HLS 17RS-438 ORIGINAL 2017 Regular Session HOUSE BILL NO. 34 BY REPRESENTATIVE PUGH Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana. HIGHER EDUCATION: (Constitutional Amendment) Relative to management of public postsecondary education, abolishes the Board of Regents and the management boards and transfers their powers, duties, and responsibilities to a newly created Louisiana Postsecondary Education Board of Trustees 1 A JOINT RESOLUTION 2Proposing to amend Article IV, Section 22(A), Article VII, Sections 10.1(C)(1) and (3) and 3 (D)(1)(introductory paragraph) and 10.4(B)(1), (3), and (4), and Article VIII, 4 Sections 5 and 16 of the Constitution of Louisiana, to add Part IV of Article XIV, to 5 be comprised of Section 41, of the Constitution of Louisiana and to repeal Article 6 VIII, Sections 6, 7, 7.1, 8(B) and (D), and 12 of the Constitution of Louisiana, to 7 provide for the governance of public postsecondary education; to create the 8 Louisiana Postsecondary Education Board of Trustees; to abolish the Board of 9 Regents and the postsecondary education management boards and transfer their 10 powers, duties, and responsibilities to the board of trustees; to provide relative to the 11 operation and management of public hospitals by the board of trustees; and to 12 provide for related matters. 13 Section 1. Be it resolved by the Legislature of Louisiana, two-thirds of the members 14elected to each house concurring, that there shall be submitted to the electors of the state of 15Louisiana, for their approval or rejection in the manner provided by law, a proposal to 16amend Article IV, Section 22(A) of the Constitution of Louisiana, to read as follows: 17 §22. Term Limits; Certain Boards and Commissions 18 (A) A person who has served as a member of any one or more of the 19 following boards or commissions for more than two and one-half terms in three Page 1 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 1 consecutive terms combined shall not serve as a member of any of the following 2 boards or commissions for a period of at least two years after the completion of such 3 consecutive terms of service: 4 (1) The Public Service Commission. 5 (2) The State Board of Elementary and Secondary Education. 6 (3) The Board of Regents Louisiana Postsecondary Education Board of 7 Trustees. 8 (4) The Board of Supervisors for the University of Louisiana System. 9 (5) The Board of Supervisors of Louisiana State University and Agricultural 10 and Mechanical College. 11 (6) The Board of Supervisors of Southern University and Agricultural and 12 Mechanical College. 13 (7) The Board of Supervisors of Community and Technical Colleges. 14 (8) The Forestry Commission. 15 (9) (5) The State Civil Service Commission. 16 (10) (6) The State Police Commission. 17 * * * 18 Section 2. Be it resolved by the Legislature of Louisiana, two-thirds of the members 19elected to each house concurring, that there shall be submitted to the electors of the state of 20Louisiana, for their approval or rejection in the manner provided by law, a proposal to 21amend Article VII, Sections 10.1(C)(1) and (3) and (D)(1)(introductory paragraph) and 2210.4(B)(1), (3), and (4) of the Constitution of Louisiana, to read as follows: 23 §10.1. Quality Trust Fund; Education 24 Section 10.1. 25 * * * 26 (C) Reports; Allocation. (1) The State Board of Elementary and Secondary 27 Education and the Board of Regents Louisiana Postsecondary Education Board of 28 Trustees shall annually submit to the legislature and the governor, not less than sixty 29 days prior to the beginning of each regular session of the legislature, a proposed Page 2 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 1 program and budget for the expenditure of the monies in the Support Fund. 2 Proposals for such expenditures shall be designed to improve the quality of education 3 and shall specifically designate those monies to be used for administrative costs, as 4 defined and authorized by law. 5 * * * 6 (3) The legislature shall appropriate the total amount intended for higher 7 educational purposes to the Board of Regents Trustees and the total amount intended 8 for elementary and secondary educational purposes to the State Board of Elementary 9 and Secondary Education which boards shall allocate the monies so appropriated to 10 the programs as previously approved by the legislature. 11 * * * 12 (D) Disbursement; Higher Education and Elementary and Secondary 13 Education. (1) The treasurer shall disburse not more than fifty percent of the monies 14 in the Support Fund as that money is appropriated by the legislature and allocated by 15 the Board of Regents Trustees for any or all of the following higher educational 16 purposes to enhance economic development: 17 * * * 18 §10.4. Higher Education Louisiana Partnership Fund; Program 19 Section 10.4. 20 * * * 21 (B) Higher Education Louisiana Partnership Program. (1) Upon 22 appropriation by the legislature, the monies in the fund shall be divided into 23 matching grants for the Higher Education Louisiana Partnership Program which shall 24 be administered by the Board of Regents Louisiana Postsecondary Education Board 25 of Trustees. The Board of Regents board may allocate program funds to each public 26 or independent institution of higher education on a one to one and one-half matching 27 basis or one twenty thousand dollar state matching grant for each thirty thousand 28 dollars raised specifically for the purposes of participation in the Higher Education 29 Louisiana Partnership Program by the institutions of higher education from private Page 3 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 1 sources. The state matching portion shall be allocated by the Board of Regents 2 Trustees only after it determines that an eligible institution has accumulated not less 3 than the minimum required amount from private sources for the purposes of the 4 Higher Education Louisiana Partnership Program. 