Washington Senate Joint Resolution 8212, Authorize Fund Investment of Long-Term Services and Supports Trust Account Amendment (2020)

Washington Senate Joint Resolution 8212
Election date November 3, 2020
Topic State and local government budgets, spending and finance
Status d Defeated
Type Constitutional amendment	Origin State legislature
List of Washington measuresWashington Referendum 90Washington Senate Joint Resolution 8212Washington Advisory Vote 32Washington Advisory Vote 33Washington Advisory Vote 34Washington Advisory Vote 35Submit

Washington Senate Joint Resolution 8212, the Authorize Fund Investment of Long-Term Services and Supports Trust Account Amendment, was on the ballot in Washington as a legislatively referred constitutional amendment on November 3, 2020. It was defeated.

A "yes" vote supported allowing the Washington Legislature to invest the Long-Term Care Services and Supports Trust Account into stocks or other methods of investment.

A "no" vote opposed allowing the Washington Legislature to invest the Long-Term Care Services and Supports Trust Account into stocks or other methods of investment, thereby limiting the methods of investment for the accounts to government and corporate bonds and certificates of deposit.

Election results

Washington Senate Joint Resolution 8212
Result		Votes	Percentage
Yes		1,738,080	45.64%
No		2,069,809	54.36%

Results are officially certified.

Source

Overview

What would the amendment have done?

See also: Constitutional changes

The amendment was designed to allow funds in the Long-Term Care Services and Supports Trust Account to be invested as provided by law.

Going into the election, the Washington Constitution prohibited the state from investing funds into stocks or other methods of investment, limiting investment capabilities of the state to government and corporate bonds and certificates of deposit. Some other funds have been made exempt from that constitutional restriction, including the following:

• public pension and retirements funds;
• industrial insurance trust funds; and
• funds that benefit individuals with developmental disabilities.

How did this measure get on the ballot?

See also: Path to the ballot

In Washington, a legislatively referred constitutional amendment requires a two-thirds (66.67%) vote in each chamber of the Washington State Legislature during one legislative session.

Senate Joint Resolution 8212 was sponsored by Republican Senators John Braun and Mark Schoesler and Democratic Senators Steve Conway and Mark Mullet. The resolution was introduced on January 13, 2020. It passed in the Senate on February 19, 2020, by a vote of 45-3 with one Senator excused. The measure passed in the House on March 6, 2020, by a vote of 96-1 with one Representative excused.

Text of measure

Ballot title

The ballot summary was as follows:

“

The legislature has proposed a constitutional amendment on investment of public funds. This amendment would allow public money held in a fund for longterm care services and supports to be invested by governments as authorized by state law, including investments in private stocks. Should this constitutional amendment be: Should this bill be: [ ] Approved [ ] Rejected

”

Explanatory statement

The explanatory statement for this measure provided in the 2020 voters' guide, written by the Office of the Attorney General, was as follows:

“ The Constitutional Provision as it Presently Exists The Washington Constitution generally prohibits investing public money in the stock of private companies. This means that state and local governments are limited to investing public funds in fixed-income securities, such as government and corporate bonds and certificates of deposit. The Constitution currently exempts several funds from this restriction. This exemption applies to any public pension or retirement fund, the industrial insurance trust fund, and money held in trust for the benefit of people with developmental disabilities. The exemption allows state and local governments to invest money held in those funds as authorized by law, including by investing in stock as authorized by the Legislature. In 2019, the Legislature enacted a law providing for long-term care insurance. Under that law, employees will pay premiums for state-sponsored long-term care benefits through a payroll deduction, beginning January 1, 2022. Those premiums will be deposited into a new Long-Term Services and Supports Trust Account (Trust Account). Under current law, money held in the Trust Account could not be invested in stocks. The Effect of the Proposed Amendment if Approved This Amendment would add the Trust Account to the list of funds that are exempt from the prohibition against investing public money in private stocks. This would allow money in the Trust Account to be invested in stock if the Legislature authorizes that form of investment. ”

Fiscal impact statement

A fiscal impact was not required by law for this measure and was not included in the 2020 voter guide.

Constitutional changes

See also: Washington State Constitution

The measure would have amended section 1 of Article XXIX of the Washington State Constitution. The following underlined text would have been added and struck-through text would have been deleted:

Article XXIX, section 1. Notwithstanding the provisions of sections 5, and 7 of Article VIII and section 9 of Article XII or any other section or article of the Constitution of the state of Washington, the moneys of any public pension or retirement fund, industrial insurance trust fund, or fund held in trust for the benefit of persons with developmental disabilities, or fund to provide for long-term care services and supports may be invested as authorized by law.

