BILL ANALYSIS

Senate Research Center                                                                                                        S.B. 470

79R1649 CAS-D                                                                                                              By: Averitt

Finance

3/30/2005

As Filed

AUTHOR'S/SPONSOR'S STATEMENT OF INTENT

H.B. 3015, passed by the 78th Texas Legislature, Regular Session, 2003, allowed institutions of higher education to raise the designated tuition charged to undergraduate and graduate students.  The legislation included a provision that required institutions of higher education to set aside 20 percent of any amount of tuition charged to a resident undergraduate student in excess of $46 per semester credit hour and 15 percent of any amount of tuition charged to a resident graduate student in excess of $46 per semester credit hour to provide financial assistance to students. 

As proposed, S.B. 470 increases the percentage of the amount required to be set aside as the amount of the designated tuition increases.  The percentage is increased because as tuition is increased, the students will need more financial assistance.

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 Section 56.011, Education Code, by amending Subsection (a) and adding Subsection (a-1) as follows: 

(a)  Requires the governing body of an institution of higher education, rather than each institution of higher education, to cause to be set aside not less than certain percentages, rather than 20 percent, of any amount of tuition charged to a resident undergraduate student under Section 54.0513 in excess of $46 per semester credit hour.  Sets forth percentages charged based on amount of tuition per semester credit hour charged. 

(a-1) Created from existing text.

SECTION 2.  Amends Section 56.012, Education Code,  by amending Subsection (a) and adding Subsection (a-1) as follows: 

(a)  Requires the governing body of an institution of higher education, rather than each institution of higher education, to cause to be set aside not less than certain percentages, rather than 15 percent, of any amount of tuition charged to a resident undergraduate student under Section 54.0513 in excess of $46 per semester credit hour.  Sets forth percentages charged based on amount of tuition per semester credit hour charged. 

(a-1)  Created from existing text.

SECTION 3.  Makes the application of this Act prospective to the 2005 fall semester.

SECTION 4.  Effective date:  upon passage or September 1, 2005.