School vehicle funds

AN ACT Relating to school district transportation vehicle funds; 1
and amending RCW 28A.320.340 and 28A.160.130. 2
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:3
Sec. 1. RCW 28A.320.340 and 2025 c 384 s 1 are each amended to 4
read as follows: 5
(1) A school district that is in binding conditions pursuant to 6
RCW 28A.505.110 or under enhanced financial oversight pursuant to RCW 7
28A.315.221 may take a temporary interfund loan from its capital 8
projects fund or transportation vehicle fund , subject to the 9
following conditions: 10
(a) The borrowing fund must repay the full loan amount to the 11
loaning ((capital projects)) fund within one calendar year;12
(b) The loaning ((capital projects)) fund may not charge interest 13
on the amounts loaned; 14
(c) The loan may not be made to the detriment of any function or 15
project for which the loaning ((capital projects )) fund was 16
established; 17
(d) The school district's financial reports, including monthly 18
financial reports provided to the board of directors of the district, 19
must specify all outstanding interfund loan balances.20
S-3812.1
SENATE BILL 6065
State of Washington 69th Legislature 2026 Regular Session
By Senators Dozier, Cortes, and J. Wilson
Prefiled 01/09/26. Read first time 01/12/26. Referred to Committee
on Early Learning & K-12 Education.
p. 1 SB 6065
(2)(a) The board of directors of a qualifying school district 1
must adopt a resolution to approve a temporary interfund loan 2
transaction. The resolution must contain the exact amount of the 3
loan, the funds involved, the specific source of funds for repayment, 4
and the schedule for repayment. 5
(b) If a school district is under enhanced financial oversight 6
pursuant to RCW 28A.315.221, the temporary interfund loan transaction 7
must additionally be approved by the special administrator appointed 8
to oversee and carry out financial conditions imposed on the district 9
as recommended by the financial oversight committee.10
(3) The office of the superintendent of public instruction shall 11
adopt rules as necessary to implement this section.12
Sec. 2. RCW 28A.160.130 and 2022 c 200 s 1 are each amended to 13
read as follows: 14
(1) There is created a fund on deposit with each county treasurer 15
for each school district of the county, which shall be known as the 16
transportation vehicle fund. Money to be deposited into the 17
transportation vehicle fund shall include, but is not limited to, the 18
following: 19
(a) The balance of accounts held in the general fund of each 20
school district for the purchase of approved transportation equipment 21
and for major transportation equipment repairs under RCW 28A.150.280. 22
The amount transferred shall be the balance of the account as of 23
September 1, 1982; 24
(b) Reimbursement payments provided for in RCW 28A.160.200 except 25
those provided under RCW 28A.160.200(3) that are necessary for 26
contracted payments to private carriers; 27
(c) Earnings from transportation vehicle fund investments as 28
authorized in RCW 28A.320.300; and 29
(d) The district's share of the proceeds from the sale of 30
transportation vehicles, as determined by the superintendent of 31
public instruction. 32
(2) Funds in the transportation vehicle fund may be used for the 33
following purposes: 34
(a) Purchase of pupil transportation vehicles pursuant to RCW 35
28A.160.200 and 28A.150.280; 36
(b) Payment of conditional sales contracts as authorized in RCW 37
28A.335.200 or payment of obligations authorized in RCW 28A.530.080, 38
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entered into or issued for the purpose of pupil transportation 1
vehicles; 2
(c) Major repairs to pupil transportation vehicles;3
(d) To complete a feasibility plan to transition from gas or 4
diesel pupil transportation vehicles to electric or zero emission 5
pupil transportation vehicles; 6
(e) Purchase, installation, and repair of electric pupil 7
transportation vehicle charging stations and other zero emission 8
pupil transportation vehicle fueling stations and for other costs 9
necessary for station installation; and 10
(f) Converting or repowering existing gas or diesel pupil 11
transportation vehicles to electric or zero emission pupil 12
transportation vehicles. 13
(3) A school district that is in binding conditions pursuant to 14
RCW 28A.505.110 or under enhanced financial oversight pursuant to RCW 15
28A.315.221 may petition the superintendent of public instruction to 16
transfer money from its transportation vehicle fund to another school 17
fund. If a school district has taken a temporary interfund loan from 18
its transportation vehicle fund under RCW 28A.320.340, the petition 19
may include a request to convert the temporary interfund loan to a 20
permanent transfer of funds with no requirement for repayment. The 21
office of the superintendent of public instruction may only approve 22
the petition if the transfer is not detrimental to any function or 23
project for which the transportation vehicle fund was established.24
(4) The superintendent of public instruction shall adopt rules 25
which shall establish the standards, conditions, and procedures 26
governing the establishment and use of the transportation vehicle 27
fund. The rules shall not permit the transfer of funds or temporary 28
interfund loans from the transportation vehicle fund to any other 29
fund of the district except as authorized under this section and RCW 30
28A.320.340. 31
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