By Hunter of Taylor H.B. No. 1157
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the administration of the Texas Guaranteed Student Loan
1-3 Corporation.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 57.22, Education Code, is amended to read
1-6 as follows:
1-7 Sec. 57.22. Application of the Texas Non-Profit Corporation
1-8 Act. The Corporation is subject to the Texas Non-Profit
1-9 Corporation Act (Article 1396-1.01 et seq., Vernon's Texas Civil
1-10 Statutes), except that:
1-11 (1) the corporation may not make donations for the
1-12 public welfare or for charitable, scientific, or educational
1-13 purposes or in aid of war activities;
1-14 (2) the corporation is not required to file articles
1-15 of incorporation;
1-16 <(3) the corporation may not merge or consolidate with
1-17 another corporation;>
1-18 <(4)> (3) the corporation is not subject to voluntary
1-19 or involuntary dissolution;
1-20 <(5)> (4) the corporation may not be placed in
1-21 receivership; and
1-22 <(6)> (5) the corporation is not required to make
1-23 reports to the secretary of state under Article 9.01 of that Act.
2-1 SECTION 2. Section 57.24, Education Code, is amended to read
2-2 as follows:
2-3 Sec. 57.24. Authority to Participate in Other
2-4 Revenue-Generating Activities; Limitations. (a) The corporation
2-5 may participate in revenue-generating activity that is consistent
2-6 with the corporation's purposes if the board determines that the
2-7 revenue from the activity:
2-8 (1) is sufficient to cover the costs of the activity;
2-9 and
2-10 (2) may contribute to a reduction in the insurance
2-11 premium paid by students under Section 57.43 of this code.
2-12 (b) If, under Subsection (a) of this section, the board
2-13 authorizes the corporation to perform additional services, the
2-14 corporation may not require postsecondary educational institutions
2-15 of students to use those services unless required by state or
2-16 federal law.
2-17 <(c) The corporation may not guarantee loans for other
2-18 states.>
2-19 SECTION 3. Section 57.761, Education Code, is amended to
2-20 read as follows:
2-21 Sec. 57.761. Internal Auditor. (a) The president <executive
2-22 director> shall appoint an internal auditor for the corporation.
2-23 The appointment of an internal auditor must be approved by the
2-24 board.
2-25 (b) The internal auditor shall report to the president
3-1 <executive director>. The board may require the internal auditor
3-2 to submit directly to the board certain reports specified by the
3-3 board.
3-4 (c) The board or a board <board's executive> committee, as
3-5 designated by the board, <a subcommittee of the board,> shall meet
3-6 with the internal auditor on a regular basis.
3-7 (d) The internal auditor shall examine the corporation's
3-8 system of internal controls and its system of identifying fixed and
3-9 variable costs, including administrative costs.
3-10 SECTION 4. This act takes effect September 1, 1995.
3-11 SECTION 5. The importance of this legislation and the
3-12 crowded condition of the calendars in both houses create an
3-13 emergency and an imperative public necessity that the
3-14 constitutional rule requiring bills to be read on three several
3-15 days in each house be suspended, and this rule is hereby suspended.