TC H.B. 2394 75(R)BILL ANALYSIS


HIGHER EDUCATION
H.B. 2394
By: Delisi
3-31-97
Committee Report (Unamended)



BACKGROUND 

Currently, institutions of higher education are instructed to exempt
veterans and veterans' dependents from the payment "of all dues, fees, and
charges, including fees for correspondence courses but excluding property
deposit fees, student service fees, and any fees or charges for lodging,
board, and clothing..."  [Section 54.203(a), Education Code]. This has
afforded many veterans well-deserved exemptions and allowed them to attain
quality educations. 

However, two courses in particular have proven to be financially
burdensome for institutions of higher education when offering veteran
exemptions for fees.  These courses--truck driving and aircraft flight
training--have high course fees for already under-funded programs. 

For example, Central Texas College in Killeen, Texas, offers an Aviation
Science program, which has fees ranging from $740.00 to $3,000 for a
two-credit hour class, or as much as $12,000 over the two-year program.
The two students currently enrolled represent $24,000 in lost fee revenue
for the college over a two-year period.  The college is presented with the
option to continue to lose money with the program or to shut down the
program. 

PURPOSE

H.B. 2394 would exclude fees for truck driving and aircraft flight
training courses from exemptions for veterans and veterans' dependents so
that institutions of higher education may maintain the courses as part of
their curricula and cease loss of revenue from these fee exemptions. 

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 54.203, Education Code, by adding Subsection (g)
which states that exemptions for veterans and dependents as provided in
Subsections (a) and (b) do not apply to fees charged for a course in truck
driving or aircraft flight training. 

SECTION 2. Effective beginning with fees charged for the 1997 fall
semester. 

SECTION 3. Emergency clause.