Funds associated with the former formulas for faculty salaries, including nursing, departmental operating expenses, library, instructional administration, research enhancement, student services, and institutional support, are distributed by a new instruction and operations formula. Also included in this formula are funds formerly associated with scholarships. These funds are distributed on a weighted semester credit hour basis. Weighting is determined by a matrix that differentiates between programs and whether the course is taught at the lower division, upper division, master's, doctoral, or professional level.
Teaching Experience Supplement
For the 2002-03 biennium, an additional weight of 10% is added to semester credit hours taught by tenured and tenure-track faculty. For future years, data collection at the Texas Higher Education Coordinating Board will be expanded to include information on non-tenured faculty with a terminal degree in the discipline, appropriate professional certification, or extensive and recognized accomplishment in the field. After 2003, the weight would also be assigned to semester credit hours taught by non-tenured faculty with the appropriate credentials of experience. In addition, the weight would increase by 10% per biennium, until it reached 50%.
Growth Supplement
A supplement is provided to the Texas Higher Education Coordinating Board for subsequent distribution to universities based on their growth during each year of the biennium.
Infrastructure Support
Funds associated with the former plant-related formulas plus utilities are distributed by a new infrastructure support formula. This formula is driven by the predicted square feet for the universities' educational and general activities produced by the Space Projection Model developed by the Coordinating Board. The latest available values, for the fall before the legislative session, are used for this formula. In addition, the portion of the formula that can be attributed to utilities is adjusted to reflect differences in unit costs for purchased utilities, electricity, natural gas, water, and wastewater.
Non-Formula Items
Institutions continue to receive a direct appropriation as reimbursement for staff group insurance, workers compensation insurance, unemployment insurance, system administration, public education grants, 50% of indirect research costs recovered on grants, organized activities, tuition revenue bond payments, Skiles Act bond payments, and facility lease changes. In addition, the Legislature continues to direct appropriations to special items. Revenue derived from the Coordinating Board-authorized tuition is appropriated to the institutions levying the additional charges.