82R7384 KSD-F
 
  By: Walle H.B. No. 1341
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the manner of payment of tuition and mandatory fees at
  public institutions of higher education.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 54.007, Education Code, is amended by
  amending Subsections (a), (b), (b-1), (c), (d), (e), (f), and (g)
  and adding Subsections (a-1) and (b-2) to read as follows:
         (a)  The governing board of each institution of higher
  education shall provide for the payment of tuition and mandatory
  fees for a semester or term of 10 weeks or longer [the fall and
  spring semesters] through one of the following alternatives:
               (1)  [except as provided by Subsection (b-1),] full
  payment of tuition and mandatory fees not later than the date
  established by the institution for purposes of this subdivision [in
  advance of the beginning of the semester]; or
               (2)  payment in installments under one or more payment
  plan options that require the first payment to be made not later
  than the date established by the institution for purposes of this
  subdivision [in advance of the beginning of the semester and the
  final payment to be made before the last day of the semester].
         (a-1)  In providing for the payment of tuition and mandatory
  fees by installment under Subsection (a)(2), an institution of
  higher education must also establish subsequent dates at periodic
  intervals within the applicable semester or term by which
  subsequent installment payments are due.
         (b)  For a term of less than 10 weeks, the [The] governing
  board of each institution of higher education:
               (1)  shall provide for the payment of tuition and
  mandatory fees by requiring [for a summer term through one of the
  following alternatives:
               [(1)  except as provided by Subsection (b-1),] full
  payment of tuition and mandatory fees not later than the date
  established by the institution for purposes of this subdivision [in
  advance of the beginning of the summer term]; and
               (2)  may provide for the payment of tuition and
  mandatory fees by requiring payment in installments under one or
  more payment plan options that require the first payment to be made
  not later than the date established by the institution for purposes
  of this subdivision [in advance of the beginning of the summer term
  and the final payment to be made before the last day of the term; or
               [(3)     for a student enrolled for a summer term in a
  public junior college, public technical institute, or public state
  college, one-half payment of tuition and fees in advance of the
  beginning of the summer term and the remaining amount in one or two
  later payments to be made in the percentages and by the dates
  determined by the governing board of the college or institute,
  provided that the final payment must be made before the beginning of
  the last week of the summer term].
         (b-1)  A date established by an institution of higher
  education for purposes of Subsection (a)(1), (a)(2), (b)(1), or
  (b)(2) may not be later than the date established by the Texas
  Higher Education Coordinating Board for certifying student
  enrollment for the semester or term for purposes of formula funding
  [A student who owes a balance of tuition and fees as a result of a
  change in the student's class schedule or who owes a balance of
  tuition and fees of less than $100 after making an insufficient
  payment of tuition and fees previously due shall pay the balance
  owed not later than the next payment date established by the
  governing board under a payment plan adopted under Subsection
  (a)(2) or (b)(2), as applicable].
         (b-2)  An institution of higher education may collect on a
  due date subsequent to a due date established under Subsection (a)
  or (b):
               (1)  unpaid tuition and mandatory fee balances
  resulting from an adjustment to a student's enrollment status or an
  administrative action; or
               (2)  unpaid residual balances of tuition and mandatory
  fees constituting less than five percent of the total amount of
  tuition and mandatory fees charged to the student by the
  institution for that semester or term.
         (c)  The governing board of an institution of higher
  education may assess and collect incidental fees for students
  utilizing the payment alternative authorized by Subsection (a)(2)
  or (b)(2) [and the alternatives authorized by Subsection (b)] and
  for students delinquent in payments. The fees must reasonably
  reflect the cost to the institution of handling those payments.
         (d)  A student who fails to make a full payment of the
  required amount of tuition and mandatory fees, including any
  incidental fees, by the applicable due date under this section may
  be prohibited from registering for classes until full payment is
  made. A student who fails to make full payment prior to the end of
  the semester or [summer] term may be denied credit for the work done
  that semester or term. The governing board of an institution of
  higher education may not impose on a student any sanction
  authorized by this subsection unless the governing board includes
  in any written or electronic agreement authorized by the student
  the following statement printed in bold-faced type or in capital
  letters: "A STUDENT WHO FAILS TO MAKE FULL PAYMENT OF TUITION AND
  MANDATORY FEES, INCLUDING ANY INCIDENTAL FEES, BY THE DUE DATE MAY
  BE PROHIBITED FROM REGISTERING FOR CLASSES UNTIL FULL PAYMENT IS
  MADE. A STUDENT WHO FAILS TO MAKE FULL PAYMENT PRIOR TO THE END OF
  THE SEMESTER OR TERM MAY BE DENIED CREDIT FOR THE WORK DONE THAT
  SEMESTER OR TERM." The governing board shall notify a student of
  any delinquent tuition or fee payment as soon as practicable. The
  institution's records may be adjusted to reflect the student's
  failure to have properly enrolled for that semester or term.
