1-1 By: Jackson S.B. No. 1205 1-2 (In the Senate - Filed March 7, 2001; March 8, 2001, read 1-3 first time and referred to Committee on Education; March 29, 2001, 1-4 reported adversely, with favorable Committee Substitute by the 1-5 following vote: Yeas 8, Nays 0; March 29, 2001, sent to printer.) 1-6 COMMITTEE SUBSTITUTE FOR S.B. No. 1205 By: Nelson 1-7 A BILL TO BE ENTITLED 1-8 AN ACT 1-9 relating to the exemption of certain courses of instruction from 1-10 proprietary school certification. 1-11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-12 SECTION 1. Subchapter A, Chapter 132, Education Code, is 1-13 amended by adding Section 132.003 to read as follows: 1-14 Sec. 132.003. EXEMPTION: ENHANCED CAREER SKILLS OR 1-15 RECREATIONAL OR AVOCATIONAL COURSES. (a) A course of instruction 1-16 is exempt from this chapter and is not within the definition of 1-17 "proprietary school" if: 1-18 (1) the length of the course is 24 classroom hours or 1-19 less; 1-20 (2) the fee for the course is less than $500; 1-21 (3) the course is designed to teach: 1-22 (A) knowledge or skills to maintain or enhance a 1-23 person's competency or performance in a business, trade, or 1-24 occupation; or 1-25 (B) recreational or avocational subjects; 1-26 (4) no credits or units are awarded on completion of 1-27 the course toward the completion of another course of instruction 1-28 of more than 24 classroom hours; 1-29 (5) the person offering the course makes available to 1-30 registrants a written description of the course content and refund 1-31 policy not later than the 14th day before the date the course 1-32 begins; 1-33 (6) for a course in which the instructor or the 1-34 instructor's qualifications are different from the instructor or 1-35 the instructor's qualifications stated in any advertising, 1-36 publicity, or solicitation for the course, the person offering the 1-37 course: 1-38 (A) offers in writing a refund of the course fee 1-39 to any registrant who, before the date the course begins, notifies 1-40 the person that the registrant elects not to attend and requests a 1-41 refund; and 1-42 (B) for the three-year period following the date 1-43 the course is concluded, maintains records sufficient to identify 1-44 the differences between advertised instructors and their 1-45 qualifications and actual instructors and their qualifications; and 1-46 (7) for the three-year period following the date the 1-47 course is concluded, the person offering the course maintains a 1-48 record of: 1-49 (A) attendance of registrants; 1-50 (B) fees paid by registrants; and 1-51 (C) refunds paid to registrants. 1-52 (b) A general refund policy that provides for a full refund 1-53 of fees at any time before the date the course begins satisfies the 1-54 requirements of Subsection (a)(6)(A) if the general refund policy 1-55 is made available in writing to registrants or potential 1-56 registrants not later than the 14th day before the date the course 1-57 begins. 1-58 (c) If within the three-year record retention period the 1-59 commission requests the production of records required under 1-60 Subsection (a), a failure to produce the records for the commission 1-61 by the person claiming an exemption for the course creates a 1-62 rebuttable presumption that the course is not exempt from this 1-63 chapter. 1-64 (d) A course of instruction that is otherwise exempt under 2-1 Section 132.002 is not required to comply with the requirements of 2-2 this section in order to qualify for an exemption from the 2-3 definition of "proprietary school." 2-4 SECTION 2. The change in law made by this Act applies only 2-5 to a course of instruction beginning on or after the effective date 2-6 of this Act. A course of instruction beginning before the 2-7 effective date of this Act is governed by the law in effect when 2-8 the course began, and the former law is continued in effect for 2-9 that purpose. 2-10 SECTION 3. This Act takes effect September 1, 2001. 2-11 * * * * *