H 4734

South Carolina General Assembly
126th Session, 2025-2026
Bill 4734
Indicates Matter Stricken
Indicates New Matter
(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)
A bill
TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING SECTION
59-101-435 SO AS TO REQUIRE PUBLIC INSTITUTIONS OF HIGHER LEARNING TO FORMALLY
ADOPT AND COMPLY WITH THE COMPACT FOR ACADEMIC EXCELLENCE IN HIGHER EDUCATION
PROPOSED BY the united states secretary of education, AND TO ESTABLISH
REPORTING REQUIREMENTS AND ENFORCEMENT PROCEDURES.
Whereas, the State of
South Carolina recognizes that the strength, competitiveness, and long-term
prosperity of the State are directly tied to the quality and performance of its
public institutions of higher learning; and
Whereas, the United
States Secretary of Education has proposed the Compact for Academic Excellence
in Higher Education to promote improved academic outcomes, enhanced
institutional transparency, accountability in financial aid administration, and
stronger support for student success; and
Whereas, this compact offers
colleges and universities preferential treatment, incentives, and enhanced
opportunities in areas such as federal research support, financial aid
management, regulatory flexibility, and programmatic eligibility; and
Whereas, the General
Assembly finds that aligning South Carolina's public institutions of higher
learning with this federal compact would strengthen institutional performance,
expand access to beneficial federal programs, and better serve South Carolina's
students and families; and
Whereas, the General
Assembly further finds that a uniform state-level requirement for adoption and
compliance will ensure consistency, transparency, and accountability across all
public institutions of higher learning in South Carolina. Now, therefore,
Be it enacted by the
General Assembly of the State of South Carolina:
SECTION 1.  Article 1, Chapter 101, Title 59 of the S.C. Code is
amended by adding:
    Section
59-101-435.  (A) For purposes of
this section:
       (1)
"Institution" means any public institution of higher learning as defined in
Section 59-103-5.
       (2)
"Governing board" means the board of trustees or equivalent governing authority
of an institution.
    (B)
Each institution shall, within ninety days after issuance, renewal, or
amendment of the Compact for Academic Excellence in Higher Education, adopt a
formal resolution of adherence to the compact and, if possible, to sign the
compact indicating full participation of the institution in the compact. The
resolution must:
       (1)
acknowledge the institution's eligibility for benefits, incentives, or
preferential treatment under the compact;
       (2)
commit the institution to full compliance with the obligations, standards, and
reforms prescribed by the compact, regardless of whether the institution was
formally invited to join the compact;
       (3)
direct the institution's president or his designee to implement all necessary
policies, procedures, and operational measures required to satisfy the compact.
    (C)(1) Each institution shall:
  (a)
integrate compact requirements into its policies, compliance plans, and
financial aid operations;
  (b)
maintain documentation sufficient to demonstrate ongoing compliance; and
  (c)
submit an annual compliance report to the Commission on Higher Education.
       (2)
The Commission on Higher Education shall compile these reports and submit a
consolidated statewide report to the Governor, the Speaker of the House of
Representatives, and the President of the Senate by December thirty-first of
each year.
    (D)(1) If the Commission on Higher
Education determines that an institution has failed to adopt or comply with the
compact, the commission shall issue written notice of noncompliance and provide
the institution thirty days to cure the deficiency.
       (2)
If the institution fails to cure the deficiency within thirty days:
  (a)
the commission may recommend that the General Assembly temporarily withhold up
to five percent of the institution's annual state appropriations until
compliance is achieved; and
  (b)
the commission shall notify the Governor and relevant budget committees of the
noncompliance and any recommended corrective actions.
       (3)
Any withheld funds must be restored immediately upon certification of
compliance.
    (E)
Nothing in this section may be construed to require an institution to violate
state or federal law, nor does compliance with this section limit any
additional state or federal oversight responsibilities.
SECTION 2.  This act takes effect upon approval
by the Governor.
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This web page was last updated on December 17, 2025 at 01:42 PM