By:  Duncan, Truan                                    S.B. No. 1878
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to the allocation of certain constitutional funds to
 1-2     certain institutions of higher education.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Subsection (a), Section 62.021, Education Code,
 1-5     is amended to read as follows:
 1-6           (a)  Each fiscal year, an eligible institution is entitled to
 1-7     receive an amount allocated in accordance with this section from
 1-8     funds appropriated by Article VII, Section 17(a), of the
 1-9     Constitution of Texas.  The comptroller of public accounts shall
1-10     distribute funds allocated under this subsection only on
1-11     presentation of a claim and issuance of a warrant in accordance
1-12     with Section 403.071, Government Code.  The comptroller may not
1-13     issue a warrant from any funds allocated under this subsection
1-14     before the delivery of goods or services described in Section 17,
1-15     Article VII, Texas Constitution, except for the payment of
1-16     principal or interest on bonds or notes.  The allocation of funds
1-17     under this subsection is made in accordance with an equitable
1-18     formula consisting of the following elements:  space deficit,
1-19     facilities condition, institutional complexity, separate
1-20     allocations for medical units and the Texas State Technical College
1-21     System, and an additional allocation for Texas Southern University
1-22     for compliance with the Texas Desegregation Plan.  The amounts
1-23     allocated by the formula are as follows:
1-24     $ 5,256,817 [$ 5,572,558]  Texas A&M University--Commerce, [East
 2-1                                Texas State University] including an
 2-2                                allocation of $1,027,070 to Texas A&M
 2-3                                University--Texarkana [East Texas State
 2-4                                University at Texarkana];
 2-5     $ 8,818,023 [$ 9,468,548]  Lamar University, including an
 2-6                                allocation of $743,967 to Lamar
 2-7                                University at Orange and an allocation
 2-8                                of $2,336,605 to Lamar University at
 2-9                                Port Arthur;
2-10     $ 3,007,669 [$ 2,862,203]  Midwestern State University;
2-11     $18,021,033 [$20,217,740]  University of North Texas;
2-12     $ 7,131,692 [$10,174,500]  The University of Texas--Pan American,
2-13                                including an allocation of $1,050,580 to
2-14                                [and] The University of Texas at
2-15                                Brownsville;
2-16     $ 6,633,109 [$ 6,468,273]  Stephen F. Austin State University;
2-17     $ 3,640,000                University of North Texas Health Science
2-18                                Center at Fort Worth;
2-19     $26,132,524 [$23,181,556]  Texas State University System
2-20                                Administration and the following
2-21                                component institutions, including an
2-22                                allocation of $3,887,211 to[:] Angelo
2-23                                State University; an allocation of
2-24                                $5,864,608 to Sam Houston State
2-25                                University; an allocation of $14,479,112
2-26                                to Southwest Texas State University; an
 3-1                                allocation of $1,635,271 to Sul Ross
 3-2                                State University; and an allocation of
 3-3                                $266,322 to Sul Ross State University
 3-4                                Rio Grande College [including Uvalde
 3-5                                Center];
 3-6     $ 7,191,493 [$ 8,199,288]  Texas Southern University (includes
 3-7                                allocation of $1,000,000 for compliance
 3-8                                with Texas Desegregation Plan);
 3-9     $20,961,881 [$16,887,085]  Texas Tech University;
3-10     $ 7,735,000                Texas Tech University Health Sciences
3-11                                Center campuses;
3-12     $ 6,974,897 [$ 6,849,160]  Texas Woman's University;
3-13     $36,952,989 [$37,726,969]  University of Houston System
3-14                                Administration and the following
3-15                                component institutions, including an
3-16                                allocation of $25,986,116 to the[:]
3-17                                University of Houston; an allocation of
3-18                                $1,659,449 to the University of
3-19                                Houston--Victoria; an allocation of
3-20                                $3,853,447 to the University of
3-21                                Houston--Clear Lake; and an allocation
3-22                                of $5,453,977 to the University of
3-23                                Houston--Downtown;
3-24     $12,692,873 [$12,167,120]  The following components of The Texas
3-25                                A&M University System, including an
3-26                                allocation of $3,687,722 to Texas A&M
 4-1                                University--Corpus Christi; an
 4-2                                allocation of $1,778,155 to Texas A&M
 4-3                                International University; an allocation
 4-4                                of $3,555,651 to Texas A&M
 4-5                                University--Kingsville; and an
 4-6                                allocation of $3,671,345 to West Texas
 4-7                                A&M University; and
 4-8     $ 3,850,000                Texas State Technical College System
 4-9                                Administration and the following
4-10                                component campuses, but not its
4-11                                extension centers or programs: Texas
4-12                                State Technical College-Amarillo; Texas
4-13                                State Technical College-Harlingen; Texas
4-14                                State Technical College-Sweetwater;
4-15                                Texas State Technical College--Waco.
