ENTITLED, An Act to
establish a State Board of Technical Institutes, to provide for its powers,
duties, and responsibilities, and to provide for the transfer of authority over public postsecondary
technical education from the Department of Education to the State Board of Technical Institutes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:
Section
1.
The control of the public technical institutes of the state is vested in a board of nine
members, designated as the State Board of Technical Institutes. The state board shall consist of two
at-large members appointed by the Governor; one member of the Board of Regents appointed by the
Governor; one regional board member from Lake Area Technical Institute; one regional board
member from Mitchell Technical Institute; one regional board member from Southeast Technical
Institute; one regional board member from Western Dakota Technical Institute; the secretary of the
Department of Labor; and the secretary of the Department of Tourism and State Development. If a
regional board for a particular institute has not yet been established, the sponsoring school district
may appoint a member to the State Board of Technical Institutes until such time as a regional board
for that institute has been established.
Section
2.
All appointed members shall serve three-year terms. No appointed member may serve
more than three consecutive terms. The regional representatives to the state board shall be selected
and appointed by the regional boards. The four regional board members shall be appointed by the
appropriate regional board, and each regional appointed member shall be a current member of that
institute's regional board of directors at the time of the member's initial appointment to the state
board. No member of this board may be a member of the South Dakota Board of Education.
Section
3.
If a vacancy occurs as provided in
§
3-4-1, the original appointing authority shall fill
such vacancy, subject to the same conditions as set forth in the original appointment. The appointee
shall serve for the balance of the unexpired term.
Section
4.
Meetings may be held on the call of the president or by the joint request of a majority
of the members. In either case, due and reasonable notice shall be given.
The affirmative vote of a majority of the members of the state board is required to take official
action. The state board shall record their minutes which shall be open to the public. All such
meetings of the state board shall be open to the public except when personnel matters and privileged
matters between the board and its attorney are being discussed. If such meetings are held, the board
shall limit the topics discussed or acted upon to such matters only.
Section
5.
At the annual meeting, the state board shall elect a president from among the
members, whose term of office shall be for one year.
Section
6.
The members of the state board shall be paid per diem compensation and allowable
expenses for their services on the board pursuant to
§
4-7-10.4. However, the secretary of the
Department of Labor and the secretary of the Department of Tourism and State Development are
prohibited from receiving per diem compensation and allowable expenses pursuant to
§
3-8-3 and
any state employee serving on the board is prohibited from receiving per diem compensation
pursuant to
§
3-8-4.1.
Section
7.
The state board may promulgate and enforce rules pursuant to chapter 1-26, pertaining
to the operation, control, and supervision of technical institutes. The state board shall establish a
uniform tuition rate, which does not include student fees, for all technical institutes.
Section
8.
The state board shall provide overall policies, goals, and objectives for the
management of public postsecondary technical education to ensure that the needs of the public,
business, and industry are met to the highest possible degree and in the most cost-effective and
efficient manner.
Section
9.
The state board shall select and employ an executive director and set the executive
director's annual compensation, duties, and responsibilities. The state board shall provide overall
policy guidance to the executive director, who is responsible for day-to-day operations of the state
board.
Section
10.
The state board shall approve changes in organizational structure or functional
assignments for the executive director.
Section
11.
The state board shall delegate to the executive director the authority to hire and fire
state board employees and to establish salaries in conformance with state laws and regulations.
Section
12.
The state board shall review and approve recommendations for annual funding
requests for all public technical institutes and make recommendations to the Governor and the
Legislature.
Section
13.
The state board shall consider and act upon the following:
(1) Recommendations regarding legislation proposed for postsecondary technical education;
(2) All actions required by law to be taken by the state board;
(3) Establishment of committees related to statewide mission of public technical institutes;
and
(4) Approve all new diploma or degree granting or awarding programs at any technical
institute.
Section
14.
The state board shall represent the state with other agencies in South Dakota, in other
states, and at the national level.
Section
15.
The state board shall make recommendations for enhancing the mission of public
technical institutes for the benefit of the state.
Section
16.
The state board shall establish an annual report and guidelines for reporting for the
technical institutes.
Section
17.
The state board shall facilitate institutional and program accreditation, compliance
with the North Central Association Higher Learning Commission, and other approved industry
accreditations.
Section
18.
The state board shall approve technical institute requests for purchase, construction,
or alteration of facilities that involve the expenditure of state funds.
Section
19.
