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THECB committee reviews 89th legislative session, highlights major investments in student aid, research and technology

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Summary

At a July 23 meeting of the Higher Education Coordinating Board’s Agency Operations Committee, staff summarized outcomes from the 89th Texas Legislature, including large appropriations for research, data modernization and student financial aid and new statutory duties tied to outreach tools and application-fee waivers.

Glenna Brune, associate commissioner for public affairs at the Higher Education Coordinating Board, briefed the board’s Agency Operations Committee on July 23 about policy and funding outcomes from the 89th Texas Legislature and related federal developments.

Brune told the committee that the Legislature funded several of THECB’s priority “exceptional items,” including $400,900,000 for research and innovation, $15,000,000 for data and technology modernization, and $320,000,000 in additional student financial aid — “a 22% increase over the prior biennium,” she said. “This session's resulting strategic investments show that legislators and leadership are serious about account accessibility, predictability, and transferability in higher education,” Brune said.

The funding package includes direction and program changes staff said are intended to increase predictability for students and expand aid portability. Brune summarized several specific program changes: guaranteed state financial aid for eligible high‑school graduates in the top 25% of their class; continued portability so students who received a TEOG grant at a two‑year college may keep receiving aid through the Texas Grant after transferring to a four‑year institution if they meet GPA and other eligibility requirements; an expansion of the share of students eligible for Texas Grant, TEOG and related programs to 67.5%; maintenance of the Texas Leadership Scholars Program cohort size at 300; and an increase in the maximum award for the Texas Armed Services Scholarship Program (TASP) from $15,000 to $30,000.

Brune highlighted several bills and administrative implications referenced during her presentation. She said Senate Bill 2314 requires high‑school students to choose whether to opt in to direct admissions and requires colleges and universities to prominently link to My Texas Future from admissions websites, with school districts and charter schools required to inform students and families about My Texas Future and support profile creation and updates. She said Senate Bill 2231 designates the second full week of October (Oct. 13–19) as free college application week, enabling students to apply to any public college or university for undergraduate admission without a fee. Brune also described Senate Bill 1786 as furthering outcomes‑based funding for community colleges and coordinating workforce and career and technical education efforts.

On programmatic questions, committee members asked how the free application week was selected and whether a week would be long enough to expand applications. Brune said timing and cost constraints drove the choice and that the agency will monitor results and report back to the board. “Most high schoolers will have trouble getting within a month,” she said, and the agency will track whether the week increases applications.

Brune also noted the Legislature appropriated funds contingent on other statutory changes: she described an appropriation tied to the Texas Research Incentive Program (TRIP) that was authorized to address a backlog but said the Legislature also passed a bill repealing that program and provided funding to meet outstanding obligations. She said the agency will continue to monitor program and appropriation details as implementation proceeds.

Brune closed by noting federal developments that could affect higher education finance, including provisions in federal HR 1 that address FAFSA asset exemptions, loan limits, repayment options and short‑term Pell eligibility for workforce credentials; she said the agency will share more detailed guidance with institutions as it becomes available. She also reminded the committee the agency will publish a legislative report in August and that the Higher Edge conference will be held Dec. 8–10 at the AT&T Center in Austin.

Why it matters: Committee members and agency staff said the session’s investments materially expand the state’s role in student aid, research, and the data infrastructure that supports admissions and advising. The decisions will change THECB’s program responsibilities and the scale of funds the agency administers beginning with the next biennium.

Brune said staff will return with implementation details and monitoring metrics as the agency begins to operationalize the funded items and statutory directives.