment. The secretary may contract with the division of alcohol and substance abuse, department of social and health services, for monitoring and treatment services provided pursuant to this subsection.

(b) The department may expend funds generated by contractual agreements entered into for mitigation of severe overcrowding in local jails. If any funds are generated in excess of actual costs, they shall be deposited in the state general fund. Expenditures shall not exceed revenue generated by such agreements and shall be treated as recovery of costs.

(c) The department shall provide funding for the pet partnership program at the Washington corrections center for women at a level at least equal to that provided in the 1995-97 biennium.

(d) The department of corrections shall accomplish personnel reductions with the least possible impact on correctional custody staff, community custody staff, and correctional industries. For the purposes of this subsection, correctional custody staff means employees responsible for the direct supervision of offenders.

(e) $583,000 of the general fund--state appropriation for fiscal year 2000 and $1,178,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to increase payment rates for contracted education providers and contracted work release facilities. It is the legislature's intent that these amounts be used primarily to increase compensation for persons employed in direct, front-line service delivery.

(f) $151,000 of the general fund--state appropriation for fiscal year 2000 and $57,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the implementation of Engrossed Second Substitute Senate Bill No. 5421 (offender accountability). If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(g) $18,000 of the general fund--state appropriation for fiscal year 2000 and $334,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the implementation of Senate Bill No. 5538 (sentencing) or section 3 of House Bill No. 1544 (sentencing corrections). If neither bill is enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(h) $171,000 of the general fund--state appropriation for fiscal year 2000 and $1,094,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the implementation of Engrossed Second Substitute House Bill No. 1006 (drug offender sentencing). If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(i) The department of corrections shall submit to the appropriate policy and fiscal committees of the senate and house of representatives by December 15, 1999, a report on how the department plans to manage hepatitis C in the inmate population. In developing the plan, the department shall work with recognized experts in the field and shall take notice of the current national institutes of health hepatitis C guidelines and hepatitis C protocols observed in other correctional settings. Included in the plan shall be offender education about the disease, how and when offenders would be tested, how the disease would be managed if an inmate is determined to have hepatitis C, and an estimate of the number of inmates in the Washington prison system with hepatitis C. The proposed plan must also include recommendations to the legislature on ways to improve hepatitis C disease management and what level of funding would be necessary to appropriately test for and treat the disease.

(j) For the acquisition of properties and facilities, the department of corrections is authorized to enter into financial contracts, paid for from operating resources, for the purposes indicated and in not more than the principal amounts indicated, plus financing expenses and required reserves pursuant to chapter 39.94 RCW. This authority applies to the following:

(A) Enter into a long-term ground lease or a long-term lease with purchase option for development of a Tacoma prerelease facility for approximately $360,000 per year. Prior to entering into any lease, the department of corrections shall obtain written confirmation from the city of Tacoma and Pierce county that the prerelease facility planned for the site meets all land use, environmental protection, and community notification requirements.

(B) Enter into a financing contract in the amount of $21,350,000 to acquire, construct, or remodel a 400-bed, expandable to 600-bed, Tacoma prerelease facility.

(C) Lease-develop with the option to purchase or lease-purchase approximately 100 work release beds in facilities throughout the state for $7,000,000.

(k) (($1,884,000)) $1,117,000 of the public health services account appropriation is provided solely for costs associated with the testing, treatment, and other activities related to managing hepatitis C in the inmate population.

(l) $117,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for the implementation of Second Substitute Senate Bill No. 6255 (anhydrous ammonia). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(m) $2,570,000 of the institutional welfare betterment account appropriation is provided solely for deposit in the public health services account.

(n) During the 1999-01 biennium, when contracts are established or renewed for offender pay phone and other telephone services provided to inmates, the department shall select the contractor or contractors primarily based on the following factors: (i) The lowest rate charged to both the inmate and the person paying for the telephone call; and (ii) the lowest commission rates paid to the department, while providing reasonable compensation to cover the costs of the department to provide the telephone services to inmates and provide sufficient revenues for the activities funded from the institutional welfare betterment account as of January 1, 2000.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $48,451,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((53,787,000))

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $9,861,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((112,099,000))

The appropriations in this subsection are subject to the following conditions and limitations:

(a) The department of corrections shall accomplish personnel reductions with the least possible impact on correctional custody staff, community custody staff, and correctional industries. For the purposes of this subsection, correctional custody staff means employees responsible for the direct supervision of offenders.

(b) Amounts provided in this subsection are sufficient for the implementation of Engrossed Second Substitute Senate Bill No. 5421 (offender accountability).

(c) $109,000 of the general fund--state appropriation for fiscal year 2000 and $126,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the implementation of Substitute Senate Bill No. 5011 (dangerous mentally ill offenders). If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(d) $219,000 of the general fund--state appropriation for fiscal year 2000 and $75,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the department of corrections to contract with the institute for public policy for responsibilities assigned in Engrossed Second Substitute Senate Bill No. 5421 (offender accountability act) and sections 7 through 12 of Engrossed Second Substitute House Bill No. 1006 (drug offender sentencing).

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $817,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((3,523,000))

Institutional Welfare Betterment Account Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,509,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((7,849,000))

The appropriations in this subsection are subject to the following conditions and limitations:

(a) $100,000 of the general fund--state appropriation for fiscal year 2000 and $100,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for transfer to the jail industries board. The board shall use the amounts provided only for administrative expenses, equipment purchases, and technical assistance associated with advising cities and counties in developing, promoting, and implementing consistent, safe, and efficient offender work programs.

(b) $50,000 of the general fund--state appropriation for fiscal year 2000 and $50,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the correctional industries board of directors to hire one staff person, responsible directly to the board, to assist the board in fulfilling its duties.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $12,898,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((11,983,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((24,881,000))

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,481,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,513,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((11,062,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 80,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((14,136,000))

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,263,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,259,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $209,498,000

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$29,135,000

Unemployment Compensation Administration Account--Federal Appropriation. . . . . . . . . . . . . .$((169,985,000))

Administrative Contingency Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $9,443,000

Employment Service Administrative Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . .$19,457,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((440,040,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Expenditures of funds appropriated in this section for the information systems project to improve the agency's labor exchange system are conditioned upon compliance with section 902 of this act.

(2) $327,000 of the unemployment compensation administration account--federal appropriation is provided consistent with section 903(c)(2) of the federal social security act to address deficiencies in the tax and wage information system (TAXIS) and to improve the quality and timeliness of employer tax information and employee wage records.

(3) $2,567,000 of the employment service administrative account--state appropriation is provided solely for implementation of Substitute House Bill No. 3077 (unemployment insurance). If the bill is not enacted by June 30, 2000, the amounts provided in this subsection shall lapse.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $36,462,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $42,225,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $55,141,000

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$4,234,000

Special Grass Seed Burning Research Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . .$ 14,000

Reclamation Revolving Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,735,000

Flood Control Assistance Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((3,989,000))

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $749,000

State Emergency Water Projects Revolving Account--State Appropriation. . . . . . . . . . . . . . . . . . $317,000

Waste Reduction/Recycling/Litter Control Account--State Appropriation. . . . . . . . . . . . . . . . . . .$13,193,000

State Drought Preparedness Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((675,000))

Salmon Recovery Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,120,000

State Appropriation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $557,000

Water Quality Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$3,881,000

Wood Stove Education and Enforcement Account--State Appropriation. . . . . . . . . . . . . . . . . . . . $551,000

Worker and Community Right-to-Know Account--State Appropriation. . . . . . . . . . . . . . . . . . . . .$3,155,000

State Toxics Control Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((48,369,000))

State Toxics Control Account--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$377,000

Local Toxics Control Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$4,587,000

Water Quality Permit Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$21,763,000

Underground Storage Tank Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,475,000

Environmental Excellence Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 20,000

Biosolids Permit Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$572,000

Hazardous Waste Assistance Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$3,943,000

Air Pollution Control Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$4,576,000

Oil Spill Administration Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$9,172,000

Air Operating Permit Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,549,000

Freshwater Aquatic Weeds Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,430,000

Oil Spill Response Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,078,000

Metals Mining Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 43,000

Water Pollution Control Revolving Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . .$439,000

Water Pollution Control Revolving Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . .$2,200,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((278,591,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $3,432,000 of the general fund--state appropriation for fiscal year 2000, $3,438,000 of the general fund--state appropriation for fiscal year 2001, $394,000 of the general fund--federal appropriation, $2,070,000 of the oil spill administration account--state appropriation, $819,000 of the state toxics control account--state appropriation, and $3,686,000 of the water quality permit account--state appropriation are provided solely for the implementation of the Puget Sound work plan and agency action items DOE-01, DOE-02, DOE-03, DOE-05, DOE-06, DOE-07, DOE-08, and DOE-09.

(2) $170,000 of the oil spill administration account appropriation is provided solely for implementation of the Puget Sound work plan action item UW-02 through a contract with the University of Washington's sea grant program to develop an educational program targeted to small spills from commercial fishing vessels, ferries, cruise ships, ports, and marinas.

(3) $374,000 of the general fund--state appropriation for fiscal year 2000 and $283,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the department to digitize water rights documents and to provide this information to watershed planning groups.

(4) $1,566,000 of the general fund--federal appropriation, $1,033,000 of the general fund--private/local appropriation, and $919,000 of the water quality account appropriation are provided to employ residents of the state between eighteen and twenty-five years of age in activities to enhance Washington's natural, historic, environmental, and recreational resources.

(5) $250,000 of the general fund--state appropriation for fiscal year 2000 is provided solely for study of the impacts of gravel removal on the hydrology of Maury Island. The study shall consider impacts to the nearshore environment and aquifer recharge, and assess the potential for groundwater or marine sediment contamination. The department shall contract for the study, which shall be completed by June 30, 2000.

(6) $250,000 of the general fund--state appropriation for fiscal year 2000 is provided solely for a study of the impacts of gravel deposit on the Highline aquifer. The study shall consider impacts to instream flow and sedimentation of Des Moines, Miller, and Walker creeks. The department shall contract for the study, which shall be completed by June 30, 2000.

(7) The entire freshwater aquatic weeds account appropriation shall be distributed according to the provisions of RCW 43.21A.660. Funding may be provided for chemical control of Eurasian watermilfoil.

(8) $15,000 of the general fund--state appropriation for fiscal year 2000 and $15,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to monitor and address, in coordination with the marine operations division of the department of transportation, odor problems in Fauntleroy Cove.

(9) $144,000 of the general fund--state appropriation for fiscal year 2000 and $133,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for water quality activities related to forest practices.

(10) $100,000 of the general fund--state appropriation for fiscal year 2000 is provided solely for the department to form an advisory committee for the purpose of updating the department's storm water management plan and the Puget Sound storm water management manual. The advisory committee shall be appointed no later than September 1, 1999, and it shall provide its recommendations on storm water management to the legislature by December 31, 2000.

(11) $383,000 of the general fund--state appropriation for fiscal year 2000 and $384,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for an agency permit assistance center, including four regional permit assistance offices.

(12) $438,000 of the general fund--state appropriation for fiscal year 2000, $1,025,000 of the general fund--state appropriation for fiscal year 2001, and $1,870,000 of the general fund--federal appropriation are provided solely for the establishment of total maximum daily loads for water bodies across the state, and for pilot projects to evaluate the ability of existing voluntary and regulatory programs to improve water quality in water quality limited segments listed pursuant to section 303(d) of the federal clean water act. In areas with a ground water management area, total maximum daily loads that include a ground water element will be done in cooperation with the ground water management area process. Pilot projects shall include the following allocations from the general fund--state amounts provided in this subsection: $100,000 shall be provided to a conservation district in the Palouse region; $100,000 shall be provided to the Lake Whatcom management committee through the city of Bellingham; and $250,000 shall be provided to the Roza-Sunnyside irrigation district joint board of control. Each pilot project sponsor shall provide a report to the legislature by January 1, 2001, describing the water quality goals of the project, how the goals relate to meeting state water quality standards, the strategies to accomplish those goals, and the method of evaluating project effectiveness. The pilot project sponsors shall also submit final reports to the legislature at project completion.

(13) $591,000 of the general fund--state appropriation for fiscal year 2000 and $1,131,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to process water rights applications.

(14) $414,000 of the general fund--state appropriation for fiscal year 2000 and $383,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for technical assistance and project review for water conservation and reuse projects.

(15) The entire salmon recovery account appropriation is provided to increase compliance with existing water quality and water resources laws.

(16) $4,250,000 of the general fund--state appropriation for fiscal year 2000 and $4,750,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for grants to local governments to conduct watershed planning. Of the general fund--state amounts provided in this subsection: (a) $500,000 is provided solely for a grant to the Methow river planning unit to develop baseline hydrological data for the Methow river; and (b) $85,000 is provided for the lower Yakima/Naches/upper Yakima planning unit contingent upon recommendations of the governor's fact finder that a dual watershed assessment process is necessary. If such a recommendation is not provided, this amount is available for the purposes of this subsection.

(17) $100,000 of the general fund--state appropriation for fiscal year 2000 and $82,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the department, in cooperation with the department of fish and wildlife, to establish fish and habitat index monitoring sites to measure the effectiveness of salmon recovery activities.

(18) $276,000 of the general fund--state appropriation for fiscal year 2000 and $207,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to implement Senate Bill No. 5424 (aquatic plant management). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(19) $500,000 of the general fund--state appropriation for fiscal year 2000 and $500,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the continuation of the southwest Washington coastal erosion study.

(20) $638,000 of the oil spill administration account appropriation is provided solely to implement Substitute House Bill No. 2247 (oil spill response tax). Of this amount: (a) $120,000 is provided solely for spill response equipment; (b) $307,000 is provided solely to develop an oil spill risk management plan; and (c) $211,000 is provided solely for spills information management improvements. If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(21) $145,000 of the general fund--state fiscal year 2000 appropriation and $145,000 of the general fund--state fiscal year 2001 appropriation are provided solely for training and technical assistance to support the activities of county water conservancy boards.

(22) $3,154,000 of the general fund--state appropriation for fiscal year 2000 and $6,649,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to maintain the state's air quality program. Within the funds provided in this subsection, the department shall maintain funding for local air pollution control authorities at no less than ninety percent of the level of grants provided prior to January 1, 2000.

(23) $749,000 of the public safety and education account appropriation for fiscal year 2001 is provided solely for methamphetamine lab clean up activities.

(24) $300,000 of the state drought preparedness account--state appropriation for fiscal year 2001 is provided solely for a preconstruction and feasibility analysis of the Roza irrigation district off-stream storage project at Washout canyon. Moneys may be expended from the amount provided in this subsection only to the extent that matching funds in cash and in-kind contributions are provided by the Roza irrigation district. If this match is not provided by the district, the amount provided in this subsection shall lapse.

(25) $1,500,000 of the state toxics control account appropriation is provided solely for cleanup actions related to the Everett smelter site in the city of Everett. The department shall seek recovery of the funds expended for this purpose from the liable parties by way of a settlement agreement or court action under the authority of chapter 70.105D RCW, the model toxics control act. Moneys collected as a result of a cost recovery action at the Everett smelter site shall be used first to reimburse the local toxics control account for the total amount of this appropriation. This appropriation is the result of a one-time loan from the local toxics control account and does not imply that the legislature will use this loan source or the state toxics control account for future cleanup of the Everett smelter site.

(26) (($375,000)) $50,000 of the state drought preparedness account--state appropriation is provided solely for an environmental impact statement of the Pine Hollow reservoir project to be conducted in conjunction with the local irrigation district.

(27) $150,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for creating the task force on water storage. The purpose of the task force is to examine the role of increased water storage in providing water supplies to meet the needs of fish, population growth, and economic development, and to enhance the protection of people's lives and their property and the protection of aquatic habitat through flood control facilities. For this purpose, increased storage may be in the form of surface storage including off-stream storage, underground storage, or the enlargement or enhancement of existing structures. The task force shall also examine means of providing funding for increased water storage.

The department of ecology shall provide staff support for the task force and the director of the department of ecology shall convene the first meeting of the task force not less than thirty days after the effective date of this section.

No member of the task force shall receive compensation, per diem, or reimbursement of expenses from the task force or the department of ecology for his or her activities as a member of the task force. However, each may receive such compensation, per diem, and/or reimbursement as is authorized by the entity he or she is employed by, is appointed from, or represents on the task force.

Following its examination, the task force shall report its recommendations to the appropriate committees of the legislature by December 31, 2000.

(28) Within the funds appropriated in this section, the department shall develop for review by the legislature a proposed long-term strategy to address persistent, bio-accumulative and toxic chemicals in the environment. The department shall submit its proposal to the appropriate legislative committees by December 30, 2000.

(29) $1,650,000 of the general fund--state appropriation for fiscal year 2001 is provided solely to the oil spill administration account to be used for a rescue tug. By December 1, 2000, the department shall report to the appropriate fiscal committees of the legislature on the activities of the dedicated rescue tug. The report shall include information on rescues, assists, or responses performed by the tug. The report shall also indicate the class of vessels involved and the nature of the rescue, assist, or response.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $27,522,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((28,227,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,113,000

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((59,000))

Winter Recreation Program Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$763,000

Off Road Vehicle Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$264,000

Snowmobile Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$3,653,000

Aquatic Lands Enhancement Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$325,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 48,000

Water Trail Program Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 14,000

Parks Renewal and Stewardship Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . $25,907,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((88,895,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $189,000 of the aquatic lands enhancement account appropriation is provided solely for the implementation of the Puget Sound work plan agency action items P&RC-01 and P&RC-03.

(2) $65,000 of the general fund--state appropriation for fiscal year 2000 and $71,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the state parks and recreation commission to meet its responsibilities under the Native American graves protection and repatriation act (P.L. 101-601).

(3) $2,000,000 of the parks renewal and stewardship account appropriation is dependent upon the parks and recreation commission generating revenue to the account in excess of $26,000,000 for the biennium. These funds shall be used for deferred maintenance and visitor and ranger safety activities.

(4) $772,000 of the general fund--state appropriation for fiscal year 2000 and $849,000 of the general fund--state appropriation for fiscal year 2001 are provided to employ residents of the state between eighteen and twenty-five years of age in activities to enhance Washington's natural, historic, environmental, and recreational resources.

(5) Fees approved by the state parks and recreation commission in 1998 for camping, group camping, extra vehicles, and the sno-park daily permit are authorized to exceed the fiscal growth factor under RCW 43.135.055.

(6) $79,000 of the general fund--state appropriation for fiscal year 2000 and $79,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for a grant for the operation of the Northwest avalanche center.

(7) The state parks and recreation commission may increase fees adopted prior to January 1, 2000, for implementation on or after July 1, 2000, in excess of the fiscal growth factor under RCW 43.135.055.

(8) $25,000 of the general fund--state appropriation for fiscal year 2000 and $75,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for a study on existing and future recreational needs and opportunities on the west slope of the Cascade foothills. The study shall include an inventory of existing land and facilities, an assessment of projected demand, and recommendations for regional coordination among public and private outdoor recreation providers to promote expanded recreation opportunities within the Cascade foothills. The study shall be submitted to the governor and the appropriate committees of the legislature by June 30, 2001.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $42,616,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((44,567,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((37,380,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((16,800,000))

Off Road Vehicle Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$490,000

Aquatic Lands Enhancement Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$5,992,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $586,000

Recreational Fisheries Enhancement Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . .$3,596,000

Salmon Recovery Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$10,105,000

Warm Water Game Fish Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((2,499,000))

Eastern Washington Pheasant Enhancement Account--State Appropriation. . . . . . . . . . . . . . . . . .$851,000

Wildlife Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((41,133,000))

Wildlife Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $38,040,000

Wildlife Account--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$15,072,000

Game Special Wildlife Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,939,000

Game Special Wildlife Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$9,603,000

Game Special Wildlife Account--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . .$350,000

Environmental Excellence Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 15,000

Regional Fisheries Salmonid Recovery Account--Federal Appropriation. . . . . . . . . . . . . . . . . . . .$1,750,000

Oil Spill Administration Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$969,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((274,353,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $1,252,000 of the general fund--state appropriation for fiscal year 2000 and $1,244,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the implementation of the Puget Sound work plan agency action items DFW-01, DFW-02, DFW-03, DFW-04, and DFW-05.

(2) $776,000 of the salmon recovery account appropriation is provided solely for the department's review of forest practices applications and related hydraulic permit applications.

(3) $1,500,000 of the salmon recovery account appropriation is provided solely for the department to update the salmon and steelhead stock inventory and, in cooperation with the department of ecology, to establish fish and habitat index monitoring sites to measure the effectiveness of salmon recovery activities.

(4) $232,000 of the general fund--state appropriation for fiscal year 2000 and $232,000 of the general fund--state appropriation for fiscal year 2001 are provided for the control of European green crab (Carcinus maenas). The department shall submit a report to the governor and the appropriate legislative committees by September 1, 2000, evaluating the effectiveness of various control strategies and providing recommendations on long-term control strategies. $248,000 of this amount is for implementation of Puget Sound work plan and agency action item DFW-23.

(5) $191,000 of the general fund--state appropriation for fiscal year 2000 and $191,000 of the general fund--state appropriation for fiscal year 2001 are provided for noxious weed control and survey activities on department lands. Of this amount, $48,000 is provided for the biological control of yellowstar thistle.

(6) All salmon habitat restoration and protection projects proposed for funding by regional fisheries enhancement groups shall be submitted by January 1st or July 1st of each year for review to the salmon recovery funding board.

(7) $2,340,000 of the salmon recovery account appropriation and $7,000,000 of the general fund--federal appropriation are provided solely to implement a license buy-back program for commercial fishing licenses.

(8) $511,000 of the general fund--state appropriation for fiscal year 2000 and $488,000 of the general fund--state appropriation for fiscal year 2001 are provided to employ residents of the state between eighteen and twenty-five years of age in activities to enhance Washington's natural, historic, environmental, and recreational resources.

(9) Any indirect cost reimbursement received by the department from federal grants must be spent on agency administrative activities and cannot be redirected to direct program activities.

(10) $43,000 of the general fund--state appropriation for fiscal year 2000 and $42,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for staffing and operation of the Tennant Lake interpretive center.

(11) $32,000 of the general fund--state appropriation for fiscal year 2000 and $33,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to support the activities of the aquatic nuisance species coordination committee to foster state, federal, tribal, and private cooperation on aquatic nuisance species issues. The committee shall strive to prevent the introduction of nonnative aquatic species and to minimize the spread of species that are introduced.

(12) $100,000 of the general fund--state appropriation for fiscal year 2001 is provided solely to implement Senate Bill No. 5508 (crab catch record cards). If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(13) $6,440,000 of the general fund--state appropriation for fiscal year 2000, $5,796,000 of the general fund--state appropriation for fiscal year 2001, $12,260,000 of the wildlife account--state appropriation, $710,000 of the aquatic lands enhancement account appropriation, and $500,000 of the public safety and education account appropriation are provided solely for operation of the enforcement division. Within these funds, the department shall emphasize enforcement of laws related to protection of fish habitat and the illegal harvest of salmon and steelhead. Within these funds, the department shall provide support to the department of health to enforce state shellfish harvest laws.

(14) $500,000 of the salmon recovery account, $624,000 of the general fund--state appropriation for fiscal year 2000, and $624,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the department to implement a hatchery endangered species act response. The strategy shall include emergency hatchery responses and retrofitting of hatcheries for salmon recovery.

(15) $45,000 of the general fund--state appropriation for fiscal year 2000 and $46,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for operation of the Rod Meseberg (ringold) warm water fish hatchery to implement House Bill No. 1716 (warm water fish culture). If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(16) $2,500,000 of the salmon recovery account appropriation is provided solely for grants to lead entities established in accordance with RCW 75.46.060.

(17) $200,000 of the salmon recovery account appropriation is provided solely for salmon and steelhead predation control and bycatch monitoring strategies.

(18) $50,000 of the general fund--state appropriation for fiscal year 2000, $50,000 of the general fund--state appropriation for fiscal year 2001, and $200,000 of the wildlife account--state appropriation are provided solely for field surveys and harvest management for Washington elk herds.

(19) $155,000 of the general fund--state appropriation for fiscal year 2000 and $345,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to purchase and implement the automated recreational license data base system.

(20) $1,400,000 of the general fund--state appropriation for fiscal year 2000 and $1,400,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for fish passage barrier and screening technical assistance, engineering services, and construction assistance for local governments, state agencies, volunteer groups, and regional fisheries enhancement groups.

(21) $1,500,000 of the salmon recovery account appropriation is provided solely for local salmon recovery technical assistance. Technical assistance shall be coordinated among all state agencies including the conservation commission, department of fish and wildlife, department of ecology, department of health, department of agriculture, department of transportation, state parks and recreation, interagency committee for outdoor recreation, governor's salmon recovery office, Puget Sound water quality action team, department of community, trade, and economic development, and department of natural resources.

(22) $400,000 of the wildlife account appropriation is provided solely to implement House Bill No. 1681 (trout purchase by state). The fish and wildlife commission may authorize expenditure of these funds only if the costs of the program will be recovered by the increase in license sales directly attributable to the planting of privately grown trout. If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(23) $2,000,000 of the aquatic lands enhancement account appropriation is provided for cooperative volunteer projects.

(24) $245,000 of the state wildlife account appropriation is provided solely for winter feeding of deer and winter range rehabilitation on the Chiliwist wildlife area.

(25) Within the appropriation from the wildlife account the department shall, at a minimum, operate Reiter Pond at fiscal year 2000 production levels.

(26) Within the appropriations in this section the department shall, at a minimum, operate the Colville hatchery at fiscal year 2000 production levels.

(27) $384,000 of the general fund--private/local appropriation is provided solely to implement Senate Bill No. 6277 (authorizing cost reimbursement agreements). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(28) $400,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for the implementation of the Puget Sound work plan agency action items DFW-10 and DFW-18, implementing a comprehensive Puget Sound ground fish and forage fish recovery plan.

(29) $203,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for data collection and analysis related to Lake Washington sockeye.

(30) $800,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for additional enforcement staff to respond and take appropriate action in response to public complaints regarding bear and cougar.

(31) $500,000 of the general fund--state appropriation for fiscal year 2001 and $200,000 of the wildlife account--state appropriation are provided solely to implement an endangered species act strategy for state hatchery operations, including fish passage improvements, screen compliance, rearing strategies, and restoration of production.

(32) $789,000 of the salmon recovery account appropriation is provided solely for screening of irrigation diversions and projects to improve instream flows in the Methow river basin.

(33) $645,000 of the general fund--state appropriation is provided solely for fire suppression costs during the 2000 fire season and to feed elk and deer.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $25,784,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((28,576,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((2,865,000))

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,604,000

Forest Development Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((48,086,000))

Off Road Vehicle Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$3,668,000

Surveys and Maps Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,221,000

Aquatic Lands Enhancement Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$2,656,000

Resources Management Cost Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((79,097,000))

Surface Mining Reclamation Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,435,000

Disaster Response Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,651,000

Salmon Recovery Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$3,483,000

Aquatic Land Dredged Material Disposal Site Account--State Appropriation. . . . . . . . . . . . . . . . $1,014,000

Natural Resource Conservation Areas Stewardship Account Appropriation. . . . . . . . . . . . . . . . . .$1,100,000

Air Pollution Control Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$687,000

Metals Mining Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 63,000

Agricultural College Trust Management Account Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . $((1,736,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((206,426,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $18,000 of the general fund--state appropriation for fiscal year 2000, $18,000 of the general fund--state appropriation for fiscal year 2001, and $1,058,000 of the aquatic lands enhancement account appropriation are provided solely for the implementation of the Puget Sound work plan and agency action items DNR-01, DNR-02, and DNR-04.

(2) $7,304,000 of the general fund--state appropriation for fiscal year 2000, $7,304,000 of the general fund--state appropriation for fiscal year 2001, and $2,651,000 of the disaster response account--state appropriation are provided solely for emergency fire suppression.

(3) $331,000 of the general fund--state appropriation for fiscal year 2000 and $339,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for geologic studies to evaluate ground stability in high growth areas and to provide geologic expertise to small communities.

(4) $663,000 of the general fund--state appropriation for fiscal year 2000 and $689,000 of the general fund--state appropriation for fiscal year 2001 are provided to employ residents of the state between eighteen and twenty-five years of age in activities to enhance Washington's natural, historic, environmental, and recreational resources.

(5) $3,483,000 of the salmon recovery account appropriation and $3,000,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for implementation of chapter 4, Laws of 1999 sp. sess.

(i) $2,580,000 is provided solely for costs associated with adopting and implementing new forest rules for protection of riparian habitat and water quality; road maintenance and abandonment planning; fish and water quality compliance staff; geographic information systems improvements for forest roads and hydrography; and updating the forest practices permit application system; and

(ii) $903,000 is provided solely to implement sections 501 through 505 of chapter 4, Laws of 1999 sp. sess., including:

(G) Development of criteria for determining compensation for qualifying timber; and

(H) Collection and reporting of the statistical information on small landowners as directed in section 503 of chapter 4, Laws of 1999 sp. sess.

(i) $2,128,000 is provided solely for cooperative monitoring, evaluation, and research projects; hazard zonation; adopting and implementing new forest rules to protect riparian habitat and water quality; and geographic information systems improvements for forest roads and hydrography; and

(ii) $872,000 is provided solely for the department to implement sections 501 through 505 of chapter 4, laws of 1999 sp. sess., including providing technical assistance for small forest landowners for the following:

(6) $44,000 of the resource management cost account appropriation is provided solely for maintenance and safety improvements at the Gull Harbor marine station. The department shall develop a plan for use or disposal of the marine station by December 1, 1999.

(7) $582,000 of the resource management cost account appropriation is provided solely to expand geoduck resource management activities.

(8) $172,000 of the resource management cost account appropriation is provided solely to convert aquatic land maps and records to an electronic format.

(9) $100,000 of the general fund--state appropriation for fiscal year 2000, $100,000 of the general fund--state appropriation for fiscal year 2001, and $400,000 of the aquatic lands enhancement account appropriation are provided solely for spartina control. Within these amounts, the department shall continue support for a field study of biological control methods.

(10) $2,000,000 of the general fund--state appropriation for fiscal year 2000 and $2,000,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for fire protection activities.

(11) $450,000 of the resource management cost account appropriation is provided solely for the control and eradication of class B designate weeds on state lands.

(12) $1,100,000 of the natural resources conservation areas stewardship account is provided solely to the department for planning, management, and stewardship of natural area preserves and natural resources conservation areas.

(13) $384,000 of the general fund--private/local appropriation is provided solely to implement Senate Bill No. 6277 (authorizing cost reimbursement agreements). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(((15))) (14) $2,000,000 of the forest development account appropriation is provided solely for immediate road decommissioning, maintenance, and repair in the Lake Whatcom watershed.

(((16))) (15) The department shall submit a report of the uses of the access road revolving fund to the legislature and the office of financial management no later than December 1, 2000. The report shall include the following:

(16) $5,143,000 of the general fund--state appropriation and $3,646,000 of the general fund--federal appropriation are provided solely for the costs of fighting wildfires on state and federal lands during the 2000 fire season.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,630,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((4,871,000))

Architects' License Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((678,000))

Cemetery Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $205,000

Profession Engineers' Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$2,703,000

Real Estate Commission--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((6,824,000))

Master License Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$7,317,000

Uniform Commercial Code Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,448,000

Real Estate Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $630,000

Funeral Directors and Embalmers Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . .$472,000

Washington Real Estate Research Account Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $313,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((33,091,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $150,000 of the general fund--state appropriation for fiscal year 2000, $25,000 of the general fund--state appropriation for fiscal year 2001, and $100,000 of the professional engineers' account appropriation are provided solely for Second Substitute Senate Bill No. 5821 (on-site wastewater treatment). If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(2) $313,000 of the Washington real estate research account appropriation is provided solely for the implementation of Engrossed Senate Bill No. 5720 (real estate research). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $21,496,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((20,826,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,999,000

General Fund--Private/Local Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$344,000

Death Investigations Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,689,000

Public Safety and Education Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $9,611,000

County Criminal Justice Assistance Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . $2,887,000

Municipal Criminal Justice Assistance Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . $1,118,000

Fire Service Trust Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $125,000

Disaster Response Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,386,000

Fire Service Training Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$6,730,000

State Toxics Control Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $442,000

Violence Reduction and Drug Enforcement Account--State Appropriation. . . . . . . . . . . . . . . . . . $260,000

Fingerprint Identification Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$2,958,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((75,871,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $255,000 of the general fund--state appropriation for fiscal year 2000 and $95,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for replacement of fire training equipment at the fire service training academy.

(2) $604,000 of the public safety and education account appropriation is provided solely for implementation of Second Substitute Senate Bill No. 5108 (missing/exploited children). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(3) $2,816,000 of the death investigation account appropriation is provided solely for the implementation of Substitute House Bill No. 1560 (forensic lab services). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse.

(4) $2,900,000 of the fire service training account appropriation is provided solely for the implementation of Second Substitute Senate Bill No. 5102 (fire fighter training). If the bill is not enacted by June 30, 1999, the amount provided in this subsection shall lapse. In providing the fire fighter one training program required by the bill, the state patrol shall, to the extent possible, utilize existing public and private fire fighting training facilities in southeastern Washington.

(5) $354,000 of the public safety and education account appropriation is provided solely for additional law enforcement and security coverage on the west capitol campus.

(6) $66,000 of the general fund--state appropriation for fiscal year 2000 and $58,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for activities of the missing children's clearinghouse as related to services performed under subsection 202(1) of this act. If that subsection is not enacted, the amount provided in this subsection shall lapse.

(7) When a program within the agency is supported by more than one fund and one of the funds is the state general fund, the agency shall charge its expenditures in such a manner as to ensure that each fund is charged in proportion to its support of the program. The agency may adopt guidelines for the implementation of this subsection. The guidelines may account for federal matching requirements, budget provisos, or other requirements to spend other moneys in a particular manner.

(8) $300,000 of the death investigations account--state appropriation is provided solely for the operation of the state toxicology laboratory. If House Bill No. 2330 (liquor disbursements) is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(9) $1,386,000 of the disaster response account--state appropriation is provided solely for costs associated with the state patrol's participation in support of the world trade organization conference.

(10) $125,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for the implementation of Engrossed Second Substitute Senate Bill No. 2420 (oil/gas pipeline safety). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $34,844,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $42,315,000

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((83,099,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((160,258,000))

The appropriations in this section are subject to the following conditions and limitations:

(a) $404,000 of the general fund--state appropriation for fiscal year 2000 and $403,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the operation and expenses of the state board of education, including basic education assistance activities.

(b) $348,000 of the general fund--state appropriation is provided for administration of the traffic safety education program, including in-service training related to instruction in the risks of driving while under the influence of alcohol and other drugs.

(c) $128,000 of the general fund--state appropriation is provided solely for increased costs of providing a norm-referenced test to all third grade students and retests of certain third grade students and other costs in accordance with chapter 319, Laws of 1998 (student achievement).

