By: Carona, et al. S.B. No. 554 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to grants by the Texas Workforce Commission to assist 1-3 economically disadvantaged persons enrolled in qualified 1-4 postsecondary career education programs. 1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-6 SECTION 1. Subtitle B, Title 4, Labor Code, is amended by 1-7 adding Chapter 305 to read as follows: 1-8 CHAPTER 305. TEXAS CAREER OPPORTUNITY GRANT PROGRAM 1-9 SUBCHAPTER A. GENERAL PROVISIONS 1-10 Sec. 305.001. PURPOSE. The purpose of the Texas Career 1-11 Opportunity Grant Program is to help ensure a qualified workforce 1-12 to meet the needs of this state by reducing the financial barriers 1-13 to postsecondary career education and training for economically 1-14 disadvantaged Texans. 1-15 Sec. 305.002. DEFINITIONS. In this chapter: 1-16 (1) "Commission" means the Texas Workforce Commission. 1-17 (2) "Coordinating board" means the Texas Higher 1-18 Education Coordinating Board. 1-19 (3) "Eligible institution" means a proprietary school 1-20 in this state that: 1-21 (A) holds a certificate of approval under 1-22 Chapter 132, Education Code; and 1-23 (B) is approved by the commission under Section 1-24 305.023 for its students to participate in the grant program 1-25 established under this chapter. 2-1 (4) "Public technical institute" has the meaning 2-2 assigned by Section 61.003, Education Code. 2-3 (5) "Qualified education program" means a 2-4 postsecondary education program that meets the requirements 2-5 provided by Section 305.024. 2-6 (Sections 305.003-305.020 reserved for expansion 2-7 SUBCHAPTER B. GRANT PROGRAM 2-8 Sec. 305.021. TUITION ASSISTANCE GRANT; AMOUNT OF GRANT. 2-9 (a) The commission may provide tuition assistance grants to Texas 2-10 residents enrolled in a qualified education program at an eligible 2-11 institution. 2-12 (b) In selecting applicants to receive grants under this 2-13 chapter and the amount of the grant for each applicant, the 2-14 commission may consider: 2-15 (1) the financial need and resources of an applicant; 2-16 (2) the state's need for workforce development in the 2-17 applicant's proposed career field; 2-18 (3) the efficient use of the money available for 2-19 grants; 2-20 (4) the fair allocation of grants to promote workforce 2-21 development in different career fields; 2-22 (5) the opportunity of applicants from all regions of 2-23 this state to receive financial assistance under this chapter; and 2-24 (6) any other factor the commission considers 2-25 appropriate to further the purposes of this chapter. 2-26 Sec. 305.022. LIMITATIONS ON GRANT AMOUNT. (a) The amount 3-1 of a grant under this chapter may not exceed the lower of: 3-2 (1) the maximum grant amount, if any, specified by the 3-3 legislature in an appropriation act; or 3-4 (2) the amount by which the tuition and required fees 3-5 at the eligible institution attended exceeds the average amount of 3-6 tuition and required fees that would be charged at a public 3-7 technical institute, as determined by the commission based on 3-8 information provided by the coordinating board. 3-9 (b) The total amount of grants paid under this chapter on 3-10 behalf of a student during a state fiscal year may not exceed an 3-11 amount equal to 50 percent of the average state appropriation in 3-12 the biennium preceding the biennium in which the grant is made for 3-13 a full-time student or the equivalent at a public technical 3-14 institute, as determined by the coordinating board and certified to 3-15 the commission. 3-16 (c) The amount of a grant to a part-time student shall be 3-17 made on a pro rata basis in relation to the amount of the grant the 3-18 person would be entitled to receive if enrolled as a full-time 3-19 student. 3-20 Sec. 305.023. APPROVAL OF INSTITUTIONS. The commission 3-21 shall approve a proprietary school for its students to participate 3-22 in the grant program established under this chapter if the school: 3-23 (1) has been accredited for not less than five years 3-24 by an accrediting agency recognized by the United States Department 3-25 of Education and maintains that accreditation; 3-26 (2) has held a certificate of approval under Chapter 4-1 132, Education Code, for at least five years; and 4-2 (3) offers one or more qualified education programs. 