AN ACT Relating to school district capital expenditures for equipment and furnishings; amending RCW 28A.51.010 and 84.52.053; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1. Section 28A.51.010, chapter 223, Laws of 1969 ex. sess. as last amended by section 10, chapter 186, Laws of 1984 and RCW 28A.51.010 are each amended to read as follows:

(1) The board of directors of any school district may borrow money and issue negotiable bonds therefor for the purpose of:

((~~(1)~~)) (a) Funding outstanding indebtedness or bonds theretofore issued; or

((~~(2)~~)) (b) For the purchase of sites for all buildings, playgrounds, physical education and athletic facilities and structures authorized by law or necessary or proper to carry out the functions of a school district; or

((~~(3)~~)) (c) For erecting all buildings authorized by law, including but not limited to those mentioned in ((~~subparagraph (2) immediately above~~)) (b) of this subsection or necessary or proper to carry out the functions of a school district, and providing the necessary furniture, apparatus, or equipment therefor; or

((~~(4)~~)) (d) For improving the energy efficiency of school district buildings and/or installing systems and components to utilize renewable and/or inexhaustible energy resources; or

((~~(5)~~)) (e) For major and minor structural changes and structural additions to buildings, structures, facilities and sites necessary or proper to carrying out the functions of the school district; or

((~~(6)~~)) (f) For any or all of these and other capital purposes.

(2) Bond proceeds may be expended for purchases of computer equipment, or any portable equipment or furnishings, only if:

(a) The purchases are to equip a facility which is newly constructed or modernized;

(b) In the case of each such newly constructed facility, the aggregate amount of the purchases does not exceed ten percent of the total cost of the construction project;

(c) In the case of each such newly modernized facility, the aggregate amount of the purchases does not exceed five percent of the total cost of the modernization project; and

(d) The purchases are not to replace equipment.

(3) For the purposes of this section:

(a) "Modernization" shall be construed consistent with RCW 28A.47.073; and

(b) "Facility" shall mean a building or a portion of a building.

(4) Neither the amount of money borrowed nor bonds issued therefor shall exceed the limitation of indebtedness prescribed by chapter 39.36 RCW, as now or hereafter amended.

(5) Bonds may be issued only when authorized by the vote of the qualified electors of the district as provided by law.

(6) The bonds shall be issued and sold in accordance with chapter 39.46 RCW.

Sec. 2. Section 3, chapter 325, Laws of 1977 ex. sess. as last amended by section 103, chapter 2, Laws of 1987 1st ex. sess. and RCW 84.52.053 are each amended to read as follows:

(1) The limitations imposed by RCW 84.52.050 through 84.52.056, and RCW 84.52.043 shall not prevent the levy of additional taxes by school districts, when authorized so to do by the electors of such school district in the manner and for the purposes and number of years allowable under Article VII, section 2(a) of the Constitution of this state, as amended by Amendment 79 and as thereafter amended, at a special or general election to be held in the first year in which the levy is made ((or, in the case of a proposition authorizing two-year levies for maintenance and operation support of a school district or authorizing two-year through six-year levies to support the construction, modernization, or remodeling of school facilities, or both, at a special or general election to be held in the year in which the first annual levy is made: PROVIDED, That)).

(2) Additional levies authorized by this section are limited to:

(a) Levies for a maximum of two years for the purposes of maintenance and operation support of a school district. Such levies shall be deposited in the district's general fund established under RCW 28A.58.441(1). Once additional tax levies have been authorized for maintenance and operation support of a school district ((~~for a two year period~~)), no further additional tax levies for maintenance and operation support of the district for that period may be authorized.

(b) Levies for a maximum of six years for construction, modernization, or remodeling of school facilities, and levies for one year for these and other capital purposes. Such levies shall be deposited in the district's capital projects fund established under RCW 28A.58.441(2). Proceeds of such levies may be used for the purchase of computer equipment or other portable equipment or furnishings, only if:

(i) The purchases are to equip a facility that has been newly constructed or modernized;

(ii) In the case of each such newly constructed facility, the aggregate cost of the purchases does not exceed ten percent of the total cost of the construction project; and

(iii) In the case of each such newly modernized facility, the aggregate cost of the purchases does not exceed five percent of the total cost of the modernization project.

(c) Levies for one year for the purchase or major repair of pupil transportation vehicles. Such levies shall be deposited in the district's transportation vehicle fund established under RCW 28A.58.428.

(3) A special election may be called and the time therefor fixed by the board of school directors, by giving notice thereof by publication in the manner provided by law for giving notices of general elections, at which special election the proposition authorizing such excess levy shall be submitted in such form as to enable the voters favoring the proposition to vote "yes" and those opposed thereto to vote "no".

(4) For the purposes of this section:

(a) "Modernization" shall be construed in accordance with RCW 28A.47.073.

(b) "Facility" means a building or a portion of a building.

NEW SECTION. Sec. 3. This act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect immediately.