(d) $145,000 of the general fund--state appropriation is provided for an institutional education program director.

(a) $2,524,000 of the general fund--state appropriation is provided for in-service training and educational programs conducted by the Pacific Science Center. Of this amount, $350,000 is provided to add a math van.

(b) $63,000 of the general fund--state appropriation is provided for operation of the Cispus environmental learning center.

(c) $2,754,000 of the general fund--state appropriation is provided for educational centers, including state support activities. $100,000 of this amount is provided to help stabilize funding through distribution among existing education centers that are currently funded by the state at an amount less than $100,000 a biennium.

(d) $100,000 of the general fund--state appropriation is provided for an organization in southwest Washington that received funding from the Spokane educational center in the 1995-97 biennium and provides educational services to students who have dropped out of school.

(e) $5,923,000 of the general fund--state appropriation is provided solely for matching grants to enhance security in schools. Not more than seventy-five percent of a district's total expenditures for school security in any school year may be paid from a grant under this subsection. The grants shall be expended solely for the costs of employing or contracting for building security monitors in schools during school hours and school events. Of the amount provided in this subsection, at least $2,850,000 shall be spent for grants to districts that, during the 1988-89 school year, employed or contracted for security monitors in schools during school hours. However, these grants may be used only for increases in school district expenditures for school security over expenditure levels for the 1988-89 school year.

(f) $5,649,000 of the general fund--state appropriation for FY 2001 is provided for school safety allocations to school districts. The amount provided in this subsection (2)(f) is subject to the following conditions and limitations:

(i) School districts may use funds allocated under this subsection (2)(f) for school safety purposes for the 2000-01 school year, including but not limited to the following: Planning; training; equipment; before, during, and after-school safety; and minor building renovations.

(ii) Allocations to school districts shall be made beginning on July 1, 2000, at a maximum rate of $10.00 multiplied by the full-time equivalent enrollment of the district. A district's allocation shall be reduced by any amount awarded to that district for security and safety grants under section 501 (2)(e) of this act and under sections 1 (2) and 2 of chapter 12, Laws of 1999 sp. sess. For purposes of this subsection "full-time equivalent enrollment" means the average K-12 full-time equivalent enrollment from September 1, 1999, to May 31, 2000, or 150 full-time equivalent students, whichever is greater.

(g) $200,000 of the general fund--state appropriation for fiscal year 2000, $200,000 of the general fund--state appropriation for fiscal year 2001, and $400,000 of the general fund--federal appropriation transferred from the department of health are provided solely for a program that provides grants to school districts for media campaigns promoting sexual abstinence and addressing the importance of delaying sexual activity, pregnancy, and childbearing until individuals are ready to nurture and support their children. Grants to the school districts shall be for projects that are substantially designed and produced by students. The grants shall require a local private sector match equal to one-half of the state grant, which may include in-kind contribution of technical or other assistance from consultants or firms involved in public relations, advertising, broadcasting, and graphics or video production or other related fields.

(h) $1,500,000 of the general fund--state appropriation for fiscal year 2000 and $1,500,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for school district petitions to juvenile court for truant students as provided in RCW 28A.225.030 and 28A.225.035. Allocation of this money to school districts shall be based on the number of petitions filed.

(i) A maximum of $300,000 of the general fund--state appropriation is provided for alcohol and drug prevention programs pursuant to RCW 66.08.180.

(j) $5,702,000 of the general fund--state appropriation is provided solely for shared infrastructure costs, data equipment maintenance, and depreciation costs for operation of the K-20 telecommunications network.

(k) $4,000,000 of the general fund--state appropriation is provided solely for a K-20 telecommunications network technical support system in the K-12 sector to prevent system failures and avoid interruptions in school utilization of the data processing and video-conferencing capabilities of the network. These funds may be used to purchase engineering and advanced technical support for the network. A maximum of $650,000 may be expended for state-level administration and staff training on the K-20 network.

(l) $50,000 of the general fund--state appropriation for fiscal year 2000 and $50,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for allocation to the primary coordinators of the state geographic alliance to improve the teaching of geography in schools.

(m) $2,000,000 of the general fund--state appropriation is provided for start-up grants for alternative programs and services that improve instruction and learning for at-risk students. Grants shall be awarded to applicants showing the greatest potential for improved student learning for at-risk students including:

(i) Students who are disruptive or have been suspended, expelled, or subject to other disciplinary actions;

(n) $1,600,000 of the general fund--state appropriation is provided for grants for magnet schools.

(o) $4,300,000 of the general fund--state appropriation is provided for complex need grants. Grants shall be provided according to amounts shown in LEAP Document 30C as developed on April 27, 1997, at 03:00 hours.

(p) $431,000 of the general fund--state appropriation is provided solely to implement Engrossed House Bill No. 2760 (educator quality). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(q) $500,000 of the general fund--state appropriation for fiscal year 2000 and $500,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for grants to schools and school districts to establish school safety plans.

(r) $5,242,000 of the general fund--state is provided solely for a corps of nurses located at educational service districts, as determined by the superintendent of public instruction, to be dispatched to the most needy schools to provide direct care to students, health education, and training for school staff.

(s) $50,000 of the general fund--state appropriation is provided as matching funds for district contributions to provide analysis of the efficiency of school district business practices.

(t) $750,000 of the general fund--state appropriation is provided solely for computer system programming and upgrades to benefit the office of the superintendent of public instruction, schools, and school districts.

(u) $21,000 of the general fund--state appropriation for fiscal year 2000 appropriation and $21,000 of the general fund--state appropriation for fiscal year 2001 appropriation are provided solely for the increased costs resulting from Engrossed Second Substitute House Bill No. 1477 (school district organization). If the bill is not enacted by June 30, 1999, the amounts in this subsection shall lapse.

(v) $1,500,000 of the general fund--state appropriation is provided solely for the excellence in mathematics training program as specified in Substitute House Bill No. 1569 (excellence in mathematics). If the bill is not enacted by June 30, 1999, the amount in this subsection shall lapse.

(w) $2,000,000 of the general fund--state appropriation is provided solely for teacher institutes during the summer of 2000, programs, and administration costs, as provided for in Engrossed Second Substitute House Bill No. 2085 (disruptive students). If the bill is not enacted by June 30, 1999, the amount in this subsection shall lapse.

(x) $200,000 of the general fund--state appropriation is provided solely for support for vocational student leadership organizations.

(y) $1,100,000 of the general fund--state appropriation is provided for an equal matching grant to the Northeast vocational area cooperative to establish high-technology learning centers to provide college-level technology curriculum for high school students leading to an information technology certificate or degree. Only the following sources may be used as matching for the state funds: Private sector contributions; operating levy revenues; capital levy revenues; technology levy revenues; or other local funds not from federal or state sources.

(z) $75,000 of the general fund--state appropriation is provided for speech pathology grants to charitable organizations as qualified under the internal revenue code and incorporated under the laws of the state of Washington. These grants shall be used for the purpose of providing childhood speech pathology by nationally certified speech pathologists to children who have demonstrated a lack of verbal communication skills and who would benefit from such a program. Speech pathology services shall be provided at no cost to the child receiving the benefits or to the parents or guardians of the child.

(aa) $500,000 of the general fund--state appropriation is provided solely for competitive grants to school districts to obtain curriculum or programs that allow high school students to have access to internet-based curriculum that leads directly to higher education credits or provides preparation for tests that lead to higher education credit in subjects including but not limited to mathematics, languages, and science.

(bb) $1,000,000 of the general fund--state appropriation for fiscal year 2000 and $1,800,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for grants to school districts for programs to prepare high school students to achieve information technology industry skills certifications. The funds may be expended to provide or improve internet access; purchase and install networking or computer equipment; train faculty; or acquire curriculum materials. A match of cash or in-kind contributions from nonstate sources equal to at least half of the cash amount of the grant is required. To assure continuity of the curriculum with higher education institutions, the grant program will be designed and implemented by an interagency team comprised of representatives from the office of the superintendent of public instruction, the state board for community and technical colleges, the higher education coordinating board, and the office of financial management. School districts may apply for grants in cooperation with other school districts or community or technical colleges and must demonstrate in the grant application a cooperative relationship with a community or technical college in information technology programs. Preference for grants shall be made to districts with sound technology plans, which offer student access to computers outside of school hours, which demonstrate involvement of the private sector in information technology programs, and which serve the needs of low-income communities.

(cc) $150,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for the Washington civil liberties education program pursuant to Engrossed Second Substitute House Bill No. 1572 (civil liberties education). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(dd) $150,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for the World War II oral history project pursuant to Substitute House Bill No. 2418 (WWII oral history project). If the bill is not enacted by June 30, 2000, the amount provided in this subsection shall lapse.

(ee) $431,000 of the general fund--state appropriation is provided solely for the purchase of filtering servers necessary for districts to implement a computer technology filtering system for schools. Priority shall be given to districts that do not have any filtering systems in place. Funding shall be provided only at the request of that district's school board.

(ff) $297,000 of the general fund--state appropriation is provided solely for training in oral medications administration. If Substitute Senate Bill No. 6328 (oral medications training) is enacted, the funds are provided to implement the provisions of the bill. If the bill is not enacted by June 30, 2000, the superintendent shall provide training in administration of oral medications using the model program developed by the office of the superintendent of public instruction.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,507,296,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((3,480,701,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((6,987,997,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Each general fund fiscal year appropriation includes such funds as are necessary to complete the school year ending in the fiscal year and for prior fiscal year adjustments.

(2) Allocations for certificated staff salaries for the 1999-00 and 2000-01 school years shall be determined using formula-generated staff units calculated pursuant to this subsection. Staff allocations for small school enrollments in (d) through (f) of this subsection shall be reduced for vocational full-time equivalent enrollments. Staff allocations for small school enrollments in grades K-6 shall be the greater of that generated under (a) of this subsection, or under (d) and (e) of this subsection. Certificated staffing allocations shall be as follows:

(a) On the basis of each 1,000 average annual full-time equivalent enrollments, excluding full-time equivalent enrollment otherwise recognized for certificated staff unit allocations under (c) through (f) of this subsection:

(i) Four certificated administrative staff units per thousand full-time equivalent students in grades K-12;

(ii) 49 certificated instructional staff units per thousand full-time equivalent students in grades K-3;

(iii) An additional 4.2 certificated instructional staff units for grades K-3 and an additional 7.2 certificated instructional staff units for grade 4. Any funds allocated for these additional certificated units shall not be considered as basic education funding;

(A) Funds provided under this subsection (2)(a)(iii) in excess of the amount required to maintain the statutory minimum ratio established under RCW 28A.150.260(2)(b) shall be allocated only if the district documents an actual ratio equal to or greater than 53.2 certificated instructional staff per thousand full-time equivalent students in grades K-4. For any school district documenting a lower certificated instructional staff ratio, the allocation shall be based on the district's actual grades K-4 certificated instructional staff ratio achieved in that school year, or the statutory minimum ratio established under RCW 28A.150.260(2)(b), if greater;

(B) Districts at or above 51.0 certificated instructional staff per one thousand full-time equivalent students in grades K-4 may dedicate up to 1.3 of the 53.2 funding ratio to employ additional classified instructional assistants assigned to basic education classrooms in grades K-4. For purposes of documenting a district's staff ratio under this section, funds used by the district to employ additional classified instructional assistants shall be converted to a certificated staff equivalent and added to the district's actual certificated instructional staff ratio. Additional classified instructional assistants, for the purposes of this subsection, shall be determined using the 1989-90 school year as the base year;

(C) Any district maintaining a ratio equal to or greater than 53.2 certificated instructional staff per thousand full-time equivalent students in grades K-4 may use allocations generated under this subsection (2)(a)(iii) in excess of that required to maintain the minimum ratio established under RCW 28A.150.260(2)(b) to employ additional basic education certificated instructional staff or classified instructional assistants in grades 5-6. Funds allocated under this subsection (2)(a)(iii) shall only be expended to reduce class size in grades K-6. No more than 1.3 of the certificated instructional funding ratio amount may be expended for provision of classified instructional assistants; and

(iv) Forty-six certificated instructional staff units per thousand full-time equivalent students in grades 4-12;

(b) For school districts with a minimum enrollment of 250 full-time equivalent students whose full-time equivalent student enrollment count in a given month exceeds the first of the month full-time equivalent enrollment count by 5 percent, an additional state allocation of 110 percent of the share that such increased enrollment would have generated had such additional full-time equivalent students been included in the normal enrollment count for that particular month;

(A) Vocational education programs approved by the superintendent of public instruction, a maximum of 0.92 certificated instructional staff units and 0.08 certificated administrative staff units for each 19.5 full-time equivalent vocational students for the 1999-00 school year and the 2000-01 school year. Districts documenting staffing ratios of less than 1 certificated staff per 19.5 students shall be allocated the greater of the total ratio in subsections (2)(a)(i) and (iv) of this section or the actual documented ratio; and

(B) Skills center programs meeting the standards for skill center funding recommended by the superintendent of public instruction, January 1999, 0.92 certificated instructional staff units and 0.08 certificated administrative units for each 16.67 full-time equivalent vocational students;

(ii) Indirect cost charges, as defined by the superintendent of public instruction, to vocational-secondary programs shall not exceed 10 percent; and

(iii) Vocational full-time equivalent enrollment shall be reported on the same monthly basis as the enrollment for students eligible for basic support, and payments shall be adjusted for reported vocational enrollments on the same monthly basis as those adjustments for enrollment for students eligible for basic support.

(d) For districts enrolling not more than twenty-five average annual full-time equivalent students in grades K-8, and for small school plants within any school district which have been judged to be remote and necessary by the state board of education and enroll not more than twenty-five average annual full-time equivalent students in grades K-8:

(i) For those enrolling no students in grades 7 and 8, 1.76 certificated instructional staff units and 0.24 certificated administrative staff units for enrollment of not more than five students, plus one-twentieth of a certificated instructional staff unit for each additional student enrolled; and

(ii) For those enrolling students in grades 7 or 8, 1.68 certificated instructional staff units and 0.32 certificated administrative staff units for enrollment of not more than five students, plus one-tenth of a certificated instructional staff unit for each additional student enrolled;

(e) For specified enrollments in districts enrolling more than twenty-five but not more than one hundred average annual full-time equivalent students in grades K-8, and for small school plants within any school district which enroll more than twenty-five average annual full-time equivalent students in grades K-8 and have been judged to be remote and necessary by the state board of education:

(i) For enrollment of up to sixty annual average full-time equivalent students in grades K-6, 2.76 certificated instructional staff units and 0.24 certificated administrative staff units; and

(ii) For enrollment of up to twenty annual average full-time equivalent students in grades 7 and 8, 0.92 certificated instructional staff units and 0.08 certificated administrative staff units;

(f) For districts operating no more than two high schools with enrollments of less than three hundred average annual full-time equivalent students, for enrollment in grades 9-12 in each such school, other than alternative schools:

(i) For remote and necessary schools enrolling students in any grades 9-12 but no more than twenty-five average annual full-time equivalent students in grades K-12, four and one-half certificated instructional staff units and one-quarter of a certificated administrative staff unit;

(ii) For all other small high schools under this subsection, nine certificated instructional staff units and one-half of a certificated administrative staff unit for the first sixty average annual full time equivalent students, and additional staff units based on a ratio of 0.8732 certificated instructional staff units and 0.1268 certificated administrative staff units per each additional forty-three and one-half average annual full time equivalent students.

Units calculated under (f)(ii) of this subsection shall be reduced by certificated staff units at the rate of forty-six certificated instructional staff units and four certificated administrative staff units per thousand vocational full-time equivalent students.

(g) For each nonhigh school district having an enrollment of more than seventy annual average full-time equivalent students and less than one hundred eighty students, operating a grades K-8 program or a grades 1-8 program, an additional one-half of a certificated instructional staff unit; and

(h) For each nonhigh school district having an enrollment of more than fifty annual average full-time equivalent students and less than one hundred eighty students, operating a grades K-6 program or a grades 1-6 program, an additional one-half of a certificated instructional staff unit.

(3) Allocations for classified salaries for the 1999-00 and 2000-01 school years shall be calculated using formula-generated classified staff units determined as follows:

(a) For enrollments generating certificated staff unit allocations under subsection (2)(d) through (h) of this section, one classified staff unit for each three certificated staff units allocated under such subsections;

(b) For all other enrollment in grades K-12, including vocational full-time equivalent enrollments, one classified staff unit for each sixty average annual full-time equivalent students; and

(c) For each nonhigh school district with an enrollment of more than fifty annual average full-time equivalent students and less than one hundred eighty students, an additional one-half of a classified staff unit.

(4) Fringe benefit allocations shall be calculated at a rate of 16.49 percent in the 1999-00 school year and 15.62 percent in the 2000-01 school year for certificated salary allocations provided under subsection (2) of this section, and a rate of 15.56 percent in the 1999-00 school year and 15.82 percent in the 2000-01 school year for classified salary allocations provided under subsection (3) of this section.

(5) Insurance benefit allocations shall be calculated at the maintenance rate specified in section 504(2) of this act, based on the number of benefit units determined as follows:

(a) The number of certificated staff units determined in subsection (2) of this section; and

(b) The number of classified staff units determined in subsection (3) of this section multiplied by 1.152. This factor is intended to adjust allocations so that, for the purposes of distributing insurance benefits, full-time equivalent classified employees may be calculated on the basis of 1440 hours of work per year, with no individual employee counted as more than one full-time equivalent.

(6)(a) For nonemployee-related costs associated with each certificated staff unit allocated under subsection (2)(a), (b), and (d) through (h) of this section, there shall be provided a maximum of $8,117 per certificated staff unit in the 1999-00 school year and a maximum of $8,239 per certificated staff unit in the 2000-01 school year.

(b) For nonemployee-related costs associated with each vocational certificated staff unit allocated under subsection (2)(c)(i)(A) of this section, there shall be provided a maximum of $19,933 per certificated staff unit in the 1999-00 school year and a maximum of $20,232 per certificated staff unit in the 2000-01 school year.

(c) For nonemployee-related costs associated with each vocational certificated staff unit allocated under subsection (2)(c)(i)(B) of this section, there shall be provided a maximum of $15,467 per certificated staff unit in the 1999-00 school year and a maximum of $15,699 per certificated staff unit in the 2000-01 school year.

(7) Allocations for substitute costs for classroom teachers shall be distributed at a maintenance rate of $365.28 for the 1999-00 school year and $479.94 for the 2000-01 school year per allocated classroom teachers exclusive of salary increase amounts provided in section 504 of this act. Solely for the purposes of this subsection, allocated classroom teachers shall be equal to the number of certificated instructional staff units allocated under subsection (2) of this section, multiplied by the ratio between the number of actual basic education certificated teachers and the number of actual basic education certificated instructional staff reported state-wide for the 1998-99 school year.

(8) Any school district board of directors may petition the superintendent of public instruction by submission of a resolution adopted in a public meeting to reduce or delay any portion of its basic education allocation for any school year. The superintendent of public instruction shall approve such reduction or delay if it does not impair the district's financial condition. Any delay shall not be for more than two school years. Any reduction or delay shall have no impact on levy authority pursuant to RCW 84.52.0531 and local effort assistance pursuant to chapter 28A.500 RCW.

(9) The superintendent may distribute a maximum of (($10,598,000)) $10,423,000 outside the basic education formula during fiscal years 2000 and 2001 as follows:

(a) For fire protection for school districts located in a fire protection district as now or hereafter established pursuant to chapter 52.04 RCW, a maximum of $457,000 may be expended in fiscal year 2000 and a maximum of $464,000 may be expended in fiscal year 2001;

(b) For summer vocational programs at skills centers, a maximum of $2,098,000 may be expended each fiscal year;

(c) A maximum of $585,000 may be expended for school district emergencies provided that up to $260,000 shall be for the Toutle Lake school district emergency;

(d) A maximum of $500,000 per fiscal year may be expended for programs providing skills training for secondary students who are enrolled in extended day school-to-work programs, as approved by the superintendent of public instruction. The funds shall be allocated at a rate not to exceed $500 per full-time equivalent student enrolled in those programs; and

(e) A maximum of $3,117,000 of the general fund--state appropriation for fiscal year 2000 and (($779,000)) $604,000 of the general fund--state appropriation for fiscal year 2001 are provided for the 1999-00 school year for districts which experience an enrollment decline in the 1999-00 school year from the 1998-99 school year of more than 4.5 percent in full-time equivalent enrollment or more than 300 full-time equivalent students. The superintendent shall allocate funds to eligible school districts for up to one-half of the enrollment loss at the basic education unenhanced rate for the district. School districts receiving small school factor bonus funds shall not be eligible for enrollment decline funds to the extent that the district has no state apportionment loss as a result of the enrollment decline.

(10) For purposes of RCW 84.52.0531, the increase per full-time equivalent student in state basic education appropriations provided under chapter 309, Laws of 1999, including appropriations for salary and benefits increases, is 4.0 percent from the 1998-99 school to the 1999-00 school year, and 3.0 percent from the 1999-00 school year to the 2000-01 school year. This subsection supersedes section 1, chapter 10, Laws of 1999 sp. sess.

(11) If two or more school districts consolidate and each district was receiving additional basic education formula staff units pursuant to subsection (2)(b) through (h) of this section, the following shall apply:

(a) For three school years following consolidation, the number of basic education formula staff units shall not be less than the number of basic education formula staff units received by the districts in the school year prior to the consolidation; and

(b) For the fourth through eighth school years following consolidation, the difference between the basic education formula staff units received by the districts for the school year prior to consolidation and the basic education formula staff units after consolidation pursuant to subsection (2)(a) through (h) of this section shall be reduced in increments of twenty percent per year.

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION--FOR SCHOOL EMPLOYEE COMPENSATION ADJUSTMENTS

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $186,314,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((344,013,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((530,327,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) (($406,511,000)) $407,693,000 is provided for a cost of living adjustment of 3.0 percent effective September 1, 1999, and another 3.0 percent effective September 1, 2000, for state formula staff units. The appropriations include associated incremental fringe benefit allocations at rates of 15.85 percent for school year 1999-00 and 14.98 percent for school year 2000-01 for certificated staff and 12.06 percent for school year 1999-00 and 12.32 percent for school year 2000-01 for classified staff. The appropriation also includes 1.67 percent effective September 1, 1999, for three learning improvement days pursuant to section 503(7) of this act and the salary allocation schedule adjustments for beginning and senior certificated instructional staff.

(a) The appropriations in this section include the increased portion of salaries and incremental fringe benefits for all relevant state-funded school programs in part V of this act. Salary adjustments for state employees in the office of superintendent of public instruction and the education reform program are provided in part VII of this act. Increases for general apportionment (basic education) are based on the salary allocation schedules and methodology in section 502 of this act. Increases for special education result from increases in each district's basic education allocation per student. Increases for educational service districts and institutional education programs are determined by the superintendent of public instruction using the methodology for general apportionment salaries and benefits in section 502 of this act.

(b) The appropriations in this section provide cost-of-living, learning improvement days for certificated instructional staff, and incremental fringe benefit allocations based on formula adjustments as follows:

(i) For pupil transportation, an increase of $0.60 per weighted pupil-mile for the 1999-00 school year and $1.23 per weighted pupil-mile for the 2000-01 school year;

(ii) For education of highly capable students, an increase of $14.04 per formula student for the 1999-00 school year and $21.09 per formula student for the 2000-01 school year; and

(iii) For transitional bilingual education, an increase of $36.19 per eligible bilingual student for the 1999-00 school year and $54.51 per eligible student for the 2000-01 school year; and

(iv) For learning assistance, an increase of $13.97 per entitlement unit for the 1999-00 school year and $23.04 per entitlement unit for the 2000-01 school year.

(c) The appropriations in this section include $417,000 for fiscal year 2000 and (($1,214,000)) $1,227,000 for fiscal year 2001 for salary increase adjustments for substitute teachers.

(2) (($123,816,000)) $124,217,000 is provided for adjustments to insurance benefit allocations. The maintenance rate for insurance benefit allocations is $335.75 per month for the 1999-00 and 2000-01 school years. The appropriations in this section provide for a rate increase to $388.02 per month for the 1999-00 school year and $425.89 per month for the 2000-01 school year at the following rates:

(a) For pupil transportation, an increase of $0.48 per weighted pupil-mile for the 1999-00 school year and $0.82 for the 2000-01 school year;

(b) For education of highly capable students, an increase of $3.32 per formula student for the 1999-00 school year and $5.72 for the 2000-01 school year;

(c) For transitional bilingual education, an increase of $8.46 per eligible bilingual student for the 1999-00 school year and $14.59 for the 2000-01 school year; and

(d) For learning assistance, an increase of $6.65 per funded unit for the 1999-00 school year and $11.47 for the 2000-01 school year.

(3) The rates specified in this section are subject to revision each year by the legislature.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $181,204,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((181,061,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((362,265,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Each general fund fiscal year appropriation includes such funds as are necessary to complete the school year ending in the fiscal year and for prior fiscal year adjustments.

(2) A maximum of $1,473,000 may be expended for regional transportation coordinators and related activities. The transportation coordinators shall ensure that data submitted by school districts for state transportation funding shall, to the greatest extent practical, reflect the actual transportation activity of each district.

(3) $10,000 of the fiscal year 2000 appropriation and $10,000 of the fiscal year 2001 appropriation are provided solely for the transportation of students enrolled in "choice" programs. Transportation shall be limited to low-income students who are transferring to "choice" programs solely for educational reasons.

(4) Allocations for transportation of students shall be based on reimbursement rates of $34.96 per weighted mile in the 1999-00 school year and $35.17 per weighted mile in the 2000-01 school year exclusive of salary and benefit adjustments provided in section 504 of this act. Allocations for transportation of students transported more than one radius mile shall be based on weighted miles as determined by superintendent of public instruction multiplied by the per mile reimbursement rates for the school year pursuant to the formulas adopted by the superintendent of public instruction. Allocations for transportation of students living within one radius mile shall be based on the number of enrolled students in grades kindergarten through five living within one radius mile of their assigned school multiplied by the per mile reimbursement rate for the school year multiplied by 1.29.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $387,011,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((385,482,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((171,667,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((944,160,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Funding for special education programs is provided on an excess cost basis, pursuant to RCW 28A.150.390. School districts shall ensure, to the greatest extent possible, that special education students receive their appropriate share of the general apportionment allocation accruing through sections 502 and 504 of this act. To the extent a school district cannot provide an appropriate education for special education students under chapter 28A.155 RCW through the general apportionment allocation, it shall provide services through the special education allocation funded in this section.

(2) Each general fund--state fiscal year appropriation includes such funds as are necessary to complete the school year ending in the fiscal year and for prior fiscal year adjustments.

(3) The superintendent of public instruction shall distribute state funds to school districts based on two categories: The optional birth through age two program for special education eligible developmentally delayed infants and toddlers, and the mandatory special education program for special education eligible students ages three to twenty-one. A "special education eligible student" means a student receiving specially designed instruction in accordance with a properly formulated individualized education program.

(4) For the 1999-00 and 2000-01 school years, the superintendent shall distribute state funds to each district based on the sum of:

(a) A district's annual average headcount enrollment of developmentally delayed infants and toddlers ages birth through two, multiplied by the district's average basic education allocation per full-time equivalent student, multiplied by 1.15; and

(b) A district's annual average full-time equivalent basic education enrollment multiplied by the funded enrollment percent determined pursuant to subsection (5)(c) of this section, multiplied by the district's average basic education allocation per full-time equivalent student multiplied by 0.9309.

(a) "Average basic education allocation per full-time equivalent student" for a district shall be based on the staffing ratios required by RCW 28A.150.260 and shall not include enhancements, secondary vocational education, or small schools.

(b) "Annual average full-time equivalent basic education enrollment" means the resident enrollment including students enrolled through choice (RCW 28A.225.225) and students from nonhigh districts (RCW 28A.225.210) and excluding students residing in another district enrolled as part of an interdistrict cooperative program (RCW 28A.225.250).

(c) "Enrollment percent" means the district's resident special education annual average enrollment including those students counted under the special education demonstration projects, excluding the birth through age two enrollment, as a percent of the district's annual average full-time equivalent basic education enrollment. For the 1999-00 and the 2000-01 school years, each district's funded enrollment percent shall be the lesser of the district's actual enrollment percent for the school year for which the allocation is being determined or 12.7 percent.

(6) At the request of any interdistrict cooperative of at least 15 districts in which all excess cost services for special education students of the districts are provided by the cooperative, the maximum enrollment percent shall be 12.7, and shall be calculated in the aggregate rather than individual district units. For purposes of this subsection, the average basic education allocation per full-time equivalent student shall be calculated in the aggregate rather than individual district units.

(7) A maximum of $12,000,000 of the general fund--state appropriation for fiscal year 2000 and a maximum of $12,000,000 of the general fund--state appropriation for fiscal year 2001 are provided as safety net funding for districts with demonstrated needs for state special education funding beyond the amounts provided in subsection (4) of this section. Safety net funding shall be awarded by the state safety net oversight committee.

(a) The safety net oversight committee shall first consider the needs of districts adversely affected by the 1995 change in the special education funding formula. Awards shall be based on the amount required to maintain the 1994-95 state special education excess cost allocation to the school district in aggregate or on a dollar per funded student basis.

(b) The committee shall then consider unusual needs of districts due to a special education population which differs significantly from the assumptions of the state funding formula. Awards shall be made to districts that convincingly demonstrate need due to the concentration and/or severity of disabilities in the district. Differences in program costs attributable to district philosophy or service delivery style are not a basis for safety net awards.

(c) The maximum allowable indirect cost for calculating safety net eligibility may not exceed the federal restricted indirect cost rate for the district plus one percent.

(d) Safety net awards shall be adjusted based on the percent of potential medicaid eligible students billed as calculated by the superintendent in accordance with Substitute Senate Bill No. 5626 (medicaid payments to schools).

(e) Safety net awards must be adjusted for any audit findings or exceptions related to special education funding.

(f) The superintendent may expend up to $100,000 per year of the amounts provided in this subsection to provide staff assistance to the committee in analyzing applications for safety net funds received by the committee.

(8) The superintendent of public instruction may adopt such rules and procedures as are necessary to administer the special education funding and safety net award process. Prior to revising any standards, procedures, or rules, the superintendent shall consult with the office of financial management and the fiscal committees of the legislature.

(9) The safety net oversight committee appointed by the superintendent of public instruction shall consist of:

(d) One or more representatives from school districts or educational service districts knowledgeable of special education programs and funding.

(10) To the extent necessary, $5,500,000 of the general fund--federal appropriation shall be expended for safety net funding to meet the extraordinary needs of one or more individual special education students. If safety net awards to meet the extraordinary needs of one or more individual special education students exceed $5,500,000 of the general fund--federal appropriation, the superintendent shall expend all available federal discretionary funds necessary to meet this need. General fund--state funds shall not be expended for this purpose.

(11) A maximum of $678,000 may be expended from the general fund--state appropriations to fund 5.43 full-time equivalent teachers and 2.1 full-time equivalent aides at children's orthopedic hospital and medical center. This amount is in lieu of money provided through the home and hospital allocation and the special education program.

(12) A maximum of $1,000,000 of the general fund--federal appropriation is provided for projects to provide special education students with appropriate job and independent living skills, including work experience where possible, to facilitate their successful transition out of the public school system. The funds provided by this subsection shall be from federal discretionary grants.

(13) A school district may carry over from one year to the next year up to 10 percent of general fund--state funds allocated under this program; however, carry over funds shall be expended in the special education program.

(14) The superintendent shall maintain the percentage of federal flow-through to school districts at 85 percent. In addition to other purposes, school districts may use increased federal funds for high-cost students, for purchasing regional special education services from educational service districts, and for staff development activities particularly relating to inclusion issues.

(15) A maximum of $1,200,000 of the general fund--federal appropriation may be expended by the superintendent for projects related to use of inclusion strategies by school districts for provision of special education services. The superintendent shall prepare an information database on laws, best practices, examples of programs, and recommended resources. The information may be disseminated in a variety of ways, including workshops and other staff development activities.

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION--FOR TRAFFIC SAFETY EDUCATION PROGRAMS

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,738,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((7,771,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((15,509,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) The appropriations include such funds as are necessary to complete the school year ending in each fiscal year and for prior fiscal year adjustments.

(2) A maximum of $507,000 may be expended for regional traffic safety education coordinators.

(3) The maximum basic state allocation per student completing the program shall be $137.16 in the 1999-00 and 2000-01 school years.

(4) Additional allocations to provide tuition assistance for students from low-income families who complete the program shall be a maximum of $66.81 per eligible student in the 1999-00 and 2000-01 school years.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $102,563,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((122,114,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((224,677,000))

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION--FOR INSTITUTIONAL EDUCATION PROGRAMS

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $19,296,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((19,469,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $8,548,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((47,313,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Each general fund--state fiscal year appropriation includes such funds as are necessary to complete the school year ending in the fiscal year and for prior fiscal year adjustments.

(2) State funding provided under this section is based on salaries and other expenditures for a 220-day school year. The superintendent of public instruction shall monitor school district expenditure plans for institutional education programs to ensure that districts plan for a full-time summer program.

(3) State funding for each institutional education program shall be based on the institution's annual average full-time equivalent student enrollment. Staffing ratios for each category of institution shall remain the same as those funded in the 1995-97 biennium.

(4) The funded staffing ratios for education programs for juveniles age 18 or less in department of corrections facilities shall be the same as those provided in the 1997-99 biennium.

(5) $92,000 of the general fund--state appropriation for fiscal year 2000 and (($143,000)) $139,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to maintain at least one certificated instructional staff and related support services at an institution whenever the K-12 enrollment is not sufficient to support one full-time equivalent certificated instructional staff to furnish the educational program. The following types of institutions are included: Residential programs under the department of social and health services for developmentally disabled juveniles, programs for juveniles under the department of corrections, and programs for juveniles under the juvenile rehabilitation administration.

(6) Ten percent of the funds allocated for each institution may be carried over from one year to the next.

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION--FOR PROGRAMS FOR HIGHLY CAPABLE STUDENTS

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $6,164,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((6,105,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((12,269,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Each general fund fiscal year appropriation includes such funds as are necessary to complete the school year ending in the fiscal year and for prior fiscal year adjustments.

(2) Allocations for school district programs for highly capable students shall be distributed at a maximum rate of $312.19 per funded student for the 1999-00 school year and (($310.43)) $310.40 per funded student for the 2000-01 school year, exclusive of salary and benefit adjustments pursuant to section 504 of this act. The number of funded students shall be a maximum of two percent of each district's full-time equivalent basic education enrollment.

(3) $350,000 of the appropriation is for the centrum program at Fort Worden state park.

