Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: In alignment with ESSB 5293, passed by the Washington state legislature in 2023, the office of superintendent of public instruction (OSPI) is considering rule making to implement an exemption for school districts and charter schools for the 2024-25 and 2025-26 budget periods from accepting binding conditions when the proceeds of an interfund loan have been used to balance deficit fund balances. The rules would allow this exemption in order to address budget destabilization in the aftermath of the COVID-19 pandemic, which is consistent with the purpose described under ESSB 5293 (2023) and RCW 28A.505.130.

Process for Developing New Rule: Early solicitation of feedback and recommendations concerning new or amended rules, and consideration of comments and recommendations in the course of drafting rule language.

Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting T.J. Kelly, OSPI, P.O. Box 47200, Olympia, WA 98504, TTY 360-664-3631, email Thomas.kelly@k12.wa.us, website ospi.k12.wa.us.