District staff brief board on new levy cap law; change could increase local tax collections beginning 2026

Ben Rearick summarized an informational briefing the district prepared on annual excess levy (EP&O) certification to the county. He said the board must certify levy collections to the county each November and reviewed how past levy caps prevented some districts from collecting the full amounts voters authorized.

Staff explained the Legislature revised levy limits and is phasing in a higher per‑pupil cap so that, over time, the gap between districts with different property‑wealth profiles and districts like Seattle will narrow. Rearick said the district's last voter‑authorized levy amount was $26,700,000 (the amount voters approved on the ballot) and that under the new law the district would still not be able to collect the full amount; staff estimated the district would be allowed to collect roughly $1.3 million less than the ballot amount for calendar year 2026 because the cap applies on a per‑pupil basis and Tumwater’s pupil counts are lower.

Key points and next steps - Mechanics: staff explained the law applies a per‑pupil cap for districts such as Tumwater; some districts are instead limited by a rate cap ($2.50 per $1,000 assessed value) depending on local property wealth. The district’s projected per‑pupil cap for 2026 was discussed in the memo and presentation. - Transfers and per‑pupil effects: staff clarified that when students transfer into the district a portion of levy capacity can be unlocked; however, in practice the district does not receive new levy dollars from a transfer if it is already collecting the maximum it can. The presentation noted limited exceptions for virtual/other scenarios. - Communication: board members emphasized the need for clear public communication; staff said the presentation and memo were intended to demystify a technical topic and recommended transparent outreach to taxpayers before collections change.

Discussion vs. decision - Discussion: staff provided a detailed explanation of levy law mechanics, per‑pupil caps, how increases will be phased in and how transfers affect levy capacity. - Direction: no formal action was required or taken tonight; staff said materials would be posted online and that the district would prepare communications for taxpayers ahead of any change in collections. - Decision: none — the briefing was informational only.

Speakers quoted in this article are included in the speaker list below. Ending: staff said they will post the explanatory materials to the district website and provide outreach so taxpayers understand how the law change affects levy collections in 2026.