EDUCATION CODE
CHAPTER 56. STUDENT FINANCIAL ASSISTANCE
SUBCHAPTER A. GENERAL PROVISIONS
§ 56.001. SHORT TITLE. This Chapter may be cited as the
Student Financial Assistance Act of 1975.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975.
§ 56.002. DECLARATION OF POLICY. The legislature,
giving due consideration to the historical and continuing interest
of the people of the State of Texas in encouraging deserving and
qualified persons to realize their aspirations for education beyond
high school finds and declares that postsecondary education for
those who desire such an education and are properly qualified
therefor is important to the welfare and security of this state and
the nation and, consequently, is an important public purpose. The
legislature finds and declares that the state can achieve its full
economic and social potential only if every individual has the
opportunity to contribute to the full extent of his capabilities
and only when financial barriers to his economic, social, and
educational goals are removed. It is, therefore, the policy of the
legislature and the purpose of this Chapter to establish financial
assistance programs to enable qualified students to receive a
postsecondary education.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975.
§ 56.003. DEFINITIONS. In this Chapter:
(1) "Institution of higher education" has the same
meaning as is assigned to it by Section 61.003 of this code.
(2) "Governing board" has the same meaning as is
assigned to it by Section 61.003 of this code.
(3) "Postsecondary educational institution" means any
institution, public or private, which provides courses of
instruction beyond that offered in secondary schools.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975.
§ 56.004. FILING FEES IN SUITS TO COLLECT DELINQUENT
STUDENT LOANS. Notwithstanding any other law, if an institution of
higher education brings suit to collect or enforce the repayment of
a delinquent student loan, the institution is required to pay in
advance one-half of the applicable filing fee and other costs
payable in advance to the clerk of the court. If the defaulting
borrower prevails in the suit, the institution shall pay the
remaining one-half of the filing fee and costs on the date of the
final disposition of the suit. If the institution prevails in the
suit:
(1) the judgment shall include a finding that the
defaulting borrower is liable to the institution for the full
amount of the filing fee and costs; and
(2) the institution shall pay the remaining one-half
of the filing fee and costs not later than the seventh day after the
date on which the defaulting borrower pays to the institution the
full amount, including the amount of the filing fee and costs, for
which the borrower is liable to the institution.
Added by Acts 2003, 78th Leg., ch. 1266, § 1.17, eff. June 20,
2003.
SUBCHAPTER B. FINANCIAL ASSISTANCE FUNDED FROM DESIGNATED TUITION
§ 56.011. RESIDENT UNDERGRADUATE STUDENT
ASSISTANCE. (a) The governing board of each institution of
higher education shall cause to be set aside not less than 20
percent of any amount of tuition charged to a resident
undergraduate student under Section 54.0513 in excess of $46 per
semester credit hour. The funds set aside under this section by an
institution shall be used to provide financial assistance for
resident undergraduate students enrolled in the institution.
(b) To be eligible for assistance under this section, a
student must establish financial need in accordance with rules and
procedures established by the Texas Higher Education Coordinating
Board. Priority shall be given to students who meet the
coordinating board definition of financial need and whose cost for
tuition and required fees is not met through other non-loan
financial assistance programs.
(c) The financial assistance provided under this section
may include grants, scholarships, work-study programs, student
loans, and student loan repayment assistance.
Added by Acts 2003, 78th Leg., ch. 1321, § 5, eff. Sept. 1, 2003.
§ 56.012. RESIDENT GRADUATE STUDENT
ASSISTANCE. (a) The governing board of each institution of
higher education shall cause to be set aside not less than 15
percent of any amount of tuition charged to a resident student
enrolled in a graduate or professional degree program under Section
54.0513 in excess of $46 per semester credit hour. The funds set
aside under this section by an institution shall be used to provide
financial assistance for resident students enrolled in graduate and
professional degree programs at the institution.
(b) To be eligible for assistance under this section, a
student must establish financial need in accordance with rules and
procedures established by the Texas Higher Education Coordinating
Board. Priority shall be given to students who meet the
coordinating board definition of financial need and whose cost for
tuition and required fees is not met through other non-loan
financial assistance programs.
(c) The financial assistance provided under this section
may include grants, scholarships, work-study programs, student
loans, and student loan repayment assistance.
Added by Acts 2003, 78th Leg., ch. 1321, § 5, eff. Sept. 1, 2003.
§ 56.013. INFORMATION REGARDING FINANCIAL ASSISTANCE
FUNDED FROM DESIGNATED TUITION. The Texas Higher Education
Coordinating Board shall disseminate to each public or accredited
private high school in this state information regard the financial
assistance available under this subchapter and shall include
information designed to educate high school students and the
parents of those students on available opportunities and required
preparation with respect to institutions of higher education. The
coordinating board shall recommend a method of delivery of the
information to parents and students under this section.
Added by Acts 2003, 78th Leg., ch. 1321, § 5, eff. Sept. 1, 2003.
SUBCHAPTER C. TEXAS PUBLIC EDUCATIONAL GRANTS
§ 56.031. SHORT TITLE. The grant program authorized by
this subsection shall be cited as the Texas Public Educational
Grants Program and individual grants awarded pursuant to this
program shall be cited as Texas Public Educational Grants.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975.
§ 56.032. PURPOSE. The purpose of this subchapter is to
provide a program to supply grants of money to students attending
institutions of higher education in Texas whose educational costs
are not met in whole or in part from other sources and to provide
institutions of higher education with funds to supplement and add
flexibility to existing financial aid programs.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975.
§ 56.033. SOURCE OF PROGRAM FUNDING. (a) The
governing board of each institution of higher education, including
the Texas State Technical College System, shall cause to be set
aside:
(1) not less than 15 percent nor more than 20 percent
out of each resident student's tuition charge under Section 54.051
as provided by the General Appropriations Act for the applicable
academic year;
(2) three percent out of each nonresident student's
tuition charge under Section 54.051;
(3) not less than six percent nor more than 20 percent
out of each resident student's hourly tuition charge exclusive of
out-of-district charges, and $1.50 out of each nonresident
student's hourly tuition charge, for academic courses at a public
community or junior college; and
(4) not less than six percent nor more than 20 percent
of hourly tuition charges exclusive of out-of-district charges for
vocational-technical courses at a public community or junior
college.
(b) Of the funds set aside under this section by an
institution, not less than 90 percent shall be used for Texas Public
Educational Grants and not more than 10 percent shall be used for
emergency loans under Subchapter D of this chapter.
(c) Except as otherwise provided by this subsection, funds
set aside for Texas Public Educational Grants under this section
from tuition paid by resident students may be used only for grants
awarded to resident students, and funds set aside for those grants
under this section from tuition paid by nonresident students may be
used only for grants awarded to nonresident students and students
who are citizens of countries other than the United States. After
the end of the sixth class week of each semester, an institution may
transfer any excess funds set aside from tuition paid by resident or
nonresident students to the funds set aside for grants awarded to
the other class of students. Priority for awarding grants from any
excess funds set aside from tuition paid by resident students shall
be given to resident students.
(d) Interest earned from the funds set aside for Texas
Public Educational Grants may be spent only for grants to students
as provided by this subchapter.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975. Amended by Acts 1985, 69th Leg., ch. 708, § 12, eff.
Aug. 26, 1985; Acts 1989, 71st Leg., ch. 805, § 3, eff. Aug. 28,
1989; Acts 1989, 71st Leg., ch. 1084, § 2.09, eff. Sept. 1,
1989; Acts 1991, 72nd Leg., ch. 287, § 27, eff. Sept. 1, 1991;
Acts 1991, 72nd Leg., 1st C.S., ch. 5, § 6.04, eff. Sept. 1,
1991; Acts 2001, 77th Leg., ch. 336, § 1, eff. May 26, 2001;
Acts 2003, 78th Leg., ch. 1070, § 3, eff. June 20, 2003.
§ 56.034. GUIDELINES FOR DETERMINING ELIGIBILITY AND
AWARDING GRANTS. (a) The governing boards of institutions of
higher education shall establish guidelines to determine
eligibility for awarding Texas Public Educational Grants subject to
the limitations of this section.
(b) Financial need shall be the only consideration in
establishing guidelines to determine a student's eligibility for a
grant except that returning students who are on scholastic
probation or all students on disciplinary probation may be deemed
ineligible at the governing board's discretion.
(c) Guidelines adopted shall be submitted to the
coordinating board, which is authorized to review and reject
guidelines it determines to be contrary to the purposes of this
section.
(1) In reviewing guidelines, the coordinating board
shall give consideration to differing needs of each institution and
desirability of this program being used to aid students who may have
demonstrable financial need but be ineligible for other aid
programs.
(2) If the coordinating board rejects guidelines
adopted by a governing board, it shall provide a written
explanation of such rejection and promulgate regulations allowing
governing boards to appeal such rejection.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975.
§ 56.035. TYPE OF GRANTS TO BE AWARDED. Texas Public
Educational Grants shall not be awarded for any specific purpose
other than meeting all or part of a student's demonstrated
financial need.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975. Amended by Acts 1985, 69th Leg., ch. 708, § 14, eff.
Aug. 26, 1986.
§ 56.036. TRANSFER OF GRANT FUNDS FOR USE AS MATCHING
FUNDS. Each institution of higher education is authorized to
transfer any or all of the funds set aside for the Texas Public
Educational Grant Program to the coordinating board to be used for
matching federal or other grant funds for awarding to students
attending that institution. Said scholarship fund transferred to
the coordinating board and all matching funds may be expended by the
coordinating board for awarding scholarships as provided herein and
in the general appropriation acts of the legislature.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975.
§ 56.037. PRIORITIES IN AWARDING MATCHING FUNDS. In
awarding matching funds to be used in conjunction with Texas Public
Educational Grants, the coordinating board shall give first
priority to those institutions and students showing the highest
amount of financial need.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975.
§ 56.038. RESTRICTIONS AND RETURN OF TRANSFERRED
FUNDS. The coordinating board may not use funds transferred to it
pursuant to this subchapter from one institution to award grants to
students of a different institution. Should matching funds be
unavailable for an institution, all funds transferred from that
institution to the coordinating board shall be returned to that
institution.
Added by Acts 1975, 64th Leg., p. 2323, ch. 720, § 1, eff. Sept.
1, 1975.
§ 56.039. FULL USE OF FUNDS. At the end of a fiscal
year, if the total amount of unencumbered funds that have been set
aside under this subchapter by an institution of higher education,
together with the total amount of unencumbered funds transferred by
that institution to the Coordinating Board, Texas College and
University System, exceeds 150 percent of the amount of funds set
aside by that institution in that fiscal year, the institution
shall transfer the excess amount to the coordinating board. The
coordinating board shall use funds transferred under this section
to award grants under Subchapter M.
