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  H.B. No. 3564
 
AN ACT
relating to the transfer of Angelo State University to the Texas
Tech University System.
       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
       SECTION 1.  AMENDMENT. Subtitle F, Title 3, Education Code,
is amended by adding Chapter 109A to read as follows:
CHAPTER 109A.  ANGELO STATE UNIVERSITY
       Sec. 109A.001.  ESTABLISHMENT; SCOPE. (a)  Angelo State
University is a general academic teaching institution located in
the city of San Angelo.
       (b)  The university is a component institution of the Texas
Tech University System and is under the management and control of
the board of regents of the Texas Tech University System.  The board
of regents has the same powers and duties concerning Angelo State
University as are conferred on the board by statute concerning
Texas Tech University and Texas Tech University Health Sciences
Center. 
       Sec. 109A.002.  COURSES AND DEGREES; RULES; AFFILIATION
AGREEMENTS; JOINT APPOINTMENTS.  (a)  The board of regents, with the
approval of the Texas Higher Education Coordinating Board, may
prescribe courses at the university leading to customary degrees as
are offered at leading American educational institutions and may
award those degrees, including baccalaureate, master's, and
doctoral degrees and their equivalents.
       (b)  A new department, school, or degree program may not be
instituted at the university without the prior approval of the
Texas Higher Education Coordinating Board.
       (c)  The board of regents shall adopt rules for the
operation, control, and management of the university as may be
necessary for the conduct of the university as one of the first
class.
       (d)  The board may enter into an affiliation or coordination
agreement with any other entity or institution in this state to
further the purposes of the university.
       (e)  The board may make joint faculty appointments in Angelo
State University and in other institutions under its governance.
The board may make a joint faculty appointment in Angelo State
University concurrently with the appointment of the faculty member
by another institution of higher education in accordance with an
affiliation agreement described by Subsection (d).  The salary of a
person who receives a joint appointment shall be apportioned to the
appointing institutions on the basis of services rendered.
       Sec. 109A.003.  OBLIGATIONS AND BENEFITS OF STATE LAW.  The
university is subject to the obligations and entitled to the
benefits of all laws of this state applicable to all other state
institutions of higher education, except that this subchapter
prevails to the extent of any conflict between this subchapter and
any other law of this state.
       Sec. 109A.004.  MILITARY TRAINING.  The university may not
require a student to participate in military training as a
condition for admission to or graduation from the university.
       SECTION 2.  TRANSFER OF GOVERNANCE OF UNIVERSITY. The
governance, control, management, and property of Angelo State
University are transferred from the board of regents of the Texas
State University System to the board of regents of the Texas Tech
University System.  The transfer is governed by Sections 3 through 7
of this Act.
       SECTION 3.  POWERS AND DUTIES; RULES AND POLICIES. (a) When
the transfer takes effect, the board of regents of the Texas Tech
University System shall govern, operate, manage, and control Angelo
State University and all land, buildings, facilities,
improvements, equipment, supplies, and property belonging to and
constituting Angelo State University under the powers and duties
conferred by law on the board of regents.
       (b)  Rules and policies adopted by the board of regents of
the Texas State University System to govern the university that are
in effect when the transfer takes effect are continued in effect
until adopted, repealed, or superseded by the board of regents of
the Texas Tech University System. The board of regents of the Texas
Tech University System may adopt rules and policies applicable to
the university in anticipation of the transfer authorized by this
Act.
       SECTION 4.  CONTRACTS AND CERTAIN WRITTEN OBLIGATIONS.
Contracts and written obligations of every kind and character
entered into by the board of regents of the Texas State University
System for and on behalf of Angelo State University, other than
bonds, are considered ratified, confirmed, and validated by the
board of regents of the Texas Tech University System on the
effective date of the transfer. In those contracts and written
obligations, the board of regents of the Texas Tech University
System is substituted for and stands and acts in the place of the
board of regents of the Texas State University System to the extent
permitted by law.
       SECTION 5.  EFFECT OF TRANSFER ON STUDENTS AND EMPLOYEES.
(a)  The transfer of the governance of Angelo State University under
this Act does not affect the status of any student of the
university.
       (b)  The transfer of the governance of Angelo State
University under this Act does not affect the employment status or
accrued benefits of a person employed by the university when the
transfer takes effect.
       SECTION 6.  CURRENT FUNDING. All funds that, on the
effective date of the transfer, have been appropriated or dedicated
to or are held for the use and benefit of Angelo State University
under the governance of the board of regents of the Texas State
University System are transferred to the board of regents of the
Texas Tech University System for the use and benefit of Angelo State
University.
       SECTION 7.  LEGISLATIVE INTENT; ROLE OF COORDINATING BOARD.
