Bill Text: IL SB2335 | 2019-2020 | 101st General Assembly | Introduced

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Bill Title: Amends the State Budget Law of the Civil Administrative Code of Illinois. Provides that, beginning with the fiscal year 2022 budget, the budget submitted by the Governor shall include one or more line items appropriating moneys to a Board of Regents. Provides that all appropriations for public universities shall be made to the Board of Regents. Amends the Board of Higher Education Act. Creates the Board of Regents to allocate funds to public universities based on a funding formula recommended by the Board of Higher Education. Provides for the membership of the Board. Provides that the boards of trustees of public universities shall submit to the Board of Regents no later than the 15th day of November of each year their budget proposals for the operation and capital needs of the institutions under their governance or supervision for the ensuing fiscal year. Provides that the Board of Higher Education may require the elimination of any program of instruction, research, or public service at a public university that exhibits a trend of low performance or low enrollment. Provides that the Board of Higher Education shall prepare a comprehensive statewide plan to increase efficiency and enrollment in public institutions of higher education. Specifies the plan requirements. Prohibits the Board of Regents from providing any funds to a public university that does not adhere to the plan.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2021-01-13 - Session Sine Die [SB2335 Detail]

Download: Illinois-2019-SB2335-Introduced.html

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101ST GENERAL ASSEMBLY State of Illinois 2019 and 2020 SB2335 Introduced 1/8/2020, by Sen. Dan McConchie SYNOPSIS AS INTRODUCED:
15 ILCS 20/50-10 was 15 ILCS 20/38.1
110 ILCS 205/3.5 new
110 ILCS 205/7 from Ch. 144, par. 187
110 ILCS 205/8 from Ch. 144, par. 188
110 ILCS 205/9.39 new
Amends the State Budget Law of the Civil Administrative Code of Illinois. Provides that, beginning with the fiscal year 2022 budget, the budget submitted by the Governor shall include one or more line items appropriating moneys to a Board of Regents. Provides that all appropriations for public universities shall be made to the Board of Regents. Amends the Board of Higher Education Act. Creates the Board of Regents to allocate funds to public universities based on a funding formula recommended by the Board of Higher Education. Provides for the membership of the Board. Provides that the boards of trustees of public universities shall submit to the Board of Regents no later than the 15th day of November of each year their budget proposals for the operation and capital needs of the institutions under their governance or supervision for the ensuing fiscal year. Provides that the Board of Higher Education may require the elimination of any program of instruction, research, or public service at a public university that exhibits a trend of low performance or low enrollment. Provides that the Board of Higher Education shall prepare a comprehensive statewide plan to increase efficiency and enrollment in public institutions of higher education. Specifies the plan requirements. Prohibits the Board of Regents from providing any funds to a public university that does not adhere to the plan.
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FISCAL NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning education.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The State Budget Law of the Civil Administrative
Code of Illinois is amended by changing Section 50-10 as
follows:
(15 ILCS 20/50-10) (was 15 ILCS 20/38.1)
Sec. 50-10. Budget contents. The budget shall be submitted
by the Governor with line item and program data. The budget
shall also contain performance data presenting an estimate for
the current fiscal year, projections for the budget year, and
information for the 3 prior fiscal years comparing department
objectives with actual accomplishments, formulated according
to the various functions and activities, and, wherever the
nature of the work admits, according to the work units, for
which the respective departments, offices, and institutions of
the State government (including the elective officers in the
executive department and including the University of Illinois
and the judicial department) are responsible.
For the fiscal year beginning July 1, 1992 and for each
fiscal year thereafter, the budget shall include the
performance measures of each department's accountability
report.

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For the fiscal year beginning July 1, 1997 and for each
fiscal year thereafter, the budget shall include one or more
line items appropriating moneys to the Department of Human
Services to fund participation in the Home-Based Support
Services Program for Adults with Mental Disabilities under the
Developmental Disability and Mental Disability Services Act by
persons described in Section 2-17 of that Act.
For the fiscal year beginning July 1, 2019, and for each
fiscal year thereafter, the budget shall include a separate
line item request appropriating moneys to each State agency
for: (1) estimated costs for each fund under the State Prompt
Payment Act; and (2) estimated costs for each fund under
Sections 368a and 370a of the Illinois Insurance Code.
The budget shall contain a capital development section in
which the Governor will present (1) information on the capital
projects and capital programs for which appropriations are
requested, (2) the capital spending plans, which shall document
the first and subsequent years cash requirements by fund for
the proposed bonded program, and (3) a statement that shall
identify by year the principal and interest costs until
retirement of the State's general obligation debt. In addition,
the principal and interest costs of the budget year program
shall be presented separately, to indicate the marginal cost of
principal and interest payments necessary to retire the
additional bonds needed to finance the budget year's capital
program. In 2004 only, the capital development section of the

