FINAL BILL REPORT

SSB 5688

                                   C 97 L 87

BYSenate Committee on Commerce & Labor (originally sponsored by Senators Smitherman, Warnke and Lee)

Establishing a review procedure for commercial activities conducted by institutions of higher education.

Senate Committee on Commerce & Labor

House Committe on Higher Education

SYNOPSIS AS ENACTED

BACKGROUND:

During recent years, the Legislature has received testimony from representatives of businesses stating that institutions of higher education are competing unfairly with the private sector in providing certain goods and services. 

SUMMARY:

Institutions of higher education in consultation with representatives of small business are required to develop:  comprehensive policies that define the legitimate purposes under which institutions may provide goods, services or facilities; a mechanism for reviewing current and proposed commercial activities; and a process for responding to inquiries from private business.

The following criteria are considered in developing policies regarding commercial activities:  the goods and services are related to the institution's educational mission; fees include direct and indirect costs; and goods and services represent a special convenience to the campus community.  An institution's education and residential life programs are not subject to review.  The institutions are to report to the Legislature by December 1, 1987, outlining policies regarding commercial activities.

VOTES ON FINAL PASSAGE:

      Senate    41     5

      House 97   0 (House amended)

      Senate    44     3 (Senate concurred)

EFFECTIVE:July 26, 1987