78R11847 JSA-F


By:  Wise                                                         H.B. No. 2915

Substitute the following for H.B. No. 2915:                                   

By:  Chavez                                                   C.S.H.B. No. 2915


A BILL TO BE ENTITLED
AN ACT
relating to the nonprofit organizations qualified to finance certain guaranteed student loans. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 53.47(k), Education Code, is repealed. SECTION 2. If this Act takes effect on or after September 1, 2003, Section 53.47(a), Education Code, is amended by adding Subdivision (6) to read as follows: (6) "Qualified nonprofit corporation" means a nonprofit corporation: (A) that issued bonds on or after January 1, 1990, and before January 1, 2001, that qualified as qualified student loan bonds under Section 144(b), Internal Revenue Code of 1986, as amended; or (B) that the office of the governor, in consultation with the state student loan guaranty agency or any other public or private entity the office of the governor considers appropriate, has determined meets a need for student loan financing that existing qualified nonprofit corporations cannot meet, which determination may include information provided by the nonprofit corporation's plan for doing business that should include documented limitations in: (i) the geographic coverage of existing qualified nonprofit corporations in the nonprofit corporation's proposed area of service; (ii) the willingness of existing qualified nonprofit corporations to serve the eligible lenders in the proposed area of service; and (iii) the ability of existing qualified nonprofit corporations to serve the eligible lenders in the proposed area of service. SECTION 3. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2003.