Texas Administrative Code Title 19

Education: As effective August 6, 2010

Chapter 13

Subchapter A

§13.1: Definitions

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

(1) Auxiliary Enterprise--Activities providing a service to students, faculty, or staff for a fee directly related to, although not necessarily equal to, the cost of the service.

(2) Available University Fund (AUF)--A fund established in Article 7, §18, of the Texas Constitution to receive all interest and earnings of the Permanent University Fund and used to pay the debt service on PUF-backed bonds.

(3) Base Year--The semesters comprising the year of contact hours used for applying the formula funding distribution to the colleges and universities (usually the summer and fall of even years and the spring of odd years).

(4) Board or Coordinating Board--The Texas Higher Education Coordinating Board.

(5) Contact Hour--A time unit of instruction used by community, technical, and state colleges consisting of 60 minutes, of which 50 minutes must be direct instruction.

(6) Current Operating Funds--Unrestricted (appropriated) funds, designated funds, restricted funds, and auxiliary enterprise funds.

(7) Developmental Coursework--Non-degree-credit courses designed to address a student's deficiencies.

(8) Developmental Education--Courses, tutorials, laboratories, or other efforts to bring student skills in reading, writing, and mathematics to entering college level. English as a Second Language (ESL) courses may be considered developmental education, but only when they are used to bring student skill levels in reading or writing to entering college level. The term as used in this chapter does not include courses in study skills or thinking skills.

(9) Formula Funding--The method used to allocate appropriated sources of funds among institutions of higher education.

(10) Functional categories--Instruction, research, public service, academic support, student service, institutional support, operation and maintenance of plant, and hospital as defined by NACUBO.

(11) General Academic Teaching Institution--Any college, university, or institution so classified in Chapter 61, Texas Education Code, or created and so classified by law.

(12) General Revenue (GR)--State tax revenue

(13) Governmental Accounting Standards Board (GASB)--An entity created by the Financial Accounting Foundation to set accounting standards for governmental entities including public institutions of higher education.

(14) Higher Education Assistance Fund (HEAF)--A fund established in Article 7, §17, of the Texas Constitution to fund capital improvements and capital equipment for institutions not included in the Permanent University Fund.

(15) Independent institution of higher education--A private or independent college or university that is:

(A) organized under the Texas Non-Profit Corporation Act;

(B) exempt from taxation under Article V, §2, of the Texas Constitution and §501(c)(3) of the Internal Revenue Code; and

(C) accredited by the Commission on Colleges of the Southern Association of Colleges and Schools.

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

(17) Institutional Expenditures--All costs of activities separately organized and operated in connection with instructional departments primarily for the purpose of giving professional training to students as a necessary part of the educational work of the related departments.

(18) Institutional Funds--Fees, gifts, grants, contracts, and patient revenue, not appropriated by the legislature.

(19) Local Funds--Tuition, certain fees, and other educational general revenue appropriated by the legislature.

(20) National Association of College and University Business Officers (NACUBO)--Provides guidance in business operations of higher education institutions.

(21) Non-Degree-Credit Developmental Courses--Courses intended for remedial or compensatory education that bear only institutional credit and are not counted toward the total for a degree or certificate program.

(22) Permanent University Fund (PUF)--A fund established in Article 7, §11, of the Texas Constitution to fund capital improvements and capital equipment at certain institutions of higher education.

(23) Public Junior College, Public Technical Institute, Public State College, or Public Two-Year College--Any public junior college, public community college, public technical college, or public state college as defined in Texas Education Code, §61.003.

(24) Semester Credit Hour--A unit of measure of instruction consisting of 60 minutes, of which 50 minutes must be direct instruction, over a 15-week period in a semester system or a 10-week period in a quarter system.

Comments

Source Note: The provisions of this §13.1 adopted to be effective May 21, 2001, 26 TexReg 3625; amended to be effective May 23, 2004, 29 TexReg 5073; amended to be effective November 22, 2005, 30 TexReg 7727

Subchapter B

§13.20: Purpose

The purpose of this subchapter is to establish procedures for making formula funding recommendations to the Governor and the Legislature and to except from such funding certain semester credit hours or contact hours.

Comments

Source Note: The provisions of this §13.20 adopted to be effective May 21, 2001, 26 TexReg 3626; amended to be effective May 23, 2004, 29 TexReg 5074

§13.21: Authority

Texas Education Code, §61.059 directs the Texas Higher Education Coordinating Board to review and revise formulas for use of the Governor and the Legislative Budget Board in making appropriations recommendations. Texas Education Code, §51.307, authorizes the Board to implement the provisions of the Texas Success Initiative.

Comments

Source Note: The provisions of this §13.21 adopted to be effective May 21, 2001, 26 TexReg 3626; amended to be effective May 23, 2004, 29 TexReg 5074

§13.22: Community and Technical College Formulas

(a) Formula Advisory Committee.

(1) Not later than September 1 of each odd-numbered year, the Commissioner shall appoint an advisory committee to review the funding formulas used by the Governor and the Legislature for making appropriations to community and technical colleges.

(2) The formula advisory committee appointed by the Commissioner shall consist of senior administrators at Texas public community or technical colleges, members of the faculty, and members of the general public.

(3) The committee shall elect its own chair and vice chair.

(4) Meetings of the committee shall be open to the public. The committee shall publish minutes of all meetings, and the minutes shall be public documents.

(5) The committee shall identify funding incentives that would encourage implementation by community and technical colleges of the state's plan for higher education as specified in the Texas Education Code, §61.051(a-3).

(6) The committee shall provide an opportunity for institutions, the general public and other interested persons to provide testimony.

(7) The committee shall make its recommendations to the Commissioner no later than the February 1 of the year following its appointment.

(b) Report of Fundable Operating Expenses.

(1) The Board shall conduct a study of expenses at community colleges, Texas State Technical College, and Texas State University System two-year institutions each year.

(2) The study shall encompass all expenses made by these institutions for instruction and administration from all unrestricted sources of funds including appropriated general revenue, tuition and fees, contract instruction, other educational and general revenue, and, local tax revenue.

(3) Each college shall report total instructional expenses and contact hours for each instructional discipline included on a list provided by the Coordinating Board and total expenses for administration, including institutional support, student services, library, instructional administration, organized activities, instructional staff benefits and excluding physical plant employees.

(4) From this information, the Board shall calculate costs for each instructional discipline.

(c) Community and Technical College Formula Recommendation.

(1) At the quarterly meeting of the Coordinating Board in April of even-number years, the Commissioner shall recommend a funding formula for the next biennium for community and technical colleges. The Commissioner shall also report the recommendations of the formula advisory committee.

(2) In making recommendations, the Commissioner shall consider the results of the all funds expenditure study, the financial needs of affected institutions, funding provided for equivalent courses in general academic institutions and for peer institutions in other states, and other factors as appropriate.

(3) The Commissioner shall recommend a general revenue appropriation for instruction and administration for community colleges and the Texas State Technical College System and two-year colleges in the Texas State University System. The Legislative Budget Board staff converts the general revenue formula for Texas State Technical College System and two-year colleges in the Texas State University System into an all funds appropriation based on their estimated educational and general income.

(4) After adoption, the Commissioner shall transmit the Board's recommendations to the Governor, the Legislature, and the Legislative Budget Board no later than June 1 of each even-numbered year.

Comments

Source Note: The provisions of this §13.22 adopted to be effective May 21, 2001, 26 TexReg 3626; amended to be effective May 23, 2004, 29 TexReg 5074; amended to be effective February 18, 2008, 33 TexReg 1325; amended to be effective May 26, 2010, 35 TexReg 4153

§13.23: General Academic Institution Formulas

(a) Formula Advisory Committee.

(1) Not later than September 1 of each odd-numbered year, the Commissioner shall appoint an advisory committee to review the funding formulas used by the Governor and the Legislature for making appropriations to general academic institutions.

(2) The formula advisory committee appointed by the Commissioner shall consist of senior administrators at Texas general academic institutions, members of the faculty, and members of the general public.

(3) The committee shall elect its own chair and vice chair.

(4) Meetings of the committee shall be open to the public. The committee shall publish minutes of all meetings, and the minutes shall be public documents.

(5) The committee shall identify funding incentives that would encourage implementation by general academic institutions of the state's plan for higher education as specified in the Texas Education Code, §61.051(a-3).

(6) The committee shall provide an opportunity for institutions, the general public and other interested persons to provide testimony.