Added by Acts 1985, 69th Leg., ch. 708, § 13, eff. Aug. 26, 1985.
Amended by Acts 1999, 76th Leg., ch. 1590, § 3, eff. June 19,
1999.
SUBCHAPTER D. EMERGENCY TUITION AND FEES LOANS
§ 56.051. EMERGENCY LOANS. Each institution of higher
education may establish an emergency loan program under which
students are loaned money to pay tuition and fees.
Added by Acts 1985, 69th Leg., ch. 708, § 15(a), eff. Aug. 26,
1985. Amended by Acts 1989, 71st Leg., ch. 805, § 4, eff. Aug.
28, 1989.
§ 56.052. ELIGIBILITY. The governing board of each
institution shall adopt rules establishing eligibility criteria.
The rules must allow eligible students to obtain loans on the basis
of the order of receipt of applications.
Added by Acts 1985, 69th Leg., ch. 708, § 15(a), eff. Aug. 26,
1985.
§ 56.053. TERMS. (a) The governing board of each
institution shall adopt rules providing for the terms of the loan,
subject to the following:
(1) the loan must be repaid over a period not to exceed
90 days for a loan made for a regular semester or long summer
session or over a proportionately shorter period for loans made for
a six-week summer session;
(2) the loan must be evidenced by a promissory note
that bears interest at a rate of not more than five percent per
year; and
Text of subsec. (a)(3) as amended by Acts 2001, 77th Leg., ch. 80,
§ 3
(3) the maximum loan amount per student may not be
greater than an amount equal to the tuition and required fees for
the courses in which the student is actually enrolling.
Text of subsec. (a)(3) as amended by Acts 2001, 77th Leg., ch. 655,
§ 6
(3) the maximum loan amount per student may not be less
than an amount equal to the tuition and required fees for the
courses in which the student is actually enrolling, unless the
institution determines that a lower amount would be in the best
interest of the student.
(b) The loan program must provide for making loans to
students whose tuition is paid on a basis other than semester credit
hours, and must provide loan terms analogous to the terms for
students paying tuition on the basis of semester credit hours.
Added by Acts 1985, 69th Leg., ch. 708, § 15(a), eff. Aug. 26,
1985. Amended by Acts 2001, 77th Leg., ch. 80, § 3, eff. May 14,
2001; Acts 2001, 77th Leg., ch. 655, § 6, eff. Sept. 1, 2001.
§ 56.054. SOURCE OF PROGRAM FUNDING. The loans shall be
made from the funds set aside for that purpose under Section 56.033
of this code.
Added by Acts 1985, 69th Leg., ch. 708, § 15(a), eff. Aug. 26,
1985.
§ 56.055. DEFERRED REPAYMENT. (a) It is the goal of
this state that no resident be denied the opportunity to receive an
education in a public institution of higher education due to a lack
of financial ability. Accordingly, on a finding that a resident
would be deprived of an education due to a lack of financial
ability, an institution shall defer repayment of emergency loans
under this section. The deferral provided for by this section is
not a property right of the borrower.
(b) The deferred repayment must begin on the earlier of the
following dates:
(1) the first day of the ninth month after the last
month in which the borrower was enrolled in a public institution of
higher education; or
(2) the fifth anniversary of the date on which the loan
was executed.
(c) Under rules adopted by the coordinating board, an
institution may extend the time for repayment of undergraduate
loans made to students who later enroll in a graduate or
professional program at an institution of higher education. The
coordinating board shall adopt guidelines for determinations of
extreme financial hardship and other instances in which the public
interest is served if a loan is forgiven. Each institution shall
forgive loans in accordance with those guidelines.
Added by Acts 1985, 69th Leg., ch. 708, § 15(a), eff. Aug. 26,
1985.
SUBCHAPTER E. TEXAS COLLEGE WORK-STUDY PROGRAM
§ 56.071. PROGRAM NAME. The student financial
assistance program authorized by this subchapter shall be known as
the Texas college work-study program.
Added by Acts 1989, 71st Leg., ch. 1151, § 1, eff. Aug. 28, 1989.
§ 56.072. PURPOSE. The purpose of this subchapter is to
provide eligible, financially needy students with jobs, funded in
part by the State of Texas, to enable those students to attend
eligible institutions of higher education, public or private, in
Texas.
Added by Acts 1989, 71st Leg., ch. 1151, § 1, eff. Aug. 28, 1989.
§ 56.073. ADMINISTRATIVE AUTHORITY. (a) The Texas
Higher Education Coordinating Board shall administer the Texas
college work-study program. The coordinating board shall work with
eligible institutions and employers to provide eligible students
with part-time jobs funded in part by the state.
(b) State support for this program may not exceed the amount
specified by appropriation.
Added by Acts 1989, 71st Leg., ch. 1151, § 1, eff. Aug. 28, 1989.
§ 56.074. ELIGIBLE INSTITUTION. An eligible
institution is:
(1) an institution of higher education; or
(2) a private or independent college, university,
association, agency, institution, or facility that is located in
this state which meets program standards and accreditation
comparable to public institutions as determined by the board.
Added by Acts 1989, 71st Leg., ch. 1151, § 1, eff. Aug. 28, 1989.
§ 56.075. ELIGIBLE STUDENT. (a) To be eligible for
employment in the work-study program a person must:
(1) be a Texas resident as defined by coordinating
board rules;
(2) be enrolled for at least one-half of a full course
load and conform to an individual course of study in an eligible
institution;
(3) establish financial need in accordance with
coordinating board procedures and rules; and
(4) comply with other requirements adopted by the
coordinating board under this subchapter.
(b) A person is not eligible to participate in the
work-study program if the person:
(1) receives an athletic scholarship; or
(2) is enrolled in a seminary or other program leading
to ordination or licensure to preach for a religious sect or to be a
member of a religious order.
Added by Acts 1989, 71st Leg., ch. 1151, § 1, eff. Aug. 28, 1989.
§ 56.076. ELIGIBLE EMPLOYER. An eligible institution
may enter into agreements with employers that participate in the
work-study program. To be eligible to participate in the
work-study program, an employer must:
(1) provide part-time employment to an eligible
student in nonpartisan and nonsectarian activities;
(2) provide, insofar as is practicable, employment to
an eligible student that is related to the student's academic
interests;
(3) use Texas college work-study program positions
only to supplement and not to supplant positions normally filled by
persons not eligible to participate in the work-study program;
(4) provide not less than 30 percent of an employed
student's wages and 100 percent of other employee benefits for the
employed student from sources other than federal college work-study
program funds, if the employer is a nonprofit entity; and
(5) provide not less than 50 percent of an employed
student's wages and 100 percent of other employee benefits for the
employed student, if the employer is a profit-making entity.
Added by Acts 1989, 71st Leg., ch. 1151, § 1, eff. Aug. 28, 1989.
§ 56.077. ADOPTION AND DISTRIBUTION OF RULES. (a) The
coordinating board may adopt reasonable rules, consistent with the
purposes and policies of this subchapter, to enforce the
requirements, conditions, and limitations expressed by this
subchapter.
(b) The coordinating board shall adopt rules necessary to
ensure compliance with the Civil Rights Act of 1964, Title VI (Pub.
L. No. 88-352), concerning nondiscrimination in admissions or
employment.
(c) The coordinating board shall distribute to each
eligible institution copies of all rules adopted under this
subchapter.
Added by Acts 1989, 71st Leg., ch. 1151, § 1, eff. Aug. 28, 1989.
§ 56.078. FUNDING. Funding to cover the state's
contribution toward the funding of the work-study program under
this subchapter is payable from funds appropriated for that
purpose.
Added by Acts 1989, 71st Leg., ch. 1151, § 1, eff. Aug. 28, 1989.
SUBCHAPTER F. DOCTORAL INCENTIVE LOAN REPAYMENT PROGRAM
§ 56.091. ESTABLISHMENT; ADMINISTRATION. (a) The
Texas Higher Education Coordinating Board shall establish and
administer the doctoral incentive loan repayment program as
provided by this subchapter and shall adopt rules as necessary to
administer the program.
(b) The purpose of the doctoral incentive loan repayment
program is to provide education loan repayment assistance to
individuals from groups that are underrepresented among the faculty
and administration of public and independent institutions of higher
education in this state to increase the number of individuals from
those underrepresented groups among the faculty and administration
of public and independent institutions of higher education in this
state.
(c) For purposes of this subchapter, an individual is from a
group that is underrepresented among the faculty and administration
of public and independent institutions of higher education in this
state if:
(1) the individual was from a low socioeconomic
background while pursuing the individual's undergraduate
education; or
(2) when the individual graduated from high school the
individual resided in an area from which a disproportionately low
number of high school graduates enrolled in postsecondary
educational institutions.
Added by Acts 2003, 78th Leg., ch. 820, § 47, eff. Sept. 1, 2003.
§ 56.092. ELIGIBILITY. To be eligible for loan
repayment assistance under the doctoral incentive loan repayment
program, an individual must:
(1) be employed as a full-time faculty or
administration member in a public or independent institution of
higher education in this state for at least one year;
(2) be a Texas resident;
(3) be from a group that is underrepresented among the
faculty and administration of public and independent institutions
of higher education in this state;
(4) have qualified for student financial aid based on
financial need while enrolled in a graduate-level degree program;
and
(5) comply with any other requirements adopted by the
coordinating board for the effective administration of the program.
Added by Acts 2003, 78th Leg., ch. 820, § 47, eff. Sept. 1, 2003.
§ 56.093. ELIGIBLE LOANS. The coordinating board may
provide repayment assistance under the doctoral incentive loan
repayment program for the repayment of any education loan received
by an eligible individual through any lender.
Added by Acts 2003, 78th Leg., ch. 820, § 47, eff. Sept. 1, 2003.
§ 56.094. LOAN REPAYMENT ASSISTANCE. (a) The
coordinating board may provide assistance in the repayment of an
eligible loan to an eligible individual in the amounts and under the
terms the coordinating board considers appropriate to further the
purposes of the doctoral incentive loan repayment program and the
best interests of this state.
(b) An individual may receive loan repayment assistance
under the doctoral incentive loan repayment program in a total
amount not to exceed $100,000.
Added by Acts 2003, 78th Leg., ch. 820, § 47, eff. Sept. 1, 2003.
§ 56.095. FUNDING; LIMITATION ON FUNDING. (a) The
doctoral incentive loan repayment program may be funded only from a
source provided by this section. The total amount of loan repayment
assistance paid under the program may not exceed the amount of money
available for the program under this section.
