By: Zerwas, Faircloth (Senate Sponsor - Seliger) H.B. No. 1000
(In the Senate - Received from the House May 13, 2015;
May 14, 2015, read first time and referred to Committee on Finance;
May 21, 2015, reported favorably by the following vote: Yeas 12,
Nays 1; May 21, 2015, sent to printer.)
Click here to see the committee vote
A BILL TO BE ENTITLED
AN ACT
relating to state support for general academic teaching
institutions in this state.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The heading to Subchapter C, Chapter 62,
Education Code, is amended to read as follows:
SUBCHAPTER C. TEXAS RESEARCH UNIVERSITY [COMPETITIVE KNOWLEDGE]
FUND
SECTION 2. Sections 62.051(1) and (2), Education Code, are
amended to read as follows:
(1) "Eligible institution" means an institution of
higher education that[:
[(A)] is designated as a research university
under the coordinating board's accountability system and, for any
three consecutive state fiscal years beginning on or after
September 1, 2010, made total annual research expenditures in an
average annual amount of not less than $450 million[; or
[(B) is designated as an emerging research
university under the coordinating board's accountability system
and, for any three consecutive state fiscal years beginning on or
after September 1, 2010, made total annual research expenditures in
an average annual amount of not less than $50 million].
(2) "Fund" means the Texas research university
[competitive knowledge] fund.
SECTION 3. Section 62.052, Education Code, is amended to
read as follows:
Sec. 62.052. PURPOSE. The purpose of this subchapter is to
provide funding to eligible research universities [and emerging
research universities] to support faculty to ensure excellence in
instruction and research.
SECTION 4. Section 62.053, Education Code, is amended to
read as follows:
Sec. 62.053. FUND. (a) The Texas research university
[competitive knowledge] fund consists of money appropriated by the
legislature to eligible institutions for the purposes of this
subchapter [to eligible institutions].
(a-1) In each state fiscal year, amounts shall be
appropriated to eligible institutions based on the average amount
of total research funds expended by each institution per year for
the three preceding state fiscal years.
(b) For purposes of this subchapter [section], the amount of
total research funds expended by an eligible institution in a state
fiscal year is the amount of those funds as reported to the
coordinating board by the institution for that fiscal year, subject
to any adjustment by the coordinating board in accordance with the
standards and accounting methods the coordinating board prescribes
for purposes of this section.
SECTION 5. The heading to Subchapter E, Chapter 62,
Education Code, is amended to read as follows:
SUBCHAPTER E. TEXAS COMPREHENSIVE RESEARCH [DEVELOPMENT] FUND
SECTION 6. Section 62.091, Education Code, is amended to
read as follows:
Sec. 62.091. PURPOSE. The Texas comprehensive research
[development] fund is established to provide funding to promote
increased research capacity at eligible general academic teaching
institutions.
SECTION 7. Section 62.092, Education Code, is amended by
amending Subdivision (2) and adding Subdivision (3) to read as
follows:
(2) "Eligible institution" means a general academic
teaching institution[,] as defined by Section 61.003, other than:
(A) The University of Texas at Austin or Texas
A&M University; or
(B) an institution of higher education described
by Section 62.132(2).
(3) "Fund" means the Texas comprehensive research
fund.
SECTION 8. Section 62.093, Education Code, is amended to
read as follows:
Sec. 62.093. FUNDING [ADMINISTRATION]. [(a)] The Texas
comprehensive research [development] fund consists of money
appropriated by the legislature to eligible institutions for the
purposes of this subchapter [is a fund outside the state treasury in
the custody of the comptroller].
[(b) The comptroller shall administer and invest the
research development fund.]
SECTION 9. The heading to Section 62.095, Education Code,
is amended to read as follows:
Sec. 62.095. APPROPRIATION [APPORTIONMENT] OF FUND TO
ELIGIBLE INSTITUTIONS.
SECTION 10. Section 62.095(a), Education Code, is amended
to read as follows:
(a) In each state fiscal year, amounts [the comptroller
shall distribute the total amount of all assets in the research
development fund to eligible institutions. The amount] shall be
appropriated to [apportioned among the] eligible institutions
based on the average amount of restricted research funds expended
by each institution per year for the three preceding state fiscal
years.
