HOUSE REPUBLICANS & DEMOCRATS
PASS $411 MILLION WSU BUDGET PROPOSAL
A Washington State University operating budget proposal (contained in Substitute House Bill 1315), that boosts salaries by 3 percent and tuition by up to 6.9 percent next year, narrowly passed the House of Representatives this evening on a 54-42 vote. The state biennial budget is the result of compromises between the Republicans and Democrats that equally divide that chamber.
House Appropriations Co-chairs Helen Sommers, D-Seattle, and Barry Sehlin, R-Oak Harbor, said limited state funding made building the budget very difficult. But both were pleased that the House could craft a bi-partisan plan with approximately $800 million in K-12 Education enhancements. Sommers labeled the proposal a "reality" budget, and further described it as an "awful reality" budget. But Sehlin said the proposal does continue essential state services. He labeled university research among those essential programs.
House Higher Education Co-chair Don Cox, R-Colfax, called the budget process "agonizing" but said that higher education has less agony than other parts of government. While the House budget reportedly spends hundreds of millions of dollars less on state government than a proposed state Senate budget, it comes in remarkably close on the spending level for WSU. Many of the large differences between the budgets appear to be in health care, where costs have been increasing at a billion dollars per year.
The Senate proposed a $412.1 million budget for WSU
While the Governor recommended $412 million.
The emergence of the $411 million House budget now sets the stage for major issues to be addressed toward achieving a final House-Senate Compromise. Here are some of the major issues facing the university:Like the Senate, House Budget Makes Cuts Significant Cuts to WSU Programs, Yet Adds Back Enhancements.
The proposal cuts current WSU "non-instructional" programs by $4.7 million but adds $2.2 million in enrollment increases and $1 million for an Advanced Technology Initiative that was not funded by the state Senate. WSU told House Appropriations members Thursday that it it preferred not to make so many program "enhancements" to its budget while being subjected to deeper cuts. WSU urged negotiators use enhancement funding to reduce cuts to existing higher education programs. The Senate budget does not specify cuts to non-instructional programs and sets the amount at about $3.3 million.
The Governor's Student Recreation Center Funding Absent
in Both House and Senate Budget Proposals
Efforts by WSU and ASWSU to secure funding for maintenance and utilities for the Student Recreation Center continues to be unsuccessful. This is WSU's greatest concern in the budget proposals. Like the Senate budget, the House budget did not provide the $1.7 million in funding for the center.
Some key legislators including Cox R-Colfax, and Phyllis Kenney, D-Seattle, who have closely advised the Appropriations chairs under a new method of developing the higher education section of the budget, continue to try to work to secure funding to operate the new building. The decisions were based on an emerging legislative policy that buildings not expressly funded by the Legislature should not receive maintenance monies without prior approval.
WSU has not challenged the new policy, but argued it and its students, which pay for the building with $100 per semester fees, had no way of anticipating the new policy. WSU has been urging that the recreation center be funded and that the policy apply to future projects. Some other legislators argue that if the WSU funding is provided, other institutions will decide to build similar facilities and feel entitled to secure the funding. They argue that students should pay fees that support operation of the building, as well as construction. Cox and Kenney said they are hopeful that negotiations between the House and the Senate on the final budget might result in the funding being included. If WSU is not successful, it amounts to a $1.7 million budget cut that other institutions do not have.
The House "Nearly" Fully Funds Salary Increases
Averaging 3 percent Next Year, and 2.6 Percent in 2002.
These House percentages are lower than the Senate's (3.7 percent next year plus 3.1 percent the following year), yet the amount of money spent on compensation is nearly identical in both proposals (about $16.5 million for WSU). The primary difference is that the House provides more state general fund money to pay increases to the same employees. The Senate requires about 20 percent ($5.6 million) of their stipulated WSU pay raises to be funded from tuition increases or budget cuts.
The House budget was intended to fully-fund salary increases from the state general fund, though an error in calculation for WSU resulted in a shortfall of $600,000. The House, apparently inadvertently, omitted WSU employees who have traditionally received state salary increases but are supported with federal land grant dollars. That is a shortfall of $600,000. WSU is hopeful that this error will be corrected as negotiations between the House and Senate budget continues. However, the Senate does provide one advantage over the House in its compensation package, it provided $1.15 million to WSU for a faculty recruitment and retention pool. The House budget simply permits WSU to raise tuition and use it for recruitment and retention purposes. WSU supports the House approach to salaries with the Senate's recruitment and retention pool.
The House Provides $2.2 million in Enrollment Increases.
The House provides $2.2 million in enrollment increases for WSU, all in the second year of the biennium. The increases include 161 FTE for Pullman, 42 for Spokane, and 82 for Vancouver. The Senate budget provides $2.4 million in enrollments for WSU pooled for all campuses, 104 in the first year plus 104 in the second year. While the Senate budget provides new institutional flexibility on enrollments, the House budget also allows the institution to transfer up to 10 percent of the enrollments between campuses.
This update is shared by broadcast fax and electronic mail to friends of Washington State University as government developments occur. Contact Michelle Delaney, WSU Government Relations, 509/335-6292 to be added to the list. Call Larry Ganders at 360/956-2165; From WSU Campuses, Dial 8-2165. e-mail: Ganders@energy.wsu.edu. Contact Jane Yung Dennie in Olympia at 360/956/2164. For federal issues, contact Kristi Growdon at 206/219/2424. For state bill status and other government info, visit our improved web page at www.olympia.wsu.edu. |
