Researcher: MGS Page 1 4/20/22 OLR Bill Analysis sSB 18 (File 9, as amended by Senate “A”)* AN ACT CONCERNING VARIOUS REVISIONS TO THE HIGHER EDUCATION STATUTES. SUMMARY This bill requires public Connecticut higher education institutions to adopt a policy requiring new appointed governing board members to complete specified training within a year after their appointment or election to the board. The bill establishes the required instruction and training topics, which include financial, legal and ethical, and institutional operation training topics, among others. By January 1, 2023, each institution must post on its website the training policy and a summary of the instruction and training board members received. Additionally, the bill requires the Board of Regents for Higher Education (BOR) to make the Connecticut State Colleges and Universities (CSCU) central office a separate line item in its consolidated operating budget. It also makes several conforming and technical changes. EFFECTIVE DATE: July 1, 2022 *Senate Amendment “A” specifies that governing board training policies apply to appointed new members (§ 1) and makes a conforming change in the law governing BOR’s budget preparation duties (§ 501). § 1 — GOVERNING BOARD TRAINING The bill requires BOR and the UConn Board of Trustees (BOT) to each adopt a policy by January 1, 2023, that requires new appointed governing board members to receive instruction and training on the topics listed in Table 1 within the first year of their appointment or election. 2022SB-00018-R01-BA.DOCX Researcher: MGS Page 2 4/20/22 Table 1: Training Topics for BOR and UConn BOT Members Board Operations and Member Duties A board member’s duties to the state and the institution Each board committee and its functions, including the executive committee Financial Matters Professional accounting and reporting standards Business operations, administration, budgeting, financing, financial reporting, financial reserves, and endowment management for higher education institutions Institutional advancement, including philanthropic giving, and fundraising initiatives Legal and Ethical Matters Methods for meeting the board’s statutory, regulatory, and fiduciary obligations State Freedom of Information Act A board member’s institutional and statutory ethical responsibilities Institutional Operations Development and implementation of institutional policies Oversight of planning, construction, maintenance, expansion, and renovation projects that impact the institution’s infrastructure, physical facilities, and natural environment Workforce planning, strategy, and investment Alumni programming, communications and media, government and public relations, and community affairs Student Issues Tuition, mandatory fees, and student debt trends Student welfare issues, including academic studies, curriculum, residence life, student governance and activities, and general physical and mental well-being General Higher Education Issues Current and anticipated higher education issues Other topics each governing board deems necessary §§ 2-4 & 501 — BOR BUDGETING PROCESS The bill requires BOR to make the CSCU central office a separate line item in the consolidated operating budget that it submits to the Office 2022SB-00018-R01-BA.DOCX Researcher: MGS Page 3 4/20/22 of Policy and Management (OPM) (see BACKGROUND). Under current law, the budget is itemized by the Connecticut State University System, regional community-technical college system, and Charter Oak State College. Additionally, the bill conforms law to practice by requiring any tuition increase proposed by Charter Oak State College for the fiscal year covered by the budget to be included in the single higher education budget that BOR submits. The bill also exempts central office appropriations from the same statutory limits on allotment reductions (i.e., rescissions) that apply to the public colleges and universities under existing law. BACKGROUND BOR Budget Preparation By law, BOR must develop either a formula or program-based budgeting system for each institution to use when preparing its requested operating budgets. After reviewing and commenting on their budget requests, BOR incorporates them into a single budget request to submit to the OPM secretary that is itemized by the state university system, regional community-technical college system, and Charter Oak State College. The request has a proposed expenditure plan that includes the (1) total appropriation requested from the legislature, (2) amount to be appropriated from the General Fund, and (3) amount to be paid from tuition revenues (including any proposed tuition increases) (CGS § 10a-8(a)). COMMITTEE ACTION Higher Education and Employment Advancement Committee Joint Favorable Substitute Yea 20 Nay 3 (03/03/2022)