SENATE BILL REPORT

SB 6378

BYSenators Newhouse, Patrick, Bailey, Matson, Conner, Lee and Johnson

Allowing local school districts to use local effort assistance funds for school construction.

Senate Committee on Education

Senate Hearing Date(s):January 30, 1990; January 31, 1990

Majority Report:  Do pass and be referred to Committee on Ways & Means.

      Signed by Senators Bailey, Chairman; Lee, Vice Chairman; Anderson, Benitz, Craswell, Metcalf.

Senate Staff:Leslie Goldstein (786-7424)

                  February 1, 1990

AS REPORTED BY COMMITTEE ON EDUCATION, JANUARY 31, 1990

BACKGROUND:

In 1987 the Legislature established a program to provide local effort assistance through levy equalization.  The program was implemented beginning with levies collected in calendar year 1989.  State matching funds are provided to districts in which the excess levy tax rate needed to raise a 10 percent levy is above the statewide average tax rate.  The first 10 percent of an eligible district's excess levy will be matched with state equalization funds.  $5 million was appropriated in 1987.  $82,700,000 was appropriated for the 1989-91 biennium.  Approximately 174 districts out of 211 eligible districts will receive local effort assistance funds in calendar year 1990.

SUMMARY:

Local school districts may use local effort assistance funds for the maintenance and operation support of a school district or the construction, modernization, or remodeling of school facilities, or both.

Appropriation:    none

Revenue:    none

Fiscal Note:      requested

Senate Committee - Testified: Roy Williams, Toppenish School District (pro)