Bill Text: FL S1296 | 2019 | Regular Session | Comm Sub


Bill Title: Organization and Operation of State Universities

Spectrum: Bipartisan Bill

Status: (Failed) 2019-05-03 - Died in Appropriations Subcommittee on Education, companion bill(s) passed, see CS/HB 7071 (Ch. 2019-119), CS/SB 190 (Ch. 2019-103), SB 2502 (Ch. 2019-116) [S1296 Detail]

Download: Florida-2019-S1296-Comm_Sub.html
       Florida Senate - 2019                             CS for SB 1296
       
       
        
       By the Committee on Education; and Senator Diaz
       
       
       
       
       
       581-03753-19                                          20191296c1
    1                        A bill to be entitled                      
    2         An act relating to the organization and operation of
    3         state universities; amending s. 1001.706, F.S.;
    4         requiring the Board of Governors to require state
    5         universities to conduct an annual assessment related
    6         to intellectual freedom and viewpoint diversity at
    7         each state university; providing requirements for the
    8         Board of Governors relating to such assessment;
    9         providing requirements for the Office of Inspector
   10         General; requiring the Board of Governors to match
   11         certain student information with specified educational
   12         and employment records; requiring the Board of
   13         Governors to enter into an agreement with the
   14         Department of Economic Opportunity for certain
   15         purposes; providing requirements for such agreement;
   16         amending s. 1001.7065, F.S.; revising the standards
   17         for the preeminent state research universities
   18         program; requiring the Board of Governors to use a
   19         certain plan for determining preeminence designations
   20         and awards for a specified fiscal year; providing for
   21         the expiration of a certain requirement; amending s.
   22         1001.92, F.S.; revising the state university system
   23         performance-based incentives; revising the
   24         performance-based metrics to include specific data
   25         beginning in a certain fiscal year; authorizing the
   26         Board of Governors to approve other metrics;
   27         prohibiting the adjustment of such metrics once
   28         specified data has been received; providing for the
   29         future repeal of s. 1001.92(1)(h), F.S., relating to a
   30         specific performance-based metric for the State
   31         University System Performance-Based Incentive;
   32         amending s. 1004.28, F.S.; providing that state
   33         appropriations transferred to specified entities by
   34         state university boards of trustees may only be used
   35         for specified purposes; revising a specified reporting
   36         requirement; amending s. 1004.335, F.S.; clarifying
   37         that the University of South Florida St. Petersburg
   38         and the University of South Florida Sarasota/Manatee
   39         are branch campuses; amending s. 1004.41, F.S.;
   40         requiring the University of Florida Board of Trustees
   41         to approve appointments to specified boards of
   42         directors and other entities relating to the J. Hillis
   43         Miller Health Center; providing that state
   44         appropriations transferred to certain entities by the
   45         University of Florida Board of Trustees may be used
   46         only for specified purposes; amending s. 1007.23,
   47         F.S.; requiring the statewide articulation agreement
   48         to provide for a reverse transfer agreement; providing
   49         for an associate degree to be awarded to certain
   50         students by Florida College System institutions;
   51         providing requirements for state universities in that
   52         process; amending s. 1009.215, F.S.; providing that
   53         students enrolled in a specified pilot program who are
   54         eligible to receive Bright Futures Scholarships are
   55         also eligible for such scholarship funds for
   56         designated terms under specified circumstances;
   57         amending s. 1009.24, F.S.; conforming a cross
   58         reference; amending s. 1011.90, F.S.; providing
   59         requirements for certain legislative budget requests;
   60         requiring the Board of Governors to adopt regulations
   61         to provide specified definitions; prohibiting
   62         administrator growth rate from exceeding faculty
   63         growth rate; providing an effective date.
