Tool to Estimate LEOFF 1 Liability Now Online

As we have mentioned in prior Bulletins, the statewide liability for LEOFF 1 medical and long-term care costs for all local governments is $1.745 billion. The online tool to help smaller and medium-sized jurisdictions determine their specific liability is now available.

GASB 45 mandates that public employers begin accounting for non-pension retirement benefits known as "OPEB" (Other Post Employment Benefits) on their financial statements. Using this tool, developed by the Office of the State Actuary, local governments with fewer than 100 LEOFF 1 actives and retirees will be able to identify the full scope of their future liability, both for GASB 45 reporting purposes and so they can adequately prepare for funding that liability.

To access the tool, go to http://osa.leg.wa.gov, click on the OPEB link, and scroll down to the OPEB Calculation Tool section. Review the instructions and the Frequently Asked Questions before clicking on LEOFF 1 GASB 45 Tool.

For more information on this issue, see our Fact Sheet "Statewide Liability for LEOFF 1 Medical Costs Soars" at www.awcnet.org/documents/LEOFF1MedicalCostsFactSheet0108.pdf.

Providing Additional Revenues for Public Safety (SB 6573/HB 2962)

See Municipal Finance section for information on these bills.

Workplace Bullying (SB 6622/SHB 2142)

These bills provide legal redress for an employee who has been subject to workplace bullying, abuse or harassment. The House Committee on Commerce and Labor passed a substitute bill on February 5 which defines "employee" and "employer" as the State of Washington and its employees and removed language that would have made the legislation apply to cities. SHB 2142 was then referred to the House Appropriations Committee.

Family Leave Insurance (SSB 6280/HB 2665, HB 3305)

SSB 6280 passed the Senate Committee on Labor Commerce, Research and Development on February 7 with some minor changes in the application process. It has been referred to the Senate Ways and Means Committee.

HB 3305 passed out of the House Committee on Commerce and Labor and is scheduled for a hearing before the House Appropriations Committee on Friday, February 8 at 9 am. These bills address the administration of the family leave insurance benefits enacted by E2SSB 5659, passed last year. They do not outline how to pay for the benefit. That decision is not expected this session. Payment of benefits will not begin until October of 2009.

Defining Basic Salary (SB 6635/HB 3049)

These bills seek to expand the definition of basic salary for retirement computation purposes to include employer contributions to an IRS 457 account for LEOFF Plan 2 members who must provide a match or take other action.

Currently, only employer contributions made without regard to employee action are included in basic salary. AWC testified against SB 6635 before the Senate Committee on Ways & Means on February 5. The House bill has not been scheduled for hearing.

Indentifying MRSA as a Presumptive Disease for Fire Fighters (HB 3331)

This bill would add methicillin-resistant staphylococcus aureus (MRSA) to the list of infectious diseases that are presumptive occupational diseases for industrial insurance purposes for firefighters. AWC testified against this bill before the House Committee on Commerce and Labor on February 5, citing a lack of conclusive data proving firefighters are more susceptible to exposure than the general public.

Transferring of Fire District Employees to Cities (SHB 2938)

Please see the article in the Land Use section regarding SHB 2938. The substitute version of the bill includes provisions for transferring fire protection district employees to a city following incorporation or annexation, on a pro rata basis in order of seniority.

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