1-1 AN ACT 1-2 relating to installment payments on a prepaid college tuition 1-3 contract. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Section 54.626(a), Education Code, is amended to 1-6 read as follows: 1-7 (a) The board may provide for the receipt of payments under 1-8 prepaid tuition contracts in lump sums or installment payments. If 1-9 the board allows payments under a contract to be made in 1-10 installments over a period longer than one year, it must provide 1-11 for those payments to be made in single annual installments in 1-12 addition to any other permitted installment plans. 1-13 SECTION 2. (a) The Prepaid Higher Education Tuition Board 1-14 shall begin offering single annual installment payment plans under 1-15 new prepaid tuition contracts as required by this Act not later 1-16 than January 1, 1998. 1-17 (b) The board shall permit a person making payments under a 1-18 prepaid tuition contract entered into before January 1, 1998, that 1-19 provides for installment payments to be made more frequently than 1-20 once each year to convert to single annual installment payments if 1-21 the person in writing so requests before January 1, 1999. In 1-22 converting a contract to provide for annual installment payments, 1-23 the board shall adjust the amount of each payment as necessary to 1-24 comply with Section 54.620(b), Education Code, taking into account 2-1 the different frequency with which the installment payments are to 2-2 be made. 2-3 SECTION 3. The importance of this legislation and the 2-4 crowded condition of the calendars in both houses create an 2-5 emergency and an imperative public necessity that the 2-6 constitutional rule requiring bills to be read on three several 2-7 days in each house be suspended, and this rule is hereby suspended, 2-8 and that this Act take effect and be in force from and after its 2-9 passage, and it is so enacted. _______________________________ _______________________________ President of the Senate Speaker of the House I certify that H.B. No. 634 was passed by the House on March 19, 1997, by the following vote: Yeas 147, Nays 0, 1 present, not voting. _______________________________ Chief Clerk of the House I certify that H.B. No. 634 was passed by the Senate on May 5, 1997, by the following vote: Yeas 31, Nays 0. _______________________________ Secretary of the Senate APPROVED: _____________________ Date _____________________ Governor