LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION

April 7, 2009

TO:	Honorable Dan Branch, Chair, House Committee on Higher Education
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB4244 by Hochberg (Relating to resident tuition for competitive scholarship recipients.), As Introduced

Depending on the number of students who, under provisions of the bill, would no longer be granted a tuition waiver and whether they would choose to enroll, there could be an indeterminate fiscal impact to institutions of higher education.

Under provisions of the bill, a student who holds a certain scholarship and who is not a resident of Texas may be allowed by an institution to pay the fees and charges required of Texas residents without regard to the length of time the student has resided in Texas. Under current law, these students are entitled to pay the fees and charges required of Texas residents.

Until August 1, 2014, a student who was granted the waiver under current law and paid resident tuition in the 2009-2010 academic year would be entitled to continue to pay resident tuition as long as the student remains enrolled in the same certificate or degree program.

It is unknown whether institutions would continue to grant these waivers or whether students who would no longer receive waivers would enroll in Texas institutions.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

710 Texas A&M University System Administrative and General Offices, 720 The University of Texas System Administration, 758 Texas State University System, 781 Higher Education Coordinating Board, 783 University of Houston System Administration

LBB Staff:

JOB, KK, RT, GO, SSh