Readability score

See also: Ballot measure readability scores, 2020

Using the Flesch-Kincaid Grade Level (FKGL and Flesch Reading Ease (FRE) formulas, Ballotpedia scored the readability of the ballot title and summary for this measure. Readability scores are designed to indicate the reading difficulty of text. The Flesch-Kincaid formulas account for the number of words, syllables, and sentences in a text; they do not account for the difficulty of the ideas in the text. The Washington Attorney General wrote the ballot language for this measure. The FKGL for the ballot title is grade level 9, and the FRE is 46. The word count for the ballot title is 54, and the estimated reading time is 14 seconds.

Support

The SEIU 775 Ballot Fund funded a support committee, Approve 8212.

Supporters

Officials

• State Representative John Braun (R)
• State Senator Steve Conway (D)
• State Senator Mark Mullet (D)
• Washington State Senator Mark Schoesler (R)

Organizations

• AARP Washington
• Democracy for America

Arguments

• Washington AARP: "Voting in favor of this ballot measure will help ensure the Long-Term Care Trust fund can pay benefits to eligible Washingtonians over the long-term."

Official arguments

Voter Guide Arguments: "Washingtonians Support ESJR 8212 – a fiscally responsible investment decision. In 2019, the Washington State Legislature passed The Long Term Care Trust Act to address the growing long-term care crisis. 70% of adults over the age of 65 will require some form of long-term care but 90% are not insured for longterm care. The Long Term Care Trust fund will help families access and afford these critical services with a benefit of up to $36,500 indexed to inflation. The fund is available to Washingtonians once they need assistance with three or more regular daily activities such as eating, bathing, or help with medications and are vested by paying into the program. Benefits will begin being paid out in 2025 and do not count as income for determining eligibility for Medicaid or other state safety-net programs. Voting in favor of this ballot measure helps to ensure the Long Term Care Trust fund can pay benefits to eligible Washingtonians over the long-term. This ballot measure, ESJR 8212, will allow the Long Term Care Trust fund to be included on the list of public funds exempt from current constitutional investment restrictions. If voters approve this ballot measure, the Long Term Care Trust fund could be invested in the same way that pension funds and ABLE funds are currently invested by our state. The Trust is self-funded with an independent commission and the state actuary responsible for regular certification of the program’s solvency. Rebuttal of argument against: Support for ESJR 8212 is the fiscally responsible choice. With voter’s approval, funds would be invested like the State pension and ABLE funds are currently invested, which allows for larger investment growth. Through each economic downturn the market has rebounded demonstrating the overall long term strength of the economy. Higher yield investment options are good for the people of Washington and critically important to Long Term Services and Supports programs in the future."

The arguments in support of SJR 8212 in the 2020 voter guide were written by Cathleen MacCaul (Advocacy Director, AARP Washington State); Susie Young (Home Care Worker & Executive Board Member, SEIU 775); Jim Wilgus (Regional Leader & Executive Director, Alzheimer's Association); Dan Murphy (Policy Chair, Washington Association of Area Agencies on Aging); Walt Bowen (President, Washington State Senior Citizen’s Lobby); Lauri St. Ours (Executive VP Government Relations, Washington Health Care Association).

Opposition

Opponents

Officials

• King County Councilmember Bob Hasegawa (D)
• King County Councilmember Mike Padden (R)

Official arguments

Voter Guide Arguments: "In 1889, the wise founders of the state of Washington wanted to protect public funds from potential losses of risky investments so they established safeguards in our state Constitution prohibiting stock market investments of our public funds. SJR 8212 will overturn that safeguard for our new LongTerm Care Services and Supports Trust Program, a multiBillion-dollar program established this legislative session in preparation for the coming “Silver Tsunami” of elderly needing services. With so much money in play, we must not lose sight of the stock market’s high risk along with the questionable bottom line ethics of some Wall Street brokers. From 2000-03 the Dow Jones Industrial Average (DJIA) lost a third of its value. Around 2008-09 the DJIA lost half its value during the Great Recession. This year the DJIA fall over 37% in less than six weeks from February 12, 2020 to March 23, 2020. Who knows where it is going from here? The longterm economic impacts of COVID-19 are still unknown. Your vote is about prudent fiscal management of our tax dollars. A better idea is to invest public money into federal, state and municipal bonds that support public works we all depend on in Washington. They’re safe. Don’t let Wall Street brokers gamble with our hard-earned tax dollars. The Founders didn’t trust the stock market then, and we shouldn’t trust it now. Please vote no on SJR 8212. Rebuttal of argument for: Your No vote will protect the long-term stability of the Trust Fund from being gambled on by Wall Street. SJR 8212’s passage absolutely does not guarantee that long term care benefits will actually be paid out to eligible Washingtonians. Don’t gamble with the people’s hard-earned money. We can better safeguard our money and know that it is being invested in a responsibly prudent way by casting a strong no vote on SJR 8212."

