53H-8-210. Higher education strategic reinvestment.
(1) As used in this section: "Reinvestment funds" means the amount of money the Legislature appropriates to the board for strategic reinvestment in accordance with this section. "Strategic reinvestment plan" means a plan described in Subsectionthat each degree-granting institution develops to reallocate reinvestment funds to certain strategic investments. (3)
(2) The board may transfer to a degree-granting institution the reinvestment funds dedicated to the degree-granting institution if: for the 2026 fiscal year: the respective degree-granting institution provides to the board the degree-granting institution's strategic reinvestment plan; the board approves the degree-granting institution's strategic reinvestment plan; and after receiving a report from the board regarding the strategic reinvestment plan in the meeting of the Executive Appropriations Committee in September 2025, the Executive Appropriations Committee makes a determination that the relevant degree-granting institution's strategic reinvestment plan satisfies the requirements of this section; and for each of the 2027 and 2028 fiscal years: the respective degree-granting institution provides to the board a report on the degree-granting institution's progress in executing the degree-granting institution's strategic reinvestment plan; and after receiving a report from the board regarding the degree-granting institution's execution of the strategic reinvestment plan in the meeting of the Executive Appropriations Committee in September of 2026 and 2027, respectively, the Executive Appropriations Committee makes a determination that the relevant degree-granting institution has progressed in executing the degree-granting institution's strategic reinvestment plan in accordance with this section.
(3) Each degree-granting institution shall: prepare and submit the degree-granting institution's strategic reinvestment plan in accordance with Subsectionsand (c) based on: (3)(b) demonstrated enrollment data; completion rate and timely completion; discipline-related professional outcomes, including placement, employment, licensure, and wage outcomes; current and future localized and statewide workforce demands; program-level cost; and the degree-granting institution's mission and role within the statewide system; in consultation with the board, develop a strategic reinvestment plan that: identifies programs, courses, degrees, departments, colleges, or other divisions of the degree-granting institution, operational efficiencies, and other components of the degree-granting institution's instruction and administrative functions, including dean positions and other administration positions, that merit further investment; identifies programs, courses, degrees, departments, colleges or other divisions of the degree-granting institution, operational inefficiencies, and other components of the degree-granting institution's instruction and administrative functions, including dean positions and other administration positions, that the degree-granting institution will reduce or eliminate to shift resources, in an amount at least equal to the amount of reinvestment funds dedicated to the degree-granting institution, to the strategic investments described in Subsection; (3)(b)(i) retains a core general education curricula that enables students to acquire critical thinking, problem solving, citizenship, communication, and other durable skills; and includes an accounting demonstrating the reallocation of resources from the reduced or eliminated items described in Subsectionto the strategic investments described in Subsectionin the following amounts: (3)(b)(ii) (3)(b)(i) for fiscal year 2026, at least 30% of the total of the reinvestment funds dedicated to the degree-granting institution; for fiscal year 2027, at least 70% of the total of the amount of reinvestment funds dedicated to the degree-granting institution; and for fiscal year 2028, 100% of the total of the reinvestment funds dedicated to the degree-granting institution; and before a date that the board identifies in each of 2026 and 2027, submit to the board a report on the degree-granting institution's progress in executing the degree-granting institution's strategic reinvestment plan, which may include modifications to the plan if the modified plan meets the requirements of this section.
(4) The board shall: during the 2025 fiscal year: establish standards for the reallocations described in the strategic reinvestment plans; and provide guidance to the degree-granting institutions of higher education on metrics and evaluative processes for the degree-granting institutions to use in analyzing programs and budgets to develop the strategic reinvestment plan; review each degree-granting institution's strategic reinvestment plan and approve plans that meet the requirements of this section; and report on each degree-granting institution's strategic reinvestment plan to: in August of 2025, 2026, and 2027, the Higher Education Appropriations Subcommittee; and in September of 2025, 2026, and 2027, the Executive Appropriations Committee.
(5) Each year, after receiving the board report described in Subsection, the Higher Education Appropriations Subcommittee shall make a recommendation to the Executive Appropriations Committee regarding each degree-granting institution's strategic reinvestment plan and compliance with this section. (4)(c)(i) Each year, after receiving the board report described in Subsection, the Executive Appropriations Committee shall make a determination, for each degree-granting institution individually, regarding: (4)(c)(ii) for fiscal year 2026, whether the degree-granting institution's strategic reinvestment plan satisfies the requirements of this section; and for each of fiscal years 2027 and 2028, whether the degree-granting institution has progressed in executing the degree-granting institution's strategic reinvestment plan in accordance with this section.
(6) A degree-granting institution may use reinvestment funds: for the strategic investments described in Subsection; and (3)(b)(i) for the reduced or eliminated items described in Subsectionin the following amounts: (3)(b)(ii) for fiscal year 2026, no more than 70% of the total of the reinvestment funds dedicated to the degree-granting institution; and for fiscal year 2027, no more than 30% of the total of the reinvestment funds dedicated to the degree-granting institution. A degree-granting institution may not supplant or supplement the cost of a reduced or eliminated item described in Subsection: (3)(b)(ii) through a tuition increase; or with any state funds, except in fiscal year 2028, to the extent necessary to allow a student to complete the student's academic program as outlined in the degree-granting institution's approved strategic reinvestment plan.
(7) If a degree-granting institution fails to reallocate resources in accordance with the degree-granting institution's reinvestment plan and this section, in preparing the higher education budgets immediately following the degree-granting institution's failure, the Executive Appropriations Committee shall reduce appropriations for the degree-granting institution's instruction and administration in an amount equal to the amount the degree-granting institution failed to properly reallocate.
(8) Each degree-granting institution shall: establish policies specifically to effectuate the strategic reinvestment plan, and that address the following: reduction or elimination of positions and other personnel decisions; and internal institutional procedures regarding the reduction, elimination, creation, or modification of programs, courses, degrees, departments, colleges, or other divisions of the degree-granting institution; ensure that the policies described in this Subsection: (8)(a) create operational efficiencies in carrying out the strategic reinvestment plan; assist the degree-granting institution to meet the timeframes described in this section and the strategic reinvestment plan; and are consistent with the guidance the board provides in accordance with Subsection; and (4)(a) prepare the policies described in this Subsectionin consultation with the board. (8)(a) A degree-granting institution's policies described in Subsectionmay supersede the following that are inconsistent with the strategic reinvestment plan or the goals of the plan: (8)(a) an existing policy, procedure, or timeframe of the degree-granting institution; and a board policy, if the board determines that superseding the policy is necessary or appropriate. Notwithstanding any other provision of this title, a degree-granting institution may act in accordance with the policies described in this Subsection. (8)