Tag Archives: Budget

Legislature Week 5: What is Happening

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As the Washington State Legislature gears up for the fifth week of the 2010 supplemental session all eyes will be on the fiscal committees in each chamber.

All fiscal committees must move bills with fiscal impacts to the floor of their respective chambers by end of day Feburary 9.

The appropriations committees (i.e. Senate Ways & Means and House Ways & Means) will meet Monday and Tuesday to continue their work on budget related matters and meet the legislative deadline.

The remainder of the week will be focused on the floors of the House and Senate. Both chambers will have until February 16 to move House bills to the Senate and vice versa.

After February 16 the process will re-start in a way as House bills go through the committee and floor process in the Senate and vice versa.

House Moves Furlough Bill Forward to the Floor

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Monday evening the House Ways & Means Committee passed Senate Bill 6503 (a.k.a. the furlough bill) out of committee and to the House floor. After four scheduled executive sessions on the bill the committee finally moved the bill forward by a 12-10 vote along party lines.

The bill headed to the House floor for a vote looks different than the bill received from the Senate.

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The subsitute bill includes, but is not limited to, the following:

– An intent section is added stating the Legislature intends that state agencies and institutions of higher education reduce government operating costs through the methods described in the act by $50 million from the General Fund-State and the Education Legacy Account, as well as additional proportionate amounts from other funds.

– The Office of Financial Management (OFM) shall certify to each state agency the compensation reduction amount to be achieved by the executive branch agency or institution.

– Executive branch general government state agencies and higher education institutions may submit plans that achieve compensation cost savings equal to closing the agency for 11 days to the OFM by May 15, 2010.

– Compensation reduction plans submitted by higher education institutions may include leave without pay, temporary layoffs, reductions in force, reduced work hours, and voluntary retirement, separation, and other incentive programs authorized by law. By June 1, 2010, the OFM shall review, approve, and submit the higher education institution plans that achieve the required cost reductions to the legislative fiscal committees. Those institutions that do not have approved plans will close on the 11 dates specified in the amendment.

Senate Bill 6503 now goes to the House floor for a vote. If it passes the House, the bill will return to the Senate for consideration of the amended legislation.

House Ways & Means Committee Amendments Provide Exemption for Higher Education Employees From Statewide Salary Freeze

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Two amendments proposed to Substitute Senate Bill 6382, which would extend a salary freeze on exempt and Washington Management Service Employees statewide, will allow an exception of certain Higher Education employees.

Including those already excepted, those employees spared from the salary freeze are, according to the amendment language, “exempt higher education personnel for critical retention purposes or additional summer quarter responsibilities,” and other exempt personnel covered under collective bargaining agreements.

SSB 6382, the first Senate bill to be considered by the House Ways & Means Committee during this session, was passed out of committee. A procedural point was made by staff that the two amendments will be considered as one when the bill is referred to Rules Committee.

Bills Move Quickly

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A familiar and quick-paced trend has appeared on The Hill. Bills are introduced, heard via a public hearing one day and the next are moved out of committee either to the floor or an appropriations committee.

This is to be expected as committee cut-off dates near (early next week) and the Legislature approaches the half-way mark in the session (4th week is next week).

So here is the latest news:

Evergreen Supported Legislation

The Senate Govenrment Operations & Elections held a public hearing and moved Senate Bill 5041. SB 5041 encourages agencies to contract and purchsefrom veteran-owned businesses. Evergreen supported the legislation which was reinforced with testimony in favor of the bill by The Council of Presidents.

The House Higher Education Committee held a public hearing on House Bill 2930. House Bill 2930 extends the Future Teacher Conditional Scholarships to students seeking a mathematics endorsement.

Evergreen testified in support of the bill and encouraged policymakers to work towards offering similar scholarship opportunities in the future to individuals seeking endorsements in special education and ELL. 

Legislation of Concern to Evergreen

The House Commerce & Labor Committee held a public hearing on House Bill 2805. House Bill 2805 requires contractors on public works projects (i.e. higher education capital projects) that are over $1 million to provide additional reporting. 

Evergreen expressed concerns with regard to additional reporting at a time of declining resources and the potential for increased costs to public works projects.

HB 2805 is expected to be moved out of committee later today.

Bills of Interest to Evergreen

The Senate Ways & Means Committee held a public hearing on Senate Bill 6572. Evergreen did not weigh in during the public hearing but is tracking this legislation as it moves through the process.

Senate Bill 6572 eliminates several inactive funds and accounts and transfers any remaining balances in these accounts to the General Fund. In addition, any balances in the School Construction Revolving Fund are transferred to the General Fund.

