BILL REQ. #:  S-1657.1 

Read first time 02/19/2007.   Referred to Committee on Ways & Means.

     AN ACT Relating to increasing state funding for local effort assistance; amending RCW 28A.500.020 and 28A.500.020; reenacting and amending RCW 28A.500.030; providing an effective date; and providing an expiration date.

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

Sec. 1   RCW 28A.500.020 and 2004 c 21 s 1 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) "Statewide average ((twelve)) twenty-four percent levy rate" means ((twelve)) twenty-four percent of the total levy bases as defined in RCW 84.52.0531 (3) and (4) 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)) twenty-four 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(5) multiplied by ((twelve)) twenty-four percent.
     (d) The "district's ((twelve)) twenty-four percent levy rate" means the district's ((twelve)) twenty-four 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)) twenty-four percent levy rate that exceeds the statewide average ((twelve)) twenty-four 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.

Sec. 2   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) "Statewide average ((twelve)) twenty-four percent levy rate" means ((twelve)) twenty-four 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)) twenty-four 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)) twenty-four percent.
     (d) The "district's ((twelve)) twenty-four percent levy rate" means the district's ((twelve)) twenty-four 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)) twenty-four percent levy rate that exceeds the statewide average ((twelve)) twenty-four 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.

Sec. 3   RCW 28A.500.030 and 2006 c 372 s 904 and 2006 c 119 s 1 are each reenacted and amended 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)) twenty-four percent levy rate and the statewide average ((twelve)) twenty-four percent levy rate; to
     (b) The statewide average ((twelve)) twenty-four percent levy rate.
     (2) The maximum amount of state matching funds for districts eligible for local effort assistance shall be the district's ((twelve)) twenty-four percent levy amount, multiplied by the following percentage:
     (a) The difference between the district's ((twelve)) twenty-four percent levy rate and the statewide average ((twelve)) twenty-four percent levy rate; divided by
     (b) The district's ((twelve)) twenty-four percent levy rate.
     (3) ((Calendar year 2003 allocations and maximum eligibility under this chapter shall be multiplied by 0.99.
     (4) From January 1, 2004, to December 31, 2005, allocations and maximum eligibility under this chapter shall be multiplied by 0.937.
     (5) From January 1, 2006, to December 31, 2006, allocations and maximum eligibility under this chapter shall be multiplied by 0.9563.)) Beginning with calendar year 2007, allocations and maximum eligibility under this chapter shall be fully funded at one hundred percent and shall not be reduced.

NEW SECTION.  Sec. 4   Section 1 of this act expires January 1, 2012.

NEW SECTION.  Sec. 5   Section 2 of this act takes effect January 1, 2012.