By Garcia                                             H.B. No. 3607
         77R6422 KSD-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the transfer of governance of certain public
 1-3     institutions of higher education to the University of North Texas
 1-4     System and the designation of the University of North Texas as a
 1-5     flagship university.
 1-6           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-7           SECTION 1. Section 105.01, Education Code, is amended to read
 1-8     as follows:
 1-9           Sec. 105.01.  UNIVERSITY OF NORTH TEXAS. (a)  The University
1-10     of North Texas is a coeducational institution of higher education
1-11     located in the city of Denton.
1-12           (b)  The board shall maintain and operate the university in a
1-13     manner to ensure that the university achieves the status of a
1-14     nationally recognized doctoral and research university of the
1-15     highest category.
1-16           (c)  The Texas Higher Education Coordinating Board shall
1-17     consider the status of the university under Subsection (b) in:
1-18                 (1)  reviewing and approving the courses and programs
1-19     at the university under Section 61.051; and
1-20                 (2)  preparing funding formulas and recommending
1-21     funding for the university under Section 61.059.
1-22           SECTION 2. Chapter 105, Education Code, is amended by adding
1-23     Subchapter I to read as follows:
1-24                  SUBCHAPTER I.  OTHER INSTITUTIONS IN THE
 2-1                      UNIVERSITY OF NORTH TEXAS SYSTEM
 2-2           Sec. 105.151.  UNIVERSITY OF NORTH TEXAS AT ARLINGTON. (a)
 2-3     The University of North Texas at Arlington is a coeducational
 2-4     institution of higher education under the management and control of
 2-5     the board.
 2-6           (b)  The board may prescribe courses leading to such
 2-7     customary degrees as are offered at leading American universities,
 2-8     including baccalaureate, master's, and doctoral degrees and their
 2-9     equivalents, and may award those degrees.
2-10           (c)  The board may not institute a department, school, or
2-11     degree program at the University of North Texas at Arlington
2-12     without the prior approval of the Texas Higher Education
2-13     Coordinating Board.
2-14           Sec. 105.152.  UNIVERSITY OF NORTH TEXAS AT DALLAS. (a)  The
2-15     University of North Texas at Dallas is a coeducational institution
2-16     of higher education under the management and control of the board.
2-17           (b)  The board may prescribe courses leading to such
2-18     customary degrees as are offered at leading American universities,
2-19     including baccalaureate, master's, and doctoral degrees and their
2-20     equivalents, and may award those degrees.
2-21           (c)  The board may not institute a department, school, or
2-22     degree program at the University of North Texas at Dallas without
2-23     the prior approval of the Texas Higher Education Coordinating
2-24     Board.
2-25           (d)  The board may accept and administer, on terms and
2-26     conditions the board considers satisfactory, grants or gifts of
2-27     property, including real estate or money, that may be tendered to
 3-1     the board in aid of the planning, establishment, conduct, and
 3-2     operation of the University of North Texas at Dallas, and in aid of
 3-3     the research and teaching at that university.  The board may accept
 3-4     donations, gifts, and grants, including real estate, buildings,
 3-5     libraries, laboratories, apparatus, equipment, records, or money
 3-6     from the federal government or any foundation, trust fund,
 3-7     corporation, or individual for the use and benefit of the
 3-8     University of North Texas at Dallas.
 3-9           Sec. 105.153.  UNIVERSITY OF NORTH TEXAS SOUTHWESTERN MEDICAL
3-10     CENTER AT DALLAS. (a)  The University of North Texas Southwestern
3-11     Medical Center at Dallas is a component institution of the
3-12     University of North Texas System under the management and control
3-13     of the board.
3-14           (b)  The board may prescribe courses leading to customary
3-15     degrees and may adopt rules for the operation, control, and
3-16     management of the medical center as may be necessary for its
3-17     conduct as a medical school of the first class.
3-18           (c)  The board may accept and administer, on terms and
3-19     conditions the board considers satisfactory, grants and gifts
3-20     tendered to the board in aid of research and teaching at the
3-21     medical school.  The board may accept donations, gifts, and grants,
3-22     including real estate, buildings, libraries, laboratories,
3-23     apparatus, equipment, records, and leases, made for the exclusive
3-24     use and benefit of the medical school from the federal government
3-25     or any foundation, trust fund, corporation, or individual.  Before
3-26     accepting a gift, grant, or donation of real property, the board
3-27     shall secure the opinion of the attorney general regarding the
 4-1     title of the real property to be conveyed.
 4-2           (d)  The board may lease to a nonprofit charitable,
 4-3     scientific, or educational corporation organized under state law or
 4-4     to a governmental agency a tract or tracts of land situated in
 4-5     Dallas County out of land previously deeded by Southwestern Medical
 4-6     Foundation to the state.  A lease under this subsection must be on
 4-7     the terms, conditions, and provisions and for a period of years
 4-8     determined by the board.  A lease may not be made for a term of
 4-9     more than 99 years.
4-10           Sec. 105.154.  PROVISIONS FOR TRANSFER OF INSTITUTIONS TO
4-11     UNIVERSITY OF NORTH TEXAS SYSTEM. (a)  This section applies only to
4-12     the institutions of higher education included in this subchapter.
4-13           (b)  The governance, operation, management, and control of
4-14     the institutions, along with all right, title, and interest in
4-15     land, buildings, facilities, improvements, equipment, supplies, and
4-16     property comprising those institutions, are transferred to the
4-17     board from The University of Texas System.
4-18           (c)  The board shall undertake to govern, operate, manage,
4-19     and control the institutions and all land, buildings, facilities,
4-20     improvements, equipment, supplies, and property comprising those
4-21     institutions pursuant to the powers, duties, and responsibilities
4-22     that are or may be conferred by law upon the board for the
4-23     governance, operation, management, and control of component
4-24     institutions comprising the University of North Texas System.
4-25           (d)  The transfer of governance, operation, management, and
4-26     control of the institutions in this subchapter to the board does
4-27     not affect:
 5-1                 (1)  the credit hours earned by students at those
 5-2     institutions before the effective date of this Act; or
 5-3                 (2)  the employment status of the administrative,
 5-4     faculty, or support staff of those institutions.
 5-5           (e)  The board and the board of regents of The University of
 5-6     Texas System shall enter into a memorandum of understanding with
 5-7     one another to implement the transfer of the institutions under
 5-8     this section and may take any action necessary for that purpose.
 5-9           (f)  Any reference in law to:
5-10                 (1)  "The University of Texas at Arlington" means the
5-11     University of North Texas at Arlington.
5-12                 (2)  "The University of Texas at Dallas" means the
5-13     University of North Texas at Dallas.
5-14                 (3)  "The University of Texas Southwestern Medical
5-15     Center at Dallas" means the University of North Texas Southwestern
5-16     Medical Center at Dallas.
5-17           (g)  The institutions are no longer entitled to participate
5-18     in the funding provided by Section 18, Article VII, Texas
5-19     Constitution, except that, unless other money is appropriated for
5-20     that purpose, the board of regents of The University of Texas
5-21     System shall pay the remaining principal of and interest on all
5-22     bonds and other obligations previously issued.
5-23           SECTION 3. The following laws are repealed:
5-24                 (1)  Chapter 68, Education Code;
5-25                 (2)  Chapter 70, Education Code; and
5-26                 (3)  Subchapter C, Chapter 74, Education Code.
5-27           SECTION 4. This Act takes effect September 1, 2001.