Title: An act relating to the community and technical college capital projects account.

Brief Description: Returning interest earned to the community and technical college capital projects account.

Sponsors: Senators Fraser, Hewitt, Mulliken, Rasmussen, McAuliffe and Kohl-Welles.

Brief History:

Committee Activity: Ways & Means: 3/4/05, 3/7/05 [DP].

SENATE COMMITTEE ON WAYS & MEANS

Majority Report: Do pass.Signed by Senators Prentice, Chair; Doumit, Vice Chair; Fraser, Vice Chair; Zarelli, Ranking Minority Member; Brandland, Fairley, Hewitt, Kohl-Welles, Parlette, Pflug, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schoesler and Thibaudeau.

Staff: Richard Ramsey (786-7412)

Background: Building accounts at the six 4-year higher education institutions receive revenues from the management of trust assets and from building fees. These institutions retain the interest earning from the short term investment of these account balances by the State Treasurer.

The community and technical college capital projects account receives building fee revenue, but receives no revenue from trust land management. The interest earnings from the short term investment are deposited in the state general fund.

The legislature appropriates these accounts in the capital budget.

Summary of Bill: The interest earnings on the investment of the community and technical college capital projects account will remain in the account.

Appropriation: None.

Fiscal Note: Available.

Committee/Commission/Task Force Created: No.

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

Testimony For: The building fee, which is approximately 10 percent of tuition, is deposited in the building account. The investment earnings in the account will mean approximately $350,000 more per biennium for appropriation in the capital budget.

Testimony Against: None.

Who Testified: PRO: Tom Henderson, State Board for Community and Technical Colleges.