ENROLLED
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ACT No. 803
Regular Session, 2014
HOUSE BILL NO. 1033
BY REPRESENTATIVES KLECKLEY, ADAMS, ANDERS, ARMES, ARNOLD,
BADON, BARRAS, BARROW, BERTHELOT, BILLIOT, STUART BISHOP,
WESLEY BISHOP, BROADWATER, BROSSETT, BROWN, BURFORD, HENRY
BURNS, TIM BURNS, BURRELL, CARMODY, CHAMPAGNE, CHANEY, COX,
DANAHAY, DIXON, DOVE, FANNIN, FOIL, FRANKLIN, GAROFALO,
GISCLAIR, GUINN, HARRIS, HARRISON, HENSGENS, HOFFMANN,
HONORE, HUNTER, HUVAL, IVEY, KATRINA JACKSON, JAMES,
JEFFERSON, NANCY LANDRY, TERRY LANDRY, LEBAS, LEGER,
LEOPOLD, LORUSSO, MACK, MILLER, NORTON, PIERRE, PONTI, POPE,
PRICE, PYLANT, REYNOLDS, RICHARD, RI TCHIE, ROBIDEAUX,
SCHEXNAYDER, SEABAUGH, SHADOIN, SIMON, SMITH, ST. GERMAIN,
STOKES, TALBOT, THIBAUT, THIERRY, THOMPSON, WHITNEY, ALFRED
WILLIAMS, PATRICK WILLIAMS, WILLMOTT, AND WOODRUFF AND
SENATORS ALARIO AND WALSWORTH
AN ACT1
To enact R.S. 17:3138.2, relative to public postsecondary funding to meet workforce needs;2
to establish the Workforce and Innovation for a Stronger Economy Fund; to provide3
for the dedication, deposit, use, and investment of monies in the fund; to provide for4
a statewide workforce demand and gap analysis; to provide for a Workforce and5
Innovation for a Stronger Economy Fund Strategic Planning Council as an6
independent subcommittee of the Board of Regents; to provide for reporting7
requirements; to provide for an effective date; and to provide for related matters.8
Be it enacted by the Legislature of Louisiana:9
Section 1. R.S. 17:3138.2 is hereby enacted to read as follows: 10
ยง3138.2. Workforce and Innovation for a Stronger Economy Fund11
A. The "Workforce and Innovation for a Stronger Economy Fund",12
hereinafter referred to in this Section as the "fund", is hereby created within the state13
treasury as a special fund for the purpose of funding degree and certificate14
production and research priorities in high demand fields through programs offered15
by Louisiana's public postsecondary education institutions to meet the state's future16
workforce and innovation needs.17 ENROLLEDHB NO. 1033
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B. Monies in the fund shall be invested in the same manner as monies in the1
general fund. Interest earned on investment of monies in the fund shall be credited2
to the fund. Unexpended and unencumbered monies in the fund at the end of the3
fiscal year shall remain in the fund.4
C. Subject to an annual appropriation by the legislature, each fiscal year the5
sum of forty million dollars shall be deposited into the fund. Monies in the fund6
shall be appropriated and administered as provided in this Section.7
D.(1) Monies in the fund shall be appropriated to the Board of Regents to be8
distributed to and used by postsecondary education institutions in accordance with9
a statewide workforce demand and gap analysis to be developed as provided for in10
this Section.11
(2) The funds distributed pursuant to this Section shall be used by the12
institution towards degree and certificate production pursuant to the workforce13
demand and gap analysis and research priorities according to implementation plans.14
(3) Any funds distributed to any institution that remain unexpended or15
unobligated at the end of the fiscal year shall be available for use in the subsequent16
fiscal year by an institution pursuant to their implementation plan.17
(4)(a) Funding shall be distributed by the Board of Regents only upon receipt18
of certification by the postsecondary education management board on behalf of the19
receiving public postsecondary education institution that a match of no less than20
twenty percent of the amount of funding to be distributed has been guaranteed by a21
private entity. Match certification shall be reported to the Joint Legislative22
Committee on the Budget within thirty days of the receipt. The certification shall23
detail the type of private match to be provided, which may include: cash; in-kind24
donations of technology, personnel, construction materials, facility modification, or25
tangible property; internships; scholarships; sponsorship of staff or faculty; or26
faculty endowment. The Workforce and Innovation for a Stronger Economy Fund27
Strategic Planning (WISE) Council may authorize a match for an institution in types28
other than those provided for in this Paragraph, upon request of the system president.29 ENROLLEDHB NO. 1033
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(b) In any fiscal year that the total appropriated funds from the sum of the1
state general fund and dedicated funds for higher education are below the2
appropriated funding in the prior fiscal year, the WISE Council may at its discretion,3
delay or waive requirements as set forth in Subparagraph (a) of this Paragraph.4
E.(1) A Workforce and Innovation for a Stronger Economy Fund Strategic5
Planning Council, to be referred to as the "WISE Council", shall be established as6
an independent subcommittee of the Board of Regents and shall be comprised of the7
president-chancellor of Louisiana State University, the president of the Southern8
