Senate Releases Operating Budget and Revenue Package

This morning the Senate released their proposed 2010 supplemental operating budget and revenue package.

Highlights of both proposals are below. A more detailed account of the impact of the Senate’s proposed 2010 supplemental budget and revenue package on Evergreen will be in a blog later today.

Highlights Higher Education Budget

  • Restores funding to the State Need Grant
  • Reduces funding for public colleges and universities by $69.5 million
  • Increases worker retraining funds by $27.8 million
  • Reduces state work study by 30% in the second year of the biennium
  • Suspends funding for the health professional conditional scholarship and loan repayment program. Funding will continue to complete scholarship commitments to current recipients, but no new applicants will be selected.
  • Suspends the Educational Opportunity Grant. Funding will continue to complete grant commitments to current recipients, but no new applicants will be selected.
  • Continues funding to complete commitments to students who receive the Washington Scholar and Washington Award for Vocational Excellence funds but no new applicants will be selected for 2010. 
  • Suspends the Future Teachers Scholarship. Funding will continue for current recipeints who were awarded the scholarships in prior years to complete their studies.  
  • Suspends matching funds to support innovations in child care delivery at the public universities
  • Reduces the Passport to College program by 30%
  • Reduces funding by 30% to the State-funded GEAR UP Projects
  • Suspends the Western Interstate Compact for Higher Education Professional Student Exchange program. Funding is continued to maintain commitments to current recipients
  • Suspends funding for state work study experience for students considering careers in math and science instruction.
  • Suspends the state contribution in the second year of the biennium for the Foster Care Endowed Scholarship
  • Suspends funding for the Leadership 1000 program.

Highlights of Revenue Package

  • Anticipates $483 milliono in additional resources based on the Federal Medical Assistance Percentage (FMAP).
  • Anticipates $87 million in additional federal resources from state savings related to Medicare Part D.
  • Assumes additional federal resources of approximately $12 million from two smaller sources of federal aid.
  • Transfers $269 million additional dollars from various funds to increase General Fund-State resources.
  • Transfers $229 million from the Budget Stabilization Account (a.k.a. Rainy Day Fund) to the state general fund. As a result there will be no ending fund balance in the Rainy Day Fund.
  • Incorporates a net increase in new revenue of $918 million. The net increase consists of three major components: (1) Narrows or eliminates numerous current tax preferences or “tax loopholes” ($518 million); (2) Impose a temporary 0.3% sales/use taxk increase ($313 million); and (3) The cigarette tax is increased by $1 per package ($86 million).

Details on the Senate’s proposed 2010 supplemental operating budget and revenue package are located on the Senate Ways & Mean’s Committee Webpage.  

Latest on State Budgets and Tuition Policy

Tomorrow, Tuesday February 23 is a pivotal day for higher education in the 2010 supplemental legislative session.

In the morning, the Senate will release their proposed 2010 supplemental operating and capital budgets at a press conference. The press conference is scheduled for 9:00 a.m. in the Cherberg Building in Senate Hearing Room 4 and will be televised on TVW.

Following the release of the Senate proposed budgets, the House Higher Education Committee will hold a hearing on Senate Bill 6562 – the tuition policy bill.  The public hearing will take place beginning at 10:00 a.m. in Hearing Room A.

At lunch time, 12:15 p.m., the House will release their proposed 2010 supplemental operating budget in the John L. O’Brien Building in Hearing Room A.  The release of the House operating budget will also be televised on TVW.

In the afternoon, the House will release their proposed 2010 supplemental capital budget at 1:30. The budget will be released to media only but will be available along with the other proposed budgets on the Washington Legislature’s website.

Following the release of the Senate and House versions of the 2010 supplemental operating and capital budgets, public hearings will be held in the late afternoon and into the evening.

The Senate Ways & Means Committee will hold a public hearing on the Senate’s proposed operating and capital budgets in the late afternoon. The hearing is scheduled to begin at 3:30 p.m. in Senate Hearing Room 4 of the Cherberg Building.

In the early evening, the House Ways & Means Committee will hold a public hearing on the House’s proposed 2010 operating budget. The public hearing will begin at 6:00 p.m. in Hearing Room A of the John L. O’Brien Building.

