BILL REQ. #:  S-2101.1 

Read first time 02/22/2007.   Referred to Committee on Early Learning & K-12 Education.

     AN ACT Relating to special education safety net awards; adding new sections to chapter 28A.155 RCW; creating new sections; providing an expiration date; and making appropriations.

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

NEW SECTION.  Sec. 1   The legislature finds the current special education safety net process needs to be modified in order to ease the administrative burden on school districts and to make the process more transparent and streamlined. It is the intent of the legislature to maintain the requirement that a school district operate effective and efficient special education programs in order to be eligible for a special education safety net award, but at the same time, the legislature intends to make the application and grant process less cumbersome and time consuming. It is further the purpose of this act to provide additional funds through the special education safety net to assist districts with extraordinary high-cost needs students.

NEW SECTION.  Sec. 2   A new section is added to chapter 28A.155 RCW to read as follows:
     A state special education safety net oversight committee is established to be appointed by the office of the superintendent of public instruction. In appointing members to the committee, the office of the superintendent of public instruction shall seek recommendations from the Washington state school directors' association, the Washington parent teacher association, the Washington association of school administrators, the Washington school principals' association, and the office of financial management. The special education safety net oversight committee shall have a maximum of fourteen members, exclusive of alternatives, and shall include the following:
     (1) One staff person from the office of the superintendent of public instruction;
     (2) One staff person from the office of the state auditor, who shall be a nonvoting member of the committee; and
     (3) Up to twelve representatives from school districts or educational service districts knowledgeable in special education programs and funding.

NEW SECTION.  Sec. 3   A new section is added to chapter 28A.155 RCW to read as follows:
     Safety net funds shall be awarded by the state special education safety net oversight committee subject to the following conditions and limitations:
     (1) The committee shall consider unmet needs for districts that can convincingly demonstrate that all legitimate expenditures for special education exceed all available revenues from state funding formulas. In the determination of need, the committee shall also consider additional available revenues from federal sources. Differences in program costs attributable to district philosophy, service delivery choice, or accounting practices are not a legitimate basis for safety net awards.
     (2) The committee shall then consider the extraordinary high-cost needs of one or more individual special education students. Differences in costs attributable to district philosophy, service delivery choice, or accounting practices are not a legitimate basis for safety net awards.
     (3) The committee shall then consider extraordinary costs associated with communities that draw a larger number of families with children in need of special education services.
     (4) Safety net awards must be adjusted for any audit findings or exceptions related to special education funding.

NEW SECTION.  Sec. 4   A new section is added to chapter 28A.155 RCW to read as follows:
     The superintendent of public instruction shall adopt rules necessary to administer the special education safety net award process. In adopting such rules, the superintendent shall ensure the application process to access funding for high-cost students is streamlined, timelines for submission are not in conflict, feedback to school districts is timely and provides sufficient information to allow school districts to know what they need to do to correct any deficiencies in their safety net application, and that there is consistency between awards approved by school districts and by application period. The office of the superintendent of public instruction shall also provide technical assistance to school districts to assist them in preparing and submitting their special education safety net application.
     On an annual basis, the superintendent shall survey districts regarding their satisfaction with the safety net process and incorporate feedback to improve the safety net process. Each year by December 1st, the superintendent shall prepare and submit a report to the office of financial management and the appropriate policy and fiscal committees of the legislature that summarizes the survey results and changes made to the safety net process as a result of the school district feedback.

NEW SECTION.  Sec. 5   (1) In addition to the responsibilities in section 3 of this act, the state special education safety net oversight committee, with the assistance of the office of the superintendent of public instruction, shall conduct further evaluation of issues raised in the recently completed review of the special education excess cost accounting procedures by the office of the superintendent of public instruction and the 2006 report of the joint legislative audit and review committee report on the accounting of special education excess costs. Specifically, the state special education safety net oversight committee shall evaluate options for modifying or replacing the current accounting methodology in place for the 2005-06 school year in a way that better reflects the special education program funding and spending. By November 1, 2008, the oversight committee shall submit a report to the office of financial management and the appropriate policy and fiscal committees of the legislature outlining the options for replacing the current excess cost method. One of the options will be based on, to the maximum extent appropriate, a full cost accounting.
     (2) This section expires June 30, 2009.

NEW SECTION.  Sec. 6   (1) The sum of twenty-five million dollars, or as much thereof as may be necessary, is appropriated for the fiscal year ending June 30, 2008, from the general fund to the office of the superintendent of public instruction for the purposes of special education safety net awards to school districts pursuant to this act.
     (2) The sum of twenty-five million dollars, or as much thereof as may be necessary, is appropriated for the fiscal year ending June 30, 2009, from the general fund to the office of the superintendent of public instruction for the purposes of special education safety net awards to school districts pursuant to this act.
     (3) The funds appropriated in this section are in addition to any special education safety net funds appropriated in section 507 of the omnibus appropriations act, chapter . . . (SB 5140), Laws of 2007. Any funds from this appropriation not expended for special education safety net awards shall be distributed to school districts under section 507(5) of the omnibus appropriations act, chapter . . . (SB 5140), Laws of 2007.