Monthly Archives: March 2010

Evergreen Athletes Honored by Legislature

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Three members of Evergreen’s Lady Geoducks basketball team were honored March 10 in House Resolution 4704, which recognized scholar-athletes statewide. Katie Garcin, Alison Matisons, and Angel Stewart were mentioned in the resolution, which highlighted scholar-athletes who “consistently meet rigorous athletic requirements while honoring the importance of education.”

The athletes had previously been honored by the Cascade Collegiate Conference (CCC) as All-Conference Scholar Athletes, a distinction reserved for academically high-achieving upper division students.

According to a TESC press release for the earlier CCC recognition, Katie Garcin is a senior from Gooding, ID whose academic focus at  TESC has been Pre-Physical Therapy; Alison Matisons, from Aberdeen, is also a senior focusing on Social Work; and Angel Stewart, a Sophomore from Yakima, is studying Psychology.

President Obama Signs Student Aid Legislation

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Yesterday, March 30 President Obama signed into law the reconciliation bill passed by Congress this past week.

The new law will make major investments in the Pell Grant Program and other student aid and higher eduation programs.  Many of these investments will be made from the savings at the federal level of the elimination of the Federal Family Education Loan Program (FFELP). In addition, the new law provides health benefits to college health centers and students.

On the Seventeenth Day there was Movement on the Horizon

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This week has been a quiet one at the Capital.  Both the House and Senate have held “Pro Forma” sessions (no action) since Monday. Beginning tomorrow that is expected to change.

The Senate will come in on Thursday, April 1 (hopefully not an April Fool’s joke) to take action on a few remaining bills in order to move them to the House.  The House is expected to come in for floor action on Friday, April 2 to approve the bills the Senate moved over.

Negotiations continue to take place with regard to the supplemental budgets and possible revenue, with revenue continuing to be the major point of contention.

Last week Governor Gregoire suggested that a compromise may be to reduce the revenue package to $700 million. This would require either lowering the state’s ending fund balance or spending in the overall budget. The Senate strongly rejected both ideas.

In order to continue to move forward, last Friday, Sen. Brown (Senate Majority Leader) indicated in a press conference that she is beginning to discuss the possibility of finding something other than the sales tax that would fill the $200 million revenue gap that remains between the House and Senate. The other $600 million, noting the revenue target is $800 million, has been pretty much agreed upon (i.e. closing loopholes, using one-time funds, increasing the cigarette tax).

In response to Senator Brown’s comment, Senate budget writers spent this past weekend combing through a huge list of current tax exemptions looking for the elusive solution to end this special session.

It may appear that this hard work is paying off. Word on the street has it that the Senate and House will work this Thursday and Friday and perhaps the weekend and, if necessary, return April 9 to wrap up the special session by April 13 (the 30-day deadline).

Stay tuned…

The Beginning of Week Three

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While many of us on Evergreen’s campus consider today the first day of spring term, for those of us with a foot in the legislative arena it also marks the first day of week three of the first special session of 2010. Is there any end in sight?

Negotiations continue on the 2010 supplemental operating and capital budgets. Though no agreements on either budget have been finalized, the issue  that has kept legislators in Olympia 15 days beyond the end of the regular session is revenue. More specifically, the sales tax and whether to increase the sales tax or not. The Senate is in favor and the House and Governor are not.

On Friday, some suggested that the Senate’s decision to move Senate Bill 6143 (revenue bill) to conference may be a small and optimistic sign towards the passage of a supplemental budget.  Optimism continued to rise, when later that day in a press conference Sen. Brown eluded to looking for $200 million in taxes to replace the Senate’s proposed sales tax increase. The source of these taxes was not made clear.

Both of these moves may lead one to be more optimistic than even 48 hours ago. However, there are still many in the Senate who support a sales tax and have concerns with regard to the business tax increases, proposed by the House, that are still in the mix.

