SENATE BILL REPORT

ESHB 2344

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As of April 22, 2009

Title: An act relating to resident undergraduate tuition.

Brief Description: Regarding resident undergraduate tuition.

Sponsors: House Committee on Ways & Means (originally sponsored by Representative Haigh).

Brief History: Passed House: 4/22/09, 50-47.

Committee Activity: Ways & Means:

SENATE COMMITTEE ON WAYS & MEANS

Staff: Tim Yowell (786-7435)

Background: Since the 1999-2000 academic year, the governing board of each public four-year higher education institution and the State Board for Community and Technical Colleges has had the authority to increase tuition rates for resident undergraduate students within percentage limits specified by the Legislature in the Operating Budget Act. Prior to 1999 the Legislature set tuition at specified dollar amounts for each public institution. Since 1999-2000 the Legislature has authorized the following annual increases in resident undergraduate tuition:

Academic Year

Authorized Resident Undergraduate Increases

1999-2000

4.6 percent

2000-2001

3.6 percent

2001-2002

6.7 percent

2002-2003

Research

16 percent

Regional

14 percent

Community & Technical Colleges

12 percent

2003-2004

7 percent

2004-2005

7 percent

2005-2006 & 2006-2007

Research

7 percent

Regional

6 percent

Community & Technical Colleges

5 percent

2007-2008 & 2008-2009

Research

7 percent

Regional

5 percent

Community & Technical Colleges

2 percent

In 2007 the Legislature established an additional statutory limit under which the annual resident undergraduate tuition increases authorized by the Legislature were not to exceed 7 percent during any academic year, 2007-08 through 2016-17.

Summary of Bill: During academic years 2009-10 and 2010-11, the state may increase resident undergraduate tuition above the previous 7 percent cap in the Omnibus Appropriations Act.   Institutions of higher education are required to notify students of tax credits available through the American Opportunity Tax Credit.

 

The Higher Education Coordinating Board convenes a group of stakeholders to examine tuition policy including an examination of high tuition, high aid model, differential tuition based on income, and other potential state tuition policies.  A report, including an examination of the merits of the policies based on administrative feasibility, interactions with federal programs, and impacts on students is due to the Legislature by November 1, 2009.

The Joint Legislative Audit and Review Committee conducts a systemic performance audit of the public baccalaureate institutions to create a transparent link between revenues, expenditures, and performance outcomes. The findings and recommendations are due to the Legislature by December 1, 2010.

Appropriation: None.

Fiscal Note: Requested on April 13, 2009.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.