University System, the president of the University of Louisiana System, the president9
of the Louisiana Community and Technical College System, the commissioner of10
higher education, the secretary of the Department of Economic Development, the11
executive director of the Louisiana Workforce Commission, and the chairman of the12
Workforce Investment Council, or their successors.13
(2)(a) The WISE Council shall develop a method for the distribution of14
monies in the fund in alignment with the statewide workforce demand and gap15
analysis and research priorities as provided in this Section. The methodology for16
the distribution shall be reevaluated no more than once every three years unless a17
majority of the WISE Council vote to reevaluate the methodology more often.18
(b) The methodology of distribution shall be as follows:19
(i) Eighty percent of funds distributed shall be based on degree and20
certificate production in fields required for four- or five-star jobs, as defined by the21
Louisiana Workforce Commission's Louisiana Star Jobs program or its successors22
and weighted by cost and a prioritization of high demand degree and certificate23
production based on data provided by the Department of Economic Development24
and the Louisiana Workforce Commission.25
(ii) Twenty percent of funds distributed shall be based on federally funded26
research expenditures as defined by the National Science Foundation. 27
(iii) The WISE Council shall have the authority to adjust the percentage of28
the distributions by no more than ten percent relative to the distribution of funds29
between degree certification production in Item (i) of this Subparagraph and30 ENROLLEDHB NO. 1033
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federally funded research expenditures in Item (ii) of this Subparagraph. However,1
in no event shall the distribution based on federally funded research expenditures be2
reduced below twenty percent.3
(3) The WISE Council shall prepare a statewide workforce demand and gap4
analysis which shall include:5
(a) Statewide and regional degree and certificate production and research6
priorities based on an analysis of credential completion at all Louisiana7
postsecondary education institutions and workforce demand.8
(b) A prioritization of high-demand degree and certificate production based9
on data provided by the Department of Economic Development and the Louisiana10
Workforce Commission.11
(4) The WISE Council and the Board of Regents shall review and approve12
the statewide workforce demand and gap analysis and research priorities.13
(5) The WISE Council shall review and approve implementation plans14
submitted by institutions. The implementation plans shall include at a minimum a15
plan for expenditure of monies and outcomes expected.16
(6) The system presidents shall report annually to the WISE Council on17
progress towards degree and certificate and research priorities in accordance with the18
implementation plans.19
F. The statewide workforce demand and gap analysis, including any20
revisions to the analysis, distribution of funds, and implementation plans shall be21
posted on the Board of Regents' website.22
G. The WISE Council may create policies and procedures for its own23
management but shall meet no less than two times per year.24
H. The Board of Regents, on behalf of postsecondary education, shall25
provide annual reporting to the Senate Committee on Education, Senate Committee26
on Finance, the House Committee on Education, and the House Committee on27
Appropriations. Such reports shall include the statewide workforce demand and gap28
analysis, including any revisions to the analysis, distribution of funds, and29
implementation plans.30 ENROLLEDHB NO. 1033
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I. The Board of Regents shall promulgate rules developed jointly and1
collaboratively by the commissioner of higher education and the system presidents2
for the administration of the fund. Prior to final adoption, the rules shall be approved3
by the WISE Council.4
J. The fund is in addition to, and separate from, any monies appropriated or5
allocated to any postsecondary education management board. Allocations from this6
fund shall not be included in the Board of Regents' funding formula calculation, nor7
shall it supplant any state general fund allocations provided to institutions. The8
availability of the fund shall not in any way substitute, limit, or otherwise affect the9
allocation of any funds otherwise available to those institutions under state or federal10
laws.11
K. All actions of the WISE Council and the implementation of this Section12
shall be subject to the approval of the Board of Regents.13
Section 2. This Act shall become effective upon signature by the governor or, if not14
signed by the governor, upon expiration of the time for bills to become law without signature15
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If16
vetoed by the governor and subsequently approved by the legislature, this Act shall become17
effective on the day following such approval.18
SPEAKER OF THE HOUSE OF REPRESENTATI VES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: