|
INTRODUCED
|
HOUSE COMMITTEE
SUBSTITUTE
|
|
No
equivalent provision.
|
SECTION 1. Section
61.0593(a), Education Code, is amended to read as follows:
(a) The legislature finds
that it is in the state's highest public interest to evaluate student
achievement at institutions of higher education and to develop higher
education funding policy based on that evaluation. Funding policies that
promote postsecondary educational success based on objective indicators of
relative performance, such as the number of degrees awarded [degree
completion rates], are critical to maintaining the state's
competitiveness in the national and global economy and supporting the
general welfare of this state. Therefore, the purpose of this section is to
ensure that institutions of higher education produce student outcomes that
are directly aligned with the state's education goals and economic
development needs.
|
|
SECTION 1. Subchapter D,
Chapter 62, Education Code, is amended to read as follows:
SUBCHAPTER D. OUTCOMES-BASED
FUNDING FOR GENERAL ACADEMIC TEACHING INSTITUTIONS [PERFORMANCE
INCENTIVE FUNDING]
Sec. 62.071. DEFINITIONS. In
this subchapter:
(1) "At-risk
student" means an undergraduate student of an eligible institution:
(A) whose score on the SAT
[Scholastic Assessment Test (SAT)] or ACT [the American
College Test (ACT)] is less than the national mean score of students'
scores on that test;
(B) who has been awarded a grant under the federal Pell
Grant program;
(C)
who was 20 years of age or older on the date the student initially enrolled
in the institution;
(D)
who is enrolled as a part-time student; or
(E)
who did not receive a high school diploma but received a high school
equivalency certificate [within the last six years].
(2)
["Critical field" means:
[(A)
the field of engineering, computer science, mathematics, physical science,
allied health, nursing, or teacher certification in a field of science or
mathematics; and
[(B)
any other field of study identified as a critical field by the coordinating
board in "Closing the Gaps," the state's master plan for higher
education.
[(3)
"Eligible institution" means a general academic teaching
institution other than a public state college.
[(4)]
"General academic teaching institution" has [and
"public state college" have] the meaning [meanings]
assigned by Section 61.003.
|
SECTION 2. Section
61.0593(b)(1), Education Code, is amended to read as follows:
(1) "At-risk
student" means an undergraduate student of an institution of higher education:
(A) who has previously received [been awarded] a grant under
the federal Pell Grant program or met
the Expected Family Contribution (EFC) criterion for a grant under that
program; or
(B) whose [who, on the date the student initially
enrolled in the institution:
[(i)
was 20 years of age or older;
[(ii) had a] score on
the SAT [Scholastic Assessment Test (SAT)] or the ACT, excluding the optional essay test, is
[American College Test (ACT) that was] less than the national mean of
students' scores on the applicable
[score for students taking that] test[;
[(iii)
was enrolled as a part-time student; or
[(iv)
had not received a high school diploma but had received a high school
equivalency certificate within the last six years].
(Section 61.0593(b)(2)
repealed in SECTION 4.)
|
|
Sec. 62.072. BIENNIAL
DISTRIBUTION OF FUNDS BASED ON DEGREES AWARDED. (a) Except as provided by
Subsection (b) or Section 62.073, for each state fiscal biennium, the
coordinating board shall distribute from any funds appropriated to the
coordinating board by the legislature for the purposes of this subchapter,
and any other funds made available for the purposes of this subchapter, to
each general academic teaching institution an amount based on the average
number of bachelor's degrees in the categories described by this subsection
awarded by the institution annually in the three most recent academic years
for which that information is available, as determined on the January 1
preceding the biennium. The amount distributed to each institution in a
biennium is:
(1) $500 for each
bachelor's degree awarded to a student who is not an at-risk student; and
(2) $1,000 for each
bachelor's degree awarded to an at-risk student.
(b) If the total amount of
funds required to be distributed to general academic teaching institutions
under Subsection (a) for a state fiscal biennium is more than the total
amount of funds available for distribution under this subchapter for that
biennium, the amount allocated under Subsection (a) to each institution
shall be reduced proportionately so that the total amount to be distributed
to all institutions equals the total amount of available funds. [FUNDING.
(a) For each state fiscal year, the coordinating board shall distribute any
performance incentive funds appropriated by the legislature for purposes of
this subchapter, and any other funds made available for the purposes of
this subchapter, to eligible institutions as follows:
[(1) 50 percent to be
distributed among eligible institutions in proportion to the increase, if
any, in the average number of degrees awarded annually by each institution
in the two most recent fiscal years from the average number of degrees
awarded annually by that institution in the two fiscal years immediately
preceding those fiscal years, using the weights assigned to each degree
under the table prescribed by Subsection (b); and
[(2) the remaining 50
percent to be distributed among eligible institutions in proportion to the
average number of degrees awarded annually by each institution in the three
most recent fiscal years, using the weights assigned to each degree under
the table prescribed by Subsection (b).
