HOUSE BILL REPORT

HB 2292

As Reported by House Committee On:

Labor & Workforce Development

Title: An act relating to the aerospace training student loan program.

Brief Description: Including Renton technical college in the aerospace training student loan program.

Sponsors: Representatives Maxwell, Sells, Dahlquist, Hasegawa, Hudgins, Seaquist, Springer, Pettigrew, Lytton, Clibborn, Kenney, Orwall, Carlyle, Ryu, Roberts and Santos.

Brief History:

Committee Activity:

Labor & Workforce Development: 1/13/12, 1/27/12 [DP].

Majority Report: Do pass. Signed by 12 members: Representatives Sells, Chair; Reykdal, Vice Chair; Condotta, Ranking Minority Member; Shea, Assistant Ranking Minority Member; Fagan, Green, Kenney, Miloscia, Moeller, Ormsby, Roberts and Warnick.

Minority Report: Do not pass. Signed by 1 member: Representative Taylor.

Staff: Jill Reinmuth (786-7134).

Background:

The Aerospace Training Student Loan Program makes loans available to eligible students enrolled in courses offered by the Washington Aerospace Training and Research Center (WATR Center) and the Spokane Aerospace Technology Center (SAT Center). The WATR Center offers courses through partnerships with Edmonds Community College and Renton Technical College.

Eligible students must be registered for one of these aerospace training programs, be making satisfactory progress as defined by the aerospace training program, and have a declared intention to work in the aerospace industry in Washington. The loans may not exceed one year of tuition and fees, and must be repaid within 36 months after completion of the training program. The loan program is administered by the Higher Education Coordinating Board.

Legislation enacted in 2011 made loans available to students registered for courses offered by the WATR Center and the SAT Center, and the 2011-2013 State Omnibus Operating Appropriations Act appropriated funds for the program. The 2011 Supplemental Operating Budget made loans available to students enrolled in courses at Renton Technical College, and appropriated additional funds for the program.

Other legislation enacted in 2011 replaced the Higher Education Coordinating Board for higher education financial aid responsibilities with the Office of Student Financial Assistance as of July 1, 2012.

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Summary of Bill:

The Aerospace Training Student Loan Program is made available to students enrolled in aerospace industry courses offered by Renton Technical College.

References to the Higher Education Coordinating Board are replaced with references to the Office of Student Financial Assistance.

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Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill takes effect on July 1, 2012.

Staff Summary of Public Testimony:

(In support) The number one item that Boeing and its suppliers need is a talented workforce that is ready to work. The training programs at the Washington Aerospace Training and Research Center (WATR Center) and Renton Technical College (RTC) get people ready to work in a short time period. The early action budget included a provision making students at RTC eligible for the aerospace loan program. This bill makes that permanent.

Renton Technical College, in conjunction with the WATR Center, recently launched its first assembly mechanic program. The training program prepares students for assembly jobs with good wages and solid benefits. The first cohort graduated in October, and the second one will begin in February. The tuition of $4,800 is cost-prohibitive, and the short length of the program means that students do not qualify for federal financial aid. The loan program helps provide the trained workforce that the industry needs. The loan program is critical to the training program's success.

(Opposed) None.

Persons Testifying: Representative Maxwell, prime sponsor; Susanna Williams, Renton Technical College; Trent House, Aerospace Futures Alliance; and Doug Levy, City of Renton.

Persons Signed In To Testify But Not Testifying: None.