Texas Education Code
CHAPTER 61. TEXAS HIGHER EDUCATION COORDINATING BOARDCode Resources
Texas Resources
Texas Website
Texas Governor
Texas Legislature
Texas Courts
Search this Code
in Google Scholar
on the Web
Google Web Search
MSN Web Search
Yahoo! Web Search
in the News
Google News Search
Google News Archive Search
Yahoo! News Search
in the Blogs
BlawgSearch.com Search
Google Blog Search
Technorati Blog Search
in other Databases
Google Book Search
EDUCATION CODE SUBTITLE B. STATE COORDINATION OF HIGHER EDUCATION CHAPTER 61. TEXAS HIGHER EDUCATION COORDINATING BOARD SUBCHAPTER A. GENERAL PROVISIONS § 61.001. SHORT TITLE. This chapter may be cited as the Higher Education Coordinating Act of 1965. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.002. PURPOSE. (a) The purpose of this chapter is to establish in the field of public higher education in the State of Texas an agency to provide leadership and coordination for the Texas higher education system, institutions, and governing boards, to the end that the State of Texas may achieve excellence for college education of its youth through the efficient and effective utilization and concentration of all available resources and the elimination of costly duplication in program offerings, faculties, and physical plants. (b) In the exercise of its leadership role, the Texas Higher Education Coordinating Board established by this chapter shall be an advocate for the provision of adequate resources and sufficient authority to institutions of higher education so that such institutions may realize, within their prescribed role and scope, their full potential to the benefit of the students who attend such institutions and to the benefit of the citizens of the state in terms of the realization of the benefits of an educated populace. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1987, 70th Leg., ch. 823, § 1.01, eff. June 20, 1987. § 61.003. DEFINITIONS. In this chapter: (1) "Board" means the Texas Higher Education Coordinating Board. (2) "Public junior college" means any junior college certified by the board in accordance with Section 61.063 of this chapter. (3) "General academic teaching institution" means The University of Texas at Austin; The University of Texas at El Paso; The University of Texas of the Permian Basin; The University of Texas at Dallas; The University of Texas at San Antonio; Texas A&M University, Main University; The University of Texas at Arlington; Tarleton State University; Prairie View A&M University; Texas Maritime Academy; Texas Tech University; University of North Texas; Lamar University; Lamar State College--Orange; Lamar State College--Port Arthur; Texas A&M University--Kingsville; Texas A&M University--Corpus Christi; Texas Woman's University; Texas Southern University; Midwestern State University; University of Houston; University of Texas--Pan American; The University of Texas at Brownsville; Texas A&M University--Commerce; Sam Houston State University; Texas State University--San Marcos; West Texas A&M University; Stephen F. Austin State University; Sul Ross State University; Angelo State University; The University of Texas at Tyler; and any other college, university, or institution so classified as provided in this chapter or created and so classified, expressly or impliedly, by law. (4) "Public senior college or university" means a general academic teaching institution as defined above. (5) "Medical and dental unit" means The University of Texas Medical Branch at Galveston; The University of Texas Southwestern Medical Center at Dallas; The University of Texas Medical School at San Antonio; The University of Texas Dental Branch at Houston; The University of Texas M.D. Anderson Cancer Center; The University of Texas Graduate School of Biomedical Sciences at Houston; The University of Texas Dental School at San Antonio; The University of Texas Medical School at Houston; the nursing institutions of The University of Texas System; and The University of Texas School of Public Health at Houston; and such other medical or dental schools as may be established by statute or as provided in this chapter. (6) "Other agency of higher education" means The University of Texas System, System Administration; Texas Western University Museum; Texas A & M University System, Administrative and General Offices; Texas Agricultural Experiment Station; Texas Agricultural Extension Service; Rodent and Predatory Animal Control Service (a part of the Texas Agricultural Extension Service); Texas Engineering Experiment Station (including the Texas Transportation Institute); Texas Engineering Extension Service; Texas Forest Service; Texas Tech University Museum; Texas State University System, System Administration; Sam Houston Memorial Museum; Panhandle-Plains Historical Museum; Cotton Research Committee of Texas; Water Resources Institute of Texas; Texas Veterinary Medical Diagnostic Laboratory; and any other unit, division, institution, or agency which shall be so designated by statute or which may be established to operate as a component part of any public senior college or university, or which may be so classified as provided in this chapter. (7) "Public technical institute" means the Lamar Institute of Technology or the Texas State Technical College System. (8) "Institution of higher education" means 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 this section. (9) "Governing board" means the body charged with policy direction of any public technical institute, public junior college, public senior college or university, medical or dental unit, or other agency of higher education, including but not limited to boards of directors, boards of regents, boards of trustees, and independent school district boards insofar as they are charged with policy direction of a public junior college. (10) "University system" means the association of one or more public senior colleges or universities, medical or dental units, or other agencies of higher education under the policy direction of a single governing board. (11) "Degree program" means any grouping of subject matter courses which, when satisfactorily completed by a student, will entitle him to a degree from a public senior college or university or a medical or dental unit. (12) "Certificate program" means a grouping of subject-matter courses which, when satisfactorily completed by a student, will entitle him to a certificate, associate degree from a technical institute or junior college, or documentary evidence, other than a degree, of completion of a course of study at the postsecondary level. (13) "Recognized accrediting agency" means the Southern Association of Colleges and Schools and any other association or organization so designated by the board. (14) "Educational and general buildings and facilities" means buildings and facilities essential to or commonly associated with teaching, research, or the preservation of knowledge, including the proportional share used for those activities in any building or facility used jointly with auxiliary enterprises. Excluded are auxiliary enterprise buildings and facilities, including but not limited to dormitories, cafeterias, student union buildings, stadiums, and alumni centers, used solely for those purposes. (15) "Private or independent institution of higher education" includes only a private or independent college or university that is: (A) organized under the Texas Non-Profit Corporation Act (Article 1396-1.01 et seq., Vernon's Texas Civil Statutes); (B) exempt from taxation under Article VIII, Section 2, of the Texas Constitution and Section 501(c)(3) of the Internal Revenue Code of 1986 (26 U.S.C. Section 501); and (C) accredited by the Commission on Colleges of the Southern Association of Colleges and Schools or the Liaison Committee on Medical Education. (16) "Public state college" means Lamar State College--Orange, Lamar State College--Port Arthur, or the Lamar Institute of Technology. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1973, 63rd Leg., p. 1657, ch. 601, § 3, eff. June 15, 1973; Acts 1983, 68th Leg., p. 3054, ch. 524, § 4, eff. Sept. 1, 1983; Acts 1985, 69th Leg., ch. 646, § 1, eff. Aug. 26, 1985; Acts 1987, 70th Leg., ch. 180, § 1, eff. Aug. 31, 1987; Acts 1987, 70th Leg., ch. 823, § 1.03, eff. June 20, 1987; Acts 1987, 70th Leg., ch. 1070, § 4, eff. May 15, 1988; Acts 1989, 71st Leg., ch. 644, § 1, eff. June 14, 1989; Acts 1989, 71st Leg., ch. 1084, § 1.32, eff. Sept. 1, 1989; Acts 1991, 72nd Leg., ch. 287, § 29, eff. Sept. 1, 1991; Acts 1991, 72nd Leg., ch. 305, § 2, eff. Sept. 1, 1991; Acts 1993, 73rd Leg., ch. 516, § 4, eff. Sept. 1, 1993; Acts 1997, 75th Leg., ch. 126, § 2, eff. May 19, 1997; Acts 1997, 75th Leg., ch. 227, § 4, eff. May 23, 1997; Acts 1999, 76th Leg., ch. 767, § 5, eff. June 18, 1999; Acts 1999, 76th Leg., ch. 1322, § 1, eff. June 18, 1999; Acts 2003, 78th Leg., ch. 386, § 7, eff. Sept. 1, 2003.SUBCHAPTER B. ADMINISTRATIVE PROVISIONS § 61.021. ESTABLISHMENT OF COORDINATING BOARD: FUNCTIONS. (a) The Texas Higher Education Coordinating Board is an agency of the state. It shall have its office in Austin. It shall perform only the functions which are enumerated in this chapter and which the legislature may assign to it. Functions vested in the governing boards of the respective institutions of higher education not specifically delegated to the coordinating board shall be performed by the governing boards. The coordinating functions and other duties delegated to the board in this chapter shall apply to all public institutions of higher education. (b) References in this code or other law to the "coordinating board" or the "Coordinating Board, Texas College and University System," are references to the Texas Higher Education Coordinating Board. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1987, 70th Leg., ch. 823, § 1.02, eff. June 20, 1987. § 61.0211. SUNSET PROVISION. The Texas Higher Education Coordinating Board is subject to Chapter 325, Government Code (Texas Sunset Act). Unless continued in existence as provided by that chapter, the board is abolished and this chapter expires September 1, 2015. Added by Acts 1977, 65th Leg., p. 1853, ch. 735, § 2.151, eff. Aug. 29, 1977. Amended by Acts 1985, 69th Leg., ch. 479, § 200, eff. Sept. 1, 1985; Acts 1987, 70th Leg., ch. 823, § 1.04, eff. June 20, 1987; Acts 1989, 71st Leg., ch. 1084, § 1.01, eff. Sept. 1, 1989; Acts 1991, 72nd Leg., 1st C.S., ch. 17, § 6.01, eff. Nov. 12, 1991; Acts 2003, 78th Leg., ch. 820, § 1, eff. Sept. 1, 2003. § 61.022. MEMBERS OF BOARD; APPOINTMENT; TERMS OF OFFICE. (a) The board shall consist of nine members appointed by the governor so as to provide representation from all areas of the state with the advice and consent of the senate, and as the constitution provides. Members of the board serve staggered six-year terms. The terms of one- third of the members expire August 31 of each odd-numbered year. (b) A board member may not be employed professionally for remuneration in the field of education during the member's term of office. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 2003, 78th Leg., ch. 1170, § 18.01, eff. Sept. 1, 2003; Acts 2003, 78th Leg., ch. 820, § 2, eff. Sept. 1, 2003. § 61.0221. DUTY IN MAKING OR CONFIRMING APPOINTMENTS. (a) In making or confirming appointments to the coordinating board, the governor and senate shall ensure that the appointee has the background and experience suitable for performing the statutory responsibility of a member of the coordinating board. (b) Appointments to the board shall be made without regard to the race, color, handicap, sex, religion, age, or national origin of the appointees. Added by Acts 1987, 70th Leg., ch. 823, § 1.05, eff. June 20, 1987. Amended by Acts 1989, 71st Leg., ch. 1084, § 1.01, eff. Sept. 1, 1989. § 61.0222. RESTRICTIONS ON BOARD APPOINTMENT, MEMBERSHIP, AND EMPLOYMENT. (a) A member of the board must be a representative of the general public. A person is not eligible for appointment as a member of the board if the person or the person's spouse: (1) is employed by or participates in the management of a business entity or other organization regulated by the board or receiving funds from the board; (2) owns or controls, directly or indirectly, more than a 10 percent interest in a business entity or other organization regulated by the board or receiving funds from the board; or (3) uses or receives a substantial amount of tangible goods, services, or funds from the board, other than compensation or reimbursement authorized by law for board membership, attendance, or expenses. (b) A person may not be a member of the board and may not be a board employee employed in a "bona fide executive, administrative, or professional capacity," as that phrase is used for purposes of establishing an exemption to the overtime provisions of the federal Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 et seq.), and its subsequent amendments, if: (1) the person is an officer, employee, or paid consultant of a Texas trade association in the field of higher education; or (2) the person's spouse is an officer, manager, or paid consultant of a Texas trade association in the field of higher education. (c) A person may not be a member of the board or act as the general counsel to the board if the person is required to register as a lobbyist under Chapter 305, Government Code, because of the person's activities for compensation on behalf of a profession related to the operation of the board. (d) In this section, "Texas trade association" means a cooperative and voluntarily joined statewide association of business or professional competitors in this state designed to assist its members and its industry or profession in dealing with mutual business or professional problems and in promoting their common interest. Added by Acts 1989, 71st Leg., ch. 1084, § 1.02, eff. Sept. 1, 1989. Amended by Acts 2003, 78th Leg., ch. 820, § 3, eff. Sept. 1, 2003. § 61.0223. REMOVAL OF BOARD MEMBER. (a) It is a ground for removal from the board that a member: (1) does not have at the time of taking office the qualifications required by Section 61.0222(a); (2) does not maintain during service on the board the qualifications required by Section 61.0222(a); (3) is ineligible for membership under Section 61.022 or 61.0222; (4) cannot, because of illness or disability, discharge the member's duties for a