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A05257
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
2171
Session of
2020
INTRODUCED BY SONNEY, TOPPER, SCHROEDER, BENNINGHOFF, BIZZARRO,
BRIGGS, BROWN, DRISCOLL, EVERETT, GAYDOS, HARKINS, JAMES,
JONES, KIM, KORTZ, MASSER, McCLINTON, MILLARD, MOUL,
MUSTELLO, OBERLANDER, OWLETT, PICKETT, RADER, ROAE, ROTHMAN,
ROZZI, SAYLOR, SHUSTERMAN, STAATS AND STRUZZI,
JANUARY 22, 2020
REFERRED TO COMMITTEE ON EDUCATION, JANUARY 22, 2020
AN ACT
Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An
act relating to the public school system, including certain
provisions applicable as well to private and parochial
schools; amending, revising, consolidating and changing the
laws relating thereto," in the State System of Higher
Education, further providing for establishment of the State
System of Higher Education and its institutions, for board of
governors, for the chancellor, for powers and duties of the
board of governors, for councils of trustees, for powers and
duties of councils of trustees and for power and duties of
institution presidents.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 2002-A(a) introductory paragraph of the
act of March 10, 1949 (P.L.30, No.14), known as the Public
School Code of 1949, is amended and the section is amended by
adding a subsection subsections to read:
Section 2002-A. Establishment of the State System of Higher
Education and its Institutions.--(a) Subject to the regulatory
powers conferred by law upon the State Board of Education, there
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is hereby established a body corporate and politic constituting
a public corporation and government instrumentality [which
shall] to be known as the State System of Higher Education,
independent of the Department of Education, hereinafter referred
to as the system, which shall consist of the following
institutions and such other institutions, presently existing [or
newly created, as may hereafter be admitted by the board in
concurrence with other agencies as required by law] or until
changed as provided under subsection (a.1):
* * *
(a.1) In accordance with section 2006-A(a)(13.2), the board
shall develop policies and procedures by which the board may
create, expand, consolidate, transfer, affiliate, dissolve or
close an institution or college. Before the creation, expansion,
consolidation, transfer, affiliation, dissolution or closure of
an institution or college, the board shall assess the respective
university's or college's financial stability, including student
support metrics, student success metrics and financial metrics.
direct the chancellor to conduct a review of the financial
stability of the institution or college utilizing student
support metrics, student success metrics and other financial
metrics and issue a report and recommendation related to the
need for the board to exercise the board's powers under section
2006-A(a)(13.2). The report shall include, but not be limited
to, an analysis of the following:
(1) Enrollment trends.
(2) Projections of revenues and expenditures for the current
year and the next five (5) years, both assuming the continuation
of present operations and as impacted by any recommendation for
the board to exercise the board's powers under section 2006-A(a)
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(13.2).
(3) Assets, liabilities and institutional reserves.
(4) Actions undertaken to improve the financial stability of
the institution or college and the financial impact of those
actions.
(5) Additional actions that could be taken to improve the
financial stability of the institution or college, the projected
financial impact of those actions and whether those actions
would alleviate the need for the board to exercise the board's
powers under section 2006-A(a)(13.2).
(6) The financial impact on the institution or college and
the system if no action is taken by the board to exercise the
board's powers under section 2006-A(a)(13.2).
(a.2) A chancellor shall issue the report required under
subsection (a.1) upon request from the board. Within thirty (30)
days after receipt of the chancellor's report, the board shall
do the following:
(1) Transmit a copy of the report and recommendations to the
following:
(i) chairperson and minority chairperson of the
Appropriations Committee of the Senate
(ii) chairperson and minority chairperson of the Education
Committee of the Senate;
(iii) chairperson and minority chairperson of the
Appropriations Committee of the House of Representatives; and
(iv) chairperson and minority chairperson of the Education
Committee of the House of Representatives.
(2) Make the report and recommendations available for review
and solicit public comment for a period of not less than sixty
(60) days.
