SRC-JBJ H.B. 2555 76(R)   BILL ANALYSIS


Senate Research Center   H.B. 2555
76R5233 JSA-DBy: Cuellar (Zaffirini)
Education
5/4/1999
Engrossed


DIGEST 

The legislature requested the comptroller of public accounts to conduct a
study of the feasibility and potential options for providing prepaid
tuition and fees for Texas residents who may enroll in a graduate
professional degree program.  The study found that creating a prepaid
program for graduate or professional school is feasible.  However,
according to the comptroller, structuring and administering such a program
poses a number of significant challenges, including the varying differences
in tuition and fee charges for graduate and professional degree programs,
and a finding that demand for graduatelevel hours as an undergraduate may
be limited, and that as of December 1, 1998, no state offered a prepaid
tuition program specifically tailored for graduate or professional school. 

H.B. 2555 would authorize the State Board of Education to establish a plan
to allow a person to prepay all or part of the tuition and required fees
for enrollment in a graduate or professional degree program, if the board
determines a particular plan is feasible and there is sufficient demand for
the plan to justify administration of the plan.  H.B. 2555 would also
authorize the board to modify the terms of a prepaid tuition contract. 

PURPOSE

As proposed, H.B. 2555 authorizes the State Board of Education to establish
a plan to allow a person to prepay all or part of the tuition and required
fees for enrollment in a graduate or professional degree program. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 54F, Education Code, by adding Section 54.6245,
as follows: 

Sec. 54.6245.  GRADUATE AND PROFESSIONAL DEGREE PLANS.  Authorizes the
State Board of Education (board) to establish one or more plans to allow a
person to prepay all or part of the tuition and required fees for
enrollment in a graduate or professional degree program at an institution
of higher education, if the board determines a particular plan is feasible
and there is sufficient demand for the plan to justify administration of
the plan.  Authorizes the board to limit a plan established under this
section to a specified field or fields of study, to a specified level or
type of degree, or number of hours or semesters.  Provides that the board
is not required to continue to offer the plan in subsequent years, although
the board may modify the terms of a prepaid tuition contract for the plan.

SECTION 2. Emergency clause.
  Effective date: upon passage.