Illinois General Assembly - Full Text of SB3176
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Full Text of SB3176  100th General Assembly

SB3176 100TH GENERAL ASSEMBLY

  
  

 


 
100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
SB3176

 

Introduced 2/15/2018, by Sen. Dan McConchie

 

SYNOPSIS AS INTRODUCED:
 
15 ILCS 20/50-10  was 15 ILCS 20/38.1
110 ILCS 205/1  from Ch. 144, par. 181
110 ILCS 205/3.5 new
110 ILCS 205/7  from Ch. 144, par. 187
110 ILCS 205/8  from Ch. 144, par. 188
110 ILCS 205/9.37 new

    Amends the State Budget Law of the Civil Administrative Code of Illinois. Provides that, beginning with the fiscal year 2020 budget, the budget submitted by the Governor shall include one or more line items appropriating moneys to the Board of Regents. Provides that all appropriations for public universities shall be made to the Board of Regents. Amends the Board of Higher Education Act. Creates the Board of Regents to allocate funds to public universities based on a funding formula recommended by the Board of Higher Education. Provides for the membership of the Board. Provides that the boards of trustees of public universities shall submit to the Board of Regents no later than the 15th day of November of each year their budget proposals for the operation and capital needs of the institutions under their governance or supervision for the ensuing fiscal year. Provides that the Board of Higher Education may require the elimination of any program of instruction, research, or public service at a public university that exhibits a trend of low performance or low enrollment. Provides that the Board of Higher Education shall prepare a comprehensive statewide plan to increase efficiency and enrollment in public institutions of higher education. Specifies the plan requirements. Prohibits the Board of Regents from providing any funds to a public university that does not adhere to the plan.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1    AN ACT concerning education.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The State Budget Law of the Civil Administrative
5Code of Illinois is amended by changing Section 50-10 as
6follows:
 
7    (15 ILCS 20/50-10)  (was 15 ILCS 20/38.1)
8    Sec. 50-10. Budget contents. The budget shall be submitted
9by the Governor with line item and program data. The budget
10shall also contain performance data presenting an estimate for
11the current fiscal year, projections for the budget year, and
12information for the 3 prior fiscal years comparing department
13objectives with actual accomplishments, formulated according
14to the various functions and activities, and, wherever the
15nature of the work admits, according to the work units, for
16which the respective departments, offices, and institutions of
17the State government (including the elective officers in the
18executive department and including the University of Illinois
19and the judicial department) are responsible.
20    For the fiscal year beginning July 1, 1992 and for each
21fiscal year thereafter, the budget shall include the
22performance measures of each department's accountability
23report.

 

 

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1    For the fiscal year beginning July 1, 1997 and for each
2fiscal year thereafter, the budget shall include one or more
3line items appropriating moneys to the Department of Human
4Services to fund participation in the Home-Based Support
5Services Program for Adults with Mental Disabilities under the
6Developmental Disability and Mental Disability Services Act by
7persons described in Section 2-17 of that Act.
8    The budget shall contain a capital development section in
9which the Governor will present (1) information on the capital
10projects and capital programs for which appropriations are
11requested, (2) the capital spending plans, which shall document
12the first and subsequent years cash requirements by fund for
13the proposed bonded program, and (3) a statement that shall
14identify by year the principal and interest costs until
15retirement of the State's general obligation debt. In addition,
16the principal and interest costs of the budget year program
17shall be presented separately, to indicate the marginal cost of
18principal and interest payments necessary to retire the
19additional bonds needed to finance the budget year's capital
20program. In 2004 only, the capital development section of the
21State budget shall be submitted by the Governor not later than
22the fourth Tuesday of March (March 23, 2004).
23    The budget shall contain a section indicating whether there
24is a projected budget surplus or a projected budget deficit for
25general funds in the current fiscal year, or whether the
26current fiscal year's general funds budget is projected to be

 

 

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1balanced, based on estimates prepared by the Governor's Office
2of Management and Budget using actual figures available on the
3date the budget is submitted. That section shall present this
4information in both a numerical table format and by way of a
5narrative description, and shall include information for the
6proposed upcoming fiscal year, the current fiscal year, and the
72 years prior to the current fiscal year. These estimates must
8specifically and separately identify any non-recurring
9revenues, including, but not limited to, borrowed money, money
10derived by borrowing or transferring from other funds, or any
11non-operating financial source. None of these specifically and
12separately identified non-recurring revenues may include any
13revenue that cannot be realized without a change to law.  The
14table shall show accounts payable at the end of each fiscal
15year in a manner that specifically and separately identifies
16any general funds liabilities accrued during the current and
17prior fiscal years that may be paid from future fiscal years'
18appropriations, including, but not limited to, costs that may
19be paid beyond the end of the lapse period as set forth in
20Section 25 of the State Finance Act and costs incurred by the
21Department on Aging. The section shall also include an estimate
22of individual and corporate income tax overpayments that will
23not be refunded before the close of the fiscal year.
24    For the budget year, the current year, and 3 prior fiscal
25years, the Governor shall also include in the budget estimates
26of or actual values for the assets and liabilities for General