substantial part of the member's term; or (5) is absent from more than half of the regularly scheduled board meetings that the member is eligible to attend during a calendar year without an excuse approved by a majority vote of the board. (b) The validity of an action of the board is not affected by the fact that it is taken when a ground for removal of a board member exists. (c) If the commissioner of higher education has knowledge that a potential ground for removal exists, the commissioner shall notify the presiding officer of the board of the potential ground. The presiding officer shall then notify the governor and the attorney general that a potential ground for removal exists. If the potential ground for removal involves the presiding officer, the commissioner shall notify the next highest ranking officer of the board, who shall then notify the governor and the attorney general that a potential ground for removal exists. Added by Acts 1989, 71st Leg., ch. 1084, § 1.03, eff. Sept. 1, 1989. Amended by Acts 2003, 78th Leg., ch. 820, § 4, eff. Sept. 1, 2003. § 61.0224. TRAINING OF BOARD MEMBERS. (a) A person who is appointed to and qualifies for office as a member of the board may not vote, deliberate, or be counted as a member in attendance at a meeting of the board until the person completes a training program that complies with this section. (b) The training program must provide the person with information regarding: (1) the legislation that created the board; (2) the programs operated by the board; (3) the role and functions of the board; (4) the rules of the board, with an emphasis on the rules that relate to disciplinary and investigatory authority; (5) the current budget for the board; (6) the results of the most recent formal audit of the board; (7) the requirements of: (A) the open meetings law, Chapter 551, Government Code; (B) the public information law, Chapter 552, Government Code; (C) the administrative procedure law, Chapter 2001, Government Code; and (D) other laws relating to public officials, including conflict-of-interest laws; and (8) any applicable ethics policies adopted by the board or the Texas Ethics Commission. (c) A person appointed to the board is entitled to reimbursement, as provided by the General Appropriations Act, for the travel expenses incurred in attending the training program regardless of whether the attendance at the program occurs before or after the person qualifies for office. Added by Acts 2003, 78th Leg., ch. 820, § 5, eff. Sept. 1, 2003. § 61.023. BOARD OFFICERS. The governor shall designate a chairman and vice chairman of the board. The board shall appoint a secretary of the board whose duties may be prescribed by law and by the board. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.024. COMPENSATION AND EXPENSES OF MEMBERS. Members of the board shall serve without pay but shall be reimbursed for their actual expenses incurred in attending meetings of the board or in attending to other work of the board when that other work is approved by the chairman of the board. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.025. QUORUM; MEETINGS; AGENDA. (a) A majority of the membership of the board constitutes a quorum. (b) Except as provided by Section 551.126, Government Code, the board shall hold regular quarterly meetings in the city of Austin, and other meetings at places and times scheduled by it in formal sessions and called by the chairman. (c) Except as provided by Subsection (e), an agenda for the meetings in sufficient detail to indicate the items on which final action is contemplated shall be mailed to the chairman of each governing board and to the chief administrative officer of each state institution of higher education at least 30 days prior to the meeting. (d) The board shall develop and implement policies that provide the public with a reasonable opportunity to appear before the board and to speak on any issue under the jurisdiction of the board. (e) The board may hold a meeting to consider a higher education impact statement, if a higher education impact statement by the board is to be provided under the rules of either the house of representatives or the senate. The meeting shall be called by the chair and the board shall provide notice of the meeting in accordance with Chapter 551, Government Code. The board is not required to mail an agenda 30 days in advance to the governing boards and institutions as provided in Subsection (c), for a meeting to consider a higher education impact statement. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1989, 71st Leg., ch. 1084, § 1.04, eff. Sept. 1, 1989; Acts 1997, 75th Leg., ch. 944, § 2, eff. June 18, 1997. § 61.026. COMMITTEES AND ADVISORY COMMITTEES. The chairman may appoint committees from the board's membership as he or the board may find necessary from time to time. The board may appoint advisory committees from outside its membership as it may deem necessary. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.027. RULES OF PROCEDURE; HEARINGS; NOTICE; MINUTES. The board shall adopt and publish rules and regulations in accordance with and under the conditions applied to other agencies by Chapter 2001, Government Code to effectuate the provisions of this chapter. The board shall grant any institution of higher education a hearing upon request and after reasonable notice. Minutes of all meetings shall be available in the board's office for public inspection. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1987, 70th Leg., ch. 823, § 1.12, eff. June 20, 1987; Acts 1995, 74th Leg., ch. 76, § 5.95(49), eff. Sept. 1, 1995. § 61.028. COMMISSIONER OF HIGHER EDUCATION; PERSONNEL; CONSULTANTS. (a) The board shall appoint a commissioner of higher education, who shall select and supervise the board's staff and perform other duties delegated to him by the board. The commissioner shall serve at the pleasure of the board. (b) The commissioner shall be a person of high professional qualifications having a thorough background by training and experience in the fields of higher education and administration and shall possess such other qualifications as the board may prescribe. (c) The commissioner shall employ professional and clerical personnel and consultants as necessary to assist the board and the commissioner in performing the duties assigned by this chapter. The number of employees, their compensation and the other expenditures of the board shall be within the limits and in compliance with the appropriation made for those purposes by the legislature and within budgets that shall be approved from time to time by the board. (d) The commissioner or the commissioner's designee shall develop an intraagency career ladder program. The program shall require intraagency postings of all nonentry level positions concurrently with any public posting. (e) The commissioner or the commissioner's designee shall develop a system of annual performance evaluations. All merit pay for board employees must be based on the system established under this subsection. (f) The commissioner or the commissioner's designee shall prepare and maintain a written policy statement that implements a program of equal employment opportunity to ensure that all personnel decisions are made without regard to race, color, disability, sex, religion, age, or national origin. The policy statement must include: (1) personnel policies, including policies relating to recruitment, evaluation, selection, training, and promotion of personnel, that show the intent of the board to avoid the unlawful employment practices described by Chapter 21, Labor Code; and (2) an analysis of the extent to which the composition of the board's personnel is in accordance with state and federal law and a description of reasonable methods to achieve compliance with state and federal law. (g) The policy statement must: (1) be updated annually; (2) be reviewed by the state Commission on Human Rights for compliance with Subsection (f)(1); and (3) be filed with the governor's office. (h) The governor's office shall deliver a biennial report to the legislature based on the information received under Subsection (g) of this section. The report may be made separately or as part of other biennial reports made to the legislature. (i) The board shall develop and implement policies that clearly define the respective responsibilities of the board and the staff of the board. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1989, 71st Leg., ch. 1084, § 1.05, eff. Sept. 1, 1989; Acts 2003, 78th Leg., ch. 820, § 6, eff. Sept. 1, 2003. § 61.0281. STATE EMPLOYEE INCENTIVE PROGRAM. The commissioner of higher education or the commissioner's designee shall provide to board employees information and training on the benefits and methods of participation in the state employee incentive program. Added by Acts 2003, 78th Leg., ch. 820, § 7, eff. Sept. 1, 2003. § 61.029. INTERNAL AUDITOR. (a) The board shall appoint an internal auditor for the board. (b) The internal auditor shall report directly to the board on all matters, other than administrative matters, that require the decision of the commissioner of higher education. (c) The commissioner of higher education shall advise the board regarding: (1) the termination or discipline of the internal auditor; and (2) the transfer or reclassification of, or other changes in, the powers or duties of the internal auditor. (d) The internal auditor shall develop an annual audit plan, conduct audits as specified in the audit plan, and fulfill the other duties required by Chapter 2102, Government Code. (e) The internal auditor shall review all audit reports with the board and the commissioner of higher education. Added by Acts 1989, 71st Leg., ch. 1084, § 1.06, eff. Sept. 1, 1989. Amended by Acts 1997, 75th Leg., ch. 1122, § 18(1), eff. Sept. 1, 1997; Acts 2003, 78th Leg., ch. 820, § 8, eff. Sept. 1, 2003. § 61.030. QUALIFICATIONS AND STANDARDS OF BOARD MEMBERS AND EMPLOYEES. The board shall provide to its members and employees, as often as necessary, information regarding their qualifications for office or employment under this chapter and their responsibilities under applicable laws relating to standards of conduct for state officers or employees. Added by Acts 1989, 71st Leg., ch. 1084, § 1.07, eff. Sept. 1, 1989. § 61.031. PUBLIC INTEREST INFORMATION AND COMPLAINTS. (a) The board shall maintain a file on each written complaint filed with the board. The file must include: (1) the name of the person who filed the complaint; (2) the date the complaint is received by the board; (3) the subject matter of the complaint; (4) the name of each person contacted in relation to the complaint; (5) a summary of the results of the review or investigation of the complaint; and (6) an explanation of the reason the file was closed, if the board closed the file without taking action other than to investigate the complaint. (b) The board shall provide to the person filing the complaint and to each person who is a subject of the complaint a copy of the board's policies and procedures relating to complaint investigation and resolution. (c) The board, at least quarterly until final disposition of the complaint, shall notify the person filing the complaint and each person who is a subject of the complaint of the status of the investigation unless the notice would jeopardize an undercover investigation. Added by Acts 1989, 71st Leg., ch. 1084, § 1.08, eff. Sept. 1, 1989. Amended by Acts 2003, 78th Leg., ch. 820, § 9, eff. Sept. 1, 2003. § 61.032. NOTICE OF NATIONAL COMPACT MEETINGS. The commissioner of higher education or the commissioner's designee on behalf of Texas members of the Board of Control for Southern Regional Education shall file notice of board of control meetings with the secretary of state's office for publication in the Texas Register. Added by Acts 1989, 71st Leg., ch. 262, § 1, eff. Sept. 1, 1989; Acts 1989, 71st Leg., ch. 1084, § 1.09, eff. Sept. 1, 1989. § 61.033. NEGOTIATED RULEMAKING; ALTERNATIVE DISPUTE RESOLUTION. (a) The board shall develop and implement a policy to encourage the use of: (1) negotiated rulemaking procedures under Chapter 2008, Government Code, for the adoption of board rules; and (2) appropriate alternative dispute resolution procedures under Chapter 2009, Government Code, to assist in the resolution of internal and external disputes under the board's jurisdiction. (b) The board's procedures relating to alternative dispute resolution must conform, to the extent possible, to any model guidelines issued by the State Office of Administrative Hearings for the use of alternative dispute resolution by state agencies. (c) The board shall designate a trained person to: (1) coordinate the implementation of the policy adopted under Subsection (a); (2) serve as a resource for any training needed to implement the procedures for negotiated rulemaking or alternative dispute resolution; and (3) collect data concerning the effectiveness of those procedures, as implemented by the board. Added by Acts 2003, 78th Leg., ch. 820, § 10, eff. Sept. 1, 2003. § 61.034. EFFECTIVE USE OF TECHNOLOGY. The board shall develop and implement a policy that requires the commissioner of higher education and the staff of the board to research and propose appropriate technological solutions to improve the ability of the agency to perform its mission. The technological solutions must include measures to ensure that the public is able to easily find information about the board through the Internet and that persons who have a reason to use the board's services are able to use the Internet to interact with the board and to access any services that can be provided effectively through the Internet. The policy shall also ensure that proposed technological solutions are cost-effective and developed through the board's planning processes. Added by Acts 2003, 78th Leg., ch. 820, § 11, eff. Sept. 1, 2003.SUBCHAPTER C. POWERS AND DUTIES OF BOARD § 61.051. COORDINATION OF INSTITUTIONS OF PUBLIC HIGHER EDUCATION. (a) The board shall represent the highest authority in the state in matters of public higher education and is charged with the duty to take an active part in promoting quality education in the various regions of the state. The board shall be responsible for assuring that there is no discrimination in the distribution of programs and resources throughout the state