1140-S2 AAS 4/8/99

 

 

 

2SHB 1140 - S COMM AMD -  S2532.1

By Committee on Higher Education

 

                               ADOPTED AS AMENDED (Flr 309) 4/8/99

 

    Strike everything after the enacting clause and insert the following:

 

    "NEW SECTION.  Sec. 1.  A new section is added to chapter 28B.10 RCW to read as follows:

    (1) The legislature finds that the higher education coordinating board, in consultation with the higher education community, has completed a review of the state need grant program.  It is the intent of the legislature to endorse the board's proposed changes to the state need grant program, including:

    (a) Reaffirmation that the primary purpose of the state need grant program is to assist low-income, needy, and disadvantaged Washington residents attending institutions of higher education;

    (b) A goal that the base state need grant amount over time be increased to be equivalent to the rate of tuition charged to resident undergraduate students attending Washington state public colleges and universities;

    (c) State need grant recipients be required to contribute a portion of the total cost of their education through self-help;

    (d) State need grant recipients be required to document their need for dependent care assistance after taking into account other public funds provided for like purposes; and

    (e) Institutional aid administrators be allowed to determine whether a student eligible for a state need grant in a given academic year may remain eligible for the ensuing year if the student's family income increases by no more than a marginal amount.

    (2) The legislature further finds that the higher education coordinating board, under its authority to implement the proposed changes in subsection (1) of this section, should do so in a timely manner.

    (3) The legislature also finds that:

    (a) In most circumstances, need grant eligibility should not extend beyond five years or one hundred twenty-five percent of the published length of the program in which the student is enrolled or the credit or clock-hour equivalent; and

    (b) State financial aid programs should continue to adhere to the principle that funding follows resident students to their choice of institution of higher education.

 

    Sec. 2.  RCW 28B.10.800 and 1993 sp.s. c 18 s 2 are each amended to read as follows:

    The ((sole)) purposes of RCW 28B.10.800 through 28B.10.824 ((is)) are to establish ((a)) the principles upon which the state financial aid programs will be based and to establish the state of Washington ((student financial aid)) state need grant program, thus assisting financially needy or disadvantaged students domiciled in Washington to obtain the opportunity of attending an accredited institution of higher education, as defined in RCW 28B.10.802(1).  ((Financial aid)) State need grants under RCW 28B.10.800 through 28B.10.824 ((is)) are available only to students who are resident students as defined in RCW 28B.15.012(2) (a) through (d).

 

    Sec. 3.  RCW 28B.10.804 and 1995 c 269 s 801 are each amended to read as follows:

    The ((commission)) board shall be cognizant of the following guidelines in the performance of its duties:

    (1) The ((commission)) board shall be research oriented, not only at its inception but continually through its existence.

    (2) The ((commission)) board shall coordinate all existing programs of financial aid except those specifically dedicated to a particular institution by the donor.

    (3) The ((commission)) board shall take the initiative and responsibility for coordinating all federal student financial aid programs to ((insure)) ensure that the state recognizes the maximum potential effect of these programs, and shall design ((the)) state programs ((which)) that complement((s)) existing federal, state, and institutional programs.  The board shall ensure that state programs continue to follow the principle that state financial aid funding follows the student to the student's choice of institution of higher education.

    (4) Counseling is a paramount function of the state need grant and other state student financial aid programs, and in most cases could only be properly implemented at the institutional levels; therefore, state student financial aid programs shall be concerned with the attainment of those goals which, in the judgment of the ((commission)) board, are the reasons for the existence of a student financial aid program, and not solely with administration of the program on an individual basis.

    (5) The "package" approach of combining loans, grants and employment for student financial aid shall be the ((conceptional)) conceptual element of the state's involvement.

 

    Sec. 4.  RCW 28B.10.806 and 1989 c 254 s 3 are each amended to read as follows:

    The ((commission)) board shall have the following powers and duties:

    (1) Conduct a full analysis of student financial aid as a means of:

    (a) Fulfilling educational aspirations of students of the state of Washington, and

    (b) Improving the general, social, cultural, and economic character of the state.

    Such an analysis will be a continuous one and will yield current information relevant to needed improvements in the state program of student financial aid.  The ((commission)) board will disseminate the information yielded by their analyses to all appropriate individuals and agents.

    (((c) This study should include information on the following:

    (i) all programs and sources of available student financial aid,

    (ii) distribution of Washington citizens by socio-economic class,

    (iii) data from federal and state studies useful in identifying:

    (A) demands of students for specific educational goals in colleges, and

    (B) the discrepancy between high school students' preferences and the colleges they actually selected.))

