Official Text and Analysis.

Substitutes the Senate Ways and Means Committee's $59.2 billion proposal for the governor's $53.7 billion proposal in the original bill.

Provides funding for OSPI implementation of Senate Bill No. 5464, which prohibits school districts, charter schools, and state-tribal compact schools from closing for in-person learning for more than 10 consecutive scheduled school days, after which the school district must offer the option of in-person learning to all students unless in-person learning is prohibited by an order, proclamation, or directive by the governor, secretary of health, or a local health officer.

Provides funding for the implementation work for three HCA-NAC-LPN workforce pipeline pilot projects. EXPENDITURE EFFECT (2021-2023): $450,000 Near General Fund—State/ $450,000 Total Funds.

Provides funding to the Department of Ecology to provide participation grants to agricultural landowners who may be impacted from the adjudication of water rights in the Nooksack watershed.

Corrects the date to align with the funding, which is through June 30, 2023.

Revises eligibility for grants funded in chapter 3, Laws of 2021 (ESHB 1368, federal funding/COVID-19) to assist landlords with elective nonpayor tenants. Landlords who use a property manager are eligible. Eligibility limit on units owned by landlords is increased from 4 to 6 units. Allows property managers representing the landlord to apply for grant funding. These revisions to grant eligibility will apply to funds provided for this program in the 2021-2023 biennium.

Adjusts the funding level associated with the rate increase and changes the slot expansion for the Early Childhood Education and Assistance Program, to add 850 additional slots compared to the expansion in the underlying bill. EXPENDITURE EFFECT (2021-2023): ($14,608,000) Near General Fund— State/($14,156,000) Total Funds.

Requires the Department of Revenue to convene a stakeholder work group and compile a report concerning the taxation of digital products used in the electronic processing of prescriptions.

Increases funding for Astria Toppenish Hospital to 150% of the Medicaid fee schedule for FY 2022 and 2023. Provides a ten percent increase to inpatient and outpatient hospital rates for Central Washington Hospital for FY 2022 and 2023. Assumes ongoing savings attributable to the Certified Public Expenditure Program based on federal reductions to the Disproportionate Share Hospital program being suspended beyond FY 2023. EXPENDITURE EFFECT (2021-2023): $6,924,000 Near General Fund— State/$20,088,000 Total Funds FOUR-YEAR OUTLOOK EXPENDITURE EFFECT: ($47,131,000) Savings Near General Fund—State.

Striker amendment, replacing the Senate Democrats' $59.2 billion proposal with the Senate Republilcans' $55.2 billion proposal..

Provides funding for implementation of Senate Bill No. 5039, which limits the duration of executive orders to prohibit or restrain certain activities under RCW 43.06.220(1) during a state of emergency to 30 days unless extended by the legislature through concurrent resolution. EXPENDITURE EFFECT (2019-2021): $50,000 Near General Fund—State/ $50,000 Total Funds.

Acknowledges the receipt of additional federal funding from the proposed American Jobs Plan and directs that these funds will be spent through the appropriation process, and not the unanticipated receipts process or federal appropriation authority provided in the operating or capital budgets.

Makes some $59 billion biennial operating budget appropriations for the 2021-23 fiscal biennium .

Increases the General Fund-State appropriation for the Department of Commerce by $15.0 million to implement a grant program for cities and counties for costs to address the safety and public health risks associated with homeless encampment sites located on the public right-of-way and other public property. Increases General Fund - State by $15,000,000.

Requires that any organization under contract with DCYF for Behavioral Rehabilitation Services (BRS) or group home services must provide at least 90 days notice when closing a facility or group home, and must coordinate with DCYF to arrange alternate housing for foster children affected by the closure. Placement stability for the foster children must be prioritized.

Creates the State Digital Data Breach Program Account and appropriates $75.0 million General Fund-State into the account. Provides that expenditures from the account may be used for the Department of Enterprise Services Office of Risk Management to administer a digital data breach reimbursement claims program.

Eliminates a $1.816 billion appropriation in the Office of Financial Management for expenditure into the Washington Rescue Plan Transition account, eliminates a State Treasurer's transfer of $155 million General Fund-State to the Washington Rescue Plan Transition Account, and removes provisions creating the Washington Rescue Plan Transition Account.

Provides funding to the Department of Natural Resources for staffing for the Small Forest Landowner Office. Increases General Fund - State by $4,000,000..

Provides $750 M Coronavirus State Fiscal Recovery Fund to the Department of Fish and Wildlife (DFW) for water infrastructure projects that remove fish passage barriers. Specifies which types of entities may receive the funding. Requires DFW to work with the Fish Passage Barrier Removal Board in deciding how to distribute the funding. Increases Coronavirus State Fiscal Recovery Fund - Federal by $750,000,000.

Striking amendment that substitutes the House $ 58.3 billion spending proposal for the Senate-passed $59.2 billion proposal.

Requires any school district that is a dual language grant recipient to convene an advisory board to guide the development and continuous improvement of its dual language program.

Decreases the class size for skills centers from 20 to 19 for prototypical school formulas for basic education. Increases General Fund - State by $3,171,000.

Amends language for the Department of Ecology (Ecology) to address water rights issues by prohibiting Ecology from filing the water rights adjudication in the Nooksack watershed before June 1, 2023, and specifying how much of the funding provided is for water rights adjudications and how much is for a collaborative process among local water users and water right holders..

Provides $300,000 in the 2021-23 biennium for the Department of Correction (DOC) to implement a meat processing work training program to assist offenders reentering the community upon release from incarceration. Requires DOC to collaborate with the State Board for Community and Technical colleges to implement the program.

Increases the General Fund-State and General Fund- Federal appropriation for the Health Care Authority Community Behavioral Health Program to contract for a 12-bed Children's Long- Term Inpatient Program facility specializing in the provision of habilitative mental health services for children and youth with intellectual or developmental disabilities who have intensive behavioral health support needs and to contract for behavioral health navigators for children and youth and their families in two primary care settings. Increases General Fund - State by $3,500,000. Increases General Fund - Medicaid by $3,222,000.

Adds requirements for use of the statutory unanticipated receipts (UAR) process to authorize expenditure of federal or other non-state receipts during the 2021-23 fiscal biennium.

Declares legislative intent that the appropriations and policies in the underlying striking amendment be implemented without revenues or expenditures related to capital gains tax legislation. Adjusts appropriations accordingly. FISCAL IMPACT: In 2021-23, increases General Fund-State expenditures by $119,321,000. In 2021-23, decreases NGF-O (funds subject to the outlook) resources by $202,000,000. The net impact of the changes, including the 4.5% assumption, is to increase the NGF-O ending balance for 2023-25 by $62,462,000.

Increases the General Fund-State appropriation for the Department of Revenue to implement House Bill No. 1299 (hospitality industry/B&O tax). by $353,000.

Provides $1.1 M to the Department of Fish and Wildlife for a voluntary buy-back program for commercial gillnet fishing licenses on the Columbia River.

Provides $100 million in the 2021-23 biennium to fund local costs associated with the implementation of HB 1559 (behavioral health response- juveniles and controlled substances), HB 1560 (mens rea element - possession of substances), HB 1561 (offenses and penalties - controlled substances and counterfeit substances), and HB 1562 (local laws and ordinances - possession of controlled substances and counterfeit substances).

House version of the 2021-23 Operating Budget that would spend $58.3 billion and assumes passage of a state capital gains income tax (SB 5096).