1-1     By:  Goolsby (Senate Sponsor - West)                  H.B. No. 3295
 1-2           (In the Senate - Received from the House April 30, 1999;
 1-3     May 3, 1999, read first time and referred to Committee on
 1-4     Administration; May 11, 1999, reported favorably by the following
 1-5     vote:  Yeas 4, Nays 0; May 11, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to the deposit of excess proprietary school fees to the
 1-9     proprietary school tuition protection fund.
1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11           SECTION 1.  Section 132.002(a), Education Code, is amended to
1-12     read as follows:
1-13           (a)  The following schools or educational institutions are
1-14     specifically exempt from this chapter and are not within the
1-15     definition of "proprietary school":
1-16                 (1)  a school or educational institution supported by
1-17     taxation from either a local or state source;
1-18                 (2)  nonprofit schools owned, controlled, operated, and
1-19     conducted by bona fide religious, denominational, eleemosynary, or
1-20     similar public institutions exempt from property taxation under the
1-21     laws of this state, but such schools may choose to apply for a
1-22     certificate of approval hereunder, and upon approval and issuance,
1-23     are subject to this chapter as determined by the commission;
1-24                 (3)  a school or training program that offers
1-25     instruction of purely avocational or recreational subjects as
1-26     determined by the commission;
1-27                 (4)  a course or courses of instruction or study
1-28     sponsored by an employer for the training and preparation of its
1-29     own employees, and for which no tuition fee is charged to the
1-30     student;
1-31                 (5)  a course or courses of study or instruction
1-32     sponsored by a recognized trade, business, or professional
1-33     organization for the instruction of the members of the organization
1-34     with a closed membership;
1-35                 (6)  private colleges or universities that award a
1-36     recognized baccalaureate, or higher degree, and that maintain and
1-37     operate educational programs for which a majority of the credits
1-38     given are transferable to a college, junior college, or university
1-39     supported entirely or partly by taxation from either a local or
1-40     state source;
1-41                 (7)  a school or course that is otherwise regulated and
1-42     approved under and pursuant to any other law or rulemaking process
1-43     of this state or approved for continuing education credit by an
1-44     organization that accredits courses for the maintenance of a
1-45     license, except as provided by Subsection (c);
1-46                 (8)  aviation schools or instructors approved by and
1-47     under the supervision of the Federal Aviation Administration;
1-48                 (9)  a school that offers intensive review of a
1-49     student's acquired education, training, or experience [courses
1-50     designed] to prepare the student [students] for an examination,
1-51     other than a high school equivalency examination, that the student
1-52     by law may not take unless the student has completed or
1-53     substantially completed a particular degree program, or that the
1-54     student is required to take as a precondition for enrollment in or
1-55     admission to a particular degree program [certified public
1-56     accountancy tests, public accountancy tests, law school aptitude
1-57     tests, bar examinations, or medical college admissions tests];
1-58                 (10)  a private school offering primary or secondary
1-59     education, which may include a kindergarten or prekindergarten
1-60     program, and that satisfies the compulsory attendance requirements
1-61     of Section 25.085 pursuant to Section 25.086(a)(1);
1-62                 (11)  a course or courses of instruction by bona fide
1-63     electrical trade associations for the purpose of preparing students
1-64     for electrical tests required for licensing and for the purpose of
 2-1     providing continuing education to students for the renewal of
 2-2     electrical licenses;
 2-3                 (12)  a nonprofit arts organization that has as its
 2-4     primary purpose the provision of instruction in the dramatic arts
 2-5     and the communications media to persons younger than 19 years of
 2-6     age;
 2-7                 (13)  a course or training program conducted by a
 2-8     nonprofit association of air conditioning and refrigeration
 2-9     contractors approved by the Air Conditioning and Refrigeration
2-10     Contractors Advisory Board to provide instruction for technical,
2-11     business, or license examination preparation programs relating to
2-12     air conditioning and refrigeration contracting, as that term is
2-13     defined by the Air Conditioning and Refrigeration Contractor
2-14     License Law (Article 8861, Vernon's Texas Civil Statutes); [and]
2-15                 (14)  a course of instruction by a plumbing trade
2-16     association to prepare students for a plumbing test or program
2-17     required for licensing, certification, or endorsement or to provide
2-18     continuing education approved by the Texas State Board of Plumbing
2-19     Examiners; and
2-20                 (15)  a course of instruction in the use of
2-21     technological hardware or software if the course is offered to a
2-22     purchaser of the hardware or software or to the purchaser's
2-23     employee by a person who manufactures and sells, or develops and
2-24     sells, the hardware or software, and if the seller is not primarily
2-25     in the business of providing courses of instruction in the use of
2-26     the hardware or software, as determined by the commission.
2-27           SECTION 2.  Section 132.241, Education Code, is amended by
2-28     adding Subsection (e) to read as follows:
2-29           (e)  If at the end of a fiscal year the commission determines
2-30     that it has collected fees under this chapter in excess of the
2-31     amount necessary to defray the cost and expense of administering
2-32     this chapter, the commission may transfer any portion of the excess
2-33     amount to the tuition protection fund.  The balance of the fund may
2-34     not exceed an amount greater than $250,000.
2-35           SECTION 3.  This Act takes effect September 1, 1999.
2-36           SECTION 4.  The importance of this legislation and the
2-37     crowded condition of the calendars in both houses create an
2-38     emergency and an imperative public necessity that the
2-39     constitutional rule requiring bills to be read on three several
2-40     days in each house be suspended, and this rule is hereby suspended.
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