At the same time, the House Capital Budget will hold a public hearing on the House’s propsoed 2010 capital budget. The public hearing will begin at 6:00 pm. in the John L. O’Brien Building in Hearing Room C 

On Wednesday, February 24 the Senate Ways & Means Committee will hold another public hearing focused on the Senate’s proposed revenue package. The public hearing will begin at 3:30 p.m. in the Cherberg Building in Senate Hearing Room 4. 

The House, at this time, is not expected to release a revenue package along with its proposed budgets.

Senate Concurs with House Version of Bill to Suspend I-960

This evening the Senate concurred to the House amended version of Senate Bill 6130.

Senate Bill 6130 temporarily suspends tax-limiting Initiative 960 in its entirety.  The passage of the bill publicly indicates the Legislature’s intent to raise revenue in the 2009-2011 fiscal biennium.  From the effective date through July 1, 2011, any action or combination of actions by the Legislature that raises taxes may be taken with the approval of a majority of members elected to each house of the Legislature.

The final version of Senate Bill 6130 passed by both chambers reinstates the public notification requirements for tax and fee increases through July 1, 2011.

Senate Bill 6130 now goes to the Governor for her signature.

Policy Committee Deadline Looms for House, Senate to Follow

Today, House and Senate policy committees continued to work bills from the opposite chamber through the legislative process.

The House has less than 24 hours to consider policy bills from the Senate before the deadline for policy bills is reality. The House must move Senate initiated policy bills by 5:00 p.m. on February 23. 

The Senate has a few more days to get bills through the process. The Senate must move House policy bills to an appropriations committee or to the floor by 5:00 p.m. February 26.

Several bills of interest to Evergreen were heard by policy committees today and one bill was moved to the floor by the Senate Ways & Means Committee.

This morning the  Senate Early Learning & K12 Education Committee held a public hearing  on Senate Bill 3068. SB 3068 expands eligibility to additional students if funds are available for the conditional scholarship after currently qualified students have been accepted. Evergreen has supported the passage of SB 3068 since it was introduced earlier this session.

At the same time, the Senate Natural Resources, Ocean, and Recreation committee held a public hearing on House Bill 2481. HB 2481 provides the Washington Department of Natural Resources (DNR) with the necessary tools and resources to be a viable partner in the emerging biomass industry in Washington. The bill authorizes DNR to maintain a list of all potential sources of forest biomass on state lands for the purposes of making biomass available ot others; allows DNR to enter into biomass contracts for up to 5 years; and authorizes DNR to lease lands for the purpose of biomass.

Evergreen has testified in support of House Bill 2481 as a vehicle by which to stabilize DNR’s viability as a potential partner with the College in our Biomass Gasification Project effort.

In the afternoon, the Senate Ways & Means Committee took action on Senate Bill 6409. SB 6409, which Evergreen supports, creates the Washington Investment in Excellence Account.  The Account is funded through state lottery proceeds and directs those funds to a range of research and financial aid programs. In particular the programs eligible to receive funds from the Account include efforts to recruit entrepreneurial researchers, innovation partnership zones, and research teams and higher education financial aid programs including opportunity grants, educational opportunity grants, state work study, GET ready for math and science scholarships, passport to college promise, college bound scholarships, and the Washington promise scholarship.

The Senate Ways & Means Committee amended the bill in executive session. The amendment to the bill makes the following changes:

  • Changes the Account name to Opportunity Pathways Account
  • Extends eligibilty to the following programs: Washington Scholars, Washington Award for Vocational Excellence, the State Need Grant, Early Childhood Education & Assistance Program
  • Transfer $102 million per year from the General Fund to the Education Construction Account to replace lost lottery dollars
  • Requires the Lottery Commission to report to the Legislative higher education and economic development committees on marketing strategies and revenue targets for the new account
  • Provides for a JLARC performance review of lottery marketing.

Policy Committees Continue Work

Today, House and Senate policy committees continued to work bills from the opposite chamber through the legislative process.

The Legislature will experience a small break from the usual weekend work that has dominated their Saturdays and Sundays for the last couple of weeks. Most legislators are planning to travel to their districts and connect with their constituents.

Then Monday it will be back to the hard work of moving bills as policy committees in the House prepare for the deadline to consider policy bills from the Senate on February 23 and the Senate does the same by February 26.

Several bills of interest to Evergreen were heard by committees in both chambers. None of the bills listed below were moved out of committee today.

