| 1 | 1 | | 81R820 CAS-D |
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| 2 | 2 | | By: Dutton H.B. No. 898 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to limiting the tuition rates that certain public |
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| 8 | 8 | | institutions of higher education may charge to resident students. |
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| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 10 | 10 | | SECTION 1. Section 54.0513, Education Code, is amended by |
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| 11 | 11 | | amending Subsections (a) and (b) and adding Subsections (b-1) and |
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| 12 | 12 | | (b-2) to read as follows: |
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| 13 | 13 | | (a) In addition to amounts that a governing board of an |
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| 14 | 14 | | institution of higher education is authorized to charge as tuition |
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| 15 | 15 | | under the other provisions of this chapter, the governing board, |
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| 16 | 16 | | under the terms the governing board considers appropriate and |
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| 17 | 17 | | subject to Subsection (b), may charge any student an amount |
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| 18 | 18 | | designated as tuition that the governing board considers necessary |
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| 19 | 19 | | for the effective operation of the institution. |
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| 20 | 20 | | (b) A governing board may set a different tuition rate for |
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| 21 | 21 | | each program and course level offered by each institution of higher |
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| 22 | 22 | | education, except that for a program or course level for an academic |
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| 23 | 23 | | year a governing board may not set a resident tuition rate under |
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| 24 | 24 | | this section that, when combined with any other amount of tuition |
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| 25 | 25 | | the governing board charges under the other provisions of this |
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| 26 | 26 | | chapter, exceeds the rate determined by the Texas Higher Education |
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| 27 | 27 | | Coordinating Board to be the national average tuition rate for that |
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| 28 | 28 | | type of program or course level that public senior colleges and |
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| 29 | 29 | | universities of states other than this state charge to similarly |
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| 30 | 30 | | situated students who pay resident tuition. In determining a |
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| 31 | 31 | | national average tuition rate for a program or course level under |
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| 32 | 32 | | this subsection, the coordinating board shall use the resident |
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| 33 | 33 | | tuition rates in effect at appropriate institutions of other states |
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| 34 | 34 | | for the academic year in progress when the board makes the |
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| 35 | 35 | | determination and may use resident tuition rates from not fewer |
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| 36 | 36 | | than five states to the extent that the board determines that those |
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| 37 | 37 | | rates would fairly represent the national average tuition rate for |
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| 38 | 38 | | the program or course level. The coordinating board shall |
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| 39 | 39 | | determine the national average tuition rates to be used by |
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| 40 | 40 | | governing boards to set resident tuition rates for an academic year |
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| 41 | 41 | | and shall report those national rates to each appropriate |
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| 42 | 42 | | institution in this state not later than January 1 of the calendar |
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| 43 | 43 | | year in which that academic year begins, or as soon after that |
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| 44 | 44 | | January 1 as practicable. The coordinating board may adopt rules as |
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| 45 | 45 | | necessary to administer this subsection. |
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| 46 | 46 | | (b-1) For purposes of Subsection (b), students are |
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| 47 | 47 | | similarly situated if they share the same residency status, degree |
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| 48 | 48 | | program, course load, course level, tuition exemption status, and |
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| 49 | 49 | | other circumstances affecting the tuition charged to the student. |
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| 50 | 50 | | (b-2) Except as provided by Subsection (b), a [A] governing |
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| 51 | 51 | | board may set a different tuition rate under this section as the |
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| 52 | 52 | | governing board considers appropriate to increase graduation |
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| 53 | 53 | | rates, encourage efficient use of facilities, or enhance employee |
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| 54 | 54 | | performance. |
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| 55 | 55 | | SECTION 2. The changes in law made by this Act apply |
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| 56 | 56 | | beginning with tuition charged by a public institution of higher |
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| 57 | 57 | | education for the 2010-2011 academic year. Tuition charged by a |
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| 58 | 58 | | public institution of higher education for an academic year before |
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| 59 | 59 | | that academic year is covered by the law in effect immediately |
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| 60 | 60 | | before the effective date of this Act, and the former law is |
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| 61 | 61 | | continued in effect for that purpose. |
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| 62 | 62 | | SECTION 3. This Act takes effect immediately if it receives |
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| 63 | 63 | | a vote of two-thirds of all the members elected to each house, as |
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| 64 | 64 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 65 | 65 | | Act does not receive the vote necessary for immediate effect, this |
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| 66 | 66 | | Act takes effect September 1, 2009. |
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