1 | 1 | | By: Zaffirini S.B. No. 27 |
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2 | 2 | | (Anchia) |
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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 the Texas B-On-time student loan program. |
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8 | 8 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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9 | 9 | | SECTION 1. Subdivisions (2) and (3), Section 56.451, |
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10 | 10 | | Education Code, are amended to read as follows: |
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11 | 11 | | (2) "Eligible institution" means: |
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12 | 12 | | (A) a general academic teaching institution, |
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13 | 13 | | other than a public state college [an institution of higher |
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14 | 14 | | education]; [or] |
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15 | 15 | | (B) a medical and dental unit that offers |
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16 | 16 | | baccalaureate degrees; or |
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17 | 17 | | (C) a private or independent institution of |
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18 | 18 | | higher education that offers baccalaureate degree programs. |
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19 | 19 | | (3) "General academic teaching institution," "medical |
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20 | 20 | | and dental unit," "private or independent institution of higher |
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21 | 21 | | education," and "public state [junior] college," [and "public |
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22 | 22 | | technical institute"] have the meanings assigned by Section 61.003. |
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23 | 23 | | SECTION 2. Subsection (b), Section 56.452, Education Code, |
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24 | 24 | | is amended to read as follows: |
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25 | 25 | | (b) The purpose of this subchapter is to provide no-interest |
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26 | 26 | | loans to eligible students to enable those students to earn |
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27 | 27 | | baccalaureate degrees at [attend all] public and private or |
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28 | 28 | | independent institutions of higher education in this state. |
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29 | 29 | | SECTION 3. Section 56.455, Education Code, is amended to |
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30 | 30 | | read as follows: |
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31 | 31 | | Sec. 56.455. INITIAL ELIGIBILITY FOR LOAN. To be eligible |
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32 | 32 | | initially for a Texas B-On-time loan, a person must: |
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33 | 33 | | (1) be a resident of this state under Section 54.052 or |
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34 | 34 | | be entitled, as a child of a member of the armed forces of the United |
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35 | 35 | | States, to pay tuition at the rate provided for residents of this |
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36 | 36 | | state under Section 54.241; |
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37 | 37 | | (2) meet one of the following academic requirements: |
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38 | 38 | | (A) be a graduate of a public or private high |
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39 | 39 | | school in this state who graduated not earlier than the 2002-2003 |
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40 | 40 | | school year under the recommended or advanced high school program |
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41 | 41 | | established under Section 28.025(a) or its equivalent; |
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42 | 42 | | (B) be a graduate of a high school operated by the |
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43 | 43 | | United States Department of Defense who: |
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44 | 44 | | (i) graduated from that school not earlier |
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45 | 45 | | than the 2002-2003 school year; and |
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46 | 46 | | (ii) at the time of graduation from that |
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47 | 47 | | school was a dependent child of a member of the armed forces of the |
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48 | 48 | | United States; or |
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49 | 49 | | (C) have received an associate degree from an |
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50 | 50 | | [eligible] institution of higher education or private or |
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51 | 51 | | independent institution of higher education not earlier than May 1, |
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52 | 52 | | 2005; |
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53 | 53 | | (3) be enrolled for a full course load for an |
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54 | 54 | | undergraduate student, as determined by the coordinating board, in |
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55 | 55 | | a baccalaureate [an undergraduate] degree [or certificate] program |
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56 | 56 | | at an eligible institution; |
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57 | 57 | | (4) be eligible for federal financial aid, except that |
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58 | 58 | | a person is not required to meet any financial need requirement |
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59 | 59 | | applicable to a particular federal financial aid program; and |
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60 | 60 | | (5) comply with any additional nonacademic |
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61 | 61 | | requirement adopted by the coordinating board under this |
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62 | 62 | | subchapter. |
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63 | 63 | | SECTION 4. Subsection (a), Section 56.456, Education Code, |
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64 | 64 | | is amended to read as follows: |
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65 | 65 | | (a) After initially qualifying for a Texas B-On-time loan, a |
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66 | 66 | | person may continue to receive a Texas B-On-time loan for each |
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67 | 67 | | semester or term in which the person is enrolled at an eligible |
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68 | 68 | | institution only if the person: |
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69 | 69 | | (1) is enrolled for a full course load for an |
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70 | 70 | | undergraduate student, as determined by the coordinating board, in |
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71 | 71 | | a baccalaureate [an undergraduate] degree [or certificate] program |
