WEST virginia Legislature

2017 regular session

Introduced

Senate Bill 184

By Senators Blair, Boso, Rucker, Trump and Sypolt

[Introduced February 8, 2017; referred
to the Committee on Government Organization; and then to the Committee on Finance]

A BILL to repeal §18-22C-1 and §18-22C-2 of the Code of West Virginia, 1931, as amended; to amend and reenact §12-1-12d of said code; to amend and reenact §16-28-7 of said code; to amend and reenact §18B-1B-5 and §18B-1B-6 of said code; to amend and reenact §18B-1D-2 and §18B-1D-7 of said code; to amend and reenact §18B-2-5 of said code; to amend and reenact §18B-2A-1 of said code; to amend said code by adding thereto a new article, designated §18B-2D-1, §18B-2D-2, §18B-2D-3, §18B-2D-4, §18B-2D-5, §18B-2D-6 and §18B-2D-7; and to amend and reenact §18B-14-10 of said code, all relating to transferring the West Virginia School of Osteopathic Medicine from a state-owned and -operated entity to a private not-for-profit corporation.

Be it enacted by the Legislature of West Virginia:

That §18-22C-1 and §18-22C-2 of the Code of West Virginia, 1931, as amended, be repealed; that §12-1-12d of said code be amended and reenacted; that §16-28-7 of said code be amended and reenacted; that §18B-1B-5 and §18B-1B-6 of said code be amended and reenacted; that §18B-1D-2 and §18B-1D-7 of said code be amended and reenacted; that §18B-2-5 of said code be amended and reenacted; that §18B-2A-1 of said code be amended and reenacted; that said code be amended by adding thereto a new article, designated §18B-2D-1, §18B-2D-2, §18B-2D-3, §18B-2D-4, §18B-2D-5, §18B-2D-6 and §18B-2D-7; and that §18B-14-10 of said code be amended and reenacted, all to read as follows:

CHAPTER 12. PUBLIC MONEYS AND SECURITIES.

ARTICLE 1. STATE DEPOSITORIES.

§12-1-12d. Investments by Marshall University, West Virginia University and West Virginia School of Osteopathic Medicine.

(a) Notwithstanding any provision of this article to the contrary, the governing boards of Marshall University, West Virginia University and West Virginia School of Osteopathic Medicine each may invest certain funds with its respective nonprofit foundation that has been established to receive contributions exclusively for that university and which exists on January 1, 2005. The investment is subject to the limitations of this section.

(b) A governing board, through its chief financial officer, may enter into agreements, approved as to form by the State Treasurer, for the investment by its foundation of certain funds subject to their administration. Any interest or earnings on the moneys invested is retained by the investing university.

(c) Moneys of a university that may be invested with its foundation pursuant to this section are those subject to the administrative control of the university and that do not include any funds made available to the university from the state General Revenue Fund or the funds established in section eighteen or eighteen-a, article twenty-two, chapter twenty-nine of this code. Moneys permitted to be invested under this section may be aggregated in an investment fund for investment purposes.

(d) Investments by foundations that are authorized under this section shall be made in accordance with and subject to the provisions of the Uniform Prudent Investor Act, codified as article six-c, chapter forty-four of this code. As part of its fiduciary responsibilities, each governing board shall establish investment policies in accordance with the Uniform Prudent Investor Act for those moneys invested with its foundation. The governing board shall review, establish and modify, if necessary, the investment objectives as incorporated in its investment policies so as to provide for the financial security of the moneys invested with its foundation. The governing boards shall give consideration to the following:

(1) Preservation of capital;

(2) Diversification;

(3) Risk tolerance;

(4) Rate of return;

(5) Stability;

(6) Turnover;

(7) Liquidity; and

(8) Reasonable cost of fees.

(e) A governing board shall report annually by December 31 to the Governor and to the Joint Committee on Government and Finance on the performance of investments managed by its foundation pursuant to this section.

(f) The amendments to this section in the second extraordinary session of the Legislature in 2010 apply retroactively so that the authority granted by this section shall be construed as if that authority did not expire on July 1, 2010.

(g) Effective July 1, 2018, upon the transfer of the West Virginia School of Osteopathic Medicine to a not-for-profit corporation in accordance with article two-d, chapter eighteen-b of this code, the West Virginia School of Osteopathic Medicine shall not be subject to the provisions of this section. Any moneys so invested with the foundation and any interest and earnings on such moneys may be transferred to and retained by the not-for-profit corporation created in accordance with article two-d, chapter eighteen-b of this code.

 CHAPTER 16. PUBLIC HEALTH.

ARTICLE 28. ASSISTANCE TO KOREAN AND VIETNAM VETERANS EXPOSED TO CERTAIN CHEMICAL DEFOLIANTS OR HERBICIDES OR OTHER CAUSATIVE AGENTS, INCLUDING AGENT ORANGE.

§16-28-7. Assistance programs.

(a) The department of health, the West Virginia University School of Medicine, the Marshall University School of Medicine, and the West Virginia School of Osteopathic Medicine, shall institute a cooperative program to:

(1) Refer veterans to appropriate state and federal agencies for the purpose of filing claims to remedy medical and financial problems caused by the veterans' exposure to chemical defoliants or herbicides or other causative agents, including agent orange; and

(2) Provide veterans with fat tissue biopsies, genetic counseling and genetic screening to determine if the veteran has suffered physical damage as a result of substantial exposure to chemical defoliants or herbicides or other causative agents, including agent orange.

(b) The director of the department of health shall adopt rules necessary to the administration of the programs authorized by this section.

(c) Effective July 1, 2018, upon the transfer of the West Virginia School of Osteopathic Medicine to a not-for-profit corporation in accordance with section three, article two-d, chapter eighteen-b of this code, the West Virginia School of Osteopathic Medicine may continue to participate in the cooperative program established pursuant to this section.

CHAPTER 18B. HIGHER EDUCATION.

ARTICLE 1B. HIGHER EDUCATION POLICY COMMISSION.

§18B-1B-5. Employment of Chancellor for Higher Education; office; powers and duties generally; employment of Vice Chancellors and other staff.

(a) The commission, created by section one of this article, shall employ a Chancellor for Higher Education who is the Chief Executive Officer of the Commission and who serves at its will and pleasure.