    (2) Design a state program of student financial aid based on the data of the study referred to in this section.  The state programs will supplement available federal and local aid programs.  The state programs of student financial aid will not exceed the difference between the budgetary costs of attending an institution of higher ((learning)) education and the student's total resources, including family support, personal savings, employment, and federal, state, and local aid programs.

    (3) Determine and establish criteria for financial need of the individual applicant based upon the consideration of that particular applicant.  In making this determination the ((commission)) board shall consider the following:

    (a) Assets and income of the student.

    (b) Assets and income of the parents, or the individuals legally responsible for the care and maintenance of the student.

    (c) The cost of attending the institution the student is attending or planning to attend.

    (d) Any other criteria deemed relevant to the ((commission)) board.

    (4) Set the amount of financial aid to be awarded to any individual  needy or disadvantaged student in any school year.

    (5) Award financial aid to needy or disadvantaged students for a school year based upon only that amount necessary to fill the financial gap between the budgetary cost of attending an institution of higher education and the family and student contribution.

    (6) Review the need and eligibility of all applications on an annual basis and adjust financial aid to reflect changes in the financial need of the recipients and the cost of attending the institution of higher education.

 

    Sec. 5.  RCW 28B.10.808 and 1991 c 164 s 4 are each amended to read as follows:

    In awarding need grants, the ((commission)) board shall proceed substantially as follows:  PROVIDED, That nothing contained herein shall be construed to prevent the ((commission)) board, in the exercise of its sound discretion, from following another procedure when the best interest of the program so dictates:

    (1) The ((commission)) board shall annually select the financial aid award ((winners)) recipients from among Washington residents applying for student financial aid who have been ranked according to financial need as determined by the amount of the family contribution and other considerations brought to the ((commission's)) board's attention.

    (2) The financial need of the highest ranked students shall be met by grants depending upon the evaluation of financial need until the total allocation has been disbursed.  Funds from grants which are declined, forfeited or otherwise unused shall be reawarded until dispersed.

    (3) ((A grant may be renewed until the course of study is completed, but not for more than an additional four academic years beyond the first year of the award.  These shall not be required to be consecutive years)) A student shall be eligible to receive a state need grant for up to five years, or the credit or clock hour equivalent of five years, or up to one hundred twenty-five percent of the published length of time of the student's program.  A student may not start a new associate degree program as a state need grant recipient until at least five years have elapsed since earning an associate degree as a need grant recipient, except that a student may earn two associate degrees concurrently.  Qualifications for renewal will include maintaining satisfactory academic ((standing)) progress toward completion of ((the course of study, and continued eligibility)) an eligible program as determined by the ((commission)) board.  Should the recipient terminate his or her enrollment for any reason during the academic year, the unused portion of the grant shall be returned to the state educational grant fund by the institution according to the institution's own policy for issuing refunds, except as provided in RCW 28B.10.8081.

    (4) In computing financial need, the ((commission)) board shall determine a maximum student expense budget allowance, not to exceed an amount equal to the total maximum student expense budget at the public institutions plus the current average state appropriation per student for operating expense in the public institutions.

 

    Sec. 6.  RCW 28B.10.810 and 1989 c 254 s 5 are each amended to read as follows:

    For a student to be eligible for ((financial aid the)) a state need grant a student must:

    (1) Be a "needy student" or "disadvantaged student" as determined by the ((commission)) board in accordance with RCW 28B.10.802 (3) and (4).

    (2) Have been domiciled within the state of Washington for at least one year.

    (3) Be enrolled or accepted for enrollment on at least a half-time basis at an institution of higher education in Washington as defined in RCW 28B.10.802(1).

    (4) Have complied with all the rules and regulations adopted by the ((commission)) board for the administration of RCW 28B.10.800 through 28B.10.824.

 

    Sec. 7.  RCW 28B.10.822 and 1973 c 62 s 4 are each amended to read as follows:

    The ((commission)) board shall adopt rules ((and regulations)) as may be necessary or appropriate for effecting the provisions of RCW 28B.10.800 through 28B.10.824 and section 1 of this act, and not in conflict with RCW 28B.10.800 through 28B.10.824, in accordance with the provisions of chapter 34.05 RCW, the ((state higher education)) administrative procedure act.

 

    NEW SECTION.  Sec. 8.  A new section is added to chapter 28B.15 RCW to read as follows:

    In addition to waivers granted under the authority of RCW 28B.15.910, the governing boards of the state universities, the regional universities, The Evergreen State College, and the community colleges may waive all or a portion of the operating fees for any student.  State general fund appropriations shall not be provided to replace tuition and fees revenue forgone as a result of waivers granted under this section.  The governing boards shall take public action to adopt rules for granting tuition waivers authorized under this section.  Actions by governing boards of community colleges to grant waivers under this section shall be subject to rules of the state board for community and technical colleges.

