This bill amends existing laws to allow public utility districts in Washington State to form, own, or use captive insurers. Specifically, it modifies RCW 48.62.011 and RCW 48.62.031 to include provisions that enable public utility districts to become captive owners as defined in RCW 48.201.020. The bill emphasizes that local government entities, including public utility districts, can self-insure risks, jointly purchase insurance, and contract for risk management services. It also establishes that these entities must notify the state of their self-insurance programs and comply with regulatory standards.

Additionally, the bill introduces a new section to chapter 54.04 RCW, explicitly stating that public utility districts may act as captive owners. The definition of "captive owner" is expanded to include municipal corporations organized under Title 54 RCW, thereby providing these districts with the authority to engage in captive insurance arrangements. This legislative change aims to enhance the flexibility and financial management capabilities of public utility districts in managing their risks and insurance needs.

Statutes affected:
Original Bill: 48.62.011, 48.62.031, 48.201.020
Bill as Passed Legislature: 48.62.011, 48.62.031, 48.201.020
Session Law: 48.62.011, 48.62.031, 48.201.020