HBA-KDB C.S.H.B. 3590 77(R)BILL ANALYSIS Office of House Bill AnalysisC.S.H.B. 3590 By: Hunter Higher Education 4/17/2001 Committee Report (Substituted) BACKGROUND AND PURPOSE The National Geographic Society (society) has offered to establish an endowment fund to support geography education in Texas. While the society maintains control of the endowment, an advisory committee for each state is established to make funding recommendations. C.S.H.B. 3590 establishes the Texas Fund for Geography Education under the auspices of the Texas Higher Education Coordinating Board and creates a seven-member advisory committee to propose funding recommendations that would support geographic education programs. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS C.S.H.B. 3590 amends the Education Code to establish the Texas Fund for Geography Education(fund). The purpose of the fund is to create an endowment to support geographic education programs in Texas, improve the quality of geography education in Texas, and promote a better understanding of Texas by all of its citizens. The bill authorizes the Texas Higher Education Coordinating Board (board) to enter into an agreement with the National Geographic Society of Washington D.C. (society) to operate the fund. The bill provides that the agreement must include the following conditions: appropriated money is authorized to be deposited to the fund only in an amount equal to matching funds deposited to the fund by the society from other sources; the society is required to provide to the board an annual report describing the fund's investments, earnings, operating procedures, and major programs; and in the event that the board determines that the public purposes are not being accomplished, the fund is required to be dissolved. If the fund is dissolved, the bill requires one-half of the fund balance to be distributed to the general revenue fund and the remainder of the fund balance to be returned to the donors of any amount deposited to the fund for the preceding five years in proportion to the amount of the donation, if the donor accepts the return of the donation. Any remainder of the fund balance is required to go to the society. The bill authorizes the board to transfer to the society for deposit to the fund any amounts appropriated to the board for that purpose. The bill requires the society to award grants from the fund to the institutions of higher education to promote the purposes of the fund. The bill requires the board to appoint an advisory committee consisting of seven persons who have expertise and an interest in geography education to assist the society in awarding grants from the fund. The bill requires the advisory committee on behalf of the society to solicit proposals from institutions of higher education for use of proceeds from the fund and to recommend to the board those that best meet the purposes of the fund. The advisory committee is subject to provisions relating to state agency advisory committees. The bill requires the board, not later than December 1 of each even-numbered year, to report to the governor and the legislature the value of the fund and the membership of the advisory committee, a summary of each project supported by a grant of the fund during the preceding state fiscal biennium, and other information the board considers appropriate. EFFECTIVE DATE On passage, or if the Act does not receive the necessary vote, the Act takes effect September 1, 2001. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.H.B. 3590 modifies the original bill by renaming the National Geographic Society Texas Fund as the Texas Fund for Geography Education (fund). The substitute modifies the original by requiring one-half of the fund balance, if the fund is dissolved, to be distributed to the general revenue fund and the remainder of the fund balance to be returned to the donors of any amount deposited to the fund for the preceding five years in proportion to the amount of the donation, if the donor accepts the return of the donation. The substitute requires any remainder of the fund balance to go to the National Geographic Society (society). The substitute adds new language to require the society to award grants from the fund to institutions of higher education to promote the purposes of the fund. The substitute modifies the reporting requirements to include a summary of each supported project during the preceding, instead of the current, fiscal biennium. The substitute modifies the effective date from September 1, 2001, if funds are appropriated for the fund by the legislature, to on passage, or if the Act does not receive the necessary vote, the Act takes effect September 1, 2001. The substitute conforms the original to Texas Legislative Council style and format.