TITLE 19.EDUCATION

Part 1. TEXAS HIGHER EDUCATION COORDINATING BOARD

Chapter 21. STUDENT SERVICES

Subchapter C. HINSON-HAZLEWOOD COLLEGE STUDENT LOAN PROGRAM

19 TAC §§21.56, 21.61, 21.62

The Texas Higher Education Coordinating Board proposes amendments to §§21.56, 21.61, and 21.62, concerning the Hinson-Hazlewood College Student Loan Program. Specifically, the proposed amendment to §21.56 (Requirements of Cosigner/Accommodation Party) adds the requirement that a cosigner of a loan must be a citizen or permanent resident of the United States and must reside in the United States or a territory of the United States. The proposed amendment to §21.61 (Disbursements to Students) removes the outdated and unnecessary requirement for a spouse's signature on the promissory note for a married cosigner. The proposed amendment to §21.62 (Repayment of Loans) clarifies the way payments are to be applied, as stated on the loan promissory note.

Lois Hollis, Assistant Commissioner for Student Services, 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 amended sections.

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 amended sections will be improved access to financial aid for the students of Texas. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the amendments 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 Texas Education Code, §52.01, which provides the Coordinating Board with the authority to adopt any rules necessary to administer Texas Education Code, §52.01 and §§52.31 - 52.40.

The amendments affect Texas Education Code, §52.01 and §§52.31 - 52.40.

§21.56.Requirements of Cosigner/Accommodation Party.

(a) A cosigner/accommodation party shall:

(1) (No change.)

(2) have a regular source of income; [ and ]

(3) have received a favorable evaluation of his/her credit report ; and [ . ]

(4) reside in the United States or a U. S. territory and be a U. S. citizen or permanent resident of the United States.

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

§21.61.Disbursements to Students.

(a) No disbursement shall be made to any student until he or she has executed a promissory note payable to the program for the full amount of any loan plus interest and other authorized fees. In addition , for CAL loans, a cosigner's signature may also be required in accordance with the provisions of §21.55(a)(8) of this title (relating to Eligibility of Students). [ ; ]

[(1) for CAL, HEAL, and HELP loans, if a borrower is married, the borrower's spouse must sign the application for the loan and the promissory note, if separate from the application; and]

[(2) for CAL loans, a co-signer's signature may be also required in accordance with the provisions of §21.55(8) of this title (relating to Eligibility of Students).]

(b) - (d) (No change.)

§21.62.Repayment of Loans.

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

(h) Application of payments. In accordance with the terms of the promissory note, the Commissioner shall determine the priority order in which payments shall be applied to interest, late charges, principal, collections costs and any other charges. [ Each payment that is received from the borrower or cosigner, to be credited to his/her account, will be applied in the following manner: ]

[(1) First, to any outstanding late charges and collection costs that may have accrued to the account.]

[(2) Next, to all interest that is outstanding on the account.]

[(3) Next, to principal of the earliest dated note in the account.]

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 February 13, 2006.

TRD-200600741

Jan Greenberg

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: April 20, 2006

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


Subchapter M. TEXAS COLLEGE WORK-STUDY PROGRAM

19 TAC §§21.401, 21.402, 21.404, 21.406

The Texas Higher Education Coordinating Board proposes amendments to §§21.401, 21.402, 21.404, and 21.406, concerning the Texas College Work-Study Program. Specifically, the amendments to §§21.401, 21.402, and 21.404 broaden the scope of the mentorship program to include both tutors and persons who are employed to help students on academic probation adjust to college life. The amendment to §21.401 deletes the word "academic," as mentoring is not restricted to academic tutoring. The amendment to §21.402 changes the definition of "mentor" to include more than academic tutoring. The amendment to §21.404 clarifies that students employed in a mentorship program must meet the institution's standards for employment as a mentor rather than a tutor. The amendment to §21.406 states that institutions eligible to receive federal Title V funds are also exempted from the requirement to provide 25 percent of an employed student's wages.

