Texas Association of Community Colleges Policy Update Overview

 
Texas Association of Community Colleges
Policy Update
 
Elizabeth Chivers
, Senior Director, Strategy & Policy Analysis
Jacob Cottingham
, Senior Director,  Government Relations
 
Key Components of House Bill 8
 
tacc.org
 
Financial Aid for Swift Transfer (FAST)
 
A new financial aid program that would allow “educationally disadvantaged”
students to enroll in dual credit classes at no cost to them.
 
Community College 
Standing 
Advisory Committee (SAC)
 
A group of community college leaders that will provide advice and counsel
to the Texas Higher Education Coordinating Board during implementation.
 
Performance Tier
 
The funding level that constitutes the majority of state funding and is
comprised of measurable outcomes.
 
Base Tier
 
The funding level that ensures each public junior college has access to a
defined level of funding for instruction and operations.
 
Shared Services
 
Encourages public junior colleges to participate in institutional collaborations
that help students afford college, complete credentials, and transfer.
 
Source: Fiscal Size Up, Legislative Budget Board
 
State Investment in Community Colleges
 
Legacy Funding Model
 
HB 8 Funding Model
 
Historic
 
opportunity
 
transition from a funding model primarily based on contact hours to one primarily based on
dynamic outcomes
.
 
Performance
Tier
 
Base
Tier
 
Success
Points
 
Core
Operations
 
Contact Hours
 
tacc.org
 
Base Tier Funding
 
Base Tier applies if estimated
costs 
outweigh
 
estimated
local share
 
Basic allotment
 based on 
weighted FTSE
Equitable 
adjustment 
 for 
 
< 
5,000 FTSE
 
Local share based  on 
$0.05 M & O tax rate
and estimated 
tuition & fees 
revenues
 
Contact hour weighted by discipline 
to
reflect  cost of providing applicable courses
 
tacc.org
 
Performance Tier
 
Credentials of value
, including credentials from credit
and non-credit programs
Credentials of value awarded in
 
high-demand fields
Students who 
transfer with at least 15 SCH
 to four-
year universities
Students who complete a 
sequence of at least 15 SCH
in dual credit 
courses
 
 Economically disadvantaged
Academically disadvantaged
Adult learners  (25 years of age or older)
 
Outcomes
 
Weights
 
Performance
Tier Funding
 
tacc.org
 
Texas Higher Education
Coordinating Board:
House Bill 8 Website
 
TOPIC BREAKDOWN
 
LANDING PAGE
 
Rulemaking Timeline for
House Bill 8
 
tacc.org
 
The first set of rules implemented by THECB
will be 
emergency rules
. These rules will only
be in place for a six-month period.
 
The first draft was completed 
July 14, 2023
,
for an August approval.
 
No public comment period.
 
Special called THECB Board Meeting to adopt
emergency rules.
 
APPROVED
: Emergency rules in place until
January 2024.
 
May - July
 
August
 
THECB adopts FY 24 regular rules.
 
Regular rules in place through end of 2023-
2024 academic year.
 
January '24
 
House Bill 8 went into effect.
 
Sept. 1st
 
THECB adopts FY 25 regular rules.
 
April '24
 
RULEMAKING
 
tacc.org
 
HB 8 Rulemaking Updates
 
August 22, 2023, 
the 
Texas Higher Education Coordinating Board 
approved emergency rules enabling the implementation of the
new funding system beginning September 1, 2023
Fiscal Year 2024 
Final Formula Runs & Three-Pay Schedule finalized
October 13, 2023, 
initial set of FY 2024 regular 
rules posted for public comment
 including
 
repeal of existing rules for the Community and Technical College Formula Advisory Committee
 
establishing the HB 8 Standing Advisory Committee responsibilities
 
Financial Aid for Swift Transfer (FAST) rules
 
Certification of compliance & overallocation for the new finance model
 
rules regarding excess hours
THECB will continue to release rules in the Texas Register related to implementation of the new funding model between now and
December
 
tacc.org
 
HB 8 Implementation Requires Partnership
 
Texas Community
Colleges
 
TACC
 
TSC
 
THECB
 
Philanthropy
 
Business & Industry
 
RULEMAKING
 
CAPACITY
BUILDING
 
DATA &
REPORTING
 
TECHNICAL
ASSISTANCE
 
COMMUNICATION
 
PLANNING &
SUSTAINABILITY
 
tacc.org
 
HB 8 Implementation Activities
 
Areas of Interest:
 
CAPACITY
BUILDING
 
DATA &
REPORTING
 
COMMUNICATION
 
Planned Activities
 
National Amplification for House Bill 8
Community College Finance – Landing Page
Roundtable Discussions with Community College Leaders,
Business & Industry Leaders, and K-12 Stakeholders
Community College Finance – Data Toolkit for all Colleges
Educational Collateral for Key Topics:
New funding formulas – Base & Performance Tier
New dual credit program – FAST
New Community College Standing Advisory
Committee
Institutional Collaboration
College Workshops – focused in understanding the
breadth of continuing education credentials.
 