 

 

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1Assembly Retirement System, State Employees' Retirement System
2of Illinois, State Universities Retirement System, Teachers'
3Retirement System of the State of Illinois, and Judges
4Retirement System of Illinois.
5    The budget submitted by the Governor shall contain, in
6addition, in a separate book, a tabulation of all position and
7employment titles in each such department, office, and
8institution, the number of each, and the salaries for each,
9formulated according to divisions, bureaus, sections, offices,
10departments, boards, and similar subdivisions, which shall
11correspond as nearly as practicable to the functions and
12activities for which the department, office, or institution is
13responsible.
14    Together with the budget, the Governor shall transmit the
15estimates of receipts and expenditures, as received by the
16Director of the Governor's Office of Management and Budget, of
17the elective officers in the executive and judicial departments
18and of the University of Illinois.
19    An applicable appropriations committee of each chamber of
20the General Assembly, for fiscal year 2012 and thereafter, must
21review individual line item appropriations and the total budget
22for each State agency, as defined in the Illinois State
23Auditing Act.
24    Beginning with the fiscal year 2020 budget, the budget
25submitted by the Governor shall include one or more line items
26appropriating moneys to the Board of Regents, in accordance

 

 

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1with the recommendations provided to the Governor by the Board
2of Higher Education under Section 8 of the Board of Higher
3Education Act. Beginning with fiscal year 2020, no
4appropriation for higher education or higher education-related
5purposes may be made to any public university. All
6appropriations for public universities shall be made to the
7Board of Regents beginning with fiscal year 2020.
8(Source: P.A. 98-460, eff. 1-1-14; 99-143, eff. 7-27-15.)
 
9    Section 10. The Board of Higher Education Act is amended by
10changing Sections 1, 7, and 8 and by adding Sections 3.5 and
119.37 as follows:
 
12    (110 ILCS 205/1)  (from Ch. 144, par. 181)
13    Sec. 1. The following terms shall have the meanings
14respectively prescribed for them, except when the context
15otherwise requires:
16    "Public institutions of higher education": The University
17of Illinois; Southern Illinois University; Chicago State
18University; Eastern Illinois University; Governors State
19University; Illinois State University; Northeastern Illinois
20University; Northern Illinois University; Western Illinois
21University; the public community colleges of the State and any
22other public universities, colleges and community colleges now
23or hereafter established or authorized by the General Assembly.
24    "Board": The Board of Higher Education created by this Act.

 

 

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1(Source: P.A. 100-167, eff. 1-1-18.)
 
2    (110 ILCS 205/3.5 new)
3    Sec. 3.5. Board of Regents. There is created a Board of
4Regents to allocate funds to public universities from
5appropriations made to the Board of Regents, based on a funding
6formula recommended by the Board under subsection (a) of
7Section 9.37 of this Act. The Board of Regents shall consist of
87 members of the public appointed by the Governor, with the
9advice and consent of the Senate. No more than 4 members may be
10affiliated with the same political party. Members of the Board
11of Regents shall serve at the pleasure of the Governor and
12without compensation, but shall be reimbursed for their
13reasonable and necessary expenses from funds appropriated for
14that purpose. The Board shall provide administrative and other
15support to the Board of Regents. The Board of Regents shall
16meet initially at the call of the Governor, and 4 members shall
17constitute a quorum.
 
18    (110 ILCS 205/7)  (from Ch. 144, par. 187)
19    Sec. 7. The Board of Trustees of the University of
20Illinois, the Board of Trustees of Southern Illinois
21University, the Board of Trustees of Chicago State University,
22the Board of Trustees of Eastern Illinois University, the Board
23of Trustees of Governors State University, the Board of
24Trustees of Illinois State University, the Board of Trustees of

 

 

