PROPOSED RULES
PUBLIC INSTRUCTION
Original Notice.
Preproposal statement of inquiry was filed as WSR 99-11-064.
Title of Rule: Chapter 392-139 WAC, Levy authority and local effort assistance.
Purpose: To revise local effort assistance allocations to implement chapter 317, Laws of 1999, which increases local effort assistance to 12% for all districts, and, to update levy authority calculations and revenues in the levy base.
Statutory Authority for Adoption: RCW 28A.150.290 and 84.52.0531(9).
Statute Being Implemented: Chapter 317, Laws of 1999.
Summary: Beginning in 2000, local effort assistance eligibility is based on a 12% levy for all districts. Revenues in the levy base are updated, and beginning in 2003, budgeted revenues are adjusted to reflect budgeted-vs-actual in the prior year.
Reasons Supporting Proposal: LEA changes are necessary to implement chapter 317, Laws of 1999. Changes to the levy base reflect new revenue accounts and analysis of federal revenues.
Name of Agency Personnel Responsible for Drafting: Ben Gravely, Office of Superintendent of Public Instruction, (360) 753-2298; Implementation: Allen Jones, Office of Superintendent of Public Instruction, (360) 753-6708; and Enforcement: Michael Bigelow, Office of Superintendent of Public Instruction, (360) 753-1718.
Name of Proponent: Office of Superintendent of Public Instruction, governmental.
Rule is not necessitated by federal law, federal or state court decision.
Explanation of Rule, its Purpose, and Anticipated Effects: Prior to calendar year 2000, only school districts with levy rates in the top quartile could qualify for 12% local effort assistance. With the passage of chapter 317, Laws of 1999, all school districts eligible for local effort assistance can qualify for 12% equalization.
Revenue accounts included in the levy base are updated to reflect changes in the school district accounting manual for 1998, 1999, and 2000. One obsolete revenue account is deleted and three new revenue accounts are added to the levy base. Revenue account 6300 Federal Grants Through Other Agencies -- Unassigned, is added to the levy base based on analysis showing that a majority of the revenues in this account qualify as a federal allocation for elementary and secondary school programs.
Beginning in the 2003 levy authority calculation, budgeted federal revenues in the levy base are adjusted by the difference between budgeted and actual revenues in the prior year's calculations. This will mean that districts that under-budgeted will get additional levy authority and may get additional local effort assistance eligibility in the ensuing year. Conversely, districts that over-budgeted will get reduced levy authority and local effort assistance eligibility in the ensuing year.
Proposal Changes the Following Existing Rules: See above.
No small business economic impact statement has been prepared under chapter 19.85 RCW. No small business impacts were identified.
RCW 34.05.328 does not apply to this rule adoption. Not relevant.
Hearing Location: Wanamaker Conference Room, 2nd Floor, Old Capitol Building, P.O. Box 47200, Olympia, WA 98504-7200, on March 21, 2000, at 9:00 a.m.
Assistance for Persons with Disabilities: Contact Sheila Emery by March 7, 2000, TDD (360) 664-3631, or (360) 753-6733.
Submit Written Comments to: Legal Services, Office of Superintendent of Public Instruction, P.O. Box 47200, 600 South Washington Street, Olympia, WA 98504-7200, fax (360) 753-4201, by March 20, 2000.
Date of Intended Adoption: March 22, 2000.
February 15, 2000
Dr. Terry Bergeson
Superintendent of
Public Instruction
OTS-3790.1
AMENDATORY SECTION(Amending Order 18, filed 7/19/90, effective
8/19/90)
WAC 392-139-001
Authority.
The authorities for this
chapter are RCW 84.52.0531(((10))) (9) and 28A.150.290.
(1) RCW 84.52.0531(((10))) (9) authorizes the superintendent
of public instruction to promulgate rules and regulations
regarding the limitation of local school district excess levies
otherwise known as the "Special levy lid law."
(2) RCW 28A.150.290 authorizes the superintendent of public instruction to promulgate such rules and regulations as are necessary for administration of state general fund support for the common schools pursuant to chapter 28A.150 RCW. Rules regarding allocation of state general fund moneys for the purpose of partially equalizing excess levy tax rates, otherwise known as "local effort assistance" are adopted pursuant to this general authority.