5 * * * 6 (3) State matching funds shall be applied only to private source funds 7 contributed after July 1, 1991, and pledged for the purposes of this Section as 8 certified by the Board of Regents Trustees. Pledged contributions shall not be 9 eligible for state matching funds prior to their actual collection. 10 (4) Each institution of higher education may establish its own Higher 11 Education Louisiana Partnership Program fund as a depository for private 12 contributions and state matching funds as provided herein. The state matching funds 13 allocated by the Board of Regents Trustees shall be transferred to an institution upon 14 notification that the institution has received and deposited the necessary private 15 contributions in its own Higher Education Louisiana Partnership Program fund. 16 * * * 17 Section 3. Be it resolved by the Legislature of Louisiana, two-thirds of the members 18elected to each house concurring, that there shall be submitted to the electors of the state of 19Louisiana, for their approval or rejection in the manner provided by law, a proposal to 20amend Article VIII, Sections 5 and 16 of the Constitution of Louisiana, to read as follows: 21 §5. Board of Regents Louisiana Postsecondary Education Board of Trustees 22 Section 5.(A) Creation; Functions. The Board of Regents Louisiana 23 Postsecondary Education Board of Trustees, referred to in this Section as the board 24 or the Board of Trustees, is created as a body corporate. It shall plan, coordinate, 25 supervise, manage, and have budgetary responsibility for all public postsecondary 26 education. and The board shall have other powers, duties, and responsibilities 27 provided in this Section or by law. 28 (B)(1) Membership; Terms. The board shall be composed of fifteen twenty- 29 five members, of whom two members shall be from each congressional district and Page 4 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 1 the remaining member or members shall be from the state at large all of whom shall 2 be appointed by the governor, with consent of the Senate, for overlapping terms of 3 six years, following initial terms which shall be fixed by law. The board should be 4 representative of the state's population by race and gender to ensure diversity. The 5 chief executive officer of each of the following institutions shall nominate three 6 persons: Louisiana State University and Agricultural and Mechanical College at 7 Baton Rouge, Southern University and Agricultural and Mechanical College at 8 Baton Rouge, Grambling State University, Louisiana Tech University, McNeese 9 State University, Nicholls State University, Northwestern State University of 10 Louisiana, Southeastern Louisiana University, the University of Louisiana at 11 Lafayette, the University of Louisiana at Monroe, the University of New Orleans, 12 Baton Rouge Community College, Bossier Parish Community College, Central 13 Louisiana Technical Community College, Delgado Community College, Elaine P. 14 Nunez Community College, L.E. Fletcher Technical Community College, Louisiana 15 Delta Community College, Northwest Louisiana Technical College, Northshore 16 Technical Community College, River Parishes Community College, South Central 17 Louisiana Technical College, South Louisiana Community College, and Sowela 18 Technical Community College. The governor shall appoint one member of the board 19 from the three persons nominated by each chief executive officer. The remaining 20 member shall be from the state at large. 21 (2) No person who has served as a member of the board for more than two 22 and one-half terms in three consecutive terms shall be appointed to the board for the 23 succeeding term. This Subparagraph shall not apply to any person appointed to the 24 board prior to the effective date of this Subparagraph, except that it shall apply to any 25 term of service of any such person that begins after such date. A vacancy for any 26 cause shall be filled by appointment from nominations from the same nominating 27 authority as the original appointment. Within thirty days after a vacancy occurs, the 28 chief executive officer shall submit the required nominations. Within thirty days 29 thereafter, the governor shall make the appointment. If the governor fails to appoint Page 5 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 1 within thirty days, the nominee whose name is first on the list of nominees shall be 2 deemed appointed. If any nominating authority fails to submit nominees in the time 3 required or if one of the named institutions ceases to exist, the governor shall make 4 the appointment without nomination. 5 (3) In addition to the members provided for in Subparagraph (1) of this 6 Paragraph, the legislature may provide for the membership of one student on the 7 board. The term of a student member shall not exceed one year, and no student 8 member shall be eligible to succeed himself. A student member shall have all of the 9 privileges and rights of other board members. 10 (C) Vacancy. A vacancy occurring prior to the expiration of a term shall be 11 filled for the remainder of the unexpired term by appointment by the governor, with 12 consent of the Senate. 13 (D) Powers. The Board of Regents Trustees shall meet with the State Board 14 of Elementary and Secondary Education at least twice a year to coordinate programs 15 of public elementary, secondary, vocational-technical, career, and higher education. 