The accounts and funds to be eliminated include: City and County Advance Right-of-Way Revolving Account; Community and Technical College Fund for Innovation and Quality Account; Dairy Products Commission Facility Account; Data Processing Building Construction Account; Education Technology Account; Energy Efficiency Construction Account; Fruit Commission Facility Account; Geothermal Account; K-20 Technology Account; Morrill Account; Personal Health Services Account; Prescription Drug Purchasing Account;Regional Transportation Investment District Account; Purpose District Research Services Account; Two-year Student Child Care in Higher Education Account; Warren G. Magnuson Institute Trust Account; Washington Fruit Express Account; and Washington Service Corps Scholarship Account.

No further action has been scheduled on this bill.

Bills Moving to Floors for Action

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A handful of bills have moved to the House and Senate floor for action this week.

House Bill 2561, a.k.a the Jobs Creation bill, was passed by the House 57-41 on Wednesday.

House Bill 2561: (1) Authorizes the State Finance Committee to issue $861 million in general obligation bonds, to be known as Jobs Act Bonds (Act), for the purpose of creating jobs by constructing capital improvements that lead to energy-related cost savings in public schools, state colleges and universities, and other public facilities; (2) Appropriates funds for grants to public school districts, public higher education institutions, state and locally-owned facilities, and facilities owned by subdivisions of the state; and (3) Directs the Secretary of State to submit the short title, intent and bond authorization sections of the Act to the people for adoption and ratification or rejection in the next general election to be held in the state.

In addition, Senate Bill 2561, if enacted, would be a vehicle by which Evergreen could seek funding for the design and construction of the Biomass Gasification Project that the College is seeking funds for a feasibility study this session. Evergreen will continue to work to move this successfully move this bill through the Senate.

The House amended HB 2561 to correct the name  of the account that funds are drawn from to pay debt service and directs the State Treasurer to move funds to pay debt service to the bond retirement. In addition, changes were made to the time in which a project that does not use Energy Savings Performance Contracting must verify energy and operational savings for 10 years  or until the project has paid for itself, whichever is shorter.

Engrossed House Bill 2651 now moves to the Senate Ways & Means Committee for consideration.  

House Bill 2858 was passed by House Higher Education on Wednesday. House Bill 2858 provides institutions of higher education the authority to participate in group purchasing agreements.

Kathleen Haskett, Evergreen’s Purchasing & Contracts Manager, testified in support of HB 2858. She expanded on the changes the bill would provide for higher education purchasing policies and the potential costs savings to the institution.

More and more bills are expected to move to the floor and opposite chamber this week and next as the first cut-off date (February 2) looms for policy bills.

Senate Committee Moves Salary and Furlough Legislation

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The Senate Ways & Means Committee moved two bills from committee to Rules this afternoon.

Substitute Senate Bill 6382  and Senate Bill 6503 were passed out of Senate Ways & Means to Senate Rules for consideration.  The original bill was not considered. Instead a substitute bill was heard and acted upon.

Substitute Senate Bill 6382 extends the current prohibition of  salary and wage increases for exempt and Washington Management Service (WMS) employees of state agencies and institutions of higher learning  through June 30, 2011. An employer may grant a salary increase to a position for which it has a demonstrated difficulty retaining qualified personnel, provided that the increase can be paid within existing resources and without adversely impacting the delivery of client services. Any agency ;giving a salary increase for an exempt or WMS position must submit a reort to the fiscal committees of the Legislature by July 31, 2011, describing the increases given and the reasons for the increases. The prohibition on salary increases is expanded to include awards of cash or cash equivalents given in recognition for performance or longevity.

Senate Bill 6503 also passed out of Senate Ways & Means.  The final version of SB 6503 to pass out of committee was different from the original bill in four major ways:

1.  State agencies are directed to acheive a $69.154 million reduction in employee compensation costs from the near G-F through mandatory and voluntary furloughs, leave without pay, reduced work hours, voluntary retirements and separations, layoffs, and other methods. Agency compensation reduction plans must be submitted by May 15 and approved by OFM by June 1. Agencies that fail to submit an approved compensation reduction plan will be subject to 13 specified agency closure dates beginning in June 2010.

2. Additional exemptions are provided along with those originally outlined in the bill. None of the new exemptions are higher education related.

3.  OFM may designate alternative closure dates if necessary for a particular agency and various technical changes were made to facilitate implementation and collective bargaining.

4. Removes requirement that collective bargaining take place with a single consolidated union.

Senate Rules   is expected to act on SB 6382  ans SB 6503 quickly, moving the bills to the Senate Floor for action tomorrow.

