TITLE 19. EDUCATION

PART 1. TEXAS HIGHER EDUCATION COORDINATING BOARD

CHAPTER 1. AGENCY ADMINISTRATION

SUBCHAPTER A. GENERAL PROVISIONS

19 TAC §1.16

The Texas Higher Education Coordinating Board proposes an amendment to §1.16, concerning Contracts for Materials and Services.

Specifically, this amendment will provide that, in the event the Board or the Agency Operations Committee, as applicable, has approved a request for the purchase of materials or services that will result in multiple contracts, any contract of which by itself shall have a cost greater than $100,000 must be approved by the Chair and Vice Chair of the Board. The Commissioner or the Deputy Commissioner for Business and Finance/Chief Operating Officer, in accordance with §1.16(c), shall provide final approval of such contracts if the amount of the contract is less than or equal to $100,000.

Mr. William M. Franz, General Counsel, has determined that for each year of the first five years the section is in effect, there will not be any fiscal implications to state or local government as a result of enforcing or administering the rule.

Mr. Franz has also determined that for each year of the first five years the section is in effect, the public benefit anticipated as a result of administering the section will be the increased efficiency of the contracting process. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the section as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to William M. Franz, Texas Higher Education Coordinating Board, P.O. Box 12788, Austin, Texas 78711, william.franz@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendment is proposed under the Texas Education Code, §61.027, which provides the Coordinating Board with the authority to make rules.

The amendment affects Texas Education Code, §61.027.

§1.16.Contracts for Materials and Services.

(a) - (g) (No change.)

(h) In the event that the Board or the Agency Operations Committee, as applicable, has approved the issuance of a request for the purchase of materials or services that will result in the letting of contracts, including grants, to multiple vendors or providers of services, any resulting contract which by itself shall have a cost greater than $100,000 must be approved by the Chair and Vice Chair of the Board. The Commissioner or the Deputy Commissioner for Business and Finance/Chief Operating Officer, in accordance with subsection (c) of this section, shall provide final approval of contracts with the selected vendors or providers of services if the contract amount is less than or equal to $100,000.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 15, 2009.

TRD-200902425

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


CHAPTER 4. RULES APPLYING TO ALL PUBLIC INSTITUTIONS OF HIGHER EDUCATION IN TEXAS

SUBCHAPTER E. APPROVAL OF DISTANCE EDUCATION, OFF-CAMPUS, AND EXTENSION COURSES AND PROGRAMS FOR PUBLIC INSTITUTIONS

19 TAC §4.105

The Texas Higher Education Coordinating Board proposes amendments to §4.105, concerning Functions of Regional Councils, for the purpose of complying with Texas Education Code §130.008(d) and (d-1). Passage of House Bill 2480 during the regular session of the 81st Texas Legislature amended Texas Education Code §130.008(d) and (d-1) by adding language that permits a public community college to enter into an agreement with a high school located in the service area of another public community college to offer a dual credit course only if the local public community college is unable to provide the requested course to the satisfaction of the school district and has been invited to do so by the ISD.

Dr. MacGregor M. Stephenson, Assistant Commissioner for Academic Affairs and Research, has determined that for each year of the first five years the amendments are in effect, there will be no fiscal implications for state or local government as a result of enforcing or administering the rule.

Dr. Stephenson has also determined that for each year of the first five years the amendments are in effect, the high schools desiring to enter into agreements with public community colleges for the provision of dual credit courses will be able to partner with colleges regardless of the college area in which the high school is located. There are no anticipated economic costs to persons who are required to comply with the section as proposed. There is no impact on local employment.

Comments on the proposed amendments may be submitted to Dr. MacGregor Stephenson, Assistant Commissioner, Texas Higher Education Coordinating Board, P.O. Box 12788, Austin, Texas 78711 or macgregor.stephenson@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the provisions of Texas Education Code, Chapter 61, Subchapter G, which provides the Coordinating Board with the authority to regulate the awarding or offering of degrees, credit toward degrees, and the use of certain terms.

The amendments affect implementation of Texas Education Code, Chapter 130, Subchapter A, §130.008(d) and (d-1).

§4.105.Functions of Regional Councils.

(a) A public community college may enter into an agreement to offer only a dual credit course with a high school located in the service area of another public community college only if the other public community college is unable to provide the requested course to the satisfaction of the school district and the school district has explicitly invited the institution to do so.

(b) [(a)] Universities, health-related institutions, public technical colleges, and Lamar state colleges shall submit for Regional Council review all off-campus lower-division courses proposed for delivery to sites in the Council's Service Region.

(c) [(b)] Public community colleges shall submit for the appropriate Regional Council's review all off-campus lower-division courses proposed for delivery to sites outside their service areas.

(d) A public community college proposing to offer a course at a high school outside of the college's service area shall notify the Regional Council in whose service area the high school is located. It must provide a letter from the school district stating that the local community college is not offering the proposed dual credit course to the satisfaction of the school district and that the school district has invited the other community college to offer the course.

(e) [(c)] With the exception of subsection (a) of this section, any [In the event of a] dispute arising from off campus [ electronic] delivery of lower-division courses to groups, any institution party to the disagreement may appeal first to the Regional Council, and then to the Commissioner and the Board.

(f) [(d)] With the exception of subsection (a) of this section, Regional Councils in each of the ten Uniform State Service Regions shall make recommendations to the Commissioner and shall resolve disputes regarding plans for lower-division courses and programs proposed by public institutions.

(g) [(e)] Each Regional Council shall make recommendations to the Commissioner regarding off-campus courses and programs proposed for delivery within its Uniform State Service Region in accordance with the consensus views of Council members, except for courses and programs proposed to be offered by public community colleges in their designated service areas and courses and programs governed by the provisions of subsection (a) of this section.

(h) [(f)] Regional Councils shall advise the Commissioner on appropriate policies and procedures for effective state-level administration of off-campus lower-division instruction.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 15, 2009.

TRD-200902426

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


SUBCHAPTER M. NOTICE REGARDING THE AVAILABILITY OF HIGHER EDUCATION TEXTBOOKS THROUGH MULTIPLE RETAILERS

19 TAC §§4.215 - 4.218

The Texas Higher Education Coordinating Board proposes new §§4.215 - 4.218, concerning Notice Regarding the Availability of Higher Education Textbooks through Multiple Retailers. The new sections result from House Bill 1096, 81st Texas Legislature which added Texas Education Code §51.9705 to require each public institution of higher education to establish a procedure by which each institution of higher education shall provide to each student enrolled at the institution written notice of the availability of required or recommended textbooks through university-affiliated bookstores and through retailers other than university-affiliated bookstores. These sections also describe the timeframe during which an institution shall provide notification.

Dr. MacGregor M. Stephenson, Assistant Commissioner for Academic Affairs and Research, has determined that for each year of the first five years the new sections are in effect, there will be no fiscal implications to state or local government as a result of enforcing or administering the rules.

Dr. Stephenson has also determined that for each year of the first five years the new sections are in effect, the public benefit anticipated as a result of administering the new sections will be in enabling students to know about the availability of textbooks at outlets other than the campus. There is no effect on small or micro businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Dr. MacGregor Stephenson, Assistant Commissioner, Texas Higher Education Coordinating Board, P.O. Box 12788, Austin, Texas 78711 or macgregor.stephenson@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The new sections are proposed under the Texas Education Code, §51.9705.

The new sections affect implementation of Texas Education Code, §51.9705.

§4.215.Authority and Purpose.

(a) Authority. Authority for this subchapter is provided in the Texas Education Code, §51.9705, Notice Regarding Availability of Textbooks through Multiple Retailers. The rules in this subchapter establish procedures to administer this provision of notice.

(b) Purpose. The purpose of this subchapter is to establish a procedure by which each institution of higher education shall provide to each student enrolled at the institution written notice regarding the availability of required or recommended textbooks through university-affiliated bookstores and through retailers other than university-affiliated bookstores.

§4.216.Definitions.

The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise:

(1) Institution of Higher Education or Institution--Any public technical institute, public junior college, public senior college or university, medical or dental unit or other agency of higher education as defined in Texas Education Code, §61.003(8).

(2) "University-affiliated bookstore"--A bookstore that:

(A) sells textbooks for courses offered by an institution of higher education, regardless of whether the bookstore is located on the campus of the institution;

(B) is operated by or with the approval of the institution through ownership, a management agreement, a lease or rental agreement, or otherwise; and

(C) for the purposes of this subchapter, a "university-affiliated bookstore" also includes a bookstore similarly affiliated with any public institution of higher education as defined in paragraph (1) of this section.

§4.217.Notification Requirement.

Each institution of higher education shall provide to each student enrolled at the institution written notice regarding the availability of required or recommended textbooks through university-affiliated bookstores and through retailers other than university-affiliated bookstores.

§4.218.Notification Procedures.

(a) Each institution of higher education shall provide written notice regarding the availability of textbooks:

(1) to each student of the institution during the week preceding each fall and spring semester;

(2) to each student enrolled at the institution in a semester or summer term during the first three weeks of the semester or the first week of the summer term, as applicable; and

(3) to students or prospective students of the institution attending an orientation conducted by or for the institution.

(b) The notice shall be provided in a hard-copy or electronic format in a manner that ensures that the notice is reasonably likely to come to the attention of a student receiving the notice. For current students of an institution, an e-mail sent to the student's designated e-mail address, or institutional e-mail account if another is not designated, shall be sufficient, as shall a hard copy mailed to the student's physical address. For students or prospective students attending an orientation, either an e-mail to their designated e-mail address or a hard copy provided directly to the students shall be sufficient.

(c) The notice must contain the following statement: "A student of this institution is not under any obligation to purchase a textbook from a university-affiliated bookstore. The same textbook may also be available from an independent retailer, including an online retailer."

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 15, 2009.

TRD-200902427

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


CHAPTER 5. RULES APPLYING TO PUBLIC UNIVERSITIES, HEALTH-RELATED INSTITUTIONS, AND/OR SELECTED PUBLIC COLLEGES OF HIGHER EDUCATION IN TEXAS

SUBCHAPTER A. GENERAL PROVISIONS

19 TAC §5.5

The Texas Higher Education Coordinating Board proposes amendments to §5.5, concerning rules applying to the automatic admission of certain high school graduates to public universities.

Specifically, in compliance with Senate Bill 175, 81st Texas Legislature, the proposed amendments places limits on the percentage of applicants in the top 10 percent of their high school classes in one of the two preceding school years to whom The University of Texas at Austin is required to offer admission.

Ms. Susan Brown, Assistant Commissioner, Planning and Accountability, has determined that for each year of the first five years the section is in effect, there will not be any fiscal implications to state or local government as a result of enforcing or administering the rule.

Ms. Brown has also determined that for each year of the first five years the section is in effect, the public benefit anticipated as a result of administering the section will be more flexibility for The University of Texas at Austin to select an entering undergraduate class that is outstanding. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the section as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Janet Beinke, Director of Planning, Planning and Accountability, 1200 East Anderson Lane, Austin, TX 78752, janet.beinke@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the authority of Texas Education Code, §61.027.

The amendments affect Texas Education Code, §51.803.

§5.5.Uniform Admission Policy.

(a) Each public university shall admit first-time undergraduate [freshmen ] students for each semester in accordance with Texas Education Code, §§51.801 - 51.809. Only The University of Texas at Austin shall admit students under Texas Education Code, §51.803(a-1) - (a-5) and subsection (d) of this section.

(b) - (c) (No change.)

(d) For the period from the 2011-2012 academic year through the 2015-2016 academic year, The University of Texas at Austin is not required to admit applicants in excess of the number needed to fill 75 percent of first-time resident undergraduate students.

(e) [(d)] High school rank for students seeking automatic admission to a general academic teaching institution on the basis of their class rank is determined and reported as follows:

(1) Class rank shall be based on the end of the 11th grade, middle of the 12th grade, or at high school graduation, whichever is most recent at the application deadline.

(2) The top 10 percent of a high school class shall not contain more than 10 percent of the total class size.

(3) The student's rank shall be reported by the applicant's high school or school district as a specific number out of a specific number total class size.

(4) Class rank shall be determined by the school or school district from which the student graduated or is expected to graduate.