Upon passage of an authorizing resolution by the school board of any school district
owning and operating a postsecondary technical institute, the technical institute shall be established
as an independent public education entity which shall be attached to the Department of Tourism and
State Development for administrative and reporting purposes. The authorizing resolution adopted
by the school district owning and operating the postsecondary technical institute shall specify the
assets and liabilities being transferred to the new independent technical institute agency. The
authorizing resolution shall transfer to the new independent technical institute agency substantially
all of the school district's assets, including real estate, which are primarily used in the ordinary course
of business in the existing operation of the school district's existing postsecondary technical institute
including, without limitation, all rights, title, and interest of the school district in and to any sublease
of facilities between the Board of Education and the school district entered into in connection with
a program of the Health and Educational Facilities Authority under
§
1-16A-74. In no event is the
technical institute obligated to assume any liabilities not related to assets received by the technical
institute or related to the ordinary operations of the technical institute. School districts are expressly
authorized to transfer primary responsibility for repayment of all debt related to buildings and real
estate transferred to the new independent technical institute agency including obligations incurred
in connection with the program of the Health and Educational Facilities Authority under
§
1-16A-74.
The authorizing resolution adopted by the school district shall establish for the independent technical
institute agency a seven to nine member regional board of directors which shall have the duties and
powers set forth in this Act. The regional board membership shall include representatives of business
and industry leaders from the service area of the technical institute, one or more members of the local
school board in which the institute is located, and persons experienced in economic and work force
development in its region. The terms on the regional board of directors for members of the local
school board shall expire at the same time as their local school board term expires.
The initial regional board members shall be appointed for initial one, two, and three year terms
staggered so that the terms of approximately one-third of the members of the board expire at any one
time. Thereafter, the terms of the board members shall be for three years. The local school district
currently owning and operating the technical institute shall appoint the initial members of the
regional board in it authorizing resolution and specify the original term of such board member.
Thereafter, the regional boards shall elect successors for those directors whose terms are expiring
by vote of the members of the board whose terms are not expiring. However, no elected member may
take office as a regional board member until the member's election has been confirmed and approved
by the local school board in which the institute is located. If the local school board fails to approve
or reject a successor member selected by a regional board within sixty days of the date when the
local school board receives notice of such selection by the regional board, the proposed regional
board member is deemed approved. The Mitchell, Rapid City, Sioux Falls, and Watertown school
board shall adopt an authorizing resolution as provided in this section no later than October 31, 2011.
The authorizing resolution adopted by a school board pursuant to this section is subject to review
and approval by the secretary of the Department of Tourism and State Development. The secretary
shall act on an authorizing resolution within thirty days of receipt of the authorizing resolution from
the adopting school district. If the secretary does not approve the authorizing resolution, the secretary
shall notify in writing the adopting school district of his or her objections. The secretary may fail to
approve an authorizing resolution only due to the failure of the authorizing resolution to meet the
standards set forth in this section related to the content of the authorizing resolution. Upon receipt
of a letter from the secretary detailing his or her objections to the initial authorizing resolution, a
school district shall adopt a modified authorizing resolution complying with the secretary's
objections. All authorizing resolutions shall become fully implemented no later than July 1, 2012.
Section
20.
The regional boards of directors shall implement state board policies and goals to
provide management and direction to ensure that the regional needs of the public, business, and
industry are met to the highest possible degree and in the most cost-effective and efficient manner.
Each regional board shall oversee the management of its institute, which shall be in accordance with
the established objectives and the policies of the state board.
Section
21.
The policies of each regional board may be amended or adopted by the regional
board acting collectively at any regular meeting of the regional board subject to the regional board's
policies. All meetings of the regional boards are subject to the South Dakota open meetings law.
Section
22.
The Lake Area Technical Institute region is hereby established. The Lake Area
Technical Institute region includes all of Campbell, McPherson, Brown, Marshall, Roberts,
Walworth, Edmunds, Day, Potter, Faulk, Spink, Clark, Codington, Grant, Hamlin, Deuel, Kingsbury,
and Brookings Counties.
Section
23.
The Mitchell Technical Institute region is hereby established. The Mitchell Technical
Institute region includes all of Sully, Hyde, Hand, Beadle, Hughes, Lake, Lyman, Buffalo, Jerauld,
Sanborn, Miner, Brule, Aurora, Davison, Hanson, Tripp, Gregory, Charles Mix, Douglas,
Hutchinson, Bon Homme, and Yankton Counties.
Section
24.
The Southeast Technical Institute region is hereby established. The Southeast
Technical Institute region includes all of Moody, McCook, Minnehaha, Turner, Lincoln, Clay, and
Union Counties.
Section
25.
The Western Dakota Technical Institute region is hereby established. The Western
Dakota Technical Institute region includes all of Harding, Perkins, Corson, Butte, Meade, Ziebach,
Dewey, Lawrence, Haakon, Stanley, Pennington, Jones, Custer Fall River, Shannon, Jackson,
Mellette, Bennett, and Todd Counties.
Section
26.
