Tag Archives: Budget

Washington House Republicans Release Education Budget Proposal

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On Thursday the Washington House Republicans released an education budget proposal that would increase funding for K-12 by $556 million. The proposal does not include any funding for higher education.

For the 2013-15 biennium the proposal would provide $903 million in education policy increases and $347 million in reductions for a net increase of $556 million.

The proposed budget would:

  • Dedicate $817 million to respond to the McCleary decision to increase basic education funding which includes expanding full-day kindergarten, reducing class sizes in kindergarten through third grade and increasing class time.
  • Provide $86 million for policy changes including funding for charter schools to support I-1240, increased levy equalization, a longitudinal data system, and a CTE correction.

The proposal also includes reductions from savings through the suspension of I-732 (COLA raises for teachers) for the biennium, changes to required assessments, reductions to hold harmless funding provided for the transition to the prototypical school funding model, and Alternative Learning Experience audit recoveries.

The proposal is the first of several budget proposals expected this legislative session. Next week the Legislature will receive the March Revenue Forecast. After that it is expected that the Senate will release their proposed biennial operating budget the last week in March or first week in April followed by the House.

Major Deadline in Legislature Nears

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This Friday marks the deadline for bills to pass out of their respective fiscal committees. As such committees in both chambers have held packed public hearings and executive sessions to hear and act on bills.

This week the House and Senate appropriations and finance committees held several public hearings focusing on a range of topics from veterans’ access to higher education to changes in financial aid policy. Both committees focused on moving bills from the fiscal committee to their respective chamber floors.

Next week both chambers will head to their respective floors to vote on bills and move them to the other chamber and another step forward in the process.

Higher Education Talks 2013 Session with Committees

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This week Washington’s four-year public institutions shared with legislators the impact of Governor Gregoire’s proposed budget on higher education and invited legislators to partner with the institutions in prioritizing higher education in policy and funding discussions.

On Tuesday the public baccalaureate institutions testified on Governor Gregoire’s proposed biennial budget for higher education.

Members of  the House Appropriations Committee heard appreciation from the institutions for the acknowledgment Gregoire gave to the dramatic reductions in state funding the public four-year institutions have experienced since the begining of the recession. In particular, the shift in the cost of education from the state to Washington students and families.

Institutions also expressed that the proposal challenges Washington’s public universities and college because the proposed funding levels are insufficient to meet the basic operating needs of the institutions and does not respond to institutional requests for enhancements to sustain current performance and build capacity for access.

The public baccalaureate institutions asked legislators to partner with the institutions to support a biennial investment of $225 in state funding for the institutions. In return, the institutions would freeze resident undergraduate tution for the biennium as well as use the much needed investment to continue to sustain and build capacity for meeting critical state goals for higher education.

On Wednesday the public baccalaureates shared a similar message with the House Higher Education Committee.  The Council of Presidents presented an overview of the impact of the last five years on Washington’s public four-year institutions followed by presentations from each of the universities and college.

The work session provided the opportunity for the institutions to share with legislators, many of which are new to the Legislature, about their institutions as well as highlight institutional policy priorities for the session.

 

2013 Legislative Session Kicks-Off

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Today the Washington Legislature convened the 2013 legislative session. The session will focus on several large issues including the budget, K-12 funding, and healthcare. The session starts with a new governor and a Senate led by 23 Republicans and two Democrats.

This Week

This week will focus on organization of the Legislature, work sessions, and some bill hearings. Both the House and Senate will likely spend a good deal of time over the next few weeks in learning mode. 

Here is a snapshot of the week ahead as it relates to higher education:

January 15

  • 8 a.m. – House Higher Education Committee, which will hear about the newly formed Washington Student Achievement Council (which replaced the Higher Education Coordinating Board).
  • 11:30 a.m.- Gov. Gregoire will deliver her final State of the State Address to a joint session of the House and Senate.
  • 3:30 p.m. – House Appropriations. Public hearing on Gov. Gregoire’s operating budget proposals focused on K-12 and higher education.

January 16

  • Noon – Governor Inslee’s Inaugural Address will begin; look for a Republican response to immediately follow.
  • 1:30 p.m. – House Higher Education will hold a work session on the Higher Education Policy Priorities for 2013 of the Council of Presidents and the public, baccalaureate institutions.
  • 3:30 p.m.- Senate Ways & Means Committee will discuss the state’s operating and capital budgets.

