Florida Senate - 2019                                    SB 1744
       
       
        
       By Senator Baxley
       
       
       
       
       
       12-01475-19                                           20191744__
    1                        A bill to be entitled                      
    2         An act relating to higher education; amending s.
    3         1001.706, F.S.; requiring the Board of Governors to
    4         annually report on the intellectual freedom and
    5         viewpoint diversity of each institution; requiring
    6         institutions to annually conduct a survey of students,
    7         faculty, and administrators which assesses specified
    8         information; requiring the board to develop and
    9         annually deliver a training program for trustees;
   10         requiring trustees to participate in such a program
   11         within a specified timeframe; providing requirements
   12         of the program; expanding certain powers and duties
   13         relating to accountability to any member of the
   14         Cabinet, the presiding officers of the Legislature, a
   15         chair of a substantive or appropriations committee
   16         with jurisdiction, or a member of the board of
   17         trustees of the institution for which an investigation
   18         is sought; requiring the Office of the Inspector
   19         General to investigate related allegations under
   20         specified conditions; amending s. 1004.03, F.S.;
   21         requiring the State Board of Education to establish
   22         criteria for the review of new facilities and programs
   23         at Florida College System institutions for certain
   24         purposes; providing that new programs may not be
   25         approved unless they meet certain requirements;
   26         amending s. 1004.28, F.S.; making technical changes;
   27         specifying that university boards of trustees must
   28         annually report certain information to the
   29         Legislature; amending s. 1004.70, F.S.; authorizing
   30         the board of trustees to prescribe that a Florida
   31         College System institution direct-support organization
   32         must comply with a certain condition in order to use
   33         certain services at such institutions; providing that
   34         certain state appropriations to direct-support
   35         organizations may be pledged only for capital
   36         projects; requiring each board of trustees to annually
   37         report to the Legislature certain information relating
   38         to state appropriations transferred within a certain
   39         timeframe to any direct-support organization;
   40         prohibiting the board of trustees from transferring
   41         any funds to any direct-support organization that does
   42         not meet certain requirements; prohibiting the board
   43         from permitting the use of state funds for travel
   44         expenses by such organizations; prohibiting
   45         organizations from giving any gift to a political
   46         committee for any purpose; amending s. 1008.32, F.S.;
   47         requiring the Commissioner of Education to report
   48         certain findings to the State Board of Education;
   49         requiring the board to require the district school
   50         board or Florida College System institution board of
   51         trustees to document compliance; amending s. 1008.322,
   52         F.S.; requiring the Chancellor of the State University
   53         System to report certain findings to the Board of
   54         Governors; requiring the board to require a university
   55         board of trustees to document compliance; amending s.
   56         1011.45, F.S.; specifying that unexpended funds in a
   57         university operating budget may be carried forward,
   58         subject to Legislative approval; amending s. 1013.40,
   59         F.S.; deleting a prohibition against Florida College
   60         System institutions expending public funds for the
   61         acquisition of additional property without specific
   62         approval by the Legislature; prohibiting institutions
   63         and direct-support organizations from constructing,
   64         accepting, or purchasing property or facilities under
   65         certain conditions; providing an exception; amending
   66         s. 1013.78, F.S.; prohibiting universities and
   67         university direct support organizations from
   68         constructing, accepting, or purchasing property under
   69         certain conditions; providing an exception; reenacting
   70         s. 1010.09, F.S., relating to direct-support
   71         organizations, to incorporate the amendment made to s.
   72         1004.70, F.S., in a reference thereto; reenacting s.
   73         1001.73(3), F.S., relating to a university board
   74         empowered to act as trustee, to incorporate the
   75         amendment made to s. 1013.78, F.S., in a reference
   76         thereto; reenacting s. 1001.64(6), F.S., relating to
   77         Florida College System institution boards of trustees
   78         and related powers and duties, to incorporate the
   79         amendment made to s. 1004.03, F.S., in a reference
   80         thereto; providing an effective date.
   81          
   82  Be It Enacted by the Legislature of the State of Florida:
   83  
   84         Section 1. Paragraphs (j) and (k) are added to subsection
   85  (3), and paragraph (f) is added to subsection (5) of section
   86  1001.706, Florida Statutes, to read:
   87         1001.706 Powers and duties of the Board of Governors.—
   88         (3) POWERS AND DUTIES RELATING TO ORGANIZATION AND
   89  OPERATION OF STATE UNIVERSITIES.—
   90         (j)The Board of Governors shall annually report, by
   91  September 1 of each year, on the intellectual freedom and
   92  viewpoint diversity of each institution through an objective,
   93  nonpartisan, and statistically valid survey that enables
   94  comparison among institutions over time. Each institution shall
   95  conduct an annual survey of students, faculty, and
   96  administrators which assesses the extent to which competing
   97  ideas, perspectives, and claims of truth are presented and the
   98  extent to which members of the university community feel safe
   99  and supported in exploring and articulating their beliefs and
  100  viewpoints on campus and in the classroom.