The arguments in opposition to SJR 8212 in the 2020 voter guide were written by State Senator Mike Padden (R) and State Senator Bob Hasegawa (D).

Campaign finance

See also: Campaign finance requirements for Washington ballot measures

The campaign finance information on this page reflects the most recent scheduled reports that Ballotpedia has processed, which covered through January 10, 2021.

The SEIU 775 Ballot Fund funded a support committee, Approve 8212. The committee reported $590,398.75 in contributions and $590,398.75 in expenditures.

	Cash Contributions	In-Kind Contributions	Total Contributions	Cash Expenditures	Total Expenditures
Support	$590,398.75	$0.00	$590,398.75	$590,398.75	$590,398.75
Oppose	$0.00	$0.00	$0.00	$0.00	$0.00
Total	$590,398.75	$0.00	$590,398.75	$590,398.75	$590,398.75

Support

The following table includes contribution and expenditure totals for the committee in support of SJR 8212.

Committees in support of Senate Joint Resolution 8212
Committee	Cash Contributions	In-Kind Contributions	Total Contributions	Cash Expenditures	Total Expenditures
Approve 8212, 2020	$590,398.75	$0.00	$590,398.75	$590,398.75	$590,398.75
Total	$590,398.75	$0.00	$590,398.75	$590,398.75	$590,398.75

Donors

Donor	Cash Contributions	In-Kind Contributions	Total Contributions
SEIU 775 Ballot Fund	$500,000.00	$0.00	$500,000.00
AARP Washington	$50,000.00	$0.00	$50,000.00
National Domestic Workers Alliance Inc	$35,000.00	$0.00	$35,000.00

Opposition

If you know of committees that should be listed here, please email editor@ballotpedia.org.

Methodology

To read Ballotpedia's methodology for covering ballot measure campaign finance information, click here.

Background

Long-Term Care Services and Supports Trust Account

In April 2019, the Washington State Legislature passed House Bill 1087, which established the first public state-operated long-term care insurance program. It is funded by a payroll tax of 0.58 percent of an employee's wages. An eligible beneficiary must meet the following criteria:

• be 18 years or older,
• unable to perform at least three daily tasks (e.g. eating, bathing, or administering medications) on their own,
• have paid the payroll tax for the equivalent of either a total of 10 years without a break in that period exceeding five consecutive years or a total of three years within the last six years, and
• worked at least 500 hours in the years that they contributed to the payroll tax.

Washington State Investment Board

The Washington State Investment Board (WSIB) established in 1981 consists of 15 members, including the Washington State Treasurer, the director of the Department of Retirement Systems, the director of Labor and Industries, one member from each chamber of the Washington State Legislature, five members of the Public Employee Pension System, and five non-voting members. WSIB describes itself as "an independent Board of Trustees whose fiduciary responsibility is to manage retirement and public fund investments." Along with long-term care accounts, the Washington State Investment Board manages 37 funds, which include the following:

• 17 retirement plans,
• 5 industrial insurance funds,
• 7 permanent funds that benefit schools, colleges, and universities, and
• 8 other trust funds.

As of December 2019, WSIB had $147.4 billion assets under management. Funds exempted from the constitutional restriction are invested in fixed income, tangible assets, real estate, public equity, and private equity. Premiums contributed to the long-term care accounts would be allowed to be invested in similar asset classes.

Legislatively referred constitutional amendments in Washington

Between 2006 to 2019, Washington ballots featured 13 legislatively referred constitutional amendments. Twelve were approved, and one was defeated.

Path to the ballot

See also: Amending the Washington Constitution

In Washington, a referred constitutional amendment requires a two-thirds vote in each chamber of the Washington State Legislature during one legislative session.