 
PLANNING &
SUSTAINABILITY
 
Implementation Strategies
 
TECHNICAL
ASSISTANCE
 
Rulemaking Impacting
Texas Colleges
 
August 22, 2023
, the Texas Higher Education
Coordinating Board approved rules to establish 
College
Connect Courses
. This allows colleges to offer dual credit
courses with planned supports for student who are not
college-ready or their college ready status is unknown.
o
Planned supports must be incorporated into MOUs
between colleges and high schools.
 
October 13, 2023, 
 
rules posted for public comment
including authority, student eligibility , and allocation of
funds to administer the Texas Transfer Grant Program
accreditation rules that mimic federal law allowing
choice among 7 recognized accrediting bodies, including
the current regional accreditor for Texas higher
education institutions, SACSCOC.
 
TEOG Rulemaking
Updates
 
TEOG: Texas Education Opportunity Grants
October 13, 2023, the Texas Higher Education
Coordinating Board approved rules updating TEOG.
Includes certificate programs
Uses semester equivalent
Increases total grant amount
Average of all students’ tuition, not just in-district
 
Legislative Updates
 
STATE UPDATE
Third Special Session
 
FEDERAL UPDATE
Gainful Employment Rule
 
tacc.org
 
Other Legislative Updates
 
Parenting Students Bills
 
SB 412 – Paxton:
 Requires all Institutions of Higher Education (IHE) to make certain accommodations to
pregnant and parenting students.
 
SB 459 – Paxton
: Requires IHEs to provide in the same manner early registration for parenting or pregnant
students if they provide early registration for other groups of students.
 
HB 1361 – Morales Shaw:
 Designate one employee to be a liaison officer for students that are the parent or
guardian of a child. The support provided must include resources to access health coverage, public benefit
programs, parenting resources and more. Each year, the institution must provide to the Texas Higher
Education Coordinating Board a report on the data and demographics of these students.
 
Other Updates
 
TRUE Grants
Due Friday, Oct. 30
Can submit as single applicant and as a consortia
$12.5M awarded this round, 12 months in length
Up to $250k for single applicant
Up to $500k for consortia
 
Accreditation Rule
THECB posted in register
Reflects Federal guidelines
 
Unintended Consequences
 
Nueces County Property Tax Issue
Very high value properties >$1 billion
Dramatic increase in appraised value from
Chief Appraiser
Several billion-dollar increase
Truth in Taxation limits shifted for other
property taxpayers
Lengthy, contested appraisal
Much lower final valuation
Reduced revenue from other sources
Del Mar District = $5 million
 
Thank you
 
Texas Association of Community Colleges
https://tacc.org/
 
For further information, please visit:
 
Elizabeth Chivers
 
echivers@tacc.org
 
Jacob Cottingham
 
jcottingham@tacc.org
 
 
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This update highlights key components of House Bill 8 focusing on financial aid for Swift Transfer, shared services, performance tier, base tier, and the Community College Standing Advisory Committee. It also discusses the state's investment in community colleges, the HB 8 funding model, and the transition from a contact hours-based funding model to one based on dynamic outcomes. The Performance Tier emphasizes outcomes such as credentials of value and supports economically disadvantaged, academically disadvantaged, and adult learners.


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  1. Texas Association of Community Colleges Policy Update Elizabeth Chivers, Senior Director, Strategy & Policy Analysis Jacob Cottingham, Senior Director, Government Relations

  2. Key Components of House Bill 8 Financial Aid for Swift Transfer (FAST) A new financial aid program that would allow educationally disadvantaged students to enroll in dual credit classes at no cost to them. Shared Services Encourages public junior colleges to participate in institutional collaborations that help students afford college, complete credentials, and transfer. HB 8 Performance Tier The funding level that constitutes the majority of state funding and is comprised of measurable outcomes. Base Tier The funding level that ensures each public junior college has access to a defined level of funding for instruction and operations. Community College Standing Advisory Committee (SAC) A group of community college leaders that will provide advice and counsel to the Texas Higher Education Coordinating Board during implementation. tacc.org

  3. State Investment in Community Colleges Source: Fiscal Size Up, Legislative Budget Board

  4. HB 8 Funding Model Legacy Funding Model Performance Tier Success Points Core Operations Base Tier Contact Hours Historic opportunity transition from a funding model primarily based on contact hours to one primarily based on dynamic outcomes.

