S.B. No. 1233
 
 
 
 
AN ACT
  relating to the general deposit paid by a student to a public
  institution of higher education.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subsection (a), Section 54.203, Education Code,
  is amended to read as follows:
         (a)  The governing board of each institution of higher
  education shall exempt the following persons from the payment of
  all dues, fees, and charges, including fees for correspondence
  courses but excluding general [property] deposit fees, student
  services fees, and any fees or charges for lodging, board, or
  clothing, provided the persons seeking the exemptions were citizens
  of Texas at the time they entered the services indicated and have
  resided in Texas for at least the period of 12 months before the
  date of registration:
               (1)  all nurses and honorably discharged members of the
  armed forces of the United States who served during the
  Spanish-American War or during World War I;
               (2)  all nurses, members of the Women's Army Auxiliary
  Corps, members of the Women's Auxiliary Volunteer Emergency
  Service, and all honorably discharged members of the armed forces
  of the United States who served during World War II except those who
  were discharged from service because they were over the age of 38 or
  because of a personal request on the part of the person that he be
  discharged from service;
               (3)  all honorably discharged men and women of the
  armed forces of the United States who served during the national
  emergency which began on June 27, 1950, and which is referred to as
  the Korean War; and
               (4)  all persons who were honorably discharged from the
  armed forces of the United States after serving on active military
  duty, excluding training, for more than 180 days and who served a
  portion of their active duty during:
                     (A)  the Cold War which began on the date of the
  termination of the national emergency cited in Subdivision (3) of
  this subsection;
                     (B)  the Vietnam era which began on December 21,
  1961, and ended on May 7, 1975;
                     (C)  the Grenada and Lebanon era which began on
  August 24, 1982, and ended on July 31, 1984;
                     (D)  the Panama era which began on December 20,
  1989, and ended on January 21, 1990;
                     (E)  the Persian Gulf War which began on August 2,
  1990, and ends on the date thereafter prescribed by Presidential
  proclamation or September 1, 1997, whichever occurs first;
                     (F)  the national emergency by reason of certain
  terrorist attacks that began on September 11, 2001; or
                     (G)  any future national emergency declared in
  accordance with federal law.
         SECTION 2.  Subsection (b), Section 54.204, Education Code,
  is amended to read as follows:
         (b)  The governing board of each institution of higher
  education shall exempt from the payment of all dues, fees, and
  charges any person whose parent is an eligible employee who has
  suffered an injury, resulting in death or disability, sustained in
  the line of duty according to the regulations and criteria then in
  effect governing the department or agency in which he was employed.
  The exemption does not apply to general [property] deposits or to
  fees or charges for lodging, board, or clothing.
         SECTION 3.  Subdivision (4), Subsection (a), Section 54.205,
  Education Code, is amended to read as follows:
               (4)  "Tuition fees" includes all dues, fees, and
  enrollment charges whatsoever for which exemptions may be lawfully
  made, including fees for correspondence courses, general
  [property] deposit fees, and student services fees, but does not
  include fees or charges for lodging, board, or clothing.
         SECTION 4.  The heading to Section 54.502, Education Code,
  is amended to read as follows:
         Sec. 54.502.  GENERAL [PROPERTY] DEPOSITS.
         SECTION 5.  Subsection (a), Section 54.502, Education Code,
  is amended to read as follows:
         (a)  An institution of higher education may collect a
  reasonable deposit in an amount not to exceed $100 from each student
  to insure the institution against any losses, damages, and breakage
  for which the student is responsible and to cover any other amounts
  owed by the student to the institution [in libraries and
  laboratories]. The institution shall return to the student the
  deposit, less any such amounts owed to the institution by the
  student.  The deposit must be returned within a reasonable period
  after the date of the student's withdrawal or graduation from the
  institution, not to exceed 180 days, that provides the institution
  with sufficient time to identify all amounts owed and to determine
  that the student does not intend to enroll at the institution in the
  semester or summer session immediately following the student's
  withdrawal or graduation or, if the student withdraws or graduates
  in the spring semester, in the next fall semester [The deposit shall
  be returned on the withdrawal or graduation of a student, less an
  amount necessary to cover any loss, damage, or breakage caused by
  the student].
         SECTION 6.  Subsection (a), Section 54.5021, Education Code,
  is amended to read as follows:
         (a)  The student deposit fund consists of the income from the
  investment or time deposits of general [property] deposits and of
  forfeited general [property] deposits. Any general [property]
  deposit which remains without call for refund for a period of four
  years from the date of last attendance of the student making the
  deposit shall be forfeited and become a part of the student deposit
  fund. This section does not [Nothing in this section shall be
  construed to] prohibit refund of any balance remaining in a general
  [property] deposit when made on proper demand and within the
  four-year limitation period. The governing board of the
  institution may require that no student withdraw the student's 
  [his] deposit until the student [he] has [been] graduated or has
  apparently withdrawn from school.
         SECTION 7.  Section 54.5022, Education Code, is amended to
  read as follows:
         Sec. 54.5022.  INVESTMENT OF GENERAL [PROPERTY] DEPOSITS.
  The governing board of each institution of higher education may
  invest the funds received as general [property] deposits authorized
  by [in] Section 54.502 [of this code] in the manner provided under
  either Section 51.003 or 51.0031 [of this code].
         SECTION 8.  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 hereby certify that S.B. No. 1233 passed the Senate on
  April 19, 2007, by the following vote: Yeas 31, Nays 0; and that
  the Senate concurred in House amendment on May 25, 2007, by the
  following vote: Yeas 30, Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1233 passed the House, with
  amendment, on May 23, 2007, by the following vote: Yeas 144,
  Nays 0, two present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor