77th Legislature - Final Report

September 5, 2001


(This legislative update has been assembled by the UH System Office of Governmental Relations and edited by the UH Office of University Relations as a service to the UH System community.)


Funding

With a new governor, a change of leadership in the Senate and redistricting flavoring everything at the Capitol, the appropriations process predictably dominated the University of Houston System's legislative interests. The UH System benefited greatly from excellent representation on the budget committees: Senator Rodney Ellis led the Finance Committee. Senators Mike Jackson, Jon Lindsay and John Whitmire were also on the committee. In the House, Representatives Garnet Coleman, Craig Eiland, Jessica Farrar, Peggy Hamric, Talmadge Heflin, Scott Hochberg and Sylvester Turner all served on the Appropriations Committee. Under their leadership and with the united support of our legislative delegation, the UH System received increased support for instructional and research programs and more than $100 million in tuition revenue bonds, including the largest single project of any university.

The following tuition revenue bond projects were approved and funded:

UH $51,000,000 Science and engineering building
UHCL $30,918,750 Student services and classroom building
UHD $18,232,500 Classroom building
UHV $2,805,000 Three projects

A number of special items were also increased:

  2002 2003
UH
TLC2 1,000,000 1,000,000
Public School Partnership 250,000 250,000
SBDC (includes $50K per year for UH-V) 619,500 619,500
UHCL
Institutional Enhancement 1,000,000 1,000,000
UHD
Institutional Enhancement 1,000,000 1,000,000
Community Development 100,000 100,000
UHV
Institutional Enhancement 1,000,000 1,000,000
UH System
NASA Programs 500,000 500,000

In general revenue funding, UH system realized the following biennial increases, not including the excellence funding described in the following section:

UH $20 million - 8.5% increase
UHCL $6.5 million - 11.9% increase
UHD $2.7 million - 6.8% increase
UHV $3.7 million - 22.5% increase
UHS $1.1 million - 27.9%
UHS Total Increase: $33.9 million - 9.9%

The legislature also substantially increased funding for the TEXAS grant program. Through this program, UH System students will receive over $6 million in direct grants this year. Revenues will also be realized from newly authorized tuition increases for base tuition, law and pharmacy. For FY02, this will generate:

  UH UHCL UHD UHV
Undergraduate 995,488 179,782 391,544 36,500
Graduate 305,499 191,472 3,480 77,448
Pharmacy 776,405
Law 2,040,236
Doctoral 1,541,823
Total: 5,659,451 371,254 395,024 113,948

UHS Total: $6,539,677

For a complete rundown of system-wide appropriations, as well as a university totals, click here

Excellence

After receiving little attention and modest support in 1999, a groundbreaking bill authorizing excellence funding for universities was signed into law in June. HB 1839, creating the Texas Excellence Fund, will ensure a new source of funding to help retain top faculty researchers, to attract more top faculty and students and to upgrade the system's teaching and research infrastructure. The new funding is intended to assist Texas universities compete for the best talent nationally and internationally. This growing source of funds will have a recognizable effect in years to come.

It was, however, a bitter debate that resulted in the creation of two separate funds: one for schools in the Higher Education Fund and another one for schools in the Permanent University Fund excluding UT Austin, Texas A&M and Prairie View A&M. Because the issue of two funds was so divisive, the conference committee inserted a provision to sunset the funding system in four years and included a requirement for an interim study to "(i) examine the feasibility of creating a single research enhancement fund to provide funding for institutions of higher education that have a proven research history, (ii) examine how institutions have historically utilized 'excellence funds,' and (iii) consider whether a portion of the annual distribution from the permanent university fund to the available university fund appropriated to The University of Texas System under Section 18(f), Article VII, Texas Constitution, should be appropriated or made available for appropriation for the support and maintenance of institutions of higher education in The University of Texas System other than The University of Texas at Austin." In addition to the interim study, universities must issue a report on how the funds are expended.

For the next biennium, UH receives more than $12 million, the highest amount appropriated. UHCL receives $1.4 million and UHD receives over $100,000.

Other Issues

A large number of bills affecting higher education passed: Of the 627 bills tracked by the UH Office of Governmental Relations, 188 or 30%, were sent to the Governor. Issues ranged from student fees, vehicle emission stickers for students and graduate admission standards to technology transfer and engineering licenses for faculty.

The legislature made concerted efforts to increase the number of college-going students and the number of graduates:

In some cases, the legislature increased regulations on higher education and in others they reduced administrative burdens:

A subject index of the most significant legislation, along with the final status of each bill, appears on the next few pages.

