House File 2558 - Reprinted HOUSE FILE 2558 BY COMMITTEE ON EDUCATION (SUCCESSOR TO HF 2327) (As Amended and Passed by the House February 29, 2024 ) A BILL FOR An Act relating to higher education, including by modifying 1 the responsibilities of private institutions of higher 2 education, community colleges, the state board of regents, 3 and institutions of higher education governed by the state 4 board of regents, modifying provisions related to diversity, 5 equity, and inclusion policies, tuition, and administrator 6 hiring at state universities, membership of the state board 7 of regents, and student-employer work and tuition programs 8 at state universities and community colleges, and including 9 applicability provisions. 10 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 11 HF 2558 (3) 90 jda/jh/md

H.F. 2558 DIVISION I 1 SHORT TITLE 2 Section 1. SHORT TITLE. This Act shall be known and may be 3 cited as the “Higher Education Reform Act of 2024”. 4 DIVISION II 5 COMMUNITY COLLEGES 6 Sec. 2. Section 260C.14, Code 2024, is amended by adding the 7 following new subsections: 8 NEW SUBSECTION . 25. Prior to the beginning of the 2025-2026 9 academic year, establish a program that satisfies all of the 10 following requirements: 11 a. Allows students admitted to the community college to 12 complete the community college’s associate’s degree program 13 while working part-time for an employer registered under the 14 program. 15 b. Requires the student and a representative of the 16 student’s employer to execute an agreement that requires the 17 student to work part-time for the student’s employer for at 18 least one calendar year and that describes the rights and 19 responsibilities of the student and the employer under the 20 program. 21 c. Requires the student’s employer to pay all of the tuition 22 and mandatory fees associated with the student’s participation 23 in the associate’s degree program during the fall and spring 24 semesters. 25 d. Requires the student’s employer to pay the student a rate 26 of compensation that shall not be less than the higher of the 27 applicable federal or state minimum wage. 28 NEW SUBSECTION . 26. Adopt policies and procedures that 29 require the community college to follow state law, regardless 30 of any rules or directives of any accrediting agency. 31 NEW SUBSECTION . 27. Adopt policies and procedures 32 that require any strategic plan adopted by the community 33 college to include a description of how the community college 34 will prioritize degree programs that lead to employment 35 -1- HF 2558 (3) 90 jda/jh/md 1/ 13

H.F. 2558 in high-demand fields within the state. The policies and 1 procedures shall also require that the community college’s 2 current strategic plan be revised to include a description of 3 how the community college will prioritize degree programs that 4 lead to employment in high-demand fields within the state. 5 NEW SUBSECTION . 28. Adopt policies and procedures that 6 prohibit any faculty senate committee or subcommittee from 7 having any governance authority over the community college. 8 The policies and procedures shall provide that the scope of 9 authority of a faculty senate committee or subcommittee is 10 limited to an advisory role. 11 DIVISION III 12 STATE BOARD OF REGENTS 13 Sec. 3. Section 262.1, Code 2024, is amended to read as 14 follows: 15 262.1 Membership. 16 1. The state board of regents consists of nine voting 17 members, eight of whom shall be selected from the state at 18 large solely with regard to their qualifications and fitness 19 to discharge the duties of the office. The ninth member shall 20 be a student enrolled on a full-time basis in good standing 21 at either the graduate or undergraduate level at one of the 22 institutions listed in section 262.7, subsection 1, 2, or 3 , 23 at the time of the member’s appointment. Not more than five 24 members shall be of the same political party. 25 2. In addition to the nine voting members, the membership 26 of the state board of regents shall include two ex officio, 27 nonvoting members of the general assembly, with one member 28 designated by the majority leader of the senate and one member 29 designated by the speaker of the house of representatives. A 30 legislative member serves for a term as provided in section 31 69.16B. 32 Sec. 4. Section 262.2, Code 2024, is amended to read as 33 follows: 34 262.2 Appointment —— term of office. 35 -2- HF 2558 (3) 90 jda/jh/md 2/ 13

