Implementing the periodic review of state spending programs.
Requires sunset for all new state spending programs within 10 years, with a performance statement and JLARC review to assess effectiveness and terminate underperforming programs.
Requires sunset for all new state spending programs within 10 years, with a performance statement and JLARC review to assess effectiveness and terminate underperforming programs.
Status and context
- Bill: SB 5145
- Title: Implementing the periodic review of state spending programs
- Introduced: January 7, 2025
- First reading: January 13, 2025; referred to Ways & Means
- Purpose: Establish a formal framework for reviewing and sunsetting new statutory state spending programs, with requirements for expiration dates, performance messaging, and periodic evaluation by the Legislature.
Purpose and core goal
- Create a structured mechanism to ensure new state spending programs are purposeful, measurable, and time-bound.
- Introduce mandatory sunset provisions and ongoing accountability to assess whether programs meet intended objectives and fiscal metrics.
Key provisions
1) Expiration for new spending programs (Sec. 1)
- All new statutory state spending programs must have an expiration date no more than 10 years from the program’s effective date.
- Any amendment that modifies or expands a program does not extend the expiration period unless the amendment explicitly states an extension.
2) State spending performance statement (Sec. 2)
- Every bill enacting a new statutory state spending program must include a state spending performance statement.
- The statement must:
- State the legislative purpose of the program, with detailed information beyond the general purpose.
- Identify clear, relevant, and measurable metrics and data requirements to gauge effectiveness.
3) Joint Legislative Audit and Review Committee (JLARC) review (Sec. 3)
- JLARC must review new spending programs on a schedule determined by the committee.
- Considerations include:
- Public policy objectives and legislative history/intent
- Evidence the program achieves or contributes to objectives
- Feasibility of modifying the program to improve outcomes
- Potential unintended benefits or harms
- Fiscal impacts (past and anticipated)
- JLARC recommendations to fiscal committees may include: continue without modification, continue with modification, schedule for future sunset review, or terminate immediately.
- If metrics in the performance statement are not met, termination is recommended. The committee may propose accountability standards for future reviews.
- If a program lacks the required information in Sec. 2, JLARC review is not required, and it is presumed the legislature intends for the program to expire at its scheduled date.
4) Administrative framework (Sec. 4) and general provisions (Sec. 5)
- Creates a new chapter in Title 43 RCW to codify these requirements.
- Standard severability clause.
What is affected and timeline
Affected entities:
Timeline and process:
Overall impact
- Introduces mandatory sunset timelines and performance measurement for new state spending programs.
- Improves accountability and data-driven decision-making in the budgeting process.
- Encourages careful design of new programs with clear objectives and measurable outcomes, while enabling targeted sunset or adjustments based on performance.
Compiled from official sources — confirm details with the bill’s official record.
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