SRC-TJG S.B. 932 78(R)   BILL ANALYSIS


Senate Research Center   S.B. 932
78R6224 JSA-DBy: Shapiro
Finance
3/31/2003
As Filed


DIGEST AND PURPOSE 

Currently, additional tuition revenue bonds are not authorized to be
issued to the University of Texas Southwestern Medical Center.  As
proposed, S.B. 932 authorizes additional tuition revenue bonds for
biomedical/biotech research buildings at UT Southwestern Medical Center.
This bill also exempts facilities financed by the bonds from prior
approval by the Texas Higher Education Coordinating Board. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 55B, Education Code, by adding Section
55.17421, as follows: 

Sec. 55.17421.  THE UNIVERSITY OF TEXAS SOUTHWESTERN MEDICAL CENTER AT
DALLAS; ADDITIONAL REVENUE BONDS.  (a)  Authorizes the board of regents of
The University of Texas System (board), in addition to the other authority
granted by this subchapter, to acquire, purchase, construct, improve,
renovate, enlarge, or equip property, buildings, structures, or other
facilities, including roads and related infrastructure, for The University
of Texas Southwestern Medical Center at Dallas, to be used primarily to
conduct biomedical research and to be financed by the issuance of bonds in
accordance with this subchapter, including bonds issued in accordance with
a systemwide revenue financing program and secured as provided by that
program in an aggregate principal amount not to exceed $56 million. 

(b) Authorizes the board to pledge irrevocably to the payment of the bonds
authorized by Subsection (a) all or any part of the revenue funds of an
institution, branch, or entity of The University of Texas System,
including student tuition charges.  Prohibits the amount of a pledge made
under this subsection from being reduced or abrogated while the bonds for
which the pledge is made, or bonds issued to refund those bonds, are
outstanding. 

(c) Authorizes the board, if sufficient funds are not available to the
board to meet its obligations under this section, to transfer funds among
institutions, branches, and entities of The University of Texas System to
ensure the most equitable and efficient allocation of available resources
for each institution, branch, or entity to carry out its duties and
purposes. 

SECTION 2.  Amends Section 61.0572(e), Education Code, to make conforming
and nonsubstantive changes. 

SECTION 3.  Amends Section 61.058(b), Education Code, to make conforming
and nonsubstantive changes. 

SECTION 4.  Effective date: Effective date: upon passage or September 1,
2003.