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State budget shall be submitted by the Governor not later than
the fourth Tuesday of March (March 23, 2004).
The budget shall contain a section indicating whether there
is a projected budget surplus or a projected budget deficit for
general funds in the current fiscal year, or whether the
current fiscal year's general funds budget is projected to be
balanced, based on estimates prepared by the Governor's Office
of Management and Budget using actual figures available on the
date the budget is submitted. That section shall present this
information in both a numerical table format and by way of a
narrative description, and shall include information for the
proposed upcoming fiscal year, the current fiscal year, and the
2 years prior to the current fiscal year. These estimates must
specifically and separately identify any non-recurring
revenues, including, but not limited to, borrowed money, money
derived by borrowing or transferring from other funds, or any
non-operating financial source. None of these specifically and
separately identified non-recurring revenues may include any
revenue that cannot be realized without a change to law. The
table shall show accounts payable at the end of each fiscal
year in a manner that specifically and separately identifies
any general funds liabilities accrued during the current and
prior fiscal years that may be paid from future fiscal years'
appropriations, including, but not limited to, costs that may
be paid beyond the end of the lapse period as set forth in
Section 25 of the State Finance Act and costs incurred by the

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Department on Aging. The section shall also include an estimate
of individual and corporate income tax overpayments that will
not be refunded before the close of the fiscal year.
For the budget year, the current year, and 3 prior fiscal
years, the Governor shall also include in the budget estimates
of or actual values for the assets and liabilities for General
Assembly Retirement System, State Employees' Retirement System
of Illinois, State Universities Retirement System, Teachers'
Retirement System of the State of Illinois, and Judges
Retirement System of Illinois.
The budget submitted by the Governor shall contain, in
addition, in a separate book, a tabulation of all position and
employment titles in each such department, office, and
institution, the number of each, and the salaries for each,
formulated according to divisions, bureaus, sections, offices,
departments, boards, and similar subdivisions, which shall
correspond as nearly as practicable to the functions and
activities for which the department, office, or institution is
responsible.
Together with the budget, the Governor shall transmit the
estimates of receipts and expenditures, as received by the
Director of the Governor's Office of Management and Budget, of
the elective officers in the executive and judicial departments
and of the University of Illinois.
An applicable appropriations committee of each chamber of
the General Assembly, for fiscal year 2012 and thereafter, must

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review individual line item appropriations and the total budget
for each State agency, as defined in the Illinois State
Auditing Act.
Beginning with the fiscal year 2022 budget, the budget
submitted by the Governor shall include one or more line items
appropriating moneys to the Board of Regents, in accordance
with the recommendations provided to the Governor by the Board
of Higher Education under Section 8 of the Board of Higher
Education Act. Beginning with fiscal year 2022, no
appropriation for higher education or higher education-related
purposes may be made to any public university. All
appropriations for public universities shall be made to the
Board of Regents beginning with fiscal year 2022.
(Source: P.A. 99-143, eff. 7-27-15; 100-1064, eff. 8-24-18.)
Section 10. The Board of Higher Education Act is amended by
changing Sections 7 and 8 and by adding Sections 3.5 and 9.39
as follows:
(110 ILCS 205/3.5 new)
Sec. 3.5. Board of Regents. There is created a Board of
Regents to allocate funds to public universities from
appropriations made to the Board of Regents, based on a funding
formula recommended by the Board under subsection (a) of
Section 9.39 of this Act. The Board of Regents shall consist of
7 members of the public appointed by the Governor, with the

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advice and consent of the Senate. No more than 4 members may be
affiliated with the same political party. Members of the Board
of Regents shall serve at the pleasure of the Governor and
without compensation, but shall be reimbursed for their
reasonable and necessary expenses from funds appropriated for
that purpose. The Board shall provide administrative and other
support to the Board of Regents. The Board of Regents shall
meet initially at the call of the Governor, and 4 members shall
constitute a quorum.
(110 ILCS 205/7) (from Ch. 144, par. 187)
Sec. 7. The Board of Trustees of the University of
Illinois, the Board of Trustees of Southern Illinois
University, the Board of Trustees of Chicago State University,
the Board of Trustees of Eastern Illinois University, the Board
of Trustees of Governors State University, the Board of
Trustees of Illinois State University, the Board of Trustees of
Northeastern Illinois University, the Board of Trustees of
Northern Illinois University, the Board of Trustees of Western
Illinois University, the Illinois Community College Board and
the campuses under their governance or supervision shall not
hereafter undertake the establishment of any new unit of
instruction, research, or public service without the approval
of the Board. The term "new unit of instruction, research, or
public service" includes the establishment of a college,
school, division, institute, department, or other unit in any