(f) [(e)] A general academic teaching institution may limit the number of students admitted under this section if the number of applicants eligible and applying for admission to the institution under this section exceeds by more than 10 percent the average number of first-time freshmen admitted the previous two academic years. If an institution chooses to limit the number of students admitted under this section, it must ensure that:

(1) At least 97 percent of first-time freshmen admitted are in the top 10 percent of their high school class and;

(2) Clear guidelines are established for the selection of students based on one or a specified combination of the following methods:

(A) A lottery in which all students qualified for automatic admission have an equal chance for selection;

(B) Students are selected on a first-come, first-admitted basis following receipt of a complete application; or

(C) At least four or more criteria identified in Texas Education Code, §51.805 are used to select students admitted.

(g) [(f)] Each general academic teaching institution shall annually report to the Board the composition of the entering class of first-time freshmen students admitted under this section. The report shall include a demographic breakdown of the class including race, ethnicity, and economic status. Each general academic teaching institution shall provide this report to the Board annually on or before a date set by the Board.

(h) [(g)] In exercising its discretion in accordance with Texas Education Code, §51.804, whether to adopt an admissions policy for each academic year for first time freshman students, the governing board of each general academic teaching institution may elect to admit students who do not meet the requirements of Texas Education Code, §51.803, but who qualify for admission under one or more of the factors listed in Texas Education Code, §51.805(b). However, the total number of such students who are admitted in an academic year may not exceed 20% of the total number of first-time freshman students admitted by the institution for that academic year. This subsection expires August 31, 2009.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 15, 2009.

TRD-200902428

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


CHAPTER 9. PROGRAM DEVELOPMENT IN PUBLIC TWO-YEAR COLLEGES

SUBCHAPTER H. PARTNERSHIPS BETWEEN SECONDARY SCHOOLS AND PUBLIC TWO-YEAR COLLEGES

19 TAC §9.144

The Texas Higher Education Coordinating Board proposes amendments to §9.144, concerning Partnership Agreements for the purpose of complying with Texas Education Code §130.008(d) and (d-1). Passage of House Bill 2480 during the regular session of the 81st Texas Legislature amended Texas Education Code §130.008(d) and (d-1) by adding language that permits a public community college to enter into an agreement with a high school located in the service area of another public community college to offer a dual credit course only if the local public community college is unable to provide the requested course to the satisfaction of the school district and has been invited to do so by the ISD.

Dr. MacGregor M. Stephenson, Assistant Commissioner for Academic Affairs and Research, has determined that for each year of the first five years the amendments are in effect, there will be no fiscal implications for state or local government as a result of enforcing or administering the rule.

Dr. Stephenson has also determined that for each year of the first five years the amendments are in effect, the high schools desiring to enter into agreements with public community colleges for the provision of dual credit courses will be able to partner with colleges regardless of the college area in which the high school is located. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the section as proposed. There is no impact on local employment.

Comments on the proposed amendments may be submitted to Dr. MacGregor Stephenson, Assistant Commissioner, Texas Higher Education Coordinating Board, P.O. Box 12788, Austin, Texas 78711 or macgregor.stephenson@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the provisions of Texas Education Code, §§61.027, 61.061, and 61.062(c) and Chapter 61, Subchapter G, which provides the Coordinating Board with the authority to regulate the awarding or offering of degrees, credit toward degrees, and the use of certain terms.

The proposed amendments affect implementation of Texas Education Code, Chapter 130, Subchapter A, §130.008(d) and (d-1).

§9.144.Partnership Agreements.

(a) A public community college may enter into an agreement to offer only a dual credit course with a high school located in the service area of another public community college only if the other public community college is unable to provide the requested course to the satisfaction of the school district and the school district has explicitly invited the institution to do so.

(b) [(a)] Need For Partnership Agreement. For any instructional partnership between a secondary school and a public two-year college, an agreement must be approved by the governing boards or designated authorities of both the public school district or private secondary school and the public two-year college.

(c) [(b)] Elements of Partnership Agreements. Any partnership agreement as described in §9.143 of this title (relating to Types of Partnerships) must address the following elements:

(1) student eligibility requirements;

(2) faculty qualifications;

(3) location and student composition of classes;

(4) provision of student learning and support services;

(5) eligible courses;

(6) grading criteria;

(7) transcripting of credit; and

(8) funding provisions.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 15, 2009.

TRD-200902429

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


CHAPTER 13. FINANCIAL PLANNING

SUBCHAPTER F. FORMULA FUNDING AND TUITION CHARGES FOR REPEATED AND EXCESS HOURS OF UNDERGRADUATE STUDENTS

19 TAC §13.104

The Texas Higher Education Coordinating Board proposes amendments to §13.104, concerning rules applying to formula funding and tuition charges for repeated and excess hours of undergraduate students.

Specifically, in compliance with House Bill 101 and Senate Bill 1343, 81st Texas Legislature, the proposed amendments relate to those hours not subject to the limitation on formula funding set out in §13.103 of the same subchapter and would include hours earned before receiving an associate's degree, dual credit course hours for which the student received credit toward a high school diploma, and semester credit hours earned by the student before graduating from high school and used to satisfy high school graduation requirements.

Ms. Susan Brown, Assistant Commissioner, Planning and Accountability has determined that for each year of the first five years the section is in effect, the additional cost to the Coordinating Board will be approximately ten thousand dollars per year for a total five year cost of $50,627. There will not be any fiscal implications to local government as a result of enforcing or administering the rule.

Ms. Brown has also determined that for each year of the first five years the section is in effect, the public benefit anticipated as a result of administering the section will be more equitable treatment of those students pursuing college coursework at the high school level. They will not be penalized for pursing advanced education goals while in high school. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the section as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Gary W. Johnstone, Deputy Assistant Commissioner, Planning and Accountability, 1200 East Anderson Lane, Austin, TX 78752, gary.johnstone@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §61.0595(d).

The amendments affect Texas Education Code, §61.0595.

§13.104.Exemptions for Excess Hours.

The following types of hours are exempt and are not subject to the limitation on formula funding set out in §13.103 of this title (relating to Limitation on Formula Funding for Excess Hours):

(1) hours earned by the student before receiving an associate or a bachelor's degree that has been previously awarded to the student;

(2) - (3) (No change.)

(4) hours earned by the student at a private institution or an out-of-state institution; [and]

(5) hours not eligible for formula funding; and [.]

(6) semester credit hours earned by the student before graduating from high school and used to satisfy high school graduation requirements.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 15, 2009.

TRD-200902430

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


SUBCHAPTER L. ENGINEERING SUMMER PROGRAM

19 TAC §§13.200 - 13.202

The Texas Higher Education Coordinating Board proposes amendments to §§13.200 - 13.202, concerning the Engineering Summer Program (ESP), codified as Texas Education Code §61.791. These rules describe the ESP grant program, including the establishment of eligibility for the Texas general academic institutions and identifying student populations that are encouraged to participate. The new language for these sections align the rules with the statute to clarify that all eligible institutions may receive funding, and amends existing rules to comply with statute by using the term "Engineering Summer Program" instead of "Engineering Summer Camp." The new language incorporates a change from House Bill 2425 that allows participation of private or independent institutions of higher education that offer an engineering degree program.

Dr. MacGregor M. Stephenson, Assistant Commissioner for Academic Affairs and Research, has determined that for each year of the first five years the amendments are in effect, there will be no fiscal implications to state or local government as a result of enforcing or administering the rules.

Dr. Stephenson has also determined that for each of the first five years the amendments are in effect the public benefit will be that because the engineering fields require significant understanding and use of math and science, encouraging students early in their education to continue their studies in these areas is essential. If Texas is to remain competitive nationally and internationally as a leader in engineering, maintaining and increasing the number of students pursuing these fields is critical. The Engineering Summer Program provides an excellent opportunity to encourage students to continue their math and science studies and allows students to recognize that they have the ability to succeed as future engineers. There is no effect on small businesses. There are no economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Reinold Cornelius, Program Director, Texas Higher Education Coordinating Board, P.O. Box 12788, Austin, Texas 78711 or reinold.cornelius@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §61.791(b), which requires the Coordinating Board to establish rules for the ESP program.

The amendments affect implementation of Texas Education Code, §61.791 and §61.793.

§13.200.Authority, Scope, and Purpose.

(a) Authority. Authority for this subchapter is provided in the Texas Education Code, Subchapter Q, Engineering Recruitment Programs. This subchapter establishes rules for administering the engineering [recruitment] summer program [camps ] as prescribed in the Texas Education Code, §61.791 and §61.793 [ Sections 61.791 - 61.793].

(b) Scope. Unless otherwise noted, this subchapter applies to [any] general academic teaching institutions or private or independent institutions of higher education [ institution] (Texas Education Code, §61.003) that offer [offers ] an engineering degree program [and their students].

(c) Purpose. The purpose of the program [these programs] is to provide grants to each [ any] general academic teaching institution and to each private or independent institution of higher education that offers an engineering degree program to implement a one-week summer program [camps ] for middle and high school students [at any general academic teaching institution]. Participating students receive instruction in math, science, and engineering concepts, similar to that offered in an engineering degree program.

§13.201.Definitions.

The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise:

(1) - (2) (No change.)

(3) Eligible institution--Any public general academic teaching institution or any private or independent institution of higher education [(public)] that offers one or more [several undergraduate] degree programs in engineering.

[(4) Engineering degree program--Any undergraduate degree program in engineering at an eligible institution.]

(4) [(5)] Summer program [ camp]--A math, science, and engineering laboratory-oriented engineering immersion program [day camp ], organized and offered by an eligible institution [ with one or more one-week sessions, to take place ] on its [the] campus [ of the eligible institution].

[(6) Proposal--A summer camp proposal written by an eligible institution.]

§13.202.Summer Program [Camps]

(a) A summer program [Summer camps] shall be designed for middle and/or high school students to [that will] introduce participants [participating students ] to math, science, and engineering concepts similar to that offered [they may encounter] in an engineering degree program.

(b) Once every fiscal year, depending on available funding, the Commissioner may authorize distribution of a request for application [proposals ] for the [design and implementation of] summer program [camps].

(c) The Board shall post the request for application [proposals ] on the agency website at least 30 working days prior to the due date for submission [ proposals] and shall notify all eligible institutions.

(d) The request for application [ proposals] shall:

(1) require a one-week summer program with a minimum of 36 contact hours per week;

(2) [(1)] contain information necessary to prepare an application including notification of available [proposals including ] financial resources to be distributed; [ available for distribution as well as the criteria that will be used for award of grants,]

[(2) contain data describing the demographics of the state,]

(3) require applying [the proposal to address plans by the eligible] institution to include students who are from underrepresented demographic groups in engineering programs; [ensure that its summer camp reflects the demographics of the state,]

(4) require participants to have [include the requirements for admission to a summer camp, including the requirement of] an appropriate math and science background according to the skill level of the summer program offered; [participating student's grade level and the availability of camp scholarships if needed,] and

(5) specify [any] other grant conditions.

(e) Each eligible institution may submit one application [proposal to the Board ] and the Commissioner shall contract [ award] grants for the summer programs [camps] based on submitted applications [proposals] and availability of funding.

(f) All [eligible] institutions receiving a grant [grants] for a summer program [camps ] shall submit a final report to the Board within 30 days of the end of the award period. The Commissioner shall specify the format for the report. [90 days of the end of the summer camp. The Commissioner shall specify the format for the report.]

(g) All institutions receiving a grant for a summer program shall submit a final financial report to the Board within 90 days of the end of the award period. The Commissioner shall specify the format for the report.

(h) [(g)] After making a finding that an eligible institution has failed to perform or failed to conform to grant conditions, the Commissioner may retract or reduce the grant for the summer program [camp].

(i) [(h)] The governing board of each eligible institution shall cooperate with the board in administering this program.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 15, 2009.

TRD-200902431

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


CHAPTER 14. RESEARCH FUNDING PROGRAMS

SUBCHAPTER A. GENERAL PROVISIONS

19 TAC §14.1, §14.2

The Texas Higher Education Coordinating Board (THECB or Board) proposes amendments to §14.1 and §14.2, related to General Provisions. Specifically these sections describe the administration of the Norman Hackerman Advanced Research Program, including the establishment of eligibility for Texas higher education institutions. The new language renames the program to the Norman Hackerman Advanced Research Program (NHARP) to reflect the Board's October 2007 decision.