   64          
   65  Be It Enacted by the Legislature of the State of Florida:
   66  
   67         Section 1. Paragraph (j) is added to subsection (3) of
   68  section 1001.706, Florida Statutes, paragraph (e) of subsection
   69  (5) of that section is amended, and paragraph (i) is added to
   70  that subsection, to read:
   71         1001.706 Powers and duties of the Board of Governors.—
   72         (3) POWERS AND DUTIES RELATING TO ORGANIZATION AND
   73  OPERATION OF STATE UNIVERSITIES.—
   74         (j)The Board of Governors shall require each institution
   75  to conduct an annual assessment of the intellectual freedom and
   76  viewpoint diversity at that institution. The Board of Governors
   77  shall select or create an objective, nonpartisan, and
   78  statistically valid survey, to be used by each institution, that
   79  considers the extent to which competing ideas and perspectives
   80  are presented and members of the university community feel free
   81  to express their beliefs and viewpoints on campus and in the
   82  classroom. The Board of Governors shall annually compile and
   83  publish the assessments by September 1 of each year, beginning
   84  with September 1, 2020.
   85         (5) POWERS AND DUTIES RELATING TO ACCOUNTABILITY.—
   86         (e) The Board of Governors shall maintain an effective
   87  information system to provide accurate, timely, and cost
   88  effective information about each university. The board shall
   89  continue to collect and maintain, at a minimum, management
   90  information as such information existed on June 30, 2002. The
   91  Office of the Inspector General shall annually verify the
   92  accuracy of the data used to implement ss. 1001.7065 and
   93  1001.92.
   94         (i)The Board of Governors shall match individual student
   95  information with information in the files of state and federal
   96  agencies that maintain educational and employment records. The
   97  board must enter into an agreement with the Department of
   98  Economic Opportunity that allows access to the individual
   99  reemployment assistance wage records maintained by the
  100  department. The agreement must protect individual privacy and
  101  provide that student information may be used only for the
  102  purposes of auditing or evaluating higher education programs
  103  offered by state universities.
  104         Section 2. Subsections (3) through (7) of section
  105  1001.7065, Florida Statutes, are renumbered as subsections (4)
  106  through (8), respectively, a new subsection (3) is added to that
  107  section, and paragraphs (c), (d), (j), (k), and (l) of
  108  subsection (2) are amended, to read:
  109         1001.7065 Preeminent state research universities program.—
  110         (2) ACADEMIC AND RESEARCH EXCELLENCE STANDARDS.—The
  111  following academic and research excellence standards are
  112  established for the preeminent state research universities
  113  program:
  114         (c) A freshman retention rate of 90 percent or higher for
  115  full-time, first-time-in-college students, as reported annually
  116  in the Board of Governors Accountability Plan to the Integrated
  117  Postsecondary Education Data System (IPEDS).
  118         (d) A 4-year graduation rate of 60 percent or higher for
  119  full-time, first-time-in-college students, as reported annually
  120  in the Board of Governors Accountability Plan to the IPEDS.
