The bill mandates that the state board of regents submit a report to the general assembly and the governor by the November 2026 meeting. This report must outline a proposed performance-based funding model for the higher education institutions under the board's governance. The model is required to incorporate specific factors, including graduation rates, the number of degrees awarded in high-demand job areas, post-graduation employment rates, post-graduation income, and the retention of graduates within the state.

The bill emphasizes the importance of these factors in developing a funding model that aligns with the state's workforce needs and educational outcomes. It also clarifies that the inclusion of these factors in the report does not imply agreement with their substance by the members of the general assembly.