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1Northeastern Illinois University, the Board of Trustees of
2Northern Illinois University, the Board of Trustees of Western
3Illinois University, the Illinois Community College Board and
4the campuses under their governance or supervision shall not
5hereafter undertake the establishment of any new unit of
6instruction, research or public service without the approval of
7the Board. The term "new unit of instruction, research or
8public service" includes the establishment of a college,
9school, division, institute, department or other unit in any
10field of instruction, research or public service not
11theretofore included in the program of the institution, and
12includes the establishment of any new branch or campus. The
13term does not include reasonable and moderate extensions of
14existing curricula, research, or public service programs which
15have a direct relationship to existing programs; and the Board
16may, under its rule making power, define the character of such
17reasonable and moderate extensions.
18    Such governing boards shall submit to the Board all
19proposals for a new unit of instruction, research, or public
20service. The Board may approve or disapprove the proposal in
21whole or in part or approve modifications thereof whenever in
22its judgment such action is consistent with the objectives of
23an existing or proposed master plan of higher education.
24    The Board of Higher Education is authorized to review
25periodically all existing programs of instruction, research
26and public service at the State universities and colleges and

 

 

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1to advise the appropriate board of control if the contribution
2of each program is not educationally and economically
3justified. Each State university shall report annually to the
4Board on programs of instruction, research, or public service
5that have been terminated, dissolved, reduced, or consolidated
6by the university. Each State university shall also report to
7the Board all programs of instruction, research, and public
8service that exhibit a trend of low performance in enrollments,
9degree completions, and high expense per degree. The Board may
10require the elimination of any program of instruction,
11research, or public service at a State university that exhibits
12a trend of low performance or low enrollment. The Board shall
13compile an annual report that shall contain information on new
14programs created, existing programs that have been closed,
15eliminated, or consolidated, and programs that exhibit low
16performance or productivity. The report must be submitted to
17the General Assembly. The Board shall have the authority to
18define relevant terms and timelines by rule with respect to
19this reporting.
20(Source: P.A. 97-610, eff. 1-1-12.)
 
21    (110 ILCS 205/8)  (from Ch. 144, par. 188)
22    Sec. 8. The Board of Trustees of the University of
23Illinois, the Board of Trustees of Southern Illinois
24University, the Board of Trustees of Chicago State University,
25the Board of Trustees of Eastern Illinois University, the Board

 

 

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1of Trustees of Governors State University, the Board of
2Trustees of Illinois State University, the Board of Trustees of
3Northeastern Illinois University, the Board of Trustees of
4Northern Illinois University, the Board of Trustees of Western
5Illinois University, and the Illinois Community College Board
6shall submit to the Board not later than the 15th day of
7November of each year its budget proposals for the operation
8and capital needs of the institutions under its governance or
9supervision for the ensuing fiscal year. Each budget proposal
10shall conform to the procedures developed by the Board in the
11design of an information system for State universities and
12colleges.
13    In order to maintain a cohesive system of higher education,
14the Board and its staff shall communicate on a regular basis
15with all public university presidents. They shall meet at least
16semiannually to achieve economies of scale where possible and
17provide the most innovative and efficient programs and
18services.
19    The Board, in the analysis of formulating the annual budget
20request, shall consider rates of tuition and fees and
21undergraduate tuition and fee waiver programs at the State
22universities and colleges. The Board shall also consider the
23current and projected utilization of the total physical plant
24of each campus of a university or college in approving the
25capital budget for any new building or facility.
26    The Board of Higher Education shall submit to the Governor,

 

 

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1to the General Assembly, and to the appropriate budget agencies
2of the Governor and General Assembly its analysis and
3recommendations on such budget proposals.
4    The Board is directed to form a broad-based group of
5individuals representing the Office of the Governor, the
6General Assembly, public institutions of higher education,
7State agencies, business and industry, statewide organizations
8representing faculty and staff, and others as the Board shall
9deem appropriate to devise a system for allocating State
10resources to public institutions of higher education based upon
11performance in achieving State goals related to student success
12and certificate and degree completion.
13    Beginning in Fiscal Year 2013, the Board of Higher
14Education budget recommendations to the Governor and the
15General Assembly shall include allocations to public
16institutions of higher education based upon performance
17metrics designed to promote and measure student success in
18degree and certificate completion. Public university metrics
19must be adopted by the Board by rule, and public community
20college metrics must be adopted by the Illinois Community
21College Board by rule. These metrics must be developed and
22promulgated in accordance with the following principles:
23        (1) The metrics must be developed in consultation with
24    public institutions of higher education, as well as other
25    State educational agencies and other higher education
26    organizations, associations, interests, and stakeholders

 

 