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field of instruction, research, or public service not
theretofore included in the program of the institution, and
includes the establishment of any new branch or campus. The
term does not include reasonable and moderate extensions of
existing curricula, research, or public service programs which
have a direct relationship to existing programs; and the Board
may, under its rulemaking power, define the character of such
reasonable and moderate extensions.
Such governing boards shall submit to the Board all
proposals for a new unit of instruction, research, or public
service. The Board may approve or disapprove the proposal in
whole or in part or approve modifications thereof whenever in
its judgment such action is consistent with the objectives of
an existing or proposed master plan of higher education.
The Board of Higher Education is authorized to review
periodically all existing programs of instruction, research,
and public service at the State universities and colleges and
to advise the appropriate board of control if the contribution
of each program is not educationally and economically
justified. Each State university shall report annually to the
Board on programs of instruction, research, or public service
that have been terminated, dissolved, reduced, or consolidated
by the university. Each State university shall also report to
the Board all programs of instruction, research, and public
service that exhibit a trend of low performance in enrollments,
degree completions, and high expense per degree. The Board may

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require the elimination of any program of instruction,
research, or public service at a State university that exhibits
a trend of low performance or low enrollment. The Board shall
compile an annual report that shall contain information on new
programs created, existing programs that have been closed,
eliminated, or consolidated, and programs that exhibit low
performance or productivity. The report must be submitted to
the General Assembly. The Board shall have the authority to
define relevant terms and timelines by rule with respect to
this reporting.
(Source: P.A. 101-81, eff. 7-12-19.)
(110 ILCS 205/8) (from Ch. 144, par. 188)
Sec. 8. The Board of Trustees of the University of
Illinois, the Board of Trustees of Southern Illinois
University, the Board of Trustees of Chicago State University,
the Board of Trustees of Eastern Illinois University, the Board
of Trustees of Governors State University, the Board of
Trustees of Illinois State University, the Board of Trustees of
Northeastern Illinois University, the Board of Trustees of
Northern Illinois University, the Board of Trustees of Western
Illinois University, and the Illinois Community College Board
shall submit to the Board not later than the 15th day of
November of each year its budget proposals for the operation
and capital needs of the institutions under its governance or
supervision for the ensuing fiscal year. Each budget proposal

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shall conform to the procedures developed by the Board in the
design of an information system for State universities and
colleges.
In order to maintain a cohesive system of higher education,
the Board and its staff shall communicate on a regular basis
with all public university presidents. They shall meet at least
semiannually to achieve economies of scale where possible and
provide the most innovative and efficient programs and
services.
The Board, in the analysis of formulating the annual budget
request, shall consider rates of tuition and fees and
undergraduate tuition and fee waiver programs at the State
universities and colleges. The Board shall also consider the
current and projected utilization of the total physical plant
of each campus of a university or college in approving the
capital budget for any new building or facility.
The Board of Higher Education shall submit to the Governor,
to the General Assembly, and to the appropriate budget agencies
of the Governor and General Assembly its analysis and
recommendations on such budget proposals.
The Board is directed to form a broad-based group of
individuals representing the Office of the Governor, the
General Assembly, public institutions of higher education,
State agencies, business and industry, statewide organizations
representing faculty and staff, and others as the Board shall
deem appropriate to devise a system for allocating State

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resources to public institutions of higher education based upon
performance in achieving State goals related to student success
and certificate and degree completion.
Beginning in Fiscal Year 2013, the Board of Higher
Education budget recommendations to the Governor and the
General Assembly shall include allocations to public
institutions of higher education based upon performance
metrics designed to promote and measure student success in
degree and certificate completion. Public university metrics
must be adopted by the Board by rule, and public community
college metrics must be adopted by the Illinois Community
College Board by rule. These metrics must be developed and
promulgated in accordance with the following principles:
(1) The metrics must be developed in consultation with
public institutions of higher education, as well as other
State educational agencies and other higher education
organizations, associations, interests, and stakeholders
as deemed appropriate by the Board.
(2) The metrics shall include provisions for
recognizing the demands on and rewarding the performance of
institutions in advancing the success of students who are
academically or financially at risk, including
first-generation students, low-income students, and
students traditionally underrepresented in higher
education, as specified in Section 9.16 of this Act.
(3) The metrics shall recognize and account for the

