Florida Senate - 2015 COMMITTEE AMENDMENT Bill No. SB 948 Ì821776GÎ821776 LEGISLATIVE ACTION Senate . House Comm: RCS . 03/23/2015 . . . . ————————————————————————————————————————————————————————————————— ————————————————————————————————————————————————————————————————— The Committee on Higher Education (Gaetz) recommended the following: 1 Senate Amendment (with title amendment) 2 3 Between lines 329 and 330 4 insert: 5 Section 10. Subsections (3) and (4) of section 1001.7065, 6 Florida Statutes, are amended to read: 7 1001.7065 Preeminent state research universities program.— 8 (3) PREEMINENT STATE RESEARCH UNIVERSITY DESIGNATION.—The 9 Board of Governors shall designate each state research 10 university that meets at least 11 of the 12 academic and 11 research excellence standards identified in subsection (2) and 12 that enters into and maintains a formal agreement with the 13 National Merit Scholarship Corporation to offer college 14 sponsored merit scholarship awards a preeminent state research 15 university. 16 (4) PREEMINENT STATE RESEARCH UNIVERSITY INSTITUTE FOR 17 ONLINE LEARNING.—A state research university that, as of July 1, 18 2013, metmeetsall 12 of the academic and research excellence 19 standards identified in subsection (2), as verified by the Board 20 of Governors, shall establish an institute for online learning. 21 Continuation of the institute for online learning is contingent 22 upon a state research university entering into and maintaining a 23 formal agreement with the National Merit Scholarship Corporation 24 to offer college-sponsored merit scholarship awards. The 25 institute shall establish a robust offering of high-quality, 26 fully online baccalaureate degree programs at an affordable cost 27 in accordance with this subsection. 28 (a) By August 1, 2013, the Board of Governors shall convene 29 an advisory board to support the development of high-quality, 30 fully online baccalaureate degree programs at the university. 31 (b) The advisory board shall: 32 1. Offer expert advice, as requested by the university, in 33 the development and implementation of a business plan to expand 34 the offering of high-quality, fully online baccalaureate degree 35 programs. 36 2. Advise the Board of Governors on the release of funding 37 to the university upon approval by the Board of Governors of the 38 plan developed by the university. 39 3. Monitor, evaluate, and report on the implementation of 40 the plan to the Board of Governors, the Governor, the President 41 of the Senate, and the Speaker of the House of Representatives. 42 (c) The advisory board shall be composed of the following 43 five members: 44 1. The chair of the Board of Governors or the chair’s 45 permanent designee. 46 2. A member with expertise in online learning, appointed by 47 the Board of Governors. 48 3. A member with expertise in global marketing, appointed 49 by the Governor. 50 4. A member with expertise in cloud virtualization, 51 appointed by the President of the Senate. 52 5. A member with expertise in disruptive innovation, 53 appointed by the Speaker of the House of Representatives. 54 (d) The president of the university shall be consulted on 55 the advisory board member appointments. 56 (e) A majority of the advisory board shall constitute a 57 quorum, elect the chair, and appoint an executive director. 58 (f) By September 1, 2013, the university shall submit to 59 the advisory board a comprehensive plan to expand high-quality, 60 fully online baccalaureate degree program offerings. The plan 61 shall include: 62 1. Existing on-campus general education courses and 63 baccalaureate degree programs that will be offered online. 64 2. New courses that will be developed and offered online. 65 3. Support services that will be offered to students 66 enrolled in online baccalaureate degree programs. 67 4. A tuition and fee structure that meets the requirements 68 in paragraph (k) for online courses, baccalaureate degree 69 programs, and student support services. 70 5. A timeline for offering, marketing, and enrolling 71 students in the online baccalaureate degree programs. 72 6. A budget for developing and marketing the online 73 baccalaureate degree programs. 74 7. Detailed strategies for ensuring the success of students 75 and the sustainability of the online baccalaureate degree 76 programs. 77 78 Upon recommendation of the plan by the advisory board and 79 approval by the Board of Governors, the Board of Governors shall 80 award the university $10 million in nonrecurring funds and $5 81 million in recurring funds for fiscal year 2013-2014 and $5 82 million annually thereafter, subject to appropriation in the 83 General Appropriations Act. 84 (g) Beginning in January 2014, the university shall offer 85 high-quality, fully online baccalaureate degree programs that: 86 1. Accept full-time, first-time-in-college students. 87 2. Have the same rigorous admissions criteria as equivalent 88 on-campus degree programs. 89 3. Offer curriculum of equivalent rigor to on-campus degree 90 programs. 