“Democracy dies in darkness”
Washington POST
Committee hearings are either temporarily suspended or have small agendas as attention changes focus to floor action. Bills that have made it out of committees now must make it to the floor calendar for possible debate and vote. A reminder that March 8th is the deadline for bills to have cleared their house of origin
As always, and to repeat: Bills that are necessary to implement the budget (NTIB) remain alive beyond any of these deadlines. (Although, what makes a bill NTIB is fairly loosely defined.)
For an outsider looking in, it is extremely frustrating that much of the action that fine tunes/amends bills occur behind closed doors, out of sight of the general public. This is particularly true of the development of the budget, but as one can observe, amendments often crop up on bills the day of their final hearing or on the floor once brought forward for debate. The net effect is that the public often has little time to read and understand any proposed change(s). This is particularly galling when the budget proposal itself is often released in the morning with a same-day public hearing. But this is the system. So be it.
Listed below are bills that appear to be moving or that have made it to the opposite house awaiting committee hearings.
Retirement Related Proposals
To repeat: Previous reports have covered the bills related to addressing the lack of a cost-of-living increase (COLA) for members in TRS/PERS Plans 1. They are: HB 1057/SB 5350, HB 1201/SB 5294, and HB 1459.
There are four bills currently moving that deal with pensions; two sets/companions per chamber, and all four slightly differing.
SB 5350 would grant a one-time, capped 3% COLA for TRS1/PERS1 plan members. It also directs the Select Committee on Pension Policy (SCPP) to recommend a path to regaining a permanent COLA for these retirees.
SB 5294 was amended. The principal change was that as originally proposed, it took the $800 Million last session budgeted to lower the unfunded liability in TRS Plan 1. The amended bill leaves $250 Million toward the liability and transfers the rest to the General Fund. In short, it: Removes the underlying provisions of the bill. • Sets the existing minimum UAAL rates to end after FY 2023. • Sets UAAL rates for FY 2024 through 2027. Establishes a new minimum UAAL rate of 0.5 percent that goes into effect in FY 2028.
HB 1057 would grant a one-time, capped 3% COLA for TRS1/PERS1 plan members. It also directed the SCPP to recommend a path to regaining a permanent COLA for these retirees. Unlike its companion, an adopted amendment froze current rates until 2028.
HB 1201 Eliminates the minimum contribution rates for amortizing the unfunded liabilities in the Teachers’ Retirement System Plan 1 (TRS 1), beginning August 31, 2024, and for the Public Employees’ Retirement System Plan 1 (PERS 1), beginning June 30, 2025. • Fixes the employer contribution rate for the unfunded liabilities in PERS 1 and TRS 1 at zero until 2029, excluding amounts to amortize benefit improvements made after June 30, 2009. • Repeals the scheduled payment of $800 million into the TRS 1 fund scheduled for June 30, 2023.
The Senate Ways and Means Committee and Senate Rules moved SB 5350 and SB 5294. Both are on the floor calendar awaiting action by the full Senate. HB 1057 and HB 1201 have been moved to Rules.
SHB 1007: Concerning interruptive military service credit for members of the state retirement systems.
Comment: Retirement credit can be awarded in any armed conflicts if the participant was awarded the respective campaign or expeditionary badge or medal…. the ‘expeditionary badge’ qualifier was added.
HB 1007 passed the House 97/0 and has moved to the Senate Ways and Means.
HB 1008: Concerning participating in insurance plans and contracts by separated Plan 2 members of certain retirement systems.
Comment: This bill would simply make retiree insurance provisions uniform and equitable for Plan 2 and 3 members.
HB 1008 passed the House 93/0 and has been moved to Senate Ways and Means.
SHB 1056/ SB 5349: Repealing some post-retirement employment restrictions.
Comment: Beginning January 1, 2024, any current or future retiree under the provisions of early retirement may utilize the 32 postretirement employment provisions of RCW 41.32.802(2) for up to 867 hours per year.
SHB 1056 passed the House 93/0 and has moved to Senate Ways and Means. SB 5349 is in Senate Rules. It is likely that HB 1056 will be the bill that is moved; SB 5349 will die.
SSB 5121: Extending the expiration date of the joint select committee on health care oversight.
Comment: The expiration date of this committee is to be extended. Its goal must be to ensure that these multiple health and insurance regulatory agencies are not duplicating their efforts and are working toward a goal of increased quality of services
leading to reduced costs to the health care consumer.
Passed Senate 48/0 and has moved to the House Health Care and Wellness Committee.
SSB 5490: Concerning health care coverage for retired or disabled employees denied coverage for failure to timely notify the authority of their intent to defer coverage.
Comment: A retired or disabled employee who was eligible to defer coverage when they left employment, but failed to do so and later applied for retiree coverage and was denied solely for failure to notify HCA of their plan to defer coverage, and appealed the denial of benefits by December 31, 2022, may enroll in retiree health care. A retired or disabled employee enrolling in benefits may only enroll in a fully-insured Medicare advantage or Medicare supplement plan. A retiree taking advantage of this provision must apply by the end of the open enrollment period for the plan year beginning January 1, 2024.
This bill is in Rules Committee awaiting further action.
Other Areas of Potential Fiscal Impact (and often unfunded) to Districts
SHB 1068: Concerning injured workers’ rights during compelled medical examinations.
Comment: This allows an injured worker to make an audio and video recording of a compelled medical examination and to have one person of the worker’s choosing present during the examination.
This bill passed the House 65/33 and will be moved to the Senate Labor and Commerce Committee.
SHB 1106: Concerning qualifications for unemployment insurance when an individual voluntarily leaves work.
Comment: Expands access to unemployment insurance benefit