(b) Each institution of higher education shall set aside a
portion of the tuition collected from each student enrolled in a
doctoral degree program, other than a law or health professional
degree program, equal to $2 for each semester credit hour for which
the student is enrolled. The amount set aside shall be transferred
to the comptroller to be maintained in the state treasury for the
sole purpose of repayment of student loans of individuals employed
as faculty and administrators at institutions of higher education
in this state as provided by this subchapter. The money may be used
only to provide loan repayment under this subchapter and to cover
the costs of administering this subchapter.
(c) The coordinating board may solicit and accept gifts and
grants from any public or private source for the purposes of the
doctoral incentive loan repayment program.
Added by Acts 2003, 78th Leg., ch. 820, § 47, eff. Sept. 1, 2003.
§ 56.096. INITIAL IMPLEMENTATION.
Text of section effective until January 1, 2006
(a) The coordinating board shall provide loan repayments
under this subchapter beginning with the 2004-2005 academic year.
(b) The coordinating board shall adopt the initial rules for
awarding loan repayments under this subchapter as soon as
practicable after this subchapter becomes law. The coordinating
board may adopt those initial rules in the manner provided by law
for emergency rules.
(c) This section expires January 1, 2006.
Added by Acts 2003, 78th Leg., ch. 820, § 47, eff. Sept. 1, 2003.
SUBCHAPTER H. STUDENT LOAN REVENUE BOND PROGRAM
§ 56.121. PURPOSE. The purpose of this subchapter is to
provide loans to qualified students to enable those students to
attend institutions of higher education.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.122. DEFINITIONS. In this subchapter:
(1) "Board" means the Texas Higher Education
Coordinating Board.
(2) "Fund" means the student loan revenue bond fund.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.123. CREATION. (a) A special fund to be known as
the student loan revenue bond fund is created in the state treasury.
(b) The fund consists of proceeds from the sale of revenue
bonds and gifts or grants made to the board for purposes of the
fund.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.124. ADMINISTRATION. (a) The board shall
administer this subchapter.
(b) The board shall adopt and distribute to each institution
of higher education rules to administer this subchapter.
(c) The board may accept a gift or grant from a public or
private source for the purpose of this subchapter.
(d) The board shall create accounts in the fund that will
facilitate the administration of the fund and the program of making
loans from the fund under this subchapter.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.125. LOANS FROM FUND. (a) The board shall make a
loan from the fund to a student who qualifies for a loan under
Subchapter C, Chapter 52, of this code.
(b) Loans from the fund are governed by Subchapter C,
Chapter 52, of this code as if made under that subchapter, except to
the extent of conflict with this subchapter.
(c) The board may charge and collect a loan origination fee
from a student who receives a loan from the fund. The board may use
the fee to pay operating expenses for making loans under this
section.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.126. REVENUE BONDS. (a) The board may by
resolution authorize the issuance of revenue bonds to operate the
program of making loans from the fund under this subchapter. The
board may issue the bonds in the form, with the characteristics, and
bearing the designations provided in the resolution.
(b) The board may pledge all or part of the revenue derived
from the operation of the program of making loans from the fund to
secure the bonds.
(c) The board must issue the bonds in the manner provided by
Chapter 1201, Government Code.
(d) The bonds are special obligations of the board payable
only from designated income and receipts of the board, including
principal and interest payments on loans from the fund, income from
the accounts created in the fund, and receipts and other revenues
pledged to the retirement of the bonds.
(e) The bonds do not constitute indebtedness of the state.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
Amended by Acts 2001, 77th Leg., ch. 1420, § 8.221, eff. Sept. 1,
2001.
§ 56.127. REFUNDING BONDS. The board may by resolution
authorize the issuance of refunding bonds. The board may issue
refunding bonds in the manner and for the purposes provided by law.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.128. AMOUNT OF BONDS. The total amount of revenue
and refunding bonds issued by the board in a state fiscal year may
not exceed $75 million.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.129. INTEREST RATE. The revenue bonds or refunding
bonds must bear interest at a rate not to exceed the rate provided
by Chapter 1204, Government Code.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
Amended by Acts 2001, 77th Leg., ch. 1420, § 8.222, eff. Sept. 1,
2001.
§ 56.130. MATURITY. Bonds issued under this subchapter
may mature serially or otherwise not later than the 40th year after
the date of their issuance.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.131. EXECUTION OF BONDS. The commissioner of
higher education shall execute bonds issued under this subchapter
in the name of the board.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.132. APPROVAL AND REGISTRATION OF BONDS. (a) The
attorney general shall examine bonds issued under this subchapter
and the records relating to the bonds' issuance.
(b) If the attorney general finds that the bonds have been
issued in accordance with law, the attorney general shall approve
the bonds, and the comptroller of public accounts shall register
the bonds.
(c) Following approval and registration, the bonds are
incontestable and are binding obligations according to their terms.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.133. REPLACEMENT OF BOND. The board may provide
for the replacement of a bond issued under this subchapter that is
mutilated, lost, or destroyed.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.134. PROCEEDS. (a) The board shall deposit the
proceeds from the sale of the bonds issued under this subchapter in
the fund.
(b) The board may use the proceeds from the sale of the bonds
to pay the costs of issuing, marketing, or distributing the bonds.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
§ 56.135. LIMITATION OF AUTHORITY. The board may not
further issue bonds under this subchapter after the date on which a
constitutional amendment relating to the issuance of general
obligation bonds by the board for the purposes of student loans is
approved by the voters.
Added by Acts 1991, 72nd Leg., ch. 330, § 1, eff. June 5, 1991.
SUBCHAPTER I. TEXAS DEPARTMENT OF TRANSPORTATION CONDITIONAL GRANT
PROGRAM
§ 56.141. DEFINITIONS. In this subchapter:
(1) "Department" means the Texas Department of
Transportation.
(2) "Institution" means an institution of higher
education, as defined by Section 61.003 of this code, but does not
include a medical or dental unit or other agency of higher
education.
(3) "Eligible degree" means a baccalaureate degree
from an institution in a field of study that satisfies the
department's minimum education requirement for an eligible
profession.
(4) "Eligible profession" means the profession of
engineering or another profession as defined by department rule for
which the department determines there is a need in the department's
workforce.
(5) "Profession" means a state classified position for
which the minimum requirements include a baccalaureate degree.
Added by Acts 1991, 72nd Leg., ch. 551, § 29, eff. Sept. 1, 1991.
Renumbered from V.T.C.A., Education Code § 56.121 by Acts 1991,
72nd Leg., 1st C.S., ch. 14, § 8.01(9), eff. Nov. 12, 1991.
Amended by Acts 1995, 74th Leg., ch. 151, § 1, eff. Sept. 1,
1995; Acts 1995, 74th Leg., ch. 165, § 22(26), eff. Sept. 1,
1995; Acts 2003, 78th Leg., ch. 985, § 1, eff. Sept. 1, 2003;
Acts 2003, 78th Leg., ch. 1325, § 14.01, eff. Sept. 1, 2003.
§ 56.142. ESTABLISHMENT; ADMINISTRATION. (a) The
department shall establish and administer a conditional grant
program under this subchapter to provide financial assistance to
eligible students who agree to work for the department in an
eligible profession for the two academic years immediately
following the date of the student's receipt of an eligible degree.
(b) The department shall adopt and distribute to the
governing board of each institution copies of all rules adopted
under this subchapter.
Added by Acts 1991, 72nd Leg., ch. 551, § 29, eff. Sept. 1, 1991.
Renumbered from V.T.C.A., Education Code § 56.122 by Acts 1991,
72nd Leg., 1st C.S., ch. 14, § 8.01(9), eff. Nov. 12, 1991.
Amended by Acts 1995, 74th Leg., ch. 151, § 2, eff. Sept. 1,
1995; Acts 2003, 78th Leg., ch. 985, § 2, eff. Sept. 1, 2003;
Acts 2003, 78th Leg., ch. 1325, § 14.02, eff. Sept. 1, 2003.
§ 56.143. ELIGIBLE STUDENT. (a) To be eligible for a
conditional grant under this subchapter, a student must:
(1) complete and file with the department, on forms
prescribed by the department, a conditional grant application and a
declaration of intent to become a member of an eligible profession
and work for the department for the two academic years immediately
following the date of the student's receipt of an eligible degree;
(2) enroll in an institution;
(3) be a Texas resident, as defined by Texas Higher
Education Coordinating Board rule;
(4) be economically disadvantaged, as defined by
department rule; and
(5) have complied with any other requirements adopted
by the department under this subchapter.
(b) In determining who should receive a grant under this
program, the department:
(1) shall give highest priority to students who
demonstrate the greatest financial need; and
(2) may consider whether the applicant would be the
first generation of the applicant's family to attend or graduate
from an undergraduate program or from a graduate or professional
program.
Added by Acts 1991, 72nd Leg., ch. 551, § 29, eff. Sept. 1, 1991.
Renumbered from V.T.C.A., Education Code § 56.123 by Acts 1991,
72nd Leg., 1st C.S., ch. 14, § 8.01(9), eff. Nov. 12, 1991.
Amended by Acts 1995, 74th Leg., ch. 151, § 3, eff. Sept. 1,
1995; Acts 2003, 78th Leg., ch. 985, § 3, eff. Sept. 1, 2003;
Acts 2003, 78th Leg., ch. 1325, § 14.03, eff. Sept. 1, 2003.
§ 56.144. AMOUNT AND PAYMENT OF CONDITIONAL
GRANTS. (a) The department by rule shall prescribe criteria for
the selection of applicants for grants under this subchapter. The
criteria must include consideration of a student's secondary school
scholastic record.
(b) Each semester the department shall distribute a
conditional grant to each student selected under the criteria
adopted under Subsection (a) on receipt of an enrollment report
from the institution enrolling the student and certification from
the institution of the amount of tuition and fees for the student.
(c) The amount of a conditional grant is the sum of:
(1) the certified amount of tuition and fees for the
student; and
(2) a stipend for each whole calendar month in the
semester in an amount determined by the department based on
financial need.
(d) The total amount of all conditional grants distributed
by the department may not exceed the amount appropriated for the
grant program under this subchapter.
(e) The department shall proportionately reduce the amount
of each unpaid conditional grant if the amount appropriated for the
conditional grants is less than the estimated amount of all unpaid
conditional grants.
Added by Acts 1991, 72nd Leg., ch. 551, § 29, eff. Sept. 1, 1991.
Renumbered from V.T.C.A., Education Code § 56.124 by Acts 1991,
72nd Leg., 1st C.S., ch. 14, § 8.01(9), eff. Nov. 12, 1991.
