Florida Senate - 2016                                     SB 524
       By Senator Gaetz
       1-00736-16                                             2016524__
    1                        A bill to be entitled                      
    2         An act relating to state university system
    3         performance-based incentives; amending s. 1001.92,
    4         F.S.; requiring performance-based metrics to include
    5         specified wage thresholds; requiring the Board of
    6         Governors to establish minimum performance funding
    7         eligibility thresholds; prohibiting a state university
    8         that fails to meet the state’s threshold from
    9         eligibility for a share of the state’s investment
   10         performance funding; requiring the board to adopt a
   11         regulation; providing an effective date.
   13  Be It Enacted by the Legislature of the State of Florida:
   15         Section 1. Section 1001.92, Florida Statutes, is amended to
   16  read:
   17         1001.92 State University System Performance-Based
   18  Incentive.—
   19         (1) A State University System Performance-Based Incentive
   20  shall be awarded to state universities using performance-based
   21  metrics adopted by the Board of Governors of the State
   22  University System. The performance-based metrics must include
   23  graduation rates;, retention rates;, postgraduation education
   24  rates;, degree production;, affordability;, postgraduation
   25  employment and salaries, including wage thresholds that reflect
   26  the added value of a baccalaureate degree; access;, and other
   27  metrics approved by the board in a formally noticed meeting. The
   28  board shall adopt benchmarks to evaluate each state university’s
   29  performance on the metrics to measure the state university’s
   30  achievement of institutional excellence or need for improvement
   31  and minimum requirements for eligibility to receive performance
   32  funding.
   33         (2) Each fiscal year, the amount of funds available for
   34  allocation to the state universities based on the performance
   35  based metrics shall consist of the state’s appropriation for
   36  performance funding, including increases in base funding plus
   37  institutional investments consisting of funds deducted from the
   38  base funding of each state university in the State University
   39  System, in an amount provided in the General Appropriations Act.
   40  The Board of Governors shall establish minimum performance
   41  funding eligibility thresholds for both the state’s investment
   42  and the institutional investment. A state university that fails
   43  to meet the state’s investment performance funding threshold is
   44  not eligible for a share of the state’s investment performance
   45  funding. The institutional investment shall be restored for each
   46  institution eligible for the state’s investment under the
   47  performance-based metrics.
   48         (3)(a) A state university that fails to meet the Board of
   49  Governors’ minimum institutional investment performance funding
   50  threshold shall have a portion of its institutional investment
   51  withheld by the board and must submit an improvement plan to the
   52  board that specifies the activities and strategies for improving
   53  the state university’s performance. The board must review and
   54  approve the improvement plan and, if the plan is approved, must
   55  monitor the state university’s progress in implementing the
   56  activities and strategies specified in the improvement plan. The
   57  state university shall submit monitoring reports to the board by
   58  December 31 and May 31 of each year in which an improvement plan
   59  is in place. The ability of a state university to submit an
   60  improvement plan to the board is limited to 1 fiscal year.
   61         (b) The Chancellor of the State University System shall
   62  withhold disbursement of the institutional investment until the
   63  monitoring report is approved by the Board of Governors. A state
   64  university that is determined by the board to be making
   65  satisfactory progress on implementing the improvement plan shall
   66  receive no more than one-half of the withheld institutional
   67  investment in January and the balance of the withheld
   68  institutional investment in June. A state university that fails
   69  to make satisfactory progress may not have its full
   70  institutional investment restored. Any institutional investment
   71  funds that are not restored shall be redistributed in accordance
   72  with the board’s performance-based metrics.
   73         (4) Distributions of performance funding, as provided in
   74  this section, shall be made to each of the state universities
   75  listed in the Education and General Activities category in the
   76  General Appropriations Act.
   77         (5) By October 1 of each year, the Board of Governors shall
   78  submit to the Governor, the President of the Senate, and the
   79  Speaker of the House of Representatives a report on the previous
   80  fiscal year’s performance funding allocation which must reflect
   81  the rankings and award distributions.
   82         (6) The Board of Governors shall adopt a regulation to
   83  implement this section expires July 1, 2016.
   84         Section 2. This act shall take effect July 1, 2016.