By: Bivins S.B. No. 1907
A BILL TO BE ENTITLED
AN ACT
1-1 relating to tuition and fees charged by public institutions of
1-2 higher education, including the redesignation of certain fees as
1-3 tuition.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 ARTICLE 1. TUITION AND FEES
1-6 SECTION 1.01. Section 54.004, Education Code, is amended to
1-7 read as follows:
1-8 Sec. 54.004. Retention and Use of Funds. (a) Except as
1-9 provided by Subsection (b), all [All] tuition, local funds, and
1-10 fees collected by an institution of higher education shall be
1-11 retained and expended by the institution and accounted for annually
1-12 as provided in the general appropriations act.
1-13 (b) Amounts collected by an institution of higher education
1-14 from the portion of resident tuition charged in excess of the
1-15 minimum resident tuition rate established by Section 54.051(c) and
1-16 amounts collected from the portion of nonresident tuition charged
1-17 in excess of the basic nonresident tuition rate established by
1-18 Section 54.051(d) are institutional funds as defined by Section
1-19 51.009 and shall be accounted for as designated funds. These funds
1-20 may be used for any lawful purpose and shall not be accounted for
1-21 in a general appropriations act in such a way as to reduce the
1-22 general revenue appropriation to a particular institution.
1-23 SECTION 1.02. Section 54.008, Education Code, is amended by
2-1 amending Subsections (a), (e), and (f) and adding Subsections (g),
2-2 (h), and (i) to read as follows:
2-3 (a) [The tuition rates provided by Subchapter B of this
2-4 chapter are minimum rates.] Except as otherwise provided by this
2-5 section [Subsection (e)], the governing board of each institution
2-6 of higher education shall set tuition for resident students
2-7 enrolled in graduate programs for that institution at a rate that
2-8 is at least equal to the minimum rate [that] prescribed by
2-9 Subchapter B [of this chapter], but that is not more than 1.5 times
2-10 [twice] the maximum rate prescribed by Subchapter B [of this
2-11 chapter]. Between the maximum and minimum rates allowed by this
2-12 subsection, the board may set the differential tuition among
2-13 graduate programs offered by the [an] institution [of higher
2-14 education].
2-15 (e) The governing board of an institution of higher
2-16 education shall set tuition for a resident student enrolled in an
2-17 optometry program or a law school at the institution at a rate that
2-18 is at least equal to the minimum rate prescribed by Subchapter B
2-19 [of this chapter] but not more than two [three] times the maximum
2-20 rate prescribed by Subchapter B [of this chapter].
2-21 (f) The governing board of an institution of higher
2-22 education shall set tuition for a resident student enrolled in an
2-23 undergraduate or graduate pharmacy program at the institution at a
2-24 rate that is at least equal to the minimum rate prescribed by
2-25 Subchapter B [of this chapter] but not more than 1.5 times [twice]
3-1 the maximum rate prescribed by Subchapter B [of this chapter].
3-2 (g) The governing board of an institution of higher
3-3 education may waive all or part of the tuition charged to a
3-4 graduate or undergraduate student that is in excess of the minimum
3-5 tuition rates prescribed by Subchapter B if it finds that the
3-6 payment of such tuition would cause an undue economic hardship on
3-7 the student.
3-8 (h) A board shall hold a public hearing before it may
3-9 increase resident tuition rates above the minimum rates established
3-10 by Subchapter B.
3-11 (i) The governing board of an institution of higher
3-12 education shall set tuition for nonresident students enrolled in
3-13 graduate or pharmacy programs for that institution at a rate at
3-14 least equal to the rate prescribed by Section 54.051 for a
3-15 nonresident student at a general academic teaching institution but
3-16 that is not more than twice the rate prescribed by that section.
3-17 The board may set a differential tuition rate among graduate
3-18 programs offered by the institution.