[Statutory Authority: 1990 c 33. 90-16-002 (Order 18), § 392-139-001, filed 7/19/90, effective 8/19/90. Statutory Authority: RCW 84.52.0531(10) and 28A.41.170. 88-03-007 (Order 88-6), § 392-139-001, filed 1/8/88. Statutory Authority: RCW 84.52.0531(7). 84-05-017 (Order 84-4), § 392-139-001, filed 2/9/84; 83-23-039 (Order 83-18), § 392-139-001, filed 11/9/83; 83-17-058 (Order 83-6), § 392-139-001, filed 8/17/83.]
The purposes of this chapter are to define the annual procedures that the superintendent of public instruction shall use to determine for each school district:
(1) The maximum dollar amount which may be levied on its behalf for general fund maintenance and operation support pursuant to RCW 84.52.053 and 84.52.0531; and
(2) The local effort assistance to be allocated to it
pursuant to chapter 28A.500 RCW ((28A.500.010)).
[Statutory Authority: 1990 c 33. 90-16-002 (Order 18), § 392-139-005, filed 7/19/90, effective 8/19/90. Statutory Authority: RCW 28A.41.170 and 84.52.0531(10). 89-23-121 (Order 18), § 392-139-005, filed 11/22/89, effective 12/23/89; 88-03-007 (Order 88-6), § 392-139-005, filed 1/8/88. Statutory Authority: RCW 84.52.0531(7). 83-23-039 (Order 83-18), § 392-139-005, filed 11/9/83; 83-17-058 (Order 83-6), § 392-139-005, filed 8/17/83. Statutory Authority: RCW 84.52.0531. 82-07-085 (Order 82-5), § 392-139-005, filed 3/24/82; 81-20-023 (Order 81-31), § 392-139-005, filed 9/29/81, effective 12/27/81; 80-18-020 (Order 80-38), § 392-139-005, filed 11/26/80; 79-01-006 (Order 13-78), § 392-139-005, filed 12/8/78.]
This chapter contains rules for excess levy authority and state matching money for excess levies also known as local effort assistance. The general organization of the chapter is as follows:
Sections 001-099 General provisions and definitions.
Sections 100-299 Definitions for excess levy authority.
Sections 300-399 Determination of excess levy authority.
Sections 600-649 Definitions for local effort assistance.
Sections 660-679 Determination of local effort assistance ((for 1998 and thereafter)).
Sections 900-999 Notification, petitions and requests forreview.
[Statutory Authority: RCW 84.52.0531(a) and 28A.150.290(2). 98-08-096 (Order 98-06), § 392-139-007, filed 4/1/98, effective 5/2/98. Statutory Authority: RCW 28A.150.290(2) and 84.52.0531(10). 93-21-092 (Order 93-20), § 392-139-007, filed 10/20/93, effective 11/20/93. Statutory Authority: RCW 28A.41.170 and 84.52.0531(10). 89-23-121 (Order 18), § 392-139-007, filed 11/22/89, effective 12/23/89; 88-03-007 (Order 88-6), § 392-139-007, filed 1/8/88.]
This chapter applies to levy authority and local effort assistance calculations for the 2000 calendar year and thereafter. Levy authority and local effort assistance calculations for 1998 and 1999 calendar years are governed by rules in effect during these years.
[]
The superintendent of public instruction shall calculate each school district's excess levy base as provided in this section. Levy base adjustments pursuant to WAC 392-139-901 shall be included in revenues shown in this section.
(1) Sum the following state and federal allocations for the prior school year:
(a) The basic education allocation as defined in WAC 392-139-115 and as reported on the August Report 1191;
(b) The state and federal categorical allocations for the following:
(i) Pupil transportation. Allocations for pupil transportation include allocations for the following accounts:
4199 Transportation - operations; and
4499 Transportation - depreciation.
(ii) Special education. Allocations for special education include allocations for the following accounts:
4121 Special education; and
6124 Special education supplemental.
(iii) Education of highly capable students. Allocations for education of highly capable students include allocations identified by account 4174 Highly capable.