Dr. MacGregor M. Stephenson, Assistant Commissioner for Academic Affairs and Research, has determined that for each year of the first five years the chapter is in effect, there are no fiscal implications to state or local government as a result of the proposed rule change.

Dr. Stephenson has also determined that for each year of the first five years the chapter is in effect, the proposed rule changes will not alter the public benefit or the local employment impact. There is no effect on small business, micro business or individuals.

Comments on the proposal may be submitted to Stacey Silverman, Director, Texas Higher Education Coordinating Board, P.O. Box 12788, Austin, Texas 78711 or Stacey.Silverman@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §61.027, which authorizes the THECB to establish rules for the Norman Hackerman Advanced Research Program.

The amendments affect implementation of Texas Education Code, Chapter 142 and 143.

§14.1.Definitions.

The following words and terms, when used in this chapter, shall have the following meanings, unless the context clearly indicates otherwise:

(1) - (3) (No change.)

(4) Research program--the Norman Hackerman Advanced Research Program.

(5) - (6) (No change.)

(7) Research funding programs--the Norman Hackerman Advanced Research Program, Advanced Technology Program, and Technology Development and Transfer Program.

(8) - (9) (No change.)

(10) Investigator--an applicant whose name appears as a principal investigator, co-investigator [ or co-principal], or collaborating investigator on a pre-proposal or full proposal submitted for any of the research funding programs.

(11) (No change.)

§14.2.Authority and Scope.

(a) - (b) (No change.)

(c) This chapter provides the Coordinating Board the regulating rules applicable to the administration of the Norman Hackerman Advanced Research Program, Advanced Technology Program, Technology Development and Transfer Program, and other related programs.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 15, 2009.

TRD-200902432

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


SUBCHAPTER B. NORMAN HACKERMAN ADVANCED RESEARCH PROGRAM

19 TAC §14.11, §14.12

The Texas Higher Education Coordinating Board (THECB) proposes amendments to §14.11 and §14.12, related to the Advanced Research Program. These rules describe the administration of the Norman Hackerman Advanced Research Program, including the establishment of eligibility for Texas higher education institutions. The new language in these sections incorporate language from House Bill 58, 81st Texas Legislature to allow participation of eligible Texas independent institutions of higher education to compete for funding. The new language also incorporates the language of Senate Bill 44, 81st Texas Legislature that requires student participation in the funded projects.

Dr. MacGregor M. Stephenson, Assistant Commissioner for Academic Affairs and Research, has determined that for each year of the first five years the chapter is in effect, there are no fiscal implications to state or local government as a result of the proposed rule change.

Dr. Stephenson has also determined that for each year of the first five years the chapter is in effect, the proposed rule changes will not alter the public benefit or the local employment impact. There is no effect on small business, micro business or individuals.

Comments on the proposal may be submitted to Stacey Silverman, Director, Texas Higher Education Coordinating Board, P.O. Box 12788, Austin, Texas 78711 or Stacey.Silverman@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §61.027, which requires the THECB to establish rules for the Norman Hackerman Advanced Research Program.

The amendments affect implementation of Texas Education Code, Chapter 142 and 143.

§14.11.Purpose.

(a) (No change.)

(b) The research program is established to encourage and provide support for basic research conducted by faculty and students in eligible public and independent institutions in Texas in the research areas specified by Texas Education Code, §142.002 and as revised by the Advisory Committee.

§14.12.Eligibility.

(a) Only eligible public and independent institutions, as specified in Texas Education Code §61.003 may compete in [apply for] the research program.

(b) An eligible public or independent institution must be accredited by the Commission on Colleges of the Southern Association of Colleges and Schools.

(c) An eligible public or independent institution must have adopted an intellectual property policy meeting the minimal standards set out in Texas Education Code, §51.680. A copy of the policy must be approved by the Commissioner and be on file at the Coordinating Board.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 15, 2009.

TRD-200902433

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


CHAPTER 21. STUDENT SERVICES

SUBCHAPTER B. DETERMINATION OF RESIDENT STATUS AND WAIVER PROGRAMS FOR CERTAIN NONRESIDENT PERSONS

19 TAC §21.29

The Texas Higher Education Coordinating Board proposes amendments to §21.29, concerning the Determination of Resident Status and Waiver Programs for Certain Nonresident Persons.

Specifically, the proposed amendments to §21.29(4) reflect that a waiver from nonresident tuition for persons receiving certain competitive scholarships is an option and no longer a requirement for institutions. The amendments also indicate persons awarded scholarships prior to fall 2009 with the understanding of also receiving a waiver of nonresident tuition are entitled to that waiver and may continue to receive waivers through August 1, 2014, if they continue to receive competitive scholarships and continue to be enrolled in the same certificate or degree programs. These amendments implement provisions in House Bill 4244, 81st Texas Legislature. The proposed amendments to §21.29(10) reflect the provisions of a new waiver of nonresident tuition for veterans eligible for federal veterans' benefits, and their spouses and children (including stepchildren). To qualify, they must provide their institutions letters of intent to establish residence in Texas and must reside in the state while attending college. Unless extended by hardship conditions, a child's eligibility to use the waiver ends at age 25. These amendments implement provisions in Senate Bill 93, Senate Bill 297, and Senate Bill 847, 81st Texas Legislature.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, has determined that for each year of the first five years the amendments are in effect, there will be no fiscal implications to state or local government as a result of enforcing or administering the rule.

Ms. Hollis has also determined that for each year of the first five years the amendments are in effect, the public benefit anticipated as a result of this change will be that the rule will reflect new statutes authorizing the listed waivers. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the section as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6165, dan.weaver@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §54.075, which provides the Coordinating Board with the authority to adopt rules to carry out the purposes of Texas Education Code, §§54.0501 - 54.075.

The amendments affect Texas Education Code, §54.058 and §54.064.

§21.29.Waiver Programs for Certain Nonresident Persons.

A person who is classified as a nonresident under the provisions of this section shall be permitted to pay resident tuition, if the person qualifies for one of the following waiver programs:

(1) - (3) (No change.)

(4) Program for Competitive Scholarship Recipients.

(A) A nonresident person (including a Citizen, Permanent Resident of the U.S., a person who is eligible to be a Permanent Resident of the U.S., and an eligible nonimmigrant) who receives a competitive scholarship from the institution may be allowed [is entitled] to pay resident tuition.

(B) - (G) (No change.)

(H) A student awarded a competitive scholarship prior to fall 2009 that entitled him or her to pay resident tuition in the 2009-2010 academic year is entitled to continue paying resident tuition in subsequent semesters if awarded competitive scholarships in keeping with this paragraph and if the student remains enrolled in the same certificate or degree program. This provision expires August 1, 2014.

(5) - (9) (No change.)

(10) Programs for Military and Their Families. Members of the U.S. Armed Forces, Army National Guard, Air National Guard, Army, Air Force, Navy, Marine Corps or Coast Guard Reserves and Commissioned Officers of the Public Health Service, and their Spouses or Dependent Children.

(A) - (H) (No change.)

(I) Persons Eligible for Federal Education Benefits for Veterans, their Spouses and Children. Persons eligible for benefits under the federal Post 9/11 Veterans Educational Assistance Act of 2008, or any other federal law authorizing educational benefits for veterans, are eligible to pay the resident tuition rate without regard to the length of time they have been in the state, as are their spouses and children (including stepchildren), if they meet the following conditions:

(i) file a letter of intent with their institution to establish residency in Texas;

(ii) reside in this state while enrolled in the institution;

(iii) if qualifying as a child, be 25 years of age or younger on the first day of the term in which the person is registering unless meeting the hardship provisions described in clause (iv) of this subparagraph; and

(iv) if the child applying for an exemption under this provision is 25 years of age or older but can provide proof to the institution of severe illness or other debilitating condition that affected the person's ability to use the benefit before reaching that age, the child's period of eligibility to use the waiver shall be extended for a length of time equal to the period of illness or incapacity.

(11) (No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902364

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


SUBCHAPTER II. EDUCATIONAL AIDE EXEMPTION PROGRAM

19 TAC §§21.1081, 21.1083, 21.1084

The Texas Higher Education Coordinating Board proposes amendments to §§21.1081, 21.1083, and 21.1084, concerning the Educational Aide Exemption Program.

Specifically, the proposed amendment to §21.1081 clarifies that program officers are to determine student eligibility. This is a new requirement for the institutions, mandated by Senate Bill 1798, Texas Legislature. The proposed amendment to §21.1083 would add the requirement that an otherwise eligible applicant must submit his or her completed application to the institution by the end of a given term in order to be entitled to an award. The proposed amendments to §21.1084(b)(3), (c) and (d) clarify that, as mandated by Senate Bill 1798, 81st Texas Legislature, the institution is to determine student eligibility rather than forward applications to the Coordinating Board for processing. The proposed amendment to §21.1084(e) reflects that the institution shall determine student eligibility and notify students and school districts of their awards. The Coordinating Board will no longer have the information to post awards on its web site.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, has determined that for each year of the first five years the amendments are in effect there will be no fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Hollis has also determined that for each year of the first five years the amendments are in effect, the public benefit anticipated as a result of administering the sections will be that the rules will reflect current statutes governing the administration of the program. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6165, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §54.214, which provides the Coordinating Board with the authority to adopt rules for the administration of Texas Education Code, §54.214.

The amendments affect Texas Education Code, §54.214.

§21.1081.Definitions.

The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise:

(1) - (5) (No change.)

(6) Financial need--An indication of a student's inability to meet the full cost of attending a college or university, measured by one of the following methods:

(A) (No change.)

(B) An income methodology, which considers a student to have financial need if his or her adjusted gross annual income is less than income levels set annually by the Commissioner. If the student is a dependent, the family's adjusted gross family income is considered; if the student is independent, only the student's income (and the income of the student's spouse, if he or she is married) is [are] considered.

(7) Program Officer--The individual named by each participating institution's chief executive officer to serve as agent for the Board. The Program Officer has primary responsibility for all ministerial acts required by the program, including the determination of student eligibility, maintenance of all records and preparation and submission of reports reflecting program transactions. Unless otherwise indicated by the administration, the director of student financial aid shall serve as Program Officer.

(8) (No change.)

§21.1083.Eligible Students.

To receive an award through the Educational Aide Exemption Program, a student must:

(1) - (6) (No change.)

(7) follow application procedures and schedules as indicated by the Board; [and]

(8) have a statement on file with the institution of higher education indicating the student is registered with the Selective Service System as required by federal law or is exempt from Selective Service registration under federal law; and

(9) apply for an exemption by the end of the term for which the exemption is to apply.

§21.1084.The Application and Awarding Process.

(a) (No change.)

(b) The application has three parts that must be completed prior to the form's submission to the Board for processing.

(1) - (2) (No change.)

(3) Part III is to be completed by the Program Officer at the institution, who shall then determine student eligibility and advise the student of his or her status [ forward the application to the Board for processing].

(c) Applications will be processed by the institutions. [ Board as they are submitted by the institutions. Priority deadlines for submitting applications for the fall-spring terms and for the summer term will be announced in the instructions distributed with the applications. Applications received after those deadlines will be given consideration only if funds remain available after all applications received by the deadline have been processed.]

(d) If the student's financial need is based on the income methodology and prior year adjusted gross income is not available at the time of application, eligibility can be temporarily based on a prior prior-year tax return, but the student must provide the institution [Board ] a copy of the prior-year tax return by the deadline set by the institution [Board] and reported to the student in his or her award announcement [ letter]. If the updated return indicates an income that exceeds the cut-off amount for eligibility, the student will be required to refund to the program any awards received based on prior prior-year data.

(e) As soon as possible after processing applications, the institution [Board] will notify the relevant [institutions,] students and school districts of their awards. [Institutions will be able to verify approval or a student's award through the Board's web site.]

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902365

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


19 TAC §§21.1085 - 21.1090

(Editor's note: The text of the following sections proposed for repeal will not be published. The sections may be examined in the offices of the Texas Higher Education Coordinating Board or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin, Texas.)

The Texas Higher Education Coordinating Board proposes the repeal of §§21.1085 - 21.1090, concerning the Educational Aide Exemption Program.