January 17

  • 9:00 a.m. – House Education will get an update on the K-12 Student Longitudinal Data System and hear from the Education Research and Data Center on current projects.
  • 10:00 a.m. – House Higher Education hold a work session on the higher education priorities of stakeholders for the 2013 session

Legislature

Today the House and Senate will formally organize the leaders for each chamber and swear in new members.

All eyes will be on the Senate Monday when it convenes at noon for what is expected to be a historic moment . Senate “rules” state that the party with the most seats is the majority; with the power shifting to Republicans, look for procedural floor motions to name Tom as majority leader and Sheldon as President Pro Tem, cementing the new Majority Coalition.

On the first day of session, typical business is to officially approve committee chairs, ranking members and committee membership, committee schedules, cutoff dates, and other operating procedures. This year’s opening events may also see the election of six (or more) committee chairs and vice chairs led by Republicans. It is also possible there may be votes for committees to be led by Democrats or co-chaired between the two parties.

In the House, the Democrats have a clear majority (55-43). Not unlike the Senate, the House will experience the addition of several new members to the chamber. In the House 20 new members have joined the chamber (9 Democrats and 11 Republicans).

Seattle-based Frank Chopp is expected to continue as Speaker of the House. In addition, Rep. Larry Seaquist (D-Gig Harbor) will lead the House Higher Education Committee and will be joined by Rep. Gerry Pollett (D-Seattle) as vice chair. The ranking republican members will be Rep. Larry Haler (R-Richland) joined by Rep. Hans Zeiger (R-Puyallup).

Rep. Ross Hunter (D-Medina) will continue as chair of the House operating budget committee, which has been renamed as the Appropriations Committee. Republican Gary Alexander (R-Olympia) has been named the ranking member.

New this year is a true subcommittee on education appropriations that will be chaired by former school director Kathy Haigh (D-Shelton). The subcommittee will meet once during the week and will be comprised solely of legislators who are members of the larger Appropriations Committee.

Executive Branch

Tomorrow Governor Gregoire will give her departing speech. On Wednesday Governor- Elect Jay Inslee will outline his vision for the state in his inaugural address before a joint session of the House and Senate at noon.

Washington Legislative Session Kicks Off Next Week

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The 2013 biennial session will begin on Monday in Olympia. A quick “101” regarding the Washington Legislature. Each odd-numbered year the Washington State Legislature meets for 105-days to pass biennial operating, capital and transportation budgets and enact policy bills.

In addition to these tasks, the Washington Legislature will also tackle a response to the K-12 McCleary decision and implementation of Obamacare at the state level. All of which are the focus of next week’s committee hearings in both the Senate and the House.

Next week the focus of the appropriations committees will be a review of the Governor’s proposed 2013-15 biennial budget, released in mid-December. Higher education will have an opportunity to testify with regard to the proposed budget on January 15 in House Appropriations.

In addition, the higher education policy committees plan to focus on the higher education priorities of stakeholders. On January 16 the Council of Presidents and the six public baccalaureate institutions will present their priorities to the Committee. Other stakeholders including students, faculty, and the Washington Achievement Council will present on Tuesday and Thursday.

Stay tune for the latest news from The Hill…..

Governor Gregoire’s Proposed 2013-15 Biennial Budgets

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On Tuesday Governor Gregoire released her proposed 2013-15 Operating and Capital budgets. As required by law, Governor Gregoire submitted an all-cuts budget that reflects existing revenues.

The all-cuts budget would reduce levy equalization by $100 million and eliminate the State Food Assistance Program and other services. In addition, higher education would receive a $52 million across-the-board cut to public universities and colleges. For Evergreen this is a reduction of $836,000 for the two-year budget.

Governor Gregoire in releasing the all-cuts budget stated it  “would have unacceptable consequences for our state and its people”. Given the drastic nature of an all-cuts budget the Governor also proposed a new revenue budget.

The new revenue operating budget proposed by the Governor relies on a combination of new revenues, program reductions, reform savings, and one-time transfers to address an anticipated $900 million shortfall in the next biennium and to take the first step towards  meeting the state’s basic education needs identified by the state Supreme Court in the McCleary decision.

Governor’s Proposed Biennial Operating Budget

The Governor’s proposed new revenue budget addresses the anticipated $900 million shortfall in 2013-15 through a combination of spending reductions, reform savings, and revenue.

