Riders: Article III Special Provisions »

The following summarizes the changes to the Article III Special Provisions:

Several sections are modified to eliminate the phrase “it is the intent of the Legislature” and add language to make those provisions a directive to institutions and their use of appropriated funds.  This change is made to make the riders meet constitutional requirements.

Changes to specific sections include:

Section Sec. 22. Unsponsored Charity Care Reporting Requirement.  Combines the current Section 22 (Elements of Unsponsored Charity Care) with current Sections 23 (Unsponsored Charity Care Reporting Requirement) and 24 (Patient Income Eligibility Guidelines) into one provision.  No substantive changes.

Sec. 28. General Academic Funding. 
Provides funding rates for formulas for 2008-09:

  • Instruction and Operations Support - $59.02 / weighted SCH, including the weight of $14.24 for Veterinary Medicine;
  • Teaching Experience Supplement – 10 percent; and
  • Infrastructure Support - $6.19 per square foot.

Updates the matrix to use the relative cost-based matrix weights.  These new cost-based weights use the average of three years of expenditure data and phase the new rates in 75 percent.
Adds a new subsection that states that the formulas shall incorporate the Coordinating Board recommendations for A&M Galveston’s mission specific formula funding.

Sec. 29. Health Related Institutions Funding.
Provides funding rates for health institutions funding formulas for 2008-09: 

  • Instruction and Operations - $10,841 per weighted student;
  • Infrastructure Support - $7.98 per square foot for all institutions excluding UT M.D. Anderson Cancer Center and UT Health Center at Tyler; the rate for those two institutions is $7.20 per square foot;
  • Research Funding - $1,412,500 plus 1.5 percent of research expenditures; and
  • Graduate Medical Education Formula – for each year of the 2008-09 biennium the appropriations are $5,634 per resident. 

Mission Specific Funding.  The Legislature establishes a pilot program for funding providing base funding for The University of Texas M.D. Anderson Cancer Center based on the total number of Texas cancer patients served and limits the growth in funding from one biennium to the next to the average growth in funding for all health related institutions in the Instruction and Operations formula for the current biennium.  The mission specific formula for The University of Texas Health Center at Tyler remains structurally the same but with funding rates of $6.68 per primary chest diagnosis in FY2008 and $6.18 in FY2009.

Sec. 35. Endowed Chairs. Eliminated the intent language directing Baylor College of Medicine, Houston; University of Texas Health Science Center at Houston; University of Texas Medical Branch at Galveston to pursue an equal amount of $1 million in matching funds from the Institute of Rehabilitation and Research for each institution.

Sec. 50.  Contingent Appropriation for Small Business Development Centers.  Modifies amounts appropriated to each Small Business Development Center to reflect current estimates by the Comptroller’s Office.  Adds two new subcenters: 

  • Tarelton State University to the SBDC lead by Texas Tech and
  • Texas A&M International to the SBDC lead by UT San Antonio

Sec. 53.  Texas A&M System Agencies’ Infrastructure Support Inside Brazos County.  New rider that links the A&M System Agencies’ Infrastructure funding for facilities located inside Brazos County to the funding rate for Texas A&M University times the projected square feet as determined by the Space Projection Model developed by the Coordinating Board.

Sec. 54.  Special Item Appropriations.   Lists $123 million in additional appropriations made to various institutions.  The Governor vetoed $35 million of these items.  The items are listed below with vetoed items marked through:

The University of Texas at Austin Marine Science Institute $2m
The University of Texas at Dallas Science Engineering and Math $2m
The University of Texas at San Antonio San Antonio Life Science Institute $3m
The University of Texas - Tyler Institutional Enhancement $1.5m
Texas A&M University Summer School $3m
Prairie View A&M University Agriculture Match $4m
Prairie View A&M University Community Development $0.1m
Texas A&M University Kingsville Wildlife Research $0.1m
Texas A&M International University Student Success $5m
West Texas A&M University Engineering Program $5m
University of Houston - Victoria Master's Degree in Nursing $1.1m
University of Houston Wind Energy $5m
Texas Tech University Institutional Enhancement $5.2m
Angelo State University Institutional Enhancement $1m
Angelo State University Museum of Fine Arts $0.3m
Texas State University - San Marcos School Safety Center $3m
Texas State University System System Operations $1.7m
Texas Tech University System System Operations  $3.2m
University of Houston System System Operations $0.5m
University of North Texas System System Operations $1.6m

Sec. 55. Higher Education Incentive Funding.  Combines the following four items into the Higher Education Incentive Funding:

  • Texas Competitive Knowledge Fund
  • Research Development Fund – This subsection outlines the amounts appropriated to each institution in their bill patterns for the Research Development Fund.  The Legislature increased funding for this fund by $38 million.
  • Professional Nursing Shortage Reduction Program – This section includes the funding appropriated to the Coordinating Board for this program in the incentive funding initiative.
  • Higher Education Performance Incentive Initiative – This subsection appropriates $100 million for improvement in teaching and educational excellence at the general academic institutions.

Deleted Sections

  • Status of Endowed Chairs at General Academic Institutions (relating to donor notification)
  • A&M Service Agencies’ Infrastructure (relating to outside Brazos County infrastructure)
  • Donations for Scholarships (relating to donor notification)
  • Performance Reporting (relating to LBB/CB performance measure alignment)
  • Mission Specific Support (relating to the CB’s A&M Galveston study)
  • Benefits Proportionality for Institutions of Higher Education (relating to APS 001 reporting)