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72 | 72 | | at an eligible institution; |
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73 | 73 | | (2) is eligible for federal financial aid, except that |
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74 | 74 | | a person is not required to meet any financial need requirement |
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75 | 75 | | applicable to a particular federal financial aid program; |
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76 | 76 | | (3) makes satisfactory academic progress toward a |
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77 | 77 | | degree [or certificate] as determined by the institution at which |
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78 | 78 | | the person is enrolled, if the person is enrolled in the person's |
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79 | 79 | | first academic year at the institution; |
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80 | 80 | | (4) completed at least 75 percent of the semester |
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81 | 81 | | credit hours attempted by the person in the most recent academic |
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82 | 82 | | year and has a cumulative grade point average of at least 2.5 on a |
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83 | 83 | | four-point scale or the equivalent on all coursework previously |
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84 | 84 | | attempted at institutions of higher education or private or |
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85 | 85 | | independent institutions of higher education, if the person is |
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86 | 86 | | enrolled in any academic year after the person's first academic |
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87 | 87 | | year; and |
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88 | 88 | | (5) complies with any additional nonacademic |
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89 | 89 | | requirement adopted by the coordinating board. |
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90 | 90 | | SECTION 5. Subsections (a), (b), and (f), Section 56.459, |
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91 | 91 | | Education Code, are amended to read as follows: |
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92 | 92 | | (a) The amount of a Texas B-On-time loan for a semester or |
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93 | 93 | | term for a student enrolled full-time at an eligible institution |
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94 | 94 | | other than an institution covered by Subsection (b) may not exceed |
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95 | 95 | | the[, (c), or (d) is an] amount determined by the coordinating board |
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96 | 96 | | to be [as] the average statewide amount of tuition and required fees |
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97 | 97 | | that a resident student enrolled full-time in a baccalaureate [an |
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98 | 98 | | undergraduate] degree program would be charged for that semester or |
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99 | 99 | | term at general academic teaching institutions. |
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100 | 100 | | (b) The amount of a Texas B-On-time loan for a student |
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101 | 101 | | enrolled full-time at a private or independent institution of |
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102 | 102 | | higher education may not exceed the [is an] amount determined by the |
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103 | 103 | | coordinating board to be [as] the average statewide amount of |
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104 | 104 | | tuition and required fees that a resident student enrolled |
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105 | 105 | | full-time in a baccalaureate [an undergraduate] degree program |
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106 | 106 | | would be charged for that semester or term at general academic |
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107 | 107 | | teaching institutions. |
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108 | 108 | | (f) If in any academic year the amount of money in the Texas |
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109 | 109 | | B-On-time student loan account, other than money appropriated to |
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110 | 110 | | the account exclusively for loans at eligible institutions that are |
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111 | 111 | | private or independent institutions of higher education, is |
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112 | 112 | | insufficient to provide the loans in the maximum amount specified |
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113 | 113 | | by this section to all eligible persons at eligible institutions |
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114 | 114 | | that are institutions of higher education [in amounts specified by |
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115 | 115 | | this section], the coordinating board shall determine the amount of |
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116 | 116 | | that available money and shall allocate that amount to those |
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117 | 117 | | eligible institutions in proportion to the amount of tuition set |
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118 | 118 | | aside by [number of full-time equivalent undergraduate students |
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119 | 119 | | enrolled at] each of those institutions under Section 56.465 for |
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120 | 120 | | the preceding academic year [institution]. In the manner |
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121 | 121 | | prescribed by the coordinating board for purposes of this |
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122 | 122 | | subsection, each eligible institution that is a private or |
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123 | 123 | | independent institution of higher education is entitled to receive |
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124 | 124 | | an allocation only from the general revenue appropriations made for |
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125 | 125 | | that academic year to eligible private or independent institutions |
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126 | 126 | | of higher education for the purposes of this subchapter. Each |
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127 | 127 | | institution shall use the money allocated to award Texas B-On-time |
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128 | 128 | | loans to eligible students enrolled at the institution selected |
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129 | 129 | | according to financial need. |
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130 | 130 | | SECTION 6. Sections 56.461 and 56.462, Education Code, are |
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131 | 131 | | amended to read as follows: |
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132 | 132 | | Sec. 56.461. LOAN PAYMENT DEFERRED. The repayment of a |
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133 | 133 | | Texas B-On-time loan received by a student under this subchapter is |
