By:  Heflin, et al. (Senate Sponsor - Ratliff)                    H.B. No. 3209
	(In the Senate - Received from the House May 19, 2003; 
May 20, 2003, read first time and referred to Committee on 
Education; May 26, 2003, reported favorably, as amended, by the 
following vote:  Yeas 7, Nays 1; May 26, 2003, sent to printer.)


COMMITTEE AMENDMENT NO. 1                                                By:  Zaffirini

	Amend House Bill 3209 by inserting the following SECTION 2, 
SECTION 3 AND SECTION 4, renumbering subsequent SECTIONS 
accordingly:
	SECTION 2.  Section 56.304(a)(5), Education Code, is amended 
to read as follows:
	(A)  an entering undergraduate student for [at least three 
fourths of] a full course load for an entering undergraduate 
student, as determined by the coordinating board, not later than 
the 16th month after the date of the person's graduation from high 
school; or
	(B)  an entering student for [at least three-fourths of] a 
full course load for an undergraduate student as determined by the 
coordinating board, not later than the 12th month after the month 
the person receives an associate degree from an eligible 
institution;
	SECTION 3.  Section 56.305(a)(3), Education Code, is amended 
to read as follows:
		(3)  is enrolled for [at least three fourths] a full 
course load for an undergraduate student, as determined by the 
coordinating board;
	SECTION 4.  Section 56.304(f), Education Code, is amended to 
read as follows:
	(f)  A person's eligibility for a TEXAS Grant ends on the 
[sixth] fifth anniversary of the initial award of a TEXAS grant to 
the person and the person's enrollment in an eligible institution, 
unless the person is provided additional time during which the 
person may receive a TEXAS grant under this subsection.  The 
coordinating board shall adopt rules to provide a person who is 
otherwise eligible to receive a TEXAS grant in the event of a 
hardship or other good cause shown that prevents the person from 
continuing the person's enrollment during the period the person 
would otherwise have been eligible to receive a TEXAS grant, 
including a showing of a severe illness or other debilitating 
condition or that the person is or was responsible for the care of a 
sick, injured, or needy person.  This section applies to a new TEXAS 
grant recipients beginning on or after the 2003 fall semester.


COMMITTEE AMENDMENT NO. 2                                                By:  West


Amend HB 3209 by adding Sec. 56.3041 to read as follows and renumber 
accordingly:
	SECTION 1.  Subchapter M, Chapter 56, Education Code, as 
added by Chapter 1590, Acts of the 76th Legislature, Regular 
Session, 1999, is amended by adding Section 56.3041 to read as 
follows:
	Sec. 56.3041.  INITIAL ELIGIBILITY OF PERSON ON TRACK TO 
COMPLETE RECOMMENDED OR ADVANCED CURRICULUM.  (a)  If at the time 
an eligible institution awards TEXAS grants to initial recipients 
for an academic year an applicant has not completed high school or 
the applicant's final high school transcript is not yet available 
to the institution, the student is considered to have satisfied the 
requirements of Section 56.304(a)(2)(A) if the student's available 
high school transcript indicates that at the time the transcript 
was prepared the student was on schedule to graduate from high 
school and to complete the recommended or advanced high school 
curriculum or its equivalent, as applicable to the student, in time 
to be eligible for a TEXAS grant for the academic year.
	(b)  The coordinating board or the eligible institution may 
require the student to forgo or repay the amount of an initial TEXAS 
grant awarded to the student as described by Subsection (a) if the 
student fails to complete the recommended or advanced high school 
curriculum or its equivalent after the issuance of the available 
high school transcript.
	(c)  A person who is required to forgo or repay the amount of 
an initial TEXAS grant under Subsection (b) may become eligible to 
receive an initial TEXAS grant under Section 56.304 by satisfying 
the associate degree requirement prescribed by Section 
56.304(a)(2)(B) and the other applicable requirements of that 
section at the time the person reapplies for the grant.
	(d)  A person who receives an initial TEXAS grant under 
Subsection (a) and is not required to forgo or repay the amount of 
the grant under Subsection (b) may become eligible to receive a 
subsequent TEXAS grant under Section 56.305 only by satisfying the 
associate degree requirement prescribed by Section 56.304(a)(2)(B) 
in addition to the requirements of Section 56.305 at the time the 
person applies for the subsequent grant.
	SECTION 2.  Subsection (g), Section 56.305, Education Code, 
as added by Chapter 1590, Acts of the 76th Legislature, Regular 
Session, 1999, is amended to read as follows:
	(g)  The coordinating board shall adopt rules to allow a 
person who is otherwise eligible to receive a TEXAS grant, in the 
event of a hardship or for other good cause shown, including a 
showing of a severe illness or other debilitating condition that 
may affect the person's academic performance or that the person is 
responsible for the care of a sick, injured, or needy person and 
that the person's provision of care may affect the person's academic 
performance, to receive a TEXAS grant :
		(1)  while enrolled in a number of semester credit 
hours that is less than the number of semester credit hours required 
under Subsection (a)(3); or
		(2)  if the student's grade point average or completion 
rate falls below the satisfactory academic progress requirements of 
Subsection (e).  [The coordinating board may not allow a person to 
receive a TEXAS grant while enrolled in fewer than six semester 
credit hours.]
	SECTION 3.  Subsection (f), Section 56.307, Education Code, 
as added by Chapter 1590, Acts of the 76th Legislature, Regular 
Session, 1999, is amended to read as follows:
	(f)  The amount of a TEXAS grant may not be reduced by any 
gift aid for which the person receiving the grant is eligible, 
unless the total amount of a person's grant plus any gift aid 
received exceeds the student's financial need [total cost of 
attendance at an eligible institution].
	SECTION 4.  The change in law made by this Act relating to 
the eligibility of a person to receive a TEXAS grant applies 
beginning with students who demonstrate eligibility to receive a 
grant for the 2003-2004 academic year, to the extent TEXAS grants 
are awarded for that academic year after the effective date of this 
Act.
	SECTION 5.  Section 56.3041 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.

A BILL TO BE ENTITLED
AN ACT
relating to the amount of financial assistance a student may receive under the TEXAS grant and tuition equalization grant programs. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 56.307(h), Education Code, is amended to read as follows: (h) The total amount of grants that a student may receive in an academic year under this subchapter and under Section 61.221 may not exceed the total amount of tuition and required fees charged to the student for the academic periods for which one or more of the grants were awarded [maximum amount authorized under Section 61.227]. SECTION 2. The change in law made by this Act applies beginning with the 2003-2004 academic year. 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.
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