(b) The commission shall set the qualifications for the position of Chancellor and, when a vacancy occurs, shall conduct a thorough nationwide search for qualified candidates. A qualified candidate is one who meets at least the following criteria:

(1) Possesses an excellent academic and administrative background;

(2) Demonstrates strong communication skills;

(3) Has significant experience and an established national reputation as a professional in the field of higher education;

(4) Is free of institutional or regional biases; and

(5) Holds or retains no other administrative position within a system of higher education while employed as chancellor.

(c) The commission shall conduct written performance evaluations of the chancellor annually and may offer the chancellor a contract not to exceed three years. At the end of each contract period, the commission shall review the evaluations and make a determination by vote of its members on continuing employment and compensation level.

(d) When filling a vacancy in the position of chancellor, the commission shall enter into an initial employment contract for one year with the candidate selected. At the end of the initial contract period, and each contract period thereafter, the commission shall review the evaluations and make a determination by vote of its members on continuing employment and compensation level for the chancellor.

(e) The commission sets the chancellor's salary. The salary may not exceed by more than twenty percent the average annual salary of chief executive officers of state systems of higher education in the states that comprise the membership of the Southern Regional Education Board.

(f) The commission may employ a Vice Chancellor for Health Sciences who serves at the will and pleasure of the commission. The Vice Chancellor for Health Sciences shall coordinate the West Virginia University School of Medicine, the Marshall University School of Medicine and the West Virginia School of Osteopathic Medicine and also shall provide assistance to the governing boards on matters related to medical education and health sciences: Provided, That the West Virginia School of Osteopathic Medicine and its board of Governors shall cease to continue as a recognized state institution for the purposes of this subsection upon the transfer to a not-for-profit corporation in accordance with section three, article two-d of this chapter. The Vice Chancellor for Health Sciences shall perform all duties assigned by the chancellor, the commission and state law. In the case of a vacancy in the office of Vice Chancellor of Health Sciences, the duties assigned to this office by law are the responsibility of the chancellor or a designee.

(g) The commission shall employ a Vice Chancellor for Administration pursuant to section two, article four of this chapter.

(h) The commission shall employ a Vice Chancellor for Human Resources pursuant to section two-a, article four of this chapter. The person serving as senior director of human resources by the commission on January 1, 2011, is Vice Chancellor for Human Resources on the effective date of this section. Additionally, the commission shall employ a qualified generalist in the field of human resources pursuant to section two-a, article four of this chapter. The human resources generalist shall report to the Vice Chancellor for Human Resources.

(i) The commission may employ a Vice Chancellor for State Colleges who serves at the will and pleasure of the commission. At a minimum, the Vice Chancellor for State Colleges shall perform the following duties:

(1) Provide assistance to the commission, the chancellor and the state colleges on matters related to or of interest and concern to these institutions;

(2) Advise, assist and consult regularly with the presidents and governing boards of each state college;

(3) Serve as an advocate and spokesperson for the state colleges to represent them and to make their interests, views and issues known to the chancellor, the commission and governmental agencies;

(4) Perform all duties assigned by the chancellor, the commission and state law.

In addition, the Vice Chancellor for State Colleges shall provide staff assistance to the presidents and governing boards to the extent practicable.

(j) On behalf of the commission, the chancellor may enter into agreements with any state agency or political subdivision of the state, any state institution of higher education or any other person or entity to enlist staff assistance to implement the powers and duties assigned by the commission or by state law.

(k) The chancellor is responsible for the daily operations of the commission and has the following responsibilities relating to the commission and the governing boards under its jurisdiction:

(1) To carry out policy and program directives of the commission;

(2) To develop and submit annual reports on the implementation plan to achieve the goals and objectives set forth in section one-a, article one and article one-d of this chapter, and in the compacts;

(3) To prepare and submit to the commission for its approval the proposed budget of the commission including the offices of the chancellor and the vice chancellors;

(4) To assist the governing boards in developing rules, subject to the provisions of section six, article one of this chapter. Nothing in this chapter requires the rules of the governing boards to be filed pursuant to the rule-making procedures provided in article three-a, chapter twenty-nine-a of this code. The commission and the council, either separately or jointly as appropriate, are responsible for ensuring that any policy which is required to be uniform across the institutions is applied in a uniform manner;

(5) To perform all other duties and responsibilities assigned by the commission or by state law.

(l) The chancellor shall be reimbursed for all actual and necessary expenses incurred in the performance of all assigned duties and responsibilities.

(m) The chancellor, with the commission, advises the Legislature on matters of higher education in West Virginia. The chancellor shall work closely with the Legislative Oversight Commission on Education Accountability and with the elected leadership of the state to ensure that they are fully informed about higher education issues and that the commission fully understands the goals, objectives and priorities for higher education that the Legislature has established by law.

(n) The chancellor may design and develop for consideration by the commission new statewide or region-wide initiatives in accordance with the goals set forth in section one-a, article one and article one-d of this chapter, and the public policy agenda articulated by the commission. In those instances where the initiatives to be proposed have a direct and specific impact or connection to community and technical college education as well as to baccalaureate and graduate education, the Chancellor for Higher Education and the Chancellor for Community and Technical College Education shall design and develop the initiatives jointly for consideration by the commission and the council.

(o) To further the goals of cooperation and coordination between the commission and the State Board of Education, the chancellor serves as an ex officio, nonvoting member of the state board. The chancellor shall work closely with members of the State Board of Education and with the State Superintendent of Schools to assure that the following goals are met:

(1) Development and implementation of a seamless kindergarten-through-college system of education; and

(2) Appropriate coordination of missions and programs.

§18B-1B-6. Appointment of institutional presidents; evaluation.

(a) Appointment of institutional presidents. -- Appointment of presidents of the state institutions of higher education shall be made as follows:

(1) The initial contract term for a president of a state institution of higher education may not exceed two years. At the end of the initial contract period, and subject to the provisions of subsection (c) of this section, the governing board may offer the president a contract of longer duration, but not to exceed five years.

(2) The president of a state institution of higher education serves at the will and pleasure of the appointing governing board.

(3) Subject to the approval of the commission, the governing board of the institution appoints a president for Bluefield State College, Concord University, Fairmont State University, Glenville State College, Marshall University, Shepherd University, West Liberty University, West Virginia School of Osteopathic Medicine West Virginia State University and West Virginia University.