(7) The formula advisory committee may appoint two study committees, one for the instructional and operations formula and another for the infrastructure formula. The study committees may include members from the formula advisory committees and other institutional representatives as appropriate. The infrastructure study committee will include at least one representative from the Texas State Technical College System or the two-year colleges in the Texas State University System.

(8) The formula study committees shall make their recommendations to the formula advisory committee no later than the January 15 of the year following its appointment.

(9) The formula advisory committee shall make its recommendations to the Commissioner no later than the February 1 of the year following its appointment.

(b) General Academic Institution Formula Recommendation.

(1) At the quarterly meeting of the Coordinating Board in April of even-number years, the Commissioner shall recommend a funding formula for the next biennium for general academic institutions. The Commissioner shall also report the recommendations of the formula advisory committee.

(2) In making recommendations, the Commissioner shall consider the financial needs of affected institutions, funding levels at peer institutions in other states, and other factors as appropriate.

(3) The Commissioner shall recommend an all funds appropriation.

(4) After adoption, the Commissioner shall transmit the Board's recommendations to the Governor, the Legislature, and the Legislative Budget Board no later than June 1 of each even-numbered year.

Comments

Source Note: The provisions of this §13.23 adopted to be effective May 21, 2001, 26 TexReg 3626; amended to be effective May 23, 2004, 29 TexReg 5074

§13.24: Health-Related Institution Formulas

(a) Formula Advisory Committee.

(1) Not later than September 1 of each odd-numbered year, the Commissioner shall appoint an advisory committee to review the funding formulas used by the Governor and the Legislature for making appropriations to health-related institutions.

(2) The formula advisory committee appointed by the Commissioner shall consist of one representative of each public health-related institution.

(3) The committee shall elect its own chair and vice chair.

(4) Meetings of the committee shall be open to the public. The committee shall publish minutes of all meetings, and the minutes shall be public documents.

(5) The committee shall identify funding incentives that would encourage implementation by health-related institutions of the state's plan for higher education as specified in the Texas Education Code, §61.051(a-3).

(6) The committee shall provide an opportunity for institutions, the general public and other interested persons to provide testimony.

(7) The formula advisory committee may appoint two study committees, one for the instructional and operations formula and another for the infrastructure formula. The study committees may include members from the formula advisory committees and other institutional representatives as appropriate.

(8) The formula study committees shall make their recommendations to the formula advisory committee no later than the January 15 of the year following its appointment.

(9) The formula advisory committee shall make its recommendations to the Commissioner no later than the February 1 of the year following its appointment.

(b) Health-Related Institution Formula Recommendation.

(1) At the quarterly meeting of the Coordinating Board in April of even-number years, the Commissioner shall recommend a funding formula for the next biennium for health-related institutions. The Commissioner shall also report the recommendations of the formula advisory committee.

(2) In making recommendations, the Commissioner shall consider the financial needs of affected institutions, funding provided for equivalent courses in general academic institutions, funding levels at peer institutions in other states, and other factors as appropriate.

(3) The Commissioner shall recommend an all funds appropriation.

(4) After adoption, the Commissioner shall transmit the Board's recommendations to the Governor, the Legislature, and the Legislative Budget Board no later than June 1 of each even-numbered year.

Comments

Source Note: The provisions of this §13.24 adopted to be effective May 21, 2001, 26 TexReg 3626; amended to be effective May 23, 2004, 29 TexReg 5074

Subchapter C

§13.40: Purpose

Provide guidelines for uniform budget preparation, timeline for submission, and distribution of approved budgets.

Comments

Source Note: The provisions of this §13.40 adopted to be effective May 21, 2001, 26 TexReg 3626

§13.41: Authority

The Texas Education Code, §61.065 authorizes the board to evaluate the informational requirements of the state for purposes of simplifying reports.

Comments

Source Note: The provisions of this §13.41 adopted to be effective May 21, 2001, 26 TexReg 3626

§13.42: Budget Approval

(a) The governing board of each institution shall approve an itemized current operating budget on or before September 1 of each year.

(b) The governing boards of The University of Texas System and the Texas A&M University System shall approve Permanent University Fund (PUF) and Available University (AUF) budgets on or before September 1 of each year.

(c) The governing board of each institution eligible to receive HEAF appropriations shall approve a HEAF budget on or before September 1 of each year.

Comments

Source Note: The provisions of this §13.42 adopted to be effective May 21, 2001, 26 TexReg 3626

§13.43: Distribution of Budgets

Copies of the current operating funds, PUF/AUF, and HEAF budget shall be furnished to the Board (two copies), the Governor's Budget and Planning Office, Legislative Budget Board, and Legislative Reference Library by December 1 of each fiscal year. Copies shall be maintained in the institution's library.

Comments

Source Note: The provisions of this §13.43 adopted to be effective May 21, 2001, 26 TexReg 3626; amended to be effective May 23, 2004, 29 TexReg 5077

§13.44: Salaries and Emoluments

The community colleges' budgets shall include salaries and emoluments for faculty and staff listed by position.

Comments

Source Note: The provisions of this §13.44 adopted to be effective May 21, 2001, 26 TexReg 3626

§13.45: Format of Current Operating Funds Budgets

The operating budgets shall:

(1) include general revenue, local funds, and estimated institutional funds;

(2) include detail by department for current and prior year;

(3) include a summary by functional categories for current and prior year;

(4) include a summary of the instructional budget by college or school for the current and preceding year;

(5) include a summary by amount and method of finance for each listed informational item in the general appropriation act, and

(6) be prepared within the limits of revenue available.

Comments

Source Note: The provisions of this §13.45 adopted to be effective May 21, 2001, 26 TexReg 3626; amended to be effective May 23, 2004, 29 TexReg 5077

§13.46: Format for Permanent University Fund/Available University Fund (PUF/AUF) Budget

The PUF/AUF budget shall:

(1) include all projects approved for funding with PUF bonds by component institution and

(2) include all debt service payments on PUF-backed bonds by component institution.

Comments

Source Note: The provisions of this §13.46 adopted to be effective May 21, 2001, 26 TexReg 3626; amended to be effective May 23, 2004, 29 TexReg 5077

§13.47: Format for Higher Education Assistance Fund (HEAF) Budget

The HEAF budget shall:

(1) include all projects approved for funding with HEAF bonds by component institution,

(2) include all debt service payments on HEAF-backed bonds by component institution, and

(3) include all capital equipment and library books to be purchased during the fiscal year with HEAF funds.

Comments

Source Note: The provisions of this §13.47 adopted to be effective May 21, 2001, 26 TexReg 3626; amended to be effective May 23, 2004, 29 TexReg 5077

Subchapter D

§13.60: Purpose

The purpose of this subchapter is to ensure uniformity and a true and full accounting of all financial transactions for all institutions of higher education.

Comments

Source Note: The provisions of this §13.60 adopted to be effective May 21, 2001, 26 TexReg 3627

§13.61: Authority

The Texas Education Code, §61.065 authorizes the Texas Higher Education Coordinating Board and the Comptroller of Public Accounts to prescribe uniform financial reporting guidelines.

Comments

Source Note: The provisions of this §13.61 adopted to be effective May 21, 2001, 26 TexReg 3627

§13.62: Community Colleges

(a) The Coordinating Board staff shall annually review and update the financial reporting manual with advice from community college business officers and the college's independent auditors.

(b) The financial reporting manual shall be in compliance with the Governmental Accounting Standards Board's pronouncements.

(c) The community colleges shall submit their audited annual financial reports to the Coordinating Board by January 1st of each year.

Comments

Source Note: The provisions of this §13.62 adopted to be effective May 21, 2001, 26 TexReg 3627

§13.63: Additional Financial Information Reporting

(a) Each university system, general academic institution, technical or state college, and health-related institution shall provide to the Board financial data related to the operation of each system office and institution. This information should be reported in the Board's annual report of financial activity by fund group.

(b) Each community college shall continue to provide to the Board financial data related to the operation of each community/junior college reflecting restricted and non-restricted operating revenues and operating expenses as directed by the Board.

(c) Each system office and institution of higher education shall provide the report no later than January 1 of each year using the specific content and format prescribed by the Board.

Comments

Source Note: The provisions of this §13.63 adopted to be effective May 23, 2004, 29 TexReg 5078

§13.64: Available University Fund (AUF) Reporting

(a) The University of Texas System Board of Regents and the Texas A & M University System Board of Regents shall report the uses of the Available University Fund (AUF) for each system component and for system office operations for the two previous years, the current year, and two future years (projected), including:

(1) Debt service allocations, by component,

(2) Bond proceeds allocations, by component,

(3) Excellence allocations (by component), or system office, and their purposes,

(4) Available University Fund income, interest, beginning- and end-of-year balances; and

(5) The rationale used by the respective boards to distribute AUF funds.

