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House of Representatives Staff Analysis: PCS for HB 1247 William L. Boyd, IV, Effective Access to Student Education Grants (2023)

Issuer
Congressional materials
Document type
2023 3247 Postsecondary Education Workforce Subcommittee Proposed Committee Bill Analyses

Summary

A House of Representatives staff analysis dated March 17, 2023 of the PCS for HB 1247 from the Postsecondary Education & Workforce Subcommittee, concerning the Effective Access to Student Education Grant Program (EASE). It describes current law, under which 34 institutions participate, $75.4 million was appropriated for 37,705 students at $2,000 each, and institutions report five metrics under s. 1009.89, F.S. The bill would tie eligibility to meeting at least 3 out of 5 benchmarks in a tiered award structure, with Tier 1 institutions meeting a workforce graduation rate of 56 percent and receiving $500 more than Tier 2. It adds graduate employment data, student disclosure and certification requirements. The analysis calls the fiscal impact indeterminate and gives an effective date of July 1, 2023.

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Cite this document

“House of Representatives Staff Analysis: PCS for HB 1247 William L. Boyd, IV, Effective Access to Student Education Grants (2023).” Original at www.flhouse.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2023-3247-postsecondary-education-workforce-subcommittee-proposed-committee-bill-analyses-fn-pcs1247-pew/, SHA-256 c6779b5b38ae0bf1c83d3be07c580eb367b84e2400ac6c0a4a2eb4ded520829a.

Full text

                                  HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #:     PCS for HB 1247 William L. Boyd, IV, Effective Access to Student Education Grants
SPONSOR(S): Postsecondary Education & Workforce Subcommittee
TIED BILLS:       IDEN./SIM. BILLS:

    REFERENCE                                                   ACTION                  ANALYST            STAFF DIRECTOR or
                                                                                                           BUDGET/POLICY CHIEF

    Orig. Comm.: Postsecondary Education &                                              Kiner              Kiner
       Workforce Subcommittee

                                               SUMMARY ANALYSIS
The Effective Access to Student Education Grant Program (EASE) is a tuition assistance program serving
Florida resident, full-time, undergraduate students at eligible, independent nonprofit colleges or universities.
Currently, 34 institutions participate in the EASE program.

In Fiscal Year 2022-2023, the Legislature appropriated $75.4 million to provide 37,705 qualified students with
an average award amount of $2,000.

To promote transparency and informed consumer choice, current law requires all institutions receiving EASE
funding for their students to annually report to the Department of Education (DOE) institutional performance
against the following five statutory metrics: access rate; affordability rate; graduation rate; retention rate; and
postgraduate employment or continuing education rate. These metrics measure institutions by the percentage
of Pell-eligible students they serve; the net cost per year after accounting for federal, state, and institutional
aid; the percentage of students that graduate in six years; the percentage of students that return for a second
year after their first; and the percentage of students that obtain employment or continue their education after
graduation. Each eligible institution must also post its performance on the metrics prominently on its website.

To incentivize institutions to improve outcomes for grant recipient students, the bill proposes to tie institutional
eligibility for participation in the EASE program to performance against the metrics. Under the bill, an institution
must meet or exceed the minimum benchmark on any three out of the five metrics to be eligible for its students
to receive funding. The base per student award amount will be determined by the General Appropriations Act.
Students attending an eligible institution may be eligible to receive an additional, plus-up award of $500 if, and
only if, their institution meets or exceeds the bill’s workforce graduation rate, which measures degree
production in an in-demand field.

To enable the Legislature to incorporate a metric related to graduate employment in field of study, the bill
revises the institutional and DOE reporting requirements to require collection of data on the percentage of
grant recipient graduates who obtain employment in their field of study within 120 days after graduation. This
data will likely be collected through a survey instrument.

The bill clarifies transparency requirements and adds a disclosure requirement. Each institution must provide
each resident student with data on its performance on the metrics, the net cost to complete the student’s
degree, and expected earnings 1, 5, and 10 years after graduation based on the chosen major. The
institution’s president or chief administrative officer must certify the institution is in compliance with the
reporting, disclosure, and transparency requirements in order for the institution to be eligible for EASE funds.

The fiscal impact is indeterminate. See Fiscal Comments.