H.F. 2558 The voting members shall be appointed by the governor 1 subject to confirmation by the senate. Prior to appointing 2 the ninth member as specified in section 262.1 , subsection 1, 3 the governor shall consult with the appropriate student body 4 government at the institution at which the proposed appointee 5 is enrolled. The term of each voting member of the board shall 6 be for six four years, unless the ninth member, appointed in 7 accordance with section 262.1 , subsection 1, graduates or 8 is no longer enrolled at an institution of higher education 9 under the board’s control, at which time the term of the 10 ninth member shall expire one year from the date on which the 11 member graduates or is no longer enrolled in an institution 12 of higher education under the board’s control. However, if 13 within that year the ninth member reenrolls in any institution 14 of higher education under the board’s control on a full-time 15 basis and is a student in good standing at either the graduate 16 or undergraduate level, the term of the ninth member shall 17 continue in effect. The terms of three the voting members of 18 the board shall be staggered and shall begin and expire in each 19 odd-numbered year as provided in section 69.19. 20 Sec. 5. Section 262.4, Code 2024, is amended to read as 21 follows: 22 262.4 Removals. 23 The governor, with the approval of a majority of the senate 24 during a session of the general assembly, may remove any voting 25 member of the board for malfeasance in office, or for any cause 26 which would render the voting member ineligible for appointment 27 or incapable or unfit to discharge the duties of office, and 28 the voting member’s removal, when so made, shall be final. 29 Sec. 6. Section 262.5, Code 2024, is amended to read as 30 follows: 31 262.5 Suspension. 32 When the general assembly is not in session, the governor 33 may suspend any voting member so disqualified and shall appoint 34 another to fill the vacancy thus created, subject to the 35 -3- HF 2558 (3) 90 jda/jh/md 3/ 13

H.F. 2558 approval of the senate when next in session. 1 Sec. 7. Section 262.6, Code 2024, is amended to read as 2 follows: 3 262.6 Vacancies. 4 Vacancies shall be filled in the same manner in which 5 regular appointments are required to be made. If the ninth 6 voting member resigns prior to the expiration of the term, 7 the individual appointed to fill the vacancy shall meet the 8 requirements for the ninth voting member specified in section 9 262.1 , subsection 1 . Other vacancies in the voting members 10 occurring prior to the expiration of the ninth voting member’s 11 term shall be filled in the same manner as the original 12 appointments for those vacancies. 13 Sec. 8. Section 262.8, Code 2024, is amended to read as 14 follows: 15 262.8 Meetings. 16 The board shall meet four times a year. Special meetings 17 may be called by the board, by the president of the board, or 18 by the executive director of the board upon written request of 19 any five voting members thereof. 20 Sec. 9. Section 262.9, subsection 1, Code 2024, is amended 21 to read as follows: 22 1. a. Each even-numbered year elect nominate , from 23 its members, a president of the board, who is subject to 24 confirmation by the senate and who shall serve for two years 25 and until a successor is elected nominated and qualified 26 confirmed . 27 b. Notwithstanding paragraph “a” , an individual who has been 28 nominated by the board and confirmed by the senate pursuant 29 to paragraph “a” shall not be required to be confirmed by the 30 senate subsequent to the expiration of the individual’s term 31 as president if the board nominates the individual to serve as 32 president of the board subsequent to the expiration of such 33 term. 34 Sec. 10. APPLICABILITY. The following applies to members 35 -4- HF 2558 (3) 90 jda/jh/md 4/ 13

H.F. 2558 of the state board of regents appointed by the governor, and 1 not yet confirmed by the senate, on or after the effective date 2 of this division of this Act: 3 The section of this division of this Act amending section 4 262.2. 5 Sec. 11. APPLICABILITY. The following applies upon the 6 expiration of the term of the president of the state board of 7 regents as provided in section 262.9, subsection 1: 8 The section of this division of this Act amending section 9 262.9, subsection 1. 10 DIVISION IV 11 INSTITUTIONS OF HIGHER EDUCATION GOVERNED BY THE STATE BOARD 12 OF REGENTS 13 Sec. 12. Section 262.9, subsections 2, 3, and 22, Code 2024, 14 are amended to read as follows: 15 2. a. Elect a president of each of the institutions of 16 higher learning; a treasurer and a secretarial officer for each 17 institution annually; professors, instructors, officers, and 18 employees; and fix their compensation. 19 b. (1) When electing a president of an institution of 20 higher learning, the board shall use a presidential selection 21 committee that shall provide the board with recommendations 22 related to the best candidate for the position. The board 23 shall not elect a president of an institution of higher 24 learning unless the presidential selection committee 25 recommended the election of the president to the board. 26 (2) Only members of the board shall serve as members of the 27 presidential selection committee. 28 (3) In carrying out its duties under this paragraph, the 29 presidential selection committee may do any of the following: 30 (a) Contract for and use the services of any person engaged 31 in the business of placing highly qualified job candidates in 32 leadership positions. 33 (b) Use moneys allocated to the committee by the board. 34 (4) The identity of a candidate for president of an 35 -5- HF 2558 (3) 90 jda/jh/md 5/ 13