(4) Subject to the approval of the council, the governing board of the community and technical college appoints a president for Blue Ridge Community and Technical College, BridgeValley Community and Technical College, Eastern West Virginia Community and Technical College, Mountwest Community and Technical College, New River Community and Technical College, Pierpont Community and Technical College, Southern West Virginia Community and Technical College, West Virginia Northern Community and Technical College and West Virginia University at Parkersburg.

(b) Other appointments. -- The President of West Virginia University appoints a campus president to be the administrative head of Potomac State College of West Virginia University and a campus president to be the administrative head of West Virginia University Institute of Technology.

(c) Evaluation of presidents. --

(1) The appointing governing board shall conduct written performance evaluations of the institution's president. Evaluations shall be done at the end of the initial contract period and in every third year of employment as president thereafter, recognizing unique characteristics of the institution and using institutional personnel, boards of advisors as appropriate, staff of the appropriate governing board and persons knowledgeable in higher education matters who are not otherwise employed by a governing board. A part of the evaluation shall be a determination of the success of the institution in meeting the requirements of its institutional compact and in achieving the goals, objectives and priorities established in articles one and one-d of this chapter.

(2) After reviewing the evaluations, the governing board shall make a determination by majority vote of its members on continuing employment and the compensation level for the president in accordance with subsection (a) of this section.

(d) The legislative rules of the commission and council promulgated in accordance with section six, article one of this chapter and article three-a, chapter twenty-nine-a of this code which are in effect on January 1, 2014, continue in effect unless amended or repealed. The rules provide guidance for the governing boards in filling vacancies in the office of president in accordance with this chapter and shall include, but are not limited to, clarifying the powers, duties and roles of the governing boards, commission, council and chancellors in the presidential appointment process.

ARTICLE 1D. HIGHER EDUCATION ACCOUNTABILITY.

§18B-1D-2. Definitions.

(a) General. -- For the purposes of this article and section one-a, article one of this chapter, terms have the meaning ascribed to them in section two, article one of this chapter, unless the context in which the term is used clearly requires a different meaning or a specific definition is provided in this section.

(b) Definitions. --

(1) "Accountability system for public higher education" or "accountability system" means all research, reports, documents, data and any other materials, the collection, analysis and dissemination of which are necessary or expedient to accomplish the purposes of this article or section one-a, article one of this chapter. The system includes legislative goals, objectives and priorities; public policy agendas; statewide master plans; state and institutional compacts; implementation plans; institutional mission statements and master plans; and the statewide report card.

(2) "Education partnership to achieve state goals and objectives" or "education partnership" means the formal and informal working relationships established between and among the State of West Virginia, the commission, the council, the State Board of Education and State Department of Education and the state institutions of higher education for the purpose of achieving state goals and objectives.

(3) "Functional literacy rate" means the percentage of adults over the age of seventeen who are able to read beyond a fourth grade level and interpret basic information from sources such as road signs, job applications, newspaper articles and food and medicine labels.

(4) "Goals" means those long-term public purposes which are the desired and expected end result for which public higher education is established.

(5) "Implementation plan" means a document developed within the higher education community that identifies a series of objectives, sets forth performance indicators that can be used to determine if objectives are being achieved, outlines strategies for accomplishing the objectives and identifies benchmarks for evaluating progress in accomplishing the objectives over the life cycle of the plan.

(6) "Institutional compact" means a formal, written contract between either the commission or council and a state institution of higher education under its jurisdiction expressing intent to accomplish state and system goals and objectives.

(7) "Institutions under the jurisdiction of the commission" relative to the accountability system established by this article and section one-a, article one of this chapter means Bluefield State College, Concord University, Fairmont State University, Glenville State College, Marshall University, Shepherd University, West Liberty State College, the West Virginia School of Osteopathic Medicine, West Virginia State University and West Virginia University, including Potomac State College of West Virginia University and the West Virginia University Institute of Technology: Provided, That the West Virginia School of Osteopathic Medicine shall cease to be under the jurisdiction of the commission for the purposes of this article upon its transfer to a not-for-profit corporation in accordance with section three, article two-d of this chapter.

(8) "Institutions under the jurisdiction of the council" relative to the accountability system established by this article and section one-a, article one of this chapter means Blue Ridge Community and Technical College, the Community and Technical College at West Virginia University Institute of Technology, Eastern West Virginia Community and Technical College, Marshall Community and Technical College, New River Community and Technical College, Pierpont Community and Technical College, Southern West Virginia Community and Technical College, West Virginia Northern Community and Technical College, West Virginia State Community and Technical College and West Virginia University at Parkersburg.

(9) "Net college costs" means the total cost of tuition, room and board minus the amount of financial aid a student receives.

(10) "Objectives" means the ends to be accomplished or attained within a specified period of time for the purpose of meeting the established goals.

(11) "Priority" or "priorities" means the order in which objectives are to be addressed for the purpose of achieving state goals.

(12) "Strategy" or "strategies" means specific activities carried out by public higher education which are directed toward accomplishing specific objectives.

(13) "Statewide master plan" or "system master plan" means a document developed by the council or commission that sets forth system goals, objectives and strategies and is aligned with, but not limited to, meeting state goals, objectives and priorities.

(14) "STEM courses and programs" means curricula leading to a degree or other recognized credential in the science, technology, engineering and mathematics fields of study or specialization.

(15) "State compact" means a formal, written agreement between the council and/or the commission and at least one other member of the education partnership to achieve state goals and objectives where significant collaboration and commitment of resources between the parties to the agreement is required in order to achieve the desired results.

§18B-1D-7. Findings; establishment of institutional compacts; compact elements; submission date; review and approval process; rule required.

(a) The Legislature finds that West Virginia long has recognized the value of education and, on a per capita income basis, ranks very high among the states in its investment to support public education. The Legislature further finds that a combination of state and national demographic and economic factors as well as significant changes in methods of course and program delivery compel both the state and public higher education to create a process that will strengthen institutional capacity to provide the services so valued by the citizens of the state and so essential to promoting economic vitality.