The bill is effective July 1, 2023.




This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives .
STORAGE NAME: pcs1247.PEW
DATE: 3/17/2023
                                                        FULL ANALYSIS

                                                I. SUBSTANTIVE ANALYSIS

    A. EFFECT OF PROPOSED CHANGES:
         Effective Access to Student Education (EASE) Tuition Assistance Program

         Present Situation

         The Effective Access to Student Education Grant Program (EASE) is a tuition assistance program
         administered by the Department of Education (DOE)1 with the following parameters:
             Student eligibility requirements:2
                o Must be enrolled as a full-time undergraduate student at an eligible college or university in a
                    program of study leading to a baccalaureate degree.
                o Must not be enrolled in a program of study leading to a degree in theology or divinity.
                o Must be making satisfactory academic progress as defined by the State Board of Education.
                o Must not have completed more than 110 percent of the degree program enrolled in.
             Institutional eligibility requirements:3
                o Must be an independent nonprofit college or university.
                o Must be located in and chartered by the state of Florida.
                o Must be accredited by the Commission on Colleges of the Southern Association of Colleges
                    and Schools.
                o Must grant baccalaureate degrees.
                o Must not be a state university or Florida College System institution; and
                o Must have a secular purpose, so long as the receipt of state aid by students at the institution
                    would not have the primary effect of advancing or impeding religion or result in an excessive
                    entanglement between the state and any religious group.

         Funding for EASE is appropriated in the General Appropriations Act (GAA). 4 Award amounts may be
         prorated based on the number of students eligible to receive the award. As specified in the Fiscal Year
         (FY) 2022-2023 GAA, the Legislature appropriated funds to support 37,705 qualified Florida residents
         with an award of $2,000,5 at 34 EASE-eligible institutions. The total appropriation for FY 2022-23 was
         $75.4 million.

         All institutions that receive EASE funding are required to submit an annual accountability report to the
         DOE with the most recently available information on Florida resident students and include, at a
         minimum, the following performance metrics, by institution:6
               Access rate based upon percentage of Pell-eligible students;
               Affordability rate based upon average student loan debt; federal, state, and institutional financial
                   assistance; and average tuition and fees;
               Graduation rate;
               Retention rate; and
               Postgraduate employment or continuing education rate.

         DOE must recommend minimum performance standards that EASE institutions must meet to remain
         eligible to receive grant funds.7 By October 1 of each year, DOE must submit a report to the chair of the
         House Appropriations Committee, the chair of the Senate Appropriations Committee, and the



1 S. 1009.89(2), F.S.
2 S. 1009.89(4), F.S.
3 S. 1009.89(3), F.S.
4 S. 1009.89(5), F.S.
5 See Specific Appropriation 58, ch. 2022-156, L.O.F.
6 S. 1009.89(5)(c), F.S.
7 Id.
STORAGE NAME: pcs1247.PEW                                                                                    PAGE: 2
DATE: 3/17/2023
         Governor’s Office of Policy and Budget on the performance of eligible institutions and the institutions
         that have not met the minimum performance standards recommended by the department.8

         During the October 2022 reporting period, the DOE recommended the following performance
         standards:




         Also by October 1 each year, each institution that is eligible for an EASE Grant must prominently post
         on its website its performance on the metrics, as reported to DOE. 9

         Effect of Proposed Changes

         To incentivize institutions to improve outcomes for grant recipient students, the bill proposes to tie
         institutional eligibility for participation in the EASE program to performance against the metrics. Under
         the bill, an institution must meet or exceed the minimum benchmark on any three out of the five metrics
         to be eligible for its students to receive funding. To accomplish this, the bill establishes a tiered
         structure for award amounts. If an institution meets no more than 2 out of 5 benchmarks, they will be
         placed in Tier 3; if an institution meets or exceeds at least 3 out of 5 benchmarks, they will be placed in
         Tier 2; if an institution meets the requirements of a Tier 2 institution and also meets or exceeds a
         workforce graduation rate of 56 percent, it will be placed in Tier 1. The workforce graduation rate
         measures degree production in in-demand fields. Pursuant to the bill, in-demand fields are those that
         are included on Department of Economic Opportunity or Labor Market Estimating Conference statewide
         or regional demand lists. Such programs include programs in healthcare, education, and STEM.