Lois Hollis, Assistant Commissioner for Student Services, 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 amended sections.

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 amended sections will be that the mentorship program should have a positive impact by creating an opportunity for institutions to provide help to students who are on academic probation. There is no effect on small businesses. There are no anticipated economic costs to persons who are required to comply with the amendments 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, §56.077, which provides the Coordinating Board with the authority to adopt any rules necessary to administer Texas Education Code, §§56.071 - 56.079.

The amendments affect the Texas Education Code, §§56.071 - 56.079.

§21.401.Authority and Purpose.

(a) (No change.)

(b) Purpose. The purpose of the Texas College Work-Study Program is to provide eligible students with jobs, funded in part by the State of Texas, to enable those students to attend eligible institutions of higher education in Texas and, through a mentorship program, provide [ academic ] assistance to students on academic probation.

§21.402.Definitions.

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

(1) - (10) (No change.)

(11) Mentor- an individual employed to help students on academic probation raise their academic performance and successfully adjust to the higher education environment [ raise their academic performance to meet institutional standards ].

(12) - (15) (No change.)

§21.404.Eligible Student Employees.

(a) (No change.)

(b) To be eligible for employment in the mentorship program, a person shall:

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

(3) meet his or her institution's standards for employment as a mentor [ tutor ].

(c) (No change.)

§21.406.Eligible Employers.

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

(c) Institutions eligible to receive Title III or Title V funds from the U. S. Department of Education are exempted from the general work-study program requirement to provide 25 percent of an employed student's wages, if they provide the Board with a copy of a current Title III eligibility letter from the U. S. Department of Education. There is no corresponding exemption from the 10 percent matching requirement for the mentorship 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 February 13, 2006.

TRD-200600742

Jan Greenberg

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: April 20, 2006

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


Chapter 22. GRANT AND SCHOLARSHIP PROGRAMS

Subchapter P. EXEMPTION PROGRAM FOR CLINICAL PRECEPTORS AND THEIR CHILDREN

19 TAC §§22.304, 22.306, 22.307

The Texas Higher Education Coordinating Board proposes amendments to §§22.304, 22.306 and 22.307, concerning the Exemption Program for Clinical Preceptors and their Children.

Specifically, amendments to §§22.304, 22.306 and 22.307 clarify that, in order to be eligible for the program, one must be a child of a preceptor. The amendment to §22.306 clarifies that children of preceptors, to be eligible to receive an exemption under this program, must be enrolled as undergraduate students. The amendment to §22.307 clarifies that limitations on eligibility, as described in Texas Education Code §54.222(e), apply only to the children of preceptors.

Lois Hollis, Assistant Commissioner for Student Services, 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 amended sections.

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 amended sections will be that the exemption will encourage students to continue their work as preceptors, thus enabling more nursing students to receive additional clinical instruction. There are no anticipated economic costs to persons who are required to comply with the amendments 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, §54.222(g), which provides the Coordinating Board with the authority to adopt any rules necessary to administer Texas Education Code, §54.222.

The amendments affect Texas Education Code, §54.222.

§22.304.Tuition Exemption.

Each institution of higher education shall exempt all eligible persons [ preceptors and eligible students ] from the payment of up to $500 of tuition per term or semester.

§22.306.Eligible Children [ Students ].

To receive an exemption under this program, a child [ student ] must:

(1) (No change.)

(2) be the child of a clinical preceptor who is serving under a written preceptor agreement with an undergraduate professional nursing program as a clinical preceptor for students enrolled in the program for the semester or other academic term for which the exemption is sought ; and [ . ]

(3) be enrolled as an undergraduate student.

§22.307.Discontinuation of Eligibility.

(a) A person who is otherwise eligible for the program under §22.306 of this title (regarding Eligible Children) shall be considered ineligible if the person has: [ An individual's eligibility for the program ends when the person has: ]

(1) - (2) (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 February 13, 2006.