(b) Therefore, each state college and university shall prepare an institutional compact for submission to the commission and each community and technical college shall prepare an institutional compact for submission to the council. When the process herein provided is completed, the resulting institutional compact constitutes a negotiated contract between the state institution of higher education and the commission or council, respectively, containing at a minimum the following basic components:

(1) Institutional strategies for focusing resources on meeting the goals and objectives set forth in this article and section one-a, article one of this chapter; and

(2) Commission or council strategies for promoting and supporting the institution in fulfilling its mission and objectives, to make it more competitive with its peers and to ensure the continuity of academic programs and services to its students.

(c) In addition to the basic contract components described in subsection (b) of this section, each compact shall contain at least the following elements:

(1) A determination of the mission of the institution which specifically addresses changes necessary or expedient to accomplish the goals and objectives articulated by the state and the appropriate statewide master plan;

(2) A detailed statement of how the compact is aligned with and will be implemented in conjunction with the master plan of the institution;

(3) A comprehensive assessment of education needs within the institution's geographic area of responsibility;

(4) A strategy to ensure access to comprehensive community and technical college and workforce development services within each respective region of the state consistent with the mission of the institution;

(5) Provision for collaboration and brokering of education services as necessary or expedient to carry out the institutional mission and meet its objectives;

(6) Provision of student services at the optimum level to support the institutional mission and to achieve state goals and objectives;

(7) Strategies for using existing infrastructure and resources within each region, where feasible, to increase student access while controlling costs and maintaining academic quality; and

(8) Other public policy objectives or initiatives adopted by the commission or council pursuant to the intent and purposes of this article and section one-a, article one of this chapter.

(d) Each institutional compact shall be updated annually and shall follow the same general guidelines contained in this section.

(e) Development and updating of the institutional compacts is subject to the following conditions:

(1) The ultimate responsibility for developing and updating the compacts at the institutional level resides with the board of advisors or the board of Governors, as appropriate. It is the responsibility of the commission or council to provide technical assistance as requested and to negotiate with the institution development of the strategies to promote and support the institution pursuant to subsection (b) of this section;

(2) The commission and the council each shall establish a date by which institutions under their respective jurisdictions shall submit their compacts to the commission or council pursuant to the provisions of this article. The date established by each state-level coordinating board shall apply uniformly to all institutions under the jurisdiction of that coordinating board and shall meet the following additional conditions:

(A) Allow sufficient time for careful analysis of the compacts by the central office staff and for review by members of the commission or the council, as appropriate; and

(B) Allow sufficient time for the institutions to make necessary revisions to the compacts as provided in this section.

(3) The commission and council shall review each compact from the institutions under their respective jurisdictions and either adopt the compact or return it with specific comments for change or improvement. The commission and council, respectively, shall continue this process as long as each considers advisable;

(4) By May 1 annually, if the institutional compact of any institution as presented by that institution is not adopted by the respective commission or council, then the commission or council is empowered and directed to develop and adopt the institutional compact for the institution and the institution is bound by the compact so adopted; and

(5) As far as practicable, the commission and council each shall establish uniform processes and forms for the development and submission of the institutional compacts by the institutions under their respective jurisdictions, taking into consideration the differences in institutional missions and objectives. As a part of this function, the commission and council each shall organize the statements of legislative goals and objectives contained in this article and section one-a, article one of this chapter in a manner that facilitates the purposes therein.

(f) Assignment of geographic areas of responsibility. -–

(1) The commission shall assign geographic areas of responsibility to the state institutions of higher education under its jurisdiction, except for the state institutions of higher education known as West Virginia School of Osteopathic Medicine Marshall University and West Virginia University. For institutions other than the state institutions of higher education known as West Virginia School of Osteopathic Medicine Marshall University and West Virginia University, the geographic areas of responsibility are made a part of their institutional compacts to ensure that all areas of the state are provided necessary programs and services to achieve state goals and objectives. The commission and the council each shall develop data-based measures to determine the extent to which institutions under their respective jurisdictions are providing higher education services aligned with state goals and objectives and institutional missions within their geographic areas of responsibility. This information shall be reported in the statewide report card established pursuant to section eight of this article.

(2) The council shall assign geographic areas of responsibility to the state institutions of higher education under its jurisdiction, including the administratively linked institution known as Marshall Community and Technical College, the administratively linked institution known as the Community and Technical College at West Virginia University Institute of Technology and the regional campus known as West Virginia University at Parkersburg.

(3) The geographic areas of responsibility for the state institutions of higher education known as West Virginia School of Osteopathic Medicine Marshall University and West Virginia University are assigned by the Legislature.

(4) The benchmarks established in the institutional compacts include measures of programs and services by geographic area throughout the assigned geographic area of responsibility.

(g) The compacts shall contain benchmarks to be used to determine progress toward meeting the objectives established in the compacts. The benchmarks shall meet the following criteria:

(1) They shall be objective;

(2) They shall be directly linked to the objectives in the compacts;

(3) They shall be measured by the indicators described in subsection (h) of this section; and

(4) Where applicable, they shall be used to measure progress in geographic areas of responsibility.

(h) The rules required by subsection (c), section one of this article shall include indicators which measure the degree to which the goals and objectives set forth in this article and section one-a, article one of this chapter are being met by the institutions under the jurisdiction of the commission and the council, respectively.

(1) The rules pertaining to benchmarks and indicators in effect for the commission and the council on the effective date of this section remain in effect for the institutions under their respective jurisdictions until amended, modified, repealed or replaced by the commission or the council, respectively, pursuant to the provisions of this article, section six, article one of this chapter and article three-a, chapter twenty-nine-a of this code.

(2) The rules shall set forth at least the following as pertains to all state institutions of higher education:

(A) The indicators used to measure the degree to which the goals and objectives are being met;

(B) Uniform definitions for the various data elements to be used in establishing the indicators;

(C) Guidelines for the collection and reporting of data; and

(D) Sufficient detail within the benchmarks and indicators to provide the following information:

(i) Measurable evidence that the pursuits of the institution are focused on the education needs of the citizens of the state and are aligned with the objectives of the institutional compacts and statewide master plans;

(ii) Delineation of the objectives and benchmarks for an institution so that the commission or council can precisely measure the degree to which progress is being made toward achieving the goals and objectives provided in this article and section one-a, article one of this chapter; and

(iii) Identification of specific objectives within the master plan or compact of an institution that are not being met or toward which sufficient progress is not being made.

