Alabama § 41-4-98 - Annual Report as to Certain Fund Receipts and Expenditures - Public Institutions of Higher Education.

§ 41-4-98. Annual Report as to Certain Fund Receipts and Expenditures - Public Institutions of Higher Education.

(a) For the purposes of this section, the following terms have the following meanings:

(1) FEDERAL RECEIPTS. Federal financial assistance received or administered from federal entities in the form of grants, loans, loan guarantees, property, cooperative agreements, interest subsidies, insurance, food commodities, direct appropriations, other assistance, and amounts received as reimbursement for services rendered to individuals, which is reported as part of a single audit.

(2) PUBLIC INSTITUTIONS OF HIGHER EDUCATION. Those public educational institutions in Alabama which have been authorized by the Legislature or by the Constitution of Alabama of 2022 to provide formal education, including vocational, technical, collegiate, professional, or any other form of education, above the secondary school level.

(3) STATE RECEIPTS. State financial assistance received from direct appropriations, or other assistance, from the Education Trust Fund, the Education Trust Fund Advancement and Technology Fund, or the Educational Opportunities Reserve Fund, or from other state sources. The term does not include tuition revenues or other self-generated funds.

(b) Each public institution of higher education shall provide an annual report to the Executive Budget Office, on or before October 31, which includes all of the following:

(1) The amount of state and federal funds received and expended by the public institution of higher education for the preceding fiscal year separately listed by source and certified by the institution as being accurate based on the most recently available information.

(2) The amount of state and federal funds appropriated by the Legislature to the public institution of higher education for the preceding fiscal year separately listed by source.

(3) A calculation of the percentage of the public institution of higher education’s total budget for the preceding fiscal year which constitutes state and federal receipts that the public institution of higher education received for that fiscal year.

(4) A plan for operating the public institution of higher education if either of the following occurs:

a. A reduction of five percent or more in the state or federal receipts that the public institution of higher education receives.

b. A reduction of 20 percent or more in the state or federal receipts that the public institution of higher education receives.

(c) The Alabama Community College System shall include information in the report required under subsection (b) information for each public community or technical college or other school or university under its supervision.

(d)(1) The Executive Budget Office shall prepare a report that includes the following:

a. A compilation and summary of the reports the office receives from each public institution of higher education.

b. A comparison of the aggregate value of state and federal receipts each public institution of higher education received for the previous fiscal year to the aggregate amount of state and federal funds appropriated by the Legislature to that public institution of higher education for that fiscal year.

c. A list of public institutions of higher education that did not submit a report as required by subsection (b).

(2) The Executive Budget Office shall submit the report required under subdivision (1) to the Legislature by January 1.

(3) The House Ways and Means Education Committee and the Senate Finance and Taxation Education Committee shall conduct hearings on the report every even-numbered year as part of their budget hearings. The committees shall use the information in the report when considering revised appropriation levels for the public institutions of higher education.