The new revenue budget is balanced in large part by spending reductions and reform savings. The budget:

  • Suspends teacher cost-of-living pay raises required under Initiative 732 – $360 million
  • Delays implementation of the state’s paid family leave law – $14 million
  • Reduces funds to dozens of state programs
  • Trims funding for local government programs – $57 million
  • Assumes savings from the consolidation of “back office” functions via the consolidation of five agencies into a single agency – Department of Enterprise Services – $20 million
  • Assumes savings under the Patient Protection and Affordable Care Act (Obamacare) $140 million

In addition the budget assumes new revenue. This includes new or increased user fees, the repeal of a use tax exemption for fuel produced and used internally by extractors and manufacturers, and extends the Hospital Safety Net Assessment which is an inpatient fee that leverages increased Medicaid matching funds. Finally, the budget assumes $172 million in one-time transfers to the General Fund from a variety of accounts.

Though the new revenue budget holds the line on spending for state agencies, the budget does include some targeted investments. Among the investments is $50 million to add enrollment slots to the state’s early childhood education system, $20 million to expand STEM opportunities in higher education, and $8 million to improve prison safety.

The largest investment, however, is in K-12. The Governor’s budget represents a 12.3% increase to K-12 over the current biennium. This investment includes $1 billion – a first installment- to phase in legislation that will meet the requirements for basic education identified through the McCleary decision.

Under this legislation (HB 2776 passed in 2010) funding for K-12 would be provided to:

  • Reduce class sizes in grades K-2
  • Continue the phase-in of full-day kindergarten programs
  • Improve instructional practice through improved teacher and principal evaluations
  • Increase funding for maintenance, supplies, and operating costs
  • Fund 100% of the state’s new pupil transportation funding formula

To fund the investment in K-12, Gregoire proposes a balance between reductions in other services combined with new revenue. This would include a wholesale excise tax on gasoline and diesel fuel dedicated to pay the costs of pupil transportation services for the next three biennia and the extension of two temporary tax surcharges: (1) A 0.3% increase to the B&O tax paid by professionals (i.e. doctors, lawyers, accountants) and (2) a 50 cent per gallon beer tax.

Higher Education

The new revenue budget proposed by the Governor Gregoire provides a good starting point for budget discussions this session. Her budget builds on the momentum of the Washington Legislature in the 2012 supplemental session to stop any further erosion of state funding for higher education. The budget does not reduce funding for higher education and prohibits tuition increases for Washington’s universities and colleges. In addition the proposed budget maintains funding for the State Need Grant program.

The budget also makes a handful of investments in higher education. Among these investments is the creation of a competitive STEM enrollment pool for the public baccalaureates to compete for enrollment funds in STEM fields – $11 million; expansion of aerospace and STEM offerings at the community and technical colleges – $5 million; support for the colleges of engineering at WSU and UW – $4 million; and an increase in funding for the College Bound Scholarship program – $35 million.

The challenge for higher education under the Governor’s proposed new revenue budget is the total level of funding that is provided. While the budget proposes no reductions or ability to raise tuition, the level of funding for Washington’s public baccalaureate institutions does not meet the basic maintenance funding levels.

Evergreen

Although the Governor fully restores the temporary 3% compensation base reduction, there are no new resources provided to support increases in costs.

Under the new revenue budget, Evergreen is funded at a level that is below the maintenance level needed for the 2013-15 biennium. This means while the budget reflects the restoration of one-time transfers and reductions taken in the 2011-13 biennium, it does not reflect increases in operating costs (i.e. utility rates and collective bargaining agreements).

In addition the Governor’s proposed budget does not provide any funds to support investments requested by the College for IT and business infrastructure; student recruitment, retention and success; and faculty and staff recruitment and retention.

Capital Budget
Governor Gregoire also proposed a biennial capital budget for higher education. The Governor provided funding for a small number of projects across higher education. This includes funding for two projects at Evergreen – the renovation of the Science Lab 1 Basement and the Science Lab 2 second floor.

In addition the budget includes funding for minor works preservation and preventative maintenance.

Though the  Governor’s budget does provide some funding for minor works preservation it does not fully fund the College’s request. In addition, the proposed budget does not fund the design phase of the Lecture Hall Renovation, the predesign for the renovation of Seminar I, and the acquisition of land and design for the Tacoma Campus.

Next Steps

The Governor’s budget is the first of many budgets that will be released to address the 2013-15 biennium. While the Governor’s budget is the first step in the budget development process, there will be at least four more legislative budgets to review as the legislative session progresses.