Washington House

This morning the  House Higher Education Committee held a public hearing  on Senate Bill 6467. SB 6467 allows institutions of higher educationo to award honorary degrees to individuals who were students at those institutions in 1942 but did not graduate because they were ordered into an internment camp.

In the afternoon, the House State Government and Tribal Affairs Committee held a public hearing on Senate Bill 6401. SB 6401 establishes an alternative selection process for selecting mechanical or electrical subcontractors for general contractor/construction manager projects. Evergreen has supported the development of an alternative process throughout the session.

Washington Senate

On the other side, the Senate Higher Education & Workforce Development Committee took up House Bill 2930 in the afternoon. HB 2930 directs the Higher Education Coordinating Board to give priority to selecting Future Teachers Scholarship recipients to those individuals who are seeking specialty endorsements in math as well as individuals who are uniquely qualified to help schools address the achievement gap. Evergreen has supported the legislation since its introduction and continues to encourage policymakers, through testimony, to keep in mind students seeking endorsements in English Language Learners and special education.  

Legislature Week 7: What’s Happening

The seventh week of the 2010 supplemental session will be focused on the release of the House and Senate proposed 2010 supplemental budgets for operating and capital.

The House is expected to release their capital and operating budgets on Monday. Though it is unclear, the Senate is likely to release their budgets on Monday as well.  Public hearings and executive sessions on the budgets will follow on Tuesday and Wednesday.

The beginning of the week continues the Legislature’s focus on moving bills from the opposite chamber through the policy committees in preparation for the policy committee cut-off (House cut-off February 23 and Senate cut-off February 26).

Overlapping slightly will be a resurgence of fiscal committee meetings as policymakers take action on the budgets and prepare for the next legislative deadline .  All fiscal committees must move policy bills to either the floor or an appropriation committee by March 1. 

The focus of the higher education policy committees (i.e. House Higher Education and Senate Higher Education & Workforce Development) will be to move several bills impacting Washington’s institutions of higher education out of committee and either to the floor for consideration or to an appropriation committee. 

In addition, the appropriations committees (i.e. Senate Ways & Means and House Ways & Means) will meet to continue their work on budget related matters.

House Passes I-960 Related Legislation

After ten hours of debate over three days, the House passed Senate Bill 6130.

Senate Bill 6130 temporarily suspends tax-limiting Initiative 960 in its entirety.  The passage of the bill publicly indicates the House’s intent to raise revenue in the 2009-2011 fiscal biennium.  From the effective date through July 1, 2011, any action or combination of actions by the Legislature that raises taxes may be taken with the approval of a majority of members elected to each house of the Legislature.

Senate Bill 6130 passed in a close vote (51-47) in the House. The close vote in the House mirrored the vote in the Senate (26-22) last week.

Senate Bill 6130 now returns to the Senate for further consideration. The House, in its process, amended the bill by reinstating the public notification requirements for tax and fee increases through July 1, 2011. This portion of current law had been suspended in a floor amendment in the Senate.

The Senate has two options: (1) Concur on the bill, accepting the changes made by the House. The bill would then go to the Governor for her signature or (2) Not concur, which would require the House and Senate to establish a conference committee to work out the differences between the House and Senate versions of the bill.

Policy Committees Return to Work

House and Senate policy committees returned to their committee work with a vengeance today. 

Several bills of interest to Evergreen were heard by legislative committees. None of the bills listed below were moved out of committee today.

Washington House

The House Education Committee held public hearings on several bills related to improving basic education in Washington. In particular, the Committee held a public hearing on Senate Bill 6696. Senate Bill 6696 comprises several policy changes to K-12 to make Washington more competitive for Race to the Top dollars, including policies and structural changes in the areas of school and teacher evaluation, assessment, and preparation.

The House Higher Education Committee held public hearings on two bills of interest to Evergreen. Senate Bill 6355, a.ka. the system design bill,  implements the recommendations put forth by the Higher Education Coordinating Board’s (HECB) System Design Plan work during the interim.  The bill identifies a process for expanding the higher education system upon proven demand and for reaching the goals in the HECB’s Master Plan.

The Committee also heard Senate Bill 6357. SB 6357 requires The College Board in consultation with the four-year sector, workforce training and education board, private career schools, business, and labor to develop policies for awarding academic credit for learning from work and military experience, military and law enforcement training, career college training, internships and externships, and apprenticeships.

