WSAC Legislative Bulletin - January 25, 2010

The House Finance Committee held a public hearing January 19^th on the three key fiscal health bills HB 2650,HB 2749, andHB 2773. Two panels of county and city elected officials shared with the committee the need for fiscal flexibility and revenue diversification. The first panel included: King County Executive Constantine, Kent Mayor Cooke and Sammamish Mayor Gerend. The second panel included: Pierce County Executive McCarthy, Seattle Councilmember Bagshaw, Tacoma Councilmember Fey and Skamania County Sheriff Brown. A big round of thanks to these elected officials for their participation with the hearing.

Each of these bills has something important for counties and cities to exercise fiscal home rule. It will be very difficult to keep each and every piece of these bills alive through the process. For counties, it will be difficult to keep the utility tax authority; it is important for you to contact your legislators and ask them to support the fiscal health bills with a utility tax provision for all counties. They need to let the House Finance chair know how important the bills are to them. In the meantime, both WSAC and AWC staff are meeting with the House, the Senate and the Governor's office to negotiate a final set of bills.

WSAC's Legislative Steering Committee

LSC will meet Thursday January 28th from 8am-Noon at the Washington Association of Public Utilities Building (WPUDA) in Olympia. Please check WSAC's website for more information.

For the Latest WSAC & Legislative Session Information Visit: WSAC's Legisaltive & Policy Center

Budget, Finance and Taxes

House and Senate Each Pass Budget Implementation Bills
Both the House and the Senate are beginning to pass bills to make changes to the biennial budget. The House passed over to the Senate the "early action savings" bill, the first budget bill of the session and the first small step to bridging a $2.6 billion shortfall.

The bill makes $46.7 million in savings and extends numerous cost-saving measures approved by the Legislature last session.

The savings include:

$18.6 million in administrative savings such as not hiring for vacant positions and reducing contract, travel and equipment spending.
$9.4 million in efficiency savings such as consolidating printing functions in DSHS and expediting nursing home discharges.
$10 million in service reductions to programs such as the Passport foster care program or Special Commitment Center services.
$8.7 million in underexpenditures/federal funds including money unspent in the Office of the Superintendent of Public Instruction.

The Senate passed over to the House a pair of bills that would trim $69 million from the state payroll. SB 6382, which would extend the salary freeze for many state employees that was approved last year, passed 29-14.

Additionally, the temporary layoff bill, SB 6503, was approved 27-17. That measure would give legislative, executive and judicial agencies until May 15 to develop plans to cut $69 million from their budgets. Agencies that fail to submit plans would be required to effectively shut down one day a month for 13 months to save payroll costs. The bill does exempt several agencies and key public safety programs from the temporary layoffs.

Community & Economic Development

Concerning Local Revitalization Financing (LRF) (HB 2792)
HB 2792 enables a LRF project to include an existing revenue development area (RDA - a separate authority) if the RDA has received state loans for environmental clean-up purposes (i.e. a brownfield). It will be heard in the House Community and Economic Development and Trade Committee on January 25 at 1:30 pm.

Infrastructure Financing for Local Governments (HB 2985)
The bill expands the current law "LRF" funding authority to include an additional seven projects that met the technical qualifications for this program. Technical clarifications on the use of the authority are also included. Its companion bill, SB 6609 was heard in the Senate earlier this week. The bill will be heard in the House Community and Economic Development and Trade Committee on January 25 at 1:30 pm.

Modifying Sales and Use Tax Provisions for the Local Infrastructure Financing Tool (LIFT) (HB 2933)
Under current law, LIFT recipients cannot receive any tax rebate from the state until they reach the awarded threshold. Some current LIFT recipients will not generate enough revenue to reach the $1M threshold for a few years. HB 2933 allows a LIFT recipient to immediately start receiving a one to one match of the tax rebate. This should enhance an existing LIFT projects' ability to proceed more quickly. It will be heard before the House Finance Committee on January 29 at 1:30 pm.

General Government, Pensions & Labor

Open Government

Last week was a big week for our legislation pertaining to open government. HB 2583/ SB 6368, which incentivizes dispute resolution outside of court setting, was heard by both chambers. In fact, the House State Government and Tribal Affairs Committee already took executive action and passed it out of their committee. SB 6368 has not been scheduled for executive action in the Senate Government Operations and Elections Committee.

It is our hope that HB 2582/SB 6367, which allows government entities to direct requestors to agency website when appropriate, will be passed out of each respective policy committee this week.