The next budget is expected to be proposed by Governor-Elect Jay Inslee after he takes office in mid-January.

The Washington Legislature will convene on January 14 to begin its work to develop a biennial budget.  Over the next 105 days, the House and Senate will hold work sessions and public hearings on the gubernatorial proposed budgets as well as the budgets put forth by each chamber before finalizing a conference budget in late-April.

 

Executive Branch Projects Billion Dollar Deficit Next Year

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This week the Washington Office of Financial Management (OFM) released a new state budget outlook that puts the state in the red by June 2015.

According to OFM, the Washington state budget would experience a $1 billion shortfall for 2013-15. This doesn’t include the estimated $1.1 billion increase for the McCleary K-12 decision (HB 2776) or leaving any reserves other than the constitutional budget stabilization fund.

OFM identifies the major budget costs that would drive a budget shortfall as:

  • $366 million for actuarially recommended pension payment changes
  • $292 million for K-12 pay increases based on I-732
  • $242 million for increased debt service
  • $171 million to restore the 3% temporary salary cut for state workers
  • $166 million to restore K-12 salary reduction
  • $30 million for federal health care reform
  • $14 million for the “new” paid family leave benefit

The Outlook assumes state tax revenues will grow by $1.5 billion in the next biennium, from $31.2 billion to $32.7 billion.  This expected revenue increase is based on the state’s June Revenue forecast which was adopted with the caution that there is a 40% chance that this increase could be wiped-out depending on economic developments in Europe and actions (or lack thereof) in Congress. It also incorporates the spending-cut decisions made by lawmakers this year and assumes restoration of temporary measures included in the current budget

While OFM has consistently conducted budget outlooks for the state, this year the Office is required to show how the state’s future budgets could be balanced with available resources as a result of legislation passed in the 2012 supplemental budget requiring a balanced four-year budget outlook instead of a two-year forecast.

Washington Legislature Ends 2012 Supplemental Session

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The first special session of 2012 ended last night as of midnight. Though close the Washington Legislature did not complete business by this deadline and Governor Gregoire called the Legislature back for a second special session. After nearly eight straight hours of work from midnight to early this morning, the Legislature passed a balanced budget, jobs act, and a handful of policy reform bills.

Operating Budget

 The 2012 supplemental operating budget passed 64-34 in the House and 44-2 in the Senate and was delivered to the Governor for her consideration early this morning. The operating budget makes no reductions to K-12 and higher education.  Some of the highlights of the budget include $238 million to the general fund as a result of the state temporarily claiming control of local sales taxes before they are redistributed back to jurisdictions at their usual time, an increase in taxes raising about $14.5 million by eliminating a tax deduction for some large banks, additional revenue to the state through changing rules on roll-your-own cigarettes, and at the end a reserve fund of $320 million.

Impact to Higher Education

The operating budget as passed by the Legislature does not reduce general fund support for higher education, this includes further eductions to institutions and financial aid. The budget however does include some provisos and policy changes.

  • Bellevue College is authorized to offer baccalaureate degrees. Prior to the passage of this bill the College could only offer applied baccalaureate degrees.
  • The two and four year institutions are required to conduct a comprehensive review of institutional tuition waiver policies.
  • Evergreen is required to reallocate $276,000 for FY2013 for an expansion in enrollments in STEM as defined in HB 1795. This definition includes bachelor and advanced degree programs in the sciences, which includes agriculture and natural resources, biology and biomedical sciences, computer and information sciences, engineering and engineering technologies, health professions and clinical sciences, mathematics and statistics, and physical sciences and science technologies, including participation and degree completion rates for students from traditionally underrepresented populations.
  • The Washington State Institute for Public Policy is required to conduct a longitudinal study of the state need grant program ($100,000).
  • The two and four year institutions are not permitted to use state appropriated funds to support intercollegiate athletic programs
  • Changes state payments for public employee health benefits from $850 to $800 per month

Capital Budget and Jobs Act

The 2012  capital budget made no changes to Evergreen’s biennial capital budget. The Jobs Acts  which includes a new bonds bill and the traditional capital budget  are estimated to have an economic impact of $1.1 billion in construction work over the next 14 months.  

Reform Bills

As critical to the process as balancing the budget were efforts to pass reform bills to provide for greater long-term sustainability in the state budget. Among the policy bills passed by the Legislature three were critical to finally ending the 2012 supplemental session.