Specifically, §21.1085 is proposed for repeal in order to delete references to considerations if funding is limited, as these provisions are no longer in statute. The repeal of §21.1085 necessitates the repeal of §§21.1086 - 21.1090.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, has determined that for each year of the first five years the repeal is in effect, there will be no significant fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Hollis has also determined that for each year of the first five years the repeal is in effect, the public benefit anticipated as a result of administering the sections will be greater clarity in program rules, making it easier for the participants to understand the program's requirements. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6265, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The repeal is proposed under the Texas Education Code, §54.214, which provides the Coordinating Board with the authority to adopt any rules necessary to administer Texas Education Code, §54.214.

The repeal affects Texas Education Code, §54.214.

§21.1085.Special Considerations if Funding is Limited.

§21.1086.Award Amounts and Processing Cycle.

§21.1087.Reimbursements.

§21.1088.Exemption from Student Teaching.

§21.1089.Hardship Provisions.

§21.1090.Dissemination of Information and Rules.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902366

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


19 TAC §§21.1085 - 21.1089

The Texas Higher Education Coordinating Board proposes new §§21.1085 - 21.1089, concerning the Educational Aide Exemption Program.

Specifically, these new sections are being proposed because of the repeal of §21.1085. New §21.1085(c)(2) clarifies that institutions cannot make spring awards or request reimbursements for them unless they have proof the recipient is still employed by their school district. New §21.1085(c)(3) clarifies that the Coordinating Board will notify institutions and school districts of the availability of funds for summer awards. It will not notify current year recipients since it will no longer have current year recipient information.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, has determined that for each year of the first five years the new sections are in effect there will be no fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Hollis has also determined that for each year of the first five years the new sections are in effect, the public benefit anticipated as a result of administering the sections will be that the rules will reflect current statutes governing the administration of the program. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the section as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6165, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The new sections are proposed under the Texas Education Code, §54.214, which provides the Coordinating Board with the authority to adopt rules for the administration of Texas Education Code, §54.214.

The new sections affect Texas Education Code, §54.214.

§21.1085.Award Amounts and Processing Cycle.

(a) Amounts. Students receiving awards through the Educational Aide Exemption Program shall be exempted from the payment of (or reimbursed for) resident tuition and required fees, other than laboratory and class fees, for courses taken during the relevant term.

(b) Form of Award--Exemption or Reimbursement.

(1) If applications are processed and announced in time, institutions should exempt recipients from the payment of such charges and then request reimbursement from the Board.

(2) If applications are processed and/or announced too late for the student to be exempted from such payments at registration, the student may be required to pay these charges first, and then be reimbursed by the institution once reimbursement funds are received from the Board.

(c) Unique Requirements for Each Term.

(1) Fall awards are made on the basis of the original fall/spring application.

(2) Spring awards are based on the original fall/spring application. If the student was not a recipient during the fall term, the original application functions as a stand-alone spring application. If the applicant also received a fall award, the spring award shall not be requested by the institution until the school or school district confirms to the institution that it will still be employing the applicant in the spring term.

(3) Summer awards are to be based on a summer application that will be distributed only upon confirmation that there is funding available for summer awards. Institutions and school districts will be advised by the Board of the availability of funds by March 1 of each year. At that time, the Board will distribute copies of the summer application and instructions to institutions and school districts.

§21.1086.Reimbursements.

(a) Source of Funding. The funds used to reimburse institutions or students for awards made through the Educational Aide Exemption program will come from the state's Foundation School Fund and any gifts, grants and donations made to the Texas Education Agency for that purpose.

(b) Requesting Reimbursements. To request reimbursement for student awards, institutions must complete and submit a Request for Reimbursement Form designed and distributed by the Board. Such forms must be submitted to the Board with sufficient documentation (student billing information) to confirm that the requests are being made for authorized charges.

(c) Disbursements by the Board. The Board will process institutional Requests for Reimbursement at least once a month and will subsequently have appropriate amounts transferred to institutions by the State Comptroller's office. Such funds are to be used by the institutions either to reimburse itself (if it exempted the students from the payment of the relevant charges) or to reimburse students for the relevant charges they paid to the institution.

(d) Transfers from the Foundation Program. At least once a year the Board will request a transfer of funds from the foundation school fund for use in reimbursing institutions or students for their Educational Aide Exemption program awards.

§21.1087.Exemption from Student Teaching.

(a) An individual who receives a bachelor's degree required for a teaching certificate on the basis of higher education coursework completed while receiving an award through this subchapter shall not be required by his or her institution to participate in any field experience or internship consisting of student teaching as a requirement to receive a teaching certificate.

(b) An individual who receives a bachelor's degree prior to receiving his or her first award under this subchapter is not eligible for a student teaching exemption under subsection (a) of this section.

§21.1088.Hardship Provisions.

An individual is considered to meet the employment requirements listed in §21.1083(3) of this chapter (relating to Eligible Students) if he or she was employed at the beginning of the relevant term but was unable to remain employed throughout the term for reasons beyond his or her control. Such situations include, but are not limited to, the following:

(1) a severe illness or other debilitating condition that may affect the individual's ability to continue employment;

(2) responsibility for the care of a temporarily disabled dependent that may affect the recipient's ability to continue employment; or

(3) performance of active duty military service. §21.1089.Dissemination of Information and Rules.

The Board is responsible for publishing and disseminating general information and program rules for the program described in this subchapter.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902367

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


SUBCHAPTER NN. EXEMPTION PROGRAM FOR VETERANS AND THEIR DEPENDENTS (THE HAZLEWOOD ACT)

19 TAC §§21.2100 - 21.2102

The Texas Higher Education Coordinating Board proposes amendments to §§21.2100 - 21.2102, concerning the Exemption Program for Veterans and Their Dependents (The Hazlewood Act).

Specifically, the proposed amendments remove the definition of "citizen of Texas," as that term is no longer relevant; define new terms to reflect statutory changes; and expand the definition for programs having "extraordinary costs" to reflect the passage of Senate Bill 93, Senate Bill 297, and Senate Bill 847, 81st Texas Legislature. This change allows public technical and state colleges, as well as public junior colleges, to charge students the costs associated with operating these higher cost programs. The amendments also clarify the types and amounts of charges that may be exempted and reflect that, in certain cases, veterans' spouses may be eligible for an exemption. Paragraphs have been renumbered as appropriate.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, in keeping with the Legislative Budget Board's fiscal note for Senate Bill 93, Senate Bill 297, and Senate Bill 847, 81st Texas Legislature has determined that for each year of the first five years the amendments are in effect there will be no fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Hollis has also determined that for each year of the first five years the amendments are in effect, the public benefit anticipated as a result of administering the sections will be more consistent administration of the program among participating institutions. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6165, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §54.203, which provides the Coordinating Board with the authority to adopt rules necessary to administer Texas Education Code, Chapter 54, Subchapter D.

The amendments affect Texas Education Code, §54.203.

§21.2100.Definitions.

The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise:

(1) - (4) (No change.)

[(5) Citizen of Texas--A person who is a resident of Texas.]

(5) [(6)] Contact hours--A unit of measure that represents an hour of scheduled instruction given to students of which 50 minutes must be of direct instruction. Also referred to as clock hours.

(6) [(7)] Dependent--An individual who was claimed as a dependent for federal income tax purposes by the individual's parent or court-appointed legal guardian in a particular year and in the previous tax year. A veteran was a dependent if he or she was claimed as such by a parent or legal guardian during the veteran's year of entry into the service and in the previous tax year.

(7) Deployed--A person is deployed if he or she is assigned to active military duty performed in a combat zone outside the United States.

(8) Extraordinary costs--(for public junior colleges, public technical institutes, or public state colleges [ community/junior colleges ] only) tuition and fee costs that exceed the average tuition and fee charges at the institution.

(9) Hazlewood Act Exemption--The tuition and partial fee exemption authorized under Texas Education Code, §54.203.

(10) Hazelwood Legacy Act--The tuition and partial fee exemption authorized under Texas Education Code, §54.203, as amended by Senate Bill 93, 81st Texas Legislature, June 1, 2009, which removes certain residency restrictions, extends eligibility to spouses, and permits eligible veterans to assign their unused hours to their child.

(11) [(10)] Honorably discharged--Released from active duty military service with an Honorable Discharge, General Discharge under Honorable Conditions, or Honorable Separation or Release from Active Duty, as documented by the Certificate of Release or Discharge from Active Duty (DD214) issued by the Department of Defense.

(12) [(11)] Identification number--An individual's social security number or school-assigned identification number.

(13) [(12)] Institution--A Texas public institution of higher education as defined in Texas Education Code, §61.003(8).

(14) [(13)] Deposit fees--Fees that an institution may collect under Texas Education Code, §54.502.

(15) [(14)] Resident of Texas--A resident of the State of Texas as determined in accordance with Chapter 21, Subchapter B, of this title (relating to Determination of Resident Status and Waiver Programs for Certain Nonresident Persons).

(16) [(15)] Student service fees--Fees that an institution may, under Texas Education Code, §§54.503, 54.5061 and 54.513, elect to charge to students to cover the cost of student services.

(17) [(16)] Training--Time spent as a member of the armed forces that is not included in the "Net Active Service" or the sum of "Net Active Service" indicated on the Certificate of Release or Discharge from Active Duty (DD214).

(18) [(17)] Tuition--All types of tuition that an institution may, under Texas Education Code, Chapter 54, collect from students attending the institution, including statutory tuition, discretionary tuition, designated tuition, and board-authorized tuition.

§21.2101.Hazlewood Act Exemption.

(a) Subject to the following provisions, an institution shall exempt an eligible veteran, spouse, or child from the payment of tuition, [and] fees, dues, and other required charges, other than deposit and student service fees. The exemption shall not apply to the payment of fees for services or items that are not required for enrollment in general or for items that are not required for the specific courses taken by the student.

(b) If the eligible veteran, spouse, or child is entitled to federal veterans' education benefits during the term or semester for which he or she applies for the Hazlewood Act Exemption, he or she is entitled to receive both federal and state veterans benefits during the same time only if the value of the federal veteran's benefits that may be used only for the payment for tuition and fees for the term or semester is less than the value of the student's tuition [and] fees, dues, and other required charges, less deposit and student service fees. The total amount a person may receive simultaneously through federal education benefits that may be used only for tuition and fees and the Hazlewood exemption is an amount equal to the total tuition and fees.

(c) An eligible veteran, spouse, or child is not entitled to the Hazlewood Act Exemption for more than 150 attempted credit hours.

(d) An eligible veteran, spouse, or child is entitled to the Hazlewood Act Exemption for an unlimited number of contact hours.

(e) - (f) (No change.)

(g) The governing board of a public junior college, public technical institute, or public state college as those terms are defined by Texas Education Code, §61.003, [ district] may establish a fee for extraordinary costs associated with a specific course or program.

(h) (No change.)

§21.2102.Eligible Veterans.

In order to be eligible to receive a Hazlewood Act Exemption, a veteran shall demonstrate that he or she:

(1) at the time he or she entered the service, was a resident of Texas, entered the service in the State of Texas, or declared Texas as his or her home of record in the manner provided by the military or other service;

[(2) has been classified as a resident by the institution for the term or semester for which the veteran applies for the Hazlewood Act Exemption;]

(2) [(3)] was honorably discharged from service;

(3) [(4)] has no federal veteran's education benefits, or, if he or she has such benefits, that the value of the benefits that may be used only for the payment of tuition and fees for the semester, including such benefits as those issued under Title 38, United States Code, Chapters 30, 32, and 35, and Title 10, United States Code, Chapters 1606 and 1607 is less than the value of the student's tuition, [and] fees, and other required charges, less deposit and student service fees for the relevant term;

(4) [(5)] is not in default on an education loan made or guaranteed by the State of Texas and is not in default on a federal loan if that default is the reason the student cannot use his or her federal veterans' benefits;

(5) [(6)] has attempted fewer than 150 credit hours using the Hazlewood Act Exemption beginning with fall of 1995;

(6) [(7)] has followed the application procedures and schedules required by these provisions; and

(7) [(8)] belongs to one of the following groups of individuals:

(A) nurses and honorably discharged members of the armed forces of the United States who served during the Spanish-American War or during World War I;

(B) nurses, members of the Women's Army Auxiliary Corps, members of the Women's Auxiliary Volunteer Emergency Service, and honorably discharged members of the armed forces of the United States who served during World War II except those who were discharged from service because they were over the age of 38 or because of a personal request on the part of the person that he be discharged from service;

(C) honorably discharged men and women of the armed forces of the United States who served during the Korean War which began on June 27, 1950, and ended on July 27, 1953; and

(D) all persons who:

(i) were honorably discharged from the armed forces of the United States after serving on active military duty for at least 181 days, excluding training; and

(ii) who served a portion of their active duty during:

(I) the Cold War which began on June 27, 1950;

(II) the Vietnam era which began on December 21, 1961, and ended on May 7, 1975;

(III) the Grenada and Lebanon era which began on August 24, 1982, and ended on July 31, 1984;

(IV) the Panama era which began on December 20, 1989, and ended on January 21, 1990;

(V) the Persian Gulf War which began on August 2, 1990, and ended on March 3, 1991;

(VI) the National Emergency by Reason of Certain Terrorist Attacks, which began on September 11, 2001; and

(VII) any future national emergency declared in accordance with federal law.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902368

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


19 TAC §§21.2103 - 21.2108

(Editor's note: The text of the following sections proposed for repeal will not be published. The sections may be examined in the offices of the Texas Higher Education Coordinating Board or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin, Texas.)