  121  However, for the 2018 determination of a state university’s
  122  preeminence designation and the related distribution of the
  123  2018-2019 fiscal year appropriation associated with preeminence
  124  and emerging preeminence, a university is considered to have
  125  satisfied this graduation rate measure by attaining a 6-year
  126  graduation rate of 70 percent or higher by October 1, 2017, for
  127  full-time, first-time-in-college students, as reported to the
  128  IPEDS and confirmed by the Board of Governors.
  129         (j) Four hundred or more doctoral degrees awarded annually,
  130  including professional doctoral degrees awarded in medical and
  131  health care disciplines, as reported annually in the Board of
  132  Governors Annual Accountability Plan Report.
  133         (k) Two hundred or more postdoctoral appointees annually,
  134  as reported annually in the Board of Governors Accountability
  135  Plan TARU annual report.
  136         (l) An endowment of $500 million or more, as reported
  137  annually in the Board of Governors Annual Accountability Plan
  138  Report.
  139         (3)The Board of Governors shall use its 2019
  140  Accountability Plan for determining a state university’s
  141  preeminence designation and distributing awards for the 2019
  142  2020 fiscal year appropriation. This subsection shall expire on
  143  July 1, 2020.
  144         Section 3. Subsection (1) of section 1001.92, Florida
  145  Statutes, is amended to read:
  146         1001.92 State University System Performance-Based
  147  Incentive.—
  148         (1) A State University System Performance-Based Incentive
  149  shall be awarded to state universities using performance-based
  150  metrics adopted by the Board of Governors of the State
  151  University System. Beginning with the Board of Governors’
  152  determination of each university’s performance improvement and
  153  achievement ratings for 2018, and the related distribution of
  154  the annual 2018-2019 fiscal year appropriation, the performance
  155  based metrics must include:
  156         (a) 4-year graduation rates;
  157         (b)Beginning in fiscal year 2020-2021, 2-year graduation
  158  rates for full-time 2+2 associate degree transfer students from
  159  Florida College System institutions, with points deducted for
  160  decreases in the enrollment of associate in arts degree transfer
  161  students;
  162         (c) Retention rates;
  163         (d) Postgraduation education rates;
  164         (e) Degree production;
  165         (f) Affordability;
  166         (g) Postgraduation employment and salaries, including wage
  167  thresholds that reflect the added value of a baccalaureate
  168  degree;
  169         (h) Access rate, based on the percentage of undergraduate
  170  students enrolled during the fall term who received a Pell Grant
  171  during the fall term;
  172         (i)Beginning in fiscal year 2020-2021, 6-year graduation
  173  rates for students who are eligible for a Pell Grant as compared
  174  with students who are not eligible for a Pell Grant, with points
  175  deducted for decreases in the enrollment of students who are
  176  eligible for a Pell Grant; and
  177         (j)Beginning in fiscal year 2020-2021, the percent of
  178  students graduating without excess hours.
  179  
  180  The Board of Governors may approve and other metrics approved by
  181  the board in a publicly formally noticed meeting. The board
  182  shall adopt benchmarks to evaluate each state university’s
  183  performance on the metrics to measure the state university’s
  184  achievement of institutional excellence or need for improvement
  185  and minimum requirements for eligibility to receive performance
  186  funding. Benchmarks and metrics may not be adjusted after
  187  university performance data has been received by the Board of
  188  Governors Access rate benchmarks must be differentiated and
  189  scored to reflect the varying access rate levels among the state
  190  universities; however, the scoring system may not include bonus
  191  points.
  192         Section 4. Section 1001.92(1)(h), Florida Statutes, as
  193  amended by this act is repealed on June 30, 2020.
  194         Section 5. Paragraph (b) of subsection (2) of section
  195  1004.28, Florida Statutes, is amended to read:
  196         1004.28 Direct-support organizations; use of property;
  197  board of directors; activities; audit; facilities.—
  198         (2) USE OF PROPERTY.—
  199         (b) The board of trustees, in accordance with regulations
  200  and guidelines of the Board of Governors, shall prescribe by
  201  regulation conditions with which a university direct-support
  202  organization must comply in order to use property, facilities,
  203  or personal services at any state university, including that
  204  personal services must comply with s. 1012.976. Such regulations
  205  shall provide for budget and audit review and oversight by the
  206  board of trustees, including thresholds for approval of
  207  purchases, acquisitions, projects, and issuance of debt.
  208  Beginning No later than July 1, 2019, the transfer of a state
  209  appropriation by the board of trustees to any direct-support
  210  organization and its not-for-profit subsidiaries and affiliates
  211  may only include only funds pledged for capital projects.
  212  Beginning July 1, 2019, and annually thereafter, Each university
  213  board of trustees shall annually report to the Legislature the
  214  amount of state appropriations transferred to any direct-support
  215  organization and its not-for-profit subsidiaries and affiliates
  216  during the previous fiscal year, the purpose for which the funds
  217  were transferred, and the remaining balance of any funds
  218  transferred.
  219         Section 6. Subsections (1), (4), and (5), and paragraph (a)
  220  of subsection (6) of section 1004.335, Florida Statutes, are
  221  amended to read:
  222         1004.335 Accreditation consolidation of University of South
  223  Florida branch campuses.—
  224         (1) The University of South Florida Consolidation Planning
  225  Study and Implementation Task Force is established to develop
  226  recommendations to improve service to students by phasing out
  227  the separate accreditation of the University of South Florida
  228  St. Petersburg branch campus and the University of South Florida
  229  Sarasota/Manatee branch campus, which were conferred by the
  230  Southern Association of Colleges and Schools Commission on
  231  Colleges (SACSCOC) pursuant to ss. 1004.33 and 1004.34,
  232  respectively.
