81R14522 KSD-D
 
  By: Branch H.B. No. 4222
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to limitations on increases in designated tuition charged
  by general academic teaching institutions and a biennial report to
  the legislature regarding the operational costs of those
  institutions.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 54.0513, Education Code, is amended by
  adding Subsections (g), (g-1), (g-2), (h), (i), (j), and (k) to read
  as follows:
         (g)  Except as provided by Subsection (j), the amount of
  tuition the governing board of a general academic teaching
  institution charges under this section to a student for an academic
  year may not exceed the total amount of tuition that the governing
  board would have charged under this section to a similarly situated
  student in the preceding academic year by more than the greater of:
               (1)  3.95 percent; or
               (2)  $280.
         (g-1)  Notwithstanding Subsection (g), for the 2010-2011
  academic year, the amount of tuition the governing board of a
  general academic teaching institution charges under this section to
  a student may not exceed the total amount of tuition that the
  governing board would have charged under this section to a
  similarly situated student in the 2008-2009 academic year by more
  than the greater of:
               (1)  3.95 percent; or
               (2)  $280.
         (g-2)  Subsection (j) applies to Subsection (g-1) in the same
  manner as Subsection (j) applies to Subsection (g).  This
  subsection and Subsection (g-1) expire September 1, 2011.
         (h)  For purposes of Subsection (g), 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 a student.
         (i)  Subsection (g) does not ensure that the designated
  tuition charged to an individual student will not increase by more
  than the limitation prescribed by that subsection based on a change
  in the student's residency status, degree program, course load,
  course level, tuition exemption status, or other circumstance
  affecting the amount of tuition charged to the student.
         (j)  The Texas Higher Education Coordinating Board shall
  adopt rules authorizing a general academic teaching institution to
  increase the amount of designated tuition charged to students by
  more than the limitation prescribed by Subsection (g) in the event
  of an emergency, as defined by the coordinating board for purposes
  of this subsection.
         (k)  In this section, "general academic teaching
  institution" has the meaning assigned by Section 61.003.
         SECTION 2.  Subchapter Z, Chapter 51, Education Code, is
  amended by adding Section 51.973 to read as follows:
         Sec. 51.973.  BIENNIAL REPORT BY LEGISLATIVE BUDGET BOARD
  REGARDING UNIVERSITY CORE OPERATIONAL COSTS. Not later than
  December 1 of each even-numbered year, the Legislative Budget Board
  shall submit to the senate finance committee, the house
  appropriations committee, and the standing committee of each house
  with primary jurisdiction over higher education, for consideration
  by the members of those committees in determining the amount of
  general revenue appropriations to general academic teaching
  institutions and tuition rates at those institutions, a report that
  includes:
               (1)  each general academic teaching institution's
  actual core operational costs for the current state fiscal biennium
  according to the institution's most recent annual financial
  reports; and
               (2)  the Legislative Budget Board's estimate of the
  core operational costs for the next state fiscal biennium for each
  general academic teaching institution, based on a methodology that:
                     (A)  projects for each year of the next biennium:
                           (i)  changes in student enrollment for each
  institution; and
                           (ii)  a rate of inflation; and
                     (B)  uses data from each institution's annual
  financial report regarding costs for instruction, academic
  support, institutional support, operations and maintenance of
  physical plants, and student services.
         SECTION 3.  Section 54.0513, Education Code, as amended by
  this Act, applies beginning with tuition charged by a general
  academic teaching institution for the 2010-2011 academic year.
  Tuition charged by a general academic teaching institution in an
  academic year before that academic year is covered by the law in
  effect before the effective date of this Act, and the former law is
  continued in effect for that purpose.
         SECTION 4.  The Texas Higher Education Coordinating Board
  shall adopt the rules required by Section 54.0513(j), Education
  Code, as added by this Act, as soon as practicable after this Act
  takes effect.
         SECTION 5.  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.