(4) $186,000 of the appropriation is for the Washington imagination network and future problem-solving programs.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $33,234,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((36,300,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((69,534,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) $268,000 of the general fund--state appropriation for fiscal year 2000 and $322,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the commission established under PART I of Substitute Senate Bill No. 5418 or Second Substitute House Bill No. 1462. If neither bill is enacted by June 30, 1999, the amount provided in this subsection shall be used for implementation of education reform and an accountability system by the office of the superintendent of public instruction.

(2) $9,307,000 of the general fund--state appropriation for fiscal year 2000 and (($11,329,000)) $10,442,000 of the general fund--state appropriation for fiscal year 2001 are provided for development and implementation of the Washington assessments of student learning. Up to $689,000 of the appropriation may be expended for data analysis and data management of test results.

(3) $2,190,000 is provided solely for training of paraprofessional classroom assistants and certificated staff who work with classroom assistants as provided in RCW 28A.415.310.

(4) $6,818,000 is provided for mentor teacher assistance, including state support activities, under RCW 28A.415.250 and 28A.415.260. Funds for the teacher assistance program shall be allocated to school districts based on the number of beginning teachers. The 1999 teacher preparation and development report from the Washington institute for public policy found that (a) there are no state-wide standards for what teacher assistance programs are intended to accomplish and (b) the program has not been changed to reflect increased expectations for improved student learning under education reform. By November 15, 2001, the office of the superintendent of public instruction shall submit a report to the education and fiscal committees of the house of representatives and the senate documenting the outcomes of program changes implemented in response to the study.

(5) $4,050,000 is provided for improving technology infrastructure, monitoring and reporting on school district technology development, promoting standards for school district technology, promoting statewide coordination and planning for technology development, and providing regional educational technology support centers, including state support activities, under chapter 28A.650 RCW.

(6) $7,200,000 is provided for grants to school districts to provide a continuum of care for children and families to help children become ready to learn. Grant proposals from school districts shall contain local plans designed collaboratively with community service providers. If a continuum of care program exists in the area in which the school district is located, the local plan shall provide for coordination with existing programs to the greatest extent possible. Grant funds shall be allocated pursuant to RCW 70.190.040.

(7) $5,000,000 is provided solely for the meals for kids program under RCW 28A.235.145 through 28A.235.155.

(8) $1,260,000 is provided for technical assistance related to education reform through the office of the superintendent of public instruction, in consultation with the commission on student learning or its successor, as specified in RCW 28A.300.130 (center for the improvement of student learning).

(9) $2,208,000 is provided solely for the leadership internship program for superintendents, principals, and program administrators.

(10) $1,000,000 of the general fund--state appropriation for fiscal year 2000 and $1,000,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to establish a mathematics helping corps subject to the following conditions and limitations:

(a) In order to increase the availability and quality of technical mathematics assistance state-wide, the superintendent of public instruction, shall employ regional school improvement coordinators and mathematics school improvement specialists to provide assistance to schools and districts. The regional coordinators and specialists shall be hired by and work under the direction of a state-wide school improvement coordinator. The mathematics improvement specialists shall serve on a rotating basis from one to three years and shall not be permanent employees of the superintendent of public instruction.

(b) The school improvement coordinators and specialists shall provide the following:

(i) Assistance to schools to disaggregate student performance data and develop improvement plans based on those data;

(ii) Consultation with schools and districts concerning their performance on the Washington assessment of student learning and other assessments emphasizing the performance on the mathematics assessments;

(iii) Consultation concerning curricula that aligns with the essential academic learning requirements emphasizing the academic learning requirements for mathematics, the Washington assessment of student learning, and meets the needs of diverse learners;

(iv) Assistance in the identification and implementation of research-based instructional practices in mathematics;

(v) Staff training that emphasizes effective instructional strategies and classroom-based assessment for mathematics;

(vi) Assistance in developing and implementing family and community involvement programs emphasizing mathematics; and

(vii) Other assistance to schools and school districts intended to improve student mathematics learning.

(11) A maximum of $1,000,000 of the general fund--state appropriation is provided to expand the number of summer accountability institutes offered by the superintendent of public instruction and the commission on student learning or its successor. The institutes shall provide school district staff with training in the analysis of student assessment data, information regarding successful district and school teaching models, research on curriculum and instruction, and planning tools for districts to improve instruction in reading, mathematics, language arts, and guidance and counseling but placing an emphasis on mathematics.

(12) $8,000,000 of the general fund--state appropriation for fiscal year 2000 and $8,000,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the Washington reading corps subject to the following conditions and limitations:

(a) Grants shall be allocated to schools and school districts to implement proven, research-based mentoring and tutoring programs in reading for low-performing students in grades K-6. If the grant is made to a school district, the principals of schools enrolling targeted students shall be consulted concerning design and implementation of the program.

(b) The programs may be implemented before, after, or during the regular school day, or on Saturdays, summer, intercessions, or other vacation periods.

(d) A program is eligible for a grant if it meets one of the following conditions:

(i) The program is recommended either by the education commission of the states or the Northwest regional educational laboratory; or

(ii) The program is developed by schools or school districts and is approved by the office of the superintendent of public instruction based on the following criteria:

(A) The program employs methods of teaching and student learning based on reliable reading/literacy research and effective practices;

(B) The program design is comprehensive and includes instruction, on-going student assessment, professional development, parental/community involvement, and program management aligned with the school's reading curriculum;

(D) It has measurable goals for student reading aligned with the essential academic learning requirements; and

(E) It contains an evaluation component to determine the effectiveness of the program.

(f) Beginning, interim, and end-of-program testing data shall be available to determine the effectiveness of funded programs and practices. Common evaluative criteria across programs, such as grade-level improvements shall be available for each reading corps program. The superintendent of public instruction shall provide program evaluations to the governor and the appropriate committees of the legislature. Administrative and evaluation costs may be assessed from the annual appropriation for the program.

(g) Grants provided under this section may be used by schools and school districts for expenditures from July 1, 1999, through August 31, 2001.

(13) $120,000 of the general fund--state appropriation for fiscal year 2000 and $272,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for salary bonuses for teachers who attain certification by the national board for professional teaching standards.

(a) During the 1999-00 school year, teachers who have attained certification by the national board will receive a one-time 15 percent salary bonus. The bonus is provided in recognition of their outstanding performance. The bonuses shall be provided subject to the following conditions and limitations:

(i) For teachers achieving certification prior to September 1, 1999, the bonus shall begin on September 1, 1999.

(ii) Teachers enrolled in the program prior to September 1, 1999, achieving certification during the 1999-2000 school year shall be eligible for the bonus for the number of months during the school year that the individual has achieved certification.

(b) During the 2000-01 school year, teachers who have attained certification by the national board during the 2000-01 school year or in prior school years will receive an annual bonus of $3,500. The annual bonus will be paid in a lump sum amount. The annual bonus provided under this subsection shall not be included in the definition of "earnable compensation" under RCW 41.32.010(10).

(c) It is the intent of the legislature that teachers achieving certification by the national board of professional teaching standards will receive no more than two bonus payments under this subsection.

(14) $125,000 of the general fund--state appropriation for fiscal year 2001 is provided for a principal support program. The office of the superintendent of public instruction may contract with an independent organization to administer the program. The program shall include: (a) Development of an individualized professional growth plan for a new principal or principal candidate; and (b) participation of a mentor principal who works over a period of between one and three years with the new principal or principal candidate to help him or her build the skills identified as critical to the success of the professional growth plan.

(15) $35,000 of the general fund--state appropriation for fiscal year 2000 and $71,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the second grade reading test. The funds shall be expended for assessment training for new second grade teachers and replacement of assessment materials.

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION--FOR TRANSITIONAL BILINGUAL PROGRAMS

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $35,876,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((37,605,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((73,481,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Each general fund fiscal year appropriation includes such funds as are necessary to complete the school year ending in the fiscal year and for prior fiscal year adjustments.

(2) The superintendent shall distribute a maximum of $646.06 per eligible bilingual student in the 1999-00 school year and $641.64 in the 2000-01 school year, exclusive of salary and benefit adjustments provided in section ((503 of this act)) 504, chapter 1, Laws of 2000 2nd sp. sess..

FOR THE SUPERINTENDENT OF PUBLIC INSTRUCTION--FOR THE LEARNING ASSISTANCE PROGRAM

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $68,936,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((69,470,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((138,406,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Each general fund fiscal year appropriation includes such funds as are necessary to complete the school year ending in the fiscal year and for prior fiscal year adjustments.

(2) Funding for school district learning assistance programs shall be allocated at maximum rates of $382.08 per funded unit for the 1999-00 school year and $381.90 per funded unit for the 2000-01 school year.

(3) A school district's funded units for the 1999-2000 and 2000-01 school years shall be the sum of the following:

(a) The district's full-time equivalent enrollment in grades K-6, multiplied by the 5-year average 4th grade lowest quartile test results as adjusted for funding purposes in the school years prior to 1999-2000, multiplied by 0.92. As the 3rd grade test becomes available, it shall be phased into the 5-year average on a 1-year lag; and

(b) The district's full-time equivalent enrollment in grades 7-9, multiplied by the 5-year average 8th grade lowest quartile test results as adjusted for funding purposes in the school years prior to 1999-2000, multiplied by 0.92. As the 6th grade test becomes available, it shall be phased into the 5-year average for these grades on a 1-year lag; and

(c) The district's full-time equivalent enrollment in grades 10-11 multiplied by the 5-year average 11th grade lowest quartile test results, multiplied by 0.92. As the 9th grade test becomes available, it shall be phased into the 5-year average for these grades on a 1-year lag; and

(d) If, in the prior school year, the district's percentage of October headcount enrollment in grades K-12 eligible for free and reduced price lunch exceeded the state average, subtract the state average percentage of students eligible for free and reduced price lunch from the district's percentage and multiply the result by the district's K-12 annual average full-time equivalent enrollment for the current school year multiplied by 22.3 percent.

(4) School districts may carry over from one year to the next up to 10 percent of funds allocated under this program; however, carryover funds shall be expended for the learning assistance program.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $32,981,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((27,315,000))

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((60,296,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) Each general fund fiscal year appropriation includes such funds as are necessary to complete the school year ending in the fiscal year and for prior fiscal year adjustments.

(2) Funds are provided for local education program enhancements to meet educational needs as identified by the school district, including alternative education programs.

(3) Allocations for the 1999-00 school year shall be at a maximum annual rate of $28.81 per full-time equivalent student and $28.81 per full-time equivalent student for the 2000-01 school year. Allocations shall be made on the monthly apportionment payment schedule provided in RCW 28A.510.250 and shall be based on school district annual average full-time equivalent enrollment in grades kindergarten through twelve: PROVIDED, That for school districts enrolling not more than one hundred average annual full-time equivalent students, and for small school plants within any school district designated as remote and necessary schools, the allocations shall be as follows:

(a) Enrollment of not more than sixty average annual full-time equivalent students in grades kindergarten through six shall generate funding based on sixty full-time equivalent students;

(b) Enrollment of not more than twenty average annual full-time equivalent students in grades seven and eight shall generate funding based on twenty full-time equivalent students; and

(c) Enrollment of not more than sixty average annual full-time equivalent students in grades nine through twelve shall generate funding based on sixty full-time equivalent students.

(4) Funding provided pursuant to this section does not fall within the definition of basic education for purposes of Article IX of the state Constitution and the state's funding duty thereunder.

(5) The superintendent shall not allocate up to one-fourth of a district's funds under this section if:

(a) The district is not maximizing federal matching funds for medical services provided through special education programs, pursuant to RCW 74.09.5241 through 74.09.5256 (Title XIX funding); or

(b) The district is not in compliance in filing truancy petitions as required under chapter 312, Laws of 1995 and RCW 28A.225.030.

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((57,500,000))

Better schools program funds are appropriated to provide additional school improvement resources to help students meet the essential academic learning requirements and student assessment performance standards. ((It is the intent of the legislature that these funds will be appropriated on an ongoing basis in future biennia.)) Allocations received under this section shall be used for the following new and expanded educational enhancements as follows:

(1) (($37,389,000)) $35,985,000 of the appropriation shall be allocated for class size reduction and expanded learning opportunities as follows:

(a) For the 2000-01 school year, an additional 2.2 certificated instructional staff units for grades K-4 per thousand full-time equivalent students are provided to supplement the certificated staffing allocations under section 502 (2)(a) of this act. Funds allocated for these additional certificated units shall not be considered as basic education funding. The allocation may be used (i) for reducing class sizes in grades K-4 or (ii) to provide additional classroom contact hours for kindergarten, before-and-after-school programs, weekend school programs, summer school programs, and intercession opportunities to assist elementary school students in meeting the essential academic learning requirements and student assessment performance standards. For purposes of this subsection, additional classroom contact hours provided by teachers beyond the normal school day under a supplemental contract shall be converted to a certificated full-time equivalent by dividing the classroom contact hours by 900.

(b) Any district maintaining a ratio equal to or greater than 55.4 certificated instructional staff per thousand full-time equivalent students in grades K-4 may use allocations generated under this subsection to employ additional certificated instructional staff or classified instructional assistants in grades K-12 or to provide additional classroom opportunities under (a) of this subsection in grades K-12.

(c) Salary calculations, nonemployee related costs, and substitute teacher allocations shall be calculated in the same manner as provided under section 502 of this act. The allocation includes salary and benefit increases equivalent to those provided under section 503 of this act.

(2) $20,111,000 of the appropriation shall be allocated for professional development and training as follows:

(a) For fiscal year 2001, the funds shall be used for additional professional development for certificated and classified staff, including additional paid time for curriculum and lesson redesign and development work and training to ensure that instruction is aligned with state standards and student needs.

(b) For fiscal year 2001, the superintendent shall allocate the funds to school districts at a rate of $20.04 per student based on the October 1999 P-105 unduplicated headcount.

(c) School districts shall allocate the funds to schools and the expenditure of the funds shall be determined by the staff at each school site.

Education Savings Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((78,612,000))

Education Construction Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $35,000,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((113,612,000))

The appropriation in this section is subject to the following conditions and limitations:

(1) (($42,612,000 in fiscal year 2000 and $36,000,000 in fiscal year 2001 are)) $28,077,000 of the education savings account is appropriated to the common school construction account.

(2) The education construction account appropriation shall be deposited in the common school construction account.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $456,291,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((489,677,000))

General Fund--Federal Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $11,404,000

Education Construction Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,000,000

Employment and Training Trust Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . $888,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((959,260,000))

The appropriations in this section are subject to the following conditions and limitations:

(1) The technical colleges may increase tuition and fees in excess of the fiscal growth factor to conform with the percentage increase in community college operating fees.

(2)(a) $5,000,000 of the general fund--state appropriation for fiscal year 2000 and $5,000,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to increase salaries and related benefits for part-time faculty. The state board for community and technical colleges shall allocate these funds to college districts based on the headcount of part-time faculty under contract for the 1998-99 academic year. To earn these funds, a college district must match the state funds with local revenue, the amounts for which shall be determined by the state board. State fund allocations that go unclaimed by a college district shall lapse. The board may provide salary increases to part-time faculty in a total amount not to exceed $10,000,000 from tuition revenues. The board shall report to the office of financial management and legislative fiscal committees on the distribution of state funds, match requirements of each district, and the wage adjustments for part-time faculty by October 1 of each fiscal year.

(b) Each college district shall examine its current ratio of part-time to full-time faculty by discipline and report to the board a plan to reduce wage disparity and reliance on part-time faculty through salary improvements, conversion of positions to full-time status, and other remedies deemed appropriate given labor market conditions and educational programs offered in each community. The board shall set long-term performance targets for each district with respect to use of part-time faculty and monitor progress annually. The board shall report to the fiscal and higher education committees of the legislature on implementation of this subsection by no later than December 1, 1999, with recommendations for the ensuing biennium provided no later than December 1, 2000.

(3) $1,155,000 of the general fund--state appropriation for fiscal year 2000 and $2,345,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for faculty salary increments and associated benefits and may be used in combination with salary and benefit savings from faculty turnover to provide faculty salary increments and associated benefits. To the extent general salary increase funding is used to pay faculty increments, the general salary increase shall be reduced by the same amount.

(4) $950,000 of the general fund--state appropriation for fiscal year 2000 and $950,000 of the general fund--state appropriation for fiscal year 2001 are provided solely to lower the part-time faculty retirement eligibility threshold to fifty percent of the full-time workload.

(5) $332,000 of the general fund--state appropriation for fiscal year 2000 and $3,153,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for Cascadia Community College start-up and enrollment costs.

(6) $1,441,000 of the general fund--state appropriation for fiscal year 2000 and $1,441,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for 500 FTE enrollment slots to implement RCW 28B.50.259 (timber-dependent communities).

(7) $27,775,000 of the general fund--state appropriation for fiscal year 2000, $28,761,000 of the general fund--state appropriation for fiscal year 2001, and the entire employment and training trust account appropriation are provided solely as special funds for training and related support services, including financial aid, child care, and transportation, as specified in chapter 226, Laws of 1993 (employment and training for unemployed workers).

(a) Funding is provided to support up to 7,200 full-time equivalent students in each fiscal year.

(b) The state board for community and technical colleges shall submit a plan for allocation of the full-time equivalent students provided in this subsection to the workforce training and education coordinating board for review and approval.

(8) $1,000,000 of the general fund--state appropriation for fiscal year 2000 and $1,000,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for tuition support for students enrolled in work-based learning programs.

(9) $567,000 of the general fund--state appropriation for fiscal year 2000 and $568,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for administration and customized training contracts through the job skills program.

(10) $750,000 of the general fund--state appropriation for fiscal year 2000 and $750,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for grants to expand information technology and computer science programs. Successful grant applications from a college, partnerships of colleges, or partnerships of colleges and K-12 school districts must include a match of cash, in-kind, or donations equivalent to the grant amount. Grant applications shall receive priority that prepare students to meet industry standards, achieve industry skill certificates, or continue to upper division computer science or computer engineering studies. No college may receive more than $300,000 from appropriations in this section. The state board for community and technical colleges shall report the implementation of this section to the governor and legislative fiscal committees by June 30, 2001, including plans of successful grant recipients for the continuation of programs funded by this section.

(11) $1,000,000 of the general fund--state appropriation for fiscal year 2000 and $1,000,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for the Pierce College branch at Puyallup.

(12) $50,000 of the general fund--state appropriation for fiscal year 2000 and $50,000 of the general fund--state appropriation for fiscal year 2001 are solely for implementation of Substitute Senate Bill No. 5277 (higher education student child care matching grants). In no case shall funds provided in this subsection be used to construct or remodel facilities. If the bill is not enacted by June 30, 1999, the amounts provided in this subsection shall lapse.

(13) Funding in this section provides for the collection and reporting of Washington enrollment data, and related activities, for the distance learning information project described in section 129 of this act.

(14) $425,000 of the general fund--state appropriation is provided solely for allocation to Olympic college. Olympic college shall contract with accredited baccalaureate institution(s) to bring a program of upper-division courses, concentrating on but not limited to business, education, and human relations, to Bremerton. Moneys may be used by Olympic college during either fiscal year to equip and support a state-owned or state-leased facility in Bremerton where contracted courses are delivered.

(15) $1,000,000 of the education construction account--state appropriation for fiscal year 2001 is provided to replace failing roofs at Columbia basin college.

(16) $500,000 of the general fund--state appropriation for fiscal year 2001 is provided for assistance to students with disabilities.

(17) $750,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for a student centered online delivery system to broaden access and increase use of college catalogs, schedules, and registration systems.

(18) $658,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for maintenance and operations of Cascadia college phase 2, and for facilities previously authorized for construction with certificates of participation:

(f) Addition to the student union building at Yakima Valley community college; and

(19) $700,000 of the general fund--state appropriation for fiscal year 2001 is provided solely for lawsuit settlement costs at Green River community college.

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $42,060,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $44,726,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$86,786,000

The appropriations in this section are subject to the following conditions and limitations:

(1) $312,000 of the general fund--state appropriation for fiscal year 2000 and $312,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for competitively offered recruitment, retention, and equity salary adjustments for instructional and research faculty, exempt professional staff, academic administrators, academic librarians, counselors, teaching and research assistants, as classified by the office of financial management, and all other nonclassified staff, but not including employees under RCW 28B.16.015. Tuition revenues may be expended in addition to those required by this section to further provide recruitment and retention salary adjustments. The university shall provide a report in their 2001-03 biennial operating budget request submittal on the effective expenditure of funds for the purposes of this section.

(2) The office of financial management shall hold and release funds to the university at the rate of $4,756 per enrolled state FTE student in excess of fiscal year 2000 actual annualized enrollment as determined in the budget driver tracking report prepared by the office of financial management. Of the amounts held pursuant to this subsection, $300,000 shall be released to the university for the sole purpose of implementing enrollment improvement initiatives, and any remaining moneys not earned by the university for enrolling additional state students during the 2000-2001 academic year shall lapse to the education savings account at the close of the biennium.

FOR THE STATE TREASURER--BOND RETIREMENT AND INTEREST, AND ONGOING BOND REGISTRATION AND TRANSFER CHARGES: FOR DEBT SUBJECT TO THE DEBT LIMIT

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $634,792,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $((435,288,000))

State Building Construction Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$6,797,000

Debt-Limit Reimbursable Bond Retirement Account--State Appropriation. . . . . . . . . . . . . . . . . . $2,565,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((1,079,442,000))

The appropriations in this section are subject to the following conditions and limitations: The general fund appropriations are for deposit into the debt-limit general fund bond retirement account. The appropriation for fiscal year 2000 shall be deposited in the debt-limit general fund bond retirement account by June 30, 2000.

FOR THE STATE TREASURER--BOND RETIREMENT AND INTEREST, AND ONGOING BOND REGISTRATION AND TRANSFER CHARGES: FOR GENERAL OBLIGATION DEBT TO BE REIMBURSED AS PRESCRIBED BY STATUTE

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $23,678,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $23,283,000

Higher Education Construction Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . .$((695,000))

State Higher Education Construction Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . $150,000

Nondebt-Limit Reimbursable Bond Retirement Account--State Appropriation. . . . . . . . . . . . . . . $((119,977,000))

Stadium and Exhibition Center Construction--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . $1,970,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$((169,603,000))

The appropriations in this section are subject to the following conditions and limitations: The general fund appropriation is for deposit into the nondebt-limit general fund bond retirement account.

FOR THE STATE TREASURER--BOND RETIREMENT AND INTEREST, AND ONGOING BOND REGISTRATION AND TRANSFER CHARGES: FOR BOND SALE EXPENSES

General Fund--State Appropriation (FY 2000). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $567,000

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $568,000

Higher Education Construction Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . .$((83,000))

State Building Construction Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,237,000

State Higher Education Construction Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . $ 20,000

Public Safety Reimbursable Bond Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . .$ 0

Stadium/Exhibition Center Construction Account--State Appropriation. . . . . . . . . . . . . . . . . . . . $250,000

TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$2,705,000

Total Bond Retirement and Interest Appropriations contained in sections 701 through 704

of this act and section 704, chapter 309, Laws of 1999. . . . . . . . . . . . . . . . . . . . . . . . . . . $((1,295,863,000))

General Fund--State Appropriation (FY 2001). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,000,000

Disaster Response Account--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,000,000

((The sum of three million dollars or so much thereof as may be available on June 30, 1999, from the total amount of unspent fiscal year 1999 fire contingency funding in)) The appropriations in this section are subject to the following conditions and limitations: The general fund--state appropriation is provided solely for deposit into the disaster response account. The disaster response account((, is appropriated)) appropriation is provided for the purpose of making allocations to the military department for fire mobilizations costs or to the department of natural resources for fire suppression costs.

NEW SECTION. Sec. 705. A new section is added to 1999 c 309 (uncodified) to read as follows:

FOR SUNDRY CLAIMS. The following sums, or so much thereof as may be necessary, are appropriated from the general fund, unless otherwise indicated, for relief of various individuals, firms, and corporations for sundry claims. These appropriations are to be disbursed on vouchers approved by the director of general administration, except as otherwise provided, as follows:

(1) Reimbursement of criminal defendants acquitted on the basis of self-defense, pursuant to RCW 9A.16.110:

(a) Gregory Sykes, claim number SCJ 2001-01. . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 6,647

(b) Daniel Anker, claim number SCJ 2001-02. . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 17,584

(d) Yanis Nadzins, claim number SCJ 2001-04. . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 5,000

(e) Shawn Kostelec, claim number SCJ 2001-05. . . . . . . . . . . . . . . . . . . . . . . . . . .$ 2,800

(f) Terry Hanson, claim number SCJ 2001-07. . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 6,742

(g) Allen West, claim number SCJ 2001-08. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 9,001

(h) Kim McLemore, claim number SCJ 2001-09. . . . . . . . . . . . . . . . . . . . . . . . . . . $ 920

(i) Norma Vasquez, claim number SCJ 2001-11. . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,110

(j) Clifford Stewart, claim number SCJ 2001-12. . . . . . . . . . . . . . . . . . . . . . . . . . .$ 2,948

(k) Lee Sumerlin, claim number SCJ 2001-14. . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 135

(l) Maxwell Jones, claim number SCJ 2001-16. . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,840

(2) Payment from the state wildlife account for damage to crops by wildlife, pursuant to RCW 77.36.050:

(a) Carl Anderson, claim number SCG 2001-02. . . . . . . . . . . . . . . . . . . . . . . . . . .$ 30,357

(b) Marshall Anderson, claim number SCG 2001-03. . . . . . . . . . . . . . . . . . . . . . . $ 20,439

(d) Bud Hamilton, claim number SCG 2001-05. . . . . . . . . . . . . . . . . . . . . . . . . . . $ 97,761

(e) Ice Brothers, claim number SCG 2001-06. . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 23,922

(f) Dick Rubenser, claim number SCG 2001-07. . . . . . . . . . . . . . . . . . . . . . . . . . .$ 14,100

NEW SECTION. Sec. 706. A new section is added to 1999 c 309 (uncodified) to read as follows:

Any program costs or money in this act that is shifted to the general fund from another fund or account requires an adjustment to the state expenditure limit under RCW 43.135.035(5).

NEW SECTION. Sec. 707. A new section is added to 1999 c 309 (uncodified) to read as follows:

FOR WASHINGTON STATE UNIVERSITY--AGRICULTURAL COLLEGE TRUST LANDS. The sum of sixteen million dollars is appropriated from the education construction account to the agricultural permanent account as full and final payment of the agricultural college trust land settlement effective May 24, 1999, between the office of financial management and Washington State University, and shall be used to support financing of the health sciences building in Spokane.

FOR THE DEPARTMENT OF COMMUNITY, TRADE, AND ECONOMIC DEVELOPMENT--COUNTY PUBLIC HEALTH ASSISTANCE

The sum of $33,183,801 is appropriated from the health services account to the department of community, trade, and economic development for distribution for the purposes of public health. Of the amounts provided, $11,061,266 is to be distributed for ((calendar)) fiscal year 2000 for the period from ((July)) January 1 through ((December 31)) June 30, and $22,122,535 is to be distributed for ((calendar)) fiscal year 2001, to the following counties and health districts in the amounts designated:

County or Health District	FY 2000	FY 2001	1999-2001 Biennium
Adams County Health District	15,165	30,330	45,495
Asotin County Health District	30,008	60,015	90,023
Benton-Franklin Health District	551,371	1,102,742	1,654,113
Chelan-Douglas Health District	79,726	159,451	239,177
Clallam County Health and Human Services Department	68,512	137,024	205,536
Southwest Washington Health District	512,816	1,025,631	1,538,447
Columbia County Health District	19,857	39,715	59,572
Cowlitz County Health Department	129,921	259,842	389,763
Garfield County Health District	7,363	14,726	22,089
Grant County Health District	48,355	96,710	145,065
Grays Harbor Health Department	90,088	180,176	270,264
Island County Health Department	37,465	74,930	112,395
Jefferson County Health and Human Services	38,072	76,145	114,217
Seattle-King County Department of Public Health	4,153,122	8,306,245	12,459,367
Bremerton-Kitsap County Health District	271,037	542,074	813,111
Kittitas County Health Department	38,712	77,425	116,137
Klickitat County Health Department	24,002	48,004	72,006
Lewis County Health Department	49,704	99,409	149,113
Lincoln County Health Department	10,306	20,613	30,919
Mason County Department of Health Services	40,946	81,893	122,839
Okanogan County Health District	30,549	61,099	91,648
Pacific County Health Department	37,935	75,871	113,806
Tacoma-Pierce County Health Department	1,372,177	2,744,353	4,116,530
San Juan County Health and Community Services	15,058	30,116	45,174
Skagit County Health Department	98,115	196,230	294,345
Snohomish Health District	1,090,447	2,180,893	3,271,340
Spokane County Health District	1,027,015	2,054,031	3,081,046
Northeast Tri-County Health District	47,995	95,991	143,986
Thurston County Health Department	287,121	574,242	861,363
Wahkiakum County Health Department	6,748	13,495	20,243
Walla Walla County-City Health Department	83,532	167,063	250,595
Whatcom County Health Department	409,608	819,215	1,228,823
Whitman County Health Department	38,071	76,142	114,213
Yakima Health District	300,347	600,694	901,041
TOTAL APPROPRIATIONS	$11,061,266	$22,122,535	$33,183,801

NEW SECTION. Sec. 709. A new section is added to 1999 c 309 (uncodified) to read as follows:

Emergency Reserve Fund--State Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$56,336,000

The appropriation in this section is subject to the following conditions and limitations:

(1) The emergency reserve fund appropriation is in response to the emergency caused by a natural disaster known as the Nisqually earthquake, declared by chapter 5, Laws of 2001, the governor, and the president of the United States.

(2) The emergency reserve fund appropriation is provided solely for deposit in the Nisqually earthquake account--state.

(3) $728,000 is appropriated from the Nisqually earthquake account--state and $558,000 is appropriated from the Nisqually earthquake account--federal to the military department solely for costs associated with coordinating the state's response to the February 28, 2001, earthquake with the federal emergency management agency.

(4) $1,986,000 is appropriated from the Nisqually earthquake account--state and $6,878,000 is appropriated from the Nisqually earthquake account--federal to the military department solely for public assistance costs associated with the earthquake for state and local agencies. Of the appropriation from the Nisqually earthquake account--state in this subsection, $1,680,000 is provided for the state matching share for state agencies and $306,000 is provided for one-half of the local matching share for local entities. The amount provided for the local matching share constitutes a revenue distribution for purposes of RCW 43.135.060(1).

Local Toxics Control Account: For transfer to the state toxics control account on or

repaid to the local toxics control account from moneys in the state toxics control

Everett smelter site . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,500,000

Park Land Trust Revolving Fund: For transfer to the common school construction fund,

January 6, 2000, plus all interest attributed to that amount that has accrued since

deposit, up to (($13,550,000)) $13,650,400. Nothing in this section constitutes an

authorization or ratification of the transaction that resulted in this deposit. . . . . . . . . . . . $((13,550,000))

Park Land Trust Revolving Fund: For transfer to the natural resources real property

replacement account, $3,200,000 of the amount deposited into the park land trust

constitutes an authorization or ratification of the transaction that resulted in this

deposit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,300,000

General Fund: For transfer to the Water Quality Account. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $83,423,000

General Fund: For transfer to the Flood Control Assistance Account. . . . . . . . . . . . . . . . . . . . . . $4,000,000

For transfer to the State Convention and Trade Center Operations Account. . . . . . . . . . .$3,800,000

shall not exceed the match required for each federal deposit. . . . . . . . . . . . . . . . . . . . . . .$16,350,000

State Treasurer's Service Account: For transfer to the general fund on or before

requirements of the State Treasurer's Service Account. . . . . . . . . . . . . . . . . . . . . . . . . . . .$10,000,000

Account . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,700,000

For transfer to the County Public Health Account. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,577,664

Public Health Services Account: For transfer to the County Public Health Account. . . . . . . . . . .$1,056,000

For transfer to the State Drought Preparedness Account. . . . . . . . . . . . . . . . . . . . . . . . . . $6,800,000

settlement account . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $223,087,000

State Toxics Control Account: For transfer to the . . . . . . . . . . . . .local toxics control account on

or before June 30, 2001, up to $2,500,000, but not greater than the loan enacted

toxics control account fund balances. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$2,500,000

Health Services Account: For transfer to the state general fund by June 30, 2001,

in fiscal year 2001 to reflect this transfer. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $121,000,000

NEW SECTION. Sec. 902. 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. 903. 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 immediately.

On page 1, line 1 of the title, after "matters;" strike the remainder of the title and insert "amending 1999 c 309 ss 106, 111, 119, 130, 133, 134, 138, 223, 708, and 803 (uncodified); amending 2000 c 241 s 4 (uncodified); amending 2000 2nd sp.s. c 1 ss 107, 108, 109, 111, 112, 114, 115, 117, 118, 119, 124, 126, 201, 202, 203, 205, 206, 207, 208, 209, 210, 211, 212, 213, 216, 217, 218, 219, 220, 222, 301, 302, 305, 306, 401, 402, 501, 502, 504, 505, 507, 508, 510, 511, 512, 514, 515, 516, 517, 518, 519, 602, 606, 701, 703, 704, 730, and 802 (uncodified); adding new sections to 1999 c 309 (uncodified); creating new sections; making appropriations; and declaring an emergency."

There being no objection, the House concurred in the Senate amendment to Substitute House Bill No. 1314.

The Speaker (Representative Pennington presiding) stated the question before the House to be the final passage of Substitute House Bill No. 1314 as amended by the Senate.

The Clerk called the roll on the final passage of Substitute House Bill No. 1314 as amended by the Senate and the bill passed the House by the following vote: Yeas - 88, Nays - 4, Absent - 0, Excused - 6.

Voting yea: Representatives Ahern, Alexander, Anderson, Armstrong, Ballasiotes, Barlean, Benson, Berkey, Boldt, Buck, Bush, Cairnes, Campbell, Carrell, Casada, B. Chandler, G. Chandler, Clements, Cody, Conway, Cooper, Cox, Crouse, Darneille, Delvin, Dickerson, Doumit, Dunshee, Edmonds, Edwards, Eickmeyer, Ericksen, Esser, Fisher, Fromhold, Gombosky, Grant, Haigh, Hankins, Hatfield, Hunt, Hurst, Jackley, Jarrett, Kagi, Keiser, Kessler, Kirby, Lambert, Lantz, Linville, Lisk, Lovick, Marine, Mastin, McDermott, McMorris, Miloscia, Morell, Morris, Mulliken, O'Brien, Ogden, Pearson, Pennington, Pflug, Poulsen, Quall, Reardon, Roach, Rockefeller, Romero, Ruderman, Santos, Schindler, Schmidt, Schoesler, Schual-Berke, Sehlin, Simpson, Skinner, Sommers, Sump, Talcott, Van Luven, Wood, Woods, and Speaker Chopp - 88.

