By: Zaffirini S.B. No. 27
A BILL TO BE ENTITLED
AN ACT
relating to eligibility for a Texas B-on-Time loan.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 56.451, Education Code, is amended as
follows:
Sec. 56.451. DEFINITIONS. In this subchapter:
(1) "Coordinating board" means the Texas Higher Education
Coordinating Board.
(2) "Eligible institution" means:
(A) an institution of higher education; or
(B) a private or independent institution of higher
education.
(3) "General academic teaching institution," and "private
or independent institution of higher education," "public junior
college," and "public technical institute" have the meanings
assigned by Section 61.003.
SECTION 2. Section 56.455, Education Code, is amended as
follows:
Sec. 56.455. INITIAL ELIGIBILITY FOR LOAN. To be eligible
initially for a Texas B-On-time loan, a person must:
(1) be a resident of this state under Section 54.052 or be
entitled, as a child of a member of the armed forces of the United
States, to pay tuition at the rate provided for residents of this
state under Section 54.241;
(2) meet one of the following academic requirements:
(A) be a graduate of a public or private high school in
this state who graduated not earlier than the 2002-2003 school year
under the recommended or advanced high school program established
under Section 28.025(a) or its equivalent;
(B) be a graduate of a high school operated by the
United States Department of Defense who:
(i) graduated from that school not earlier than
the 2002-2003 school year; and
(ii) at the time of graduation from that school
was a dependent child of a member of the armed forces of the United
States; or
(C) have received an associate degree from an eligible
institution not earlier than May 1, 2005;
(3) be enrolled for a full course load for an undergraduate
student, as determined by the coordinating board, in an
undergraduate degree or certificate program at an eligible
institution;
(4) be eligible for federal financial aid, except that a
person is not required to meet any financial need requirement
applicable to a particular federal financial aid program; and
(5) comply with any additional nonacademic requirement
adopted by the coordinating board under this subchapter.
SECTION 3. Section 56.456, Education Code, is amended as
follows:
Sec. 56.456. CONTINUING ELIGIBILITY AND ACADEMIC
PERFORMANCE REQUIREMENTS. (a) After initially qualifying for a
Texas B-On-time loan, a person may continue to receive a Texas
B-On-time loan for each semester or term in which the person is
enrolled at an eligible institution only if the person:
(1) is enrolled for a full course load for an undergraduate
student, as determined by the coordinating board, in an
undergraduate degree or certificate program at an eligible
institution;
(2) is eligible for federal financial aid, except that a
person is not required to meet any financial need requirement
applicable to a particular federal financial aid program;
(3) makes satisfactory academic progress toward a degree or
certificate as determined by the institution at which the person is
enrolled, if the person is enrolled in the person's first academic
year at the institution;
(4) completed at least 75 percent of the semester credit
hours attempted by the person in the most recent academic year and
has a cumulative grade point average of at least 2.5 on a four-point
scale or the equivalent on all coursework previously attempted at
institutions of higher education, if the person is enrolled in any
academic year after the person's first academic year; and
(5) complies with any additional nonacademic requirement
adopted by the coordinating board.
(b) If a person fails to meet any of the requirements of
Subsection (a) after the completion of any semester or term, the
person may not receive a Texas B-On-time loan for the next semester
or term in which the person enrolls. A person may become eligible
to receive a Texas B-On-time loan in a subsequent semester or term
if the person:
(1) completes a semester or term during which the
person is not eligible for a Texas B-On-time loan; and
(2) meets all of the requirements of Subsection (a).
(c) A person who is eligible to receive a Texas B-On-time
loan continues to remain eligible to receive the Texas B-On-time
loan if the person enrolls in or transfers to another eligible
institution.
(d) A person who qualifies for and subsequently receives a
Texas B-On-time loan, who receives an undergraduate certificate or
associate degree, and who, not later than the 12th month after the
month the person receives the certificate or degree, enrolls in a
program leading to a higher-level undergraduate degree continues to
be eligible for a Texas B-On-time loan to the extent other
eligibility requirements are met.