  233         (4) No later than February 15, 2019, the task force must
  234  submit a report to the University of South Florida Board of
  235  Trustees which includes, at a minimum, recommendations on the
  236  following:
  237         (a) Identification of specific degrees in programs of
  238  strategic significance, including health care, science,
  239  technology, engineering, mathematics, and other program
  240  priorities to be offered at the University of South Florida St.
  241  Petersburg branch campus and the University of South Florida
  242  Sarasota/Manatee branch campus and the timeline for the
  243  development and delivery of programs on each campus;
  244         (b) Maintaining the unique identity of each campus and an
  245  assessment of whether a separate educational mission is
  246  beneficial to the future of each campus;
  247         (c) Maintaining faculty input from all campuses during the
  248  review and development of general education requirements to
  249  reflect the distinctive identity of each campus;
  250         (d) Developing the research capacity at each campus;
  251         (e) Equitable distribution of programs and resources to
  252  establish pathways to admission for all students who require
  253  bridge programming and financial aid;
  254         (f) Establishing budget transparency and accountability
  255  regarding the review and approval of student fees among
  256  campuses, including fee differentials and athletic fees, to
  257  enable the identification of the equitable distribution of
  258  resources to each campus, including the University of South
  259  Florida Health; and
  260         (g) Developing and delivering integrated academic programs,
  261  student and faculty governance, and administrative services to
  262  better serve the students, faculty, and staff at the University
  263  of South Florida College of Marine Science, the University of
  264  South Florida Sarasota/Manatee branch campus, and the University
  265  of South Florida St. Petersburg branch campus.
  266         (5) No later than March 15, 2019, the Board of Trustees of
  267  the University of South Florida, after considering the
  268  recommendations of the task force, must adopt and submit to the
  269  Board of Governors an implementation plan that:
  270         (a) Establishes a timeline for each step that is necessary
  271  to terminate the separate accreditation for each campus no later
  272  than June 30, 2020, while maintaining branch campus status for
  273  both campuses, so that there is no lapse in institutional
  274  accreditation for any campus during the phasing-out process.
  275         (b) Minimizes disruption to students attending any the
  276  University of South Florida or any of its branch campuses campus
  277  so that the consolidation of SACSCOC accreditation does not
  278  impede a student’s ability to graduate within 4 years after
  279  initial first-time-in-college enrollment.
  280         (c) Requires that, on or before July 1, 2020, the entirety
  281  of the University of South Florida, including all branch
  282  campuses and other component units of the university, operate
  283  under a single institutional accreditation from the SACSCOC.
  284         (d) Requires that, on each regularly scheduled submission
  285  date subsequent to July 1, 2020, the University of South Florida
  286  report consolidated data for all of the university’s campuses
  287  and students to the Integrated Postsecondary Education Data
  288  System and to the Board of Governors. The Board of Governors
  289  shall use the consolidated data for purposes of determining
  290  eligibility for funding pursuant to ss. 1001.7065 and 1001.92.
  291         (6) Notwithstanding ss. 1001.7065 and 1001.92 or any Board
  292  of Governors regulation to the contrary relating to the
  293  calculation of graduation rates and retention rates, a student
  294  who meets all of the following criteria may not be counted by
  295  the Board of Governors when calculating or confirming the
  296  graduation rate or the retention rate of the University of South
  297  Florida under those sections:
  298         (a) The student was admitted to and initially enrolled
  299  before the spring 2020 semester as a first-time-in-college
  300  student at the University of South Florida St. Petersburg branch
  301  campus or the University of South Florida Sarasota/Manatee
  302  branch campus.
  303         Section 7. Paragraph (b) of subsection (4) and paragraph
  304  (b) of subsection (5) of section 1004.41, Florida Statutes, are
  305  amended, paragraph (g) is added to subsection (4), and paragraph
  306  (f) is added to subsection (5) of that section, to read:
  307         1004.41 University of Florida; J. Hillis Miller Health
  308  Center.—
  309         (4)
  310         (b) The University of Florida Board of Trustees shall
  311  provide in the lease or by separate contract or agreement with
  312  Shands Teaching Hospital and Clinics, Inc., for the following:
  313         1. Approval of the articles of incorporation of Shands
  314  Teaching Hospital and Clinics, Inc., by the University of
  315  Florida Board of Trustees.
  316         2. Governance of Shands Teaching Hospital and Clinics,
  317  Inc., by a board of directors appointed, subject to removal, and
  318  chaired by the President of the University of Florida, or his or
  319  her designee, and vice chaired by the Vice President for Health
  320  Affairs of the University of Florida or his or her designee. The
  321  University of Florida Board of Trustees shall approve all
  322  appointments to the board and its not-for-profit subsidiaries
  323  and affiliates.