Amended by Acts 1995, 74th Leg., ch. 151, § 4, eff. Sept. 1,
1995.
§ 56.145. REPAYMENT OF CONDITIONAL GRANT. (a) The
department by rule may establish conditions under which a student
who has received a conditional grant may be required to repay all or
part of the grant because the student has withdrawn from or dropped
out of the student's institution or has otherwise failed to
maintain eligibility for the grant.
(b) A student who does not become a member of an eligible
profession and work for the department for the two academic years
immediately following the date of the student's receipt of an
eligible degree must repay all conditional grants received by the
student.
(c) The department shall establish a schedule for
installment repayment under this section.
Added by Acts 1991, 72nd Leg., ch. 551, § 29, eff. Sept. 1, 1991.
Renumbered from V.T.C.A., Education Code § 56.125 by Acts 1991,
72nd Leg., 1st C.S., ch. 14, § 8.01(9), eff. Nov. 12, 1991.
Amended by Acts 1995, 74th Leg., ch. 151, § 5, eff. Sept. 1,
1995.
§ 56.147. FUNDING. (a) The department may accept
gifts and grants from any public or private source for the
conditional grant program under this subchapter and may also use
for that purpose available money credited to the state highway
fund.
(b) The department shall issue not less than $400,000
annually in conditional grants under this subchapter from money
available to fund the conditional grant program.
(c) The department may provide outreach programs to recruit
students into the conditional grant program.
Added by Acts 1991, 72nd Leg., ch. 551, § 29, eff. Sept. 1, 1991.
Renumbered from V.T.C.A., Education Code § 56.127 by Acts 1991,
72nd Leg., 1st C.S., ch. 14, § 8.01(9), eff. Nov. 12, 1991.
Amended by Acts 1995, 74th Leg., ch. 151, § 6, eff. Sept. 1,
1995; Acts 1995, 74th Leg., ch. 165, § 22(28), eff. Sept. 1,
1995; Acts 2003, 78th Leg., ch. 985, § 4, eff. Sept. 1, 2003;
Acts 2003, 78th Leg., ch. 1325, § 14.04, eff. Sept. 1, 2003.
SUBCHAPTER J. MINORITY DOCTORAL INCENTIVE PROGRAM
§ 56.161. DEFINITIONS. In this subchapter:
(1) "Academic administrator" means a person employed
by an institution as a supervisor in an educational department of
the institution in a position that is not classified under the state
position classification plan.
(2) "Board" means the Texas Higher Education
Coordinating Board.
(3) "Faculty member" has the meaning assigned by
Section 51.101 of this code.
(4) "Institution" means an institution of higher
education, as defined by Section 61.003 of this code, or a private
college or university that is located in this state and is
accredited by a recognized accrediting agency, as defined by
Section 61.003 of this code.
(5) "Minority" means a group that is significantly
underrepresented in an academic discipline, as determined by board
rule.
(6) "Program" means the minority doctoral incentive
program established under this subchapter.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
§ 56.162. ESTABLISHMENT; ADMINISTRATION. (a) The
board shall establish and administer the minority doctoral
incentive program to:
(1) provide loans to minority students who pursue
doctorates or pursue master's degrees and commit to pursue a
doctorate; and
(2) increase minority representation among the
faculty and administration of institutions.
(b) The board shall adopt and distribute to the governing
board of each institution copies of all rules adopted under this
subchapter.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
§ 56.163. ELIGIBILITY. (a) To be eligible for a loan
under this subchapter, a person must:
(1) be accepted for admission to an institution as a
full-time graduate student in a doctoral program approved by the
board or be accepted for admission to an institution as a full-time
graduate student in a master's program approved by the board and
demonstrate a commitment to pursue a doctoral program approved by
the board;
(2) be sponsored by a faculty member of the program in
which the person is enrolled;
(3) be nominated by the institution in which the
person is enrolled based on academic achievement, career interest,
and other factors the institution considers relevant;
(4) not have defaulted on another student loan; and
(5) have complied with any other requirements adopted
by the board under this subchapter.
(b) The board shall adopt eligibility requirements under
Subsection (a)(5) of this section to ensure that Texas residents,
as defined by board rule, are first given the opportunity to receive
loans under this subchapter.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
§ 56.164. TUITION CHARGED CERTAIN NONRESIDENT LOAN
RECIPIENTS. If a loan recipient is a resident of another state
that has a program that is similar to the program under this
subchapter and the loan recipient enrolls at an institution of
higher education, as defined by Section 61.003 of this code, the
institution may charge the loan recipient only the tuition required
for resident students under Subchapter B, Chapter 54, of this code.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
§ 56.165. LOAN DISBURSEMENT. (a) If an eligible
student applies for a loan from a lending institution, the board
shall provide the institution a conditional guaranty of the loan,
in accordance with Section 56.170 of this code, on the board's
receipt of:
(1) the student's application to the board for a
conditional guaranty;
(2) a verification of the student's enrollment from
the institution enrolling the student;
(3) a certification from the institution enrolling the
student of the amount of tuition and fees for the student; and
(4) a certification from the lending institution that
the terms of the loan conform with the requirements of Section
56.166 of this code, including requirements adopted by the board
under that section, and that the lending institution agrees to
suspend interest on the student's loan as provided by Sections
56.168 and 56.169 of this code.
(b) If an eligible student applies for a loan from the
board, the board shall provide a loan in an amount determined by the
board to the student on the board's receipt of:
(1) the student's application to the board for a loan;
(2) a verification of the student's enrollment from
the institution enrolling the student; and
(3) a certification from the institution enrolling the
student of the amount of tuition and fees for the student.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
§ 56.166. TERMS OF LOAN. (a) A loan must be evidenced
by a promissory note that provides for the repayment of the loan
with interest and for the charging of necessary collection costs.
(b) Except as provided by Sections 56.168 and 56.169 of this
code, a loan must be repayable, at the option of the board, in equal
monthly installments over a period beginning with the first day of
the seventh month after the date on which the recipient ceases to be
enrolled in a graduate program at an institution.
(c) A loan must bear simple interest at a rate determined by
the board.
(d) A loan provided under this subchapter may not exceed
$14,000 each year for a maximum of four years.
(e) The board shall determine the other terms of a loan.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
§ 56.167. MENTORS. The institution at which a student
who receives a loan is enrolled shall provide the student with a
mentor who is a faculty member at the institution to assist the
student in pursuing a master's or doctoral degree.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
§ 56.168. POSTDOCTORAL FELLOWSHIP. (a) A loan
recipient is eligible for suspension of the recipient's loan if the
recipient enters a postdoctoral fellowship not later than the first
day of the seventh month after the date on which the recipient
ceases to be enrolled in a doctoral program at an institution.
(b) The board shall suspend the accrual of interest and the
repayment of principal and interest on an eligible recipient's loan
until a date determined by board rule.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
§ 56.169. LOAN SUSPENSION AND FORGIVENESS. (a) A loan
recipient is eligible for suspension and forgiveness of the
recipient's loan if, after the recipient obtains a doctorate, the
recipient is employed as a full-time faculty member or academic
administrator at an institution.
(b) In accordance with Subsections (c), (d), and (e) of this
section, the board shall suspend the accrual of interest and
forgive the repayment of a loan made to an eligible recipient.
(c) The board shall suspend the accrual of interest and the
repayment of principal and interest on an eligible recipient's loan
until the recipient is not employed as a full-time faculty member or
academic administrator at an institution.
(d) The board shall forgive the repayment of 20 percent of
the unpaid principal balance and all accrued interest of an
eligible recipient's loan for each academic year of service by the
recipient as a full-time faculty member or academic administrator
at an institution.
(e) A loan to an eligible recipient is repayable under the
terms of Section 56.166 of this code beginning with the first day of
the seventh month after the date on which the recipient
discontinues full-time study and is not employed as a full-time
faculty member or academic administrator at an institution and must
be repaid in full not later than the 10th anniversary of the date on
which the loan becomes repayable.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
§ 56.170. CONDITIONAL GUARANTY. A conditional guaranty
of a loan under Section 56.165(a) of this code must provide that the
board shall repay the lending institution to which the guaranty is
executed the amount of the loan that the board would be required to
forgive under Section 56.169 of this code if the loan had been made
by the board.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
§ 56.171. FUNDING. (a) The board may accept gifts and
grants from a public or private source for the program.
(b) Gifts, grants, and other funds appropriated by the
legislature may be used for the program.
Added by Acts 1993, 73rd Leg., ch. 75, § 1, eff. May 4, 1993.
SUBCHAPTER K. EARLY HIGH SCHOOL GRADUATION SCHOLARSHIP PROGRAM
§ 56.201. PROGRAM NAME. The student financial
assistance program authorized by this subchapter is known as the
Early High School Graduation Scholarship program.
Added by Acts 1995, 74th Leg., ch. 260, § 19, eff. May 30, 1995;
Acts 1995, 74th Leg., ch. 620, § 2, eff. Aug. 28, 1995.
§ 56.202. PURPOSE. (a) The Early High School
Graduation Scholarship program is created to increase efficiency in
the Foundation School Program and to provide assistance for tuition
and mandatory fees to an eligible person to enable that person to
attend a Texas public or private institution of higher education.
(b) A portion of the savings to the Foundation School
Program that occur as a result of the program is dedicated to state
credits for tuition and mandatory fees provided to an eligible
person under the program.
Added by Acts 1995, 74th Leg., ch. 260, § 19, eff. May 30, 1995;
Acts 1995, 74th Leg., ch. 620, § 2, eff. Aug. 28, 1995. Amended
by Acts 2003, 78th Leg., ch. 1317, § 1, eff. Sept. 1, 2003.
§ 56.203. ELIGIBLE PERSON.
Text of section as amended by Acts 2003, 78th Leg., ch. 365, § 1
(a) To be eligible for the Early High School Graduation
Scholarship program, a person must:
(1) have the written approval of at least one of the
person's parents or a person standing in parental relation to the
person;
(2) have successfully completed the recommended or
advanced high school program established under Section 28.025 in
not more than 36 consecutive months and graduated or be eligible for
graduation from a Texas public high school;
(3) have attended high school in this state only; and
(4) be a Texas resident as defined by Texas Higher
Education Coordinating Board rule.
(b) A person who does not satisfy the curriculum
requirements of Subsection (a)(2) is considered to have satisfied
those requirements if the high school from which the person
graduated indicates on the person's transcript that the person was
unable to complete the appropriate curriculum within the time
prescribed by that subsection solely because necessary courses were
unavailable to the person at the appropriate times in the person's
high school career as a result of course scheduling, lack of
enrollment capacity, or another cause not within the person's
control.
