Legislature Releases Conference Capital Budget

The Legislature released a conference agreement on a biennial capital budget.

The conference capital budget provides for $1.1 billion in bond-supported capital budget capacity for the state.

The conference capital budget provides $496.5 million for higher education facilities. Over half of the funds go to the four-year institutions. This includes funding for Evergreen’s Communications Building (partial funding) and science lab renovation.

Conference Operating Budget Announced and Moved

This morning the Washington House and Senate announced a conference operating budget for the 2011-13 biennium. By this afternoon the House had voted 54-42 to move the budget to the Senate.  The Senate is expected to take up the budget tomorrow.

2011-2103 Operating Budget
The conference biennial budget addresses a $4.9  billion shortfall, making approximately $4.5 billion in policy level reductions. The budget reduces funding for higher education institutions by $535 million.  The Evergreen State College is reduced by $12.152 million and authorized to increase tuition by 14% per year for the biennium.

In addition the budget maintains the state need grant to offset budgeted tuition increases to students and reduces, but does not eliminate , state work study.

In addition to the reductions to higher education the proposed budget makes the following reductions.

  • $1.2 billion – Elimination of Initiative 728 and Initiative 732
  • $344 million -Change in how certain future pension benefits are calculated for Plan 1 retirees
  • $215 million – Elimination of K-4 class enhancement
  • $179 million – K-12 employee salary reduction
  • $177 million – 3% salary reduction in state employee salaries
  • $150 million – Hospital rates and related changes
  • $129 million – Reduction to Basic Health Plan
  • $116 million – Reform to the Disability Lifeline cash program
  • $97 million – Reduction of personal care hours for long term care and developmentally disabled clients
  • $61 million – Change to K-12 National Board Bonus program
  • $57 million – Student assessment system changes

Senate Concurs on Bill to Eliminate HECB

This afternoon the Washington Senate concurred on legislation – with a vote of 47-0 – to eliminate the Higher Education Coordinating Board and create the Office of Student Financial Assistance and the Council for Higher Education by July 1, 2012.

Senate Bill 5182 eliminates the Higher Education Coordinating Board on July 1, 2012, and establishes a Council for Higher Education subject to recommendations of a Steering Committee on Higher Education and legislation enacted in 2012.

The Steering Committee on Higher Education will be chaired by the Governor or her designee and include four legislators and equal representation from higher education sectors in the state.

Between now and July 1, 2012 the Higher Education Coordinating Board will continue several of its current responsibilities but not all. Senate Bill 5182 eliminates several Higher Education Coordinating Board functions to reflect the reduction in state funding for the agency. The areas eliminated include reporting on state support received by students, the costs of higher education, gender equity, capital budget prioritization, technology degree production, costs and benefits of tuition and fee reciprocity with Oregon, Idaho, and British Columbia, and transmitting undergraduate and graduate educational costs to boards of regents.

The bill now goes to the Governor for her consideration.

House Passes Legislation to Eliminate the HECB

This afternoon the Washington House passed legislation – with a vote of 59-28 – to eliminate the Higher Education Coordinating Board and create the Office of Student Financial Assistance and the Council for Higher Education by July 1, 2012.

Senate Bill 5182 eliminates the Higher Education Coordinating Board on July 1, 2012, and establishes a Council for Higher Education subject to recommendations of a Steering Committee on Higher Education and legislation enacted in 2012.

The Steering Committee on Higher Education will be chaired by the Governor or her designee and include four legislators and equal representation from higher education sectors in the state.

Between now and July 1, 2012 the Higher Education Coordinating Board will continue several of its current responsibilities but not all. Senate Bill 5182 eliminates several Higher Education Coordinating Board functions to reflect the reduction in state funding for the agency. The areas eliminated include reporting on state support received by students, the costs of higher education, gender equity, capital budget prioritization, technology degree production, costs and benefits of tuition and fee reciprocity with Oregon, Idaho, and British Columbia, and transmitting undergraduate and graduate educational costs to boards of regents.

The bill now goes back to the Senate for concurrence.

GET Bill Moves Out of Senate

The Washington Senate passed a bill – with a vote of 41 to 3- that would make changes to Washington’s current Guaranteed Education Tuition (GET) program, in particular changes to the Committee on Advanced Tuition Payment.

