Obama’s FY12 Budget Seeks to Protect Education

Yesterday, President Obama released his proposed federal budget for FY12.  The budget makes several investments in education and proposes some changes to the Pell in order to fund the grant at the current maximum level.

Higher Education Programs

The Administration’s 2012 request includes $2.3 billion for Higher Education Programs to help achieve the President’s goal of significantly increasing the percentage of Americans with postsecondary degrees or industry-recognized certificates.

A key priority for 2012 is a $150 million request for the Fund for the Improvement of Postsecondary Education (FIPSE) to support the “First in the World” competition. This proposal, which would be modeled after the i3 program for K-12 education, would provide incentives and rewards for innovation and building evidence of what works to reduce costs and improve outcomes in postsecondary education.

In addition the proposed budget would prioritize:

  • A $40 million request for first-time funding for the Hawkins Centers of Excellence program to increase the talent pool of effective minority educators by expanding and reforming teacher education programs at minority-serving institutions (MSIs).
  • A $484.8 million request in discretionary funding for the Aid for Institutional Development programs. The request would strengthen institutions of higher education that serve high proportions of minority and disadvantaged students, including Historically Black Colleges and Universities (HBCUs) and Historically Black Graduate Institutions (HBGIs), by improving their academic programs, institutional capacity, and student supports. The budget also provides $117.4 million for the Developing Hispanic-serving Institutions program.
  • A $920.1 million request to support college preparation and completion activities for participants in the Federal TRIO Programs, as well as $323.2 million to serve an estimated 756,000 middle and high school students preparing for college through Gaining Early Awareness and Readiness for Undergraduate Programs (GEAR UP).
  • A $125.9 million request  for the International Education and Foreign Language Studies programs, which help meet the Nation’s security and economic needs through the development of expertise in foreign languages and area and international studies.
  • A  $40.7 million request for merit- and need-based scholarships and fellowships to postsecondary students under Graduate Assistance in Areas of National Need (GAANN) programs.

Student Financial Assistance

The 2012 request would ensure that Pell Grants will be available to all eligible students through a combination of mandatory savings to offset rising Pell demand and changes in the Pell program that would reduce current and future costs. Proposed mandatory savings include the elimination of interest subsidies for graduate student loans and providing an opportunity for students with multiple loan servicers to convert their student debt to a single loan holder, while the elimination of the “two Pells” provision, which effectively made many students eligible for two Pell Grants in a single award year, would achieve significant cost savings. The 2012 request also would expand the Perkins Loans program and simplify access to student financial aid.

In addition, the 2012 budget includes a new College Completion Incentive Grants program that would make grants to States to encourage colleges to help students enroll in school and finish their studies with a degree or certificate and to reward institutions that produce successful outcomes. Finally, a new Presidential Teaching Fellows program would support K-12 education by recruiting and preparing talented students for the teaching profession through top-tier teacher preparation programs.

House Higher Education Hears Legislation that Would Expand the System

This morning the House Higher Education Committee held a hearing on two bills that if implemented would expand the current higher education system.

House Bill 1792 would creates the University Center of North Puget Sound. The bill assigns management and leadership of the University Center at Everett Community College to WSU to meet demands for baccalaureate and graduate degrees in Everrett, north Snohomish Island, and Skagit counties and Washington, particularly in high employer demand programs of study.

House Bill 1822 would establish the first nonprofit online university in Washington – the Western Governors University (WGU). In particular the bill expresses the intent of the state to partner with WGU to establish Western Governors University-Washington and provide enhanced access to postsecondary education for all Washington students, including dislocated workers and place bound students. Passage of this bill would result in the recognition of WGU-Washington theref as a Washington baccalaureate degree-granting institution that is self-supporting.

In addition, the bill requires the Higher Education Coordinating Board (HECB) recognize and endorse online, competency-based education, work to eliminate unnecessary barriers to the delivery of online, competency-based education and work with a regionally accredited not-for-profit online baccalaureate degree-granting institution of higher education to integrate its academic programs and services into state policy and strategy.The Evergreen State College did not weigh-in on either bill.

