FINAL BILL REPORT

SSB 5155

                                  C 100 L 87

BYSenate Committee on Education (originally sponsored by Senators Bluechel and Gaspard)

Compensating school districts for financial losses due to the transfer or annexation of territory.

Senate Committee on Education

House Committe on Education

SYNOPSIS AS ENACTED

BACKGROUND:

Current State Board of Education rules do not establish a uniform date for approval or disapproval of transfers of school district territory; provide no uniform effective date for transfers of school district territory; and state law does not permit the Board to consider prior approved excess tax levies when considering adjustments of the assets and liabilities of districts affected by the transfer of territory between the districts.

SUMMARY:

The State Board of Education is required to approve the transfer of school district territory not later than March 1 of any given year.  Implementation of the transfer begins at the start of the following school year.  Districts may implement an earlier date by a written agreement between the respective boards of directors.

The State Board of Education is to consider excess tax levies when adjusting the assets and liabilities of school districts affected by a proposed transfer of territory between school districts.

A school district affected by a transfer of territory shall retain its preexisting boundaries for the purpose of the collection of excess tax levies authorized before the effective date of the transfer.  For all excess tax levies authorized subsequent to the effective date of the transfer the boundaries of the affected districts shall be modified to recognize the transfer of the territory.

VOTES ON FINAL PASSAGE:

      Senate    47     0

      House 96   0

EFFECTIVE:July 26, 1987