In the afternoon the House Ways & Means Committee held a public hearing on House Bill 3178. HB 3178 makes several policy changes that impact the Department of Information Services as well as state agency IT services and programs. In particular, the bill:

  • Grants the Department of Information Services (DIS) authority over personal computer (PC) purchase and replacement, including development of a PC replacement policy for the state.
  • Requires state agencies purchasing cellular or mobile phone service to purchase it through the state Master Contract, unless a waiver is granted by the Office of Financial Management.
  • Requires state agencies and the Information Services Board to develop policies regarding data storage and retention.
  • Restricts information technology (IT) spending by state agencies for the 2009-11 biennium.

The Council of Presidents is working with the sponsor of the bill, Rep. Carlyle, and leadership in the House to exempt higher education from the bill.

Later in the day, the Senate Higher Education & Workforce Development Committee held a public hearing on three bills Evergreen has tracked. House Bill 2858, intitiated by the four-year, public institutions, provides institutions of higher education the authority to participate in group purchasing agreements.House Bill 2973  includes, in the definition of “resident student,” a student who resides in Washington and is on active military duty stationed in one of nine Oregon border counties. In addition, the bill adds a student who resides in Washington and is the spouse or dependent of a person who resides in Washington and is on active military duty stationed in an Oregon border county to the definition of “resident student.”

Finally, House Bill 2638 provides a specialized-format version of instructional material may not require that the student return the specialized-format version.

Bills Must Move by 5:00 p.m.

Today at 5:00 p.m.  the third cut-off of the 2010 session will come to fruition. By end of day today the Senate and House must have moved bills from their chamber of origin to the opposite chamber for consideration.

The Senate and the House have been on the floor since February 10 moving bills forward through the process. Between 25-30% of the bills Evergreen has tracked this session remain active and have moved onto the next step in the process.  Many of these bills have been the focus on the blogs leading up to today.

So what is next. Tomorrow policy committees in both the House and Senate charge full steam ahead on moving bills from the opposite chamber to either the floor or an appropriations committee.  Legislative policy committees will have one week to hold public hearings and executive sessions on the bills referred to their committees.

At the same time those of us on The Hill await the presentation of Governor Gregoires’ proposed plan for revenue.  Word on the street is that Gregoire will release a series of tax proposals to buy back approximately $800 million in state programs and services sometime this week.

In addition, the House and Senate are expected to release their proposed 2010 supplemental budgets soon. Rumor has it the proposed budgets could be released as early as Thursday and as late as Monday.

Senate Passes Tuition Policy Bill

Only an hour before midnight, the Senate passed Senate Bill 6562 – a.k.a. the tuition policy bill – with a vote of 29-19.

The debate on the floor with regard to SB 6562 did not cut along Democratic and Republican lines but along much more subtle differences in principles and policies with regard to the future of higher education in Washington.

Senator Kilmer, sponsor of the bill, shared the thoughts of many of the Senators who supported the bill with regard to quality and affordability.  Kilmer stated that the bill provides greater predictability for institutions and students by setting tuition limits in the future, accountability for the state and Washingtonians through the requirement of institutional performance agreements, and affordability by off-setting the tuition increases permitted through additional commitments to financial aid for low- and middle-income students.

Senator Schoesler spoke in opposition of the bill arguing that the accountability provided in the bill is not enough to ensure affordability, predictability, and accountability within higher education. Schoesler, who summed up many of the same concerns others who opposed the bill shared, argued that the best policy and the best financial aid program is low-tuition which allows for a wider door to be open to a post-secondary education for Washingtonians.

Senators spoke to the bill citing concerns with regard to the potential impact on student mix and the missions’ of Washington’s institutions of higher learning. Others expressed frustration that the emergence of this bill comes because the state has not kept its commitment to higher education through strong funding. Finally, Senators across both aisles gave props to the efforts of students this afternoon and this session to be heard with regard to tuition policy.

Two amendments were proposed on the floor. The first amendment, which passed, was a technical amendment that clarified the inclusion of graduate students as only “resident” graduate students.

The second amendment sponsored by Sen. Pflug, which failed, would have made tuition setting authority and waivers contingent upon full funding of the state work study program.

Senate Bill 6562 now goes to the House for further consideration.