75R13208 JSA-F                          

         By Bivins                                             S.B. No. 1485

         Substitute the following for S.B. No. 1485:

         By Rabuck                                         C.S.S.B. No. 1485

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to state funding for and tuition charged to certain

 1-3     undergraduate students who accumulate excessive credit hours and to

 1-4     the number of credit hours required in a degree program.

 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-6           SECTION 1.  Subchapter C, Chapter 61, Education Code, is

 1-7     amended by adding Section 61.0595 to read as follows:

 1-8           Sec. 61.0595.  FUNDING FOR CERTAIN EXCESS UNDERGRADUATE

 1-9     CREDIT HOURS.  (a)  In the formulas established under Section

1-10     61.059, the board may not include funding for semester credit hours

1-11     attempted by a resident undergraduate student who before the

1-12     semester or other academic session begins has previously attempted

1-13     170 or more semester credit hours for courses taken at any

1-14     institution of higher education while classified as a resident

1-15     student for tuition purposes.

1-16           (b)  Subsection (a) does not apply to a student enrolled in:

1-17                 (1)  two or more baccalaureate degree programs at the

1-18     same time;

1-19                 (2)  a double major degree program that requires 130 or

1-20     more semester credits for completion; or

1-21                 (3)  a health professional baccalaureate degree

1-22     program.

1-23           (c)  For a student enrolled in a baccalaureate program under

1-24     Section 51.931, semester credit hours earned by the student 10 or

 2-1     more years before the date the student begins the new degree

 2-2     program under Section 51.931 are not counted for purposes of

 2-3     determining whether the student has previously earned the number of

 2-4     semester credit hours specified by Subsection (a).

 2-5           (d)  The following are not counted for purposes of

 2-6     determining whether the student has previously earned the number of

 2-7     semester credit hours specified by Subsection (a):

 2-8                 (1)  semester credit hours earned by the student before

 2-9     receiving a baccalaureate degree that has previously been awarded

2-10     to the student;

2-11                 (2)  semester credit hours earned by the student by

2-12     examination or under any other procedure by which credit is earned

2-13     without registering for a course for which tuition is charged;

2-14                 (3)  credit for a remedial education course or another

2-15     course that does not count toward a degree program at the

2-16     institution; and

2-17                 (4)  semester credit hours earned by the student at a

2-18     private institution or an out-of-state institution.

2-19           SECTION 2.  Subchapter B, Chapter 54, Education Code, is

2-20     amended by adding Section 54.068 to read as follows:

2-21           Sec. 54.068.  TUITION FOR EXCESSIVE UNDERGRADUATE HOURS.  An

2-22     institution of higher education may charge a resident student

2-23     tuition at a higher rate than the rate charged to other resident

2-24     students, not to exceed the rate charged to nonresident students,

2-25     for a course for which Section 61.0595 requires the Texas Higher

2-26     Education Coordinating Board to exclude funding for the semester

2-27     credit hours for which the student registers if the student has

 3-1     previously attempted 170 or more semester credit hours.

 3-2           SECTION 3.  Subchapter A, Chapter 54, Education Code, is

 3-3     amended by adding Section 54.0065 to read as follows:

 3-4           Sec. 54.0065.  TUITION REBATE FOR CERTAIN UNDERGRADUATES.

 3-5     (a)  A qualified student is eligible for a rebate of a portion of

 3-6     the undergraduate tuition the student has paid if the student:

 3-7                 (1)  is awarded a baccalaureate degree from a general

 3-8     academic teaching institution; and

 3-9                 (2)  has attempted no more than six hours in excess of

3-10     the minimum number of semester credit hours required to complete

3-11     the degree, including transfer credits and course credit earned

3-12     exclusively by examination.

3-13           (b)  The amount of tuition to be rebated to a student under

3-14     this section is $1,000, unless the total amount of undergraduate

3-15     tuition paid by the student to the institution of higher education

3-16     awarding the degree was less than $1,000, in which event the amount

3-17     of tuition to be rebated is an amount equal to the amount of

3-18     undergraduate tuition paid by the student to the institution.

