Tuition Moderation Incentive Fund

Item 254.10 #1h

Language
Page 224, after line 5, insert:
"A.1.
Out of this appropriation, $20,350,000 the each year from the general fund is designated for the Higher Education Tuition Moderation Incentive Fund with potential allocations to public colleges and universities as follows:
Institution Annual Amount
Christopher Newport University  $670,000
College of William and Mary  715,000
George Mason University  1,900,000
James Madison University  1,180,000
Longwood University 615,000
University of Mary Washington  440,000
Norfolk State University  245,000
Old Dominion University  1,280,000
Radford University  580,000
University of Virginia  1,855,000
University of Virginia at Wise  120,000
Virginia Commonwealth University  1,560,000
Virginia Military Institute  130,000
Virginia Polytechnic Institute & State University  2,945,000
Virginia State University  310,000
Richard Bland College  45,000
Virginia Community College System  5,760,000
Total $20,350,000
2. Allocations listed in paragraph A.1. of this item shall be granted to public colleges and universities each year so long as they do not increase tuition and mandatory E & G fees for in-state undergraduate students in that year.
3. The State Council of Higher Education for Virginia (SCHEV), in conjunction with the Department of Planning and Budget (DPB), shall determine whether each public college and university has met the tuition requirements of this fund. SCHEV shall report its findings to the Governor, the Chairmen of the House Appropriations and Senate Finance Committees, and the Director of the Department of Planning and Budget by August 15 of each fiscal year.
4. Upon certification by SCHEV and DPB that the requirements in paragraph E.2. have been met, the Director, Department of Planning and Budget, shall transfer the amounts listed above to each of the certified institutions.
5. In each year, any funds in paragraph A.1. not allocated pursuant to the requirements of paragraphs A.2. and A.4. shall be proportionally redistributed among the institutions that have met the requirements of paragraphs A.2. and A 4.
6. No institution shall be eligible for an allocation in the second year, if the average increase in tuition and mandatory E & G fees for in-state undergraduate students over the biennium is greater than five percent.  For this purpose, the average increase in tuition and mandatory E & G fees for in-state undergraduate students over the biennium is defined as the increase imposed in the first year plus the increase imposed in the second year divided by two.
7. SCHEV shall evaluate the nongeneral fund component of educational and general program in this budget.  The intent of the General Assembly is that nongeneral fund appropriations in the educational and general program approximate actual revenue collections for that fiscal year.  SCHEV shall report its findings and recommendations for adjustments to the nongeneral fund educational and general program appropriation to meet the legislative intent by October 1, 2008.  The Department of Planning and Budget and public colleges and universities shall cooperate with SCHEV to this end.  No adjustments to nongeneral fund appropriations in the educational and general program shall be implemented without review by SCHEV.   All requested and recommended adjustments shall be reported to the Chairman of the House Appropriations and Senate Finance Committees quarterly during the fiscal year."

Explanation
(This amendment provides for a tuition moderation incentive fund in each year of the biennium. The State Council of Higher Education for Virginia (SCHEV) will certify that an institution has met the requirements of this item by August 15 of each year. Once certified by SCHEV, each institution will receive its allocation. If an institutions chooses to not participate in this program based on the decision of its Board of Visitors, then its allocation will be proportionally awarded among the institutions that have met the requirements of the tuition incentive moderation fund.)