Requiring Public Agencies, Special Purpose Districts, and Municipalities to Post Certain Information on Their Web Sites (SB 6685)
SB 6685 requires counties with a website and a population of 20,000 or more to post the following on their websites:

Agendas for regular meetings 72 hours in advance of the meeting, which can be noted as a draft.
Agendas for special or emergency meetings 24 hours in advance of the meeting, which can be noted as a draft.
The text of any ordinance, rule, or resolution being considered at the same time as the meeting agenda is posted.
The minutes of all meetings within 15 days of the meeting.

WSAC has opposed this bill in the past and are asking our clerks if this is different than before and how they would implement it.

The Senate Committee on Government Operations & Elections will hear the bill on Tuesday, January 26 at 1:30 pm.

Restricting Mailings by Local Officials (HB 2851)
HB 2851 prohibits a local official facing re-election from mailing or e-mailing at public expense a letter, newsletter, brochure, or other piece of literature for a twelve month period beginning December 1 before the official's election to November 30. Exceptions include: Two newsletters to constituents (one no later than February 15 and the other no later than April 15); an individual letter to an individual constituent under some circumstances; and legislative updates, until 30 days after the legislative session, from constituents who have requested the updates. This is similar to the restrictions on mailing by state legislators.

The House Local Government & Housing Committee will hear this bill on Monday, January 25 at 1:30 pm.

Increasing the Duty-Related Death Benefit for Public Employees (EHB 1547)
This bill from the 2009 session would increase from $150,000 to $175,000, the lump-sum death benefit that is paid to survivors of state, school district, or higher education employees or members of PERS, LEOFF, TRS, SERS, PSERS, VFFRORPS, or WSPRS who die as a result of injuries sustained in the course of employment. The $175,000 death benefit would be payable from either the member's retirement plan to members of the Washington State Retirement Systems, or from sundry claims if the employee was not covered by one of the state retirement systems.

The bill is scheduled for hearing in the House Ways & Means Committee on January 25 at 3:30 pm.

Providing Access to Catastrophic Disability Medical Insurance Under the LEOFF 2 Plan (EHB 1679)
EHB 1679 would allow LEOFF Plan 2 members that are totally disabled in the line of duty, as well as their spouses and dependent children, to participate in programs of the Public Employees Benefit Board (PEBB). The rates charged to totally disabled LEOFF Plan 2 members and dependents ineligible for Medicare for participation in the PEBB health insurance plans would be based on the risk pool of all actively employed and Medicare-ineligible PEBB members. If eligible for Medicare, the totally disabled LEOFF Plan 2 members or their dependents could participate in the PEBB Medicare supplemental plans, as do other Medicare-eligible PEBB members.

The eligibility to participate in PEBB plans would be a benefit of LEOFF Plan 2, and the Health Care Authority would charge an amount to the LEOFF Plan 2 Retirement Fund sufficient to offset the increased costs of the community risk pool attributable to the participation of the totally disabled members and their dependents. The act would expire July 1, 2011.

The bill is scheduled for hearing in the House Ways & Means Committee on January 25 at 3:30 pm.

Human Services, Health & Housing

Mental Health

There are a number of bills providing different approaches to address issues related to public safety through the Involuntary Treatment Act and in response to temporary leave allowed at Eastern State Hospital this summer. We applaud efforts to respond to tragedies in the community but WSAC staff will monitor to ensure that expanded requirements are supported with resources to enhance public safety without harming important existing programs in the community.

HB 2882 changes the standards related to emergency custody from presenting an "imminent likelihood of harm" to a "substantial likelihood of harm." HB 2932 includes a study of mental health assessments tools and establishes a public safety review panel to advise DSHS on a committed person's legal status, temporary leave from state institutions and movement about the grounds of a treatment facility. A stronger approach is taken in HB 2717, prohibits certain outings for individuals committed to an institution for the determination or restoration of competency to stand trial or following an acquittal by reason of insanity. HB 3076, a bill at the request of Governor, also includes a study of mental health assessment tools. This bill also expands the definition of "likelihood of serious harm."

These bills will be heard in the House Health & Human Services Committee on January 25 at 1:30.

Providing Notice of Release From Involuntary Treatment (SB 6292)
SB 6292 requires a state hospital or evaluation and treatment facility to provide notice of discharge within one day whenever a person who is involuntarily committed for mental health treatment is discharged from the facility.