3-19 SECTION 1.03. Subsection (c), Section 51.009, Education
3-20 Code, is amended to read as follows:
3-21 (c) Each of the following shall be accounted for as
3-22 educational and general funds: net tuition other than tuition
3-23 classified as institutional funds by Section 54.004(b), special
3-24 course fees charged under Sections 54.051(e) and (l), [Education
3-25 Code,] lab fees, student teaching fees, hospital and clinic fees,
4-1 organized activity fees, proceeds from the sale of educational and
4-2 general equipment, and indirect cost recovery fees.
4-3 SECTION 1.04. Subsection (i), Section 54.051, Education
4-4 Code, is amended to read as follows:
4-5 (i) Tuition for a resident student registered at a law
4-6 school is $100 [$75] per semester credit hour. [Tuition for a
4-7 nonresident student registered at a law school is $200 per semester
4-8 credit hour.]
4-9 SECTION 1.05. Section 54.0512, Education Code, is amended to
4-10 read as follows:
4-11 Sec. 54.0512. Interim Tuition Rates. (a) Notwithstanding
4-12 Section 54.051 [of this code], tuition for the applicable academic
4-13 years is as provided by this section.
4-14 (b) Tuition for a resident student at a general academic
4-15 teaching institution is [the greater of $120 for each semester or
4-16 12-week summer session and $60 for each six-week summer term or]:
4-17 (1) [for the 1994-1995 academic year, $28 per semester
4-18 credit hour;]
4-19 [(2) for the 1995-1996 academic year, $30 per semester
4-20 credit hour;]
4-21 [(3) for the 1996-1997 academic year, $32 per semester
4-22 credit hour;]
4-23 [(4)] for the 1997-1998 academic year, an amount per
4-24 semester credit hour established by the governing board of the
4-25 institution, which may not be less than $34 per semester credit
5-1 hour or more than $68 per semester credit hour;
5-2 (2) [(5)] for the 1998-1999 academic year, an amount
5-3 per semester credit hour established by the governing board of the
5-4 institution, which may not be less than $36 per semester credit
5-5 hour or more than $72 per semester credit hour;
5-6 (3) [(6)] for the 1999-2000 academic year, an amount
5-7 per semester credit hour established by the governing board of the
5-8 institution, which may not be less than $38 per semester credit
5-9 hour or more than $76 per semester credit hour; and
5-10 (4) [(7)] for the 2000-2001 academic year, an amount
5-11 per semester credit hour established by the governing board of the
5-12 institution, which may not be less than $40 per semester credit
5-13 hour or more than $80 per semester credit hour.
5-14 (c) [Tuition for a nonresident student at a general academic
5-15 teaching institution for the 1985-1986 and 1986-1987 academic years
5-16 is $120 per semester credit hour.]
5-17 [(d) Tuition for a resident student enrolled in a program
5-18 leading to an M.D. or D.O. degree is:]
5-19 [(1) for the 1985-1986 academic year, $1,219;]
5-20 [(2) for the 1986-1987 academic year, $2,400;]
5-21 [(3) for the 1987-1988 academic year, $3,600; and]
5-22 [(4) for the 1988-1989 academic year, $4,800.]
5-23 [(e) Tuition for a resident student enrolled in a program
5-24 leading to a D.D.S. degree is:]
5-25 [(1) for the 1985-1986 academic year, $900;]
6-1 [(2) for the 1986-1987 academic year, $1,600;]
6-2 [(3) for the 1987-1988 academic year, $2,500; and]
6-3 [(4) for the 1988-1989 academic year, $3,500.]
6-4 [(f) Tuition for a resident student enrolled in a program
6-5 leading to a D.V.M. degree is:]
6-6 [(1) for the 1985-1986 academic year, $800;]
6-7 [(2) for the 1986-1987 academic year, $1,200;]
6-8 [(3) for the 1987-1988 academic year, $2,400; and]
6-9 [(4) for the 1988-1989 academic year, $3,600.]
6-10 [(g) Tuition for a resident student registered at a law
6-11 school is:]
6-12 [(1) for the 1985-1986 academic year, $24 per semester
6-13 credit hour;]
6-14 [(2) for the 1986-1987 academic year, $36 per semester
6-15 credit hour; and]
6-16 [(3) for the 1987-1988 academic year, $48 per semester
6-17 credit hour.]
