SRC-JXG S.B. 732 76(R) BILL ANALYSIS Senate Research Center S.B. 732 76R7906 JSA-DBy: Harris Intergovernmental Relations 3/2/1999 As Filed DIGEST Currently, the Arlington Sports Facilities Development Authority, Inc., was established for The Ballpark, known as Ranger Stadium, which is financed through a sales tax levy, approved by Arlington voters prior to the 1991 legislature. Seven members of the Arlington city council were appointed to serve on the Arlington Sports Facilities Development Authority, Inc. The Arlington city council wants to ensure that a sports entity fee, to be approved by local University of Texas at Arlington (university) students, does not interfere with the city's ability to repay bonds in the future, if parts of the bonds are used for the construction of a smaller sports facility. The university agrees that the Arlington city council should have the authority to review the student sports fee. S.B. 732 would authorize the Arlington city council to give approval to the local university's student sports fee, pursuant to providing stable bond funding. PURPOSE As proposed, S.B. 732 authorizes the Arlington city council to approve the University of Texas at Arlington student sports fee, pursuant to providing stable bond funding. 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 Article 5190.6, V.T.C.S., by adding Subsection (o), to provide that this subsection applies only to a city with a population of more than 250,000 that is located in a county with a population of more than 1.1 million in which there are at least two municipalities with a population of more than 250,000. Authorizes the governing board of a general academic teaching institution (institution), as defined by Section 61.003, Education Code, that is located in a city to which this subsection applies that has created a corporation under this Act that is governed by this section to impose a mandatory intercollegiate athletics fee on each student at the institution with the approval of the governing body of the city. Authorizes the governing body of the city to approve the imposition of the fee only if the governing body finds that the operation of any facility at the institution to be financed directly or indirectly with revenue from the fee will not have a seriously detrimental effect on the ability of the corporation to raise revenue to pay the premium of or interest on outstanding bonds or other obligations issued by the corporation. Authorizes the governing board of the institution to impose the fee without additional approval, and prohibits the governing body of the city from withdrawing or revoking its approval, once approved. Prohibits the amount of the fee $7.75 per semester credit hour for each regular semester, unless increased as provided by this subsection. Prohibits the fee from being imposed unless approved by a majority vote of the students participating in a general student election held for that purpose. Authorizes the amount of the fee per semester credit hour to be increased from one academic year to the next only if approved by a majority vote of the students participating in a general student election held for that purpose or, if the amount of the increase does not exceed five percent, by the legislative body of the student government of the institution. Authorizes the governing board of the institution to prorate the amount of the fee for a summer session. Prohibits the fee imposed under this subsection from being considered in determining the maximum student services fees that may be imposed under Section 54.503, Education Code. Authorizes the governing board to impose the fee without calling an additional student election, if a mandatory intercollegiate athletic fee in an amount within the limit provided by this subsection was approved by a majority vote of the students participating in a general student election at the institution no more than two years before the effective date of this subsection. SECTION 2. Provides that this Act applies beginning with the 1999 fall semester. SECTION 3. Emergency clause. Effective date: upon passage.