HBA-MPM C.S.H.B. 2415 76(R)BILL ANALYSIS Office of House Bill AnalysisC.S.H.B. 2415 By: Keffer Higher Education 4/11/1999 Committee Report (Substituted) BACKGROUND AND PURPOSE In 1995, the 74th Texas Legislature statutorily designated community college services areas. These areas define the geographic boundaries in which a community college district is authorized to provide post-secondary education services. Each of the state's 50 community college districts has a designated service area. In most cases, the service area extends beyond the boundaries of the college's taxing district. In the event that a college is delivering services beyond its taxing district, the college is authorized to establish an extension center or branch campus of the college beyond the taxing district. C.S.H.B. 2415 establishes protection for colleges that construct extension centers or branch campuses by requiring a new district established at such a location to compensate the college district that constructed the facility for their investment. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 130.086, Education Code, by amending Subsections (a), (c), (d), and (f), and by adding Subsections (g) and (h), as follows: (a) Authorizes the board of trustees (board) of a junior college (college) district to establish and operate branch campuses, centers, or extension facilities within the college district's service area, rather than without regard to the geographical bounds of the district, given certain provisions subject to the prior and continuing approval of only the Texas Higher Education Coordinating Board (coordinating board), rather than the coordinating board, Texas College, and University System. (c) Makes a conforming change. (d) Provides that before any course may be offered by a public junior college, rather than a junior college, within the service area, rather than the district, of another operating public junior college, it must be established that the second public junior college is incapable of or unable to offer the course. (f) Excludes territory within the boundaries of the taxing district of another college district in the service area of a district, nothwithstanding Subchapter J (Junior College District Service Areas), Chapter 130 (Junior College Districts), Education Code. Provides that if a branch campus, center, or extension facility operated by a district outside its taxing district becomes located within the taxing district of another district when the other district is established or annexes the territory that includes the campus, center, or facility, the district operating these entities must discontinue them within a reasonable period, not to exceed one academic year. Provides that the district in which these entities are located must fairly compensate the district that discontinues them for any capital improvements that the discontinuing district acquired or constructed for the entities, to the extent the discontinuing district is otherwise unable to recover the current value of its investment in that capital improvement, as determined by the coordinating board. Deletes the requirement that these entities existing prior to September 1, 1971 shall be reviewed by the Coordinating Board, Texas College and University System, to determine their feasibility and desirability with respect to the college and the population of the geographical area served by the entities. (g) Makes Subsections (a) and (c) inapplicable to a branch campus, center, or extension facility established before September 1, 1999. (h) Provides that this section does not affect the authority of the coordinating board regarding the continued operation of these entities. SECTION 2. Amends Section 130.087(k), Education Code, to make conforming and nonsubstantive changes. SECTION 3. Effective date: September 1, 1999. SECTION 4. Emergency clause. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.H.B. 2415 differs from the original in the caption, by restating it from "relating to the authority of a junior college district to establish, operate, or offer a branch campus, center, extension facility, or course in certain areas" to "relating to a junior college district branch campus, center, or extension facility." The substitute differs from the original bill by adding SECTION 2, which amends Section 130.087(k), Education Code, to stipulate that the proceeds of a junior district branch campus (campus) maintenance tax may be used only to operate and maintain a campus and to support its programs and services in the area of a jurisdiction that levies a campus maintenance tax to operate, maintain, and support the same campus. Makes conforming and nonsubstantive changes. The substitute also redesignates SECTIONS 2 and 3 of the original bill (effective date and emergency clause, respectively) to SECTIONS 3 and 4.