DAYTONA STATE COLLEGE DISTRICT BOARD OF TRUSTEES 2011 LEGISLATIVE SESSSION SUMMARY

1. DAYTONA STATE COLLEGE DISTRICT BOARD OF TRUSTEES 2011 LEGISLATIVE SESSSION SUMMARY SHARON CROW, VICE PRESIDENT, GOVERNMENTAL RELATIONS

2. 2011 LEGISLATIVE SESSION SUMMARY OPERATING BUDGET *Rounded

3. 2011 LEGISLATIVE SESSION SUMMARY OTHER FUNDING *Included in previous slide total state funds

4. 2011 LEGISLATIVE SESSION SUMMARY TUITION & FEE PROPOSAL • Legislative authority to increase tuition by 8% • Legislative authority to charge $30 per term for adult education programs ($90 out-of-state) • These fees can only be spent on adult education programs • No discretionary fees are authorized for adult education

5. 2011 LEGISLATIVE SESSION SUMMARY PUBLIC EDUCATION/CAPITAL OUTLAY (PECO)

6. 2011 LEGISLATIVE SESSION SUMMARY Other “Implementing”, “Proviso” or “Conforming” Issues • Requirement for a space utilization study in “off hours”. • Boards must provide written notification to the Governor, Senate President and House Speaker if any program or project is reduced by more than 10% during FY 2011-12. • Requires the Council of Presidents to recommend a facilities funding formula by December 31, 2011.

7. 2011 LEGISLATIVE SESSION SUMMARY “Implementing”, “Proviso”, “Conforming” (cont’d) • Temporary suspension of Matching Funds programs. • Reduced state funding for salaries above $200,000 for one year.

8. 2011 LEGISLATIVE SESSION SUMMARY BRIGHT FUTURES AWARD AMOUNTS Additional stipend for Top Scholars shall be $43 per credit hour.

9. 2011 LEGISLATIVE SESSION SUMMARY SUBSTANTIVE BILLS PASSED • HB 7151 – Higher Education • Removes references to CLAST test • Provides that Boards of Trustees may ask the Commissioner of Education to authorize the investigation of a college president. • Codifies Articulation Coordinating Council

10. 2011 LEGISLATIVE SESSION SUMMARY • HB 7151 (continued) • Higher Education Coordinating Council • Recommendations regarding • Core missions of public and non-public postsecondary institutions related to access and economic development • Performance outputs and outcomes measures; allow for comparisons to other states • Articulation polices • Plan for aligning workforce programs and data in school district Career Technical Centers with Florida College workforce programs

11. 2011 LEGISLATIVE SESSION SUMMARY • SB 2100 – Florida Retirement System • Beginning July 1, 2011, requires each FRS employee to contribute 3%; does not apply to DROP participants • Average Final Compensation (AFC) definition changed to highest 8 fiscal years of compensation for creditable service for new employees, July 1, 2011 • Employees enrolled prior to July 1, 2011 continue to have AFC at 5 fiscal years of compensation.

12. 2011 LEGISLATIVE SESSION SUMMARY • SB 2100 (continued) • New employees on or after July 1, 2011 will vest upon completion of 8 years of creditable service in the FRS defined benefit (newly named Pension Plan) plan. • Existing employees vesting will remain at 6 years. • New employees on or after July 1, 2011 will vest fully and immediately in all employee contributions in the FRS defined contribution plan. • Vesting in employer contribution upon completion of 1 year under this plan

13. 2011 LEGISLATIVE SESSION SUMMARY • SB 2100 • Retirement Age • Employees enrolled on or after July 1, 2011, the normal retirement age and years of service increase as follows:

14. 2011 LEGISLATIVE SESSION SUMMARY • SB 2100 (continued) • Continues DROP but new enrollees on or after July 1, 2011 will earn 1.3% guaranteed return rather than the current 6.5% which DROP participants enrolled prior to July 1, 2011 will continue to earn. • COLA • Eliminates accrual for service earned on or after July 1, 2011. • Current employees will continue to earn the COLA they have gained prior to July 1, 2011 • Health Insurance Subsidy – no changes

15. 2011 LEGISLATIVE SESSION SUMMARY • SB 2120 – K-12 Education Issues • Summary for the Board will be provided if requested • HB 331 – Revises Fire Safety in higher education buildings; removes duplicative reporting. • SB 1546 – Charter Schools • Summary for the Board will be provided if requested • HB 7197 Digital Learning (High School) • Summary for the Board will be provided if requested