The Senate committee on Human Services and Corrections will hear the bill on January 26 at 1:30.

Concerning Administration of the Medicaid Program (HB 3048/SB 6710)

Human Services Funding Work Session
Human Services focus continues to be on budget. We have been invited to participate in a work session. to discuss impacts of the Governor's proposed "book one" supplemental budget reductions on Washington's health and human services system. Our panels will focus on the importance of human service funding. Our message to legislators is that funding allows counties to provide services to our citizens in need and to reduce the use of more expensive crisis services and inpatient facilities. The implications from reduced funding are felt in emergency rooms, crisis systems and our local criminal justice system.

The work session is scheduled in the House Appropriations Subcommittee on Health and Human services on Tuesday January 26 at 8:00 a.m.

Public Health Financing (HB 2388 and HB 3120)
HB 2388, related to public health financing, was heard last week before a joint session of the House Finance and House Healthcare and Wellness Committees. This bill would remove the sales and use tax exemption on candy, which is estimated to raise approximately $30 million dollars per year. Many public health partners testified in favor of the bill. There were some very interesting questions to the representatives of candy companies who testified opposed to the bill around the definition of candy. In testimony, WSAC let the committee members know that we appreciate the legislature's continuing commitment to funding important public health functions; that we are supportive of dedicated revenue sources for public health; and at a minimum, we are asking for a state funding level from the legislature this year, equivalent to that of the 09-11 biennial budget.

Representative Santos introduced HB 3120 today that would impose a state tax on bottled water to fund public health services. This bill has not yet been scheduled for a hearing. WSAC staff continue to work with leadership on the numerous revenue proposal and conversations.

Land Use, Resources & Environment

Land Use
Land use continues to be a very active area of interest for the legislature this session. The House Local Government Committee voted down HB 2408 (providing notice to property owners of land use changes) this last week. WSAC had previously testified with concerns on this measure. That committee also heard HB 2383 (international wildland urban interface code) last week. WSAC testified in support of the intent behind the bill, but with concerns over the fact that the bill would require counties to implement a new planning process without providing any additional funding. The companion bill, SB 6545, is being heard in Senate Labor, Commerce & Consumer Protection on Monday (25th) at 10:00. WSAC will similarly testify on the Senate bill.

The bills dealing with restructuring the Growth Management Hearings Boards also saw action last week. The House Local Government and Housing Committee moved HB 2442 out of committee, adopting one of WSAC's requested amendments. Meanwhile, the Senate Government Operations & Elections Committee heard SB 6214, with WSAC testifying in support by recommending amendments.

The Senate Natural Resources, Ocean & Recreation Committee heard SB 6350 which deals with spatial planning for marine waters. WSAC testified in support of the measure, and the bill received general support.

Two bills dealing with timelines for updating comprehensive plans under the Growth Management Act (HB 2916 and HB 2992) are being heard next week in House Local Government and Housing on Thursday (28th) at 10:00. HB 2992 is requested by the Departments of Ecology and Commerce, while WSAC and the Association of Washington Cities are requesting HB 2916 which is a more comprehensive bill.

HB 3005 would clarify the confusion created by the overlap between the Shoreline Management Act and Growth Management Act, as highlighted by the Anacortes decision. WSAC has been working steadily with interested parties on this issue, and is supporting the bill.

The Governor is seeking approval of legislation that would restructure the Environmental Hearings Office (HB 2935, and SB 6422). These bills would also move the administrative functions of the Growth Management Hearings Boards in the Environmental Hearings Office. SB 6422 is being heard in Senate Government Operations & Elections on Thursday (28th) at 3:30.

WSAC is concerned about a bill that would exempt housing authorities from laws governing the construction, alteration, repair, or improvement of property (SB 6327). This measure is being heard in Senate Financial Instututions, Housing & Insurance on Tuesday (26th) at 10:00).

HB 2740 (relating to the definition of a land use decision in the Land Use Petition Act) was heard last week in House Local Government & Housing, and largely received positive comments.

Two bills that would extend the process for stakeholders negotiating the application of critical area ordinances to agricultural lands (being mediated by the Ruckelshaus Center) are being heard on Monday (25th) of this week. SB 6520 is up in the Senate Agriculture and Rural Economic Development Committee at 10:00 and HB 2891 is being heard in the House Local Government & Housing Committee at 1:30.

