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A BILL TO BE ENTITLED
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AN ACT
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relating to state auditing of institutions of higher education on |
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complying on certain uses of funds appropriated by the Legislature. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 51.3525, Education Code, is amended by |
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amending Subsection (g) and (h) to be read as follows: |
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(g) The state auditor shall periodically conduct a |
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compliance audit of each institution of higher education to |
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determine whether the institution has spent state moneyfunds |
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appropriated by the Legislature for the fiscal year in violation of |
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this section. The state auditor shall adopt a schedule by which the |
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state auditor will conduct compliance audits under this subsection. |
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The schedule must ensure that each institution of higher education |
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is audited at least once every four years. |
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(h) If the state auditor determines pursuant to a compliance |
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audit conducted under Subsection (g) that an institution of higher |
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education has spent state moneyfunds appropriated by the |
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Legislature for the fiscal year in violation of this section, the |
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institution: |
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(1) must cure the violation not later than the 180th |
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day after the date on which the determination is made; and |
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(2) if the institution fails to cure the violation |
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during the period described by Subdivision (1), is ineligible to |
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receive formula funding increases, institutional enhancements, or |
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exceptional items during the state fiscal biennium immediately |
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following the state fiscal biennium in which the determination is |
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made. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2025. |