Bill Text: NJ S2962 | 2016-2017 | Regular Session | Introduced

---

Bill Title: Requires public institution of higher education to maintain minimum level of reserves established by Secretary of Higher Education.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2017-01-30 - Introduced in the Senate, Referred to Senate Higher Education Committee [S2962 Detail]

Download: New_Jersey-2016-S2962-Introduced.html

---

SENATE, No. 2962

STATE OF NEW JERSEY

217th LEGISLATURE

 

INTRODUCED JANUARY 30, 2017

 

 

Sponsored by:

Senator  THOMAS H. KEAN, JR.

District 21 (Morris, Somerset and Union)

 

 

 

 

SYNOPSIS

     Requires public institution of higher education to maintain minimum level of reserves established by Secretary of Higher Education.

 

CURRENT VERSION OF TEXT

     As introduced.

  

An Act concerning institutional reserves of public institutions of higher education and supplementing chapter 3B of Title 18A of the New Jersey Statutes. 

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    The Secretary of Higher Education shall establish for each public institution of higher education the minimum level of reserves necessary to ensure prudent financial stewardship of the institution.  In making the determination, the secretary shall consider factors including, but not limited to: the mission; debt structure; workforce demographics; funding sources; and long-term plans of the institution. 

     For each public institution of higher education, the secretary shall periodically review and update, as necessary, the minimum level of reserves required pursuant to this section.  

 

     2.    Beginning in the 2017-2018 academic year, and notwithstanding any other provision of law to the contrary, each public institution of higher education shall maintain the minimum level of reserves established by the Secretary of Higher Education pursuant to section 1 of this act. 

 

     3.    This act shall take effect immediately. 

 

 

STATEMENT

 

     This bill directs the Secretary of Higher Education to establish for each public institution of higher education the minimum level of reserves necessary to ensure prudent financial stewardship of the institution.  The secretary must periodically review and update, as necessary, the minimum levels of reserves required for each institution.

     The bill also provides that beginning in the 2017-2018 academic year each public institution of higher education is required to maintain the minimum level of reserves established by the secretary pursuant to the bill's provisions.