HOUSE BILL REPORT

                  HB 1731

             As Reported By House Committee On:

                      Higher Education

Title:  An act relating to community and technical colleges economic incentive grants.

Brief Description:  Creating economic incentive grants for educational programs that meet the demand of work force training for business and industry.

Sponsors:  Representatives Kenney, Carlson, Lantz, Reardon, Linville, Skinner, Gombosky, Doumit, Edwards, Anderson, Veloria, Edmonds, Kessler, Kagi, Wolfe, Hatfield, Murray, Ruderman, Dunshee, Grant, Rockefeller, O'Brien and Conway.

Brief History:

  Committee Activity:

Higher Education:  2/17/99, 2/26/99 [DPS].

           Brief Summary of Substitute Bill

$The economic incentive grant program is established.

$The State Board for Community and Technical Colleges will award grants for programs that train workers for the regional work force.

$Colleges must obtain a matching grant from business and industry.

HOUSE COMMITTEE ON HIGHER EDUCATION

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  Signed by 6 members:  Representatives Carlson, Republican Co-Chair; Kenney, Democratic Co-Chair; Lantz, Democratic Vice Chair; Radcliff, Republican Vice Chair; Edmonds and Gombosky.

Minority Report:  Without recommendation.  Signed by 2 members:  Representatives Dunn and Esser.

Staff:  Marilee Scarbrough (786-7196).

Background:

According to recent reports there is a projected shortage of skilled labor to meet the demands of employers  in Washington.  Community and technical colleges play a major role in helping employees to update their job skills.  One strategy suggested by employers to reduce the workforce gap is to enhance the opportunity for business and the education system to work together.

Summary of Substitute Bill:  The economic incentive grant program is established.  The State Board for Community and Technical Colleges may award grants for programs that help train workers for the regional work force.  Proposals must include two or more community colleges.  The colleges must obtain a matching grant from business and the program must be a cost effective method of offering the training.

Substitute Bill Compared to Original Bill: Outlines additional duties of the state board including, rule making, establishing committees to evaluate proposals and creating guidelines for submission of proposals.  An appropriations request is added.

Appropriation: $3 million per biennium.

Fiscal Note:  Requested on February 16, 1999.

Effective Date of Substitute Bill:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  (Original bill) We support this bill.  The bill encourages partnerships.  It is consistent with getting colleges to work regionally.  This will allow us to integrate training and economic development.  We can put resources at the ground level where the work takes place.  There is a demand and a capacity within the system for this kind of program.  The state needs to expand its efforts to encourage economic development.  This will help small manufacturers.  We need programs like this to assist small business.  This bill clearly identifies the issue of access and strategic alliances.  This bill supports the needs of employers.

Testimony Against:  None.

Testified:  Representative Kenney, prime sponsor; Dan McConnon, State Board Community and Technical Colleges; Victoria Munoz Richart, Cascadia Community College; George Sutherland, Washington Manufacturing Services; Fred Schuneman, Pierce College; Mary O'Neil-Garrett, Seattle Community College District; Terry Byington, American Electronics Association; Barbara Kuhn, Bates Technical College; Ted LaDoux, Evergreen Building Products Association; and Terry Kerwood, Evergreen Building Products Association.