91 4. Offer rolling enrollment or multiple opportunities for 92 enrollment throughout the year. 93 5. Do not require any on-campus courses. However, for 94 courses or programs that require clinical training or 95 laboratories that cannot be delivered online, the university 96 shall offer convenient locational options to the student, which 97 may include, but are not limited to, the option to complete such 98 requirements at a summer-in-residence on the university campus. 99 The university may provide a network of sites at convenient 100 locations and contract with commercial testing centers or 101 identify other secure testing services for the purpose of 102 proctoring assessments or testing. 103 6. Apply the university’s existing policy for accepting 104 credits for both freshman applicants and transfer applicants. 105 (h) The university may offer a fully online Master’s in 106 Business Administration degree program and other master’s degree 107 programs. 108 (i) The university may develop and offer degree programs 109 and courses that are competency based as appropriate for the 110 quality and success of the program. 111 (j) The university shall periodically expand its offering 112 of online baccalaureate degree programs to meet student and 113 market demands. 114 (k) The university shall establish a tuition structure for 115 its online institute in accordance with this paragraph, 116 notwithstanding any other provision of law. 117 1. For students classified as residents for tuition 118 purposes, tuition for an online baccalaureate degree program 119 shall be set at no more than 75 percent of the tuition rate as 120 specified in the General Appropriations Act pursuant to s. 121 1009.24(4) and 75 percent of the tuition differential pursuant 122 to s. 1009.24(16). No distance learning fee, fee for campus 123 facilities, or fee for on-campus services may be assessed, 124 except that online students shall pay the university’s 125 technology fee, financial aid fee, and Capital Improvement Trust 126 Fund fee. The revenues generated from the Capital Improvement 127 Trust Fund fee shall be dedicated to the university’s institute 128 for online learning. 129 2. For students classified as nonresidents for tuition 130 purposes, tuition may be set at market rates in accordance with 131 the business plan. 132 3. Tuition for an online degree program shall include all 133 costs associated with instruction, materials, and enrollment, 134 excluding costs associated with the provision of textbooks 135 pursuant to s. 1004.085 and physical laboratory supplies. 136 4. Subject to the limitations in subparagraph 1., tuition 137 may be differentiated by degree program as appropriate to the 138 instructional and other costs of the program in accordance with 139 the business plan. Pricing must incorporate innovative 140 approaches that incentivize persistence and completion, 141 including, but not limited to, a fee for assessment, a bundled 142 or all-inclusive rate, and sliding scale features. 143 5. The university must accept advance payment contracts and 144 student financial aid. 145 6. Fifty percent of the net revenues generated from the 146 online institute of the university shall be used to enhance and 147 enrich the online institute offerings, and 50 percent of the net 148 revenues generated from the online institute shall be used to 149 enhance and enrich the university’s campus state-of-the-art 150 research programs and facilities. 151 7. The institute may charge additional local user fees 152 pursuant to s. 1009.24(14) upon the approval of the Board of 153 Governors. 154 8. The institute shall submit a proposal to the president 155 of the university authorizing additional user fees for the 156 provision of voluntary student participation in activities and 157 additional student services. 158 Section 11. (1) The State University System Performance 159 Based Incentive shall be based on indicators of institutional 160 attainment of performance metrics adopted by the Board of 161 Governors. The performance-based funding metrics shall include, 162 but are not limited to, metrics that measure graduation and 163 retention rates; degree production; affordability; 164 postgraduation employment, salaries, or further education; 165 student loan default rates; access; and any other metrics 166 approved by the board. 167 (2) The Board of Governors shall evaluate the institutions’ 168 performance on the metrics based on benchmarks adopted by the 169 board which measure the achievement of institutional excellence 170 or improvement. Each fiscal year, the amount of funds available 171 for allocation to the institutions based on the performance 172 funding model shall consist of the state’s investment in 173 performance funding, plus an institutional investment consisting 174 of funds to be redistributed from the base funding of the State 175 University System, as determined in the General Appropriations 176 Act. The institutional investment shall be restored for all 177 institutions eligible for the state’s investment under the 178 performance funding model. Any institution that fails to meet 179 the board’s minimum performance funding threshold will not be 180 eligible for the state’s investment, will have a portion of its 181 institutional investment withheld, and must submit an 182 improvement plan to the board that specifies the activities and 183 strategies for improving the institution’s performance. 