  5. Base Tier Funding Basic allotment based on weighted FTSE Equitable adjustment for < 5,000 FTSE Local share based on $0.05 M & O tax rate and estimated tuition & fees revenues Base Tier applies if estimated costs outweigh estimated local share Contact hour weighted by discipline to reflect cost of providing applicable courses tacc.org

  6. Performance Tier Outcomes Credentials of value, including credentials from credit and non-credit programs Credentials of value awarded in high-demand fields Students who transfer with at least 15 SCH to four- year universities Students who complete a sequence of at least 15 SCH in dual credit courses Weights Economically disadvantaged Academically disadvantaged Adult learners (25 years of age or older) Performance Tier Funding tacc.org

  7. Texas Higher Education Coordinating Board: House Bill 8 Website TOPIC BREAKDOWN LANDING PAGE tacc.org

  8. May - July The first set of rules implemented by THECB will be emergency rules. These rules will only be in place for a six-month period. RULEMAKING August The first draft was completed July 14, 2023, for an August approval. Special called THECB Board Meeting to adopt emergency rules. No public comment period. APPROVED: Emergency rules in place until January 2024. Sept. 1st House Bill 8 went into effect. January '24 THECB adopts FY 24 regular rules. Regular rules in place through end of 2023- 2024 academic year. April '24 THECB adopts FY 25 regular rules. Rulemaking Timeline for House Bill 8 tacc.org

  9. HB 8 Rulemaking Updates August 22, 2023, the Texas Higher Education Coordinating Board approved emergency rules enabling the implementation of the new funding system beginning September 1, 2023 Fiscal Year 2024 Final Formula Runs & Three-Pay Schedule finalized October 13, 2023, initial set of FY 2024 regular rules posted for public comment including repeal of existing rules for the Community and Technical College Formula Advisory Committee establishing the HB 8 Standing Advisory Committee responsibilities Financial Aid for Swift Transfer (FAST) rules Certification of compliance & overallocation for the new finance model rules regarding excess hours THECB will continue to release rules in the Texas Register related to implementation of the new funding model between now and December tacc.org

  10. HB 8 Implementation Requires Partnership TECHNICAL ASSISTANCE RULEMAKING Texas Community Colleges TACC COMMUNICATION CAPACITY BUILDING TSC THECB Philanthropy PLANNING & SUSTAINABILITY DATA & REPORTING Business & Industry tacc.org

  11. HB 8 Implementation Activities Implementation Strategies Planned Activities National Amplification for House Bill 8 Community College Finance Landing Page Roundtable Discussions with Community College Leaders, Business & Industry Leaders, and K-12 Stakeholders Community College Finance Data Toolkit for all Colleges Educational Collateral for Key Topics: New funding formulas Base & Performance Tier New dual credit program FAST New Community College Standing Advisory Committee Institutional Collaboration College Workshops focused in understanding the breadth of continuing education credentials. Areas of Interest: CAPACITY BUILDING TECHNICAL ASSISTANCE COMMUNICATION PLANNING & SUSTAINABILITY DATA & REPORTING tacc.org

  12. August 22, 2023, the Texas Higher Education Coordinating Board approved rules to establish College Connect Courses. This allows colleges to offer dual credit courses with planned supports for student who are not college-ready or their college ready status is unknown. o Planned supports must be incorporated into MOUs between colleges and high schools. Rulemaking Impacting Texas Colleges October 13, 2023, rules posted for public comment including authority, student eligibility , and allocation of funds to administer the Texas Transfer Grant Program accreditation rules that mimic federal law allowing choice among 7 recognized accrediting bodies, including the current regional accreditor for Texas higher education institutions, SACSCOC.

  13. TEOG Rulemaking Updates TEOG: Texas Education Opportunity Grants October 13, 2023, the Texas Higher Education Coordinating Board approved rules updating TEOG. Includes certificate programs Uses semester equivalent Increases total grant amount Average of all students tuition, not just in-district

  14. STATE UPDATE Legislative Updates Third Special Session FEDERAL UPDATE Gainful Employment Rule

  15. Other Legislative Updates Parenting Students Bills SB 412 Paxton: Requires all Institutions of Higher Education (IHE) to make certain accommodations to pregnant and parenting students. SB 459 Paxton: Requires IHEs to provide in the same manner early registration for parenting or pregnant students if they provide early registration for other groups of students. HB 1361 Morales Shaw: Designate one employee to be a liaison officer for students that are the parent or guardian of a child. The support provided must include resources to access health coverage, public benefit programs, parenting resources and more. Each year, the institution must provide to the Texas Higher Education Coordinating Board a report on the data and demographics of these students. tacc.org

  16. TRUE Grants Other Updates Due Friday, Oct. 30 Can submit as single applicant and as a consortia $12.5M awarded this round, 12 months in length Up to $250k for single applicant Up to $500k for consortia Accreditation Rule THECB posted in register Reflects Federal guidelines

  17. Nueces County Property Tax Issue Unintended Consequences Very high value properties >$1 billion Dramatic increase in appraised value from Chief Appraiser Several billion-dollar increase Truth in Taxation limits shifted for other property taxpayers Lengthy, contested appraisal Much lower final valuation Reduced revenue from other sources Del Mar District = $5 million

  18. Thank you For further information, please visit: Texas Association of Community Colleges https://tacc.org/ Elizabeth Chivers echivers@tacc.org Jacob Cottingham jcottingham@tacc.org

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