3-19     However, a student who paid the institution awarding the degree an

3-20     amount of undergraduate tuition less than $1,000 may qualify for an

3-21     increase in the amount of the rebate, not to exceed a total rebate

3-22     of $1,000, for any amount of undergraduate tuition the student paid

3-23     to other institutions of higher education by providing the

3-24     institution with proof of the total amount of that tuition paid to

3-25     other institutions of higher education.

3-26           (c)  A student who has transferred from another institution

3-27     of higher education shall provide the institution awarding the

 4-1     degree an official transcript from each institution attended by the

 4-2     student in order that the total number of hours attempted by the

 4-3     student can be verified.

 4-4           (d)  To qualify for a rebate under this section, the student

 4-5     must have been a resident of this state and entitled to pay tuition

 4-6     at the rate provided by this chapter for a resident student at all

 4-7     times while pursuing the degree.

 4-8           (e)  All institutions of higher education shall notify each

 4-9     first-time freshman student of the tuition rebate program.

4-10           (f)  The institution awarding the degree shall pay the rebate

4-11     under this section from local funds.

4-12           (g)  The legislature shall account in the General

4-13     Appropriations Act for the rebates authorized by this section in a

4-14     way that provides a corresponding increase in the general revenue

4-15     funds appropriated to the institution.  It is the intent of the

4-16     legislature that rebates authorized by this section shall be

4-17     financed by savings to the state resulting from reductions in the

4-18     number of courses taken by undergraduate students.

4-19           (h)  The Texas Higher Education Coordinating Board, in

4-20     consultation with the institutions of higher education, shall adopt

4-21     rules for the administration of this section.

4-22           SECTION 4.  Subchapter C, Chapter 61, Education Code, is

4-23     amended by adding Section 61.0551 to read as follows:

4-24           Sec. 61.0551.  CREDIT HOURS REQUIRED FOR DEGREE.  (a)  An

4-25     institution of higher education may not require a student to

4-26     complete more than 120 semester credit hours to complete a

4-27     baccalaureate degree program, except as otherwise provided by this

 5-1     section.

 5-2           (b)  The board may permit an institution to require a student

 5-3     to complete more than the number of semester credit hours permitted

 5-4     by Subsection (a) to complete a baccalaureate degree program if the

 5-5     institution establishes to the satisfaction of the board that the

 5-6     requirement is reasonable considering the requirements for

 5-7     comparable degree programs at other institutions, applicable

 5-8     accreditation standards, professional trends and licensing

 5-9     requirements in the field, and other relevant factors.  The board

5-10     shall require an institution that receives approval of the semester

5-11     credit hour requirement for a degree program under this subsection

5-12     to reestablish the reasonableness of the requirement for that

5-13     degree program every five years.

5-14           (c)  Subsection (a) does not prohibit a student from

5-15     completing more semester credit hours than required for the degree

5-16     program.

5-17           (d)  Subsection (a) does not apply to a degree program in

5-18     existence on January 1, 1997, until September 1, 1999.  On and

5-19     after that date, every baccalaureate degree program at an

5-20     institution of higher education must comply with this section.

5-21           SECTION 5.  (a)  This Act takes effect September 1, 1997.

5-22           (b)  Section 54.068, Education Code, as added by this Act,

5-23     applies beginning with tuition charged for the 1997 fall semester.

5-24           (c)  Section 54.0065, Education Code, as added by this Act,

5-25     applies only to students entering a baccalaureate degree program on

5-26     or after September 1, 1997.

5-27           (d)  Section 61.0595, Education Code, as added by this Act,

 6-1     applies to funding beginning with the 1997 fall semester.

 6-2           SECTION 6.  The importance of this legislation and the

 6-3     crowded condition of the calendars in both houses create an

 6-4     emergency and an imperative public necessity that the

 6-5     constitutional rule requiring bills to be read on three several

 6-6     days in each house be suspended, and this rule is hereby suspended.