The Texas Higher Education Coordinating Board proposes the repeal of §§21.2103 - 21.2108, concerning the Exemption Program for Veterans and Their Dependents (The Hazlewood Act).

Specifically, §§21.2103 - 21.2108 are proposed for repeal due to the creation of new §§21.2103 - 21.2111.

Ms. Lois Hollis, Assistant Commissioner for Student Services, in keeping with the Legislative Budget Board's fiscal note for Senate Bill 93, Senate Bill 297, and Senate Bill 847, Texas Legislature has determined that for each year of the first five years the repeal is in effect, there will be no significant fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Hollis has also determined that for each year of the first five years the repeal is in effect the public benefit anticipated as a result of administering the sections will be that the rules will reflect current statutes governing the administration of the program. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6465, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The repeal is proposed under the Texas Education Code, §56.203, which provides the Coordinating Board with the authority to adopt any rules necessary to administer Texas Education Code, Chapter 54, Subchapter D.

The repeal affects Texas Education Code, §56.203.

§21.2103.Eligible Children.

§21.2104.The Application.

§21.2105.Supporting Documentation for the Hazlewood Act Exemption Application.

§21.2106.Subsequent Hazlewood Exemption Awards.

§21.2107.Release of Data to the Board and Institutions.

§21.2108.Reporting.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902370

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


19 TAC §§21.2103 - 21.2111

The Texas Higher Education Coordinating Board proposes new §§21.2103 - 21.2111, concerning the Exemption Program for Veterans and Their Dependents (The Hazlewood Act).

Specifically, the new sections add eligibility requirements for certain veterans' spouses and reflect expanded eligibility for veterans who entered the service in Texas or declared Texas as their home of record. The new sections add procedures for veterans who wish to assign their unused hours to a child and for a new tuition exemption for children of service members who are deployed overseas. The new sections implement provisions of Senate Bill 93, Senate Bill 297, and Senate Bill 847, 81st Texas Legislature.

Ms. Lois Hollis, Assistant Commissioner for Student Services, in keeping with the Legislative Budget Board's fiscal note for Senate Bill 93, Senate Bill 297, and Senate Bill 847, 81st Texas Legislature has determined that for each year of the first five years the amendments are in effect, there will be no significant fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Hollis has also determined that for each year of the first five years the amendments are in effect the public benefit anticipated as a result of administering the sections will be that the rules will reflect current statutes governing the administration of the program. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6465, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The new sections are proposed under the Texas Education Code, §54.203 which provides the Coordinating Board with the authority to adopt any rules necessary to administer Texas Education Code, Chapter 54, Subchapter D.

The new sections affect Texas Education Code, §54.203.

§21.2103.Eligible Spouses.

In order to be eligible to receive a Hazlewood Act Exemption, veterans' spouses shall demonstrate that they:

(1) are spouses of:

(A) members of the U.S. Armed Forces who entered the service in the State of Texas, declared Texas as their home of record in the manner provided by the military or other service; or were residents of Texas when they entered the service and who:

(i) were killed in action;

(ii) died while in service;

(iii) are missing in action;

(iv) whose deaths are documented to be directly caused by illness or injury connected with service in the armed forces of the United States; or

(v) became totally disabled for purposes of employability according to the disability ratings of the Department of Veterans Affairs as a result of a service-related injury; or

(B) members of the Texas National Guard or Texas Air National Guard who:

(i) were killed since January 1, 1946 while on active duty either in the service of Texas or the United States; or

(ii) are totally disabled for purposes of employability according to the disability ratings of the Department of Veterans Affairs, regardless of whether the members are eligible to receive disability benefits from the department, as a result of a service-related injury suffered since January 1, 1946, while on active duty either in the service of this state or the United States.

(2) have no federal veteran's education benefits, based on the death or disability of a veteran spouse, or, if eligible for federal benefits, that the value of the benefits that may be used only for the payment of tuition and fees is less than the value of the spouse's tuition, fees, and other required charges, less deposit and student service fees for the term in which the exemption is to be used; and

(3) are classified by their institutions as residents of Texas for the term or semester for which they apply for the Hazlewood Act Exemption.

§21.2104.Eligible Children.

In order to be eligible to receive a Hazlewood Act Exemption, children shall demonstrate that they:

(1) are children of:

(A) members of the U.S. Armed Forces who entered the service in the State of Texas, declared Texas as their home of record in the manner provided by the military or other service; or were residents of Texas when they entered the service and who:

(i) died while in service;

(ii) are missing in action;

(iii) whose deaths are documented to be directly caused by illness or injury connected with service in the armed forces of the United States; or

(iv) became totally disabled for purposes of employability according to the disability ratings of the Department of Veterans Affairs as a result of a service-related injury; or

(B) members of the Texas National Guard or Texas Air National Guard who:

(i) were killed since January 1, 1946 while on active duty either in the service of Texas or the United States; or

(ii) are totally disabled for purposes of employability according to the disability ratings of the Department of Veterans Affairs, regardless of whether the members are eligible to receive disability benefits from the department, as a result of a service-related injury suffered since January 1, 1946, while on active duty either in the service of this state or the United States.

(2) have no federal veteran's education benefits, based on the death or disability of a veteran parent, or, if eligible for federal benefits, that the value of the benefits that may be used only for the payment of tuition and fees is less than the value of the children's tuition, fees, and other required charges, less deposit and student service fees for the term in which the exemption is to be used; and

(3) are classified by their institutions as residents of Texas for the term or semester for which they apply for the Hazlewood Act Exemption.

§21.2105.The Application.

(a) Board staff shall produce and distribute a state-wide Hazlewood Act Exemption Application, requiring institutions to obtain the following information from applicants for the exemption:

(1) general information about the veteran, spouse, and/or child;

(2) point of entry, home of record, or residency information for the time that the veteran entered the service;

(3) residency information for the time that the spouse or child wishes to use the exemption;

(4) a certification of the validity of the information provided by the veteran, spouse, or child; and

(5) a statement granting permission to the institution to release current term or semester and historic credit hour information to the Board and granting permission for the Board to share such data with any institution that the veteran, spouse, or child might attend.

(b) For an otherwise eligible veteran, spouse, or child to be entitled to a Hazlewood Act exemption in a given term or semester, he or she must provide a completed Hazlewood Act Exemption Application and provide the supporting documentation to the institution no later than the census date of that term or semester. If the application or supporting documents are provided after the census date, the institution may make the award but is not required to do so.

(c) All institutions shall require the completed Hazlewood Act Exemption Application Form with supporting documentation for each exemption that is granted.

§21.2106.Supporting Documentation for the Hazlewood Act Exemption Application.

(a) When applying for the first time for the Hazlewood Act Exemption, a veteran shall provide to the institution, along with the Hazlewood Act Exemption Application, the following supporting documentation:

(1) a copy of the veteran's Certificate of Release or Discharge from Active Duty (DD214);

(2) proof of the veteran's current status regarding eligibility for federal veterans' education benefits; and

(3) documentation of point of entry, home of record, or Texas residency at the time the veteran entered the service.

(b) When applying for the first time for the Hazlewood Act Exemption, a spouse or child shall provide to the institution, along with the Hazlewood Act Exemption Application, the following supporting documentation:

(1) proof that the spouse's or parent veteran's death or disability was a result of injury or illness directly associated with service in the U.S. Armed Forces, or that the National Guard spouse or parent was killed or disabled while he or she was on active duty either in the service of Texas or the United States;

(2) proof of the spouse's or child's current status regarding eligibility for federal benefits awarded on the basis of the spouse's or parent's service-related death or disability;

(3) if a child, proof that the child was a dependent of the veteran at the time the veteran died, sustained his or her disabling injury, or was classified as missing in action;

(4) if a spouse, proof that the spouse was the legal spouse of the veteran at the time the veteran died, sustained his or her disabling injury, or was classified as missing in action;

(5) documentation that the veteran spouse or parent, at the time he or she entered the service, was a resident of Texas, entered the service in the State of Texas, or declared Texas as his or her home of record in the manner provided by the military or other service; and

(6) for the spouse or child of a disabled veteran or guardsman documentation that the veteran has been rated by the Veterans' Administration as unemployable due to his or her service-related injuries.

§21.2107.Subsequent Hazlewood Exemption Awards.

(a) For each term or semester of an academic year in which the veteran, spouse, or child receives a Hazlewood Act Exemption, the institution shall confirm that the veteran, spouse, or child:

(1) has not exhausted his or her 150 credit hours of eligibility through the program since Fall 1995;

(2) is still classified as a resident student (applies only to a spouse or child);

(3) has no federal veteran's benefits, or if he or she has federal veterans education benefits that may be used only to pay tuition and fees, that the value of the benefits is less than the student's tuition and required fees less deposit and student service fees for the term; and

(4) is not in default on an education loan made or guaranteed by the State of Texas and is not in default on a federal loan if that default is the reason the student cannot use his or her federal veterans' benefits.

(b) For each term or semester of an academic year in which the veteran, spouse, or child receives a Hazlewood Act Exemption, he or she shall submit the appropriate program application.

§21.2108.Assigning Unused Hours to a Child.

(a) An eligible veteran may elect to waive his or her right to any unused hours for which he or she is eligible (up to the maximum 150 semester credit hours). By completing the relevant forms provided through the Board website and submitting them to the institution, the veteran may:

(1) assign the unused hours to one of his or her children; and

(2) if the child to which the hours have been assigned fails to use all available credit hours, assign the remaining hours to another of his or her children.

(b) For purposes of this section, a child designee must be:

(1) the stepchild, biological, or adopted child of the parent veteran; or

(2) claimed as a dependent on a federal income tax return filed for the preceding year or for the current year.

(c) For an otherwise eligible child to be entitled to a Hazlewood Act exemption in a given term or semester, he or she must:

(1) be a resident of Texas;

(2) make satisfactory academic progress in a degree, certificate, or continuing education program as determined by the institution; except, the child is not required to enroll in a minimum course load;

(3) be 25 years of age or younger on the first day of the semester or other academic term for which the exemption is claimed, unless the child is granted an extension in keeping with subsection (d) of this section;

(4) provide his or her institution a completed Hazlewood Act Exemption Application and the supporting documentation to the institution no later than the census date of that term or semester. If the application or supporting documents are provided after the census date, the institution may make the award but is not required to do so.

(d) An otherwise eligible child assigned hours through this section may use the exemption in a given term at age 25 years or older if the child provides his or her institution documentation from a physician, indicating he or she suffered from a severe illness or other debilitating condition which prevented the child from using the exemption in the required timeframe. In this case, the student's eligibility shall be extended for a period of time equal to the time during which he or she experienced the illness or debilitating condition.

§21.2109.Release of Data to the Board and Institutions.

Prior to the census date of the first term or semester of an academic year in which the veteran, spouse, or child receives a Hazlewood Act Exemption, he or she shall execute a statement, consenting to the release of the number of hours taken in the current academic year and in all previous academic years to the Board and to any institution that the veteran may attend.