184 (3) The Board of Governors must review the improvement 185 plan, and if approved, must monitor the institution’s progress 186 on implementing the specified activities and strategies. The 187 institutions shall submit monitoring reports to the board no 188 later than December 31 and May 31 of each year. 189 (4) The Chancellor of the State University System shall 190 withhold disbursement of the institutional investment until such 191 time as the monitoring report for the institution is approved by 192 the Board of Governors. Any institution that fails to make 193 satisfactory progress will not have its full institutional 194 investment restored. If all institutional investment funds are 195 not restored, any remaining funds shall be redistributed in 196 accordance with the board’s performance funding model. 197 (5) By October 1 of each year, the Board of Governors shall 198 submit to the Governor, the President of the Senate, and the 199 Speaker of the House of Representatives a report on the previous 200 year’s performance funding allocation which reflects the 201 rankings and award distributions. 202 (6) The Board of Governors shall adopt a regulation to 203 implement this section. 204 Section 12. (1) The Florida College System Performance 205 Based Incentive shall be based on indicators of institutional 206 attainment of performance metrics adopted by the State Board of 207 Education. The performance-based funding metrics shall include, 208 but are not limited to, metrics that measure retention; program 209 completion and graduation rates; student loan default rates; job 210 placement; and postgraduation employment, salaries, or further 211 education. 212 (2) The State Board of Education shall evaluate the 213 institutions’ performance on the metrics based on benchmarks 214 adopted by the board which measure the achievement of 215 institutional excellence or improvement. Each fiscal year, the 216 amount of funds available for allocation to the institutions 217 based on the performance funding model shall consist of the 218 state’s investment in performance funding plus an institutional 219 investment consisting of funds to be redistributed from the base 220 funding of the Florida College System Program Fund, as 221 determined in the General Appropriations Act. The institutional 222 investment shall be restored for all institutions eligible for 223 the state’s investment under the performance funding model. Any 224 institution that fails to meet the board’s minimum performance 225 funding threshold will not be eligible for the state’s 226 investment, will have a portion of its institutional investment 227 withheld, and must submit an improvement plan to the board that 228 specifies the activities and strategies for improving the 229 institution’s performance. 230 (3) The State Board of Education must review the 231 improvement plan, and if approved, must monitor the 232 institution’s progress on implementing the specified activities 233 and strategies. The institutions shall submit monitoring reports 234 to the board no later than December 31 and May 31 of each year. 235 (4) The Commissioner of Education shall withhold 236 disbursement of the institutional investment until such time as 237 the monitoring report for the institution is approved by the 238 State Board of Education. Any institution that fails to make 239 satisfactory progress will not have its full institutional 240 investment restored. If all institutional investment funds are 241 not restored, any remaining funds shall be redistributed in 242 accordance with the board’s performance funding model. 243 (5) By October 1 of each year, the State Board of Education 244 shall submit to the Governor, the President of the Senate, and 245 the Speaker of the House of Representatives a report on the 246 previous year’s performance funding allocation which reflects 247 the rankings and award distributions. 248 (6) The State Board of Education shall adopt rules to 249 implement this section. 250 251 ================= T I T L E A M E N D M E N T ================ 252 And the title is amended as follows: 253 Between lines 26 and 27 254 insert: 255 amending s. 1001.7065, F.S.; requiring a state 256 research university to enter into and maintain a 257 formal agreement with a specified organization to 258 offer college-sponsored merit scholarship awards as a 259 condition of designation as a preeminent state 260 research university; specifying that continuation of a 261 state research university’s institute for online 262 learning is contingent on the university entering into 263 and maintaining such an agreement; requiring the Board 264 of Governors and the State Board of Education to base 265 state performance funds for the State University 266 System and the Florida College System on a specified 267 metrics adopted by each board; specifying allocation 268 of the funds; requiring the Chancellor of the State 269 University System and the Commissioner of Education to 270 withhold disbursement of certain funds; requiring the 271 boards to submit reports by a specified time to the 272 Governor and the Legislature; requiring the boards to 273 adopt rules;