HBA-JLV, CBW H.B. 51 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 51 By: Chavez Higher Education 2/12/2001 Introduced BACKGROUND AND PURPOSE Current state law does not provide tuition and fee exemptions for children of Texas public school instructional employees who are enrolled as undergraduate students. There are concerns that rising costs of a college education combined with low teacher salaries and benefits may make financing a child's education difficult. House Bill 51 provides undergraduate tuition and fee exemptions for children of public school instructional employees who have been employed in that capacity for a certain length of time. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that rulemaking authority is expressly delegated to the Texas Higher Education Coordinating Board in SECTION 1 (Section 54.220, Education Code) and SECTION 2 of this bill. ANALYSIS House Bill 51 amends the Education Code to exempt from tuition and fees the children of certain professional instructional employees enrolled at a public institution of higher education. The bill authorizes the governing board of an institution of higher education (board) to exempt a person who is a resident of this state and a child of an eligible employee from all tuition or from all tuition and required fees when the person is enrolled as an undergraduate student at the institution. The bill requires the board to adopt a policy and procedures for the award of the exemptions if the board elects to provide exemptions. In addition, the policy of the institution must include the eligibility requirements as set forth in this bill. The bill sets forth eligibility requirements for persons exempted from payment of all tuition, and for persons exempted from payment of all tuition and required fees. The bill provides that a person is not eligible for an exemption if the person has already received an exemption for 10 semesters or other equivalent academic sessions at any institution or institutions of higher education, or if the person has received a baccalaureate degree. The bill authorizes an institution of higher education to adopt a policy under which a person who receives an exemption is eligible for a refund of the money the person paid to the institution for tuition or tuition and required fees as a resident student in the three-year period preceding the beginning of the first semester or session for which the person receives the exemption. The bill establishes that a person eligible for such a refund must apply to the institution from which the refund is sought prior to the expiration of one year after the person becomes eligible for the refund. The bill authorizes the institution to pay the refund from any available funds of the institution. The bill requires the Texas Higher Education Coordinating Board (THECB) to adopt rules governing the determination for eligibility for an exemption and to adopt a uniform application form for an exemption. The bill authorizes an institution of higher education to receive state-appropriated funds for the purposes of these provisions as determined by the legislature. Moreover, an institution is authorized to seek and accept gifts and grants from any source to fund exemptions from tuition or fees or refunds of tuition and fees. The bill requires THECB to adopt rules and forms no later than January 1, 2002. The bill prohibits a person from receiving a refund of tuition or tuition and fees paid to an institution of higher education for the term or semester before the 2002 fall semester. The bill sets forth that the Act does not make an appropriation or require the legislature to appropriate money for exemptions and refunds. EFFECTIVE DATE On passage, or if the Act does not receive the necessary vote, the Act takes effect September 1, 2001. The Act applies beginning with the fall semester 2002.