Excused: Representatives DeBolt, Kenney, Mitchell, Murray, Veloria, and Speaker Ballard - 6.

Substitute House Bill No. 1314 as amended by the Senate, having received the necessary constitutional majority, was declared passed.

The Senate concurred in the House amendment to the following bills and passed the bills as amended by the House:

The Senate refuses to concur in the House amendment to ENGROSSED SUBSTITUTE SENATE BILL NO. 5606 and asks the House to recede therefrom, and the same is herewith transmitted.

There being no objection, the rules were suspended and Engrossed Substitute Senate Bill No. 5606 was returned to second reading for purposes of amendment.

"NEW SECTION. Sec. 1. It is the intent of the legislature to authorize the department of social and health services to investigate the background of current and future department employees to the same extent and with the same effect as it has authorized the state to investigate the background and exclude from the provision of service current and future care providers, contractors, volunteers, and others. The department of social and health services must coordinate with the department of personnel to develop rules that address the procedures for undertaking background checks, and specifically what action would be taken against a current employee who is disqualified from his or her current position because of a background check not previously performed.

NEW SECTION. Sec. 2. A new section is added to chapter 9.96A RCW to read as follows:

This chapter is not applicable to the department of social and health services when employing a person, who in the course of his or her employment, has or may have unsupervised access to any person who is under the age of eighteen, who is under the age of twenty-one and has been sentenced to a term of confinement under the supervision of the department of social and health services under chapter 13.40 RCW, who is a vulnerable adult under chapter 74.34 RCW, or who is a vulnerable person. For purposes of this section "vulnerable person" means an adult of any age who lacks the functional, mental, or physical ability to care for himself or herself.

School districts, educational service districts, the state school for the deaf, the state school for the blind, and their contractors hiring employees who will have regularly scheduled unsupervised access to children shall require a record check through the Washington state patrol criminal identification system under RCW 43.43.830 through 43.43.834, 10.97.030, and 10.97.050 and through the federal bureau of investigation before hiring an employee. The record check shall include a fingerprint check using a complete Washington state criminal identification fingerprint card. The requesting entity shall provide a copy of the record report to the applicant. When necessary, applicants may be employed on a conditional basis pending completion of the investigation. If the applicant has had a record check within the previous two years, the district, the state school for the deaf, the state school for the blind, or contractor may waive the requirement. The district, pursuant to chapter 41.59 or 41.56 RCW, the state school for the deaf, the state school for the blind, or contractor hiring the employee shall determine who shall pay costs associated with the record check.

The superintendent of public instruction shall adopt rules as necessary under chapter 34.05 RCW on record check information. The rules shall include, but not be limited to the following:

(1) Written procedures providing a school district, state school for the deaf, or state school for the blind employee or applicant for certification or employment access to and review of information obtained based on the record check required under RCW 28A.400.303 ((and 28A.400.304)); and

(2) Written procedures limiting access to the superintendent of public instruction record check data base to only those individuals processing record check information at the office of the superintendent of public instruction, the appropriate school district or districts, the state school for the deaf, the state school for the blind, and the appropriate educational service district or districts.

(1) The secretary shall investigate the conviction records, pending charges ((or)) and disciplinary board final decisions of:

(a) ((Persons being considered for state employment in positions directly responsible for the supervision, care, or treatment of)) Any current employee or applicant seeking or being considered for any position with the department who will or may have unsupervised access to children, vulnerable adults, or individuals with mental illness or developmental disabilities((;

(b) Persons being considered for state employment in positions involving unsupervised access to vulnerable adults to conduct)). This includes, but is not limited to, positions conducting comprehensive assessments, financial eligibility determinations, licensing and certification activities, investigations, surveys, or case management; or for state positions otherwise required by federal law to meet employment standards;

(((c))) (b) Individual providers who are paid by the state and providers who are paid by home care agencies to provide in-home services involving unsupervised access to persons with physical, mental, or developmental disabilities or mental illness, or to vulnerable adults as defined in chapter 74.34 RCW, including but not limited to services provided under chapter 74.39 or 74.39A RCW; and

(((d))) (c) Individuals or businesses or organizations for the care, supervision, case management, or treatment of children, developmentally disabled persons, or vulnerable adults, including but not limited to services contracted for under chapter 18.20, 18.48, 70.127, 70.128, 72.36, or 74.39A RCW or Title 71A RCW.

(2) The investigation may include an examination of state and national criminal identification data. The secretary shall use the information solely for the purpose of determining the character, suitability, and competence of these applicants.

(3) An individual provider or home care agency provider who has resided in the state less than three years before applying for employment involving unsupervised access to a vulnerable adult as defined in chapter 74.34 RCW must be fingerprinted for the purpose of investigating conviction records both through the Washington state patrol and the federal bureau of investigation. This subsection applies only with respect to the provision of in-home services funded by medicaid personal care under RCW 74.09.520, community options program entry system waiver services under RCW 74.39A.030, or chore services under RCW 74.39A.110. However, this subsection does not supersede RCW 74.15.030(2)(b).

(4) An individual provider or home care agency provider hired to provide in-home care for and having unsupervised access to a vulnerable adult as defined in chapter 74.34 RCW must have no conviction for a disqualifying crime under RCW 43.43.830 and 43.43.842. An individual or home care agency provider must also have no conviction for a crime relating to drugs as defined in RCW 43.43.830. This subsection applies only with respect to the provision of in-home services funded by medicaid personal care under RCW 74.09.520, community options program entry system waiver services under RCW 74.39A.030, or chore services under RCW 74.39A.110.

(5) The secretary shall provide the results of the background check on individual providers to the persons hiring them or to their legal guardians, if any, for their determination of the character, suitability, and competence of the applicants. If the person elects to hire or retain an individual provider after receiving notice from the department that the applicant has a conviction for an offense that would disqualify the applicant from having unsupervised access to persons with physical, mental, or developmental disabilities or mental illness, or to vulnerable adults as defined in chapter 74.34 RCW, then the secretary shall deny payment for any subsequent services rendered by the disqualified individual provider.

(6) Criminal justice agencies shall provide the secretary such information as they may have and that the secretary may require for such purpose.

NEW SECTION. Sec. 6. A new section is added to chapter 41.06 RCW to read as follows:

(1) The board shall amend any existing rules established under RCW 41.06.475 and adopt rules developed in cooperation and agreement with the department of social and health services to implement the provisions of this act.

(2) The legislature's delegation of authority to the agency under this act is strictly limited to:

(a) The minimum delegation necessary to administer the act's clear and unambiguous directives; and

(b) The administration of circumstances and behaviors foreseeable at the time of enactment.

NEW SECTION. Sec. 7. A new section is added to chapter 41.06 RCW to read as follows:

The personnel resources board must develop policy recommendations addressing the action that will be taken if a background check result disqualifies an employee from his or her current position. A report of the recommendations developed must be delivered to the legislature by December 1, 2001."

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

The Speaker (Representative Pennington presiding) stated the question before the House to be the final passage of Engrossed Substitute Senate Bill No. 5606 as amended by the House.

The Clerk called the roll on the final passage of Engrossed Substitute Senate Bill No. 5606 as amended by the House and the bill passed the House by the following vote: Yeas - 93, Nays - 0, Absent - 0, Excused - 5.

Voting yea: Representatives Ahern, Alexander, Anderson, Armstrong, Ballasiotes, Barlean, Benson, Berkey, Boldt, Buck, Bush, Cairnes, Campbell, Carrell, Casada, B. Chandler, G. Chandler, Clements, Cody, Conway, Cooper, Cox, Crouse, Darneille, Delvin, Dickerson, Doumit, Dunn, Dunshee, Edmonds, Edwards, Eickmeyer, Ericksen, Esser, Fisher, Fromhold, Gombosky, Grant, Haigh, Hankins, Hatfield, Hunt, Hurst, Jackley, Jarrett, Kagi, Keiser, Kessler, Kirby, Lambert, Lantz, Linville, Lisk, Lovick, Marine, Mastin, McDermott, McIntire, McMorris, Mielke, Miloscia, Morell, Morris, Mulliken, O'Brien, Ogden, Pearson, Pennington, Pflug, Poulsen, Quall, Reardon, Roach, Rockefeller, Romero, Ruderman, Santos, Schindler, Schmidt, Schoesler, Schual-Berke, Sehlin, Simpson, Skinner, Sommers, Sump, Talcott, Tokuda, Van Luven, Wood, Woods, Speaker Ballard, and Speaker Chopp - 93.

Engrossed Substitute Senate Bill No. 5606 as amended by the House, having received the necessary constitutional majority, was declared passed.

The Senate has passed ENGROSSED SUBSTITUTE HOUSE BILL NO. 1571, with the following amendment:

(1) A racing association licensed by the commission to conduct a race meet may seek approval from the commission to conduct parimutuel wagering on its program at a satellite location or locations within the state of Washington. The sale of parimutuel pools at satellite locations shall be conducted only during the licensee's race meet and simultaneous to all parimutuel wagering activity conducted at the licensee's live racing facility in the state of Washington. The commission's authority to approve satellite wagering at a particular location is subject to the following limitations:

(a) The commission may approve only one satellite location in each county in the state; however, the commission may grant approval for more than one licensee to conduct wagering at each satellite location. A satellite location shall not be operated within twenty driving miles of any class 1 racing facility. For the purposes of this section, "driving miles" means miles measured by the most direct route as determined by the commission; and

(b) A licensee shall not conduct satellite wagering at any satellite location within sixty driving miles of any other racing facility conducting a live race meet.

(2) Subject to local zoning and other land use ordinances, the commission shall be the sole judge of whether approval to conduct wagering at a satellite location shall be granted.

(3) The licensee shall combine the parimutuel pools of the satellite location with those of the racing facility for the purpose of determining odds and computing payoffs. The amount wagered at the satellite location shall be combined with the amount wagered at the racing facility for the application of take out formulas and distribution as provided in RCW 67.16.102, 67.16.105, 67.16.170, and 67.16.175. A satellite extension of the licensee's racing facility shall be subject to the same application of the rules of racing as the licensee's racing facility.

(4) Upon written application to the commission, a class 1 racing association may be authorized to transmit simulcasts of live horse races conducted at its racetrack to locations outside of the state of Washington approved by the commission and in accordance with the interstate horse racing act of 1978 (15 U.S.C. Sec. 3001 to 3007) or any other applicable laws. The commission may permit parimutuel pools on the simulcast races to be combined in a common pool. A racing association that transmits simulcasts of its races to locations outside this state shall pay at least fifty percent of the fee that it receives for sale of the simulcast signal to the horsemen's purse account for its live races after first deducting the actual cost of sending the signal out of state.

(5) Upon written application to the commission, a class 1 racing association may be authorized to transmit simulcasts of live horse races conducted at its racetrack to licensed racing associations located within the state of Washington and approved by the commission for the receipt of the simulcasts. The commission shall permit parimutuel pools on the simulcast races to be combined in a common pool. The fee for in-state, track-to-track simulcasts shall be five and one-half percent of the gross parimutuel receipts generated at the receiving location and payable to the sending racing association. A racing association that transmits simulcasts of its races to other licensed racing associations shall pay at least fifty percent of the fee that it receives for the simulcast signal to the horsemen's purse account for its live race meet after first deducting the actual cost of sending the simulcast signal. A racing association that receives races simulcast from class 1 racing associations within the state shall pay at least fifty percent of its share of the parimutuel receipts to the horsemen's purse account for its live race meet after first deducting the purchase price and the actual direct costs of importing the race.

(6) A class 1 racing association may be allowed to import simulcasts of horse races from out-of-state racing facilities. With the prior approval of the commission, the class 1 racing association may participate in an interstate common pool and may change its commission and breakage rates to achieve a common rate with other participants in the common pool.

(a) The class 1 racing association shall make written application with the commission for permission to import simulcast horse races for the purpose of parimutuel wagering. Subject to the terms of this section, the commission is the sole authority in determining whether to grant approval for an imported simulcast race.

(b) ((During the conduct of its race meeting, a class 1 racing association may be allowed to import no more than one simulcast race card program during each live race day.)) A licensed racing association may also be approved to import one simulcast race of regional or national interest on each live race day. ((A class 1 racing association may be permitted to import two simulcast programs on two nonlive race days per each week during its live meet. A licensee shall not operate parimutuel wagering on more than five days per week. Parimutuel wagering on imported simulcast programs shall only be conducted at the live racing facility of a class 1 racing association.))

(c) The commission may allow simulcast races of regional or national interest to be sent to satellite locations. The simulcasts shall be limited to one per day except for Breeder's Cup special events day.

(d) When open for parimutuel wagering, a class 1 racing association which imports simulcast races shall also conduct simulcast parimutuel wagering within its licensed racing enclosure on all races simulcast from other class 1 racing associations within the state of Washington.

(e) ((When not conducting a live race meeting, a class 1 racing association may be approved to conduct simulcast parimutuel wagering on imported simulcast races.)) The conduct of ((simulcast)) parimutuel wagering on ((the)) imported simulcast races shall be for not more than fourteen hours during any twenty-four hour period, for not more than five days per week and only at ((its)) the live racing facility of a class 1 racing association.

(f) On any imported simulcast race, the class 1 racing association shall pay fifty percent of its share of the parimutuel receipts to the horsemen's purse account for its live race meet after first deducting the purchase price of the imported race and the actual costs of importing the race.

(7) For purposes of this section, a class 1 racing association is defined as a licensee approved by the commission to conduct during each twelve-month period at least forty days of live racing. If a live race day is canceled due to reasons directly attributable to acts of God, labor disruptions affecting live race days but not directly involving the licensee or its employees, or other circumstances that the commission decides are beyond the control of the class 1 racing association, then the canceled day counts toward the forty-day requirement. The commission may by rule increase the number of live racing days required to maintain class 1 racing association status or make other rules necessary to implement this section.

(8) This section does not establish a new form of gaming in Washington or allow expanded gaming within the state beyond what has been previously authorized. Simulcast wagering has been allowed in Washington before April 19, 1997. Therefore, this section does not allow gaming of any nature or scope that was prohibited before April 19, 1997. This section is necessary to protect the Washington equine breeding and racing industries, and in particular those sectors of these industries that are dependent upon live horse racing. The purpose of this section is to protect these industries from adverse economic impacts and to promote fan attendance at class 1 racing facilities. Therefore, imported simulcast race card programs shall not be disseminated to any location outside the live racing facility of the class 1 racing association and a class 1 racing association is strictly prohibited from simulcasting imported race card programs to any location outside its live racing facility."

In line 3 of the title, after "facilities;" strike the remainder of the title and insert "and amending RCW 67.16.200."

There being no objection, the House refused to concur in the Senate Amendment(s) to Engrossed Substitute House Bill No. 1571 and asked the Senate to recede therefrom.

The Senate has passed ENGROSSED SUBSTITUTE HOUSE BILL NO. 1418, with the following amendment:

"NEW SECTION. Sec. 1. (1) It is declared to be the public policy of the state of Washington to promote and facilitate the orderly development and economic stability of its communities. Local governments need the ability to raise revenue to finance public improvements that are designed to encourage economic growth and development in geographic areas characterized by high levels of unemployment and stagnate employment and income growth. The construction of necessary public improvements in accordance with local economic development plans will encourage investment in job-producing private development and expand the public tax base.

(a) To encourage taxing districts to cooperate in the allocation of future tax revenues that are used to finance public improvements designed to encourage private development in selected areas, in particular in those local governments that are located adjacent to another state or international border;

(b) To assist those local governments that have a competitive disadvantage in its ability to attract business, private investment, or commercial development due to its location near a state or international border; and

(c) To prevent or arrest the decay of selected areas due to the inability of existing financial methods to provide needed public improvements, and to encourage private investment designed to promote and facilitate the orderly redevelopment of selected areas.

NEW SECTION. Sec. 2. The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

(1) "Assessed value of real property" means the valuation of real property as placed on the last completed assessment roll.

(2) "Local government" means any city, town, county, port district, or any combination thereof.

(3) "Ordinance" means any appropriate method of taking legislative action by a local government.

(i) Providing environmental analysis, professional management, planning, and promotion within the increment area, including the management and promotion of retail trade activities in the increment area;

(ii) Providing maintenance and security for common or public areas in the increment area; or

(5) "Public improvement costs" means the costs of: (a) Design, planning, acquisition, site preparation, construction, reconstruction, rehabilitation, improvement, and installation of public improvements; (b) relocating, maintaining, and operating property pending construction of public improvements; (c) relocating utilities as a result of public improvements; (d) financing public improvements, including interest during construction, legal and other professional services, taxes, insurance, principal and interest costs on general indebtedness issued to finance public improvements, and any necessary reserves for general indebtedness; (e) assessments incurred in revaluing real property for the purpose of determining the tax allocation base value that are in excess of costs incurred by the assessor in accordance with the revaluation plan under chapter 84.41 RCW, and the costs of apportioning the taxes and complying with this chapter and other applicable law; and (f) administrative expenses and feasibility studies reasonably necessary and related to these costs, including related costs that may have been incurred before adoption of the ordinance authorizing the public improvements and the use of community revitalization financing to fund the costs of the public improvements.

(6) "Regular property taxes" means regular property taxes as defined in RCW 84.04.140, except: (a) Regular property taxes levied by port districts or public utility districts specifically for the purpose of making required payments of principal and interest on general indebtedness; and (b) regular property taxes levied by the state for the support of the common schools under RCW 84.52.065. Regular property taxes do not include excess property tax levies that are exempt from the aggregate limits for junior and senior taxing districts as provided in RCW 84.52.043.

(7) "Tax allocation base value" means the true and fair value of real property located within an increment area for taxes imposed in the year in which the increment area is created, plus twenty-five percent of any increase in the true and fair value of real property located within an increment area that is placed on the assessment rolls after the increment area is created.

(8) "Tax allocation revenues" means those tax revenues derived from the imposition of regular property taxes on the increment value and distributed to finance public improvements.

(9) "Increment area" means the geographic area from which taxes are to be appropriated to finance public improvements authorized under this chapter.

(10) "Increment value" means seventy-five percent of any increase in the true and fair value of real property in an increment area that is placed on the tax rolls after the increment area is created.

(11) "Taxing districts" means a governmental entity that levies or has levied for it regular property taxes upon real property located within a proposed or approved increment area.

(12) "Value of taxable property" means the value of the taxable property as defined in RCW 39.36.015.

NEW SECTION. Sec. 3. A local government may finance public improvements using community revitalization financing subject to the following conditions:

(1) The local government adopts an ordinance designating an increment area within its boundaries and specifying the public improvements proposed to be financed in whole or in part with the use of community revitalization financing;

(2) The public improvements proposed to be financed in whole or in part using community revitalization financing are expected to encourage private development within the increment area and to increase the fair market value of real property within the increment area;

(3) Private development that is anticipated to occur within the increment area, as a result of the public improvements, will be consistent with the countywide planning policy adopted by the county under RCW 36.70A.210 and the local government's comprehensive plan and development regulations adopted under chapter 36.70A RCW;

(4) Taxing districts, in the aggregate, that levy at least seventy-five percent of the regular property tax within which the increment area is located approves the community revitalization financing of the project under section 5(1) of this act; and

(5) In an increment area that includes any portion of a fire protection district as defined in Title 52 RCW, the fire protection district must approve their participation in the community revitalization financing of the project under this act. Approval by the fire protection district shall be considered as part of the required participation by taxing districts under subsection (4) of this section.

NEW SECTION. Sec. 4. Public improvements that are financed with community revitalization financing may be undertaken and coordinated with other programs or efforts undertaken by the local government and other taxing districts and may be funded in part from revenue sources other than community revitalization financing.

NEW SECTION. Sec. 5. Before adopting an ordinance creating the increment area, a local government must:

(1) Obtain written agreement for the use of community revitalization financing to finance all or a portion of the costs of the designated public improvements from taxing districts that, in the aggregate, levy at least seventy-five percent of the regular property tax on property within the increment area. A signed, written agreement from taxing districts that in the aggregate levy at least seventy-five percent of the regular property tax within the increment area, constitutes concurrence by all taxing districts in the increment area in the public improvement and participation in the public improvement to the extent of providing limited funding under community revitalization financing authorized under this chapter. The agreement must be authorized by the governing body of taxing districts that in the aggregate levy at least seventy-five percent of the regular property tax on property within the increment area;

(2) Hold a public hearing on the proposed financing of the public improvement in whole or in part with community revitalization financing. Notice of the public hearing must be published in a legal newspaper of general circulation within the proposed increment area at least ten days before the public hearing and posted in at least six conspicuous public places located in the proposed increment area. Notices must describe the contemplated public improvements, estimate the costs of the public improvements, describe the portion of the costs of the public improvements to be borne by community revitalization financing, describe any other sources of revenue to finance the public improvements, describe the boundaries of the proposed increment area, and estimate the period during which community revitalization financing is contemplated to be used. The public hearing may be held by either the governing body of the local government, or a committee of the governing body that includes at least a majority of the whole governing body; and

(3) Adopt an ordinance establishing the increment area that describes the public improvements, describes the boundaries of the increment area, estimates the cost of the public improvements and the portion of these costs to be financed by community revitalization financing, estimates the time during which regular property taxes are to be apportioned, provides the date when the apportionment of the regular property taxes will commence, and finds that the conditions of section 3 of this act are met.

(1) Publish notice in a legal newspaper of general circulation within the increment area that describes the public improvement, describes the boundaries of the increment area, and identifies the location and times where the ordinance and other public information concerning the public improvement may be inspected; and

(2) Deliver a certified copy of the ordinance to the county treasurer, the county assessor, and the governing body of each taxing district within which the increment area is located.

NEW SECTION. Sec. 7. (1) Commencing in the calendar year following the passage of the ordinance, the county treasurer shall distribute receipts from regular taxes imposed on real property located in the increment area as follows:

(a) Each taxing district shall receive that portion of its regular property taxes produced by the rate of tax levied by or for the taxing district on the tax allocation base value for that community revitalization financing project in the taxing district, or upon the total assessed value of real property in the taxing district, whichever is smaller; and

(b) The local government that created the increment area shall receive an additional portion of the regular property taxes levied by or for each taxing district upon the increment value within the increment area. However, the local government that created the increment area may agree to receive less than the full amount of this portion as long as bond debt service, reserve, and other bond covenant requirements are satisfied, in which case the balance of these tax receipts shall be allocated to the taxing districts that imposed regular property taxes, or have regular property taxes imposed for them, in the increment area for collection that year in proportion to their regular tax levy rates for collection that year. The local government may request that the treasurer transfer this additional portion of the property taxes to its designated agent. The portion of the tax receipts distributed to the local government or its agent under this subsection (1)(b) may only be expended to finance public improvement costs associated with the public improvements financed in whole or in part by community revitalization financing.

(2) The county assessor shall allocate twenty-five percent of any increased real property value occurring in the increment area to the tax allocation base value and seventy-five percent to the increment value. This section does not authorize revaluations of real property by the assessor for property taxation that are not made in accordance with the assessor's revaluation plan under chapter 84.41 RCW or under other authorized revaluation procedures.

(3) The apportionment of increases in assessed valuation in an increment area, and the associated distribution to the local government of receipts from regular property taxes that are imposed on the increment value, must cease when tax allocation revenues are no longer necessary or obligated to pay the costs of the public improvements. Any excess tax allocation revenues and earnings on the tax allocation revenues remaining at the time the apportionment of tax receipts terminates must be returned to the county treasurer and distributed to the taxing districts that imposed regular property taxes, or had regular property taxes imposed for it, in the increment area for collection that year, in proportion to the rates of their regular property tax levies for collection that year.

NEW SECTION. Sec. 8. (1) A local government designating an increment area and authorizing the use of community revitalization financing may incur general indebtedness, and issue general obligation bonds, to finance the public improvements and retire the indebtedness in whole or in part from tax allocation revenues it receives, subject to the following requirements:

(a) The ordinance adopted by the local government creating the increment area and authorizing the use of community revitalization financing indicates an intent to incur this indebtedness and the maximum amount of this indebtedness that is contemplated; and

(b) The local government includes this statement of the intent in all notices required by section 5 of this act.

(2) The general indebtedness incurred under subsection (1) of this section may be payable from other tax revenues, the full faith and credit of the local government, and nontax income, revenues, fees, and rents from the public improvements, as well as contributions, grants, and nontax money available to the local government for payment of costs of the public improvements or associated debt service on the general indebtedness.

(3) In addition to the requirements in subsection (1) of this section, a local government designating an increment area and authorizing the use of community revitalization financing may require the nonpublic participant to provide adequate security to protect the public investment in the public improvement within the increment area.

NEW SECTION. Sec. 9. A direct or collateral attack on a public improvement, public improvement ordinance, or increment area purported to be authorized or created in conformance with applicable legal requirements, including this chapter, may not be commenced more than thirty days after publication of notice as required by section 6 of this act.

NEW SECTION. Sec. 10. This chapter supplements and neither restricts nor limits any powers which the state or any local government might otherwise have under any laws of this state.

NEW SECTION. Sec. 11. A new section is added to chapter 27.12 RCW to read as follows:

In addition to other authority that a rural county library district or intercounty rural library district possesses, a rural county library district or an intercounty rural library district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a rural county library district or intercounty rural library district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 12. A new section is added to chapter 35.61 RCW to read as follows:

In addition to other authority that a metropolitan park district possesses, a metropolitan park district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a metropolitan park district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 13. A new section is added to chapter 36.32 RCW to read as follows:

In addition to other authority that a county possesses, a county may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a county to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 14. A new section is added to chapter 36.68 RCW to read as follows:

In addition to other authority that a park and recreation service area possesses, a park and recreation service area may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a park and recreation service area to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 15. A new section is added to chapter 36.69 RCW to read as follows:

In addition to other authority that a park and recreation district possesses, a park and recreation district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a park and recreation district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 16. A new section is added to chapter 36.75 RCW to read as follows:

In addition to other authority that a road district possesses, a road district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a road district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 17. A new section is added to chapter 52.12 RCW to read as follows:

In addition to other authority that a fire protection district possesses, a fire protection district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a fire protection district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 18. A new section is added to chapter 53.08 RCW to read as follows:

In addition to other authority that a port district possesses, a port district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a port district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 19. A new section is added to chapter 54.16 RCW to read as follows:

In addition to other authority that a public utility district possesses, a public utility district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a public utility district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 20. A new section is added to chapter 67.38 RCW to read as follows:

In addition to other authority that a cultural arts, stadium, and convention center district possesses, a cultural arts, stadium, and convention center district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a cultural arts, stadium, and convention center district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 21. A new section is added to chapter 68.52 RCW to read as follows:

In addition to other authority that a cemetery district possesses, a cemetery district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a cemetery district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 22. A new section is added to chapter 70.44 RCW to read as follows:

In addition to other authority that a public hospital district possesses, a public hospital district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a public hospital district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 23. A new section is added to chapter 86.15 RCW to read as follows:

In addition to other authority that a flood control zone district possesses, a flood control zone district may provide any public improvement as defined under section 2 of this act, but this additional authority is limited to participating in the financing of the public improvements as provided under section 5 of this act.

This section does not limit the authority of a flood control zone district to otherwise participate in the public improvements if that authority exists elsewhere.

NEW SECTION. Sec. 24. A new section is added to chapter 84.55 RCW to read as follows:

Limitations on regular property taxes that are provided in this chapter shall continue in a taxing district whether or not an increment area exists within the taxing district as provided under chapter 39.-- RCW (sections 1 through 10 and 29 of this act).

Sec. 25. RCW 36.33.220 and 1973 1st ex.s. c 195 s 142 are each amended to read as follows:

The legislative authority of any county may budget, in accordance with the provisions of chapter 36.40 RCW, and expend any portion of the county road property tax revenues for any service to be provided in the unincorporated area of the county notwithstanding any other provision of law, including chapter 36.82 RCW and RCW 84.52.050 and 84.52.043. County road property tax revenues that are diverted under chapter 39.-- RCW (sections 1 through 10 and 29 of this act) may be expended as provided under chapter 39.-- RCW (sections 1 through 10 and 29 of this act).

At the time the board reviews the six-year program of each county each even-numbered year, it shall consider and shall approve for inclusion in its recommended budget, as required by RCW 36.79.130, the portion of the rural arterial construction program scheduled to be performed during the biennial period beginning the following July 1st. Subject to the appropriations actually approved by the legislature, the board shall as soon as feasible approve rural arterial trust account funds to be spent during the ensuing biennium for preliminary proposals in priority sequence as established pursuant to RCW 36.79.090. Only those counties that during the preceding twelve months have spent all revenues collected for road purposes only for such purposes, including traffic law enforcement, as are allowed to the state by Article II, section 40 of the state Constitution are eligible to receive funds from the rural arterial trust account((: PROVIDED HOWEVER)), except that: (1) Counties with a population of less than eight thousand are exempt from this eligibility restriction((: AND PROVIDED FURTHER, That)); (2) counties expending revenues collected for road purposes only on other governmental services after authorization from the voters of that county under RCW 84.55.050 are also exempt from this eligibility restriction; and (3) this restriction shall not apply to any moneys diverted from the road district levy under chapter 39.-- RCW (sections 1 through 10 and 29 of this act). The board shall authorize rural arterial trust account funds for the construction project portion of a project previously authorized for a preliminary proposal in the sequence in which the preliminary proposal has been completed and the construction project is to be placed under contract. At such time the board may reserve rural arterial trust account funds for expenditure in future years as may be necessary for completion of preliminary proposals and construction projects to be commenced in the ensuing biennium.

The board may, within the constraints of available rural arterial trust funds, consider additional projects for authorization upon a clear and conclusive showing by the submitting county that the proposed project is of an emergent nature and that its need was unable to be anticipated at the time the six-year program of the county was developed. The proposed projects shall be evaluated on the basis of the priority rating factors specified in RCW 36.79.080.

Sec. 27. RCW 36.82.040 and 1973 1st ex.s. c 195 s 41 are each amended to read as follows:

For the purpose of raising revenue for establishing, laying out, constructing, altering, repairing, improving, and maintaining county roads, bridges, and wharves necessary for vehicle ferriage and for other proper county purposes, the board shall annually at the time of making the levy for general purposes make a uniform tax levy throughout the county, or any road district thereof, of not to exceed two dollars and twenty-five cents per thousand dollars of assessed value of the last assessed valuation of the taxable property in the county, or road district thereof, unless other law of the state requires a lower maximum levy, in which event such lower maximum levy shall control. All funds accruing from such levy shall be credited to and deposited in the county road fund except that revenue diverted under RCW 36.33.220 shall be placed in a separate and identifiable account within the county current expense fund and except that revenue diverted under chapter 39.-- RCW (sections 1 through 10 and 29 of this act) shall be expended as provided under chapter 39.-- RCW (sections 1 through 10 and 29 of this act).

(1) The equivalent population for each county shall be computed as the sum of the population residing in the county's unincorporated area plus twenty-five percent of the population residing in the county's incorporated area. Population figures required for the computations in this subsection shall be certified by the director of the office of financial management on or before July 1st of each odd-numbered year.

(2) The total annual road cost for each county shall be computed as the sum of one twenty-fifth of the total estimated county road replacement cost, plus the total estimated annual maintenance cost. Appropriate costs for bridges and ferries shall be included. The county road administration board shall be responsible for establishing a uniform system of roadway categories for both maintenance and construction and also for establishing a single statewide cost per mile rate for each roadway category. The total annual cost for each county will be based on the established statewide cost per mile and associated mileage for each category. The mileage to be used for these computations shall be as shown in the county road log as maintained by the county road administration board as of July 1, 1985, and each two years thereafter. Each county shall be responsible for submitting changes, corrections, and deletions as regards the county road log to the county road administration board. Such changes, corrections, and deletions shall be subject to verification and approval by the county road administration board prior to inclusion in the county road log.

(3) The money need factor for each county shall be the county's total annual road cost less the following four amounts:

(a) One-half the sum of the actual county road tax levied upon the valuation of all taxable property within the county road districts pursuant to RCW 36.82.040, including any amount of such tax diverted under chapter 39.-- RCW (sections 1 through 10 and 29 of this act), for the two calendar years next preceding the year of computation of the allocation amounts as certified by the department of revenue;

(b) One-half the sum of all funds received by the county road fund from the federal forest reserve fund pursuant to RCW 28A.520.010 and 28A.520.020 during the two calendar years next preceding the year of computation of the allocation amounts as certified by the state treasurer;

(c) One-half the sum of timber excise taxes received by the county road fund pursuant to chapter 84.33 RCW in the two calendar years next preceding the year of computation of the allocation amounts as certified by the state treasurer;

(d) One-half the sum of motor vehicle license fees and motor vehicle and special fuel taxes refunded to the county, pursuant to RCW 46.68.080 during the two calendar years next preceding the year of computation of the allocation amounts as certified by the state treasurer.

(4) The state treasurer and the department of revenue shall furnish to the county road administration board the information required by subsection (3) of this section on or before July 1st of each odd-numbered year.

(5) The county road administration board, shall compute and provide to the counties the allocation factors of the several counties on or before September 1st of each year based solely upon the sources of information herein before required: PROVIDED, That the allocation factor shall be held to a level not more than five percent above or five percent below the allocation factor in use during the previous calendar year. Upon computation of the actual allocation factors of the several counties, the county road administration board shall provide such factors to the state treasurer to be used in the computation of the counties' fuel tax allocation for the succeeding calendar year. The state treasurer shall adjust the fuel tax allocation of each county on January 1st of every year based solely upon the information provided by the county road administration board.

NEW SECTION. Sec. 30. Sections 1 through 10 and 29 of this act constitute a new chapter in Title 39 RCW.

NEW SECTION. Sec. 31. 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."

On page 1, line 1 of the title, after "financing;" strike the remainder of the title and insert "amending RCW 36.33.220, 36.79.140, 36.82.040, and 46.68.124; adding a new section to chapter 27.12 RCW; adding a new section to chapter 35.61 RCW; adding a new section to chapter 36.32 RCW; adding a new section to chapter 36.68 RCW; adding a new section to chapter 36.69 RCW; adding a new section to chapter 36.75 RCW; adding a new section to chapter 52.12 RCW; adding a new section to chapter 53.08 RCW; adding a new section to chapter 54.16 RCW; adding a new section to chapter 67.38 RCW; adding a new section to chapter 68.52 RCW; adding a new section to chapter 70.44 RCW; adding a new section to chapter 86.15 RCW; adding a new section to chapter 84.55 RCW; adding a new chapter to Title 39 RCW; and providing an expiration date."

