After advancing legislation to enable DOH data sharing and the confirmations of two WSLCB board members, legislators planned to introduce a bill which would step back State support for ESOPs.
Here are some observations of the Washington State Legislature (WA Legislature) for Monday March 24th, the 71st day of the 2025 regular session.
My top 3 takeaways:
- On Friday, the Washington State Senate Labor and Commerce Committee (WA Senate LC) recommended the patient data sharing legislation and advanced the gubernatorial appointment confirmations of two Washington State Liquor and Cannabis Board (WSLCB) members.
- HB 1341 - DOH Patient Data Sharing
- See the bill text, bill report, and fiscal note for more details.
- Committee members advanced the bill without a public hearing as the language remained identical to the companion SB 5700 heard on February 10th. Republican Leader John Braun and Senator Mark Schoesler voted to refer the bill without recommendation.
- As there was no fiscal impact associated with the bill, members recommended the legislation be referred to the Washington State Senate Rules Committee (WA Senate RULE) for review and calendaring.
- SGA 9188 - Confirmation - Jim Vollendroff
- On February 21st, WA Senate LC members heard Vollendroff’s opening remarks and had several probing questions regarding the perspective he brought to the agency, his opinion on the board structure, and his willingness to work with legislators.
- Subsequently, Vollendroff orchestrated an overnight delegation of authority to remake agency public meetings despite significant outcry. On Tuesday March 18th during the WSLCB Board Caucus, Vollendroff signaled some intent to reconsider the move (audio - 2m, video - TVW) and on Thursday staff announced members had scheduled 30m for a "Board Efficiencies Follow up" conversation during the caucus on Tuesday March 25th.
- On Friday, the committee recommended confirmation of Vollendroff’s appointment and referred the legislation to WA Senate RULE. Ranking Member Curtis King, Braun, and Schoesler voted to not confirm Vollendroff. The legislation was reported and referred to WA Senate RULE during the Senate pro forma session later that day.
- On February 21st, WA Senate LC members heard Vollendroff’s opening remarks and had several probing questions regarding the perspective he brought to the agency, his opinion on the board structure, and his willingness to work with legislators.
- SGA 9203 - Confirmation - Pete Holmes
- On March 14th during the public hearing on his confirmation, Holmes offered brief opening remarks describing his background and perspectives on the role, indicating he planned to not only reinforce public safety but also support licensed businesses towards success.
- On Friday, the committee recommended confirmation of Holmes’ appointment and referred the legislation to WA Senate RULE. Braun and Schoesler voted to not confirm Holmes. The legislation was reported and referred to WA Senate RULE during the Senate pro forma session later that day.
- HB 1341 - DOH Patient Data Sharing
- There were no introductions of cannabis-related legislation on Friday, and a cost cutting bill staged for introduction in the House on Monday signaled a retreat from State support for businesses transitioning to employee ownership structures.
- The draft introduction report in the Senate for Monday March 24th did not appear to include any cannabis-related legislation.
- HB 2047 - Rescinding ESOP Transition Support
- Democrat Representative Adison Richards planned to introduce legislation in the House on Monday which would eliminate State support for businesses transitioning to employee ownership models such as employee stock ownership plans (ESOPs), reclaiming remaining loan program funds.
- See the bill text for more details.
- Earlier in the session, representatives considered HB 1348 (Cannabis ESOPs) but chose not to advance the legislation out of the Washington State House Consumer Protection and Business Committee (WA House CPB).
- On March 4th, committee members hosted a work session on ESOPs to hear from experts who helped establish tax preferences for the business structures at the federal level. Representative Cindy Ryu asked about risks to the future solvency of the program given significant proposed cuts in the operating budget. Washington State Department of Commerce (WA Commerce) staff acknowledged the proposed cuts and indicated implications were being evaluated at that time.
- HB 2047 was staged for referral to the Washington State House Appropriations Committee (WA House APP).
- Democrat Representative Adison Richards planned to introduce legislation in the House on Monday which would eliminate State support for businesses transitioning to employee ownership models such as employee stock ownership plans (ESOPs), reclaiming remaining loan program funds.
- On Monday, there were no cannabis-related policymaking events planned at the Washington State Legislature - the calm before a busy week.
- See the Week Ahead for Monday March 24th for more details on subsequent planned events.