16 The Board of Regents Trustees shall have the following powers, duties, and 17 responsibilities relating to public institutions of postsecondary education: 18 (1) To revise or eliminate an existing degree program, department of 19 instruction, division, or similar subdivision. 20 (2) To approve, disapprove, or modify a proposed degree program, 21 department of instruction, division, or similar subdivision. 22 (3)(a) To study the need for and feasibility of creating a new institution of 23 postsecondary education, which includes establishing a branch of such an institution 24 or converting any non-degree granting institution to an institution which grants 25 degrees or converting any college or university which is limited to offering degrees 26 of a lower rank than baccalaureate to a college or university that offers baccalaureate 27 degrees or merging any institution of postsecondary education into any other 28 institution of postsecondary education, establishing a new management board, and 29 transferring a college or university from one board to another. Page 6 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 1 (b) If the creation of a new institution, or the merger of any institutions, the 2 addition of another management board, or the transfer of an existing institution of 3 higher education from one board to another is proposed, the Board of Regents 4 Trustees shall report its written findings and recommendations to the legislature 5 within one year. Only after the report has been filed, or after one year from the 6 receipt of a request for a report from the legislature if no report is filed, may the 7 legislature take affirmative action on such a proposal and then only by law enacted 8 by two-thirds of the elected members of each house. 9 (4) To formulate and make timely revision of a master plan for 10 postsecondary education. As a minimum, the plan shall include a formula for 11 equitable distribution of funds to the institutions of postsecondary education. 12 (5) To require that every postsecondary education board institution submit 13 to it, at a time it specifies, an annual budget proposal for its operational needs and 14 for capital needs of each institution under the control of each board. The Board of 15 Regents Trustees shall submit its budget recommendations for all institutions of 16 postsecondary education in the state. It shall recommend priorities for capital 17 construction and improvements. 18 (E) Powers Not Vested. Powers of management over public institutions of 19 postsecondary education not specifically vested by this Section in the Board of 20 Regents are reserved to the Board of Supervisors of Louisiana State University and 21 Agricultural and Mechanical College, the Board of Supervisors of Southern 22 University and Agricultural and Mechanical College, the Board of Trustees for State 23 Colleges and Universities, the Board of Supervisors of Community and Technical 24 Colleges, and any other such board created pursuant to this Article, as to the 25 institutions under the control of each. Appropriations. Appropriations for the 26 institutions of public postsecondary education and for all other public postsecondary 27 education purposes shall be made to and administered by the Board of Trustees and 28 shall be used solely as provided by law. 29 * * * Page 7 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 1 §16. Public Hospitals 2 Section 16. Notwithstanding any provision of this Article to the contrary, the 3 legislature may provide by law for the supervision, operation, and management of 4 public hospitals and their programs by the Louisiana Postsecondary Education Board 5 of Regents or by any board having powers of management over public institutions 6 of higher education created by this constitution or pursuant to this Article Trustees. 7 Such laws may include but shall not be limited to laws providing for the submission 8 and approval of capital and operating budgets, appropriations and expenditures, the 9 supervision, management, and oversight of the hospitals and their programs, and 10 legislative review and disapproval of related rules. This Section shall not apply to 11 institutions and programs operated or managed prior to January 1, 1997, by any 12 higher education management board created by this Article. 13 Section 4. Be it further resolved by the Legislature of Louisiana, two-thirds of the 14members elected to each house concurring, that there shall be submitted to the electors of 15the state of Louisiana, for their approval or rejection in the manner provided by law, a 16proposal to add Part IV of Article XIV of the Constitution of Louisiana, comprised of 17Section 41, to read as follows: 18 PART IV 19 §41. Louisiana Postsecondary Education Board of Trustees; Implementation 20 (A) On January 1, 2020, the Board of Regents, the Board of Supervisors of 21 Louisiana State University and Agricultural and Mechanical College, the Board of 22 Supervisors of Southern University and Agricultural and Mechanical College, the 23 Board of Supervisors for the University of Louisiana System, and the Board of 24 Supervisors of Community and Technical Colleges are abolished and on that date, 25 except as inconsistent with the amendment creating the Louisiana Postsecondary 26 Education Board of Trustees, referred to in this Section as the "Trustees", the 27 Trustees is created and the powers, duties, functions, and responsibilities of such 28 abolished boards are transferred to the Trustees. Page 8 