77TH LEGISLATURE SELECTED LEGISLATION BY SUBJECT

ACADEMIC ISSUES

HB 47 - Failed
Relating to the automatic admission of certain undergraduate transfer students. Would have required automatic admission for certain community college and technical school transfer students

HB 1144 - Effective on 09/01/01
Relating to public school accountability and to measures to improve proficiency in certain subjects. Requires public school students to enroll in the preferred curriculum unless parents request a waiver.

HB 1641 - Effective immediately
Relating to providing certain students with an equal opportunity to enroll in or receive a competitive scholarship for a graduate or professional degree program. Permits graduate schools to consider certain admissions criteria.

HB 1685 - Effective immediately
Relating to a partnership or affiliation between certain entities and a general academic teaching institution or a medical and dental unit. Provides that such agreements be consistent with the institution's role and mission; does not require coordinating board approval.

HB 1799 - Effective immediately
Relating to long-range planning for higher education. Adds new requirements for the coordinating board.

HB 1839 - Effective 09/01/01
Relating to research and excellence funding at certain institutions of higher education. Creates two new funds and requires an interim study of research funding.

HB 3309 - Effective immediately
Relating to the development, funding, and operation of the Southeast Texas Biotechnology Park. Includes UH System as one of the partners; funding provided through the General Land Office.

SB 353 - Effective on 09/01/01
Relating to certain programs to develop the technology workforce in Texas by supporting and promoting higher education in engineering and computer science. Creates a public/private partnership to support engineering and computer science education.

SB 940 - Effective immediately
Relating to the establishment of the Joint Admission Medical Program to assist certain economically disadvantaged students preparing for and succeeding in medical school. Creates a new statewide program similar to the DeBakey High School/UH/Baylor program.

SB 1190 - Effective on 09/01/01
Relating to technology development and transfer by institutions of higher education. Authorizes the creation of technology development and transfer centers at institutions of higher education.

FACULTY ISSUES

HB 1127 - Effective on 01/01/02
Relating to procedures governing employment contracts for faculty members at public institutions of higher education. Places new requirements for contracting with nontenure-track full-time faculty.

HB 2397 - Effective on 09/01/01
Relating to a study and report concerning the compensation received by part-time and full-time faculty members at public institutions of higher education. Authorizes the coordinating board to conduct a study.

SB 1797 - Effective immediately
Relating to an exemption from the licensure provisions of The Texas Engineering Practice Act for certain research or instructional work. Authorizes an exemption for certain faculty.

FISCAL AND ADMINISTRATIVE ISSUES

HB 586 - Failed
Relating to the ineligibility of a delinquent child support obligor to receive state-funded or state-administered student financial assistance. Would have required universities to determine status of child support payments

HB 658 - Effective on 09/01/01
Relating to the revenues of public institutions of higher education and to the issuance of revenue bonds to fund capital projects at those institutions. Authorizes over $100M in bonds for UHS; validates past acts on fees; clarifies other fee statutes.

HB 1203 - Effective on 09/01/01
Relating to the purchase of certain insurance coverage by state agencies and to workers' compensation insurance benefits provided by certain state agencies. Requires the State Office of Risk Management to purchase insurance for certain institutions.

HB 1545 - Effective on 09/01/01
Relating to the operation, regulation, administration and financing of public institutions of higher education. Reduces purchasing restrictions; authorizes universities to purchase insurance, streamlines reporting, and removes additional administrative burdens for higher education.

HB 2787 - Effective on 09/01/01
Relating to notifying students of institutions of higher education of emissions inspection requirements for certain vehicles and enforcement of vehicle inspection laws by those institutions. Requires certain universities to inform students of vehicle inspection requirements before issuing parking permits.

HB 2850 - Failed
Relating to retainage payments under certain construction contracts. Would have required state entities to deposit retainage fees on contracts.

SB 311 - Various effective dates
Relating to the continuation of the General Services Commission. Abolishes the commission and transfers functions to various agencies including the new Texas Building and Procurement Commission.

SB 575 - Vetoed by the Governor
Relating to applicability of the Texas Youth Camp Safety and Health Act to facilities or programs operated by or on the campus of an institution of higher education. Would have eliminated the possibility of redundant inspections by the Health Department.

SB 1260 - Failed
Relating to the authority of the comptroller of public accounts to conduct performance reviews of general academic teaching institutions. Would have authorized the comptroller to conduct performance audits on universities.

