Senate committee hears bill letting districts bond against voter‑approved levies to speed school construction
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Summary
Proponents told a Senate education committee that House Bill 17‑96 would allow school districts to front‑fund voter‑approved capital levies and issue non‑voted bonds within existing constitutional limits to accelerate construction and reduce inflationary costs; opponents warned it could be perceived as circumventing voter control, though staff clarified a levy must already be approved.
House Bill 17‑96 would let Washington school districts issue non‑voted indebtedness — bonds backed by a previously voter‑approved capital levy — to fund new construction and related furniture and equipment, a measure proponents said will speed projects and save taxpayers money.
Alex, the committee staffer, told senators the bill inserts a new capital‑project category allowing districts to use up to the existing 0.375% indebtedness limit for new construction if the district has a voter‑approved capital levy and has not been on binding conditions in the prior three years. He said a 2025 fiscal note estimated no fiscal impact, while an updated 2026 fiscal note treated costs as indeterminate depending on whether districts access the School Construction Assistance Program (SCAP).
Representative Lisa Cowan, the bill sponsor, said the policy lets districts "bond against the revenue that's coming in, contract for those services, make that... start building" so work can begin earlier and avoid escalating construction costs. John Holman, superintendent of Lake Washington School District, told the committee the bill “does not increase qualification or change qualification for school construction assistance,” and offered an amendment to delay SCAP access by two years for districts that front‑fund to give the Legislature planning time.
District finance officials and board members emphasized timing and inflation as core drivers. Lisa Guthrie, Lake Washington School Board president, said the district’s recently passed capital levy will fund new schools and that delaying construction while waiting for levy receipts "costs more to build the same school 5 years from now than it will today." Martin Turney, Issaquah School District chief of finance operations, said the measure aligns statutes so districts can implement voter‑approved projects within constitutional limits and preserves public‑notice and hearing safeguards.
Opponents raised concerns about voter voice and debt. Eric Lundberg testified the bill is "a real insult to taxpayers" and said it sets a dangerous precedent by allowing borrowing without a new vote. Committee staff and members responded that the bill requires an underlying, voter‑approved capital levy before districts may bond and clarified the measure does not waive voter approval for the levy itself.
The committee did not take a roll‑call vote on HB 17‑96 during the public hearing. The bill was presented and debated with witness panels in favor and at least one public opponent; sponsors and staff offered clarifying amendments intended to address budget‑planning concerns tied to SCAP.