By: Ogden S.B. No. 80
A BILL TO BE ENTITLED
AN ACT
relating to authorizing the issuance of revenue bonds or other
obligations to fund capital projects at public institutions of
higher education.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter B, Chapter 55, Education Code, is
amended by adding Sections 55.1751, 55.1752, 55.1753, 55.1754,
55.1755, 55.1757, 55.1758, 55.1759, and 55.17591 to read as
follows:
Sec. 55.1751. THE TEXAS A&M UNIVERSITY SYSTEM; ADDITIONAL
BONDS. (a) In addition to the other authority granted by this
subchapter, the board of regents of The Texas A&M University System
may acquire, purchase, construct, improve, renovate, enlarge, or
equip facilities, including roads and related infrastructure, for
projects to be financed through the issuance of bonds in accordance
with this subchapter and in accordance with a systemwide revenue
financing program adopted by the board for the following
institutions not to exceed the following aggregate principal
amounts for the projects specified as follows:
(1) Tarleton State University System Center:
(A) Central Texas, $35 million for educational
facilities for the Tarleton State University System
Center--Central Texas at the location that may become Texas A&M
University--Central Texas;
(B) $10 million for the construction of nursing
facilities;
(2) Texas A&M University--Commerce, $20 million for a
music building;
(3) Texas A&M University--Corpus Christi, $14 million
to renovate the Utility Access Loop;
(4) Texas A&M University--Kingsville:
(A) $60 million for the System Center--San
Antonio for educational and related facilities at the location
proposed for Texas A&M University--San Antonio;
(B) $8 million for the Citrus Center Complex
Building; and
(C) $10 million for Wildlife Research
Facilities;
(5) The Texas A&M University System Health Science
Center;
(A) $35 million for a College of Medicine
Research Building and renovation of the Joe H. Reynolds Medical
Building; and
(B) $7.5 million to construct an addition to the
Baylor College of Dentistry Sciences Building;
(6) Texas A&M International University, $20 million to
construct a student success center; and
(7) Texas A&M University--Texarkana, $45 million to
construct four new buildings to complete Phase I of the Master Plan.
(b) The board may pledge irrevocably to the payment of bonds
authorized by this section all or any part of the revenue funds of
an institution, branch, or entity of The Texas A&M University
System, including student tuition charges. The amount of a pledge
made under this subsection may not be reduced or abrogated while the
bonds for which the pledge is made, or bonds issued to refund those
bonds, are outstanding.
(c) If sufficient funds are not available to the board to
meet its obligations under this section, the board may transfer
funds among institutions, branches, and entities of The Texas A&M
University 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.
Sec. 55.1752. THE UNIVERSITY OF TEXAS SYSTEM; ADDITIONAL
BONDS. (a) In addition to the other authority granted by this
subchapter, the board of regents of The University of Texas System
may acquire, purchase, construct, improve, renovate, enlarge, or
equip facilities, including roads and related infrastructure, for
projects to be financed through the issuance of bonds in accordance
with this subchapter and in accordance with a systemwide revenue
financing program adopted by the board for the following
institutions not to exceed the following aggregate principal
amounts for the projects specified as follows:
(1) The University of Texas at Arlington, $76.6
million for an engineering building;
(2) The University of Texas at Austin, $70 million to
construct a new Experimental Science Building and to renovate three
additional engineering facilities;
(3) The University of Texas at Brownsville, $33.8
million for the construction of general purpose classrooms and an
office building;
(4) The University of Texas at El Paso, $30 million for
the renovation of an academic building and the completion of shell
space in engineering and science buildings;
(5) The University of Texas of the Permian Basin, $26
million to construct a science and technology complex;
(6) The University of Texas at San Antonio, $45
million for an engineering building (phase II);
(7) The University of Texas at Tyler:
(A) $6 million for a Palestine campus;
(B) $31 million for construction of an additional
nine buildings and renovations of six buildings;
(8) The University of Texas -- Pan American:
(A) $3 million for Starr County Upper Level
center;
(B) $28.5 million to renovate Arts and Humanities
Building and Campus infrastructure and Construct and an addition to
the College of Business Administration Building;
(9) The University of Texas Medical Branch at
Galveston, $57 million for facilities for the National
Biocontainment Laboratory;
(10) The University of Texas Health Science Center at
Houston:
(A) $41 million for an adult stem cell research
center at the Texas Medical Center to conduct stem cell and related
biomedical research;
(B) $39 million for educational and related
facilities for The University of Texas Dental Branch; and
(C) $6 million for educational and related
facilities at the Brownsville Campus;
(11) The University of Texas Health Science Center at
San Antonio, $50 million for the South Texas Research Tower;
(12) The University of Texas Health Science Center at
Tyler, $20 million for an academic center;
(13) The University of Texas M. D. Anderson Cancer
Center, $12 million for the renovation of the Lutheran Pavilion
Patient Tower as an emergency center and renovations to the Main
Hospital Building; and
(14) The University of Texas Southwestern Medical
Center at Dallas, $37 million for the construction of the North
Campus Phase V.
