SENATE BILL REPORT

SB 5497

BYSenators Peterson, Saling, Stratton, Patterson, Lee, Garrett, Anderson and Johnson

Appropriating moneys for higher education faculty salaries.

Senate Committee on Ways & Means

Senate Hearing Date(s):February 3, 1987; February 19, 1987

Majority Report:  That Substitute Senate Bill No. 5497 be substituted therefor, and the substitute bill do pass.

      Signed by Senators McDermott, Chairman; Gaspard, Vice Chairman; Cantu, Deccio, Kreidler, McDonald, Rinehart, Saling, Talmadge, Vognild, Warnke, Zimmerman.

Senate Staff:Fred Romero (786-7715)

                  February 20, 1987

AS REPORTED BY COMMITTEE ON WAYS & MEANS, FEBRUARY 19, 1987

BACKGROUND:

Higher education's share of the state budget has declined over the last ten years from a high of 22 percent in the 1973-75 biennial budget to 15.5 percent of the current biennial budget.

Correspondingly, faculty salaries have not kept pace with compensation rates at other comparable "peer" institutions.  Data show that Washington's public colleges and universities are substantially behind their counterparts.  The following chart, composed by the state's Higher Education Coordinating Board, illustrates the percentage differences between Washington's institutions and the group of schools known as the state's "peers:"

!tp1,1,1 !tl UW !tl 15.9%

!tl WSU !tl 15.2%

!tl CWU !tl 15.0%

!tl EWU !tl 23.8%

!tl TESC !tl 20.0%

!tl WWU !tl 10.6%

!tl CC !tl 12.8%

The salary gap among comparable schools is expected to widen in the next biennium as peer institutions continue enhancing faculty salaries.

SUMMARY:

A supplemental appropriation totalling $8.897 million is made to designated institutions for the purpose of providing immediate average salary increases to fulltime, state-funded faculty, administrative exempt personnel, and graduate assistants.

The designated increases are as follows:

      (a)$3,095,000 to the University of Washington for an average salary increase of 5.0 percent;

      (b)$1,580,000 to Washington State University for an average salary increase of 5.0 percent;

      (c)$355,000 to Central Washington University for an average salary increase of 4.5 percent;

      (d)$411,000 to Eastern Washington University for an average salary increase of 4.5 percent;

      (e)$174,000 to The Evergreen State College for an average salary increase of 4.5 percent;

      (f)$460,000 to Western Washington University for an average salary increase of 4.5 percent;

      (g)$2,822,000 to the State Board for Community College Education, for an average salary increase of 4.0 percent.

The act does not prohibit granting salary increases to research faculty supported by moneys other than state funds, as long as sufficient funds exist to do so.

Appropriation:    $8,897,000 (General Fund-State, current 1985-87 biennium)

Fiscal Note:      none requested

Effective Date:The bill contains an emergency clause and takes effect immediately.

EFFECT OF PROPOSED SUBSTITUTE:

Since the state Constitution prohibits retroactivity in issues of salary increases, the effective date is changed from January 1, 1987 to March 1, 1987 or the first day of the month in which the act takes effect, whichever is later.

"Academic and exempt" employees are defined to include full-time faculty at four-year institutions, full-time and part-time faculty at community colleges, departmental chairs, medical residents, graduate assistants, librarians, counselors, and instructional support staff.

The definition of "administrative exempt" excludes presidents, chancellors, chief executive officers, provosts, vice-presidents, deans, and, in the case of four-year institutions only, senior administrative officials reporting directly to the excluded persons.

The monetary figures are changed to reflect the costs of appropriating an increase on March 1, 1987 instead of January 1, 1987.  The revised appropriation is $6,043,000.  The revised designated increases are as follows:

      (a)$2,170,000 to the University of Washington for an average salary increase of 5.0 percent;

      (b)$1,015,000 to Washington State University for an average salary increase of 5.0 percent;

      (c)$240,000 to Central Washington University for an average salary increase of 4.5 percent;

      (d)$277,000 to Eastern Washington University for an average salary increase of 4.5 percent;

      (e)$132,000 to The Evergreen State College for an average salary increase of 4.5 percent;

      (f)$322,000 to Western Washington University for an average salary increase of 4.5 percent;

      (g)$1,661,000 to the State Board for Community College Education, for an average salary increase of 4.0 percent.

The salary increases terminate on June 30, 1987 unless reauthorized in the 1987-89 biennial appropriation.

Senate Committee - Testified: John Terrey, State Board for Community College Education