4-3 Sec. 305.024. QUALIFIED EDUCATION PROGRAMS. For purposes of 4-4 this chapter, a qualified education program is a postsecondary 4-5 course of instruction in a specific career field that: 4-6 (1) is at least one academic year in length as defined 4-7 by the United States Department of Education; and 4-8 (2) leads to a certificate, certification, degree, or 4-9 diploma in the career field. 4-10 Sec. 305.025. NONDISCRIMINATION. The commission in 4-11 administering this chapter shall ensure compliance with Title VI, 4-12 Civil Rights Act of 1964 (42 U.S.C. Section 2000d et seq.), as 4-13 amended, in regard to nondiscrimination under any program or 4-14 activity receiving federal financial assistance. 4-15 Sec. 305.026. APPLICATION; ELIGIBILITY FOR GRANT. (a) To 4-16 receive a grant under this chapter, a person must apply to the 4-17 eligible institution in which the person enrolls in the manner 4-18 provided by commission rule. 4-19 (b) To be eligible to receive a grant under this chapter, an 4-20 applicant must: 4-21 (1) be a Texas resident and meet the requirements to 4-22 qualify as a Texas resident under Subchapter B, Chapter 54, 4-23 Education Code, and the rules of the coordinating board for the 4-24 payment of resident tuition at a public institution of higher 4-25 education; 4-26 (2) be enrolled in a qualified education program at an 5-1 eligible institution for at least one-half of a full course load; 5-2 (3) be required to pay more tuition and required fees 5-3 than the amount required at a public technical institute and be 5-4 charged not less than the regular tuition and required fees paid by 5-5 other students enrolled at the eligible institution the person 5-6 attends; 5-7 (4) establish financial need and eligibility for 5-8 student financial assistance in accordance with procedures and 5-9 regulations of the United States Department of Education for 5-10 financial aid programs under Title IV, Higher Education Act of 1965 5-11 (20 U.S.C. Section 1070 et seq.), as amended; 5-12 (5) not be in default on a loan made under the Federal 5-13 Perkins Loan Program, Federal Family Education Loan Program, or 5-14 William D. Ford Federal Direct Loan Program; 5-15 (6) not owe a refund on a grant received under the 5-16 Federal Pell Grant program or the federal Supplemental Education 5-17 Opportunity Grant program; and 5-18 (7) comply with any other requirements adopted by the 5-19 commission under this chapter. 5-20 Sec. 305.027. PAYMENT OF GRANT. (a) On receipt of an 5-21 enrollment report for a student awarded a grant under this chapter 5-22 and certification of the amount of the student's financial need 5-23 from the approved institution, the commission shall certify the 5-24 amount of the grant awarded to the student. 5-25 (b) The grant shall be paid to the student through the 5-26 eligible institution in which the student is enrolled. 6-1 Sec. 305.028. ADOPTION AND DISTRIBUTION OF RULES. (a) The 6-2 commission may adopt reasonable rules to administer and enforce 6-3 this chapter. 6-4 (b) The commission shall distribute a copy of the rules to 6-5 each eligible institution. 6-6 Sec. 305.029. ANNUAL REPORT. The commission shall prepare 6-7 and deliver to the legislature an annual report regarding the grant 6-8 program established under this chapter. The report shall include 6-9 for the period covered by the report: 6-10 (1) the number of students who received grants under 6-11 this chapter; and 6-12 (2) the number of those students who attended each 6-13 eligible institution, including information on the race or 6-14 ethnicity of those students attending each institution. 6-15 Sec. 305.030. INITIAL IMPLEMENTATION. (a) The commission 6-16 may award grants under this chapter for the 2001-2002 academic year 6-17 only to a person attending the person's first academic year at an 6-18 eligible institution. 6-19 (b) The commission may award grants under this chapter for 6-20 the 2002-2003 academic year only to a person attending the person's 6-21 first or second academic year at an eligible institution. 6-22 (c) This section expires January 1, 2004. 6-23 SECTION 2. (a) This Act takes effect on September 1, 2001. 6-24 (b) The Texas Workforce Commission may award grants under 6-25 the Texas Career Opportunity Grant Program established by Chapter 6-26 305, Labor Code, as added by this Act, in the state fiscal biennium 7-1 ending August 31, 2003, only from: 7-2 (1) money specifically appropriated for that biennium 7-3 to fund the grant program; or 7-4 (2) other money available to the commission from a 7-5 source other than general revenue if the use of that money for that 7-6 purpose is permitted by applicable law.