As for now, the bills needed to implement a 2010 supplemental operating budget, 2010 supplemental capital budget, and increase revenue remain where they were at the end of last week. In addition, the bills that Evergreen is tracking this special session also have not moved further in the process.

U.S. House Concurs on Senate Amendments; Student-Aid Bill Headed to the President for Signature

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President Obama is expected to sign into law  today the reconciliation bill passed by Congress this week that will bring great change both to health care and student aid in the United States.

Yesterday, the U.S. Senate passed major student aid reform in the afternoon. In the evening, the House considered the Senate-amended legislation and passed the reconciliation bill with a vote of 220-207.

The new law will make major investments in the Pell Grant Program and other student aid and higher eduation programs.  Many of these investments will be made from the savings at the federal level of the elimination of the Federal Family Education Loan Program (FFELP).

Day Twelve of Special Session; Nearing End of Week 2

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Yesterday was the first time since Monday that the Senate floor was active. Most Senators returned to Olympia for a brief floor session to concur on a handful of House bills. The House did not take any floor action.

Of most interest was the action the Senate took on Senate Bill 6143 (revenue tax bill). The Senate rejected the House’s amendments to SB 6143 and formally asked for an official Conference Committee.

In the meantime, the leadership of both chambers continue behind-the-scenes negotiations on a tax package to fund the 2010 supplemental operating budget and take action on a 2010 supplemental capital budget.

Lawmakers remain deadlocked over how to raise this revenue, the primary dividing point being the implementation of a sales tax. The Senate still supports a temporary general sales-tax increase and the House does not.

The ongoing divide between the two chambers has opened the door for “what if” conversations about concluding the session without the adoption of  a budget. The state’s budget for 2009-11 is already in place (i.e. the budgets that passed at the end of the 2009 session) and a supplemental budget is not required. 

These conversations, which can be recognized as still too-early conversations at this time, fail to address the state’s remaining $2.8 billion budget problem.  As you may recall, State Treasurer McIntire publicly stated earlier this year that Washington is at risk of running out of “cash” by fall 2010 without new revenues or reductions in budget expenditures. At that point, Governor Gregoire would have the authority and legal obligation to implement across-the-board cuts. An option she has been public about in the last few days but does not desire.

An across-the-board reduction of state funding is not appealing to many policymakers. It is believed that such action could be as high as 20 percent to close the $2.8 billion budget gap.   Some believe that yesterday’s move by the Senate to move Senate Bill 6143 to conference may be a small and optimistic sign towards the passage of a supplemental budget, only time will tell.

As for now, the bills needed to implement a 2010 supplemental operating budget, 2010 supplemental capital budget, and increase revenue remain where they were this weekend, with the execption of SB 6143 which has gone to conference. In addition, the bills that Evergreen is tracking this special session also have not moved further in the process.

Student Aid Bill Hits Bump in U.S. Senate Goes Back to U.S. House for Vote

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Yesterday afternoon the U.S. Senate began nine hours of debate on the floor. Senators considered twenty-nine amendments to alter the reconciliation bill .

Lawmakers sought to vote down amendments in an effort of saving the bill from returning to the House for another vote.  However, this was not to be the case.

In the wee hours of this morning, the Senate Parliamentarian informed Senate leaders of parliamentary problems with at least two provisions.

According to the budget reconciliation rules governing the bill all provisions of the bill must directly affect government spending or revenues. Both of the provisions in question relate to the student aid portion of the bill.

One provision involves changes to the Pell grant program for college students from low-income families. As written the bill would establish an automatic increase in grant awards tied to inflation. The provision in dispute would prevent any reductions in the maximum award. The second provision seems to be mostly a technical issue.

The Senate voted this afternoon to pass the reconciliation bill with a vote of 56-43. The House is expected to take up the bill this afternoon.

Week Two of Special Session Nears End; Adjournment Still Unclear

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As Special Session nears the end of week two, movement has been slow but still forward in nature.  Today, the full Senate is on the floor to move a handful of job-creation related bills, while the House is expected to return to the floor tomorrow.  The leadership of both chambers have been in negotiations for most of the week while the majority of legislators have been away as negotiations continue.

