Bill Text: TX SB1504 | 2019-2020 | 86th Legislature | Comm Sub

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relating to the abolition of the B-On-time student loan account and the allocation of funds remaining in that account.

Spectrum: Partisan Bill (Democrat 4-0)

Status: (Passed) 2019-06-10 - Effective immediately [SB1504 Detail]

Download: Texas-2019-SB1504-Comm_Sub.html

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By: Zaffirini S.B. No. 1504
(In the Senate - Filed March 5, 2019; March 14, 2019, read
first time and referred to Committee on Higher Education;
April 16, 2019, reported adversely, with favorable Committee
Substitute by the following vote: Yeas 9, Nays 0; April 16, 2019,
sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR S.B. No. 1504 By: Powell

A BILL TO BE ENTITLED
AN ACT
relating to the abolition of the B-On-time student loan account and
the allocation of funds remaining in that account.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 56.0092(d), (e), and (f), Education
Code, are amended to read as follows:
(d) On September 1, 2021 [2020], the Texas B-On-time student
loan account is abolished, and any remaining money in the account,
notwithstanding Subsection (b), may be appropriated only to
eligible institutions in the manner provided by Subsection (e).
(e) An appropriation under Subsection (d) must be made in
accordance with a performance-based methodology [formula], adopted
by coordinating board rule, that [the coordinating board determines
fairly] allocates the appropriated amount to [those] eligible
institutions based on the average number of bachelor's degrees
awarded by each institution to at-risk students in the three most
recent academic years for which that information is available [at
which the Texas B-On-time student loan program was underutilized.
For purposes of this subsection, the Texas B-On-time student loan
program is considered to have been underutilized by students of an
institution in any period if the institution's percentage of the
total amount of tuition set aside by all institutions under the
program during the period was greater than the institution's
percentage of all students who received a Texas B-On-time student
loan under the program for the same period. The coordinating board
shall base the coordinating board's determination on a period of
academic years occurring before the 2015-2016 academic year that
the coordinating board considers representative of eligible
institutions' student participation in the Texas B-On-time student
loan program].
(f) In this section:
(1) "At-risk student" means an undergraduate student
of an eligible institution:
(A) who has previously received a grant under the
federal Pell Grant program or met the Expected Family Contribution
(EFC) criterion for a grant under that program; or
(B) whose total score on the SAT or the ACT,
excluding the optional essay test, is less than the national mean of
students' scores on the applicable test.
(2) "Eligible[, "eligible] institution" means a
general academic teaching institution described by Section
56.451(2)(A) or a medical and dental unit described by Section
56.451(2)(B), as those paragraphs existed immediately before
September 1, 2015.
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2019.
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