Substitute Senate Bill No. 18 Public Act No. 22-16 AN ACT CONCERNING VARIOUS REVISIONS TO THE HIGHER EDUCATION STATUTES. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. (NEW) (Effective July 1, 2022) (a) Not later than January 1, 2023, the Board of Regents for Higher Education and the Board of Trustees of The University of Connecticut shall each adopt a policy requiring that any new appointed member of either of said boards receive instruction and training in (1) a board member's duties to the state and the public institution of higher education governed by the board, (2) each committee of the board, including, but not limited to, the executive committee, and its functions, (3) professional accounting and reporting standards, (4) methods for meeting the statutory, regulatory and fiduciary obligations of the board, (5) the provisions of the Freedom of Information Act, as defined in section 1-200 of the general statutes, (6) a board member's institutional and statutory ethical responsibilities, (7) the development and implementation of institutional policies, (8) business operations, administration, budgeting, financing, financial reporting, financial reserves and endowment managing relevant to institutions of higher education, (9) student tuition, mandatory fees and student debt trends, (10) oversight of planning, construction, maintenance, expansion and renovation projects that impact the infrastructure, physical facilities and natural environment of the public Substitute Senate Bill No. 18 Public Act No. 22-16 2 of 10 institution of higher education governed by the board, (11) workforce planning, strategy and investment, (12) institutional advancement, including, but not limited to, philanthropic giving, fundraising initiatives, alumni programming, communications and media, government and public relations and community affairs, (13) student welfare issues, including, but not limited to, academic studies, curriculum, residence life, student governance and activities and the general physical and mental well-being of students, (14) current and anticipated issues in higher education, and (15) any other topics each governing board deems necessary. A member shall complete such instruction and training not later than one year after being appointed or elected to either of said boards. (b) Not later than January 1, 2023, each public institution of higher education shall post on its Internet web site (1) the policy established by its governing board pursuant to subsection (a) of this section, and (2) a summary of the instruction and training received by the members of its governing board in accordance with such policy. Sec. 2. Section 10a-8 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2022): (a) The provisions of sections 4-77 and 4-78 shall not apply to the constituent units of the state system of higher education, and for the purposes of said sections only, the Board of Regents for Higher Education shall be deemed the budgeted agency for the Connecticut State University System, the regional community-technical college system, [and] Charter Oak State College and the central office of the Connecticut State Colleges and Universities. The Board of Regents for Higher Education shall develop a formula or program-based budgeting system to be used by each institution in preparing operating budgets. The Board of Regents for Higher Education shall prepare a single budget request itemized by the Connecticut State University System, the regional community-technical college system, [and] Charter Oak State Substitute Senate Bill No. 18 Public Act No. 22-16 3 of 10 College and the central office of the Connecticut State Colleges and Universities using the formula or program-based budgeting system and shall submit such budget request displaying all operating funds to the Secretary of the Office of Policy and Management in accordance with sections 4-77 and 4-78, subject to procedures developed by the Board of Regents for Higher Education and approved by said secretary. The budget request shall set forth, in the form prescribed by the Board of Regents for Higher Education, a proposed expenditure plan which shall include: (1) The total amount requested for such appropriation account; (2) the amount to be appropriated from the General Fund; and (3) the amount to be paid from the tuition revenues of the regional community- technical college system, [and] the Connecticut State University System and Charter Oak State College. After review and comment by the Board of Regents for Higher Education, the proposed expenditure plans shall be incorporated into the single public higher education budget request including recommendations, if any, by said board. Any tuition increase proposed by the regional community-technical college system, [and] the Connecticut State University System and Charter Oak State College for the fiscal year to which the budget request relates shall be included in the single public higher education budget request submitted by the Board of Regents for Higher Education for such fiscal year, provided if the General Assembly does not appropriate the amount requested by any such system or college, such system or college may increase tuition and fees by an amount greater than that included in the budget request in response to which the appropriation was made. The General Assembly shall make appropriations directly to the constituent units. Allotment reductions made pursuant to the provisions of subsections (b) and (c) of section 4-85 shall be applied by the Board of Regents for Higher Education among the appropriations to the constituent units and the central office of the Connecticut State Colleges and Universities without regard to the limitations on reductions provided in said section, except that said limitations shall apply to the total of the amounts appropriated. The Board of Regents for Higher Education shall apply Substitute Senate Bill No. 18 Public Act No. 22-16 4 of 10 such reductions after consultation with the Secretary of the Office of Policy and Management. Any reductions of more than five per cent of the appropriations of any constituent units shall be submitted to the appropriations committee which shall, within thirty days, approve or reject such reduction. (b) The [boards of trustees of each of the constituent units] Board of Regents for Higher Education