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(a.3) The board may hold public informational meetings or
public hearings as part of the comment period under subsection
(a.2)(2). After the public comment period and before any action
may be taken pursuant to section 2006-A(a)(13.2), the board
shall consider comments made during the public comment period
and present an implementation plan at a public meeting subject
to the approval or disapproval by the board. If a majority of
the board votes to approve the implementation plan, the board
shall, within fourteen (14) days, transmit a copy of the final
implementation plan to the following:
(1) Chairperson and minority chairperson of the
Appropriations Committee of the Senate.
(2) Chairperson and minority chairperson of the Education
Committee of the Senate.
(3) Chairperson and minority chairperson of the
Appropriations Committee of the House of Representatives.
(4) Chairperson and minority chairperson of the Education
Committee of the House of Representatives.
* * *
Section 2. Section 2004-A(a)(7) and (b) of the act are
amended, subsection (a) is amended by adding a paragraph and the
section is amended by adding a subsection to read:
Section 2004-A. Board of Governors.--(a) The system shall
be governed and all of its corporate powers exercised by the
Board of Governors, which shall consist of twenty (20) members
to be appointed as follows:
* * *
(7) [Fourteen (14) members shall be appointed by the
Governor with the advice and consent of the Senate of which six
(6) shall be selected from the citizens of the Commonwealth.
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Three (3) members of the fourteen (14) shall be students whose
terms shall expire upon graduation, separation or failure to
maintain good academic standards at their institution and five
(5) of the fourteen (14) shall be trustees of constituent
institutions, however, no more than one trustee representing a
constituent institution. The student members shall be selected
from the presidents of the local campus student government
associations, or their local equivalent.] Eleven (11) members
shall be appointed by the Governor with the advice and consent
of the Senate of which six (6) members shall be selected from
the residents of this Commonwealth and five (5) members shall be
selected from trustees of constituent institutions, except that
no more than one trustee may represent a constituent
institution. A member appointed under this subsection shall have
expertise or substantial experience in one or more area,
including postsecondary education, finance, business, nonprofit
management, law or public administration.
(8) Three (3) of the members shall be students appointed by
the board under section 2006-A(a)(13.4). The student members
shall be selected with the advice and consent of institution
presidents. A student's term shall expire upon graduation,
separation or failure to maintain good academic standing at the
institution in which the student is enrolled.
(b) All members of the board appointed by the Governor[,
except for the students,] shall serve for terms of four (4)
years. The Governor and Secretary of Education shall serve so
long as they continue in office. Members of the board appointed
from the General Assembly shall serve a term of office
concurrent with their respective elective terms as members of
the General Assembly.
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* * *
(d.1) A board member appointed under subsection (a)(7) may
be removed for cause by the Governor. A board member appointed
under subsection (a)(8) may be removed by the board.
* * *
Section 3. Section 2005-A(4) of the act is amended to read:
Section 2005-A. The Chancellor.--The chief executive officer
of the system shall be a chancellor, who shall be employed by
the board in accordance with clause (1) of section 2006-A. In
addition to those prescribed by the board, the chancellor shall
have the following duties:
* * *
(4) The chancellor shall assist the board in its appointment
of the presidents for the constituent institutions by submitting
to the board the name or names of individuals recommended by the
council of trustees [of the appropriate constituent institution
who shall involve students, faculty and alumni in the interview
and selection process used to formulate their recommendation].
The chancellor shall submit to the board the recommended salary
and other proposed terms of each such appointment. The board
shall have the right to refuse the recommendation of the local
council and to request that additional recommendations be
submitted by the council.
* * *
Section 4. Section 2006-A(a) introductory paragraph, (5),
(14) and (15) of the act are amended and the subsection is
amended by adding paragraphs to read:
Section 2006-A. Powers and Duties of the Board of
Governors.--(a) The Board of Governors shall have [overall
responsibility for planning and coordinating the development and
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operation of the system. The powers and duties of the Board of
Governors shall be:] plenary power to make, issue and enforce
board policies, procedures and standards for the full
management, control and conduct of the instructional,
administrative and financial affairs of the system, including
powers and duties:
* * *
(5) To [create] approve new undergraduate and graduate
degree programs, which shall not be subject to the rules and
regulations of the State Board of Education; to approve
extension campuses and new external degree programs subject to
the rules and regulations of the State Board of Education; to
promote cooperation among institutions, including the
development of consortia within the system and other educational
institutions and agencies.