(b) In addition, by December 1 of each year, authorized managers of permanent funds and endowments whose earnings are appropriated in the General Appropriation Act shall submit an annual financial report that shall include, at a minimum, an income statement and balance sheet and a summary of the investment return of the fund during the preceding fiscal year. The annual financial report shall also contain:

(1) A summary of all gains, losses, and income from investments and an itemized list of all securities held for the fund on August 31;

(2) Any other information necessary to indicate clearly the nature and extent of investments made of the fund and all income realized from the components of the fund.

(c) The annual financial report shall be distributed to the Governor, the Legislature, the Legislative Budget Board, and the Board by December 1 of each year.

Comments

Source Note: The provisions of this §13.64 adopted to be effective May 23, 2004, 29 TexReg 5078

Subchapter E

§13.80: Purpose

The purpose of this program is to provide tuition rebates that will provide a financial incentive for students to prepare for university studies while completing their high school work, avail themselves of academic counseling, make early career decisions, and complete their baccalaureate studies with as few courses outside the degree plan as possible. Minimizing the number of courses taken by students results in financial savings to students, parents, and the state.

Comments

Source Note: The provisions of this §13.80 adopted to be effective May 21, 2001, 26 TexReg 3627

§13.81: Authority

The program is authorized by Texas Education Code, §54.0065.

Comments

Source Note: The provisions of this §13.81 adopted to be effective May 21, 2001, 26 TexReg 3627

§13.82: Eligible Students

To be eligible for a rebate under this program, a student must:

(1) have enrolled for the first time in an institution of higher education in the fall 1997 semester or later;

(2) request a rebate for coursework related to a first baccalaureate degree received from a general academic teaching institution;

(3) have been a resident of Texas as set forth under Chapter 21, Subchapter B of this title (relating to Determining Residence Status) and have been entitled to pay resident tuition at all times while pursuing the degree;

(4) if enrolled for the first time in fall 2005 or later, graduate within four calendar years for a four-year degree or within five calendar years for a five-year degree if the degree is in architecture, engineering, or any other program determined by the Board to require more than four years to complete; and

(5) have attempted no more than three hours in excess of the minimum number of semester credit hours required to complete the degree under the catalog under which the student graduated. Hours attempted include transfer credits, course credit earned exclusively by examination (except that, for the purposes of this program, only the number of semester credit hours earned exclusively by examination in excess of nine semester credit hours is treated as hours attempted), courses dropped after the official census date, for-credit developmental courses, optional internship and cooperative education courses, and repeated courses. Courses dropped for reasons that are determined by the institution to be totally beyond the control of the student shall not be counted. For students concurrently earning a baccalaureate degree and a Texas teaching certificate, required teacher education courses shall not be counted to the extent that they are over and above the free electives allowed in the baccalaureate degree program.

Comments

Source Note: The provisions of this §13.82 adopted to be effective May 21, 2001, 26 TexReg 3627; amended to be effective December 3, 2003, 28 TexReg 10756; amended to be effective November 22, 2005, 30 TexReg 7729

§13.83: Hardship Provisions

Effective for students who enroll for the first time in fall 2005 or later, an otherwise eligible student may be eligible for a tuition rebate without satisfying the requirements of §13.82(4) of this title (relating to Eligible Students), if the student is awarded a baccalaureate degree and the institution determines that the student has demonstrated a hardship under the policy required by §13.85(g) of this title (relating to Responsibilities of Institutions).

Comments

Source Note: The provisions of this §13.83 adopted to be effective May 21, 2001, 26 TexReg 3627; amended to be effective November 22, 2005, 30 TexReg 7729

§13.84: Amount of Tuition Rebates

(a) The amount of tuition to be rebated to a student under this program is $1,000, unless the total amount of undergraduate tuition paid by the student to the institution awarding the degree was less than $1,000, in which event the amount of tuition to be rebated is an amount equal to the amount of undergraduate tuition paid by the student to the institution.

(b) A student who paid the institution awarding the degree an amount of undergraduate tuition less than $1,000 may qualify for an increase in the amount of the rebate, not to exceed a total rebate of $1,000, for any amount of undergraduate tuition the student paid to other Texas public institutions of higher education by providing the institution awarding the degree with proof of the total amount of that tuition paid to other institutions.

(c) Tuition rebates shall be reduced by the amount of any outstanding student loan, including an emergency loan, owed to or guaranteed by this state, including the Texas Guaranteed Student Loan Corporation. If a student has more than one outstanding student loan, the institution shall apply the amount of the rebate to the loans as directed by the student. If the student fails to provide timely instructions on the application of the amount, the institution shall apply the amount of the rebate to retire the loans with the highest interest rates first.

Comments

Source Note: The provisions of this §13.84 adopted to be effective May 21, 2001, 26 TexReg 3627

§13.85: Responsibilities of Institutions

(a) Institutions of higher education shall include information regarding this program in the institution's catalog.

(b) If requested by potentially eligible students, institutions of higher education shall provide these students opportunities to enroll during each fall and spring semester in the equivalent of at least 12 semester credit hours that apply toward their degrees. Institutions are not required to provide students with the opportunity to enroll in specific courses or specific sections. Public two-year colleges will comply to the extent that courses for the current semester are being offered that apply to the student's baccalaureate degree program. The requirement may be met by allowing substitutions for required courses or by allowing concurrent enrollment in courses from another institution, so long as the courses are taught on the students' home campus and the students incur no financial penalty.

(c) General academic teaching institutions shall provide students with appropriate forms and instructions for requesting tuition reimbursement at the time that students apply for baccalaureate degrees.

(d) Institutions shall provide tuition rebates to students who apply within 60 days after graduation or provide the student with a statement explaining the reason the student is ineligible for the rebate.

(e) Institutions shall provide a dispute resolution process to resolve disputes related to local administration of the program.

(f) Disputes related to lower division credit transfer shall be resolved in accordance with Coordinating Board rules, §4.27 of this title (relating to Resolution of Transfer Disputes for Lower-Division Courses).

(g) Institutions shall establish policies and procedures for allowing otherwise eligible students to qualify for tuition rebates under this program, if the student receives a baccalaureate degree and demonstrates that the failure to comply with §13.82(4) of this title (relating to Eligible Students) was caused by a hardship condition. The policies and procedures shall include, but shall not be limited to, the following conditions:

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

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

(3) performance of active duty military service.

(h) Institutions may adopt policies and procedures for administering the program. For example, institutions may require students to declare their intent to qualify for a tuition rebate early in their careers or register prior to the beginning of the semester.

Comments

Source Note: The provisions of this §13.85 adopted to be effective May 21, 2001, 26 TexReg 3627; amended to be effective November 22, 2005, 30 TexReg 7729

§13.86: Responsibilities of Students

(a) Students desiring to qualify for tuition rebates are responsible for complying with all rules and regulations related to administration of the program.

(b) Students desiring to qualify for tuition rebates are solely responsible for enrolling only in courses that will qualify them for the rebates.

(c) A student who has transferred from another public or independent institution of higher education is responsible for providing to the institution awarding the degree official transcripts from all institutions attended by the student.

(d) Students must apply for rebates prior to receiving their baccalaureate degrees on forms provided by the institution and must keep the institution apprized of their addresses for at least 60 days after their graduation date.

Comments

Source Note: The provisions of this §13.86 adopted to be effective May 21, 2001, 26 TexReg 3627; amended to be effective November 22, 2005, 30 TexReg 7729

§13.87: Source of Funding

Tuition rebates shall be paid from institutional local funds. However, the enabling legislation provides that the Legislature shall account in the General Appropriations Act for the rebates in a way that provides a corresponding increase in the general revenue funds appropriated to the institution.

Comments

Source Note: The provisions of this §13.87 adopted to be effective May 21, 2001, 26 TexReg 3627

Subchapter F

§13.100: Purpose

This subchapter provides financial incentives for institutions to facilitate the progress of students through their academic programs and incentives for students to complete their degree programs expeditiously. Rules contained in this subchapter clarify the enabling legislation, define responsibilities of institutions and the Board in implementing the statute, and ensure that students are adequately informed.

Comments

Source Note: The provisions of this §13.100 adopted to be effective November 22, 2005, 30 TexReg 7730

§13.101: Authority

Texas Education Code, §54.068, provides that institutions may charge a higher rate of tuition to students with repeated or excess hours. Texas Education Code, §61.0595, limits formula funding for excess hours. SB 1, General Appropriations Act, 79th Legislature, Regular Session, III-251, §49, limits formula funding for a course for which a student would generate formula funding for the third time. Texas Education Code, §51.3062(l) limits the number of remedial or developmental education semester credit hours for which formula funding may be received.

