By Ellis S.B. No. 1039
77R4413 QS-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the provision of certain higher education coursework
1-3 through an online college.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Chapter 51, Education Code, is amended by adding
1-6 Subchapter V to read as follows:
1-7 SUBCHAPTER V. CORE CURRICULUM ONLINE
1-8 Sec. 51.821. DEFINITIONS. In this subchapter:
1-9 (1) "Administrator" means the higher education entity
1-10 selected by the Telecommunications Infrastructure Fund Board under
1-11 Section 51.825.
1-12 (2) "Coordinating board" means the Texas Higher
1-13 Education Coordinating Board.
1-14 (3) "Distance learning" means an instruction,
1-15 learning, or training resource, including video, data, voice, or
1-16 electronic information, that is:
1-17 (A) used by an institution of higher education
1-18 predominantly for instruction, learning, or training; and
1-19 (B) transmitted from a site to one or more other
1-20 sites by a telecommunications service.
1-21 (4) "Institution of higher education" has the meaning
1-22 assigned by Section 61.003.
1-23 (5) "Online college" means the Core Curriculum Online.
1-24 Sec. 51.822. CORE CURRICULUM ONLINE. (a) The administrator
2-1 shall develop and operate an online college known as the Core
2-2 Curriculum Online.
2-3 (b) The administrator shall provide all courses in the
2-4 state's core curriculum through the online college using the
2-5 Internet and other distance learning techniques.
2-6 (c) The administrator may provide other courses through the
2-7 online college on behalf of an institution of higher education.
2-8 (d) From any revenue available to implement this subchapter,
2-9 the administrator may award grants to institutions of higher
2-10 education to fund the development of core curriculum courses to be
2-11 offered through the online college.
2-12 (e) The administrator may not award degrees through the
2-13 online college.
2-14 Sec. 51.823. ONLINE COURSES. (a) An institution of higher
2-15 education may develop and offer a course through the online
2-16 college.
2-17 (b) An institution of higher education that otherwise offers
2-18 a course online is not required to make that course available
2-19 through the online college.
2-20 (c) An institution of higher education shall accept the
2-21 transfer of credit for each course successfully completed by the
2-22 transferring student in the core curriculum offered through the
2-23 online college. The institution is not required to accept the
2-24 transfer of credit for any other course offered through the online
2-25 college.
2-26 Sec. 51.824. STUDENT ENROLLMENT. A student may enroll in a
2-27 course provided through the online college only if the student is
3-1 enrolled in an institution of higher education.
3-2 Sec. 51.825. SELECTION OF ADMINISTRATOR. (a) Based on a
3-3 recommendation by the coordinating board, the Telecommunications
3-4 Infrastructure Fund Board shall select an administrator to develop
3-5 and operate the online college. If the Telecommunications
3-6 Infrastructure Fund Board makes a selection inconsistent with the
3-7 recommendation of the coordinating board, the Telecommunications
3-8 Infrastructure Fund Board shall provide to the coordinating board a
3-9 written statement explaining in detail the reasons for its
3-10 selection.
3-11 (b) The coordinating board shall solicit applications to
3-12 serve as administrator, including proposals for the online college,
3-13 from any institution of higher education, university system, or
3-14 consortium of institutions of higher education or university
3-15 systems.
3-16 (c) The coordinating board shall evaluate the applications
3-17 and make a recommendation based on the following factors:
3-18 (1) the applicant's ability to develop and operate a
3-19 distance learning program efficiently and cost-effectively;
3-20 (2) the applicant's commitment to the goal of greater
3-21 access to higher education through use of the Internet and other
3-22 distance learning techniques; and
3-23 (3) any other factor that the coordinating board
3-24 considers relevant.
3-25 Sec. 51.826. REVENUE ALLOCATION. (a) For core curriculum
3-26 courses provided through the online college, the coordinating board
3-27 shall develop a mechanism for setting tuition rates that recognizes
4-1 the different amounts of tuition charged by participating
4-2 institutions of higher education to students enrolled at those
4-3 institutions.
4-4 (b) Revenue, including tuition, generated by the online
4-5 college shall be divided between the online college and the
4-6 institutions of higher education that offer courses through the
4-7 online college. The coordinating board shall determine the
4-8 relative proportions of revenue to allocate to the online college
4-9 and the institutions.
4-10 (c) An institution of higher education may receive formula
4-11 funding based on the number of students enrolled in any course
4-12 offered by the institution through the online college.
4-13 (d) The coordinating board shall conduct a study evaluating
4-14 the actual costs of providing online instruction in this state and
4-15 the adequacy of a formula funding mechanism regarding that
4-16 instruction. The coordinating board shall report the results of
4-17 the study to the legislature not later than September 1, 2004, and
4-18 shall include in the report any recommendations for improving the
4-19 funding of online instruction in this state. This subsection
4-20 expires January 1, 2005.
4-21 SECTION 2. Section 61.059, Education Code, is amended by
4-22 adding Subsection (n) to read as follows:
4-23 (n) The board shall include in a formula under this section
4-24 funding based on the number of students enrolled in a course
4-25 offered by an institution of higher education through the online
4-26 college established under Subchapter V, Chapter 51, and shall make
4-27 its formula funding recommendation for that institution
5-1 accordingly.
5-2 SECTION 3. (a) The administrator selected under Subchapter
5-3 V, Chapter 51, Education Code, as added by this Act, shall provide
5-4 core curriculum courses through the online college described by
5-5 that subchapter beginning with the 2002-2003 academic year.
5-6 (b) For the state fiscal biennium beginning September 1,
5-7 2001, the legislature may appropriate money from the
5-8 telecommunications infrastructure fund to implement Subchapter V,
5-9 Chapter 51, Education Code, as added by this Act. The legislature
5-10 may not appropriate money for that purpose for any period occurring
5-11 after the state fiscal biennium beginning September 1, 2001.
5-12 SECTION 4. This Act takes effect immediately if it receives
5-13 a vote of two-thirds of all the members elected to each house, as
5-14 provided by Section 39, Article III, Texas Constitution. If this
5-15 Act does not receive the vote necessary for immediate effect, this
5-16 Act takes effect September 1, 2001.