B OARD of G OVERNORS

1. BOARD ofGOVERNORS State University System of Florida State University System 101 Tim Jones, Vice Chancellor Finance & Administration June 2, 2019 www.flbog.edu

2. Q & A • Which state is recognized by US News & World report as the Number 1 higher education system in the country? • How many members are on the university board of trustees? • Where does Florida Undergraduate tuition rank nationally? • Where does the SUS rank nationally on 6-year graduation rates among the 10 largest states? • What is the SUS total operational budget?

3. State Organizational Structure

4. Florida Higher Education Governance • Board of • Governors • Constitutional • 12 State Universities • State Board of Education • Constitutional • K-12 • 28 Colleges • Information Systems • Articulation • Independent Colleges and Universities of Florida • 31 Institutions

5. Article IX, Section 7 – Florida Constitution • Board of Governors – 17 Members • Operate • Regulate • Control • Board of Trustees – 13 members • Administer

6. Boards of Trustees Powers and Duties Regulation 1.001, University Board of Trustees Powers and Duties, includes: • University Administration and Oversight • Academic Programs and Student Affairs • Personnel • Financial Management • Property and Purchasing • Compliance

7. SUS 2018-2019 Operating Budget - $13.8 Billion Collects & distributes income from faculty billings for patient services performed at medical schools or clinics General Revenue, lottery and tuition appropriations Financial aid, student activities, athletics, technology, concessions, Board approved fees Housing, parking, food services, bookstores, continuing education and other auxiliary units that support the university Federal, state or local

8. SUS 2018-2019 Operating Budget - $13.8 Billion

9. SUS 2018-2019 Education & General Operating Budget

10. SUS 2018-2019 Fixed Capital Outlay

11. Legislative Budget Process Legislative Budget Requests • Legislative Budget Requests are submitted to the Governor, Senate & House of Representatives • Governor submits budget recommendations to Senate & House of Representatives • Senate & House budget committees hold public meetings to workshop budget issues • Senate & House each pass their own budget bills • House & Senate members hold public meetings to work out the differences between the budgets • A final budget bill called the General Appropriations Act is passed by the Senate & House • The final budget is then sent to the Governor who has line item veto power Governor Governor’s Recommended Budget Senate House Budget Committee Meetings Budget Committee Meetings Senate Budget Bill House Budget Bill General Appropriations Act Governor

12. 2019-2020 Legislative Appropriation • $5.1 billion E&G budget – Net Increase of $69.5 M • $560 M for Performance-based funding • ($35 M) base budget reduction • $104 M for specific university initiatives • Fixed Capital Outlay: • $84.4 M for 6 university fixed capital outlay projects • No funds for maintenance, repair or renovation

13. Senate Bill 190 Operations: • 7% minimum fund balance • Carryfoward can be spent on renovation, repair and maintenance • Timeline for completion of each project Fixed Capital Outlay: • Develop a points based priority system for requesting funds • 6 criteria to consider

14. Performance-based Funding in the US (FY 2018) Source: https://www.thirdway.org/report/lessons-learned-a-case-study-of-performance-funding-in-higher-education

15. Board of Governors Performance Funding Model

16. Board of Governors Performance Funding Model

17. History of Institutional & State Investments in Performance Based Funding

18. Performance Funding Metric Improvement Strategic Plan Goal: 90% 10 point Benchmark: $40,700 10 point Benchmark: $9,000 Strategic Plan Goal: 50%

19. Performance Funding Metric Improvement Strategic Plan Goal: 50% Strategic Plan Goal: 90% Strategic Plan Goal: 80% Strategic Plan Goal: 60%

20. Performance Funding Allocation Methodology Old vs. New • 2018-19 (& earlier) Allocation Methodology: • Universities scoring 50 points or less must do an improvement plan. • Universities not earning the required 50 point threshold or the three lowest scores will not receive any of the state investment. • Universities receive state investment funds proportional to their existing base. • The three highest scores are eligible for additional state investment funds based on points earned. • Tie breaker used to determine bottom 3 and top 3 • 2019-20 Allocation Methodology: • Universities scoring 50 points or less must do an improvement plan. • No Bottom 3 Requirement. • Top 3 scores and universities w/ increased scores receive state inv. • University score that decreased or stayed the same for 2 consecutive years, must complete a student success plan to receive state inv. • University score below 70 could receive up to 50% of the state investment after completing a student success plan • Universities receive state investment funds proportional to their existing base. • No tie breaker needed

22. BOARD ofGOVERNORS State University System of Florida www.flbog.edu