(iv) Compensatory education. Allocations for compensatory education include allocations identified by the following accounts:
4155 Learning assistance;
4165 Transitional bilingual;
6151 Remediation;
6153 Migrant;
6164 Bilingual Title VII Part A;
6167 Indian education - JOM;
6264 Bilingual (direct); and
6268 Indian education - ED.
(v) Food services. Allocations for food services include allocations identified by the following accounts:
4198 School food services (state);
6198 School food services (federal); and
6998 USDA commodities.
(vi) State-wide block grant programs. Allocations for state-wide block grant programs include allocations identified by the following accounts:
4175 Local education program enhancement (including student learning improvement allocations); and
6176 Targeted assistance.
(c) General federal programs. Allocations for general federal programs identified by the following accounts:
5200 General purpose direct federal grants - unassigned;
6100 Special purpose - OSPI - unassigned;
6138 Secondary vocational education;
6146 Skills center;
6177 Eisenhower professional development; and
6200 Direct special purpose grants((; and
6246 Skills center - direct federal grant)).
(2) Increase the result obtained in subsection (1) of this section by the percentage increase per full-time equivalent student in the state basic education appropriation between the prior school year and the current school year as stated in the state Operating Appropriations Act divided by 0.55.
(3) Revenue accounts referenced in this section are defined
in the accounting manual for public school districts in the state
of Washington, revised ((1997)) 1998, except for the revenue
accounts referenced in subsection (5) of this section, which are
defined in the accounting manual, revised 2000.
(4) The dollar amount of revenues for state and federal categorical allocations identified in this section shall come from the following sources:
(a) The following state and federal categorical allocations are taken from the Report 1197 Column A (Annual Allotment Due):
4121 Special education;
4155 Learning assistance;
4165 Transitional bilingual;
4174 Highly capable;
4175 Local education program enhancement;
4198 School food services (state);
4199 Transportation - operations;
4499 Transportation - depreciation;
6124 Special education - supplemental;
6138 Secondary vocational education;
6146 Skills center;
6151 Remediation;
6153 Migrant;
6176 Targeted assistance;
6177 Eisenhower professional development; and
6198 School food services (federal).
(b) The following state and federal allocations are taken from the F-195:
5200 General purpose direct federal grants - unassigned;
6100 Special purpose - OSPI - unassigned;
6164 Bilingual - Title VII Part A;
6167 Indian education - JOM;
6200 Direct special purpose grants;
((6246 Skills center - direct federal grant;))
6264 Bilingual (direct);
6268 Indian education - ED; and
6998 USDA commodities.
(5) Effective for levy authority and local effort assistance calculations for 2001 and thereafter, the following federal allocations are included in the levy base in subsections (1)(c) and (4)(b) of this section:
6121 Special education - Medicaid reimbursements;
6267 Indian education - JOM;
6367 Indian education - JOM; and
6300 Federal grants through other agencies - unassigned.
(6) Effective for levy authority and local effort assistance calculations for 2003 and thereafter, allocations in subsections (4)(b) and (5) of this section shall be adjusted by the difference between actual and budgeted allocations for the school year before the prior school year calculated as follows:
(a) Sum actual revenues for these accounts from Report F-196; and
(b) Subtract final budgeted revenues for these accounts from Report F-195.
(7) State moneys generated by a school district's students and redirected by the superintendent of public instruction to an educational service district at the request of the school district shall be included in the district's levy base.
(((6))) (8) State basic education moneys generated by a
school district's students and allocated directly to a technical
college shall be included in the district's levy base.
[Statutory Authority: RCW 84.52.0531(a) and 28A.150.290(2). 98-08-096 (Order 98-06), § 392-139-310, filed 4/1/98, effective 5/2/98. Statutory Authority: RCW 84.52.0531(10) and 28A.150.290. 96-19-037 (Order 96-13), § 392-139-310, filed 9/11/96, effective 10/12/96. Statutory Authority: RCW 28A.150.290(2) and 84.52.0531(10). 93-21-092 (Order 93-20), § 392-139-310, filed 10/20/93, effective 11/20/93; 92-19-124 (Order 92-07), § 392-139-310, filed 9/21/92, effective 10/22/92. Statutory Authority: RCW 28A.41.170 and 84.52.0531(10). 89-23-121 (Order 18), § 392-139-310, filed 11/22/89, effective 12/23/89; 88-03-007 (Order 88-6), § 392-139-310, filed 1/8/88.]
