SB 242

SB 242 was signed into law by Governor John Kitzhaber on June 30. It passed the Oregon Senate June 17 and the Oregon House of Representatives on June 27.

Creates Higher Education Coordinating Commission. Grants commission authority to coordinate higher education policy with Oregon University System and community colleges. Abolishes Office of Degree Authorization within Oregon Student Assistance Commission and transfers functions to Higher Education
Coordinating Commission. Renames Office of Degree Authorization Account to Degree Authorization Account. Renames Oregon Student Assistance Commission to Oregon Student Access Commission.

Redefines Oregon University System as public university system with more authority and independence to manage affairs, operations and obligations. Creates process for State Board of Higher Education to enter into performance compact with state in conjunction with biennial funding request. Eliminates requirement to seek expenditure limitation to spend other available moneys, including enrollment fees collected from students. Revises current process for setting enrollment fees by requiring student and student government participation, subject to limits set by Higher Education Coordinating Commission. Exempts Oregon University System from certain laws relating to state agencies.

Grants State Board of Higher Education power of eminent domain. Grants board authority to purchase insurance, after reporting to Legislative Assembly. Authorizes board to offer fee remissions to students. Increases membership of board. Authorizes board to purchase property and construct facilities without seeking legislative approval if purchase or construction is to be completed without appropriating General Fund moneys or using general obligation bonds. Credits all interest earned in Oregon University System Fund to Oregon University System.