TRD-200600744

Jan Greenberg

General Counsel

Texas Higher Education Coordinating Board

Proposed date of adoption: April 20, 2006

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


Part 2. TEXAS EDUCATION AGENCY

Chapter 157. HEARINGS AND APPEALS

Subchapter DD. HEARINGS CONDUCTED BY INDEPENDENT HEARING EXAMINERS

19 TAC §157.1101

The Texas Education Agency (TEA) proposes an amendment to §157.1101, concerning rates of independent hearing examiners. The proposed amendment would increase the hourly compensation rate of independent hearing examiners who conduct employment hearings at the local school district level from $100 an hour to $125 an hour and raises the maximum compensation from $6,400 to $8,000.

Texas Education Code (TEC), §21.252(c), requires the commissioner of education to set hourly rates of compensation for a hearing examiner and to set a maximum amount of compensation a hearing examiner may receive for a hearing. 19 TAC §157.1101, adopted to be effective May 8, 1996, is the commissioner rule that implements this statute. Currently, the rule establishes compensation at $100 per hour for billable professional services with a maximum of $6,400 for each case.

Independent hearing examiners are attorneys who are certified by the commissioner and are assigned to preside over and to issue recommendations in local school district employment hearings. Since the inception of the program in 1995, the hourly rate of compensation has not changed from $100 an hour with a maximum of $6,400 per case. In 2005, a consultant issued a recommendation that the rate be increased to $125 an hour and the maximum compensation be raised accordingly to $8,000 in order to attract more highly qualified attorneys. This proposed amendment to 19 TAC §157.1101 would implement that recommendation.

David Anderson, Agency General Counsel, has determined that for the first five-year period the amendment is in effect there will be no fiscal implications for state government as a result of enforcing or administering the amendment. However, there will be fiscal implications for local government. Impacted school districts would pay $25 an hour more per case and would pay a maximum of $1,600 more per case. The increased cost would be directly proportional to the number of cases heard by an examiner in the district.

Mr. Anderson 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 that employment hearings will be conducted by more qualified attorneys. There will be no effect on small businesses. There is no anticipated economic cost to persons who are required to comply with the amendment.

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. All requests for a public hearing on the proposed amendment 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.

The amendment is proposed under the Texas Education Code, §21.252(c), which authorizes the commissioner of education to set hourly rates of compensation for a hearing examiner and to set a maximum amount of compensation a hearing examiner may receive for a hearing.

The amendment implements the Texas Education Code, §21.252(c).

§157.1101.Rates of Independent Hearing Examiners.

(a) An independent hearing examiner shall be compensated at the rate of $125 [ $100 ] per hour for billable professional services. Billable professional services are activities that directly relate to implementing a hearing assignment, including prehearing and post-hearing telephone conferences; drafting and reviewing correspondence, documents, and evidence; participating in an evidentiary hearing; and drafting and finalizing an opinion or recommendation.

(b) An examiner is eligible to receive a maximum compensation of $8,000 [ $6,400 ] for each case.

(c) While conducting a hearing, an examiner is entitled to receive per diem and expenses at rates established by the State of Texas for overnight travel related to official state business. Per diem includes food, lodging, and transportation.

(d) A hearing examiner is entitled to reimbursement for expenses directly related to the hearing, such as long distance telephone calls, postage to the parties or to the commissioner of education, cost of copies, or facsimiles. A hearing examiner may not be reimbursed for expenses arising from legal research, such as computerized legal research services. A hearing examiner may not be reimbursed for expenses related to acquiring research materials or for registration fees to attend required continuing legal education seminars and conferences.

(e) All billings and claims for reimbursement shall be prepared pursuant to this section and shall be presented to the school district for payment. Compensable hourly services shall be billed in quarter-hour increments. An examiner may not be compensated for services rendered by any other person.

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 February 13, 2006.

TRD-200600715

Cristina De La Fuente-Valadez

Director, Policy Coordination

Texas Education Agency

Earliest possible date of adoption: March 26, 2006

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