Improving economic security through unemployment compensation (ESHB 1906)

This bill passed the House February 6 on a 90-2 vote. The amended version passed the Senate on February 12 by a 43-3 vote. It now goes back to the House for concurrence on minor changes made by the Senate. We expect the House will quickly concur and forward the bill to the Governor.

ESHB 1906, if passed in its current form would do the following:

Provide for a temporary increase in unemployment benefits by adding $45 to the weekly benefit amount, and increasing the minimum weekly benefit from $129 per week to $155 per week.
Expand eligibility for the training benefits program to low-wage workers, military personnel and National Guard members, and persons who are disabled.
Eliminate restrictions in the shared work program on the number of employees, per employer, that may be enrolled, and the number of weeks these employees may receive benefits.

While the $45 benefit will not be charged against contribution paying employers; the $45 benefit will be charged to reimbursable employers – including many cities. Funds from the healthy unemployment reserve account will be used to pay for the benefit enhancement for contribution paying employers.

AWC staff testified before the Senate Labor and Ways and Means Committees noting the impact of the Senate version of this bill on city and county reimbursable employers. Cities and counties, along with other political subdivisions, pay dollar for dollar on unemployment insurance (UI) benefits. When benefits are increased so are the costs. The impact of ESHB 1906 to local governments is estimated to be $3.6 million.

Expanding presumptive disease for firefighters (HB 1932)

This proposed legislation would expand the definition of presumptive occupational diseases affecting firefighters by adding methicillin-resistant staphylococcus aureus (MRSA) and esophageal cancer. HB 1932 was heard by the House Committee on Commerce & Labor on February 10. AWC testified in opposition to this bill and the expansion of presumptive duty related illness citing the lack of empirical data supporting the claim that firefighters are more prone to these illnesses than the general public.

Qualifying for benefits when voluntarily leaving part time work (SB 5804)

Under current statute, an individual is disqualified from receiving unemployment benefits for seven weeks if he or she voluntarily quits work. In separations occurring after the effective date of SB 5804, if passed, an individual who was simultaneously employed in full-time employment and part-time employment, and is otherwise eligible for benefits from the loss of the full-time employment, will not be disqualified from benefits because the individual either voluntarily quit the part-time job before the loss of the full-time job and did not have prior knowledge they would lose the full-time employment.

This bill is scheduled for hearing in the Senate Committee on Labor, Commerce & Consumer Protection on February 19 at 3:30.

Prevailing wage applied to construction projects involving tax incentives, loans, or public land or property that is sold or leased (HB 1992)

Employers must pay workers on all public works contracts and public building service maintenance contracts at least the prevailing wage. The prevailing wage is the rate of hourly wage, usual benefits, and overtime paid to the majority of workers in the same trade or occupation in the largest city in the county where the work is performed.

The Department of Labor and Industries determines the prevailing wage by periodically surveying the trades. A public work is defined as all work, construction, alteration, repair or improvement that is performed at the cost of the state or any other local public agency. This includes demolition, remodeling, renovation, road construction, building construction, ferry construction, and utilities construction.

Prevailing wages must also be paid on projects that the state or a municipality causes to be performed by a private party through a contract to rent, lease, or purchase at least 50% of the project by one or more state agencies or municipalities.

Under the proposed legislation, prevailing wage would be paid on any work, construction, alteration, repair, or improvement other than ordinary maintenance that involves:

Tax incentives established by the state or local government;
Loans provided by the state or local government;
Sales of public land or property to a private entity for less than fair market value by the state or local government; and
Leases of public land or property to a private entity by the state or local government.

A public hearing on the bill was held on February 10 in the House Commerce & Labor Committee. AWC is opposed to this legislation given the extensive expansion on when the prevailing wage would be paid and the corresponding increase in costs to local governments and a variety of non-profits including housing organizations that partner with cities.

Limiting mandatory overtime for corrections officers and sergeants (SB 5907/HB 1800)

SB 5907 is schedule for public hearing in the Senate Committee on Labor, Commerce & Consumer Protection Committee on February 16 at 8 am.

This bill would impact cities in King County who operate or plan to operate a jail by limiting mandatory overtime not to exceed eight and seventeen one-hundredths hours in a twenty-four period or forty and eighty-five one-hundredths hours in a seven-day period, where the hours are worked in only five out of the seven days. The proposed legislation would apply to the cities of Auburn and Renton who have communicated their opposition to the bills to AWC.

The companion bill, HB 1800, was introduced in the House Commerce & Labor Committee, but has not been scheduled or received a hearing.

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