University of Texas Rio Grande Valley
EN-14: Participation in Public Policy

Higher Education Wrap Up The 84th Legislative Session’s budget for higher education totaled $17.2 billion for the 2016–17 biennium, an increase of $1.1 billion, or 7.1 percent from the prior 2014–15 biennium (this excludes Higher Education Group Insurance and certain benefits). Budget highlights include: Formula Funding A win for higher education came in the form of increases in the rate of formula funding for all institutions of higher education. Formula funding for the general academic institutions totals $4.7 billion; UTRGV faired very well, with total general academics formula funding increasing by 9.3 percent. FACT The Texas Legislature meets for no longer than 140 days starting at noon on the 2nd Tuesday in January of every odd-numbered year. Medical School UTRGV’s medical school will receive $30 million in new funds and a transfer of $32.6 million from UTHSC in San Antonio, used in the past to fund the Harlingen and Edinburg Regional Academic Health Centers, and now available to our new School of Medicine. Graduate Medical Education (GME) received two boosts this session: 3-D rendering of the UTRGV Medical School building on the Edinburg campus. 1st with appropriations for FY 2016-17: • GME Expansion - $53 million for expansion of graduate medical education, an increase of $38.7 million from 2014–15; • GME Formula - $85.9 million in General Revenue Funds for the GME formula, a $20.2 million increase for the biennium. This results in the formula rate increasing from $5,122 per resident to $6,266 per resident. UTRGV does not yet participate in this formula, but this appropriation is another example of the state’s increased commitment to GME; and, • Appropriations provide $4.0 million for the Family Practice Residency program. Secondly, lawmakers approved the creation of a multi-million dollar endowment that will allow medical schools, teaching hospitals and community based, ambulatory patient care centers to apply for grants to develop new graduate medical education programs with first year residency positions and/or to expand current programs. The goal is to ensure a residency slot for every Texas medical school graduate so Texas can keep its best doctors in the state and attract graduates from other states. Buildings The legislature approved $3.1 billion in bonds for construction and renovation projects at 64 public universities, health-related schools and technical colleges. UTRGV is receiving: • $36.4 million for a multipurpose academic building in Brownsville, and • $30.6 million for an interdisciplinary engineering academic studies building in Edinburg. Math and Science Academy More gifted high school students who demonstrate high aptitude in the areas of math and science will be allowed to take classes from college faculty alongside college students and earn up to 60 college credit hours, thanks to a $1 million appropriation to UTRGV for expansion of the current program, a move that will increase STEM opportunities by expanding enrollment and the reach of the program to the entire Valley. Financial Aid Funding for Texas Grants, the state’s primary financial aid program, is up $62.7 million to $715 million. Eligible students may receive up to $5,000 per academic year. It is expected that with the additional funds 85 percent of eligible students in Texas will receive some aid. At UTRGV, an even higher percentage of students are expected to receive assistance based on need. Aid to Veterans Continues The Hazlewood Act is a State of Texas benefit that provides qualified veterans, spouses, and dependent children with an education benefit of up to 150 hours of tuition exemption, including most fee charges, at public institutions of higher education in Texas. Legislation debated throughout the session to scale back the Hazlewood exemption did NOT pass, meaning that the current exemption will remain in place. Under Hazlewood, public universities are required to exempt from tuition, veterans and their spouses, as well as the veteran’s children through a legacy component of the exemption. While it is a great benefit to veterans and UTRGV supports it, it is largely an unfunded mandate that has grown substantially over the years. • UTPA’s Hazlewood obligation rose from $407,831 in 2009 to over $2.5 million in 2014; • UTB’s Hazlewood obligation rose from $253,849 in 2009 to over $1 million in 2014; and • The Legislative Budget Board estimates total costs will more than double by FY 2019. Although none of the reforms to Hazlewood passed, the Legislature did address the growing cost of the legacy portion of the exemption, appropriating $53.5 million for statewide Hazlewood reimbursements to both the Veterans Commission and the Permanent Fund supporting Military and Veteran’s exemptions; this included $11.5 million in increased funding for the coming biennium. Tuition Several bills were filed to re-regulate tuition, to freeze tuition or only allow it to increase pro rata with inflation, and to tie performance metrics to tuition increases, but all failed to pass. UTRGV, as a new university, has proposed and the Board of Regents have approved, a tuition structure that, in essence, freezes tuition rates for 4 years, is transparent, eliminates many fees, caps tuition at 12 hours, thereby creating an incentive to graduate sooner and allows students who graduate under 4 years to pay the frozen rate for master’s degree programs should they wish to pursue a master’s. Healthcare Districts Legislation passed that will allow the voters of Hidalgo and Cameron Counties to vote on whether to create healthcare districts in their counties. If passed by the voters of the county, the property tax revenue collected by the healthcare districts would be used to fund indigent care in the counties and support the UTRGV medical school. The maximum tax rate would be capped at 25 cents per $100 in value of the property. The legislation also provides that if the voters approve the measure, the counties must reduce their property tax rate in an amount commensurate with the reduced spending on healthcare because the healthcare district would now provide for those services. Governor's University Research Initiative (GURI) At the outset of the 84th Legislative Session, Governor Abbott made university research an emergency item and legislators listened and approved a $40 million fund from which Nobel Laureates and members of the National Academies of Science, Engineering and Medicine can be recruited by universities to come to Texas. The GURI will utilize a portion of the Emerging Technology Fund’s unexpended balance to provide matching funds to help public institutions of higher education recruit prestigious, nationally-recognized researchers to their faculty.

1.This institution recruited a 22 person research team to lead the south Texas Diabetes & obesity institute , which will advance research , develop better treatment and ultimately improve the health of residents in South Texas and beyond . 2.This institution's top priority for the 84th Legislative Secession is to assure success of the University of medicine and to leverage efforts made in the RGV by Health science Center San Antonio .

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