This afternoon the Washington House passed legislation that would alter current policies focused on tuition, accountability, and financial aid.  House Bill 1795 passed with a vote of 79-17.

The bill is a comprehensive piece of legislation that leaves little alone with regard to higher education policy. The key provision in the bill for many is the ability for four-year public baccalaureate institutions to set tuition for all students through 2014-2015 and modifies this authority based on a state funding baseline and funding for higher education institutions in the Global Challenge States through 2018-2019.

The ability for the four-year public baccalaureate institutions to set their own tuition levels is mitigated by strengthening current institutional financial aid requirements and funding the State Need Grant at the proposed increased tuition rates in the budget.  All institutions are required to remit at least 4% of operating fees back to students in the form of financial aid. This is an increase from 3.5%.

Institutions that exceed the tuition levels appropriated in the budget are required to remit 5% of operating fees back to students in the form of financial aid and provide financial assistance to students up to 125% of the Median Family Income (MFI) via a specific formula that is based on tuition price as a percentage of MFI in various income brackets up to 125% of MFI.  Finally all instititutions are required to make every effort to encourage eligible students to take advantage of federal tax credits.

The bill also requires higehr education institutions to report by December 1 on performance data that aligns with the National Governor’s Association Complete to Compete metrics with additions that include graduate and professional degrees;Science, Technology, Engineering, and Math (STEM) participation; student debt load; and disaggregation of measures based on various student demographics, including socio-economic status and income levels. In addition institutions must develop a performance plan which must include a set of expected outcomes (i.e. time to degree, baccalureate degree production).

Finally the bills makes changes to dual enrollment policies, transfer and prior credit policies, and provides regulatory relief for institutions of higher education.

The bill now goes to the Senate for further consideration.