BILL ANALYSIS

H.B. 437

By: Davis, John

Economic & Small Business Development

Committee Report (Unamended)

BACKGROUND AND PURPOSE

The Jobs and Education for Texans (JET) Grant Program was created to address the demand for skilled workers in Texas. Interested parties contend that the program has three main objectives: the purchase of technical training equipment for colleges in support of technical education programs, the allocation of money to nonprofit organizations to inform and support the pursuit of technical careers in high demand, and the distribution of funds to students pursuing a certificate or an associate's degree in a high-demand occupation. These parties assert that the purchase of training equipment for colleges is considered the most cost-efficient objective because equipment purchases assist larger numbers of students over an extended period of time. 

H.B. 437 eliminates the less cost-efficient objectives of the JET Grant Program and makes using funds for equipment purchases the program's primary purpose.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 437 repeals Education Code provisions authorizing the comptroller of public accounts, under the Jobs and Education for Texans (JET) Grant Program, to award a grant to a nonprofit organization for the development, support, or expansion of programs to prepare low-income students for careers in high-demand occupations and to award a scholarship to a public junior college or public technical institute student.  The bill repeals Government Code provisions relating to the establishment and administration of the Jobs and Education for Texans (JET) fund.

H.B. 437 authorizes a person receiving a scholarship or other financial assistance under the JET Grant Program before the bill's effective date for the 2013-2014 academic year to continue to receive the scholarship or other financial assistance until the person is no longer eligible for the scholarship or other assistance under the applicable law as it existed on January 1, 2013.

H.B. 437 repeals the following provisions of the Education Code:

· Section 134.001(1)

· Section 134.005

· Section 134.007

H.B. 437 repeals Subchapter O, Chapter 403, Government Code.

EFFECTIVE DATE

September 1, 2013.