House Bill 1376

AN ACT TO CREATE A NEW SECTION TO BE CODIFIED AS SECTION 37-101-26, MISSISSIPPI CODE OF 1972, TO CREATE THE BOARD OF TRUSTEES OF STATE INSTITUTIONS OF HIGHER LEARNING ENDOWMENT PARTNERSHIP TRUST FUND PROGRAM FOR THE PURPOSE OF PROVIDING CHALLENGE GRANTS TO INSTITUTIONS FOR ENDOWED FACULTY POSITIONS AND PROFESSORSHIPS, TO PROVIDE FOR THE APPROPRIATION AND ALLOCATION OF FUNDS TO THE TRUST FUND, TO PROVIDE FOR THE DISBURSEMENT OF FUNDS TO INSTITUTIONS, TO AUTHORIZE THE BOARD OF TRUSTEES TO CREATE ENDOWED FACULTY POSITIONS AND PROFESSORSHIPS, AND TO REQUIRE THE BOARD OF TRUSTEES TO ANNUALLY REPORT TO THE LEGISLATURE ON THE STATUS OF THE PROGRAM; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. The following shall be codified as Section 37-101-26, Mississippi Code of 1972:

37-101-26. (1) There is created the Board of Trustees of State Institutions of Higher Learning Endowment Partnership Trust Fund. The purpose of the trust fund is to encourage a public/private partnership by the state institutions of higher learning and to assist in fundraising for the institutions through a matching program to be known as the Board of Trustees of State Institutions of Higher Learning Endowment Partnership Program. Under this program, monies in the trust fund may be used to provide challenge grants for the specific purpose of raising funds to be used by the state institutions of higher learning in endowing faculty positions and professorships in order to attract eminent scholars to join the faculties of the state institutions.

(2) The members of the Board of Trustees of State Institutions of Higher Learning shall serve as trustees of the Board of Trustees of State Institutions of Higher Learning Endowment Partnership Trust Fund.

(3) The Board of Trustees of State Institutions of Higher Learning Endowment Partnership Trust Fund shall be a budget unit for purposes of the appropriation of state funds. The trust fund shall consist of monies appropriated by the Legislature to the trust fund by line item appropriation and any other funds that the Board of Trustees of State Institutions of Higher Learning, in its discretion, elects to allocate to the trust fund from any available funds. The Legislature may not directly or indirectly decrease any state appropriation for the operation or capital support of the state institutions of higher learning due to the creation and existence of the trust fund. Monies appropriated or allocated to the trust fund are deemed to be contractually obligated for the purposes specified in this section, and any funds remaining in the trust fund at the end of any fiscal year shall not lapse into the General Fund.

(4) The trustees of the Board of Trustees of State Institutions of Higher Learning Endowment Partnership Program may make challenge grants to state institutions. The trustees shall adopt rules, regulations and standards governing the awarding of challenge grants under this section.

(5) Money in the Board of Trustees of State Institutions of Higher Learning Endowment Partnership Fund may be disbursed for the following endowment purposes in the following amounts:

(a) For endowed faculty positions, an amount not to exceed Fifty Thousand Dollars ($50,000.00) for each position; and

(b) For endowed professorships, an amount not to exceed Two Hundred Fifty Thousand Dollars ($250,000.00) for each professorship.

Depending on the total funds available in the Board of Trustees of State Institutions of Higher Learning Endowment Partnership Trust Fund, the amounts set forth in this subsection may be revised at any time by the trustees of the Board of Trustees of State Institutions of Higher Learning Endowment Partnership Program in order to maximize the benefits that may result from endowing one or more faculty positions or professorships in any fiscal year. The entire amount of funds granted to a particular state institution must be invested and maintained by that institution and, together with any income from such investment, must be used for the purpose of endowing a faculty position or professorship at the state institutions of higher learning. No funds may be disbursed under this section except upon the express written condition that the funds and the earnings on those funds be used as provided in this section.

(6) Endowed faculty positions and professorships may be created by the Board of Trustees of State Institutions of Higher Learning for any approved program of study at a state institution. Persons selected to hold such faculty positions or professorships must be selected under such procedures as may be established by the Institutional Executive Officer of the state institution at which the faculty position or professorship is established.

(7) Before December 1 of each year, the Board of Trustees of State Institutions of Higher Learning shall submit a report to the Chairs of the Appropriations and Universities and Colleges Committees of the House of Representatives and Senate on the status of the Board of Trustees of State Institutions of Higher Learning Endowment Partnership Program. The report must include a description of the endowed faculty and professorship programs created at each institution and the amount of funds granted from the Board of Trustees of State Institutions of Higher Learning Endowment Partnership Trust Fund in support of each endowed program.

SECTION 2. This act shall take effect and be in force from and after July 1, 2006.