Higher Education Credit Transfer Amendments, the official text

Higher Education Credit Transfer Amendments
2026 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Ryan D. Wilcox
Senate Sponsor: Michael K. McKell

LONG TITLE
General Description:
This bill amends provisions related to the transfer of credits at an institution of higher education.
Highlighted Provisions:
This bill: requires the Utah Board of Higher Education to: strengthen pathways for a student transferring from an institution external to the Utah System of Higher Education (USHE);
avoid course duplication for a student transferring from an institution external to USHE; and
provide a student with certain information related to the transfer and acceptance of credits; and

makes technical and conforming changes.

Money Appropriated in this Bill: None Other Special Clauses: None Utah Code Sections Affected: AMENDS:
53H-1-203, as renumbered and amended by Laws of Utah 2025, First Special Session, Chapter 8
53H-3-604, as renumbered and amended by Laws of Utah 2025, First Special Session, Chapter 8

Be it enacted by the Legislature of the state of Utah:
Section 1. Section 53H-1-203 is amended to read:
53H-1-203. Establishment of board -- Powers, duties, and authority -- Reports.
(1) (a) There is established the Utah Board of Higher Education, which: (i) is the governing board for the institutions of higher education; and
(ii) controls, oversees, and regulates the Utah System of Higher Education in a manner consistent with the purpose of this title and the specific powers and responsibilities granted to the board.

(b) (i) The University of Utah shall provide administrative support for the board.
(ii) Notwithstanding Subsection (1)(b)(i), the board shall maintain the board's independence, including in relation to the powers and responsibilities granted to the board.

(2) The board shall: (a) establish and promote a state-level vision and goals for higher education that emphasize data-driven retrospective and prospective system priorities, including: (i) quality;
(ii) affordability;
(iii) access and equity;
(iv) completion;
(v) workforce alignment and preparation for high-quality jobs; and
(vi) economic growth;

(b) establish system policies and practices that advance the vision and goals;
(c) establish metrics to demonstrate and monitor: (i) performance related to the goals; and
(ii) performance on measures of operational efficiency;

(d) collect and analyze data including economic data, demographic data, and data related to the metrics;
(e) govern data quality and collection across institutions;
(f) establish, approve, and oversee each institution's mission and role in accordance with Section 53H-3-602;
(g) assess an institution's performance in accomplishing the institution's mission and role;
(h) participate in the establishment and review of programs of instruction in accordance with Section 53H-3-603;
(i) perform the following duties related to an institution of higher education president, including: (i) hiring an institution of higher education president in accordance with Section 53H-3-302;
(ii) through the commissioner and the board's executive committee: (A) providing support and guidance to an institution of higher education president; and
(B) evaluating an institution of higher education president based on institution performance and progress toward systemwide priorities;

(iii) setting the terms of employment for an institution of higher education president, including performance-based compensation, through an employment contract or another method of establishing employment; and
(iv) establishing, through a confidential process, a statewide succession plan to develop potential institution presidents from within the system;

(j) create and implement a strategic finance plan for higher education, including by: (i) establishing comprehensive budget and finance priorities for academic education and technical education;
(ii) allocating statewide resources to institutions;
(iii) setting tuition for each institution;
(iv) administering state financial aid programs;
(v) administering performance funding in accordance with Chapter 8, Part 3, Performance Funding; and
(vi) developing a strategic capital facility plan and prioritization process in accordance with Chapter 9, Part 5, General Capital Developments, and Sections 53H-9-604 and 53H-9-605;

(k) create and annually report to the Higher Education Appropriations Subcommittee on a seamless articulated education system for Utah students that responds to changing demographics and workforce, including by: (i) providing for statewide prior learning assessment, in accordance with Section 53H-3-702;
(ii) establishing and maintaining, in accordance with Section 53H-3-604, clear pathways for articulation and transfer, [in accordance with Section 53H-3-604] including identifying strategies that promote transfer from an institution external to the Utah System of Higher Education;
(iii) establishing degree program requirement guidelines, including credit hour limits;
(iv) aligning general education requirements across degree-granting institutions;
(v) coordinating and incentivizing collaboration and partnerships between institutions in delivering programs;
(vi) coordinating distance delivery of programs;
(vii) coordinating work-based learning; and
(viii) emphasizing the system priorities and metrics described in Subsections (2)(a) and (c);