SECTION 11. The heading to Section 62.096, Education Code,
is amended to read as follows:
Sec. 62.096. VERIFICATION [OF ALLOCATION FACTORS].
SECTION 12. Sections 62.096(a) and (b), Education Code, are
amended to read as follows:
(a) For purposes of this subchapter and Subchapter F-1, the
coordinating board shall prescribe standards and accounting
methods for determining the amount of restricted research funds
expended [by an eligible institution] in a state fiscal year:
(1) under this subchapter by an eligible institution;
or
(2) under Subchapter F-1 by an eligible institution,
as that term is defined by Section 62.132(2).
(b) For purposes of this subchapter and Subchapter F-1, the
[The] coordinating board shall convene a committee composed
[comprised] of persons designated by the presidents of eligible
institutions to approve the allocations standards and accounting
methods established by the coordinating board and to consider
appeals authorized by Subsection (e) or Section 62.135(b) [by
October 1, 2003].
SECTION 13. Section 62.097, Education Code, is amended to
read as follows:
Sec. 62.097. USE OF APPROPRIATED [ALLOCATED] AMOUNTS. (a)
An eligible institution may use money received from the [research
development] fund only for the support and maintenance of
educational and general activities, including research and student
services, that promote increased research capacity at the
institution.
(b) Money received by an institution from the [research
development] fund in a fiscal year that is not used by the
institution in that fiscal year may be held and used by the
institution in subsequent fiscal years.
SECTION 14. Chapter 62, Education Code, is amended by
adding Subchapter F-1 to read as follows:
SUBCHAPTER F-1. CORE RESEARCH SUPPORT FUND
Sec. 62.131. PURPOSE. The core research support fund is
established to provide funding to promote increased research
capacity at emerging research universities.
Sec. 62.132. DEFINITIONS. In this subchapter:
(1) "Coordinating board" means the Texas Higher
Education Coordinating Board.
(2) "Eligible institution" means an institution of
higher education that is designated as an emerging research
university under the coordinating board's accountability system.
(3) "Fund" means the core research support fund.
Sec. 62.133. FUNDING. The core research support fund
consists of money appropriated by the legislature to eligible
institutions for the purposes of this subchapter.
Sec. 62.134. APPROPRIATION OF FUND TO ELIGIBLE
INSTITUTIONS. In each state fiscal year, amounts shall be
appropriated to eligible institutions as follows:
(1) 50 percent based on the average amount of
restricted research funds expended by each institution per year for
the three preceding state fiscal years, determined in the manner
described by Section 62.095(b); and
(2) 50 percent based on the average amount of total
research funds expended by each institution per year for the three
preceding state fiscal years, determined in the manner described by
Section 62.053(b).
Sec. 62.135. VERIFICATION. (a) The coordinating board may
audit the appropriate records of an eligible institution to verify
information for purposes of this subchapter.
(b) For final determination of eligibility, an eligible
institution may appeal to the advisory committee described by
Section 62.096 the coordinating board's decision regarding the
institution's verified information relating to the amounts of
restricted research expended.
Sec. 62.136. USE OF APPROPRIATED AMOUNTS. (a) An eligible
institution may use money received from the fund only for the
support and maintenance of educational and general activities,
including research and student services, that promote increased
research capacity at the institution.
(b) Money received by an institution from the fund in a
fiscal year that is not used by the institution in that fiscal year
may be held and used by the institution in subsequent fiscal years.
Sec. 62.137. ANNUAL REPORT. (a) Each eligible institution
that receives money under this subchapter in a state fiscal year
shall prepare a report at the end of that fiscal year describing the
manner in which the institution used the money. The institution
shall include in the report information regarding the use of money
spent in that fiscal year that was received under this subchapter in
a preceding fiscal year.
(b) The institution shall deliver a copy of the report to
the coordinating board and the Legislative Budget Board not later
than December 1 after the end of the fiscal year. The Legislative
Budget Board may establish requirements for the form and content of
the report.
(c) The institution shall include in the report information
on the use or other disposition of money the institution previously
received from the Texas excellence fund or the university research
fund, if the institution spent money from either of those funds in
the fiscal year of the report.
SECTION 15. Sections 62.0925 and 62.094, Education Code,
are repealed.
SECTION 16. This Act takes effect September 1, 2015.
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