H.B. 3329 78(R)    BILL ANALYSIS


H.B. 3329
By: Grusendorf
Public Education
Committee Report (Unamended)



BACKGROUND 
  
Under current law, certain accredited, non-profit, private schools are
permitted to issue bonds for facility expansion and reconstruction. New
private schools, not yet accredited, cannot issue bonds even if associated
with the same organizations as existing schools. 


PURPOSE

House Bill 3329 permits newly constructed private schools or those under
construction, seeking accreditation, to issue bonds.   


RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any
additional rulemaking authority to a state officer, department, agency, or
institution. 


ANALYSIS

House Bill 3329 amends the Education Code to provide that in the same
manner that a corporation may issue bonds for an institution of higher
education, a corporation created under Section 53.35(b) is authorized to
issue bonds to finance or refinance educational facilities to be used by a
school that, in addition to other requirements, provides primary and
secondary education to at least 1,000 students  and is under construction
or newly constructed and is seeking accreditation by a recognized
accrediting body. 


EFFECTIVE DATE

Upon passage, or, if the Act does not receive the necessary vote, the Act
takes effect September 1, 2003.