The Committee also heard House Bill 1808 which would require all public high schools, within existing resources, work toward the goal of offering a sufficient number of high school courses to give students the opportunity to earn the equivalent of one year’s worth of postsecondary credit and must inform students and their families about these opportunities.

The bill also requires actions on part of higher education. The legislation states that institutions of higher education must develop a master list of postsecondary courses that can be fulfilled by achieving an agreed-upon score on a proficiency exam or by meeting demonstrated competencies. The bill also requires the following:

  • Each institution must publicize its own list of qualifying courses and distribute it to the HECB and the State Board for Community and Technical Colleges in a form that the Office of the Superintendent of Public Instruction can distribute to school districts.
  • The HECB  must annually publish on its website the agreed-upon list of high school courses qualifying for postsecondary credit and the exam scores and demonstrated competencies meeting postsecondary requirements.

No further action was taken on any of the bills heard by the Committee this morning.

Some Proposed Federal Cuts Announced

Yesterday, House Appropriations Committee Chairman Hal Rogers (R-KY) unveiled a partial list of cuts that will be included in the new Continuing Resolution. The current Continuing Resolution is set to expire on March 4.

No education programs are on the partial list, but the committee has proposed $6.6 billion in cuts to the Labor, Health and Human Services, and Education programs.  

  • Flood Control and Coastal Emergencies   -$30M
  • Energy Efficiency and Renewable Energy   -$899M
  • Electricity Delivery and Energy Reliability   -$49M
  • Nuclear Energy   -$169M
  • Fossil Energy Research   -$31M
  • Clean Coal Technology   -$18M
  • Strategic Petroleum Reserve   -$15M
  • Energy Information Administration   -$34M
  • Office of Science   -$1.1B
  • Power Marketing Administrations   -$52
  • Department of Treasury   -$268M
  • Internal Revenue Service   -$593M
  • Treasury Forfeiture Fund   -$338M
  • GSA Federal Buildings Fund   -$1.7B
  • ONDCP   -$69M
  • International Trade Administration   -$93M
  • Economic Development Assistance   -$16M
  • Minority Business Development Agency   -$2M
  • National Institute of Standards and Technology   -$186M
  • NOAA   -$336M
  • National Drug Intelligence Center   -$11M
  • Law Enforcement Wireless Communications   -$52M
  • US Marshals Service   -$10M
  • FBI   -$74M
  • State and Local Law Enforcement Assistance   -$256M
  •  Juvenile Justice   -$2.3M
  • COPS   -$600M
  • NASA   -$379
  • NSF   -$139M
  • Legal Services Corporation   -$75M
  • EPA   -$1.6B
  • Food Safety and Inspection Services   -$53M
  • Farm Service Agency   -$201M
  • Agriculture Research   -$246M
  • Natural Resource Conservation Service   -$46M
  • Rural Development Programs   -$237M
  • WIC   -$758M
  • International Food Aid grants   -$544M
  • FDA   -$220
  • Land and Water Conservation Fund   -$348M
  • National Archives and Record Service   -$20M
  • DOE Loan Guarantee Authority   -$1.4B
  •  EPA ENERGY STAR   -$7.4M
  • EPA GHG Reporting Registry   -$9M
  • USGS   -$27M
  • EPA Cap and Trade Technical Assistance   -$5M
  • EPA State and Local Air Quality Management   -$25M
  • Fish and Wildlife Service   -$72M
  • Smithsonian   -$7.3M
  • National Park Service   -$51M
  • Clean Water State Revolving Fund   -$700M
  • Drinking Water State Revolving Fund   -$250M
  • EPA Brownfields   -$48M
  • Forest Service   -$38M
  • National Endowment for the Arts   -$6M
  • National Endowment for the Humanities   -$6M
  • Job Training Programs  -$2B
  • Community Health Centers  -$1.3B
  • Maternal and Child Health Block Grants  -$210M
  • Family Planning  -$327M
  • Poison Control Centers  -$27M
  • CDC   -$755M
  • NIH   -$1B
  • Substance Abuse and Mental Health Services   -$96M
  • LIHEAP Contingency fund   -$400M
  • Community Services Block Grant   -$405M
  • High Speed Rail   -$1B
  • FAA Next Gen   -$234M
  • Amtrak   -$224M
  • HUD Community Development Fund   -$530M

Congress will likely begin the FY2012 budget process soon after the President releases his budget request on Feb. 14. 