Natural Resources & Water

Several water bills of interest have been heard this year (reported on last week), but have not moved from committee yet. This week the Senate will hear two more water bills of interest. SB 6402 deals with the consolidation of permit exempt wells, and SB 6536 relates to when Ecology may withdraw waters from additional appropriation. These will be heard in the Senate Environment & Water Committee on Wednesday (27th) at 3:30.

The bill that modernizes the definitions for membership on the Board of Natural Resources (HB 2503) moved out of the House Agriculture & Natural Resources Committee.

The Senate Natural Resources, Ocean & Recreation Committee is hearing SB 6481 (clarifying which local governments have jurisdiction over conversion-related forest practices) on Monday (25th) at 1:30.

SB 6554, which would extend the Washington Biodiversity Council is being heard in Senate Natural Resources, Ocean & Recreation on Wednesday (27th) at 8:00.

At WSAC's request, legislation has been introduced that would clarify language relating to forest practices applications that are leading to conversion of that land to non-forestry uses. The bill numbers are SB 6641 and HB 3009. The Senate Natural Resources, Ocean & Recreation Committee is hearing SB 6641 on Wednesday (27th) at 8:00.

Public Safety

Failure to Pay/Failure to Appear (SB 6490)

Driving with a License Suspended in the Third Degree (DWLS3) is a misdemeanor. A person commits DWLS3 by driving a motor vehicle when his/her driver's license is suspended or revoked because of:

Failure to respond to a notice of traffic infraction;
Failure to appear at a requested hearing;
Violation of a written promise to appear in court; or
Failure to comply with the terms of a notice of traffic infraction or citation.

Senate Bill 6490 removes the Department of Licensing's authority to suspend a license for these reasons, effectively decriminalizing DWLS3.

In Washington, there are approximately 102,000 cases of DWLS3 filed annually, and approximately 45,000 convictions for this offense. These cases currently represent one third of the cases in courts of limited jurisdiction and filings are on the rise.

This Bill is supported by the WSAC LSC.

Wrongful Injury or Death (SB 6508)
This bill would substantially expand the scope of liability in wrongful injury or death causes of action by expanding the number of people who may file a cause of action in a wrongful death case, and the damages for which they could seek redress. SB 6508 would expand liability by including a wrongful injury or death cause of action for parents of an adult child when the parents are dependent on the child for financial support or have had significant involvement in the adult child's life.

In addition, the scope of damages that could be recovered would be expanded to include non-economic damages. Non-economic damages would be recoverable by the personal representative on behalf of the estate for loss of enjoyment of life and shortened life expectancy, in addition to emotional distress and pain and suffering on behalf of the victim. In 2008 each house passed a version of this bill, but failed to agree on a compromise version in the last hours of the 2008 session.

WSAC is extremely concerned about the bill's fiscal impact and will be working in collaboration with local government representatives to actively oppose this bill and limit its scope.

SB 6508 is scheduled for a hearing in the Senate Government Operations & Elections Committee on Tuesday, January 26 at 1:30 pm.

Providing Education Programs for Juveniles in Adult Jails (HB 3029)
This bill was introduced last week and scheduled for a hearing on Monday. It is OSPI request legislation that arose from a settled lawsuit involving Juveniles incarcerated in the Pierce County Jail. Although WSAC is supportive of the concept, the bill appears to be rather onerous for jails to implement and could drive significant cost to local government. The Washington Association of Sheriffs and Police Chief has circulated the bill to jail administrators for comment.

It is scheduled for public hearing in the House Committee on Education at 8:00 AM on Friday.

Use of Restraints (SB 6500)
Senate Bill 6500 is being heard by the Senate Committee on Human Services & Corrections on Tuesday. This is the companion to HB 2747, it would prohibit the use of restraints on incarcerated pregnant women, expect under extraordinary circumstances. WSAC has concerns that the current bill might not be flexible enough to help ensure the safety of the individual, the community, and staff. WSAC is working with the Sponsor and the Committee Chair to address our concerns.

Requiring Law Enforcement Officers to be Honest and Truthful (SB 6590)
Amends state law to include an "explicit, well-defined, and dominant public policy" that law enforcement officers should be honest and truthful by clarifying that an arbitrator shall not overturn the decision of an employer to terminate a law enforcement officer for engaging in an act or acts of dishonesty or untruthfulness unless the arbitrator finds that the law enforcement officer was not dishonest nor untruthful.

This legislation is in response to a Washington State Supreme Court case involving a Kitsap County Sheriff's Deputy.