on the basis of race, national origin, or sex. (a-1) The board shall develop a five-year master plan for higher education in this state. The five-year plan shall take into account the resources of private institutions of higher education in this state. (a-2) The board shall periodically review and revise the five-year master plan developed under Subsection (a-1). As a specific element of its review, the board shall identify and analyze the degree to which the plan reflects the continuing higher education needs of this state, as well as any policy changes necessary to improve overall implementation of the plan and the fiscal impact of those changes. The board shall establish procedures for monitoring the board's implementation of the plan, including an analysis of the degree to which its current activities support implementation of the plan and any change in board rules or practices necessary to improve implementation of the plan. The board shall identify additional strategies necessary to achieve the goals of the plan, emphasizing implementation by institutions of higher education and specific recommendations for the different regions of the state. The board shall notify each institution of higher education of all strategies for implementing the plan. (a-3) The board shall inform the legislature on matters pertaining to higher education, including the state's activities in the Board of Control for Southern Regional Education, and shall report to the legislature not later than January 1 of each odd-numbered year on the state of higher education in Texas. In the biennial report, the board shall assess the state's progress in meeting the goals stated in the plan developed under Subsection (a-1) and shall recommend legislative action to assist the state in meeting those goals. The report must include the analyses performed in connection with the board's periodic review under Subsection (a-2).Text of subsection effective until January 31, 2007 (a-4) The board and the Legislative Budget Board jointly shall study each reporting requirement imposed on an institution of higher education by state law, including by board or other state agency rule, to determine if any of those requirements are duplicative, inefficient, or unnecessary. As part of the biennial report submitted by the board to the 80th Legislature under Subsection (a-3), the board and the Legislative Budget Board jointly shall report the results of the study to the legislature. The report must include any recommendation of the board and the Legislative Budget Board for legislation or administrative action, including changes to state agency rules, to consolidate or simplify reports, eliminate unnecessary reporting requirements, or make other changes to promote efficiency or reduce administrative burdens in reporting. A recommendation under this subsection must include an explanation of the basis for the recommendation. Not later than December 1, 2006, the board and the Legislative Budget Board shall submit a copy of the report required by this subsection to the governor, lieutenant governor, and the speaker of the house of representatives. This subsection expires January 31, 2007. (b) The board shall define a technical institute, a junior college, a senior college, a university, and a university system; provided, that nothing in this section may be construed to authorize the board to establish or create any technical institute system or university system or to alter any technical institute system or university system presently existing by virtue of statute or the constitution of this state. (c) The board shall develop and publish criteria to be used as a basis for determining the need for changing the classification of any public institution of higher education and for determining the need for new public technical institutes, public junior colleges, public senior colleges, universities, or university systems. (d) The board shall develop, after direct consultation with the governing board of the institution and after providing a forum for a public hearing, the role and mission for each public institution of higher education in Texas. The board shall hear applications from the institutions for changes in role and mission and make changes necessary to update the role and mission statements of each institution. The board shall adopt by rule the criteria to be used in reviewing the role and mission statements. The board, after direct consultation with the governing board of the institution and after providing the forum for a public hearing, may prescribe by rule maximum enrollment limits for such institution. In setting maximum enrollment limits, the board shall take into account any financial hardship such enrollment limits might cause qualified Texas residents seeking a higher education. The governing board of each institution shall determine the maximum enrollment limits for any department, school, degree program, or certificate program at the institution. (e) The board shall review periodically the role and mission statements, the table of programs, and all degree and certificate programs offered by the public institutions of higher education to assure that they meet the present and future needs of the state and the counties in which they are located. The board's review shall be performed at least every four years and shall involve the chairperson of the institution's board of regents. The board shall also order the initiation, consolidation, or elimination of degree or certificate programs where that action is in the best interest of the public institutions themselves or the general requirements of the State of Texas, the counties in which they are located, or when that action offers hope of achieving excellence by a concentration of available resources. No new department, school, degree program, or certificate program may be added at any public institution of higher education except with specific prior approval of the board. The board may authorize an institution to continue a doctoral program that is inconsistent with the role and mission of the institution if the program was in existence on September 1, 1987, and the board determines that continuation of the program is warranted. (f) The board shall encourage and develop new certificate programs in technical and vocational education in Texas public technical institutes and public community colleges as the needs of technology and industry may demand and shall recommend the elimination of such programs for which a need no longer exists. The board shall conduct a review of the certificate programs at least every four years or on the request of the Texas Workforce Investment Council and shall terminate a program that does not meet performance review standards and other criteria established by the board. The board shall assume the leadership role and administrative responsibilities for state level administration of postsecondary technical-vocational education programs in Texas public community colleges, public technical institutes, and other eligible public postsecondary institutions. The board shall ensure that standardized minimum technical and skill-specific competency and performance standards for each workforce education program, as developed by the Texas Workforce Investment Council, are used in the board's review, approval, or disapproval of a vocational and technical program financed by state and federal funds. (g) The board shall develop and promulgate a basic core of general academic courses which shall be freely transferable among all public institutions of higher education in Texas which are members of recognized accrediting agencies on the same basis as if the work had been taken at the receiving institution. The board shall develop and implement policies to provide for the free transferability of lower division course credit among institutions of higher education. (h) The board shall make continuing studies of the needs of the state for research and designate the institutions of higher education to perform research as needed. The board shall also maintain an inventory of all institutional and programmatic research activities being conducted by the various institutions, whether state-financed or not. Once a year, on dates prescribed by the board, each institution of higher education shall report to the board all research conducted at that institution during the last preceding year. All reports required by this subsection shall be made subject to the limitations imposed by security regulations governing defense contracts for research. (i) The board shall develop and periodically revise a long-range statewide plan to provide information and guidance to policy makers to ensure that institutions of higher education meet the current and future needs of each region of this state for higher education services and that adequate higher education services at all levels are reasonably and equally available to the residents of each region of this state. The board in developing the plan shall examine existing undergraduate, graduate, professional, and research programs provided by institutions of higher education and identify the geographic areas of this state that, as a result of current population or projected population growth, distance from other educational resources, economic trends, or other factors, have or are reasonably likely to have in the future significantly greater need for higher education services than the services currently provided in the area by existing institutions of higher education. The board shall also consider the higher education services provided by private and independent institutions of higher education in developing the plan. The board shall identify as specifically as practicable the programs or fields of study for which an area has or is projected to have a significant unmet need for services. In determining the need for higher educational services in an area, the board shall consider the educational attainment of the current population and the extent to which residents from the area attend institutions of higher education outside of the area or do not attend institutions of higher education. The board shall include in the plan specific recommendations, including alternative recommendations, for administrative or legislative action to address an area's unmet need for higher educational services as efficiently as possible. Not later than November 1 of each even-numbered year, the board shall deliver to the governor, lieutenant governor, and legislature a report of the current long-range plan developed under this section. (j) No off-campus courses for credit may be offered by any public technical institute, public community college, or public college or university without specific prior approval of the board. However, any of those institutions may offer a distance learning course approved by the board with no in-state geographic restrictions if the course is within the approved curriculum of the institution. To facilitate the delivery of courses by distance learning and to improve access to those courses, the board shall encourage collaborative efforts to make the benefits of computer access to educational opportunities widely available. The board shall maintain a central informational resource accessible to the general public that provides information relating to distance learning courses and programs offered for credit by institutions of higher education and information including computer links, addresses, or other directions to assist an interested person to obtain additional information directly from the appropriate institution. The board may not prohibit a public junior college district from offering a course for credit outside the boundaries of the junior college district when such course has met the requirements for approval as adopted by the board. The board shall establish regulations for the coordination of credit activities of adult and continuing education by public technical institutes, public community colleges, or public colleges and universities. (k) The board shall establish and maintain a management information system that includes the presentation of uniform statistical information that is appropriate to planning, financing, and decision-making rather than regulation. (l) The board shall advise and offer technical assistance on the request of any institution or system administration. (m) The board shall publish and distribute materials on admission policies, transferable courses among institutions, financial assistance programs, and other matters of interest to persons choosing an institution in which to enroll. It is the intent of the legislature that materials distributed under this subsection be designed to promote and encourage students to complete high school coursework and aspire to their highest potential by obtaining a degree or certificate from an institution of higher education. (n) The board shall develop guidelines for institutional reporting of student performance. (o) The board shall encourage cooperative programs and agreements among institutions of higher education, including, among others, programs and agreements relating to degree offerings, research activities, and library and computer sharing. (p) The board shall administer trusteed funds, grant programs, research competition awards, and other funds and programs as directed by the legislature. (q) The board shall develop a statewide telecommunications network among institutions of higher education for integrated teaching and data transmission and computation, but only to the extent that the telecommunications services are not available through a system of telecommunications services established for state agencies generally. (r) The board shall conduct a review of all doctoral programs offered at institutions of higher education. The review shall consider: (1) program quality; (2) demand for the degree program; (3) number of graduates; (4) geographic distribution of doctoral degree programs; (5) employment opportunities and demand for degree holders; and (6) duplication with other programs. The board shall begin the review by considering first the institutions that offer a single doctoral program. The review must be completed by December 1992. The board shall report the results of the review regarding public institutions of higher education to the legislature not later than the convening of the regular legislative session in 1993. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1975, 64th Leg., p. 2055, ch. 676, § 1, 2, eff. June 20, 1975; Acts 1985, 69th Leg., ch. 646, § 2, eff. Aug. 26, 1985; Acts 1987, 70th Leg., ch. 823, § 1.06, eff. June 20, 1987; Acts 1989, 71st Leg., ch. 1084, § 1.11, 4.01(1), eff. Sept. 1, 1989; Acts 1993, 73rd Leg., ch. 668, § 7.01, eff. Sept. 1, 1993; Acts 1997, 75th Leg., ch. 138, § 1, eff. May 19, 1997; Acts 2001, 77th Leg., ch. 373, § 1, eff. May 25, 2001; Acts 2003, 78th Leg., ch. 818, § 6.03, eff. Sept. 1, 2003; Acts 2003, 78th Leg., ch. 820, § 12, eff. Sept. 1, 2003; Acts 2005, 79th Leg., ch. 354, § 1, eff. June 17, 2005. § 61.0511. ROLE AND MISSION STATEMENT. Each institution of higher education shall develop a statement regarding the role and mission of the institution reflecting the three missions of higher education: teaching, research, and public service. Added by Acts 1989, 71st Leg., ch. 1084, § 1.12, eff. Sept. 1, 1989. § 61.0512. NEW DEGREE PROGRAMS; NOTIFICATION TO BOARD. At the time a public senior college or university begins preliminary planning for a new degree program or a new organizational unit to administer a new degree program, the college or university shall notify the board. In the implementation of this subsection, the board may not require additional reports from the institutions. Added by Acts 1989, 71st Leg., ch. 1084, § 1.13, eff. Sept. 1, 1989. § 61.0513. COURT REPORTER PROGRAMS. The board may not certify a court reporter program under Section 61.051(f) of this code unless the program has received approval from the Court Reporters Certification Board. Added by Acts 1993, 73rd Leg., ch. 563, § 2, eff. Sept. 1, 1993. § 61.0514. INTEGRATED COURSEWORK. The board, with the cooperation and advice of the State Board for Educator Certification, shall adopt educator preparation coursework guidelines that promote, to the greatest extent practicable, the integration of subject matter knowledge with classroom teaching strategies and techniques in order to maximize the effectiveness and efficiency of coursework required for certification under Subchapter B, Chapter 21. Added by Acts 1999, 76th Leg., ch. 1590, § 9, eff. June 19, 1999. § 61.0515. SEMESTER CREDIT HOURS REQUIRED FOR BACCALAUREATE DEGREE. (a) To earn a baccalaureate degree, a student may not be required by a general academic teaching institution to complete more than the minimum number of semester credit hours required for the degree by the Southern Association of Colleges and Schools or its successor unless the institution determines that there is a compelling academic reason for requiring completion of additional semester credit hours for the degree. (b) The board may review one or more of an institution's baccalaureate degree programs to ensure compliance with this section. (c) Subsection (a) does not apply to a baccalaureate degree awarded by an institution to a student enrolled in the institution before the 2008 fall semester. This subsection does not prohibit the institution from reducing the number of semester credit hours the student must complete to receive the degree. Added by Acts 2005, 79th Leg., ch. 1230, § 12, eff. June 18, 2005. § 61.0516. ELECTRONIC SYSTEM TO MONITOR TUITION EXEMPTIONS FOR VETERANS AND DEPENDENTS. The board shall develop a system to electronically monitor the use of tuition exemptions under Section 54.203. The system must allow the board to electronically receive, for each semester, the following information from institutions of higher education: (1) the name of the institution; (2) the name, identification number, and date of birth of each individual attending the institution and receiving benefits for the semester under Section 54.203; (3) for each individual receiving benefits, the number of credit hours for which the individual received an exemption for the semester; (4) for each individual receiving benefits at the institution during the semester, the total cumulative number of credit hours for which the individual has received an exemption at the institution; and (5) any other information required by the board. Added by Acts 2005, 79th Leg., ch. 7, § 2, eff. May 3, 2005. § 61.052. LIST OF COURSES; ANNUAL SUBMISSION TO BOARD. (a) Each governing board shall submit to the board once each year on dates designated by the board a comprehensive list by department, division, and school of all courses, together with a description of content, scope, and prerequisites of all these courses, that will be offered by each institution under the supervision of that governing board during the following academic year. (b) After the comprehensive list of courses is submitted by a governing board under Subsection (a) of this section, the governing board shall submit on dates designated by the board any changes in the comprehensive list of courses to be offered. (c) The board may order the deletion or consolidation of any courses so submitted after giving due notice with reasons for that action and after providing a hearing if one is requested by the governing board involved. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1989, 71st Leg., ch. 1084, § 1.14, eff. Sept. 1, 1989. § 61.053. BOARD ORDERS; NOTICE. (a) Any order of the board affecting the classification, role and scope, and program of any institution of higher education may be entered only after: (1) a written factual report and recommendations from the commissioner of higher education covering the matter to be acted on have been received by the board and distributed to the governing board and the administrative head of the affected institution; (2) the question has been placed upon the agenda for a regularly-scheduled quarterly meeting; and (3) the governing board of the affected institution has had an opportunity to be heard. (b) Notice of the board's action shall be given in writing to the governing board concerned not later than four months preceding the fall term in which the change is to take effect. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.054. EXPENDITURES FOR PROGRAMS DISAPPROVED BY BOARD. No funds appropriated to any institution of higher education may be expended for any program which has been disapproved by the board, unless the program is subsequently specifically approved by the legislature. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.055. INITIATION OF NEW DEPARTMENTS, SCHOOLS, AND PROGRAMS; PARTNERSHIPS OR AFFILIATIONS. (a) Except as otherwise provided by law, a new department, school, or degree or certificate program approved by the board or its predecessor, the Texas Commission on Higher Education, may not be initiated by any institution of higher education until the board has made a written finding that the department, school, or degree or certificate program is adequately financed by legislative appropriation, by funds allocated by the board, or by funds from other sources. (b) A general academic teaching institution or medical and dental unit may establish a partnership or affiliation with another entity to offer or conduct courses for academic credit or to offer or operate a degree program if: (1) the governing board or other appropriate official of the institution or unit determines that the partnership or affiliation is: (A) consistent with the role and mission established for the institution or unit; (B) in accordance with the degree and certificate programs authorized to be offered by the institution or unit; and (C) consistent with the role and mission of the university system, if any, to which the institution or unit belongs; (2) the partnership or affiliation is approved by the coordinating board; or (3) the partnership or affiliation is established to secure or provide clinical or other similar practical educational experience in connection with a course or degree program authorized to be offered by the institution or unit. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1993, 73rd Leg., ch. 260, § 11, eff. Sept. 1, 1993; Acts 2001, 77th Leg., ch. 1447, § 1, eff. June 17, 2001. § 61.056. REVIEW OF LEGISLATION ESTABLISHING ADDITIONAL INSTITUTIONS. Any proposed statute which would establish an additional institution of higher education, except a public junior college, shall be submitted, either prior to introduction or by the standing committee considering the proposed statute, to the board for its opinion as to the state's need for the institution. The board shall report its findings to the governor and the legislature. A recommendation that an additional institution is needed shall require the favorable vote of at least two-thirds of the members of the board. A recommendation of the board shall not be considered a condition precedent to the introduction or passage of any proposed statute. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.057. PROMOTION OF TEACHING EXCELLENCE. To achieve excellence in the teaching of students at institutions and agencies of higher education, the board shall: (1) develop and recommend: (A) minimum faculty compensation plans, basic increment programs, and incentive salary increases; (B) minimum standards for faculty appointment, advancement, promotion, and retirement; (C) general policies for faculty teaching loads, and division of faculty time between teaching, research, administrative duties, and special assignments; (D) faculty improvement programs, including a plan for sabbatical leaves, appropriate for the junior and senior colleges and universities, respectively; and (E) minimum standards for academic freedom, academic responsibility, and tenure; (2) pursue vigorously and continuously a goal of having all college and university academic classes taught by persons holding the minimum of an earned master's degree or its equivalent in academic training, creative work, or professional accomplishment; (3) explore, promote, and coordinate the use of educational television among institutions of higher education and encourage participation by public and private schools and private institutions of higher education in educational television; (4) conduct, and encourage the institutions of higher education to conduct, research into new methods, materials, and techniques for improving the quality of instruction and for the maximum utilization of all available teaching techniques, devices, and resources, including but not limited to large classes, team teaching, programmed instruction, interlibrary exchanges, joint libraries, specially-designed facilities, visual aids, and other innovations that offer promise for superior teaching or for meeting the need for new faculty members to teach anticipated larger numbers of students; and (5) assume initiative and leadership in providing through the institutions of higher education in the state those programs and offerings which will achieve the objectives set forth in Section 61.002 of this code. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.0572. CONSTRUCTION FUNDS AND DEVELOPMENT OF PHYSICAL PLANTS. (a) To assure efficient use of construction funds and the orderly development of physical plants to accommodate projected college student enrollments, the board shall carry out the duties prescribed by this section and Section 61.058 of this code. (b) The board shall: (1) determine formulas for space utilization in all educational and general buildings and facilities at institutions of higher education; (2) devise and promulgate methods to assure maximum daily and year-round use of educational and general buildings and facilities, including but not limited to maximum scheduling of day and night classes and maximum summer school enrollment; (3) consider plans for selective standards of admission when institutions of higher education approach capacity enrollment; (4) require, and assist the public technical institutes, public senior colleges and universities, medical and dental units, and other agencies of higher education in developing long-range campus master plans for campus development; (5) endorse, or delay until the next succeeding session of the legislature has the opportunity to approve or disapprove, the proposed purchase of any real property by an institution of higher education, except a public junior college; (6) develop and publish standards, rules, and regulations to guide the institutions and agencies of higher education in making application for the approval of new construction and major repair and rehabilitation of all buildings and facilities regardless of proposed use; and (7) ascertain that the standards and specifications for new construction, repair, and rehabilitation of all buildings and facilities are in accordance with Article 9102, Revised Statutes. (c) The board in consultation with institutions of higher education shall develop space standards for new construction or other capital improvement projects at public senior colleges and universities and medical and dental units that address the differences in space requirements in teaching, research, and public service activities for those institutions. The standards developed under this subsection shall not be used to determine space needs for those projects related to clinical care facilities. (d)(1) The board, for purposes of state funding, may review and approve as an addition to an institution's educational and general buildings and facilities inventory any improved real property acquired by gifts or lease-purchase only if: (A) the institution requests to place the improved real property on its educational and general buildings and facilities inventory; and (B) the value of the improved real property is more than $300,000 at the time the institution requests the property to be added to the educational and general buildings and facilities inventory. (2) This subsection does not apply to gifts, grants, or lease-purchase arrangements intended for clinical or research facilities. (e) Approval of the board is not required to acquire real property that is financed by bonds issued under Section 55.17(e)(3) or (4), 55.1713-55.1718, 55.1721-55.1728, 55.1735(a)(1), 55.174, 55.1742, 55.1743, or 55.1744 except that the board shall review all real property to be financed by bonds issued under those sections to determine whether the property meets the standards adopted by the board for cost, efficiency, and space use. If the property does not meet those standards, the board shall notify the