(b) The legislature may not provide reimbursement for debt
service in connection with the bonds authorized in Subsections
(a)(2) and (a)(14).
(c) The board may pledge irrevocably to the payment of bonds
authorized by this section all or any part of the revenue funds of
an institution, branch, or entity of The University of Texas
System, including student tuition charges. The amount of a pledge
made under this subsection may not be reduced or abrogated while the
bonds for which the pledge is made, or bonds issued to refund those
bonds, are outstanding.
(d) If sufficient funds are not available to the board to
meet its obligations under this section, the board may 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.
Sec. 55.1753. UNIVERSITY OF HOUSTON SYSTEM; ADDITIONAL
BONDS. (a) In addition to the other authority granted by this
subchapter, the board of regents of the University of Houston
System may acquire, purchase, construct, improve, renovate,
enlarge, or equip facilities, including roads and related
infrastructure, for projects to be financed through the issuance of
bonds in accordance with this subchapter and in accordance with a
systemwide revenue financing program adopted by the board for the
following institutions not to exceed the following aggregate
principal amounts for the projects specified as follows:
(1) the University of Houston, $40 million to renovate
the Science and Research 1 building and the Fleming and Old Science
Buildings;
(2) the University of Houston--Downtown, $20 million
for a Classroom and Learning Resource Center building;
(3) the University of Houston--Victoria, $20 million
for educational and related facilities in Sugar Land; and
(4) the University of Houston--Clear Lake, $10 million
for educational and related facilities;
(b) The board may pledge irrevocably to the payment of bonds
authorized by this section all or any part of the revenue funds of
an institution, branch, or entity of the University of Houston
System, including student tuition charges. The amount of a pledge
made under this subsection may not be reduced or abrogated while the
bonds for which the pledge is made, or bonds issued to refund those
bonds, are outstanding.
(c) If sufficient funds are not available to the board to
meet its obligations under this section, the board may transfer
funds among institutions, branches, and entities of the University
of Houston 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.
Sec. 55.1754. TEXAS STATE UNIVERSITY SYSTEM; ADDITIONAL
BONDS. (a) In addition to the other authority granted by this
subchapter, the board of regents of the Texas State University
System may acquire, purchase, construct, improve, renovate,
enlarge, or equip facilities, including roads and related
infrastructure, for projects to be financed through the issuance of
bonds in accordance with this subchapter and in accordance with a
systemwide revenue financing program adopted by the board for the
following institutions not to exceed the following aggregate
principal amounts for the projects specified as follows:
(1) Lamar University, $25 million for renovations and
construction of educational and related facilities to update the
institution's campus master plan;
(2) Lamar Institute of Technology, $3 million for the
renovation of educational and related facilities and for chilled
water facilities;
(3) Lamar State College--Orange, $2,500,000 for the
purchase and renovation of the Hibernia Bank facilities and the
renovation of the Green Avenue Building;
(4) Lamar State College--Port Arthur, $2,500,000 for a
computer/learning resource center and a campus center plant; and
(5) Texas State University--San Marcos:
(A) $30 million for an undergraduate academic
center; and
(B) $40 million for the Round Rock Higher
Education Center (Phase II); and
(6) Sam Houston State University, $10 million to
construct the Woodlands academic center.
