Friday News Roundup: Week of March 28-April 1

Washington State’s prepaid tuition plan declared financially sound

All Connecticut public universities, colleges likely to limit tuition, fees hikes to 2.5 percent next year

New York State budget eases school aid cut to 3.5 percent

K-12 funding overhaul bill clears Minnesota Senate

Washington State’s prepaid tuition plan declared financially sound
A new report from the Washington State actuary says that the state’s prepaid tuition program, called the Guaranteed Education Program (GET), is financially sound for the next 50 years. The report gives the GET program a 0.7 percent chance of becoming insolvent. If that were to happen, the state would need an additional $4.6 billion to cover the shortfall. The report also finds that a proposed alternative to the current GET program, GET 2, could actually be less financially sound because it is likely to attract fewer participants. Under the current program, 100 prepaid tuition units buy one year of tuition at either the University of Washington or Washington State University, the state’s two most expensive institutions. If GET 2 were to be put in place, 100 units would buy the average tuition at all state institutions, a less attractive deal because it would not cover all costs at some schools. Proponents of the existing plan hope that the actuary’s report will be sufficient to keep the current GET program in place. More here…

All Connecticut public universities, colleges likely to limit tuition, fees hikes to 2.5 percent next year
It appears that tuition and fee increases in Connecticut state colleges and universities, including community colleges, will be held at 2.5 percent for the 2011-12 school year. If this increase passes in each system – University of Connecticut, the state university system, and the community college system – it will be the smallest increase in tuition since 2000. Tuition increases are necessary to help cover a projected $22 billion shortfall in funding for the higher education system due to budget cuts. However, the colleges and universities will also have to make cuts to services. Additionally, the state university system is considering charging a 2.5 percent “convenience fee” for tuition payments made with credit cards. Last year the system paid $2.1 million to cover credit card fees. More here…

New York State budget eases school aid cut to 3.5 percent
The New York State legislature recently passed a fiscal year 2012 budget that makes a 3.5 percent cut in education aid. However, this cut is $272 million smaller than the one originally proposed by Governor Cuomo. Some state officials believe that school districts should use rainy day funds to make up for the cuts, rather than cut jobs or services. However, some districts do not have any reserve funds remaining and will have to make up for their budget gaps another way. More here…

K-12 funding overhaul bill clears Minnesota Senate
Earlier this week, the Minnesota Senate passed a K-12 spending bill that would freeze staff salaries for two years and prohibit teacher strikes. The bill also makes a $50 to the state’s basic per pupil funding formula while capping expenditures on special education and services for low income students. Additionally, it makes future teacher pay raises dependent on student academic achievement. While some stakeholders believe that the change will make teaching unattractive to new potential teachers, others hold that it will help prevent layoffs in schools. Minnesota’s Governor Dayton does not approve of some of the changes in the bill and is looking to discuss other approaches with the bill’s sponsor. More here…

Briefly noted:
A report on Delaware’s progress on its Race to the Top grant finds that the state has made strides toward setting high standards and using a high quality assessment and data system but needs to do more on early childhood education and funding equity.