By: Hernandez H.B. No. 2363 73R6592 SOS-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to authorizing public junior colleges to charge an 1-3 endowment fee and to establish an endowment fund. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter A, Chapter 130, Education Code, is 1-6 amended by adding Section 130.007 to read as follows: 1-7 Sec. 130.007. ENDOWMENT FEES AND ENDOWMENT FUND. (a) The 1-8 board of trustees of a public junior college may establish an 1-9 endowment fund outside the state treasury in a depository selected 1-10 by the board of trustees. 1-11 (b) The board of trustees may collect from each student 1-12 enrolled at the junior college an endowment fee to be used only for 1-13 the operation and maintenance of the junior college. 1-14 (c) An endowment fee collected under this section shall be 1-15 deposited in the endowment fund. 1-16 (d) The board of trustees may accept gifts and grants from 1-17 any public or private source for the fund. 1-18 (e) The endowment fund consists of endowment fees, gifts, 1-19 grants, and income from investing the fund. 1-20 (f) The board of trustees may invest the endowment fund in 1-21 securities, bonds, and other investments that the board considers 1-22 prudent. In making investments under this section, the board shall 1-23 exercise the judgment and care under the circumstances then 1-24 prevailing that a person of ordinary prudence, discretion, and 2-1 intelligence exercises in the management of the person's own 2-2 affairs. 2-3 (g) The board may not spend any money deposited in the fund 2-4 as endowment fees, gifts, or grants but may spend any income from 2-5 investing the fund. 2-6 SECTION 2. Section 130.007, Education Code, as added by this 2-7 Act, applies beginning with the fall semester 1993. 2-8 SECTION 3. The importance of this legislation and the 2-9 crowded condition of the calendars in both houses create an 2-10 emergency and an imperative public necessity that the 2-11 constitutional rule requiring bills to be read on three several 2-12 days in each house be suspended, and this rule is hereby suspended, 2-13 and that this Act take effect and be in force from and after its 2-14 passage, and it is so enacted.