         The award amount for Tier 2 will be as specified in the GAA. The award amount for Tier 1 will be $500
         higher than the Tier 2 award. The award amount for Tier 3 will be $0.

         For fiscal year 2023-2024, the benchmarks and minimum standards for each benchmark are as
         follows 10:
                                                  Metric                      Benchmark
                                                                               (2023-24)
                               Access Rate                                        32%
                               Affordability Rate                                $7,263
                               Graduation Rate                                    45%
                               Retention Rate                                     65%
                               Postgraduate Employment/Continuing Ed Rate         64%

         To ensure continuous improvement of the state’s independent colleges and universities, the bill
         requires the DOE continue to recommend minimum benchmarks that increase annually and strategies
         for improvement.

8 S. 1009.89(5)(d),
                  F.S.
9 S. 1009.89(5)(c),
                  F.S.
10 EASE Accountability Report 2022, accessible here:

https://www.myfloridahouse.gov/Sections/Documents/loaddoc.aspx?PublicationType=Committees&CommitteeId=3192&Session=20
23&DocumentType=Meeting+Packets&FileName=hea+1-25-23.pdf. See presentation pages 10-14 (PDF pages 13-16).
STORAGE NAME: pcs1247.PEW                                                                                      PAGE: 3
DATE: 3/17/2023
       To enable the Legislature to incorporate a metric related to graduate employment in field of study, the
       bill revises the institutional and Department of Education reporting requirements to require collection of
       data on the percentage of grant recipient graduates who obtain employment in their field of study within
       120 days after graduation. This data will likely be collected through a survey instrument.

       The bill requires each institution to provide each resident student with data on its performance on the
       metrics, the net cost to complete the student’s degree, and expected earning 1, 5, and 10 years after
       graduation based on the chosen major. The institution’s president or chief administrative officer must
       certify the institution is in compliance with the reporting, disclosure, and transparency requirements in
       order for the institution to be eligible for EASE funds.

   B. SECTION DIRECTORY:
       Section 1.     Amends s. 1009.89, F.S.; revising legislative findings; providing that tuition assistance
                      through the program shall be based on specified performance metrics and tiers; revising
                      eligibility criteria for institutions and persons to participate in the program; revising the
                      requirements for a specified report institutions must annually submit; providing for annual
                      minimum performance benchmarks and standards; providing requirements for such
                      benchmarks and standards; requiring the legislature to annually adopt benchmarks and
                      standards for specified purposes and evaluate institutions based on such benchmarks
                      for tier placement; providing funding requirements for such institutions based on such
                      tiers.

       Section 2.     Provides an effective date of July 1, 2023.

                        II. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT

   A. FISCAL IMPACT ON STATE GOVERNMENT:

       1. Revenues:
           None.

       2. Expenditures:
           See Fiscal Comments.

   B. FISCAL IMPACT ON LOCAL GOVERNMENTS:

       1. Revenues:
           None.

       2. Expenditures:
           None.

   C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:
       See Fiscal Comments.

   D. FISCAL COMMENTS:
       The fiscal impact is indeterminate. The creation of a tiered award amount structure for the EASE
       program will have varying impacts on institutions and students based upon institutional relative
       performance.


                                   Totals                           Institutions
                                   Tier 1 – Tier 2 + $500           15
STORAGE NAME: pcs1247.PEW                                                                                   PAGE: 4
DATE: 3/17/2023
                                   Tier 2 – As specified in GAA   12
                                   Tier 3 - $0                    7

       The bill specifies the award amount for Tier 2 will be as specified in the GAA. The fiscal impact may be
       determined after publication of the FY 2023-2024 GAA.

                                               III. COMMENTS

   A. CONSTITUTIONAL ISSUES:

       1. Applicability of Municipality/County Mandates Provision:
          None. The bill does not appear to affect county or municipal governments.

       2. Other:
          None.

   B. RULE-MAKING AUTHORITY:
       None.

   C. DRAFTING ISSUES OR OTHER COMMENTS:
       None.

                        IV. AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES
   Not applicable.




STORAGE NAME: pcs1247.PEW                                                                                PAGE: 5
DATE: 3/17/2023


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