The bill establishes a new section in chapter 51.14 RCW that outlines the responsibilities of self-insured employers, particularly those that are counties, cities, or municipal employers, after their self-insurer certification is withdrawn. It mandates that the department will take over the obligations of these decertified self-insured employers, including the payment of compensation. Furthermore, the decertified employers are required to reimburse the department for all payments made, with the reimbursement structured through periodic charges at least quarterly, as determined by the director.

Additionally, the bill empowers the director to adopt rules to implement this section, which will cover the ongoing obligations of decertified self-insured employers and the methods by which they must fulfill their financial responsibilities. This legislative change aims to ensure that there is a clear process for managing the financial obligations of self-insured employers who lose their certification, thereby protecting the interests of employees and the department.