81R1159 CAS-D By: Guillen H.B. No. 215 A BILL TO BE ENTITLED AN ACT relating to limitations on increases in fees and designated tuition charged by public institutions of higher education. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter E, Chapter 54, Education Code, is amended by adding Section 54.5001 to read as follows: Sec. 54.5001. STUDENT APPROVAL REQUIRED FOR FEE INCREASE. Unless the law authorizing the imposition of a fee expressly provides that this section does not apply to the fee or that the fee may be increased without student approval at a student election, the governing board of an institution of higher education may not increase the amount of a fee charged under this subchapter unless the amount of the increase is approved by a majority vote of the students of the institution voting in a general student election called for that purpose. SECTION 2. Section 54.0513, Education Code, is amended by adding Subsections (g), (h), (i), (j), and (k) to read as follows: (g) The amount of tuition the governing board of an institution of higher education charges under this section to a student for an academic year may not exceed the total amount of tuition that the governing board would have charged under this section to a similarly situated student in the preceding academic year, as that amount is adjusted for each academic year for inflation as determined under Subsection (h). The governing board may not increase the amount of tuition charged under this section to a student more than once in any academic year. For purposes of this subsection, students are similarly situated if they share the same residency status, degree program, course load, course level, tuition exemption status, and other circumstances affecting the tuition charged to the student. (h) Not later than March 1 of each year, the Texas Higher Education Coordinating Board by rule shall determine the inflation rate to be used for purposes of Subsection (g) for the next academic year and shall certify that rate to the governing board of each institution of higher education. For purposes of Subsection (g), the inflation rate is the percentage increase, if any, as expressed in decimal form rounded to the nearest thousandth, in the consumer price index, as defined by Section 341.201, Finance Code, for the preceding calendar year as compared to the consumer price index for the year preceding that year. (i) The coordinating board may adopt rules as necessary to administer this section. (j) Notwithstanding Subsection (g), for the 2009-2010 academic year and the 2010-2011 academic year, the amount of tuition charged to a student under this section may not exceed the total amount of tuition that the institution would have charged under this section to a similarly situated student in the 2008-2009 academic year. For purposes of this subsection, students are similarly situated if they share the same residency status, degree program, course load, course level, tuition exemption status, and other circumstances affecting the tuition charged to the student. This subsection expires September 1, 2011. (k) If a student has paid an amount of tuition charged under this section for the 2009 fall semester in excess of the maximum amount permitted by this section, the institution, not later than January 1, 2010, shall refund to the student the excess amount of tuition paid. This subsection expires September 1, 2010. SECTION 3. (a) Section 54.5001, Education Code, as added by this Act, applies beginning with fee increases for the 2009 fall semester. (b) Section 54.0513, Education Code, as amended by this Act, applies beginning with tuition charged by public institutions of higher education for the 2009-2010 academic year. Tuition charged by an institution of higher education in an academic year before that academic year is covered by the law in effect before the effective date of this Act, and the former law is continued in effect for that purpose. (c) The Texas Higher Education Coordinating Board may adopt temporary rules under Section 54.0513(i), Education Code, as added by this Act, for the 2009-2010 academic year in the manner provided by law for the adoption of emergency rules. 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, 2009.