SENATE BILL REPORT

                   SB 5200

                As Passed Senate, March 6, 1997

Title:  An act relating to the state educational trust fund.

Brief Description:  Referencing the prior fiscal period rather than biennia for refunds and recoveries to the state educational trust fund.

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

Brief History:

Committee Activity:  Higher Education:  1/30/97, 2/13/97 [DP].

Passed Senate, 3/6/97, 48-0.

SENATE COMMITTEE ON HIGHER EDUCATION

Majority Report:  Do pass.

  Signed by Senators Wood, Chair; Winsley, Vice Chair; Bauer, Kohl, Patterson, Prince and Sheldon.

Staff:  Jennifer Hanlon (786-7784)

Background:  In 1996, the Legislature converted the state educational grant account to a trust fund.  The Higher Education Coordinating Board deposits grant and loan repayments into the trust fund.  The purpose of the trust is to offer AEarly Promise Scholarships@ to students identified as at risk of dropping out of secondary education.  Currently, the Higher Education Coordinating Board deposits funds to the trust from the prior biennia.

Summary of Bill:  The Higher Education Coordinating Board deposits funds from the prior fiscal period, rather than the prior biennia.

Appropriation:  None.

Fiscal Note:  Not requested.

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

Testimony For:  This language change is necessary to be consistent with Initiative 601.

Testimony Against:  None.

Testified:  Susan Patrick, HECB.