Comments

Source Note: The provisions of this §13.101 adopted to be effective November 22, 2005, 30 TexReg 7730

§13.102: Definitions

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

(1) Degree Plan--Academic program of courses and their related hours culminating in a degree or certificate, including minors, double majors, and completion of any other special program in which the student is also enrolled, such as a program with a study abroad component.

(2) Excess Hours--Effective with students initially enrolling in the fall 1999 semester and subsequent terms, hours attempted by a resident undergraduate student that exceed more than 45 hours of the number of hours required for completion of the degree plan in which the student is enrolled. Effective with students initially enrolling in the fall 2006 semester and subsequent terms, hours attempted by a resident undergraduate student that exceed more than 30 hours of the number of hours required for completion of the degree program in which the student is enrolled. Effective fall 2009, hours earned by a student before graduating from high school and used to satisfy high school graduation requirements are not included in the calculation of excess hours. For purposes of excess hours, resident undergraduate student includes a nonresident student who is permitted to pay resident tuition.

(3) Hours--Semester credit hours.

(4) Remedial and Developmental Courses--Courses designed to correct academic deficiencies and bring students' skills to an appropriate level for entry into college. The term includes English as a Second Language (ESL) courses in which a student is placed as a result of failing the reading or writing portion of a test required by §4.56 of this title (relating to Assessment Instruments).

(5) Repeated Hours for Attempted Course--Hours for a course that is the same or substantially similar to a course that the student previously attempted for two or more times at the same institution. Previously attempted courses from which the student withdraws before the official census date shall not count as an attempted course.

(6) Repeated Hours for Completed Course--Hours for a course in which a student enrolls for two or more times that is the same as or substantially similar to a course that the student previously completed and received a grade of A, B, C, D, F, or Pass/Fail at the same institution.

(7) Student--For the purposes of this subchapter, a student who has not been awarded a bachelor's degree or the equivalent.

(8) Workforce Education Courses--Courses offered by two-year institutions for the primary purpose of preparing students to enter the workforce rather than academic transfer. The term includes both technical courses and continuing education courses.

Comments

Source Note: The provisions of this §13.102 adopted to be effective November 22, 2005, 30 TexReg 7730; amended to be effective May 26, 2010, 35 TexReg 4153

§13.103: Limitation on Formula Funding for Excess Hours

(a) Institutions shall not submit excess hours to the Board for the purposes of formula funding, unless those hours are exempt under the provisions of §13.104 of this title (relating to Excessive Hour Exemptions).

(b) For the purposes of determining the number of hours required for a degree plan, institutions shall utilize the degree plan designated by the student as of the official census day of the term.

(1) If a student at a four-year institution is not enrolled in a degree program, institutions shall consider the student to be enrolled in a degree program requiring a minimum of 120 hours.

(2) If a student is enrolled on a temporary basis in a university or health-related institution and is also enrolled in a private or independent institution of higher education or an out-of-state institution of higher education, institutions shall consider the student to be enrolled in a degree program requiring a minimum of 120 hours.

(c) Institutions shall not consider any hours for which a student has enrolled as part of a master's or professional degree program without first completing a bachelor's degree in the calculation of the number of hours required for a bachelor's degree or the equivalent until the student has completed a minimum of 120 hours required for the bachelor's degree or equivalent.

Comments

Source Note: The provisions of this §13.103 adopted to be effective November 22, 2005, 30 TexReg 7730

§13.104: Exemptions for Excess Hours

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

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

(2) hours earned through examination or similar method without registering for a course;

(3) hours from remedial and developmental courses, workforce education courses, or other courses that would not generate academic credit that could be applied to a degree at the institution if the course work is within the 27-hour limit at two-year colleges and the 18-hour limit at general academic institutions;

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

(5) hours not eligible for formula funding; and

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

Comments

Source Note: The provisions of this §13.104 adopted to be effective November 22, 2005, 30 TexReg 7730; amended to be effective August 26, 2009, 34 TexReg 5679

§13.105: Limitation on Formula Funding for Repeated Hours for Attempted Courses

Institutions shall not submit for formula funding any hours for a course that is the same or substantially similar to a course that the student previously attempted for two or more times at the same institution.

Comments

Source Note: The provisions of this §13.105 adopted to be effective November 22, 2005, 30 TexReg 7730

§13.106: Exemptions for Repeated Hours for Attempted Courses

The following types of hours are exempt and are not subject to the limitation on formula funding set out in §13.105 of this title (relating to Limitation on Formula Funding for Repeated Hours for Attempted Course).

(1) hours for remedial and development courses, if the course work is within the 27-hour limit at two-year colleges and the 18-hour limit at general academic institutions;

(2) hours for special topics and seminar courses;

(3) hours for courses that involve different or more advanced content each time they are taken, including but not limited to, individual music lessons, Workforce Education Courses, Manual Special Topics courses (when the topic changes), theater practicum, music performance, ensembles, certain physical education and kinesiology courses, and studio art;

(4) hours for independent study courses; and

(5) hours for continuing education courses that must be repeated to retain professional certification.

Comments

Source Note: The provisions of this §13.106 adopted to be effective November 22, 2005, 30 TexReg 7730

§13.107: Limitation on Formula Funding for Remedial and Developmental Courses

Institutions shall not submit for formula funding any hours for remedial and development courses for which a student has exceeded 18 hours of remedial and developmental courses in a general academic teaching institution, or 27 hours of remedial and developmental courses in a public community college, public technical college, or public state college.

Comments

Source Note: The provisions of this §13.107 adopted to be effective November 22, 2005, 30 TexReg 7730

§13.108: Tuition Rate for Students

(a) An institution may charge a higher tuition rate, not to exceed the rate charged to nonresident undergraduate students, to a student whose hours can no longer be submitted for formula funding under §13.103 of this title (relating to Limitation on Formula Funding for Excess Hours), unless those hours are exempted under §13.104 of this title (relating to Exemptions for Excess Hours).

(b) Unless the hours are exempted under §13.106 of this title (relating to Exemptions for Repeated Hours for Attempted Courses), an institution may charge a higher tuition rate, not to exceed the rate charged to nonresident undergraduate students, to a student who enrolls for the second time in a completed course, even though those hours may be submitted for formula funding, or to a student whose hours may no longer be submitted for formula funding under §13.105 of this title (relating to Limitation on Formula Funding for Repeated Hours for Attempted Course).

(c) If an institution charges a higher tuition rate under this section, it shall adopt a policy under which a student is exempted from the payment of that higher tuition rate, if the payment of the higher tuition rate would result in an economic hardship for the student.

(d) A student shall be exempted from payment of higher tuition for any course repeated in the final semester or term before graduation, if the course(s) is taken for the purpose of receiving a grade that will satisfy a degree requirement. This exemption applies for only one semester. The exemption does not affect an institution's ability to charge a higher tuition rate for courses that cannot be reported for funding for other reasons such as the excess credit hour limit, or an institution's ability to waive higher tuition rates for economic hardship.

Comments

Source Note: The provisions of this §13.108 adopted to be effective November 22, 2005, 30 TexReg 7730; amended to be effective November 19, 2006, 31 TexReg 9288

§13.109: Additional Responsibilities of Institutions

(a) Institutions shall report to the Board all information required to comply with the provisions of this subchapter. Based upon this information, the Coordinating Board shall maintain a database containing information regarding the number of hours a student has accumulated.

(b) Each institution shall publish information in the catalog about the limitations on hours set out in this subchapter and the tuition rate that will be charged to affected students. Until this material is included in its catalog, the institution shall inform each new undergraduate student enrolling at the institution in writing of the limitations on formula funding and the tuition rate that will be charged to affected students.

(c) Institutions shall track the progress of students and shall identify and assist those students who are approaching the limitations on formula funding.

(d) Community and technical colleges and the Lamar State Colleges shall inform each student of the individual's progress toward the limitations on formula funding and shall disclose the institution's tuition policy for students who exceed the limitations when the student has accumulated 70 or more hours.

(e) Universities and health-related institutions shall inform each student of the individual's progress toward the limitations on formula funding and shall disclose the institution's tuition policy for students who exceed the limitations when the student has accumulated 120 or more hours toward the limit.

Comments

Source Note: The provisions of this §13.109 adopted to be effective November 22, 2005, 30 TexReg 7730

Subchapter G

§13.120: Purpose and Scope

The purpose of this subchapter is to establish standards and accounting methods for determining restricted research expenditures, for reporting verified restricted research expenditures to the Comptroller of Public Accounts, for reporting how funds were expended during the fiscal year, for auditing the reported restricted research expenditures, and for appealing decisions relating to restricted research expenditures.

Comments

Source Note: The provisions of this §13.120 adopted to be effective May 15, 2005, 30 TexReg 2664; amended to be effective August 26, 2009, 34 TexReg 5679

§13.121: Authority

Texas Education Code, §62.091, establishes the Research Development Fund to promote increased research capacity at eligible general academic teaching institutions. Texas Education Code, §62.096, authorizes the Coordinating Board, with the assistance of an advisory committee, to prescribe standards and accounting methods for determining the amount of restricted research funds expended by an eligible institution in a state fiscal year.

Comments

Source Note: The provisions of this §13.121 adopted to be effective May 15, 2005, 30 TexReg 2664; amended to be effective August 26, 2009, 34 TexReg 5679

§13.122: Definitions

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

(1) Norman Hackerman Advanced Research Program, Advanced Technology Program--research programs administered by the Board under Texas Education Code, Chapters 142 and 143.

(2) Advisory committee--The Coordinating Board's Restricted Research Advisory Committee.

(3) Board or Coordinating Board--the Texas Higher Education Coordinating Board.

(4) Clinical Trial Agreement--an externally sponsored agreement for the administration of a specifically mandated patient protocol (sometimes in multiple clinical sites involving other institutions), in which some costs typically are paid from patient charges or other sources.

(5) Commissioner--Commissioner of Higher Education.

(6) Comptroller--the Texas Comptroller of Public Accounts.

(7) Demonstration Projects--projects in which the primary purpose is to apply previous Research and Development findings in new settings and to demonstrate their utility.

(8) Departmental Research--research, development, and scholarly activities that are not organized research and, consequently, are not separately budgeted by an institution.

(9) Development--the systematic use of knowledge and understanding gained from research directed toward the production of useful materials, devices, systems, or methods, including design and development of prototypes and processes.

(10) Eligible institution or institution--a general academic teaching institution, as defined by Texas Education Code, §61.003, other than The University of Texas at Austin, Texas A&M University, and Prairie View A&M University.

(11) Higher Education Assistance Fund (HEAF)--a fund established in Article 7, §17, of the Texas Constitution to fund capital improvements and capital equipment for institutions not included in the Permanent University Fund.

(12) Indirect Costs--costs incurred for certain overhead related to administering a particular sponsored project, an instructional activity, or any other institutional activity. Indirect costs are synonymous with "facilities and administrative (F&A) costs."

(13) Industrial Collaboration Agreements--agreements with universities, colleges, centers, or institutes under which funds are provided for collaborative R&D activities. The activity must be sponsored by private philanthropic organizations and foundations, for-profit businesses, or individuals.

(14) Instruction--the teaching and training activities of an institution. This term includes all teaching and training activities, whether they are offered for credit toward a degree or certificate or on a non-credit basis, and whether they are offered through regular academic departments or separate divisions, such as a summer school division or an extension division.

(15) Multiple Function Awards--awards that have multiple goals, such as research, instruction, and public service.

(16) Organized research--research and development activities of an institution that are separately budgeted by an institution.

(17) Other Sponsored Activities--programs and projects financed by Federal and non-Federal agencies and organizations that involve the performance of work other than instruction and organized research. Examples of such programs and projects are health service projects and community service programs. Other Sponsored Activities may include travel grants, unless for research activities; support for conferences or seminars; support for university public events; provision of non-instructional and economic services beneficial to individuals and groups external to the university such as testing or diagnostic services, surveys, urban planning and mapping, etc.; publications by the university press; support for student participation in community service projects; support for projects pertaining to library collections, acquisitions, bibliographies or cataloging, unless primarily for documented research purposes; or programs to enhance institutional resources, including computer enhancements, unless primarily for documented research purposes.

(18) Permanent University Fund (PUF)--A fund established in Article 7, §11, of the Texas Constitution to fund capital improvements and capital equipment at certain institutions of higher education.

(19) Pass-Throughs to Sub-recipients--external award funds passed from one entity ("pass-through" entity) to another entity sub-recipient. The sub-recipient administers the program, expending the award funds on behalf of or in connection with the pass-through entity.

(20) Research--a systematic study directed toward fuller scientific knowledge or understanding of the subject studied and the training of individuals in research techniques where such activities utilize the same facilities as other research and development activities.

(21) Research and Development (R&D)--all research activities, both basic and applied, and all development activities that are supported at universities, colleges, and other non-profit institutions. R&D also includes activities involving the training of individuals in research techniques where such activities utilize the same facilities as other research and development activities and where such activities are not included in the instruction function. Curriculum development projects may be considered as R&D when the primary purpose of the project is to develop and test an instructional or educational model through appropriate research methodologies, such as data collection, evaluation, dissemination, and publication.

(22) Research Development Fund--a method of allocating funds based on institutional restricted research expenditures and established outside the state treasury to promote increased research capacity at eligible general academic teaching institutions under Texas Education Code, §§62.091 - 62.098.

(23) Restricted funds (restricted awards)--funds for which some external agency or organization has placed limitations on the uses for which the funds may be spent.

(24) Restricted research expenditures--expenditures from restricted funds (restricted awards) used for research and development.

(25) Sponsored Instruction and Training--specific instructional or training activity established by grant, contract, or cooperative agreement with federal, state, or local government agencies; private philanthropic organizations and foundations; for-profit businesses; or individuals. Sponsored Instruction includes:

(A) any project for which the primary purpose is to instruct any student at any location; recipients of this instruction may be university students or staff, teachers or students in elementary or secondary schools, or the general public, except for those activities defined in paragraph (26) of this section;

(B) curriculum development projects at any level either to improve significantly or to add to an institution's general instructional offerings, and do not include R&D;

(C) projects that involve university students in community service activities for which they are receiving academic credit;

(D) activities funded by awards to departments or schools for the support of students, except for those activities defined in paragraph (26)(E), of this section as Sponsored R&D;

(E) dissertation work funded by grants, including grants for travel in relation to a dissertation, unless associated with a R&D activity as defined in paragraph (21) of this section;

(F) outreach programs that bring local students on campus for classes; or

(G) general support for the writing of textbooks or reference books, video, or software to be used as instructional materials.

(26) Sponsored Research and Development (Sponsored R&D)--activity funded (sponsored) by grants, gifts, and/or contracts, including sponsored research contracts, that are designated by the sponsor as primarily for R&D purposes. The activity must be sponsored by federal, state, or local governmental agencies; private philanthropic organizations and foundations; for-profit businesses; or individuals. Sponsored R&D includes:

(A) awards to university faculty to support R&D activities;

(B) external faculty "career awards" to support the R&D efforts of the faculty;

(C) external funding to maintain facilities or equipment and/or operation of a enter or facility that will be used for R&D;

(D) external support for the writing of books, when the purpose of the writing is to publish R&D results;

(E) activities involving the training of individuals in R&D techniques (commonly called R&D training) where such activities utilize the same facilities as other R&D activities and where such activities are not included in the Instruction function;

(F) the research portion of expenditures in the federal work-study program, in accordance with instructions for preparing the annual financial report that is submitted by an institution to the Comptroller after each fiscal year ends; or

(G) clinical trial agreements in which data collection and analysis are the primary components of the institution's role in the trial, excluding costs that are covered by patient charges or similar sources.

(27) University Research and Development (University R&D)--activity that is supported by unrestricted university funds that the university has designated for use in R&D, such as unrestricted gifts, distributions from unrestricted endowments, interest income, technology licensing income, fees received from external entities for non-research services, proceeds from cost recovery enterprises, state appropriations not identified specifically by the legislature for R&D purposes, non-capitalized allocations from the PUF or HEAF for R&D purposes other than construction and remodeling, state appropriations made directly to the university for R&D through formula or special item funding including Norman Hackerman Advanced Research Program, ATP, or cost-sharing expenditures by the university.

Comments

Source Note: The provisions of this §13.122 adopted to be effective May 15, 2005, 30 TexReg 2664; amended to be effective August 26, 2009, 34 TexReg 5679

§13.123: Restricted Research Advisory Committee

The Commissioner shall appoint an advisory committee to review and recommend changes to standards and accounting methods for determining restricted research expenditures.

(1) The advisory committee shall consist of 11 to 15 representatives from eligible higher education institutions.

