General Revenue and ARRA Funds
Senate Bill 1 Appropriations for 2010-11 Compared to 2008-09 Expended/Budgeted Level
|Agencies || 2008-09 || 2010-11* || Difference ||% Change
|Texas AgriLife Research
|Texas AgriLife Extension
|Texas Engineering Experiment Station
|Texas Transportation Institute**
|Texas Engineering Extension Service
|Texas Forest Service***
|Texas Vet. Medical Diagnostic Lab
|Total, Texas A&M System Agencies
*Includes appropriations made in Art. III, Art. IX, and Art. XII of Senate Bill 1.
** Amounts for Texas Transportation Institute include both base funding State Highway Fund 6 and special item funding from General Revenue.
*** Amounts for the 2008-09 expended/budgeted funding level are reduced above by the $13.1 million of one-time reimbursements related to wildfire response made in 2008-09.
The Texas A&M System Agencies funding increases by $22.3 million for agency operations. The increases include $2.2 million for annualizing the across-the-board salary increases provided by the 80th Legislature, $0.6 million for In-Brazos County infrastructure, and $19.5 million for new initiatives. New initiatives include:
- Texas AgriLife Research: $3 million for Research Equipment and Facilities (contingent upon Comptroller's certification of additional General Revenue)
- Texas AgriLife Extension:
o $1 million for Program Delivery System
o $500,000 for Rural Community Economic Development
- Texas Engineering Experiment Station: $5 million for the Nuclear Power Institute ($1 million funded with General Revenue and $4 million funded with one-time ARRA funding)
- Texas Transportation Institute:
o $500,000 for Center for Strategic Transportation Solutions;
o $1 million for Center for Transportation Safety
o $400,000 for a feasibility study on the implementation of a school bus seat belt program
- Texas Engineering Extension Service: $600,000 for Drinking Water Protection Training
- Texas Forest Service: $7 million for Texas Wildfire Protection Plan
- Texas Veterinary Medical Diagnostic Laboratory: $500,000 for Protection of Texas Livestock and Public Health Sectors.
In addition, the 81st Legislature provided additional operating funds for the Texas Wildfire Protection Plan by removing a rider restriction requiring group health insurance contributions to be paid from funds appropriated directly to the Texas Forest Service. Removal of this provision, while not changing the total dollars appropriated, will enable the Texas Forest Service to have approximately $500,000 per year more available for programmatic operations.
Funding for the Rural Volunteer Fire Department Assistance Program increases by $30 million for the biennium based on appropriating all anticipated receipts to the General Revenue Dedicated Volunteer Fire Department Assistance Account. This provides the necessary appropriation authority for a funding mechanism that was approved by the 80th Legislature. HB 4002 by Swinford/Duncan provides that up to $10 million of the Volunteer Fire Department Assistance Fund appropriated to the Texas Forest Service per biennium may be used for the Wildfire Protection Plan
The A&M Agencies also are included in the one-time retention payment for state employees. State employees that are employed continuously between March 31, 2009 and August 1, 2009 and that make less than $100,000 are eligible for a one-time $800 retention payment to be made prior to August 31, 2009. It is estimated that this will total $1.5 million in additional General Revenue for the A&M Agencies in FY2009. This funding is one-time in nature and will not be part of their future base.
Additional funding is provided to the System Offices for operations totaling $12.9m, increasing funding for state supported operations for each system office to $2 million per year. This increase was not provided for the Texas State System. For the Texas A&M University System this results in an additional $1,471,465 each year in General Revenue for system office operations; however, for both UT and A&M Systems, the additional funding is contingent upon decreasing the AUF support by the same amount. The additional funding for the UT System is $1,218,606 per year.
In addition University of North Texas System receives $6.3 million on behalf of UNT - Dallas in Article III and one-time special item funding of $5,000,000 from the ARRA funds in Article XII for the Law School Contingency.
TWO YEAR INSTITUTIONS
Funding for the community colleges is increased by $140.0 million in General Revenue Funds, including $118.5 million to enrich state formula contributions; $15.2 million in formula hold harmless; and $6.0 million to fund a formula-driven Small Institution Supplement. General Revenue Funds for Texas State Technical College increase by $7.3 million, including $1.8 million in the instruction formula to fund 2.0 percent contact hour growth and an additional $4.8 million in formula enrichment, which includes $3.0 million in hold harmless funding. Funding for the Lamar State Colleges increases by $2.15 million.
HIGHER EDUCATION COORDINATING BOARD
Funding for the Texas Higher Education Coordinating Board increased by $384.9 million in General Revenue Funds.
Student Financial Aid funding provided by the Legislature to the Coordinating Board totals over $1 billion, with an increase of $213 million in General Revenue over the 2008-09 biennium. Key increases include:
- TEXAS grant program ($185.9 million),
- B-On-Time Program ($15.0 million),
- Texas Educational Opportunity Grant Program ($10.0 million),
- Teach for Texas Loan Repayment Program ($2.5 million),
- Top Ten Scholarships ($34 million), and
- Texas Armed Services Scholarship Program (HB3452 by Gattis/Ogden) ($2.0 million).
The additional funding for the TEXAS Grant program allows an estimated 35,000 additional students to receive state financial aid. General Revenue-Dedicated Funds for financial aid programs increase by $53.5 million, primarily due to $28.0 million in unexpended balances for the B-On-Time Program and $20.0 million in increased designated tuition set-asides for fiscal years 2010-11 for the program.
