This bill amends multiple education and property tax statutes and creates new sections to change levy limits, school funding formulas, and special education funding procedures. It proposes raising state and local property tax limit authority from one percent to three percent in intent language, amends RCW 84.52.0531 and 28A.500.015 among others, and repeals RCW 84.55.0101. The bill also creates a K-12 funding equity work group and contains various effective date and applicability provisions; specific effective and expiration dates are not included in the extracted text. On property taxes and levies, the bill revises the maximum enrichment levy to the lesser of $2.50 per $1,000 assessed value or a maximum per-pupil limit defined in the statute. It sets transitional per-pupil limits through 2030 and a different per-pupil dollar limit beginning in 2031 ($5,035, with inflation adjustments beginning for levies collected in 2032), and defines “inflation” and “inflation enhancement” with specified dollar or percentage adjustments for 2026–2031. Beginning with levies for collection in 2020, school districts must obtain voter approval of an enrichment levy expenditure plan before placing a levy proposition on the ballot, and enrichment levy revenues (from taxes levied for collection in 2018 onward) must be deposited in a separate subfund with specified restrictions and audits for 2018–19. The bill establishes state local effort assistance funding beginning in 2020 with formulas tied to a $1,550-per-student threshold adjusted for inflation and enhancements, including special calculation rules for state-tribal education compact schools beginning in 2022. It defines a “limit factor” as 100 percent plus population change and inflation, capped at 103 percent, directs the Department of Revenue to provide limit factors to county assessors beginning in 2025, and requires county assessors to notify taxing districts. On special education and related procedures, the bill keeps special education funding on an excess cost basis with specified allocation multipliers (including 1.2 for certain early-age students and 1.12 or 1.06 for others), requires the superintendent of public instruction to submit programmed special education budget requests to each odd-year legislative session, and strengthens safety net procedures. Safety net awards must account for potential Medicaid billing and unresolved audit findings, and the superintendent must adopt rules, streamline applications, provide technical assistance, survey districts annually, and report results. Beginning in 2023–24, high-need students become eligible for certain safety net awards when IEP costs exceed 2.0 times average per-pupil expenditure for smaller districts or 2.2 times for larger districts. The superintendent must develop an allocation and cost accounting method that shifts 30 percent of a district’s base allocation to its special education program, report prorated general apportionment allocations by district by January 1, 2024 and every odd-numbered year thereafter, and convene a time-limited K-12 funding equity work group to analyze funding formulas and report options by November 1, 2025 and annually through 2027; that work group expires December 1, 2027. Several provisions in the provided text are incomplete or truncated (for example, a sentence about the maximum allowable indirect cost is cut off), and some cross-references and exact effective or expiration dates referenced elsewhere in the bill are not included in the extracted facts.

If enacted, the bill would let local taxing districts increase regular property tax collections by up to about 3 percent per year (limit factor capped at 103 percent), give school districts larger, phased increases in how much they can raise through enrichment levies (per-pupil limits that rise through 2031 to a $5,035 target and a $2.50 per $1,000 assessed value cap), require enrichment levy revenues to be held in a separate subfund and approved expenditure plans before a levy goes to voters, and start or expand state local effort assistance for districts whose $1.50 levy produces less than a per-student threshold. County assessors and the Department of Revenue must calculate and notify annual limit factors starting in 2025, and key levy provisions apply to taxes levied for collection in 2026 and later. The groups most affected are property taxpayers (who likely face higher taxes if local governments use the new authority), local taxing districts and school districts (which gain more levy capacity and new reporting and fund-management duties), county assessors and the Department of Revenue (new calculation and notification duties), and the Office of Superintendent of Public Instruction (new budget submission, rulemaking, safety net reform, surveys, and a K‑12 funding equity work group). Special education funding rules and safety-net procedures are tightened and simplified with new eligibility and allocation methods that shift part of general apportionment to special education and create clearer award criteria; however, some implementation details and exact effective or expiration dates are missing from the provided text, and one safety-net provision is truncated, so the full operational impact is partly uncertain.