H.F. 2558 institution of higher learning being considered by the 1 presidential selection committee shall be confidential and 2 shall not be a public record subject to disclosure under 3 chapter 22, unless the identity of the candidate is revealed 4 pursuant to the terms of a written agreement entered into 5 between all members of the presidential selection committee. 6 3. Make rules for admission to and for the government of 7 said institutions, not inconsistent with law. The rules shall 8 require the institutions of higher learning under its control 9 to incorporate the classic learning test, developed by classic 10 learning initiatives, into the regent admission index prior to 11 the beginning of the 2025-2026 academic year. 12 22. a. Develop a policy and adopt rules relating to the 13 establishment of tuition rates which provide a predictable 14 basis for assessing and anticipating changes in tuition rates. 15 b. The rules shall provide that the amount of resident 16 tuition and mandatory fees charged by an institution of 17 higher education under the board’s control to an undergraduate 18 student who began the baccalaureate program on or after the 19 2025-2026 academic year shall not increase during the student’s 20 first four full consecutive academic years of participation 21 in the baccalaureate program. This paragraph shall not be 22 construed to prohibit the board from increasing the amount of 23 resident tuition and mandatory fees for incoming classes by 24 an amount not to exceed three percent of the total amount of 25 resident tuition and mandatory fees the institution charged 26 to undergraduate students during the immediately preceding 27 academic year. 28 c. (1) Notwithstanding paragraph “b” , the rules developed 29 by the board shall authorize institutions of higher education 30 under the board’s control to increase the total amount of 31 resident tuition and mandatory fees associated with the 32 baccalaureate program for all of the following students: 33 (a) Students who take more than four full consecutive 34 academic years to complete the baccalaureate program. 35 -6- HF 2558 (3) 90 jda/jh/md 6/ 13

H.F. 2558 (b) Students who have attained a sufficient amount of 1 semester hours of undergraduate credits prior to the student’s 2 date of admission such that the student is able to complete 3 the remaining semester hours of credits associated with the 4 baccalaureate program in less than four full consecutive 5 academic years, but the student fails to do so. 6 (2) If an institution of higher education increases the 7 total amount of resident tuition and mandatory fees associated 8 with the baccalaureate program pursuant to this paragraph, the 9 institution shall not increase the total amount of resident 10 tuition and mandatory fees to an amount that is greater than 11 the amount of tuition and mandatory fees charged to the most 12 recent incoming class. 13 Sec. 13. Section 262.9, Code 2024, is amended by adding the 14 following new subsections: 15 NEW SUBSECTION . 39. a. Direct the institutions of higher 16 education under its control to adopt policies and procedures 17 that prohibit the institutions from creating any new position 18 for an administrator, unless the board approves the creation of 19 the new position. 20 b. The policies and procedures adopted pursuant to paragraph 21 “a” shall not prohibit an institution of higher education under 22 the control of the state board of regents from filling an open 23 administrator position with an administrator who is currently 24 employed by the institution of higher education. 25 c. For purposes of this subsection, “administrator” means an 26 employee who serves in the role of vice president, assistant 27 vice president, or associate vice president. 28 NEW SUBSECTION . 40. Direct the institutions of higher 29 education under its control to establish, prior to the 30 beginning of the 2025-2026 academic year, a program at each 31 institution that satisfies all of the following requirements: 32 a. Allows students admitted to the baccalaureate degree 33 program at the institution to complete the baccalaureate degree 34 program while working part-time for an employer registered 35 -7- HF 2558 (3) 90 jda/jh/md 7/ 13

H.F. 2558 under the program. 1 b. Requires the student and a representative of the 2 student’s employer to execute an agreement that requires the 3 student to work part-time for the student’s employer for at 4 least one calendar year and that describes the rights and 5 responsibilities of the student and the employer under the 6 program. 7 c. Requires the student’s employer to pay all of the tuition 8 and mandatory fees associated with the student’s participation 9 in the baccalaureate degree program during the fall and spring 10 semesters. 11 d. Requires the student’s employer to pay the student a rate 12 of compensation that shall not be less than the higher of the 13 applicable federal or state minimum wage. 14 NEW SUBSECTION . 41. Direct the institutions of higher 15 education under its control to structure university-wide 16 diversity, equity, and inclusion offices to prohibit any 17 diversity, equity, and inclusion function that is not necessary 18 for compliance with federal or state laws or accreditation. 19 The institutions of higher education shall make the support 20 services that are provided by such offices broadly available to 21 all students and employees, subject to applicable federal and 22 state eligibility requirements. 23 NEW SUBSECTION . 42. Direct the institutions of higher 24 education under its control to regularly do all of the 25 following: 26 a. Review the services provided by offices that support 27 diversity or multicultural affairs in other divisions of the 28 institution to ensure that such services are available to all 29 students, subject to applicable federal or state eligibility 30 requirements. 31 b. Update promotional and informational materials and 32 internet sites to clarify that the mission of offices that 33 support diversity or multicultural affairs in other divisions 34 of the institution is to support success broadly. 35 -8- HF 2558 (3) 90 jda/jh/md 8/ 13

