SENATE BILL REPORT

                  SSB 6655

              As Passed Senate, February 14, 1998

Title:  An act relating to institutions of higher education.

Brief Description:  Changing the Spokane intercollegiate research and technology institute.

Sponsors:  Senate Committee on Higher Education (originally sponsored by Senators West and Brown).

Brief History:

Committee Activity:  Higher Education:  2/2/98, 2/5/98 [DPS].

Passed Senate, 2/14/98, 47-0.

SENATE COMMITTEE ON HIGHER EDUCATION

Majority Report:  That Substitute Senate Bill No. 6655 be substituted therefor, and the substitute bill do pass.

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

Staff:  Jean Six (786-7423)

Background:  In 1988, the Legislature appropriated $800,000 for the purchase of a site in Spokane for an intercollegiate institute for research and technology.  In 1989, the Legislature created the Spokane Intercollegiate Research and Technology Institute (SIRTI) designed as a cooperative venture of Eastern Washington University (EWU), Gonzaga University, Whitworth College, the community colleges of Spokane, and Washington State University (WSU).  Through SIRTI, the member institutions collaborate in the offering of education and training, applied and developmental research, and business resource and support that is specifically aimed at the economic development of the Spokane area.  A $15 million, five-year grant through the federal Advanced Research Project Agency allowed SIRTI to launch and operate programs in manufacturing, healthcare/biomedical, and environmental technologies.

The education and economic development needs of Spokane are again under discussion in the Legislature, with the viability of SIRTI as an important component of that discussion. 

Summary of Bill:  The Spokane Intercollegiate Research and Technology Institute (SIRTI) is separated from the administration and oversight of the Joint Center for Higher Education (JCHE).  The Department of Community, Trade, and Economic Development (DCTED) is the new fiscal agent for SIRTI with the building and described property belonging to SIRTI.  The mission of SIRTI continues to be the performance and commercialization of research that benefits the economic vitality of eastern Washington and the Spokane area. 

SIRTI is operated as a multi-institutional education and research center providing leading edge collaborative research and technology transfer opportunities as well as direct involvement for both undergraduate and graduate students in research and industry interactions.  Washington State University (WSU) is the senior research partner.  Research staff are provided from among the cooperating institutions through cooperative agreements.  The Higher Education Coordinating Board must approve the establishment of education programs and any facility acquisition.

Nonstate support for research activities is emphasized including the receipt of federal funds and private gifts or grants.  Staff for SIRTI are employees of SIRTI.

Administration is by a board of directors including nine members representing the general public, at least six of whom have broad business experience and an understanding of high-technology, the Executive Director of the Washington Technology Institute, the Provost of Washington State University, the Provost of Eastern Washington University, the Provost of Central Washington University, the Provost of the University of Washington, an academic representative of the Spokane community colleges, and one member each representing Gonzaga University and Whitworth College.

Duties of the board of directors are defined:

CDeveloping operating policies

CAppointing an executive director

CApproving the annual operating budget of SIRTI

CEstablishing research priorities and guaranteeing the greatest potential return on the investment

CApproving and allocating funding

CDeveloping, in cooperation with DCTED, a biennial work plan and five-year strategic plan consistent with statewide technology development and commercialization goals

CCoordinating the work of all collaborating institutions

CAssisting DCTED in the development of state policies regarding science and technology

CReviewing annual reports on funded research projects

CProviding an annual report to the Governor and the Legislature

CSubmitting an annual report to DCTED

Appropriation:  None.

Fiscal Note:  Requested on January 28, 1998.

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

Testimony For:  The intent of the sponsors is to strengthen the Spokane Intercollegiate Research and Technology Institute (SIRTI) by making it an independent state agency.  SIRTI is to conduct applied research as well as to be connected to the academic world.  An independent board with significant business membership and a direct link to the Department of Community, Trade, and Economic Development is vital to both technology transfer development and economic development.

The independent status of SIRTI is a good move forward for Spokane that contributes to a healthy business environment.  "Focus 21," a local group promoting Spokane businesses, is in job creation mode.  SIRTI will play a vital role relating to jobs.

Designation of Washington State University as the senior research partner would enhance our reputation as we seek out grants; however, it would not hurt the research activities of the other collaborating institutions.  SIRTI is a recognizable entity when we seek grants, but WSU as a senior partner would give us an edge.

Including the University of Washington on the board of directors will provide additional strength to SIRTI.

The chambers of commerce organizations in the Spokane area are in agreement in support of this bill.

Testimony Against:  None.

Testified:  PRO: Senator James West, prime sponsor; Terry Byington, American Electronics Association; President Sam Smith, WSU; Todd Mielke, Spokane Area Chambers of Commerce; Lyle Anderson, Exec. Director, SIRTI.

House Amendment(s):  Washington State University, through the operation of its Spokane branch campus, is made responsible for ensuring the expansion of upper-division and graduate higher education programs in Spokane.  Eastern Washington University is no longer collocated in Cheney and Spokane.  The president of a public four-year institution is provided housing or a housing allowance only when residing in the location where the institution is designated in statute.  HECB is directed to adopt program review rules that avoid duplication and encourage collaboration between WSU and EWU in the delivery of graduate level programs in Spokane.  Several assessments and plans will be delivered to HECB and to the appropriate legislative committees.

The Joint Center for Higher Education is eliminated.  The authority to approve program offerings rests with HECB.

All of the assets at the Riverpoint Higher Education Park, with the exception of the real property designated as belonging to the Spokane Intercollegiate Research and Technology Institute, are transferred to WSU.  Parking fees at Riverpoint are made the responsibility of the regents of WSU.

SIRTI is separated from the administration and oversight of JCHE.  The SIRTI building and other assets are transferred from JCHE to SIRTI.  The Department of Community, Trade, and Economic Development (DCTED) is made responsible for contracting with SIRTI for the expenditure of state-appropriated funds for the operation of the institute.  The mission of SIRTI continues to be the performance and commercialization of research that benefits the economic vitality of eastern Washington and the Spokane area. 

SIRTI continues to be operated as a multi-institutional education and research center.  WSU is made the senior research partner.  Research staff are provided from among the cooperating institutions through cooperative agreements.   Non-state support for research activities is emphasized including the receipt of federal funds and private gifts or grants.  Staff for SIRTI are employees of SIRTI.  HECB must approve the establishment of education programs and any facility acquisition.

SIRTI administration is by a board of directors including nine members representing the general public, at least six of whom have broad business experience and an understanding of high-technology, the Executive Director of the Washington Technology Institute, the Provost of Washington State University, the Provost of Eastern Washington University, the Provost of Central Washington University, the Provost of the University of Washington, an academic representative of the Spokane community colleges, and one member each representing Gonzaga University and Whitworth College.

Duties of the board of directors are defined:

CDeveloping operating policies;

CAppointing an executive director;

CApproving the annual operating budget of SIRTI;

CEstablishing research priorities and guaranteeing the greatest potential return on the investment;

CApproving and allocating funding;

CDeveloping, in cooperation with DCTED, a biennial work plan and five-year strategic plan consistent with statewide technology development and commercialization goals;

CCoordinating the work of all collaborating institutions;

CAssisting DCTED in the development of state policies regarding science and technology;

CReviewing annual reports on funded research projects;

CProviding an annual report to the Governor and the Legislature; and

CSubmitting an annual report to DCTED.