S.B. No. 1158
AN ACT
relating to higher education for veterans and their families.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 54.341, Education Code, is amended by
amending Subsections (a-2), (b), (d), (h), (i), (k), (k-1), (l),
(m), and (n) and adding Subsections (a-4) and (o) to read as
follows:
(a-2) The exemptions provided for in Subsection (a) also
apply to the spouse of:
(1) a member of the armed forces of the United States:
(A) who was killed in action;
(B) who died while in service;
(C) who is missing in action;
(D) whose death is documented to be directly
caused by illness or injury connected with service in the armed
forces of the United States; or
(E) who became totally and permanently disabled
or meets the eligibility requirements for individual
unemployability [for purposes of employability] according to the
disability ratings of the Department of Veterans Affairs as a
result of a service-related injury; or
(2) a member of the Texas National Guard or the Texas
Air National Guard who:
(A) was killed since January 1, 1946, while on
active duty either in the service of this state or the United
States; or
(B) is totally and permanently disabled or meets
the eligibility requirements for individual unemployability [for
purposes of employability] according to the disability ratings of
the Department of Veterans Affairs, regardless of whether the
member is eligible to receive disability benefits from the
department, as a result of a service-related injury suffered since
January 1, 1946, while on active duty either in the service of this
state or the United States.
(a-4) A person who before the 2014-2015 academic year
received an exemption under this section continues to be eligible
for the exemption provided by this section as this section existed
on January 1, 2013.
(b) The exemptions provided for in Subsection (a) also apply
to:
(1) the children of members of the armed forces of the
United States:
(A) who are or were killed in action;
(B) who die or died while in service;
(C) who are missing in action;
(D) whose death is documented to be directly
caused by illness or injury connected with service in the armed
forces of the United States; or
(E) who became totally and permanently disabled
or meet the eligibility requirements for individual
unemployability [for purposes of employability] according to the
disability ratings of the Department of Veterans Affairs as a
result of a service-related injury; and
(2) the children of members of the Texas National
Guard and the Texas Air National Guard who:
(A) were killed since January 1, 1946, while on
active duty either in the service of their state or the United
States; or
(B) are totally and permanently disabled or meet
the eligibility requirements for individual unemployability [for
purposes of employability] according to the disability ratings of
the Department of Veterans Affairs, regardless of whether the
members are eligible to receive disability benefits from the
department, as a result of a service-related injury suffered since
January 1, 1946, while on active duty either in the service of this
state or the United States.
(d) The governing board of each institution of higher
education granting an exemption under this section shall require
each applicant claiming the exemption to submit to the institution,
in the form and manner prescribed by the Texas Veterans Commission
for purposes of this section under Section 434.0079(b), Government
Code, an application for the exemption and necessary [satisfactory]
evidence that the applicant qualifies for the exemption not later
than the last class date of the semester or term to which the
exemption applies, except that the governing board may encourage
the submission of an application and evidence by the official day of
record for the semester or term to which the exemption applies on
which the institution must determine the enrollment that is
reported to the Texas Higher Education Coordinating Board [one year
after the earlier of the date the institution:
[(1) provides written notice to the applicant of the
applicant's eligibility for the exemption; or
[(2) receives a written acknowledgement from the
applicant evidencing the applicant's awareness of the applicant's
eligibility for the exemption].
(h) The governing board of each institution of higher
education shall electronically report to the Texas Veterans
Commission [Higher Education Coordinating Board] the information
required by Section 434.00791, Government Code, [61.0516] relating
to each individual receiving an exemption from fees and charges
under Subsection (a), (a-2), [or] (b), or (k). The institution
shall report the information not later than January 31 [December
31] of each year for the fall semester, June 30 [May 31] of each year
for the spring semester, and September 30 of each year for the
summer session.
(i) The Texas Veterans Commission [Texas Higher Education
Coordinating Board] may adopt rules to provide for the efficient
and uniform application of this section. In developing rules under
this subsection, the commission shall consult with the Texas Higher
Education Coordinating Board and institutions of higher education.
(k) The Texas Veterans Commission [Higher Education
Coordinating Board] by rule shall prescribe procedures to allow:
(1) a person who becomes eligible for an exemption
provided by Subsection (a) to waive the person's right to any unused
portion of the [maximum] number of cumulative credit hours for
which the person could receive the exemption and assign the
exemption for the unused portion of those credit hours to a child of
the person; and
(2) following the death of a person who becomes
eligible for an exemption provided by Subsection (a), the
assignment of the exemption for the unused portion of the credit
hours to a child of the person, to be made by the person's spouse or
by the conservator, guardian, custodian, or other legally
designated caretaker of the child, if the child does not otherwise
qualify for an exemption under Subsection (b).
