2973 AMH COX GRAH 21

HB 2973 - H AMD

By Representative Cox

     Beginning on page 2, line 38, after "RCW 84.52.0531." strike all material through "RCW" on page 3, line 2.

     On page 3, beginning on line 6, strike all of section 3 and insert the following:

     "Sec. 3. RCW 28A.500.020 and 1999 c 317 s 2 are each amended 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) "State-wide average thirteen percent levy rate" means thirteen 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.

(d) "State-wide average fourteen percent levy rate" means fourteen 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.

(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) The "district's thirteen 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 thirteen percent.

(g) The "district's fourteen 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 fourteen percent.

     (((d))) (h) 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.

(i) The "district's thirteen percent levy rate" means the district's thirteen 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.

(j) The "district's fourteen percent levy rate" means the district's fourteen 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))) (k) "Districts eligible for local effort assistance" means (i) those districts with a twelve percent levy rate that exceeds the state-wide average twelve percent levy rate and with a cost of housing that exceeds the statewide median cost of housing under section 2 subsection 2 of this act by more than two thousand five hundred dollars; (ii) those districts with a thirteen percent levy rate that exceeds the statewide average thirteen percent levy rate and with a cost of housing under section 2 subsection 2 of this act that exceeds the statewide median cost of housing by at least one thousand dollars but by not more than two thousand five hundred dollars; or (iii) those districts with a fourteen percent levy rate that exceeds the statewide average fourteen percent levy rate and with a cost of housing under section 2 subsection 2 of this act that is less than the statewide median cost of housing or that exceeds the statewide median cost of housing by less than one thousand dollars.

     (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.

     Sec. 4. 28A.500.030 and 1999 c 317 s 3 are each amended to read as follows:

     Allocation of state matching funds to eligible districts for local effort assistance shall be determined as follows:

     (1) For districts with housing costs that exceed the statewide median cost of housing as determined under section 2 of this act by more than two thousand five hundred dollars:

(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:

     (((a))) (i) The difference between the district's twelve percent levy rate and the state-wide average twelve percent levy rate; to

     (((b))) (ii) The state-wide average twelve percent levy rate.

     (((2))) (b) 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))) (i) The difference between the district's twelve percent levy rate and the state-wide average twelve percent levy rate; divided by

     (((b))) (ii) The district's twelve percent levy rate.

(2) For districts with housing costs, as determined under section 2 subsection 2 of this act, that exceed the statewide median by at least one thousand dollars but by not more than two thousand five hundred dollars:

(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 thirteen percent levy rate and the state-wide average thirteen percent levy rate; to

(ii) The state-wide average thirteen percent levy rate.

(b) The maximum amount of state matching funds for districts eligible for local effort assistance shall be the district's thirteen percent levy amount, multiplied by the following percentage:

(i) The difference between the district's thirteen percent levy rate and the state-wide average thirteen percent levy rate; divided by

(ii) The district's thirteen percent levy rate.

(3) For districts with housing costs, as determined under section 2 subsection 2 of this act, that are less than the statewide median or that exceed the statewide median by less than one thousand dollars greater than the statewide median cost of housing:

(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 fourteen percent levy rate and the state-wide average fourteen percent levy rate; to

(ii) The state-wide average fourteen percent levy rate.

(b) The maximum amount of state matching funds for districts eligible for local effort assistance shall be the district's fourteen  percent levy amount, multiplied by the following percentage:

(i) The difference between the district's fourteen percent levy rate and the state-wide average fourteen percent levy rate; divided by

(ii) The district's fourteen percent levy rate."

     Renumber the remaining sections consecutively and correct the title and any internal references accordingly.

EFFECT: The current 12 percent levy equalization formula is increased for certain school districts as follows: (1) The levy equalization allocation of a district with a cost of housing that is below the statewide median or that exceeds the statewide median by less than $1,000 will be based on fourteen percent of the levy base; (2) the levy equalization allocation of a district with a cost of housing that exceeds the statewide median by at least $1,000 but not more than $2,500 will be based on thirteen percent of the levy base.