2023 Utah Code › Title 53B - State System of Higher Education › Chapter 7 - Finance › Part 7 - Performance Funding › Section 703 - Performance Funding Restricted Account -- Creation -- Deposits into account -- Legislative review.

Effective 3/24/2022
53B-7-703.
Performance Funding Restricted Account -- Creation -- Deposits into account -- Legislative review.
(1) There is created within the Income Tax Fund a restricted account known as the "Performance Funding Restricted Account."
(2) Money in the account shall be:
(a) used for performance funding for:
(i) degree-granting institutions; and
(ii) technical colleges; and
(b) appropriated by the Legislature in accordance with Section 53B-7-705.
(3)
(a) Money in the account shall earn interest.
(b) All interest earned on account money shall be deposited into the account.
(4)
(a) Except as provided in Subsection (4)(b), the Division of Finance shall deposit into the account an amount equal to 20% of the estimated revenue growth from targeted jobs upon appropriation by the Legislature for a fiscal year beginning on or after July 1, 2019.
(b)
(i) As used in this Subsection (4)(b), "total higher education appropriations" means, for the current fiscal year, the total state funded appropriations to:
(A) the board;
(B) degree-granting institutions; and
(C) technical colleges.
(ii) If a deposit described in Subsection (4)(a) would exceed 10% of total higher education appropriations, upon appropriation by the Legislature, the Division of Finance shall deposit into the account an amount equal to 10% of total higher education appropriations.
(c) The Legislature may appropriate money to the account.
(5)
(a) As used in this Subsection (5):
(i) "Base budget" means the same as that term is defined in legislative rule.
(ii) "Remaining available ongoing Income Tax Fund revenue" means the difference between:
(A) the estimated ongoing Income Tax Fund and Uniform School Fund revenue available for the Legislature to appropriate in the next fiscal year; and
(B) the amount of ongoing appropriations from the Income Tax Fund and Uniform School Fund for the current year plus ongoing appropriations required under Sections 53F-9-201 and 53F-9-204 for the next fiscal year.
(b) Except as described in Subsection (5)(c), for a fiscal year beginning on or after July 1, 2023, when preparing the Higher Education Base Budget, the Office of the Legislative Fiscal Analyst shall:
(i) include in the base budget the lesser of the amount described in Subsection (4) or the remaining available ongoing Income Tax Fund revenue; and
(ii) appropriate the funds described in Subsection (5)(b)(i) to the Utah Board of Higher Education to distribute to institutions as described in Section 53B-7-705.
(c) In a fiscal year beginning on or after July 1, 2023, in which the remaining available ongoing Income Tax Fund revenue is less than zero, when preparing the base budget, the Office of the Legislative Fiscal Analyst shall include in the base budget an amount equal to the difference in the amount described in Subsection (4) for the current year and the amount described in Subsection (4) for the prior year, adjusted for any base budget reductions as directed by the Executive Appropriations Committee.
(6) During the interim following a legislative general session in which an amount described in Subsection (4)(b) is deposited into the account, the Higher Education Appropriations Subcommittee shall review performance funding described in this part and make recommendations to the Legislature about:
(a) the performance levels required for degree-granting institutions and technical colleges to receive performance funding as described in Section 53B-7-705;
(b) the performance metrics described in Sections 53B-7-706 and 53B-7-707; and
(c) the amount of individual income tax revenue dedicated to higher education performance funding.
Amended by Chapter 456, 2022 General Session