Each regional board, acting on behalf of its own technical institute, shall:
(1) After a public hearing, adopt an annual budget of revenues and expenditures. The regional
board shall establish student fees at its technical institute and shall charge the uniform
tuition rate as established by the state board. Each regional technical institute shall retain
in its accounts and appropriate in its budget all revenues generated at that technical
institute by student tuition and fees;
(2) Review all new education programs for its technical institute and the deletion or
modification of existing programs;
(3) Maintain awareness of, and communicate to the president of its technical institute, local
industry, and community needs for programs and services to be provided by the technical
institute;
(4) Review and approve the local plan for evaluating its technical institute and the processes
and outcomes of its student services and instructional programs;
(5) Review, approve, and submit to the state board, for information and comment, an annual
report regarding the performance of its technical institute relative to its goals and
objectives, including meeting the ongoing and short-term training needs of business,
industry, and the regional community at large, in an effective and efficient manner;
(6) Confer the awarding of all certificates, diplomas, and degrees to students completing
approved programs in the regular instructional program of the technical institute, having
assured that all standards, competencies, and other requirements of the state board and the
technical institute have been satisfied;
(7) Review, approve, and assure implementation of its technical institute's plan to identify,
on a periodic and timely basis, the current and future training needs of business, industry,
and the community at large;
(8) Review and approve the strategic plan, goals, and objectives for its technical institute;
(9) Review on a quarterly basis its technical institute's fiscal report of receipts, expenditures,
and fund balances;
(10) Assure that the technical institute operates at all times in accordance with the policies of
the state board;
(11) Make any other recommendations as deemed appropriate to the president or the state
board regarding the improvement of its technical institute's operations or postsecondary
technical education in general;
(12) Employ, dismiss, and establish the salary of the technical institute president;
(13) Approve salaries and employment contracts for all staff;
(14) Establish policies for approval of contracts for services for its technical institute;
(15) Require an annual audit of all finances and procedures and submit the audit report to the
appropriate agencies; and
(16) Approve the operational policies for the technical institute.
Section
27.
The State Board of Technical Institutes shall be attached to the Department of
Tourism and State Development for administrative and reporting purposes.
Section
28.
The technical institutes created pursuant to section 19 of this Act are political
subdivisions of the State of South Dakota.
Section
29.
Technical institutes may not construct student union buildings and recreational
facilities for technical institute students. This restriction includes the use of student fees to pay for
student union buildings and recreational or multi-use facilities. The provisions of this section may
not be construed as a restriction of construction or operation of regular cafeteria or multi-use
facilities for students at technical institutes. The provisions of this section do not apply to any multi-
use facility constructed and placed in operation prior to January 1, 2007.
Section
30.
The continuing contract provisions set forth in
§
§
13-43-9.1 to 13-43-11, inclusive,
do not apply to any person employed in a public technical institute. At least sixty days prior to the
termination of an employee in a technical institute, the governing board shall notify in writing the
employee of such termination.
Section
31.
A technical institute may award an associate in applied sciences degree. The state
board may promulgate rules pursuant to chapter 1-26 providing for approval of programs in technical
institutes leading to an associate in applied science degree. In approving any degree granting
program, the state board shall consider curriculum, required hours, quality of instruction, minimum
standards for entry into the program, and standards for program completion.
Section
32.
That
§
13-39-1.2
be amended to read as follows:
13-39-1.2.
Terms used in this chapter, mean:
(1)
"Adult vocational education," the training provided to upgrade or update the occupational
skills of persons who are preparing to, or have already, entered an occupation;
(2)
"Center board," the governing body of a multi-district center;
(3)
"Division," the Division of Education Services and Resources of the Department of
Education;
(4)
"Facilities," buildings, rooms, property, and permanent equipment, including vehicles,
used to provide vocational education;
(5)
"LEA," a local education agency limited to public school districts and the legal entities
that a school district is authorized to establish;
(6)
"Multi-district center," a multi-district secondary occupational vocational education
center;
(7)
"Multi-use facility," a structure or part of a structure for student or faculty use as a lounge
area, cafeteria, classroom, or large group area not operated as a student union building in
which student fees are charged and utilized to pay for construction and maintenance of
a facility under the direct or indirect control of the students;
(8)
"Participating district," a school district which has voting representation on a multi-district
center board;
(9)
(10)
"Secretary," the state secretary of education;
(11)
"State board," the South Dakota Board of Education;
(12)
"Vocational education," organized programs at the secondary or adult levels directly
related to the preparation of individuals for paid or unpaid employment, or for the
additional preparation for a career requiring other than a baccalaureate or advanced
degree.
Section
33.
That
§
13-39-9
be amended to read as follows:
13-39-9.
The director has general control and supervision over all vocational education in all
public secondary schools and all other vocational education functions assigned to him or her by the
secretary of education.
Section
34.
That
§
13-39-18
be repealed.
Section
35.
That
§
13-39-19
be amended to read as follows:
13-39-19.