  101         (k) The Board of Governors shall develop and annually
  102  deliver a training program for trustees which addresses the role
  103  of university boards of trustees in governing institutional
  104  resources and protecting the public interest. Each trustee must
  105  participate within 1 year of his or her appointment to a
  106  university board. The program must include information on
  107  trustee responsibilities relating to the following:
  108         1. Meeting the statutory, regulatory, and fiduciary
  109  obligations of the board;
  110         2. Establishing internal process controls and
  111  accountability mechanisms for the institution’s president and
  112  other administrative officers;
  113         3. Oversight of planning, construction, maintenance,
  114  expansion, and renovation projects that impact the university’s
  115  consolidated infrastructure, physical facilities, and natural
  116  environment, including its lands, improvements, and capital
  117  equipment;
  118         4. Establishing policies that promote college
  119  affordability, including ensuring that the costs of university
  120  fees, textbooks, and instructional materials are minimized
  121  whenever possible;
  122         5. Creating and implementing institutionwide rules and
  123  regulations;
  124         6. Upholding institutional ethics and avoiding conflicts of
  125  interest;
  126         7. Following best practices for board governance;
  127         8. Addressing current national and state issues in higher
  128  education; and
  129         9. Considering any other information that the Board of
  130  Governors deems necessary or appropriate.
  131         (5) POWERS AND DUTIES RELATING TO ACCOUNTABILITY.—
  132         (f) If the Board of Governors, any member of the Cabinet,
  133  the presiding officer of either house of the Legislature, a
  134  chair of a substantive or of an appropriations committee with
  135  jurisdiction, or a member of the board of trustees of the
  136  institution for which an investigation is sought determines that
  137  a state university board of trustees is unwilling or unable to
  138  address substantiated allegations made by any person relating to
  139  waste, fraud, or financial mismanagement at the state
  140  university, the Office of the Inspector General shall
  141  investigate such allegations.
  142         Section 2. Section 1004.03, Florida Statutes, is amended to
  143  read:
  144         1004.03 Program approval.—
  145         (1) The Board of Governors shall establish criteria for the
  146  review and approval of proposed new programs at state
  147  universities to ensure the well-planned development,
  148  coordination, and operation of the State University System and
  149  to avoid wasteful duplication of facilities or programs. The
  150  Board of Governors shall submit an annual report to the
  151  President of the Senate, the Speaker of the House of
  152  Representatives, and the Governor listing the reviews conducted
  153  and the results of each review.
  154         (2) The State Board of Education shall establish criteria
  155  for the review and approval of new facilities and programs at
  156  Florida College System institutions to ensure the well-planned
  157  development, coordination, and operation of the Florida College
  158  System and to avoid duplication of facilities or programs.,
  159  which criteria include, but are not limited to, the following:
  160         (a) New programs may not be approved unless they are
  161  consistent with the state master plan adopted by the State Board
  162  of Education and are sufficiently different from existing
  163  programs, or unless access to existing programs is sufficiently
  164  limited to warrant initiation of a new program. The proposal
  165  must include an explanation supporting the conclusion that it is
  166  more cost effective or otherwise in the best interest of the
  167  state to initiate a new program rather than meet the demand the
  168  same objectives cannot be met through the use of educational
  169  technology or collaboration with other institutions.
  170         (b)Unnecessary duplication of programs offered by
  171  independent institutions shall be avoided.
  172         (c)Cooperative programs, particularly within regions,
  173  should be encouraged.
  174         (d)New programs may be approved only if they are
  175  consistent with the state master plan adopted by the State Board
  176  of Education.
  177         Section 3. Paragraph (b) of subsection (2) of section
  178  1004.28, Florida Statutes, is amended to read:
  179         1004.28 Direct-support organizations; use of property;
  180  board of directors; activities; audit; facilities.—
  181         (2) USE OF PROPERTY.—
  182         (b) The board of trustees, in accordance with regulations
  183  and guidelines of the Board of Governors, shall prescribe by
  184  regulation conditions with which a university direct-support
  185  organization must comply in order to use property, facilities,
  186  or personal services at any state university, including that
  187  personal services must comply with s. 1012.976. Such regulations
  188  shall provide for budget and audit review and oversight by the
  189  board of trustees, including thresholds for approval of
  190  purchases, acquisitions, projects, and issuance of debt.
