This morning the Senate released their proposed 2010 supplemental operating budget and revenue package.

Highlights of both proposals are below. A more detailed account of the impact of the Senate’s proposed 2010 supplemental budget and revenue package on Evergreen will be in a blog later today.

Highlights Higher Education Budget

• Restores funding to the State Need Grant
• Reduces funding for public colleges and universities by $69.5 million
• Increases worker retraining funds by $27.8 million
• Reduces state work study by 30% in the second year of the biennium
• Suspends funding for the health professional conditional scholarship and loan repayment program. Funding will continue to complete scholarship commitments to current recipients, but no new applicants will be selected.
• Suspends the Educational Opportunity Grant. Funding will continue to complete grant commitments to current recipients, but no new applicants will be selected.
• Continues funding to complete commitments to students who receive the Washington Scholar and Washington Award for Vocational Excellence funds but no new applicants will be selected for 2010. 
• Suspends the Future Teachers Scholarship. Funding will continue for current recipeints who were awarded the scholarships in prior years to complete their studies.  
• Suspends matching funds to support innovations in child care delivery at the public universities
• Reduces the Passport to College program by 30%
• Reduces funding by 30% to the State-funded GEAR UP Projects
• Suspends the Western Interstate Compact for Higher Education Professional Student Exchange program. Funding is continued to maintain commitments to current recipients
• Suspends funding for state work study experience for students considering careers in math and science instruction.
• Suspends the state contribution in the second year of the biennium for the Foster Care Endowed Scholarship
• Suspends funding for the Leadership 1000 program.

Highlights of Revenue Package

• Anticipates $483 milliono in additional resources based on the Federal Medical Assistance Percentage (FMAP).
• Anticipates $87 million in additional federal resources from state savings related to Medicare Part D.
• Assumes additional federal resources of approximately $12 million from two smaller sources of federal aid.
• Transfers $269 million additional dollars from various funds to increase General Fund-State resources.
• Transfers $229 million from the Budget Stabilization Account (a.k.a. Rainy Day Fund) to the state general fund. As a result there will be no ending fund balance in the Rainy Day Fund.
• Incorporates a net increase in new revenue of $918 million. The net increase consists of three major components: (1) Narrows or eliminates numerous current tax preferences or “tax loopholes” ($518 million); (2) Impose a temporary 0.3% sales/use taxk increase ($313 million); and (3) The cigarette tax is increased by $1 per package ($86 million).

Details on the Senate’s proposed 2010 supplemental operating budget and revenue package are located on the Senate Ways & Mean’s Committee Webpage.