(l) coordinate with the public education system: (i) regarding public education programs that provide postsecondary credit or certificates; and
(ii) to ensure that an institution of higher education providing technical education serves secondary students in the public education system;

(m) delegate to an institution board of trustees certain duties related to institution governance including: (i) guidance and support for the institution president;
(ii) effective administration;
(iii) the institution's responsibility for contributing to progress toward achieving systemwide goals; and
(iv) other responsibilities determined by the board;

(n) delegate to an institution of higher education president management of the institution of higher education;
(o) consult with an institution of higher education board of trustees or institution of higher education president before acting on matters pertaining to the institution of higher education;
(p) maximize efficiency throughout the Utah System of Higher Education by identifying and establishing shared administrative services, beginning with: (i) commercialization;
(ii) services for compliance with Title IX of the Education Amendments of 1972, 20 U.S.C. Sec. 1681 et seq.;
(iii) information technology services; and
(iv) human resources, payroll, and benefits administration;

(q) develop strategies for providing higher education, including career and technical education, in rural areas;
(r) manage and facilitate a process for initiating, prioritizing, and implementing education reform initiatives, beginning with common applications and direct admissions;
(s) provide ongoing quality review of programs;
(t) before each annual legislative general session, provide to the Higher Education Appropriations Subcommittee a prioritization of all projects and proposals for which the board or an institution of higher education seeks an appropriation; and
(u) coordinate with the Department of Corrections to establish educational programs for inmates as described in Section 64-13-6.

(3) The board shall submit an annual report of the board's activities and performance against the board's goals and metrics to: (a) the Education Interim Committee;
(b) the Higher Education Appropriations Subcommittee;
(c) the governor; and
(d) each institution of higher education.

(4) The board shall prepare and submit an annual report detailing the board's progress and recommendations on workforce related issues, including career and technical education, to the governor and to the Education Interim Committee by December 1 of each year, including information detailing: (a) how institutions of higher education are meeting the career and technical education needs of secondary students;
(b) how the system emphasized high demand, high wage, and high skill jobs in business and industry;
(c) performance outcomes, including: (i) entered employment;
(ii) job retention; and
(iii) earnings;

(d) an analysis of workforce needs and efforts to meet workforce needs; and
(e) student tuition and fees.

(5) The board may modify the name of an institution of higher education to reflect the role and general course of study of the institution.
(6) The board may not take action relating to merging a technical college with another institution of higher education without legislative approval.
(7) This section does not affect the power and authority vested in the State Board of Education to apply for, accept, and manage federal appropriations for the establishment and maintenance of career and technical education.
(8) The board shall ensure that any training or certification that an employee of the higher education system is required to complete under this title or by board rule complies with Title 63G, Chapter 22, State Training and Certification Requirements.
(9) The board shall demonstrate compliance with Subsection (2)(p) by providing to the Higher Education Appropriations Subcommittee: (a) on or before October 1, 2024, evidence of implementation of at least one shared administrative service;
(b) on or before October 1, 2025, evidence of implementation of at least two shared administrative services; and
(c) on or before October 1, 2026, evidence of implementation of at least three shared administrative services.

(10) If the Higher Education Appropriations Subcommittee finds the board to be out of compliance with Subsection (9), the Legislature shall: (a) deduct 10% of the appropriation described in Section 53H-8-302 for the following fiscal year; and
(b) deduct an additional 10% of the appropriation described in Section 53H-8-302 for each subsequent year of noncompliance up to a maximum deduction of 30%.

Section 2. Section 53H-3-604 is amended to read:
53H-3-604. Common course numbering -- Transferability of credits -- Agreement with competency-based general education provider -- Policies.
(1) As used in this section: (a) "Accredited institution" means an institution that: (i) offers a competency-based postsecondary general education course online or in person; and
(ii) is accredited by an organization that the United States Department of Education recognizes.

