SENATE BILL REPORT

                   SB 6174

              As Passed Senate, February 2, 1996

Title:  An act relating to duties of the higher education coordinating board.

Brief Description:  Requiring annual budget review, recommendations, and guidelines for the higher education system.

Sponsors:  Senators Bauer and Kohl; by request of Higher Education Coordinating Board.

Brief History:

Committee Activity:  Higher Education:  1/9/96, 1/18/96 [DP].

Passed Senate, 2/2/96, 47-0.

SENATE COMMITTEE ON HIGHER EDUCATION

Majority Report:  Do pass.

  Signed by Senators Bauer, Chair; Kohl, Vice Chair; Drew, Hale, McAuliffe, Prince, Rasmussen, Sheldon, West, Wood and Zarelli.

Staff:  Jennifer Hanlon (786-7784)

Background:  The Higher Education Coordinating Board must review, evaluate, and make recommendations on operating and capital budget requests from four-year institutions and community colleges. The recommendations must be made by October 15 of each even-numbered year. Currently, the board does not have the authority to review supplemental budget requests.

Summary of Bill:  The Higher Education Coordinating Board reviews the supplemental budget requests of four-year institutions and the State Board of Community Colleges.  The board submits recommendations on the supplemental budget requests to the Office of Financial Management by November 1 of each even-numbered year.  The board also submits recommendations to the Legislature.

Appropriation:  None.

Fiscal Note:  None requested.

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

Testimony For:  As supplemental budget requests increase so does the need for the Higher Education Coordinating Board to be able to answer questions about those budgets.  This legislation enables the board to answer the questions of the Legislature and the Office of Financial Management.

Testimony Against:  None.

Testified:  Susan Patrick, Assoc. Director, HECB.

House Amendment(s):  The language permitting the HECB to review supplemental budgets is eliminated.  A pilot project permitting needy resident students to use their state need grants in another state is created.  The HECB must administer the program and report back to the Legislature by December 15, 2002.

The HECB identifies instructional program areas and localities in the state where contracting for services with institutions of higher education would be a cost-effective way of meeting identified needs.  Instructional programs include any field of study other than theology and contracts must meet HECB guidelines.