There being no objection, the House refused to concur in the Senate Amendment(s) to Engrossed Substitute House Bill No. 1418 and asked the Senate to recede therefrom.

The Senate reconsidered, and under suspension of the rules, SUBSTITUTE HOUSE BILL NO. 1391 was returned to second reading for purpose of amendment. The Senate further adopted amendment AAS-2511.2 and passed the measure, as amended by the Senate.

"NEW SECTION. Sec. 1. A new section is added to chapter 44.04 RCW to read as follows:

The joint legislative audit and review committee, the legislative transportation committee, the joint committee on pension policy, the legislative evaluation and accountability program committee, and the joint legislative systems committee are subject to such operational policies, procedures, and oversight as are deemed necessary by the facilities and operations committee of the senate and the executive rules committee of the house of representatives to ensure operational adequacy of the agencies of the legislative branch. As used in this section, "operational policies, procedures, and oversight" includes the development process of biennial budgets, contracting procedures, personnel policies, and compensation plans, selection of a chief administrator, facilities, and expenditures. This section does not grant oversight authority to the facilities and operations committee of the senate over any standing committee of the house of representatives or oversight authority to the executive rules committee of the house of representatives over any standing committee of the senate.

NEW SECTION. Sec. 2. A new section is added to chapter 44.28 RCW to read as follows:

The administration of the joint legislative audit and review committee is subject to section 1 of this act.

The members of the joint committee shall form an executive committee consisting of one member from each of the four major political caucuses, which shall include a chair and a vice-chair. The chair and vice-chair shall serve for a period not to exceed two years. The chair and the vice-chair may not be members of the same political party. The chair shall alternate between the members of the majority parties in the senate and the house of representatives.

Subject to section 1 of this act, the executive committee is responsible for performing all general administrative and personnel duties assigned to it in the rules and procedures adopted by the joint committee, as well as other duties delegated to it by the joint committee. The executive committee shall recommend applicants for the position of the legislative auditor to the membership of the joint committee. The legislative auditor shall be hired with the approval of a majority of the membership of the joint committee. Subject to section 1 of this act, the executive committee shall set the salary of the legislative auditor.

The joint committee shall adopt rules and procedures for its orderly operation. The joint committee may create subcommittees to perform duties under this chapter.

(1) Establish and manage the office of the joint legislative audit and review committee to carry out the functions of this chapter;

(2) Direct the audit and review functions described in this chapter and ensure that performance audits are performed in accordance with the "Government Auditing Standards" published by the comptroller general of the United States as applicable to the scope of the audit;

(3) Make findings and recommendations to the joint committee and under its direction to the committees of the state legislature concerning the organization and operation of state agencies and the expenditure of state funds by units of local government;

(4) Subject to section 1 of this act, in consultation with and with the approval of the executive committee, hire staff necessary to carry out the purposes of this chapter. Subject to section 1 of this act, employee salaries, other than the legislative auditor, shall be set by the legislative auditor with the approval of the executive committee;

(5) Assist the several standing committees of the house and senate in consideration of legislation affecting state departments and their efficiency; appear before other legislative committees; and assist any other legislative committee upon instruction by the joint legislative audit and review committee;

(6) Provide the legislature with information obtained under the direction of the joint legislative audit and review committee;

(7) Maintain a record of all work performed by the legislative auditor under the direction of the joint legislative audit and review committee and keep and make available all documents, data, and reports submitted to the legislative auditor by any legislative committee.

NEW SECTION. Sec. 5. A new section is added to chapter 44.40 RCW to read as follows:

The administration of the legislative transportation committee is subject to section 1 of this act.

Sec. 6. RCW 44.40.015 and 1999 sp.s. c 1 s 617 are each amended to read as follows:

The members of the legislative transportation committee shall form an executive committee consisting of two members from each of the four major political caucuses, which will include the chair and vice-chair of the legislative transportation committee. There will be four alternates to the executive committee, one from each of the four major political caucuses. Each alternate may represent a member from the same political caucus from which they were chosen when that member is absent, and have voting privileges during that absence.

Subject to section 1 of this act, the executive committee is responsible for performing all general administrative and personnel duties assigned to it in the rules and procedures adopted by the committee, determining the number of legislative transportation committee staff, and other duties delegated to it by the committee. Except when those responsibilities are assumed by the legislative transportation committee, and subject to section 1 of this act, the executive committee is responsible for adopting interim work plans and meeting schedules, approving all contracts signed on behalf of the committee, and setting policies for legislative transportation ((commitee [committee])) committee staff utilization.

The members of the legislative transportation committee and the house and senate transportation committees shall receive allowances while attending meetings of the committees or subcommittees and while engaged in other authorized business of the committees as provided in RCW 44.04.120 ((as now or hereafter amended)). Subject to section 1 of this act, all expenses incurred by the committee, and the house and senate transportation committees, including salaries of employees of the legislative transportation committee, shall be paid upon voucher forms as provided by the office of financial management and signed by the chairman or vice chairman or authorized designee of the chairman of the committee, and the authority of said chairman or vice chairman to sign vouchers shall continue until their successors are selected. Vouchers may be drawn upon funds appropriated for the expenses of the committee.

Sec. 8. RCW 44.40.090 and 1977 ex.s. c 235 s 10 are each amended to read as follows:

Subject to section 1 of this act, powers and duties enumerated by this chapter shall be delegated to the senate and house transportation committees during periods when the legislative transportation committee is not appointed.

Sec. 9. RCW 44.40.100 and 1977 ex.s. c 235 s 11 are each amended to read as follows:

Subject to section 1 of this act, the legislative transportation committee ((and/or)) and the senate and house transportation committees may enter into contracts on behalf of the state to carry out the purposes of this chapter ((44.40 RCW as amended)); and it or they may act for the state in the initiation of or participation in any multigovernmental program relative to transportation planning or programming; and it or they may enter into contracts to receive federal or other funds, grants, or gifts to carry out said purposes and to be used in preference to or in combination with state funds. When federal or other funds are received, they shall be deposited with the state treasurer and thereafter expended only upon approval by the committee or committees.

NEW SECTION. Sec. 10. A new section is added to chapter 44.44 RCW to read as follows:

The administration of the joint committee on pension policy is subject to section 1 of this act.

(1) Subject to section 1 of this act, the state actuary shall have the authority to select and employ such research, technical, clerical personnel, and consultants as the actuary deems necessary, whose salaries shall be fixed by the actuary and approved by the joint committee on pension policy, and who shall be exempt from the provisions of the state civil service law, chapter 41.06 RCW.

(2) All actuarial valuations and experience studies performed by the office of the state actuary shall be signed by a member of the American academy of actuaries. If the state actuary is not such a member, the state actuary, after approval by the committee, shall contract for a period not to exceed two years with a member of the American academy of actuaries to assist in developing actuarial valuations and experience studies.

NEW SECTION. Sec. 12. A new section is added to chapter 44.48 RCW to read as follows:

The administration of the legislative evaluation and accountability program committee is subject to section 1 of this act.

Sec. 13. RCW 44.48.050 and 1977 ex.s. c 373 s 5 are each amended to read as follows:

Subject to section 1 of this act, all expenses incurred by the committee, including salaries and expenses of employees, shall be paid upon voucher forms as provided by the administrator and signed by the chairman or vice chairman of the committee and attested by the secretary of said committee, and the authority of said chairman and secretary to sign vouchers shall continue until their successors are selected after each ensuing session of the legislature. Vouchers may be drawn on funds appropriated by law for the committee: PROVIDED, That the senate and the house may authorize the committee to draw on funds appropriated by the legislature for legislative expenses.

Sec. 14. RCW 44.48.090 and 1979 c 151 s 158 are each amended to read as follows:

(1) To have timely access, upon written request of the administrator, to all machine readable, printed, and other data of state agencies relative to expenditures, budgets, and related fiscal matters;

(2) To suggest changes relative to state accounting and reporting systems to the office of financial management or its successor and to require timely written responses to such suggestions; and

(3) Subject to section 1 of this act, to enter into contracts; and when entering into any contract for computer access, make necessary provisions relative to the scheduling of computer time and usage in recognition of the unique requirements and priorities of the legislative process.

Sec. 15. RCW 44.48.120 and 1977 ex.s. c 373 s 12 are each amended to read as follows:

The committee is hereby authorized and empowered to appoint an officer to be known as the LEAP administrator who shall be the executive officer of the committee and assist in its duties and shall compile information for the committee.

Subject to section 1 of this act, the committee is hereby authorized and empowered to select and employ temporary and permanent personnel and fix their salaries.

(2) To assist the several standing committees of the house and senate; to appear before other legislative committees; and to assist any other legislative committee upon instruction by the committee.

(3) To provide the legislature with information obtained under the direction of the committee.

(4) To maintain a record of all work performed by the administrator under the direction of the committee and to keep and make available all documents, data, and reports submitted to the administrator by any legislative committee.

NEW SECTION. Sec. 16. A new section is added to chapter 44.68 RCW to read as follows:

The administration of the joint legislative systems committee is subject to section 1 of this act.

(1) The systems committee, after consultation with the administrative committee, shall employ a legislative systems coordinator. The coordinator shall serve at the pleasure of the systems committee, which shall fix the coordinator's salary.

(2) The coordinator shall serve as the executive and administrative head of the center, and shall assist the administrative committee in managing the information processing and communications systems of the legislature as directed by the administrative committee.

The administrative committee shall, subject to the approval of the systems committee and subject to section 1 of this act:

(1) Adopt policies, procedures, and standards regarding the information processing and communications systems of the legislature;

(2) Establish appropriate charges for services, equipment, and publications provided by the legislative information processing and communications systems, applicable to legislative and nonlegislative users as determined by the administrative committee;

(3) Employ or engage and fix the compensation for personnel required to carry out the purposes of this chapter;

(4) Enter into contracts for (a) the sale, exchange, or acquisition of equipment, supplies, services, and facilities required to carry out the purposes of this chapter and (b) the distribution of legislative information;

(5) Generally assist the systems committee in carrying out its responsibilities under this chapter, as directed by the systems committee."

In line 1 of the title, after "legislature;" strike the remainder of the title and insert "amending RCW 44.28.060, 44.28.065, 44.40.015, 44.40.040, 44.40.090, 44.40.100, 44.44.030, 44.48.050, 44.48.090, 44.48.120, 44.68.040, and 44.68.050; adding a new section to chapter 44.04 RCW; adding a new section to chapter 44.28 RCW; adding a new section to chapter 44.40 RCW; adding a new section to chapter 44.44 RCW; adding a new section to chapter 44.48 RCW; and adding a new section to chapter 44.68 RCW."

There being no objection, the House concurred in the Senate amendment to Substitute House Bill No. 1391.

The Speaker (Representative Pennington presiding) stated the question before the House to be the final passage of Substitute House Bill No. 1391 as amended by the Senate.

The Clerk called the roll on the final passage of Substitute House Bill No. 1391 as amended by the Senate and the bill passed the House by the following vote: Yeas - 86, Nays - 0, Absent - 0, Excused - 12.

Voting yea: Representatives Ahern, Alexander, Anderson, Armstrong, Ballasiotes, Barlean, Benson, Berkey, Boldt, Bush, Cairnes, Campbell, Carrell, Casada, B. Chandler, Cody, Conway, Cooper, Cox, Crouse, Darneille, Delvin, Dickerson, Dunn, Edmonds, Edwards, Eickmeyer, Ericksen, Esser, Fisher, Fromhold, Gombosky, Grant, Haigh, Hankins, Hatfield, Hunt, Hurst, Jackley, Jarrett, Kagi, Keiser, Kessler, Kirby, Lambert, Lantz, Lisk, Lovick, Marine, Mastin, McDermott, McIntire, McMorris, Mielke, Miloscia, Mitchell, Morell, Morris, Murray, O'Brien, Ogden, Pearson, Pennington, Pflug, Poulsen, Quall, Reardon, Roach, Rockefeller, Romero, Ruderman, Santos, Schindler, Schmidt, Schoesler, Schual-Berke, Simpson, Skinner, Sommers, Talcott, Tokuda, Veloria, Wood, Woods, Speaker Ballard, and Speaker Chopp - 86.

Excused: Representatives Buck, G. Chandler, Clements, DeBolt, Doumit, Dunshee, Kenney, Linville, Mulliken, Sehlin, Sump, and Van Luven - 12.

Substitute House Bill No. 1391 as amended by the Senate having received the necessary constitutional majority, was declared passed.

The Senate receded from the amendment by Committee on Human Services & Corrections to HOUSE BILL NO. 1898. Under suspension of the rules House Bill No. 1898, was returned to second reading for purpose of amendment. The Senate adopted amendment 1898 AAS 04/19/01 S-2716.1, and passed the bill as amended by the Senate.

For the purpose of chapter 74.15 RCW and RCW 74.13.031, and unless otherwise clearly indicated by the context thereof, the following terms shall mean:

(1) "Agency" means any person, firm, partnership, association, corporation, or facility which receives children, expectant mothers, or persons with developmental disabilities for control, care, or maintenance outside their own homes, or which places, arranges the placement of, or assists in the placement of children, expectant mothers, or persons with developmental disabilities for foster care or placement of children for adoption, and shall include the following irrespective of whether there is compensation to the agency or to the children, expectant mothers or persons with developmental disabilities for services rendered:

(a) "Child day-care center" means an agency which regularly provides care for a group of children for periods of less than twenty-four hours;

(b) "Child-placing agency" means an agency which places a child or children for temporary care, continued care, or for adoption;

(c) "Community facility" means a group care facility operated for the care of juveniles committed to the department under RCW 13.40.185. A county detention facility that houses juveniles committed to the department under RCW 13.40.185 pursuant to a contract with the department is not a community facility;

(d) "Crisis residential center" means an agency which is a temporary protective residential facility operated to perform the duties specified in chapter 13.32A RCW, in the manner provided in RCW 74.13.032 through 74.13.036;

(e) "Emergency respite center" is an agency that may be commonly known as a crisis nursery, that provides emergency and crisis care for up to seventy-two hours to children who have been admitted by their parents or guardians to prevent abuse or neglect. Emergency respite centers may operate for up to twenty-four hours a day, and for up to seven days a week. Emergency respite centers may provide care for children ages birth through seventeen, and for persons eighteen through twenty with developmental disabilities who are admitted with a sibling or siblings through age seventeen. Emergency respite centers may not substitute for crisis residential centers or HOPE centers, or any other services defined under this section, and may not substitute for services which are required under chapter 13.32A or 13.34 RCW;

(f) "Family day-care provider" means a child day-care provider who regularly provides child day care for not more than twelve children in the provider's home in the family living quarters;

(((f))) (g) "Foster-family home" means an agency which regularly provides care on a twenty-four hour basis to one or more children, expectant mothers, or persons with developmental disabilities in the family abode of the person or persons under whose direct care and supervision the child, expectant mother, or person with a developmental disability is placed;

(((g))) (h) "Group-care facility" means an agency, other than a foster-family home, which is maintained and operated for the care of a group of children on a twenty-four hour basis;

(((h))) (i) "HOPE center" means an agency licensed by the secretary to provide temporary residential placement and other services to street youth. A street youth may remain in a HOPE center for thirty days while services are arranged and permanent placement is coordinated. No street youth may stay longer than thirty days unless approved by the department and any additional days approved by the department must be based on the unavailability of a long-term placement option. A street youth whose parent wants him or her returned to home may remain in a HOPE center until his or her parent arranges return of the youth, not longer. All other street youth must have court approval under chapter 13.34 or 13.32A RCW to remain in a HOPE center up to thirty days;

(((i))) (j) "Maternity service" means an agency which provides or arranges for care or services to expectant mothers, before or during confinement, or which provides care as needed to mothers and their infants after confinement;

(((j))) (k) "Responsible living skills program" means an agency licensed by the secretary that provides residential and transitional living services to persons ages sixteen to eighteen who are dependent under chapter 13.34 RCW and who have been unable to live in his or her legally authorized residence and, as a result, the minor lived outdoors or in another unsafe location not intended for occupancy by the minor. Dependent minors ages fourteen and fifteen may be eligible if no other placement alternative is available and the department approves the placement;

(((k))) (l) "Service provider" means the entity that operates a community facility.

(a) Persons related to the child, expectant mother, or person with developmental disability in the following ways:

(i) Any blood relative, including those of half-blood, and including first cousins, nephews or nieces, and persons of preceding generations as denoted by prefixes of grand, great, or great-great;

(iii) A person who legally adopts a child or the child's parent as well as the natural and other legally adopted children of such persons, and other relatives of the adoptive parents in accordance with state law;

(iv) Spouses of any persons named in (i), (ii), or (iii) of this subsection (2)(a), even after the marriage is terminated; or

(v) Extended family members, as defined by the law or custom of the Indian child's tribe or, in the absence of such law or custom, a person who has reached the age of eighteen and who is the Indian child's grandparent, aunt or uncle, brother or sister, brother-in-law or sister-in-law, niece or nephew, first or second cousin, or stepparent who provides care in the family abode on a twenty-four-hour basis to an Indian child as defined in 25 U.S.C. Sec. 1903(4);

(b) Persons who are legal guardians of the child, expectant mother, or persons with developmental disabilities;

(c) Persons who care for a neighbor's or friend's child or children, with or without compensation, where: (i) The person providing care for periods of less than twenty-four hours does not conduct such activity on an ongoing, regularly scheduled basis for the purpose of engaging in business, which includes, but is not limited to, advertising such care; or (ii) the parent and person providing care on a twenty-four-hour basis have agreed to the placement in writing and the state is not providing any payment for the care;

(d) Parents on a mutually cooperative basis exchange care of one another's children;

(e) A person, partnership, corporation, or other entity that provides placement or similar services to exchange students or international student exchange visitors or persons who have the care of an exchange student in their home;

(f) Nursery schools or kindergartens which are engaged primarily in educational work with preschool children and in which no child is enrolled on a regular basis for more than four hours per day;

(g) Schools, including boarding schools, which are engaged primarily in education, operate on a definite school year schedule, follow a stated academic curriculum, accept only school-age children and do not accept custody of children;

(h) Seasonal camps of three months' or less duration engaged primarily in recreational or educational activities;

(i) Hospitals licensed pursuant to chapter 70.41 RCW when performing functions defined in chapter 70.41 RCW, nursing homes licensed under chapter 18.51 RCW and boarding homes licensed under chapter 18.20 RCW;

(k) Facilities providing care to children for periods of less than twenty-four hours whose parents remain on the premises to participate in activities other than employment;

(m) Any agency having been in operation in this state ten years prior to June 8, 1967, and not seeking or accepting moneys or assistance from any state or federal agency, and is supported in part by an endowment or trust fund;

(n) Persons who have a child in their home for purposes of adoption, if the child was placed in such home by a licensed child-placing agency, an authorized public or tribal agency or court or if a replacement report has been filed under chapter 26.33 RCW and the placement has been approved by the court;

(o) An agency operated by any unit of local, state, or federal government or an agency, located within the boundaries of a federally recognized Indian reservation, licensed by the Indian tribe;

(p) An agency located on a federal military reservation, except where the military authorities request that such agency be subject to the licensing requirements of this chapter.

(4) "Juvenile" means a person under the age of twenty-one who has been sentenced to a term of confinement under the supervision of the department under RCW 13.40.185.

(5) "Probationary license" means a license issued as a disciplinary measure to an agency that has previously been issued a full license but is out of compliance with licensing standards.

(6) "Requirement" means any rule, regulation, or standard of care to be maintained by an agency.

(8) "Street youth" means a person under the age of eighteen who lives outdoors or in another unsafe location not intended for occupancy by the minor and who is not residing with his or her parent or at his or her legally authorized residence.

(9) "Transitional living services" means at a minimum, to the extent funds are available, the following:

(a) Educational services, including basic literacy and computational skills training, either in local alternative or public high schools or in a high school equivalency program that leads to obtaining a high school equivalency degree;

(b) Assistance and counseling related to obtaining vocational training or higher education, job readiness, job search assistance, and placement programs;

(c) Counseling and instruction in life skills such as money management, home management, consumer skills, parenting, health care, access to community resources, and transportation and housing options;

(e) Establishing networks with federal agencies and state and local organizations such as the United States department of labor, employment and training administration programs including the job training partnership act which administers private industry councils and the job corps; vocational rehabilitation; and volunteer programs.

NEW SECTION. Sec. 2. A new section is added to chapter 74.15 RCW to read as follows:

The secretary is authorized to license emergency respite centers. The department may adopt rules to specify licensing requirements for emergency respite centers."

On page 1, line 1 of the title, after "nurseries;" strike the remainder of the title and insert "amending RCW 74.15.020; and adding a new section to chapter 74.15 RCW."

There being no objection, the House concurred in the Senate amendment to House Bill No. 1898.

The Speaker (Representative Pennington presiding) stated the question before the House to be the final passage of House Bill No. 1898 as amended by the Senate.

The Clerk called the roll on the final passage of House Bill No. 1898 as amended by the Senate and the bill passed the House by the following vote: Yeas - 89, Nays - 0, Absent - 0, Excused - 9.

Voting yea: Representatives Ahern, Alexander, Anderson, Armstrong, Ballasiotes, Barlean, Benson, Berkey, Boldt, Buck, Bush, Cairnes, Campbell, Carrell, Casada, B. Chandler, Clements, Cody, Conway, Cooper, Cox, Crouse, Darneille, Delvin, Dickerson, Dunn, Edmonds, Edwards, Eickmeyer, Ericksen, Esser, Fisher, Fromhold, Gombosky, Grant, Haigh, Hankins, Hatfield, Hunt, Hurst, Jackley, Jarrett, Kagi, Keiser, Kessler, Kirby, Lambert, Lantz, Lisk, Lovick, Marine, Mastin, McDermott, McIntire, McMorris, Mielke, Miloscia, Mitchell, Morell, Morris, Murray, O'Brien, Ogden, Pearson, Pennington, Pflug, Poulsen, Quall, Reardon, Roach, Rockefeller, Romero, Ruderman, Santos, Schindler, Schmidt, Schoesler, Schual-Berke, Sehlin, Simpson, Skinner, Sommers, Talcott, Tokuda, Veloria, Wood, Woods, Speaker Ballard, and Speaker Chopp - 89.

Excused: Representatives G. Chandler, DeBolt, Doumit, Dunshee, Kenney, Linville, Mulliken, Sump, and Van Luven - 9.

House Bill No. 1898 as amended by the Senate having received the necessary constitutional majority, was declared passed.

There being no objection, the Committee on Technology, Telecommunications and Energy was relieved of House Bill No. 2247, and the bill was placed on the Second Reading calendar.

There being no objection, the Committee on Education was relieved of Second Substitute Senate Bill No. 5625, and the bill was placed on the Second Reading calendar.

HB 2234 by Representatives Ahern, Mastin, Mulliken, Roach, Schindler, Sump, Anderson, Jarrett, Armstrong, McMorris, Benson, Morell, Cox, Mielke, Pearson, Mitchell, Alexander and Casada

AN ACT Relating to clarifying the repeal of motor vehicle taxes; creating a new section; repealing RCW 35.58.273, 35.58.274, 35.58.275, 35.58.276, 35.58.277, and 35.58.278; and declaring an emergency.

HB 2245 by Representatives Anderson, Pflug, Crouse, Cairnes, Bush, DeBolt, B. Chandler, Mielke, Schmidt, Delvin, Casada, Esser, McMorris, Pennington, Reardon, Berkey, Simpson, Linville, Barlean, Marine and Fromhold

AN ACT Relating to providing tax incentives to promote the production and distribution of electricity from alternative sources of energy; amending RCW 82.08.02567 and 82.12.02567; adding a new section to chapter 82.16 RCW; creating a new section; and providing expiration dates.

AN ACT Relating to petitions for visitation for persons related to the child or acting in a parental role; amending RCW 26.09.240 and 26.10.160; adding a new section to chapter 26.10 RCW; creating a new section; and declaring an emergency.

AN ACT Relating to third-party visitation; amending RCW 26.09.240 and 26.10.160; adding a new section to chapter 26.10 RCW; creating a new section; and declaring an emergency.

HB 2253 by Representatives Anderson, Fromhold, Dunn, McDermott, Ericksen, Jackley, Ruderman and Linville

AN ACT Relating to public access to information data bases; adding a new section to chapter 27.04 RCW; and creating a new section.

AN ACT Relating to reimbursing county horticultural pest and disease boards for the cost of pest control activities; making an appropriation; and declaring an emergency.

AN ACT Relating to the management of state energy supply and demand; amending RCW 74.38.070, 19.29A.040, 80.50.020, 80.50.060, 80.50.030, 80.50.040, 80.50.090, 80.50.100, 44.39.010, 44.39.015, 80.52.030, 39.35.010, 39.35.030, 39.35.050, 39.35A.020, 39.35C.010, 39.35C.020, 43.19.668, 43.19.669, 43.19.670, 43.19.675, and 43.19.680; adding new sections to chapter 82.16 RCW; adding a new section to chapter 19.29A RCW; adding a new section to chapter 43.31 RCW; adding a new section to chapter 80.50 RCW; adding a new section to chapter 82.04 RCW; adding a new section to chapter 82.12 RCW; adding a new section to chapter 82.32 RCW; adding a new section to chapter 80.52 RCW; adding a new section to chapter 82.34 RCW; adding a new section to chapter 39.35A RCW; adding a new section to chapter 39.35C RCW; creating new sections; providing an expiration date; and declaring an emergency.

AN ACT Relating to amendments to shoreline master programs and critical areas; amending RCW 90.58.080 and 36.70A.130; and creating a new section.

ESB 5882 by Senators T. Sheldon, Hale, Hewitt, Hargrove, Rasmussen, Honeyford, Carlson, Haugen, Shin, Hochstatter, Horn, Stevens, Zarelli, Oke, Deccio, McCaslin, West, Long, Swecker, Sheahan, McDonald, Johnson, Rossi, Morton and Parlette

AN ACT Relating to occupational safety and health; adding new sections to chapter 49.17 RCW; adding a new section to chapter 44.28 RCW; creating a new section; providing expiration dates; and declaring an emergency.

SB 6036 by Senators Eide, Benton, Winsley, Oke, Long, Stevens, Johnson, Finkbeiner, Hale, Hochstatter, Carlson, Swecker, Rossi, Roach, T. Sheldon, Patterson and Kastama

AN ACT Relating to local motor vehicle excise taxes; creating a new section; repealing RCW 35.58.273, 35.58.274, 35.58.275, 35.58.276, 35.58.277, 35.58.278, 35.58.279, 35.58.2791, and 35.58.2792; providing a retroactive effective date; and declaring an emergency.

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

HB 1058 Prime Sponsor, Representative Ruderman: Providing assistance to treat breast and cervical cancer. Reported by Committee on Appropriations

MAJORITY recommendation: The second substitute bill be substituted therefor and the second substitute do pass and do not pass the substitute bill by Committee on Health Care. Signed by Representatives Sehlin, Republican Co-Chair; Sommers, Democratic Co-Chair; Barlean, Republican Vice Chair; Doumit, Democratic Vice Chair; Lisk, Republican Vice Chair; Alexander; Benson; Boldt; Buck; Clements; Cody; Cox; Dunshee; Fromhold; Gombosky; Grant; Kagi; Keiser; Kenney; Lambert; Linville; Mastin; Mulliken; Pearson; Ruderman; Schmidt; Schual-Berke and Talcott.

Voting yea: Representatives Sehlin, Sommers, Barlean, Doumit, Lisk, Alexander, Benson, Boldt, Clements, Cody, Cox, Dunshee, Fromhold, Gombosky, Grant, Kagi, Keiser, Kenney, Lambert, Linville, Mastin, Mulliken, Pearson, Ruderman, Schmidt, Schual-Berke, and Talcott.

HB 2227 Prime Sponsor, Representative Ahern: Establishing the eastern Washington veterans' home. Reported by Committee on Appropriations

MAJORITY recommendation: The substitute bill be substituted therefor and the substitute bill do pass. Signed by Representatives Sehlin, Republican Co-Chair; Sommers, Democratic Co-Chair; Barlean, Republican Vice Chair; Doumit, Democratic Vice Chair; Lisk, Republican Vice Chair; Alexander; Benson; Boldt; Buck; Clements; Cody; Cox; Dunshee; Fromhold; Gombosky; Grant; Kagi; Keiser; Kenney; Lambert; Linville; Mastin; Mulliken; Pearson; Ruderman; Schmidt; Schual-Berke and Talcott.

There being no objection, the bills listed on the day's committee reports under the fifth order of business were referred to the committees so designated.

Speaker Ballard announced that House Bill No. 2247 was co-prime sponsored by Representatives Crouse and Poulsen.

The legislature finds that the present and predicted growth in energy demands in the state of Washington requires the development of a procedure for the selection and utilization of sites for energy facilities and the identification of a state position with respect to each proposed site. The legislature recognizes that the selection of sites will have a significant impact upon the welfare of the population, the location and growth of industry and the use of the natural resources of the state.

It is the policy of the state of Washington to recognize the pressing need for increased energy facilities, and to ensure through available and reasonable methods, that the location and operation of such facilities will produce minimal adverse effects on the environment, ecology of the land and its wildlife, and the ecology of state waters and their aquatic life.

It is the intent to seek courses of action that will balance the increasing demands for energy facility location and operation in conjunction with the broad interests of the public. Such action will be based on these premises:

(1) To assure Washington state citizens that, where applicable, operational safeguards are at least as stringent as the criteria established by the federal government and are technically sufficient for their welfare and protection.

(2) To preserve and protect the quality of the environment; to enhance the public's opportunity to enjoy the esthetic and recreational benefits of the air, water and land resources; to promote air cleanliness; and to pursue beneficial changes in the environment.

(4) To avoid costs of complete site restoration and demolition of improvements and infrastructure at unfinished nuclear energy sites, and to use unfinished nuclear energy facilities for public uses, including economic development, under the regulatory and management control of local governments and port districts.

(5) To avoid costly duplication in the siting process and ensure that decisions are made timely and without unnecessary delay.

Sec. 2. RCW 80.50.060 and 1977 ex.s. c 371 s 5 are each amended to read as follows:

(1) The provisions of this chapter shall apply to the construction of energy facilities which includes the new construction of energy facilities and the reconstruction or enlargement of existing energy facilities where the net increase in physical capacity or dimensions resulting from such reconstruction or enlargement meets or exceeds those capacities or dimensions set forth in RCW 80.50.020 (7) and (((17), as now or hereafter amended)) (14). No construction of such energy facilities may be undertaken, except as otherwise provided in this chapter, after July 15, 1977, without first obtaining certification in the manner provided in this chapter.

(2) The provisions of this chapter apply to the construction, reconstruction, or enlargement of a new or existing energy facility that exclusively uses alternative energy resources and chooses to receive certification under this chapter, regardless of the generating capacity of the project.

(3) The provisions of this chapter shall not apply to normal maintenance and repairs which do not increase the capacity or dimensions beyond those set forth in RCW 80.50.020 (7) and (((17), as now or hereafter amended)) (14).

(((3))) (4) Applications for certification of energy facilities made prior to July 15, 1977 shall continue to be governed by the applicable provisions of law in effect on the day immediately preceding July 15, 1977 with the exceptions of RCW 80.50.190 and 80.50.071 which shall apply to such prior applications and to site certifications prospectively from July 15, 1977.

(((4))) (5) Applications for certification shall be upon forms prescribed by the council and shall be supported by such information and technical studies as the council may require.

The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

(1) "Applicant" means any person who makes application for a site certification pursuant to the provisions of this chapter((;)).

(2) "Application" means any request for approval of a particular site or sites filed in accordance with the procedures established pursuant to this chapter, unless the context otherwise requires((;)).

(3) "Person" means an individual, partnership, joint venture, private or public corporation, association, firm, public service company, political subdivision, municipal corporation, government agency, public utility district, or any other entity, public or private, however organized((;)).

(5) "Certification" means a binding agreement between an applicant and the state which shall embody compliance to the siting guidelines, in effect as of the date of certification, which have been adopted pursuant to RCW 80.50.040 as now or hereafter amended as conditions to be met prior to or concurrent with the construction or operation of any energy facility((;)).

(6) "Associated facilities" means storage, transmission, handling, or other related and supporting facilities connecting an energy plant with the existing energy supply, processing, or distribution system, including, but not limited to, communications, controls, mobilizing or maintenance equipment, instrumentation, and other types of ancillary transmission equipment, off-line storage or venting required for efficient operation or safety of the transmission system and overhead, and surface or subsurface lines of physical access for the inspection, maintenance, and safe operations of the transmission facility and new transmission lines constructed to operate at nominal voltages in excess of 200,000 volts to connect a thermal power plant to the northwest power grid: PROVIDED, That common carrier railroads or motor vehicles shall not be included((;)).

(7) "Transmission facility" means any of the following together with their associated facilities:

(a) Crude or refined petroleum or liquid petroleum product transmission pipeline of the following dimensions: A pipeline larger than six inches minimum inside diameter between valves for the transmission of these products with a total length of at least fifteen miles;

(b) Natural gas, synthetic fuel gas, or liquified petroleum gas transmission pipeline of the following dimensions: A pipeline larger than fourteen inches minimum inside diameter between valves, for the transmission of these products, with a total length of at least fifteen miles for the purpose of delivering gas to a distribution facility, except an interstate natural gas pipeline regulated by the United States federal power commission((;)).

(8) "Independent consultants" means those persons who have no financial interest in the applicant's proposals and who are retained by the council to evaluate the applicant's proposals, supporting studies, or to conduct additional studies((;)).

(9) "Thermal power plant" means, for the purpose of certification, any electrical generating facility using any fuel, including nuclear materials, for distribution of electricity by electric utilities((;)).

(10) "Energy facility" means an energy plant or transmission facilities: PROVIDED, That the following are excluded from the provisions of this chapter:

(a) Facilities for the extraction, conversion, transmission or storage of water, other than water specifically consumed or discharged by energy production or conversion for energy purposes; and

(b) Facilities operated by and for the armed services for military purposes or by other federal authority for the national defense((;)).

(11) "Council" means the energy facility site evaluation council created by RCW 80.50.030((;)).

(12) "Counsel for the environment" means an assistant attorney general or a special assistant attorney general who shall represent the public in accordance with RCW 80.50.080((;)).

(13) "Construction" means on-site improvements, excluding exploratory work, which cost in excess of two hundred fifty thousand dollars((;)).

