2012 Legislative Session Summary

1. 2012 Legislative Session Summary Office of Superintendent of Public Instruction April 20, 2012

2. Agenda • Welcome & Introductions • School Facilities Capital Budget • Student Transportation • Questions from the Sites • K-12 Policy Legislation and Operating Budget • Questions from the Sites • Adjourn Non-interactive sites may e-mail questions to Thomas.Kelly@k12.wa.us

3. School Facilities Capital Budget

4. Major Bills Passed

5. Capital Budget* *Combined appropriations from ESB 6074 - Supplemental Capital Budget & ESB 5127 - 2012 Jobs Now Act

6. ALE Impact on SCAP • SSB 6002 was signed by the Governor with the following impacts : • Effective immediately, excludes out-of-district ALE enrolled students from calculations for school construction assistance. • Three school districts will lose state assistance for the July 2012 release. • An alternative calculation allows school districts at their discretion to replace headcounts of ALE in-district students who are not in seats with out-of-district students who are in seats. • OSPI is directed to write rules to define “regular basis” and “reasonable duration” to determine the alternate headcount calculations.

7. 12 16 20 32 In-District Out-of-District In Seats Out of Seats

8. Co-Located Facilities • SSB 6038 directs OSPI to “adopt rules…to ensure that a host school district is not penalized for the entirety of a shared or colocated facility when calculations for state school construction assistance are made.” • Who are colocated facilities? • Skills Centers • Shared STEM School (Delta)

9. Other Bills • SSB 6581 eliminates the common school reimbursable account that received a one-time appropriation of $250M in 1992 to fund the School Construction Assistance Program.

10. Student Transportation

11. Student Transportation Section 505 (9) • OSPI, with WASBO and WAPT, must develop a unit cost or hybrid funding model • Use currently collected data • Simplify the formula and cover fixed costs • Report due by September 30th

12. Questions from the Sites?

13. K-12 Policy Legislation and Operating Budget

14. Teacher and Principal Evaluation Project (TPEP) • ESSB 5895 clarifies requirements for new teacher and principal evaluation systems initiated through the TPEP pilot through E2SSB 6696. • $5,767,000 appropriated for FY 13 to enact ESSB 5895. • Provide evaluator training for all principals and assistant principals through OSPI (Beginning August 2012). • Provide additional RIG district collaboration and evaluation model development through ESDs (Beginning September 2012). • Provide grants to pilot districts to continue studying specific aspects of evaluation design and implementation issues.

15. TPEP Continued • Must start new evaluation system by 2013 – 14 school year and be fully operational by 2015-16 school year. • All provisional and probationary classroom teachers on comprehensive evaluation. • OSPI to create rules: • Sept. 1, 2012 - Identification of three instructional and three leadership frameworks. • Dec. 1, 2012 - Prescribe a common method for calculating the comprehensive and focused evaluations.

16. Early Learning • State-funded full-day Kindergarten • No changes this session • Funding increases from 21% to 22% of students in 2012-13 • Because of enrollment increases in existing schools, no new schools will be added in 2012-13 • Kindergarten Assessment (WaKIDS) • Additional $1 million provided ($1.4 million total) • No significant policy changes • All state-funded full-day Kindergarten classrooms required to administer unless a waiver is approved • Others may participate • Funding available for training and assessment costs • Implementation schedule continues to be tied to full-day K • Did not ramp-up implementation faster as included in state’s RTTT application • Work group to address implementation issues • K-3 Class size reduction funding • No change

17. Collaborative Schools – ESHB 2799 • Collaborative Schools for Innovation and Success Pilot for colleges of education and school districts to collaborate in implementing research-based models of instruction and professional development in one low achieving elementary school. • Applications due to OSPI and PESB by July 1, 2012 – 6 applicants chosen by August 2012 and 3 receive $500,000 grant for 2012-13.

18. New Grants

19. STEM Grants – EHB 2159 • $250,000 for one-time start-up costs for 10 high schools to offer advanced project lead the way courses in the 2012-13 school year. • $150,000 for one-time equipment and curriculum costs for 2 skill centers to implement aerospace and manufacturing programs. • $300,000 for start-up costs for 12 high schools to implement an aerospace assembler training program by spring semester of 2012-13.

20. Education Funding Taskforce • McCleary Supreme Court Decision: “The State has not complied with its Article IX, Section 1 duty to make ample provision for the education of all children in Washington.” • HB 2824 repealed I-728 and created a joint task force with 8 legislative members and 3 Governor appointees to: • Recommend one preferred alternative for a permanent funding mechanism to fund basic education. • Final Report due 12/31/12.

21. TBIP Revised Funding Formula • A new funding model that provides a scaled funding formula based on levels of English language proficiency and supplemental funding for students that exit TBIP will not be implemented in 2012-13. • However, • OSPI is required to submit a budget request for the 2013-15 biennium; and the • Education funding taskforce is to provide recommendations for a revised model.