(3) In addition to any other requirement, the rule established by the council shall set forth at least the following as pertains to community and technical college education:

(A) Benchmarks and indicators which are targeted to identify the following:

(i) The degree to which progress is being made by institutions toward meeting state goals and objectives and the essential conditions for community and technical college education pursuant to section three, article three-c of this chapter;

(ii) Information and data necessary to be considered by the council in making the determination required by section three, article two-c of this chapter; and

(B) Sufficient detail within the benchmarks and indicators to provide clear evidence to support an objective determination by the council that an institution's progress toward achieving state goals and objectives and the essential conditions for community and technical college education is so deficient that implementation of the provisions of section four, article two-c of this chapter is warranted and necessary.

(i) The commission and the council, respectively, shall approve the compacts developed for the institutions under their respective jurisdictions by the boards of Governors or the boards of advisors pursuant to this section and consistent with the powers and duties prescribed in section four, article two-a of this chapter and section one, article six of this chapter.

ARTICLE 2. UNIVERSITY OF WEST VIRgiNIA BOARD OF TRUSTEES.

§18B-2-5. Establishment and operation of a state school of osteopathic medicine; authority and duty to purchase property, expend appropriations and conduct programs of the West Virginia School of Osteopathic Medicine.

The board of trustees shall operate and maintain the state school of osteopathy, known as the "West Virginia School of Osteopathic Medicine" and located in Lewisburg, Greenbrier County, as previously established by the board of regents, as a part of the University of West Virginia as defined in section two, article one of this chapter. The title to all the real property and all facilities and equipment of the West Virginia School of Osteopathic Medicine and the previously existing Greenbrier College of Osteopathic Medicine, located at Lewisburg, Greenbrier County, shall be and remain vested in the board of trustees. The title to any such property originally acquired by or vested in the name of the board of regents is hereby transferred to and shall remain vested in the board of trustees.

The board of trustees shall employ a president and such staff and faculty as determined appropriate for the school, appoint an advisory board consistent with section one, article six of this chapter and exercise general determination, control, supervision and management of the financial, business and educational policies and affairs of the school of osteopathic medicine.

The school shall be authorized to offer such curricula, programs, courses and services and confer such degrees as may be approved by the board of trustees. The board of trustees shall fix tuition and establish and set other fees to be charged students as it deems appropriate, including the establishment of special fees for specific purposes. Special fees shall be paid into special funds and be used only for the purposes for which said fees were collected.

The board of trustees shall expend from the appropriations allocated for the West Virginia School of Osteopathic Medicine such funds as are necessary for the operation and conduct of programs, the acquisition of clear title to the property of the Greenbrier College of Osteopathic Medicine, and for necessary capital improvements. The title to all property purchased for the use of the West Virginia School of Osteopathic Medicine shall be vested in the board of trustees.

The board of trustees is authorized to enter into contracts on behalf of the West Virginia School of Osteopathic Medicine with public and private educational institutions, agencies and boards, with governmental agencies and with corporations, partnerships, and individuals for the performance of instructional or other services.

The board of trustees is hereby specifically authorized to contract with the West Virginia anatomical board and the West Virginia anatomical board is hereby specifically authorized to contract with the board of trustees on behalf of the West Virginia School of Osteopathic Medicine for the requisition, use, disposition and control of any body as may come under the authority of the anatomical board: Provided, That such body be used exclusively for educational purposes of the West Virginia School of Osteopathic Medicine.

The board of trustees is further authorized to contract with any other person, corporation or entity for the purchase of cadavers for educational purposes at the West Virginia School of Osteopathic Medicine, notwithstanding any provision of law to the contrary.

The provisions of this section shall expire upon the transfer of the West Virginia School of Osteopathic Medicine to a not-for-profit corporation in accordance with article two-d of this chapter.

ARTICLE 2A. INSTITUTIONAL BOARD OF GOVERNORS.

§18B-2A-1. Findings; composition of boards; terms and qualifications of members; vacancies; eligibility for reappointment.

(a) Findings. –

The Legislature finds that the State of West Virginia is served best when the membership of each governing board includes the following:

(1) The academic expertise and institutional experience of faculty members and a student of the institution governed by the board;

(2) The technical or professional expertise and institutional experience of a classified employee of the institution governed by the board;

(3) An awareness and understanding of the issues facing the institution governed by the board; and

(4) The diverse perspectives that arise from a membership that is balanced in terms of gender and varied in terms of race and ethnic heritage.

(b) Boards of Governors established. –

A board of Governors is continued at each of the following institutions: Bluefield State College, Blue Ridge Community and Technical College, Bridgemont Community and Technical College, Concord University, Eastern West Virginia Community and Technical College, Fairmont State University, Glenville State College, Kanawha Valley Community and Technical College, Mountwest Community and Technical College, Marshall University, New River Community and Technical College, Pierpont Community and Technical College, Shepherd University, Southern West Virginia Community and Technical College, West Liberty University, West Virginia Northern Community and Technical College, the West Virginia School of Osteopathic Medicine, West Virginia State University, West Virginia University and West Virginia University at Parkersburg: Provided, That the West Virginia School of Osteopathic Medicine shall cease to continue as a recognized board of Governors for the purposes of this section upon its transfer to a not-for-profit corporation in accordance with section three, article two-d of this chapter.

(c) Board membership. –

(1) An appointment to fill a vacancy on the board or reappointment of a member who is eligible to serve an additional term is made in accordance with the provisions of this section.

(2) The Board of Governors for Marshall University consists of sixteen persons. The Board of Governors for West Virginia University consists of seventeen persons. The boards of Governors of the other state institutions of higher education consist of twelve persons.

(3) Each board of Governors includes the following members:

(A) A full-time member of the faculty with the rank of instructor or above duly elected by the faculty of the respective institution;

(B) A member of the student body in good academic standing, enrolled for college credit work and duly elected by the student body of the respective institution; and

(C) A member from the institutional classified employees duly elected by the classified employees of the respective institution;

(4) For the Board of Governors at Marshall University, thirteen lay members appointed by the Governor, by and with the advice and consent of the Senate, pursuant to this section;

(5) For the Board of Governors at West Virginia University, twelve lay members appointed by the Governor, by and with the advice and consent of the Senate, pursuant to this section, and additionally:

(A) The Chairperson of the Board of Visitors of West Virginia University Institute of Technology;

(B) A full-time faculty member representing the extension service at the institution or a full-time faculty member representing the health sciences, selected by the faculty senate.(6) For each board of Governors of the other state institutions of higher education, nine lay members appointed by the Governor, by and with the advice and consent of the Senate, pursuant to this section.