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134 | 134 | | deferred as long as the student remains continuously enrolled in a |
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135 | 135 | | baccalaureate [an undergraduate] degree [or certificate] program |
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136 | 136 | | at an eligible institution. |
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137 | 137 | | Sec. 56.462. LOAN FORGIVENESS. A student who receives a |
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138 | 138 | | Texas B-On-time loan shall be forgiven the amount of the student's |
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139 | 139 | | loan if the student is awarded a baccalaureate [an undergraduate |
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140 | 140 | | certificate or] degree at an eligible institution with a cumulative |
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141 | 141 | | grade point average of at least 3.0 on a four-point scale or the |
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142 | 142 | | equivalent: |
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143 | 143 | | (1) within: |
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144 | 144 | | (A) four calendar years after the date the |
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145 | 145 | | student initially enrolled in an [the] institution of higher |
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146 | 146 | | education or private or independent institution of higher education |
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147 | 147 | | [or another eligible institution] if[: |
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148 | 148 | | [(i) the institution is a four-year |
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149 | 149 | | institution; and |
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150 | 150 | | [(ii)] the student is awarded a degree |
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151 | 151 | | other than a degree in engineering, architecture, or any other |
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152 | 152 | | program determined by the coordinating board to require more than |
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153 | 153 | | four years to complete; or |
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154 | 154 | | (B) five calendar years after the date the |
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155 | 155 | | student initially enrolled in an [the] institution of higher |
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156 | 156 | | education or private or independent institution of higher education |
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157 | 157 | | [or another eligible institution] if[: |
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158 | 158 | | [(i) the institution is a four-year |
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159 | 159 | | institution; and |
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160 | 160 | | [(ii)] the student is awarded a degree in |
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161 | 161 | | engineering, architecture, or any other program determined by the |
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162 | 162 | | coordinating board to require more than four years to complete; [or |
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163 | 163 | | [(C) two years after the date the student |
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164 | 164 | | initially enrolled in the institution or another eligible |
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165 | 165 | | institution if the institution is a public junior college or public |
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166 | 166 | | technical institute;] or |
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167 | 167 | | (2) with a total number of semester credit hours, |
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168 | 168 | | including transfer credit hours and excluding hours earned |
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169 | 169 | | exclusively by examination, hours earned for a course for which the |
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170 | 170 | | student received credit toward the student's high school academic |
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171 | 171 | | requirements, and hours earned for developmental coursework that an |
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172 | 172 | | institution of higher education required the student to take under |
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173 | 173 | | Section 51.3062 or under the former provisions of Section 51.306, |
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174 | 174 | | that is not more than six hours more than the minimum number of |
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175 | 175 | | semester credit hours required to complete the [certificate or] |
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176 | 176 | | degree. |
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177 | 177 | | SECTION 7. Subsection (d), Section 56.456, and Subsections |
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178 | 178 | | (c) and (d), Section 56.459, Education Code, are repealed. |
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179 | 179 | | SECTION 8. (a) The change in law made by this Act in |
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180 | 180 | | amending Subchapter Q, Chapter 56, Education Code, applies |
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181 | 181 | | beginning with Texas B-On-time loans awarded for the 2014-2015 |
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182 | 182 | | academic year. |
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183 | 183 | | (b) Notwithstanding Subsection (a) of this section, a |
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184 | 184 | | student who first receives a Texas B-On-time loan for a semester or |
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185 | 185 | | other academic term before the 2014 fall semester may continue to |
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186 | 186 | | receive Texas B-On-time loans under Subchapter Q, Chapter 56, |
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187 | 187 | | Education Code, as that subchapter existed immediately before the |
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188 | 188 | | effective date of this Act, as long as the student remains eligible |
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189 | 189 | | for a Texas B-On-time loan under the former law, and is entitled to |
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190 | 190 | | obtain forgiveness of the loans as permitted by Section 56.462, |
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191 | 191 | | Education Code, as that section existed immediately before the |
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192 | 192 | | effective date of this Act. The Texas Higher Education |
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193 | 193 | | Coordinating Board shall adopt rules to administer this subsection |
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194 | 194 | | and shall notify each student who receives a Texas B-On-time loan in |
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195 | 195 | | the 2013-2014 academic year of the provisions of this subsection. |
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196 | 196 | | SECTION 9. This Act takes effect September 1, 2013. |
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