HBA-JLV C.S.H.B. 1465 77(R)BILL ANALYSIS Office of House Bill AnalysisC.S.H.B. 1465 By: Kitchen Higher Education 3/26/2001 Committee Report (Substituted) BACKGROUND AND PURPOSE Current law does not permit governing boards of public community colleges to offer reduced tuition rates during off-peak, less popular times. Some community college administrators believe that the ability to offer reduced tuition rates would allow a better utilization of resources and a more efficient use of facilities. C.S.H.B. 1465 requires the Texas Higher Education Coordinating Board to establish a pilot project to measure the impact of reducing tuition for junior college courses offered at times of low enrollment demand. 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 C.S.H.B. 1465 amends the Education Code to require the Texas Higher Education Coordinating Board (coordinating board) to establish a pilot project to measure the impact of reducing tuition for junior college courses offered at times of low enrollment demand in order to promote greater access to higher education and more efficient use of junior college facilities and resources. The coordinating board is required to select a reasonable number of public junior colleges to participate in the pilot project. The bill authorizes the governing board of a public junior college district selected to participate in the pilot project to charge reduced tuition rates for students if the governing board makes a finding that the reduced tuition rate is reasonably necessary to enable the junior college to make efficient use of its facilities or faculty. The finding must be stated in the order or resolution establishing the reduced tuition rate. The bill provides that by charging tuition at a reduced rate, the right of a junior college to a proportionate share of state appropriations for the contact hours attributable to students paying tuition at the reduced rate is not affected. The bill requires the governing board of each public junior college participating in the pilot project to prepare a report on the effects of the reduced tuition on enrollment, facilities, scheduling, and costs and to deliver a copy of the report to the coordinating board not later than October 30, 2002. The bill requires the coordinating board to prepare a report compiling the results of the pilot project at the public junior colleges participating in the pilot project and to submit a copy of the report not later than December 15, 2002, to the governor, the lieutenant governor, the speaker of the house of representatives, and the chair of the standing committee of each house of the legislature with primary jurisdiction over higher education. EFFECTIVE DATE On passage, or if the Act does not receive the necessary vote, the Act takes effect September 1, 2001. The Act applies beginning with the fall semester 2001. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.H.B. 1465 modifies the original to require the Texas Higher Education Coordinating Board (coordinating board) to establish a pilot project to measure the impact of reducing tuition for junior college courses offered at times of low enrollment demand. The original authorized the governing board of a public junior college to charge a reduced tuition rate for courses to enable the junior college to make efficient use of its facilities or faculty. The substitute amends the original to authorize only a governing board of a public junior college selected to participate in the pilot project to charge a reduced tuition rate for courses. The substitute modifies the original to require the governing board of each public junior college participating in the pilot project to prepare and submit a report on the effects of the reduced tuition. The substitute also modifies the original to require the coordinating board to prepare and submit a report compiling the results of the pilot project at the public junior colleges participating in the pilot project.