Pension

SB 6378 addresses early retirement benefits for future state employees.. Under law changes in 2000 and 2007, an employee with 30 years’ service could retire at age 62 with no reduction in benefits, and at age 55 with only a 20 percent reduction. Under the new law, retirement at age 62 will lower the benefit by 15 percent and age 55 by 50 percent. The savings will go to the state’s general fund.

 K-12 Healthcare

SB 5940 attempts to equalize health-insurance benefits for full-time and part-time school district employees and their families. The bill requires school districts to meet certain requirements, including making all employees pay a share of premiums, offering a high-deductible health plan and tying the price of individual and family benefits.

Balanced Budget

SB 6636 requires the state’s two-year budget to be in line with anticipated revenue over a four-year period or 4.5% growth per year, whichever is greater.   Growth has met or exceeded 4.5 percent in half of the past 16 years.

Congressional Republicans Release Budget Proposal

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Late this week the Republicans in the U.S. House of Representatives released a budget proposal for fiscal year 2013.

According to the author of the budget proposal. U.S. Representative Paul Ryan, the proposal would reduce next year’s deficit to $797 billion, a lower figure than the $977 billion deficit the Congressional Budget Office estimates would result from the president’s budget. Ryan also estimates it would reduce deficits over the next decade by $3.3 trillion more than the Obama budget.

The proposed budget would impact multiple frederal programs and services. The proposal cuts discretionary spending beyond the required reduction levels  in the debt ceiling agreement established last year. The budget would set discretionary spending for 2013 at $1.03 trillion, which is $20 billion less than the discretionary cap agreed when Congress increased the debt limit in August. The proposed budget also instructs six committees to find $261 billion in replacement savings over 10 years, and $18 billion in savings in the next year alone.

The limits to discretionary spending will impact all non-military and non-entitlement programs, including several higher education programs. The one exception in the budget is basic research which is funded at current maintenance levels. Beyond the decrease in discretionary funding, the budget proposes a handful of key changes specific to higher education.

Within the framework of the proposed budget, changes to higher education are noted under the heading “Repairing the Social Safety Net”. According to the budget proposal:

The safey-net system created in the last century is in dire need of a new round of reform. Government programs that aim to support the safety net are failing the citizens who rely on them and the taxapyers who fund them. A system designed for mid-20th century demographics and economics is ill equipped to deal with the unique pressures of the 21st century.  From a budgetary perspective, these programs are growing at an unsustainable rate…From a moral perspective, which well-intentioned, the paternalistic structures of these programs fail the very people they are intended to help.

Specific to higher education the budget proposal notes that:

Globalization and technological advances have made the modern economy more complex and dynamic. The new reality is workers at all levels must be ready to update or learn new, more specialized skills to match the changing needs of employees competing in the global economy. Federal higher eduation and job-training programs must be reformed to help workers adapt to this new challenge. Current federal aid structures are exacerbating a crisis in tuition inflation, plunging students and their families into unaffordable levels of debt or foreclosing the possibility of any higher education at all…these young adults are graduating with enormuous loan repayments and having difficulty finding jobs in our low-growth economic environment….But, instead of helping more students achieve their dreams, studies have shown that increased federal financial aid is simply being absorbed by tuition increases…when it comes to job training and continuing education, the current policy landscape is dotted with failed, unaccountable and duplicative programs.

The higher education context laid out in the budget proposal drives three major recommendations for change to current higher education policy.

Pell Grant

The proposal calls for placing the Pell Grant on a “sustainable path by limiting the growth of financial aid and focusing it on low-income students who need it the most”. The goal, according to the proposal, is to force institutions to reform and adapt and to ensure that Pell spending goes to students who truly need it.

In addition the proposal makes the argument that federal intervention in higher education should be focused on financial aid as well as policies that maximize innovation and ensure a robust menu of intitutional options from which students and their families can choose. To achieve this goal the suggestion is made to re-examine the data made available to students to make certain students and familes are prepared with information that will assist them in making their postsecondary decsions.  Finally the proposal recommends removing regulatory barriers in higher education that act to restrict flexibility and innovative teaching, particularly as it relates to online coursework.

The proposal does not state specific spending levels for the program.

Change How Student Loans are Viewed on the Federal Government Balance Sheet

The budget proposal would authorize the use of “fair-value” accounting principles for any legislation dealing with federal loan and federal loan guarantee programs. The budget would make this change by altering the Credit Reform Act (1990).

