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A BILL TO BE ENTITLED
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AN ACT
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relating to outcomes-based funding for general academic teaching |
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institutions. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter D, Chapter 62, Education Code, is |
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amended to read as follows: |
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SUBCHAPTER D. OUTCOMES-BASED FUNDING FOR GENERAL ACADEMIC TEACHING |
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INSTITUTIONS [PERFORMANCE INCENTIVE FUNDING] |
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Sec. 62.071. DEFINITIONS. In this subchapter: |
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(1) "At-risk student" means an undergraduate student |
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of an eligible institution: |
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(A) whose score on the SAT [Scholastic Assessment
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Test (SAT)] or ACT [the American College Test (ACT)] is less than |
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the national mean score of students' scores on that test; |
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(B) who has been awarded a grant under the |
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federal Pell Grant program; |
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(C) who was 20 years of age or older on the date |
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the student initially enrolled in the institution; |
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(D) who is enrolled as a part-time student; or |
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(E) who did not receive a high school diploma but |
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received a high school equivalency certificate [within the last six
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years]. |
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(2) ["Critical field" means:
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[(A)
the field of engineering, computer science,
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mathematics, physical science, allied health, nursing, or teacher
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certification in a field of science or mathematics; and
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[(B)
any other field of study identified as a
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critical field by the coordinating board in "Closing the Gaps," the
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state's master plan for higher education.
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[(3)
"Eligible institution" means a general academic
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teaching institution other than a public state college.
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[(4)] "General academic teaching institution" has |
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[and "public state college" have] the meaning [meanings] assigned |
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by Section 61.003. |
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Sec. 62.072. BIENNIAL DISTRIBUTION OF FUNDS BASED ON |
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DEGREES AWARDED. (a) Except as provided by Subsection (b) or |
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Section 62.073, for each state fiscal biennium, the coordinating |
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board shall distribute from any funds appropriated to the |
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coordinating board by the legislature for the purposes of this |
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subchapter, and any other funds made available for the purposes of |
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this subchapter, to each general academic teaching institution an |
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amount based on the average number of bachelor's degrees in the |
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categories described by this subsection awarded by the institution |
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annually in the three most recent academic years for which that |
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information is available, as determined on the January 1 preceding |
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the biennium. The amount distributed to each institution in a |
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biennium is: |
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(1) $500 for each bachelor's degree awarded to a |
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student who is not an at-risk student; and |
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(2) $1,000 for each bachelor's degree awarded to an |
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at-risk student. |
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(b) If the total amount of funds required to be distributed |
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to general academic teaching institutions under Subsection (a) for |
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a state fiscal biennium is more than the total amount of funds |
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available for distribution under this subchapter for that biennium, |
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the amount allocated under Subsection (a) to each institution shall |
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be reduced proportionately so that the total amount to be |
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distributed to all institutions equals the total amount of |
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available funds. [FUNDING. (a) For each state fiscal year, the
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coordinating board shall distribute any performance incentive
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funds appropriated by the legislature for purposes of this
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subchapter, and any other funds made available for the purposes of
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this subchapter, to eligible institutions as follows:
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[(1)
50 percent to be distributed among eligible
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institutions in proportion to the increase, if any, in the average
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number of degrees awarded annually by each institution in the two
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most recent fiscal years from the average number of degrees awarded
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annually by that institution in the two fiscal years immediately
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preceding those fiscal years, using the weights assigned to each
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degree under the table prescribed by Subsection (b); and
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[(2)
the remaining 50 percent to be distributed among
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eligible institutions in proportion to the average number of
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degrees awarded annually by each institution in the three most
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recent fiscal years, using the weights assigned to each degree
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under the table prescribed by Subsection (b).
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[(b)
A number of points is assigned for each degree awarded
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by an eligible institution according to the following table:
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[Noncritical Field/Not At-Risk Student
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1.0
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[Noncritical Field/At-Risk Student
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2.0
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[Critical Field/Not At-Risk Student
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2.0
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[Critical Field/At-Risk Student
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3.0] |
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Sec. 62.073. DISTRIBUTION OF FUNDS CONTINGENT ON FULL |
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FUNDING OF BASE FORMULA FUNDING. Funds may be distributed under |
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this subchapter for a state fiscal biennium only if the instruction |
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and operations formula for all general academic teaching |
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institutions for undergraduate education under Section 61.059 is |
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funded by appropriation for that biennium at a level, per weighted |
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semester credit hour, that is equal to or greater than the level, |
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per weighted semester credit hour, at which that formula was funded |
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by appropriation for all general academic teaching institutions in |
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the preceding state fiscal biennium, as that level is adjusted for |
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inflation. |
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Sec. 62.074. RULES. The coordinating board shall adopt |
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rules for the administration of this subchapter, including any |
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rules the coordinating board considers necessary regarding the |
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submission to the coordinating board by general academic teaching |
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[eligible] institutions of any [student] data required for the |
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coordinating board to carry out its duties under this subchapter. |
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SECTION 2. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2017. |