The measure was introduced on January 13, 2020. It passed in the Senate on February 19, 2020, by a vote of 45-3 with one Senator excused. The measure passed in the House on March 6, 2020, by a vote of 96-1 with one Representative excused. The amendment was sponsored by Republican Senators John Braun and Mark Schoesler and Democratic Senators Steve Conway and Mark Mullet. The four no votes the amendment received in the state legislature came from Representative Frank Chopp (D) and Senators Bob Hasegawa (D), Doug Ericksen (R), and Mike Padden (R).

Vote in the Washington State Senate February 19, 2020
Requirement: Two-thirds (66.67 percent) vote of all members in each chamber
Number of yes votes required: 33  a
	Yes	No	Not voting
Total	45	3	1
Total percent	91.8%	6.1%	2.0%
Democrat	28	1	0
Republican	17	2	1

Vote in the Washington House of Representatives March 6, 2020
Requirement: Two-thirds (66.67 percent) vote of all members in each chamber
Number of yes votes required: 66  a
	Yes	No	Not voting
Total	96	1	1
Total percent	98%	1%	1%
Democrat	55	1	1
Republican	41	0	0

How to cast a vote

See also: Voting in Washington

Click "Show" to learn more about voter registration, identification requirements, and poll times in Washington.

How to cast a vote in Washington

The information below covers regular voting policies in the state. Information may have not applied to the election on November 3, 2020, because of temporary changes in response to coronavirus. Click here to read about changes made for the 2020 elections. Poll times Washington is an all-mail voting state. Individuals who prefer to vote in person rather than by mail may do so at local voting centers, which are open for 18 days prior to the election. The voting period ends at 8:00 p.m. on Election Day. Contact your county elections department for more information on voting center locations and times. Registration requirements Check your voter registration status here. To vote in Washington, one must be a citizen of the United States, a resident of the state, and at least 18 years of age. One may register to vote online, by mail, or in-person at a county elections department. Registration must be completed eight days in advance if done by mail or online. In-person registration is available through Election Day. In 2018, Washington lawmakers enacted legislation providing for same-day voter registration and automatic voter registration. Automatic registration Washington automatically registers eligible individuals to vote through the Department of Motor Vehicles, health benefit exchange, and other state agencies approved by the governor. Online registration See also: Online voter registration Washington has implemented an online voter registration system. Residents can register to vote by visiting this website. Same-day registration Washington allows same-day voter registration. Residency requirements Washington law requires 30 days of residency in the state before a person may vote. Verification of citizenship See also: Laws permitting noncitizens to vote in the United States Washington does not require proof of citizenship for voter registration. An individual must attest that they are a U.S. citizen when registering to vote. According to the state's voter registration application, a voter who knowingly provides false information or knowingly make a false declaration about their qualifications "will have committed a class C felony that is punishable by imprisonment for up to five years, a fine of up to ten thousand dollars, or both." All 49 states with voter registration systems require applicants to declare that they are U.S. citizens in order to register to vote in state and federal elections, under penalty of perjury or other punishment. Seven states — Alabama, Arizona, Georgia, Kansas, Louisiana, New Hampshire, and Wyoming — have laws requiring verification of citizenship at the time of voter registration, whether in effect or not. In three states — California, Maryland, and Vermont — at least one local jurisdiction allows noncitizens to vote in some local elections. Noncitizens registering to vote in those elections must complete a voter registration application provided by the local jurisdiction and are not eligible to register as state or federal voters. Verifying your registration The site Vote WA, run by the Washington Secretary of State office, allows residents to check their voter registration status online. Voter ID requirements Washington is an all-mail voting state and does not require voters to present photo identification (ID). Voters may choose to vote in person at a local voting center. According to state law RCW 29A.40.160, “The county auditor shall require any person desiring to vote at a voting center to either sign a ballot declaration or provide identification.” Accepted forms of ID include driver's licenses, state ID cards, and student ID cards. For a list of all accepted forms of ID, see below. The following list of accepted ID was current as of April 2023. Click here for the Washington State Legislature's voter ID regulations to ensure you have the most current information. Driver's license State identification card Student identification card Tribal identification card Employer identification card }}

See also

2020 measures

• 2020 ballot measures
• Budgets on the ballot

Washington

• Washington ballot measures
• Washington ballot measure laws

News and analysis

• Ballot measure lawsuits
• Ballot measure readability
• Ballot measure polls

External links

• Senate Joint Resolution 8212
• Washington 2020 general election voter guide