  191  Beginning No later than July 1, 2019, the transfer of a state
  192  appropriation by the board of trustees to any direct-support
  193  organization may only include only funds pledged for capital
  194  projects. Beginning July 1, 2019, and annually thereafter, Each
  195  university board of trustees shall report annually to the
  196  Legislature the amount of state appropriations transferred to
  197  any direct-support organization during the previous fiscal year,
  198  the purpose for which the funds were transferred, and the
  199  remaining balance of any funds transferred.
  200         Section 4. Subsection (3) and paragraph (d) of subsection
  201  (4) of section 1004.70, Florida Statutes, are amended to read:
  202         1004.70 Florida College System institution direct-support
  203  organizations.—
  204         (3) USE OF PROPERTY.—
  205         (a) The board of trustees is authorized to permit the use
  206  of property, facilities, and personal services at any Florida
  207  College System institution by any Florida College System
  208  institution direct-support organization, subject to the
  209  provisions of this section.
  210         (b) The board of trustees is authorized to prescribe by
  211  rule any condition with which a Florida College System
  212  institution direct-support organization must comply in order to
  213  use property, facilities, or personal services at any Florida
  214  College System institution, including a condition that personal
  215  services must comply with s. 1012.976. Such rules must provide
  216  for budget and audit review and oversight by the board of
  217  trustees, including thresholds for approval of purchases,
  218  acquisitions, projects, and issuance of debt. Beginning July 1,
  219  2019, the transfer of a state appropriation by the board of
  220  trustees to any direct-support organization with a fund balance
  221  of greater than $50 million may include only funds pledged for
  222  capital projects. Each Florida College System institution board
  223  of trustees shall report annually to the Legislature the amount
  224  of state appropriations transferred to any direct-support
  225  organization during the previous fiscal year, the purpose for
  226  which the funds were transferred, and the remaining balance of
  227  any funds transferred.
  228         (c) The board of trustees may not transfer any funds to,
  229  and may not permit the use of property, facilities, or personal
  230  services at any Florida College System institution by, any
  231  Florida College System institution direct-support organization
  232  that does not provide equal employment opportunities to all
  233  persons regardless of race, color, national origin, gender, age,
  234  or religion.
  235         (d) The board of trustees may not permit the use of state
  236  funds for travel expenses by any Florida College System
  237  institution direct-support organization.
  238         (4) ACTIVITIES; RESTRICTIONS.—
  239         (d) A Florida College System institution direct-support
  240  organization is prohibited from giving, either directly or
  241  indirectly, any gift to a political committee as defined in s.
  242  106.011 for any purpose other than those certified by a majority
  243  roll call vote of the governing board of the direct-support
  244  organization at a regularly scheduled meeting as being directly
  245  related to the educational mission of the Florida College System
  246  institution.
  247         Section 5. Subsection (2) of section 1008.32, Florida
  248  Statutes, is amended to read:
  249         1008.32 State Board of Education oversight enforcement
  250  authority.—The State Board of Education shall oversee the
  251  performance of district school boards and Florida College System
  252  institution boards of trustees in enforcement of all laws and
  253  rules. District school boards and Florida College System
  254  institution boards of trustees shall be primarily responsible
  255  for compliance with law and state board rule.
  256         (2)(a) The Commissioner of Education may investigate
  257  allegations of noncompliance with law or state board rule and
  258  determine probable cause. The commissioner shall report
  259  determinations of probable cause to the State Board of Education
  260  which shall require the district school board or Florida College
  261  System institution board of trustees to document compliance with
  262  law or state board rule.
  263         (b) The Commissioner of Education shall report to the State
  264  Board of Education any findings by the Auditor General that a
  265  district school board or Florida College System institution is
  266  acting without statutory authority or contrary to state law. The
  267  State Board of Education shall require the district school board
  268  or Florida College System institution board of trustees to
  269  document compliance with the law.
  270         Section 6. Subsection (3) of section 1008.322, Florida
  271  Statutes, is amended to read:
  272         1008.322 Board of Governors oversight enforcement
  273  authority.—
  274         (3)(a) The Chancellor of the State University System may
  275  investigate allegations of noncompliance with any law or Board
  276  of Governors’ rule or regulation and determine probable cause.
  277  The chancellor shall report determinations of probable cause to
  278  the Board of Governors, which may require the university board
  279  of trustees to document compliance with the law or Board of
  280  Governors’ rule or regulation.
  281         (b) The Chancellor of the State University System shall
  282  report to the Board of Governors any findings by the Auditor
  283  General that a university is acting without statutory authority
  284  or contrary to state law. The Board of Governors shall require
  285  the university board of trustees to document compliance with the
  286  law.