Added by Acts 1995, 74th Leg., ch. 260, § 19, eff. May 30, 1995;
Acts 1995, 74th Leg., ch. 620, § 2, eff. Aug. 28, 1995; Amended
by Acts 2003, 78th Leg., ch. 365, § 1, eff. Sept. 1, 2003.
For text of section as amended by Acts 2003, 78th Leg., ch. 1317,
§ 2, see § 56.203, post.
§ 56.203. ELIGIBLE PERSON.
Text of section as amended by Acts 2003, 78th Leg., ch. 1317, § 2
(a) To be eligible for the Early High School Graduation
Scholarship program, a person must:
(1) have the written approval of at least one of the
person's parents or a person standing in parental relation to the
person, if the person graduated from high school in not more than 41
consecutive months;
(2) have successfully completed the recommended or
advanced high school program established under Section 28.025 and
graduated from a Texas public high school in not more than 41
consecutive months or, if the person graduated with at least 30
hours of college credit, in not more than 45 consecutive months;
(3) have attended high school in this state only; and
(4) be a Texas resident as defined by Texas Higher
Education Coordinating Board rule.
(b) A person's eligibility for the Early High School
Graduation Scholarship program ends on the sixth anniversary of the
date that the person first becomes eligible to participate in the
program, unless the person is provided additional time to
participate in the program under Subsection (c).
(c) The coordinating board shall adopt rules to provide a
person who is otherwise eligible to participate in the Early High
School Graduation Scholarship program additional time to use a
state credit for tuition and mandatory fees under the program. The
rules must require a person seeking an extension under this
subsection to show hardship or other good cause that prevents the
person from enrolling in or continuing enrollment in an eligible
institution during the period provided by Subsection (b). For
purposes of this subsection, hardship or other good cause includes
a severe illness or other debilitating condition or responsibility
for the care of a sick, injured, or needy person.
(d) A person who does not satisfy the curriculum
requirements of Subsection (a)(2) is considered to have satisfied
those requirements if the high school from which the person
graduated indicates on the person's transcript that the person was
unable to complete the appropriate curriculum within the time
prescribed by that subsection solely because necessary courses were
unavailable to the person at the appropriate times in the person's
high school career as a result of course scheduling, lack of
enrollment capacity, or another cause not within the person's
control.
Added by Acts 1995, 74th Leg., ch. 260, § 19, eff. May 30, 1995;
Acts 1995, 74th Leg., ch. 620, § 2, eff. Aug. 28, 1995. Amended
by Acts 2003, 78th Leg., ch. 1317, § 2, eff. Sept. 1, 2003.
For text of section as amended by Acts 2003, 78th Leg., ch. 365,
§ 1, see § 56.203, ante.
§ 56.204. ENTITLEMENT; MATCHING CREDIT. (a) An
eligible person under the Early High School Graduation Scholarship
program is entitled to a state credit to pay tuition and mandatory
fees at a public or private institution of higher education in this
state in the following amounts:
(1) $2,000 if the person successfully completed the
recommended or advanced high school program established under
Section 28.025 and graduated from high school in 36 consecutive
months or less and an additional $1,000 if the person graduated with
at least 15 hours of college credit;
(2) $500 if the person successfully completed the
recommended or advanced high school program established under
Section 28.025 and graduated from high school in more than 36
consecutive months but not more than 41 consecutive months and an
additional $1,000 if the person graduated with at least 30 hours of
college credit; or
(3) $1,000 if the person successfully completed the
recommended or advanced high school program established under
Section 28.025 and graduated from high school in more than 41
consecutive months but not more than 45 consecutive months with at
least 30 hours of college credit.
(b) The use of a credit at a private institution is
contingent on a private institution's agreement to match the state
credit.
(c) A person eligible for a tuition credit under the tuition
credit program authorized by Rider 23, page III-9, Chapter 19, Acts
of the 72nd Legislature, 1st Called Session, 1991 (the General
Appropriations Act), who did not receive a credit under that
program is eligible for and entitled to $ 1,000 in state tuition
credits under this subchapter. This subsection expires September
1, 2005.
Added by Acts 1995, 74th Leg., ch. 260, § 19, eff. May 30, 1995;
Acts 1995, 74th Leg., ch. 620, § 2, eff. Aug. 28, 1995. Amended
by Acts 2003, 78th Leg., ch. 1317, § 3, eff. Sept. 1, 2003.
§ 56.205. ISSUANCE OF CERTIFICATE. The coordinating
board shall provide a certificate for state credits for tuition and
mandatory fees to an eligible person.
Added by Acts 1995, 74th Leg., ch. 260, § 19, eff. May 30, 1995;
Acts 1995, 74th Leg., ch. 620, § 2, eff. Aug. 28, 1995. Amended
by Acts 2003, 78th Leg., ch. 1317, § 4, eff. Sept. 1, 2003.
§ 56.206. USE OF STATE CREDIT. (a) On enrollment of an
eligible person in an eligible institution of higher education, the
institution shall apply to the person's charges for tuition and
mandatory fees for the enrollment period an amount equal to the
lesser of:
(1) the amount of the state credit available to the
person; or
(2) the person's actual tuition and mandatory fees.
(b) A private institution of higher education shall apply
the state credit and the matching credit required by Section
56.204(b) in equal amounts.
(c) For each student using a state credit for tuition and
mandatory fees under this subchapter, the institution of higher
education shall report to the coordinating board:
(1) the student's name;
(2) the school district from which the student
graduated from high school; and
(3) the amount of the state credit applied.
(d) Subject to Section 56.203(b), an eligible person may use
the state credit for enrollment in an eligible institution of
higher education during any semester or summer session, except the
person's initial use of the credit may not be for enrollment during
any term of a summer session immediately following the person's
graduation from high school.
Added by Acts 1995, 74th Leg., ch. 260, § 19, eff. May 30, 1995;
Acts 1995, 74th Leg., ch. 620, § 2, eff. Aug. 28, 1995. Amended
by Acts 2003, 78th Leg., ch. 1317, § 5, eff. Sept. 1, 2003.
§ 56.207. PAYMENT OF STATE CREDIT. (a) At least once
each year the coordinating board shall submit a report to the
commissioner of education that includes:
(1) the name of each student who used the state credit
under this subchapter during the period covered by the report;
(2) the school district from which each student
graduated from high school; and
(3) the amount of the state credit used by each student
during the period covered by the report.
(b) On receipt of a report from the coordinating board under
Subsection (a), the commissioner shall transfer to the coordinating
board, from funds appropriated for the Foundation School Program,
an amount sufficient to pay each eligible institution of higher
education the amount of state credit for tuition and mandatory fees
that is applied by the institution during the period covered by the
report.
(c) The coordinating board shall distribute the appropriate
amount of funds to each eligible institution when the board
receives the funds under Subsection (b).
Added by Acts 1995, 74th Leg., ch. 260, § 19, eff. May 30, 1995;
Acts 1995, 74th Leg., ch. 620, § 2, eff. Aug. 28th, 1995.
Amended by Acts 1997, 75th Leg., ch. 205, § 1, eff. Sept. 1,
1997; Acts 2003, 78th Leg., ch. 1317, § 6, 7, eff. Sept. 1, 2003.
§ 56.2075. PAYMENT OF SCHOOL DISTRICT CREDIT. (a) A
school district is entitled to a one-time credit of:
(1) $1,000 for each eligible person graduating from
high school in the district who uses any part of a state credit of
$2,000 or more under Section 56.204(a)(1); and
(2) $250 for each eligible person graduating from high
school in the district who uses any part of a state credit of $500 or
more under Section 56.204(a)(2).
(b) The commissioner shall distribute money from the
foundation school fund in an amount sufficient to pay each school
district under Subsection (a).
Added by Acts 2003, 78th Leg., ch. 1317, § 8, eff. Sept. 1, 2003.
§ 56.208. FUNDING. (a) The Early High School
Graduation Scholarship program is financed under the Foundation
School Program. Funding for the state tuition credits is not
subject to the provisions of Sections 42.253(e) through (k).
(b) The commissioner of education shall reduce the total
annual amount of foundation school fund payments made to a school
district by an amount equal to F x A, where:
(1) "F" is the lesser of one or the quotient of the
district's local share for the preceding school year under Section
42.252 divided by the amount of money to which the district was
entitled under Subchapters B and C, Chapter 42, for the preceding
school year; and
(2) "A" is the amount of state tuition credits under
this subchapter applied by institutions of higher education on
behalf of eligible persons who graduated from the district that has
not been used to compute a previous reduction under this
subsection.
(c) A school district that does not receive foundation
school fund payments during a year in which the commissioner would
otherwise withhold money from the district under Subsection (b)
shall remit an amount equal to the amount that would be withheld
under Subsection (b) to the comptroller for deposit to the credit of
the foundation school fund.
(d) Repealed by Acts 1997, 75th Leg., ch. 1071, § 30,
eff. Sept. 1, 1997.
Added by Acts 1995, 74th Leg., ch. 260, § 19, eff. May 30, 1995;
Acts 1995, 74th Leg., ch. 620, § 2, eff. Aug. 28, 1995. Amended
by Acts 1997, 75th Leg., ch. 1071, § 30, eff. Sept. 1, 1997.
§ 56.209. ADOPTION AND DISTRIBUTION OF RULES. (a) The
coordinating board shall adopt rules to administer this subchapter.
(b) The coordinating board shall distribute copies of all
rules adopted under this subchapter to each eligible institution of
higher education and to each school district.
Added by Acts 1995, 74th Leg., ch. 260, § 19, eff. May 30, 1995;
Acts 1995, 74th Leg., ch. 620, § 2, eff. Aug. 28, 1995.
SUBCHAPTER L. STUDENT ENDOWMENT SCHOLARSHIP AND INTERNSHIP PROGRAM
§ 56.241. DEFINITION. In this subchapter, "general
academic teaching institution" has the meaning assigned by Section
61.003.
Added by Acts 1999, 76th Leg., ch. 1473, § 1, eff. Sept. 1, 1999.
§ 56.242. STUDENT ENDOWMENT SCHOLARSHIP AND INTERNSHIP
PROGRAM. The Student Endowment Scholarship and Internship Program
is an optional state grant program for all general academic
teaching institutions.
Added by Acts 1999, 76th Leg., ch. 1473, § 1, eff. Sept. 1, 1999.
§ 56.243. ELECTION TO PARTICIPATE. Not later than
September 1, 2004, a general academic teaching institution may
elect to participate in the Student Endowment Scholarship and
Internship Program. For the institution to make the election, the
student government of the institution must determine by official
action that the program would benefit the institution. If the
student government determines that the program would benefit the
institution, in a general election called for that purpose a
majority of the students of the institution voting in the election
must approve an additional fee and the potential matching grant
from the state. If the majority approves the additional fee and
potential matching grant from the state, the governing board of the
institution shall impose and decide the structure of the additional
fee.
