Washington State

House of Representatives

Office of Program Research

BILL

ANALYSIS

Ways & Means Committee

HB 1354

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Brief Description: Changing the apportionment schedule to educational service districts and school districts for the 2010-11 school year.

Sponsors: Representatives Hunt, Haigh, Hunter and Darneille; by request of Office of Financial Management.

Brief Summary of Bill

  • Changes the general apportionment payment schedule for school districts by reducing the payment percentage in June of the 2010-11 school year from 6 percent of the total to 0.7 percent, thereby delaying payment of an estimated $332,573,973 to the July 2011 payment.

Hearing Date: 1/31/11

Staff: Ben Rarick (786-7349).

Background:

General apportionment is the primary means by which basic education funding is allocated to school districts. The basic education rate (or "BEA rate") is the per pupil allocation provided to districts for a general education student, and is the foundation of the general apportionment budget. In fiscal year 2011, general apportionment exceeds $4.86 billion and represents about 75 percent of the total funding to school districts from the state. The basic education rate used to allocate special education funding for the 2009-10 school year was approximately $4,978/student Full Time Equivalent (FTE).

General apportionment funding is allocated monthly to each district through each county treasurer. The amount provided varies by month. In the months of September, October, December, January, February, and March, districts receive 9 percent of their school year apportionment payment. In November and May they receive 5.5 percent. In June they receive 6 percent. In July and August they receive 10 percent.

Summary of Bill:

The bill changes the school apportionment payment schedule for the 2010-11 school year. It reduces the June apportionment payment percentage from 6 percent to 0.7 percent. It also adds a 5.3 percent payment on the first day of July, and requires the regular July payment of 10 percent to be paid on or before the last business day of the month.

These two changes have the effect of delaying $332 million in school apportionment payments to fiscal year 2012.

Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.