79R143 KSD-D

By:  Gallego                                                      H.B. No. 2687



A BILL TO BE ENTITLED

AN ACT

relating to the rates of tuition charged to students of 
institutions of higher education.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Sections 54.0513(a) and (b), Education Code, are 
amended to read as follows:
	(a)  In addition to amounts that a governing board of an 
institution of higher education is authorized to charge as tuition 
under the other provisions of this chapter, the governing board[, 
under the terms the governing board considers appropriate,] may 
charge any student for an academic period an amount designated as 
tuition not to exceed the amount charged to the student under 
Section 54.051 or 54.0512, as applicable, for that academic period
[that the governing board considers necessary for the effective 
operation of the institution].
	(b)  Subject to the limit provided by Subsection (a) on the 
amount designated as tuition charged under this section, a [A] 
governing board may set a different tuition rate under this section
for each program and course level offered by each institution of 
higher education[.  A governing board may set a different tuition 
rate] as the governing board considers appropriate to increase 
graduation rates, encourage efficient use of facilities, [or] 
enhance employee performance, or further another legitimate 
purpose of the institution.
	SECTION 2.  Sections 54.0515(e) and (f), Education Code, are 
amended to read as follows:
	(e)  It is the legislature's intent that each institution of 
higher education[, as a condition to tuition deregulation under  
Section 54.0513,] reasonably implement the following:
		(1)  each institution shall make satisfactory progress 
towards the goals provided in its master plan for higher education 
and in "Closing the Gaps," the state's master plan for higher 
education; and
		(2)  each institution shall meet acceptable 
performance criteria, including measures such as graduation rates, 
retention rates, enrollment growth, educational quality, efforts 
to enhance minority participation, opportunities for financial 
aid, and affordability.
	(f)  The committee shall:                                                      
		(1)  meet at the call of either chair;                                        
		(2)  monitor and regularly report to the legislature on 
each institution of higher education's compliance with the 
requirements of Subsection (e); and
		(3)  receive and review information concerning the 
affordability and accessibility of higher education[, including 
the impact of tuition deregulation].
	SECTION 3.  Subchapter B, Chapter 56, Education Code, is 
repealed.           
	SECTION 4.  (a)  The changes in law made by this Act apply 
beginning with tuition charged by an institution of higher 
education for the 2005-2006 academic year.  Tuition charged by an 
institution of higher education in an academic year before that 
academic year is covered by the law in effect before the effective 
date of this Act, and the former law is continued in effect for that 
purpose.
	(b)  Tuition set aside under Subchapter B, Chapter 56, 
Education Code, before the 2005-2006 academic year that was not 
used as provided by that subchapter before that academic year shall 
be used as provided by that subchapter as it existed immediately 
before the effective date of this Act, and that subchapter is 
continued in effect for that purpose.
	SECTION 5.  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.