GOVERANCE

HB 3508 - Failed
Relating to a voting student member on the board of regents of The University of Texas System. Would have added a student member to the UT Board

HB 3568 - Failed
Relating to the consolidation of The University of Texas System's institutions located in the Dallas-Forth Worth area. Would have combined The University of Texas at Arlington, The University of Texas at Dallas, and The University of Texas Southwestern Medical Center at Dallas as three separate campuses of The University of Texas at Dallas.

HB 3607 - Failed
Relating to the transfer of governance of certain public institutions of higher education to the University of North Texas System. Would have transferred The University of Texas at Arlington, The University of Texas at Dallas, and The University of Texas Southwestern Medical Center at Dallas from the University of Texas System to The University of North Texas System.

SB 576 - Effective on 05/02/01
Relating to the University of North Texas System and the component institutions of that system. Provides that the University of North Texas at Dallas may become a component institution when enrollment reaches 2500.

SB 728 - Failed
Relating to the establishment and operation of the San Antonio Life Sciences Institute in the University of Texas System. Would have linked the two campuses of the University of Texas Health Science Center at San Antonio and the University of Texas at San Antonio for joint and collaborative degree programs, joint research ventures, and biological and biomedical resources.

SB 1567 - Failed
Relating to the creation of the Emerging University excellence fund to promote research and excellence at certain institutions of higher education. Would have established the Emerging University excellence fund to provide funding to promote increased research capacity for institutions participating in the Permanent University Fund.

SB 1840 - Effective on 06/13/01
Relating to a study regarding the operation of the University of Texas at San Antonio and The University of Texas Health Science Center at San Antonio as a single research university. Authorizes a study by the UT board and the coordinating board.

SJR 44 - Failed
Proposing a constitutional amendment authorizing an appropriation of a portion of the annual distribution to the available university fund from the permanent university fund to support and maintain certain institutions in The University of Texas System. Would have allowed the UT board to distribute a portion of the AUF to institutions other than UT-Austin.

LEGAL ISSUES

HB 35 - Effective on 09/01/01
Relating to the requirements for a meeting of certain governmental bodies held by videoconference call. Simplifies the process for holding such conferences.

HB 396 - Vetoed by the Governor
Relating to the requirement that an applicant for a driver's license provide certain identification information to the Department of Public Safety and to the duty of the department to provide a voter registration application form to an applicant. Would have simplified the process for obtaining a driver's license for foreign students and nonresident faculty.

HB 1785/SB 709 - Failed
Relating to the Uniform Computer Information Transactions Act. The Uniform Computer Information Transactions Act (UCITA) is a contract law statute that would have applied to computer software, multimedia products, computer data and databases, online information, and other such products. It was designed to create a uniform commercial contract law for these products and calls itself "a cyberspace commercial statute." UCITA would have covered contracts that are generally known as "shrink-wrap licenses."

HB 2138 - Effective on 09/01/01
Relating to the confidentiality of the location or sale price of certain real property sold or purchased by the state. Includes public institutions of higher education

SB 170 - Effective immediately
Relating to the application of the open meetings law to attendance at a legislative committee or agency meeting by a quorum of another governmental body. Allows groups of board members to appear together before a legislative committee without posting a separate meeting.

SB 263 - Effective immediately
Relating to a written policy regulating certain travel by students enrolled at public institutions of higher education. Requires implementation of a new policy

SB 565 - Effective on 07/01/01
Relating to security for public securities issued by governmental entities. Perfects bond language.

OTHER INSTITUTIONS

HB 1210 - Failed
Relating to the establishment of a school of law at the University of North Texas. Would have required the Texas Higher Education Coordinating Board, with the assistance of the board of regents of the University of North Texas, to conduct a study to evaluate the feasibility of establishing a school of law at the University of North Texas.

HB 1211 - Failed
Relating to the establishment of a school of pharmacy at the University of North Texas. Would have required the Texas Higher Education Coordinating Board, with the assistance of the board of regents of the University of North Texas, to conduct a study to evaluate the feasibility of establishing a school of pharmacy at the University of North Texas.

HB 1640 - Effective on 05/24/01
Relating to the establishment of a school of pharmacy at Texas A&M University--Kingsville. Authorizes the creation of a professional school of pharmacy at Texas A&M University-Kingsville.

HB 1753 - Effective on 05/04/01
Relating to authorizing The University of Texas--Pan American to establish an upper-division extension campus in Rio Grande City and to enter into a partnership agreement with a junior college district for lower-division courses. Authorizes the University of Texas-Pan American to establish an upper-division extension campus in Rio Grande City and enter into a partnership agreement with a junior college district for lower-division courses.