  324         3. Use of hospital facilities and personnel in support of
  325  community service and patient care, research programs, and the
  326  teaching roles of the health center.
  327         4. Continued recognition of the collective bargaining units
  328  and collective bargaining agreements as currently composed and
  329  recognition of the certified labor organizations representing
  330  those units and agreements.
  331         5. Use of hospital facilities and personnel in connection
  332  with research programs conducted by the health center.
  333         6. Reimbursement to Shands Teaching Hospital and Clinics,
  334  Inc., for indigent patients, state-mandated programs,
  335  underfunded state programs, and costs to Shands Teaching
  336  Hospital and Clinics, Inc., for support of the teaching and
  337  research programs of the health center. Such reimbursement shall
  338  be appropriated to either the health center or Shands Teaching
  339  Hospital and Clinics, Inc., each year by the Legislature after
  340  review and approval of the request for funds.
  341         7. Audit of the financial statements of Shands Teaching
  342  Hospital and Clinics, Inc., in accordance with generally
  343  accepted accounting principles as prescribed by the Governmental
  344  Accounting Standards Board for a separate corporation affiliated
  345  with a government entity that holds a voting majority interest
  346  of the affiliated corporation’s governing board. The financial
  347  statements shall be provided to the University of Florida Board
  348  of Trustees for attachment to its audited financial statement
  349  which is provided to the Auditor General. The University of
  350  Florida may obtain additional financial information from Shands
  351  Teaching Hospital and Clinics, Inc., upon request by the Auditor
  352  General. This subparagraph applies equally to any not-for-profit
  353  subsidiary of Shands Teaching Hospital and Clinics, Inc., which
  354  directly delivers health care services and also qualifies as an
  355  instrumentality of the state under the governance control and
  356  the primary purpose standards specified in this section.
  357         (g)Beginning July 1, 2019, the transfer of state
  358  appropriations by the University of Florida Board of Trustees to
  359  Shands Teaching Hospital and Clinic, Inc., and its not-for
  360  profit subsidiaries and affiliates may only include funds
  361  pledged for capital projects, for the delivery of health care
  362  services, as matching dollars for intergovernmental services, or
  363  for funding graduate medical education.
  364         (5)
  365         (b) The University of Florida Board of Trustees shall
  366  provide in the lease or by separate contract or agreement with
  367  Shands Jacksonville Medical Center, Inc., and Shands
  368  Jacksonville HealthCare, Inc., for the following:
  369         1. Approval of the articles of incorporation of Shands
  370  Jacksonville Medical Center, Inc., and of Shands Jacksonville
  371  HealthCare, Inc., by the University of Florida Board of
  372  Trustees, which may act through the president of the university
  373  or his or her designee. In approving the articles of
  374  incorporation of Shands Jacksonville Medical Center, Inc., and
  375  of Shands Jacksonville HealthCare, Inc., the president of the
  376  university, or his or her designee, may act as the chair of the
  377  board of directors, or the president of the university or his or
  378  her designee or members of the University of Florida Board of
  379  Trustees may act as the approving body of Shands Jacksonville
  380  Medical Center, Inc., or Shands Jacksonville HealthCare, Inc.
  381         2. Governance of Shands Jacksonville Medical Center, Inc.,
  382  and of Shands Jacksonville HealthCare, Inc., by boards of
  383  directors appointed, subject to removal, and chaired by the
  384  President of the University of Florida, or his or her designee.
  385  One director of each board may be so appointed after being
  386  nominated by the mayor of the City of Jacksonville subject to
  387  the applicable standards for directors of such board. If there
  388  is a vice chair of the board of directors of Shands Jacksonville
  389  Medical Center, Inc., or Shands Jacksonville HealthCare, Inc.,
  390  the Vice President for Health Affairs of the University of
  391  Florida, or his or her designee or the designee of the president
  392  of the university, shall hold that position. The University of
  393  Florida Board of Trustees shall approve all appointments to the
  394  board and its not-for-profit subsidiaries and affiliates.
