Liquor and Cannabis Board

  Average Annual FTEs Near General Fund State Other Funds Total Funds
  (Dollars in Thousands)
Current Budget 390.0 805 109,500 110,305
2021-23 Maintenance Level 390.0 843 111,430 112,273
Difference from 2021-23 Original 0.0 38 1,930 1,968
% Change from 2021-23 Original 0.0% 4.7% 1.8% 1.8%

2022 Policy Other Changes

Modernization of Regulatory Systems 7.9 0 13,750 13,750
Cannabis Laboratory Standards 1.3 0 316 316
Cannabinoid Regulation 0.0 0 278 278
2022 Policy Other Changes Total 9.2 0 14,344 14,344

2022 Policy Comp Changes

State Employee Benefits 0.0 0 3 3
Rep Employee Health Benefits 0.0 0 6 6
WPEA General Government 0.0 0 534 534
Coalition of Unions 0.0 20 565 585
Non-Rep General Wage Increase 0.0 0 358 358
PERS & TRS Plan 1 Benefit Increase 0.0 0 28 28
2022 Policy Comp Changes Total 0.0 20 1,494 1,514

2022 Policy Central Services Changes

Archives/Records Management 0.0 0 4 4
Audit Services 0.0 0 1 1
Legal Services 0.0 2 199 201
Administrative Hearings 0.0 0 10 10
CTS Central Services 0.0 2 241 243
DES Central Services 0.0 0 35 35
OFM Central Services 0.0 4 438 442
Self-Insurance Liability Premium 0.0 0 32 32
2022 Policy Central Services Changes Total 0.0 8 960 968
Total Policy Changes 9.2 28 16,798 16,826
2022 Policy Level 399.2 871 128,228 129,099
Difference from 2021-23 Original 9.2 66 18,728 18,794
% Change from 2021-23 Original 2.4% 8.2% 17.1% 17.0%

Policy Changes

Audit Services

Adjustments are made for each agency’s anticipated cost of audits performed by the State Auditor’s Office. (Liquor Revolving Account - State)

Legal Services

Adjustments are made for each agency's anticipated cost of Attorney General's Office legal services based on a three-year average. Because legal services costs are based on usage, funding provided in the central service model is not all inclusive. (Liquor Revolving Account - State, Dedicated Marijuana Acct - State, General Fund - State)

Administrative Hearings

Adjustments are made for each agency’s anticipated cost of administrative hearings conducted by the Office of Administrative Hearings. (Dedicated Marijuana Acct - State, Liquor Revolving Account - State)

DES Central Services

Adjustments are made to reflect each agency’s anticipated share of charges from the Department of Enterprise Services for campus rent, parking, security and contracts; capital project surcharges; financing cost recovery; public and historic facilities; real estate services; risk management services; personnel service rates; the Perry Street and Capitol Campus child care centers; small agency services; and the department’s enterprise applications. See the 2021-23 Budget Instructions for allocation methodologies. (Liquor Revolving Account - State, Dedicated Marijuana Acct - State)

WPEA General Government

The collective bargaining agreement includes a general wage increase of 3.25% for fiscal year 2023 and a lump sum payment for all employees hired before July 1, 2022. (Liquor Revolving Account - State, General Fund - Federal, Dedicated Marijuana Acct - State)

Coalition of Unions

The collective bargaining agreement includes a general wage increase of 3.25% for fiscal year 2023 and a lump sum payment for all employees hired before July 1, 2022. (Liquor Revolving Account - State, Dedicated Marijuana Acct - State, General Fund - State)

Modernization of Regulatory Systems

The WSLCB began implementing a new licensing system hosted by Salesforce in 2020, but the project was halted after the agency determined that the appropriated funds were not sufficient. The current system is inefficient and increases work and processing time for stakeholders requesting licenses to sell liquor, cannabis, tobacco, and vapor products in Washington. Modernizing system workflow processes and allowing online self-service options will reduce license processing timelines, which will allow licensees to begin operation of their businesses sooner. These businesses generate significant tax revenues for the state. Additional funds are provided to complete the system integration and data migration to Salesforce. (Liquor Revolving Account - State)

Cannabis Laboratory Standards

This funding will address a major issue that arose during implementation of HB 2052 (Chapter 277, Laws of 2019), which created a cannabis science task force focused on creating a robust and uniform set of standards for cannabis laboratory accreditation. The agency will implement the recommendations of the task force to create a team of scientific experts, led by the Department of Agriculture and including WSLCB and Department of Health staff, to establish and maintain cannabis laboratory standards and facilitate all future science needs for cannabis. (Dedicated Marijuana Acct - State)

Cannabinoid Regulation

Expanded regulatory authority over potentially impairing cannabinoids will require additional WSLCB enforcement staff and more sophisticated equipment at the Washington State Patrol crime laboratory. (Dedicated Marijuana Acct - State)

State Employee Benefits

Health insurance funding is provided for state employees who are not covered by the healthcare coalition. The insurance funding rate is $936 per employee per month for fiscal year 2022 and $1,130 per employee per month for fiscal year 2023. (Liquor Revolving Account - State, Dedicated Marijuana Acct - State)

Rep Employee Health Benefits

Health insurance funding is provided as part of the master agreements for employees who bargain for health benefits as part of a coalition of unions. The insurance funding rate is $936 per employee per month for fiscal year 2022 and $1,130 per employee per month for fiscal year 2023. (Liquor Revolving Account - State, Dedicated Marijuana Acct - State)

Non-Rep General Wage Increase

A general wage increase of 3.25%, effective July 1, 2022, is provided for state employees who are not represented by a union or who are covered by a bargaining agreement that is not subject to financial feasibility determination. (Dedicated Marijuana Acct - State, General Fund - Federal, Liquor Revolving Account - State)

PERS & TRS Plan 1 Benefit Increase

For eligible Public Employees' and Teachers' Retirement Systems Plan 1 members, this item provides an increase of 3%, up to a maximum of $110 per month. (Liquor Revolving Account - State, Dedicated Marijuana Acct - State)

Archives/Records Management

Adjustments are made for each agency's anticipated share of charges for archives and records management services provided by the Secretary of State's Office. (Liquor Revolving Account - State, Dedicated Marijuana Acct - State)

CTS Central Services

Adjustments are made to reflect each agency's anticipated share of charges from Consolidated Technology Services (CTS) for the Office of the Chief Information Officer, Office of Cyber Security, state network, enterprise services, small agency IT services, security gateways, and geospatial imaging services. See the 2021-23 Budget Instructions for allocation methodologies. (Dedicated Marijuana Acct - State, General Fund - State, Liquor Revolving Account - State)

OFM Central Services

Adjustments are made to reflect each agency’s anticipated share of charges for existing statewide applications, the One Washington program, and other central services provided by the Office of Financial Management. See the 2021-23 Budget Instructions for allocation methodologies. (Dedicated Marijuana Acct - State, Liquor Revolving Account - State, General Fund - State)

Self-Insurance Liability Premium

Adjustments are made to reflect each agency's share of the actuarially projected costs of the self-insurance liability premium. (Dedicated Marijuana Acct - State, Liquor Revolving Account - State)