January 27 – January 31, 2025
Appropriations Subcommittees
The Higher Education Appropriations Subcommittee (HEAS) began hearing presentations on Monday, January 27, from USHE’s Talent Ready Utah, which included an overview from Representative Val Peterson about HB 260, First Credential Program.
Institutional presentations during week two at HEAS included Bridgerland Technical College, Ogden-Weber Technical College, Salt Lake Community College, Snow College, Southern Utah University, the University of Utah, Utah State University, and Utah Tech University. The Office of the Legislative Fiscal Analyst provided headcount and budget details for each institution, and each institutional president presented their respective institution’s response to LFA-presented data, updates on performance metrics, data on student financial aid and scholarships, student job placement data, updates on previous years’ funding items, and 2025 General Session budget requests as approved by the Utah Board of Higher Education.
HEAS also heard legislator-initiated Requests for Appropriations (RFAs) from Senator Fillmore for the development and management of the Center for Healthy and Meaningful Play at Utah State University and from Senator Owens to supportUtah college and university rodeo teams.
Week 3 presentations will include Davis Technical College, Dixie Technical College, Mountainland Technical College, Tooele Technical College, Southwest Technical College, Uintah Basin Technical College, Utah Valley University, and Weber State University.
On January 30 and February 3, the Transportation and Infrastructure Appropriations Subcommittee heard proposals for capital projects from Dixie Technical College, Salt Lake Community College, Snow College, Southern Utah University, the University of Utah, Utah State University 1 and 2, Utah Tech University, Utah Valley University, and Weber State University.
View all previous HEAS meeting agendas and materials.
Upcoming HEAS Meetings:
8 a.m.
Legislation of Interest
HB 1 — Higher Education Base Budget (Representative Karen Peterson, Senator Ann Millner): Provides appropriations for the use and support of higher education agencies and institutions and for other purposes as described (appropriates $147,689,300 in operating capital budgets for FY 25, appropriates $7,397,000 in restricted fund and account transfers for FY 25, appropriates $2,868,144,100 in operating and capital budgets for FY 26, and appropriates $57,779,000 in restricted fund and account transfers for FY 26). Provides an estimate of the total budgets for higher education institutions and provides intent language. This bill has passed both houses and has been sent to the Office of Legislative Research and General Counsel for enrolling.
HB 40, 1st Substitute — School Safety Amendments (Representative Ryan Wilcox): Adds the Commissioner of Higher Education or Commissioner’s designee to the membership of the School Security Task Force. Creates a Higher Education Advisory Board under the School Security Task Force. Requires state institutions of higher education to annually conduct a comprehensive safety needs assessment and annually submit assessment results to the respective institution’s board of trustees, the Utah Board of Higher Education, and the School Security Task Force. Requires the Utah Board of Higher Education to ensure institutions comply with these requirements, coordinate resources to assist institutions in implementing safety improvements, facilitate sharing of best practices among institutions, and establish policies for maintaining confidentiality of sensitive security information contained in these safety assessments.
HB 107 — University Facilities Financing Amendments (Representative Neil Walter): Repurposes the Higher Education Capital Projects Fund into a loan program and provides for the terms of the loan. This bill was assigned to a standing committee but was not heard in committee.
HB 131 — Talent Ready Utah Program Amendments (Representative Val Peterson, Senator Ann Millner): Clarifies that an advisory council under the Talent Board shall have a minimum of four members. Clarifies that engineering and computer technology are included in the list of talent advisory councils. This bill has passed the House.
HB 142 — Service Member and Veteran Amendments (Representative Jordan Teuscher): Removes residency requirement for in-state tuition at a state institution of higher education for active military members, veterans, and their families.
HB 157 — Energy Education Amendments (Representative Colin Jack, Senator Derrin Owens): Requires the Department of Energy to develop energy-related workforce development programs and facilitate collaboration among higher education institutions, elementary schools, secondary schools, and industry. This bill received a favorable recommendation from the House Education Committee on January 23.