Increases in the Coordinating Boards Trusteed Programs for Health Related Programs include:
- Professional Nursing Shortage Reduction Program ($35.0 million) (HB 4471 by Kolkhorst),
- Baylor College of Medicine ($5.7 million),
- Baylor College of Medicine Graduate Medical Education formula allocation ($2.4 million),
- Joint Admission Medical Program ($5.0 million),
- Hospital Based Nursing Grant Program ($5.0 million),
- Family Practice Residency Program ($3.8 million), and
- Alzheimer's Disease Centers ($2.9 million).
Other increases include Adult Basic Education Community College Grants ($10.0 million), Developmental Education Program ($5.0 million), Alternative Teaching Certification Programs ($2.3 million), New Campus Funding ($3.5 million), and General Academic Enrollment Growth ($3.5 million).
The Coordinating Board also is appropriated $50 million in General Revenue in Article IX, contingent upon the enactment of HB 51 by Branch/Zaffirini. This funding is for the Texas Research Incentive Program (TRIP), which will provide emerging research universities with matching funds to assist eligible universities with leveraging private gifts for enhancing research productivity and faculty recruitment. (see "Bills Passed" for more details re HB 51 and its effects.)
The 81st Legislature continued the incentive funding that was strongly supported by Governor Perry and was first funded by the 80th Legislature. In FY2009 $100 million total funding was allocated for incentive funding for the general academics ($80 million) and for Top Ten Scholarships ($20 million). The 81st Legislature continued the $80 million in incentive funding but the funds will be allocated over the two years of the biennium. The $80 million in incentive funding is funded from the ARRA Funds and a like amount of General Revenue that is appropriated in Article III is reduced in Article XII, Section 30 Reduction in Appropriations. An additional $34 million is provided for Top Ten Scholarships in order to continue to fund these scholarships at the FY2009 level and fund two additional cohorts during the 2010-11 biennium.
Key Rider Changes:
Rider 35: Professional Nursing Shortage Reduction Program. The rider directs the allocation of the $49.5 million for this program. Specifically the rider:
- allows the Coordinating Board to use up to five percent of the funding for administrative costs (no change);
- Allocates $7.35 million / year based on increased number of nursing graduates, including institutions with new programs. Up to 50 percent of this part of the program funding can be allocated to community college programs (an increase from 40 percent of the program last biennium).
- Allocates $20.5 million for the biennium to be allocated based on increased enrollment for nursing programs with graduation rates in excess of 70 percent and that meet increased enrollment thresholds, projected at 18% over the biennium (12% in FY2010 and 6% additional increase in FY2011). The funding rate for this piece of the program is $10,000 per increased nursing student.
- Allocates the remaining estimated $9.5 million to programs with graduation rates of less than 70 percent, hospital based diploma programs, or new programs with no established graduation rate. Institutions will receive $20,000 for each additional initial RN graduate in two year programs and $10,000 for each additional graduate in one-year programs. Through an application process to be outlined by the Coordinating Board, institutions will agree to increase graduates by a certain amount and must meet certain benchmarks to receive payment of these funds.
- Allocates a one-time grant of $5 million to UT - Arlington for the Regional Nursing Education Center for the purpose of establishing a simulation learning facility.
Rider 49: Physician Education Loan Repayment Program Retention Rates. Directs the Coordinating Board to report the results of a survey of physicians who have completed a Physician Education Loan Repayment Program contract to practice in a health professional shortage area in exchange for a loan repayment award to determine rates of retention in those shortage areas and counties.
Rider 51: Health-related Formula Cost Matrix Study. Directs the Coordinating Board to conduct a study to validate the relative weights contained in the formula matrix for health-related institutions. The study should provide an "all funds" analysis of the HRI costs.
Rider 52: TSTC "Returned Value" Funding Study. Directs the Coordinating Board to report to the next Legislature on the feasibility of a formula funding model for TSTC based on "returned value." The Coordinating Board will consult with the Comptroller, Texas Workforce Commission (TWC), and the TSTC System for the study. The TSTC System is directed to transfer up to $100,000 in fiscal year 2010 to the CB to cover the costs associated with the study.
Rider 55: Dual Credit. Directs the Coordinating Board to work with the Texas Education Agency to provide data on dual credit, including the following:
a) # of community college contact hours generated by dual credit courses taken on a high school campus and on a CC campus;
b) # of CC districts charging tuition for dual credit courses, and the amount of the tuition; and
c) # of high schools and community colleges that have entered into agreements to offer dual credit courses.
Rider 59: Funding for Non-Semester-Length Developmental Education. Directs the Coordinating Board to approve non-semester-length developmental education interventions in the Lower-Division course guide manual by August 31, 2009. Institutions must analyze the fiscal and instructional impacts on student outcomes for both semester-length and non-semester-length developmental education interventions and report to the Coordinating Board. The Coordinating Board must analyze and compare all institutional reports to determine the most effective and efficient combination of developmental education interventions and make recommendations to the Legislature by January 1, 2011.
Rider 60: Statistical Analysis of Predictors of College Success. Directs the Coordinating Board to provide data to the Legislative Budget Board as requested sufficient to conduct a statistical study of the predictors of access and success in higher education. The Coordinating Board is to assist the Legislative Budget Board in the analysis and interpretation of these data, and a final report is to be submitted to the legislature no later than October 1, 2010.