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 1 (B) The Board of Regents, the Board of Supervisors of Louisiana State 2 University and Agricultural and Mechanical College, the Board of Supervisors of 3 Southern University and Agricultural and Mechanical College, the Board of 4 Supervisors for the University of Louisiana System, and the Board of Supervisors 5 of Community and Technical Colleges shall take such action prior to January 1, 6 2020, to provide for implementation of the Trustees on that date. The governor shall 7 appoint the initial members of the Trustees not later than March 1, 2019, and such 8 members shall take such actions as authorized by law to provide for implementation 9 of the Trustees on January 1, 2020. In making initial appointments, the governor 10 shall designate the expiration date of the term to which each initial member is 11 appointed. The designations shall be made in such manner as to cause the terms of 12 five initial members to expire in 2021, five in 2023, and five in 2025. 13 (C) The legislature shall provide by law, not inconsistent with the 14 constitutional amendment creating the Trustees, for the implementation of such 15 amendment and for the transfer of such powers, duties, functions, and 16 responsibilities. 17 Section 5. Be it resolved by the Legislature of Louisiana, two-thirds of the members 18elected to each house concurring, that there shall be submitted to the electors of the state of 19Louisiana, for their approval or rejection in the manner provided by law, a proposal to repeal 20Article VIII, Sections 6, 7, 7.1, 8(B) and (D), and 12 of the Constitution of Louisiana. 21 Section 6. Be it further resolved that this proposed amendment shall be submitted 22to the electors of the state of Louisiana at the statewide election to be held on November 6, 232018. 24 Section 7. Be it further resolved that the provisions of this amendment shall become 25effective on January 1, 2020, except that the provisions of Article XIV, Section 41 shall 26become effective on January 1, 2019. 27 Section 8. Be it further resolved that on the official ballot to be used at the election, 28there shall be printed a proposition, upon which the electors of the state shall be permitted Page 9 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 1to vote YES or NO, to amend the Constitution of Louisiana, which proposition shall read as 2follows: 3 Do you support an amendment to reorganize the governance of public 4 postsecondary education, including provisions to create the Louisiana 5 Postsecondary Education Board of Trustees as a single governing board for 6 public postsecondary education, to abolish the Board of Regents and the 7 management boards of the postsecondary education systems, and to transfer 8 the powers, duties, and responsibilities of the abolished boards to the new 9 board of trustees? (Effective January 1, 2020, except that implementation 10 provisions are effective January 1, 2019) (Amends Const. Art. IV, §22(A), 11 Art. VII, §§10.1(C)(1) and (3) and (D)(1)(introductory paragraph) and 12 10.4(B)(1), (3), and (4), and Art. VIII, §§5 and 16; Adds Art. XIV, §41; 13 Repeals Art. VIII, §§6, 7, 7.1, 8(B) and (D), and 12) DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] HB 34 Original 2017 Regular Session Pugh Abstract: Creates the La. Postsecondary Education Board of Trustees as a single governing board for public postsecondary education; abolishes the Board of Regents and the management boards of the postsecondary education systems, and transfers the powers, duties, and responsibilities of the abolished boards to the new Board of Trustees. Present constitution, relative to public postsecondary education governance: (1)Establishes the Board of Regents to plan, coordinate, and have budgetary responsibility for all public postsecondary education. (2)Creates the Board of Supervisors for the University of La. System, the Board of Supervisors of La. State University and Agricultural and Mechanical College, and the Board of Supervisors of Southern University and Agricultural and Mechanical College, all having supervision and management responsibilities for "four-year" colleges and universities and agricultural and other system programs. (3)Creates and provides for the Board of Supervisors of Community and Technical Colleges, which is the management board for all programs of public postsecondary vocational-technical training, and, as provided by law, institutions of higher education which offer associate degrees but not baccalaureate degrees. Page 10 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 Present constitution specifies the powers of the Board of Regents. Provides that powers of management over public institutions of postsecondary education not specifically vested by the constitution in the Board of Regents are reserved to the management boards as to the institutions under the control of each. Proposed constitutional amendment abolishes the Board of Regents and all four management boards and creates the La. Postsecondary Education Board of Trustees. Provides that the Board of Trustees shall have the powers of the Board of Regents to plan, coordinate, and have budgetary responsibility for all public postsecondary education and shall also have the management and supervision authority of the management boards. Present constitution provides for the members of the Board of Regents to be appointed by the governor, subject to Senate confirmation, for staggered six-year terms. Provides that the board should be representative of the state's population by race and gender to ensure diversity. Proposed constitutional amendment retains