hr1081.html
06 LC 25 4488S

The Senate Finance Committee offered the following substitute to HR 1081:

A RESOLUTION

Creating the Joint Higher Education Finance and Formula Study Committee; and for other purposes.

WHEREAS, the Board of Regents of the University System of Georgia and the Department of Technical and Adult Education provide valuable services to the State of Georgia by providing education and training necessary to enhance job skills; and

WHEREAS, a strong system of higher education enhances Georgiás economy; and

WHEREAS, a number of issues and concerns related to the financing of the Board of Regents of the University System of Georgia have been raised during the 2005 and 2006 regular sessions of the General Assembly; and

WHEREAS, the Board of Regents of the University System of Georgia receives a majority of its funding through a funding formula adopted in 1982 with no comprehensive review or update in the 23 years since; and

WHEREAS, the funding formula adopted for the Department of Technical and Adult Education in 2001 was modeled on the Board of Regents of the University System of Georgia formula and may also need comprehensive review and updating; and

WHEREAS, the Board of Regents of the University System of Georgia and the Department of Technical and Adult Education have been impacted by fluctuations in the economy and resulting reductions in funding; and

WHEREAS, a number of individuals have expressed an interest in including a performance-based component within the financing methodology for both the Board of Regents of the University System of Georgia and the Department of Technical and Adult Education to better link resources provided to outcomes; and

WHEREAS, the Board of Regents of the University System of Georgia and the Department of Technical and Adult Education comprise a significant portion of state bond financing in any given fiscal year; and

WHEREAS, many of these issues and concerns warrant further study during the interim between the 2006 and 2008 regular sessions of the General Assembly; and

WHEREAS, the issues should be studied jointly by the Governor, House, Senate, the Board of Regents of the University System of Georgia, and the Department of Technical and Adult Education to ensure all parties reach a suitable agreement for the future direction and financing of the two higher education entities.

NOW, THEREFORE, BE IT RESOLVED BY THE GENERAL ASSEMBLY OF GEORGIA that there is created the Joint Higher Education Finance and Formula Study Committee to be composed of three members to be appointed by the Speaker of the House of Representatives; three members to be appointed by the Senate Committee on Assignments; three members to be appointed by the Governor; one member to be appointed by the Chancellor of the University System of Georgia; and one member to be appointed by the Commissioner of the Department of Technical and Adult Education. The chairperson shall be elected by the appointed members. The committee shall meet at the call of the chairperson.

BE IT FURTHER RESOLVED that the committee shall undertake a study of the conditions, needs, issues, and problems mentioned above or related thereto and recommend any actions or legislation which the committee deems necessary or appropriate. As a minimum the committee shall:
(1) Conduct a review of the current financing of the Board of Regents of the University System of Georgia and the Department of Technical and Adult Education to include an examination of budgeted revenues and expenditures;
(2) Recommend revisions to the current funding formula used in calculating funding needs for the Board of Regents of the University System of Georgia;
(3) Recommend revisions to the current funding formula used in calculating funding needs for the Department of Technical and Adult Education;
(4) Evaluate alternatives for a performance-based funding component for potential use as a component of the financing methodology for both the Board of Regents of the University System of Georgia and the Department of Technical and Adult Education;
(5) Establish models demonstrating the state-wide effects of proposed recommendations;
(6) Review capital outlay projections and prioritization methodology for the Board of Regents of the University System of Georgia and the Department of Technical and Adult Education; and
(7) Develop, as needed, a prioritized implementation schedule for any proposed changes in financing for the Board of Regents of the University System of Georgia and the Department of Technical and Adult Education.

BE IT FURTHER RESOLVED that the committee may conduct such meetings at such places and at such times as it may deem necessary or convenient to enable it to exercise fully and effectively its powers, perform its duties, and accomplish the objectives and purposes of this resolution. The legislative members of the committee shall receive the allowances provided for in Code Section 28-1-8 of the Official Code of Georgia Annotated. The other members of the committee shall serve without compensation. The funds necessary to carry out the provisions of this resolution shall come from funds appropriated to the House of Representatives and the Senate. The expenses and allowances authorized by this resolution shall not be received by any member of the committee for more than ten days unless additional days are authorized.

BE IT FURTHER RESOLVED that the committee is directed to make a report of its findings and recommendations not later than the convening of the 2008 regular session, at which time the committee shall be dissolved.