SENATE BILL REPORT

SB 5224

BYSenators Saling, Bauer, Bailey, Stratton, Smitherman, West and Gaspard

Establishing the Washington scholars program.

Senate Committee on Higher Education

Senate Hearing Date(s):January 26, 1989; February 6, 1989

Majority Report:  Do pass as amended and be referred to Committee on Ways & Means

      Signed by Senators Saling, Chairman; Bauer, Cantu, Smitherman, Stratton, von Reichbauer.

Senate Staff:Scott Huntley (786-7421)

                  February 7, 1989

AS REPORTED BY COMMITTEE ON HIGHER EDUCATION, FEBRUARY 6, 1989

BACKGROUND:

In 1981 the Legislature created the Washington State Scholars Program to provide recognition for three high school seniors from each legislative district who have outstanding academic records.

In 1984 this program was expanded to provide for two years of tuition and fee waivers for recipients of the Scholars Award who attend public four-year institutions of higher education in this state.

In 1987 the program was again expanded to extend the maximum length of the tuition and fee waiver from two to four years, and to allow for two years of tuition and fee waivers for Scholars Award recipients who attend a community college in this state.

In 1988 the Legislature established a matching grant program for recipients of the Scholars Award who choose to attend an independent college or university in this state.  A Washington Scholars Award recipient who chooses to attend an independent institution may receive grants from the Higher Education Coordinating Board which shall not exceed, on a yearly basis, the full-time, resident, undergraduate tuition and service and activities fees at the state-funded research universities.  The grants are contingent upon the independent college or university matching the amount of the grant on at least a dollar-for-dollar basis, either with actual money or with a waiver of fees.

Concerns, and legal issues, have been raised regarding the potential financial incentive for Washington Scholars Award recipients to choose an independent institution over a public institution of higher education.  It is argued that the Award recipient who chooses to attend an independent institution will receive at least twice the total amount of financial benefit yearly than an Award winner who chooses a public institution, and since the state program is contingent upon the independent institution matching the grant, constitutional issues of neutrality and entanglement are raised.

SUMMARY:

The Higher Education Coordinating Board may award scholarships to recipients of the Washington Scholars Award.  The individual scholarships may not exceed, for each year, the annual, full-time, resident, undergraduate tuition and service and activities fees in effect at the state-funded research universities.  All scholarships awarded by the board in any particular year are to be equal in amount, regardless of the institution of higher education attended by the student.

To qualify for the scholarship, recipients must enter a state institution of higher education or an independent college or university in this state within three years of high school graduation and maintain a minimum grade point average in postsecondary studies equivalent to 3.30.  Students may be eligible for the scholarships for a maximum of twelve quarters or eight semesters and may transfer among state institutions and independent colleges or universities, and between state institutions and independent colleges or universities and continue to maintain eligibility.

The Higher Education Coordinating Board establishes procedures to distribute the scholarships to the Washington Scholars Award recipients.  No scholarship may be awarded to any student who is pursuing a degree in theology.

The provisions for matching grant program for Award winners who attend independent colleges or universities are repealed.

SUMMARY OF PROPOSED COMMITTEE AMENDMENT:

An appropriation is added of $905,688 to the Higher Education Coordinating Board to carry out the purposes of the act.

Appropriation:    $905,688 to the Higher Education Coordinating Board

Revenue:    yes

Fiscal Note:      available

Senate Committee - Testified: Bob Maier, Washington Education Association (pro)