Statutes Authorizing the Agency to Adopt Rules on this Subject: RCW 41.50.050, 41.50.120, and 41.50.125.

Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: DRS is developing a new automated system which will enable DRS to fully implement RCW 41.50.125. DRS needs to revise these rules to conform to this statute and current accounting standards.

Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: Office of Financial Management (OFM). Draft regulations will be sent to OFM for coordination.

Process for Developing New Rule: Because the department already has existing rules on this subject in place and the amendments are being made only for the purpose of bringing the existing rules into compliance with current accounting principles and standards, the department did not seek input on the preliminary draft prior to filing the CR-101. Copies of the draft rule will be circulated to interested parties for comment. Interested parties include those persons known to the department, such as state employers, and any other person who requests a copy and/or opportunity to comment.

Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting Elyette M. Weinstein, Rules Coordinator, Legal/Legislative Affairs, Department of Retirement Systems, Mailstop 48380, P.O. Box 48380, Olympia, WA 98504-8380, phone (360) 709-4747, FAX (360) 753-3166.

June 16, 1998

Elyette M. Weinstein

Rules Coordinator