BILL ANALYSIS

Senate Research Center	S.B. 2029
88R13683 KJE-D	By: Creighton
	Subcommittee on Higher Education
	4/18/2023
	As Filed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

The Texas Innovative Adult Career Education (ACE) Grant Program, created in 2013 by H.B. �437, is a dedicated account in the general revenue fund created to provide grants to support workforce development programs in public institutions of higher education.� The ACE grant program is administered by the governing board of a junior college district designated by the Texas Higher Education Coordinating Board. The grant administrator administers ACE funds to provide grants to eligible nonprofit workforce intermediary and job training organizations and nonprofit organizations providing job training to veterans.� Austin Community College is the current grant administrator of ACE funds and has $4,332,000 in available funding for the ACE program.���������

The grant administrator is responsible for establishing a program advisory board, composed of members of philanthropic, education institution, and business employer communities to provide input and recommendations for the awarding of ACE grants.� ������

Grants under the ACE program may be awarded only to develop, support, or expand programs of nonprofit workforce intermediary and job training organizations to prepare low-income students or veterans to enter careers in high-demand and high-earning occupations.� To be eligible for a grant under the program, a nonprofit workforce intermediary and job training organization must provide to eligible low-income students or veterans, in partnership with institutions of higher education, job training and support services for students to ensure job placement. 

S.B. 2029 repeals the title of grant administrator of ACE funds and transfers the associated grant administrator responsibilities from Austin Community College to the Texas Higher Education Coordinating Board.� The bill also repeals the existing ACE grant program advisory board and transfers the associated responsibilities of the board to the Texas Higher Education Coordinating Board.

As proposed, S.B. 2029 amends current law relating to the administration of the Texas Innovative Adult Career Education (ACE) Grant Program by the Texas Higher Education Coordinating Board.

RULEMAKING AUTHORITY

Rulemaking authority previously granted to the Texas Innovative Adult Career Education Grant Program administrator is transferred to the Texas Higher Education Coordinating Board in SECTION 4 (Section 136.007, Education Code) of this bill.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 136.001, Education Code, by amending Subdivision (1) and adding Subdivision (1-a) to define "coordinating board" and make a nonsubstantive change.

SECTION 2. Amends Section 136.005(a), Education Code, to require the Texas Higher Education Coordinating Board (THECB), rather than the grant administrator, to establish and administer the Texas Innovative Adult Career Education (ACE) Grant Program (program) to provide grants to certain organizations.

SECTION 3. Amends Section 136.006, Education Code, as follows:

Sec. 136.006. ELIGIBLE ORGANIZATIONS. (a) Requires a nonprofit workforce intermediary and job training organization, to be eligible for a grant under the program, to:

(1) apply to THECB in the manner prescribed by THECB, rather than to the grant administrator in the manner prescribed by the grant administrator;

(2)-(3) makes no changes to these subdivisions;

(4) demonstrate to the satisfaction of THECB, rather than the program advisory board, that the organization's program has achieved or will achieve certain measures of success among program participants; and

(5) makes no changes to this subdivision.

(a-1)-(b) Makes conforming changes to these subsections.

SECTION 4. Amends Section 136.007, Education Code, as follows:

Sec. 136.007. RULES. Requires THECB, rather than the grant administrator, to adopt rules as necessary for the administration of Chapter 136 (Texas Innovative Adult Career Education Grant Program), including rules regarding eligibility, program tuition and fees, administrative costs, matching funds, and case management and other supports for the program, rather than in the manner provided by Chapter 2001 (Administrative Procedure), Government Code, for a state agency. Deletes existing text requiring the grant administrator, with recommendations of the program advisory board, to adopt rules regarding eligibility, program tuition and fees, administrative costs, matching funds, and case management and other supports for the program.

SECTION 5. Repealers: Sections 136.002 (Grant Administrator) and 136.004 (Program Advisory Board), Education Code.

Repealer: Section 136.005(a-1) (relating to requiring the grant administrator, in awarding grants under the program, to take into consideration the recommendations of the program advisory board), Education Code.

SECTION 6. Effective date: September 1, 2023.