S-1868

AN ACT Relating to tuition setting authority and the use of tuition in higher education; amending RCW 28B.15.031, 28B.15.066, 28B.15.067, 28B.15.069, 28B.15.070, and 28B.15.100; and creating a new section.

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

NEW SECTION. Sec. 1. It is the intent of the legislature to establish a permanent tuition policy for the state's public higher education system. This policy should maintain affordable tuition levels and predictable tuition rates so students and their families can plan and pay for access to public higher education. This policy should also extend limited tuition setting authority to institutions of higher education and the state board for community and technical colleges so they can respond to individual priority needs not addressed by the legislature. The legislature intends that for academic year 1999-2000 and thereafter, the student's proportion of the cost of instruction through the payment of tuition, shall have the same relationship to general fund support that it had in academic year 1998-99. The legislature further intends that tuition revenue be used by each entity to support the state goal of improving student access to quality learning opportunities.

Sec. 2. RCW 28B.15.031 and 1996 c 142 s 2 are each amended to read as follows:

The term "operating fees" as used in this chapter shall include the fees, other than building fees, charged all students registering at the state's colleges and universities but shall not include fees for short courses, self-supporting degree credit programs and courses, marine station work, experimental station work, correspondence or extension courses, and individual instruction and student deposits or rentals, disciplinary and library fines, which colleges and universities shall have the right to impose, laboratory, gymnasium, health, technology and student activity fees, or fees, charges, rentals, and other income derived from any or all revenue producing lands, buildings and facilities of the colleges or universities heretofore or hereafter acquired, constructed or installed, including but not limited to income from rooms, dormitories, dining rooms, hospitals, infirmaries, housing or student activity buildings, vehicular parking facilities, land, or the appurtenances thereon, or such other special fees as may be established by any college or university board of trustees or regents from time to time. All moneys received as operating fees at any institution of higher education shall be deposited in a local account containing only operating fees revenue and related interest: PROVIDED, That a minimum of three and one-half percent of operating fees shall be retained by the institutions((~~, except the technical colleges,~~)) for the purposes of RCW 28B.15.820. Local operating fee accounts shall not be subject to appropriation by the legislature or allotment procedures under chapter 43.88 RCW.

Sec. 3. 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.

Sec. 4. RCW 28B.15.067 and 1997 c 403 s 1 are each amended to read as follows:

(1) Tuition fees shall be established under the provisions of this chapter.

(2) ((~~Academic year tuition for full-time students at the state's institutions of higher education for the 1997-98 academic year, other than the summer term, shall be as provided in this subsection.~~

~~(a) At the University of Washington and Washington State University:~~

~~(i) For resident undergraduate students and other resident students not in graduate, law, or first professional programs, two thousand nine hundred eighty-eight dollars;~~

(ii)(A) For nonresident undergraduate students and other nonresident students at the University of Washington not in graduate, law, or first professional programs, ten thousand two hundred seventy-eight dollars;

~~(B) For nonresident undergraduate students and other nonresident students at Washington State University not in graduate or first professional programs, nine thousand eight hundred seventy dollars;~~

~~(iii) For resident graduate students, four thousand eight hundred fifty-four dollars;~~

~~(iv) For nonresident graduate students, twelve thousand five hundred eighty-eight dollars;~~

~~(v) For resident law students, five thousand ten dollars;~~

~~(vi) For nonresident law students, twelve thousand nine hundred fifteen dollars;~~

~~(vii) For resident first professional students, eight thousand one hundred twelve dollars; and~~

~~(viii) For nonresident first professional students, twenty-one thousand twenty-four dollars.~~

~~(b) At the regional universities and The Evergreen State College:~~

~~(i) For resident undergraduate and all other resident students not in graduate programs, two thousand two hundred eleven dollars;~~

~~(ii) For nonresident undergraduate and all other nonresident students not in graduate programs, eight thousand six hundred forty-six dollars;~~

~~(iii) For resident graduate students, three thousand seven hundred twenty-six dollars; and~~

~~(iv) For nonresident graduate students, eleven thousand nine hundred seventy-six dollars.~~

~~(c) At the community colleges:~~

~~(i) For resident students, one thousand three hundred eleven dollars; and~~

~~(ii) For nonresident students, five thousand five hundred eighty-six dollars.~~

~~(3)~~)) Academic year tuition for full-time students at the state's institutions of higher education beginning with the 1998-99 academic year, other than the summer term, shall be as provided in this subsection ((~~unless different rates are adopted in the omnibus appropriations act~~)).

