78R5129 JSA-D

By:  Shapiro                                                      S.B. No. 950



A BILL TO BE ENTITLED

AN ACT

relating to reimbursement by school districts for developmental 
courses or programs taken by certain former district students at 
certain public institutions of higher education.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subchapter Z, Chapter 29, Education Code, is 
amended by adding Section 29.910 to read as follows:
	Sec. 29.910.  REIMBURSEMENT FOR DEVELOPMENTAL COURSES OR 
PROGRAMS AT INSTITUTIONS OF HIGHER EDUCATION.  (a)  A school 
district in which a student attended high school for at least one 
school year and graduated from high school shall reimburse the 
eligible institution of higher education the student attends for 
the cost to the institution of a developmental course or program in 
English language arts or mathematics that the student is required 
to take under Section 51.306.  For purposes of this subsection, the 
cost to the institution does not include the amount of tuition and 
fees the student pays for the course.
	(b)  As soon as practicable after each term or semester, an 
eligible institution of higher education making a claim for 
reimbursement under this section shall notify the agency of the 
amount owed to the institution under this section from each school 
district the institution claims is required to make a reimbursement 
payment to the institution for that term or semester.  At least once 
each year, the agency shall notify each district of the total amount 
of reimbursement claimed from the district under this section.  For 
each student for whom an eligible institution of higher education 
is making a claim, the notice must identify:
		(1)  the student;                                                      
		(2)  the institution making a claim concerning that 
student;         
		(3)  each remedial course or program provided to the 
student; and    
		(4)  the amount claimed for the student.                               
	(c)  Not later than the 90th day after receiving the notice, 
a school district shall pay the amount claimed for each student to 
the agency or file a challenge with the agency of the amount claimed 
for one or more students.  The agency shall notify the appropriate 
eligible institution of higher education of a challenge and provide 
the institution with an opportunity to respond to the challenge.  
The agency shall determine the validity of each challenge and 
notify the district and the institution of the agency's 
determination.  If the agency determines that an amount of 
reimbursement is owed, the agency shall notify the district of the 
amount owed.  The district shall pay the amount to the agency not 
later than the 90th day after receiving the notice of the challenge 
determination.  A determination by the agency under this section is 
final and may not be appealed.  The agency shall establish a 
deadline for each action required by this section for which a 
deadline is not specified.
	(d)  If a school district does not make a reimbursement 
payment the district is required to make under this section, the 
commissioner shall withhold that amount from any amounts otherwise 
required by law to be paid by the state to the district.
	(e)  The commissioner may prescribe procedures by which a 
school district may authorize an amount of reimbursement the 
district is required to make under this section to be withheld by 
the commissioner from amounts otherwise required by law to be paid 
by the state to the district.  The deadlines provided by Subsection 
(c) for making a reimbursement payment do not apply to an amount 
withheld by the commissioner under this subsection.
	(f)  The agency shall deliver the reimbursement payments 
received from a school district under this section to the 
appropriate eligible institutions of higher education at the times 
determined by the agency, but not less than twice each year.
	(g)  The commissioner shall adopt rules necessary to 
implement this section, including rules for determining the cost to 
eligible institutions of higher education of developmental courses 
and programs and rules relating to verifying reimbursement amounts, 
determining challenges, and enforcing payment requirements.
	(h)  In this section:                                                   
		(1)  "Eligible institution of higher education" means a 
general academic teaching institution as defined by Section 61.003.
		(2)  "High school" includes grades 9 through 12.                       
	(i)  This section applies to reimbursement for a 
developmental course or program provided by an eligible institution 
of higher education beginning with developmental courses and 
programs conducted in the 2007-2008 academic year.  This subsection 
expires January 1, 2009.
	SECTION 2.  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.