HB 160 2nd Substitute — Professional License Degree Amendments (Representative Stephanie Gricius): Amends certain processes and procedures related to licensing requirements for architects, environmental health scientists, engineers, land surveyors, accountants, and geologists. This bill received favorable recommendation from the House Business, Labor, and Commerce Committee on January 31.
HB 168 — Artificial Intelligence in Higher Education (Representative Ariel DeFay): Creates the Artificial Intelligence in Education Task Force. Task Force responsibilities include making recommendations to the Legislature, public education institutions, and higher education institutions on policies related to the use of AI, including guidelines for AI use in educational settings and protections for student privacy and data security. Task Force membership shall include the Commissioner of Higher Education or Commissioner’s designee and two higher education staff institutional staff members appointed by the Board of Higher Education.
HB 210 1st Substitute — Higher Education Board of Trustees Amendments (Representative Joseph Elison): Requires that a degree-granting institution’s Board of Trustees member shall be a Utah resident (with the exception of the two ex officio members – the president of the institution’s alumni association and the institution’s student body president). Requires that at least six of the appointed members of a degree-granting institution’s Board of Trustees shall meet one of the following qualifications: previously attended the institution, resides within the institution’s service area (as defined in Utah Board of Higher Education policy), or, if no longer living in the institution’s service area, previously resided in the institution’s service area and last moved away from the service area no more than five years before their appointment date. Clarifies that the requirements outlined in the bill only apply to trustees appointed on or after May 7, 2025.
HB 260 — First Credential Program (Representative Val Peterson): Replaces the PRIME Program to create the First Credential program. Requires the Commissioner of Higher Education, the State Superintendent of Public Instruction, and the Governor’s Education Advisor to establish the First Credential Oversight Committee. Specifies that membership of the Oversight Committee shall include certain representatives from industry, high-demand sectors, representatives from public and higher education, Talent Ready Utah, and workforce development experts. Duties of the Oversight Committee include developing the First Credential Master Plan, which must include elements such as a comprehensive framework for developing and maintaining the First Credential Master List and a comprehensive needs assessment that evaluates resources available through higher education institutions, industry partnership opportunities, and general resource availability. Provides for the awarding of First Credential Program certificates and scholarships to students and provides for the awarding of First Credential grants to LEAs. Introduces specific requirements regarding regional pathways coordinators, including implementation of the First Credential program. This bill was presented to both Higher Education and Public Education Appropriations Subcommittees in week 2 and received a favorable recommendation from the House Education Committee on January 28.
HB 265 — Higher Education Strategic Reinvestment (Representative Karen Peterson, Senator Ann Millner):
PERFORMANCE FUNDING: Requires the Board of Higher Education and the Higher Education Appropriations Subcommittee to collaborate on a redesign of the performance funding model starting in the 2025 interim.
STRATEGIC REINVESTMENT: Requires the Board of Higher Ed to establish standards for institutional strategic reinvestment plans and to provide guidance to the institutions on metrics and evaluative processes for the institutions to use in analyzing programs and budgets to develop their strategic reinvestment plans. Criteria for analysis must include 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 costs, and the institution’s mission and role within the statewide system.
Requires institutions to develop strategic reinvestment plans in collaboration with the Board of Higher Ed. For FY 26, the Board of Higher Ed may transfer reinvestment funds to institutions if the respective degree-granting institution’s strategic reinvestment plan is approved by the Board, the Higher Education Appropriations Subcommittee (August 2025 meeting), and the Executive Appropriations Committee (September 2025).
For FY 27 and FY 28, the Board of Higher Ed may transfer reinvestment funds to institutions if the respective degree-granting institution if the respective degree-granting institution has submitted a report on their strategic reinvestment plan progress to the Board, and the Board, Higher Education Appropriations Subcommittee (in its August interim meetings in the respective years), and Executive Appropriations Committee (in its September interim meetings in the respective years) make a determination that the institution has progressed in executing the institution’s strategic reinvestment plan in accordance with this bill.
