BILL ANALYSIS C.S.S.B. 407 By: Montford Finance 03-29-95 Committee Report (Substituted) BACKGROUND Recently, some higher education institutions have had to use funds appropriated to them from the general revenue fund to cover extra, unexpected costs. For example, Tarleton State University had to pay for repairs to buildings damaged by severe hailstorms, and Southwest Texas State University incurred expenses for repairing and reconstructing buildings and structures with water and hail damage. Other institutions have requested more appropriations for enrollment and start-up costs at new campuses. Public school districts around the state have also experienced a need for increased funding. PURPOSE As proposed, C.S.S.B. 407 provides appropriations for expenses incurred by specific higher education institutions, the Central Education Agency, the Texas Higher Education Coordinating Board, and the Texas Cosmetology Commission; provides extra appropriations for school districts. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. (a) Authorizes school districts whose adjustments of state funds to which each school district is entitled for the 1994-1995 school year would result in an increase in the next fiscal year, on determination pursuant to Section 16.254(i), Education Code, to receive payment of all or, on a pro rata basis, part of the increase during the current fiscal year, to the extent that appropriations provided by this section allow. (b) Requires the remainder of appropriations that exceed the total of increased entitlements determined pursuant to Section 16.254(i), Education Code, and payable during the current fiscal year pursuant to Subsection (a), to be paid to all school districts on a pro rata basis on or before July 25, 1995, as an advance on payments otherwise due on September 25, 1995. (c) Provides that $305 million is appropriated from the general revenue fund (fund) to the Central Education Agency for the payments authorized by this section for the current fiscal year. SECTION 2. Provides that in addition to appropriations for the current fiscal biennium, $740,000 is appropriated for the remainder of the fiscal year ending August 31, 1995, from the fund to Tarleton State University for specific expenses. SECTION 3. (a) Provides that in addition to appropriations for the current fiscal biennium, $1,449,405 is appropriated for the remainder of the fiscal year ending August 31, 1995, from the fund to Southwest Texas State University for specific expenses. (b) Authorizes the amount appropriated by this section to reimburse Southwest Texas State University's institutional funds for certain amounts previously paid, regardless of the fiscal year in which the payments were made. SECTION 4. (a) Provides that $13,744,133 is appropriated from the fund to the Texas Higher Education Agency Coordinating Board (coordinating board) to fund enrollment and start-up costs at new campuses at certain colleges. (b) Provides that unexpended balances at the end of fiscal year 1995 of an amount appropriated by this section are reappropriated for the same purposes in the 1996-1997 biennium. SECTION 5. Provides that $2,312,050 are appropriated from the fund to the coordinating board to fund specific costs at South Texas Community College. SECTION 6. Provides that $70,000 is appropriated for the fiscal year ending August 31, 1995, from the fund to the Texas Cosmetology Commission to pay costs associated with carrying out provisions of Chapter 1036, Article 8451a, V.T.C.S. SECTION 7. Emergency clause. Effective date: upon passage.