TITLE 19. EDUCATION

PART 1. TEXAS HIGHER EDUCATION COORDINATING BOARD

CHAPTER 22. STUDENT FINANCIAL AID PROGRAMS

SUBCHAPTER B. PROVISIONS FOR THE TUITION EQUALIZATION GRANT PROGRAM

19 TAC §§22.24, 22.25, 22.29

The Texas Higher Education Coordinating Board (Coordinating Board) adopts on an emergency basis amendments to §§22.24, 22.25, and 22.29, concerning Provisions for the Tuition Equalization Grant (TEG) Program. The amendments are being adopted on an emergency basis pursuant to Government Code, §2001.034, which allows a state agency to adopt an emergency rule if a requirement of state or federal law requires adoption of the rule on less than 30 days notice.

The Coordinating Board made the finding that these amendments should be adopted on an emergency basis, pursuant to Government Code, §2001.034, because the changes and provisions passed by General Appropriations Act, SB 1, 85th Texas Legislature, Article III-50 have no grandfather clause. Therefore, out-of-state National Merit finalists are not eligible to receive TEG funding out of funds appropriated for FY 2018. Institutions must adjust financial aid packages for the 2017-2018 academic year to remove any TEG that has been awarded to these students. This rule change provides guidance to institutions of higher education and will need to be in place prior to the start of disbursement processing in August 2017.

Specifically, the amendments to these sections strike references to non-resident students (eligible to pay in-state tuition) who are National Merit finalists, because these students are no longer eligible to receive awards through the TEG Program.

The amendments are proposed under the Texas Education Code, §61.229, which provides the Coordinating Board with the authority to adopt rules for the administration of the Tuition Equalization Grant Program.

§22.24.Provisions that Apply Only to 2006 Revised TEG Program Students.

(a) Eligible Students. To receive an award through the TEG Program, a 2006 Revised TEG Program student must:

(1) - (3) (No change.)

(4) be a resident of Texas as determined based on data collected using the Residency Core Questions and in keeping with Chapter 21, Subchapter B of this title (relating to Determination of Resident Status) [, unless such student is a National Merit scholarship finalist and has received a scholarship in the amount required to be eligible to pay Texas resident tuition under the Texas Education Code §54.213(a)];

(5) - (9) (No change.)

(b) - (e) (No change.)

§22.25.Provisions that Apply Only to Original TEG Program Students.

(a) Eligible Students. To receive an award through the TEG Program, an Original TEG Program student must:

(1) - (3) (No change.)

(4) be a resident of Texas as determined based on data collected using the Residency Core Questions and in keeping with Chapter 21, Subchapter B of this title (relating to Determination of Resident Status)[, unless such student is a National Merit scholarship finalist and has received a scholarship in the amount required to be eligible to pay Texas resident tuition under the Texas Education Code §54.213(a)];

(5) - (9) (No change.)

(b) - (e) (No change.)

§22.29.Allocation and Reallocation of Funds.

(a) (No change.)

(b) Allocations for Fiscal Year 2020 and later. Allocations for the TEG Program are to be determined on an annual basis as follows:

(1) (No change.)

(2) The allocation base for each institution choosing to participate will be its three-year average share of the total statewide amount of the Total TEG Need, subject to the limits in Texas Education Code, §61.227(c) and (e), based on the students who met the following criteria:

(A) - (C) (No change.)

(D) Classified as a Resident of Texas[, unless such student is a National Merit scholarship finalist and has received a scholarship in the amount required to be eligible to pay Texas resident tuition under the Texas Education Code §54.213(a)];

(E) - (H) (No change.)

(3) - (8) (No change.)

(c) - (d) (No change.)

The agency certifies that legal counsel has reviewed the emergency adoption and found it to be within the state agency's legal authority to adopt.

Filed with the Office of the Secretary of State on July 28, 2017.

TRD-201702817

Bill Franz

General Counsel

Texas Higher Education Coordinating Board

Effective date: 7/28/2017

Expiration date: 11/24/2017

For further information, please call: (512) 427-6104