6-18 [(h)] Tuition for academic years not specifically covered by
6-19 this section is at the rates provided by Section 54.051 [of this
6-20 code]. This section expires January 1, 2002.
6-21 SECTION 1.06. Subsections (c) and (d), Section 54.051,
6-22 Education Code, are amended to read as follows:
6-23 (c) Unless a different rate is specified by this section,
6-24 tuition for a resident student at a general academic teaching
6-25 institution for the 2001-2002 academic year and thereafter is an
7-1 amount per semester credit hour established by the governing board
7-2 of the institution, which may not be less than [the greater of:]
7-3 [(1) $120 for each semester or 12-week summer session
7-4 and $60 for each six-week summer term; or]
7-5 [(2)] $40 per semester credit hour or more than $80
7-6 per semester credit hour.
7-7 (d) Unless a different rate is specified by this section,
7-8 tuition for a nonresident student at a general academic teaching
7-9 institution or medical and dental unit is a basic nonresident
7-10 tuition rate in an amount per semester credit hour equal to the
7-11 average of the nonresident undergraduate tuition charged per
7-12 semester credit hour to a resident of this state at a public state
7-13 university in each of the five most populous states other than this
7-14 state, as computed by the coordinating board under this subsection,
7-15 plus an additional amount set by the governing board of the
7-16 institution not to exceed $40 per semester credit hour. The
7-17 coordinating board shall set the basic nonresident tuition rate
7-18 provided by this subsection for each academic year and report that
7-19 rate to each appropriate institution not later than January 1 of
7-20 the calendar year in which the academic year begins, or as soon
7-21 after that January 1 as practicable. In computing the basic
7-22 nonresident tuition rate, the coordinating board shall use the
7-23 nonresident tuition rates for the other states in effect for the
7-24 academic year in progress when the board makes the computation.
7-25 SECTION 1.07. Subchapter D, Chapter 54, Education Code, is
8-1 amended by adding Sections 54.214 and 54.215 to read as follows:
8-2 Sec. 54.214. ADJUSTMENTS TO TUITION AND FEES TO REFLECT
8-3 EXEMPTIONS. (a) If a student at an institution of higher
8-4 education receives an exemption or waiver from the payment of all
8-5 or part of tuition and fees prescribed or authorized by this title,
8-6 the institution shall make the appropriate adjustments to the
8-7 student's charges for tuition and fees not later than the third
8-8 business day after the date on which the enrollment of the
8-9 institution for the semester or term is determined for general
8-10 administrative purposes.
8-11 (b) If a student is granted an exemption or waiver based on
8-12 exceptional hardship after an institution has made the adjustment
8-13 described in Subsection (a), the student may be given a prorated
8-14 refund of tuition and fees.
8-15 Sec. 54.215. DISTANCE LEARNING OR OFF-CAMPUS COURSES. The
8-16 governing board of an institution of higher education may waive a
8-17 fee which it is authorized to charge if the board determines that:
8-18 (1) a student is enrolled only in distance learning
8-19 courses or other off-campus courses of the institution;
8-20 (2) the student cannot reasonably be expected to use
8-21 the activities, services, or facilities on which the fee is based;
8-22 and
8-23 (3) the waiver of the fee will not materially impair
8-24 the ability of the institution either to service any debt on which
8-25 the fee is based or to offer or operate the particular activity,
9-1 service, or facility supported by the fee.
9-2 SECTION 1.08. Section 55.01, Education Code, is amended by
9-3 amending Subdivision (3) and adding Subdivision (4) to read as
9-4 follows:
9-5 (3) "Revenue funds" means the revenues, incomes,
9-6 receipts, rentals, rates, charges, fees, money, and tuition levied
9-7 or collected from any source by an institution of higher education,
9-8 including interest or other income from those funds.
9-9 (4) "Bonds" means bonds, notes, or credit agreements a
9-10 board is authorized to enter into either by this title or by other
9-11 laws.