* * *
(13.2) To create, expand, consolidate, transfer, affiliate,
dissolve or close an institution or college.
(13.3) To require institutions to share services and to
participate in collaborations.
(13.4) To appoint student members to the board and councils.
(14) To make all reasonable [rules and regulations] policies
and procedures necessary to carry out the purposes of this
article and the duties of the board.
(15) To do and perform generally all of those things
necessary and required to accomplish the role and objectives of
the system, unless otherwise delegated by the board to the
chancellor.
* * *
Section 5. Sections 2008-A, 2009-A and 2010-A introductory
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paragraph, (1), (2), (5), (10.1), (11), (12), (13) and (14) of
the act are amended to read:
Section 2008-A. Councils of Trustees.--(a) The council of
each of the institutions shall consist of eleven (11) members
who, except for student members, shall be nominated and
appointed by the Governor with the advice and consent of the
Senate. At least two (2) members of the eleven (11) member
council of trustees shall be alumni of the institution. Except
for student trustees, a trustee appointed under this subsection
shall have expertise or substantial experience in one or more
area, including postsecondary education, finance, business,
nonprofit management, law or public administration.
(b) [Ten (10) members of each council shall serve terms of
six (6) years, respectively, and until their respective
successors are duly appointed and qualified. One (1) member of
each council shall be a full-time undergraduate student in good
academic standing, other than freshman, enrolled for at least
twelve (12) semester hours at the institution of which he is a
trustee. The student member shall serve a term of four (4) years
or for so long as he is a full-time undergraduate student in
attendance at the institution of which he is a trustee,
whichever period is shorter, and is in good academic standing.
Vacancies occurring before the expiration of the term of any
member shall be filled in like manner for the unexpired term.
Student members of the Council of Trustees shall be appointed by
the Governor and shall not be subject to Senate confirmation. If
a student member is temporarily unable, for medical or valid
academic reasons, to fulfill the responsibilities of office, the
Council of Trustees may request that the Governor appoint an
otherwise qualified student to serve as an alternate until the
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return of the student member.
(c) The members of each board of trustees of a former State
college or university serving in such capacity on the effective
date of this act shall continue to serve for the balance of
their respective terms.] Ten (10) members of each council shall
serve terms of four (4) years, respectively and until their
respective successors are duly appointed.
(b.1) One (1) member of each council shall be a student
appointed by the board under section 2006-A(a)(13.4). The
student member shall serve a term of four (4) years or for so
long as the student is a full-time student in attendance at the
institution of which the student is a trustee, whichever period
is shorter, and is in good academic standing. If a student
member is temporarily unable, for medical or valid academic
reasons, to fulfill the responsibilities of office, the Council
of Trustees may appoint an otherwise qualified student to serve
as an alternate until the return of the student member.
(b.2) A trustee appointed under subsections (a) and (b.1)
may be removed for cause by the board Governor .
(b.3) Vacancies occurring before the expiration of the term
of any member shall be filled in like manner for the unexpired
term.
(d) Six (6) members of a council shall constitute a quorum.
Each council shall select from its members a chairperson and a
secretary to serve at the pleasure of the council. Each council
shall meet at least quarterly, and additionally at the call of
the president, or its chairperson, or upon request of three (3)
of its members.
Section 2009-A. Powers and Duties of Councils of Trustees.--
(a) In accordance with [the rules and regulations] policies,
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procedures and standards adopted by the board, the council of
each institution shall have the power and its duty shall be:
(1) To make recommendations to the chancellor for the
appointment[,] and retention [or dismissal] of the president
following [consultation with] input by students, faculty, staff
and alumni.
(1.1) To make recommendations to the chancellor for the
dismissal of the president.
(2) To assist the president in developing proper relations
and understanding between the institution and its programs and
the public, in order to serve the interests and needs of both.
[(3) To review and approve the recommendations of the
president as to standards for the admission, discipline and
expulsion of students.]
(4) To review and [approve the recommendations of] provide
input to the president pertaining to policies and procedures
governing the use of institutional facilities and property.
(5) To approve schools and academic programs.
(6) To review and approve the recommendations of the
president pertaining to annual operating and capital budget
requirements for forwarding to the board.
