SRC-MKV S.B. 1101 77(R) BILL ANALYSIS Senate Research Center S.B. 1101 77R3928 JSA-DBy: Haywood Education 4/24/2001 As Filed DIGEST AND PURPOSE Currently, the State of Texas is having a difficult time retaining and recruiting facility in its public colleges and universities. This problem is partially due to the lack of competitive salaries that Texas offers compared to other large states. As proposed, S.B. 1101 requires that general academic teaching institutions compare the salaries of tenured and tenure track faculty with institutions in their same category established by the Southern Regional Education Board, Carnegie, or another major system for classification determined by the Texas Higher Education Coordinating Board (THECB) from the other ten most populous states. If a Texas institution determines that it falls below the average, its governing board is required to devise a plan in conjunction with THECB to reallocate existing discretionary funds over the next four biennia to bring salaries, as well as any additional amount needed by the state to provide fringe benefits, to parity with the average of the ten most populous states. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 51Z, Education Code, by adding Section 51.9081, as follows: Sec. 51.9081. FACULTY COMPENSATION POLICIES UNTIL 2009. (a) Requires the governing board of each institution of higher education, as defined by Section 61.003, not later than August 31 of each fiscal year, to determine whether the average compensation of tenured and tenure-track faculty at the institution for that fiscal year is less than the average compensation for similar faculty at public institutions of higher education in the 10 most populous states, not including this state, according to the most recent information available. Sets forth provisions relating to making the comparisons. (b) Sets forth provisions if the governing board of an institution determines that the average compensation of faculty at a particular rank at the institution is less than the average compensation for faculty at that rank provided by the other states. (c) Requires each governing board to which this section applies to report, in the manner prescribed by the Texas Higher Education Coordinating Board (coordinating board), the governing board's process in remedying faculty compensation deficiencies not later December 1, 2002, and in each subsequent fiscal year. (d) Requires the coordinating board, in recommending funding formulas under Section 61.059 for institutions to which this section applies, to account for any salary increases required to be made at those institutions under Subsection (b). (e) Provides that this section expires September 1, 2009. SECTION 2. Effective date: January 1, 2002.