9-12 SECTION 1.09. Section 55.16, Education Code, is amended to
9-13 read as follows:
9-14 Sec. 55.16. BOARD RESPONSIBILITY [RENTALS, RATES, CHARGES,
9-15 AND FEES]. (a) Each board shall be authorized to fix and collect
9-16 rentals, rates, and charges[, and fees] from students and others
9-17 for the occupancy, services, use, and/or availability of all or any
9-18 of its property, buildings, structures, activities, operations, or
9-19 other facilities, in such amounts and in such manner as may be
9-20 determined by the board. If [; provided, however, that all student
9-21 use fees shall be fixed and collected in proportion to the number
9-22 of semester credit hours for which a student registers, and shall
9-23 not exceed the amount permitted by Subsection (b), except that
9-24 those schools charging more than $6 per semester hour as of May 1,
9-25 1975, shall not exceed the amount being charged as of that date.
10-1 The board may waive all or any part of any such student use fees in
10-2 the case of any student for whom the payment of such student use
10-3 fee would cause an undue economic hardship, except that the number
10-4 of such students for whom such waivers are granted shall not exceed
10-5 5% of the total enrollment; and further provided that nothing in
10-6 this section shall affect, limit, or impair any pledge, covenant,
10-7 or option made or reserved by the board with respect to any revenue
10-8 bonds outstanding as of the 1975 amendment to this section, issued
10-9 by the board pursuant to this chapter; and provided that hereafter
10-10 if] bonds have been or are issued pursuant to [Section 55.17 of]
10-11 this title [code], or secured or to be secured by a pledge of part
10-12 or all of the board's revenue funds [a limited or unlimited use
10-13 fee], and if, at the time of authorizing the issuance of the bonds,
10-14 (1) the estimated maximum amount per semester hour of such pledged
10-15 revenue funds [use fee] (based on then current enrollment and
10-16 conditions) during any future semester necessary to provide for the
10-17 payment of the principal of and interest on the bonds when due,
10-18 together with (2) the aggregate amount of all such pledged revenue
10-19 funds [use fees] which were levied on a semester hour basis for the
10-20 then current semester to pay the principal of and interest on all
10-21 previously issued bonds, do not exceed the amount permitted by this
10-22 title [Subsection (b)], then any necessary fees, tuition, rentals,
10-23 rates, or other charges constituting revenue funds [such limited or
10-24 unlimited use fee] shall be levied and collected when and to the
10-25 extent required by the resolution authorizing the issuance of the
11-1 bonds in any amount required to provide revenue funds sufficient
11-2 for the payment of the principal of and interest on the bonds,
11-3 regardless of any other provision or limitation provided by this
11-4 title [of this section or the limitations contained herein].
11-5 (b) [A board may not charge rentals, rates, charges, and
11-6 fees under this section in a total amount per semester credit hour
11-7 that exceeds the tuition rate per semester credit hour for a
11-8 resident student at a general academic teaching institution under
11-9 Subchapter B, Chapter 54, for the academic year in which the
11-10 rentals, rates, charges, and fees are charged.] A board is not
11-11 required to charge students enrolled in different degree programs
11-12 at the institution the same rentals, rates, charges, and fees under
11-13 this section.
11-14 [(c) A board that charges a rental, rate, charge, or fee
11-15 under this section may use the revenue for any purpose at the
11-16 institution at which the revenue is collected, subject to the laws
11-17 governing the institution and the board. This subsection does not
11-18 decrease the authority of a board of regents to enter into pledges
11-19 or covenants with respect to bonds, notes, or other obligations
11-20 under law existing before the effective date of this subsection.]
11-21 [(d) Before a board increases a rental, rate, charge, or fee
11-22 collected under this section at an institution under the direction,
11-23 management, and control of the board, the board or, if the board
11-24 directs, the chief executive officer of the institution must hold a
11-25 public hearing at the institution on the increase.]
