AN
ACT Relating to local effort assistance; amending RCW 28A.500.010; adding new
sections to chapter 28A.500 RCW; and providing an effective date.
BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF WASHINGTON:
Sec.
1. RCW
28A.500.010 and 1997 c 259 s 4 are each amended to read as follows:
(((1)))
Commencing with ((taxes assessed in 1988 to be collected in)) calendar
year ((1989 and thereafter)) 2000, in addition to a school
district's other general fund allocations, each eligible district shall be
provided local effort assistance funds ((as provided in this section)).
The purpose of these funds is to mitigate the effect that above average
property tax rates might have on the ability of a school district to raise
local revenues to supplement the state's basic program of education. These
funds serve to equalize the property tax rates that individual taxpayers would
pay for such levies and to provide tax relief to taxpayers in high tax rate
school districts. Such funds are not part of the district's basic
education allocation.
(((2)(a)
"Prior tax collection year" means the year immediately preceding the
year in which the local effort assistance shall be allocated.
(b)
The "state-wide average ten percent levy rate" means ten percent of
the total levy bases as defined in RCW 84.52.0531(3) summed for all school
districts, and divided by the total assessed valuation for excess levy purposes
in the prior tax collection year for all districts as adjusted to one hundred
percent by the county indicated ratio established in RCW 84.48.075.
(c)
The "district's ten percent levy rate" means the district's ten
percent levy amount divided by the district's assessed valuation for excess
levy purposes for the prior tax collection year as adjusted to one hundred
percent by the county indicated ratio.
(d)
The "district's ten percent levy amount" means the school district's
maximum levy authority after transfers determined under RCW 84.52.0531(2) (a)
through (c) divided by the district's maximum levy percentage determined under
RCW 84.52.0531(4) multiplied by ten percent.
(e)
The "district's twelve percent levy amount" means the school
district's maximum levy authority after transfers determined under RCW
84.52.0531(2) (a) through (c) divided by the district's maximum levy percentage
determined under RCW 84.52.0531(4) multiplied by twelve percent.
(f)
"Districts eligible for ten percent equalization" means:
(i)
Before the 1999 calendar year, those districts with a ten percent levy rate
which exceeds the state-wide average ten percent levy rate; and
(ii)
In the 1999 calendar year and thereafter, those districts with a ten percent
levy rate that exceeds the state-wide average ten percent levy rate but that is
not in the top quartile of all district rates ranked from highest to lowest.
(g)
"Districts eligible for twelve percent equalization" means in the
1999 calendar year and thereafter, those districts with a ten percent levy rate
in the top quartile of all district rates ranked from highest to lowest.
(h)
Unless otherwise stated all rates, percents, and amounts are for the calendar
year for which local effort assistance is being calculated under this section.
(3)
Allocation of state matching funds to eligible districts for local effort
assistance shall be determined as follows:
(a)
Funds raised by the district through maintenance and operation levies shall be
matched with state funds using the following ratio of state funds to levy
funds: (i) The difference between the district's ten percent levy rate and the
state-wide average ten percent levy rate; to (ii) the state-wide average ten
percent levy rate.
(b)
The maximum amount of state matching funds for districts eligible for ten
percent equalization shall be the district's ten percent levy amount,
multiplied by the following percentage: (i) The difference between the
district's ten percent levy rate and the state-wide average ten percent levy
rate; divided by (ii) the district's ten percent levy rate.
(c)
In the 1999 calendar year and thereafter, the maximum amount of state matching
funds for districts eligible for twelve percent equalization shall be the
district's twelve percent levy amount multiplied by the following percentage:
(i) The difference between the district's ten percent levy rate and the
state-wide average ten percent levy rate; divided by (ii) the district's ten
percent levy rate.
(4)
Local effort assistance funds shall be distributed to qualifying districts as
follows:
(a)
Thirty percent in April;
(b)
Twenty-three percent in May;
(c)
Two percent in June;
(d)
Seventeen percent in August;
(e)
Nine percent in October;
(f)
Seventeen percent in November; and
(g)
Two percent in December.))
NEW
SECTION. Sec. 2. A
new section is added to chapter 28A.500 RCW to read as follows:
(1)
Unless the context clearly requires otherwise, the definitions in this section
apply throughout this chapter.
(a)
"Prior tax collection year" means the year immediately preceding the
year in which the local effort assistance shall be allocated.
(b)
"State-wide average twelve percent levy rate" means twelve percent of
the total levy bases as defined in RCW 84.52.0531(3) summed for all school
districts, and divided by the total assessed valuation for excess levy purposes
in the prior tax collection year for all districts as adjusted to one hundred
percent by the county indicated ratio established in RCW 84.48.075.
(c)
The "district's twelve percent levy amount" means the school
district's maximum levy authority after transfers determined under RCW
84.52.0531(2) (a) through (c) divided by the district's maximum levy percentage
determined under RCW 84.52.0531(4) multiplied by twelve percent.
(d)
The "district's twelve percent levy rate" means the district's twelve
percent levy amount divided by the district's assessed valuation for excess
levy purposes for the prior tax collection year as adjusted to one hundred
percent by the county indicated ratio.
(e)
"Districts eligible for local effort assistance" means those
districts with a twelve percent levy rate that exceeds the state-wide average
twelve percent levy rate.
(2)
Unless otherwise stated all rates, percents, and amounts are for the calendar
year for which local effort assistance is being calculated under this chapter.
NEW
SECTION. Sec. 3. A
new section is added to chapter 28A.500 RCW to read as follows:
Allocation
of state matching funds to eligible districts for local effort assistance shall
be determined as follows:
(1)
Funds raised by the district through maintenance and operation levies shall be
matched with state funds using the following ratio of state funds to levy
funds:
(a)
The difference between the district's twelve percent levy rate and the state-wide
average twelve percent levy rate; to
(b)
The state-wide average twelve percent levy rate.
(2)
The maximum amount of state matching funds for districts eligible for local
effort assistance shall be the district's twelve percent levy amount,
multiplied by the following percentage:
(a)
The difference between the district's twelve percent levy rate and the
state-wide average twelve percent levy rate; divided by
(b)
The district's twelve percent levy rate.
NEW
SECTION. Sec. 4. A
new section is added to chapter 28A.500 RCW to read as follows:
Local
effort assistance funds shall be distributed to qualifying districts as
follows:
(1)
Thirty percent in April;
(2)
Twenty-three percent in May;
(3)
Two percent in June;
(4)
Seventeen percent in August;
(5)
Nine percent in October;
(6)
Seventeen percent in November; and
(7)
Two percent in December.
NEW SECTION. Sec. 5. This
act takes effect January 1, 2000.