This bill is scheduled for public hearing in the Senate Committee on Judiciary at 10:00 AM on Tuesday.

Transportation & Public Works

WSACE Legislative Update: January 25, 2010

SB 6209 passed out of the Senate Transportation committee this week and it allows counties to use the county road levy for park and ride lots. The bill has been requested by Snohomish County and is on the WSAC legislative agenda. Snohomish County sought an amendment to include commute trip reduction programs in order to avoid significant capital construction programs and it was not accepted by the chair.

SB 6207 passed out of the Senate Transportation committee and it authorizes the legislative authority of a city or county to create a golf cart zone surrounding a golf course to permit the incidental operation of golf carts upon a street or highway of this state having a speed limit of twenty-five miles per hour or less.

Transportation Benefit Districts (SHB 1591)
The passed out of the House Transportation Committee on a 15-13 vote. The Transportation Benefit District (TBD) authority was modified in 2007 to allow a councilmanic $20 vehicle license fee, eight cities formed TBDs throughout the state, either imposing the $20 vehicle license fee or the sales tax of up to 0.2%.

While working through the TBD implementation process, technical clarifications and the request to enhance the sales tax component of a TBD emerged. SHB 1591 captures these requests and has the following components:

Clarifies county and city project and program eligibility.
Enables impact fees to be applied to a project not owned by a TBD (i.e. a local TBD partnering on a state facility).
Allows voters to extend the sales tax authority beyond ten years if it is for bonding purposes. Under current law, TBDs allow for a voter approved sales tax that sunsets after ten years.

Both Spokane and King County are seeking additional changes to the TBD authority. Spokane is interested in adding the ability to create a regional board, including cities, to govern the TBD. They will be seeking this change in a separate bill. King County created a TBD for the unincorporated area of the county and they are seeking clarification of who can sit on the board and represent the TBD area.

Permits for Certain Major Transportation Corridor Projects (SB 6366)
This bill redefines permit criteria for state highway projects with a cost greater than $1 Billion. It changes criteria for appeals of critical area permits, local permit requirements for temporary buildings that are affiliated with the mega project, and enables a state project to proceed more quickly. Most testimony was opposed to this legislation.

Requiring Project Improvements, Including Public Transportation Infrastructure Improvements, to be Credited Against the Imposition of Impact Fees (SB 5548)

During the hearing on this bill, Senator Haugen, Senate Transportation Committee Chair, made it very clear that the clock is running and expects compromise, or new language on this bill soon. WSAC, individual counties and cities are continuing to work with the Master Builders in an effort to seek compromise language.

Modifying Statewide Transportation System Policy Goals (SB 6577)
This bill will be heard in the Senate Transportation Committee on January 26 at 3:30 pm. It requires the state's transportation policy goals to include economic vitality.

Providing Financing Options for the Operations and Capital Needs of Transit Agencies (HB 2855)
HB 2855 authorizes a county owned transit, a city owned transit, or a metropolitan or public transportation benefit areas to propose a sales tax, excise tax, employer tax, or rental car tax for transit purposes. By board approval, the respective transit authority would be allowed to impose a $20 vehicle license fee for transit purposes. If a jurisdiction has already imposed a $20 vehicle license fee using the Transportation Benefit District Authority, there are provisions requiring a credit to a vehicle owner (in other words, a no "double dipping" provision).

Two other provisions in the bill are:

Establishment of a statewide plan to guide future investments in public transportation.
Subject to funding, requires the joint transportation committee to propose a statewide blueprint for public transportation services.

This bill will be heard before the House Transportation Committee on January 27 at 3:30 p.m.

Creating an Optional Multiagency Permitting Team (SB 6578)
SB 6578 authorizes the creation of an optional multiagency permitting team, including federal, state, and local agencies. The Office of Regulatory Assistance would coordinate this effort. The first "MAP" team would occur in the Puget Sound Basin. An account is also created (but not funded) for this purpose. This bill will be heard before the Senate Economic Development, Trade, and Innovation Committee on January 28 at 10 am.

Washington State Association of Counties

Eric Johnson

Executive Director

WSAC Policy Staff

Scott Merriman - Deputy Director

Brian Enslow - Policy Director (Public Safety)

Rashi Gupta - Policy Director (Human Services, Health & Housing)

Josh Weiss - Policy Director (WSAC General Counsel and Land Use, Resources & Environment)

Brad Banks - Policy Analyst (Legislative Bulletin, LSC & Website)

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