(k-1) The procedures under Subsection (k) must provide:
(1) the manner in which a person may waive the
exemption;
(2) the manner in which a child may be designated to
receive the exemption;
(3) a procedure permitting the designation of a
different child to receive the exemption if the child previously
designated to receive the exemption did not use the exemption under
this section for all of the assigned portion of credit hours; [and]
(4) a method of documentation to enable institutions
of higher education to determine the eligibility of the designated
child to receive the exemption; and
(5) a procedure permitting a person who waived the
exemption and designated a child to receive the exemption to revoke
that designation as to any unused portion of the assigned credit
hours.
(l) To be eligible to receive an exemption under Subsection
(k), the child must:
(1) be a student who is classified as a resident under
Subchapter B when the child enrolls in an institution of higher
education; [and]
(2) as a graduate or undergraduate student, maintain a
grade point average that satisfies the grade point average
requirement for making [make] satisfactory academic progress in a
degree, certificate, or continuing education program as determined
by the institution at which the child is enrolled in accordance with
the institution's policy regarding eligibility for [of the
institution's] financial aid; and
(3) be 25 years of age or younger on the first day of
the semester or other academic term for which the exemption is
claimed [department, except that the institution may not require
the child to enroll in a minimum course load].
(m) For purposes of this section, a person is the child of
another person if [the person is 25 years of age or younger on the
first day of the semester or other academic term for which the
exemption is claimed and]:
(1) the person is the stepchild or the biological or
adopted child of the other person; or
(2) the other person claimed the person as a dependent
on a federal income tax return filed for the preceding year or will
claim the person as a dependent on a federal income tax return for
the current year.
(n) The Texas Veterans Commission [Higher Education
Coordinating Board] by rule shall prescribe procedures by which a
child assigned an exemption under Subsection (k) who suffered from
a severe illness or other debilitating condition that affected the
child's ability to use the exemption before reaching the age
described by Subsection (l)(3) [(m)] may be granted additional time
to use the exemption corresponding to the time the child was unable
to use the exemption because of the illness or condition.
(o) The Texas Higher Education Coordinating Board and the
Texas Veterans Commission shall coordinate to provide each
respective agency with any information required to ensure the
proper administration of this section and the proper execution of
each agency's statutory responsibilities concerning this section.
SECTION 2. Subchapter D, Chapter 54, Education Code, is
amended by adding Section 54.3411 to read as follows:
Sec. 54.3411. PERMANENT FUND SUPPORTING MILITARY AND
VETERANS EXEMPTIONS. (a) In this section, "trust company" means
the Texas Treasury Safekeeping Trust Company.
(b) The permanent fund supporting military and veterans
exemptions is a special fund in the treasury outside the general
revenue fund. The fund is composed of:
(1) money transferred or appropriated to the fund by
the legislature;
(2) gifts and grants contributed to the fund; and
(3) the returns received from investment of money in
the fund.
(c) The trust company shall administer the fund. The trust
company shall determine the amount available for distribution from
the fund, determined in accordance with a distribution policy that
is adopted by the comptroller and designed to preserve the
purchasing power of the fund's assets and to provide a stable and
predictable stream of annual distributions. Expenses of managing
the fund's assets shall be paid from the fund. Except as provided
by this section, money in the fund may not be used for any purpose.
Sections 403.095 and 404.071, Government Code, do not apply to the
fund.
(d) In managing the assets of the fund, through procedures
and subject to restrictions the trust company considers
appropriate, the trust company may acquire, exchange, sell,
supervise, manage, or retain any kind of investment that a prudent
investor, exercising reasonable care, skill, and caution, would
acquire or retain in light of the purposes, terms, distribution
requirements, and other circumstances of the fund then prevailing,
taking into consideration the investment of all the assets of the
fund rather than a single investment.
(e) The amount available for distribution from the fund may
be appropriated only to offset the cost to institutions of higher
education of the exemptions required by Section 54.341(k). The
amount appropriated shall be distributed to eligible institutions
in proportion to each institution's respective share of the
aggregate cost to all institutions of the exemptions required by
Section 54.341(k), as determined by the Legislative Budget Board.
The amount appropriated shall be distributed annually to each
eligible institution of higher education.
(f) The governing board of an institution of higher
education entitled to receive money under this section may solicit
and accept gifts and grants to the fund. A gift or grant to the fund
must be distributed and appropriated for the purposes of the fund,
subject to any limitation or requirement placed on the gift or grant
by the donor or granting entity.