         (e)  In addition to other payment alternatives provided by
  this section, the governing board of a medical and dental unit or of
  a general academic teaching institution with a department or
  college of veterinary medicine may provide for the payment of
  tuition and mandatory fees at the unit or at the department or
  college of veterinary medicine during any academic year through a
  one-fourth payment of tuition and mandatory fees in advance of the
  beginning of the year and subsequent one-fourth payments of tuition
  and mandatory fees to be made at periods designated by the governing
  board. Subsection (b) [of this section] applies to tuition and
  mandatory fee payments under this subsection. In this subsection,
  "general academic teaching institution" and "medical and dental
  unit" have the meanings assigned by Section 61.003 [of this code].
         (f)  A student may elect to pay the tuition and mandatory
  fees of an institution of higher education by installment under
  this section regardless of whether the student intends to apply a
  financial aid award administered by the institution toward the
  tuition and mandatory fees, except that a student whose financial
  aid award or awards are available to cover the total amount of
  tuition and mandatory fees may not pay by installment under this
  section. On receipt of notice of a student's election to pay
  tuition and mandatory fees by installment, the governing board of
  the institution shall apply any financial aid award administered
  for the student toward the amount of tuition and mandatory fees due
  for that semester or term [summer session] until the tuition and
  mandatory fees are paid in full and shall immediately release any
  remaining amount of the award to the student, except that the
  institution is not required to apply the award or awards toward the
  total amount of tuition and mandatory fees in exigent circumstances
  as determined by the institution.
         (g)  The governing board of an institution of higher
  education shall require a student who elects to pay tuition and
  mandatory fees by installment under this section to enter into a
  written or electronic agreement reflecting the terms and conditions
  required by this section for the installment plan provided for the
  student by the governing board.
         SECTION 2.  Sections 54.0071(a), (b), (c), and (e),
  Education Code, are amended to read as follows:
         (a)  The governing board of an institution of higher
  education may postpone the due date for the payment of all or part
  of the tuition and mandatory fees for a student for a semester or
  term [summer session] in which the student will receive one or more
  delayed financial aid awards if:
               (1)  the student has not received the awards by the
  regular due date for payment of the tuition and mandatory fees; and
               (2)  the student agrees to assign to the institution a
  portion of the awards equal to the amount of tuition and mandatory
  fees for which the due date is postponed.
         (b)  A postponed due date under Subsection (a) applies only
  to the portion of tuition and mandatory fees to be covered by the
  student's delayed financial aid awards. When the financial aid
  awards become available, a governing board that postpones a due
  date under this section shall apply the awards toward the amount of
  tuition and mandatory fees due and immediately release any
  remaining amount of the awards to the student.
         (c)  If after the due date for a student's tuition and
  mandatory fees is postponed under this section the student becomes
  ineligible to receive one or more of the delayed financial aid
  awards, or the amount awarded is less than the amount of tuition and
  mandatory fees due, the governing board shall provide the student a
  reasonable period, not to exceed 30 days, to pay the unpaid amount
  of tuition and mandatory fees. The board may deny a student credit
  for work done in the semester or term [summer session] if the
  student fails to pay the tuition and mandatory fees by the end of
  that period.
         (e)  If a student with delayed financial aid awards has
  elected to pay tuition and mandatory fees by installment as
  permitted by Section 54.007 and if the governing board elects to
  postpone the due date for the student's tuition and mandatory fees
  as authorized by this section, the governing board in the manner
  provided by this section shall postpone the due date for each
  installment payment that becomes due before the student receives
  the awards.
         SECTION 3.  The changes in law made by this Act apply
  beginning with the payment of tuition and fees at a public
  institution of higher education for the 2011 fall semester.
         SECTION 4.  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, 2011.