SENATE BILL REPORT

                                   ESB 5824

                       AS PASSED SENATE, MARCH 20, 1991

Brief Description:  Changing provisions relating to the funding of community college summer courses.

SPONSORS:Senators Saling, Stratton, Patterson and Bauer.

SENATE COMMITTEE ON HIGHER EDUCATION

Majority Report:  Do pass.

      Signed by Senators Saling, Chairman; Patterson, Vice Chairman; Bauer, Jesernig, Stratton, and von Reichbauer. 

Minority Report:  Do not pass.

      Signed by Senators Bluechel, Cantu, and Skratek. 

Staff:  Laura Farris (786‑7784)

Hearing Dates:March 4, 1991; March 5, 1991

HOUSE COMMITTEE ON HIGHER EDUCATION

HOUSE COMMITTEE ON APPROPRIATIONS

BACKGROUND:

In the early 1980s when the level of state-funded student enrollment at community colleges was severely reduced, some community colleges began a practice that is known as contemporary contracting.  Since then, the extent of contemporary contracting has greatly increased.

Contemporary contracting entails:

-exceeding state-funded fulltime equivalent enrollment limits (the enrollment lid) by essentially contracting with individual students;

-charging only statutory tuition and fees (23 percent of the direct and indirect costs); and

-retaining this tuition and fees at the local college level.

Given the reduced level of funding provided by contemporary contracting, concerns have been raised regarding the effect of contemporary contracting upon the quality of education.  Concerns have also been raised as to the legality of the practice.

SUMMARY:

Excess Enrollments. Community college districts may exceed state-funded fulltime equivalent enrollment limits by 4 percent each fiscal year and charge those students a fee equal to the tuition and fees charged students enrolled in state-funded courses. The college shall retain these fees.

By September 1, 1995, community colleges must phase out enrollments in excess of the 4 percent limitation.  The phasing out must be in equal annual reductions.

If the community college fails to phase out the excess enrollments, then for each full-time equivalent in excess of the phase out limit, it shall pay the full average state appropriation per fulltime equivalent student.

The State Board for Community College Education must ensure compliance with the limitations.

Summer Self-Support. Community college districts may operate self-supporting summer programs.  If a community college district chooses to operate a self-supporting summer program, it must charge enough to cover the direct cost of summer school which is defined as instructor salaries and benefits, summer school supplies, summer school publications and summer school records.

In the event a community college district chooses to operate a self-supporting summer program, it will continue to receive general fund state support for the following:

1)vocational programs requiring students to enroll in a four-quarter sequence of courses that includes summer quarter for clinical or laboratory requirements;

2)ungraded courses defined as vocational apprenticeships, adult basic education, aging and retirement, small business management, industrial first aid, and parent education.

Community college districts choosing to operate a self-supporting summer program are not required to follow the tuition schedule set by statute for summer sessions.

Appropriation:  none

Revenue:  none

Fiscal Note:  available

TESTIMONY FOR:

Contemporary contracting at community colleges should be limited as it adversely affects quality of education. This bill legalizes and reasonably limits excess enrollments at community colleges.  The summer self-support option in the bill is a creative way to increase enrollments during community college fall, winter and spring quarters without requiring more state funding.  The bill would be more effective if community colleges receive additional state funded enrollments.  This is particularly true for Bellevue Community College.

TESTIMONY AGAINST:  None

TESTIFIED:  PRO:  Dave Habura, Deputy Executive Director, State Board for Community College Education; Dr. Ron Bell, President, Shoreline Community College and Washington Association of Community Colleges; Dr. Jean Floton, President, Bellevue Community College

HOUSE AMENDMENT(S):

Community college districts may vary from the state-funded enrollment levels by plus or minus 2 percent unless otherwise provided in the budget.

Community colleges are not required to reduce excess enrollments (contemporary contracts) until additional state-funded enrollments are allocated to the college.

The sentence regarding the penalty for failing to phase down such excess enrollments is clarified so that it is consistent with other provisions of the bill.