House Higher Education Subcommittee approves bill transferring USF Sarasota–Manatee facilities and debt to New College of Florida

TALLAHASSEE — The House Higher Education Budget Subcommittee on Tuesday passed proposed Committee Bill HEB 26-01, a conforming bill that transfers certain facilities, property and associated debt from the University of South Florida Sarasota–Manatee to New College of Florida and makes several technical changes to higher-education statutes.

Representative Boussata, sponsor of the bill, told the committee the transfer aligns governance with geographic proximity and said the measure includes student and contractual protections. "We are transferring 22 and a half million from USF to New College," the sponsor said, adding that the facilities in question were financed with revenue pledged by USF housing and student fees and that the transfer is not intended to create a new burden for taxpayers.

Why it matters: Members pressed the sponsor about financial risk, program continuity and student protections. Lawmakers cited reporting they said showed New College had the highest per-degree cost among Florida public universities and substantial operating expenses per student. Concerned members warned the debt transfer could saddle a smaller institution with long-term obligations and urged stronger cost controls and outcome measures before moving forward.

Key details: The sponsor’s office said the approximate outstanding debt tied to the transferred facilities is about $53,000,000, primarily for a student center and a residence hall. Under the bill’s implementing language, New College would remit monthly payments of $166,617 to USF for debt service until the deadline established in the bill (described in committee as Oct. 30). The sponsor also said the transfer would move an existing dorm to New College, which could increase student housing on the campus.

Members’ concerns and claims: Representative Campbell argued at length that New College’s cost-per-degree and other efficiency measures, as cited from state reporting, make the transfer fiscally irresponsible and risk creating a "bailout pipeline" for future legislatures. Campbell said the reporting shows New College had 872 students in fall 2024 and cited cost-per-degree and per-student operating expense figures in urging members to vote no. Representative Campbell urged measurable cost controls, enrollment stabilization plans and auditable outcomes rather than transferring debt.

Sponsor response and clarifications: The sponsor countered that the bill does not close programs at USF, that current USF students would remain USF students while institutions coordinate logistics, and that public-salary caps limit compensation paid from public dollars. "We're not closing any programs," the sponsor said repeatedly in response to questions about nursing and education programs at the Manatee County campus. On the issue of a reported university president bonus, the sponsor noted public-dollar salary caps of $200,000 and said any amounts above that would come from nonpublic sources.

Vote and next steps: The clerk recorded a roll-call vote on HEB 26-01: Yes — Chair Busada, Vice Chair Gossett Seidman, Wonko, Booth, Jill Lombardo, Holcomb, Jacques, Kendall and Sapp Smith; No — Representative Aristide, Campbell, Young and Ex officio Representative Estimani. By that recorded vote the committee passed the bill. No amendments were offered in committee.

What the bill does not do: Committee discussion and the sponsor’s responses indicate the bill, as drafted, does not transfer students to New College as students of that institution; rather, it transfers facilities and related obligations while preserving current students’ enrollment status at USF and directing institutions to work out logistics for continued student access and services.

Outstanding information: Committee staff said they did not have some requested figures available at the hearing — for example, current New College tuition revenue was not provided on the record and committee members asked staff to supply those numbers after the meeting. Several members also cited external state reports for cost-per-degree calculations; the committee record references those reports but the hearing transcript does not include the underlying report documents.

The subcommittee passed the bill and adjourned; the measure will move through the House legislative process according to chamber rules.