(b) The board may pledge irrevocably to the payment of bonds
authorized by this section all or any part of the revenue funds of
an institution, branch, or entity of the Texas State University
System, including student tuition charges. The amount of a pledge
made under this subsection may not be reduced or abrogated while the
bonds for which the pledge is made, or bonds issued to refund those
bonds, are outstanding.
(c) If sufficient funds are not available to the board to
meet its obligations under this section, the board may transfer
funds among institutions, branches, and entities of the Texas State
University 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.
Sec. 55.1755. UNIVERSITY OF NORTH TEXAS SYSTEM; ADDITIONAL
BONDS. (a) In addition to the other authority granted by this
subchapter, the board of regents of the University of North Texas
System may acquire, purchase, construct, improve, renovate,
enlarge, or equip facilities, including roads and related
infrastructure, for projects to be financed through the issuance of
bonds in accordance with this subchapter and in accordance with a
systemwide revenue financing program adopted by the board for the
following institutions not to exceed the following aggregate
principal amounts for the projects specified as follows:
(1) the University of North Texas, $45 million for a
College of Business Administration building;
(2) the University of North Texas Health Science
Center at Fort Worth, $30 million for the purchase of property for,
and the construction of, educational and related facilities; and
(3) the University of North Texas System, $10 million
for the South Dallas campus.
(b) The board may pledge irrevocably to the payment of bonds
authorized by this section all or any part of the revenue funds of
an institution, branch, or entity of the University of North Texas
System, including student tuition charges. The amount of a pledge
made under this subsection may not be reduced or abrogated while the
bonds for which the pledge is made, or bonds issued to refund those
bonds, are outstanding.
(c) If sufficient funds are not available to the board to
meet its obligations under this section, the board may transfer
funds among institutions, branches, and entities of the University
of North 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.
Sec. 55.1757. MIDWESTERN STATE UNIVERSITY; ADDITIONAL
BONDS. (a) In addition to the other authority granted by this
subchapter, the board of regents of Midwestern State University may
issue bonds in accordance with this subchapter in an aggregate
principal amount not to exceed $10 million to finance the
renovation of campus facilities and utility infrastructure.
(b) The board may pledge irrevocably to the payment of bonds
authorized by this section all or any part of the revenue funds of
Midwestern State University, including student tuition charges.
The amount of a pledge made under this subsection may not be reduced
or abrogated while the bonds for which the pledge is made, or bonds
issued to refund those bonds, are outstanding.
Sec. 55.1758. STEPHEN F. AUSTIN UNIVERSITY. (a) In
addition to the other authority granted by this subchapter, the
board of regents of Stephen F. Austin State University may issue
bonds in accordance with this subchapter in an aggregate principal
amount not to exceed $20 million to finance the renovation of the
Chemistry Building, Science Research Center, the Boynton
facilities and the Theatre.
(b) The board may pledge irrevocably to the payment of bonds
authorized by this section all or any part of the revenue funds of
Stephen F. Austin State University, including student tuition
charges. The amount of a pledge made under this subsection may not
be reduced or abrogated while the bonds for which the pledge is
made, or bonds issued to refund those bonds, are outstanding.
Sec. 55.1759. TEXAS TECH UNIVERSITY SYSTEM; ADDITIONAL
BONDS. (a) In addition to the other authority granted by this
subchapter, the board of regents of the Texas Tech University
System may acquire, purchase, construct, improve, renovate,
enlarge, or equip facilities, including roads and related
infrastructure, for projects to be financed through the issuance of
bonds in accordance with this subchapter and in accordance with a
systemwide revenue financing program adopted by the board not to
exceed the following aggregate principal amounts for the projects
specified as follows:
(1) Texas Tech University Health Sciences Center,
$13.5 million for educational and related facilities in the city of
Midland for the Permian Basin OB-GYN residency program; and
(2) Texas Tech University:
(A) $50 million for a College of Business
building and renovations of existing space; and
(B) $6 million for the construction of an
addition for the School of Law.