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differentiated missions of institutions and sectors of
higher education.
(4) The metrics shall focus on the fundamental goal of
increasing completion of college courses, certificates,
and degrees. Performance metrics shall recognize the
unique and broad mission of public community colleges
through consideration of additional factors including, but
not limited to, enrollment, progress through key academic
milestones, transfer to a baccalaureate institution, and
degree completion.
(5) The metrics must be designed to maintain the
quality of degrees, certificates, courses, and programs.
In devising performance metrics, the Board may be guided by the
report of the Higher Education Finance Study Commission.
Beginning with budget proposals for Fiscal Year 2022, the
Board of Trustees of the University of Illinois, the Board of
Trustees of Southern Illinois University, the Board of Trustees
of Chicago State University, the Board of Trustees of Eastern
Illinois University, the Board of Trustees of Governors State
University, the Board of Trustees of Illinois State University,
the Board of Trustees of Northeastern Illinois University, the
Board of Trustees of Northern Illinois University, and the
Board of Trustees of Western Illinois University shall submit
to the Board of Regents no later than the 15th day of November
of each year their budget proposals for the operation and
capital needs of the institutions under their governance or

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supervision for the ensuing fiscal year. Each budget proposal
shall conform to the requirements of this Section.
Budget proposals and recommendations for Fiscal Year 2022
and thereafter shall conform to a funding formula recommended
by the Board under subsection (a) of Section 9.39 of this Act.
Each State university must submit its plan for capital
improvements of non-instructional facilities to the Board for
approval before final commitments are made if the total cost of
the project as approved by the institution's board of control
is in excess of $2 million. Non-instructional uses shall
include but not be limited to dormitories, union buildings,
field houses, stadium, other recreational facilities and
parking lots. The Board shall determine whether or not any
project submitted for approval is consistent with the master
plan for higher education and with instructional buildings that
are provided for therein. If the project is found by a majority
of the Board not to be consistent, such capital improvement
shall not be constructed.
(Source: P.A. 99-655, eff. 7-28-16.)
(110 ILCS 205/9.39 new)
Sec. 9.39. State efficiency and enrollment plan.
(a) The Board shall prepare a comprehensive statewide plan
to increase efficiency and enrollment in public institutions of
higher education. The plan shall include, but is not limited
to:

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(1) support for students in grade 12 who wish to file a
Free Application for Federal Student Aid;
(2) an opportunity for a student to participate in
early enrollment at a public institution of higher
education;
(3) establishing an awareness program in an effort to
market public institutions of higher education to
non-traditional students;
(4) creating a single application for admission, with a
one-time application fee, to be distributed by every public
university;
(5) identifying programs that exhibit a trend of low
performance or enrollment under Section 7 of this Act;
(6) ensuring public universities work collectively as
partners and with other entities, including those in the
private sector, to share resources and deliver programs to
enhance learning opportunities for State residents;
(7) ensuring that academic credits for equivalent
courses are appropriately recognized by every public
institution of higher education;
(8) enhancing and expanding partnerships with public
universities and high schools in this State to offer dual
credit and dual enrollment opportunities;
(9) ensuring academic credits for equivalent courses
earned at community colleges are recognized at every public
university;

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(10) developing merit-based financial aid programs to
help retain students at public institutions of higher
education;
(11) recommending a funding formula to the Board of
Regents for public universities based upon policy goals
that include degree completion and placement;
(12) collaborating with government and community
organizations to identify pressing and emerging societal
needs that can be addressed by public institutions of
higher education and devising effective ways to address
those needs; and
(13) exploring loan forgiveness programs for graduates
who work in high-need public sectors.
(b) The Board shall submit the plan under this Section to
the Board of Regents, which shall approve the plan and may make
any necessary changes. After approval by the Board of Regents,
the Board shall submit the plan to every public institution of
higher education and may audit public institutions of higher
education for compliance with this plan.
(c) Notwithstanding the funding formula recommended by the
Board under subsection (a) of this Section, the Board of
Regents shall not allocate any funds to a public university
that does not adhere to the plan under this Section.