"NEW SECTION.  Sec. 1   The legislature finds that:
     (1) The early years mark the most extraordinary period of growth for young children. The state's role in providing access to early learning opportunities has never been consistently defined;
     (2) More than a quarter of a century has passed since the current school finance system was first created, and the challenges facing our schools and students have grown and changed dramatically during that time. Policies have been established creating new expectations and goals for students under education reform;
     (3) Demographic pressures and work force needs will continue to increase demand for access to postsecondary education and training. Public two-year and four-year institutions of higher education are also important avenues for programs such as adult basic education and English as a second language that are the foundation for employment and further education for an increasing number of people. Washington ranks thirty-third in the nation in the number of bachelor's degrees earned per one thousand residents ages twenty through twenty-nine years, and will graduate the largest high school class in its history in 2008. Washington citizens deserve access to baccalaureate degree opportunities. Washington's public universities and colleges engage in research that contributes to the economic and social well-being of the state. Students have paid an increasing cost of their education with tuition growing faster than personal income or inflation; and
     (4) Through a comprehensive study, the legislature will have solid information to determine how best to use its resources to create a strong education system that will provide an educated citizenry and a thriving economy in this state.

NEW SECTION.  Sec. 2   (1) The comprehensive education study steering committee is created.
     (2) Members of the steering committee shall include: The governor who shall chair the steering committee; the director of the office of financial management; two members from the house of representatives with one appointed by each major caucus; two members from the senate with one appointed by each major caucus; four citizens appointed by the governor; and the chairs of each of the three advisory committees created under subsection (3) of this section. The chair of the advisory committee on K-12 shall be the superintendent of public instruction. The chair of the advisory committee on early learning shall be the nongovernmental cochair of the Washington early learning council, created in Engrossed Second Substitute House Bill No. 1152. The chair of the advisory committee on higher education shall be selected by the governor from a list of three or more names submitted by the state board for community and technical colleges, the higher education coordinating board, and the council of presidents.
     (3) The steering committee shall appoint the members of the advisory committee on K-12 and the advisory committee on higher education. In addition, the two major caucuses in the senate and the two major caucuses in the house of representatives shall each appoint one member to serve on the K-12 advisory committee and one member to serve on the higher education advisory committee. The Washington early learning council, created in Engrossed Second Substitute House Bill No. 1152, shall serve as the advisory committee on early learning.
     (4) The steering committee shall receive staff and logistical support from the office of financial management.
     (5) Nonlegislative members of the steering committee shall be reimbursed for travel expenses under RCW 43.03.050 and 43.03.060.

NEW SECTION.  Sec. 3   (1) The steering committee:
     (a) Shall direct and coordinate the studies created in this section. In conducting the studies, consideration shall be given to recently completed, related finance studies, with particular attention to those initiated by or completed at the request of the legislature;
     (b) May enter into contracts as needed to support the work of the study;
     (c) Shall develop recommendations based on the work of the studies in this section; and
     (d) Shall develop recommendations about how the state can best provide stable funding for student learning for young children, students in the public schools, and students in the public colleges and universities.
     (2) A comprehensive K-12 finance study shall include, but not be limited to:
     (a) The constitutional and legal requirements underlying the current finance system and how those requirements are affected by the goal under education reform to provide all students with the opportunity to achieve the state standards;
     (b) The strengths and weaknesses of the current state and local finance formulas and how those formulas are used by local school districts to meet state requirements and student learning goals;
     (c) Information regarding remediation particularly in the subject areas of mathematics, science, and language arts;
     (d) Potential changes to the current finance system including the methods of allocating funds, levels of funding, and how student achievement is affected;
     (e) Reviewing the funding systems in at least five other states;
     (f) Specific issues facing schools: Assuring program accountability; improving effectiveness in state-level governance; identifying efficiencies in district spending practices; providing programs that assist students in meeting standards; helping students stay in school; impacts of the certification requirements for teachers; improving the effectiveness of English language learner instruction; and appropriate preparation requirements for paraeducators;
     (g) Local and regional funding challenges faced by individual school districts throughout the state; and
     (h) Potential changes to the current salary system that would be more closely related to professional development and enhancement of student performance.
     (3) A comprehensive study of early learning shall include, but not be limited to:
     (a) Defining the populations being served, those that could be served, and program access;
     (b) Determining the state's role in supporting quality early learning opportunities;
     (c) Determining the state's role in training persons providing services; and
     (d) Providing for smooth transitions to K-12 programs.
     (4) A comprehensive study of higher education shall include, but not be limited to:
     (a) Options for creating a new funding system;
     (b) The number and distribution of enrollments at two and four-year institutions of higher education needed to meet demographic and work force training needs;
     (c) Methods for determining the cost of instruction in various program areas;
     (d) Methods for developing common articulation of lower division work;
     (e) The appropriate share of the cost of instruction that should be funded through tuition, general fund-state subsidies, and financial aid;
     (f) Providing for smooth transitions from high school to college, including dual credit options and adequate preparation for college-level coursework;
     (g) Identifying strategies and associated costs to increase opportunity for access to baccalaureate degrees at public institutions of higher education;
     (h) Identifying incentives to optimize research conducted by public universities and colleges that has the potential to stimulate the economy and address economic and social issues relevant to Washington citizens;
     (i) Options for using existing capacity in independent colleges and universities;
     (j) A review of higher education governance as it relates to fiscal policy for higher education; and
     (k) Options for coordinating capital and operating appropriations.
     (5) The steering committee shall provide interim reports to the appropriate fiscal and policy committees of the senate and the house of representatives by November 15, 2005, and June 16, 2006. These interim reports shall document ongoing work to-date, initial findings, and next steps. The November 15, 2005, interim report may recommend possible action items for consideration in the 2006 legislative session.
     (6) The final report and recommendations of the steering committee shall be submitted to the legislature by November 15, 2006.

NEW SECTION.  Sec. 4   This act expires July 1, 2007."