SECTION 3. Subchapter A, Chapter 434, Government Code, is
amended by adding Section 434.0079 to read as follows:
Sec. 434.0079. DUTIES REGARDING CERTAIN TUITION AND FEE
EXEMPTIONS FOR VETERANS AND FAMILY MEMBERS. (a) The commission,
through its veteran education program, shall assist veterans and
their family members in claiming and qualifying for exemptions from
the payment of tuition and fees at institutions of higher education
under Section 54.341, Education Code.
(b) The commission shall establish the application and
necessary evidence requirements for a person to claim an exemption
under Section 54.341, Education Code, at an institution of higher
education.
(c) The commission shall adopt rules governing the
coordination of federal and state benefits of a person eligible to
receive an exemption under Section 54.341(k), Education Code,
including rules governing:
(1) the total number of credit hours assigned under
that section that a person may apply to an individual degree or
certificate program, consistent with the standards of the
appropriate recognized regional accrediting agency; and
(2) the application of the assigned exemption to
credit hours for which the institution of higher education does not
receive state funding.
SECTION 4. Section 61.0516, Education Code, is transferred
to Subchapter A, Chapter 434, Government Code, redesignated as
Section 434.00791, Government Code, and amended to read as follows:
Sec. 434.00791 [61.0516]. ELECTRONIC SYSTEM TO MONITOR
TUITION EXEMPTIONS FOR VETERANS AND FAMILY MEMBERS [DEPENDENTS].
(a) In this section, "institution of higher education" has the
meaning assigned by Section 61.003, Education Code.
(b) The commission [board] shall ensure [develop] a system
to electronically monitor the use of tuition and fee exemptions at
institutions of higher education under Section 54.341, Education
Code, is developed. The system must allow the commission [board] to
electronically receive, for each semester, the following
information from institutions of higher education:
(1) the name of the institution;
(2) the name, identification number, and date of birth
of each individual attending the institution and receiving benefits
for the semester under Section 54.341, Education Code;
(3) for each individual receiving benefits, the number
of credit hours for which the individual received an exemption for
the semester;
(4) for each individual receiving benefits at the
institution during the semester, the total cumulative number of
credit hours for which the individual has received an exemption at
the institution; and
(5) any other information required by the commission
[board].
(c) Not later than January 1, 2014, the Texas Higher
Education Coordinating Board, under an agreement with the
commission, shall provide access to the system developed by the
coordinating board that meets the requirements of this section.
This subsection expires September 1, 2015.
SECTION 5. Chapter 434, Government Code, is amended by
adding Subchapters F and G to read as follows:
SUBCHAPTER F. VETERAN EDUCATION EXCELLENCE RECOGNITION AWARD
NETWORK
Sec. 434.251. DEFINITIONS. In this subchapter:
(1) "Commission" means the Texas Veterans Commission.
(2) "Institution of higher education" has the meaning
assigned by Section 61.003, Education Code.
Sec. 434.252. VETERAN EDUCATION EXCELLENCE RECOGNITION
AWARD NETWORK. (a) The commission by rule shall establish an
award program under which institutions of higher education may
receive recognition from the commission for excellence in providing
education and related services to veterans.
(b) For purposes of receiving an award under Subsection (a),
the commission shall evaluate an institution of higher education
regarding, as applicable, the existence and quality at the
institution of:
(1) a centralized place for students who are veterans
to meet or find assistance and information;
(2) an institution employee who serves as a central
point of contact for students who are veterans;
(3) a United States Department of Veterans Affairs
work-study program;
(4) admissions and enrollment policies for veterans;
(5) new student orientation and courses for veterans;
(6) a student organization for veterans;
(7) academic support services for students who are
veterans;
(8) mental health and disability services;
(9) a housing policy that applies to veterans;
(10) faculty and staff training on issues affecting
students who are veterans;
(11) career services for students who are veterans;
and
(12) any other criteria considered necessary or
appropriate by the commission.
Sec. 434.253. RULEMAKING AUTHORITY. The commission may
adopt rules as necessary to administer this subchapter. In
developing rules under this section, the commission shall consult
with the Texas Higher Education Coordinating Board and institutions
of higher education.
SUBCHAPTER G. VETERANS EDUCATION COUNSELORS PROGRAM
Sec. 434.301. DEFINITIONS. In this subchapter:
(1) "Commission" means the Texas Veterans Commission.
(2) "Institution of higher education" has the meaning
assigned by Section 61.003, Education Code.
