SRC-AAA C.S.H.B. 1235 75(R)BILL ANALYSIS


Senate Research CenterC.S.H.B. 1235
By: Junell (Ratliff)
Finance
5-2-97
Committee Report (Substituted)


DIGEST 

Currently, under the Education Code, institutions of higher education have
the authority to issue revenue bonds for certain purposes. These bonds may
be backed by future tuition revenues.  This bill grants authority to the
board of regents of various institutions of higher education to finance
capital improvements.  Additionally, this bill allows the board of regents
of the various institutions of higher education to pledge certain items
for payment of the bonds. 

PURPOSE

As proposed, C.S.H.B. 1235 grants authority to the board of regents of
various institutions of higher education to finance capital improvements
and to pledge certain items for payment of the bonds. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 55.17(e), Education Code, by adding Subdivision
(4), to set forth requirements for issuing bonds for Texas Tech University
and the Texas Tech Health Center. 

SECTION 2. Amends Chapter 55B, Education Code, by adding Sections
55.1721-55.1728, as follows: 

Sec. 55.1721. THE TEXAS A&M UNIVERSITY SYSTEM. Sets forth requirements for
issuing bonds and payment of bonds, and sets forth the principal amounts
for: Prairie View A&M University, Tarleton State University, Texas A&M
University, Texas A&M University Health Science Center, Texas A&M
University at Galveston, Texas A&M--Commerce, Texas A&M--Corpus Christi,
Texas A&M International University, Texas A&M-Kingsville, Texas
A&M--Texarkana, West Texas A&M University, and Baylor College of
Dentistry. 

Sec. 55.1722. THE UNIVERSITY OF TEXAS SYSTEM.  Sets forth requirements for
issuing bonds and payment of bonds,  and sets forth the principal amounts
for: University of Texas at Arlington, University of Texas at Austin,
University of Texas at Brownsville, University of Texas at Dallas,
University of Texas at El Paso, University of Texas--Pan American,
University of Texas of the Permian Basin, University of Texas at San
Antonio, and University of Texas at Tyler, University of Texas at Tyler,
Nursing-Palestine Extension, University of Texas Southwestern Branch at
Dallas, University of Texas Medical Branch at Galveston, University of
Texas Health Science Center at Houston, University of Texas Health Science
Center at San Antonio. 

 Sec. 55.1723. THE UNIVERSITY OF HOUSTON SYSTEM.  Sets forth requirements
for issuing bonds and payment of bonds for the University of Houston
System. 

Sec. 55.1724. TEXAS STATE UNIVERSITY SYSTEM.  Sets forth requirements for
payment of bonds for the Texas State University System. 

 Sec. 55.1725. UNIVERSITY OF NORTH TEXAS AND UNIVERSITY OF NORTH TEXAS
HEALTH SCIENCE CENTER AT FORT WORTH.  Sets forth requirements for issuance
of principal and payment of bonds for University of North Texas and UNT
Health Science Center. 

Sec. 55.1726. TEXAS WOMAN'S UNIVERSITY.  Sets forth requirements for
issuance of principal amounts and payment of bonds for Texas Woman's
University. 

Sec. 55.1727. MIDWESTERN STATE UNIVERSITY.  Sets forth requirements for
the issuance of principal amounts and payment of bonds for Midwestern
State University. 

Sec. 55.1728. STEPHEN F. AUSTIN UNIVERSITY.  Sets forth requirements for
the issuance of  principal amounts and payment of bonds for Stephen F.
Austin University. 

SECTION 3. Amends Chapter 55B, Education Code, bu adding Section 55.174,
as follows: 

Sec. 55.174. TEXAS SOUTHERN UNIVERSITY.  Sets forth requirements for
issuance of principal amounts and payment of bonds for Texas Southern
University. 

SECTION 4. Amends Section 61.0572(e), Education Code, to make conforming
changes. 

SECTION 5. Amends Section 61.058(b), Education Code, to make a conforming
change. 

SECTION 6. Emergency clause.
  Effective date: upon passage.

SUMMARY OF COMMITTEE CHANGES

SECTION 2.

Amends Section 55.1721, Education Code, to set forth new principal amounts
and new institutions of the Texas A&M University System to finance.  

Amends Section 55.1722, Education Code, to set forth new principal amounts
and new institutions of the University of Texas System to finance.  

Amends Section 55.1723, Education Code, to set forth new principal amounts
and new institutions of the University of Houston System to finance.  

Amends Section 55.1724, Education Code, to set forth new principal amounts
for the Texas State University System to finance.  

Amends Section 55.1728, Education Code, to set forth a new principal
amount not to exceed $37 million. 

SECTION 4. 

Amends Section 61.0572(e), Education Code, to make conforming changes.

SECTION 5. 

Amends Section 61.058(b), Education Code, to make a conforming change.