(14) "Energy plant" means the following facilities together with their associated facilities:

(a) Any stationary thermal power plant with generating capacity of ((two)) three hundred fifty thousand kilowatts or more, measured using maximum continuous electric generating capacity, less minimum auxiliary load, at average ambient temperature and pressure, and floating thermal power plants of ((fifty)) one hundred thousand kilowatts or more, including associated facilities. For the purposes of this subsection, "floating thermal power plants" means a thermal power plant that is suspended on the surface of water by means of a barge, vessel, or other floating platform;

(b) Facilities which will have the capacity to receive liquified natural gas in the equivalent of more than one hundred million standard cubic feet of natural gas per day, which has been transported over marine waters;

(c) Facilities which will have the capacity to receive more than an average of fifty thousand barrels per day of crude or refined petroleum or liquified petroleum gas which has been or will be transported over marine waters, except that the provisions of this chapter shall not apply to storage facilities unless occasioned by such new facility construction;

(d) Any underground reservoir for receipt and storage of natural gas as defined in RCW 80.40.010 capable of delivering an average of more than one hundred million standard cubic feet of natural gas per day; and

(e) Facilities capable of processing more than twenty-five thousand barrels per day of petroleum into refined products((;)).

(15) "Land use plan" means a comprehensive plan or land use element thereof adopted by a unit of local government pursuant to chapters 35.63, 35A.63, or 36.70 RCW((;)).

(16) "Zoning ordinance" means an ordinance of a unit of local government regulating the use of land and adopted pursuant to chapters 35.63, 35A.63, or 36.70 RCW or Article XI of the state Constitution.

(17) "Alternative energy resource" means: (a) Wind; (b) solar energy; (c) geothermal energy; (d) landfill gas; (e) wave or tidal action; or (f) biomass energy based on solid organic fuels from wood, forest, or field residues, or dedicated energy crops that do not include wood pieces that have been treated with chemical preservatives such as creosote, pentachlorophenol, or copper-chrome-arsenic.

(1) There is created and established the energy facility site evaluation council.

(2)(a) The ((chairman)) chair of the council shall be appointed by the governor with the advice and consent of the senate, shall have a vote on matters before the council, shall serve for a term coextensive with the term of the governor, and is removable for cause. The ((chairman)) chair may designate a member of the council to serve as acting ((chairman)) chair in the event of the ((chairman's)) chair's absence. The salary of the chair shall be determined under RCW 43.03.040. The ((chairman)) chair is a "state employee" for the purposes of chapter 42.52 RCW. As applicable, when attending meetings of the council, members may receive reimbursement for travel expenses in accordance with RCW 43.03.050 and 43.03.060, and are eligible for compensation under RCW 43.03.250.

(b) The ((chairman)) chair or a designee shall execute all official documents, contracts, and other materials on behalf of the council. The Washington state department of community, trade, and economic development shall provide all administrative and staff support for the council. The director of the department of community, trade, and economic development has supervisory authority over the staff of the council and shall employ such personnel as are necessary to implement this chapter. Not more than three such employees may be exempt from chapter 41.06 RCW.

(3)(a) The council shall consist of the directors, administrators, or their designees, of the following departments, agencies, commissions, and committees or their statutory successors:

(b) The directors, administrators, or their designees, of the following departments, agencies, and commissions, or their statutory successors, may participate as councilmembers at their own discretion provided they elect to participate no later than sixty days after an application is filed:

(c) Council membership is discretionary for agencies that choose to participate under (b) of this subsection only for applications that are filed with the council on or after the effective date of this section. For applications filed before the effective date of this section, council membership is mandatory for those agencies listed in (b) of this subsection.

(4) The appropriate county legislative authority of every county wherein an application for a proposed site is filed shall appoint a member or designee as a voting member to the council. The member or designee so appointed shall sit with the council only at such times as the council considers the proposed site for the county which he or she represents, and such member or designee shall serve until there has been a final acceptance or rejection of the proposed site.

(5) The city legislative authority of every city within whose corporate limits an energy plant is proposed to be located shall appoint a member or designee as a voting member to the council. The member or designee so appointed shall sit with the council only at such times as the council considers the proposed site for the city which he or she represents, and such member or designee shall serve until there has been a final acceptance or rejection of the proposed site.

(6) For any port district wherein an application for a proposed port facility is filed subject to this chapter, the port district shall appoint a member or designee as a nonvoting member to the council. The member or designee so appointed shall sit with the council only at such times as the council considers the proposed site for the port district which he or she represents, and such member or designee shall serve until there has been a final acceptance or rejection of the proposed site. The provisions of this subsection shall not apply if the port district is the applicant, either singly or in partnership or association with any other person.

NEW SECTION. Sec. 5. A new section is added to chapter 80.50 RCW to read as follows:

(1) After the council has received a site application, council staff shall assist applicants in identifying issues presented by the application.

(2) Council staff shall review all information submitted and recommend resolutions to issues in dispute that would allow site approval.

(3) Council staff may make recommendations to the council on conditions that would allow site approval.

(1) To adopt, promulgate, amend, or rescind suitable rules and regulations, pursuant to chapter 34.05 RCW, to carry out the provisions of this chapter, and the policies and practices of the council in connection therewith;

(2) To develop and apply environmental and ecological guidelines in relation to the type, design, location, construction, and operational conditions of certification of energy facilities subject to this chapter;

(3) To establish rules of practice for the conduct of public hearings pursuant to the provisions of the Administrative Procedure Act, as found in chapter 34.05 RCW;

(4) To prescribe the form, content, and necessary supporting documentation for site certification;

(5) To receive applications for energy facility locations and to investigate the sufficiency thereof;

(6) To make and contract, when applicable, for independent studies of sites proposed by the applicant;

(8) To prepare written reports to the governor which shall include: (a) A statement indicating whether the application is in compliance with the council's guidelines, (b) criteria specific to the site and transmission line routing, (c) a council recommendation as to the disposition of the application, and (d) a draft certification agreement when the council recommends approval of the application;

(9) To prescribe the means for monitoring of the effects arising from the construction and the operation of energy facilities to assure continued compliance with terms of certification and/or permits issued by the council pursuant to chapter 90.48 RCW or subsection (12) of this section: PROVIDED, That any on-site inspection required by the council shall be performed by other state agencies pursuant to interagency agreement: PROVIDED FURTHER, That the council ((shall)) may retain authority for determining compliance relative to monitoring;

(10) To integrate its site evaluation activity with activities of federal agencies having jurisdiction in such matters to avoid unnecessary duplication;

(11) To present state concerns and interests to other states, regional organizations, and the federal government on the location, construction, and operation of any energy facility which may affect the environment, health, or safety of the citizens of the state of Washington;

(12) To issue permits in compliance with applicable provisions of the federally approved state implementation plan adopted in accordance with the Federal Clean Air Act, as now existing or hereafter amended, for the new construction, reconstruction, or enlargement or operation of energy facilities: PROVIDED, That such permits shall become effective only if the governor approves an application for certification and executes a certification agreement pursuant to this chapter: AND PROVIDED FURTHER, That all such permits be conditioned upon compliance with all provisions of the federally approved state implementation plan which apply to energy facilities covered within the provisions of this chapter; and

(1) The council shall conduct ((a)) an informational public hearing in the county of the proposed site ((within sixty days of)) as soon as practicable but not later than sixty days after receipt of an application for site certification: PROVIDED, That the place of such public hearing shall be as close as practical to the proposed site.

(2) Subsequent to the informational public hearing, the council ((must)) shall conduct a public hearing to determine ((at the initial public hearing)) whether or not the proposed site is consistent and in compliance with county or regional land use plans or zoning ordinances. If it is determined that the proposed site does conform with existing land use plans or zoning ordinances in effect as of the date of the application, the county or regional planning authority shall not thereafter change such land use plans or zoning ordinances so as to affect the proposed site.

(3) Prior to the issuance of a council recommendation to the governor under RCW 80.50.100 a public hearing, conducted as an adjudicative proceeding under chapter 34.05 RCW, the Administrative Procedure Act, shall be held. At such public hearing any person shall be entitled to be heard in support of or in opposition to the application for certification.

(4) Additional public hearings shall be held as deemed appropriate by the council in the exercise of its functions under this chapter.

NEW SECTION. Sec. 8. A new section is added to chapter 80.50 RCW to read as follows:

The governor shall undertake an evaluation of the operations of the council to assess means to enhance its efficiency. The assessment must include whether the efficiency of the siting process would be improved by conducting the process under the state environmental policy act in a particular sequence relative to the adjudicative proceeding. The results of this assessment may include recommendations for administrative changes, statutory changes, or expanded staffing levels.

NEW SECTION. Sec. 9. A new section is added to chapter 82.04 RCW to read as follows:

(1) Unless the context clearly requires otherwise, the definitions in this subsection apply throughout this section.

(a) "Direct service industrial customer" means a person who is an industrial customer that contracts for the purchase of power from the Bonneville Power Administration for direct consumption as of the effective date of this section. "Direct service industrial customer" includes a person who is a subsidiary that is more than fifty percent owned by a direct service industrial customer and who receives power from the Bonneville Power Administration pursuant to the parent's contract for power.

(b) "Facility" means a gas turbine electrical generation facility that does not exist on the effective date of this section and is owned by a direct service industrial customer for the purpose of producing electricity to be consumed by the direct service industrial customer.

(c) "Average annual employment" means the total employment in this state for a calendar year at the direct service industrial customer's location where electricity from the facility will be consumed.

(2) Effective July 1, 2001, a credit is allowed against the tax due under this chapter to a direct service industrial customer who purchases natural or manufactured gas from a gas distribution business subject to the public utility tax under chapter 82.16 RCW. The credit is equal to the value of natural or manufactured gas purchased from a gas distribution business and used to generate electricity at the facility multiplied by the rate in effect for the public utility tax on gas distribution businesses under RCW 82.16.020. This credit may be used each reporting period for sixty months following the first month natural or manufactured gas was purchased from a gas distribution business by a direct service industrial customer who constructs a facility.

(3) Application for credit shall be made by the direct service industrial consumer before the first purchase of natural or manufactured gas. The application shall be in a form and manner prescribed by the department and shall include but is not limited to information regarding the location of the facility, the projected date of first purchase of natural or manufactured gas to generate electricity at the facility, the date construction is projected to begin or did begin, the applicant's average annual employment in the state for the six calendar years immediately preceding the year in which the application is made, and affirm the applicant's status as a direct service industrial customer. The department shall rule on the application within thirty days of receipt.

(4) Credit under this section is limited to the amount of tax imposed under this chapter. Refunds shall not be given in place of credits and credits may not be carried over to subsequent calendar years.

(5) All or part of the credit shall be disallowed and must be paid if the average of the direct service industrial customer's average annual employment for the five calendar years subsequent to the calendar year containing the first month of purchase of natural or manufactured gas to generate electricity at a facility is less than the six-year average annual employment stated on the application for credit under this section. The direct service industrial customer will certify to the department by June 1st of the sixth calendar year following the calendar year in which the month of first purchase of gas occurs the average annual employment for each of the five prior calendar years. All or part of the credit that shall be disallowed and must be paid is commensurate with the decrease in the five-year average of average annual employment as follows:

Five-Year Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . % of Credit to be Paid

10% or more but less than 25%. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25%

25% or more but less than 50%. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .50%

50% or more but less than 75%. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .75%

(6)(a) The direct service industrial customer shall begin paying the credit that is disallowed and is to be paid in the sixth calendar year following the calendar year in which the month following the month of first purchase of natural or manufactured gas to generate electricity at the facility occurs. The first payment will be due on or before December 31st with subsequent annual payments due on or before December 31st of the following four years according to the following schedule:

(b) The department may authorize an accelerated payment schedule upon request of the taxpayer.

(c) Interest shall not be charged on the credit that is disallowed for the sixty-month period the credit may be taken, although all other penalties and interest applicable to delinquent excise taxes may be assessed and imposed. The debt for credit that is disallowed and must be paid will not be extinguished by insolvency or other failure of the direct service industrial customer. Transfer of ownership of the facility does not affect eligibility for this credit. However, the credit is available to the successor only if the eligibility conditions of this section are met.

(7) The employment security department shall make, and certify to the department of revenue, all determinations of employment under this section as requested by the department.

(8) A person claiming this credit shall supply to the department quarterly reports containing information necessary to document the total volume of natural or manufactured gas purchased in the quarter, the value of that total volume, and the percentage of the total volume used to generate electricity at the facility.

NEW SECTION. Sec. 10. A new section is added to chapter 82.12 RCW to read as follows:

(1) Unless the context clearly requires otherwise, the definitions in this subsection apply throughout this section.

(a) "Direct service industrial customer" means a person who is an industrial customer that contracts for the purchase of power from the Bonneville power administration for direct consumption as of the effective date of this section. "Direct service industrial customer" includes a person who is a subsidiary that is more than fifty percent owned by a direct service industrial customer and who receives power from the Bonneville Power Administration pursuant to the parent's contract for power.

(c) "Average annual employment" means the total employment in this state for a calendar year at the direct service industrial customer's location where electricity from the facility will be consumed.

(2) Effective July 1, 2001, the tax levied in RCW 82.12.022 on the first sixty months' use of natural or manufactured gas by a direct service industrial customer that owns a facility shall be deferred. This deferral is limited to the tax on natural or manufactured gas used or consumed to generate electricity at the facility.

(3) Application for deferral shall be made by the direct service industrial customer before the first use of natural or manufactured gas. The application shall be in a form and manner prescribed by the department and shall include but is not limited to information regarding the location of the facility, the projected date of first use of natural or manufactured gas to generate electricity at the facility, the date construction is projected to begin or did begin, the applicant's average annual employment in the state for the six calendar years immediately preceding the year in which the application is made, and shall affirm the applicant's status as a direct service industrial customer. The department shall rule on the application within thirty days of receipt.

(4)(a) The direct service industrial customer shall begin paying the deferred tax in the sixth calendar year following the calendar year in which the month of first use of natural or manufactured gas to generate electricity at the facility occurs. The first payment will be due on or before December 31st with subsequent annual payments due on or before December 31st of the following four years according to the following schedule:

(b) The department may authorize an accelerated payment schedule upon request of the taxpayer.

(c) Interest shall not be charged on the tax 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. The debt for deferred tax will not be extinguished by insolvency or other failure of the direct service industrial customer. Transfer of ownership of the facility does not affect deferral eligibility. However, the deferral is available to the successor only if the eligibility conditions of this section are met.

(5)(a) If the average of the direct service industrial customer's average annual employment for the five calendar years subsequent to the calendar year containing the first month of use of natural or manufactured gas to generate electricity at a facility is equal to or exceeds the six-year average annual employment stated on the application for deferral under this section, the tax deferred need not be paid. The direct service industrial customer shall certify to the department by June 1st of the sixth calendar year following the calendar year in which the month of first use of gas occurs the average annual employment for each of the five prior calendar years.

(b) If the five-year average calculated in (a) of this subsection is less than the average annual employment stated on the application for deferral under this section, the tax deferred under this section shall be paid in the amount as follows:

Employment Over . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .% of Deferred

Five-Year Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Tax to be Paid

10% or more but less than 25%. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25%

25% or more but less than 50%. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .50%

50% or more but less than 75%. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .75%

(c) Tax paid under this subsection shall be paid according to the schedule in subsection (4)(a) of this section and under the terms and conditions of subsection (4)(b) and (c) of this section.

(6) The employment security department shall make, and certify to the department of revenue, all determinations of employment under this section as requested by the department.

(7) A person claiming this deferral shall supply to the department quarterly reports containing information necessary to document the total volume of natural or manufactured gas purchased in the quarter, the value of that total volume, and the percentage of the total volume used to generate electricity at the facility.

NEW SECTION. Sec. 11. A new section is added to chapter 82.16 RCW to read as follows:

(1) Unless the context clearly requires otherwise, the definitions in this subsection apply throughout this section.

(b) "Facility" means a gas turbine electrical generation facility that does not exist on the effective date of this section.

(c) "Average annual employment" means the total employment in this state for a calendar year at the direct service industrial customer's location where electricity from the facility will be consumed.

(2) Effective July 1, 2001, a credit is allowed against the tax due under this chapter on sales of electricity made from a facility to a direct service industrial customer if the contract for sale of electricity to a direct service industrial customer contains the following terms:

(a) Sales of electricity from the facility to the direct service industrial customer will be made for ten consecutive years or more;

(b) The price charged for the electricity will be reduced by an amount equal to the tax credit; and

(c) Disallowance of all or part of the credit under subsection (5) of this section is a breach of contract and the damages to be paid by the direct service industrial customer to the facility are the amount of tax credit disallowed.

(3) The credit is equal to the gross proceeds from the sale of the electricity to a direct service industrial customer multiplied by the rate in effect at the time of the sale for the public utility tax on light and power businesses under RCW 82.16.020. The credit may be used each reporting period for sixty months following the first month electricity is sold from a facility to a direct service industrial customer. Credit under this section is limited to the amount of tax imposed under this chapter. Refunds shall not be given in place of credits and credits may not be carried over to subsequent calendar years.

(4) Application for credit shall be made before the first sale of electricity from a facility to a direct service industrial customer. The application shall be in a form and manner prescribed by the department and shall include but is not limited to information regarding the location of the facility, identification of the direct service industrial customer who will receive electricity from the facility, the projected date of the first sale of electricity to a direct service industrial customer, the date construction is projected to begin or did begin, and the average annual employment in the state of the direct service industrial customer who will receive electricity from the facility for the six calendar years immediately preceding the year in which the application is made. A copy of the contract for sale of electricity must be attached to the application. The department shall rule on the application within thirty days of receipt.

(5) All or part of the credit shall be disallowed and must be paid if the average of the direct service industrial customer's average annual employment for the five calendar years subsequent to the calendar year containing the first month of sale of electricity from a facility to a direct service industrial customer is less than the six-year average annual employment stated on the application for credit under this section. The direct service industrial customer shall certify to the department and to the facility by June 1st of the sixth calendar year following the calendar year in which the month of first sale occurs the average annual employment for each of the five prior calendar years. All or part of the credit that shall be disallowed and must be paid is commensurate with the decrease in the five-year average of average annual employment as follows:

10% or more but less than 25%. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25%

25% or more but less than 50%. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .50%

50% or more but less than 75%. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .75%

(6)(a) Payments on credit that is disallowed shall begin in the sixth calendar year following the calendar year in which the month following the first month of sale of electricity from a facility to a direct service industrial customer occurs. The first payment will be due on or before December 31st with subsequent annual payments due on or before December 31st of the following four years according to the schedule in this subsection.

(b) The department may authorize an accelerated payment schedule upon request of the taxpayer.

(c) Interest shall not be charged on the credit that is disallowed for the sixty-month period the credit may be taken, although all other penalties and interest applicable to delinquent excise taxes may be assessed and imposed. The debt for credit that is disallowed and must be paid will not be extinguished by insolvency or other failure of the taxpayer. Transfer of ownership of the facility does not affect eligibility for this credit. However, the credit is available to the successor only if the eligibility conditions of this section are met.

(7) The employment security department shall make, and certify to the department of revenue, all determinations of employment under this section as requested by the department.

NEW SECTION. Sec. 12. A new section is added to chapter 82.32 RCW to read as follows:

(1) The total combined credits and deferrals that may be taken under sections 9 through 11 of this act shall not exceed two million five hundred thousand dollars in any fiscal year. Each person is limited to no more than a total of one million five hundred thousand dollars in tax deferred and credit allowed in any fiscal year in which more than one person takes tax credits and claims tax deferral. The department may require reporting of the credits taken and amounts deferred in a manner and form as is necessary to keep a running total of the amounts.

(2) Credits and deferred tax are available on a first come basis. Priority for tax credits and deferrals among approved applicants shall be designated based on the first actual consumption of gas under section 9 or 10 of this act, or on the first actual use of electricity under section 11 of this act by each approved applicant. The department shall disallow any credits or deferred tax, or portion thereof, that would cause the total amount of credits taken and deferred taxes claimed to exceed the fiscal year cap or to exceed the per person fiscal year cap. If the fiscal cap is reached or exceeded the department shall notify those persons who have approved applications under sections 9 through 11 of this act that no more credits may be taken or tax deferred during the remainder of the fiscal year. In addition, the department shall provide written notice to any person who has taken any tax credits or claimed any deferred tax in excess of the fiscal year cap. The notice shall indicate the amount of tax due and shall provide that the tax be paid within thirty days from the date of such notice.

(3) No portion of an application for credit or deferral disallowed under this section may be carried back or carried forward nor may taxes ineligible for credit or deferral due to the fiscal cap having been reached or exceeded be carried forward or carried backward.

NEW SECTION. Sec. 13. A new section is added to chapter 82.16 RCW to read as follows:

(1) Unless the context clearly requires otherwise, the definitions in this subsection apply throughout this section.

(a) "Base credit" means the maximum amount of credit against the tax imposed by this chapter that each light and power business or gas distribution business may take each fiscal year as calculated by the department. The base credit is equal to the proportionate share that the total grants received by each light and power business or gas distribution business in the prior fiscal year bears to the total grants received by all light and power businesses and gas distribution businesses in the prior fiscal year multiplied by two million five hundred thousand dollars.

(b) "Billing discount" means a reduction in the amount charged for providing service to qualifying persons in Washington made by a light and power business or a gas distribution business. Billing discount does not include grants received by the light and power business or a gas distribution business.

(c) "Grant" means funds provided to a light and power business or gas distribution business by the department of community, trade, and economic development or by a qualifying organization.

(d) "Low-income home energy assistance program" means energy assistance programs for low-income households as defined on December 31, 2000, in the low-income home energy assistance act of 1981 as amended August 1, 1999, 42 U.S.C. Sec. 8623 et seq.

(e) "Qualifying person" means a Washington resident who applies for assistance and qualifies for a grant regardless of whether that person receives a grant.

(f) "Qualifying contribution" means money given by a light and power business or a gas distribution business to a qualifying organization, exclusive of money received in the prior fiscal year from its customers for the purpose of assisting other customers.

(g) "Qualifying organization" means an entity that has a contractual agreement with the department of community, trade, and economic development to administer in a specified service area low-income home energy assistance funds received from the federal government and such other funds that may be received by the entity.

(2) Subject to the limitations in this section, a light and power business or a gas distribution business may take a credit each fiscal year against the tax imposed under this chapter.

(a)(i) A credit may be taken for qualifying contributions if the dollar amount of qualifying contributions for the fiscal year in which the tax credit is taken is greater than one hundred twenty-five percent of the dollar amount of qualifying contributions given in fiscal year 2000.

(ii) If no qualifying contributions were given in fiscal year 2000, a credit shall be allowed for the first fiscal year that qualifying contributions are given. Thereafter, credit shall be allowed if the qualifying contributions given exceed one hundred twenty-five percent of qualifying contributions given in the first fiscal year.

(iii) The amount of credit shall be fifty percent of the dollar amount of qualifying contributions given in the fiscal year in which the tax credit is taken.

(b)(i) A credit may be taken for billing discounts if the dollar amount of billing discounts for the fiscal year in which the tax credit is taken is greater than one hundred twenty-five percent of the dollar amount of billing discounts given in fiscal year 2000.

(ii) If no billing discounts were given in fiscal year 2000, a credit shall be allowed in the first fiscal year that billing discounts are given. Thereafter, credit shall be allowed if the dollar amount of billing discounts given exceeds one hundred twenty-five percent of billing discounts given in the first fiscal year.

(iii) The amount of credit shall be fifty percent of the dollar amount of the billing discounts given in the fiscal year in which the tax credit is taken.

(c) The total amount of credit that may be taken for qualifying contributions and billing discounts in a fiscal year is limited to the base credit for the same fiscal year.

(3) The total amount of credit, statewide, that may be taken in any fiscal year shall not exceed two million five hundred thousand dollars. By May 1st of each year starting in 2002, the department of community, trade, and economic development shall notify the department of revenue in writing of the grants received in the current fiscal year by each light and power business and gas distribution business.

(4)(a) Not later than June 1st of each year beginning in 2002, the department shall publish the base credit for each light and power business and gas distribution business for the next fiscal year.

(b) Not later than July 1st of each year beginning in 2002, application for credit must by made to the department including but not limited to the following information: Billing discounts given by the applicant in fiscal year 2000; qualifying contributions given by the applicant in the prior fiscal year; the amount of money received in the prior fiscal year from customers for the purpose of assisting other customers; the base credit for the next fiscal year for the applicant; the qualifying contributions anticipated to be given in the next fiscal year; and billing discounts anticipated to be given in the next fiscal year. No credit under this section will be allowed to a light and power business or gas distribution business that does not file the application by July 1st.

(c) Not later than August 1st of each year beginning in 2002, the department shall notify each applicant of the amount of credit that may be taken in that fiscal year.

(d) The balance of base credits not used by other light and power businesses and gas distribution businesses shall be ratably distributed to applicants under the formula in subsection (1)(a) of this section. The total amount of credit that may be taken by an applicant is the base credit plus any ratable portion of unused base credit.

(5) The credit taken under this section is limited to the amount of tax imposed under this chapter for the fiscal year. The credit must be claimed in the fiscal year in which the billing reduction is made. Any unused credit expires. Refunds shall not be given in place of credits.

(6) No credit may be taken for billing discounts made before July 1, 2001. Within two weeks of the effective date of this section, the department of community, trade, and economic development shall notify the department of revenue in writing of the grants received in fiscal year 2001 by each light and power business and gas distribution business. Within four weeks of the effective date of this section, the department of revenue shall publish the base credit for each light and power business and gas distribution business for fiscal year 2002. Within eight weeks of the effective date of this section, application to the department must be made showing the information required in subsection (4)(b) of this section. Within twelve weeks of the effective date of this section, the department shall notify each applicant of the amount of credit that may be taken in fiscal year 2002.

(a) The economy of the state and the health, safety, and welfare of its citizens are threatened by the current energy supply and price instabilities;

(b) Many energy efficiency programs for public buildings launched during the 1970s and 1980s were not maintained during the subsequent sustained period of low energy costs and abundant supply; and

(c) Conservation programs originally established in the 1970s and 1980s can be improved or updated. New programs drawing on recently developed technologies, including demand-side energy management systems, can materially increase the efficiency of energy use by the public sector.

(a) State government is committed to achieving significant gains in energy efficiency. Conventional conservation programs will be reviewed and updated in light of experience gained since their commencement;

(b) State government must play a leading role in demonstrating updated and new energy efficiency technologies. New programs or measures made possible by technological advances, such as demand-side response measures and energy management systems, shall be treated in the same manner as conventional conservation programs and will be integrated into the state's energy efficiency programs.

(1) That major publicly owned or leased facilities have a significant impact on our state's consumption of energy;

(2) That energy conservation practices including energy management systems and renewable energy systems adopted for the design, construction, and utilization of such facilities will have a beneficial effect on our overall supply of energy;

(3) That the cost of the energy consumed by such facilities over the life of the facilities shall be considered in addition to the initial cost of constructing such facilities;

(4) That the cost of energy is significant and major facility designs shall be based on the total life-cycle cost, including the initial construction cost, and the cost, over the economic life of a major facility, of the energy consumed, and of the operation and maintenance of a major facility as they affect energy consumption; and

(5) That the use of energy systems in these facilities which utilize renewable resources such as solar energy, wood or wood waste, or other nonconventional fuels ((should)), and which incorporate energy management systems, shall be considered in the design of all publicly owned or leased facilities.

Sec. 16. RCW 39.35.030 and 1996 c 186 s 402 are each amended to read as follows:

For the purposes of this chapter the following words and phrases shall have the following meanings unless the context clearly requires otherwise:

(1) "Public agency" means every state office, officer, board, commission, committee, bureau, department, and all political subdivisions of the state.

(3) "Major facility" means any publicly owned or leased building having twenty-five thousand square feet or more of usable floor space.

(4) "Initial cost" means the moneys required for the capital construction or renovation of a major facility.

(5) "Renovation" means additions, alterations, or repairs within any twelve-month period which exceed fifty percent of the value of a major facility and which will affect any energy system.

(6) "Economic life" means the projected or anticipated useful life of a major facility as expressed by a term of years.

(7) "Energy management system" means a program, energy efficiency equipment, technology, device, or other measure including, but not limited to, a management, educational, or promotional program, smart appliance, meter reading system that provides energy information capability, computer software or hardware, communications equipment or hardware, thermostat or other control equipment, together with related administrative or operational programs, that allows identification and management of opportunities for improvement in the efficiency of energy use, including but not limited to a measure that allows:

(a) Energy consumers to obtain information about their energy usage and the cost of energy in connection with their usage;

(b) Interactive communication between energy consumers and their energy suppliers;

(8) "Life-cycle cost" means the initial cost and cost of operation of a major facility over its economic life. This shall be calculated as the initial cost plus the operation, maintenance, and energy costs over its economic life, reflecting anticipated increases in these costs discounted to present value at the current rate for borrowing public funds, as determined by the office of financial management. The energy cost projections used shall be those provided by the department. The department shall update these projections at least every two years.

(((8))) (9) "Life-cycle cost analysis" includes, but is not limited to, the following elements:

(((9))) (10) "Energy systems" means all utilities, including, but not limited to, heating, air-conditioning, ventilating, lighting, and the supplying of domestic hot water.

(((10))) (11) "Energy-consumption analysis" means the evaluation of all energy systems and components by demand and type of energy including the internal energy load imposed on a major facility by its occupants, equipment, and components, and the external energy load imposed on a major facility by the climatic conditions of its location. An energy-consumption analysis of the operation of energy systems of a major facility shall include, but not be limited to, the following elements:

(a) The comparison of three or more system alternatives, at least one of which shall include renewable energy systems, and one of which shall comply at a minimum with the sustainable design guidelines of the United States green building council leadership in energy and environmental design silver standard or similar design standard as may be adopted by rule by the department;

(b) The simulation of each system over the entire range of operation of such facility for a year's operating period; and

(c) The evaluation of the energy consumption of component equipment in each system considering the operation of such components at other than full or rated outputs.

The energy-consumption analysis shall be prepared by a professional engineer or licensed architect who may use computers or such other methods as are capable of producing predictable results.

(((11))) (12) "Renewable energy systems" means methods of facility design and construction and types of equipment for the utilization of renewable energy sources including, but not limited to, hydroelectric power, active or passive solar space heating or cooling, domestic solar water heating, windmills, waste heat, biomass and/or refuse-derived fuels, photovoltaic devices, and geothermal energy.

(((12))) (13) "Cogeneration" means the sequential generation of two or more forms of energy from a common fuel or energy source. Where these forms are electricity and thermal energy, then the operating and efficiency standards established by 18 C.F.R. Sec. 292.205 and the definitions established by 18 C.F.R. 292.202 (c) through (m) as of July 28, 1991, shall apply.

(((13))) (14) "Selected buildings" means educational, office, residential care, and correctional facilities that are designed to comply with the design standards analyzed and recommended by the department.

(((14))) (15) "Design standards" means the heating, air-conditioning, ventilating, and renewable resource systems identified, analyzed, and recommended by the department as providing an efficient energy system or systems based on the economic life of the selected buildings.

Sec. 17. RCW 39.35.050 and 1996 c 186 s 403 are each amended to read as follows:

The department, in consultation with affected public agencies, shall develop and issue guidelines for administering this chapter. The purpose of the guidelines is to define a procedure and method for performance of life-cycle cost analysis to promote the selection of low-life-cycle cost alternatives. At a minimum, the guidelines must contain provisions that:

(2) Identify energy components and system alternatives including energy management systems, renewable energy systems, and cogeneration applications prior to commencing the energy consumption analysis;

(3) Identify simplified methods to assure the lowest life-cycle cost alternatives for selected buildings with between twenty-five thousand and one hundred thousand square feet of usable floor area;

(4) Establish times during the design process for preparation, review, and approval or disapproval of the life-cycle cost analysis;

(5) Specify the assumptions to be used for escalation and inflation rates, equipment service lives, economic building lives, and maintenance costs;

(6) Determine life-cycle cost analysis format and submittal requirements to meet the provisions of chapter 201, Laws of 1991;

Unless the context clearly indicates otherwise, the definitions in this section shall apply throughout this chapter.

(1) "Energy equipment and services" means energy management systems and any equipment, materials, or supplies that are expected, upon installation, to reduce the energy use or energy cost of an existing building or facility, and the services associated with the equipment, materials, or supplies, including but not limited to design, engineering, financing, installation, project management, guarantees, operations, and maintenance.

(((3))) (4) "Performance-based contract" means one or more contracts for energy equipment and services between a municipality and any other persons or entities, if the payment obligation for each year under the contract, including the year of installation, is either: (a) Set as a percentage of the annual energy cost savings attributable under the contract to the energy equipment and services; or (b) guaranteed by the other persons or entities to be less than the annual energy cost savings attributable under the contract to the energy equipment and services. Such guarantee shall be, at the option of the municipality, a bond or insurance policy, or some other guarantee determined sufficient by the municipality to provide a level of assurance similar to the level provided by a bond or insurance policy.

NEW SECTION. Sec. 19. A new section is added to chapter 39.35A RCW to read as follows:

The state department of general administration shall maintain a registry of energy service contractors and provide assistance to municipalities in identifying available performance-based contracting services.

Sec. 20. RCW 39.35C.010 and 1996 c 186 s 405 are each amended to read as follows:

Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Cogeneration" means the sequential generation of two or more forms of energy from a common fuel or energy source. If these forms are electricity and thermal energy, then the operating and efficiency standards established by 18 C.F.R. Sec. 292.205 and the definitions established by 18 C.F.R. Sec. 292.202 (c) through (m) apply.

(2) "Conservation" means reduced energy consumption or energy cost, or increased efficiency in the use of energy, and activities, measures, or equipment designed to achieve such results, but does not include thermal or electric energy production from cogeneration.

(3) "Cost-effective" means that the present value to a state agency or school district of the energy reasonably expected to be saved or produced by a facility, activity, measure, or piece of equipment over its useful life, including any compensation received from a utility or the Bonneville power administration, is greater than the net present value of the costs of implementing, maintaining, and operating such facility, activity, measure, or piece of equipment over its useful life, when discounted at the cost of public borrowing.

(((6))) (7) "Energy efficiency services" means assistance furnished by the department to state agencies and school districts in identifying, evaluating, and implementing energy efficiency projects.

(((8))) (9) "Performance-based contracting" means contracts for which payment is conditional on achieving contractually specified energy savings.

(((9))) (10) "Public agency" means every state office, officer, board, commission, committee, bureau, department, and all political subdivisions of the state.

(((10))) (11) "Public facility" means a building or structure, or a group of buildings or structures at a single site, owned by a state agency or school district.

(((11))) (12) "State agency" means every state office or department, whether elective or appointive, state institutions of higher education, and all boards, commissions, or divisions of state government, however designated.

(((12))) (13) "State facility" means a building or structure, or a group of buildings or structures at a single site, owned by a state agency.

(((13))) (14) "Utility" means privately or publicly owned electric and gas utilities, electric cooperatives and mutuals, whether located within or without Washington state.

(((14))) (15) "Local utility" means the utility or utilities in whose service territory a public facility is located.