4-16           SECTION 2.  Section 62.022, Education Code, is amended to
4-17     read as follows:
4-18           Sec. 62.022.  [ADJUSTMENT OF] ALLOCATION FORMULA.  (a)  Prior
4-19     to the convening of the regular session of the Texas Legislature
4-20     immediately preceding each 10-year period for which Section 17(d),
4-21     Article VII, Texas Constitution, prescribes an allocation of the
4-22     money appropriated by Section 17(a), Article VII, Texas
4-23     Constitution, the coordinating board shall conduct, with the full
4-24     participation of the eligible institutions, a study and present
4-25     recommendations to the Legislative Budget Board and to the Texas
4-26     House and Texas Senate standing committees having jurisdiction over
 5-1     legislation related to higher education as to the allocation of the
 5-2     money appropriated by Section 17(a) for the following 10-year
 5-3     allocation period established by Section 17(d).
 5-4           (b)  Prior to the convening of the regular session of the
 5-5     Texas Legislature immediately preceding the sixth year of each
 5-6     10-year allocation period established by Section 17(d), Article
 5-7     VII, Texas Constitution [in 1999], the coordinating board shall
 5-8     conduct, with the full participation of the eligible institutions,
 5-9     a study and present recommendations to the Legislative Budget Board
5-10     and to the Texas House and Texas Senate standing committees having
5-11     cognizance over legislation related to higher education as to
5-12     whether and, if so, how, the equitable allocation formula
5-13     established for that 10-year period should be adjusted for the last
5-14     five years of the 10-year period [five-year period beginning
5-15     September 1, 2000].  The coordinating board shall include in the
5-16     study a survey of educational and general building quality, if the
5-17     legislature provides funds for the survey.
5-18           (c) [(b)]  The legislature shall approve, modify and approve,
5-19     or reject the recommendations of the coordinating board under
5-20     Subsection (a) or (b).
5-21           (d) [(c)]  If, prior to the first day of the sixth year of a
5-22     10-year allocation period established by Section 17(d), Article
5-23     VII, Texas Constitution [September 1, 2000], the Texas Legislature
5-24     fails to act on a recommendation for adjustment in the equitable
5-25     allocation formula, the 10-year allocation provided for in Section
5-26     62.021(a) shall continue until the end of the 10-year period.
 6-1           (e) [(d)]  No adjustment shall be made in the allocation
 6-2     formula that will prevent payment of both the principal and
 6-3     interest on outstanding bonds and notes sold pursuant to Section
 6-4     17(e), Article VII, Texas Constitution.
 6-5           [(e)  Prior to the convening of the regular session of the
 6-6     Texas Legislature in 2005, the coordinating board shall conduct,
 6-7     with the full participation of the eligible institutions, a study
 6-8     and present recommendations to the Legislative Budget Board and to
 6-9     the Texas House and Texas Senate standing committees having
6-10     cognizance over legislation related to higher education as to the
6-11     allocation of the funds appropriated by Section 17(a), Article VII,
6-12     Texas Constitution, for the 10-year period beginning September 1,
6-13     2005.]
6-14           (f)  A review of the allocation formula conducted by the
6-15     coordinating board under this section shall include:
6-16                 (1)  a comparison of the deferred maintenance needs of
6-17     an institution of higher education and the extent to which the
6-18     constitutionally dedicated funds were used to meet those needs; and
6-19                 (2)  an evaluation of the effectiveness of the
6-20     allocation formula concerning deferred maintenance needs of those
6-21     institutions.
6-22           SECTION 3.  This Act takes effect September 1, 2000.
6-23           SECTION 4.  The importance of this legislation and the
6-24     crowded condition of the calendars in both houses create an
6-25     emergency and an imperative public necessity that the
6-26     constitutional rule requiring bills to be read on three several
 7-1     days in each house be suspended, and this rule is hereby suspended.