H.F. 2558 NEW SUBSECTION . 43. Direct the institutions of higher 1 education under its control to take reasonable steps to assure 2 all of the following: 3 a. That an employee, student, applicant, or campus visitor 4 is not required to submit a diversity, equity, and inclusion 5 statement, or be evaluated based on participation in a 6 diversity, equity, and inclusion initiative, unless required 7 for compliance or accreditation related to diversity, equity, 8 and inclusion. 9 b. That an employee, student, applicant, or campus visitor 10 is not compelled to disclose the employee’s, student’s, 11 applicant’s, or campus visitor’s preferred pronouns. 12 NEW SUBSECTION . 44. Develop a policy that each 13 institution of higher education under the control of the board 14 shall approve, institute, and enforce, that prohibits the 15 consideration of race and other protected class characteristics 16 during the admissions process that is consistent with current 17 federal and state law. 18 NEW SUBSECTION . 45. Develop a policy that each institution 19 of higher education under the control of the board shall 20 approve, institute, and enforce, that contains guidance for 21 employees of each institution related to the separation of 22 personal political advocacy from the employee’s job duties and 23 the business of the institution. 24 NEW SUBSECTION . 46. Direct the institutions of higher 25 education under its control to adopt policies and procedures 26 to advance the diversity of intellectual and philosophical 27 perspectives in faculty and staff applicant pools. 28 NEW SUBSECTION . 47. Provide an annual notice to the 29 institutions of higher education under its control concerning 30 the board’s policy related to institution statements on matters 31 of public concern. 32 NEW SUBSECTION . 48. Direct the institutions of higher 33 education under its control to follow state law, regardless of 34 any rules or directives of any accrediting agency. 35 -9- HF 2558 (3) 90 jda/jh/md 9/ 13

H.F. 2558 NEW SUBSECTION . 49. a. Direct the institutions of higher 1 education under its control to adopt policies that require 2 all undergraduate students admitted on or after the 2025-2026 3 academic year to complete a three-credit-hour course devoted to 4 American history and civics prior to graduation. 5 b. Direct the institutions of higher education under its 6 control to develop the curriculum and materials related to the 7 American history and civics course, subject to the approval 8 of the board. The curriculum shall focus on the founding of 9 the United States and shall emphasize the federalist papers, 10 the United States Constitution, and the three branches of 11 government. 12 c. Direct the institutions of higher education under 13 its control to develop policies that allow undergraduate 14 students to fulfill the requirements described in paragraph “a” 15 through semester hours of credit attained at other educational 16 institutions. 17 NEW SUBSECTION . 50. Direct the institutions of higher 18 education under its control to adopt policies that authorize 19 the president of the institution to initiate a post-tenure 20 review of any employee of the institution at any time. 21 NEW SUBSECTION . 51. Direct the institutions of higher 22 education under its control to adopt policies that require 23 any strategic plan adopted by the institution to include a 24 description of how the institution will prioritize degree 25 programs that lead to employment in high-demand fields within 26 the state. The policies and procedures shall also require that 27 the institution’s current strategic plan be revised to include 28 a description of how the institution will prioritize degree 29 programs that lead to employment in high-demand fields within 30 the state. 31 NEW SUBSECTION . 52. Prohibit the institutions of higher 32 education under its control from allowing any Confucius 33 institute, or any other educational institute funded in whole 34 or in part by the People’s Republic of China, to be located on 35 -10- HF 2558 (3) 90 jda/jh/md 10/ 13

