Proposed Changes to WSSDA Dues Formula
Recommended by the WSSDA Board of Directors for consideration by a vote of the WSSDA membership at the 2019 Delegate Assembly
After careful consideration of the formula used to assess individual school districts dues for WSSDA services, the WSSDA Board of Directors is making recommendations to reconfigure the dues formula to:
- simplify the formula and create more transparency
- increases equity among school districts
- eliminates outliers (districts who either overpay or underpay dues when compared to other districts their size)
- aligns the formula with WA’s current education funding model
- provide an immediate reduction in dues for 155 school districts
The proposed changes can be found in the resource section of the Delegate Assembly Handbook on p.56 and at this link: Overview of Proposed Changes (PDF)
The specific impacts of the proposed changes on individual school districts can also be found in the resource section of the Delegate Assembly Handbook on p.64 and at this link: Impacts of Proposed Changes (PDF)
For your reference, a list of Frequently Asked Questions
is included below:
Q: Is this a dues increase?
A: This is a reconfiguration of the dues formula to be more transparent, more equitable, and aligned with the current education funding model. This reconfiguration would result in 155 school districts seeing a reduction in dues and 140 school districts seeing an increase. The overall projected increase in revenue for WSSDA is about $175k.
Q: Will these changes cause my school district’s dues to go up each year?
A: Not necessarily. The proposed formula is based on a percentage of the amount of funding that the state gives you for each teacher in your district. If the state follows through on their commitment to raise that amount using the Implicit Price Deflator (IPD), that base amount may go up slightly. The dues that are then calculated for your band may go up by your band’s percentage of that increase. For example, if the IPD is two percent and the per FTE funding goes from $66,520 to $67,850, the calculated dues for Band A would go from $498.90 to $508.88. However, the proposed formula takes the amount of dues calculated and rounds it to the nearest $100. Therefore, the actual dues collected for Band A would remain at $500.
Q: What happens if the state decides to lower the amount of funding that they provide per certificated FTE?
A: In the unlikely event that the state decides to lower the amount of funding per certificated FTE, the actual amount of dues collected from each district may or may not go down according to the same logic outlined in the question above.
Q: Is there a cap on the maximum amount of dues that WSSDA can collect?
A: Yes. The law clearly states that the total of all dues assessed by WSSDA shall not exceed $0.27/$1000 of the statewide total of all school districts’ general fund receipts from the previous school year. Currently, WSSDA is only collecting 43 percent of the maximum allowable by law. This proposal would take that figure to 47 percent of the maximum allowable by law.
Q: What will the impact of these proposed changes be on my district?
A: A breakdown by WSSDA Director Area and individual school district can be found immediately following this FAQ section.
Q: Why are there a handful of districts that appear to have large changes in their dues?
A: According to the current formula and dues calculation, an individual district’s dues cannot increase more than five percent per year. If a district experiences growth and hires additional teachers, they may move up a band. If moving up a band results in a 50 percent increase in dues, the five percent rule would result in that district paying 45 percent less than the other districts in their new band. This creates outliers where some districts are paying significantly less than their peers of a similar size. The proposed changes would correct that by ensuring that all districts within a band paid the same flat rate.
Q: How do I know my dues are being spent on services for districts?
A: A recent review of WSSDA’s financial records shows that for each of the past 12 years, dues-based expenditures (money spent on direct support and/or services for districts) exceeds dues-based revenue. Every penny of dues collected goes directly back into supporting you in your work as a school director.
Q: How can I get answers to my questions about these proposed changes?
A: For more information, please contact your Director Area Representative on the WSSDA Board of Directors or the WSSDA Executive Director. A complete list of their email addresses can be found on the WSSDA website at wssda.org/AboutUs/OfficersBoardofDirectors