(7) To review and approve charges for tuition, room and
board and other fees except student activity fees and any fees
related to the provision of contracted health services.
[(8) To conduct an annual physical inspection of facilities
and make recommendations regarding maintenance and construction
to the board.]
(9) To review [and approve all] contracts and purchases
negotiated or awarded by the president, including any contract
or purchase reports, with or without competitive bidding and all
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contracts for consultative services entered by the president.
(10) To represent the institution at official functions of
the Commonwealth.
(11) To take such other action as may be necessary to
effectuate the powers and duties herein delegated.
(12) In accordance with the evaluation procedure established
by the board each council shall conduct an evaluation of the
president and forward the results of that evaluation with
recommendation to the chancellor for submission to the board.
(13) By resolution adopted by the council to authorize
campus police who have completed firearms training in accordance
with 53 Pa.C.S. ยง 2167(a) (relating to police training) to carry
firearms in the course of duty for any institution whose campus
police are authorized to carry firearms on the effective date of
this paragraph, the authority to carry firearms shall remain in
effect unless the council by resolution dissolves such
authority.
Section 2010-A. Power and Duties of Institution
Presidents.--The president of each institution shall be
appointed by the board. The president shall be the chief
executive officer of that institution. [He] The president shall
have the right to attend all meetings of the council of that
institution and shall have the right to speak on all matters
before the council but not to vote. Subject to the stated
authority of the board and the council, each president shall
have the following powers and duties:
(1) Except insofar as such matters are governed by
collective bargaining agreements entered pursuant to the act of
July 23, 1970 (P.L.563, No.195), known as the "Public Employe
Relations Act," and subject to the policies of the board, to
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appoint such employes, professional and noninstructional,
graduate assistants, etc. as necessary, to fix the salaries and
[benefits of employes, professional and noninstructional, and to
establish policies and procedures governing employment rights,
promotion, dismissal, tenure, leaves of absence, grievances and]
salary schedules.
(2) To make and implement specific campus policies
pertaining to instructional programs, research programs and
public service programs and define academic standards in
accordance with policies of the board [following consultation
with the council, faculty and students].
* * *
(5) To establish policies and procedures governing the use
of institutional facilities and property in [accordance with
guidelines established by] consultation with the local council.
* * *
(10.1) Within the limitations of the operating budget and
other available funds in accordance with the procedures
established by the board [and with the approval of the local
council,] to negotiate and award all contracts for equipment,
services and supplies in excess of a cost of a base amount of
eighteen thousand five hundred dollars ($18,500), subject to
adjustment under section [120] 2003-A.1(c.3), on a competitive
bid basis [and]. Contracts to purchase instructional,
educational, extracurricular, technical, administrative,
custodial and maintenance equipment and supplies not in excess
of a cost of a base amount of eighteen thousand five hundred
dollars ($18,500), subject to adjustment under section [120]
2003-A.1(c.3), may be procured, without competitive bidding,
except that such items shall not be bought in series to avoid
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the dollar ceiling.
(11) To cooperate with and accept grants and assistance from
Federal and State agencies, local governments or other political
subdivisions, foundations, corporations, or any other source for
any of the lawful purposes of the institution. Each institution
shall have the power to bank and use such grants as directed by
the grantor in accordance with applicable board policy and
subject to the limitations of this act[, except that grants and
assistance from sources other than State agencies, local
governments or other political subdivisions shall not be subject
to the provisions of clause (10)]. All moneys received from
sources authorized by this section are hereby appropriated to
each of the several institutions granted such moneys. All such
moneys shall be subject to audit by the Auditor General.
(12) To authorize personnel to travel within or without the
Commonwealth at institutional expense [in accordance with
regulations of the council].
(13) Within the limitations of the operating budget and
other available funds, to enter into contracts for consultative
service [not to exceed five thousand dollars ($5,000) per
contract].
(14) To enter into contracts [in accordance with policies of
the council,] to enable students to engage in student teaching
or other training in order to obtain experience in a particular
field.
* * *
Section 6. All acts and parts of acts are repealed and all
regulations and parts of regulations are abrogated insofar as
they are inconsistent with this act.
Section 7. This act shall take effect in 60 days.
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