By:  West                                             S.B. No. 1535
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to the creation of the Texas Rising Star Scholarship
 1-2     Program for deserving junior college and technical institute
 1-3     students.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Chapter 56, Education Code, is amended by adding
 1-6     Subchapter N to read as follows:
 1-7            SUBCHAPTER N.  TEXAS RISING STAR SCHOLARSHIP PROGRAM
 1-8           Sec. 56.351.  DEFINITIONS.  In this subchapter:
 1-9                 (1)  "Coordinating board" means the Texas Higher
1-10     Education Coordinating Board.
1-11                 (2)  "Eligible institution" means:
1-12                       (A)  a public junior college or public technical
1-13     institute as defined by Section 61.003; or
1-14                       (B)  a private or independent institution of
1-15     higher education as defined by Section 61.003 that is accredited as
1-16     a junior college.
1-17           Sec. 56.352.  PROGRAM NAME; PURPOSE.  (a)  The student
1-18     financial assistance program authorized by this subchapter is known
1-19     as the Texas Rising Star Scholarship Program, and an individual
1-20     scholarship awarded under this subchapter is known as a rising star
1-21     scholarship.
1-22           (b)  The purpose of this subchapter is to provide a grant of
1-23     money to enable qualified students to attend junior colleges and
1-24     public technical institutes in this state.
 2-1           Sec. 56.353.  ADMINISTRATION OF PROGRAM.  (a)  The
 2-2     coordinating board shall administer the Texas Rising Star
 2-3     Scholarship Program and shall adopt any rules necessary to
 2-4     implement the program or this subchapter.
 2-5           (b)  The coordinating board shall adopt rules to determine
 2-6     which eligible persons receive rising star scholarships and to
 2-7     provide scholarships in the most efficient manner possible.
 2-8           (c)  The total amount of rising star scholarships awarded in
 2-9     a state fiscal year may not exceed the amount available for the
2-10     program from appropriations, gifts, grants, or other funds.
2-11           (d)  In determining who should receive a scholarship, the
2-12     coordinating board shall give highest priority to awarding
2-13     scholarships to students who demonstrate the greatest financial
2-14     need.
2-15           Sec. 56.354.  ELIGIBLE PERSON.  (a)  To be eligible initially
2-16     for a rising star scholarship, a person must:
2-17                 (1)  be a resident of this state as determined by
2-18     coordinating board rules;
2-19                 (2)  have graduated from a public high school in this
2-20     state or from a private high school in this state accredited by an
2-21     organization recognized for that purpose by the commissioner of
2-22     education with an overall grade point average of at least 2.0 on a
2-23     four-point scale or the equivalent;
2-24                 (3)  meet financial need requirements as determined by
2-25     the governing board of the eligible institution;
2-26                 (4)  be enrolled in a degree or certificate program at
 3-1     an eligible institution;
 3-2                 (5)  enroll for at least one-half of a full course load
 3-3     as an entering freshman in a degree or certificate program; and
 3-4                 (6)  comply with any other requirement adopted by the
 3-5     governing board of the eligible institution.
 3-6           (b)  A person is not eligible to receive a rising star
 3-7     scholarship if the person has been granted a baccalaureate degree.
 3-8           (c)  A person may not receive a rising star scholarship for
 3-9     more than 75 semester credit hours or the equivalent.
3-10           Sec. 56.355.  ACADEMIC PERFORMANCE REQUIREMENTS.  (a)  After
3-11     initially qualifying for a rising star scholarship, a person may
3-12     receive a rising star scholarship during a subsequent academic year
3-13     in which the person is enrolled at an eligible institution only if
3-14     the person makes satisfactory academic progress toward a degree or
3-15     certificate as determined by the governing board of the eligible
3-16     institution.
3-17           (b)  If a person fails to meet the requirements of Subsection
3-18     (a) after the completion of any academic year, the person may not
3-19     receive a scholarship under this subchapter during the next
3-20     semester or term in which the person enrolls.  A person may become
3-21     eligible to receive a scholarship in a subsequent semester or term
3-22     if the person:
3-23                 (1)  completes a semester or term during which the
3-24     student is not eligible for a scholarship; and
3-25                 (2)  meets the requirements of Subsection (a).