(A) Of the nine members appointed by the Governor, no more than five may be of the same political party. Of the thirteen members appointed by the Governor to the governing board of Marshall University, no more than eight may be of the same political party. Of the twelve members appointed by the Governor to the governing board of West Virginia University, no more than seven may be of the same political party.

(B) Of the nine members appointed by the Governor, at least five shall be residents of the state. Of the thirteen members appointed by the Governor to the governing board of Marshall University, at least eight shall be residents of the state. Of the twelve members appointed by the Governor to the governing board of West Virginia University, at least seven shall be residents of the state.

(7) In making lay appointments, the Governor shall consider the institutional mission and membership characteristics including the following:

(A) The need for individual skills, knowledge and experience relevant to governing the institution;

(B) The need for awareness and understanding of institutional problems and priorities, including those related to research, teaching and outreach;

(C) The value of gender, racial and ethnic diversity; and

(D) The value of achieving balance in gender and diversity in the racial and ethnic characteristics of the lay membership of each board.

(d) Board member terms. –

(1) The student member serves for a term of one year. Each term begins on July 1.

(2) The faculty member serves for a term of two years. Each term begins on July 1. Faculty members are eligible to succeed themselves for three additional terms, not to exceed a total of eight consecutive years.

(3) The member representing classified employees serves for a term of two years. Each term begins on July 1. Members representing classified employees are eligible to succeed themselves for three additional terms, not to exceed a total of eight consecutive years.

(4) The appointed lay citizen members serve terms of four years each and are eligible to succeed themselves for no more than one additional term, except that citizen members who are appointed to fill unexpired terms are eligible to succeed themselves for two full terms after completing an unexpired term.

(5) A vacancy in an unexpired term of a member shall be filled for the unexpired term within thirty days of the occurrence of the vacancy in the same manner as the original appointment or election. Except in the case of a vacancy, all elections are held and all appointments are made no later than June 30 preceding the commencement of the term. Each board of Governors shall elect one of its appointed lay members to be chairperson in June of each year. A member may not serve as chairperson for more than four consecutive years.

(6) The appointed members of the boards of Governors serve staggered terms of up to four years except that four of the initial appointments to the governing boards of community and technical colleges that became independent July 1, 2008, are for terms of two years and five of the initial appointments are for terms of four years.

(e) Board member eligibility, expenses. –

(1) A person is ineligible for appointment to membership on a board of Governors of a state institution of higher education under the following conditions:

(A) For a baccalaureate institution or university, a person is ineligible for appointment who is an officer, employee or member of any other board of Governors; an employee of any institution of higher education; an officer or member of any political party executive committee; the holder of any other public office or public employment under the government of this state or any of its political subdivisions; an employee of any affiliated research corporation created pursuant to article twelve of this chapter; an employee of any affiliated foundation organized and operated in support of one or more state institutions of higher education; or a member of the council or commission. This subsection does not prevent the representative from the faculty, classified employees, students or the superintendent of a county board of education from being members of the governing boards.

(B) For a community and technical college, a person is ineligible for appointment who is an officer, employee or member of any other board of Governors; a member of a board of visitors of any public institution of higher education; an employee of any institution of higher education; an officer or member of any political party executive committee; the holder of any other public office, other than an elected county office, or public employment, other than employment by the county board of education, under the government of this state or any of its political subdivisions; an employee of any affiliated research corporation created pursuant to article twelve of this chapter; an employee of any affiliated foundation organized and operated in support of one or more state institutions of higher education; or a member of the council or commission. This subsection does not prevent the representative from the faculty, classified employees or students from being members of the governing boards.

(2) Before exercising any authority or performing any duties as a member of a governing board, each member shall qualify as such by taking and subscribing to the oath of office prescribed by section five, article IV of the Constitution of West Virginia and the certificate thereof shall be filed with the Secretary of State.

(3) A member of a governing board appointed by the Governor may not be removed from office by the Governor except for official misconduct, incompetence, neglect of duty or gross immorality and then only in the manner prescribed by law for the removal of the state elective officers by the Governor.

(4) The members of the board of Governors serve without compensation, but are reimbursed for all reasonable and necessary expenses actually incurred in the performance of official duties under this article upon presentation of an itemized sworn statement of expenses.

(5) The president of the institution shall make available resources of the institution for conducting the business of its board of Governors. All expenses incurred by the board of Governors and the institution under this section are paid from funds allocated to the institution for that purpose.

ARTICLE 2D. WEST VIRGINIA SCHOOL OF OSTEOPATHIC MEDICINE.

§18B-2D-1. Legislative Findings.

(a) The Legislature hereby makes the following findings:

(1) Access to quality medical education in the state is critical to the long-term health and welfare of the citizens of this state.

(2) If medical education can be improved and expanded by reducing state involvement and control over certain medical education components, then the Legislature should take steps to reduce such involvement and control.

(3) The West Virginia School of Osteopathic Medicine currently does not hold any bonds or have any indebtedness to the state, and would greatly benefit from increased flexibility in its medical education operations, and possesses the financial stability to operate privately without long-term reliance on state appropriations.

(4) Allowing the West Virginia School of Osteopathic Medicine to become a private not-for-profit corporation would greatly benefit the institution by providing it greater flexibility and freedom in providing medical education, and thus, would greatly enhance the quality of medical education in this state.

(5) It would be in the best long-term interest of the state, the health and welfare of its citizens, and the West Virginia School of Osteopathic Medicine to effectuate the transfer of the West Virginia School of Osteopathic Medicine from a state institution to a not-for-profit corporation.

(b) The legislative purpose of this article is to effectuate the transfer of the West Virginia School of Osteopathic Medicine and its board of Governors from a state institution to a not-for-profit corporation and its governing board of trustees.

§18B-2D-2. Definitions.

(a) “Board of Governors” means the state-established governing body of the West Virginia School of Osteopathic Medicine prior to the enactment of this article.

(b) “Board of trustees” means the governing body of the private not-for-profit corporation created in accordance with this article.