(((1) For 1998, each school district's maximum
excess levy percentage equals the district's 1993 excess levy
percentage plus two percent (e.g., 21.5% plus 2% equals 23.5%).
(2) For 1999 and thereafter,)) The superintendent of public instruction shall calculate each school district's maximum excess levy percentage as the greater of twenty-four percent or the percentage calculated as follows:
(((a))) (1) Multiply the district's excess levy base
determined pursuant to WAC 392-139-310 by((:
(i) For 1999, the school district's 1993 maximum excess levy percentage plus four percent (e.g., 21.5% plus 4% equals 25.5%);
(ii) For 2000 and thereafter,)) the school district's maximum excess levy percentage for the prior calendar year;
(((b))) (2) Subtract from the result ((obtained in (a))) of
subsection (1) of this ((subsection)) section the school
district's levy reduction funds for the year of the levy; and
(((c))) (3) Divide the result ((obtained in (b))) of
subsection (2) of this ((subsection)) section by the school
district's excess levy base.
[Statutory Authority: RCW 84.52.0531(a) and 28A.150.290(2). 98-08-096 (Order 98-06), § 392-139-320, filed 4/1/98, effective 5/2/98. Statutory Authority: RCW 84.52.0531(10) and 28A.150.290. 96-19-037 (Order 96-13), § 392-139-320, filed 9/11/96, effective 10/12/96. Statutory Authority: RCW 28A.150.290(2) and 84.52.0531(10). 93-21-092 (Order 93-20), § 392-139-320, filed 10/20/93, effective 11/20/93. Statutory Authority: RCW 28A.41.170 and 84.52.0531(10). 89-23-121 (Order 18), § 392-139-320, filed 11/22/89, effective 12/23/89; 88-03-007 (Order 88-6), § 392-139-320, filed 1/8/88.]
As used in this chapter, "district ((ten)) twelve
percent levy rate" means the district ((ten)) twelve percent levy
amount divided by the district adjusted assessed valuation for
taxes collected in the prior calendar year.
[Statutory Authority: RCW 28A.150.290(2) and 84.52.0531(10). 93-21-092 (Order 93-20), § 392-139-610, filed 10/20/93, effective 11/20/93. Statutory Authority: RCW 84.52.0531(10) and 28A.41.170. 88-03-007 (Order 88-6), § 392-139-610, filed 1/8/88.]
As used in this chapter, "state-wide
average ((ten)) twelve percent levy rate" means ((ten)) twelve
percent of the total excess levy bases for the next calendar year
determined pursuant to WAC 392-139-310 for all school districts
divided by the total adjusted assessed valuation for all school
districts for taxes collected in the prior calendar year.
[Statutory Authority: RCW 28A.150.290(2) and 84.52.0531(10). 93-21-092 (Order 93-20), § 392-139-615, filed 10/20/93, effective 11/20/93. Statutory Authority: RCW 84.52.0531(10) and 28A.41.170. 88-03-007 (Order 88-6), § 392-139-615, filed 1/8/88.]
As used in this chapter,
"eligible school district" ((for 1998 and thereafter)) means a
school district whose ((ten)) twelve percent levy rate exceeds
the state-wide average ((ten)) twelve percent levy rate.
[Statutory Authority: RCW 84.52.0531(a) and 28A.150.290(2). 98-08-096 (Order 98-06), § 392-139-620, filed 4/1/98, effective 5/2/98. Statutory Authority: RCW 28A.150.290(2) and 84.52.0531(10). 93-21-092 (Order 93-20), § 392-139-620, filed 10/20/93, effective 11/20/93. Statutory Authority: RCW 28A.41.170 and 84.52.0531(10). 89-23-121 (Order 18), § 392-139-620, filed 11/22/89, effective 12/23/89; 88-03-007 (Order 88-6), § 392-139-620, filed 1/8/88.]