It is the intent of the legislature that the transfer of the
governance of Angelo State University from the board of regents of
the Texas State University System to the board of regents of the
Texas Tech University System be made without disrupting the
students, faculty, staff, or programs of the university. If those
boards of regents are unable to agree as to any matter relating to
the transfer, the Texas Higher Education Coordinating Board on
application of either board of regents shall resolve the
disagreement consistent with the intent of this section and the
provisions of this Act as the coordinating board determines is in
the best interest of this state and the institutions under the
governance of the boards of regents. The coordinating board may
issue any orders or take any other action the coordinating board
considers appropriate to enforce this section or to facilitate the
transfer consistent with this Act and the intent of the
legislature.
       SECTION 8.  AMENDMENT. Section 55.1724(a), Education Code,
is amended to read as follows:
       (a)  In addition to the other authority granted by this
subchapter, the board of regents of the Texas State University
System may acquire, purchase, construct, improve, renovate,
enlarge, or equip property, buildings, structures, facilities,
roads, or related infrastructure for the following institutions to
be financed by the issuance of bonds in accordance with this
subchapter and in accordance with a systemwide revenue financing
program adopted by the board in aggregate principal amounts not to
exceed the following:
             (1)  [Angelo State University, $20 million;
             [(2)]  Lamar University--Beaumont, $8 million;
             (2) [(3)]  Lamar Institute of Technology, $2 million;
             (3) [(4)]  Lamar State College--Orange, $3.5 million;
             (4) [(5)]  Lamar State College--Port Arthur, $2.75
million;
             (5) [(6)]  Sam Houston State University, $7.5 million;
             (6) [(7)]  Texas State University--San Marcos, $19.7
million; and
             (7) [(8)]  Sul Ross State University, $17.5 million.
       SECTION 9.  AMENDMENT. Section 55.1734(a), Education Code,
is amended to read as follows:
       (a)  In addition to the other authority granted by this
subchapter, the board of regents of the Texas State University
System may issue in accordance with this subchapter and in
accordance with a systemwide revenue financing program adopted by
the board bonds for the following institutions not to exceed the
following aggregate principal amounts to finance projects
specified as follows:
             (1)  [Angelo State University, $16,917,550 to expand
and renovate institutional facilities;
             [(2)]  Lamar University--Beaumont, $21,792,096 to
renovate and repair campus buildings;
             (2) [(3)]  Lamar Institute of Technology, $5,301,960
to renovate Gentry Hall and convert it to classroom and laboratory
use;
             (3) [(4)]  Lamar State College--Orange, $2,125,000 for
campus landscaping, renovation of the old library for physical
plant purposes, renovation of the Main Building and Electronics
Commerce Resource Center, and demolition of the old physical plant
building;
             (4) [(5)]  Lamar State College--Port Arthur,
$7,650,000 to construct a performing arts and classroom building
and to expand the Gates Memorial Library and develop an adjacent
plaza;
             (5) [(6)]  Sam Houston State University, $18 million to
renovate and expand the Farrington Building;
             (6) [(7)]  Texas State University--San Marcos,
$18,436,500 to construct a business building; and
             (7) [(8)]  Sul Ross State University, $15,175,000 to
renovate and expand the range animal science facility and science
building annex and to carry out other building renovations.
       SECTION 10.  AMENDMENT. Subchapter B, Chapter 55, Education
Code, is amended by adding Section 55.1769 to read as follows:
       Sec. 55.1769.  ANGELO STATE UNIVERSITY. (a)  In addition to
the other authority granted by this subchapter, the board of
regents of the Texas Tech University System may issue bonds, in
accordance with this subchapter and with a systemwide revenue
financing program adopted by the board, in the aggregate principal
amounts not to exceed the amounts previously authorized for Angelo
State University by Sections 55.1724 and 55.1734, as those sections
existed immediately before this section took effect, less any
portion of those amounts for which bonds were issued under those
sections for the university before the date this section took
effect.  Subject to Subsection (d), bonds issued under this section
for an amount previously authorized by Section 55.1724 or 55.1734
may be used only at Angelo State University for the purposes for
which the bonds for Angelo State University were authorized to be
issued under Section 55.1724 or 55.1734, as applicable.
       (b)  The board may pledge irrevocably to the payment of those
bonds all or any part of the revenue funds of an institution,
branch, or entity of the Texas Tech University System, including
student tuition charges. The amount of a pledge made under this
subsection may not be reduced or abrogated while the bonds for which
the pledge is made, or bonds issued to refund those bonds, are
outstanding.
       (c)  If sufficient funds are not available to the board to
meet its obligations under this section, the board may transfer
funds among institutions, branches, and entities of the Texas Tech
University System to ensure the most equitable and efficient
allocation of available resources for each institution, branch, or
entity to carry out its duties and purposes.
       (d)  Any portion of the proceeds of bonds authorized by this
section for one or more specified projects that is not required for
the specified projects may be used to renovate existing structures
and facilities at the university.
