The bill amends Washington state law regarding K-12 funding, particularly focusing on enrichment levies and local effort assistance for school districts. It increases the maximum dollar amount for enrichment levies from $2.50 to $2.50 per $1,000 of assessed property value and introduces new definitions for "inflation enhancement" and "maximum per-pupil limit." A new inflation enhancement schedule for 2026 to 2030 is established, detailing specific dollar amounts and percentage increases. Additionally, the local effort assistance funding formula is modified, raising the threshold for eligible school districts from $1.50 to $1.50 per $1,000 of assessed value. The bill also revises state property tax limitations for common schools, adjusting definitions related to "limit factor" and "population change," and ensures timely implementation of these changes for taxes levied in 2026 and beyond.

Moreover, the bill modifies the safety net funding process for special education, allowing the state safety net oversight committee to award additional funds to districts with special education expenditures exceeding available state revenues. It introduces new eligibility criteria for safety net awards based on high-need students' individualized education program costs relative to average per-pupil expenditures. The bill mandates the superintendent of public instruction to streamline the application process for safety net funding and conduct annual surveys for district feedback. To promote equitable funding, a work group is established to analyze current funding formulas and propose revisions addressing disparities, with annual reports to the legislature through 2027. Additionally, provisions for funding substitute costs for prototypical school staff starting in the 2028-29 school year are included, ensuring adjustments for inflation.

Statutes affected:
Original Bill: 84.52.0531, 28A.500.015, 84.55.005, 84.04.140, 28A.150.390, 28A.150.392, 28A.150.560
Substitute Bill: 84.52.0531, 28A.500.015, 84.55.005, 28A.150.390, 28A.150.392, 28A.150.560