By Maxey H.B. No. 1697 74R4867 JSA-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to providing information to students applying for 1-3 guaranteed student loans relating to the graduation, placement, and 1-4 student loan default rates for postsecondary educational 1-5 institutions. 1-6 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-7 SECTION 1. Subchapter C, Chapter 61, Education Code, is 1-8 amended by adding Section 61.0735 to read as follows: 1-9 Sec. 61.0735. NOTICE RELATING TO GUARANTEED STUDENT LOANS. 1-10 (a) In this section: 1-11 (1) "Guaranteed student loan" means a loan guaranteed 1-12 under the Higher Education Act of 1965 (20 U.S.C. Section 1001 et 1-13 seq.) or other federal law the purpose of which is to provide money 1-14 for a person to attend a postsecondary educational institution. 1-15 (2) "Postsecondary educational institution" has the 1-16 meaning assigned by Section 57.02. 1-17 (b) The board shall collect and maintain information 1-18 relating to guaranteed student loans for each postsecondary 1-19 educational institution in this state that is eligible to enroll a 1-20 student receiving a guaranteed student loan. The information 1-21 collected by the board must include, to the extent practicable: 1-22 (1) the graduation rate for students enrolled in the 1-23 institution; 1-24 (2) the career placement rate for students graduating 2-1 from the institution; and 2-2 (3) the guaranteed student loan default rate of 2-3 students who have received guaranteed student loans to attend the 2-4 institution. 2-5 (c) The board shall prepare materials for distribution to a 2-6 student applying for a guaranteed student loan designed to inform 2-7 the student of the graduation, placement, and loan default rates 2-8 for the institution collected under Subsection (b). The board may 2-9 provide the information in any form the board considers reasonable 2-10 and may provide rates for the institution as a whole or for 2-11 particular programs of the institution. 2-12 (d) The board by rule shall require: 2-13 (1) postsecondary educational institutions covered by 2-14 this section and entities administering guaranteed student loans in 2-15 this state to report information that the board requires for the 2-16 administration of this section; and 2-17 (2) each entity that administers guaranteed student 2-18 loans in this state to provide each applicant for a guaranteed 2-19 student loan with the materials prepared by the board under 2-20 Subsection (c). 2-21 SECTION 2. (a) This Act takes effect September 1, 1995. 2-22 (b) The Texas Higher Education Coordinating Board shall 2-23 prepare materials for distribution to students applying for 2-24 guaranteed student loans as required by Section 61.0735, Education 2-25 Code, as added by this Act, not later than September 1, 1996. 2-26 SECTION 3. The importance of this legislation and the 2-27 crowded condition of the calendars in both houses create an 3-1 emergency and an imperative public necessity that the 3-2 constitutional rule requiring bills to be read on three several 3-3 days in each house be suspended, and this rule is hereby suspended.