       SECTION 11.  AMENDMENT. Section 62.021(a), Education Code,
is amended to read as follows:
       (a)  In each state fiscal year beginning with the state
fiscal year ending August 31, 2008, an eligible institution is
entitled to receive an amount allocated in accordance with this
section from funds appropriated for that year by Section 17(a),
Article VII, Texas Constitution. The comptroller shall distribute
funds allocated under this subsection only on presentation of a
claim and issuance of a warrant in accordance with Section 403.071,
Government Code. The comptroller may not issue a warrant from any
funds allocated under this subsection before the delivery of goods
or services described in Section 17, Article VII, Texas
Constitution, except for the payment of principal or interest on
bonds or notes or for a payment for a book or other published
library material as authorized by Section 2155.386, Government
Code. The allocation of funds under this subsection is made in
accordance with an equitable formula consisting of the following
elements: space deficit, facilities condition, institutional
complexity, and a separate allocation for the Texas State Technical
College System. The annual amounts allocated by the formula are as
follows:
             (1)  $3,434,348 to Midwestern State University;
             (2)  $26,137,233 to the University of North Texas;
             (3)  $8,139,391 to the University of North Texas Health
Science Center at Fort Worth;
             (4)  $12,882,348 to The University of Texas--Pan
American;
             (5)  $4,186,790 to The University of Texas at
Brownsville;
             (6)  $7,025,771 to Stephen F. Austin State University;
             (7)  to the following component institutions of the
Texas State University System:
                   (A)  $11,210,508 to Lamar University;
                   (B)  $1,115,048 to Lamar State College--Orange;
                   (C)  $1,190,119 to Lamar State College--Port
Arthur;
                   (D)  [$3,585,802 to Angelo State University;
                   [(E)]  $9,916,306 to Sam Houston State
University;
                   (E) [(F)]  $19,799,276 to Texas State
University--San Marcos;
                   (F) [(G)]  $2,043,772 to Sul Ross State
University; and
                   (G) [(H)]  $379,831 to Sul Ross State
University-Rio Grande College;
             (8)  $11,156,463 to Texas Southern University;
             (9)  to the following component institutions of the
Texas Tech University System:
                   (A)  $26,829,477 to Texas Tech University;
                   (B) [(10)]  $17,849,441 to Texas Tech University
Health Sciences Center; and
                   (C)  $3,585,802 to Angelo State University;
             (10) [(11)]  $8,424,209 to Texas Woman's University;
             (11) [(12)]  to the following component institutions
of the University of Houston System:
                   (A)  $35,276,140 to the University of Houston;
                   (B)  $2,282,883 to the University of
Houston--Victoria;
                   (C)  $6,001,337 to the University of
Houston--Clear Lake; and
                   (D)  $9,628,151 to the University of
Houston--Downtown;
             (12) [(13)]  to the following component institutions
of The Texas A&M University System:
                   (A)  $8,278,993 to Texas A&M University--Corpus
Christi;
                   (B)  $3,130,211 to Texas A&M International
University;
                   (C)  $5,052,232 to Texas A&M
University--Kingsville;
                   (D)  $4,776,890 to West Texas A&M University;
                   (E)  $5,345,678 to Texas A&M
University--Commerce; and
                   (F)  $1,646,352 to Texas A&M
University--Texarkana; and
             (13) [(14)]  $5,775,000 to the Texas State Technical
College System Administration and the following component
campuses, but not its extension centers or programs:
                   (A)  Texas State Technical College-Harlingen;
                   (B)  Texas State Technical College--Marshall;
                   (C)  Texas State Technical College--West Texas;
and
                   (D)  Texas State Technical College--Waco.
       SECTION 12.  AMENDMENT. Section 501.022, Labor Code, is
amended to read as follows:
       Sec. 501.022.  EMPLOYEES OF COMPONENT INSTITUTIONS OF TEXAS
TECH UNIVERSITY SYSTEM [EMPLOYEES]. (a)  An eligible employee of
Texas Tech University, Texas Tech University Health Sciences
Center, Angelo State University, or another agency under the
direction and control of the board of regents of Texas Tech
University System [and Texas Tech University Health Sciences
Center] is entitled to participate in the workers' compensation
program for state employees provided under this chapter.
       (b)  For purposes of this chapter, Texas Tech University is a
state agency and shall act in the capacity of employer.
       (c)  For purposes of this chapter, Texas Tech University
Health Sciences Center is a state agency and shall act in the
capacity of employer.
       (d)  For purposes of this chapter, Angelo State University is
a state agency and shall act in the capacity of employer.
       SECTION 13.  REPEALER.  Subchapter B, Chapter 96, Education
Code, is repealed.
       SECTION 14.  EFFECTIVE DATE.  This Act takes effect
September 1, 2007.
____________________________________________________________
   President of the SenateSpeaker of the House      
       I certify that H.B. No. 3564 was passed by the House on April
25, 2007, by the following vote:  Yeas 137, Nays 4, 2 present, not
voting.
______________________________
Chief Clerk of the House   
       I certify that H.B. No. 3564 was passed by the Senate on May
15, 2007, by the following vote:  Yeas 31, Nays 0.
______________________________
Secretary of the Senate    
APPROVED:  _____________________
APPROVED:  _____________________
                   Date          
 
 
          _____________________
                 Governor