(a) At the University of Washington and Washington State University:

(i) For resident undergraduate students and other resident students not in graduate, law, or first professional programs, three thousand one hundred eight dollars;

(ii)(A) For nonresident undergraduate students and other nonresident students at the University of Washington not in graduate, law, or first professional programs, eleven thousand one hundred thirty dollars;

(B) For nonresident undergraduate students and other nonresident students at Washington State University not in graduate or first professional programs, ten thousand two hundred sixty-six dollars;

(iii) For resident graduate students, five thousand forty-six dollars;

(iv) For nonresident graduate students, thirteen thousand ninety-two dollars;

(v) For resident law students, five thousand three hundred seventy-six dollars;

(vi) For nonresident law students, thirteen thousand seven hundred eighty-two dollars;

(vii) For resident first professional students, eight thousand four hundred thirty-six dollars; and

(viii) For nonresident first professional students, twenty-one thousand eight hundred sixty-four dollars.

(b) At the regional universities and The Evergreen State College:

(i) For resident undergraduate and all other resident students not in graduate programs, two thousand two hundred ninety-eight dollars;

(ii) For nonresident undergraduate and all other nonresident students not in graduate programs, eight thousand nine hundred ninety-one dollars;

(iii) For resident graduate students, three thousand eight hundred seventy-six dollars; and

(iv) For nonresident graduate students, twelve thousand four hundred fifty-six dollars.

(i) For resident students, one thousand three hundred sixty-two dollars; and

(ii) For nonresident students, five thousand eight hundred eight dollars.

((~~(4)~~)) (3) For the ((~~1997-98 and~~)) 1998-99 academic year((s)), the University of Washington shall use at least ten percent of the revenue received from the difference between a four percent increase in tuition fees and the actual increase charged to law students to assist needy low and middle-income resident law students. For the ((~~1997-98 and~~)) 1998-99 academic year((s)), the University of Washington shall use at least ten percent of the revenue received from the difference between a four percent increase in tuition fees and the actual increase charged to nonresident undergraduate students and all other nonresident students not in graduate, law, or first professional programs to assist needy low and middle-income resident undergraduate students and all other resident students not enrolled in graduate, law, or first professional programs. This requirement is in addition to the deposit requirements of the institutional aid fund under RCW 28B.15.820.

(4)(a) For the 1999-2000 academic year and each academic year thereafter, the governing boards of the state universities, regional universities, The Evergreen State College, and the state board for community and technical colleges may reduce full-time operating fees from the levels for academic year 1998-99 or from levels for any year thereafter. Reductions may be made for all or portions of an institution's programs or enrolled student population based on factors that may include, but are not limited to, time of day, day of the week, campus, student category, program type, delivery method, and student's residency.

(b) For the 1999-2000 academic year and each year thereafter, full-time operating fees shall increase by an amount equal to the average increase in Washington per capita personal income of the two previous years and the subject year, as estimated by the revenue forecast council in March of each odd-numbered year.

(c) In addition to the operating fee set by (b) of this subsection, the governing boards of the state universities, regional universities, The Evergreen State College, and the state board for community and technical colleges may increase full-time operating fees by up to two percent per year for each year of each budget biennium. For the 1999-2000 academic year and each academic year thereafter, the governing board of the University of Washington or the governing board of Washington State University may increase the full-time tuition fees established under this section by an amount not to exceed a total percentage increase of six and three-quarters percent per year over the prior year.

(d) To ensure that students receiving state need grants do not have the value of those grants diminished as a result of governing boards' actions under (c) of this subsection, institutions of higher education shall provide from tuition revenue collected under (c) of this subsection financial aid grants to state need grant recipients in an amount that is equal to the amount of the increase in full-time operating fees enacted by the governing boards under (c) of this subsection. Institutions of higher education may not reduce the proportion of state need grant recipients relative to the total number of resident undergraduates in the prior year as determined by the higher education coordinating board.

(e) Institutions of higher education shall report each biennium to the office of financial management, the higher education coordinating board, and the appropriate committees of the legislature as to how they have used any funds generated through the tuition increase authorized in (c) of this subsection. The initial report under this section shall be provided along with the institutions' budget proposals for the 2001-2003 budget biennium.

(5) The tuition fees established under this chapter shall not apply to high school students enrolling in participating institutions of higher education under RCW 28A.600.300 through 28A.600.395.

Sec. 5. RCW 28B.15.069 and 1997 c 403 s 2 are each amended to read as follows:

(1) As used in this section, each of the following subsections is a separate tuition category:

(a) Resident undergraduate students and all other resident students not in first professional, graduate, or law programs;

(b) Nonresident undergraduate students and all other nonresident students not in first professional graduate or law programs;

(d) Resident master's in business administration students;

(e) Nonresident master's in business administration students;

(f) Resident law students;

((~~(e)~~)) (g) Nonresident graduate students;

((~~(f)~~)) (h) Nonresident law students;

((~~(g)~~)) (i) Resident first professional students; ((~~and~~

~~(h)~~)) (j) Nonresident first professional students;

(k) Resident medical students;

(l) Nonresident medical students;

(m) Resident dental students; and

(n) Nonresident dental students.

