HBA-JLV H.B. 1011 77(R)BILL ANALYSIS Office of House Bill AnalysisH.B. 1011 By: Swinford Higher Education 7/17/2001 Enrolled BACKGROUND AND PURPOSE The 74th Legislature transferred the operation of the Texas State Technical College Amarillo campus (campus) to Amarillo College (college). This transfer was an effort to reduce the cost to the State of Texas incurred in providing the training offered by the campus to the citizens of the Panhandle of Texas. Originally, the intent of the legislature was to transfer the ownership of the campus to the college. Because of uncertainty regarding the necessity and liability of environmental cleanup on the system campus, the decision was made to lease the system facility to the college. Ownership of the system campus could allow the college to pursue additional innovative long-term partnerships on the campus with local entities and businesses that may not have been possible under the lease through which the college operated the campus prior to the 77th Legislature. House Bill 1011 requires the board of regents of the Texas State Technical College System to enter into an agreement with the board of regents of Amarillo College for the transfer of the system's Amarillo campus to the college. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 1011 requires the board of regents of the Texas State Technical College System (system) to enter into an agreement with the board of regents of Amarillo College (college) for the transfer of the system's Amarillo campus to the college not later than September 1, 2002. The bill requires the system to transfer all control of the campus, including all right, title, and interest in materials and property comprising or located on that campus. The bill requires the college to use the property in a manner that primarily promotes a public purpose of the state and provides that the ownership of the property automatically reverts to the system if the college at any time fails to do so. The instrument of the transfer must ratify and confirm as permanent the Lease and Transfer Agreement dated June 29, 1995, between the system and the college that transferred various assets and other resources from the system to the college, and must terminate all provisions in the Lease and Transfer Agreement relating to real property on the date the instrument of transfer takes effect. The bill sets forth the powers and duties of the board of regents of the college for the governance, operation, management, and control of the campus. The bill provides that real property leases entered into by the board of the system for and on behalf of the campus are ratified, confirmed, and validated. The bill provides that in those real property leases, the board of the college is substituted for and stands and acts in the place of the board of the system. EFFECTIVE DATE June 11, 2001.