§21.2110.Reporting.

(a) All institutions shall report by means of the Texas Higher Education Coordinating Board's CBM 001 report, for each eligible veteran, spouse, and child who is exempted from the payment of tuition and mandatory and discretionary fees, other than deposit and student service fees, the following information to the Board:

(1) the person's name;

(2) the person's identification number;

(3) the person's date of birth; and

(4) the number of credit hours for which the person received an exemption in the given semester.

(b) All institutions shall submit the report required under this provision to the Board no later than December 31, for the fall term, no later than May 31, for the spring term, and no later than September 30, for the summer term or semester.

(c) If the individual concurrently received federal and state benefits in a given semester, institutions must adjust the data for the Board's report of all students enrolled in credit courses as of the official census date (CBM001 report) to reflect only hours paid through the Hazlewood Act Exemption.

§21.2111.Tuition Exemption for Children of Military Service Members Who Are Deployed.

Institutions shall exempt an eligible child from the payment of resident tuition for every semester or academic term during which a child demonstrates that he or she:

(1) is a dependent child, including a stepchild, of a member of the Armed Forces of the United States who is a Texas resident or entitled to pay resident tuition; and

(2) the member is deployed on active duty for the purpose of engaging in a combative military operation outside of the United States.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902369

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


CHAPTER 22. GRANT AND SCHOLARSHIP PROGRAMS

SUBCHAPTER B. PROVISIONS FOR THE TUITION EQUALIZATION GRANT PROGRAM

19 TAC §§22.21, 22.22, 22.24

The Texas Higher Education Coordinating Board proposes amendments to §§22.21, 22.22 and 22.24, concerning Provisions for the Tuition Equalization Grant Program.

Specifically, the amendments to §22.21 eliminate redundant language and clarify that Tuition Equalization Grants are for students attending private or independent Texas colleges or universities. Amendments to §22.22 clarify that the definitions for enrollment on at least a half-time basis and full-time enrollment pertain to a semester or term, and not to a full academic year. The amendment to the definition of "Program Officer" clarifies the duties of that position. The amendment to the definition of "Resident of Texas" corrects the title of Chapter 21, Subchapter B, of Coordinating Board rules. A definition of three-fourths-time enrollment is added, as required by the passage of House Bill 4476, 81st Texas Legislature. The amendments to §22.24 are mandated by House Bill 4476, 81st Texas Legislature, and reflect the changes to the enrollment requirements for students enrolled for the 2009-2010 academic year and later, from full-time enrollment to three-fourths-time enrollment. Section 22.24(3)(A) - (C), dealing with eligibility for continuation awards and grade-point-average calculations, is deleted.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, has determined that for each year of the first five years the sections are in effect, there will be no fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Hollis has also determined that for each year of the first five years the sections are in effect, the public benefit anticipated as a result of administering the sections will be more clarity for and consistency among institutions administering the program. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6465, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §61.229, which provides the Coordinating Board with the authority to adopt rules to implement the program.

The amendments affect Texas Education Code, §§61.221 - 61.230.

§22.21.Authority and Purpose.

(a) (No change.)

(b) Purpose. The purpose of the Tuition Equalization Grant Program is to promote the best use of existing educational resources and facilities within this state, both public and private, by providing need-based [tuition equalization] grants to Texas residents and eligible nonresidents enrolled in any approved private or independent Texas college or university.

§22.22.Definitions.

The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise:

(1) - (8) (No change.)

(9) Enrollment on at least a half-time basis--For undergraduate students, enrolled for the equivalent of six or more semester credit hours per semester or term. For graduate students, enrolled for the equivalent of 4.5 or more semester credit hours per semester or term.

(10) Enrollment on at least a three-fourths basis--For undergraduate students, enrolled for the equivalent of nine or more semester credit hours per semester or term. For graduate students, enrolled for the equivalent of six or more semester credit hours per semester or term.

(11) [(10) ] Expected family contribution--The amount of discretionary income that should be available to a student from his or her resources and that of his or her family, as determined following the federal methodology.

(12) [(11)] Full-time enrollment--For undergraduate students, enrollment for the equivalent of twelve or more semester credit hours per semester or term. For graduate students, enrollment for the equivalent of nine or more semester credit hours per semester or term.

(13) [(12)] Financial need--The cost of attendance at a particular public or private institution of higher education less the expected family contribution. The cost of attendance and family contribution are to be determined in accordance with Board guidelines.

(14) [(13)] Graduate student--A student who has been awarded a baccalaureate degree.

(15) [(14)] Initial TEG--The first Tuition Equalization Grant ever awarded to a specific student.

(16) [(15)] Period of enrollment--The term or terms within a state fiscal year (September 1-August 31) for which the student was enrolled in an approved institution and met all the eligibility requirements for an award through this program.

(17) [(16)] Private or independent institution--Any college or university defined as a private or independent institution of higher education by Texas Education Code, §61.003.

(18) [(17)] Program or TEG--The Tuition Equalization Grant Program.

(19) [(18)] Program Maximum--The TEG Program award maximum determined by the Board in accordance with Texas Education Code, §61.227 (relating to Payment of Grant; Amount).

(20) [(19)] Program Officer--The individual named by each participating institution's chief executive officer to serve as agent for the Board. The Program Officer has primary responsibility for all ministerial acts required by the program, including the selection of recipients, maintenance of all records and preparation and submission of reports reflecting program transactions. Unless otherwise indicated by the administration, the director of student financial aid shall serve as Program Officer.

(21) [(20)] Regular Semester--A fall or spring semester, typically of 16 weeks' duration.

(22) [(21)] Resident of Texas--A resident of the State of Texas as determined in accordance with Chapter 21, Subchapter B, of this title (relating to Determination of Resident Status and Waiver Programs for Certain Nonresident Persons [ Determining Residence Status]). Nonresident students who are eligible to pay resident tuition rates are not residents of Texas.

(23) [(22)] State Fiscal Year--A period of time that begins on September 1 of one calendar year and ends on August 31 of the following calendar year.

(24) [(23)] Tuition Differential--The difference between the tuition paid at the private or independent institution attended and the tuition the student would have paid to attend a comparable public institution.

(25) [(24)] Tuition Equalization Grant need (TEG need)--The total amount of TEG funds that full-time students at an approved institution would be eligible to receive if the program were fully funded.

(26) [(25)] Undergraduate student--An individual who has not yet received a baccalaureate degree.

§22.24.Eligible Students.

To receive an award through the TEG Program, a student must:

(1) be enrolled for a minimum number of semester credit hours, which requires:

(A) if the student received a TEG in a state fiscal year prior to 2005-2006 or was awarded a TEG for the 2005-2006 state fiscal year prior to September 1, 2005, enrollment on at least a half-time basis; [or]

(B) if the student was awarded a TEG award for the 2009-2010 academic year or later, three-fourths-time enrollment;

[(B) if the student was awarded his or her initial TEG award on or after September 1, 2005, full-time enrollment;]

(2) show financial need;

(3) maintain satisfactory academic progress in his or her program of study as required by §22.25 of this title (relating to Satisfactory Academic Progress); [ which requires:]

[(A) if the student received a TEG in a state fiscal year prior to 2005-2006 or was awarded a TEG for the 2005-2006 state fiscal year prior to September 1, 2005, the student must meet the academic progress requirements as set by the institution; or]

[(B) if the student was awarded his or her initial TEG award on or after September 1, 2005:]

[(i) completion of at least 24 semester credit hours in the student's most recent academic year in an undergraduate degree or certificate program; or completion of at least 18 semester credit hours in the student's most recent academic year in a graduate or professional degree program (unless fewer hours are required for the completion of the degree), and]

[(ii) establishment and maintenance of an overall grade point average of at least 2.5 on a four-point scale or the equivalent on coursework previously attempted at public or private institutions. Grade point average calculations shall be made in accordance with institutional policies except that if a grant recipient's grade point average falls below program requirements and the student transfers to another institution, the receiving institution cannot make a continuation award to the transfer student until he/she provides official transcripts of previous coursework to the new institution's financial aid office and that office re-calculates an overall grade point average, including hours and grade points for courses taken at the old and new institutions that proves the student's overall grade point average now meets or exceeds program requirements.]

[(C) A first-time entering freshman student enrolling in a participating institution for the second regular term or semester in a given academic year meets the semester-credit-hour requirement outlined in subparagraph (B)(i) of this paragraph for continuing in the program if he or she completes at least 12 semester credit hours or its equivalent during that term or semester.]

(4) - (8) (No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902371

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


19 TAC §§22.25 - 22.33

(Editor's note: The text of the following sections proposed for repeal will not be published. The sections may be examined in the offices of the Texas Higher Education Coordinating Board or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin, Texas.)

The Texas Higher Education Coordinating Board proposes the repeal of §§22.25 - 22.33, concerning Provisions for the Tuition Equalization Grant Program.

Specifically, these sections are proposed for repeal in order to propose new §22.25 and §22.26, which would implement House Bill 4476, 81st Texas Legislature.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, has determined that for each year of the first five years the repeal is in effect, there will be no fiscal implications to state or local government as a result of enforcing or administering the repeal.

Ms. Hollis has also determined that for each year of the first five years the repeal is in effect, the public benefit anticipated as a result of administering the repeal will be more clarity for and consistency among institutions administering the program. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the repeal as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6465, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The repeal is proposed under the Texas Education Code, §61.229, which provides the Coordinating Board with the authority to adopt rules to implement the program.

The repeal affects Texas Education Code, §§61.221 - 61.230.

§22.25.End of Eligibility.

§22.26.Hardship Provisions for Students Awarded an Initial TEG on or after September 1, 2005.

§22.27.Award Amounts and Uses.

§22.28.Adjustments to Awards Made through Campus-Based Processing.

§22.29.Late Disbursements.

§22.30.Allocation and Reallocation of Funds.

§22.31.Authority to Transfer Funds.

§22.32.Dissemination of Information and Rules.

§22.33.Reporting.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902372

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


19 TAC §§22.25 - 22.35

The Texas Higher Education Coordinating Board proposes new §§22.25 - 22.35, concerning Provisions for the Tuition Equalization Grant Program.

New §22.25 and §22.26 would implement House Bill 4476, 81st Texas Legislature, which changed the eligibility requirements for students who receive initial awards for academic year 2009-2010 and later. In addition, this bill changes the renewal criteria for students receiving initial awards for the academic year 2008-2009 and later. New §22.25 and §22.26 necessitate new §§22.27 - 22.35. New §22.30 (current §22.28) is changed to correct the title due to the fact that there is no longer a campus-based process.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, has determined that for each year of the first five years the sections are in effect, there will be no fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Hollis has also determined that for each year of the first five years the sections are in effect, the public benefit anticipated as a result of administering the sections will be more clarity for and consistency among institutions administering the program. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6465, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The new sections are proposed under the Texas Education Code, §61.229, which provides the Coordinating Board with the authority to adopt rules to implement the program.

The amendments affect Texas Education Code, §§61.221 - 61.230.

§22.25.Satisfactory Academic Progress.

(a) Students who received a TEG award in a state fiscal year prior to 2005-2006 or who were awarded a TEG for the 2005-2006 state fiscal year prior to September 1, 2005, shall meet the academic progress requirements as determined by institutional policies.

(b) Students awarded a TEG award for the 2008-2009 academic year and later shall, unless granted a hardship postponement in accordance with §22.28 of this title (relating to Hardship Provisions for Students Awarded an Initial TEG on or after September 1, 2005):

(1) As of the end of the first academic year in which the student receives an initial award, meet the academic progress requirements as determined by institutional policies.

(2) At the end of the year in which the student receives a continuation award:

(A) complete at least 75 percent of the hours attempted in his or her most recent full academic year, as determined by institutional policies;

(B) complete at least 24 semester credit hours in his or her most recent full academic year; and

(C) maintain an overall grade-point average of at least 2.5 on a four-point scale or its equivalent for all coursework attempted at an institution or private or independent institution.

§22.26.Grade Point Average Calculation.

Grade-point average calculations shall be made in accordance with institutional policies except that if a grant recipient's grade-point average falls below program requirements and the student transfers to another institution, or has transferred from another institution, the receiving institution cannot make a continuation award to the transfer student until he or she provides official transcripts of previous coursework to the new institution's financial aid office and that office re-calculates an overall grade-point average, including hours and grade points for courses taken at the old and new institutions, that proves the student's overall grade-point average now meets or exceeds program requirements.

