81R1579 KEL-D

By: Ellis S.B. No. 154

A BILL TO BE ENTITLED

AN ACT

relating to the portion of designated tuition required to be set aside to provide student financial assistance at institutions of higher education.

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

SECTION 1. Section 56.011(a), Education Code, is amended to read as follows:

(a) The governing board of each institution of higher education shall cause to be set aside not less than 20 percent of any amount of tuition charged to a resident undergraduate student under Section 54.0513 in excess of $46 per semester credit hour. The funds set aside under this section by an institution shall be used to provide need-based financial assistance for resident undergraduate students enrolled in the institution.

SECTION 2. Section 56.012(a), Education Code, is amended to read as follows:

(a) The governing board of each institution of higher education shall cause to be set aside not less than 15 percent of any amount of tuition charged to a resident student enrolled in a graduate or professional degree program under Section 54.0513 in excess of $46 per semester credit hour. The funds set aside under this section by an institution shall be used to provide need-based financial assistance for resident students enrolled in graduate and professional degree programs at the institution.

SECTION 3. Section 56.465(a), Education Code, is amended to read as follows:

(a) The governing board of each institution of higher education shall cause to be set aside five percent of the amount of the tuition charged to a resident undergraduate student at the institution under Section 54.0513 in excess of $46 per semester credit hour. The amount of a student's tuition set aside under this subsection is in addition to [considered a part of] the amount required to be set aside from that tuition under Section 56.011.

SECTION 4. (a) The change in law made by this Act to Sections 56.011 and 56.012, Education Code, applies only to financial aid awarded for a semester or term that begins on or after the effective date of this Act, and does not affect a student's right to receive financial aid awarded before the effective date of this Act for any part of the 2009-2010 academic year.

(b) The change in law made by this Act to Section 56.465, Education Code, applies beginning with tuition paid for the 2009-2010 academic year. The change in law does not affect the amount of tuition set aside under that section for an academic period before the 2009-2010 academic year, and the former law is continued in effect for that purpose.

SECTION 5. This Act takes effect September 1, 2009.