H.F. 2558 any property owned by the institution of higher education. 1 NEW SUBSECTION . 53. Direct the institutions of higher 2 education under its control to adopt policies and procedures 3 that prohibit any faculty senate committee or subcommittee 4 from having any governance authority over the institution of 5 higher education. The policies and procedures shall provide 6 that the scope of authority of a faculty senate committee or 7 subcommittee is limited to an advisory role. 8 NEW SUBSECTION . 54. In a timely manner, respond to and 9 fulfill any request for information submitted to the board by a 10 member of the general assembly or the governor. 11 Sec. 14. INSTITUTIONS OF HIGHER EDUCATION GOVERNED BY THE 12 STATE BOARD OF REGENTS —— REQUIRED REVIEWS. 13 1. On or before December 31, 2024, each institution of 14 higher education governed by the state board of regents shall 15 do all of the following: 16 a. Review all college, department, and unit-level 17 diversity, equity, and inclusion positions to determine whether 18 diversity, equity, and inclusion-specific job responsibilities 19 are necessary for compliance with federal or state law, 20 accreditation, or for the provision of student or employee 21 support services. 22 b. Adjust or eliminate any diversity, equity, and inclusion 23 position that is not necessary for those purposes described in 24 paragraph “a”. 25 c. Review all employee position names and working titles to 26 ensure that the position names and working titles appropriately 27 reflect the employee’s responsibilities. 28 2. Each institution of higher education governed by the 29 state board of regents shall initiate and conduct a review of 30 general education categories related to diversity, equity, and 31 inclusion and update such categories to accurately reflect the 32 array of options students may select in order to satisfy the 33 requirements associated with such categories and to ensure a 34 breadth of offerings. 35 -11- HF 2558 (3) 90 jda/jh/md 11/ 13

H.F. 2558 Sec. 15. INSTITUTIONS OF HIGHER EDUCATION GOVERNED BY THE 1 STATE BOARD OF REGENTS —— REQUIRED DEVELOPMENT OF NEW ACADEMIC 2 PROGRAM. Prior to the November 2024 meeting of the state board 3 of regents, each institution of higher education governed by 4 the state board of regents shall develop and submit to the 5 state board of regents, the general assembly, and the governor, 6 a proposed baccalaureate degree program that requires a student 7 to complete no more than ninety semester hours of classroom 8 work. This section shall not be construed to require an 9 institution of higher education governed by the state board of 10 regents to implement the proposed baccalaureate degree program. 11 Sec. 16. COMPREHENSIVE STUDY —— REDUCTION OF COSTS. Each 12 institution of higher education governed by the state board of 13 regents shall do all of the following: 14 1. Conduct a comprehensive study related to how to 15 reduce costs, maintain close to current levels of tuition 16 and mandatory fees, and maintain noninstructional costs 17 below ten percent of the average annual total of the moneys 18 appropriated to the institution by the general assembly and the 19 institution’s revenue generated by tuition and mandatory fees. 20 2. Prior to the November 2024 meeting of the state board 21 of regents, each institution of higher education governed by 22 the state board of regents shall develop and submit to the 23 state board of regents, the general assembly, and the governor 24 a report detailing the results of the comprehensive study 25 described in subsection 1. 26 Sec. 17. INSTITUTIONS OF HIGHER EDUCATION GOVERNED BY 27 THE STATE BOARD OF REGENTS —— EDUCATION AND RESEARCH ON FREE 28 SPEECH AND CIVIC EDUCATION PROPOSAL. Prior to the November 29 2024 meeting of the state board of regents, each institution 30 of higher education governed by the state board of regents 31 shall develop and submit to the state board of regents, the 32 general assembly, and the governor, a proposal related to the 33 establishment of a center or institute that is dedicated to 34 expanding opportunities for education and research concerning 35 -12- HF 2558 (3) 90 jda/jh/md 12/ 13

H.F. 2558 freedom of speech and civic education. 1 DIVISION V 2 CLOSURE OF PRIVATE INSTITUTIONS OF HIGHER EDUCATION 3 Sec. 18. NEW SECTION . 261J.1 Closure of private 4 institutions of higher education. 5 1. An accredited private institution shall provide notice 6 to the department of education immediately upon a vote of the 7 accredited private institution’s governing board to close the 8 institution. 9 2. Within five business days after providing notice 10 under subsection 1, an accredited private institution shall 11 provide the department of education with copies of all of the 12 following: 13 a. Teachout plan. 14 b. The notice to faculty, staff, and students that the 15 institution will close. 16 c. Plans to coordinate alternative program options. 17 d. A comprehensive student directory with contact 18 information and information related to each student’s current 19 status at the institution as of the date the institution will 20 close. 21 e. The institution’s plan to provide transitional support. 22 f. The institution’s transcript retention plan. 23 g. The process and contact person for student concerns, 24 complaints, and questions related to the closure of the 25 institution, both before and after the institution closes. 26 3. For purposes of this section, “accredited private 27 institution” means the same as defined in section 256.183. 28 -13- HF 2558 (3) 90 jda/jh/md 13/ 13