2015 -- H 5792

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2015

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A N   A C T

RELATING TO EDUCATION -- POSTSECONDARY EDUCATION PERFORMANCE

FUNDING

     

     Introduced By: Representatives McNamara, Naughton, Ruggiero, Amore, and

     Date Introduced: March 05, 2015

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

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     SECTION 1. Title 16 of the General Laws entitled "EDUCATION" is hereby amended

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by adding thereto the following chapter:

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CHAPTER 105

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THE PERFORMANCE FUNDING ACT OF 2015

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     16-105-1. Short title. -- This act shall be known and may be cited as "The Performance

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Funding Act of 2015."

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     16-105-2. Public postsecondary performance-based funding. -- The commissioner of

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postsecondary education is hereby directed to implement a performance-based funding formula

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that meets the requirements of this chapter, in consultation with the council on postsecondary

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education.

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     16-105-3. Performance-based funding – Community College of Rhode Island. – (a)

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Beginning in FY 2018, funding for the Community College of Rhode Island (CCRI) shall include

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a performance-based component utilizing all additional allocations of otherwise unrestricted

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higher education general funds greater than the base amount received pursuant to the FY 2016

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budget as enacted of total unrestricted state higher education funding.

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     (b) Data on which to base performance-based measures as described in subsection (c) of

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this section shall be defined by the commissioner of postsecondary education and begin to be

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collected in the FY 2016. These measures may include and incorporate outcomes or goals from

 

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multiple previous years. The lack of information from previous years, however, will not affect the

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use of performance-based measures.

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     (c) The performance-based measures shall include the following metrics:

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     (1) For first-time, full-time students, the number and percentage, including growth

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thereof, of associate degrees awarded to students within two (2) years and three (3) years,

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including summer graduates; for part-time students, performance-based measures shall be based

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on incremental milestones made toward achieving degree or certificate completion;

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     (2) The number of one-year industry-recognized certificates earned by students within an

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expected amount of time as determined by the commissioner of postsecondary education and

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weighted to increase high demand, high wage field certificates;

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     (3) One measure as agreed to by the president of CCRI and the commissioner of

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postsecondary education; and

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     (4) Any other measures that are deemed appropriate by the council of postsecondary

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education.

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     (d) The commissioner of postsecondary education may assign weights to the

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aforementioned metrics to reinforce the mission of CCRI, the economic needs of the state and the

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socio-economic status of the students.

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     16-105-4. Performance-based funding – Rhode Island College and University of

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Rhode Island. – (a) Beginning in FY 2018, funding for Rhode Island (RIC) and the University of

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Rhode Island (URI) shall include a performance-based component utilizing all additional

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allocations of otherwise unrestricted higher education general funds greater than the base amount

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received pursuant to the FY 2016 budget as enacted, of total unrestricted state higher education

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funding.

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     (b) Data on which to base performance-based measures as described in subsection (c) of

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this section shall be defined by the commissioner of postsecondary education and begin to be

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collected in the FY 2016. These measures may include and incorporate outcomes or goals from

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multiple previous years. The lack of information from previous years, however, will not affect the

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use of performance-based measures.

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     (c) The performance-based measures shall include the following metrics:

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     (1) The number and percentage, including growth of bachelor's degrees awarded to first-

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time, full-time students within four (4) years and six (6) years including summer graduates; and

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     (2) The number of degrees tied to Rhode Island’s high demand, high wage employment

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opportunities;

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     (3) One measure that applies only to RIC as agreed to by the president of RIC and the

 

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commissioner of postsecondary education and one measure that applies only to URI as agreed to

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by the president of URI and the commissioner of postsecondary education; and

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     (4) Any other measures that are deemed appropriate by the council of postsecondary

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education.

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     (d) The commissioner of postsecondary education may assign weights to the

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aforementioned metrics to either or both of the institutions to reinforce the mission of RIC and

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URI, the economic needs of the state and the socio-economic status of the students.

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     16-105-5. Performance not achieved. -- If an institution has failed to meet any of the

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performance metrics set forth in this chapter or as defined by the commissioner of postsecondary

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education, the associated funds shall be distributed to the institution for corrective action and

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oversight by the office of the postsecondary commissioner.

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     16-105-6. Accountability – Authority to revise and transparency. – (a) The

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commissioner of postsecondary education shall monitor, publish and report to the council on

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postsecondary education the level of performance on all metrics identified in this chapter for

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Community College of Rhode Island, Rhode Island College, and the University Rhode Island.

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     (b) The commissioner of postsecondary education shall revise the metrics at a time when

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performance has reached a pre-defined level as determined by the commissioner of postsecondary

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education, in consultation with the appropriate college or university president. Future metrics

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shall further goals identified by the board of education, and the governor's workforce board.

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     (c) Each public higher education institution shall publish its performance on all of its

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associated metrics prescribed in this chapter on its website.

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     16-105-7. State higher education funding formula. -- The commissioner of

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postsecondary education shall develop and present to the board of education and the general

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assembly a proposal for a method for calculating budgetary needs of the public postsecondary

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institutions, that shall include the performance funding component required in this chapter, on or

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before April 1, 2016. Implementation of a state higher education funding formula shall be

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contingent upon the approval of the general assembly.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO EDUCATION -- POSTSECONDARY EDUCATION PERFORMANCE

FUNDING

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     This act would establish "The Performance Funding Act of 2015" to provide a

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mechanism for funding Rhode Island's post-secondary state schools based upon the number of

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students earning degrees and credits at those schools.

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     This act would take effect upon passage.

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