H-2065              _______________________________________________

                                           SUBSTITUTE HOUSE BILL NO. 650

                        _______________________________________________

State of Washington                              50th Legislature                              1987 Regular Session

By House Committee on Higher Education (originally sponsored by Representatives Braddock and Sanders)

Read first time 2/27/87 and passed to Committee on Rules.

AN ACT Relating to the tuition endowment fund; and adding new sections to chapter 28B.80 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.     The tuition endowment fund program is hereby established to provide an incentive for students from low- income families to complete high school and pursue and complete a college education. The program shall be administered by the higher education coordinating board.  Moneys from the tuition endowment trust fund, as available, shall be used to pay the tuition and services and activities fees of eligible students at the state institutions of higher education. The program is intended to supplement other financial aid programs.

NEW SECTION. Sec. 2.     The tuition endowment trust fund is hereby created in the custody of the state treasurer.  Private contributions, federal grants, and funds appropriated by the legislature for the tuition endowment fund program shall be deposited in the tuition endowment trust fund.  All moneys deposited in the trust fund shall be invested by the state treasurer.  Notwithstanding RCW 43.84.090, all earnings of investments of balances of the trust fund shall be credited to the trust fund.  The trust fund is subject to the allotment procedure provided under chapter 43.88 RCW, but no appropriation is required for disbursements.  Disbursements from the trust fund shall be on the authorization of the higher education coordinating board. The funds shall be used as provided under section 1 of this act.

NEW SECTION. Sec. 3.     A student is eligible for payment of fees from the tuition endowment trust fund if the student:

          (1) Meets the admission requirements of the institution he or she wishes to attend;

          (2) Is accepted for admission into the institution;

          (3) Applied for payment of fees from the trust fund after the completion of the eighth grade but before beginning the eleventh grade and at the time of application was a member of a family which met the income assistance eligibility criteria of the department of social and health services;

          (4) Meets the requirements for a resident student under chapter 28B.15 RCW; and

          (5) Complies with the rules adopted by the board.

NEW SECTION. Sec. 4.     (1) The higher education coordinating board shall administer the tuition endowment fund program.  The board shall adopt necessary rules for administering the program including but not limited to rules for accepting student applications, establishing eligibility guidelines, awarding payment of fees, promoting private contributions to the endowment trust fund, and reporting by students.  Rules for accepting students in the program shall provide that eligible students will be accepted in the order that the applications are received, as funds are available.

          (2) The higher education coordinating board shall make payments on behalf of an accepted student directly to the applicable institution of higher education.  Payments for any one student may be made for a maximum of four academic years during not more than five calendar years so long as the student is in attendance at the institution and is meeting the requirements of the institution.

NEW SECTION. Sec. 5.     A state institution of higher education shall transmit any refunds of fees for a student participating in the program to the tuition endowment trust fund.

NEW SECTION. Sec. 6.     After consulting with the higher education coordinating board, the governor may transfer the administration of this program to another agency with an appropriate educational mission.

NEW SECTION. Sec. 7.     Sections 1 through 6 of this act are each added to chapter 28B.80 RCW.

NEW SECTION. Sec. 8.     If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.