Added by Acts 1999, 76th Leg., ch. 1473, § 1, eff. Sept. 1, 1999.
§ 56.244. TYPES OF SCHOLARSHIPS; INTERNSHIP. A general
academic teaching institution shall provide financial assistance
under this subchapter through scholarships based on leadership,
financial need, and academic achievement and through an internship
program.
Added by Acts 1999, 76th Leg., ch. 1473, § 1, eff. Sept. 1, 1999.
§ 56.245. ELIGIBILITY. (a) With the assistance of an
advisory committee established by the governing board, the
governing board of the general academic teaching institution shall:
(1) determine the eligibility requirements for
scholarships or internship funding; and
(2) select students to receive the scholarships or
internship funding.
(b) A student is not eligible for a student endowment
scholarship or student endowment internship funding if the student
is on disciplinary or academic probation or if the student is not
enrolled at the institution.
(c) The institution may provide financial assistance under
this subchapter to students in any field or major designated by the
institution.
Added by Acts 1999, 76th Leg., ch. 1473, § 1, eff. Sept. 1, 1999.
§ 56.246. AMOUNT OF SCHOLARSHIP OR INTERNSHIP
FUNDING. (a) During the five-year period during which the
institution may receive state matching funds, the amount of student
endowment scholarship funding for an internship may not exceed $500
per semester or summer session.
(b) The amount of a student endowment scholarship may not
exceed the amount of tuition and required fees that a student would
be charged by the institution.
(c) The amount of student endowment internship funding may
not exceed the amount of tuition and required fees that a student
would be charged by the institution during the student's period of
internship.
(d) On receipt of a scholarship or internship funding under
this subchapter, a student must comply with any applicable
conditions of the scholarship or internship funding.
Added by Acts 1999, 76th Leg., ch. 1473, § 1, eff. Sept. 1, 1999.
§ 56.247. STUDENT ENDOWMENT FUND. (a) Each
institution shall establish a student endowment fund consisting of
the revenue from the additional student fee, the state matching
funds appropriated for the purpose, and the interest and other
income from investment of the fund. The fund shall be invested by
the governing board in accordance with the policies governing
investment of other funds held and invested by the board on behalf
of the institution.
(b) Scholarships and internships shall be paid from the
fund, subject to the requirements of this section and Section
56.246.
(c) Scholarships and internships may be paid from both the
income and the principal of the fund, except that after the
five-year period during which state matching funds are payable, for
any year not more than five percent of the principal of the fund may
be expended for scholarships and internships.
(d) For purposes of this section, five percent of the
capital gains for any year from investment of the fund is considered
income.
Added by Acts 1999, 76th Leg., ch. 1473, § 1, eff. Sept. 1, 1999.
SUBCHAPTER M. TOWARD EXCELLENCE, ACCESS, & SUCCESS (TEXAS) GRANT
PROGRAM
§ 56.301. 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) "Private or independent institution of higher
education," "public junior college," and "public technical
institute" have the meanings assigned by Section 61.003.
Added by Acts 1999, 76th Leg., ch. 1590, § 1, eff. June 19, 1999.
§ 56.302. PROGRAM NAME; PURPOSE. (a) The student
financial assistance program authorized by this subchapter is known
as the Toward EXcellence, Access, & Success (TEXAS) grant program,
and an individual grant awarded under this subchapter is known as a
TEXAS grant.
(b) The purpose of this subchapter is to provide a grant of
money to enable eligible students to attend public and private
institutions of higher education in this state.
Added by Acts 1999, 76th Leg., ch. 1590, § 1, eff. June 19, 1999.
§ 56.303. ADMINISTRATION OF PROGRAM. (a) The
coordinating board shall administer the TEXAS grant program and
shall adopt any rules necessary to implement the TEXAS grant
program or this subchapter. The coordinating board shall consult
with the student financial aid officers of eligible institutions in
developing the rules.
(b) The coordinating board shall adopt rules to provide a
TEXAS grant to an eligible student enrolled in an eligible
institution in the most efficient manner possible.
(c) The total amount of TEXAS grants awarded may not exceed
the amount available for the program from appropriations, gifts,
grants, or other funds.
(d) In determining who should receive a TEXAS grant, the
coordinating board and the eligible institutions shall give highest
priority to awarding TEXAS grants to students who demonstrate the
greatest financial need.
Added by Acts 1999, 76th Leg., ch. 1590, § 1, eff. June 19, 1999.
§ 56.304. INITIAL ELIGIBILITY FOR GRANT. (a) To be
eligible initially for a TEXAS grant, a person must:
(1) be a resident of this state as determined by
coordinating board rules;
(2) meet either of the following academic
requirements:
(A) be a graduate of a public or accredited
private high school in this state who graduated not earlier than the
1998-1999 school year and who completed the recommended or advanced
high school curriculum established under Section 28.002 or 28.025
or its equivalent; or
(B) have received an associate degree from an
eligible institution not earlier than May 1, 2001;
(3) meet financial need requirements as defined by the
coordinating board;
(4) be enrolled in an undergraduate degree or
certificate program at an eligible institution;
(5) be enrolled as:
(A) an entering undergraduate student for at
least three-fourths of a full course load for an entering
undergraduate student, as determined by the coordinating board, not
later than the 16th month after the date of the person's graduation
from high school; or
(B) an entering student for at least
three-fourths of a full course load for an undergraduate student as
determined by the coordinating board, not later than the 12th month
after the month the person receives an associate degree from an
eligible institution;
(6) have applied for any available financial aid or
assistance; and
(7) comply with any additional nonacademic
requirement adopted by the coordinating board under this
subchapter.
(b) A person is not eligible to receive a TEXAS grant if the
person has been convicted of a felony or an offense under Chapter
481, Health and Safety Code (Texas Controlled Substances Act), or
under the law of another jurisdiction involving a controlled
substance as defined by Chapter 481, Health and Safety Code, unless
the person has met the other applicable eligibility requirements
under this subchapter and has:
(1) received a certificate of discharge by the Texas
Department of Criminal Justice or a correctional facility or
completed a period of probation ordered by a court, and at least two
years have elapsed from the date of the receipt or completion; or
(2) been pardoned, had the record of the offense
expunged from the person's record, or otherwise has been released
from the resulting ineligibility to receive a grant under this
subchapter.
(c) A person is not eligible to receive a TEXAS grant if the
person has been granted a baccalaureate degree.
(d) A person may not receive a TEXAS grant for more than 150
semester credit hours or the equivalent.
(e) A person's eligibility for a TEXAS grant ends on the
sixth anniversary of the initial award of a TEXAS grant to the
person and the person's enrollment in an eligible institution,
unless the person is provided additional time during which the
person may receive a TEXAS grant under this subsection. The
coordinating board shall adopt rules to provide a person who is
otherwise eligible to receive a TEXAS grant additional time during
which the person may receive a TEXAS grant in the event of a
hardship or other good cause shown that prevents the person from
continuing the person's enrollment during the period the person
would otherwise have been eligible to receive a TEXAS grant,
including a showing of a severe illness or other debilitating
condition or that the person is or was responsible for the care of a
sick, injured, or needy person.
(f) The requirement in Subsection (a)(2) that a person must
have completed the recommended or advanced high school curriculum
does not apply to a person who:
(1) attended a public high school in a school district
if that district certifies to the commissioner of education that
the high school did not offer all the necessary courses for a person
to complete all parts of the recommended or advanced high school
curriculum; and
(2) completed all courses at the high school offered
toward the completion of the recommended or advanced high school
curriculum.
(g) Not later than March 1 of each year, the commissioner of
education shall provide to the coordinating board a list of all the
public high schools that do not offer all the courses necessary to
complete all parts of the recommended or advanced high school
curriculum as described by Subsection (f)(1).
(h) The coordinating board shall adopt rules to allow a
person who is otherwise eligible to receive a TEXAS grant, in the
event of a hardship or for other good cause shown, including a
showing of a severe illness or other debilitating condition that
may affect the person's academic performance or that the person is
responsible for the care of a sick, injured, or needy person and
that the person's provision of care may affect the person's academic
performance, to receive a TEXAS grant while enrolled in a number of
semester credit hours that is less than the number of semester
credit hours required under Subsection (a)(5). The coordinating
board may not allow a person to receive a TEXAS grant while enrolled
in fewer than six semester credit hours.
Added by Acts 1999, 76th Leg., ch. 1590, § 1, eff. June 19, 1999.
Amended by Acts 2001, 77th Leg., ch. 1261, § 1, eff. June 15,
2001.
§ 56.3041. INITIAL ELIGIBILITY OF PERSON ON TRACK TO
COMPLETE RECOMMENDED OR ADVANCED CURRICULUM. (a) If at the time
an eligible institution awards TEXAS grants to initial recipients
for an academic year an applicant has not completed high school or
the applicant's final high school transcript is not yet available
to the institution, the student is considered to have satisfied the
requirements of Section 56.304(a)(2)(A) if the student's available
high school transcript indicates that at the time the transcript
was prepared the student was on schedule to graduate from high
school and to complete the recommended or advanced high school
curriculum or its equivalent, as applicable to the student, in time
to be eligible for a TEXAS grant for the academic year.
(b) The coordinating board or the eligible institution may
require the student to forgo or repay the amount of an initial TEXAS
grant awarded to the student as described by Subsection (a) if the
student fails to complete the recommended or advanced high school
curriculum or its equivalent after the issuance of the available
high school transcript.
(c) A person who is required to forgo or repay the amount of
an initial TEXAS grant under Subsection (b) may become eligible to
receive an initial TEXAS grant under Section 56.304 by satisfying
the associate degree requirement prescribed by Section
56.304(a)(2)(B) and the other applicable requirements of that
section at the time the person reapplies for the grant.
(d) A person who receives an initial TEXAS grant under
Subsection (a) and is not required to forgo or repay the amount of
the grant under Subsection (b) may become eligible to receive a
subsequent TEXAS grant under Section 56.305 only by satisfying the
associate degree requirement prescribed by Section 56.304(a)(2)(B)
in addition to the requirements of Section 56.305 at the time the
person applies for the subsequent grant.
Added by Acts 2003, 78th Leg., ch. 919, § 1, eff. June 20, 2003.