Sec. 434.302. VETERANS EDUCATION COUNSELORS. The
commission shall employ veterans education counselors. The
veterans education counselors shall:
(1) work with institutions of higher education and any
existing veterans programs at those institutions to:
(A) create a hospitable and supportive
environment for veterans;
(B) enhance awareness of and encourage
participation in veterans educational programs and commission
programs providing other services to veterans, including
employment and claims assistance services;
(C) develop programs providing ancillary
assistance to veterans based on the unique needs of veterans and
their family members;
(D) ensure that veterans successfully complete
their education; and
(E) promote the establishment of a student
veterans group on each campus of those institutions;
(2) work with local, state, and national veterans
groups, including the Veterans of Foreign Wars and the American
Legion, to promote educational opportunities and benefits to the
veteran population;
(3) work with local workforce development boards to:
(A) ensure that the veterans education
counselors are aware of available nontraditional educational
opportunities, including on-the-job training programs and
apprenticeships; and
(B) advise employers of potential opportunities
to create on-the-job training programs for veterans;
(4) work with education services officers at military
installations to encourage active duty members of the armed forces
of the United States and veterans to use federal and state
educational benefits;
(5) create and manage publicity campaigns in concert
with the commission and institutions of higher education to promote
the use of education benefits under the federal Post-9/11 Veterans
Educational Assistance Act of 2008 (38 U.S.C. Section 3301 et
seq.), the tuition exemption program for veterans and their family
members under Section 54.341, Education Code, and any other
education benefit for veterans or their family members under
federal or state law;
(6) support programs to assist students who are combat
veterans in readjusting and reintegrating into a noncombat
environment;
(7) maintain statistical information regarding
demographics of veterans assisted, application success, program
completion rates, dropout rates, and reasons for success or
failure, as appropriate; and
(8) perform other activities, as assigned by the
commission, to enhance the educational opportunities of veterans
and their family members.
Sec. 434.303. SUPPORT FROM INSTITUTIONS OF HIGHER
EDUCATION. Each institution of higher education shall cooperate
with the commission to provide information, as permitted by law,
related to student veterans at the institution, provide access to
veteran resource centers or other student meeting areas, and
otherwise support the work of veterans education counselors.
Sec. 434.304. RULEMAKING AUTHORITY. The commission may
adopt rules to implement this subchapter. In developing rules
under this section, the commission shall consult with the Texas
Higher Education Coordinating Board and institutions of higher
education.
SECTION 6. Subdivision (4), Subsection (b), Section 9.01,
Chapter 1049 (Senate Bill No. 5), Acts of the 82nd Legislature,
Regular Session, 2011, which would repeal Subsection (h), Section
54.203, Education Code, effective September 1, 2013, is repealed
and does not take effect, and Subsection (h), Section 54.341,
Education Code, which was redesignated from Subsection (h), Section
54.203, Education Code, by Chapter 359 (Senate Bill No. 32), Acts of
the 82nd Legislature, Regular Session, 2011, remains in effect as
amended by this Act.
SECTION 7. The changes in law made by this Act by amending
Subsections (d), (h), (i), (k), and (n), Section 54.341, Education
Code, apply beginning with tuition and fees for the 2014 fall
semester. Tuition and fees for a term or semester before the 2014
fall semester are covered by the law in effect immediately before
the effective date of this Act, and the former law is continued in
effect for that purpose.
SECTION 8. In adopting rules under this Act, including
rules implementing authority transferred by this Act from the Texas
Higher Education Coordinating Board, the Texas Veterans Commission
shall engage institutions of higher education in a negotiated
rulemaking process as described by Chapter 2008, Government Code.
SECTION 9. As soon as practicable after the effective date
of this Act, the Texas Veterans Commission shall employ the
veterans education counselors as required by Subchapter G, Chapter
434, Government Code, as added by this Act.
SECTION 10. (a) Except as provided by Subsection (b) of
this section:
(1) 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; and
(2) if this Act does not receive the vote necessary for
immediate effect, this Act takes effect on the 91st day after the
last day of the legislative session.
(b) Subchapter F, Chapter 434, Government Code, as added by
Section 5 of this Act, takes effect September 1, 2014.
______________________________ ______________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 1158 passed the Senate on
April 25, 2013, by the following vote: Yeas 19, Nays 9;
May 24, 2013, Senate refused to concur in House amendments and
requested appointment of Conference Committee; May 25, 2013, House
granted request of the Senate; May 26, 2013, Senate adopted
Conference Committee Report by the following vote: Yeas 31,
Nays 0.
______________________________
Secretary of the Senate
I hereby certify that S.B. No. 1158 passed the House, with
amendments, on May 22, 2013, by the following vote: Yeas 147,
Nays 1, two present not voting; May 25, 2013, House granted request
of the Senate for appointment of Conference Committee;
May 26, 2013, House adopted Conference Committee Report by the
following vote: Yeas 146, Nays 1, two present not voting.
______________________________
Chief Clerk of the House
Approved:
______________________________
Date
______________________________
Governor