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1    as deemed appropriate by the Board.
2        (2) The metrics shall include provisions for
3    recognizing the demands on and rewarding the performance of
4    institutions in advancing the success of students who are
5    academically or financially at risk, including
6    first-generation students, low-income students, and
7    students traditionally underrepresented in higher
8    education, as specified in Section 9.16 of this Act.
9        (3) The metrics shall recognize and account for the
10    differentiated missions of institutions and sectors of
11    higher education.
12        (4) The metrics shall focus on the fundamental goal of
13    increasing completion of college courses, certificates,
14    and degrees. Performance metrics shall recognize the
15    unique and broad mission of public community colleges
16    through consideration of additional factors including, but
17    not limited to, enrollment, progress through key academic
18    milestones, transfer to a baccalaureate institution, and
19    degree completion.
20        (5) The metrics must be designed to maintain the
21    quality of degrees, certificates, courses, and programs.
22In devising performance metrics, the Board may be guided by the
23report of the Higher Education Finance Study Commission.
24    Beginning with budget proposals for Fiscal Year 2020, the
25Board of Trustees of the University of Illinois, the Board of
26Trustees of Southern Illinois University, the Board of Trustees

 

 

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1of Chicago State University, the Board of Trustees of Eastern
2Illinois University, the Board of Trustees of Governors State
3University, the Board of Trustees of Illinois State University,
4the Board of Trustees of Northeastern Illinois University, the
5Board of Trustees of Northern Illinois University, and the
6Board of Trustees of Western Illinois University shall submit
7to the Board of Regents no later than the 15th day of November
8of each year their budget proposals for the operation and
9capital needs of the institutions under their governance or
10supervision for the ensuing fiscal year. Each budget proposal
11shall conform to the requirements of this Section.
12    Budget proposals and recommendations for Fiscal Year 2020
13and thereafter shall conform to a funding formula recommended
14by the Board under subsection (a) of Section 9.37 of this Act.
15    Each State university must submit its plan for capital
16improvements of non-instructional facilities to the Board for
17approval before final commitments are made if the total cost of
18the project as approved by the institution's board of control
19is in excess of $2 million. Non-instructional uses shall
20include but not be limited to dormitories, union buildings,
21field houses, stadium, other recreational facilities and
22parking lots. The Board shall determine whether or not any
23project submitted for approval is consistent with the master
24plan for higher education and with instructional buildings that
25are provided for therein. If the project is found by a majority
26of the Board not to be consistent, such capital improvement

 

 

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1shall not be constructed.
2(Source: P.A. 99-655, eff. 7-28-16.)
 
3    (110 ILCS 205/9.37 new)
4    Sec. 9.37. State efficiency and enrollment plan.
5    (a) The Board shall prepare a comprehensive statewide plan
6to increase efficiency and enrollment in public institutions of
7higher education. The plan shall include, but is not limited
8to:
9        (1) support for students in grade 12 who wish to file a
10    Free Application for Federal Student Aid;
11        (2) an opportunity for a student to participate in
12    early enrollment at a public institution of higher
13    education;
14        (3) establishing an awareness program in an effort to
15    market public institutions of higher education to
16    non-traditional students;
17        (4) creating a single application for admission, with a
18    one-time application fee, to be distributed by every public
19    university;
20        (5) identifying programs that exhibit a trend of low
21    performance or enrollment under Section 7 of this Act;
22        (6) ensuring public universities work collectively as
23    partners and with other entities, including those in the
24    private sector, to share resources and deliver programs to
25    enhance learning opportunities for State residents;

 

 

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1        (7) ensuring that academic credits for equivalent
2    courses are appropriately recognized by every public
3    institution of higher education;
4        (8) enhancing and expanding partnerships with public
5    universities and high schools in this State to offer dual
6    credit and dual enrollment opportunities;
7        (9) ensuring academic credits for equivalent courses
8    earned at community colleges are recognized at every public
9    university;
10        (10) developing merit-based financial aid programs to
11    help retain students at public institutions of higher
12    education;
13        (11) recommending a funding formula to the Board of
14    Regents for public universities based upon policy goals
15    that include degree completion and placement;
16        (12) collaborating with government and community
17    organizations to identify pressing and emerging societal
18    needs that can be addressed by public institutions of
19    higher education and devising effective ways to address
20    those needs; and
21        (13) exploring loan forgiveness programs for graduates
22    who work in high-need public sectors.
23    (b) The Board shall submit the plan under this Section to
24the Board of Regents, which shall approve the plan and may make
25any necessary changes. After approval by the Board of Regents,
26the Board shall submit the plan to every public institution of

 

 

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1higher education and may audit public institutions of higher
2education for compliance with this plan.
3    (c) Notwithstanding the funding formula recommended by the
4Board under subsection (a) of this Section, the Board of
5Regents shall not allocate any funds to a public university
6that does not adhere to the plan under this Section.