83rd Session Wrap-up

Rey GarciaPresident & CEO - TACC

TCCIA Annual Conference

June 3, 2013

• The Budget• Bills that passed• Bills that did not pass• Special Session• A brief look forward• Resources

83rd Legislative Session Wrap-up

Community College New Methodology for Funding Adopted•Core Operations Funding

$1 million per college each biennium•Student Success Points Funding

10% of state funding based on student outcomes•Contact Hour Funding

Remaining 90% of state funding based on contact hours

Student Success Points Budget RiderCommunity Colleges in collaboration with the Higher Education Coordinating Board will make recommendations to the 84th Legislature for a college to “compete against itself” for future outcomes-based funding.

Mid-Biennium Reallocation RiderThe rider from the last Appropriations Act which required a reallocation of formula funds in the second year of the biennium was removed from SB 1.

The Budget

State Funding for Community Colleges

The Budget

SB1 Introduced

SB1House Version

SB1Senate Version

SB1Adopted

Difference from SB1

Introduced

“Formula Funding” $1.647 billion $1.697 billion $1.794 billion $1.770 billion + $122 million

Employee Group Health

$240 million $240 million $285 million $286 million + $46 million

Employee Retirement $106 million $112 million $116 million $116 million + $10 million

The Budget

2002-03 2004-05 2006-07 2008-09 2010-11 2012-13 2014-15$0.50

$0.75

$1.00

$1.25

$1.50

$1.75

$2.00

State Formula Funding(in billions) Peak Student

Enrollment Fall 2012

SB 1812 by Duncan• Codification of 50/50 cost-share agreement on employee benefits.

SB 62 by Nelson• Changes to bacterial meningitis vaccination requirements: Lowers age to 22 / Online portal for

community college students to access exemption form at Department of State Health Services.

SB 15 by Seliger• Makes significant changes to Education Code related to Board Governance including prohibiting a

board member from voting on budget matters until “new member training” has been completed.

HB 2668 by Vo• Requires Boards of College Districts (enrollment that exceeds 20,000) to broadcast meetings and

place written meeting materials on college Website.

SB 307 by Huffman• Moves Adult Basic Education from the Texas Education Agency to the Texas Workforce

Commission.

SB 215 by Birdwell• Sunset bill for Higher Education Coordinating Board – includes changes that moves community

college students out of Texas Grants program and into Texas Educational Opportunity Grant (TEOG) program.

Bills that Passed

HB 972 by Fletcher• Was never heard on the Senate Floor• Contained “Opt-Out” provision for institutions on an annual

basis

HB14/SB14 by Pitts/Williams• Would have made significant changes in the information

required of an institution related to financial transparency and ballot language for bond elections.

Bills that did not Pass

Currently limited to Redistricting• Hearings taking place at the Capitol today• Bills on the floor next week

Other Items may be included on the “Call”

• Concealed carry on campus• Transportation funding• Social issues

Special Session

Public School Finance • Supreme Court ruling sometime next spring?• Special Session?

Economic Projections: Impact on State Revenues

• Sales tax revenues continue to trend above levels from 2012• Economist concern over sustained growth• Price of oil over the next 2-3 years

Continued Growth in K-12 EnrollmentsAffordable Care Act Implementation / Increasing Caseloads and Costs

A Look Ahead

Texas SuccessCenter

Why Texas Needs a Success Center

• Alignment of different innovation and success initiatives into a more coherent and comprehensive approach, including development data infrastructure and key measures of success;

• Acceleration of learning across institutions so that adoption of proven or evidence-based initiatives can be accelerated and information costs reduced; and

• Advocacy for policies that support the success agenda, in the legislature and in relevant state agencies.

Mission

Framework

Funders

HOUSTON ENDOWMENT

Partners

Join Advocates Networkwww.tacc.org • Receive communications: CCATT Newsletter and the Monday Morning Message• Look-up Legislative Member Information• Follow Legislative Issues and Track Legislation

Texas Success Websitewww.txsuccess.com

Resources