S.B. No. 336 AN ACT 1-1 relating to prohibiting certain extensions of credit by retail 1-2 stores owned or operated by public institutions of higher 1-3 education. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter Z, Chapter 51, Education Code, is 1-6 amended by adding Section 51.929 to read as follows: 1-7 Sec. 51.929. PROHIBITION AGAINST CERTAIN EXTENSIONS OF 1-8 CREDIT BY CERTAIN RETAIL STORES. (a) Except as provided by 1-9 Subsection (b) of this section, a retail store that is owned or 1-10 operated by an institution of higher education may not enter into a 1-11 transaction for the sale or lease of goods or services in which the 1-12 institution extends the credit of the state to the obligor. 1-13 (b) This section does not apply to an extension of credit to 1-14 a student for the purchase of books or other educational supplies 1-15 if the credit may be offset against undistributed grant or loan 1-16 funds that are held by the institution for the student or that the 1-17 institution is entitled to receive on behalf of the student. The 1-18 institution may not withhold grant or loan funds to require the 1-19 student to purchase books or educational supplies from a store that 1-20 it owns or operates. 1-21 (c) In this section, "institution of higher education" has 1-22 the meaning assigned by Section 61.003 of this code. 1-23 SECTION 2. This Act takes effect September 1, 1993, and 1-24 applies only to sales or leases that are made on or after that 2-1 date. 2-2 SECTION 3. The importance of this legislation and the 2-3 crowded condition of the calendars in both houses create an 2-4 emergency and an imperative public necessity that the 2-5 constitutional rule requiring bills to be read on three several 2-6 days in each house be suspended, and this rule is hereby suspended.