SRC-HRD S.B. 576 75(R)   BILL ANALYSIS


Senate Research Center   S.B. 576
By: Sibley
Finance
4-7-97
As Filed


DIGEST 

S.B. 576 creates the Texas New Horizons Scholarship Fund, which will award
scholarships to recipients who meet certain criteria, including the
socioeconomic background of the student, whether the student's parents
have received baccalaureate degrees, whether the student is a resident of
an urban area or a rural area for which recognized socioeconomic
indicators are lower than the average in similar areas, and the student's
performance on standardized tests.  This bill also requires the Higher
Education Coordinating Board to adopt rules necessary for the
administration and establishment of the scholarships, and, after
determining the amount of money available and the number of scholarships,
to issue the scholarships to the recipients. 

PURPOSE

As proposed, S.B. 576 creates the Texas New Horizons Scholarship Fund and
sets forth provisions regarding its administration. 

RULEMAKING AUTHORITY

Rulemaking authority is granted to the Texas Higher Education Coordinating
Board under SECTION 1 (Section 54.216(b), Education Code), of this bill. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 54D, Education Code, by adding Section 54.216,
as follows: 

Sec. 54.216.  TEXAS NEW HORIZONS SCHOLARSHIP FUND.  Requires the Texas
Higher Education Coordinating Board (coordinating board) to issue
scholarships, in a number to be determined by the coordinating board after
reviewing the total amount of money available to the Texas new horizons
scholarship fund, to qualified high school graduates.  Authorizes a
scholarship to be used by the recipient to attend any institution of
higher education and exempts the recipient from the payment of tuition and
required fees during the recipient's undergraduate enrollment at the
institution.  Requires the coordinating board to adopt rules as necessary
for the administration of this section.  Sets forth the criteria for
awarding a scholarship.  Sets forth requirements for the coordinating
board regarding the publication of the criteria.  Requires the
coordinating board to award scholarships from the amount available in the
Texas new horizons scholarship fund.  Provides that the fund consists of
amounts appropriated to the fund, including gifts or grants to the fund.
Authorizes the coordinating board to accept gifts, grants, or donations
from any person for the purposes of this section. 

SECTION 2. (a) Effective date:  September 1, 1997, except as provided by
Subsection (b) of this section.   

(b) Requires the Texas Higher Education Coordinating Board to adopt
criteria for awarding scholarships under Section 54.216, Education Code,
as added by this Act, not later than December 1, 1997.  Requires the board
to use those criteria in awarding any scholarships awarded before
September 1, 1998.   

SECTION 3. Emergency clause.