governor, the lieutenant governor, the speaker of the house of representatives, and the Legislative Budget Board. Acts 1971, 62nd Leg., p. 3137, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1975, 64th Leg., p. 2056, ch. 676, § 3, eff. June 20, 1975; Acts 1977, 65th Leg., p. 1133, ch. 425, § 1, eff. Aug. 29, 1977; Acts 1983, 68th Leg., p. 585, ch. 121, § 1, eff. Sept. 1, 1983: Acts 1983, 68th Leg., p. 1694, ch. 319, § 1, eff. June 16, 1983; Acts 1985, 69th Leg., ch. 646, § 3, eff. Aug. 26, 1985. Renumbered from V.T.C.A., Education Code § 61.058(1) to (7) and amended by Acts 1989, 71st Leg., ch. 1084, § 1.16, eff. Sept. 1, 1989. Amended by Acts 1993, 73rd Leg., ch. 803, § 5, eff. Sept. 1, 1993; Acts 1997, 75th Leg., ch. 748, § 4, eff. Sept. 1, 1997; Acts 1997, 75th Leg., ch. 165, § 17.19(7), eff. Sept. 1, 1997; Acts 2003, 78th Leg., ch. 615, § 5, eff. June 20, 2003; Acts 2003, 78th Leg., ch. 940, § 3, eff. June 20, 2003; Acts 2003, 78th Leg., ch. 1319, § 3, eff. June 18, 2003. § 61.058. NEW CONSTRUCTION AND REPAIR AND REHABILITATION PROJECTS. (a) Except as provided by Subsection (b) of this section, the board shall approve or disapprove all new construction and repair and rehabilitation of all buildings and facilities at institutions of higher education financed from any source provided that: (A) the board's consideration and determination shall be limited to the purpose for which the new or remodeled buildings are to be used to assure conformity with approved space utilization standards and the institution's approved programs and role and mission if the cost of the project is not more than $2,000,000, but the board may consider cost factors and the financial implications of the project to the state if the total cost is in excess of $2,000,000; (B) the requirement of approval for new construction applies only to projects the total cost of which is in excess of $1,000,000; (C) the requirement of approval for major repair and rehabilitation of buildings and facilities applies only to a project the total cost of which is more than $2,000,000; (D) the requirement of approval or disapproval by the board does not apply to any new construction or major repair and rehabilitation project that is specifically approved by the legislature; (E) the requirement of approval by the board does not apply to a junior college's construction, repair, or rehabilitation financed entirely with funds from a source other than the state, including funds from ad valorem tax receipts of the college, gifts, grants, and donations to the college, and student fees; and (F) the requirement of approval by the board does not apply to construction, repair, or rehabilitation of privately owned buildings and facilities located on land leased from an institution of higher education if the construction, repair, or rehabilitation is financed entirely from funds not under the control of the institution, and provided further that: (i) the buildings and facilities are to be used exclusively for auxiliary enterprises; and (ii) the buildings and facilities will not require appropriations from the legislature for operation, maintenance, or repair unless approval by the board has been obtained. (b) This section does not apply to construction, repair, or rehabilitation financed by bonds issued under Section 55.17(e)(3) or (4), 55.1713-55.1718, 55.1721-55.1728, 55.174, 55.1742, 55.1743, or 55.1744 except that the board shall review all construction, repair, or rehabilitation to be financed by bonds issued under those sections to determine whether the construction, rehabilitation, or repair meets the standards adopted by board rule for cost, efficiency, and space use. If the construction, rehabilitation, or repair does not meet those standards, the board shall notify the governor, the lieutenant governor, the speaker of the house of representatives, and the Legislative Budget Board. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1975, 64th Leg., p. 2056, ch. 676, § 3, eff. June 20, 1975; Acts 1977, 65th Leg., p. 1133, ch. 425, § 1, eff. Aug. 29, 1977; Acts 1983, 68th Leg., p. 585, ch. 121, § 1, eff. Sept. 1, 1983; Acts 1983, 68th Leg., p. 1694, ch. 319, § 1, eff. June 16, 1983; Acts 1985, 69th Leg., ch. 646, § 3, eff. Aug. 26, 1985; Acts 1987, 70th Leg., ch. 982, § 1, eff. June 19, 1987; Acts 1989, 71st Leg., ch. 1084, § 1.16, eff. Sept. 1, 1989; Acts 1993, 73rd Leg., ch. 803, § 6, eff. Sept. 1, 1993; Acts 1997, 75th Leg., ch. 748, § 5, eff. Sept. 1, 1997; Acts 1999, 76th Leg., ch. 229, § 1, eff. May 24, 1999; Acts 2003, 78th Leg., ch. 615, § 6, eff. June 20, 2003; Acts 2003, 78th Leg., ch. 940, § 4, eff. June 20, 2003; Acts 2003, 78th Leg., ch. 1319, § 4, eff. June 18, 2003. § 61.0581. POWERS UNAFFECTED BY CERTAIN CONSTITUTIONAL AMENDMENT. The powers of the board and the legislature, including the powers granted under Section 61.058 of this code, are not limited by the constitutional amendments proposed by H.J.R. No. 19, 68th Legislature, Regular Session, 1983, and adopted by the voters except to the extent those powers are specifically limited by those constitutional provisions. Added by Acts 1985, 69th Leg., ch. 225, § 2, eff. June 3, 1985. Renumbered from V.T.C.A., Education Code § 61.075 by Acts 1987, 70th Leg., ch. 167, § 5.01(a)(19) eff. Sept. 1, 1987. § 61.0582. CAMPUS MASTER PLAN; DEFERRED MAINTENANCE. (a) Each public technical institute, public senior college or university, medical or dental unit, or other agency of higher education required to submit a campus master plan under Section 61.0572 of this code shall include in the campus master plan: (1) an assessment of the institution's deferred maintenance needs, including regular, preventive maintenance needs; (2) a plan to address the institution's deferred maintenance needs; (3) the amount the institution plans to designate each year for repairs, rehabilitations, and deferred maintenance projects; and (4) the funding source for any new construction project that costs more than $300,000 or repair and rehabilitation project that costs more than $600,000. (b) Under Subsection (a)(4) of this section, an institution shall report to the board any change in the funding source of a project before the project begins. (c) An institution that receives dedicated funding under Article VII, Section 17 or 18, of the Texas Constitution shall include in the campus master plan a description of the projects on which the institution plans to spend those funds. (d) The board by rule shall specify the information concerning deferred maintenance that an institution must report in the campus master plan. (e) The board shall use the information reported in the plan to assess the deferred maintenance needs of those institutions and include its findings in the board's annual report. Added by Acts 1989, 71st Leg., ch. 1084, § 1.17, eff. Sept. 1, 1989. § 61.0583. AUDIT OF FACILITIES. (a) The board periodically shall conduct a comprehensive audit of all educational and general facilities on the campuses of public senior colleges and universities and the Texas State Technical College System to verify the accuracy of the facilities inventory for each of those institutions. (b) The board shall verify the accuracy of the square footage reported in each institution's budget request in relation to the facilities inventory. (c) The audit must include a periodic review of construction projects to confirm that: (1) a project has received prior approval by the board if required by Section 61.058 of this code; and (2) an approved project is completed as specified in the request to the board for approval of the project. (d) The board shall report its findings concerning the audits conducted under this section to the Legislative Budget Board and the audited institutions. Added by Acts 1989, 71st Leg., ch. 1084, § 1.18, eff. Sept. 1, 1989. Amended by Acts 1991, 72nd Leg., ch. 287, § 28, eff. Sept. 1, 1991. § 61.059. APPROPRIATIONS. (a) To finance a system of higher education and to secure an equitable distribution of state funds deemed to be available for higher education, the board shall perform the functions described in this section. Funding policies shall: (1) allocate resources efficiently and provide incentives for programs of superior quality and for institutional diversity; (2) provide incentives for supporting the five-year master plan developed and revised under Section 61.051; and (3) discourage unnecessary duplication of course offerings between institutions and unnecessary construction on any campus. (b) The board shall devise, establish, and periodically review and revise formulas for the use of the governor and the Legislative Budget Board in making appropriations recommendations to the legislature for all institutions of higher education, including the funding of postsecondary vocational-technical programs. As a specific element of the periodic review, the board shall study and recommend changes in the funding formulas based on the role and mission statements of institutions of higher education. In carrying out its duties under this section, the board shall employ an ongoing process of committee review and expert testimony and analysis. (c) Formulas for basic funding shall reflect the role and mission of each institution, shall emphasize funding elements that directly support faculty, and shall reflect both fixed and variable elements of cost. (d) Not later than June 1 of every even-numbered calendar year, the board shall notify the governing boards and the chief administrative officers of the respective institutions of higher education and university systems, the governor, and the Legislative Budget Board of the formulas designated by the board to be used by the institutions in making appropriation requests for the next succeeding biennium and shall certify to the governor and the Legislative Budget Board that each institution has prepared its appropriation request in accordance with the designated formulas and in accordance with the uniform system of reporting provided in this chapter. The board shall furnish any other assistance to the governor and the Legislative Budget Board in the development of appropriations recommendations as either or both of them may request. However, nothing in this chapter shall prevent or prohibit the governor, the Legislative Budget Board, the board, or the governing board of any institution of higher education from requesting or recommending deviations from any applicable formula or formulas prescribed by the board and advancing reasons and arguments in support of them. (e) The board shall present to the governor and to each legislature a comprehensive summary and analysis of institutional appropriation requests, and for that purpose each institution's request must be submitted to the board at the same time at which the request is submitted to the Legislative Budget Board. Nothing in this subsection shall be construed as supplanting the duty, responsibility, and authority of an institution of higher education or the governing board thereof to express its appropriative needs directly to the legislature or any committee thereof. (f) The board shall recommend to the governor and the Legislative Budget Board supplemental contingent appropriations to provide for increases in enrollment at the institutions of higher education. Contingent appropriations may be made directly to the institutions or to the board, as the legislature may direct in each biennial appropriations act. In the event the contingent appropriation is made to the board, the funds shall be allocated and distributed by the board to the institutions as it may determine, subject only to such limitations or conditions as the legislature may prescribe. (g) The board shall recommend to the institutions, the governor, and the Legislative Budget Board tuition policies for public technical institutes, public junior colleges, public senior colleges and universities, medical and dental units, and other agencies of higher education and vocational and technical programs receiving support from state funds. (h) The board shall distribute funds appropriated to the board for allocation for specified purposes under limitations prescribed by law and the rules and regulations of the board in conformity therewith, provided that no distribution or allocation may be made to any institution of higher education which has failed or refused to comply with any order of the board as long as that failure or refusal continues. (i) The board shall make continuing studies on its own initiative, on the request of the governor or the Legislative Budget Board, and as otherwise provided by Subsection (i-1) of the financial needs of public higher education and all services and activities of the institutions of higher education and issue reports to the governor and the Legislative Budget Board that result from its studies. (i-1) Not later than January 1 of each odd-numbered year, the board shall make and submit to the legislature findings and recommendations regarding the degree to which the current higher education funding system, including formula funding and any other transfers of legislative appropriations to institutions of higher education, supports the implementation of the five-year master plan developed and revised under Section 61.051. The board may include its findings and recommendations in the biennial report submitted to the legislature under Section 61.051. In its findings, the board must: (1) identify funding incentives that would encourage implementation of the five-year master plan by institutions of higher education; and (2) assess the accountability of institutions of higher education with respect to legislative appropriations to evaluate institutional allocation of financial resources in accordance with the five-year master plan. (j) Funds appropriated to the coordinating board for vocational-technical education may be transferred by interagency contract between the two boards as required to carry out an effective and efficient transition of the administration of postsecondary vocational-technical education. (k) The legislature shall promote flexibility in the use of funds appropriated to institutions of higher education by: (1) appropriating base funding as a single amount that is unrestricted to use among the various funding elements of the formula used to determine base funding; and (2) appropriating to institutions the unexpended balance of appropriations made for the preceding fiscal year. (l)(1) Except as provided by Subdivision (2), the board may not include in any formula under this section funding based on the number of doctoral students who have a total of 100 or more semester credit hours of doctoral work at an institution of higher education. (2) Notwithstanding Subdivision (1), the board may approve formula funding for semester credit hours in excess of 100, not to exceed 130 total semester credit hours, for a doctoral student if the institution: (A) provides the board with substantial evidence that the particular field of study in which the student is enrolled requires a higher number of semester credit hours to maintain nationally competitive standards; (B) provides the board with evidence that the student's program or research is likely to provide substantial benefit to medical or scientific advancement and that the program or research requires the additional semester credit hours; or (C) provides the board with other compelling academic reasons that support the finding of an exception. (3) The board shall report to the Legislative Budget Board, as part of its report on formula funding recommendations, a listing of the exceptions approved under Subdivision (2) and the associated costs in formula-based funding. (m) For an institution that charges a reduced nonresident tuition rate under Section 54.0601, the board may not include in a formula under this section funding based on the number of nonresident students enrolled at the institution in excess of 10 percent of the total number of students enrolled at the institution. