By:  Fraser                                           S.B. No. 1780
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to the creation of the high priority program fund to
 1-2     support vocational and technical education.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Subtitle H, Title 3, Education Code, is amended
 1-5     by adding Chapter 151 to read as follows:
 1-6                  CHAPTER 151.  HIGH PRIORITY PROGRAM FUND
 1-7           Sec. 151.001.  DEFINITIONS.  In this section:
 1-8                 (1)  "Coordinating board" means the Texas Higher
 1-9     Education Coordinating Board.
1-10                 (2)  "High priority program" means a technical or
1-11     vocational program offered by a public junior college or public
1-12     technical institute that:
1-13                       (A)  is specifically intended to meet the
1-14     workforce training demands of business and industry as determined
1-15     by the coordinating board;
1-16                       (B)  is determined to be of particular importance
1-17     in a specific junior college district or to the state; and
1-18                       (C)  requires a significant investment to achieve
1-19     or maintain its purpose.
1-20                 (3)  "High priority program fund" means the fund
1-21     established under this chapter to assist in the design,
1-22     development, upgrade, revision, or expansion of high priority
1-23     programs.
1-24                 (4)  "Public junior college" and "public technical
 2-1     institute" have the meanings assigned by Section 61.003.
 2-2           Sec. 151.002.  ESTABLISHMENT; PURPOSE.  (a)  It is essential
 2-3     to this state's economic growth that this state provide a qualified
 2-4     and trained workforce for maintaining and expanding the global
 2-5     competitiveness of the state's business and industry, for retaining
 2-6     existing business and industry, and for attracting new business and
 2-7     industry to this state.  The high priority program fund is
 2-8     established as a means to accomplish this purpose.
 2-9           (b)  Providing appropriated funds to public junior colleges
2-10     and public technical institutes for high priority programs is
2-11     important to this state's welfare and, consequently, is an
2-12     important public purpose for the expenditure of state funds.  The
2-13     high priority program fund is intended to enhance the state's
2-14     economic growth by:
2-15                 (1)  enhancing the competitiveness of business and
2-16     industry in this state by providing workforce training that is
2-17     responsive to the specific needs of business and industry; and
2-18                 (2)  encouraging the location, retention, and expansion
2-19     of business and industry in this state.
2-20           Sec. 151.003.  ADMINISTRATION; GUIDELINES AND PROCEDURES.
2-21     (a)  The coordinating board shall administer the high priority
2-22     program fund.
2-23           (b)  The coordinating board shall determine whether a public
2-24     junior college or public technical institute is eligible to receive
2-25     an award from the fund.  To be eligible to receive an award, a
2-26     public junior college or public technical institute must
 3-1     demonstrate to the coordinating board that:
 3-2                 (1)  the program proposed for funding meets an
 3-3     immediate business or industry need of particular importance in the
 3-4     junior college district or this state;
 3-5                 (2)  the award will enhance the state's vocational and
 3-6     technical education system;
 3-7                 (3)  an award from the fund is necessary to assist the
 3-8     public junior college or public technical institute in the
 3-9     successful design, development, upgrade, revision, or expansion of
3-10     the program; and
3-11                 (4)  the development of the program will provide an
3-12     economic benefit to the residents of the public junior college
3-13     district or of this state.
3-14           (c)  The coordinating board, in consultation with public
3-15     junior colleges and public technical institutes,  shall adopt
3-16     guidelines and procedures for the administration of this chapter.
3-17           Sec. 151.004.  FUNDING.  (a)  The high priority program fund
3-18     is funded by appropriations if made, or by available funds, and by
3-19     gifts, grants, and donations made for that purpose.
3-20           (b)  From money appropriated from the fund, the comptroller
3-21     shall issue warrants to each eligible public junior college or
3-22     public technical institute in the amount certified by the
3-23     coordinating board to the comptroller.
3-24           (c)  The money may be expended by the public junior college
3-25     or public technical institute only to support the development,
3-26     design, upgrade, renovation, or expansion of specific high priority
 4-1     programs for which the award is made and may not be expended for
 4-2     the general support of ongoing instruction at the public junior
 4-3     college or public technical institute.  The money may be expended
 4-4     for facilities if necessary for the development, upgrade, revision,
 4-5     or expansion of a program and approved by the coordinating board.
 4-6           (d)  Money appropriated from the high priority program fund
 4-7     may be used to match a grant provided by private industry for a
 4-8     particular program at an eligible public junior college or public
 4-9     technical institute.
4-10           (e)  Supplies, materials, services, or equipment purchased by
4-11     a public junior college or public technical institute with money
4-12     received under this chapter are not subject to the authority of the
4-13     General Services Commission.
4-14           Sec. 151.005.  PROGRESS REPORTS.  A public junior college or
4-15     public technical institute receiving money under this chapter shall
4-16     report on the progress of the funded high priority program to the
4-17     coordinating board not later than September 1 of each year of the
4-18     program, until the coordinating board provides that further
4-19     progress reports are not required.
4-20           Sec. 151.006.  MERIT REVIEW.  The coordinating board shall
4-21     evaluate the effectiveness of this chapter and programs receiving
4-22     money under this chapter and report its findings to the Legislative
4-23     Budget Board not later than September 1 of the second year of each
4-24     state fiscal biennium.
4-25           SECTION 2.  This Act takes effect September 1, 1999.
4-26           SECTION 3.  The importance of this legislation and the
 5-1     crowded condition of the calendars in both houses create an
 5-2     emergency and an imperative public necessity that the
 5-3     constitutional rule requiring bills to be read on three several
 5-4     days in each house be suspended, and this rule is hereby suspended.