12-1 SECTION 1.10. Subsections (a) and (b), Section 56.033,
12-2 Education Code, are amended to read as follows:
12-3 (a) The governing boards of institutions of higher education
12-4 and the Texas State Technical College System shall cause to be set
12-5 aside:
12-6 (1) [for the 1991-1992 academic year,] not less than
12-7 eight and one-half [nine] percent nor more than 15 percent out of
12-8 each resident student's tuition charge under Section 54.051 of this
12-9 code as provided by the General Appropriations Act for the
12-10 applicable academic year;
12-11 (2) [for the 1992-1993 academic year and each
12-12 subsequent academic year, not less than 15 percent nor more than 20
12-13 percent out of each resident student's tuition charge under Section
12-14 54.051 of this code as provided by the General Appropriations Act
12-15 for the applicable academic year; in specifying the percentage to
12-16 be set aside for the 1991-1992 and 1992-1993 academic years, the
12-17 legislature shall consider the recommendations of the Select
12-18 Committee on Higher Education established by H.C.R. No. 105, Acts
12-19 of the 69th Legislature, Regular Session, 1985;]
12-20 [(3)] three percent out of each nonresident student's
12-21 tuition charge under Section 54.051 of this code;
12-22 (3) [(4)] six percent out of each resident student's
12-23 hourly tuition charge, and $1.50 out of each nonresident student's
12-24 hourly tuition charge, for academic courses at public community and
12-25 junior colleges; and
13-1 (4) [(5)] six percent of hourly tuition charges for
13-2 vocational-technical courses at public community and junior
13-3 colleges.
13-4 (b) Of the funds set aside under this section by an
13-5 institution, not less than 95 [90] percent shall be used for Texas
13-6 Public Educational Grants and not more than five [10] percent shall
13-7 be used for emergency loans under Subchapter D of this chapter.
13-8 SECTION 1.11. Subsection (d), Section 55.17, Education Code,
13-9 is repealed.
13-10 ARTICLE 2. CONFORMING AMENDMENTS
13-11 SECTION 2.01. Subsection (a), Section 55.13, Education Code,
13-12 is amended to read as follows:
13-13 (a) For the purpose of providing funds to acquire, purchase,
13-14 construct, improve, enlarge, and/or equip any property, buildings,
13-15 structures, activities, services, operations, or other facilities,
13-16 for and on behalf of its institution or institutions, or any branch
13-17 or branches thereof, each board may issue its revenue bonds from
13-18 time to time and in one or more issue or series, to be payable from
13-19 and secured by liens on and pledges of all or any part of any of
13-20 the revenue funds [revenues, income, or receipts] of the board and
13-21 its institution or institutions, or any branch or branches of any
13-22 of its institutions [thereof, including, without limitation, any
13-23 rentals, rates, charges, fees, or other resources, in the manner
13-24 provided by this subchapter].
13-25 SECTION 2.02. Subsections (a), (b), and (c), Section 55.17,
14-1 Education Code, are amended to read as follows:
14-2 (a) Each board may pledge all or any part of its revenue
14-3 funds [revenues, income, or receipts from such rentals, rates,
14-4 charges, and/or fees, or other resources] to the payment of the
14-5 bonds, including the payment of principal, interest, and any other
14-6 amounts required or permitted in connection with the bonds. The
14-7 pledged revenue funds [rentals, rates, charges, and/or fees] shall
14-8 be fixed and collected in amounts that will be at least
14-9 sufficient[, together with any other pledged resources,] to provide
14-10 for all payments of principal, interest, and any other amounts
14-11 required in connection with the bonds and, to the extent required
14-12 by the resolution authorizing the issuance of the bonds, to provide
14-13 for the payment of expenses in connection with the bonds and for
14-14 the payment of operation, maintenance, and other expenses in
14-15 connection with the aforesaid property, buildings, structures,
14-16 activities, services, operations, or other facilities.