As used in this chapter, "state matching
ratio" ((for 1998 and thereafter,)) means the ratio calculated
for each school district as follows:
(1) Subtract the state-wide average ((ten)) twelve percent
levy rate from the district ((ten)) twelve percent levy rate; and
(2) Divide the result by the state-wide average ((ten))
twelve percent levy rate.
[Statutory Authority: RCW 84.52.0531(a) and 28A.150.290(2). 98-08-096 (Order 98-06), § 392-139-625, filed 4/1/98, effective 5/2/98. Statutory Authority: RCW 28A.150.290(2) and 84.52.0531(10). 93-21-092 (Order 93-20), § 392-139-625, filed 10/20/93, effective 11/20/93. Statutory Authority: RCW 84.52.0531(10) and 28A.41.170. 88-03-007 (Order 88-6), § 392-139-625, filed 1/8/88.]
The superintendent of public instruction
shall calculate maximum local effort assistance for each eligible
school district ((for calendar years 1998)) as follows:
(1) Subtract the state-wide average ((ten)) twelve percent
levy rate from the district ((ten)) twelve percent levy rate;
(2) Divide the result obtained in subsection (1) of this
section by the district ((ten)) twelve percent levy rate; and
(3) Multiply the result obtained in subsection (2) of this
section by the district ((ten)) twelve percent levy amount.
[Statutory Authority: RCW 84.52.0531(a) and 28A.150.290(2). 98-08-096 (Order 98-06), § 392-139-660, filed 4/1/98, effective 5/2/98. Statutory Authority: RCW 28A.150.290(2) and 84.52.0531(10). 93-21-092 (Order 93-20), § 392-139-660, filed 10/20/93, effective 11/20/93. Statutory Authority: RCW 28A.41.170 and 84.52.0531(10). 89-23-121 (Order 18), § 392-139-660, filed 11/22/89, effective 12/23/89; 88-03-007 (Order 88-6), § 392-139-660, filed 1/8/88.]
The superintendent of public instruction shall
calculate each eligible school district's local effort assistance
entitlement ((for 1998 and thereafter)) as the lesser of the
following amounts:
(1) The school district's certified excess levy for the calendar year as reported to the superintendent of public instruction pursuant to WAC 392-139-665 times the school district's state matching ratio for the calendar year calculated pursuant to WAC 392-139-625; or
(2) The school district's maximum local effort assistance
((for 1998)) calculated pursuant to WAC 392-139-660((, and for
1999 and thereafter calculated pursuant to WAC 392-139-661)).
[Statutory Authority: RCW 84.52.0531(a) and 28A.150.290(2). 98-08-096 (Order 98-06), § 392-139-670, filed 4/1/98, effective 5/2/98. Statutory Authority: RCW 28A.150.290(2) and 84.52.0531(10). 93-21-092 (Order 93-20), § 392-139-670, filed 10/20/93, effective 11/20/93. Statutory Authority: RCW 28A.41.170 and 84.52.0531(10). 89-23-121 (Order 18), § 392-139-670, filed 11/22/89, effective 12/23/89; 88-03-007 (Order 88-6), § 392-139-670, filed 1/8/88.]
((For 1998 and
thereafter,)) The superintendent of public instruction shall
distribute local effort assistance moneys pursuant to the
schedule provided in RCW ((28A.500.010(4))) 28A.500.040.
[Statutory Authority: RCW 84.52.0531(a) and 28A.150.290(2). 98-08-096 (Order 98-06), § 392-139-676, filed 4/1/98, effective 5/2/98. Statutory Authority: RCW 28A.150.290(2) and 84.52.0531(10). 93-21-092 (Order 93-20), § 392-139-676, filed 10/20/93, effective 11/20/93; 92-19-124 (Order 92-07), § 392-139-676, filed 9/21/92, effective 10/22/92.]
The following sections of the Washington Administrative Code are repealed:
| WAC 392-139-605 | Definition -- District ten percent levy amount. |
| WAC 392-139-622 | Definition -- Districts eligible for ten percent equalization -- 1999 and thereafter. |
| WAC 392-139-623 | Definition -- Districts eligible for twelve percent equalization -- 1999 and thereafter. |
| WAC 392-139-661 | Determination of maximum local effort assistance -- 1999 and thereafter. |