By Hilderbran, Cuellar of Webb, et al.                 H.B. No. 780
          Substitute the following for H.B. No. 780:
          By Hunter                                          C.S.H.B. No. 780
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to tuition and fee exemptions at public institutions of
    1-3  higher education for certain students.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Subchapter D, Chapter 54, Education Code, is
    1-6  amended by adding Section 54.211 to read as follows:
    1-7        Sec. 54.211.  ONE-YEAR EXEMPTION FOR CERTAIN AFDC STUDENTS.
    1-8  A student is exempt from the payment of tuition and fees authorized
    1-9  by this chapter for the first academic year in which the student
   1-10  enrolls at an institution of higher education if the student:
   1-11              (1)  graduated from a public high school in this state;
   1-12              (2)  has successfully completed the attendance
   1-13  requirements under Section 21.032 of this code;
   1-14              (3)  during the student's last year of public high
   1-15  school in this state or during the month in which the student
   1-16  graduated from a public high school in this state was a dependent
   1-17  child receiving financial assistance under Chapter 31, Human
   1-18  Resources Code;
   1-19              (4)  is under the age of 22 on the date of enrollment;
   1-20              (5)  enrolls at the institution as an undergraduate
   1-21  student not later than the second anniversary of the date of
   1-22  graduation from a public high school in this state;
   1-23              (6)  has met all college entrance exam requirements
   1-24  imposed by the institution before the date of enrollment at the
    2-1  institution; and
    2-2              (7)  is a Texas resident as provided by Subchapter B of
    2-3  this chapter.
    2-4        SECTION 2.  Subchapter D, Chapter 54, Education Code, is
    2-5  amended by adding Section 54.212 to read as follows:
    2-6        Sec. 54.212.  ONE-YEAR EXEMPTION FOR CERTAIN AFDC EARLY HIGH
    2-7  SCHOOL GRADUATES.  (a)  The purpose of this section is to increase
    2-8  efficiency in the foundation school program and to provide a
    2-9  one-year exemption from the payment of tuition and fees to students
   2-10  under this section to enable those students to attend institutions
   2-11  of higher education.
   2-12        (b)  A student is exempt from the payment of tuition and fees
   2-13  authorized by this chapter for the first year in which the student
   2-14  enrolls at an institution of higher education if the student:
   2-15              (1)  has the written approval of at least one of the
   2-16  student's parents or a person standing in parental relation to the
   2-17  student;
   2-18              (2)  has successfully completed the requirements for a
   2-19  public high school diploma in less than four years and graduated or
   2-20  is eligible for graduation from a public high school in this state;
   2-21              (3)  is a Texas resident as provided by Subchapter B of
   2-22  this chapter;
   2-23              (4)  has successfully completed the attendance
   2-24  requirements under Section 21.032 of this code;
   2-25              (5)  during the student's last year of public high
   2-26  school in this state or during the month in which the student
   2-27  graduated from a public high school in this state was a dependent
    3-1  child receiving financial assistance under Chapter 31, Human
    3-2  Resources Code;
    3-3              (6)  is under the age of 22 on the date of enrollment;
    3-4  and
    3-5              (7)  has met all college entrance exam requirements
    3-6  imposed by the institution before the date of enrollment at the
    3-7  institution.
    3-8        (c)  The exemption from the payment of tuition and fees under
    3-9  this section is financed under the foundation school program.
   3-10  Funding for the exemption is not subject to Section 16.254(d) of
   3-11  this code.  Not later than October 1 of each year, the Texas Higher
   3-12  Education Coordinating Board shall file a report with the
   3-13  commissioner of education and the foundation school fund budget
   3-14  committee.  The report shall include the number of students who are
   3-15  entitled to the exemption, the amount of tuition and fees exempted
   3-16  at institutions of higher education, and a projection of future
   3-17  funding for the exemption.  Out of funds appropriated for the
   3-18  foundation school program, the commissioner of education shall
   3-19  transfer to the coordinating board each year an amount sufficient
   3-20  to fund the exemption for students who are entitled to the
   3-21  exemption under Subsection (b) of this section.  The coordinating
   3-22  board shall distribute to an institution of higher education an
   3-23  amount equal to the amount of tuition and fees exempted under this
   3-24  section for each student who is enrolled at the institution and who
   3-25  is entitled to the exemption.  The commissioner of education and
   3-26  the foundation school fund budget committee shall consider the
   3-27  costs of the exemption in estimating the funds needed for
    4-1  foundation school program purposes.
    4-2        SECTION 3.  This Act applies beginning with tuition and fees
    4-3  collected for the fall semester of 1993.
    4-4        SECTION 4.  The importance of this legislation and the
    4-5  crowded condition of the calendars in both houses create an
    4-6  emergency and an imperative public necessity that the
    4-7  constitutional rule requiring bills to be read on three several
    4-8  days in each house be suspended, and this rule is hereby suspended,
    4-9  and that this Act take effect and be in force from and after its
   4-10  passage, and it is so enacted.