14-17 (b) Each board may establish and enforce parietal rules for
14-18 students and others, and enter into agreements regarding occupancy,
14-19 use, and availability of facilities, and the amounts and collection
14-20 of pledged revenue funds [revenues, income, receipts, rentals,
14-21 rates, charges, fees, or other resources,] that will assure making
14-22 all the required payments and deposits.
14-23 (c) Tuition, rentals, rates, and other charges of an
14-24 institution of higher education authorized by this title [Fees for
14-25 the use by or availability to the students of all or any property,
15-1 buildings, structures, activities, services, operations, or other
15-2 facilities,] may be pledged to the payment of the bonds[,] and
15-3 shall be fixed and collected from all or any designated part of the
15-4 students enrolled in the institution or institutions, or any branch
15-5 or branches thereof, in the amounts and in the manner as determined
15-6 and provided by the board in the resolution authorizing the
15-7 issuance of the bonds; and said tuition, rentals, rates, and other
15-8 charges [fees] may be collected in the full amounts required or
15-9 permitted herein, without regard to actual use, availability, or
15-10 existence of any facility, commencing at any time designated by the
15-11 board. [Said fees may be fixed and collected for the use or
15-12 availability of any specifically described property, buildings,
15-13 structures, activities, services, operations, or other facilities;
15-14 or said fees may be fixed and collected as general fees for the
15-15 general use or availability of the institution or institutions, or
15-16 any branch or branches thereof.] Such tuition, rentals, rates, and
15-17 other charges [specific and/or general fees] may be fixed and
15-18 collected, and pledged to the payment of any issue or series of
15-19 bonds issued by the board, in the full amounts required or
15-20 permitted herein, in addition to, and regardless of the existence
15-21 of, any other specific or general fees at the institution or
15-22 institutions, or any branch or branches thereof; provided that each
15-23 board may restrict its power to pledge such additional tuition,
15-24 rentals, rates, or other charges [specific or general fees] in any
15-25 manner that may be provided in any resolution authorizing the
16-1 issuance of bonds, and provided that no such additional tuition,
16-2 rentals, rates, or other charges [specific fees] shall be pledged
16-3 if prohibited by any resolution which authorized the issuance of
16-4 any then outstanding bonds.
16-5 SECTION 2.03. Section 55.24, Education Code, is amended to
16-6 read as follows:
16-7 Sec. 55.24. Pledges Under Previous Laws to Remain in Effect.
16-8 (a) Where any revenues, income, receipts, or other resources of
16-9 any board have been pledged to the payment of principal of and
16-10 interest on any bonds or notes issued and delivered pursuant to any
16-11 other law, the repeal of such law by virtue of the enactment of
16-12 Title 3 of this code shall not affect any such pledge or any
16-13 covenants with respect to such bonds or notes, or any bonds issued
16-14 to refund same, and all such pledges and covenants shall remain in
16-15 full force and effect in accordance with the terms and provisions
16-16 thereof.
16-17 (b) Where all or any part of the revenue funds of any board
16-18 have been pledged to the payment of the principal of and interest
16-19 on any bonds or notes or any other obligation issued or entered
16-20 into and delivered pursuant to any provision of this title or any
16-21 other law, the repeal or amendment of any provision of this title
16-22 shall not affect any such pledge or any convenants with respect to
16-23 such bonds, notes, or obligations or any bonds or notes issued to
16-24 refund same, and all such pledges and covenants shall remain in
16-25 full force and effect in accordance with the terms and provisions
17-1 thereof.
17-2 (c) In furtherance of the provisions of Subsection (b) and
17-3 in recognition that certain boards have outstanding bonds, notes,
17-4 and other obligations secured by various liens on the tuition or a
17-5 portion of the tuition charged and collected at certain
17-6 institutions and that the provisions of Chapter 54 would make it
17-7 difficult or impossible to identify and secure that portion of the
17-8 revised tuition charges pledged to the payment of such bonds,
17-9 notes, and obligations, net tuition, as defined in Section
17-10 51.009(c) and classified as educational and general funds by such
17-11 provision, shall be set aside and utilized first to satisfy the
17-12 obligations of each board secured by tuition in the order of
17-13 priority of the liens on such funds. It is further provided for
17-14 the benefit of the owners of such bonds and notes and the counter
17-15 parties to such obligations of the boards that the charges per
17-16 semester credit hour or for each semester or summer session, as the
17-17 case may be, for tuition constituting the educational and general
17-18 funds portion of tuition shall never be less than the amount
17-19 charged for the 1996-1997 academic year.
