Washington State

House of Representatives

Office of Program Research

BILL

ANALYSIS

Capital Budget Committee

HB 2184

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: Making adjustments to the school construction assistance formula.

Sponsors: Representatives Dunshee, Warnick and Santos.

Brief Summary of Bill

  • Excludes Alternative Learning Experience (ALE) students residing outside of a school district from the School Construction Assistance Program (SCAP) formula for determining state funding assistance.

Hearing Date: 1/12/12

Staff: Susan Howson (786-7142).

Background:

School Construction Assistance Program

Washington provides financial assistance to school districts for the construction of new schools and modernization of existing facilities through the School Construction Assistance Program (SCAP) administered by the Office of the Superintendent of Public Instruction (OSPI). Appropriations for the SCAP are provided in the state capital budget.

A school district must first secure local funding before it becomes eligible for state financial assistance. Local funds may include voter-approved capital levies and bonds, impact fees, mitigation payments, interest income from a school district’s capital projects fund, or transfers from a school district’s general fund with OSPI approval. Once the local share is secured, the state allocates funding to districts based on a set of space and cost standards adopted by the OSPI and a statutory funding assistance percentage based on the relative wealth of the district.

As part of the SCAP, an annual enrollment projection report is calculated for all 295 school districts to assist in determining eligibility and state funding assistance percentages for school construction assistance. Students enrolled in Alternative Learning Experience (ALE) programs are included in the enrollment projections.

Alternative Learning Experience Program Enrollments

The ALE programs are public school alternative options that are primarily characterized by learning activities that occur away from the regular public school classroom setting, including those learning experiences provided digitally via the internet or other electronic means. Other away-from-classroom settings include programs with flexible hours, such as contract-based learning, or those set at home through parent partnership programs.

2011-13 Capital Budget Proviso and OSPI Report

Proviso language in the 2011-13 Capital Budget (Engrossed Substitute House Bill 2020, Section 5006) directed the OSPI to review the impact of students enrolled in ALE programs on the calculation of student enrollment projections for determining school district eligibility for SCAP funds and report its findings and recommendations to the Legislature no later than December 31, 2011.

In its December 2011 report to the Legislature, the OSPI found that including students enrolled in ALE programs in the calculation of student enrollment projections does have a significant impact on the state funding assistance awarded to school districts with school construction projects. The OSPI recommended including in-district ALE enrollments when determining eligibility for state assistance through the SCAP. The OSPI further recommended excluding out-of-district ALE enrollments from the calculation.

Summary of Bill:

The ALE students who reside outside of a school district are excluded from the school construction funding formula for determining state assistance. Kindergarten students included in enrollment counts must be counted as full-time headcount students.

Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill contains an emergency clause and takes effect immediately.