HOUSE BILL REPORT

ESHB 1655

BYHouse Committee on Education (originally sponsored by Representatives Peery, Betrozoff, Grimm, H. Sommers, Walker and D. Sommers) 

Specifying the uses of capital funds by school districts.

House Committe on Education

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  (21)

      Signed by Representatives Peery, Chair; Spanel, Vice Chair; Appelwick, Betrozoff, Butterfield, Cole, Cooper, Ebersole, Fuhrman, Holland, Holm, P. King, Pruitt, Rasmussen, Rayburn, Rust, Schoon, Taylor, Todd, Valle and Walker.

House Staff:Susan Patrick (786-7111)

Rereferred House Committee on Ways & Means/Appropriations

Majority Report:  The substitute bill by Committee on Education as amended by Committee on Ways & Means/Appropriations do pass.  (22)

      Signed by Representatives Locke, Chair; Belcher, Braddock, Brekke, Bristow, Brough, Butterfield, Ebersole, Fuhrman, Grant, Grimm, Hine, Holland, McLean, Nealey, Peery, Silver, H. Sommers, Spanel, Sprenkle, Wang and B. Williams.

House Staff:      Janet Peterson (786-7136) 

AS PASSED HOUSE FEBRUARY 12, 1988

BACKGROUND:

School districts have been authorized to issue bonds and collect excess tax levies for capital purposes.  House Joint Resolution 55 authorized capital levies for up to six years.  In 1986, when House Joint Resolution 55 was submitted to the public for approval, the voters pamphlet indicated that the proceeds were to be used for remodeling, modernization and construction of buildings.  Recent levy requests have included the intent to expend funds generated by these financing mechanisms for computers. 

SUMMARY:

Money generated by a six year capital levy may be used for the purchase of computers, portable equipment and furnishings only if the purchases are (a) included in a school district construction or modernization project and do not exceed ten percent of the total cost of the construction or modernization of the facility or (b) do not exceed twenty percent of the total cost of a construction or modernization project for a vocational technical institute or vocational skills center cooperative.  These provisions shall apply to six year capital levies passed after February 2, 1988.

 Facility means a building, portion of a building or building complex or a permanent athletic structure.

EFFECT OF SENATE AMENDMENT(s):   The definition of uses for six year capital levy funds is expanded to allow the purchase of portable equipment incidental to a remodeling project.  The percentage of the total project costs that may be spent on portable equipment is increased from ten percent to twenty percent for all projects.  The definition of portable equipment is changed to readily moveable items such as personal computers and associated software and hardware, instructional materials and equipment, or furniture that is not a fixture.

Fiscal Note:      Requested January 19, 1988. 

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

House Committee ‑ Testified For: (Education)  Dwayne Slate, Washington State School Directors' Association;  Bruce Mrkvicka, Superintendent of Public Instruction; Kris Van Gorkom, Washington Association of School Administrators; and Gerald Post, Snoqualmie Valley School District.

 (Ways & Means/Appropriations)  Bruce Mrkvicka, Office of the Superintendent of Public Instruction; Dwayne Slate, Washington State School Directors Association. 

House Committee - Testified Against:      (Education)  None Presented.

 (Ways & Means/Appropriations)  None Presented. 

House Committee - Testimony For:      (Education)  We support the limitation of expenditures for computers and portable equipment to the six year capital levy.  It is important that the percentage which may be expended on equipment be realistic and we will aid the committee in developing this information.

 (Ways & Means/Appropriations)  The bill clarifies the intent of House Joint Resolution 55. 

House Committee - Testimony Against:      (Education)  None Presented.

 (Ways & Means/Appropriations)  None Presented. 

VOTE ON FINAL PASSAGE:

      Yeas 93; Absent 1; Excused 4 

Absent:     Representative Basich 

Excused:    Representatives Allen, Braddock, Ferguson, Fuhrman