22. Educator Interpreter Standards • PESB is provided $25,000 to develop standards and identify interpreter assessments that: • Include both written and performance assessments, • Is offered by a national organization, and • Assess more than one sign system. • PESB will make the standards and assessments available for school district use.

23. STEM Policy Bills • ESB 5974 includes national STEM exams to the list that qualify for postsecondary credit. • HB 2160 requires PESB to include the integration of STEM in the teacher certification standards, assessment and renewal requirements. • SSB 6041 adds elementary schools to the potential STEM lighthouse designees.

24. Foster Youth – SHB 2254 • OSPI must come up with an implementation plan to allow foster youth educational records to be shared with DSHS at least quarterly. • OSPI must annually report on the number of days following placement to resume school and the number of days from request to delivery of school records when foster youth change schools. • School districts must waive courses required for graduation if similar coursework was completed in another school district or provide justification for denial. • School districts are encouraged to offer credit retrieval opportunities to foster youth.

25. Truancy Laws – SSB 6494 • Truancy petition age requirement reduced from 17 to 16 year olds. • Truancy petitions must include child’s academic status. • Once court assumes jurisdiction, the school district must update the court about the child’s academic status.

26. State Board of Education Rules • SHB 2492 requires the State Board of Education to publish a fiscal impact statement and the board must hear a presentation from OSPI when adopting rules that will have a fiscal impact on school districts. • OSPI must solicit fiscal impact estimates from a representative sample of school districts.

27. Openly Licensed Courseware • E2SHB 2337 directs OSPI to develop a library of openly licensed courseware aligned with the Common Core standards.

28. School District Insolvency • SHB 2617 created a definition for financial insolvency. • Developed a timeframe, criteria and a process for initiating dissolution of a district. • Addresses how staff contracts, liabilities, bonds and levies are to be handled. • State level Financial Oversight Committee is convened when a district is determined to be financially insolvent.

29. State Retirement Plans 2ESB 6378 closes the subsidized alternate early retirement benefits to members that join on or after May 1, 2013 and creates a new subsidized early retirement benefit for new members.

30. State Retirement Plans • 2ESB6378 requires the Select Committee on Pension Policy, with assistance from OSPI to study existing early retirement factors and job requirements that may limit the effectiveness of the older classroom employee. • Study is to identify groups to be included in the public safety employees retirement system or the creation of other early retirement factors. • Study is due December 15, 2012.

31. School Employee Insurance Benefits ESSB 5940 requires several changes to school employee insurance benefits: • Every employee must pay a minimum premium for medical benefit coverage, and richer benefit plans must charge higher premiums. • Districts offering medical, vision and dental benefits must: • Offer a high deductible plan option with a health savings account, and • Make progress toward employee premiums for full family that are not more than three times that of single employee coverage, and • Offer employees at least one comprehensive health benefit plan in which the employee share of the premium for a full-time employee does not exceed the share of premiums paid by state employees (approx. 15%).

32. School Employee Insurance Benefits ESSB 5940 changes continued: • School districts must competitively bid health benefit provider contracts. • Make progress on promoting healthcare innovations, cost savings and reducing administrative costs. • Submittal of expanded health benefit plan financial and enrollment data to the Office of the Insurance Commissioner (OIC).

33. School Employee Insurance Benefits ESSB 5940changes continued: • Districts who don’t comply with reporting requirements are limited to offering employee benefits through the state HCA. • Benefit providers who don’t comply are subject to OIC enforcement. • OIC must report annually, beginning December 1, 2013 on district data. • OIC must consult with school districts to ensure the data and reports from the benefit providers will meet legislative requirements.

34. School Employee Insurance Benefits ESSB 5940changes continued: • HCA must report by June 1, 2015 with an analysis of the OIC reports and whether school employee insurance benefits can be changed (via consolidation or other methods) to be more cost effective. • JLARC must report by December 31, 2015 on the progress of districts meeting the legislative goals and performance expectations. • In the 2015-2016 school year, JLARC must rate school district performance and will provide performance grants to the highest performing districts from a future $5 million appropriation.

35. Questions from the Sites?

36. Important Links • Legislative Budgets http://leap.leg.wa.gov/leap/archives/index_budgetsp.asp • Budget Driver (John Jenft) Rate Sheet http://www.k12.wa.us/safs/12budprp.asp • Pivot Table http://www.k12.wa.us/safs/12budprp.asp • Governor’s Summary of Health Benefits Bill http://www.governor.wa.gov/news/summary_2012/2012-04-12_K-12.pdf • WSSDA Summary of Health Benefits Bill http://www.wssda.org/Portals/0/legislative/LegUpdates2012/ESSB%205940%20Summary.pdf

37. Thank you! • Final bills may be obtained at the State Legislature website at www.leg.wa.gov • Please email additional questions to:jackie.hansman@k12.wa.us