  395         3. Use of the Shands Jacksonville Medical Center, Inc.,
  396  hospital facilities and personnel in support of community
  397  service and patient care, research programs, and the teaching
  398  roles of the health center of the University of Florida Board of
  399  Trustees.
  400         4. Reimbursement to Shands Jacksonville Medical Center,
  401  Inc., for indigent patients, state-mandated programs,
  402  underfunded state programs, and costs to the not-for-profit
  403  corporation for support of the teaching and research programs of
  404  the health center. Such reimbursement shall be appropriated to
  405  either the health center or the not-for-profit corporation each
  406  year by the Legislature after review and approval of the request
  407  for funds.
  408         5. Audit of the financial statements of Shands Jacksonville
  409  Medical Center, Inc., and Shands Jacksonville HealthCare, Inc.,
  410  in accordance with generally accepted accounting principles as
  411  prescribed by the Governmental Accounting Standards Board for a
  412  separate corporation affiliated with a government entity that
  413  holds a voting majority interest of the affiliated corporation’s
  414  governing board. The financial statements shall be provided to
  415  the University of Florida Board of Trustees for attachment to
  416  its audited financial statement which is provided to the Auditor
  417  General. The University of Florida may obtain additional
  418  financial information from Shands Jacksonville Medical Center,
  419  Inc., and Shands Jacksonville HealthCare, Inc., upon request by
  420  the Auditor General. This subparagraph applies equally to any
  421  not-for-profit subsidiary which directly delivers health care
  422  services and also qualifies as an instrumentality of the state
  423  under the governance control and primary purpose standards
  424  specified in this section.
  425         (f)Beginning July 1, 2019, the transfer of state
  426  appropriations by the University of Florida Board of Trustees to
  427  Shands Jacksonville Medical Center, Inc., and Shands
  428  Jacksonville HealthCare, Inc., and any of their not-for-profit
  429  subsidiaries and affiliates may only include funds pledged for
  430  capital projects, for the delivery of health care services, as
  431  matching dollars for intergovernmental services, or for funding
  432  graduate medical education.
  433         Section 8. Subsection (7) is added to section 1007.23,
  434  Florida Statutes, to read:
  435         1007.23 Statewide articulation agreement.—
  436         (7)The articulation agreement must specifically provide
  437  for a reverse transfer agreement for Florida College System
  438  associate in arts degree-seeking students who transfer to a
  439  state university before earning an associate in arts degree.
  440  Students must be awarded an associate in arts degree by the
  441  Florida College System institution upon completion of degree
  442  requirements at the state university if the student earned a
  443  majority of the credit hours from the Florida College System
  444  institution. State universities must identify students who have
  445  completed requirements for the associate in arts degree and
  446  transfer credits earned at the state university back to the
  447  Florida College System institution so that the associate in arts
  448  degree may be awarded by the Florida College System institution.
  449         Section 9. Upon the expiration and reversion of the
  450  amendment made to section 1009.215, Florida Statutes, pursuant
  451  to section 13, chapter 2018-10, Laws of Florida, subsection (3)
  452  of section 1009.215, Florida Statutes, is amended to read:
  453         1009.215 Student enrollment pilot program for the spring
  454  and summer terms.—
  455         (3) Students who are enrolled in the pilot program and who
  456  are eligible to receive Bright Futures Scholarships under ss.
  457  1009.53-1009.536 shall be eligible to receive the scholarship
  458  award for attendance during the spring and summer terms. This
  459  student cohort shall also be eligible to receive Bright Futures
  460  Scholarships for the fall semester term to be used for off
  461  campus or online coursework, if Bright Futures Scholarship
  462  funding is provided by the Legislature for three terms for that
  463  academic year for other eligible students no more than 2
  464  semesters or the equivalent in any fiscal year, including the
  465  summer term.