§ 56.305. CONTINUING ELIGIBILITY AND ACADEMIC
PERFORMANCE REQUIREMENTS. (a) After initially qualifying for a
TEXAS grant, a person may continue to receive a TEXAS grant during
each semester or term in which the person is enrolled at an eligible
institution only if the person:
(1) meets financial need requirements as defined by
the coordinating board;
(2) is enrolled in an undergraduate degree or
certificate program at an eligible institution;
(3) is enrolled for at least three-fourths of a full
course load for an undergraduate student, as determined by the
coordinating board;
(4) makes satisfactory academic progress toward an
undergraduate degree or certificate; and
(5) complies with any additional nonacademic
requirement adopted by the coordinating board.
(b) A person is not eligible to continue to receive a TEXAS
grant under this section if the person has been convicted of a
felony or an offense under Chapter 481, Health and Safety Code
(Texas Controlled Substances Act), or under the law of another
jurisdiction involving a controlled substance as defined by Chapter
481, Health and Safety Code, unless the person has met the other
applicable eligibility requirements under this subchapter and has:
(1) received a certificate of discharge by the Texas
Department of Criminal Justice or a correctional facility or
completed a period of probation ordered by a court, and at least two
years have elapsed from the date of the receipt or completion; or
(2) been pardoned, had the record of the offense
expunged from the person's record, or otherwise has been released
from the resulting ineligibility to receive a grant under this
subchapter.
(c) 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 grant during the next semester or
term in which the person enrolls. A person may become eligible to
receive a TEXAS grant in a subsequent semester or term if the
person:
(1) completes a semester or term during which the
student is not eligible for a scholarship; and
(2) meets all the requirements of Subsection (a).
(d) A person who qualifies for and subsequently receives a
TEXAS grant, 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 grant to the extent other eligibility
requirements are met.
(e) For the purpose of this section, a person makes
satisfactory academic progress toward an undergraduate degree or
certificate only if:
(1) in the person's first academic year the person
meets the satisfactory academic progress requirements of the
institution at which the person is enrolled; and
(2) in a subsequent academic year, the person:
(A) completes at least 75 percent of the semester
credit hours attempted in the student's most recent academic year;
and
(B) earns an overall grade point average of at
least 2.5 on a four-point scale or the equivalent on coursework
previously attempted at institutions of higher education.
(f) A person who is eligible to receive a TEXAS grant
continues to remain eligible to receive the TEXAS grant if the
person enrolls in or transfers to another eligible institution.
(g) The coordinating board shall adopt rules to allow a
person who is otherwise eligible to receive a TEXAS grant, in the
event of a hardship or for other good cause shown, including a
showing of a severe illness or other debilitating condition that
may affect the person's academic performance or that the person is
responsible for the care of a sick, injured, or needy person and
that the person's provision of care may affect the person's academic
performance, to receive a TEXAS grant:
(1) while enrolled in a number of semester credit
hours that is less than the number of semester credit hours required
under Subsection (a)(3); or
(2) if the student's grade point average or completion
rate falls below the satisfactory academic progress requirements of
Subsection (e).
Added by Acts 1999, 76th Leg., ch. 1590, § 1, eff. June 19, 1999.
Amended by Acts 2003, 78th Leg., ch. 919, § 2, eff. June 20,
2003.
§ 56.306. GRANT USE. A person receiving a TEXAS grant
may use the money to pay any usual and customary cost of attendance
at an institution of higher education incurred by the student. The
institution may disburse all or part of the proceeds of a TEXAS
grant to an eligible person only if the tuition and required fees
incurred by the person at the institution have been paid.
Added by Acts 1999, 76th Leg., ch. 1590, § 1, eff. June 19, 1999.
§ 56.307. GRANT AMOUNT. (a) The amount of a TEXAS
grant for a semester or term for a person enrolled full-time at an
eligible institution other than an institution covered by
Subsection (b), (c), or (d) 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 a
baccalaureate degree program would be charged for that semester or
term at general academic teaching institutions.
(b) The amount of a TEXAS grant for a student enrolled
full-time at a private or independent institution of higher
education 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 a baccalaureate degree
program would be charged for that semester or term at general
academic teaching institutions.
(c) The amount of a TEXAS grant 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 grant 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) The coordinating board may adopt rules that allow the
coordinating board to increase or decrease, in proportion to the
number of semester credit hours in which a student is enrolled, the
amount of a TEXAS grant award under this section to a student who is
enrolled in a number of semester credit hours in excess of or below
the number of semester credit hours described in Section
56.304(a)(5) or 56.305(a)(3).
(f) The amount of a TEXAS grant may not be reduced by any
gift aid for which the person receiving the grant is eligible,
unless the total amount of a person's grant plus any gift aid
received exceeds the student's financial need.
(g) Not later than January 31 of each year, the coordinating
board shall publish the amounts of each grant established by the
board for each type of institution for the academic year beginning
the next fall semester.
(h) The total amount of grants that a student may receive in
an academic year under this subchapter and under Section 61.221 may
not exceed the total amount of tuition and required fees charged to
the student for the academic periods for which one or more of the
grants were awarded.
(i) A public institution of higher education may not:
(1) charge a person attending the institution who also
receives a TEXAS grant an amount of tuition and required fees in
excess of the amount of the TEXAS grant received by the person; or
(2) deny admission to or enrollment in the institution
based on a person's eligibility to receive a TEXAS grant or a
person's receipt of a TEXAS grant.
(j) An institution may use other available sources of
financial aid, other than a loan, to cover any difference in the
amount of a TEXAS grant and the actual amount of tuition and
required fees at the institution.
(k) The legislature in an appropriations act shall account
for tuition and required fees received under this section in a way
that does not increase the general revenue appropriations to that
institution.
Added by Acts 1999, 76th Leg., ch. 1590, § 1, eff. June 19, 1999.
Amended by Acts 2003, 78th Leg., ch. 919, § 3, eff. June 20,
2003.
§ 56.3075. HEALTH CARE PROFESSION STUDENT
GRANT. (a) The coordinating board may award a grant in an amount
not more than three times the amount that may be awarded under
Section 56.307 to a student who:
(1) is enrolled in a program that fulfills the
educational requirements for licensure or certification by the
state in a health care profession that the coordinating board, in
consultation with the Texas Workforce Commission and the statewide
health coordinating council, has identified as having a critical
shortage in the number of license holders needed in this state;
(2) has completed at least one-half of the work toward
a degree or certificate that fulfills the educational requirement
for licensure or certification; and
(3) meets all the requirements to receive a grant
award under Section 56.307.
(b) In awarding a grant under Subsection (a), the
coordinating board may:
(1) give priority to students from a group
underrepresented in the programs preparing students for licensure
or certification by the state; and
(2) award different amounts based on the amount of
course work a student has completed toward earning the degree
required for licensure or certification.
Added by Acts 2003, 78th Leg., ch. 728, § 3, eff. June 20, 2003.
§ 56.308. NOTIFICATION OF PROGRAM; RESPONSIBILITIES OF
SCHOOL DISTRICTS. (a) The coordinating board shall distribute to
each eligible institution and to each school district a copy of the
rules adopted under this subchapter.
(b) Each school district shall:
(1) notify its middle school students, junior high
school students, and high school students, those students' teachers
and counselors, and those students' parents of the TEXAS grant and
Teach for Texas grant programs, the eligibility requirements of
each program, the need for students to make informed curriculum
choices to be prepared for success beyond high school, and sources
of information on higher education admissions and financial aid in
a manner that assists the district in implementing a strategy
adopted by the district under Section 11. 252(a)(4); and
(2) ensure that each student's official transcript or
diploma indicates whether the student has completed or is on
schedule to complete:
(A) the recommended or advanced high school
curriculum required for grant eligibility under Section 28.002 or
28.025; or
(B) for a school district covered by Section
56.304(f)(1), the required portion of the recommended or advanced
high school curriculum in the manner described by Section
56.304(f)(2).
(c) The information required by Subsection (b)(2) must be
included on a student's transcript not later than the end of the
student's junior year.
(d) In addition to the eligibility requirements of Section
56.304, a person who graduated from an accredited private high
school is eligible to receive a grant under this subchapter only if
the student's official transcript or diploma includes the
information required as provided by Subsections (b)(2)(A) and (c).
Added by Acts 1999, 76th Leg., ch. 1590, § 1, eff. June 19, 1999.
Amended by Acts 2001, 77th Leg., ch. 1261, § 5, eff. June 15,
2001.
§ 56.310. FUNDING. (a) The coordinating board may
solicit and accept gifts and grants from any public or private
source for the purposes of this subchapter.
(b) The legislature may appropriate money for the purposes
of this subchapter.
Added by Acts 1999, 76th Leg., ch. 1590, § 1, eff. June 19, 1999.
§ 56.311. LEGISLATIVE OVERSIGHT COMMITTEE. (a) The
Legislative Oversight Committee on the TEXAS grant program and
Teach for Texas grant program is composed of six members as follows:
(1) three members of the senate appointed by the
lieutenant governor; and
(2) three members of the house of representatives
appointed by the speaker of the house of representatives.
(b) The committee shall:
(1) meet at least twice a year with the coordinating
board; and
(2) receive information regarding rules relating to
the TEXAS grant program and Teach for Texas grant program that have
been adopted by the coordinating board or proposed for adoption by
the coordinating board.
(c) The committee may request reports and other information
from the coordinating board relating to the operation of the TEXAS
grant program and Teach for Texas grant program by the coordinating
board.
(d) The committee shall review the specific recommendations
for legislation related to this subchapter that are proposed by the
coordinating board.
(e) The committee shall monitor the operation of the TEXAS
grant program and Teach for Texas grant program, with emphasis on
the manner of the award of grants, the number of grants awarded, and
the educational progress made by persons who have received grants
under those programs.
(f) The committee shall file a report with the governor,
lieutenant governor, and speaker of the house of representatives
not later than December 31 of each even-numbered year.
(g) The report shall include identification of any problems
in the TEXAS grant program and Teach for Texas grant program with
recommended solutions for the coordinating board and for
legislative action.
Added by Acts 1999, 76th Leg., ch. 1590, § 1, eff. June 19, 1999.
Amended by Acts 2001, 77th Leg., ch. 1261, § 6, eff. June 15,
2001.
SUBCHAPTER O. TEACH FOR TEXAS LOAN REPAYMENT ASSISTANCE PROGRAM
§ 56.351. DEFINITION. In this subchapter,
"coordinating board" means the Texas Higher Education Coordinating
Board.
Added by Acts 2001, 77th Leg., ch. 1261, § 3, eff. June 15, 2001.
Amended by Acts 2003, 78th Leg., ch. 820, § 49, eff. Sept. 1,
2003.
