Texas 2019 - 86th Regular

Texas House Bill HB4389 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	86R2683 KSD-D
2	2	By: Schaefer H.B. No. 4389
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to student success-based funding for certain public
8	8	institutions of higher education.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 61.0593, Education Code, is amended by
11	11	amending Subsections (d), (e), and (h) and adding Subsections
12	12	(d-1), (d-2), (d-3), (d-4), and (d-5) to read as follows:
13	13	(d) This subsection applies only to a general academic
14	14	teaching institution other than a public state college. In
15	15	devising its funding formulas and making its recommendations to the
16	16	legislature relating to institutional appropriations of funds
17	17	under Section 61.059 for institutions to which this subsection
18	18	applies, the board, [in the manner and to the extent the board
19	19	considers appropriate and] in consultation with those
20	20	institutions, shall prescribe a formula for distributing funds to
21	21	the institutions in proportion to the number of scaled points
22	22	earned by each of the institutions according to the following
23	23	performance metrics [incorporate the consideration of
24	24	undergraduate student success measures achieved during the
25	25	preceding state fiscal biennium by each of the institutions. At the
26	26	time the board makes those recommendations, the board shall also
27	27	make recommendations for incorporating the success measures, to the
28	28	extent the board considers appropriate in consultation with those
29	29	institutions, into the distribution of any incentive funds
30	30	available for those institutions, including performance incentive
31	31	funds under Subchapter D, Chapter 62. The board's recommendations
32	32	must provide alternative approaches for applying the success
33	33	measures and must compare the effects on funding of applying the
34	34	success measures within the formula for base funding to applying
35	35	the success measures as a separate formula. The success measures
36	36	considered by the board under this subsection may include]:
37	37	(1) the total number of undergraduate [bachelor's]
38	38	degrees awarded by the institution;
39	39	(2) the total number of undergraduate [bachelor's]
40	40	degrees [in critical fields] awarded by the institution, adjusted
41	41	by the institution's:
42	42	(A) six-year graduation rate; or
43	43	(B) three-year graduation rate, if the
44	44	institution offers only upper-division courses;
45	45	(3) the total number of undergraduate [bachelor's]
46	46	degrees awarded by the institution divided by the number of
47	47	full-time undergraduate student equivalents enrolled in the fall
48	48	semester, as reported in the board's higher education
49	49	accountability system, the quotient of which is multiplied by 100
50	50	[to at-risk students]; [and]
51	51	(4) the six-year graduation rate, or three-year
52	52	graduation rate if the institution offers only upper-division
53	53	courses, of at-risk students;
54	54	(5) retention rates of undergraduate students at the
55	55	institution having successfully completed at least 25 percent of
56	56	the student's degree requirements or having earned at least 30
57	57	credit hours toward a 120-credit-hour degree, including hours
58	58	earned toward the degree at another institution before transferring
59	59	to the institution;
60	60	(6) retention rates of undergraduate students at the
61	61	institution having successfully completed at least 50 percent of
62	62	the student's degree requirements or having earned at least 60
63	63	credit hours toward a 120-credit-hour degree, including hours
64	64	earned toward the degree at another institution before transferring
65	65	to the institution; and
66	66	(7) retention rates of undergraduate students at the
67	67	institution having successfully completed at least 75 percent of
68	68	the student's degree requirements or having earned at least 90
69	69	credit hours toward a 120-credit-hour degree, including hours
70	70	earned toward the degree at another institution before transferring
71	71	to the institution [as determined by the board, the six-year
72	72	graduation rate of undergraduate students of the institution who
73	73	initially enrolled in the institution in the fall semester
74	74	immediately following their graduation from a public high school in
75	75	this state as compared to the six-year graduation rate predicted
76	76	for those students based on the composition of the institution's
77	77	student body].
78	78	(d-1) In devising the formula under Subsection (d), the
79	79	board shall:
80	80	(1) determine the appropriate scale for each metric;
81	81	and
82	82	(2) compute each metric using the average of the
83	83	applicable variables for the three most recent academic years for
84	84	which the information is available, as determined on the January 1
85	85	preceding the state fiscal biennium for which the metric is
86	86	computed.
87	87	(d-2) In the formula prescribed under Subsection (d),
88	88	points may be assigned only for an institution's outcome on a metric
89	89	and not based on the institution's increase in performance on the
90	90	metric.
91	91	(d-3) In computing an institution's graduation rate under
92	92	Subsection (d), the board shall include each first-time, full-time,
93	93	undergraduate degree-seeking student who enrolled in at least 12
94	94	semester credit hours in the student's first fall semester at the
95	95	institution and who graduated from the institution or from any
96	96	other institution of higher education or private or independent
97	97	institution of higher education.
98	98	(d-4) The board's recommendations under Subsection (d) must
99	99	provide alternative approaches for applying the performance
100	100	metrics described by that subsection and must compare the effects
101	101	on funding of applying the performance metrics within the formula
102	102	for base funding to applying the performance metrics as a separate
103	103	formula.
104	104	(d-5) At the time the board makes its recommendations under
105	105	Subsection (d) for institutions to which that subsection applies,
106	106	the board shall also make recommendations for incorporating the
107	107	performance metrics described by that subsection, to the extent the
108	108	board considers appropriate in consultation with those
109	109	institutions, into the distribution of any incentive funds
110	110	available for those institutions, including performance incentive
111	111	funds under Subchapter D, Chapter 62.
112	112	(e) Notwithstanding Subsection (d):
113	113	(1) not more than 20 [10] percent of the total amount
114	114	of general revenue appropriations of base funds for undergraduate
115	115	education recommended by the board for all institutions to which
116	116	Subsection (d) applies for a state fiscal biennium may be based on
117	117	student success measures; and
118	118	(2) the board's recommendation for base funding for
119	119	undergraduate education based on performance metrics [student
120	120	success measures] does not reduce or otherwise affect funding
121	121	recommendations for graduate education.
122	122	(h) The board shall include in its findings and
123	123	recommendations to the legislature under Section 61.059:
124	124	(1) an evaluation of the effectiveness of the
125	125	performance metrics and student success measures described by this
126	126	section in achieving the purpose of this section during the
127	127	preceding state fiscal biennium; and
128	128	(2) any related recommendations the board considers
129	129	appropriate.
130	130	SECTION 2. The Texas Higher Education Coordinating Board
131	131	shall adopt rules for the administration of Section 61.0593,
132	132	Education Code, as amended by this Act, not later than May 1, 2020.
133	133	SECTION 3. This Act takes effect September 1, 2019.