these provisions applicable to the Board of Trustees. Present constitution provides that the Board of Regents is comprised of fifteen members – two members from each congressional district and remaining member(s) from the state at large. Proposed constitutional amendment provides for the Board of Trustees to be comprised of 25 members – one member from a list of three nominees submitted by the chief executive officer of each of the following 24 institutions and the remaining member from the state at large: La. State Univ. at Baton Rouge, Southern Univ. at Baton Rouge, Grambling State Univ., La. Tech Univ., McNeese State Univ., Nicholls State Univ., Northwestern State Univ. of La., Southeastern La. Univ., the Univ. of La. at Lafayette, the Univ. of La. at Monroe, the Univ. of New Orleans, Baton Rouge Community College, Bossier Parish Community College, Central La. Technical Community College, Delgado Community College, Nunez Community College, Fletcher Technical Community College, La. Delta Community College, Northwest La. Technical College, Northshore Technical Community College, River Parishes Community College, South Central La. Technical College, South La. Community College, and Sowela Technical Community College. Present constitution authorizes the legislature to provide for one student member to serve on the Board of Regents for one term of one year and to have the rights of other board members. Proposed constitutional amendment retains these provisions applicable to the Board of Trustees. Proposed constitutional amendment otherwise generally provides that the Board of Trustees exercises the powers and duties of the abolished Board of Regents, including authority: (1)To revise or eliminate an existing degree program, department of instruction, division, or similar subdivision. (2)To approve, disapprove, or modify a proposed degree program, department of instruction, division, or similar subdivision. (3)To study the need for and feasibility of creating a new institution of postsecondary education, establishing a branch of an institution, converting an institution that does not grant degrees to one that does, and converting an institution that grants degrees of lower rank than a baccalaureate degree to one that offers such degrees, or merging any institution of postsecondary education into another. (4)To formulate and make timely revision of a master plan for postsecondary education which as a minimum shall include a formula for equitable distribution of funds to the institutions of postsecondary education. Page 11 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-438 ORIGINAL HB NO. 34 (5)To require that each institution (instead of each management board) submit to it, at a time it specifies, an annual budget proposal for its operational and capital needs. Requires the board to submit its budget recommendations for all postsecondary education institutions and recommend priorities for capital construction and improvements. (6)To meet with the State Board of Elementary and Secondary Education at least twice a year to coordinate programs of public elementary, secondary, vocational-technical, career, and higher education. Present constitution provides that appropriations for the institutions of higher education be made to their managing boards. Proposed constitutional amendment provides that appropriations for public postsecondary education institutions and other public postsecondary education purposes be made to and administered by the Board of Trustees. Proposed constitutional amendment retains present constitution provisions for limitations of the terms a member may serve, not more than 2-1/2 in three consecutive terms, and makes them applicable to the Board of Trustees. Present constitution authorizes the legislature to provide for operation and management of public hospitals and their programs by the Board of Regents or a management board. Excepts from such authority institutions and programs operated by a management board prior to Jan. 1, 1997. Proposed constitutional amendment authorizes the legislature to provide for operation and management of public hospitals by the Board of Trustees. Removes exception for institutions and programs operated by a management board prior to Jan. 1, 1997. Relative to implementation, proposed constitutional amendment provides that on the effective date of the amendment (Jan. 1, 2020), the powers, duties, functions, and responsibilities of the abolished boards are transferred to the Board of Trustees. Requires the legislature to provide by law for the implementation of the amendment and for the transfer of such powers, duties, functions, and responsibilities. Further provides that the Board of Regents and the management boards shall take such action prior to Jan. 1, 2020, as necessary to provide for implementation of the Board of Trustees on that date. Requires the governor to appoint the initial members of the Trustees not later than March 1, 2019. Such members shall take actions as authorized by law to provide for implementation of the Board of Trustees on Jan. 1, 2020. Provides for submission of the proposed amendment to the voters at the statewide election to be held November 6, 2018. Effective January 1, 2020, except transition provisions are effective January 1, 2019. (Amends Const. Art. IV, §22(A), Art. VII, §§10.1(C)(1) and (3) and (D)(1)(intro. para.) and 10.4(B)(1), (3), and (4), and Art. VIII, §§5 and 16; Adds Const. Art. XIV, §41; Repeals Const. Art. VIII, §§6, 7, 7.1, 8(B) and (D), and 12) Page 12 of 12 CODING: Words in struck through type are deletions from existing law; words underscored are additions.