(2) The Commissioner shall select institutions that represent both system institutions and institutions that are not in systems, including institutions that provide diversity in size, mission, and geographic distribution for membership on the advisory committee.

(3) At least 30 days prior to meeting, the Commissioner shall inform the presidents of selected institutions that they may recommend an institutional representative to serve on the advisory committee.

(4) Advisory committee members shall serve staggered, three-year terms.

(5) The advisory committee shall elect a member to serve as its chair.

(6) The Commissioner may remove an advisory committee member who is absent for three consecutive meetings of the advisory committee.

Comments

Source Note: The provisions of this §13.123 adopted to be effective May 15, 2005, 30 TexReg 2664; amended to be effective August 26, 2009, 34 TexReg 5679

§13.124: Standards and Accounting Methods for Determining Restricted Research Expenditures

(a) Only expenditures from restricted research awards made from the following types of projects and activities and sponsored by federal, state, or local governmental agencies; private philanthropic organizations and foundations; for-profit businesses; or individuals shall be classified as restricted research expenditures:

(1) Sponsored R&D, as defined in §13.122 of this title (relating to Definitions).

(2) Industrial Collaboration Agreements for R&D activities, as defined in §13.122 of this title.

(3) Demonstration Projects, as defined in §13.122 of this title, which have a significant new R&D component.

(4) Sponsored instruction and training, as defined in §13.122 of this title, for curriculum development projects when the primary purpose of the project is developing and testing an instructional or educational model through appropriate research methodologies that include data collection, evaluation, dissemination, and publication.

(5) Multiple Function Awards, as defined in §13.122 of this title if the scope or activities of the restricted awards include R&D, these are subject to the following limitation: if the purpose of a restricted award is primarily (more than 50 percent) research, then all expenditures made from that award qualify as restricted research expenditures. If the purpose of the restricted award is not primarily research (less than 50 percent), then none of the expenditures may be counted as restricted research. Primary purpose will normally be demonstrated by more than half of the funds having been budgeted for research, but may be demonstrated by the sponsor's statement of purpose or other documented evidence.

(b) Institutions shall document the process for determining restricted research awards and shall maintain documentation justifying the rationale used to classify the awards as restricted research.

Comments

Source Note: The provisions of this §13.124 adopted to be effective May 15, 2005, 30 TexReg 2664; amended to be effective August 26, 2009, 34 TexReg 5679

§13.125: Report on Restricted Research Awards

(a) Not later than June 30, each eligible institution shall provide to the Commissioner a verified report of all restricted research awards for the current state fiscal year. Only those projects or activities described in §13.124 of this title (relating to Standards and Accounting Methods for Determining Restricted Research Expenditures) shall be included in the report.

(1) Classified military projects or any sponsored program deemed confidential or proprietary by funding entities shall not be included in the award lists.

(2) If the project or activity is pursuant to an award from the federal government, it shall be classified by the federal government as R&D.

(3) The report shall be in a format and with the specific content prescribed by the Commissioner.

(4) The report shall indicate the person or persons who determined that the projects or activities were restricted research projects or activities.

(5) The Commissioner shall provide the reports made under this section to each eligible institution.

(b) Not later than July 31 of each year, the Commissioner shall convene a review panel of representatives of all eligible institutions. The president of each eligible institution shall recommend the institution's representative on the review panel.

(1) The Commissioner shall provide each review panel member with a copy of each eligible institution's report on restricted research awards.

(2) The review panel shall examine the institutions' reports on restricted research awards and provide a report to the Commissioner, recommending to the Commissioner those awards from which expenditures may be classified as restricted research expenditures.

(3) The Commissioner shall review the report of the review panel and determine those awards from which expenditures may be classified as restricted research expenditures.

(4) Not later than August 15, the Commissioner shall provide each institution with a copy of the recommendations of the review panel and notify each institution of its awards from which expenditures may be classified as restricted research expenditures.

(5) If an institution wishes to appeal the classification of a restricted research award, the President of the institution shall notify the Commissioner, in writing, not later than September 1. The Commissioner will review the appeal, determine whether to re-classify the expenditure, and notify the institution of the decision.

Comments

Source Note: The provisions of this §13.125 adopted to be effective May 15, 2005, 30 TexReg 2664; amended to be effective August 26, 2009, 34 TexReg 5679

§13.126: Reports of Restricted Research Expenditures

Not later than October 15, each eligible institution shall provide a verified, preliminary report of its restricted research expenditures to the Commissioner. The Preliminary Report will include restricted research expenditures from the awards approved by the Commissioner under §13.125 of this title (relating to Report on Restricted Research Awards).

(1) Expenditures for indirect costs of any restricted research award shall not be included in the Preliminary Report.

(2) Expenditures for pass-throughs to sub-recipients shall not be included in the report.

(3) Not later than November 1 of each fiscal year for which there is an appropriation for the Research Development Fund, the Commissioner shall provide a preliminary restricted research expenditure report to the Comptroller and recommend funding allocations from the Research Development Fund to eligible institutions.

(4) The funds shall be apportioned among the eligible institutions based on the average amount of restricted research funds by each institution per year for the three preceding state fiscal years.

(5) Not later than December 1, and after completion of the institutions' annual financial reports, and revisions based on corrections from audits, each eligible institution shall provide the Commissioner and the Legislative Budget Board with a final report of restricted research expenditures. The Final Report will include a description of research expenditures, including expenditures of funds received during preceding fiscal years.

Comments

Source Note: The provisions of this §13.126 adopted to be effective August 26, 2009, 34 TexReg 5680

§13.127: Audits

The Commissioner may require an audit of the restricted research records of an eligible institution to verify the submitted information.

Comments

Source Note: The provisions of this §13.127 adopted to be effective August 26, 2009, 34 TexReg 5680

Subchapter H

§13.140: Purpose

The purpose of this subchapter is to establish the reporting requirements for institutions to submit data on tuition and fees and to provide uniform definitions for the different types of tuition and fees.

Comments

Source Note: The provisions of this §13.140 adopted to be effective February 21, 2006, 31 TexReg 1023

§13.141: Authority

2005 Tex.Sess.Law Serv, 288 (Vernon) requires the Board to compile data on the tuition and fees charged at each two-year and four-year institution of public higher education and report that data to the Texas Legislature. Texas Education Code, §54.053 authorizes the Board to adopt rules to carry out the purposes of Texas Education Code, Chapter 54, Subchapter B.

Comments

Source Note: The provisions of this §13.141 adopted to be effective February 21, 2006, 31 TexReg 1023

§13.142: Definitions

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

(1) Auxiliary fee--A mandatory or discretionary fee that an institution charges to recover costs from a student for a service or activity that is self-supporting.

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

(3) Course fee--A mandatory fee required of all students enrolled in a given course; or a discretionary fee required of students in a given course who wish to participate in a special activity. This includes fees for state-funded continuing education courses.

(4) Discretionary fee--An optional fee that the governing board of an institution is permitted, but not required, by statute to charge all students. Examples of this fee are parking fees charged under Texas Education Code, §54.505 and incidental fees charged under Texas Education Code, §54.504.

(A) Voluntary fee--A discretionary fee authorized under Texas Education Code, §§54.503, 54.5061 and 54.513, that is charged only to those students who make use of the service or item for which the fee is established. This includes fees for state-funded continuing education courses.

(B) Matriculation fee--A discretionary fee authorized under Texas Education Code, §54.006(a), that an institution, other than a public community college or public technical college, may charge a student withdrawing from the institution before the first day of class.

(5) General academic teaching institution--An institution included in the provisions of Texas Education Code, §61.003(3).

(6) Incidental fee--A mandatory fee authorized by the governing board of an institution and collected under Texas Education Code, §55.16 or §130.084, and levied at the discretion of the governing board of an institution that is charged to all students; or a discretionary fee collected under Texas Education Code, §54.504, for particular services provided to students.

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

(8) Mandatory fee--A fee authorized by statute or the governing board of an institution that is charged to a student upon enrollment. For institutions other than public community colleges, such fees would be required to be paid by the census date or other date as mandated by the state for formula funding purposes. Examples of such fees are: laboratory fees, course and incidental fees collected under Texas Education Code, §55.16(c), and other mandatory fees as authorized by the governing board of the institution. For public community colleges, such fees would include fees collected from students enrolled in state-funded continuing education courses.

(A) Laboratory fee--A mandatory fee that is charged under Texas Education Code, §54.501.

(B) Compulsory fee--A mandatory fee authorized under Texas Education Code, §§54.503, 54.5061, and 54.513.