§22.27.End of Eligibility.

(a) A student awarded TEG prior to the 2005-2006 state fiscal year or before September 1, 2005, for the 2005-2006 state fiscal year may continue to receive grants as long as he or she meets the relevant eligibility requirements of §22.24 of this title (relating to Eligible Students).

(b) An undergraduate student who is awarded an initial TEG on or after September 1, 2005, shall not be eligible for a TEG on either:

(1) the fifth anniversary of the initial award of a TEG to the student, if the student is enrolled in a degree or certificate program of four years or less; or

(2) the sixth anniversary of the initial award of a TEG to the student, if the student is enrolled in a degree or certificate program of more than four years.

(c) A graduate student who is awarded an initial TEG on or after September 1, 2005, may continue to receive grants as long as he or she meets the relevant eligibility requirements of §22.24 of this title.

§22.28.Hardship Provisions for Students Awarded an Initial TEG on or after September 1, 2005.

(a) In the event of a hardship or for other good cause, the Program Officer at an eligible institution may allow an otherwise eligible student to receive a TEG while enrolled less than full time or if the student's grade point average or number of hours completed falls below the satisfactory academic progress requirements as referred to in §22.24 of this title (relating to Eligible Students). Such conditions may include, but are not limited to:

(1) a showing of a severe illness or other debilitating condition that may affect the student's academic performance;

(2) an indication that the student is responsible for the care of a sick, injured, or needy person and that the student's provision of care may affect his or her academic performance; or

(3) an undergraduate student's need to complete fewer than 12 hours in a given term in order to complete a degree, in which case the award amount should be determined on a pro rata basis for a full-time award.

(b) Each institution shall adopt a hardship policy under this section and have the policy available in writing in the financial aid office for public review upon request.

§22.29.Award Amounts and Uses.

(a) Funding. Funds awarded through this program may not exceed the amount appropriated by the Legislature for that purpose.

(b) Award Amount.

(1) Each state fiscal year, no TEG award shall exceed the least of:

(A) the student's financial need;

(B) the student's tuition differential; or

(C) the program maximum.

(2) A grant to a part-time student whose initial TEG was awarded prior to September 1, 2005 or to any student enrolled for a limited number of hours due to imminent graduation shall be made on a pro rata basis of a full-time award.

(c) Exceptional Need Award. An undergraduate student who has exceptional financial need may receive a grant in an amount not to exceed 150 percent of the program maximum.

(d) Uses. No grant disbursed to a student may be used for any purpose other than for meeting the cost of attending an approved institution.

(e) Term or Semester Disbursement Limit. The amount of any disbursement in a single term or semester may not exceed the student's financial need, tuition differential or the program maximum for the state fiscal year, whichever is the least.

(f) Over Awards. If, at a time after an award has been offered by the institution and accepted by the student, the student receives assistance that was not taken into account in the student's estimate of financial need, so that the resulting sum of assistance exceeds the student's financial need, the institution is not required to adjust the award under this program unless the sum of the excess resources is greater than $300.

§22.30.Adjustments to Awards.

If a student officially withdraws from enrollment, or for some other reason, the amount of a student's disbursement exceeds the amount the student is eligible to receive, the institution shall follow its general institutional refund policy in determining the amount by which the award is to be reduced.

(1) Such funds should be re-awarded to other eligible students attending the institution. If funds cannot be re-awarded in a timely manner, they should be returned to the Board. Such payment shall be accompanied with sufficient documentation to enable the Board to identify the appropriate program for which the funds were originally issued.

(2) Funds returned to the Board shall be returned promptly, and must be returned no later than 60 days from the issue date.

(3) If the student withdraws or drops classes after the end of the institution's refund period, no refunds are due to the program.

§22.31.Late Disbursements.

(a) A student may receive a disbursement after the end of his/her period of enrollment if the student:

(1) Owes funds to the institution for the period of enrollment for which the award is being made; or

(2) Received a student loan that is still outstanding for the period of enrollment.

(b) Funds that are disbursed after the end of the student's period of enrollment must be used following Board procedures to either pay the student's outstanding balance from his/her period of enrollment at the institution or to make a payment against an outstanding student loan received during that period of enrollment. Under no circumstances are funds to be released to the student.

§22.32.Allocation and Reallocation of Funds.

(a) Allocations. Available program funds will be allocated to each participating institution in proportion to each institution's TEG need.

(b) Reallocations. Institutions will have until a date specified by the Board via a policy memo addressed to the Program Officer at the institution to encumber the program funds that have been allocated to them. On that date, institutions lose claim to any funds not yet drawn down from the Board for immediate disbursement to students. The funds released in this manner are available to the Board for reallocation to other institutions. If necessary for ensuring the full use of funds, subsequent reallocations may be scheduled until all funds are awarded and disbursed.

§22.33.Authority to Transfer Funds.

Institutions participating in a combination of the Toward EXcellence, Access and Success Grant, Tuition Equalization Grant, and Texas College Work-Study Programs, in accordance with instructions from the Board, may transfer in a given fiscal year up to the lesser of 10 percent or $10,000 between these programs.

§22.34.Dissemination of Information and Rules.

The Board is responsible for publishing and disseminating general information and program rules for the program described in this subchapter.

§22.35.Reporting.

Each year, the Board shall include as a part of the annual financial aid report mandated in Senate Bill 1, Regular Session, General Appropriations Act (§13, page III-50), 79th Texas Legislature, a breakdown of Tuition Equalization Grant recipients by ethnicity, indicating the percentage of each ethnic group that received Tuition Equalization Grant funds for the academic year at each institution.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902373

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


SUBCHAPTER Q. ENGINEERING SCHOLARSHIP PROGRAM

19 TAC §§22.312, 22.313, 22.315

The Texas Higher Education Coordinating Board proposes amendments to §§22.312, 22.313, and 22.315, concerning the Engineering Scholarship Program.

Specifically, the proposed amendments to these sections clarify that students attending private or independent institutions of higher education are eligible to participate in the scholarship program, as mandated by House Bill 2425, 81st Texas Legislature.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, has determined that for each year of the first five years the amendments are in effect there will be no fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Hollis has also determined for each year of the first five years the amendments are in effect, the public benefit anticipated as a result of this change will be that the rules will reflect current statutes governing the administration of the program. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6165, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §61.792, which provides the Coordinating Board with the authority to adopt rules for the administration of Texas Education Code, §61.792.

The amendments affect Texas Education Code, §61.792.

§22.312.Authority, Scope, and Purpose.

(a) (No change.)

(b) Scope. Unless otherwise noted, this subchapter applies to any general academic teaching institution or private or independent institution of higher education in Texas (Texas Education Code, §61.003) that offers an engineering degree program and their students.

(c) Purpose. The purpose of this program is to provide scholarships to students pursuing a degree in engineering at a participating general academic teaching institution or private or independent institution of higher education.

§22.313.Definitions.

The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise:

(1) - (2) (No change.)

(3) Eligible institution--any general academic teaching institution or private or independent institution of higher education that offers one or several undergraduate degree programs in engineering.

(4) - (6) (No change.)

§22.315.Student Eligibility Requirements.

(a) To qualify for an engineering scholarship, a person must:

(1) - (2) (No change.)

(3) enroll in an undergraduate engineering program offered by a general academic teaching institution or private or independent institution of higher education in Texas;

(4) - (5) (No change.)

(b) (No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902374

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


SUBCHAPTER R. PROVISIONS REGARDING SCHOLARSHIPS TO RELATIVES OF BOARD MEMBERS OF INSTITUTIONS OF HIGHER EDUCATION AND UNIVERSITY SYSTEMS

19 TAC §22.405

The Texas Higher Education Coordinating Board proposes amendments to §22.405, concerning the Provisions Regarding Scholarships to Relatives of Board Members of Institutions of Higher Education and University Systems.

Specifically, the amendments to §22.405 are proposed as a result of the passage of House Bill 4244, 81st Texas Legislature, which mandates that students must certify at some point prior to receiving an institutional scholarship that they are not related to a current member of the governing board of the institution or system. Prior to the passage of House Bill 4244, students were required to make this certification when applying for a scholarship. The amendment will simplify the process for students of applying for institutional scholarships.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, in keeping with the Legislative Budget Board's fiscal note for House Bill 4244, has determined that for each year of the first five years the amendments are in effect, there will be no significant fiscal implications to state or local government as a result of enforcing or administering the rule.

Ms. Hollis has also determined that for each year of the first five years the amendments are in effect the public benefit anticipated as a result of administering the section will be an easier process for students applying for institutional scholarships. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the section as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6465, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §51.969 which provides the Coordinating Board with the authority to adopt any rules necessary to administer this section.

The amendments affect Texas Education Code, §51.969.

§22.405.Declaration of Eligibility.

Prior to receiving [ A person applying for] a scholarship originating from and administered by an institution of higher education or university system, a student must file a written statement [with the application] indicating whether the person is related within the third degree by consanguinity or the second degree by affinity to a current member of the governing board of the institution or system. The required wording of the statement will be developed by the Board and will be made available to institutions via the Coordinating Board's web site.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902375

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


SUBCHAPTER S. PROFESSIONAL NURSING SHORTAGE REDUCTION PROGRAM

19 TAC §§22.501 - 22.505, 22.507, 22.508

The Texas Higher Education Coordinating Board proposes amendments to §§22.501 - 22.505, 22.507, and 22.508, concerning the Professional Nursing Shortage Reduction Program.

Specifically, in compliance with House Bill 4471, 81st Texas Legislature, the proposed amendments provide two new funding programs to the Professional Nursing Shortage Reduction Program. Qualifying institutions may receive advance funding in order to increase their enrollments and graduates.

Ms. Susan Brown, Assistant Commissioner, Planning and Accountability, has determined that for each year of the first five years the sections are in effect, there will not be any fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Brown has also determined that for each year of the first five years the sections are in effect, the public benefit anticipated as a result of administering the sections will be additional funding provided to the initial licensure nursing programs in Texas. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Ed Buchanan, Program Director, Planning and Accountability, P.O. Box 12788, Austin, Texas 78711, ed.buchanan@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The amendments are proposed under the Texas Education Code, §§61.0901, 61.9621, 61.96232, 61.96233, and 61.9629.

The amendments affect Texas Education Code, §§61.9621, 61.96232, 61.96233, and 61.9629.

§22.501.Authority, Scope, and Purpose.

(a) (No change.)

(b) Scope.

(1) Unless otherwise noted, this subchapter applies to any public or private institution of higher education [institution ] in Texas that offers a professional nursing program that leads to initial licensure.

(2) Continued Eligibility of Prior Programs. A professional nursing program offered by an entity other than a public or private or independent institution of higher education that was eligible to receive grants from a program under this subchapter before September 1, 2009, remains eligible to receive a grant from such a program if the entity meets all criteria for a grant other than the criterion of being a program offered by an institution of higher education.

(c) (No change.)

§22.502.Definitions.

The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise:

(1) - (5) (No change.)

(6) CBM Reporting System [009]--the Coordinating Board's Management reporting system for collecting institution data. [report number nine for use by institutions in reporting all graduates to the Coordinating Board]

§22.503.Program Announcements [Announcement].

Annually the Board shall provide [a] Program Announcements [Announcement ] of the current year's Professional Nursing Shortage Reduction Program to all professional nursing programs in Texas. These announcements [This announcement] will contain the following information:

(1) Description of the current year's award programs [program].

(2) A listing of required forms for application to the programs [program].

(3) Application requirements for qualification to receive an award under the programs [program].

(4) - (6) (No change).

§22.504.Application for an Award.

(a) (No change.)

(b) Applications received after the fifth working day past the required due date as stated in the Program Announcements [Announcement ] will be rejected. Institutions that fail to apply for this program by the fifth working day past the required due date shall not be included in the awards.

(c) (No change.)

§22.505.Required Reporting of Data [Nursing Graduates].

(a) Institutions that report to the Coordinating Board Management (CBM) system--An institution that wishes to qualify for an award under this program shall submit the data required for this program as outlined in the Program Announcements [its nursing graduates to the Coordinating Board on the standard CBM 009 report].