HB 2521 - Failed
Relating to the establishment of a medical school at Prairie View A&M University. Would have established a medical school at Prairie View A&M University.

STUDENT ISSUES

HB 82 - Effective on 10/01/01
Relating to an exemption from sales and use taxes for certain taxable items sold by a qualified student organization affiliated with an institution of higher education. Provides tax exemptions for the first $5,000 of total receipts raised by qualified student organizations.

HB 400 - Effective on 09/01/01
Relating to assisting prospective students in enrolling in institutions of higher education. Creates the Higher Education Assistance Pilot Program to provide prospective students with assistance and information on admissions and enrollment at institutions of higher education and creates a plan to increase enrollment at institutions of higher education through partnerships between school districts and public institutions of higher education.

SB 573 - Effective on 09/01/01
Relating to a public awareness campaign to promote the value and availability of higher education. Directs the Coordinating Board to establish a statewide public awareness campaign on the value and availability of higher education directed towards traditionally underrepresented potential students.

TUITION, FEES AND FINANCIAL AID

HB 152 - Effective on 09/01/01
Relating to a pilot program to provide for reduced undergraduate tuition during a summer term or session at certain institutions of higher education. Applies to Texas A&M and Texas A&M-Kingsville only.

HB 877 - Effective on 09/01/01
Relating to the benefits provided to the surviving spouse and minor children of certain public employees killed in the line of duty. Includes tuition and college expenses as a new benefit.

HB 1212 - Effective immediately
Relating to installment payments of tuition and fees by a student enrolled for a summer session at a public institution of higher education. Permits installment payments for longer-term summer session at the discretion of the institution.

HB 1403 - Effective immediately
Relating to the eligibility of certain persons to qualify as residents of this state for purposes of higher education tuition or to pay tuition at the rate provided to residents of this state. Removes federal immigration status as a factor for determining eligibility to pay in state tuition at Texas public colleges and universities for a student who graduates from a Texas high school or has attended school and received a GED, and who meets the minimum residency, academic, and registration criteria.

HB 2218 - Effective immediately
Relating to the amount of the international education fee charged at certain institutions of higher education. Authorizes an increase up to $4 if approved by the student body.

HB 2323 - Effective on 09/01/01
Relating to repayment assistance for certain law school loans. Requires the Texas Higher Education Coordinating Board to provide assistance in the repayment of law school education loans for an attorney who provides legal services to the indigent.

HB 2531 - Effective on 09/01/01
Relating to tuition and fees charged at public institutions of higher education. Continues the $2-step increase in tuition; authorizes tripling law and pharmacy tuition.

HB 2766 - Effective on 09/01/01
Relating to repayment assistance for certain education loans owed by certain state attorneys. Authorizes the Texas Higher Education Coordinating Board to provide assistance in the repayment of education loans for attorneys who work for the Office of the Texas Attorney General.

HB 3524 - Effective immediately
Relating to authorizing The University of Texas at Austin to establish a flat rate tuition pilot project for certain undergraduate students. Authorizes the board of regents of The University of Texas System to establish a flat rate tuition pilot project at The University of Texas at Austin.

SB 555 - Effective immediately
Relating to a college savings plan for qualified higher education expenses. Creates a college savings plan to provide purchasers with greater flexibility and potentially higher returns than are available through the Texas Tomorrow Fund.

SB 1472 - Effective immediately
Relating to the general property deposit paid by a student of a public institution of higher education. Allows institutions to increase the deposit to $100.

SB 1814 - Effective immediately
Relating to the tuition for law school and graduate and professional pharmacy courses at public institutions of higher education. Authorizes an increase up to 3 times the base rate for law and professional pharmacy programs.


Guidelines for Contacting Legislators

It's important that legislators hear from faculty, staff, alumni, and friends of the UH System. But if you are a member of the faculty or staff (a state employee) wishing to contact your legislator, it's equally important to follow certain guidelines when you write or fax letters. Go to <http://www.uhsa.uh.edu/gov/process/letter_writing.html>. for letter-writing guidelines.

For information on governmental relations policies, go to <http://www.uhsa.uh.edu/gov/policies/lobbying.html>.

To find the names and addresses of U.S. Senators and Congressmen/women, go to <http://www.usfronline.com/congress.htm>

To find the names and addresses of Texas Senators and Representatives, go to <http://www.senate.state.tx.us/75r/senate/members.htm>, or <http://www.house.state.tx.us/house/byzip.htm>.