The bill seeks to improve the home care rate statutes in Washington by amending laws governing the determination and distribution of labor rates for home care agencies. A significant change is the requirement for the department to establish a home care agency labor rate within 60 days following the adjournment of odd-numbered year legislative sessions. This rate is mandated to be used solely for enhancing wages and benefits for home care workers, including contributions to health benefits, training, and retirement trusts. Additionally, home care agencies must provide either an independent audit or a written attestation from a labor organization to confirm compliance with these new stipulations.

Moreover, the bill introduces a rate-setting board responsible for evaluating and proposing changes to rates for consumer-directed employers, comprising both voting and non-voting members from various sectors, including the governor's office and labor organizations. The board is tasked with determining labor and administrative rates, ensuring that the administrative rate does not exceed 20% of the labor rate. If the board cannot reach an agreement by set deadlines, the labor rate will be decided by a majority vote or by the chair member. The bill also allows the department to adjust rates without convening the board, as long as changes do not exceed two percent of the combined rates and are dependent on legislative funding. Additionally, it clarifies definitions related to labor and administrative rates and removes the previous requirement for a one-time transfer of funds for unclaimed paid time off, indicating a shift in financial management responsibilities.

Statutes affected:
Original bill: 74.39A.310, 74.39A.530