  466         Section 10. Subsection (16) of section 1009.24, Florida
  467  Statutes, is amended to read:
  468         1009.24 State university student fees.—
  469         (16) Each university board of trustees may establish a
  470  tuition differential for undergraduate courses upon receipt of
  471  approval from the Board of Governors. However, beginning July 1,
  472  2014, the Board of Governors may only approve the establishment
  473  of or an increase in tuition differential for a state research
  474  university designated as a preeminent state research university
  475  pursuant to s. 1001.7065(4) s. 1001.7065(3). The tuition
  476  differential shall promote improvements in the quality of
  477  undergraduate education and shall provide financial aid to
  478  undergraduate students who exhibit financial need.
  479         (a) Seventy percent of the revenues from the tuition
  480  differential shall be expended for purposes of undergraduate
  481  education. Such expenditures may include, but are not limited
  482  to, increasing course offerings, improving graduation rates,
  483  increasing the percentage of undergraduate students who are
  484  taught by faculty, decreasing student-faculty ratios, providing
  485  salary increases for faculty who have a history of excellent
  486  teaching in undergraduate courses, improving the efficiency of
  487  the delivery of undergraduate education through academic
  488  advisement and counseling, and reducing the percentage of
  489  students who graduate with excess hours. This expenditure for
  490  undergraduate education may not be used to pay the salaries of
  491  graduate teaching assistants. Except as otherwise provided in
  492  this subsection, the remaining 30 percent of the revenues from
  493  the tuition differential, or the equivalent amount of revenue
  494  from private sources, shall be expended to provide financial aid
  495  to undergraduate students who exhibit financial need, including
  496  students who are scholarship recipients under s. 1009.984, to
  497  meet the cost of university attendance. This expenditure for
  498  need-based financial aid shall not supplant the amount of need
  499  based aid provided to undergraduate students in the preceding
  500  fiscal year from financial aid fee revenues, the direct
  501  appropriation for financial assistance provided to state
  502  universities in the General Appropriations Act, or from private
  503  sources. The total amount of tuition differential waived under
  504  subparagraph (b)7. may be included in calculating the
  505  expenditures for need-based financial aid to undergraduate
  506  students required by this subsection. If the entire tuition and
  507  fee costs of resident students who have applied for and received
  508  Pell Grant funds have been met and the university has excess
  509  funds remaining from the 30 percent of the revenues from the
  510  tuition differential required to be used to assist students who
  511  exhibit financial need, the university may expend the excess
  512  portion in the same manner as required for the other 70 percent
  513  of the tuition differential revenues.
  514         (b) Each tuition differential is subject to the following
  515  conditions:
  516         1. The tuition differential may be assessed on one or more
  517  undergraduate courses or on all undergraduate courses at a state
  518  university.
  519         2. The tuition differential may vary by course or courses,
  520  by campus or center location, and by institution. Each
  521  university board of trustees shall strive to maintain and
  522  increase enrollment in degree programs related to math, science,
  523  high technology, and other state or regional high-need fields
  524  when establishing tuition differentials by course.
  525         3. For each state university that is designated as a
  526  preeminent state research university by the Board of Governors,
  527  pursuant to s. 1001.7065, the aggregate sum of tuition and the
  528  tuition differential may be increased by no more than 6 percent
  529  of the total charged for the aggregate sum of these fees in the
  530  preceding fiscal year. The tuition differential may be increased
  531  if the university meets or exceeds performance standard targets
  532  for that university established annually by the Board of
  533  Governors for the following performance standards, amounting to
  534  no more than a 2-percent increase in the tuition differential
  535  for each performance standard:
  536         a. An increase in the 4-year graduation rate for full-time,
  537  first-time-in-college students, as reported annually to the
  538  Integrated Postsecondary Education Data System.
  539         b. An increase in the total annual research expenditures.
  540         c. An increase in the total patents awarded by the United
  541  States Patent and Trademark Office for the most recent years.
  542         4. The aggregate sum of undergraduate tuition and fees per
  543  credit hour, including the tuition differential, may not exceed
  544  the national average of undergraduate tuition and fees at 4-year
  545  degree-granting public postsecondary educational institutions.
  546         5. Beneficiaries having prepaid tuition contracts pursuant
  547  to s. 1009.98(2)(b) which were in effect on July 1, 2007, and
  548  which remain in effect, are exempt from the payment of the
  549  tuition differential.
  550         6. The tuition differential may not be charged to any
  551  student who was in attendance at the university before July 1,
  552  2007, and who maintains continuous enrollment.
