H.B. No. 300

AN ACT

relating to the Texas Armed Services Scholarship Program.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 61.9771(b), Education Code, is amended to read as follows:

(b) The amount of a scholarship under this subchapter in an academic year is the lesser of:

(1) the greater of $30,000 or an amount equal to the average cost of attendance at an institution of higher education in this state, as determined by board rule [$15,000]; or

(2) the amount available for each scholarship from appropriations that may be used for scholarships under this subchapter for that academic year.

SECTION 2. Section 61.9772, Education Code, is amended by amending Subsections (a) and (b) and adding Subsection (b-1) to read as follows:

(a) To receive an initial scholarship under this subchapter, a student must:

(1) be enrolled in a public or private institution of higher education in this state and, while enrolled at the institution: [;]

(A) [(2)] enroll in and be a member in good standing of a Reserve Officers' Training Corps (ROTC) program or another [undergraduate] officer commissioning program such as the United States Marine Corps Platoon Leaders Class [while enrolled in a public or private institution of higher education in this state];

(B) submit to the board proof of the student's successful completion of a program described by Paragraph (A); or

(C) submit to the board proof of the student's acceptance into the officer commissioning program for the Texas State Guard, as defined by Section 437.001, Government Code;

(2) [(3)] be appointed to receive a scholarship by the governor, the lieutenant governor, a state senator, or a state representative; and

(3) [(4)] enter into an agreement with the board under Section 61.9773.

(b) In each year, the governor and the lieutenant governor shall [may] each appoint two students and two alternates and each state senator and each state representative shall [may] appoint one student and one alternate to receive an initial scholarship under this subchapter. If a student appointed under this subsection to receive a scholarship fails to initially meet eligibility or otherwise meet the requirements to initially receive the scholarship, the board [Texas Higher Education Coordinating Board] must notify the alternate on file of their nomination.

(b-1) A state senator or state representative shall make the appointments required by Subsection (b) not later than September 30 of each year. If a state senator or state representative fails to make a timely appointment in accordance with this subsection, the lieutenant governor or the speaker of the house of representatives, as appropriate, shall promptly fill the vacancy in appointment or designate a member of their respective chamber to promptly make the appointment on their behalf.

SECTION 3. Section 61.9773, Education Code, is amended to read as follows:

Sec. 61.9773. AGREEMENT REQUIREMENTS. (a) To receive a scholarship under this subchapter, a student must enter into an agreement with the board as provided by this section. The agreement must require the student to:

(1) satisfy one of the following requirements [complete]:

(A) complete or submit to the board proof that the student previously completed one year of ROTC training for each year that the student receives the scholarship; [or]

(B) complete or submit to the board proof that the student previously completed another [undergraduate] officer commissioning program such as the United States Marine Corps Platoon Leaders Class; or

(C) submit to the board proof of the student's acceptance into the officer commissioning program for the Texas State Guard, as defined by Section 437.001, Government Code;

(2) graduate not later than six years after the date the student first enrolls in a public or private institution of higher education in this state;

(3) after graduation, enter into:

(A) a four-year commitment to be a member of the Texas Army National Guard, Texas Air National Guard, Texas State Guard, United States Coast Guard, or United States Merchant Marine; or

(B) a contract to serve as a commissioned officer in any branch of the armed services of the United States;

(4) meet the physical examination requirements and all other prescreening requirements of the Texas Army National Guard, Texas Air National Guard, Texas State Guard, United States Coast Guard, or United States Merchant Marine or the branch of the armed services with which the student enters into a contract; and

(5) agree to repay the scholarship if the student:

(A) fails to maintain satisfactory academic progress;

(B) withdraws from the scholarship program; or

(C) fails to fulfill a commitment or contract described by Subdivision (3).

(b) The board shall adopt rules to exempt a student from the repayment of a scholarship under an agreement entered into under this section if the student is unable to meet the obligations of the agreement solely as a result of:

(1) physical inability; or

(2) an extraordinary circumstance outside the student's control.

(c) If the board determines that a student who entered into an agreement with the board under this section was erroneously removed from the scholarship program established under this subchapter, the board shall reinstate the student's scholarship if the student is currently enrolled in a public or private institution of higher education in this state.

SECTION 4. Section 61.9775, Education Code, is amended to read as follows:

Sec. 61.9775. LIMITATIONS ON SCHOLARSHIP. [(a)] A person may not receive a scholarship under this subchapter for more than four academic years [after earning a cumulative total of 150 credit hours or after being awarded a baccalaureate degree, whichever occurs first].

[(b) A scholarship awarded to a student under this subchapter shall be reduced for an academic year by the amount by which the full amount of the scholarship plus the total amount to be paid to the student for being under contract with one of the branches of the armed services of the United States exceeds the student's total cost of attendance for that academic year at the public or private institution of higher education in which the student is enrolled.]

SECTION 5. Subchapter FF, Chapter 61, Education Code, is amended by adding Section 61.9777 to read as follows:

Sec. 61.9777. SCHOLARSHIP COORDINATOR. The board shall designate an employee of the board to serve as a scholarship coordinator for scholarships awarded under this subchapter. The scholarship coordinator shall:

(1) serve as a liaison and point of contact for students appointed to receive a scholarship under this subchapter; and

(2) coordinate with financial aid offices at public and private institutions of higher education in this state and with relevant military personnel on behalf of scholarship recipients to ensure students fully understand the requirements of this subchapter.

SECTION 6. This Act applies beginning with the 2025-2026 academic year.

SECTION 7. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2025.

______________________________ ______________________________

President of the Senate Speaker of the House

I certify that H.B. No. 300 was passed by the House on April 15, 2025, by the following vote: Yeas 144, Nays 0, 3 present, not voting; that the House refused to concur in Senate amendments to H.B. No. 300 on May 25, 2025, and requested the appointment of a conference committee to consider the differences between the two houses; and that the House adopted the conference committee report on H.B. No. 300 on May 31, 2025, by the following vote: Yeas 121, Nays 8, 1 present, not voting.

______________________________ Chief Clerk of the House

I certify that H.B. No. 300 was passed by the Senate, with amendments, on May 21, 2025, by the following vote: Yeas 31, Nays 0; at the request of the House, the Senate appointed a conference committee to consider the differences between the two houses; and that the Senate adopted the conference committee report on H.B. No. 300 on May 30, 2025, by the following vote: Yeas 31, Nays 0.

______________________________ Secretary of the Senate APPROVED: __________________

Date

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Governor