The secretary of education may distribute funds appropriated by the Legislature or
granted by any federal agency to the state in accordance with chapter 4-8B, for vocational education
in the state in accordance with a state plan or plans adopted by the South Dakota Board of Education.
The aid disbursed to the different schools of the state and all expenses incurred in the administration
of the provisions of any federal acts relating to vocational education shall be paid out of the funds
of the secretary appropriated for that purpose and from the federal funds allotted to the State of South
Dakota for similar purposes. The state treasurer is the custodian of all money paid to the state from
federal appropriations for the purpose of vocational education, and shall disburse the funds on
warrants issued by the state auditor upon vouchers approved by the director. The secretary of
education shall authorize the director to submit vouchers to the state auditor for the amount payable
as state and federal aid to each school approved under the provisions of this chapter. Upon receipt
of the vouchers, the state auditor shall draw warrants on the state treasury in favor of the treasurer
of the public secondary institute for the sum approved by the secretary.
Section
36.
That
§
13-39-26
be amended to read as follows:
13-39-26.
The provisions of this chapter do not apply to private business schools, postsecondary
technical institutes, or private vocational institutions except that the secretary of education and LEAs
may enter into contracts with these schools and institutions to provide vocational education.
Section
37.
That
§
13-39-34
be repealed.
Section
38.
That
§
13-39-35
be repealed.
Section
39.
That
§
13-39-35.1
be repealed.
Section
40.
That
§
13-39-35.2
be repealed.
Section
41.
That
§
13-39-36
be repealed.
Section
42.
That
§
13-39-37
be repealed.
Section
43.
That
§
13-39-37.1
be repealed.
Section
44.
That
§
13-39-38
be repealed.
Section
45.
That
§
13-39-39
be repealed.
Section
46.
That
§
13-39-39.1
be repealed.
Section
47.
That
§
13-39-65
be repealed.
Section
48.
That
§
13-39-72
be repealed.
Section
49.
The provisions of sections 29 to 46, inclusive, of this Act are effective on the date
of the first annual meeting of the State Board of Technical Institutes, pursuant to section 5 of this
Act.
Section
50.
No technical institute created pursuant to this Act may be deemed to be an
educational institution under the control of the Board of Regents pursuant to S.D. Const., Art. XIV,
§
3. No technical institute may use the term, college, or the term, community college, as a part of its
name, because the mission of the technical institutes is job training and work force development.
Section
51.
The state board is the lawful successor to the Board of Education with respect to (a)
the lease purchase agreement dated as of August 1, 1988, between the Health and Educational
Facilities Authority and the Board of Education, as heretofore amended or supplemented, (b) the first
supplement to general pledge and escrow agreement between the treasurer, the Board of Education,
the Health and Educational Facilities Authority, and the First National Bank in Sioux Falls, dated
as of August 1, 1988, as amended and supplemented, (c) the fourth supplement to facility fee tuition
collection and deposit agreement dated June 1, 1999, among the treasurer, the Board of Education,
the First National Bank in Sioux Falls, and the school districts specified in section 19 of this Act,
or their successors, as such agreement has been heretofore amended or supplemented from time to
time, and (d) all other agreements related to the foregoing and with respect to vocational education
program revenue bonds issued from time to time by the Health and Educational Facilities Authority
to finance property used by the technical institutes.
Section
52.
The state board has all necessary power and authority to enter into the agreements
described in section 51 of this Act and succeeds to and assumes all of the obligations of the Board
of Education with respect thereto and is bound by all of the covenants of the Board of Education in
connection therewith, which obligations and covenants are hereby ratified and confirmed. All bonds,
notes, or other evidences of indebtedness outstanding on the effective date of this Act are unaffected
by the transfer of functions from the Board of Education to the state board. No contract with respect
to such bonds may be deemed to have been impaired by this Act.
An Act to establish a State Board of Technical Institutes, to provide for its powers, duties, and
responsibilities, and to provide for the transfer of authority over public postsecondary technical
education from the Department of Education to the State Board of Technical Institutes.
=========================
I certify that the attached
Act
originated in the
SENATE as
Bill
No.
95
____________________________
Secretary of the Senate
=========================
____________________________
President of the Senate
____________________________
Secretary of the Senate
____________________________
Speaker of the House
____________________________
Chief Clerk
Senate
Bill
No.
95
File No. ____
Chapter No. ______
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=========================
Received at this Executive Office
this _____ day of _____________ ,
20____ at ____________ M.
By _________________________
for the Governor
=========================
The attached Act is hereby
approved this ________ day of
______________ , A.D., 20___
____________________________
Governor
=========================
STATE OF SOUTH DAKOTA,
ss.
Office of the Secretary of State
Filed ____________ , 20___
at _________ o'clock __ M.
____________________________
Secretary of State
By _________________________
Asst. Secretary of State
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