17-20 SECTION 2.04. Chapter 55, Education Code, is amended by
17-21 adding Section 55.25 to read as follows:
17-22 Sec. 55.25. APPLICABILITY OF OTHER LAW; CONFLICTS. Chapter
17-23 656, Acts of the 68th Legislature, Regular Session, 1983 (Article
17-24 717q, Vernon's Texas Civil Statutes), Chapter 3, Acts of the 61st
17-25 Legislature, Regular Session, 1969 (Article 717k-2, Vernon's Texas
18-1 Civil Statutes), the Bond Procedures Act of 1981 (Article 717k-6,
18-2 Vernon's Texas Civil Statutes), and Chapter 53, Acts of the 70th
18-3 Legislature, 2nd Called Session, 1987 (Article 717k-8, Vernon's
18-4 Texas Civil Statutes) apply to all bonds issued pursuant to this
18-5 chapter; provided, however, that in the event of any conflict
18-6 between such laws and this chapter, the provisions of this chapter
18-7 prevail.
18-8 ARTICLE 3. VALIDATION, SAVINGS, AND TRANSITIONAL PROVISIONS;
18-9 EFFECTIVE DATE; EMERGENCY
18-10 SECTION 3.01. (a) All revenue bonds heretofore approved by
18-11 the attorney general and registered by the comptroller, or
18-12 authorized by proceedings approved by the attorney general, which
18-13 were issued, sold, and delivered or entered into by any board, and
18-14 which are payable from or secured by a pledge of any revenues,
18-15 income, receipts, or other resources of such board, are hereby
18-16 validated in all respects, together with all proceedings
18-17 authorizing the issuance thereof, and said bonds and proceedings
18-18 are and shall be valid and binding obligations in accordance with
18-19 their terms and conditions for all purposes, as though they had
18-20 been duly and legally issued or entered into and authorized
18-21 originally.
18-22 (b) Nothing in this Act limits or impairs any pledge or
18-23 covenant made by the governing board of an institution of higher
18-24 education with respect to any bond or note issued before the
18-25 effective date of this Act.
19-1 (c) The provisions of Subsection (b), Section 55.24,
19-2 Education Code, as added by Section 2.03 of this Act, regarding the
19-3 effect of an amendment or a repeal on a pledge or covenant made by
19-4 the governing board of an institution of higher education, apply to
19-5 any such amendment or repeal made by this Act.
19-6 (d) Any funds to be set aside by an institution of higher
19-7 education pursuant to Section 56.033, Education Code, that are an
19-8 increase over the amount of such funds that were set aside in the
19-9 1996-1997 academic year, and that result from an increase in the
19-10 amount of tuition charged by the institution because of amendments
19-11 and modifications in law made by this Act, are to be set aside
19-12 subject only to the obligation of the governing board of the
19-13 institution to comply with covenants made with respect to bonds
19-14 issued pursuant to law.
19-15 SECTION 3.02. (a) This Act takes effect August 1, 1997, if
19-16 this Act may take effect on that date under Section 39, Article
19-17 III, Texas Constitution. Otherwise, this Act takes effect
19-18 September 1, 1997.
19-19 (b) The change in law made by this Act applies beginning
19-20 with tuition and fees charged for the 1997 fall semester.
19-21 SECTION 3.03. The importance of this legislation and the
19-22 crowded condition of the calendars in both houses create an
19-23 emergency and an imperative public necessity that the
19-24 constitutional rule requiring bills to be read on three several
19-25 days in each house be suspended, and this rule is hereby suspended,
20-1 and that this Act take effect and be in force according to its
20-2 terms, and it is so enacted.