  553         7. The tuition differential may be waived by the university
  554  for students who meet the eligibility requirements for the
  555  Florida public student assistance grant established in s.
  556  1009.50.
  557         8. Subject to approval by the Board of Governors, the
  558  tuition differential authorized pursuant to this subsection may
  559  take effect with the 2009 fall term.
  560         (c) A university board of trustees may submit a proposal to
  561  the Board of Governors to implement a tuition differential for
  562  one or more undergraduate courses. At a minimum, the proposal
  563  shall:
  564         1. Identify the course or courses for which the tuition
  565  differential will be assessed.
  566         2. Indicate the amount that will be assessed for each
  567  tuition differential proposed.
  568         3. Indicate the purpose of the tuition differential.
  569         4. Indicate how the revenues from the tuition differential
  570  will be used.
  571         5. Indicate how the university will monitor the success of
  572  the tuition differential in achieving the purpose for which the
  573  tuition differential is being assessed.
  574         (d) The Board of Governors shall review each proposal and
  575  advise the university board of trustees of approval of the
  576  proposal, the need for additional information or revision to the
  577  proposal, or denial of the proposal. The Board of Governors
  578  shall establish a process for any university to revise a
  579  proposal or appeal a decision of the board.
  580         (e) The Board of Governors shall submit a report to the
  581  President of the Senate, the Speaker of the House of
  582  Representatives, and the Governor describing the implementation
  583  of the provisions of this subsection no later than February 1 of
  584  each year. The report shall summarize proposals received by the
  585  board during the preceding fiscal year and actions taken by the
  586  board in response to such proposals. In addition, the report
  587  shall provide the following information for each university that
  588  has been approved by the board to assess a tuition differential:
  589         1. The course or courses for which the tuition differential
  590  was assessed and the amount assessed.
  591         2. The total revenues generated by the tuition
  592  differential.
  593         3. With respect to waivers authorized under subparagraph
  594  (b)7., the number of students eligible for a waiver, the number
  595  of students receiving a waiver, and the value of waivers
  596  provided.
  597         4. Detailed expenditures of the revenues generated by the
  598  tuition differential.
  599         5. Changes in retention rates, graduation rates, the
  600  percentage of students graduating with more than 110 percent of
  601  the hours required for graduation, pass rates on licensure
  602  examinations, the number of undergraduate course offerings, the
  603  percentage of undergraduate students who are taught by faculty,
  604  student-faculty ratios, and the average salaries of faculty who
  605  teach undergraduate courses.
  606         (f) No state university shall be required to lower any
  607  tuition differential that was approved by the Board of Governors
  608  and in effect prior to January 1, 2009, in order to comply with
  609  the provisions of this subsection.
  610         Section 11. Subsection (4) of section 1011.90, Florida
  611  Statutes, is amended to read:
  612         1011.90 State university funding.—
  613         (4) The Board of Governors shall establish and validate a
  614  cost-estimating system consistent with the requirements of
  615  subsection (1) and shall report as part of its legislative
  616  budget request the actual expenditures for the fiscal year
  617  ending the previous June 30. The legislative budget request must
  618  also include 5-year trend information on the number of faculty
  619  and administrators at each university. The Board of Governors,
  620  by regulation, shall define faculty and administrative personnel
  621  classifications and shall also report the definitions in the
  622  legislative budget request. The growth rate of administrators at
  623  any state university may not exceed the growth rate of faculty.
  624  Expenditure analysis, operating budgets, and annual financial
  625  statements of each university must be prepared using the
  626  standard financial reporting procedures and formats prescribed
  627  by the Board of Governors. These formats shall be the same as
  628  used for the 2000-2001 fiscal year reports. Any revisions to
  629  these financial and reporting procedures and formats must be
  630  approved by the Executive Office of the Governor and the
  631  appropriations committees of the Legislature jointly under the
  632  provisions of s. 216.023(3). The Board of Governors shall
  633  continue to collect and maintain at a minimum management
  634  information existing on June 30, 2002. The expenditure analysis
  635  report shall include total expenditures from all sources for the
  636  general operation of the university and shall be in such detail
  637  as needed to support the legislative budget request.
  638         Section 12. This act shall take effect July 1, 2019.

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