81R820 CAS-D
 
  By: Dutton H.B. No. 898
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to limiting the tuition rates that certain public
  institutions of higher education may charge to resident students.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 54.0513, Education Code, is amended by
  amending Subsections (a) and (b) and adding Subsections (b-1) and
  (b-2) 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 and
  subject to Subsection (b), may charge any student an amount
  designated as tuition that the governing board considers necessary
  for the effective operation of the institution.
         (b)  A governing board may set a different tuition rate for
  each program and course level offered by each institution of higher
  education, except that for a program or course level for an academic
  year a governing board may not set a resident tuition rate under
  this section that, when combined with any other amount of tuition
  the governing board charges under the other provisions of this
  chapter, exceeds the rate determined by the Texas Higher Education
  Coordinating Board to be the national average tuition rate for that
  type of program or course level that public senior colleges and
  universities of states other than this state charge to similarly
  situated students who pay resident tuition. In determining a
  national average tuition rate for a program or course level under
  this subsection, the coordinating board shall use the resident
  tuition rates in effect at appropriate institutions of other states
  for the academic year in progress when the board makes the
  determination and may use resident tuition rates from not fewer
  than five states to the extent that the board determines that those
  rates would fairly represent the national average tuition rate for
  the program or course level. The coordinating board shall
  determine the national average tuition rates to be used by
  governing boards to set resident tuition rates for an academic year
  and shall report those national rates to each appropriate
  institution in this state not later than January 1 of the calendar
  year in which that academic year begins, or as soon after that
  January 1 as practicable. The coordinating board may adopt rules as
  necessary to administer this subsection.
         (b-1)  For purposes of Subsection (b), students are
  similarly situated if they share the same residency status, degree
  program, course load, course level, tuition exemption status, and
  other circumstances affecting the tuition charged to the student.
         (b-2)  Except as provided by Subsection (b), a [A] governing
  board may set a different tuition rate under this section as the
  governing board considers appropriate to increase graduation
  rates, encourage efficient use of facilities, or enhance employee
  performance.
         SECTION 2.  The changes in law made by this Act apply
  beginning with tuition charged by a public institution of higher
  education for the 2010-2011 academic year. Tuition charged by a
  public institution of higher education for an academic year before
  that academic year is 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, 2009.