  287         Section 7. Section 1011.45, Florida Statutes, is amended to
  288  read:
  289         1011.45 End of year balance of funds.—Unexpended amounts in
  290  any fund in a university current year operating budget shall be
  291  carried forward and included as the balance forward for that
  292  fund in the approved operating budget for the following year,
  293  subject to Legislative approval.
  294         Section 8. Section 1013.40, Florida Statutes, is amended to
  295  read:
  296         1013.40 Planning and construction of Florida College System
  297  institution facilities; property acquisition.—
  298         (1) The need for Florida College System institution
  299  facilities shall be established by a survey conducted pursuant
  300  to this chapter. The facilities recommended by such survey must
  301  be approved by the State Board of Education, and the projects
  302  must be constructed according to the provisions of this chapter
  303  and State Board of Education rules.
  304         (2) A No Florida College System institution may expend
  305  public funds for the acquisition of additional property without
  306  the specific approval of the Legislature.
  307         (3)No facility may be acquired or constructed by a Florida
  308  College System institution or its direct-support organization
  309  may not construct, accept, or purchase property or facilities if
  310  such facility requires general revenue funds will be required
  311  for operation or maintenance upon project completion or in
  312  subsequent years of operation, unless prior approval is granted
  313  by received from the Legislature, based upon a determination
  314  that sufficient operation and maintenance funds are available
  315  for the useful life of the facility.
  316         Section 9. Section 1013.78, Florida Statutes, is amended to
  317  read:
  318         1013.78 Approval required for certain university-related
  319  facility acquisitions.—
  320         (1) A No university or university direct-support
  321  organization may not shall construct, accept, or purchase
  322  property or facilities if general revenue for which the state
  323  will be asked for operating funds will be required for operation
  324  or maintenance upon project completion or in subsequent years of
  325  operation, unless there has been prior approval is for
  326  construction or acquisition granted by the Legislature, based
  327  upon a determination that sufficient operation and maintenance
  328  funds are available for the useful life of the facility.
  329         (2) Legislative approval shall not be required for
  330  renovations, remodeling, replacement of existing facilities, or
  331  construction of minor projects as defined in s. 1013.64, except
  332  to the extent required pursuant to s. 1010.62.
  333         Section 10. For the purpose of incorporating the amendment
  334  made by this act to section 1004.70, Florida Statutes, in a
  335  reference thereto, section 1010.09, Florida Statutes, is
  336  reenacted to read:
  337         1010.09 Direct-support organizations.—
  338         (1) School district and Florida College System institution
  339  direct-support organizations shall be organized and conducted
  340  under the provisions of ss. 1001.453 and 1004.70 and rules of
  341  the State Board of Education, as applicable.
  342         (2) State university direct-support organizations shall be
  343  organized and conducted under the provisions of s. 1004.28 and
  344  rules of the Board of Governors, as applicable.
  345         Section 11. For the purpose of incorporating the amendment
  346  made by this act to section 1013.78, Florida Statutes, in a
  347  reference thereto, subsection (3) of section 1001.73, Florida
  348  Statutes, is reenacted to read:
  349         1001.73 University board empowered to act as trustee.—
  350         (3) Nothing herein shall be construed to authorize a
  351  university board of trustees to contract a debt on behalf of, or
  352  in any way to obligate, the state; and the satisfaction of any
  353  debt or obligation incurred by the university board as trustee
  354  under the provisions of this section shall be exclusively from
  355  the trust property, mortgaged or encumbered; and nothing herein
  356  shall in any manner affect or relate to the provisions of s.
  357  1013.78; and any mortgage, lease, or other agreement entered
  358  into pursuant to this section is subject to the provisions of s.
  359  1010.62.
  360         Section 12. For the purpose of incorporating the amendment
  361  made by this act to section 1004.03, Florida Statutes, in a
  362  reference thereto, subsection (6) of section 1001.64, Florida
  363  Statutes, is reenacted to read:
  364         1001.64 Florida College System institution boards of
  365  trustees; powers and duties.—
  366         (6) Each board of trustees has responsibility for the
  367  establishment and discontinuance of program and course offerings
  368  in accordance with law and rule; provision for instructional and
  369  noninstructional community services, location of classes, and
  370  services provided; and dissemination of information concerning
  371  such programs and services. New programs must be approved
  372  pursuant to s. 1004.03.
  373         Section 13. This act shall take effect July 1, 2019.