By Ritter, Deshotel                                   H.B. No. 3699
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the allocation of certain funds for institutions within
 1-3     the Texas State University System.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Section 62.021(a), Education Code, as amended by
 1-6     Section 2, Chapter 1363, Section 1.03, Chapter 1467, and Section 1,
 1-7     Chapter 1508, Acts of the 76th Legislature, Regular Session, 1999,
 1-8     is reenacted and amended to read as follows:
 1-9           (a)  Each fiscal year, an eligible institution is entitled to
1-10     receive an amount allocated in accordance with this section from
1-11     funds appropriated by Section 17(a), Article VII, Texas
1-12     Constitution. The comptroller shall distribute funds allocated
1-13     under this subsection only on presentation of a claim and issuance
1-14     of a warrant in accordance with Section 403.071, Government Code.
1-15     The comptroller may not issue a warrant from any funds allocated
1-16     under this subsection before the delivery of goods or services
1-17     described in Section 17, Article VII, Texas Constitution, except
1-18     for the payment of principal or interest on bonds or notes or for a
1-19     payment for a book or other published library material as
1-20     authorized by Section 2155.386, Government Code.  The allocation of
1-21     funds under this subsection is made in accordance with an equitable
1-22     formula consisting of the following elements:  space deficit,
1-23     facilities condition, institutional complexity, separate
1-24     allocations for medical units and the Texas State Technical College
 2-1     System, and an additional allocation for Texas Southern University
 2-2     for compliance with the Texas Desegregation Plan.  The amounts
 2-3     allocated by the formula are as follows:
 2-4           $ 5,256,817 Texas A&M University--Commerce, including an
 2-5     allocation of $1,027,070 to Texas A&M University--Texarkana;
 2-6           $ 8,818,023 Lamar University, including an allocation of
 2-7     $491,946 to Lamar Institute of Technology, an allocation of
 2-8     $743,967 to Lamar University at Orange and an allocation of
 2-9     $2,336,605 to Lamar University at Port Arthur;
2-10           $ 3,007,669 Midwestern State University;
2-11           $18,021,033 University of North Texas;
2-12           $ 7,131,692 The University of Texas--Pan American, including
2-13     an allocation of $1,050,580 to The University of Texas at
2-14     Brownsville;
2-15           $ 6,633,109 Stephen F. Austin State University;
2-16           $ 3,640,000 University of North Texas Health Science Center
2-17     at Fort Worth;
2-18           $26,132,524 Texas State University System Administration and
2-19     the following component institutions, including an allocation of
2-20     $3,887,211 to Angelo State University;  an allocation of $5,864,608
2-21     to Sam Houston State University;  an allocation of $14,479,112 to
2-22     Southwest Texas State University;  an allocation of $1,635,271 to
2-23     Sul Ross State University; and an allocation of $266,322 to Sul
2-24     Ross State University-Rio Grande College;
2-25           $ 7,191,493 Texas Southern University (includes allocation of
2-26     $1,000,000 for compliance with Texas Desegregation Plan);
2-27           $20,961,881 Texas Tech University;
 3-1           $ 7,735,000 Texas Tech University Health Sciences Center;
 3-2           $ 6,974,897 Texas Woman's University;
 3-3           $36,952,989 University of Houston System Administration and
 3-4     the following component institutions, including an allocation of
 3-5     $25,986,116 to the University of Houston;  an allocation of
 3-6     $1,659,449 to the University of Houston--Victoria;  an allocation
 3-7     of $3,853,447 to the University of Houston--Clear Lake; and an
 3-8     allocation of $5,453,977 to the University of Houston--Downtown;
 3-9           $12,692,873 The following components of The Texas A&M
3-10     University System, including an allocation of $3,687,722 to Texas
3-11     A&M University--Corpus Christi;  an allocation of $1,778,155 to
3-12     Texas A&M International University;  an allocation of $3,555,651 to
3-13     Texas A&M University--Kingsville; and an allocation of $3,671,345
3-14     to West Texas A&M University; and
3-15           $ 3,850,000 Texas State Technical College System
3-16     Administration and the following component campuses, but not its
3-17     extension centers or programs: Texas State Technical
3-18     College-Amarillo; Texas State Technical College-Harlingen; Texas
3-19     State Technical College-Sweetwater; Texas State Technical
3-20     College--Waco.
3-21           SECTION 2.  Section 62.021(b), Education Code, is amended to
3-22     read as follows:
3-23           (b)  Each governing board participating in the distribution
3-24     of funds as described in this section may expend the funds without
3-25     limitation either at the specified institution or subject to board
3-26     authorized transfer at other eligible member institutions, and as
3-27     the governing board may decide in its sole discretion, for any and
 4-1     all purposes described in Article VII, Section 17, of the
 4-2     Constitution of Texas; provided, however, that for new
 4-3     construction, major repair and rehabilitation projects, and land
 4-4     acquisition projects, those funds may not be expended without the
 4-5     prior approval of the legislature or the approval, review, or
 4-6     endorsement, as applicable, of the coordinating board; and provided
 4-7     further that review and approval of major repair and rehabilitation
 4-8     shall apply only to projects in excess of $600,000.
 4-9           SECTION 3.  Section 96.703, Education Code, is amended to
4-10     read as follows:
4-11           Sec. 96.703.  LAMAR INSTITUTE OF TECHNOLOGY. (a)  The board
4-12     shall establish and maintain an educational center of Lamar
4-13     University as a separate degree-granting institution to be known as
4-14     Lamar Institute of Technology.
4-15           (b)  The primary purpose of the institute is to teach
4-16     technical and vocational courses and related supporting courses.
4-17     The board may confer degrees appropriate to the institute's
4-18     curriculum.
4-19           (c)  For Lamar Institute of Technology, the board may expend
4-20     funds allocated to Lamar University under Chapter 62 for any of the
4-21     purposes listed in Section 17, Article VII, Texas Constitution, in
4-22     the same manner and under the same circumstances as expenditures
4-23     for those purposes for other separate degree-granting institutions.
4-24           SECTION 4.  This Act takes effect immediately if it receives
4-25     a vote of two-thirds of all the members elected to each house, as
4-26     provided by Section 39, Article III, Texas Constitution.  If this
4-27     Act does not receive the vote necessary for immediate effect, this
 5-1     Act takes effect September 1, 2001.