(c) “WVSOM” means the West Virginia School of Osteopathic Medicine.

§18B-2D-3. Transfer of the West Virginia School of Osteopathic Medicine from a state institution to a private not-for-profit corporation; creation of a private governing board of trustees.

(a) Effective July 1, 2018, “West Virginia School of Osteopathic Medicine” located in Lewisburg, Greenbrier County, may be transferred by the board of Governors from a state owned and operated public institution to a private not-for-profit corporation. Upon such transfer to a not-for-profit corporation, WVSOM shall cease being a state owned and operated public institution.

(b)  Prior to July 1, 2018, the board of Governors of WVSOM shall take such actions as are necessary to establish a private not-for-profit corporation in accordance with chapter thirty-one-e of this code. The corporation created pursuant to this section shall be governed by the board of trustees.

(c)  Effective July 1, 2018, the board of Governors may transfer and assign all right, title, and interest in and to all assets of WVSOM and its board of Governors to a private not-for-profit corporation formed in accordance with subsection (b). Assets of WVSOM and its board of Governors which shall be transferred include, but are not limited to, all real property, facilities, buildings, equipment, records (electronic and hard copy), intellectual property, and all contracts obtained on behalf of the institution and the rights and obligations thereunder.

(d)  All right, title, and interest in and to all real property owned by the board of Governors shall be transferred and deeded to the not-for-profit corporation: Provided, That the deed transfer shall be in fee simple subject to condition subsequent and shall prohibit the not-for-profit corporation from ever becoming a for-profit corporation or selling the property to a for-profit corporation. All real property shall be transferred to the not-for-profit corporation, but if the not-for-profit corporation becomes a for-profit corporation or takes affirmative steps to effectuate the sale or transfer of the real property to a for-profit corporation, then the state shall have a right of reentry.

(e)  On the date of transfer, the board of Governors shall disburse to the corporation all moneys controlled and administered by the board of Governors held in any State Treasury fund or account.  All other moneys held for the benefit of WVSOM, as a state entity, its board of Governors, or its current and former employees shall also be transferred on that date to the corporation by any agency holding such moneys. The State Auditor and the State Treasurer shall assist in the transfer of all moneys controlled and administered by the board of Governors or held for the benefit of WVSOM, as a state entity, its board of Governors, and its current and former employees.

(f) For the duration of its existence, the not-for-profit corporation established pursuant to this section is not and shall not be considered a department, unit, agency, or instrumentality of the state for any purpose. All debts, claims, obligations, and liabilities of the corporation, whenever incurred, shall be the debts, claims, obligations, and liabilities of the corporation only and not of the state or any department, unit, agency, instrumentality, officer or employee of the state.

(g) The moneys of the corporation established pursuant to this section or the governing board of trustees shall not be considered part of the General Revenue Fund of the state.

(h) All debts, claims, obligations, and liabilities of WVSOM, its board of Governors, and its employees as employees of the state incurred prior to the date of transfer or incurred after the date of such transfer, if relating to an occurrence that took place prior to the transfer, shall continue to be considered debts, claims, obligations, and liabilities of the state until satisfied or resolved.

(i)  Effective upon the transfer of WVSOM to a not-for-profit corporation, any reference to the “West Virginia School of Osteopathic Medicine” in this code shall be a reference to the not-for-profit corporation established pursuant to this section. 

§18B-2D-4. Certain personnel provisions concerning the transfer of employees.

(a) Immediately upon the transfer of WVSOM and all of its assets to the not-for-profit corporation in accordance with section three, all WVSOM employees shall become at-will employees of the not-for-profit corporation.

(b) Any person who:

(1) Was an employee of the board of Governors on July 1, 2018;

(2) Was an employee of the board of Governors who became an employee of the corporation created in accordance with this article upon the transfer date; and

(3) Is laid off by the corporation created in accordance with this article on or before July 1, 2019, is entitled to be placed on an appropriate reemployment list maintained by the Division of Personnel and to be allowed a preference on that list. The Division of Personnel shall maintain such an employee on the reemployment list indefinitely, or until the employee has declined three offers of employment at a paygrade substantially similar to that of his or her position at the corporation upon the termination of employment, or until he or she is employed by the executive branch of state government or a state institution of higher education, whichever occurs earlier.

(c) (1) Any employee of the board of Governors as of the transfer date who possesses certain conversion rights for his or her accrued and unused sick and annual leave under section thirteen, article sixteen, chapter five of this code in existence as of the transfer date had the employee retired on the transfer date shall select in writing within thirty days of employment with the not-for-profit corporation created in accordance with this article whether to:

(i) Request that the corporation freeze all or a portion of the balance of the employee’s accrued and unused leave in existence as of the effective date of employment with the corporation or

(ii) Request the transfer to the corporation of all or such portion of the balance of the employee’s accrued and unused leave not selected to be frozen. 

(2) An employee’s balance of accrued and unused sick and annual leave for purposes of this section shall mean that balance which existed as of the effective date of the employee’s employment with the corporation.  Any leave selected to be frozen shall be held by the corporation until such time as the employee may exercise his or her conversion rights upon retirement.  Any leave transferred to the corporation forfeits its ability to be converted under law upon the employee’s retirement from the corporation.  Any annual leave surrendered by an employee through the state for a taxable cash benefit may not be transferred to the corporation.

(d) Any employee of the board of Governors as of the transfer date who does not possess any conversion rights as set forth in subsection (c) of this section shall have his or her entire accrued and unused leave balance transferred to the not-for-profit corporation created in accordance with this article upon employment with the corporation.  Any annual leave surrendered by an employee through the state for a taxable cash benefit may not be transferred to the corporation.

(e) All employees of the board of Governors at the date of transfer shall cease to be eligible for insurance benefits through the Public Employee Insurance Agency.

(f) The Higher Education Policy Commission, the Division of Personnel, the State Auditor, and the State Treasurer shall cooperate fully by assisting in all activities necessary to expedite all changes for the board of Governors and employees as set forth in this article.

§18B-2D-5. Exemptions from certain requirements.

(a) In order to transfer WVSOM from a state institution to a not-for-profit corporation as expeditiously as possible, the transactions provided by this article shall be exempt from the bidding and public sale requirements, from the approval of contractual agreements by the Department of Administration, the State Auditor, the State Treasurer, the Higher Education Policy Commission or the Attorney General, from the requirements of article five of this chapter, and from any other requirements limiting such transactions.

