BILL ANALYSIS



H.B. 2580
By: Howard
April 21, 1995
Committee Report (Amended)


BACKGROUND

Section 130.003 (State Appropriation for Public Junior Colleges),
Education Code, establishes six qualifications that a junior
college must meet to receive state funding.  One of those
qualifications is that a junior college must levy and collect ad
valorem taxes for the operation and maintenance of the college.  It
might be easier to qualify if junior colleges could receive an
annual contribution of sales and use taxes pledged for the benefit
of the junior college.

PURPOSE

This bill would allow a public junior college to be eligible for
state funding if it collects ad valorem taxes or receives an annual
contribution of sales and use taxes.

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. Amends Section 130.003 (State Appropriation for Public
           Junior Colleges), Subsection (b)(6), Education Code, to
           allow a junior college to be eligible for and receive
           a share of the appropriation if it receives either a
           contribution of sales and use taxes pledged to the use
           and benefit of the public junior college, or if it
           levies and collects ad valorem taxes.

SECTION 2. Amends Subchapter G, Chapter 130 (Junior College
           Districts), Education Code, by adding Section 130.1215
           SALES AND USE TAX REVENUES.
           Allows a junior college district to use revenue
           collected from sales and use taxes that is pledged to
           benefit the public junior college, in the same manner
           as ad valorem taxes collected by the district.

SECTION 3. Emergency Clause.

EXPLANATION OF AMENDMENTS

COMMITTEE AMENDMENT #1 would specify that the bill only applies to
junior colleges in counties with a population between 223,000 and
235,000.


SUMMARY OF COMMITTEE ACTION

Public notice was posted in accordance with the rules, and a public
hearing was held on April 
11, 1995.  Representative Howard explained the bill.  Without
objection, H.B. 2580 was left pending before the committee.

On April 18, 1995, the committee met in a public hearing, and H.B.
2580 was laid out on pending business.  The Committee considered
amendment #1 by Representative Craddick.  Without objection, the
committee adopted committee amendment #1.  By a record vote of 8
ayes, 0 nays, 0 present not voting and 3 absent, the committee
voted to report H.B. 2580 to the House with amendment with the
recommendation that it be sent to the Local & Consent Calendar, and
that it do pass.

     Testimony received in favor of the bill (4/11/95):
           Herb Appel, representing himself and the Greater Fort
           Bend Economic              Development Council
           Gene Reed, representing the Sugar Land Development
           Corporation
           Gerald G. Eagleson, representing himself
           Peter Slot, representing himself and the Greater Ft.
           Bend Economic Development    Council

     Neutral testimony received on the bill (4/11/95):
           Don W. Brown, representing the Texas Higher Education
           Coordinating Board