By: Patrick S.B. No. 1304

(In the Senate - Filed March 3, 2009; March 17, 2009, read first time and referred to Committee on Higher Education; May 7, 2009, reported adversely, with favorable Committee Substitute by the following vote: Yeas 4, Nays 0; May 7, 2009, sent to printer.)

COMMITTEE SUBSTITUTE FOR S.B. No. 1304 By: Patrick

A BILL TO BE ENTITLED

AN ACT

relating to notice to students of a public institution of higher education of the required use of a portion of the tuition paid by the student to provide student financial aid.

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

SECTION 1. Subchapter B, Chapter 56, Education Code, is amended by adding Section 56.014 to read as follows:

Sec. 56.014. NOTICE TO STUDENTS REGARDING TUITION SET ASIDE FOR FINANCIAL ASSISTANCE. (a) An institution of higher education that is required by this subchapter to set aside a portion of the tuition paid by a student to provide financial assistance for students enrolled in the institution shall provide to each student of the institution who pays tuition from which a portion is required to be set aside for that purpose a notice of the amount of the tuition paid by the student that is required to be set aside.

(b) The institution shall provide the notice required by Subsection (a) to the student in a prominently printed statement:

(1) printed on or included with the student's tuition bill or billing statement, if the institution provides the student with a printed bill or billing statement for the payment of the student's tuition; or

(2) printed on or included with the student's tuition receipt, if the institution provides the student with a printed receipt evidencing the payment of the student's tuition.

(c) If the institution does not provide the student with a printed tuition bill, tuition billing statement, or tuition receipt for any semester or other academic term, the institution shall include the notice required by Subsection (a) for that semester or other term in a statement prominently displayed in an e-mail sent to the student. The notice may be included in any other e-mail sent to the student in connection with the student's tuition charges for that semester or other term.

(d) The Texas Higher Education Coordinating Board by rule shall prescribe minimum standards for the manner, form, and content of the notice required by this section.

SECTION 2. (a) Section 56.014, Education Code, as added by this Act, applies beginning with tuition charged for the 2010 spring semester.

(b) The Texas Higher Education Coordinating Board shall adopt the rules required by Section 56.014, Education Code, as added by this Act, as soon as practicable after the effective date of this Act. For that purpose, the coordinating board may adopt the initial rules in the manner provided by law for emergency rules.

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.

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