Washington State
House of Representatives
Office of Program Research
BILL
ANALYSIS

Higher Education Committee

HB 1497


This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Brief Description: Increasing the operating fee waiver authority for Central Washington University.

Sponsors: Representatives Wallace, Anderson, Sells, Hinkle, Roberts, Warnick, Buri, B. Sullivan, Priest, Hasegawa and Dunn.

Brief Summary of Bill
  • Increases the tuition waiver authority for Central Washington University.

Hearing Date: 2/5/07

Staff: Andrew Colvin (786-7304).

Background:

The Legislature grants higher education institutions permission to waive all or a portion of tuition for certain types of students and purposes. The various waivers fall into three broad types: state supported, discretionary, and space available. For state supported waivers it is assumed that state moneys in the institutions' budgets will offset the tuition not collected from students to whom waivers are granted. For discretionary and space available waivers, this offset is not assumed.

State supported waivers are capped at a certain percentage of the total operating fee revenue the institution collects. Within its respective percentage caps, each institution decides how to apportion its waiver authority among the various categories of state-supported waivers.

The caps for each of the institutions is as follows:

1.      University of Washington      21%
2.      Washington State University      20%
3.      Eastern Washington University   11%
4.      Central Washington University   8%
5.      Western Washington University   10%
6.      The Evergreen State College      6%
7.      Community Colleges as a whole   35%

The waiver caps were established in 1992 as a result of changes to the way tuition revenue is treated. Prior to 1992, higher education institutions collected tuition and transferred that revenue to the state general fund. In 1992, legislation was enacted to allow institutions to retain tuition revenues. At the same time, caps were established that set the maximum percentage of total tuition that each institution may waive for the purposes of state supported waivers. The amounts of the caps were based on the percentage of tuition revenue waived at each institution in 1992. When transferring state general fund tuition dollars, the state provided funds to offset the tuition revenue forgone through waiver authority. This amount has been part of carry-forward dollars for each institution since 1992.

Summary of Bill:

Increases the tuition waiver authority for Central Washington University from 8% to 10%.

Appropriation: None.

Fiscal Note: Requested on February 2, 2007.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.