(b) The board may pledge irrevocably to the payment of bonds
authorized by this section all or any part of the revenue funds of
an institution, branch, or entity of the Texas Tech University
System, including student tuition charges. The amount of a pledge
made under this subsection may not be reduced or abrogated while the
bonds for which the pledge is made, or bonds issued to refund those
bonds, are outstanding.
(c) If sufficient funds are not available to the board to
meet its obligations under this section, the board may transfer
funds among institutions, branches, and entities of the Texas Tech
University 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.
Sec. 55.17591. TEXAS SOUTHERN UNIVERSITY; ADDITIONAL BONDS.
(a) In addition to the other authority granted by this subchapter,
the board of regents of Texas Southern University may acquire,
purchase, construct, improve, renovate, enlarge, or equip
facilities, including roads and related infrastructure, for the
Acres Home satellite campus, to be financed through the issuance of
bonds in accordance with this subchapter in an aggregate principal
amount not to exceed $30 million.
(b) The board may pledge irrevocably to the payment of bonds
authorized by this section all or any part of the revenue funds of
Texas Southern University, including student tuition charges. The
amount of a pledge made under this subsection may not be reduced or
abrogated while the bonds for which the pledge is made, or bonds
issued to refund those bonds, are outstanding.
SECTION 2. Section 61.0572(e), Education Code, is amended
to read as follows:
(e) Approval of the board is not required to acquire real
property that is financed by bonds issued under Section 55.17(e)(3)
or (4), 55.1713–55.1718, 55.1721–55.1728, 55.1735(a)(1), 55.174,
55.1742, 55.1743, [or] 55.1744, or 55.1751–55.17591 except that the
board shall review all real property to be financed by bonds issued
under those sections to determine whether the property meets the
standards adopted by the board for cost, efficiency, and space use.
If the property does not meet those standards, the board shall
notify the governor, the lieutenant governor, the speaker of the
house of representatives, and the Legislative Budget Board.
SECTION 3. Section 61.058(b), Education Code, is amended to
read as follows:
(b) This section does not apply to construction, repair, or
rehabilitation financed by bonds issued under Section 55.17(e)(3)
or (4), 55.1713–55.1718, 55.1721–55.1728, 55.174, 55.1742,
55.1743, [or] 55.1744, or 55.1751–55.17591, except that the board
shall review all construction, repair, or rehabilitation to be
financed by bonds issued under those sections to determine whether
the construction, rehabilitation, or repair meets the standards
adopted by board rule for cost, efficiency, and space use. If the
construction, rehabilitation, or repair does not meet those
standards, the board shall notify the governor, the lieutenant
governor, the speaker of the house of representatives, and the
Legislative Budget Board.
SECTION 4. Subchapter B, Chapter 55, Education Code, is
amended by adding Section 55.161 to read as follows:
Sec. 55.161. LIMITATION ON STATE REIMBURSEMENT FOR DEBT
SERVICE ON CERTAIN BONDS. Beginning September 1, 2007,
reimbursement by this state from general revenue for debt service
on bonds issued under Sections 55.1751, 55.1752(a)(1),
55.1752(a)(3)-(13), 55.1753, 55.1754, 55.1755, 55.1557, 55.1758,
55.1759 and 55.17591, may not exceed 60 percent of the amount of the
debt service for as long as the bonds are outstanding, unless the
legislature determines that the limitation would impose an
unreasonable hardship for an affected university system or
institution of higher education.
SECTION 5. Upon passage of this Act, the funds appropriated
by Senate Bill 1, 79th Legislature, in Article IX, Section 14.55,
shall be transferred to the Texas Tech Health Science Center to be
used for expansion of medical education.
SECTION 6. 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, 2005.