A proposal to grant bonuses to University of Texas System presidents if graduation rates improve will go before UT System regents.
The higher pay would be based on leaders increasing donations and meeting other higher education goals.
The proposal, which goes before regents Thursday, would apply to presidents of all UT System school presidents and other system executives.
Critics have raised ethical questions about financial rewards for meeting philanthropic goals. Other concerns have been raised about whether academic standards would be intentionally weakened so that students pass courses.
System Chancellor Francisco Cigarroa has recommended approval, and an aide says Gov. Rick Perry strongly supports incentive pay.