83R5289 KEL-D
By: Eiland H.B. No. 2713
A BILL TO BE ENTITLED
AN ACT
relating to making auxiliary and institutional funds of a state
institution of higher education subject to legislative
appropriation.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The heading to Section 51.002, Education Code,
is amended to read as follows:
Sec. 51.002. TREATMENT OF INSTITUTIONAL FUNDS [SUBJECT TO
CONTROL].
SECTION 2. Section 51.002, Education Code, is amended by
amending Subsection (a) and adding Subsections (a-1) and (a-2) to
read as follows:
(a) The [governing board of each institution listed in
Section 51.001 of this code may retain control of the] following
sums of money collected at an [the] institution of higher education
are institutional funds for purposes of this subchapter [, subject
to Section 51.008 of this code]:
(1) student fees of all kinds;
(2) charges for use of rooms and dormitories;
(3) receipts from meals, cafes, and cafeterias;
(4) fees on deposit refundable to students under
certain conditions;
(5) receipts from school athletic activities;
(6) income from student publications and other student
activities;
(7) receipts from the sale of publication products and
miscellaneous supplies and equipment;
(8) [students' voluntary deposits of money for
safekeeping;
[(9)] all other fees and local or institutional funds
arising out of and by virtue of the educational activities,
research, or demonstrations carried on by the institution; and
(9) [(10)] donations and gifts to the institution.
(a-1) Institutional funds of an institution of higher
education other than a public junior college are subject to Section
51.008. Sections 51.003, 51.004, and 51.005 do not apply to those
funds.
(a-2) The governing board of a junior college district may
retain control of institutional funds collected at the public
junior college.
SECTION 3. Section 51.008(b), Education Code, is amended to
read as follows:
(b) The governing board of every state institution of higher
education shall deposit in the state treasury all cash receipts
accruing to any college or university under its control that may be
derived from all sources, including institutional funds and other
receipts from [except] auxiliary enterprises, noninstructional
services, agency, designated, and restricted funds, endowment and
other gift funds, student loan funds, and funds retained under
Chapter 145 [of this code], but not including funds appropriated or
distributed to the institution under Section 17 or 18, Article VII,
Texas Constitution [and Constitutional College Building Amendment
funds]. The comptroller is directed to credit such receipts
deposited by each such institution to a separate fund account for
the institution depositing the receipts, but [he] shall not be
required to keep separate accounts of types of funds deposited by
each institution. For the purpose of facilitating the transferring
of such institutional receipts to the state treasury, each
institution shall open in a local depository bank a clearing
account to which it shall deposit daily all such receipts, and
shall, not less often than every seven days, make remittances
therefrom to the comptroller of all except $500 of the total balance
in said clearing account, such remittances to be in the form of
checks drawn on the clearing account by the duly authorized
officers of the institution, and no disbursements other than
remittances to the state treasury shall be made from such clearing
account. All money so deposited in the state treasury shall be paid
out on warrants drawn by the comptroller as provided by law.
SECTION 4. The change in law made by this Act applies to
revenues of an institution of higher education collected or
received on or after the effective date of this Act.
SECTION 5. This Act takes effect September 1, 2013.