Texas 2009 - 81st Regular

Texas Senate Bill SB194 Compare Versions

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Old	New	Differences
1	1	S.B. No. 194
2	2
3	3
4	4	AN ACT
5	5	relating to a prohibition against certain activities by a person
6	6	employed in the financial aid office of a public institution of
7	7	higher education or of a career school or college.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Subchapter Z, Chapter 51, Education Code, is
10	10	amended by adding Section 51.9645 to read as follows:
11	11	Sec. 51.9645. PROHIBITION AGAINST CERTAIN ACTIVITIES BY
12	12	FINANCIAL AID EMPLOYEES. (a) In this section:
13	13	(1) "Institution of higher education" has the meaning
14	14	assigned by Section 61.003.
15	15	(2) "Student loan" means a loan for which the loan
16	16	agreement requires that all or part of the loan proceeds be used to
17	17	assist a person in attending an institution of higher education or
18	18	other postsecondary institution.
19	19	(3) "Student loan lender" means a person whose primary
20	20	business is:
21	21	(A) making, brokering, arranging, or accepting
22	22	applications for student loans; or
23	23	(B) a combination of activities described by
24	24	Paragraph (A).
25	25	(b) A person employed by an institution of higher education
26	26	in the financial aid office of the institution may not:
27	27	(1) own stock or hold another ownership interest in a
28	28	student loan lender, other than through ownership of shares in a
29	29	publicly traded mutual fund or similar investment vehicle in which
30	30	the person does not exercise any discretion regarding the
31	31	investment of the assets of the fund or other investment vehicle; or
32	32	(2) solicit or accept any gift from a student loan
33	33	lender.
34	34	(c) A person who violates this section is subject to
35	35	dismissal or other appropriate disciplinary action.
36	36	SECTION 2. Subchapter F, Chapter 132, Education Code, is
37	37	amended by adding Section 132.158 to read as follows:
38	38	Sec. 132.158. PROHIBITION AGAINST CERTAIN ACTIVITIES BY
39	39	FINANCIAL AID EMPLOYEES. (a) In this section:
40	40	(1) "Student loan" means a loan for which the loan
41	41	agreement requires that all or part of the loan proceeds be used to
42	42	assist a person in attending an institution of higher education or
43	43	other postsecondary institution, including a career school or
44	44	college.
45	45	(2) "Student loan lender" means a person whose primary
46	46	business is:
47	47	(A) making, brokering, arranging, or accepting
48	48	applications for student loans; or
49	49	(B) a combination of activities described by
50	50	Paragraph (A).
51	51	(b) A person employed by a career school or college in the
52	52	financial aid office of the school or college may not:
53	53	(1) own stock or hold another ownership interest in a
54	54	student loan lender, other than through ownership of shares in a
55	55	publicly traded mutual fund or similar investment vehicle in which
56	56	the person does not exercise any discretion regarding the
57	57	investment of the assets of the fund or other investment vehicle; or
58	58	(2) solicit or accept any gift from a student loan
59	59	lender.
60	60	(c) A career school or college may not knowingly employ a
61	61	person who violates Subsection (b). If a career school or college
62	62	discovers that its employee is in violation of Subsection (b), the
63	63	school or college shall promptly take appropriate action to cure
64	64	the violation, including appropriate disciplinary action, based on
65	65	the severity of the violation and whether the violation was
66	66	inadvertent.
67	67	SECTION 3. This Act takes effect immediately if it receives
68	68	a vote of two-thirds of all the members elected to each house, as
69	69	provided by Section 39, Article III, Texas Constitution. If this
70	70	Act does not receive the vote necessary for immediate effect, this
71	71	Act takes effect September 1, 2009.
72	72	______________________________ ______________________________
73	73	President of the Senate Speaker of the House
74	74	I hereby certify that S.B. No. 194 passed the Senate on
75	75	April 2, 2009, by the following vote: Yeas 31, Nays 0; and that
76	76	the Senate concurred in House amendment on May 30, 2009, by the
77	77	following vote: Yeas 31, Nays 0.
78	78	______________________________
79	79	Secretary of the Senate
80	80	I hereby certify that S.B. No. 194 passed the House, with
81	81	amendment, on May 27, 2009, by the following vote: Yeas 148,
82	82	Nays 0, one present not voting.
83	83	______________________________
84	84	Chief Clerk of the House
85	85	Approved:
86	86	______________________________
87	87	Date
88	88	______________________________
89	89	Governor