This bill amends and adds to chapter 43.31 RCW and related sections to revise the early learning facilities grant and loan program. It creates two named state treasury accounts—the Ruth LeCocq Kagi early learning facilities revolving account and the Ruth LeCocq Kagi early learning facilities development account—specifies permitted revenues and uses for each, and repeals RCW 43.31.567. It also adds a new section to chapter 43.31 RCW and expressly authorizes the department to adopt implementing rules. These are statutory changes that create new accounts, modify existing law, and repeal an existing statutory section. Substantive program and procedural changes include naming the Department of Commerce (in consultation with DCYF) as the lead agency and allowing contracting with nongovernmental public-private partnerships certified by the CDFI Fund to implement and administer grants and loans. The bill expands eligible activities (predesign, predevelopment, renovations and repairs, major construction and purchases, emergency project grants, and certain administration costs), requires site control and a 10-year facility use commitment, limits department administration costs to an average of 4% of appropriations, and states legislative intent to encourage but not require matching funds in cases of financial hardship and to prohibit using match level as a competitive criterion. It authorizes waiver of grant repayment if an eligible organization continues to operate an early learning program in the facility, uses the facility as authorized, and remains an active, in-good-standing Early Achievers participant. It establishes prioritization procedures including a convened expert committee with specified representatives to advise criteria, sets reporting and submission deadlines (annual reports from certified partnerships due July 1; ranked lists for school district and tribal compact school projects to OFM and relevant legislative committees by September 15 of even-numbered years), and includes liability protections and possible indemnity or insurance for committee members. Some referenced material and specific statutory language are not included in the extracted facts: the full text of the new section added to chapter 43.31 RCW, the complete wording of the repeal of RCW 43.31.567, and the full text of several cited RCW provisions (for example RCW 43.31.577, 43.31.579, 43.31.581, and 43.31.583) are not present in the provided extracts.

If enacted, the bill creates two state accounts dedicated to building, buying, renovating, and repairing early learning facilities and opens multiple funding pathways (including legislative appropriations, bond proceeds, repayments, and grants) to pay for predesign, predevelopment, renovations, major construction, purchases, and emergency repairs. The Department of Commerce will lead the program with DCYF and OSPI involvement for school projects, may hire CDFI‑certified public‑private partners to award and manage grants and loans, must keep its administrative costs low (about 4% on average), and will prioritize projects that are ready to build; school district and tribal projects will be ranked and sent to OFM by September 15 of even years. Early learning providers, school districts, tribal compact schools, developers, and CDFI partnerships are the most affected: they will likely see more organized state funding and a chance at grants or loans but will need to demonstrate at least 10 years of site control and commit to using facilities for preschool/child care for 10 years, and providers must remain in good standing with the Early Achievers program to qualify for loan‑repayment waivers. Applicants may be expected to bring private or local matching funds when feasible (though matches cannot be required for those in financial hardship), and new reporting, prioritization, and contract requirements will add administrative steps; some implementation details and how certain referenced sections will be applied are not included in the extracted text, so specific operational rules remain uncertain.