H259 - 2023 Appropriations Act. (SL 2023-134)

Overview: Section 6.2 of S.L. 2023-134 requires the Community Colleges System Office (System Office) to create the Fund for High-Cost Healthcare Workforce Programs (Fund), which must be used to assist community colleges in starting new programs in high-demand healthcare career fields that require significant start-up funds.

The System Office must create an application process allowing community colleges to apply for funds by the beginning of each fiscal year of the 2023-2025 fiscal biennium. Applications must include at least the following:

• A description of the proposed new program requiring start-up funds.
• Documentation of industry demand for the program or documentation of future local, regional, or statewide employment needs that will be met by the program.
• Total cash cost to start the program and maintain the program over two fiscal years.
• A plan for the fiscal sustainability of the new program.

Community colleges can only apply for funds to support one new program each fiscal year. Any awarded funds will remain available to the community college for two fiscal years.

Community colleges with total full-time equivalents (FTE) greater than 6,500 must match 15% of the total cash cost of the program with non-State funds. Community colleges with a total FTE between 2,500 and 6,500 must match 10% of the cost. There are no matching requirements for community colleges with FTE less than 2,500.

The System Office can adopt regulations, policies, procedures, or necessary rules related to the administration of the Fund, including the application process, use of funds, and eligibility requirements. The System Office can use up to $100,000 each fiscal year for administrative costs.

The System Office must submit an initial report to the Joint Legislative Education Oversight Committee by December 1, 2024, and an annual report thereafter for each year the System Office provides funds to community colleges from the Fund. The report must include at least the following information:

• The community colleges that received funds, the amount of funds, and the types of healthcare programs started.
• The use of funds by community colleges receiving awards, including costs associated with student instruction, faculty salaries, instructional supplies, related instructional equipment, and accreditation costs.
• Evaluation of the success of the new community college healthcare programs receiving funds.

This section became effective July 1, 2023.