SENATE BILL REPORT

                           SHB 2560

AS REPORTED BY COMMITTEE ON HIGHER EDUCATION, FEBRUARY 22, 1994

Brief Description:  Changing state work study provisions.

SPONSORS: House Committee on Higher Education (originally sponsored by Representatives Kessler, Brumsickle, Jones, Flemming, Quall, Jacobsen, Orr, Mastin, Rayburn, Ogden, Wood, Sheahan, Basich, Carlson, Shin, Bray, Mielke, Dunshee, Brough, Pruitt, J. Kohl, Karahalios, Schoesler, Talcott, Forner and Tate)

HOUSE COMMITTEE ON HIGHER EDUCATION

SENATE COMMITTEE ON HIGHER EDUCATION

Majority Report:  Do pass. 

     Signed by Senators Bauer, Chairman; Drew, Vice Chairman; Cantu, Prince, Quigley, Sheldon and West.

Staff:  Jean Six (786‑7423)

Hearing Dates:  February 16, 1994; February 22, 1994

BACKGROUND:

The state work-study program was created in 1974.  It is the state's second largest aid program with an appropriation of $24.2 million per biennium.  Washington's state work-study program is the largest program in the country.  During the 1993-94 academic year, the program is serving about 7,700 students.  Because funding for the program has not increased from the 1991-93 biennium but wages and educational costs have, the program is serving fewer students this year than last year. 

Through the program, needy students may work up to 19 hours per week, on average, in jobs related to their academic study. Their rate of pay must be comparable to the entry rate of similar jobs.  Work-study students cannot displace employed workers, nor may their employment impair existing contracts for services.    

Students at public institutions may work either on- or off-campus.  With very limited exceptions, students at private institutions must work off-campus.  Ninety-nine percent of students at private institutions work off-campus.  That percentage falls to 37 percent at public four-year institutions and 20 percent at community and technical colleges.

If a student works at a public institution or public school, the program pays 80 percent of the student's wages.  The institution must pay the other 20 percent.  Some community colleges are using tuition money contributed by students to the institution's financial aid fund to pay that 20 percent.  If a student works for a for-profit employer, the program will pay 65 percent of the student's wages.  The employer must contribute the other 35 percent.  If a student works for a community service employer, the program may pay the entire amount of the student's wages.

During the 1991-92 academic year, students attending public institutions comprised 63 percent of the participants in the state work-study program.  Within the public sector, community and technical college students comprised 34 percent of the participants, and students attending baccalaureate institutions comprised the remaining 29 percent.  Students at private institutions comprised 37 percent of the participants, but received 43 percent of the funding, due to the higher educational costs associated with tuition in those institutions.  Sixty-two percent of the participants were women and 87 percent were resident students.

SUMMARY:

The college work-study program is renamed the state work-study program.  The purpose of the program is revised.  The program will provide assistance to needy students including needy students from middle income families.  An additional purpose is to provide employment related to either the student's academic or vocational pursuits.

An advisory committee is created for the state work-study program.  The committee may include representatives of students, public and private institutions of higher education, community service organizations, public schools, business, labor and others.  The committee will assist the Higher Education Coordinating Board (HECB) with the development and administration of the program.  When selecting members of the advisory committee, the board will consult a broad array of institutions and organizations.

The board is directed to adopt new rules for the work-study program.  The rules will emphasize two new program priorities.  These include: placing a priority on job placements in fields related to each student's academic or vocational pursuits; and providing off-campus community service placements.  Off-campus job placements will be emphasized whenever appropriate.  The board will also adopt rules encouraging job placements in occupations that meet Washington's economic development goals, especially those in international trade and international relations.  These rules will permit appropriate job placements in other states and abroad.

Finally, current rules will be modified to permit some students to be placed in jobs above the entry level of classified service.  In addition, some technical changes are adopted to rename accrediting organizations and technical colleges.

Appropriation:  none

Revenue:  none

Fiscal Note:  available

TESTIMONY FOR:

Work-study is not just a financial aid program.  Students in the work-study program are often more persistent in working toward a degree and often find a job placement after graduation through their work-study experience.  The program provides valuable on-the-job training while at the same time allowing students to earn and help pay for their education.

TESTIMONY AGAINST:  None

TESTIFIED:  PRO:  Rhonda Coates, Financial Aid Officer, SPSCC; Betty Gephart, HECB; Ron Reese, student, EWU