The Act allows Congress to treat loans differtently from other types of spending in the federal budget. Before the Act was passed, loans were measured in the cash flow of expenditures and repayments in a given year. After the Act, the cost to the government of loan programs was measured using the total value of the loans.

This change would allow for market risk to be taken into consideration rather than relying on the Treasury borrowing rate. As a result student loans would appear to be a slight loss on the government’s balance sheet, because it would take into account the difference between what the govenrment would earn and what a private leander would earn on the loans. As a result the change would make the federal deficit appear slightly larger.

This, however, does not mean that changes to loan programs are inevitable.  But, the impact, critics share, is that this accounting change would change how loan program costs are scored by the Congressional Budget Office. Some argue that this change would create a more difficult enviornment for new loan programs. Additional loans would appear to lose the govenrment money in the long term, not break even which makes for a harder sell.

Consolidate Overlappyting Job-Training Programs into Accountable Career Scholarships

The proposal calls for consolidating several job-training programs into scholarships to “improve access to career development assistance and strengthen the first rung on the ladder out of poverty”. The budget would establish, from the consolidation of these programs, a streamlined workforce development system with fewer funding streams that provide accountable, targeted career scholarship programs.  In addition the proposal would improve oversight and accountability for job-training programs by tracking the type of training provided, the cost per student, employment after training, and whether or not trainees are working in the field for which they were trained.

Other Budget Proposals

The congressional Democrats have not released a budget proposal. However earlier this year President Obama did release a budget proposal. An overall comparison of President Obama’s budget and the Republican proposal shows very different philosophies for moving forward.

Under the President’s proposal, funding for the National Science Foundation would increase by 5 percent, to $7.4 billion and the National Endowment for the Humanities  would get a slight increase, from $146 million to $154. The American Opportunity Tax credit is also made permanent – providing up to $2,000 per year for tuition.

With a goal for the US to “lead the world in college graduates by 2012,” specifics include:

  • Sustaining the maximum Pell Grant award of $5,635 through the 2014-2015 award year.
  • A one-year measure to prevent student loan interest rates from doubling this summer and doubles the number of work-study jobs over the next five years.
  • New reforms that shift federal aid away from colleges that do not keep tuition low.
  • Making permanent the American Opportunity Tax Credit.

Next Steps

Beginning with a committee markup Wednesday morning, the U.S. House of Representatives hopes to move the proposal through the House by the end of this week. And as most lawmakers  leave for spring recess, six House committees would be left with an April 27  deadline to report back legislation that would become a down payment of $261  billion in deficit reduction — to be brought to the floor in May.

Senate Coalition Introduces New Budget

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Last Friday Washington Senate Republicans and three Senate Democrats released a new budget proposal (SB 6612). The proposed budget is a move closer to the latest budget passed by the Washington House.

The Senate coalition announced the new proposal at a press conference after the end of the first week of special session during which negotiations were essentially non-existent.

The last proposal from the Senate coalition does include the proposal to skip a pension payment that was part of the Senate-passed budget during the regular session.  However the proposal does give some on the ending fund balance dropping the balance from $600 million to $440 million.

The new proposal restores approximately $140 million in services/programs that were reduced in the prior Senate-passed budget. The savings in large part go to buy back reductions in the original version of the proposal for higher education and K-12. As a result no cuts are made to K-12 or higher education nor does the proposal shift the school-district payment to the next biennium.

Although there was not any restoration of prior cuts enacted by the Legislature to higher education, the Senate coalition budget would make no further reductions to institutional budgets this biennium. In addition, the budget propsoal would:

  • Establish a joint legislative task force on the higher education funding formula,
  • Restore funds to student attending for-profit institutions to 100% of award levels (in the 2011-13 biennial budget the awards were reduced to 50%),
  • Allow Bellevue College and the Seattle Community College District to offer baccalaurate degrees (this proposal is also included in the House passed budget), and
  • Change state payments for public employee health benefits from $850 to $800 per month (this is included in the House passed budget).

Beyond higher education the proposal also included several reforms. The reforms include a four-year balanced budget, a constitutional amendment to lower the state’s debt limit, changes to the state’s pension system for state and education employees and retirees, consolidating the K-12 health benefits system, and repealing the voeter-approved initiatives to reduce class size and COLAs.

No further action has been scheduled to date on the new proposal.