(9) Medical and dental unit--An institution included in the provisions of Texas Education Code, §61.003(5).

(10) Optional fee--Has the same meaning as discretionary fee defined in paragraph (4) of this section.

(11) Public junior or community college--Any junior or community college certified by the board in accordance with Texas Education Code, §61.063.

(12) Public technical institute--An institution included in the provisions of Texas Education Code, §61.003(7).

(13) Required fee--Has the same meaning as mandatory fee defined in paragraph (8) of this section.

(14) Tuition--Statutory, designated, and/or board-authorized tuition.

(A) Statutory tuition--A tuition charge authorized under Texas Education Code, §54.051, in an amount determined by the Texas Legislature for resident or nonresident students. This includes the charge for state-funded continuing education courses.

(B) Designated tuition--A tuition charge authorized under Texas Education Code, §54.0513, that institutions other than public community colleges may impose on any graduate or undergraduate, resident or nonresident student, in an amount that the governing board of the institution considers necessary for the effective operation of the institution.

(C) Board authorized tuition--A tuition charge that a general academic teaching institution or a medical and dental unit may impose on any graduate resident or nonresident student in an amount as specified in Texas Education Code, §54.008.

(15) Tuition fee--Statutory, designated, and/or board-authorized tuition.

Comments

Source Note: The provisions of this §13.142 adopted to be effective February 21, 2006, 31 TexReg 1023; amended to be effective August 15, 2006, 31 TexReg 6331

§13.143: Reporting

(a) By May 1, 2006, each institution shall report to the Board the types and amounts of tuition and fees charged to students by semester, beginning with the 2003 fall semester and including the 2005 spring semester.

(b) Beginning December 1, 2006, each institution shall report the types and amounts of tuition and fees charged to students by semester during the previous academic year.

(c) In reporting the types and amounts of tuition and fees charged to students, all institutions shall classify the tuition and fees according to the definitions of those terms provided in §13.142 of this title (relating to Definitions).

Comments

Source Note: The provisions of this §13.143 adopted to be effective February 21, 2006, 31 TexReg 1023

Subchapter I

§13.150: Definitions

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

(1) At-Risk Student--An undergraduate student who has one of the following attributes.

(A) score on the Scholastic Assessment Test (SAT) or the American College Test (ACT) is less than the national mean score of students' scores on that test;

(B) has been awarded a grant under the federal Pell Grant program;

(C) was 20 years of age or older on the date the student initially enrolled in the institution;

(D) enrolled as a part-time student; and

(E) did not receive a high school diploma but received a high school equivalency certificate within the last six years.

(2) Commissioner--The Commissioner of Higher Education; as used in this subchapter, "Commissioner" means the agency acting through its executive, and his or her designees, staff, or agents.

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

(4) Critical Field--Field of engineering, computer science, mathematics, physical science, allied health, nursing, or teacher certification in a field of science or mathematics.

(5) Eligible Public Institution--A general academic teaching institution other than a public state college as defined in Texas Education Code, §61.003.

Comments

Source Note: The provisions of this §13.150 adopted to be effective November 30, 2009, 34 TexReg 8521

§13.151: Authority

(a) Texas Education Code, §62.071, defines the eligibility for the Performance Incentive Funding.

(b) Texas Education Code, §62.072, establishes the methodology for distribution of the funding provided for this purpose.

(c) Texas Education Code, §62.073, authorizes the Board, to adopt rules for the administration of the program.

Comments

Source Note: The provisions of this §13.151 adopted to be effective November 30, 2009, 34 TexReg 8521

§13.152: Performance Incentive Fund (PIF)

(a) Purpose. The purpose of this program is to provide funds to eligible institutions based on the degrees awarded as the increase in degrees awarded, as appropriated by the Legislature, as compared to previous outcomes.

(b) Distribution.

(1) 50 percent to be distributed among eligible institutions in proportion to the increase, if any, in the average number of degrees awarded annually by each institution in the two most recent fiscal years from the average number of degrees awarded annually by that institution in the two fiscal years immediately preceding those fiscal years, using the weights assigned to each degree.

(2) 50 percent to be distributed among eligible institutions in proportion to the average number of degrees awarded annually by each institution in the three most recent fiscal years, using the weights assigned to each degree.

(c) Calculation of awards. A number of points is assigned for each degree awarded by an eligible institution according to the following:

(1) Noncritical field--not at-risk student: 1 point

(2) Noncritical field--at-risk student: 2 points

(3) Critical field--not at-risk student: 2 points

(4) Critical field--at-risk student: 3 points

Comments

Source Note: The provisions of this §13.152 adopted to be effective November 30, 2009, 34 TexReg 8521

Subchapter J

§13.180: Authority, Scope, and Purpose

(a) Authority. Authority for this subchapter is provided in the Texas Education Code, Subchapter X, Texas Fund for Geography Education. These rules establish procedures to administer the fund as prescribed in the Texas Education Code, §§61.942 through 61.945.

(b) Scope. Unless otherwise noted, this subchapter applies to the National Geographic Society, the Texas Higher Education Board, and any institution seeking funding from the Texas Fund for Geography Education.

(c) Purpose. This subchapter establishes guidelines for the creation and implementation of the Texas Fund for Geography Education, which will support projects to improve the quality of geography education in both public and higher education in Texas and promote a better understanding of Texas by all its residents.

Comments

Source Note: The provisions of this §13.180 adopted to be effective November 28, 2001, 26 TexReg 9605

§13.181: Definitions

The following words and terms, when used in these sections, shall have the following meanings unless the context clearly indicates otherwise.

(1) Agreement--The agreement between the National Geographic Society and the Coordinating Board to create and administer the Texas Fund for Geography Education.

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

(3) Commissioner--The Commissioner of Higher Education.

(4) Committee--The advisory committee appointed by the Commissioner to solicit and recommend grant proposals.

(5) Fund--The Texas Fund for Geography Education, which consists of funds contributed by the Board, the Society, and donors and income to the fund.

(6) Society--The National Geographic Society of Washington, D.C.

Comments

Source Note: The provisions of this §13.181 adopted to be effective November 28, 2001, 26 TexReg 9605

§13.182: Agreement with National Geographic Society

(a) The Board shall enter into an agreement with the Society to create and to manage the fund, subject to the following conditions:

(b) The Board shall deposit money into the fund only in an amount equal to the matching funds deposited by the Society;

(c) The Society shall provide to the advisory committee an annual report describing the fund's investments; and

(d) The Board and the Society shall each retain the right to dissolve the agreement if the purposes herein are not being accomplished.

(e) The Board may transfer to the Society any amount appropriated by the Texas Legislature to the Board for that purpose.

(f) The Board or the Society may accept donations from private individuals or corporations who wish to contribute to the fund.

Comments

Source Note: The provisions of this §13.182 adopted to be effective November 28, 2001, 26 TexReg 9605

§13.183: Dissolution of the Fund

If the Board or the Society dissolves the fund, the fund balance shall be distributed in the following manner:

(1) one-half to the general revenue fund of the State of Texas;

(2) remainder to donors to the fund, in the amount the donor deposited; and

(3) any further remainder to the Society.

Comments

Source Note: The provisions of this §13.183 adopted to be effective November 28, 2001, 26 TexReg 9605

§13.184: Advisory Committee

The Commissioner shall appoint an advisory committee of seven (7) persons who have expertise and interest in geography education. The committee shall include at least one member representing the interests and needs of K-12 education and at least one representative of the Texas Geographic Alliance. The committee shall solicit grant proposals, consider those proposals, and make recommendations to the Society.

Comments

Source Note: The provisions of this §13.184 adopted to be effective November 28, 2001, 26 TexReg 9605

§13.185: Procedures for Solicitation and Recommendation of Grant Proposals

The Committee shall, in cooperation with the Society, establish standards and procedures for soliciting grant proposals, the grant application process, consideration of proposals, committee recommendations to the Society, and awarding of grants.

Comments

Source Note: The provisions of this §13.185 adopted to be effective November 28, 2001, 26 TexReg 9605

§13.186: Eligibility

Public and private and independent institutions of higher education as defined in Texas Education Code, §61.003 shall be eligible to compete for grants.

Comments

Source Note: The provisions of this §13.186 adopted to be effective November 28, 2001, 26 TexReg 9605

§13.187: Reporting

Not later than December 1 of each even-numbered year, the Commissioner shall report to the Board, the governor and the legislature. The report shall include:

(1) the value of the fund;

(2) the membership of the committee;

(3) a summary of each project supported by a grant from the fund during the preceding two years; and

(4) any other appropriate information.