SECTION 4. Section 56.459, Education Code, is amended as
follows:
Sec. 56.459. LOAN AMOUNT. (a) The amount of a Texas
B-On-time loan for a semester or term for a student enrolled
full-time at an eligible institution other than an institution
covered by Subsection (b), (c), or (d) is an amount determined by
the coordinating board as the average statewide amount of tuition
and required fees that a resident student enrolled full-time in an
undergraduate degree program would be charged for that semester or
term at general academic teaching institutions.
(b) The amount of a Texas B-On-time loan for a student
enrolled full-time at a private or independent institution of
higher education is an amount determined by the coordinating board
as the average statewide amount of tuition and required fees that a
resident student enrolled full-time in an undergraduate degree
program would be charged for that semester or term at general
academic teaching institutions.
(c) The amount of a Texas B-On-time loan for a student
enrolled full-time at a public technical institute is the amount
determined by the coordinating board as the average statewide
amount of tuition and required fees that a resident student
enrolled full-time in an associate degree or certificate program
would be charged for that semester or term at public technical
institutes.
(d) The amount of a Texas B-On-time loan for a student
enrolled full-time at a public junior college is the amount
determined by the coordinating board as the average statewide
amount of tuition and required fees that a student who is a resident
of the junior college district and is enrolled full-time in an
associate degree or certificate program would be charged for that
semester or term at public junior colleges.
(e)(c) Not later than January 31 of each year, the
coordinating board shall publish the amounts of each loan
established by the board for each type of institution for the
academic year beginning the next fall semester.
(f)(d) If in any academic year the amount of money in the
Texas B-On-time student loan account is insufficient to provide the
loans to all eligible persons in amounts specified by this section,
the coordinating board shall determine the amount of available
money and shall allocate that amount to eligible institutions in
proportion to the number of full-time equivalent undergraduate
students enrolled at each institution. Each institution shall use
the money allocated to award Texas B-On-time loans to eligible
students enrolled at the institution selected according to
financial need.
SECTION 5. Section 56.461, Education Code, is amended as
follows:
Sec. 56.461. LOAN PAYMENT DEFERRED. The repayment of a Texas
B-On-time loan received by a student under this subchapter is
deferred as long as the student remains continuously enrolled in an
undergraduate degree or certificate program at an eligible
institution.
SECTION 6. Section 56.462, Education Code, is amended as
follows:
Sec. 56.462. LOAN FORGIVENESS. A student who receives a
Texas B-On-time loan shall be forgiven the amount of the student's
loan if the student is awarded an undergraduate certificate or
degree at an eligible institution with a cumulative grade point
average of at least 3.0 on a four-point scale or the equivalent:
(1) within:
(A) four calendar years after the date the student
initially enrolled in the institution or another eligible
institution if:
(i) the institution is a four-year institution;
and
(ii) the student is awarded a degree other than a
degree in engineering, architecture, or any other program
determined by the coordinating board to require more than four
years to complete; or
(B) five calendar years after the date the student
initially enrolled in the institution or another eligible
institution if:
(i) the institution is a four-year institution;
and
(ii) the student is awarded a degree in
engineering, architecture, or any other program determined by the
coordinating board to require more than four years to complete; or
(C) two years after the date the student initially
enrolled in the institution or another eligible institution if the
institution is a public junior college or public technical
institute; or
(2) with a total number of semester credit hours, including
transfer credit hours and excluding hours earned exclusively by
examination, hours earned for a course for which the student
received credit toward the student's high school academic
requirements, and hours earned for developmental coursework that an
institution of higher education required the student to take under
Section 51.3062 or under the former provisions of Section 51.306,
that is not more than six hours more than the minimum number of
semester credit hours required to complete the certificate or
degree.
SECTION 7. This Act take effect immediately if it receive 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, 2013.