(b) Institutions that do not report to the Coordinating Board Management (CBM) system (i.e. Diploma Programs)--An institution shall submit its required data [nursing graduates] to the Coordinating Board in a format and with the specific content prescribed.

(c) Institutions that fail to report their required data [nursing graduates] by the reporting deadline [required date ] shall not be eligible for an award.

§22.507.Required Reporting of Award Expenditures.

(a) - (b) (No change.)

(c) Any award advance funds that remain unearned by the date specified in the program announcement(s) shall be refunded to the Coordinating Board within five calendar days.

(d) [(c)] The program report shall be in a format and with the specific content prescribed by the Commissioner.

§22.508.Expenditure Restrictions, Accounting Requirements, and Audit Provisions.

(a) (No change.)

(b) Accounting Requirements--Each award [ Yearly awards] from this program shall be accounted for separately in the books and records of receiving institutions.

(c) (No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902377

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


SUBCHAPTER T. EXEMPTION FOR FIREFIGHTERS ENROLLED IN FIRE SCIENCE COURSES

19 TAC §§22.518 - 22.523

The Texas Higher Education Coordinating Board proposes new §§22.518 - 22.523, concerning the Exemption Program for Firefighters Enrolled in Fire Science Courses.

Specifically, House Bill 2013, 81st Texas Legislature, amended Texas Education Code §54.208 and authorized the Board to adopt rules to implement the section, beginning with exemptions awarded for the 2009 fall semester. The new sections establish definitions, identify eligible firefighters, indicate requirements for receiving continuation awards, note restrictions for students who have accumulated excess credit hours, and direct institutions to the Coordinating Board's web site for a listing of eligible programs of study.

Ms. Lois Hollis, Senior Assistant to the Deputy Commissioner for Business and Finance/Chief Operating Officer, has determined that for each year of the first five years the amendments are in effect, there will be no significant fiscal implications to state or local government as a result of enforcing or administering the rules.

Ms. Hollis has also determined that for each year of the first five years the amendments are in effect the public benefit anticipated as a result of administering the sections will be a consistent opportunity for eligible firefighters to use the exemption. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the sections as proposed. There is no impact on local employment.

Comments on the proposal may be submitted to Lois Hollis, P.O. Box 12788, Austin, Texas 78711, (512) 427-6165, lois.hollis@thecb.state.tx.us. Comments will be accepted for 30 days following publication of the proposal in the Texas Register.

The new sections are proposed under the Texas Education Code, §54.208 which provides the Coordinating Board with the authority to adopt any rules necessary to administer Texas Education Code, §54.208.

The new sections affect Texas Education Code, §54.208.

§22.518.Authority and Purpose.

(a) Authority. Authority for this subchapter is provided in the Texas Education Code, §54.208, Firefighters Enrolled in Fire Science Courses. These rules establish procedures to administer this exemption program.

(b) Purpose. The purpose of this program is to provide an exemption from tuition and laboratory fees to eligible persons employed as firefighters by a political subdivision of the state or who are active members of an organized volunteer fire department in this state.

§22.519.Definitions.

The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise:

(1) Board--The Texas Higher Education Coordinating Board.

(2) Firefighter--An individual employed as a firefighter by a political subdivision of the state of Texas or who is an active member of an organized volunteer fire department in Texas.

(3) Commissioner--The Commissioner of Higher Education, the Chief Executive Officer of the Board.

(4) Fire Science Courses--Courses determined by the staff of the Board to be a part of a Fire Science Curriculum.

(5) Institution of Higher Education or Institution--Any public technical institute, public junior college, public senior college or university, medical or dental unit, public state college, or other agency of higher education as defined in Texas Education Code, §61.003(8).

(6) Laboratory fees--Fees authorized through Texas Education Code, §54.501.

(7) Program--The Exemption Program for Firefighters Enrolled in Fire Science Courses.

(8) Tuition--Includes statutory tuition, designated tuition and Board-authorized tuition.

§22.520.Tuition and Laboratory Fee Exemption.

Each institution of higher education shall exempt all eligible persons from the payment of tuition and laboratory fees for courses offered as part of a fire science curriculum.

§22.521.Eligible Firefighters.

(a) To receive an initial exemption under this program,

(1) A paid firefighter must be employed by a political subdivision of the State of Texas.

(2) A volunteer firefighter must:

(A) currently, and for at least the past year, be an active member of an organized volunteer fire department in this state, as defined by the fire fighters' pension commission; and

(B) hold one of the following credentials:

(i) an Accredited Advanced level of certification, or an equivalent successor certification, under the State Firemen's and Fire Marshals' Association of Texas volunteer certification program; or

(ii) Phase V (Firefighter II) certification, or an equivalent successor certification, under the Texas Commission on Fire Protection's voluntary certification program under Texas Government Code, §419.071.

(b) To receive an exemption in a subsequent semester the student must be in compliance with the institution's financial aid satisfactory academic progress requirements. This provision does not apply to a student who received an exemption under Texas Education Code §54.208 before the 2009 fall semester as long as the student remains enrolled in the same degree or certificate program and is otherwise eligible to continue to receive the exemption under the statutory provisions that existed at that time.

§22.522.Excess Hours.

(a) An exemption under this subchapter does not apply to any amount of additional tuition the institution elects to charge a resident undergraduate student due to excess undergraduate hours as specified in Texas Education Code, §54.014(a) or (f).

(b) An exemption under this subchapter does not apply to any amount of additional tuition the institution charges a graduate student because the student has a number of semester credit hours of doctoral work in excess of the applicable number provided by Texas Education Code, §61.059(1) or (2).

(c) The provisions of subsections (a) and (b) of this section do not apply to a student who received an exemption under Texas Education Code §54.208 before the 2009 fall semester as long as the student remains enrolled in the same degree or certificate program and is otherwise eligible to continue to receive the exemption under the statutory provisions that existed at that time.

§22.523.Degree Programs Eligible for the Exemption.

Degree programs whose courses are eligible for the exemption described in this subchapter shall be identified by the Coordinating Board. A uniform listing of approved degree programs shall be posted on the Coordinating Board web site.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 12, 2009.

TRD-200902376

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: July 30, 2009

For further information, please call: (512) 427-6114


PART 2. TEXAS EDUCATION AGENCY

CHAPTER 97. PLANNING AND ACCOUNTABILITY

SUBCHAPTER AA. ACCOUNTABILITY AND PERFORMANCE MONITORING

19 TAC §97.1004

(Editor's note: In accordance with Texas Government Code, §2002.014, which permits the omission of material which is "cumbersome, expensive, or otherwise inexpedient," the figure in 19 TAC §97.1004 is not included in the print version of the Texas Register. The figure is available in the on-line version of the June 26, 2009, issue of the Texas Register.)

The Texas Education Agency (TEA) proposes an amendment to §97.1004, concerning adequate yearly progress (AYP). The section establishes provisions related to AYP and sets forth the process for evaluating campus and district AYP status. The section also adopts the most recently published AYP guide. The proposed amendment would adopt applicable excerpts, Sections II-V, of the 2009 Adequate Yearly Progress Guide. Earlier versions of the guide will remain in effect with respect to the school years for which they were developed.

Under the accountability provisions in the federal No Child Left Behind Act, all public school campuses, school districts, and the state are evaluated for AYP. Districts, campuses, and the state are required to meet AYP criteria on three measures: reading/English language arts, mathematics, and either graduation rate (for high schools and districts) or attendance rate (for elementary and middle/junior high schools). If a campus, district, or state receiving Title I, Part A, funds fails to meet AYP for two consecutive years, that campus, district, or state is subject to certain requirements such as offering supplemental educational services, offering school choice, or taking corrective actions. To implement these requirements, the agency developed the AYP guide.

Agency legal counsel has determined that the commissioner of education should take formal rulemaking action to place into the Texas Administrative Code procedures related to AYP. Through 19 TAC §97.1004, adopted effective July 14, 2005, the commissioner exercised rulemaking authority to establish provisions related to AYP and set forth the process for evaluating campus and district AYP status. Portions of each AYP guide have been adopted beginning with the 2004 AYP Guide, and the intent is to annually update 19 TAC §97.1004 to refer to the most recently published AYP guide.

The proposed amendment to 19 TAC §97.1004 would update the rule to adopt applicable excerpts, Sections II-V, of the 2009 Adequate Yearly Progress Guide. These excerpted sections describe specific features of the system, AYP measures and standards, and appeals. In 2009, the U.S. Department of Education approved changes to specific components of the AYP system, including the areas addressed in the applicable excerpts of the 2009 AYP Guide. Examples of approved changes include the addition of the Texas Projection Measure in AYP performance calculations, discontinued use of confidence intervals and uniform averaging in small numbers analysis, and specific procedures to address evaluation and reporting of information regarding students displaced by Hurricane Ike as approved in the 2009 Texas AYP Workbook.

In addition, subsection (d) would be modified to specify that the AYP guide adopted for the school years prior to 2009-2010 will remain in effect with respect to those school years.

The proposed amendment would establish in rule the specific AYP procedures for 2009. Applicable procedures would be adopted each year as annual versions of the AYP guide are published. The proposed amendment would have no locally maintained paperwork requirements.

Criss Cloudt, associate commissioner for assessment, accountability, and data quality, has determined that for the first five-year period the amendment is in effect there will be no additional costs for state or local government as a result of enforcing or administering the amendment.

Dr. Cloudt has determined that for each year of the first five years the amendment is in effect the public benefit anticipated as a result of enforcing the amendment will be to continue to inform the public of the AYP rating procedures for public schools by including this rule in the Texas Administrative Code. There is no anticipated economic cost to persons who are required to comply with the proposed amendment.

There is no direct adverse economic impact for small businesses and microbusinesses; therefore, no regulatory flexibility analysis, specified in Texas Government Code, §2006.002, is required.

The public comment period on the proposal begins June 26, 2009, and ends July 27, 2009. Comments on the proposal may be submitted to Cristina De La Fuente-Valadez, Policy Coordination Division, Texas Education Agency, 1701 North Congress Avenue, Austin, Texas 78701, (512) 475-1497. Comments may also be submitted electronically to rules@tea.state.tx.us or faxed to (512) 463-0028. A request for a public hearing on the proposal submitted under the Administrative Procedure Act must be received by the commissioner of education not more than 15 calendar days after notice of the proposal has been published in the Texas Register on June 26, 2009.

The amendment is proposed under the TEC, §7.055(b)(32), which authorizes the commissioner to perform duties in connection with the public school accountability system as prescribed by TEC, Chapter 39; TEC, §39.073, which authorizes the commissioner to determine how all indicators adopted under TEC, §39.051(b), may be used to determine accountability ratings; and TEC, §39.075(a)(4), which authorizes the commissioner to conduct special accreditation investigations in response to state and federal program requirements.

The amendment implements the TEC, §§7.055(b)(32), 39.073, and 39.075(a)(4).

§97.1004.Adequate Yearly Progress.

(a) In accordance with the federal No Child Left Behind Act and Texas Education Code, §§7.055(b)(32), 39.073, and 39.075, all public school campuses, school districts, and the state are evaluated for Adequate Yearly Progress (AYP). Districts, campuses, and the state are required to meet AYP criteria on three measures: reading/English language arts, mathematics, and either graduation rate (for high schools and districts) or attendance rate (for elementary and middle/junior high schools). The performance of a school district, campus, or the state is reported through indicators of AYP status established by the commissioner of education.

(b) The determination of AYP for school districts and charter schools in 2009 [2008] is based on specific criteria and calculations, which are described in excerpted sections of the 2009 [2008] AYP Guide provided in this subsection.

Figure: 19 TAC §97.1004(b) (.pdf)

[Figure: 19 TAC §97.1004(b)]

(c) The specific criteria and calculations used in AYP are established annually by the commissioner of education and communicated to all school districts and charter schools.

(d) The specific criteria and calculations used in the AYP guide adopted for the school years prior to 2009-2010 [2008-2009 ] remain in effect for all purposes, including accountability, data standards, and audits, with respect to those school years.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on June 15, 2009.

TRD-200902436

Cristina De La Fuente-Valadez

Director, Policy Coordination

Texas Education Agency

Earliest possible date of adoption: July 26, 2009

For further information, please call: (512) 475-1497