The Higher Education Omnibus Appropriations Bill, in addition to setting the biennial budget for the University, also sets up a back-up fund of $5 million.
The money is to be released in $1 million increments by the Commissioner of Finance each time the University reaches one of its five performance goals.
These goals include:
ù increases in the number of minority students and minority or female staff,
ù a higher graduation rate,
ù more incoming freshmen in the top 25 percent of their high school class,
ù an increase in the number of credits issued through telecommunications, and
ù an increase in the rate of retention.
Rep. Becky Kelso, DFL-Shakopee, who co-wrote the bill, said the money is “performance funding” and is fashioned after the U2000 plan set by University President Nils Hasselmo.
Kerry Fine, an analyst for Kelso’s bill, said the University is “likely to get all or almost all of the money.”
Lisa DeRemee, executive budget officer for the Department of Finance, said the money is appropriated for release beginning July 1, 1996, which is the beginning of the 1997 fiscal year.
The University will submit documents to demonstrate that the goals have been met, DeRemee said.
“It is my expectation that the University will achieve all five (goals) and be qualified for the full $5 million,” said DeRemee.