(b) WVSOM, as a not-for-profit corporation created in accordance with this article, shall not be subject to laws governing state entities, including, but not limited to, the following provisions of state code and any regulations promulgated thereunder:

(1) Article three, chapter five-a of this code;

(2) Article nine-a, chapter six of this code;

(3) Article two, chapter six-b of this code;

(4) Chapter six-c of this code;

(5) Chapter twelve of this code;

(6) Article six, chapter twenty-nine of this code; and

(7) Chapter twenty-nine-b of this code.

(c) The corporation created in accordance with this article, its board of trustees, and all real property belonging to it shall not be subject to the jurisdiction of any municipal or county historic landmark commission established pursuant to article twenty-six-a, chapter eight of this code, or any municipal or county ordinance enacted which imposes any type of tax or fee, or any municipal or county ordinance enacted which regulates building construction for the purposes of historic preservation.

§18B-2D-6. Preservation of certain rights and access to state programs.

(a) Students enrolled at WVSOM, as a not-for-profit corporation, shall continue to be eligible for the Health Professionals Education Loan Program established pursuant to article three, chapter eighteen-c of this code and the Higher Education Grant program established pursuant to article five, chapter eighteen-c of this code.

(b) WVSOM, as a not-for-profit corporation, shall continue to be eligible for state or agency grant opportunities, including, but not limited to, rural health initiative grants administered by the Higher Education Policy Commission or other entity authorized to approve or distribute such grants.

(c) WVSOM, as a not-for-profit corporation, is hereby specifically authorized to contract with the West Virginia anatomical board and the West Virginia anatomical board is hereby specifically authorized to contract with the West Virginia School of Osteopathic Medicine for the requisition, use, disposition and control of any body as may come under the authority of the anatomical board: Provided, That such body be used exclusively for educational purposes of the West Virginia School of Osteopathic Medicine.

(d) WVSOM, as a not-for-profit corporation, is further authorized to contract with any other person, corporation or entity for the purchase of cadavers for educational purposes at the West Virginia School of Osteopathic Medicine, notwithstanding any provision of law to the contrary.

(e) WVSOM, as a not-for-profit corporation, may continue to participate in any program or agreement with the West Virginia State Board of Risk and Insurance Management authorized under section five, article five of this chapter.

§18B-2D-7. Establishment of the WVSOM West Virginia Student Tuition Transition Fund.

(a) Upon the enactment of this article in 2017, there is hereby established in the State Treasury the “WVSOM West Virginia Student Tuition Transition Fund”, over which the State Treasurer is custodian and which is to be administered by the Higher Education Policy Commission. Moneys appropriated to the fund shall be utilized exclusively to ensure that every student enrolled at WVSOM on the date of transfer and who has qualified for an in-state tuition rate at the time of this article’s enactment is not subjected to an increase in tuition costs.

(b) The Higher Education Policy Commission shall make four disbursements from the “WVSOM West Virginia Student Tuition Transition Fund” to the West Virginia School of Osteopathic Medicine on the following schedule:

(1) On July 1, 2018, the Commission shall disburse $2,500,000 to the West Virginia School of Osteopathic Medicine.

(2) On July 1, 2019, the Commission shall disburse $2,500,000 to the West Virginia School of Osteopathic Medicine.

(3) On July 1, 2020, the Commission shall disburse $2,200,000 to the West Virginia School of Osteopathic Medicine.

(4) On July 1, 2021, the Commission shall disburse $2,200,000 to the West Virginia School of Osteopathic Medicine.

ARTICLE 14. MISCELLANEOUS.

§18B-14-10. Credit card solicitation on college campuses; regulation of credit card marketing.

(a) Definitions. -– For the purposes of this section, the following terms have the following meanings:

(1) "College campus" includes the premises and grounds of an institution of higher education;

(2) "Credit card debt education brochure" means the information developed by a college or university, by a registered nonprofit corporation or by other sources as identified and approved by the institution of higher education, that details the appropriate use, benefits and risks of incurring debt through the use of credit cards;

(3) "Credit card marketer" includes a person, corporation, financial institution or business entity that promotes, offers or accepts applications for a credit card;

(4) "Institution of higher education" means any of the following:

(i) A community college or technical college as defined in subsection (e), section two, article one of this chapter; and

(ii) Bluefield State College, Concord College, Glenville State College, Fairmont State College, Marshall University, West Virginia Northern Community College, West Liberty State College, Potomac State College of West Virginia University, Shepherd College, West Virginia University Institute of Technology, Southern West Virginia Community Institute of Technology, West Virginia University at Parkersburg, West Virginia school of osteopathic medicine West Virginia State College, West Virginia University and all branch campuses of these institutions of higher education; and

(5) "Student" means a person who is at least eighteen years of age and who attends an institution of higher education whether on a full-time or part-time basis.

(b) The governing boards of each institution shall propose rules in accordance with the rule adopted by the Higher Education Policy Commission pursuant to the provisions of section six, article one of this chapter no later than July 1, 2003, to regulate the marketing practices used on campuses by credit card companies. In proposing these rules, the governing boards shall consider the following requirements:

(1) Registering on-campus credit card marketers;

(2) Limiting credit card marketers to specific institutional campus sites designated by the president or administrative head of the institution or his or her designee;

(3) Prohibiting credit card marketers from offering tangible gifts to students in exchange for completing a credit card application;

(4) Requiring that no application for the extension of debt through a credit card may be made available to a student unless the application is accompanied by a credit card debt education brochure;

(5) Whether or not to use or the appropriate use of student lists for the purpose of soliciting applications for credit cards; and

(6) Developing a credit card debt education presentation to be incorporated into orientation programs offered to new students.

(c) Unless a student's parent or guardian has agreed in writing to be liable as a cosigner for credit card debts of the student, no person may initiate a debt collection action against the parent or guardian regarding any credit card debt incurred by the student.

 

 

NOTE: The purpose of this bill is to transition the West Virginia School of Osteopathic Medicine from a state owned and operated entity to a not-for-profit corporation.

Strike-throughs indicate language that would be stricken from a heading or the present law and underscoring indicates new language that would be added.