SENATE BILL REPORT
SB 5080
As of January 25, 2025
Title: An act relating to making financial education instruction a graduation requirement.
Brief Description: Making financial education instruction a graduation requirement.
Sponsors: Senators Valdez, Cortes, Harris, Krishnadasan, Liias, Nobles, Orwall, Riccelli, Saldaña, Shewmake, Trudeau and Wilson, C.; by request of State Treasurer.
Brief History:
Committee Activity: Early Learning & K-12 Education: 1/28/25.
Brief Summary of Bill
  • Requires that Washington students meet the state learning standards related to financial education to graduate from high school, beginning no later than 2033.
  • Directs the Washington State Board of Education (SBE) to work with stakeholders to recommend adjustments to graduation requirements and educational offerings, and report to the Legislature and Governor.
  • Directs the Financial Education Public-Private Partnership to create a statewide financial education graduation requirement implementation plan, informed by data from school districts.
  • Directs the SBE to monitor financial education offerings to ensure district compliance, and report to the Legislature and Governor.
SENATE COMMITTEE ON EARLY LEARNING & K-12 EDUCATION
Staff: Elena Becker (786-7493)
Background:

Learning Standards. The Office of the Superintendent of Public Instruction (OSPI) is required to develop state learning standards based on the statutory goals of basic education. The fourth goal addresses the importance of work and finance and how performance, effort, and decisions directly affect future career and educational opportunities.

 

At the Legislature's direction, OSPI adopted financial education learning standards in 2016. The financial education learning standards are spending and saving, credit and debt, employment and income, investing, risk management and insurance, and financial decision-making.

 

Graduation Requirements. To graduate from high school, Washington students must complete 24 credits in various subject areas, meet the requirements of at least one graduation pathway, complete a High School and Beyond Plan, and satisfy any local requirements. 

 

Financial Education Public-Private Partnership. The Legislature established the Financial Education Public-Private Partnership (FEPPP) with the stated goal of seeking out and determining the best methods of equipping students with the knowledge and skills they need to make critical decisions regarding their personal finances.  The FEPPP is comprised of members of the Legislature, representatives from the private for-profit and nonprofit financial services sector, the Washington State Department of Financial Institutions, OSPI, the Washington State Treasurer, and teachers. 
Summary of Bill:

Beginning in or before the 2029-30 school year, school districts must provide all high school students with financial education instruction consistent with the state financial education learning standards. Starting with the graduating class of 2033, or earlier if  recommended by the Washington State Board of Education (SBE), all students must meet high school learning standards related to financial education to graduate from high school. Principals may waive this requirement for students in grade 12 who have been unable to meet this requirement because of previous residence outside of Washington.


School districts must begin publicizing financial education instruction offerings and associated graduation requirement no later than the 2027-28 school year. 


The SBE is directed to recommend adjustments to graduation requirements and other educational offerings to ensure students have adequate opportunity to meet the financial education graduation requirement. When forming these recommendations, the SBE must:

  • consult with the FEPPP, students, parents and guardians, educators, K-12 education partners, postsecondary partners, employers, and community members;
  • consider how students may meet financial education learning standards and develop other skills and knowledge in the state's profile of a graduate; and
  • consider how to incorporate the financial education graduation requirement into the existing framework of graduation requirements, including credit and competency-based options.

 

The SBE must report these recommendations to the Governor and Legislature by December 31, 2026.

 

By December 15, 2025, school districts must submit to the SBE and the FEPPP a list of financial education courses and learning opportunities available in their district and the number of students served by those offerings. Districts must also describe the additional resources they need to ensure students are able to meet the financial education graduation requirement. The FEPPP must use this information to create a statewide financial education graduation requirement implementation plan. This plan must be submitted to the Legislature, SBE, and OSPI by December 31, 2026.
Appropriation: None.
Fiscal Note: Available.
Creates Committee/Commission/Task Force that includes Legislative members: No.
Effective Date: Ninety days after adjournment of session in which bill is passed.