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1985, 69th Leg., ch. 646, § 4, eff. Aug. 26, 1985; Acts 1987, 70th Leg., ch. 823, § 3.01, eff. June 20, 1987; Acts 1989, 71st Leg., ch. 1084, § 1.19, eff. Sept. 1, 1989; Acts 1993, 73rd Leg., ch. 27, § 4, eff. April 13, 1993; Acts 1995, 74th Leg., ch. 451, § 7, eff. Aug. 28, 1995; Acts 1997, 75th Leg., ch. 231, § 1, eff. Sept. 1, 1997; Acts 1997, 75th Leg., ch. 690, § 2, eff. Sept. 1, 1997; Acts 2003, 78th Leg., ch. 820, § 13, eff. Sept. 1, 2003. § 61.0591. INCENTIVE AND SPECIAL INITIATIVE FUNDING. (a) The legislature shall appropriate to the board an amount equal to not less than 10 percent of the total appropriations for base funding of general academic teaching institutions for the purpose of providing incentive and special initiative funding under this section. (b) The board shall allocate the funds in accordance with this section and priorities, if any, established by the legislature through bill, resolution, or appropriations rider. (c) The board shall allocate incentive funding, as a percentage of base funding, among institutions of higher education for the purpose of rewarding institutions achieving goals set by the board in relation to: (1) minority recruitment, retention, and academic standards maintenance; (2) graduation rates and maintenance of academic standards; (3) commitment to liberal arts core curriculum; (4) commitment to continuing education; (5) energy conservation and water conservation, rainwater harvesting, and water reuse; (6) improvements toward maximum utilization of campus facilities; (7) commitment to renovation and maintenance of facilities; (8) development of articulation arrangements; (9) proportion of accredited academic programs; (10) assessed performance of graduates as a measure of general education outcome, including assessments based on standardized examination performance; (11) assessed performance of graduates as a measure of specialized education outcome, including assessments based on professional licensing examination performance; (12) evaluation of instructional programs through surveys of students, graduates, the general public, and employers; (13) continuing and systematic peer evaluation of academic and research programs by scholars from other institutions; (14) progress toward or attainment of long-range planning goals; and (15) compliance with the management policies required by Section 61.0651 of this code. (d) The board shall allocate special initiative funding among institutions of higher education to promote academic excellence. Initiative funding may be allocated to the eminent scholars program under Subchapter I, Chapter 51, of this code, or to programs established by the board to: (1) promote teaching excellence by recognizing and rewarding outstanding teachers; (2) provide enrichment grants to the best undergraduate programs; or (3) provide development grants to institutions seeking to develop undergraduate and graduate programs in areas identified as a high priority. Added by Acts 1987, 70th Leg., ch. 823, § 3.02, eff. June 20, 1987. Amended by Acts 2001, 77th Leg., ch. 330, § 2, eff. Sept. 1, 2001. § 61.0594. COORDINATED FUNDING OF GRADUATE MEDICAL EDUCATION. (a) The board shall administer a program to support graduate medical education programs in this state consistent with the needs of this state for graduate medical education and the training of resident physicians in accredited residency programs in appropriate fields and specialties, including primary care specialties described by Section 58.008(a). (b) From money available to the program, the board may make grants or formula distributions to: (1) support appropriate graduate medical education programs and activities for which adequate funds are not otherwise available; or (2) foster new or expanded graduate medical education programs or activities that the board determines will address the state's needs for graduate medical education. (c) To be eligible to receive a grant or distribution under this section, an institution or other entity must incur the costs of faculty supervision and education or the stipend costs of resident physicians in accredited clinical residency programs in this state. In making grants and distributions under this section, the board shall give consideration to the costs incurred by medical schools or other entities to support faculty responsible for the education or supervision of resident physicians in accredited graduate medical education programs, including programs in osteopathic medical education. (d) The program is funded by appropriations, by gifts, grants, and donations made to support the program, and by any other funds the board obtains, including federal funds, for the program. From program funds, the comptroller of public accounts shall issue warrants to each institution or other entity determined by the board as eligible to receive a grant or distribution from the program in the amount certified by the board. An amount granted to an institution or other entity under the program may be used only to cover expenses of training residents of the particular program or activity for which the award is made in accordance with any conditions imposed by the board and may not otherwise be expended for the general support of the institution or entity. (e) The board shall appoint an advisory committee to advise the board regarding the development and administration of the program, including considering requests for program grants and establishing formulas for distribution of money under the program. The advisory committee shall consist of: (1) the executive director of the Texas State Board of Medical Examiners or the executive director's designee; (2) the chair of the Family Practice Residency Advisory Committee or the chair's designee; (3) the chair of the Primary Care Residency Advisory Committee or the chair's designee; (4) the commissioner of the Health and Human Services Commission or the commissioner's designee; and (5) the following members appointed by the board: (A) one representative of a teaching hospital affiliated with a Texas medical school; (B) one representative of a teaching hospital not affiliated with a Texas medical school; (C) three representatives of medical schools, at least one representing a medical school in The University of Texas System, and at least one representing a medical school not in The University of Texas System; (D) two physicians active in private practice, one of whom must be a generalist; (E) one doctor of osteopathic medicine active in private practice; (F) one representative of an entity providing managed health care; (G) three clinical faculty members, at least one of whom must be a generalist; (H) one resident physician, who is a nonvoting member; and (I) one medical student, who is a nonvoting member. (f) The appointed advisory committee members serve staggered three-year terms. The board shall make the initial committee appointments to terms of one, two, and three years as necessary so that one-third of the appointed members' terms expire each year, as nearly as practicable. The committee shall elect one of its members as presiding officer for a term of one year. The committee shall meet at least once each year at the times requested by the board or set by the presiding officer of the committee. A member of the advisory committee may not be compensated for service on the committee but is entitled to be reimbursed by the board for actual expenses incurred in the performance of the member's duties as a committee member. (g) The advisory committee shall: (1) review applications for funding of graduate medical education programs under this section and make recommendations for approval or disapproval of those applications; (2) make recommendations relating to the standards and criteria used for consideration and approval of grants or for the development of formulas for distribution of funding under this section; (3) recommend to the board an allocation of funds among medical schools, teaching hospitals, and other entities that may receive funds under this section; and (4) perform other duties assigned by the board. Added by Acts 1997, 75th Leg., ch. 252, § 2, eff. Sept. 1, 1997. § 61.0595. FUNDING FOR CERTAIN EXCESS UNDERGRADUATE CREDIT HOURS. (a) In the formulas established under Section 61.059, the board may not include funding for semester credit hours earned by a resident undergraduate student who before the semester or other academic session begins has previously attempted a number of semester credit hours for courses taken at any institution of higher education while classified as a resident student for tuition purposes that exceeds by at least 30 hours the number of semester credit hours required for completion of the degree program or programs in which the student is enrolled, including minors and double majors, and for completion of any certificate or other special program in which the student is also enrolled, including a program with a study-abroad component. (b) For purposes of Subsection (a), an undergraduate student who is not enrolled in a degree program is considered to be enrolled in a degree program requiring a minimum of 120 semester credit hours. (c) For a student enrolled in a baccalaureate program under Section 51.931, semester credit hours earned by the student 10 or more years before the date the student begins the new degree program under Section 51.931 are not counted for purposes of determining whether the student has previously earned the number of semester credit hours specified by Subsection (a). (d) The following are not counted for purposes of determining whether the student has previously earned the number of semester credit hours specified by Subsection (a): (1) semester credit hours earned by the student before receiving a baccalaureate degree that has previously been awarded to the student; (2) semester credit hours earned by the student by examination or under any other procedure by which credit is earned without registering for a course for which tuition is charged; (3) credit for a remedial education course, a technical course, a workforce education course funded according to contact hours, or another course that does not count toward a degree program at the institution; and (4) semester credit hours earned by the student at a private institution or an out-of-state institution. (e) Subsection (a) applies only to funding for semester credit hours earned by a student who initially enrolled as an undergraduate student in any institution of higher education during or after the 1999 fall semester, except that with respect to semester credit hours earned by a student who initially enrolls as an undergraduate student in any institution of higher education before the 2006 fall semester, the board may not reduce funding under this section until the number of semester credit hours previously attempted by the student as described by this section exceeds the number of semester credit hours required for the student's degree program by at least 45 hours. (f) In the formulas established under Section 61.059, the board shall include without consideration of Subsection (a) funding for semester credit hours earned by a student who initially enrolled as an undergraduate student in any institution of higher education before the 1999 fall semester. (g) To the extent practicable, the savings to the state resulting from the exclusion of funding for excess undergraduate semester credit hours from the funding formulas of the board as required by this section shall be used to finance the Toward EXcellence, Access, & Success (TEXAS) grant program under Subchapter M, Chapter 56. Added by Acts 1997, 75th Leg., ch. 1073, § 1.07, eff. Aug. 1, 1997. Amended by Acts 1999, 76th Leg., ch. 6, § 1, eff. April 8, 1999; Acts 2005, 79th Leg., ch. 1230, § 13, eff. June 18, 2005. § 61.060. CONTROL OF PUBLIC JUNIOR COLLEGES. The board shall exercise, under the acts of the legislature, general control of the public junior colleges of this state, on and after September 1, 1965. All authority not vested by this chapter or other laws of the state in the board is reserved and retained locally in each respective public junior college district or the governing board of each public junior college as provided in the applicable laws. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.061. POLICIES, RULES, AND REGULATIONS RESPECTING JUNIOR COLLEGES. The board has the responsibility for adopting policies, enacting regulations, and establishing general rules necessary for carrying out the duties with respect to public junior colleges placed upon it by the legislature. The commissioner of higher education is responsible for carrying out these policies and enforcing these rules and regulations. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.062. POWERS RESPECTING JUNIOR COLLEGES. (a) The board may authorize the creation of public junior college districts as provided in the applicable laws. In the exercise of this authority the board shall give particular attention to the need for a public junior college in the proposed district, and the ability of the district to provide adequate local financial support. (b) The board may dissolve any public junior college district which has failed to establish and maintain a junior college in the district within three years from the date of its authorization. (c) The board may adopt standards for the operation of public junior colleges and prescribe rules and regulations for them. (d) The board may require of each public junior college whatever reports it deems necessary in accordance with its rules and regulations. (e) The board may establish advisory commissions composed of representatives of public junior colleges and other citizens of the state to provide advice and counsel to the board with respect to public junior colleges. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.063. LISTING AND CERTIFICATION OF JUNIOR COLLEGES. The commissioner of higher education shall file with the state auditor and the state comptroller on or before October 1 of each year a list of the public junior colleges in this state. The commissioner shall certify the names of those colleges that have complied with the standards, rules, and regulations prescribed by the board. Only those colleges which are so certified shall be eligible for and may receive any appropriation made by the legislature to public junior colleges. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.0631. TEACHER TRAINING PROGRAMS FOR TEACHERS OF DISADVANTAGED STUDENTS. (a) The board shall plan, initiate, and finance programs of teacher training for the teaching of educationally, economically, socially, and culturally disadvantaged students in the public junior colleges, to be provided at selected institutions in the state which prepare people to teach in the public junior colleges. (b) The board shall sponsor and finance: (1) summer institutes for junior college teachers on how to teach the disadvantaged student; and (2) regional in-service training workshops in different parts of the state for those teachers currently teaching remedial-compensatory courses and programs for disadvantaged students. (c) The board shall serve as a central clearinghouse of information on remedial-compensatory education courses and programs for all public junior colleges in order to provide a statewide coordinated effort in the development of these courses and programs. (d) The legislature shall appropriate funds to implement the provisions of this section. Added by Acts 1973, 63rd Leg., p. 1738, ch. 630, § 1, eff. June 16, 1973. § 61.064. COOPERATIVE UNDERTAKINGS WITH PRIVATE COLLEGES AND UNIVERSITIES. The board shall: (1) enlist the cooperation of private colleges and universities in developing a statewide plan for the orderly growth of the Texas system of higher education; (2) encourage cooperation between public and private institutions of higher education wherever possible and may enter into cooperative undertakings with those institutions on a shared-cost basis as permitted by law; (3) consider the availability of degree and certificate programs in private institutions of higher education in determining programs for public institutions of higher education; and (4) cooperate with these private institutions, within statutory and constitutional limitations, to achieve the purposes of this chapter. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.065. REPORTING; ACCOUNTING. (a) The comptroller of public accounts and the board jointly shall prescribe and periodically update a uniform system of financial accounting and reporting for institutions of higher education, including definitions of the elements of cost on the basis of which appropriations shall be made and financial records shall be maintained. The board may require institutions to report additional financial information as the board considers necessary. In order that the uniform system of financial accounting and reporting shall provide for maximum consistency with the national reporting system for higher education, the uniform system shall incorporate insofar as possible the provisions of the financial accounting and reporting manual published by the National Association of College and University Business Officers. The accounts of the institutions shall be maintained and audited in accordance with the approved reporting system. (b) The coordinating board shall annually evaluate the informational requirements of the state for purposes of simplifying institutional reports of every kind and shall consult with the comptroller of public accounts in relation to appropriate changes in the uniform system of financial accounting and reporting. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1987, 70th Leg., ch. 823, § 4.02, eff. June 20, 1987; Acts 1991, 72nd Leg., ch. 599, § 4, eff. Sept. 1, 1991; Acts 2003, 78th Leg., ch. 820, § 14, eff. Sept. 1, 2003. § 61.0651. MANAGEMENT POLICIES. (a) The coordinating board shall adopt and recommend management policies applicable to institutions of higher education in relation to management of human resources and physical plants. The policies shall be designed to streamline operations and improve accountability. (b) The human resources management policies shall be designed to increase productivity. The policies may relate to any human resources management issue, including: (1) the improvement of health benefits for institutional employees through statewide group health benefit programs; (2) the creation of a management training system to assist institutions in developing personnel management systems, in complying with equal employment opportunity and affirmative action requirements, and in maintaining personnel records; (3) the requirement of five-year plans to manage personnel overhead, to establish position control systems for administrative personnel, and to implement productivity improvement programs; and (4) the development of institutional plans to identify, recruit, and develop outstanding administrators of institutions of higher education. (c) The physical plant management policies shall be designed to maintain the state's investment in land and facilities. The policies may require institutions to: (1) include estimated maintenance costs for the life of the building in any request for approval of new construction; (2) end the practice of deferring building maintenance; (3) achieve maximum utilization of classroom and laboratory facilities; (4) prepare annual five-year plans for major repair and rehabilitation projects and for new construction, regardless of funding source; and (5) implement policies and practices to reduce utility costs. Added by Acts 1987, 70th Leg., ch. 823, § 4.01, eff. June 20, 1987. § 61.066. STUDIES AND RECOMMENDATIONS; REPORTS. (a) The board shall make studies and recommendations directed toward the achievement of excellence or toward improved effectiveness and efficiency in any phase of higher education in Texas and shall report on their studies and recommendations to the governor and the legislature. The officials of the institutions of higher education shall comply with requests for reports or information made by the board or the commissioner. To assure that the institutions of higher education timely file various reports with the appropriate agencies, the board shall receive and distribute the reports required by statute to be filed with the governor, the Legislative Budget Board, the state auditor, the state library, and any other state agency. (b) The board shall prepare biennial reports with reference to new programs in higher education as well as restructuring existing programs to meet the changing needs of the populace of the state. This will include but will not be limited to projected student enrollments at the various institutions, the areas of study which they will enter, and the projected demand for the various professional activities. In addition, the board shall make specific recommendations regarding the physical needs at each campus with the physical, mental, and educational needs of the student population in mind. In order to insure adequate time available for study of the reports, they shall be distributed to the appropriate offices as required by statute no later than the end of the fiscal year prior to the convening of the legislature. (c) The board shall conduct a biennial study to determine the total cost of attending each institution of higher education and the resources used by students to cover that cost, including the amounts of money received by students at each institution from the major sources of public and private financial aid, including grants, loans, scholarships, gifts, and work-study programs. In conducting the study, the board shall solicit information and comments from the financial aid office at each institution of higher education. Not later than November 1 of each even-numbered year, the board shall report the findings of the study to each legislative standing committee and subcommittee with primary jurisdiction over higher education. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1975, 64th Leg., p. 252, ch. 101, § 1, eff. Sept. 1, 1975; Acts 2003, 78th Leg., ch. 820, § 15, eff. Sept. 1, 2003; Acts 2005, 79th Leg., ch. 1181, § 47, eff. Sept. 1, 2005. § 61.067. CONTRACTS. In achieving the goals outlined in this chapter and in performing the functions assigned to it, the board may contract with any other state governmental agency as authorized by law, with any agency of the United States, and with corporations and individuals. The board shall propose, foster, and encourage the use of interagency contracts among the institutions of higher education to reduce duplication and achieve better use of personnel and facilities. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.068. GIFTS, GRANTS, DONATIONS. The board may accept gifts, grants, or donations of personal property from any individual, group, association, or corporation, or the United States, subject to such limitations or conditions as may be provided by law. Gifts, grants, or donations of money shall be deposited in the state treasury and expended in accordance with the specific purpose for which given, under such conditions as may be imposed by the donor and as provided by law. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. § 61.069. BOARD REPORT. (a) The board shall file annually with the governor and the presiding officer of each house of the legislature a complete and detailed written report accounting for all funds received and disbursed by the board during the preceding fiscal year. (b) The annual report must be in the form and reported in the time provided by the General Appropriations Act. Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, § 1, eff. Sept. 1, 1971. Amended by Acts 1989, 71st Leg., ch. 1084, § 1.20, eff. Sept. 1, 1989. § 61.070. PILOT PROJECT TO AWARD INCENTIVES TO STUDENTS CONTRACTING TO GRADUATE IN A TIMELY MANNER.Text of section effective until August 31, 2014 (a) The board shall establish a pilot project under which each institution of higher education participating in the project awards incentives to students who contract to graduate from the institution in a timely manner and fulfill all other terms of the contract. The board shall select institutions of higher education to participate in the pilot project from among institutions that apply to participate in the manner prescribed by board rule. An institution of higher education may apply to participate on behalf of a specific degree program, department, college, or school of the institution. (b) On written request of an undergraduate student, the governing board of an institution of higher education participating in the pilot project shall enter into a contract with the student to award the student an incentive authorized under board rule if the student satisfies the requirement of timely graduation and other requirements established by the institution under the contract. A student is not required to enter into a contract under this section. (c) A student may not request an institution of higher education to enter into a contract under this section after the end of the student's first academic year at the institution. Each institution participating in the pilot project that offers an undergraduate degree program shall notify each entering undergraduate student of the provisions of this section not later than the sixth week of the student's first semester or term. (d) Each contract under this section: (1) must require a student entering into the contract to: (A) earn at least 30 required or elective credit hours each academic year; (B) maintain good academic standing as prescribed in the contract; (C) in consultation with the student's academic advisor, select a degree program not later than the end of the student's first academic year at the institution, in the case of a student enrolled in a general academic teaching institution; and (D) earn, as prescribed by the institution in the contract, additional credit hours during one or more regular semesters or summer sessions if the student's degree program requires more than 120 credit hours for a bachelor's degree or more than 60 credit hours for an associate degree; and (2) may require a student entering into the contract to enroll in any specified courses or types of courses prescribed by the degree program selected as specified in Subdivision (1)(C). (e) In addition to the provisions required or authorized under Subsection (d), the institution of higher education offering a contract under this section or the board may provide for any other reasonable provision to be included in a contract under this section. (f) A student who has entered into and satisfies the requirements of a contract under this section and who submits an application that is approved as described by Subsection (i) is entitled to an incentive under this section. (g) If a contract under this section includes the provision described by Subsection (d)(2), the contract must require the institution of higher education to select one of the following actions to take if