1-1     By:  Dunnam, Rangel, Farabee (Senate Sponsor - West)  H.B. No. 2867
 1-2           (In the Senate - Received from the House April 22, 1999;
 1-3     April 26, 1999, read first time and referred to Committee on
 1-4     Education; May 7, 1999, reported adversely, with favorable
 1-5     Committee Substitute by the following vote:  Yeas 7, Nays 0;
 1-6     May 7, 1999, sent to printer.)
 1-7     COMMITTEE SUBSTITUTE FOR H.B. No. 2867                    By:  West
 1-8                            A BILL TO BE ENTITLED
 1-9                                   AN ACT
1-10     relating to a program that allows institutions of higher education
1-11     in Texas to match a scholarship offered to Texas students by
1-12     out-of-state institutions.
1-13           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-14           SECTION 1.  Subchapter C, Chapter 61, Education Code, is
1-15     amended by adding Section 61.086 to read as follows:
1-16           Sec. 61.086.  MATCHING SCHOLARSHIPS TO RETAIN STUDENTS IN
1-17     TEXAS.  (a)  The board shall adopt rules that allow a public or
1-18     private or independent institution of higher education to use any
1-19     funds appropriated to the institution or that the institution may
1-20     use for the award of scholarships or grants to match, in whole or
1-21     in part, any nonathletic scholarship or grant offer, including an
1-22     offer of the payment of tuition, fees, room and board, or a
1-23     stipend, received by a graduate of a Texas public or private high
1-24     school from an out-of-state institution of higher education.  The
1-25     rules shall provide for verifying that an out-of-state institution
1-26     has made a nonathletic scholarship or grant offer to a student and
1-27     the amount of the offer.  The board may adopt any other rule
1-28     necessary to implement this section.
1-29           (b)  In adopting rules under this section, the board may not
1-30     require an institution to match a scholarship or grant offer.
1-31           SECTION 2.  (a)  The Texas Higher Education Coordinating
1-32     Board shall adopt rules relating to matching scholarships as
1-33     provided by Section 61.086, Education Code, as added by this Act,
1-34     not later than September 1, 1999.
1-35           (b)  Not later than December 31, 2000, the Texas Higher
1-36     Education Coordinating Board shall report on the initial
1-37     implementation of this Act.  The report shall include a description
1-38     of the number of Texas high school students who leave the state to
1-39     attend out-of-state institutions of higher education and a
1-40     description of any method used to retain Texas students at Texas
1-41     institutions of higher education.  The coordinating board shall
1-42     deliver the report to the presiding officer of the standing
1-43     committee on higher education in each house of the legislature.
1-44           SECTION 3.  The importance of this legislation and the
1-45     crowded condition of the calendars in both houses create an
1-46     emergency and an imperative public necessity that the
1-47     constitutional rule requiring bills to be read on three several
1-48     days in each house be suspended, and this rule is hereby suspended,
1-49     and that this Act take effect and be in force from and after its
1-50     passage, and it is so enacted.
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