As stated earlier this week, policymakers have reached an agreement that $800 million is the revenue target. In addition, negotiations are taking place with regard to the operating and capital budgets for the 2010 supplemental session, though neither can be finalized until the elephant in the room is resolved – revenue.

Lawmakers remain gridlocked over how to raise this revenue, the primary dividing point being the implementation of a sales tax. The Senate still supports a temporary general sales-taxe increase and the House does not.

Frustration is in abundance. The Democrats are frustrated that they cannot get the votes necessary to pass an agreed upon revenue package. The Republicans are frustrated because the special session continues. The Governor is frustrated regarding all the above.

In the latest to come out of Olympia, Governor Gregoire has made it clear that she may be forced to make across-the-board cuts of 20 percent if the Legislature does not reach a budget-balancing agreement.  Gregoire has no plans to call a second special session unless a firm deal is in place. In lieu of any firm deal post the first special session, the only other choice would be across-the-board cuts.

As for now, the bills needed to implement a 2010 supplemental operating budget, 2010 supplemental capital budget, and increase revenue remain where they were this weekend. In addition, the bills that Evergreen is tracking this special session also have not moved further in the process.

Health Care Legislation Benefits Higher Education

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Higher education institutions and students may benefit from the recent passage of health care legislation beyond the changes made to student aid.

While the broader implications for higher education and students are still being fettered out, there are several tangible benefits which students, campus health care centers and medical schools are likely to feel sooner rather than later.

  • College and university-based student health insurance plans are provided a special exemption that allows them to continue even though they do not fit the classification as individual plans or employer-based group plans.
  • As of late September 2010 young adults will be eligible to be covered by their parents’ insurance plans through age 26.
  • Significant expansion of funding for the National Health Services Corps, which helps young doctors who work in underserved areas.
  • Significant expansion of the Title VII Health Professions Education programwhich offers scholarships and loan forgiveness to help diversify allied health professions racially, ethnically, and geographically.

The benefits for students and higher education will become law today upon President Obama’s signature.

U.S. House Passes Student-Aid Bill

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While much of the media has focused on the passage of health care legislation in the last few days, the passage of this bill also signals the passage of student aid reform that many in higher education have worked hard to move forward and waited months for approval.

On Sunday, March 21 the U.S. House of Representatives passed a reconcilation bill to reform student aid and health care by 220-211. The bill makes several changes to student financial aid policy and provides funds to community colleges and historically black higher education institutions. Of much significance is the elimination of the Federal Family Education Loan Program (FFELP) on July 1, 2010 and the use of the estimated savings to increase funding for Pell Grants.

Prior to the passage of the reconciliation bill containing the changes to student aid, the House passed the Senate-passed health care reform package (which also included significant student aid provisions) by a 219 to 212 vote.

The student aid reform included in the reconciliation bill passed by the House was a leaner version of the Student Aid and Fiscal Responsibility Act (SAFRA).  Democrats had to revise the bill when the Congressional Budget Office showed that expected savings from the elimination of the FFELP were lower than previously estimated and eliminate the proposal of several new programs to comply with procedural requirements in the Senate.

Four major provisions that were a part of SAFRA were not included in the student aid legislation passed by the House on Sunday. They include:

  • The Obama Administration’s proposal to revise the Perkins Loan Program
  • A provision to lower interest rates on student loans
  • Funding for Obama’s American Graduation Initiative to help community colleges graduate five million more students by 2020.
  • $2.5 billion for a new College Access and Completion Fund

The passage of the bill by the House clears the way for the legislation to be considered by the Senate as early as this week. Debate on the bill in the Senate will be limited to twenty 20 hours and requires only 50 votes to approve the bill to be signed into law by President Obama. If the Senate makes any changes to the bill, the legislation would have to be sent back to the House for another vote.