A degree-granting institution may use reinvestment funds for approved strategic investments that include programs, courses, degrees, departments, colleges, or other divisions of the institutions, operational efficiencies, and other components of the institution’s instruction and administrative functions, including dean positions and other administrative positions that merit further investment. For the reduced or eliminated items described in Subsection (3)(b)(ii) (line 145 of the bill), the institution may use reinvestment funds only in the following amounts: For FY 2026, no more than 70% of the total of the reinvestment funds dedicated to the institution, for FY 2027, no more than 30% of the total of the reinvestment funds dedicated to the institution, and for FY 2028, 0% of the total of the reinvestment funds.
Specifies that a degree-granting institution may not supplant or supplement the cost of reduced or eliminated items from the reinvestment exercise 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 students’ academic program as outlined in the institution’s approved strategic reinvestment plan).
Specifies that if an institution fails to reallocate resources in accordance with its approved reinvestment plan, the Executive Appropriations Committee shall reduce appropriations for the institution’s instruction and administration in an amount equal to the amount the institution failed to properly reallocate.
CREDIT HOUR REQUIREMENTS: Codifies that a degree-granting institution may not offer a bachelor’s degree with a credit-hour requirement, comprising general education and degree-specific requirements, that exceeds 120 total credit hours. Allows the Board of Higher Ed to authorize a degree-granting institution to exceed the credit-hour limit to no more than 126 credit hours if the institution demonstrates to the Board that a professional licensing or accrediting body requires additional coursework or credit hours in excess of the limit. Requires the Board to develop a process to grant conditional approval of accelerated three-year degrees to allow for the implementation of an accelerated degree upon accreditation.
PROGRAM REVIEW: Moves the Board’s program review requirements to a 5-year cycle instead of a 7-year cycle. Requires the Board to develop and use qualitative and quantitative standards for program review. During program review, if the Board finds a program to be underperforming (as the Board defines), requires that the Board shall modify, consolidate, or terminate the program of instruction, and the Board may require an institution to develop a performance improvement plan and annually report back to the Board regarding the plan.
This bill received a favorable recommendation from the House Education Committee on January 31.
HB 269, 1st Substitute — Privacy Protections in Sex-Designated Areas (Representative Stephanie Gricius, Senator Brady Brammer): Requires the Utah Board of Higher Education to provide guidance regarding student housing that degree-granting institutions own or control. Requires degree-granting institutions to comply with sex designations in assigning students to dwelling units within the institution’s sex-designated housing. This bill has received a favorable recommendation from House and Senate standing committees.
SB 17, 1st Substitute — Services for Department of Defense Civilian Employees (Senator Ann Millner, Representative Val Peterson): Provides in-state residency for tuition purposes at a state institution of higher education for a United States Department of Defense employee and the employee’s family. Provides for coordination of technical changes between this bill and HB 142: Service Member and Veteran Amendments. This bill has passed both chambers.
SB 129 — Higher Education Development Areas (Senator Chris Wilson): Authorizes certain higher education institutions to designate a development area consisting of property owned by the institution. Provides a process for an institution to adopt a resolution designating a development area. Requires an institution to establish a fund for revenue from the development area and provides for uses of money in the fund. Provides for property an eligible university leases to a private person to be exempt from a privilege tax. Requires approval from the Transportation and Infrastructure Appropriations Subcommittee and the institution’s board of trustees before the institution may adopt a development agreement relating to property within a development area. Provides limitations on a trustee’s participation in development actions and requires a trustee to disclose a conflict before the board of trustees approves a development agreement. Requires the board of trustees to provide an annual report to the Higher Education Appropriations Subcommittee for each development area.
SB 162 — Workforce Development Amendments (Senator Ann Millner): Major provisions include creating a statewide talent portal for high-demand jobs in Utah and establishing a cooperative education pilot program in the life sciences sector. See bill for full details.
SB 168 — Public Employee Negotiation Amendments (Sen. David Hinkins): Provision specifically related to higher education: Requires that the governor of the state, the governing body of a political subdivision, the Commissioner of Higher Education, or the designated authorized representative shall represent the public employer in collective bargaining with an exclusive representative.