The U.S. Department of Education will hold a briefing on the President’s FY2012 Budget Request on Monday, Feb. 14  at noon eastern time. For the first time, the Department will broadcast the briefing online.

President Obama to Release FY12 Budget Next Week

Next Tuesday, February 15, President Obama is expected to release his fiscal year (FY) 2012 budget request to the 112th Congress. 

The budget will contain proposed funding levels for student aid programs for the academic year 2012-2013. Many of these funding proposals face proposed reductions.

The release of the FY12 federal budget will be the first step of a lengthy and complex annual budget process that will last through July 2011.

It is important to note that Congress has yet to resolve the FY11 budget.  As a result, the federal government is funded by a Continuing Resolution that is set to expire on March 4. Upon its expiration Congress must pass either another resolution or an omnibus spending bill that contains all 12 appropriations bills.

Under this timeline FY11 and FY12 budget negotiations will occur at the same time. The

Regulatory Relief Legislation Heard in Senate Higher Education

This afternoon the Senate Higher Education & Workforce Development Committee held public hearings on a handful of bills that institutions of higher education argued would increase efficiencies and provide regulatory relief.

The institutions of higher education – including two-year and four-year public institutions – testified in support of Senate Bills SB 5516, SB 5517, and SB 5519

Senate Bill 5516 allows advance payments for equipment maintenance services for institutions of higher education. Specifically higher education institutions may make payments in advance for equipment maintenance services to be performed up to 60 months (5 years) after such payment.

Senate Bill 5517 exempts institutions of higher education that do not use archives and records management services from payment for those services.

Senate Bill 5519 changes public contracting authority. Specifically the bill removes the 2 percent target for higher education institution’s total goods and services be purchased each year from inmate programs. However, institutions must endeavor to purchase goods and services from correctional industries based on quality, service, delivery, and value. In addition the bill modifies various public contracting limits and procedures.

The Evergreen State College signed-in to support all three pieces of legislation. No further action is scheduled for these bills at this time.

House Higher Education Hears Key Policy Bill

The House Higher Education Committee held a public hearing today on a key policy bill – House Bill 1795 sponsored by Rep. Carlyle- that would impact how higher education is funded, financial aid, and accountability for higher education institutions.

The bill as drafted – both the sponsor and the higher education community continue to work on the bill – would authorize public baccalaureate institutions to set tuition rates for all students for academic years 2011 through 2014 and direct public baccalaureate institutions to retain half of all tuition raised above 7 percent to support financial aid that mitigates tuition increases for middle class students with incomes up to 125 percent of the median family income.

In addition, the bill retains tuition setting authority for community and technical colleges with the state Legislature though individual colleges may raise tuition up to the state cap if the State Board for Community and Technical Colleges does not raise up to the cap for the whole state.

The bill would also require a study to recommend a possible phase two of Washington’s GET program and establish data reporting requirements for public baccalaureate institutions in statute and repeals performance agreements.  

 

  The  Committee heard testimony from several members of the higher education community, including institutions, students, faculty, the Higher Education Coordinating Board, and the Council of Presidents.  The testimony was clearly in favor of the bill with the only concern being the lack of knowledge at this time with regard to state funding levels for higher education. The testimony strongly supported the move to a single accountability system – Compete to Complete, additional tuition flexibility at the local level, and acknowledgement to work to mitigate the impacts on students.

Further action is expected on the bill next week.

