BILL ANALYSIS



H.B. 1146
By: Mowery
03-30-95
Committee Report (Unamended)


BACKGROUND

Under current statute, a nonresident or foreign (non-U.S. citizen)
student who holds a competitive academic scholarship of at least
$200 is entitled to pay "in-state" tuition rates without regard to
the amount of time the student has resided in Texas.  The student
must compete with other students, including Texas residents, for
the academic scholarship and the scholarship must be awarded by a
scholarship committee officially recognized by the administration
and approved by the Texas Higher Education Coordinating Board.  The
law limits those who may participate to five percent of the total
number of students enrolled at the institution for the same
semester of the preceding academic year.  This law has resulted in
a loss of revenue for the state.


PURPOSE

The purpose of this bill is to repeal Section 54.064, Education
Code, which provides for in-state tuition rates for out-of-state as
well as foreign residents if they receive academic scholarships of
at least $200.  It also provides a grandfather clause for students
who were eligible under Section 54.064.


RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly
grant any additional rulemaking authority to a state officer,
department, agency, or institution.


SECTION BY SECTION ANALYSIS

SECTION 1.     Repeals Chapter 54B, Education Code, Section 54.064. 

SECTION 2. Effective date: (a) Fall semester, 1995.

           (b) Grandfather clause:  For students who have paid the
fees and charges required of Texas residents under Section 54.064,
Education Code, remains eligible to pay the fees and charges of
Texas residents in which the student meets the requirements of that
section as it existed on January 1, 1995, until the earlier of:
           
               (1) the date of completion or withdrawal from the
degree program; or  
               (2) the fall semester of 1997.

SECTION 3. Emergency Clause.
           


SUMMARY OF COMMITTEE ACTION

H.B. 1146 was considered by the committee in a public hearing on
March 7, 1995.  The bill was referred to a subcommittee consisting
of Representatives Rodriguez, Ogden and Goolsby.  H.B. 1146 was
considered by the subcommittee in a formal meeting on March 16,
1995.  The bill was reported favorably without amendment to the
full committee by a record vote of 3 ayes, 0 nays, 0 pnv, 0 absent. 
H.B. 1146 was considered on subcommittee report by the committee in
a public hearing on March 28, 1995.  The bill was reported
favorably without amendment, with the recommendation that it do
pass and be printed, by a record vote of 7 ayes, 0 nays, 0 pnv, 2
absent.