BILL ANALYSIS

C.S.H.B. 4149

By: Rose

Higher Education

Committee Report (Substituted)

BACKGROUND AND PURPOSE

In recent years, state appropriations to institutions of higher education, when adjusted for inflation, have remained flat or declined.  Tuition, on the other hand, has climbed continuously. At some institutions, state appropriations now are equal to or less than revenue from tuition and fees.

It is important that state appropriations for higher education do not remain stagnant, but it is also important that colleges and universities do as much as possible to contain costs without sacrificing excellence. 

C.S.H.B. 4149 requires the Texas Higher Education Coordinating Board to conduct a study to identify cost-saving measures in the management and operation of institutions of higher education and make recommendations to the 82nd Legislature.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

C.S.H.B. 4149 amends the Education Code to add a temporary provision, set to expire January 31, 2011, that requires the Texas Higher Education Coordinating Board to conduct a study to identify achievable cost-saving measures in the management and operation of higher education institutions.  The bill requires the board, not later than January 31, 2011, to report the results of the study to the governor, lieutenant governor, speaker of the house of representatives, and presiding officer for each legislative standing committee with primary jurisdiction over higher education. The bill requires the report to include the board's recommendations concerning cost-saving measures that are achievable at institutions of higher education and an estimate of the amount of money that would be saved during a five-year period through the implementation of each recommendation.

EFFECTIVE DATE

On passage, or, if the act does not receive the necessary vote, the act takes effect September 1, 2009.

COMPARISON OF ORIGINAL AND SUBSTITUTE

C.S.H.B. 4149 differs from the original by requiring the Texas Higher Education Coordinating Board to conduct a study to identify cost-saving measures in the management and operation of institutions of higher education, whereas the original requires the study to identify measures in the operations of the institutions.  The substitute removes a provision from the original requiring the study to include examination of potential cost savings relating to certain aspects of the operations, including facility use; staffing; delivery of instruction and other educational services; management practices; efforts to promote timely graduation; energy use; purchasing; and facility construction, acquisition, and maintenance.  The substitute requires the board to report the results of the study not later than January 31, 2011, rather than December 1, 2010, as in the original.