Sec. 21. RCW 39.35C.020 and 1996 c 186 s 406 are each amended to read as follows:

(1) Each state agency and school district shall implement cost-effective conservation improvements and maintain efficient operation of its facilities in order to minimize energy consumption and related environmental impacts and reduce operating costs. Each state agency shall undertake an energy audit and implement cost-effective conservation measures pursuant to the time schedules and requirements set forth in chapter 43.19 RCW, except that any state agency that, after December 31, 1997, has completed energy audits and implemented cost-effective conservation measures, or has contracted with an energy service company for energy audits and conservation measures, is deemed to have met the requirements of this subsection for those facilities included in the audits and conservation measures. Each school district shall undertake an energy audit and implement cost-effective conservation measures pursuant to the time schedules and requirements set forth in section 22 of this act. Performance-based contracting shall be the preferred method for completing energy audits and implementing cost-effective conservation measures.

(2) The department shall assist state agencies and school districts in identifying, evaluating, and implementing cost-effective conservation projects at their facilities. The assistance shall include the following:

(a) Notifying state agencies and school districts of their responsibilities under this chapter;

(b) Apprising state agencies and school districts of opportunities to develop and finance such projects;

(e) Assisting in the structuring and arranging of financing for cost-effective conservation projects.

(3) Conservation projects implemented under this chapter shall have appropriate levels of monitoring to verify the performance and measure the energy savings over the life of the project. The department shall solicit involvement in program planning and implementation from utilities and other energy conservation suppliers, especially those that have demonstrated experience in performance-based energy programs.

(4) The department shall comply with the requirements of chapter 39.80 RCW when contracting for architectural or engineering services.

(5) The department shall recover any costs and expenses it incurs in providing assistance pursuant to this section, including reimbursement from third parties participating in conservation projects. The department shall enter into a written agreement with the public agency for the recovery of costs.

NEW SECTION. Sec. 22. A new section is added to chapter 39.35C RCW to read as follows:

(1) Except as provided in subsections (2) and (3) of this section, each school district shall conduct an energy audit of its facilities. This energy audit may be conducted by contract or by other arrangement, including appropriate district staff. Performance-based contracting shall be the preferred method for implementing and completing energy audits.

(a) For each district facility, the energy consumption surveys shall be completed no later than December 31, 2001, and the walk-through surveys shall be completed no later than October 1, 2002. Upon completion of each walk-through survey, the district shall implement energy conservation maintenance and operation procedures that may be identified for any district facility. These procedures shall be implemented as soon as possible, but not later than twelve months after the walk-through survey.

(b) Except as provided in subsection (3) of this section, if a walk-through survey has identified potentially cost-effective energy conservation measures, the district shall undertake an investment grade audit of the facility. Investment grade audits shall be completed no later than June 30, 2003, and installation of cost-effective conservation measures recommended in the investment grade audit shall be completed no later than December 31, 2004.

(2) A school district that, after December 31, 1997, has completed energy audits and implemented cost-effective conservation measures, or has contracted with an energy service company for energy audits and conservation measures, is deemed to have met the requirements of this section for those facilities included in the audits and conservation measures.

(3) A school district that after reasonable efforts and consultation with the department is unable to obtain a contract with an energy service company to conduct an investment grade audit or install cost-effective conservation measures recommended in an investment grade audit, is exempt from the requirements of subsection (1)(b) of this section.

The legislature finds and declares that the buildings, facilities, equipment, and vehicles owned or leased by state government consume significant amounts of energy and that energy conservation actions, including energy management systems, to provide for efficient energy use in these buildings, facilities, equipment, and vehicles will reduce the costs of state government. In order for the operations of state government to provide the citizens of this state an example of energy use efficiency, the legislature further finds and declares that state government should undertake an aggressive program designed to reduce energy use in state buildings, facilities, equipment, and vehicles within a reasonable period of time. The use of appropriate tree plantings for energy conservation is encouraged as part of this program.

It is the purpose of RCW 43.19.670 through 43.19.685 to require energy audits in state-owned buildings, to require energy audits as a lease condition in all new, renewed, and renegotiated leases of buildings by the state, to undertake such modifications and installations as are necessary to maximize the efficient use of energy in these buildings, including but not limited to energy management systems, and to establish a policy for the purchase of state vehicles, equipment, and materials which results in efficient energy use by the state.

For a building that is leased by the state, energy audits and implementation of cost-effective energy conservation measures are required only for that portion of the building that is leased by the state when the state leases less than one hundred percent of the building. When implementing cost-effective energy conservation measures in buildings leased by the state, those measures must generate savings sufficient to finance the building modifications and installations over a loan period not greater than ten years and allow repayment during the term of the lease.

As used in RCW 43.19.670 through 43.19.685, the following terms have the meanings indicated unless the context clearly requires otherwise.

(1) "Energy audit" means a determination of the energy consumption characteristics of a facility which consists of the following elements:

(a) An energy consumption survey which identifies the type, amount, and rate of energy consumption of the facility and its major energy systems. This survey shall be made by the agency responsible for the facility.

(b) A walk-through survey which determines appropriate energy conservation maintenance and operating procedures and indicates the need, if any, for the acquisition and installation of energy conservation measures and energy management systems. This survey shall be made by the agency responsible for the facility if it has technically qualified personnel available. The director of general administration shall provide technically qualified personnel to the responsible agency if necessary.

(c) ((A technical assistance study)) An investment grade audit, which is an intensive engineering analysis of energy conservation and management measures for the facility, net energy savings, and a cost-effectiveness determination. This element is required only for those facilities designated in the ((technical assistance study)) schedule adopted under RCW 43.19.680(((3))) (2).

(2) "Cost-effective energy conservation measures" means energy conservation measures that the investment grade audit concludes will generate savings sufficient to finance project loans of not more than ten years.

(3) "Energy conservation measure" means an installation or modification of an installation in a facility which is primarily intended to reduce energy consumption or allow the use of an alternative energy source, including:

(b) Storm windows and doors, multiglazed windows and doors, heat absorbing or heat reflective glazed and coated windows and door systems, additional glazing, reductions in glass area, and other window and door system modifications;

(d) Equipment required to operate variable steam, hydraulic, and ventilating systems adjusted by automatic energy control systems;

(e) Solar space heating or cooling systems, solar electric generating systems, or any combination thereof;

(g) Furnace or utility plant and distribution system modifications including replacement burners, furnaces, and boilers which substantially increase the energy efficiency of the heating system; devices for modifying flue openings which will increase the energy efficiency of the heating system; electrical or mechanical furnace ignitions systems which replace standing gas pilot lights; and utility plant system conversion measures including conversion of existing oil- and gas-fired boiler installations to alternative energy sources;

(i) Replacement or modification of lighting fixtures which increase the energy efficiency of the lighting system;

(l) Such other measures as the director finds will save a substantial amount of energy.

(((3))) (4) "Energy conservation maintenance and operating procedure" means modification or modifications in the maintenance and operations of a facility, and any installations within the facility, which are designed to reduce energy consumption in the facility and which require no significant expenditure of funds.

(((4))) (5) "Energy management system" has the definition contained in RCW 39.35.030.

(6) "Energy savings performance contracting" means the process authorized by chapter 39.35C RCW by which a company contracts with a state agency to conduct no-cost energy audits, guarantee savings from energy efficiency, provide financing for energy efficiency improvements, install or implement energy efficiency improvements, and agree to be paid for its investment solely from savings resulting from the energy efficiency improvements installed or implemented.

(7) "Energy service company" means a company or contractor providing energy savings performance contracting services.

(8) "Facility" means a building, a group of buildings served by a central energy distribution system, or components of a central energy distribution system.

(((5))) (9) "Implementation plan" means the annual tasks and budget required to complete all acquisitions and installations necessary to satisfy the recommendations of the energy audit.

For each state-owned facility, the director of general administration, ((in cooperation with the director of the state energy office)) or the agency responsible for the facility if other than the department of general administration, shall conduct(( by contract or other arrangement,)) an energy audit ((for each state-owned)) of that facility. ((All energy audits shall be coordinated with and complement other governmental energy audit programs. The energy audit for each state-owned facility located on the capitol campus shall be completed no later than July 1, 1981, and the results and findings of each energy audit shall be compiled and transmitted to the governor and the legislature no later than October 1, 1981.)) This energy audit may be conducted by contract or by other arrangement, including appropriate agency staff. Performance-based contracting shall be the preferred method for implementing and completing energy audits. For ((every other)) each state-owned facility, the energy consumption surveys shall be completed no later than October 1, ((1982)) 2001, and the walk-through surveys shall be completed no later than July 1, ((1983)) 2002.

Sec. 27. RCW 43.19.680 and 1996 c 186 s 506 are each amended to read as follows:

(1) Upon completion of each walk-through survey required by RCW 43.19.675, the director of general administration or the agency responsible for the facility if other than the department of general administration shall implement energy conservation maintenance and operation procedures that may be identified for any state-owned facility. These procedures shall be implemented as soon as possible but not later than twelve months after the walk-through survey.

(2) ((By December 31, 1981, for the capitol campus the director of general administration shall prepare and transmit to the governor and the legislature an implementation plan.)) If a walk-through survey has identified potentially cost-effective energy conservation measures, the agency responsible for the facility shall undertake an investment grade audit of the facility. Investment grade audits shall be completed no later than December 1, 2002. Installation of cost-effective energy conservation measures recommended in the investment grade audit shall be completed no later than June 30, 2004.

(3) ((By December 31, 1983, for all other state-owned facilities, the director of general administration shall prepare and transmit to the governor and the legislature the results of the energy consumption and walk-through surveys and a schedule for the conduct of technical assistance studies. This submission shall contain the energy conservation measures planned for installation during the ensuing biennium. Priority considerations for scheduling technical assistance studies shall include but not be limited to a facility's energy efficiency, responsible agency participation, comparative cost and type of fuels, possibility of outside funding, logistical considerations such as possible need to vacate the facility for installation of energy conservation measures, coordination with other planned facility modifications, and the total cost of a facility modification, including other work which would have to be done as a result of installing energy conservation measures. Energy conservation measure acquisitions and installations shall be scheduled to be twenty-five percent complete by June 30, 1985, or at the end of the capital budget biennium which includes that date, whichever is later, fifty-five percent complete by June 30, 1989, or at the end of the capital budget biennium which includes that date, whichever is later, eighty-five percent complete by June 30, 1993, or at the end of the capital budget biennium which includes that date, whichever is later, and fully complete by June 30, 1995, or at the end of the capital budget biennium which includes that date, whichever is later. Each state agency shall implement energy conservation measures with a payback period of twenty-four months or less that have a positive cash flow in the same biennium.))

For each biennium until all measures are installed, the director of general administration shall report to the governor and legislature installation progress, measures planned for installation during the ensuing biennium((, and changes, if any, to the technical assistance study schedule)). This report shall be submitted by December 31, ((1984)) 2004, or at the end of the following year whichever immediately precedes the capital budget adoption, and every two years thereafter until all measures are installed.

(4) ((The director of general administration shall adopt rules to facilitate private investment in energy conservation measures for state-owned buildings consistent with state law.)) Agencies may contract with energy service companies as authorized by chapter 39.35C RCW for energy audits and implementation of cost-effective energy conservation measures. The department shall provide technically qualified personnel to the responsible agency upon request. The department shall recover a fee for this service.

NEW SECTION. Sec. 28. A new section is added to chapter 19.29A RCW to read as follows:

(1) Beginning January 1, 2002, each electric utility must provide to its retail electricity customers a voluntary option to purchase qualified alternative energy resources in accordance with this section.

(2) Each electric utility must include with its retail electric customer's regular billing statements, at least quarterly, a voluntary option to purchase qualified alternative energy resources. The option may allow customers to purchase qualified alternative energy resources at fixed or variable rates and for fixed or variable periods of time, including but not limited to monthly, quarterly, or annual purchase agreements. A utility may provide qualified alternative energy resource options through either: (a) Resources it owns or contracts for; or (b) the purchase of credits issued by a clearinghouse or other system by which the utility may secure, for trade or other consideration, verifiable evidence that a second party has a qualified alternative energy resource and that the second party agrees to transfer such evidence exclusively to the benefit of the utility.

(3) For the purposes of this section, a "qualified alternative energy resource" means the electricity produced from generation facilities that are fueled by: (a) Wind; (b) solar energy; (c) geothermal energy; (d) landfill gas; (e) wave or tidal action; (f) gas produced during the treatment of wastewater; (g) qualified hydropower; or (h) biomass energy based on solid organic fuels from wood, forest, or field residues, or dedicated energy crops that do not include wood pieces that have been treated with chemical preservatives such as creosote, pentachlorophenol, or copper-chrome-arsenic.

(4) For the purposes of this section, "qualified hydropower" means the energy produced either: (a) As a result of modernizations or upgrades made after June 1, 1998, to hydropower facilities operating on the effective date of this section that have been demonstrated to reduce the mortality of anadromous fish; or (b) by run of the river or run of the canal hydropower facilities that are not responsible for obstructing the passage of anadromous fish.

(5) The rates, terms, conditions, and customer notification of each utility's option or options offered in accordance with this section must be approved by the governing body of the consumer-owned utility or by the commission for investor-owned utilities. All costs and benefits associated with any option offered by an electric utility under this section must be allocated to the customers who voluntarily choose that option and may not be shifted to any customers who have not chosen such option.

(6) Each consumer-owned utility must report annually to the department and each investor-owned utility must report annually to the commission beginning October 1, 2002, until October 1, 2012, describing the option or options it is offering its customers under the requirements of this section, the rate of customer participation, the amount of qualified alternative energy resources purchased by customers, and the amount of utility investments in qualified alternative energy resources. The department and the commission together shall report annually to the legislature, beginning December 1, 2002, until December 1, 2012, with the results of the utility reports.

The provisions of RCW 19.29A.020, 19.29A.030, ((and)) section 5, chapter 300, Laws of 1998, and section 28 of this act do not apply to a small utility. However, nothing in this section prohibits the governing body of a small utility from determining the utility should comply with any or all of the provisions of RCW 19.29A.020, 19.29A.030, ((and)) section 5, chapter 300, Laws of 1998, and section 28 of this act, which governing bodies are encouraged to do.

Sec. 30. RCW 44.39.010 and 1977 ex.s. c 328 s 13 are each amended to read as follows:

There is hereby created the joint committee on energy ((and utilities)) supply of the legislature of the state of Washington.

Sec. 31. RCW 44.39.015 and 1977 ex.s. c 328 s 14 are each amended to read as follows:

The committee shall consist of four senators and four representatives who shall be selected biennially as follows:

(1) The president of the senate shall ((nominate)) appoint four members from the ((energy and utilities)) senate to serve on the committee, including the ((chairman,)) chair of the committee responsible for energy issues. Two members ((being)) from each major political party((, to serve on the committee, and shall submit the list of nominees to the senate for confirmation. Upon confirmation, the senators shall be deemed installed as members)) must be appointed.

(2) The speaker or co-speakers of the house of representatives shall ((nominate)) appoint four members from the ((energy and utilities)) house of representatives to serve on the committee, including the ((chairman,)) chair or co-chairs of the committee responsible for energy issues. Two members ((being)) from each major political party((, to serve on the committee, and shall submit the list of nominees to the house of representatives for confirmation. Upon confirmation, the representatives shall be deemed installed as members. The chairmen of the senate and house energy and utilities committees shall alternately serve as chairman for one year terms. The chairman of the house committee shall serve as the initial chairman. The chairman may designate another committee member to serve as chairman in his or her absence)) must be appointed.

(3) The committee shall elect a chair and a vice-chair. The chair shall be a member of the house of representatives in even-numbered years and a member of the senate in odd-numbered years. In the case of a tie in the membership of the house of representatives in an even-numbered year, the committee shall elect co-chairs from the house of representatives in that year.

NEW SECTION. Sec. 32. A new section is added to chapter 82.34 RCW to read as follows:

(a) "Qualifying facility" means an air pollution control facility as that term is defined in RCW 82.34.010(1)(a) to be installed or acquired for a thermal electric peaking plant with a capacity of less than one hundred megawatts and which is approved pursuant to the Washington clean air act, chapter 70.94 RCW.

(b) "Thermal electric peaking plant" means a natural gas-fired thermal electric generating facility operated by a light and power business and placed into service between January 1, 1978, and December 31, 1984, and that is registered for the calendar year 2000 pursuant to RCW 70.94.151.

(2) A light and power business is exempt from sales tax on the installation or acquisition of up to two qualifying facilities after January 1, 2001, as provided in this section. Upon written request of a light and power business to which the approval issued under chapter 70.94 RCW is attached, the department shall make a determination as to whether a plant is a thermal electric peaking plant acquiring or installing a qualifying facility eligible under this section. The department shall consult with the department of community, trade, and economic development and the department of ecology in making the determination. If the determination is in the affirmative, the department shall issue the light and power business a sales and use tax exemption certificate in a form and manner as deemed appropriate by the department.

(3) The charges for installation or acquisition of a qualifying facility by the holder of the certificate are exempt from sales tax imposed under chapter 82.08 RCW and use tax imposed under chapter 82.12 RCW. The purchaser must provide the seller with a copy of the sales and use tax exemption certificate. The seller shall retain a copy of the certificate for the seller's files.

(4) The exemption in this section is limited to the installation or acquisition of a qualifying facility and does not apply to servicing, maintenance, operation, or repairs of a thermal electric peaking plant or of an air pollution control facility.

NEW SECTION. Sec. 33. 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. 34. 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 immediately."

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

Representatives Poulsen, Crouse, Morris, Bush, Cooper, Ericksen, Ruderman, Clements, Conway, Wood, Reardon, and Benson spoke in favor of passage of the bill.

Speaker Ballard stated the question before the House to be the final passage of Engrossed House Bill No. 2247.

The Clerk called the roll on the final passage of Engrossed House Bill No. 2247 and the bill passed the House by the following vote: Yeas - 92, Nays - 0, Absent - 0, Excused - 6.

Voting yea: Representatives Ahern, Alexander, Anderson, Armstrong, Ballasiotes, Barlean, Benson, Berkey, Boldt, Buck, Bush, Cairnes, Campbell, Carrell, Casada, B. Chandler, Clements, Cody, Conway, Cooper, Cox, Crouse, Darneille, Delvin, Dickerson, Doumit, Dunn, Dunshee, Edmonds, Eickmeyer, Ericksen, Esser, Fisher, Fromhold, Gombosky, Grant, Haigh, Hankins, Hatfield, Hunt, Hurst, Jackley, Jarrett, Kagi, Keiser, Kessler, Kirby, Lambert, Lantz, Linville, Lisk, Lovick, Marine, Mastin, McDermott, McIntire, McMorris, Mielke, Miloscia, Mitchell, Morell, Morris, Mulliken, Murray, O'Brien, Pearson, Pennington, Pflug, Poulsen, Quall, Reardon, Roach, Rockefeller, Romero, Ruderman, Santos, Schindler, Schoesler, Schual-Berke, Sehlin, Simpson, Skinner, Sommers, Sump, Talcott, Tokuda, Van Luven, Veloria, Wood, Woods, Speaker Ballard, and Speaker Chopp - 92.

Excused: Representatives G. Chandler, DeBolt, Edwards, Kenney, Ogden, and Schmidt - 6.

Engrossed House Bill No. 2247, having received the necessary constitutional majority, was declared passed.

ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 5625 by Senate Committee on Education

"Sec. 1. RCW 28A.655.030 and 1999 c 388 s 102 are each amended to read as follows:

The powers and duties of the academic achievement and accountability commission shall include, but are not limited to the following:

(i) Performance improvement goals in reading, writing, science, and mathematics by subject and grade level as the commission deems appropriate to improve student learning, once assessments in these subjects are required statewide. The goals shall be in addition to any goals adopted in RCW 28A.655.050. The commission may also revise any goal adopted in RCW 28A.655.050;

(ii) Goals for dropout rates and reduction of dropout rates for middle schools, junior high schools, and high schools, if the superintendent of public instruction develops common definitions; and

(iii) Goals designed to accelerate the achievement of students who are disproportionately underachieving academically. The commission shall adopt the goals by rule. However, before each goal is implemented, the commission shall present the goal to the education committees of the house of representatives and the senate for the committees' review and comment in a time frame that will permit the legislature to take statutory action on the goal if such action is deemed warranted by the legislature;

(b) Identify the scores students must achieve in order to meet the standard on the Washington assessment of student learning and determine student scores that identify levels of student performance below and beyond the standard. The commission shall set such performance standards and levels in consultation with the superintendent of public instruction and after consideration of any recommendations that may be developed by any advisory committees that may be established for this purpose;

(c) Adopt objective, systematic criteria to identify successful schools and school districts and recommend to the superintendent of public instruction schools and districts to be recognized for two types of accomplishments, student achievement and improvements in student achievement. Recognition for improvements in student achievement shall include consideration of one or more of the following accomplishments:

(i) An increase in the percent of students meeting standards. The level of achievement required for recognition may be based on the achievement goals established by the legislature under RCW 28A.655.050 and the commission under (a) of this subsection;

(ii) Positive progress on an improvement index that measures improvement in all levels of the assessment; and

(iii) Improvements despite challenges such as high levels of mobility, poverty, English as a second language learners, and large numbers of students in special populations as measured by either the percent of students meeting the standard, or the improvement index.

When determining the baseline year or years for recognizing individual schools, the commission may use the assessment results from the initial years the assessments were administered, if doing so with individual schools would be appropriate;

(d) Adopt objective, systematic criteria to identify schools and school districts in need of state assistance ((and those in which)) due to significant numbers of students persistently ((fail)) failing to meet state standards. In its deliberations, the commission shall consider the use of performance improvement goals and all statewide mandated criterion-referenced and norm-referenced standardized tests;

(e) Identify, based on the commission's criteria and the level of available appropriations, schools and school districts in which state ((intervention measures)) assistance will be ((needed and a range of appropriate intervention strategies, beginning no earlier than June 30, 2001, and after the legislature has authorized a set of intervention strategies. Beginning no earlier than June 30, 2001, and after the legislature has authorized a set of intervention strategies, at the request of the commission, the superintendent shall intervene in the school or school district and take corrective actions. This chapter does not provide additional authority for the commission or the superintendent of public instruction to intervene in a school or school district)) available;

(f) Adopt student performance and improvement thresholds for use in evaluating school and district progress under state assistance and superintendent of public instruction intervention:

(i) For schools identified during the 2001-02 or 2002-03 school years, for the first three years in state assistance or superintendent of public instruction intervention, the threshold shall be based on the school's progress toward reading improvement goals adopted under (a)(i) of this subsection and a minimum percentile score, as adopted by the commission, on statewide mandated norm-referenced standardized tests;

(ii) For schools identified during the 2003-04 school year or in subsequent years, the threshold shall be based on the school's progress toward all performance improvement goals adopted under (a)(i) of this subsection and a minimum percentile score, as adopted by the commission, on statewide mandated norm-referenced standardized tests;

(g) Identify performance incentive systems that have improved or have the potential to improve student achievement;

(((g))) (h) Annually review the assessment reporting system to ensure fairness, accuracy, timeliness, and equity of opportunity, especially with regard to schools with special circumstances and unique populations of students, and ((a recommendation)) recommend to the superintendent of public instruction ((of)) any improvements needed to the system;

(((h))) (i) Annually report by December 1st to the legislature, the governor, the superintendent of public instruction, and the state board of education on the progress, findings, and recommendations of the commission. The report may include recommendations of actions to help improve student achievement;

(((i))) (j) By December 1, 2000, and by December 1st annually thereafter, report to the education committees of the house of representatives and the senate on the progress that has been made in achieving the reading goal under RCW 28A.655.050 and any additional goals adopted by the commission;

(((j))) (k) Coordinate its activities with the state board of education and the office of the superintendent of public instruction;

(((k))) (l) Seek advice from the public and all interested educational organizations in the conduct of its work; ((and

(l))) (m) Establish advisory committees, which may include persons who are not members of the commission; and

(n) Develop and analyze any data or information necessary to perform its accountability responsibilities;

(2) Holding meetings and public hearings, which may include regional meetings and hearings;

(3) Hiring necessary staff and determining the staff's duties and compensation. However, the office of the superintendent of public instruction shall provide staff support to the commission until the commission has hired its own staff, and shall provide most of the technical assistance and logistical support needed by the commission thereafter. The office of the superintendent of public instruction shall be the fiscal agent for the commission. The commission may direct the office of the superintendent of public instruction to enter into subcontracts, within the commission's resources, with school districts, teachers, higher education faculty, state agencies, business organizations, and other individuals and organizations to assist the commission in its deliberations; and

(4) Receiving per diem and travel allowances as permitted under RCW 43.03.050 and 43.03.060.

NEW SECTION. Sec. 2. SUPERINTENDENT OF PUBLIC INSTRUCTION DUTIES. (1) The superintendent of public instruction may delegate the superintendent's duties under this chapter to a proxy, with the exception of the superintendent's membership on the academic achievement and accountability commission.

(a) Provide state assistance to schools and school districts under section 3 of this act and exercise governance responsibilities for schools in superintendent of public instruction intervention under section 4 of this act;

(b) Provide the academic achievement and accountability commission, in a timely manner, with available data, including raw student data, and other information the commission deems appropriate to fulfill its responsibility to provide oversight and monitoring of the state's educational accountability system; and

(c) Make available to schools information on models of excellence in instruction, management, capacity building, parent involvement, and other research-based strategies to improve student achievement.

NEW SECTION. Sec. 3. PROCESS FOR STATE ASSISTANCE. (1) The process for state assistance shall include the following components:

(a) In September of each year, the academic achievement and accountability commission shall identify schools and school districts for state assistance, based on criteria adopted under RCW 28A.655.030(1) (d) and (e) and availability of appropriations.

(b) The superintendent of public instruction shall notify each school district of the assistance eligibility of one or more schools within the district.

(i) Notify school staff, parents, and the community of the state assistance process;

(ii) Conduct an educational audit of each identified school using experts convened by the superintendent of public instruction. The audit shall include the resources available to the school, the use of those resources, and suggestions for using funds more effectively; the relationship of the school to its local district, parents, and community; the curriculum and instructional materials available and the extent to which those materials are aligned with the state's essential academic learning requirements; the roles and contributions of the school's employees; the level of experience and subject matter expertise of the school's certificated employees; the needs and characteristics of the school's students; school district management practices; and other indicators;

(iii) Hold a public hearing to inform parents, school employees, and the local community of the audit's findings and recommendations and solicit input on ways to address the issues the audit identified; and

(iv) Identify some immediate steps the school and district can take to begin addressing issues raised in the audit.

(d) Based on the results of the audit and community response, the district, with advice from the school's parents and staff, shall develop a comprehensive school improvement plan.

(i) The plan shall include, but need not be limited to three-year student performance improvement goals established by the commission; measurable benchmarks; strategies to address the issues raised in the audit; and a timeline to reach student goals incrementally.

(ii) The plan may include the use of incentives, including school-based supplemental contracts, to recruit and retain employees; the use of severance pay; the revision of school district personnel assignments; and the restructuring of the management, budget, organization, calendar, and instructional or programmatic approaches used in the school.

(iii) The plan may include voluntary and involuntary transfer of employees other than administrators from the school pursuant to a written notice of transfer given to the employee: (A) During the three-month period immediately following the adoption of the plan; or (B) during the period from April 1st to May 1st of the year following the adoption of the plan. The transfer of principals and other administrators shall be made under RCW 28A.405.230. A transfer under this subsection (1)(d)(iii) to a position for which the annual compensation is the same as the annual compensation for the position from which the employee transferred shall not be construed as a discharge or other adverse effect in contract status for purposes of this title.

(iv) The plan may include authority, as provided in sections 8 and 9 of this act, to bargain the effect on school-specific issues of a component of the improvement plan if that component requires renegotiation of a collective bargaining agreement.

(e) The superintendent of public instruction and the school district shall negotiate and adopt, and revise as necessary, a performance agreement to implement the school improvement plan. The agreement shall be adopted no later than one month before the start of the school year following notification of state assistance eligibility.

(f) If the superintendent of public instruction determines that the school district has not completed the state assistance process in a timely fashion or has failed to conduct the process in good faith, the superintendent of public instruction shall impose superintendent of public instruction intervention on the school or district.

(2) After a performance agreement has been in effect for one complete school year, progress in each state-assisted school shall be analyzed annually based on student performance and improvement thresholds adopted under RCW 28A.655.030. The results of the analysis shall be included in the school's annual school performance report under RCW 28A.655.110.

(3) The parent or guardian of a student enrolled in a school identified for state assistance, at the beginning of the school year following identification, may enroll the student in a different school either in the district or in a different district under RCW 28A.225.220 and 28A.225.270. In a class I school district, the parent or guardian of a student enrolled in a school identified for state assistance, at the beginning of the school year following identification, may enroll the student in a different school in the district as provided under section 6 of this act.

(4) If a school successfully meets academic achievement and accountability commission-adopted student performance and improvement thresholds in any two years, the school shall be released from the list of schools identified for state assistance. However, for the duration of the performance agreement, the superintendent of public instruction may continue to provide any type of assistance included in the agreement.

(5) If a state-assisted school does not meet academic achievement and accountability commission-adopted student performance and improvement thresholds in any year, the superintendent of public instruction may impose superintendent of public instruction intervention on the school and district.

(6) If a state-assisted school does not meet academic achievement and accountability commission-adopted student performance and improvement thresholds by the end of three complete school years in state assistance, the superintendent of public instruction shall impose superintendent of public instruction intervention on the school and district.

(7) With the exception of agreements for schools that are subject to subsection (6) of this section, performance agreements may be extended with the approval of the commission.

NEW SECTION. Sec. 4. PROCESS FOR SUPERINTENDENT OF PUBLIC INSTRUCTION INTERVENTION. (1) A school or district identified for the imposition of superintendent of public instruction intervention under section 3 (5) or (6) of this act shall, for certain governance purposes, be removed from local control and placed under the jurisdiction of the superintendent of public instruction.

(2) The superintendent of public instruction shall adopt, and revise as necessary, an intervention plan for each school in superintendent of public instruction intervention. The plan, which shall include a description of the strategies that the superintendent intends to use in the school and district, shall be shared with the school community.

(3) After a school or district has been in superintendent of public instruction intervention for one complete school year, progress in each state-assisted school shall be analyzed annually based on student performance and improvement thresholds adopted under RCW 28A.655.030.

(4) If a school in superintendent of public instruction intervention successfully meets academic achievement and accountability commission-adopted student performance and improvement thresholds in two consecutive years, the school shall be released from superintendent of public instruction intervention.

(5) The range of intervention strategies available to the superintendent of public instruction shall include, but need not be limited to:

(a) The use of incentives, including school-based supplemental contracts, to recruit and retain employees and the use of severance pay, to the extent that funds are available for these purposes;

(c) The restructuring of the management, budget, organization, calendar, and instructional or programmatic approaches used in the school;

(d) The reduction, redirection, deferral, or withholding of nonbasic education state funds from the school district until the superintendent of public instruction determines such strategies are no longer an appropriate state intervention strategy;

(e) The redirection from school district to the school of any or all state, federal, and local funds generated by or available for the students in the school;

(f) The removal of a school from the district jurisdiction or the appointment of a proxy of the superintendent of public instruction to assume jurisdiction of the school;

(g) The adoption of either an intensive peer review or collaborative principal-peer review process for certificated employees;

(h) The voluntary and involuntary transfer of employees other than administrators from the school pursuant to a written notice of transfer given to the employee: (i) During the three-month period immediately following the adoption of an intervention plan; or (ii) during the period from April 1st to May 1st of the year following the adoption of an intervention plan. The transfer of principals and other administrators shall be made under RCW 28A.405.230. A transfer under this subsection (5)(h) to a position for which the annual compensation is the same as the annual compensation for the position from which the employee transferred shall not be construed as a discharge or other adverse effect in contract status for purposes of this title;

(i) The request for and use of waivers from any law, rule, or district policy that conflicts with the implementation of the superintendent's intervention plan;

(j) The authority, as provided in sections 8 and 9 of this act, to bargain, on behalf of the school district, the effect on school-specific issues of a component of the intervention plan if that component requires renegotiation of a collective bargaining agreement;

(l) Any other action authorized by law that the superintendent of public instruction deems necessary to improve student learning.

(6) The parent or guardian of a student enrolled in a school identified for superintendent of public instruction intervention, at the beginning of the school year following identification, may enroll the student in a different school either in the district or in a different district under the provisions of RCW 28A.225.220 and 28A.225.270. In a class I school district, the parent or guardian of a student enrolled in a school identified for superintendent of public instruction intervention, at the beginning of the school year following identification, may enroll the student in a different school in the district as provided under section 6 of this act.

(7) The school directors of a district with a school in superintendent of public instruction intervention shall, at the request of the superintendent of public instruction and pursuant to an intervention plan:

(a) Find positions for employees who are transferred out of the school or take other appropriate personnel actions;

(b) Provide payroll, student transportation, and all other support services for the school, with transportation provided based on a requested schedule;

(d) Provide the superintendent of public instruction with any assistance necessary to implement the intervention plan.

NEW SECTION. Sec. 5. REPORT ON ACCOUNTABILITY POLICIES. By November 30, 2002, the academic achievement and accountability commission shall analyze and report to the governor and the legislative education committees on (1) intervention strategies used by other states and nations, including the success of those strategies in improving student achievement, and (2) a uniform public school transfer policy for students enrolled in schools in state assistance or superintendent of public instruction intervention, including a proposal for fully funding transportation alternatives for transferring students.

NEW SECTION. Sec. 6. A new section as added to chapter 28A.320 RCW to read as follows:

STUDENT AND PARENT TRANSFER OPTIONS. Each class I school district shall adopt a policy allowing the automatic intradistrict release and acceptance of students from schools that are in state assistance or superintendent of public instruction intervention under chapter 28A.655 RCW.

NEW SECTION. Sec. 7. A new section is added to chapter 28A.300 RCW to read as follows:

RECOGNITION FOR REACHING FOURTH GRADE READING GOALS. The superintendent of public instruction shall recognize and honor each school that has met or exceeded the state minimum fourth grade reading goal for the school, as defined in RCW 28A.655.050, on the 2001 Washington assessment of student learning.

NEW SECTION. Sec. 8. A new section is added to chapter 41.56 RCW to read as follows:

COLLECTIVE BARGAINING. A component of a school improvement plan or performance agreement under section 3 of this act or an intervention plan under section 4 of this act shall be considered an educational policy decision. However, if the district superintendent under section 3 of this act, or the superintendent of public instruction under section 4 of this act, as applicable, determines that such a component requires renegotiation of a collective bargaining agreement, the employer, or the proxy designated to act on behalf of the employer when the superintendent of public instruction has elected to exercise the bargaining authority provided in section 4 of this act, and the exclusive bargaining representative that is a party to the agreement shall, subject to procedures in this chapter, enter into bargaining on the effect of the component on school-specific issues for inclusion in an addendum to the collective bargaining agreement. If an agreement is not reached after a reasonable period of negotiations, either party may request the commission to provide mediation services.

NEW SECTION. Sec. 9. A new section is added to chapter 41.59 RCW to read as follows:

The provisions of this chapter are intended to be additional to other remedies and shall be liberally construed to accomplish their purpose. Except as provided in RCW 53.18.015, if any provision of this chapter conflicts with any other statute, ordinance, rule or regulation of any public employer, the provisions of this chapter shall control. However, if a conflict exists between this chapter and section 3 or 4 of this act, section 3 or 4 of this act, as applicable, supersedes this chapter.

Sec. 11. RCW 41.59.910 and 1975 1st ex.s. c 288 s 19 are each amended to read as follows:

This chapter shall supersede existing statutes not expressly repealed to the extent that there is a conflict between a provision of this chapter and those other statutes. However, if a conflict exists between this chapter and section 3 or 4 of this act, section 3 or 4 of this act, as applicable, supersedes this chapter. Except as otherwise expressly provided herein, nothing in this chapter shall be construed to annul, modify or preclude the renewal or continuation of any lawful agreement entered into prior to January 1, 1976 between an employer and an employee organization covering wages, hours, and terms and conditions of employment. Where there is a conflict between any collective bargaining agreement and any resolution, rule, policy or regulation of the employer or its agents, the terms of the collective bargaining agreement shall prevail.

Sec. 12. RCW 28A.505.120 and 1975-'76 2nd ex.s. c 118 s 12 are each amended to read as follows:

(1) If a local school district fails to comply with any binding restrictions issued by the superintendent of public instruction, the allocation of state funds for support of the local school district may be withheld, pending an investigation of the reason for such noncompliance by the office of the superintendent of public instruction. Written notice of the intent to withhold state funds, with reasons stated for this action, shall be made to the school district by the office of the superintendent of public instruction before any portion of the state allocation is withheld.

(2) Under an intervention plan authorized under section 4 of this act, the superintendent may withhold the allocation of all or a portion of nonbasic education state funds from the local school district until the superintendent determines that withholding the funds is no longer an appropriate state intervention strategy.

Sec. 13. RCW 28A.400.010 and 1990 c 33 s 376 are each amended to read as follows:

Except as provided by a superintendent of public instruction intervention action taken under section 4 of this act, in all districts:

(1) The board of directors shall elect a superintendent who shall have such qualification as the local school board alone shall determine. The superintendent shall have supervision over the several departments of the schools thereof and carry out such other powers and duties as prescribed by law((.));

(2) Notwithstanding the provisions of RCW 28A.400.300(1), the board may contract with such superintendent for a term not to exceed three years when deemed in the best interest of the district. The right to renew a contract of employment with any school superintendent shall rest solely with the discretion of the school board employing such school superintendent. Regarding such renewal of contracts of school superintendents the provisions of RCW 28A.405.210, 28A.405.240, and 28A.645.010 shall be inapplicable.

Sec. 14. RCW 28A.400.030 and 1991 c 116 s 14 are each amended to read as follows:

In addition to such other duties as a district school board shall prescribe, unless other duties are prescribed by a superintendent of public instruction intervention action taken under section 4 of this act, the school district superintendent shall:

(1) Attend all meetings of the board of directors and cause to have made a record as to the proceedings thereof.

(2) Keep such records and reports and in such form as the district board of directors require or as otherwise required by law or rule or regulation of higher administrative agencies and turn the same over to his or her successor.

(3) Keep accurate and detailed accounts of all receipts and expenditures of school money. At each annual school meeting the superintendent must present his or her record book of board proceedings for public inspection, and shall make a statement of the financial condition of the district and such record book must always be open for public inspection.

(4) Give such notice of all annual or special elections as otherwise required by law; also give notice of the regular and special meetings of the board of directors.

(5) Sign all orders for warrants ordered to be issued by the board of directors.

(6) Carry out all orders of the board of directors made at any regular or special meeting.

Sec. 15. RCW 28A.400.100 and 1977 ex.s. c 272 s 1 are each amended to read as follows:

School districts may employ public school principals and/or vice principals to supervise the operation and management of the school to which they are assigned. Such persons shall hold valid teacher and administrative certificates. In addition to such other duties as shall be prescribed by law and by the job description adopted by the board of directors, unless other duties are prescribed by a superintendent of public instruction intervention action taken under section 4 of this act, each principal shall:

(1) Assume administrative authority, responsibility and instructional leadership, under the supervision of the school district superintendent, and in accordance with the policies of the school district board of directors, for the planning, management, supervision and evaluation of the educational program of the attendance area for which he or she is responsible.

(2) Submit recommendations to the school district superintendent regarding appointment, assignment, promotion, transfer and dismissal of all personnel assigned to the attendance area for which he or she is responsible.

(3) Submit recommendations to the school district superintendent regarding the fiscal needs to maintain and improve the instructional program of the attendance area for which he or she is responsible.

(4) Assume administrative authority and responsibility for the supervision, counseling and discipline of pupils in the attendance area for which he or she is responsible.

Sec. 16. RCW 28A.400.300 and 1997 c 13 s 10 are each amended to read as follows:

Every board of directors, unless otherwise specially provided by law or by a superintendent of public instruction intervention action taken under section 4 of this act, shall:

(1) Employ for not more than one year, and for sufficient cause discharge, all certificated and classified employees;

(2) Adopt written policies granting leaves to persons under contracts of employment with the school district(s) in positions requiring either certification or classified qualifications, including but not limited to leaves for attendance at official or private institutes and conferences and sabbatical leaves for employees in positions requiring certification qualification, and leaves for illness, injury, bereavement and, emergencies for both certificated and classified employees, and with such compensation as the board of directors prescribe: PROVIDED, That the board of directors shall adopt written policies granting to such persons annual leave with compensation for illness, injury and emergencies as follows:

(a) For such persons under contract with the school district for a full year, at least ten days;

(b) For such persons under contract with the school district as part time employees, at least that portion of ten days as the total number of days contracted for bears to one hundred eighty days;

(c) For certificated and classified employees, annual leave with compensation for illness, injury, and emergencies shall be granted and accrue at a rate not to exceed twelve days per year; provisions of any contract in force on June 12, 1980, which conflict with requirements of this subsection shall continue in effect until contract expiration; after expiration, any new contract executed between the parties shall be consistent with this subsection;

(d) Compensation for leave for illness or injury actually taken shall be the same as the compensation such person would have received had such person not taken the leave provided in this proviso;

(e) Leave provided in this proviso not taken shall accumulate from year to year up to a maximum of one hundred eighty days for the purposes of RCW 28A.400.210 and 28A.400.220, and for leave purposes up to a maximum of the number of contract days agreed to in a given contract, but not greater than one year. Such accumulated time may be taken at any time during the school year or up to twelve days per year may be used for the purpose of payments for unused sick leave.

(f) Sick leave heretofore accumulated under section 1, chapter 195, Laws of 1959 (former RCW 28.58.430) and sick leave accumulated under administrative practice of school districts prior to the effective date of section 1, chapter 195, Laws of 1959 (former RCW 28.58.430) is hereby declared valid, and shall be added to leave for illness or injury accumulated under this proviso;

(g) Any leave for injury or illness accumulated up to a maximum of forty-five days shall be creditable as service rendered for the purpose of determining the time at which an employee is eligible to retire, if such leave is taken it may not be compensated under the provisions of RCW 28A.400.210 and 28A.310.490;

(h) Accumulated leave under this proviso shall be transferred to and from one district to another, the office of superintendent of public instruction and offices of educational service district superintendents and boards, to and from such districts and such offices;

(i) Leave accumulated by a person in a district prior to leaving said district may, under rules and regulations of the board, be granted to such person when the person returns to the employment of the district.

When any certificated or classified employee leaves one school district within the state and commences employment with another school district within the state, the employee shall retain the same seniority, leave benefits and other benefits that the employee had in his or her previous position: PROVIDED, That classified employees who transfer between districts after July 28, 1985, shall not retain any seniority rights other than longevity when leaving one school district and beginning employment with another. If the school district to which the person transfers has a different system for computing seniority, leave benefits, and other benefits, then the employee shall be granted the same seniority, leave benefits and other benefits as a person in that district who has similar occupational status and total years of service.

Sec. 17. RCW 28A.405.210 and 1996 c 201 s 1 are each amended to read as follows:

(1)(a) Except as provided by a superintendent of public instruction intervention action taken under section 4 of this act, no teacher, principal, supervisor, superintendent, or other certificated employee, holding a position as such with a school district, hereinafter referred to as "employee", shall be employed:

(i) Except by written order of a majority of the directors of the district at a regular or special meeting thereof((, nor)); and

(ii) Unless he or she is the holder of an effective teacher's certificate or other certificate required by law or the state board of education for the position for which the employee is employed.

(b) No employee may be employed at a school in superintendent of public instruction intervention unless his or her employment with the school district is consistent with determinations made by the superintendent of public instruction under section 4 of this act.

(c) The board shall make with each employee employed by it a written contract, which shall be in conformity with the laws of this state, and except as otherwise provided by law or by a superintendent of public instruction intervention action taken under section 4 of this act, limited to a term of not more than one year. Every such contract shall be made in duplicate, one copy to be retained by the school district superintendent or secretary and one copy to be delivered to the employee. No contract shall be offered by any board for the employment of any employee who has previously signed an employment contract for that same term in another school district of the state of Washington unless such employee shall have been released from his or her obligations under such previous contract by the board of directors of the school district to which he or she was obligated.

(d) Any contract signed in violation of this ((provision shall be)) subsection (1) is void.

(2) In the event it is determined that there is probable cause or causes that the employment contract of an employee should not be renewed by the district for the next ensuing term such employee shall be notified in writing on or before May 15th preceding the commencement of such term of that determination, or if the omnibus appropriations act has not passed the legislature by May 15th, then notification shall be no later than June 1st, which notification shall specify the cause or causes for nonrenewal of contract. Such determination of probable cause for certificated employees, other than the superintendent, shall be made by the superintendent, or with respect to employment at a school in superintendent of public instruction intervention, as provided by the superintendent of public instruction intervention action taken under section 4 of this act. Such notice shall be served upon the employee personally, or by certified or registered mail, or by leaving a copy of the notice at the house of his or her usual abode with some person of suitable age and discretion then resident therein. Every such employee so notified, except those employees subject to subsection (3) of this section, at his or her request made in writing and filed with the president, chair, or secretary of the board of directors of the district within ten days after receiving such notice, shall be granted opportunity for hearing pursuant to RCW 28A.405.310 to determine whether there is sufficient cause or causes for nonrenewal of contract: PROVIDED, That any employee receiving notice of nonrenewal of contract due to an enrollment decline or loss of revenue may, in his or her request for a hearing, stipulate that initiation of the arrangements for a hearing officer as provided for by RCW 28A.405.310(4) shall occur within ten days following July 15 rather than the day that the employee submits the request for a hearing. If any such notification or opportunity for hearing is not timely given, the employee entitled thereto shall be conclusively presumed to have been reemployed by the district for the next ensuing term upon contractual terms identical with those which would have prevailed if his or her employment had actually been renewed by the board of directors for such ensuing term.

(3) An employee at a school in superintendent of public instruction intervention who is notified under this section, at his or her request made in writing and filed with the district superintendent within ten days after receiving the notice, shall be given the opportunity to meet informally with the district superintendent for the purpose of requesting the district superintendent to recommend that the nonrenewal decision be reconsidered. Such meeting shall be held no later than ten days following the receipt of such request, and the employee shall be given at least three days' written notice of the date, time, and place of the meeting. At such meeting the employee shall be given the opportunity to refute any facts upon which the determination was based and to make any argument in support of his or her request for reconsideration. Within ten days following the meeting with the employee, the district superintendent shall submit a written recommendation to the superintendent of public instruction stating the reasons for the recommendation. A copy of the recommendation shall be delivered to the employee. In taking action on the recommendation of the district superintendent, the superintendent of public instruction shall consider any evaluations conducted under RCW 28A.405.100 and may consider any written communication that the employee may file with the secretary of the board before meeting with the district superintendent. The board shall notify the employee in writing of the final decision within ten days after receiving the final decision of the superintendent of public instruction. The decision to nonrenew an employee's contract pursuant to a superintendent of public instruction intervention action taken under section 4 of this act is final and not subject to appeal.

(4) This section shall not be applicable to "provisional employees" as so designated in RCW 28A.405.220; transfer to a subordinate certificated position as that procedure is set forth in RCW 28A.405.230 shall not be construed as a nonrenewal of contract for the purposes of this section.

Sec. 18. RCW 28A.405.220 and 1996 c 201 s 2 are each amended to read as follows:

(1) Notwithstanding the provisions of RCW 28A.405.210, every person employed by a school district in a teaching or other nonsupervisory certificated position shall be subject to nonrenewal of employment contract as provided in this section during the first two years of employment by such district, unless the employee has previously completed at least two years of certificated employment in another school district in the state of Washington, in which case the employee shall be subject to nonrenewal of employment contract pursuant to this section during the first year of employment with the new district. Employees as defined in this section shall hereinafter be referred to as "provisional employees".

(2)(a) In the event the superintendent of the school district, or the superintendent of public instruction under a superintendent of public instruction intervention action taken under section 4 of this act, determines that the employment contract of any provisional employee should not be renewed by the district for the next ensuing term such provisional employee shall be notified thereof by the superintendent of the school district in writing on or before May 15th preceding the commencement of such school term, or if the omnibus appropriations act has not passed the legislature by May 15th, then notification shall be no later than June 1st, which notification shall state the reason or reasons for such determination. Such notice shall be served upon the provisional employee personally, or by certified or registered mail, or by leaving a copy of the notice at the place of his or her usual abode with some person of suitable age and discretion then resident therein. ((The)) A determination ((of)) by the superintendent of the school district shall be subject to the evaluation requirements of RCW 28A.405.100. A determination by the superintendent of public instruction shall be made pursuant to a superintendent of public instruction action taken under section 4 of this act.

(b) Every such provisional employee so notified, at his or her request made in writing and filed with the superintendent of the district within ten days after receiving such notice, shall be given the opportunity to meet informally with the superintendent for the purpose of requesting the superintendent to reconsider his or her decision or, if the determination was made pursuant to a superintendent of public instruction intervention action taken under section 4 of this act, to consider recommending to the superintendent of public instruction reinstatement of the provisional employee. Such meeting shall be held no later than ten days following the receipt of such request, and the provisional employee shall be given written notice of the date, time and place of meeting at least three days prior thereto. At such meeting the provisional employee shall be given the opportunity to refute any facts upon which the ((superintendent's)) determination was based and to make any argument in support of his or her request for reconsideration.

(c)(i) Except as provided in (c)(ii) of this subsection, within ten days following the meeting with the provisional employee, the superintendent shall either reinstate the provisional employee or shall submit to the school district board of directors for consideration at its next regular meeting a written report recommending that the employment contract of the provisional employee be nonrenewed and stating the reason or reasons therefor. A copy of such report shall be delivered to the provisional employee at least three days prior to the scheduled meeting of the board of directors. In taking action upon the recommendation of the superintendent, the board of directors shall consider any written communication which the provisional employee may file with the secretary of the board at any time prior to that meeting.

(ii) If the provisional employee is employed at a school in superintendent of public instruction intervention, within ten days following the meeting with the employee, the superintendent shall submit a written recommendation to the superintendent of public instruction stating the reasons for the recommendation. A copy of the recommendation shall be delivered to the employee.

(d) The board of directors shall notify the provisional employee in writing of ((its)) the final decision within ten days following the meeting at which the superintendent's recommendation was considered or within ten days after receiving the final decision of the superintendent of public instruction, as applicable. The decision ((of the board of directors)) to nonrenew the contract of a provisional employee under this section shall be final and not subject to appeal.

(3) This section applies to any person employed by a school district in a teaching or other nonsupervisory certificated position after June 25, 1976. This section provides the exclusive means for nonrenewing the employment contract of a provisional employee and no other provision of law shall be applicable thereto, including, without limitation, RCW 28A.405.210 and chapter 28A.645 RCW.

Sec. 19. RCW 28A.405.230 and 1996 c 201 s 3 are each amended to read as follows:

(1) Any certificated employee of a school district employed as an assistant superintendent, director, principal, assistant principal, coordinator, or in any other supervisory or administrative position, hereinafter in this section referred to as "administrator", shall be subject to transfer, at the expiration of the term of his or her employment contract or at any time pursuant to a superintendent of public instruction intervention action taken under section 4 of this act or an action taken as part of a school improvement plan under section 3 of this act, if the contract took effect after September 1, 2001, to any subordinate certificated position within the school district. "Subordinate certificated position" as used in this section, shall mean any administrative or nonadministrative certificated position for which the annual compensation is less than the position currently held by the administrator.

(2)(a) Every school district superintendent determining that the best interests of the school district would be served by transferring any administrator to a subordinate certificated position shall notify that administrator in writing on or before May 15th preceding the commencement of such school term of that determination, or if the omnibus appropriations act has not passed the legislature by May 15th, then notification shall be no later than June 1st((, which)). Notice given pursuant to a superintendent of public instruction intervention action taken under section 4 of this act or a school improvement plan under section 3 of this act may be given at any time. Notification given under this subsection shall state the reason or reasons for the transfer, and shall identify the subordinate certificated position to which the administrator will be transferred. Such notice shall be served upon the administrator personally, or by certified or registered mail, or by leaving a copy of the notice at the place of his or her usual abode with some person of suitable age and discretion then resident therein.

(b) Every such administrator so notified, at his or her request made in writing and filed with the president or chair, or secretary of the board of directors of the district within ten days after receiving such notice, shall be given the opportunity to meet informally with the board of directors in an executive session thereof or with the superintendent of public instruction, if notice is given pursuant to a superintendent of public instruction intervention action taken under section 4 of this act, for the purpose of requesting ((the board to reconsider)) reconsideration of the decision ((of the superintendent. Such board,)). Upon receipt of such request, the board of directors shall schedule the meeting for no later than the next regularly scheduled meeting of the board((, and shall notify the administrator)) or, if applicable, the superintendent of public instruction shall schedule a meeting as soon as practicable and the administrator shall be notified in writing of the date, time, and place of the meeting at least three days prior thereto. At such meeting the administrator shall be given the opportunity to refute any facts upon which the determination was based and to make any argument in support of his or her request for reconsideration. The administrator and the board or the superintendent of public instruction, as applicable, may invite their respective legal counsel to be present and to participate at the meeting. The board shall notify the administrator in writing of ((its)) the final decision within ten days following ((its)) the meeting with the administrator. No appeal to the courts shall lie from the final decision ((of the board of directors)) under this section to transfer an administrator to a subordinate certificated position((: PROVIDED, That)). However, in the case of principals not employed in a school subject to superintendent of public instruction intervention under section 4 of this act or state assistance under section 3 of this act, such transfer shall be made at the expiration of the contract year and only during the first three consecutive school years of employment as a principal by a school district; except that if any such principal not employed in a school subject to superintendent of public instruction intervention or state assistance under chapter 28A.655 RCW has been previously employed as a principal by another school district in the state of Washington for three or more consecutive school years the provisions of this section shall apply only to the first full school year of such employment. If a principal who is employed at a school receiving superintendent of public instruction intervention or state assistance under chapter 28A.655 RCW is transferred pursuant to a superintendent of public instruction intervention action taken under section 4 of this act or an action taken under a school improvement plan under section 3 of this act, the transfer may occur at any time during the contract year of any year the principal is employed as a principal.

(3) This section applies to any person employed as an administrator by a school district on June 25, 1976 and to all persons so employed at any time thereafter. This section provides the exclusive means for transferring an administrator to a subordinate certificated position ((at the expiration of the term of his or her employment contract)).

Sec. 20. RCW 28A.150.020 and 1969 ex.s. c 223 s 28A.01.060 are each amended to read as follows:

"Common schools" means schools maintained at public expense in each school district, or under alternative arrangements for public governance or administration under a superintendent of public instruction intervention action under section 4 of this act, and carrying on a program from kindergarten through the twelfth grade or any part thereof including vocational educational courses otherwise permitted by law.

Sec. 21. RCW 28A.320.010 and 1969 ex.s. c 223 s 28A.58.010 are each amended to read as follows:

A school district shall constitute a body corporate and, except as provided by a superintendent of public instruction intervention action under section 4 of this act, shall possess all the usual powers of a public corporation, and in that name and style may sue and be sued and transact all business necessary for maintaining school and protecting the rights of the district, and enter into such obligations as are authorized therefor by law.

Sec. 22. RCW 28A.320.015 and 1992 c 141 s 301 are each amended to read as follows:

(1) Except as provided by a superintendent of public instruction intervention action taken under section 4 of this act, the board of directors of each school district may exercise the following:

(a) The broad discretionary power to determine and adopt written policies not in conflict with other law that provide for the development and implementation of programs, activities, services, or practices that the board determines will:

(i) Promote the education of kindergarten through twelfth grade students in the public schools; or

(ii) Promote the effective, efficient, or safe management and operation of the school district;

(2) Before adopting a policy under subsection (1)(a) of this section, the school district board of directors shall comply with the notice requirements of the open public meetings act, chapter 42.30 RCW, and shall in addition include in that notice a statement that sets forth or reasonably describes the proposed policy. The board of directors shall provide a reasonable opportunity for public written and oral comment and consideration of the comment by the board of directors.

Sec. 23. RCW 28A.320.035 and 1997 c 267 s 1 are each amended to read as follows:

(1) The board of directors of a school district may contract with other school districts, educational service districts, public or private organizations, agencies, schools, or individuals to implement the board's powers and duties, however the contracts must be consistent with a superintendent of public instruction intervention action taken under section 4 of this act. The board of directors of a school district may contract for goods and services, including but not limited to contracts for goods and services as specifically authorized in statute or rule, as well as other educational, instructional, and specialized services. When a school district board of directors contracts for educational, instructional, or specialized services, the purpose of the contract must be to improve student learning or achievement.

(2) A contract under subsection (1) of this section may not be made with a religious or sectarian organization or school where the contract would violate the state or federal Constitution.

Sec. 24. RCW 28A.315.005 and 1999 c 315 s 1 are each amended to read as follows:

(1) Under the constitutional framework and the laws of the state of Washington, the governance structure for the state's public common school system is comprised of the following bodies: The legislature, the governor, the superintendent of public instruction, the state board of education, the academic achievement and accountability commission, the educational service district boards of directors, and local school district boards of directors. The respective policy and administrative roles of each body are determined by the state Constitution and statutes.

(2) Local school districts are political subdivisions of the state and the organization of such districts, including the powers, duties, and boundaries thereof, may be altered or abolished by laws of the state of Washington.

Sec. 25. RCW 28A.315.015 and 1999 c 315 s 101 are each amended to read as follows:

(a) Incorporate into a single, comprehensive, school district organization law all essential provisions governing:

(iii) The adjustment of the assets and liabilities of school districts when changes are made under this chapter; and

(b) Establish methods and procedures whereby changes in the school district system may be brought about by the people concerned and affected.

(2) It is the state's policy that decisions on proposed changes in school district organization should be made, whenever possible by negotiated agreement between the affected school districts. If the districts cannot agree, the decision shall be made by the regional committees on school district organization, based on the committees' best judgment, taking into consideration the following factors and factors under RCW 28A.315.205:

(a) A balance of local petition requests and the needs of the statewide community at large in a manner that advances the best interest of public education in the affected school districts and communities, the educational service district, and the state;

(b) Responsibly serving all of the affected citizens and students by contributing to logical service boundaries and recognizing a changing economic pattern within the educational service districts of the state;

(c) Enhancing the educational opportunities of pupils in the territory by reducing existing disparities among the affected school districts' ability to provide operating and capital funds through an equitable adjustment of the assets and liabilities of the affected districts;

(d) Promoting a wiser use of public funds through improvement in the school district system of the educational service districts and the state; and

(e) Other criteria or considerations as may be established in rule by the state board of education.

(3) It is neither the intent nor purpose of this chapter to apply to organizational changes and the procedure therefor relating to capital fund aid by nonhigh school districts as provided for in chapter 28A.540 RCW.

(4) This chapter is not intended to apply a superintendent of public instruction intervention action taken under section 4 of this act.

Sec. 26. RCW 28A.315.025 and 1990 c 33 s 293 are each amended to read as follows:

(1) "Change in the organization and extent of school districts" means the formation and establishment of new school districts, the dissolution of existing school districts, the alteration of the boundaries of existing school districts, or all of them. "Change" does not include any change made pursuant to a superintendent of public instruction intervention action taken under section 4 of this act.

(2) "Regional committee" means the regional committee on school district organization created by this chapter.

(4) "School district" means the territory under the jurisdiction of a single governing board designated and referred to as the board of directors.

(5) "Educational service district superintendent" means the educational service district superintendent as provided for in RCW 28A.310.170 or his or her designee.

Sec. 27. RCW 28A.225.210 and 1990 c 33 s 235 are each amended to read as follows:

Every school district shall admit on a tuition free basis all persons of school age who reside within this state, and do not reside within another school district carrying the grades for which they are eligible to enroll: PROVIDED, That nothing in this section shall be construed as affecting RCW 28A.225.220 ((or)), 28A.225.250, or section 4 of this act.

Sec. 28. RCW 28A.400.200 and 1997 c 141 s 2 are each amended to read as follows:

(1) Every school district board of directors shall fix, alter, allow, and order paid salaries and compensation for all district employees in conformance with this section.

(2)(a) Salaries for certificated instructional staff shall not be less than the salary provided in the appropriations act in the statewide salary allocation schedule for an employee with a baccalaureate degree and zero years of service; and

(b) Salaries for certificated instructional staff with a masters degree shall not be less than the salary provided in the appropriations act in the statewide salary allocation schedule for an employee with a masters degree and zero years of service;

(3)(a) The actual average salary paid to basic education and special education certificated instructional staff shall not exceed the district's average basic education and special education program certificated instructional staff salary used for the state basic education allocations for that school year as determined pursuant to RCW 28A.150.410.

(b) Fringe benefit contributions for basic education and special education certificated instructional staff shall be included as salary under (a) of this subsection only to the extent that the district's actual average benefit contribution exceeds the amount of the insurance benefits allocation provided per certificated instructional staff unit in the state operating appropriations act in effect at the time the compensation is payable. For purposes of this section, fringe benefits shall not include payment for unused leave for illness or injury under RCW 28A.400.210; employer contributions for old age survivors insurance, workers' compensation, unemployment compensation, and retirement benefits under the Washington state retirement system; or employer contributions for health benefits in excess of the insurance benefits allocation provided per certificated instructional staff unit in the state operating appropriations act in effect at the time the compensation is payable. A school district may not use state funds to provide employer contributions for such excess health benefits.

(c) Salary and benefits for certificated instructional staff in programs other than basic education and special education shall be consistent with the salary and benefits paid to certificated instructional staff in the basic education and special education programs.

(4) Salaries and benefits for certificated instructional staff may exceed the limitations in subsection (3) of this section only by separate contract for additional time, additional responsibilities, or incentives, or for the recruitment and retention of certificated employees in schools under state assistance under section 3 of this act or superintendent of public instruction intervention under section 4 of this act. Supplemental contracts shall not cause the state to incur any present or future funding obligation. Supplemental contracts shall be subject to the collective bargaining provisions of chapter 41.59 RCW and the provisions of RCW 28A.405.240, shall not exceed one year, and if not renewed shall not constitute adverse change in accordance with RCW 28A.405.300 through 28A.405.380. No district may enter into a supplemental contract under this subsection for the provision of services which are a part of the basic education program required by Article IX, section 3 of the state Constitution.

(5) Employee benefit plans offered by any district shall comply with RCW 28A.400.350 and 28A.400.275 and 28A.400.280.

NEW SECTION. Sec. 29. RCW 28A.655.035 (Accountability policies--Recommendations) and 1999 c 388 s 103 are each repealed.

NEW SECTION. Sec. 30. RCW 28A.655.050 (Reading goals--Mathematics goals) and 1999 c 388 s 201 & 1998 c 319 s 101 are each repealed.

NEW SECTION. Sec. 31. CAPTIONS NOT LAW. Captions used in this act are not any part of the law.

NEW SECTION. Sec. 32. 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. 33. Sections 2 through 4 of this act are each added to chapter 28A.655 RCW."

Representatives Talcott, Haigh, Anderson, Keiser, and Talcott (again) spoke in favor of adoption of the amendment.

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

Representatives Talcott, Schual-Berke, Schindler, Schindler, Quall, Armstrong, Miloscia, Clements and Santos spoke in favor of passage of the bill.

The Speaker (Representative Pennington presiding) stated the question before the House to be the final passage of Engrossed Second Substitute Senate Bill No. 5625 as amended by the House.

The Clerk called the roll on the final passage of Engrossed Second Substitute Senate Bill No. 5625 as amended by the House and the bill passed the House by the following vote: Yeas - 89, Nays - 2, Absent - 0, Excused - 7.

Voting yea: Representatives Ahern, Alexander, Anderson, Armstrong, Ballasiotes, Barlean, Benson, Berkey, Boldt, Buck, Bush, Cairnes, Campbell, Carrell, Casada, B. Chandler, G. Chandler, Clements, Cody, Cox, Darneille, Delvin, Dickerson, Doumit, Dunn, Dunshee, Edmonds, Ericksen, Esser, Fisher, Fromhold, Gombosky, Grant, Haigh, Hankins, Hatfield, Hunt, Hurst, Jackley, Jarrett, Kagi, Keiser, Kessler, Kirby, Lantz, Linville, Lisk, Lovick, Marine, Mastin, McDermott, McIntire, McMorris, Mielke, Miloscia, Mitchell, Morell, Morris, Mulliken, Murray, O'Brien, Ogden, Pearson, Pennington, Pflug, Quall, Reardon, Roach, Rockefeller, Romero, Ruderman, Santos, Schindler, Schmidt, Schoesler, Schual-Berke, Sehlin, Simpson, Skinner, Sommers, Sump, Talcott, Tokuda, Van Luven, Veloria, Wood, Woods, Speaker Ballard and Speaker Chopp - 89.

Excused: Representatives Crouse, DeBolt, Edwards, Eickmeyer, Kenney, Lambert, and Poulsen - 7.

Engrossed Second Substitute Senate Bill No. 5625 as amended by the House, having received the necessary constitutional majority, was declared passed.

There being no objection, the Rules Committee was relieved of further consideration on Substitute Senate Bill No. 5533, and the bill was placed on the Second Reading calendar.

There being no objection, the committee amendment by the Committee on Agriculture & Ecology was adopted. (For committee amendment, see Journal, 82^nd Day, March 30, 2001.)

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

Representatives G. Chandler, Cooper, Marine, and Linville spoke in favor of passage of the bill.

Speaker Ballard stated the question before the House to be the final passage of Substitute Senate Bill No. 5533 as amended by the House.

The Clerk called the roll on the final passage of Substitute Senate Bill No. 5533 as amended by the House and the bill passed the House by the following vote: Yeas - 88, Nays - 4, Absent - 0, Excused - 6.

Voting yea: Representatives Ahern, Alexander, Anderson, Armstrong, Ballasiotes, Barlean, Benson, Berkey, Boldt, Buck, Bush, Cairnes, Campbell, Carrell, Casada, G. Chandler, Clements, Cody, Conway, Cooper, Darneille, Delvin, Dickerson, Doumit, Dunn, Dunshee, Edmonds, Ericksen, Esser, Fisher, Fromhold, Gombosky, Grant, Haigh, Hankins, Hatfield, Hunt, Hurst, Jackley, Jarrett, Kagi, Keiser, Kessler, Kirby, Lantz, Linville, Lovick, Marine, Mastin, McDermott, McIntire, McMorris, Mielke, Miloscia, Mitchell, Morell, Morris, Mulliken, Murray, O'Brien, Ogden, Pearson, Pennington, Pflug, Poulsen, Quall, Reardon, Roach, Rockefeller, Romero, Ruderman, Santos, Schindler, Schmidt, Schual-Berke, Sehlin, Simpson, Skinner, Sommers, Sump, Talcott, Tokuda, Van Luven, Veloria, Wood, Woods, Speaker Ballard, and Speaker Chopp - 88.

Excused: Representatives Crouse, DeBolt, Edwards, Eickmeyer, Kenney, and Lambert - 6.

Substitute Senate Bill No. 5533 as amended by the House, having received the necessary constitutional majority, was declared passed.

The Senate has passed ENGROSSED HOUSE BILL NO. 1015, with the following amendment:

There being no objection, the House concurred in the Senate amendment to Engrossed House Bill No. 1015.

Speaker Ballard stated the question before the House to be the final passage of Engrossed House Bill No. 1015 as amended by the Senate.

The Clerk called the roll on the final passage of Engrossed House Bill No. 1015 as amended by the Senate and the bill passed the House by the following vote: Yeas - 92, Nays - 0, Absent - 0, Excused - 6.

Voting yea: Representatives Ahern, Alexander, Anderson, Armstrong, Ballasiotes, Barlean, Benson, Berkey, Boldt, Buck, Bush, Cairnes, Campbell, Carrell, Casada, B. Chandler, G. Chandler, Clements, Cody, Conway, Cooper, Cox, Darneille, Delvin, Dickerson, Doumit, Dunn, Dunshee, Edmonds, Ericksen, Esser, Fisher, Fromhold, Gombosky, Grant, Haigh, Hankins, Hatfield, Hunt, Hurst, Jackley, Jarrett, Kagi, Keiser, Kessler, Kirby, Lantz, Linville, Lisk, Lovick, Marine, Mastin, McDermott, McIntire, McMorris, Mielke, Miloscia, Mitchell, Morell, Morris, Mulliken, Murray, O'Brien, Ogden, Pearson, Pennington, Pflug, Poulsen, Quall, Reardon, Roach, Rockefeller, Romero, Ruderman, Santos, Schindler, Schmidt, Schoesler, Schual-Berke, Sehlin, Simpson, Skinner, Sommers, Sump, Talcott, Tokuda, Van Luven, Veloria, Wood, Woods, Speaker Ballard, and Speaker Chopp - 92.

Excused: Representatives Crouse, DeBolt, Edwards, Eickmeyer, Kenney, and Lambert - 6.

Engrossed House Bill No. 1015 as amended by the Senate having received the necessary constitutional majority, was declared passed.

There being no objection, the House adjourned until 10:00 a.m., April 21, 2001, the 104^th Legislative Day.