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§ 20-2002-I. State-related university performance-based funding model

Purdon's Pennsylvania Statutes and Consolidated StatutesTitle 24 P.S. EducationEffective: July 8, 2022

Purdon's Pennsylvania Statutes and Consolidated Statutes
Title 24 P.S. Education
Chapter 1. Public School Code of 1949 (Refs & Annos)
Article XX-I. Miscellaneous Provisions Relating to Institutions of Higher Education (Refs & Annos)
Effective: July 8, 2022
24 P.S. § 20-2002-I
§ 20-2002-I. State-related university performance-based funding model
(a) Duty of commission.--Beginning January 23, 2023, the commission shall develop a performance-based funding model no later than June 15, 2023, to distribute State funding to the State-related universities. A performance-based funding model may include a base funding amount and minimum eligibility thresholds to evaluate achievement of performance-based metrics. The commission may include the following metrics in the model:
(1) The four-year graduation rate for baccalaureate students.
(2) The four-year graduation rate for first-time-in-college students.
(3) The six-year graduation rate for students who are awarded a Pell Grant in their first year.
(4) The percentage of undergraduate students enrolled who received a Pell Grant during the previous school year.
(5) Student retention rates.
(6) Bachelor's degree production.
(7) Net tuition and fees per 120 credit hours.
(8) Postgraduation employment rates and salaries, including wage thresholds, that reflect the added value of a baccalaureate degree.
(9) The number and percentage of students enrolled, and degrees attained in fields determined to be of importance to this Commonwealth by the commission.
(10) The number and percentage of high school students who are dual-enrolled and the number of credits earned.
(11) The percentage of credits articulated.
(12) Other metrics listed in section 2001-I(h),1 or as determined by the commission.
(b) Other considerations.--As part of the development of the performance-based funding model, the commission may consider the following:
(1) Adjusting a performance-based funding incentive payment if a State-related university fails to meet the minimum eligibility thresholds.
(2) Establishing an improvement plan to assist a State-related university to make satisfactory progress toward meeting the minimum eligibility thresholds.
(3) A process to award or redistribute money for meeting the minimum eligibility thresholds and rewarding institutional excellence.
(c) Effective date of the performance-based funding model.--The performance-based funding model developed by the commission shall not go into effect unless the model is approved by an act of the General Assembly enacted after the effective date of this section.
(d) Level of State funding.--The General Assembly shall, through the annual nonpreferred appropriations process, determine the level of State funding for a State-related university.
(e) Definitions.--As used in this section, the following words and phrases shall have the meanings given to them in this subsection unless the context clearly indicates otherwise:
“Base State funding.” The minimum amount of funding, as recommended by the commission, to be appropriated to each State-related university for the 2023-2024 fiscal year.
“Commission.” The Public Higher Education Funding Commission established under section 2001-I.
“Institutional investment.” A reallocated percentage of the base State funding.
“Performance-based funding incentive payment.” Consists of the following:
(1) Institutional investment.
(2) State investment for excellence.
“State investment for excellence.” An amount appropriated by the General Assembly that exceeds the base State funding and is used to reward excellence as measured by the performance-based funding metrics determined by the commission.
“State-related university.” The Pennsylvania State University, the University of Pittsburgh and Temple University and associated branch campuses.


1949, March 10, P.L. 30, No. 14, art. XX-I, § 2002-I, added 2022, July 8, P.L. 620, No. 55, § 50, imd. effective.


24 P.S. § 20-2001-I.
24 P.S. § 20-2002-I, PA ST 24 P.S. § 20-2002-I
Current through Act 13 of the 2024 Regular Session. Some statute sections may be more current, see credits for details.
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