Senate Ways and Means Hears Furlough and Salary Bills

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Tuesday afternoon many state agencies, programs, and services were focused on the work of the Senate Ways & Means Committee.

Among the bills before the Committee this afternoon was Senate Bill 6503.

Senate Bill 6503 would:

– Direct state agencies to close one day per month from March 2010
through June 2011.

– Allow exemptions from statewide closure dates for state corrections and social service institutions, child protective services, law enforcement, military operations, emergency management, state parks and ferries, higher education classroom instruction, state liquor stores, unemployment insurance, workers compensation, state legislative agencies and the Office of Financial Management during legislative sessions, and employees necessary to protect state assets and public safety.

– Recognize that the state agency closures identified in the bill will result in the temporary layoff (furlough) and reduction of compensation of affected state employees.

In addition, the Committee heard public testimony on Senate Bill 6382 which extends the prohibition on salary and wage increases for exempt and Washington Management Service employees of state agencies and institutions of higher learning.

Representatives from higher education expressed concerns regarding the potential cost savings assumed by both bills as well as the difficulty in implementing the requirements of the bill.

Senate Hears Impact of Governor’s Proposed 2010 Supplemental Budget

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Last week the key budget committees of the Washington State House focused on the impacts of the Governor’s proposed 2010 supplemental budget, including her “new budget”.

This week the Senate appropriation committee, Senate Ways & Means, will take on the same focus. Last week Governor Gregoire testified before Senate Ways & Means regarding her proposed 2010 supplemental budget and support for new revenue, this week the Committee will hear from the public.

This afternoon The Council of Presidents and representatives from each of the four-year public baccalaureate institutions testified before the Senate Ways & Means Committee regarding the impact to the baccalaureate sector.

Evergreen focused testimony on the impact of the reductions to date and the impact of additional cuts on students, faculty, and the institution proposed in the Governor’s 2010 supplemental budget. Evergreen emphasized the impact of the proposed reductions and eliminations of state financial aid programs on Greeners.

Today’s public hearing before the Senate Ways & Means Committee set the tone for the week. Several policy bills will be heard in the House and Senate that, if implemented, would impact the state budget. Included among these bills are SB 6355/HB 2655 which implements the Higher Education Coordinating Board (HECB) system design report; HB 2822 which includes tuition/fees in institutional budget proposals to the HECB; SB 6503 which mandates state agency closures throughout the year; and SB 6382 which restricts compensation.

Legislature Week 2: What is Happening

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Several work sessions and public hearings are scheduled on critical issues that impact higher education the second week of session. To learn more follow the links below.

This week the focus of the appropriations committees (i.e. Senate Ways & Means and House Ways & Means) will be a review of the Governor’s proposed supplemental budgets, both capital and operating.

In addition, the higher education policy committees (i.e. House Higher Education and Senate Higher Education & Workforce Development) plan to tackle several critical issues impacting Washington’s institutions of higher learning, including system design, tuition policy, and financial aid.

Budget, Budget, Budget

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Budget was the key word today at the Legislature. The House Ways & Means Committee held a public hearing on the Governor’s proposed 2010 supplemental budget. The House Education Appropriations Committee held a work session on the same issue. Finally, House Capital Budget held a public hearing on a jobs creation bill that would benefit education in Washington.

Governor Gregoire addressed the House Ways & Means Committee this afternoon. She shared the challenges posed in her all-cuts budget and hopes she has for restoration of some programs and services through additional state and federal revenues.

The Council of Presidents and representatives from each of the four-year public baccalaureate institutions testified before the House Committee. Evergreen focused testimony on the impact of the reductions to date and the impact of additional cuts on students, faculty, and the institution proposed in the Governor’s 2010 supplemental budget. Evergreen emphasized the impact of the proposed reductions and eliminations of state financial aid programs on Greeners.

On the capital front, The Evergreen State College provided testimony in support of House Bill 2561. Senate Bill 2561 would allow the State Finance Committee to issue $861 million in general obligation bonds, to be known as Jobs Act Bonds, for the purpose of creating jobs by constructing capital improvements that lead to energy-related cost savings in public schools, state colleges and universities, and other public facilities. House Bill 2561 establishes a competitive grant process for public schools and higher education institutions to attain the funds bonded in the bill.

Evergreen supports House Bill 2561 because of its focus on sustainable energy projects and education. In addition, HB 2561 provides the opportunity for Evergreen to discuss with legislators the value of investing in sustainability focused projects and programs, such as Evergreen’s Biomass Gasification Project.

Finally, The Evergreen State College attended a work session of the House Education Appropriations Committe focused on the impact to education of the Governor’s proposed 2010 supplemental budget.