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A BILL TO BE ENTITLED
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AN ACT
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relating to the distribution of money appropriated from the |
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national research university fund and to one or more audits of the |
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information necessary to establish eligibility for that |
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distribution. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 62.146, Education Code, is amended to |
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read as follows: |
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Sec. 62.146. ACCOUNTING STANDARDS; VERIFICATION OF |
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INFORMATION. (a) The coordinating board by rule shall prescribe |
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standard methods of accounting and standard methods of reporting |
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information for the purpose of determining: |
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(1) the eligibility of institutions under Section |
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62.145; and |
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(2) the amount of restricted research funds expended |
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by an eligible institution in a state fiscal year. |
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(b) As soon as practicable in each even-numbered year, based |
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on information submitted by the institutions to the coordinating |
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board as required by the coordinating board, the coordinating board |
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shall certify to the legislature verified information relating to |
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the criteria established by Section 62.145 to be used to determine |
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which institutions are [initially] eligible for distributions of |
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money from the fund. |
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(c) Information submitted to the coordinating board by |
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institutions for purposes of establishing eligibility under this |
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subchapter and the coordinating board's certification or |
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verification of that information under this section [subsection] |
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are subject to a mandatory audit by the state auditor in accordance |
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with Chapter 321, Government Code. The coordinating board may |
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request subsequent audits by the state auditor as necessary or |
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appropriate after an eligible institution begins receiving |
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distributions under this subchapter. |
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SECTION 2. Section 62.148, Education Code, is amended to |
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read as follows: |
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Sec. 62.148. DISTRIBUTION [ALLOCATION] OF APPROPRIATED |
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FUNDS TO ELIGIBLE INSTITUTIONS. (a) In each state fiscal year, |
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the comptroller shall distribute to eligible institutions in |
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accordance with this section an [the total] amount appropriated |
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from the fund for that fiscal year. |
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(b) The total amount appropriated from the fund for any |
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state fiscal year may not exceed an amount equal to 4.5 percent of |
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the average net market value of the investment assets of the fund |
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for the 12 consecutive state fiscal quarters ending with the last |
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quarter of the preceding state fiscal year, as determined by the |
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comptroller. |
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(b-1) For purposes of Subsection (b), for a state fiscal |
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quarter that includes any period before the fund was established on |
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January 1, 2010, a reference to the average net market value of the |
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investment assets of the fund includes the average net market value |
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of the investment assets of the former higher education fund for the |
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applicable state fiscal quarter. This subsection expires January |
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1, 2014. |
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(c) In each state fiscal year, each eligible institution is |
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entitled to an equal share of the total amount to be distributed |
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from the fund in that year. Subject to Subsection (e), the total |
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amount to be distributed from the fund to those eligible |
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institutions in that year is a portion of the total amount |
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appropriated from the fund for that year determined as follows: |
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(1) one-half of the total amount appropriated if only |
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one institution has established eligibility; |
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(2) two-thirds of the total amount appropriated if two |
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institutions have established eligibility; |
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(3) three-fourths of the total amount appropriated if |
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three institutions have established eligibility; |
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(4) four-fifths of the total amount appropriated if |
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four institutions have established eligibility; |
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(5) five-sixths of the total amount appropriated if |
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five institutions have established eligibility; and |
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(6) six-sevenths of the total amount appropriated if |
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six institutions have established eligibility. |
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(d) The comptroller shall retain within the fund any portion |
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of an appropriated amount that remains after all distributions are |
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made for a state fiscal year under this section. The appropriation |
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of that retained amount lapses at the end of that state fiscal year. |
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(e) If the number of institutions that are eligible for |
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distributions in a state fiscal year is more than six, each eligible |
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institution is entitled to an equal share of the total amount |
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appropriated from the fund for that fiscal year [The amount shall be
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allocated to the eligible institutions based on an equitable
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formula adopted by the legislature to carry out the purposes of the
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fund as established by Section 20, Article VII, Texas
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Constitution.
In adopting the allocation formula, the legislature
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may consider the recommendations of the coordinating board,
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including recommendations on the appropriate elements and relative
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weights of elements of the formula]. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2011. |