Today Representative Carlyle, Vice Chair for House Higher Education, launched the Higher Education Opportunity Act.

Carlyle stated “the trend in the Legislature is to reduce funding for the institutions of higher education under the operating assumption that they can continue to absorb the cuts without measurable or meaningful consequences for students, faculty, families and supporters. The trend of decreasing state support and increasing tuition seems virtually unstoppable. The question is not whether this trend will continue but how we can get a handle on the negative consequences for the middle class and more intelligently manage this structural shift.”

The Higher Education Opportunity Act would: 

• Tuition-Setting Authority: For a four year window between academic years 2011 and 2014, public baccalaureate institutions are granted full local authority to set tuition rates for all students. After that four year time frame, tuition-setting authority for in-state undergraduates reverts back to the Legislature.
• Dramatically Increasing Financial Aid for the Middle Class: Fifty percent of all tuition raised above a 7 percent ‘base’ per year at public baccalaureate institutions must be protected, reserved and spent by the institutions to fund new financial aid to directly increase assistance for the middle class. This allows students from families earning from 70% of medium family income (about $56,000 for a family of four–the current level of aid) to 125% of medium family income can receive substantial financial aid to mitigate the negative effects of rising tuition.
• Institute a Radical Commitment to the Leverage Federal Tax Credits and Incentives: Strong requirements are put in place for higher education institutions to inform, educate and reach out to students about highly valuable federal tax credits available to them such as the American Opportunity Tax Credit and the Lifelong Learning tax credit.
• Acknowledging Multiple Kid Family Costs for the Middle Class: In assessing higher education financing challenges, the Higher Education Coordinating Board (HECB) is required for the first time to consider family size as part of the family contribution for students of the state need grant, and is also required to establish criteria for awards that is not solely based on “first come, first served.”
• Guaranteed Education Tuition (GET Program): The Committee on Advanced Tuition Payment (state treasurer, HECB director, OFM director, program participant and business rep) are required to review tuition levels and recommend a possible “GET II.”
• Higher Education Institutional Accountability: The National Governor’s Association Complete to Compete Metrics are established in statute.
• Eliminating Reports and Studies that are Duplicative or Unnecessary: Over the years the Legislature, Governor and boards have saddled the institutions with a huge number of reports, studies and data requests that may or may not be useful. This plan moves forward to eliminate the burden while keeping quality data available for public policy decision makers.

At a press conference this morning, Carlyle  shared that this legislation is a work in progress and needs time to ripen.  The bill is expected to be heard before the House Higher Educationo Committee next week.