SRC-JJJ S.B. 315 76(R)   BILL ANALYSIS


Senate Research Center   S.B. 315
76R271 JSA-DBy: Ellis
Higher Education
2/19/1999
As Filed


DIGEST 

Currently, Texas law does not allow the Texas Prepaid Higher Education
Tuition Board (board) to offer fifth year Texas Tomorrow Fund contracts for
private colleges.  This bill would allow the board to offer  Texas Tomorrow
Fund contracts for private colleges. 

PURPOSE

As proposed, S.B. 315 authorizes certain prepaid tuition contracts to cover
tuition for an additional period of attendance at an institution of higher
education. 

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 Section 54.6252(a), Education Code, to authorize the
Texas Prepaid Higher Education Tuition Board (board) to permit the
purchaser of a prepaid tuition contract for a senior college plan or a
private college plan, at any time during which the contract is in effect
and before the beneficiary graduates from high school, to make a
supplemental payment to prepay certain fees and tuition. 

SECTION 2.  (a)  Provides that the amendment made by this act does not
apply to a prepaid tuition contract entered into before the effective date
of the Act, except as provided by Subsection (b) of this SECTION.  

(b)  Authorizes the board to permit the purchaser of a prepaid tuition
contract entered into before the effective date of this Act to amend the
contract to conform to Section 54.6252, Education Code, and may require the
purchaser to increase or make additional payments necessary to compensate
for additional costs. 

SECTION 3.  Effective date: September 1, 1999.

SECTION 4.  Emergency clause.