a course required for the student's degree program is unavailable to the student in the sequence required by the degree program selected as specified in Subsection (d)(1)(C): (1) permanently waive the student's required enrollment in that course; (2) allow the student at that time to satisfy the course requirement by selecting for the student and substituting: (A) a different course that the student is eligible to take and that is available to the student; or (B) an independent study assignment; or (3) provide for the payment of the student's designated tuition and required fees for the course at the institution. (h) An institution of higher education required to select an option under Subsection (g) may select an option under Subsection (g)(1) or (2) only if the institution determines that such a selection will not negatively affect the quality of the student's degree program or result in the institution's noncompliance with applicable accreditation standards. (i) A student who enters into a contract under this section must apply for an incentive under Subsection (f) in the manner provided by the governing board of the institution of higher education awarding the incentive. The governing board shall require an applicant for an incentive to submit satisfactory evidence that the applicant is entitled to the incentive. (j) An institution of higher education may not contract under this section with a student who transfers to the institution from another public or private institution of higher education. A student's transfer from one institution of higher education to another voids a contract entered into by the student under this section with the prior institution. (k) This section does not apply to a student seeking a certificate at a public junior college. (l) In consultation with institutions of higher education, the board shall adopt rules consistent with this section as necessary to implement this section, including rules establishing the manner in which an institution of higher education must apply to participate in the pilot project, rules concerning the types of incentives that an institution may award under this section, and rules allowing an otherwise qualified student to receive an incentive under this section if the student is unable to satisfy a requirement for the incentive solely as a result of a hardship or other good cause. In adopting rules concerning the types of incentives that may be awarded, the board shall authorize incentives such as free membership in an institution's alumni organization or free tickets to one or more athletic events. (m) Not later than December 31, 2007, and not later than December 31 of each year after 2007, the board shall submit a report to the legislature on the level of participation in the pilot project under this section and on the effectiveness of project contracts in encouraging students to graduate from institutions of higher education in a timely manner. (n) A student may not enter into a contract under this section after the end of the 2009-2010 academic year. This section expires August 31, 2014. Added by Acts 2005, 79th Leg., ch. 781, § 1, eff. June 17, 2005. § 61.072. REGULATION OF FOREIGN STUDENT TUITION. The board shall adopt rules and policies to be followed by the governing boards of institutions of higher education in fixing foreign student tuition fees pursuant to Subsections (h) and (i), Section 54.051, of this code. Added by Acts 1975, 64th Leg., p. 1359, ch. 515, § 3, eff. June 19, 1975. § 61.073. ALLOCATION OF FUNDS FOR TUITION AND FEE EXEMPTIONS. Funds shall be appropriated to the Texas Higher Education Coordinating Board for allocation to each junior and community college in an amount equal to the total of all tuition and laboratory fees foregone each semester as a result of the tuition and laboratory fee exemptions required by law in Sections 54.201 through 54.209, Texas Education Code. Added by Acts 1977, 65th Leg., p. 83, ch. 40, § 1, eff. Aug. 29, 1977. Amended by Acts 1995, 74th Leg., ch. 823, § 7, eff. Aug. 28, 1995. § 61.074. OFFICIAL GRADE POINT AVERAGE. The board shall by rule establish a mandatory uniform method of calculating the official grade point average of a student enrolled in, or seeking admission to a graduate or professional school of, an institution of higher education. Added by Acts 1977, 65th Leg., p. 1610, ch. 628, § 1, eff. Aug. 29, 1977. § 61.075. COURSES BENEFITTING MILITARY INSTALLATIONS. (a) The coordinating board by rule shall provide for the offering of courses and degree programs on military installations, including significant new naval military facilities. (b) Any institution of higher education may cooperate with a military installation in providing degree programs and courses of particular benefit to military personnel and civilian employees stationed at or employed by the military installation, including a significant new naval military facility. (c) In this section, "significant new naval military facility" has the meaning assigned by Section 4, Article 1, National Defense Impacted Region Assistance Act of 1985. Added by Acts 1985, 69th Leg., ch. 69, art. 5, § 1, eff. July 30, 1985. § 61.076. P-16 COUNCIL. (a) It is the policy of the State of Texas that the entire system of education supported with public funds be coordinated to provide the citizens with efficient, effective, and high quality educational services and activities. The P-16 Council, in conjunction with other agencies as may be appropriate, shall ensure that long-range plans and educational programs for the state complement the functioning of the entire system of public education, extending from early childhood education through postgraduate study. (b) The P-16 Council is composed of the commissioner of education, the commissioner of higher education, the executive director of the Texas Workforce Commission, the executive director of the State Board for Educator Certification, and the commissioner of assistive and rehabilitative services. The commissioner of higher education and the commissioner of education shall serve as co-chairs of the council. (c) The co-chairs may appoint three additional members who are education professionals, agency representatives, business representatives, or other members of the community. Members appointed to the council under this subsection serve two-year terms expiring February 1 of each odd-numbered year. (d) The council shall meet at least once each calendar quarter and may hold other meetings as necessary at the call of the co-chairs. Each member of the council or the member's designee shall make a report of the council's activities at least twice annually to the governing body of the member's agency, except that the commissioner of education or that commissioner's designee shall report to the State Board of Education and the commissioner of assistive and rehabilitative services or that commissioner's designee shall report to the executive commissioner of the Health and Human Services Commission. (e) The council shall coordinate plans and programs, including curricula, instructional programs, research, and other functions as appropriate. This coordination shall include the following areas: (1) equal educational opportunity for all Texans; (2) college recruitment, with special emphasis on the recruitment of minority students; (3) preparation of high school students for further study at colleges and universities; (4) reduction of the dropout rate and dropout prevention; (5) teacher education, recruitment, and retention; (6) testing and assessment; and (7) adult education programs. (f) The council shall examine and make recommendations regarding the alignment of secondary and postsecondary education curricula and testing and assessment. This subsection does not require the council to establish curriculum or testing or assessment standards. (g) The council shall advise the board and the State Board of Education on the coordination of postsecondary career and technology activities, career and technology teacher education programs offered or proposed to be offered in the colleges and universities of this state, and other relevant matters, including: (1) coordinating postsecondary career and technology education and the articulation between postsecondary career and technology education and secondary career and technology education; (2) facilitating the transfer of responsibilities for the administration of postsecondary career and technology education from the State Board of Education to the board in accordance with Section 111(a)(I) of the Carl D. Perkins Vocational Education Act (Pub. L. No. 98-524); (3) advising the State Board of Education, when it acts as the State Board for Career and Technology Education, on the following: (A) the transfer of federal funds to the board for allotment to eligible public postsecondary institutions of higher education; (B) the career and technology education funding for projects and institutions as determined by the board when the State Board for Career and Technology Education is required by federal law to endorse those determinations; (C) the development and updating of the state plan for career and technology education and the evaluation of programs, services, and activities of postsecondary career and technology education and amendments to the state plan for career and technology education as may relate to postsecondary education; (D) other matters related to postsecondary career and technology education; and (E) the coordination of curricula, instructional programs, research, and other functions as appropriate, including school-to-work and school-to-college transition programs and professional development activities; and (4) advising the Texas Workforce Investment Council on educational policy issues related to workforce preparation.Text of subsection effective until January 2, 2007 (h) On or before January 1, 2007, the P-16 Council shall: (1) review existing school district programs that provide high school students with the opportunity to enroll in advanced academic courses offered through dual credit and concurrent enrollment programs, including reviewing courses currently approved by districts and offered by institutions of higher education for dual and concurrent enrollment credit; (2) review the high school curriculum required for the recommended high school program under Section 28.025 and study the feasibility of offering a revised curriculum that would provide graduating high school students with at least 12 hours of advanced academic courses or college-level coursework offered through dual credit and concurrent enrollment programs provided under agreements between high schools and institutions of higher education; and (3) prepare and deliver a report based on the review and study to the governor, the lieutenant governor, the speaker of the house of representatives, and the presiding officer of the standing committee of each house of the legislature with primary jurisdiction over public education.Text of subsection effective until January 2, 2007 (i) Subsection (h) and this subsection expire January 2, 2007. Added by Acts 1989, 71st Leg., ch. 1084, § 1.21, eff. Sept. 1, 1989. Amended by Acts 2003, 78th Leg., ch. 820, § 16, eff. Sept. 1, 2003; Acts 2005, 79th Leg., ch. 1140, § 1, eff. Sept. 1, 2005. § 61.077. P-16 COUNCIL. (a) The P-16 Council shall advise the Texas Higher Education Coordinating Board and the State Board of Education in coordinating postsecondary career and technology activities, career and technology teacher education programs offered or proposed to be offered in the colleges and universities of this state, and other relevant matters, including those listed in Section 61.076. The council, in conjunction with the State Center for Early Childhood Development, shall also develop and adopt a school readiness certification system as required by Section 29.161. (b), (c) Repealed by Acts 2005, 79th Leg., ch. 1140, § 2(a). Added by Acts 1985, 69th Leg., ch. 646, § 5, eff. Aug. 26, 1985. Renumbered from V.T.C.A., Education Code § 61.075 by Acts 1987, 70th Leg., ch. 167, § 5.01(a)(19), eff. Sept. 1, 1987. Amended by Acts 1989, 71st Leg., ch. 531, § 10, eff. June 14, 1989; Acts 1993, 73rd Leg., ch. 668, § 7.02, eff. Sept. 1, 1993; Acts 1995, 74th Leg., ch. 260, § 20, eff. May 30, 1995; Acts 2003, 78th Leg., ch. 61, § 8, eff. Sept. 1, 2003; Acts 2003, 78th Leg., ch. 818, § 6.04, eff. Sept. 1, 2003; Acts 2003, 78th Leg., ch. 820, § 17, eff. Sept. 1, 2003; Acts 2005, 79th Leg., ch. 275, § 4, eff. Sept. 1, 2005; Acts 2005, 79th Leg., ch. 1140, § 2(a), eff. Sept. 1, 2005. § 61.0771. DISTANCE LEARNING MASTER PLAN. (a) The board, in cooperation with institutions of higher education, shall develop a master plan for the development of distance learning and other applications of instructional electronic technology by institutions of higher education and as necessary may revise the plan. The plan shall include recommendations for: (1) the coordination and integration of distance learning and related telecommunications activities among institutions of higher education and other public or private entities to achieve optimum efficiency and effectiveness in providing necessary services, including identification of the costs and any cost savings to be achieved by the use of distance learning and related activities such as teleconferencing or sharing resources by telecommunications; (2) the development and acquisition of distance learning infrastructure and equipment, including its functions and capabilities, within and among institutions of higher education consistent with the missions of those institutions and the recipients of their services; (3) the establishment of uniform or compatible standards and technologies for distance learning; (4) the training of faculty and staff in the use and operation of distance learning facilities; (5) appropriate applications of distance learning, including the identification of the needs of the student populations to be served; (6) policies relating to the funding for implementation and administering of distance learning, including interinstitutional funds transfers among institutions providing and receiving distance learning services and formula funding allocations, and recommendations for the appropriate fees for services offered through distance learning; (7) revising regulatory policy relating to public utilities to facili