3-26           Sec. 56.356.  SCHOLARSHIP PERIOD AND USE.  (a)  A rising star
 4-1     scholarship is awarded to an eligible person for an academic year,
 4-2     except that, for a person who regains eligibility for a scholarship
 4-3     under Section 56.355(b) after the beginning of an academic year,
 4-4     the coordinating board may grant the person a scholarship for the
 4-5     remainder of the academic year.
 4-6           (b)  A person receiving a rising star scholarship may use the
 4-7     money for any usual and customary education-related expense
 4-8     incurred by the person, including payment of the person's tuition
 4-9     and fees, books, room and board, and transportation.
4-10           (c)  The coordinating board or an eligible institution may
4-11     not require a person to use the money to pay tuition and fees.
4-12           Sec. 56.357.  SCHOLARSHIP AMOUNT.  (a)  The amount of a
4-13     rising star scholarship is determined by the coordinating board.
4-14           (b)  The amount of a rising star scholarship may be reduced
4-15     by any gift aid the person receives from another source.
4-16           Sec. 56.358.  FUNDING.  (a)  The Texas Rising Star
4-17     Scholarship Program is funded by a combination of local funds and
4-18     state appropriations as provided by this section.
4-19           (b)  An eligible institution may solicit and accept gifts,
4-20     grants, and donations from any public or private source to provide
4-21     rising star scholarships for its students and may use any other
4-22     available funds of the institution for that purpose.
4-23           (c)  In the manner prescribed by the coordinating board, the
4-24     governing board of an eligible institution may apply to participate
4-25     in the Texas Rising Star Scholarship Program if state funds are
4-26     appropriated to the program for a state fiscal year.  In its
 5-1     application, the governing board shall state the total amount of
 5-2     funds from gifts, grants, and donations the institution will use to
 5-3     provide rising star scholarships to its students in that fiscal
 5-4     year.  From the state funds appropriated to the program for that
 5-5     fiscal year, the coordinating board shall set aside for
 5-6     scholarships at each eligible institution an amount equal to
 5-7     one-half of the amount that the institution will use to provide
 5-8     rising star scholarships in that fiscal year from gifts, grants,
 5-9     and donations.  If the amount of state funds appropriated to the
5-10     program for that fiscal year is insufficient to provide each
5-11     eligible institution applying to participate in the program the
5-12     full amount of matching state funds, the coordinating board shall
5-13     set aside for each eligible institution a share of the available
5-14     state funds in proportion to the amount the institution indicates
5-15     it will use to provide rising star scholarships in that fiscal year
5-16     from gifts, grants, and donations.
5-17           (d)  State funds set aside for scholarships at an eligible
5-18     institution under this section for a fiscal year may be used to
5-19     provide those scholarships only to the extent the institution
5-20     provides at least twice that amount for rising star scholarships in
5-21     the same fiscal year from gifts, grants, and donations.  The
5-22     coordinating board shall establish procedures for the
5-23     administration of this section, including procedures to ensure that
5-24     state funds appropriated for the program are used exclusively to
5-25     provide rising star scholarships in accordance with this
5-26     subchapter.
 6-1           SECTION 2.  (a)  This Act applies beginning with the
 6-2     2000-2001 state fiscal year.
 6-3           (b)  The Texas Higher Education Coordinating Board shall
 6-4     establish procedures for the administration of Subchapter N,
 6-5     Chapter 56, Education Code, as added by this Act, not later than
 6-6     January 1, 2000.
 6-7           SECTION 3.  This Act takes effect September 1, 1999, but only
 6-8     if a specific appropriation for the implementation of this Act is
 6-9     provided in H.B. No. 1 (General Appropriations Act), Acts of the
6-10     76th Legislature, Regular Session, 1999.  If no specific
6-11     appropriation is provided in H.B. No. 1, the General Appropriations
6-12     Act, this Act has no effect.
6-13           SECTION 4.  The importance of this legislation and the
6-14     crowded condition of the calendars in both houses create an
6-15     emergency and an imperative public necessity that the
6-16     constitutional rule requiring bills to be read on three several
6-17     days in each house be suspended, and this rule is hereby suspended,
6-18     and that this Act take effect and be in force from and after its
6-19     passage, and it is so enacted.