HOUSE BILL REPORT

HB 2999

BYRepresentatives Jacobsen, Locke, H. Sommers, Ebersole, Miller, Prince, S. Wilson, Holland, Rector, Winsley, Crane, Basich, Wineberry, Ferguson, Bennett, Spanel and O'Brien; by request of State Board for Community College Education

Revising provisions for compensation for community college officers and employees.

House Committe on Higher Education

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  (11)

      Signed by Representatives Jacobsen, Chair; Spanel, Vice Chair; Van Luven, Ranking Republican Member; Bennett, Doty, Fraser, Heavey, Jesernig, Miller, Prince and Rector.

House Staff:Susan Hosch (786-7120)

Rereferred House Committee on Appropriations

Majority Report:  The substitute bill by Committee on Higher Education be substituted therefor and the substitute bill do pass.  (24)

      Signed by Representatives Locke, Chair; Grant, Vice Chair; Youngsman, Assistant Ranking Republican Member; Appelwick, Belcher, Bowman, Braddock, Brekke, Dorn, Doty, Ebersole, Hine, Inslee, May, McLean, Nealey, Peery, Rust, Sayan, Spanel, Sprenkle, Valle, Wang and Wineberry.

Minority Report:  Do not pass.  (2)

      Signed by Representatives Silver, Ranking Republican Member and Padden.

House Staff:      Sherie Story (786-7142)

AS REPORTED BY COMMITTEE ON APPROPRIATIONS FEBRUARY 3, 1990

BACKGROUND:

Each community college board of trustees is directed to employ a district president, members of the faculty, administrative officers, and other employees.  In multicampus districts, the board also hires a president for each campus.  The board determines the duties of each employee, and fixes his or her salary.  By law, salary increases are limited to the amount or percentage established in the appropriations act.

The 1989 appropriations act directed the State Board for Community College Education to "establish compensation guidelines for salary levels of the top administrative position at community colleges."  The state board convened a task force to develop those guidelines.

The task force identified two problems associated with compensation for presidents.  First, the task force found that unlike presidents of the four-year institutions, public school superintendents, and community college presidents in other states, Washington community college presidents can not receive compensation in forms other than salary.  Second, the task force found that salary restriction language in the appropriations act limits the flexibility of governing boards to give competitive salary increases to presidents without reducing increases for other administrative employees.  They also found that trustees have flexibility in setting salaries for newly hired presidents, so those new presidents frequently receive higher salaries than experienced incumbents.

The task force recommended that trustees be given the authority to provide presidents and administrative employees with compensation rather than salaries.  The task force also recommended that salary appropriations for administrators should be based on salary surveys in peer states.  Finally, it recommended maintaining a reasonable promotional salary alignment between faculty and administrators.

SUMMARY:

SUBSTITUTE BILL:  Community college trustees will fix the duties and compensation of community college presidents.  Compensation may include elements other than salary.  It does not include benefits provided to all state employees, including presidents.  However, compensation provided by a college may supplement retirement, health care, and other benefits received by presidents as state employees. Compensation increases must not exceed the amount or percentage established in the state appropriations act.

Archaic language in the statute is removed.  The legislation takes effect immediately.

SUBSTITUTE BILL COMPARED TO ORIGINAL:  The ability of colleges to supplement general retirement and health care benefits provided to presidents as state employees is clarified and an emergency clause is attached.

CHANGES PROPOSED BY COMMITTEE ON APPROPRIATIONS:  None.

Fiscal Note:      Requested February 1, 1990.

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

House Committee ‑ Testified For:    (Higher Education)  Max Snyder, State Board for Community College Education; and Karen Clark, Tacoma Community College.

(Appropriations)  Phyllis Kinney, Seattle Community College District Board; and Fred Romero, State Board for Community College Education.

House Committee - Testified Against:      (Higher Education)  No one.

(Appropriations)  No one.

House Committee - Testimony For:    (Higher Education)  Statutory requirements on compensating community college administrative employees are the most restrictive in Washington's education system.  Community colleges compete nationally for their presidents.  They need the ability to offer those presidents compensation packages that are comparable with those in other states.  This legislation allows trustees the flexibility they need to create competitive packages when they recruit new presidents.  It will not help to give current presidents competitive increases.

(Appropriations)  Statutory requirements on compensating community college administrative employees are the most restrictive in Washington's education system.  Community colleges compete nationally for their presidents.  They need the ability to offer those presidents compensation packages that are comparable with those in other states.  This legislation allows trustees the flexibility they need to create competitive packages when they recruit new presidents.  It will not help to give current presidents competitive increases.

House Committee - Testimony Against:      (Higher Education)  None.

(Appropriations)  None.