BILL ANALYSIS Senate Research Center S.B. 724 89R3027 KJE-D By: Kolkhorst Education K-16 3/18/2025 As Filed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT There has been concern from the heads of higher institutions that governing board members have neglected their duties and missed meetings, an issue that primarily began in the pandemic. This bill requires elected or appointed governing boards of institutions of higher education to meet in person. The bill requires that boards meet in person and all members, trustees, and regents of those boards attend up to 75 percent of meetings annually in person. The bill will allow for board members to virtually attend or miss 25 percent of meetings. If a member misses more than 25 percent of meetings within one calendar year of being sworn in or assuming the role: the first violation of $1,000 is to be paid to the general scholarship fund of the corresponding institution of which the individual is a board member. A second violation results in the board member becoming ineligible for reappointment to the board or for appointment to any other governing board. As proposed, S.B. 724 amends current law relating to providing in-person meeting requirements for governing boards of public institutions of higher education and authorizes a civil penalty. RULEMAKING AUTHORITY Rulemaking authority is expressly granted to the Texas Higher Education Coordinating Board in SECTION 1 (Section 51.3522, Education Code) of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter G, Chapter 51, Education Code, by adding Section 51.3522, as follows: Sec. 51.3522. IN-PERSON MEETING REQUIREMENTS FOR GOVERNING BOARDS. (a) Defines "coordinating board." (b) Requires each member of the governing board of an institution of higher education, notwithstanding Section 551.127 (Videoconference Call), Government Code, or any other law, to attend at least 75 percent of the governing board's meetings in person each year. (c) Provides that, if a governing board member fails to meet the requirement under Subsection (b) for any year, the member: (1) for the first violation, is liable to the institution for a civil penalty of $1,000; and (2) for the second violation and notwithstanding any other law, is not eligible for reappointment to the governing board or for appointment to any other governing board. (d) Authorizes an institution of higher education that receives a civil penalty under Subsection (c)(1) to use that amount only to provide scholarships to students enrolled at the institution. (e) Authorizes the attorney general, at the request of the Texas Higher Education Coordinating Board (THECB), to bring a civil action to collect a civil penalty under this section. (f) Authorizes THECB to adopt rules as necessary to implement and enforce this section. SECTION 2. Effective date: January 1, 2026. BILL ANALYSIS Senate Research Center S.B. 724 89R3027 KJE-D By: Kolkhorst Education K-16 3/18/2025 As Filed Senate Research Center S.B. 724 89R3027 KJE-D By: Kolkhorst Education K-16 3/18/2025 As Filed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT There has been concern from the heads of higher institutions that governing board members have neglected their duties and missed meetings, an issue that primarily began in the pandemic. This bill requires elected or appointed governing boards of institutions of higher education to meet in person. The bill requires that boards meet in person and all members, trustees, and regents of those boards attend up to 75 percent of meetings annually in person. The bill will allow for board members to virtually attend or miss 25 percent of meetings. If a member misses more than 25 percent of meetings within one calendar year of being sworn in or assuming the role: the first violation of $1,000 is to be paid to the general scholarship fund of the corresponding institution of which the individual is a board member. A second violation results in the board member becoming ineligible for reappointment to the board or for appointment to any other governing board. As proposed, S.B. 724 amends current law relating to providing in-person meeting requirements for governing boards of public institutions of higher education and authorizes a civil penalty. RULEMAKING AUTHORITY Rulemaking authority is expressly granted to the Texas Higher Education Coordinating Board in SECTION 1 (Section 51.3522, Education Code) of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter G, Chapter 51, Education Code, by adding Section 51.3522, as follows: Sec. 51.3522. IN-PERSON MEETING REQUIREMENTS FOR GOVERNING BOARDS. (a) Defines "coordinating board." (b) Requires each member of the governing board of an institution of higher education, notwithstanding Section 551.127 (Videoconference Call), Government Code, or any other law, to attend at least 75 percent of the governing board's meetings in person each year. (c) Provides that, if a governing board member fails to meet the requirement under Subsection (b) for any year, the member: (1) for the first violation, is liable to the institution for a civil penalty of $1,000; and (2) for the second violation and notwithstanding any other law, is not eligible for reappointment to the governing board or for appointment to any other governing board. (d) Authorizes an institution of higher education that receives a civil penalty under Subsection (c)(1) to use that amount only to provide scholarships to students enrolled at the institution. (e) Authorizes the attorney general, at the request of the Texas Higher Education Coordinating Board (THECB), to bring a civil action to collect a civil penalty under this section. (f) Authorizes THECB to adopt rules as necessary to implement and enforce this section. SECTION 2. Effective date: January 1, 2026.