Senate Bill 5749, as passed by the Senate, would:

  • Retain the provision that specifies the length of term for the members on the Committee on Advanced Tuition Payment appointed by the Governor for four-year terms instead of an unspecified period of time and adds two additional representatives of private business appointed by the Governor, who must consider names from a list provided by the President of the Senate and the Speaker of the House of Representatives.
  • Add that the Committee on Advanced Tuition Payment utilize the State Actuary in reviewing the Guaranteed Education Tuition Program rather than a national recognized actuary, but the Committee may, at its discretion, obtain an assessment by a national recognized actuary.
  • Add that the Committee on Advanced Tuition Payment utilize the State Actuary in planning and devising a college savings program, but the Committee may, at its discretion, obtain an evaluation from a lified actuarial consulting firm.
  • Require the Committee on Advanced Tuition Payment, with the State Actuary, to review the program in light of passage of E2SHB 1795 (higher education opportunity act) and to make any necessary changes to the program for units purchased on or after September 1, 2011.
  • Establish a Legislative Advisory Committee to the Committee on Advanced Tuition Payment to provide advice regarding the administration of the program.
  • Remove all other provisions pertaining to new requirements after August 1, 2011.

 The bill now goes to the House for further consideration.

Senate Committee Takes Action on Endowment

This afternoon Senate Ways & Means Committee took action on legislation that would establish an endowment for students studying in high-demand fields.

HB 2088 creates the Opportunity Scholarship Program and the Opportunity Expansion Program to mitigate the impact of tuition increases, increase the number of baccalaureate degrees in high employer demand and other programs, and invest in programs and students to meet market demand fields of study while filling middleincome jobs with a sufficient supply of skilled workers.

The Committee amended the bill as follows:

  • Required all members of the Opportunity Scholarship Board be appointed by the Governor.
  • Required that for two of the appointments the Governor consider selection from a list of names provided by the President of the Senate and the Speaker of the House.

House Bill 2088 now goes to the floor for further consideration.

Senate Committee Holds Public Hearing on Endowment

This afternoon the Senate Ways & Means Committee held a public hearing on legislation that would establish an endowment for students studying in high-demand fields.

HB 2088 creates the Opportunity Scholarship Program and the Opportunity Expansion Program to mitigate the impact of tuition increases, increase the number of baccalaureate degrees in high employer demand and other programs, and invest in programs and students to meet market demand fields of study while filling middleincome jobs with a sufficient supply of skilled workers.

Senators asked several questions ranging from how this endowment will interact with existing state financial aid programs, the state matching requirement, and the potential size of the endowment.

Washington House Passes Endowment Legislation

This afternoon the Washington House passed – with a vote of 84-8-  legislation that would establish an endowment for students studying in high-demand fields.

HB 2088 creates the Opportunity Scholarship Program and the Opportunity Expansion Program to mitigate the impact of tuition increases, increase the number of baccalaureate degrees in high employer demand and other programs, and invest in programs and students to meet market demand fields of study while filling middleincome jobs with a sufficient supply of skilled workers.

The House passed a single technical amendment to the bill to: (1) Provide that the Opportunity Scholarship Board’s oversight and guidance must be consistent with legislative priorities, (2) Ensure that references are consistent and refer to “eligible education programs”, (3) Clarify a reference to the state need grant in light of an earlier amendment that struck provisions that would have renamed the state need grant the opportunity award program, and (4) Make clear that all annual reports from the Opportunity Scholarship Board and the program administrator are due no later than December 1st. 

House Bill 2088 now goes to the Senate for further consideration.

House Committee Moves Legislation Forward to Create Endowment

This morning the House Ways & Means Committee took action on legislation that would establish an endowment for students studying in high-demand fields.

HB 2088 creates the Opportunity Scholarship Program and the Opportunity Expansion Program to mitigate the impact of tuition increases, increase the number of baccalaureate degrees in high employer demand and other programs, and invest in programs and students to meet market demand fields of study while filling middleincome jobs with a sufficient supply of skilled workers.

The Committee amended the bill as follows:

  • Retained the name of the State Need Grant. The original bill would have changed the name to the Opportunity Award.
  • Prohibited institutions that are selected to receive an Opportunity Expansion Award – an Award to an institution that proposes programs designed to increase the number of baccalaureate degrees produced in highemployer demand and other programs of study – by the Opportunity Scholarship Board from including the award in the institution’s base budget. In the original bill institution’s were allowed to include these awards in their base budget.
  • Clarified that eligible prorams are education programs. The original bill also including training programs.
  • Expanded eligibility requirements for the Opportunity Scholarships to require that students must have received their high school diploma or GED in Washington. The original bill did not include this requirement.
  • Removed language that would provide the program administrator with the discretion to set the scholarship amount at either $1,000 or the dollar difference between tuition and fees regardless of which amount is greater. The original bill would have provided for this discretion.
  • Replaced existing reporting language with more detailed language that requires the Opportunity Scholarship Board together with the program administrator to report to the Legislature and others with respect to both the Opportunity Scholarship and Opportunity Expansion programs and further requires legislative review and consideration of the annual reports. Includes requirements that the reports include data regarding the race, ethnicity, gender, county of origin, age, and median family income of applicatns and recipients of an Opportunity Scholarship.

House Bill 2088 now goes to the floor for further consideration.