SENATE BILL REPORT

                                    HB 2295

          AS REPORTED BY COMMITTEE ON WAYS & MEANS, FEBRUARY 4, 1992

Brief Description:  Changing the capital appropriation for Lake Washington Technical College.

SPONSORS: Representatives H. Sommers, Miller, Jacobsen, Schmidt, May, Basich, Ogden, Betrozoff, Spanel, Cantwell, Van Luven, Forner, Rasmussen and Ferguson

HOUSE COMMITTEE ON CAPITAL FACILITIES & FINANCING

SENATE COMMITTEE ON WAYS & MEANS

Majority Report:  Do pass. 

      Signed by Senators McDonald, Chairman; Craswell, Vice Chairman; Amondson, Bailey, Bauer, Bluechel, Cantu, Hayner, M. Kreidler, Murray, Newhouse, Niemi, Owen, Rinehart, Saling, L. Smith, West, Williams, and Wojahn.

Staff:  Linda Brownell (786‑7715)

Hearing Dates: February 3, 1992; February 4, 1992

BACKGROUND:

In 1986, Lake Washington Vocational Technical Institute received voter approval for a local bond issue to construct a new classroom, administrative, and laboratory building.  Construction began in 1988 and is scheduled for completion in the summer of 1992.  The project was planned to be completely funded by a combination of local school district bonds and state school construction money.

In 1991 all vocational institutes (including the newly named Lake Washington Technical College) were transferred to the State Board for Community and Technical Colleges.  As a result, the Lake Washington project was no longer eligible for local school district bond money or the $7.9 million of state local school construction money allocated to the project.

The 1991-93 state capital budget anticipated the transfer of authority by appropriating $5.8 million to replace the state school construction money.  Due to a miscalculation of the construction schedule, a $2.1 million shortfall resulted for work currently underway.  In addition, $1.3 million for classroom furniture and equipment and $1 million for street improvements which was to have come from local school district bond money will have to be supplied by the State Building construction account.

The State Board of Education has agreed to pay $1.1 million for construction costs completed prior to September 1, 1991.  An additional $1 million is needed immediately to cover the current construction contract obligations.  Available capital funds may be exhausted before a supplemental capital budget can be passed.  If funding is not approved by February, the college will face a costly construction shutdown and legal action.  The balance of the shortfall ($2.3 million) can be addressed in the 1992 supplemental capital budget.

SUMMARY:

The 1991-93 biennial capital budget is amended to change the name of Lake Washington Vocational Institute to Lake Washington Technical College, and to increase the appropriation for construction of the administrative addition, classroom space, and laboratory by $1,051,000.

Appropriation:  $1,051,000 from the State Building Construction Account.

Revenue:  none

Fiscal Note:  none requested

Effective Date:  The bill contains an emergency clause and takes effect immediately. 

TESTIMONY FOR:

This bill is needed and the board is pleased with the speed at which it is progressing.  If this passes, at this rate, we won't need to halt construction.

TESTIMONY AGAINST:  None

TESTIFIED:  Bill Julius, State Board for Technical and Community Colleges