may transfer to or from any specific appropriation of [such] a constituent unit a sum or sums totaling up to fifty thousand dollars or ten per cent of any such specific appropriation, whichever is less, in any fiscal year without the consent of the Finance Advisory Committee. Any such transfer shall be reported to the Finance Advisory Committee within thirty days of such transfer and such report shall be a record of said committee. Sec. 3. Subsection (b) of section 10a-77 of the 2022 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2022): (b) The Board of [Trustees of the Community-Technical Colleges] Regents for Higher Education shall establish and administer a fund to be known as the Regional Community-Technical Colleges Operating Fund. Appropriations from general revenues of the state and, upon request by the board and with an annual review and approval by the Secretary of the Office of Policy and Management, the amount of the appropriations for fringe benefits and workers' compensation applicable to the regional community-technical colleges pursuant to subsection (a) of section 4-73, shall be transferred from the Comptroller, and all tuition revenue received by the regional community-technical colleges in accordance with the provisions of subsection (a) of this section shall be deposited in said fund. Income from student fees or related charges; the proceeds of auxiliary activities and business enterprises, gifts and donations; federal funds and grants for purposes other than research, and all receipts derived from the conduct by the Substitute Senate Bill No. 18 Public Act No. 22-16 5 of 10 colleges of their education extension programs and summer school sessions shall be credited to said fund but shall be allocated to the central office and institutional operating accounts which shall be established and maintained for the central office and each community-technical college. If the Secretary of the Office of Policy and Management disapproves such transfer, the secretary may require the amount of the appropriation for operating expenses to be used for personal services and fringe benefits to be excluded from said fund. The State Treasurer shall review and approve the transfer prior to such request by the board. [of trustees.] The board shall establish an equitable policy, in accordance with section 10a-8, as amended by this act, for allocation of appropriations from general revenues of the state, fringe benefits transferred from the Comptroller and tuition revenue deposited in the Regional Community-Technical Colleges Operating Fund. At the beginning of each quarter of the fiscal year, the board shall allocate and transfer, in accordance with said policy, moneys for expenditure in such institutional operating accounts, exclusive of amounts retained for central office operations and reasonable reserves for future distribution. All costs of waiving or remitting tuition pursuant to subsection (f) of this section shall be charged to the Regional Community-Technical Colleges Operating Fund. Repairs, alterations or additions to facilities supported by operating funds and costing one million dollars or more shall require the approval of the General Assembly, or when the General Assembly is not in session, of the Finance Advisory Committee. Any balance of receipts above expenditures shall remain in said fund, except such sums as may be required for deposit into a debt service fund or the General Fund for further payment by the Treasurer of debt service on general obligation bonds of the state issued for purposes of the regional community-technical colleges. Sec. 4. Subsection (b) of section 10a-99 of the 2022 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2022): Substitute Senate Bill No. 18 Public Act No. 22-16 6 of 10 (b) The Board of [Trustees of the Connecticut State University System] Regents for Higher Education shall establish and administer a fund to be known as the Connecticut State University System Operating Fund. Appropriations from general revenues of the state and upon request by the Connecticut State University System and with the annual review and approval by the Secretary of the Office of Policy and Management, the amount of the appropriations for fringe benefits pursuant to subsection (a) of section 4-73, shall be transferred from the State Comptroller and all tuition revenue received by the Connecticut State University System in accordance with the provisions of subsection (a) of this section shall be deposited in said fund. Income from student fees or related charges, the proceeds of auxiliary activities and business enterprises, gifts and donations, federal funds and grants, subject to the provisions of sections 10a-98 to 10a-98g, inclusive, and all receipts derived from the conduct by a state university of its education extension program and its summer school session shall be credited to said fund but shall be allocated to the central office and institutional operating accounts which shall be established and maintained for the central office and each state university. Any such gifts and donations, federal funds and grants for purposes of research shall be allocated to separate accounts within such central office and institutional operating accounts. If the Secretary of the Office of Policy and Management disapproves such transfer, [he] the secretary may require the amount of the appropriation for operating expenses to be used for personal services and fringe benefits to be excluded from said fund. The State Treasurer shall review and approve the transfer prior to such request by the university. The board [of trustees] shall establish an equitable policy, in accordance with section 10a-8, as amended by this act, for allocation of appropriations from general revenues of the state, fringe benefits transferred from the State Comptroller and tuition revenue deposited in the Connecticut State University System Operating Fund. At the beginning of each quarter of the fiscal year, the board shall allocate and transfer, in accordance with said policy, moneys for expenditure in such Substitute Senate Bill No. 18 Public Act No. 22-16 7 of 10 institutional operating accounts, exclusive of amounts retained for central office operations and reasonable reserves for future distribution. All costs of waiving or remitting tuition pursuant to subsection (f) of