H.B. No. 589

AN ACT

relating to the student enrollment required for certain institutions of higher education to operate as general academic teaching institutions and to receive certain revenue.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 87.861(d), Education Code, is amended to read as follows:

(d) Notwithstanding any other provision of this subchapter, Texas A&M University--Central Texas may not operate as a general academic teaching institution until the Texas Higher Education Coordinating Board certifies that enrollment at the Tarleton State University System Center--Central Texas in Killeen has reached an enrollment equivalent of 1,000 full-time students for one semester or one academic year. In computing the full-time student enrollment equivalent for an academic year under this subsection, the coordinating board shall include all semester credit hours completed during the fall and spring semesters and the summer session of the academic year.

SECTION 2. Section 87.841(d), Education Code, is amended to read as follows:

(d) Notwithstanding any other provision of this subchapter, Texas A&M University--San Antonio may not operate as a general academic teaching institution until the Texas Higher Education Coordinating Board certifies that enrollment at the Texas A&M University--Kingsville System Center--San Antonio has reached an enrollment equivalent of 1,000 full-time students for one semester or one academic year. In computing the full-time student enrollment equivalent for an academic year under this subsection, the coordinating board shall include all semester credit hours completed during the fall and spring semesters and the summer session of the academic year[:

[(1) 1,000 full-time students for one semester if the legislature authorizes revenue bonds to be issued to finance educational and related facilities for the institution, and the bonds are issued for that purpose; or

[(2) 2,500 full-time students for one semester if the conditions specified by Subdivision (1) are not satisfied].

SECTION 3. Section 105.501(d), Education Code, is amended to read as follows:

(d) Notwithstanding any other provision of this subchapter, the University of North Texas at Dallas may operate as a general academic teaching institution with its own chief executive officer, administration, and faculty only after the Texas Higher Education Coordinating Board certifies that enrollment at the University of North Texas System Center at Dallas has reached an enrollment equivalent to 1,000 full-time students for one semester or one academic year. In computing the full-time student enrollment equivalent for an academic year under this subsection, the coordinating board shall include all semester credit hours completed during the fall and spring semesters and the summer session of the academic year. Until that enrollment level is reached, the board may operate a system center of the University of North Texas in the city of Dallas. [Prior to reaching 2,500 full-time equivalent students, the University of North Texas at Dallas may not receive general revenue in excess of the 2003 expended amount with the exception of funding provided through the General Academic Instruction and Operations Formula for semester credit hour increases and the Tuition Revenue Bond debt service for bonds approved in the 78th Legislature. The institution will not be eligible to receive the small school supplement in the General Academic Instruction and Operations Formula until it reaches 2,500 full-time equivalent student enrollment.]

SECTION 4. 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. 589 was passed by the House on April 23, 2007, by the following vote: Yeas 143, Nays 0, 1 present, not voting; and that the House concurred in Senate amendments to H.B. No. 589 on May 24, 2007, by the following vote: Yeas 143, Nays 0, 2 present, not voting.

______________________________ Chief Clerk of the House

I certify that H.B. No. 589 was passed by the Senate, with amendments, on May 22, 2007, by the following vote: Yeas 31, Nays 0.

______________________________ Secretary of the Senate APPROVED: __________________

Date

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Governor