83R23224 KSD-D By: Branch, et al. H.B. No. 25 Substitute the following for H.B. No. 25: By: Branch C.S.H.B. No. 25 A BILL TO BE ENTITLED AN ACT relating to success-based funding for certain public institutions of higher education. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 61.0593(e), Education Code, is amended to read as follows: (e) Notwithstanding Subsection (d),[: [(1) not more than 10 percent of the total amount of general revenue appropriations of base funds for undergraduate education recommended by the board for all institutions to which Subsection (d) applies for a state fiscal biennium may be based on student success measures; and [(2)] the board's recommendation for base funding for undergraduate education based on student success measures does not reduce or otherwise affect funding recommendations for graduate education. SECTION 2. Chapter 322, Government Code, is amended by adding Section 322.0082 to read as follows: Sec. 322.0082. STUDENT SUCCESS-BASED FUNDING FOR CERTAIN INSTITUTIONS OF HIGHER EDUCATION. (a) In this section, "general academic teaching institution" and "public state college" have the meanings assigned by Section 61.003, Education Code. (b) In the general appropriations bill prepared for introduction to the legislature under Section 322.008, at least 25 percent of the total amount of general revenue appropriations of base funds for undergraduate education for all general academic teaching institutions, other than public state colleges, for a state fiscal biennium must be based on student success measures described by Section 61.0593(d), Education Code. (b-1) Subsection (b) does not apply to a state fiscal biennium before the state fiscal biennium ending August 31, 2019. In the general appropriations bill prepared for introduction to the legislature under Section 322.008 for the state fiscal biennium ending August 31, 2017, at least 15 percent of the total amount of general revenue appropriations of base funds for undergraduate education for all general academic teaching institutions, other than public state colleges, for that state fiscal biennium must be based on student success measures described by Section 61.0593(d), Education Code. This subsection expires September 1, 2017. (c) In preparing the general appropriations bill to comply with the requirements of this section, the director, under the direction of the board, shall consider the Texas Higher Education Coordinating Board's recommendations under Section 61.0593(d), Education Code. SECTION 3. This Act takes effect September 1, 2013.