 

    NEW SECTION.  Sec. 9.  The higher education coordinating board, with the assistance of the institutions of higher education, shall evaluate the impact and the effectiveness of the new waiver authority granted under this act.  The evaluation shall include, but not be limited to:  (1) Information on how the institutions used their authority to waive tuition, including what rates were put into effect for categories of students or programs, and the impact on tuition revenue; and (2) an analysis of the impact of additional waivers on student enrollment patterns including changes in the proportion of resident students, changes in the proportion of undergraduate students and changes in the proportion of day-on-campus students.  By November 1, 2000, the board shall report its findings and make recommendations to the governor and the legislature.

 

    Sec. 10.  RCW 28B.15.066 and 1995 1st sp.s. c 9 s 3 are each amended to read as follows:

    It is the intent of the legislature that:

    In making appropriations from the state's general fund to institutions of higher education, each appropriation shall conform to the following:

    (1) The appropriation shall not be reduced by the amount of operating fees revenue estimated to be collected from students enrolled at the state-funded enrollment level specified in the omnibus biennial operating appropriations act;

    (2) The appropriation shall not be reduced by the amount of operating fees revenue collected from students enrolled above the state-funded level, but within the over-enrollment limitations, specified in the omnibus biennial operating appropriations act; and

    (3) The general fund state appropriation shall not be reduced by the amount of operating fees revenue collected as a result of waiving less operating fees revenue than the amounts authorized under RCW 28B.15.910.  State general fund appropriations shall not be provided for revenue forgone as a result of or for waivers granted under section 8 of this act.

 

    Sec. 11.  RCW 28B.15.910 and 1998 c 346 s 904 are each amended to read as follows:

    (1) For the purpose of providing state general fund support to public institutions of higher education, except for revenue waived under programs listed in subsection (3) of this section, and unless otherwise expressly provided in the omnibus state appropriations act, the total amount of operating fees revenue waived, exempted, or reduced by a state university, a regional university, The Evergreen State College, or the community colleges as a whole, shall not exceed the percentage of total gross authorized operating fees revenue set forth below.  As used in this section, "gross authorized operating fees revenue" means the estimated gross operating fees revenue as estimated under RCW 82.33.020 or as revised by the office of financial management, before granting any waivers.  This limitation applies to all tuition waiver programs established before or after July 1, 1992.

    (a) University of Washington                        21 percent

    (b) Washington State University                     20 percent

    (c) Eastern Washington University                   11 percent

    (d) Central Washington University                    8 percent

    (e) Western Washington University                   10 percent

    (f) The Evergreen State College                      6 percent

    (g) Community colleges as a whole                   35 percent

    (2) The limitations in subsection (1) of this section apply to waivers, exemptions, or reductions in operating fees contained in the following:

    (a) RCW 28B.10.265;

    (b) RCW 28B.15.014;

    (c) RCW 28B.15.100;

    (d) RCW 28B.15.225;

    (e) RCW 28B.15.380;

    (f) RCW 28B.15.520;

    (g) RCW 28B.15.526;

    (h) RCW 28B.15.527;

    (i) RCW 28B.15.543;

    (j) RCW 28B.15.545;

    (k) RCW 28B.15.555;

    (l) RCW 28B.15.556;

    (m) RCW 28B.15.615;

    (n) RCW 28B.15.620;

    (o) RCW 28B.15.628;

    (p) RCW 28B.15.730;

    (q) RCW 28B.15.740;

    (r) RCW 28B.15.750;

    (s) RCW 28B.15.756;

    (t) RCW 28B.50.259;

    (u) RCW 28B.70.050;

    (v) RCW 28B.80.580; and

    (w) During the 1997-99 fiscal biennium, the western interstate commission for higher education undergraduate exchange program for students attending Eastern Washington University.

    (3) The limitations in subsection (1) of this section do not apply to waivers, exemptions, or reductions in services and activities fees contained in the following:

    (a) RCW 28B.15.522;

    (b) RCW 28B.15.540; and

    (c) RCW 28B.15.558."

 

 

 

2SHB 1140 - S COMM AMD

By Committee on Higher Education

 

                               ADOPTED AS AMENDED (Flr 309) 4/8/99

 

    On page 1, line 1 of the title, after "education;" strike the remainder of the title and insert "amending RCW 28B.10.800, 28B.10.804, 28B.10.806, 28B.10.808, 28B.10.810, 28B.10.822, 28B.15.066, and 28B.15.910; adding a new section to chapter 28B.10 RCW; adding a new section to chapter 28B.15 RCW; and creating a new section."

 


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