Comments

Source Note: The provisions of this §13.187 adopted to be effective November 28, 2001, 26 TexReg 9605

Subchapter K

§13.190: Authority, Scope, and Purpose

(a) Authority. Authority for this subchapter is provided in the Texas Education Code, Subchapter V, Technology Workforce Development. These rules establish rules for administering the grant program as prescribed in the Texas Education Code, §§51.851 - 51.860.

(b) Scope. Unless otherwise noted, this subchapter applies to any Texas institution of higher education seeking funding under this program.

(c) Purpose. The purpose of this program is to provide grants to eligible institutions of higher education to undertake programs to increase the number of graduates with baccalaureate degrees in engineering and computer science.

Comments

Source Note: The provisions of this §13.190 adopted to be effective February 27, 2002, 27 TexReg 1328; amended to be effective May 23, 2004, 29 TexReg 5079

§13.191: Definitions

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

(1) Board means the Texas Higher Education Coordinating Board.

(2) Consortium means the Texas Engineering and Technical Consortium created pursuant to Texas Education Code, §51.833.

(3) Eligible institution means an academic member of the consortium.

(4) Technology Workforce Development Account means an account in the general revenue fund of the State Treasury created pursuant to Texas Education Code, §51.835.

(5) Commissioner means the Commissioner of Higher Education.

(6) Sole proposal means a proposal involving eligible institution.

(7) Joint proposal means a proposal submitted by two or more eligible institutions.

Comments

Source Note: The provisions of this §13.191 adopted to be effective February 27, 2002, 27 TexReg 1328

§13.192: Advisory Committee

(a) The Board chair shall appoint an advisory committee to provide advice regarding implementing the grant program.

(b) Members of the advisory committee shall be experts in the field of engineering or computer science.

(c) The committee shall consist of 11 members, six of whom are representatives of companies participating in the consortium and five of whom are representatives of higher education.

(d) Members shall serve for staggered three-year terms.

(e) The committee shall meet at least once each year in Austin on a date determined by the chair.

(f) The committee shall elect a chair and vice chair and such other officers, as the committee deems necessary at the first meeting in each calendar year.

Comments

Source Note: The provisions of this §13.192 adopted to be effective February 27, 2002, 27 TexReg 1328

§13.193: Proposal Solicitation

(a) The Board shall authorize distribution of a request for proposals.

(b) The request for proposals shall be distributed to all members of the consortium at least 30 working days prior to the due date for proposals.

(c) The request for proposals shall contain all information necessary to prepare a grant proposal for the program including the financial and other resources available for distribution, the evaluation criteria that will be used by the review panels, and the award selection criteria that shall be used in funding projects.

(d) The request for proposals shall include grant conditions that will describe eligible uses of grant funds, reporting requirements, and relevant administrative restrictions associated with the grants.

(e) Eligible institutions shall submit their proposals in the manner and format specified by the Coordinating Board with all requested information included.

Comments

Source Note: The provisions of this §13.193 adopted to be effective February 27, 2002, 27 TexReg 1328; amended to be effective August 17, 2003, 28 TexReg 6539; amended to be effective May 23, 2004, 29 TexReg 5079; amended to be effective August 16, 2007, 32 TexReg 4972

§13.194: Proposal Evaluation and Project Selection

(a) The Commissioner shall organize a competitive, peer-review system for evaluating proposals.

(b) Prior to the review panel meetings, the advisory committee shall establish the criteria for allocating available funds to projects ranked by peer review. The criteria shall be published on the Coordinating Board's web site.

(c) In evaluating proposals, reviewers shall consider the quality of the academic program, placement record for recent graduates, the feasibility of the institution's plans for increasing enrollments and graduates, and the cost-effectiveness of those plans. The review panels shall deliver a ranked list of competitively selected proposals to the Commissioner.

(d) The advisory committee shall review the selections of the reviewers and the recommendations of the staff and make recommendations to the Board. A committee member shall publicly disclose any personal, professional, or private interest in a proposal pending before the committee and shall not vote or otherwise participate in the decision regarding proposal recommendations. A committee member shall not be personally involved in handling any proposal, award, or other matter in which the member, a member's immediate family, a member's general business partner, or a member's institution has or may have a financial interest.

(e) Any information related to the evaluation and selection of proposals for the grant awards shall be confidential unless released by the Board pursuant to Subsections (f) and (g) of this section.

(f) Reviews will not be disclosed to persons outside the Board at any time, except that each project leader (grant applicant) will receive a copy of the reviewers of his or her proposal with the names, affiliations, and any other identifying characteristics of the reviewers redacted; and

(g) The names and affiliations of reviewers will be released as a group, without an identifying link to any grant application, until after the review process is complete.

(h) Decisions of the Commissioner/Board are final.

Comments

Source Note: The provisions of this §13.194 adopted to be effective February 27, 2002, 27 TexReg 1328; amended to be effective March 2, 2003, 28 TexReg 1856; amended to be effective May 23, 2004, 29 TexReg 5079

§13.195: Grants

(a) Grants shall be funded from the technology workforce development account in the general revenue fund and may include both money and in-kind contributions accepted by the Comptroller.

(b) Grants shall be for a period of no longer than five years.

(c) Grants shall be made to eligible institutions.

(d) After making a finding that an institution has failed to perform or failed to conform to grant conditions, the Commissioner may retract or reduce a grant.

(e) Grants must be used to fund new projects or activities or the expansion of existing activities. Grants may not be used to replace current funding for an existing project or activity.

(f) An eligible private or independent engineering institution must match the amount of the grant with an equal amount of contributions made by that institution for the project or activity for which the grant is awarded.

Comments

Source Note: The provisions of this §13.195 adopted to be effective February 27, 2002, 27 TexReg 1328; amended to be effective May 23, 2004, 29 TexReg 5079

§13.196: Reporting

(a) Twice each year, on dates and in a format specified by the Commissioner, eligible institutions that wish to participate in the grant program shall report enrollments and graduates in engineering and computer science.

(b) An institution that is awarded a grant under this program shall report on the use of grant funds and results of the grant not later than September 1 of each year in a format specified by the Board.

(c) An institution that is awarded a grant under this program shall provide a final report within 60 days of termination of the grant in a format specified by the Commissioner.

Comments

Source Note: The provisions of this §13.196 adopted to be effective February 27, 2002, 27 TexReg 1328

§13.197: External Evaluation

(a) Once each biennium, the Board chair shall appoint a committee to evaluate the effectiveness of the program.

(b) The committee shall consist of at least three persons, all of whom are experts in engineering or computer science. The committee shall include at least one representative of higher education and at least one representative of industry.

(c) The committee shall report the results of its evaluation to the Board not later than September 1 of each even-numbered year.

(d) The Board shall report the results of the evaluation to the governor, the legislature, and the consortium participants not later than October 31 of each even-numbered year.

Comments

Source Note: The provisions of this §13.197 adopted to be effective February 27, 2002, 27 TexReg 1328

Subchapter L

§13.200: Authority, Scope, and Purpose

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

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

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

Comments

Source Note: The provisions of this §13.200 adopted to be effective November 28, 2007, 32 TexReg 8494; amended to be effective August 26, 2009, 34 TexReg 5681

§13.201: Definitions

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

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

(2) Commissioner--The Commissioner of Higher Education.

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

(4) Summer program--A math, science, and engineering laboratory-oriented engineering immersion program, organized and offered by an eligible institution on its campus.

Comments

Source Note: The provisions of this §13.201 adopted to be effective November 28, 2007, 32 TexReg 8494; amended to be effective August 26, 2009, 34 TexReg 5681

§13.202: Summer Program

(a) A summer program shall be designed for middle and/or high school students to introduce participants to math, science, and engineering concepts similar to that offered in an engineering degree program.

(b) Once every fiscal year, depending on available funding, the Commissioner may authorize distribution of a request for application for the summer program.

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

(d) The request for application shall:

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

(2) contain information necessary to prepare an application including notification of available financial resources to be distributed;

(3) require applying institution to include students who are from underrepresented demographic groups in engineering programs;

(4) require participants to have an appropriate math and science background according to the skill level of the summer program offered; and

(5) specify other grant conditions.

(e) Each eligible institution may submit one application and the Commissioner shall contract grants for the summer programs based on submitted applications and availability of funding.

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

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

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

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

Comments

Source Note: The provisions of this §13.202 adopted to be effective November 28, 2007, 32 TexReg 8494; amended to be effective August 26, 2009, 34 TexReg 5681