§ 56.352. PURPOSE OF PROGRAM; LOAN REPAYMENT
AUTHORIZED. (a) The purpose of this subchapter is to attract to
the teaching profession persons who have expressed interest in
teaching and to support the employment of those persons as
classroom teachers by providing student loan repayment assistance
for service as a classroom teacher in the public schools of this
state.
(b) The coordinating board shall provide, in accordance
with this subchapter and board rules, assistance in the repayment
of eligible student loans for persons who apply and qualify for the
assistance.
Redesignated from § 56.309(a) and amended by Acts 2001, 77th
Leg., ch. 1261, § 3, eff. June 15, 2001; Acts 2003, 78th Leg.,
ch. 820, § 49, eff. Sept. 1, 2003.
§ 56.353. ELIGIBILITY. (a) Teach for Texas repayment
assistance is available only to a person who applies for the
assistance and who:
(1) is certified in a teaching field identified by the
commissioner of education as experiencing a critical shortage of
teachers in this state in the year in which the person receives the
assistance and has for at least one year taught full-time at, and is
currently teaching full-time at, the preschool, primary, or
secondary level in a public school in this state in that teaching
field; or
(2) is a certified educator who has for at least one
year taught full-time at, and is currently teaching full-time at,
the preschool, primary, or secondary level in a public school in
this state in a community identified by the commissioner of
education as experiencing a critical shortage of teachers in the
year in which the person receives the assistance.
(b) The coordinating board in awarding repayment assistance
shall give priority to applicants who demonstrate financial need.
(c) If the money available for loan repayment assistance in
a period for which assistance is awarded is insufficient to provide
assistance to all eligible applicants described by Subsection (b),
the coordinating board shall establish priorities for awarding
repayment assistance to address the most critical teacher shortages
described by Subsection (a).
(d) A person may not receive loan repayment assistance for
more than five years.
Redesignated from § 56.309(b) and amended by Acts 2001, 77th
Leg., ch. 1261, § 3, eff. June 15, 2001; Acts 2003, 78th Leg.,
ch. 820, § 49, eff. Sept. 1, 2003.
§ 56.354. ELIGIBLE LOANS. (a) A person may receive
Teach for Texas loan repayment assistance under this subchapter for
the repayment of any student loan for education at any public or
private institution of higher education through any lender. If the
loan is not a state or federal guaranteed student loan, the note or
other writing governing the terms of the loan must require the loan
proceeds to be used for expenses incurred by a person to attend a
public or private institution of higher education.
(b) The coordinating board may not provide loan repayment
assistance for a student loan that is in default at the time of the
person's application.
Redesignated from § 56.309(d) and amended by Acts 2001, 77th
Leg., ch. 1261, § 3, eff. June 15, 2001; Acts 2003, 78th Leg.,
ch. 820, § 49, eff. Sept. 1, 2003.
§ 56.355. PAYMENT OF ASSISTANCE. (a) The coordinating
board may determine the manner in which Teach for Texas loan
repayment assistance is to be paid. The coordinating board may
provide for the payment of a portion of the repayment assistance in
one or more installments before the person completes a full year of
service as a teacher and for the payment of the remainder of the
repayment assistance for that year after the completion of the full
year of service.
(b) Loan repayment assistance received under this
subchapter may be applied to the principal amount of the loan and to
interest that accrues.
Amended by Acts 2003, 78th Leg., ch. 820, § 49, eff. Sept. 1,
2003.
§ 56.357. TEACH FOR TEXAS ALTERNATIVE CERTIFICATION
ASSISTANCE PROGRAM. (a) The coordinating board shall establish a
program under which the coordinating board awards grants to assist
persons seeking educator certification through alternative
educator certification programs as provided by this section.
(b) To be eligible for a grant under the program, a person
must apply for a grant and:
(1) have received a baccalaureate degree from an
eligible institution of higher education or an accredited
out-of-state institution of higher education; and
(2) enroll in an alternative educator certification
program described by Section 21.049 and satisfy either of the
following conditions:
(A) be seeking educator certification in a
teaching field certified by the commissioner of education as
experiencing a critical shortage of teachers in this state in the
year in which the person receives the grant and agree to teach for
five years in a public school in this state in that teaching field;
or
(B) agree to teach for five years in a public
school in this state in a community, which is not required to be
specifically designated at the time the person receives the grant,
certified by the commissioner of education as experiencing a
critical shortage of teachers in any year in which the person
receives a grant under this section or in any subsequent year in
which the person fulfills the teaching obligation.
(c) A person is not eligible to receive a grant under the
program if the person has been convicted of a felony or an offense
under Chapter 481, Health and Safety Code (Texas Controlled
Substances Act), or under the law of another jurisdiction involving
a controlled substance, as defined by Chapter 481, Health and
Safety Code, unless the person has met the other applicable
eligibility requirements under this section and has:
(1) received a certificate of discharge by the Texas
Department of Criminal Justice or a correctional facility or
completed a period of probation ordered by a court, and at least two
years have elapsed from the date of the receipt or completion; or
(2) been pardoned, had the record of the offense
expunged from the person's record, or otherwise has been released
from the resulting ineligibility to receive a grant under the
program.
(d) In selecting applicants to receive grants under the
program, the coordinating board shall consider:
(1) the financial resources of an applicant;
(2) the efficient use of the money available for
grants;
(3) the opportunity of applicants from all regions of
this state to receive grants; and
(4) any other factor the coordinating board considers
appropriate to further the purposes of this subchapter.
(e) The amount of a grant under the program is equal to two
times the current amount of a TEXAS grant under Subchapter M for a
student enrolled in a general academic teaching institution. The
coordinating board may pay the amount of the grant in installments
during the period in which the person is enrolled in the person's
alternative educator certification program.
(f) The person must begin fulfilling the person's teaching
obligation not later than the 18th month after the person completes
the alternative educator certification program, unless the
coordinating board for good cause grants the person additional time
to begin fulfilling the teaching obligation. The person must
complete the teaching obligation not later than the sixth year
after the date the person begins to fulfill the teaching
obligation. The coordinating board shall grant a person additional
time to complete the teaching obligation for good cause.
(g) The coordinating board shall cancel a person's teaching
obligation if the coordinating board determines that the person:
(1) has become permanently disabled so that the person
is not able to teach; or
(2) has died.
(h) The coordinating board shall require a person who
receives a grant to sign a promissory note acknowledging the
conditional nature of the grant and promising to repay the amount of
the grant plus applicable interest and reasonable collection costs
if the person does not satisfy the applicable conditions of the
grant. The coordinating board shall determine the terms of the
promissory note.
(i) The amount required to be repaid by a person who fails to
complete the teaching obligation of the person's grant shall be
determined in proportion to the portion of the teaching obligation
that the person has not satisfied.
(j) A person receiving a grant is considered to have failed
to satisfy the conditions of the grant, and the grant automatically
becomes a loan, if the person, without good cause as determined by
the coordinating board, fails to:
(1) remain enrolled in or to make steady progress in
the alternative educator certification program for which the grant
was made or, with the approval of the coordinating board, in another
alternative educator certification program; or
(2) become certified as a classroom teacher not later
than the 18th month after the date the person completes the
alternative educator certification program.
Added by Acts 2001, 77th Leg., ch. 1261, § 3, eff. June 15, 2001.
§ 56.3575. ADMINISTRATION; RULES. (a) The
coordinating board shall adopt rules necessary for the
administration of this subchapter.
(b) The coordinating board shall distribute a copy of the
rules adopted under this section and pertinent information relating
to this subchapter to each public or private institution of higher
education in this state that offers an educator certification
program, including an alternative educator certification program
or another equivalent program.
Acts 2003, 78th Leg., ch. 820, § 49, eff. Sept. 1, 2003.
§ 56.358. FUNDING; ALLOCATION OF FUNDING. (a) The
coordinating board may solicit and accept gifts and grants from any
public or private source for the purposes of this subchapter.
(b) The legislature may appropriate money for the purposes
of this subchapter.
Added by Acts 2001, 77th Leg., ch. 1261, § 3, eff. June 15, 2001.
§ 56.359. GRANTS AND SERVICE AGREEMENTS ENTERED INTO
UNDER FORMER LAW; SAVING PROVISION. (a) This section applies
only to a person who was awarded a Teach for Texas grant and entered
into a written agreement to perform service as a public school
teacher in this state in order to receive the grant under this
subchapter before September 1, 2003.
(b) A person to whom this section applies may receive any
unpaid installments of the grant as provided by the agreement and in
accordance with this subchapter as it existed when the grant was
awarded. The agreement continues in effect and this subchapter, as
it existed when the person entered into the agreement, is continued
in effect for purposes of that agreement until the person satisfies
all the conditions of the agreement or repays all amounts due under
the agreement if the person does not satisfy the conditions of the
agreement.
Added by Acts 2003, 78th Leg., ch. 820, § 49, eff. Sept. 1, 2003.
SUBCHAPTER P. TOWARD EXCELLENCE, ACCESS, & SUCCESS (TEXAS) GRANT II
PROGRAM
§ 56.401. DEFINITIONS. In this subchapter:
(1) "Coordinating board" means the Texas Higher
Education Coordinating Board.
(2) "Eligible institution" means:
(A) a public junior college;
(B) a public technical institute; or
(C) a public state college.
(3) "Public junior college," "public technical
institute," and "public state college" have the meanings assigned
by Section 61.003.
Added by Acts 2001, 77th Leg., ch. 624, § 1, eff. June 11, 2001.
Renumbered from V.T.C.A., Education Code § 56.351 by Acts 2003,
78th Leg., ch. 1275, § 2(35), eff. Sept. 1, 2003.
§ 56.402. PROGRAM NAME; PURPOSE. (a) The student
financial assistance program authorized by this subchapter is known
as the Toward EXcellence, Access, & Success (TEXAS) grant II
program, and an individual grant awarded under this subchapter is
known as a TEXAS grant II.
(b) The purpose of this subchapter is to provide a grant of
money to enable eligible students to attend two-year public
institutions of higher education in this state.
Added by Acts 2001, 77th Leg., ch. 624, § 1, eff. June 11, 2001.
Renumbered from V.T.C.A., Education Code § 56.352 by Acts 2003,
78th Leg., ch. 1275, § 2(35), eff. Sept. 1, 2003.
§ 56.403. ADMINISTRATION OF PROGRAM. (a) The
coordinating board shall administer the TEXAS grant II program and
shall adopt any rules necessary to implement the TEXAS grant II
program or this subchapter. The coordinating board shall consult
with the student financial aid officers of eligible institutions in
developing the rules.
(b) The coordinating board shall adopt rules to provide a
TEXAS grant II to an eligible student enrolled in an eligible
institution in a manner cons