The Committee also held a public hearing on substitute legislation to House Bill 1654. House Bill 1654 requires four-year public institutions of higher education and community and technical colleges that offer applied baccalaureate degrees to charge those resident students who exceed 125 percent of credits needed to obtain their degree at a nonresident or graduate tuition rate for credits that exceed 125 percent.

The proposed substitute language grandfathers current students in under current policy, removes the reporting requirement, and adds some specific waiver language  in addition to broader waiver language for institutions.

The Council of Presidents testified that the bill provided the latitude necessary to implement the intent of the legislation. The Washington Student Association testified in opposition to the bill.

The bill is scheduled for further action next week.

Finally the Committee took further action on a handful of bills, including:

  •  HB 1394 – Enacting the college efficiency and savings act.
  • HB 1477 – Authorizing the board of trustees at Eastern Washington University to offer educational specialist degrees.
  • HB 1568 – Regarding appointing members to the boards of trustees for community colleges and the state board for community and technical colleges.
  • HB 1586 – Regarding the provision of doctorate programs at the research university branch campuses in Washington.
  • HB 1650 – Changing state need grant eligibility provisions.

Higher Education Related Issues in Other Committees

This morning the House Technology, Energy & Communications Committee and the House Labor & Workforce Development Committee  held public hearings on two bills that may impact higher education institutions in Washington.

The House Technology, Energy & Communications Committee considered legislation that would propose changes to the current organization of information technology in Washington

House Bill 1841 would create the Office of the Chief Information Officer (Office of the CIO) within the Office of Financial Management and create an Information Technology (IT) Advisory Board to advise the Office of the CIO on IT issues.

In addition the bill would eliminate the Information Services Board, replace the Department of Information Services with the newly created Consolidated Technology Services Agency (CTS Agency), and create a Consolidated Technology Services Agency Board that, among other things, approves the catalog of services offered by the CTS Agency and the rates for such services.

The House Labor & Workforce Development Committee heard legislation that would propose changes to current arbitration practices for campus police officers at institutions of higher education.

House Bill 1736 would provide binding interest arbitration for uniformed personnel under the Personnel System Reform Act and define uniformed personnel as campus police officers at institutions of highereducation.

The University of Washington testified with concerns on behalf of all of the four-year, public baccalaureate institutions.

 

Senate Higher Education Committee Holds Public Hearing

This morning the Senate Higher Education & Workforce Committee heard several proposed bills, ranging from regulatory relief to three-year degrees.

The following bills were heard:

  • SB 5268 – Enacting the college efficiency and savings act.
  • SB 5442 – Requiring the development of accelerated baccalaureate programs at state colleges and universities.
  • SB 5483 – Regarding administrative consistency in student financial aid programs.
  • SB 5484 – Concerning the higher education coordinating board’s responsibilities with regard to health sciences and services authorities.
  • SB 5443 – Requiring the higher education coordinating board to develop a grant program to encourage training for students studying in the medical field to work with individuals with developmental disabilities

The Council of Presidents testified on behalf of the four-year, public institutions in support of the value of providing pathways for students who wish to accelerate their degree attainment as proposed in SB 5442 and shared what institutions are currently doing to serve theses student . However, concerns were expressed about the requirement in the bill to create a three-year degree without attending summer classes or enrolling in more than a full-time class load during the regular academic year.

Education Appropriations Committee Holds Work Session on Four-Year Institutions

This morning the House Education Appropriations & Oversight Committee held a work session on Washington’s four-year, public baccalaureate institutions.

The focus of the work session centered on the four-year sector through a funding lens. Mike Reilly, Executive Director for the Council of Presidents, engaged the Committee in an overview of the public baccalaureate institutions regarding the recent history of higher education funding in Washington and the impact of the Governor’s proposed 2011-13 biennial budget.  In addition, Reilly highlighted the high productivity of the sector and concerns with regard to participation.

Representatives of each of the four-year, public baccalaureate institutions were in attendance for questions and answers, including The Evergreen State College.

Note: All committee presentations can be found on the House Education Appropriation and Oversight Committee’s website by clicking on Committee Meeting Documents, select the date and work session, and then select the presentation.