H.B. No. 125
 
 
 
 
AN ACT
  relating to tuition and fee exemptions for the children of certain
  military personnel.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 54.203, Education Code, is amended by
  amending Subsections (b), (c), and (e) and adding Subsections (b-1)
  and (e-1) to read as follows:
         (b)  The exemptions provided for in Subsection (a) of this
  section also apply and inure to the benefit of:
               (1)  the children of members of the armed forces of the
  United States:
                     (A)  who are or were killed in action;
                     (B)  [,] who die or died while in service;
                     (C)  [,] who are missing in action;
                     (D)  [, or] whose death is documented to be
  directly caused by illness or injury connected with service in the
  armed forces of the United States; or
                     (E)  who became totally disabled for purposes of
  employability according to the disability ratings of the Department
  of Veterans Affairs as a result of a service-related injury; [,] and
               (2)  [to the benefit of] orphans or children of members
  of the Texas National Guard and the Texas Air National Guard who:
                     (A)  were killed since January 1, 1946, while on
  active duty either in the service of their state or the United
  States; or
                     (B)  are totally disabled for purposes of
  employability according to the disability ratings of the Department
  of Veterans Affairs, regardless of whether the members are eligible
  to receive disability benefits from the department, as a result of a
  service-related injury suffered since January 1, 1946, while on
  active duty either in the service of this state or the United
  States.
         (b-1)  To  [However, to] qualify for an [this] exemption
  under Subsection (b), a person must be a citizen of Texas and must
  have resided in the state for at least 12 months immediately
  preceding the date of the person's registration.
         (c)  A person may not receive [The] exemptions provided for
  by this section for more than [in Subsection (a) of this section
  shall not exceed] a cumulative total of 150 credit hours.
         (e)  The exemptions [exemption from fees] provided for by
  this section do [in Subsection (a) of this section does] not apply
  to a person who, [if] at the time of [his] registration, [he] is
  eligible for educational benefits under federal legislation [in
  effect at the time of his registration] if the value of those
  benefits is equal to or exceeds the value of the exemption. If the
  value of the federal benefits does not equal or exceed the value of
  the exemption, the [, except that the] person must first utilize the
  federal benefit, [for which he is eligible] and the combined amount
  of the federal benefit plus the amount of the exemption may [this
  waiver shall] not exceed the maximum value of the exemption
  [waiver]. A person is covered by the exemptions if the person's
  [his] right to benefits under federal legislation is extinguished
  at the time of [his] registration, except that a person is not
  eligible for an exemption from fees under this section if the
  person's right to benefits under federal legislation is
  extinguished because the person is in default of repayment of a loan
  made to the person under a federal program to provide or guarantee
  loans for educational purposes.
         (e-1)  A person is not eligible for an [the] exemption under
  this section if the person is in default on a loan made or
  guaranteed for educational purposes by the State of Texas.
         SECTION 2.  Section 54.203, Education Code, as amended by
  this Act, applies beginning with tuition and other fees charged for
  the first term or semester that begins after the effective date of
  this Act, but not earlier than the 2007 fall semester.  Tuition and
  other fees charged for an academic period before that term or
  semester are covered by the law in effect immediately before the
  effective date of this Act, and the former law is continued in
  effect for that purpose.
         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, 2007.
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
 
         I certify that H.B. No. 125 was passed by the House on March
  22, 2007, by the following vote:  Yeas 144, Nays 0, 1 present, not
  voting.
 
  ______________________________
  Chief Clerk of the House   
 
 
         I certify that H.B. No. 125 was passed by the Senate on May
  17, 2007, by the following vote:  Yeas 31, Nays 0.
 
  ______________________________
  Secretary of the Senate    
  APPROVED:  _____________________
                     Date          
   
            _____________________
                   Governor