[(b) A number of points is
assigned for each degree awarded by an eligible institution according to
the following table:
[POINTS
[Noncritical Field/Not
At-Risk Student1.0
[Noncritical Field/At-Risk
Student2.0
[Critical Field/Not At-Risk
Student2.0
[Critical Field/At-Risk
Student3.0]
|
No
equivalent provision.
|
|
Sec. 62.073. DISTRIBUTION
OF FUNDS CONTINGENT ON FULL FUNDING OF BASE FORMULA FUNDING. Funds may be
distributed under this subchapter for a state fiscal biennium only if the instruction
and operations formula for all general academic teaching institutions for
undergraduate education under Section 61.059 is funded by appropriation for
that biennium at a level, per weighted semester credit hour, that is equal
to or greater than the level, per weighted semester credit hour, at which
that formula was funded by appropriation for all general academic teaching
institutions in the preceding state fiscal biennium, as that level is
adjusted for inflation.
|
No
equivalent provision.
|
|
No
equivalent provision.
|
SECTION 3. Section 61.0593,
Education Code, is amended by amending Subsection (d) and adding
Subsections (d-1), (d-2), and (d-3) to read as follows:
(d) This subsection applies
only to a general academic teaching institution other than a public state
college. In devising its funding formulas and making its recommendations to
the legislature relating to institutional appropriations of funds under
Section 61.059 for institutions to which this subsection applies, the
board, in the manner and to the extent the board considers appropriate and
in consultation with those institutions, shall prescribe a formula for
allocating funds to the institutions in proportion to the number of
weighted points earned by each of the institutions according to the
following success measures [incorporate the consideration of
undergraduate student success measures achieved during the preceding state
fiscal biennium by each of the institutions. At the time the board makes
those recommendations, the board shall also make recommendations for
incorporating the success measures, to the extent the board considers
appropriate in consultation with those institutions, into the distribution
of any incentive funds available for those institutions, including
performance incentive funds under Subchapter D, Chapter 62. The board's
recommendations must provide alternative approaches for applying the
success measures and must compare the effects on funding of applying the
success measures within the formula for base funding to applying the
success measures as a separate formula. The success measures considered by
the board under this subsection may include]:
(1) the total number of
bachelor's degrees awarded by the institution to not at-risk students;
and
(2) [the total number of
bachelor's degrees in critical fields awarded by the institution;
[(3)] the total number
of bachelor's degrees awarded by the institution to at-risk students[;
and
[(4) as determined by the
board, the six-year graduation rate of undergraduate students of the institution
who initially enrolled in the institution in the fall semester immediately
following their graduation from a public high school in this state as
compared to the six-year graduation rate predicted for those students based
on the composition of the institution's student body].
(d-1) In the formula
prescribed under Subsection (d), the board shall:
(1) compute points for
each success measure using the average number of degrees awarded for the
three most recent academic years for which the information is available;
and
(2) assign the following
weights to each degree awarded by an institution to which that subsection
applies:
(A) 1.0, for a not at-risk
student; and
(B) 2.0, for an at-risk
student.
(d-2) The board's
recommendations under Subsection (d) must provide and compare the
alternative approaches of applying the success measures described by that
subsection within the formula for base funding and applying the success
measures described by that subsection outside the formula for base funding.
(d-3) At the time the
board makes its recommendations under Subsection (d) for institutions to
which that subsection applies, the board shall also make recommendations
for incorporating the success measures described by that subsection, to the
extent the board considers appropriate in consultation with those
institutions, into the distribution of any incentive funds available for
those institutions, including performance incentive funds under Subchapter
D, Chapter 62.
|
|
No
equivalent provision.
|
SECTION 4. Sections
61.0593(b)(2), (c), and (e), Education Code, are repealed.
|
|
Sec. 62.074. RULES. The
coordinating board shall adopt rules for the administration of this subchapter, including any rules the
coordinating board considers necessary regarding the submission to the
coordinating board by general academic teaching [eligible]
institutions of any [student] data required for the coordinating
board to carry out its duties under this subchapter.
|
SECTION 5. The Texas Higher
Education Coordinating Board shall adopt rules for the administration of Section 61.0593, Education Code, as amended by
this Act, not later than May 1, 2018.
|
|
SECTION 2. This Act takes
effect immediately if it receives a vote of two-thirds of all the members
elected to each house, as provided by Section 39, Article III, Texas
Constitution. If this Act does not receive the vote necessary for immediate
effect, this Act takes effect September 1, 2017.
|
SECTION 6. Same as introduced
version.
|
|