16. 2011 LEGISLATIVE SESSION SUMMARY • HB 1255 – Educational Accountability • Numerous school district provisions; summary to be provided to Board upon request • Eliminates the requirement for the Education Commissioner to review annual operating budgets presented by District Boards of Trustees • Revises provisions relating to general requirements for high school graduation and provides that a high school student may be exempt from reading remediation under certain circumstances

17. 2011 LEGISLATIVE SESSION SUMMARY • HB 1255 (continued) • Requires all high school students to be evaluated for remediation needed prior to high school graduation; these students may not be retested when entering a Florida College. • Specifies parental consent for accelerated learning course enrollment. • SB 2096 • Clarifies transparency requirements for educational institutions

18. 2011 LEGISLATIVE SESSION SUMMARY • SB 88 – Public employee bonuses or severance pay • Amends current statute to prohibit extra compensation claims for public employees to include “bonuses” and “severance” pay. • Requires that any policy or procedure developmedto implement a bonus or severance scheme must: • Base the award of a bonus on work performance • Describe standards/evaluation for bonus to be paid • Notify all employees of the policy at the beginning of the evaluation period • Consider all employees for the bonus

19. 2011 LEGISLATIVE SESSION SUMMARY • SB 88 (continued) • Requires that any new or renewed contract entered into after July 1, 2011 that includes provisions for severance, must include the following: • A requirement that severance pay may not exceed an amount greater than 20 weeks of compensation • A prohibition of provision of severance when the employ has been fired for misconduct • After July 1, 2011, allows employees to receive severance pay where not provided for by contract, of up to 6 weeks, provided it is paid in settlement of an employment dispute and no settlement agreement may be held confidential. (clarifies that this does not create and entitlement to severance pay)

20. 2011 LEGISLATIVE SESSION SUMMARY • SB 88 (continued) • Defines severance pay as the actual or constructive compensation, including salary, benefits, or prerequisites for employment services yet to be rendered which is provided to an employee who has recently or is about to be terminated.

21. 2011 LEGISLATIVE SESSION SUMMARY • HB 7005 – Unemployment compensation • Benefits • Allows a maximum of 23 weeks for unemployment benefits earned only if the jobless rate reaches 10.5% or higher • Minimum of 12 weeks if the unemployment rate is 5% or lower • Projected to save employers $18 per employee in unemployment taxes

22. 2011 LEGISLATIVE SESSION SUMMARY • SB 234 Open Carry Weapons • As originally filed, would have provided that a person who holds a valid concealed weapon or firearm license could carry a weapon or firearm openly, including within a career center, a college or university, and nonpublic elementary of secondary school facilities. This was amended out. • Provides that a person who holds a permit as listed above may carry openly on any public property and when, permissible, on private property as well. • The weapon may be briefly, accidently displayed but not in a threatening or angry manner.

23. 2011 LEGISLATIVE SESSION SUMMARY • HB 599 – Florida Uniform Prudent Management of Institutional Funds • Makes Florida’s not-for-profit law consistent with national standards for the management of endowment funds (already adopted in 47 other states) • Applies to all charitable institutions • Expands types of assets that can be in the organization’s portfolio

24. 2011 LEGISLATIVE SESSION SUMMARY • HB 599 (continued) • Allows pooling of funds for purposes of managing and investing • Delineates factors to be considered prior to expenditure of funds • Provides new procedures for releasing restrictions on small institutional funds • Provides for modification of restrictions on the use of endowment funds

25. 2011 LEGISLATIVE SESSION SUMMARY SUBSTANTIVE BILLS FAILED • HB 7193 – Tenure Bill • Would have eliminated tenure and multi-year contracts for Florida College faculty and staff • Would have required one year probationary contract for all newly employed faculty and staff and allowed annual contracts after successful probation

26. 2011 LEGISLATIVE SESSION SUMMARY • HB 523 – Capital Improvement Fee • Would have allowed colleges that have less than 65% of space needs met the ability to raise the capital improvement fee to 20%. • Fee would be collected up to 5 years • Funds exceeding 5% of the tuition for students could not be bonded

27. 2011 LEGISLATIVE SESSION SUMMARY • HB 5005/5007 Deregulation of professions • Would have eliminated licensure requirements for several professions for which educational institutions provide training • Major concern to students and faculty in these professions • Reduced some continuing education requirements • SB 386 Buy Florida Procurement Act • Would have given preference to Florida businesses

28. 2011 LEGISLATIVE SESSION SUMMARY QUESTIONS?