(2) Unless the context clearly requires otherwise, as used in this section "first professional programs" means programs leading to one of the following degrees: Doctor of medicine, doctor of dental surgery, or doctor of veterinary medicine.

(3) The building fee for each academic year shall be a percentage of total tuition fees. This percentage shall be calculated by the higher education coordinating board and be based on the actual percentage the building fee is of total tuition for each tuition category in the 1994-95 academic year, rounded up to the nearest half percent.

(4) The governing boards of each institution of higher education, except for the technical colleges, shall charge to and collect from each student a services and activities fee. A governing board may increase the existing fee annually, consistent with budgeting procedures set forth in RCW 28B.15.045, by a percentage not to exceed the annual percentage increase in student tuition fees for the applicable tuition category: PROVIDED, That such percentage increase shall not apply to that portion of the services and activities fee previously committed to the repayment of bonded debt. The services and activities fee committee provided for in RCW 28B.15.045 may initiate a request to the governing board for a fee increase.

(5) Tuition and services and activities fees consistent with subsection (4) of this section shall be set by the state board for community and technical colleges for community college summer school students unless the community college charges fees in accordance with RCW 28B.15.515.

(6) Subject to the limitations of RCW 28B.15.910, each governing board of a community college may charge such fees for ungraded courses, noncredit courses, community services courses, and self‑supporting courses as it, in its discretion, may determine, consistent with the rules of the state board for community and technical colleges.

Sec. 6. RCW 28B.15.070 and 1995 1st sp.s. c 9 s 7 are each amended to read as follows:

(1) The higher education coordinating board, in consultation with the house of representatives and senate committees responsible for higher education, the respective fiscal committees of the house of representatives and senate, the office of financial management, and the state institutions of higher education, shall develop by December of every fourth year beginning in 1989, definitions, criteria, and procedures for determining the undergraduate and graduate educational costs for the state universities, regional universities, and community colleges.

(2) Every four years, the state institutions of higher education in cooperation with the higher education coordinating board shall perform an educational cost study pursuant to subsection (1) of this section. The study shall be conducted based on every fourth academic year beginning with 1989‑90. Institutions shall complete the studies within one year of the end of the study year and report the results to the higher education coordinating board for consolidation, review, and distribution.

(3) In order to conduct the study required by subsection (2) of this section, the higher education coordinating board, in cooperation with the institutions of higher education, shall develop a methodology that requires the collection of comparable educational cost data, which utilizes a faculty activity analysis or similar instrument and which includes methods to estimate the cost of instruction for students receiving instruction supported in part or in full by technology, provided at a distance, or both supported in part or full by technology and provided at a distance.

Sec. 7. RCW 28B.15.100 and 1998 c 75 s 1 are each amended to read as follows:

(1) The governing boards of the state universities, the regional universities, The Evergreen State College, and the community colleges shall charge to and collect from each of the students registering at the particular institution for any quarter or semester such tuition fees and services and activities fees, and other fees as such board shall in its discretion determine. The total of all fees shall be rounded to the nearest whole dollar amount((~~: PROVIDED, That such tuition fees for other than the summer term shall be in the amounts for the respective institutions as otherwise set forth in RCW 28B.15.067~~)).

(2) Part-time students shall be charged tuition and services and activities fees proportionate to full-time student rates established for residents and nonresidents: PROVIDED, That students registered at baccalaureate institutions for fewer than two credit hours shall be charged tuition and services and activities fees at the rate established for two credit hours: PROVIDED FURTHER, That, subject to the limitations of RCW 28B.15.910, residents of Idaho or Oregon who are enrolled in community college district number twenty for six or fewer credits during any quarter or semester may be exempted from payment of all or a portion of the nonresident tuition fees differential upon a declaration by the higher education coordinating board that it finds Washington residents from the community college district are afforded substantially equivalent treatment by such other states.

(3) Full-time students registered for more than eighteen credit hours shall be charged an additional operating fee for each credit hour in excess of eighteen hours at the applicable established per credit hour tuition fee rate for part-time students: PROVIDED, That, subject to the limitations of RCW 28B.15.910, the governing boards of the state universities and the community colleges may exempt all or a portion of the additional charge, for students who are registered exclusively in first professional programs in medicine, dental medicine, veterinary medicine, doctor of pharmacy, or law, or who are registered exclusively in required courses in vocational preparatory programs.