(b) "Articulation agreement" means an agreement between the board and a provider that allows a student to transfer credit awarded by the provider for a general education course to any institution of higher education.
(c) "Competency-based" means a system where a student advances to higher levels of learning when the student demonstrates competency of concepts and skills regardless of time, place, or pace.
(d) "Competency-based general education provider" or "provider" means a private postsecondary educational institution that: (i) offers a postsecondary competency-based general education course online or in person;
(ii) awards academic credit; and
(iii) does not award degrees, including associates degrees or baccalaureate degrees.

(e) "Credit for prior learning" means the same as that term is defined in Section 53H-3-702.

(2) The board shall: (a) facilitate articulation and the seamless transfer of courses, programs, and credit for prior learning within the Utah System of Higher Education;
(b) provide for the efficient and effective progression and transfer of students within the Utah System of Higher Education;
(c) avoid the unnecessary duplication of courses, including for a student who transfers from an institution external to the Utah System of Higher Education described in Section 53H-1-102;
(d) communicate ways in which a student may earn credit for prior learning;
(e) ensure an institution informs a student of the student's options for appealing a decision related to the transfer and acceptance of credits; and
[(e)] (f) allow a student to proceed toward the student's educational objectives as rapidly as the student's circumstances permit.

(3) The board shall develop, coordinate, and maintain a transfer and articulation system that: (a) maintains a course numbering system that assigns common numbers to specified courses of similar level with similar curricular content, rigor, and standards;
(b) allows a student to track courses that transfer among institutions of higher education;
(c) allows a student to transfer courses from a provider with which the board has an articulation agreement to any institution of higher education;
(d) allows a student to transfer competency-based general education courses from an accredited institution to an institution of higher education;
(e) improves program planning;
(f) increases communication and coordination between institutions of higher education;
(g) facilitates student acceleration and the transfer of students and credits between institutions of higher education; and
(h) if the system includes a software or data tool: (i) provides predictive analysis that models probabilities of student success; and
(ii) develops tailored strategies to best support students.

(4) (a) The board shall identify general education courses in the humanities, social sciences, arts, physical sciences, and life sciences with uniform prefixes and common course numbers.
(b) A degree-granting institution shall annually identify institution courses that satisfy requirements of courses described in Subsection (4)(a).
(c) A degree-granting institution shall accept a course described in Subsection (3)(c), (3)(d), or (4)(a) toward filling specific area requirements for general education or lower division courses that transfer to baccalaureate majors.

(5) (a) The board shall: (i) identify technical education programs with common names, descriptions, lengths, and objectives; and
(ii) within technical education programs, common course names, descriptions, length, and objectives[allowing], allow for customization of electives to meet regional industry demand.

(b) The commissioner shall appoint committees of faculty members from technical education committees to recommend aligned programs and courses that will satisfy graduation requirements.

(6) (a) The board shall identify common prerequisite courses and course substitutions for degree programs across degree-granting institutions.
(b) The commissioner shall appoint committees of faculty members from the degree-granting institutions to recommend appropriate courses of similar content and numbering that will satisfy requirements for lower division courses that transfer to baccalaureate majors.
(c) A degree-granting institution shall annually identify institution courses that satisfy requirements of courses described in Subsection (6)(a).
(d) A degree-granting institution shall accept a course described in Subsection (3)(c), (3)(d), or (6)(a) toward filling graduation requirements.

(7) (a) (i) The board shall seek proposals from providers to enter into articulation agreements.
(ii) A proposal described in Subsection (7)(a)(i) shall include the general education courses that the provider intends to include in an articulation agreement.

(b) The board shall: (i) evaluate each general education course included in a proposal described in Subsection (7)(a) to determine whether the course is equally rigorous and includes the same subject matter as the equivalent course offered by any institution of higher education; and
(ii) if the board determines that a course included in a provider's proposal is equally rigorous and includes the same subject matter as the equivalent course offered by any institution of higher education, enter into an articulation agreement with the provider.

(8) The board shall establish policies to administer the policies and requirements described in this section.
(9) The board shall include information demonstrating that institutions of higher education are complying with the provisions of this section and the policies established in accordance with Subsection (8) in the annual report described in Section 53H-1-203.

Section 3. Effective Date.
This bill takes effect on May 6, 2026.

3-3-26 8:51 AM