this section shall be charged to the Connecticut State University System Operating Fund. Repairs, alterations or additions to facilities supported by the Connecticut State University System Operating Fund and costing one million dollars or more shall require the approval of the General Assembly, or when the General Assembly is not in session, of the Finance Advisory Committee. Any balance of receipts above expenditures shall remain in said fund, except such sums as may be required for deposit into a debt service fund or the General Fund for further payment by the Treasurer of debt service on general obligation bonds of the state issued for purposes of the Connecticut State University System. Sec. 5. Subsection (a) of section 10a-6 of the 2022 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2022): (a) The Board of Regents for Higher Education shall: (1) Establish policies and guidelines for the Connecticut State University System, the regional community-technical college system and Charter Oak State College; (2) develop a master plan for higher education and postsecondary education at the Connecticut State University System, the regional community-technical college system and Charter Oak State College consistent with the goals identified in section 10a-11c; (3) establish tuition and student fee policies for the Connecticut State University System, the regional community-technical college system and Charter Oak State College; (4) monitor and evaluate the effectiveness and viability of the state universities, the regional community-technical colleges and Charter Oak State College in accordance with criteria established by the board; (5) merge or close institutions within the Connecticut State University System, the regional Substitute Senate Bill No. 18 Public Act No. 22-16 8 of 10 community-technical college system and Charter Oak State College in accordance with criteria established by the board, provided (A) such recommended merger or closing shall require a two-thirds vote of the board, and (B) notice of such recommended merger or closing shall be sent to the committee having cognizance over matters relating to education and to the General Assembly; (6) review and approve mission statements for the Connecticut State University System, the regional community-technical college system and Charter Oak State College and role and scope statements for the individual institutions and campuses of such constituent units; (7) review and approve any recommendations for the establishment of new academic programs submitted to the board by the state universities within the Connecticut State University System, the regional community-technical colleges and Charter Oak State College, and, in consultation with the affected constituent units, provide for the initiation, consolidation or termination of academic programs; (8) develop criteria to ensure acceptable quality in (A) programs at the Connecticut State University System, the regional community-technical college system and Charter Oak State College, and (B) institutions within the Connecticut State University System and the regional community-technical college system and enforce standards through licensing and accreditation; (9) prepare and present to the Governor and General Assembly, in accordance with section 10a-8, as amended by this act, consolidated operating and capital expenditure budgets for the Connecticut State University System, the regional community-technical college system, [and] Charter Oak State College and the central office of the Connecticut State Colleges and Universities developed in accordance with the provisions of said section 10a-8, as amended by this act; (10) review and make recommendations on plans received from the Connecticut State University System, the regional community-technical college system and Charter Oak State College to implement the goals identified in section 10a-11c; (11) appoint advisory committees with representatives from public and independent institutions of higher education to study methods and proposals for coordinating efforts of Substitute Senate Bill No. 18 Public Act No. 22-16 9 of 10 the public institutions of higher education under its jurisdiction with The University of Connecticut and the independent institutions of higher education to implement the goals identified in section 10a-11c; (12) evaluate (A) means of implementing the goals identified in section 10a-11c, and (B) any recommendations made by the Planning Commission for Higher Education in implementing the strategic master plan pursuant to section 10a-11b through alternative and nontraditional approaches such as external degrees and credit by examination; (13) coordinate programs and services among the Connecticut State University System, the regional community-technical college system and Charter Oak State College; (14) assess opportunities for collaboration with The University of Connecticut and the independent institutions of higher education to implement the goals identified in section 10a-11c; (15) make or enter into contracts, leases or other agreements in connection with its responsibilities under this part, provided all acquisitions of real estate by lease or otherwise shall be subject to the provisions of section 4b-23; (16) be responsible for the care and maintenance of permanent records of institutions of higher education dissolved after September 1, 1969; (17) prepare and present to the Governor and General Assembly legislative proposals affecting the Connecticut State University System, the regional community-technical college system and Charter Oak State College; (18) develop and maintain a central higher education information system and establish definitions and data requirements for the Connecticut State University System, the regional community-technical college system and Charter Oak State College; (19) until June 30, 2024, report all new programs and program changes at the Connecticut State University System, the regional community-technical college system and Charter Oak State College to the Office of Higher Education; and (20) undertake such studies and other activities as will best serve the higher educational interests of the Connecticut State University System, the regional community-technical college system and Charter Oak State College. 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