(1) Prior to fall 2014, all institutions of higher
education are eligible to participate in the TEXAS Grant program.
Beginning with awards for fall 2014, the only institutions eligible
to make initial and continuation awards in the program are medical
and dental units and general academic teaching institutions other
than the public state colleges. Other institutions of higher education,
including public state colleges, are only eligible to make continuation
awards, and can make continuation awards only to persons who received
TEXAS grant awards prior to fall 2014.
(2) No institution may, on the grounds of race, color,
national origin, gender, religion, age, or disability exclude an individual
from participation in, or deny the benefits of the program described
in this subchapter.
(3) Each institution must follow the Civil Rights Act
of 1964, Title VI (Public Law 88-353) in avoiding discrimination in
(1) Agreement. Each eligible institution must enter
into an agreement with the Board, the terms of which shall be prescribed
by the Commissioner.
(2) Approval Deadline. An institution must be approved
by April 1 in order for qualified students enrolled in that institution
to be eligible to receive grants in the following fiscal year.
(1) Probation Notice. If the institution is placed
on public probation by its accrediting agency, it must immediately
advise the Board and grant recipients of this condition and maintain
evidence in each student's file to demonstrate that the student was
(2) Disbursements to Students.
(A) Documentation. The institution must maintain records
to prove the receipt of program funds by the student or the crediting
of such funds to the student's school account.
(B) Procedures in Case of Illegal Disbursements. If
the Commissioner has reason for concern that an institution has disbursed
funds for unauthorized purposes, the Board will notify the Program
Officer and financial aid officer and offer an opportunity for a hearing
pursuant to the procedures outlined in Chapter 1 of this title (relating
to Agency Administration). Thereafter, if the Board determines that
funds have been improperly disbursed, the institution shall become
primarily responsible for restoring the funds to the Board. No further
disbursements of grants or scholarships shall be permitted to students
at that institution until the funds have been repaid.
(3) Reporting and Refunds.
(A) Requirements/Deadlines. All institutions must meet
Board reporting requirements in a timely fashion. Such reporting requirements
shall include reports specific to allocation and reallocation of grant
funds (including the Financial Aid Database Report) as well as progress
and year-end reports of program activities.
(B) Penalties for Late Reports or Refunds.
(i) An institution that postmarks or electronically
submits a report a week or more after its due date will be ineligible
to receive additional funding through the reallocation occurring at
(ii) The Commissioner may penalize an institution by
reducing its allocation of funds in the following year by up to 10%
for each report that is postmarked or submitted electronically more
than a week late. The penalty may also be invoked if the report is
timely, but refunds owed to the Program by the institution are not
made to the Board or the State Comptroller's Office within one week
(iii) The Commissioner may assess more severe penalties
against an institution if any report or refund is received by the
Board more than one month after its due date.
(iv) The maximum penalty for a single year is 30 percent
of the school's allocation. If penalties are invoked in two consecutive
years the institution may be penalized an additional 20 percent.
(C) Appeal of Penalty. If the Commissioner determines
that a penalty is appropriate, the institution will be notified by
certified mail, addressed to the Program Officer with a copy sent
to the financial aid officer. Within 21 days from the time that the
Program Officer receives the written notice, the institution must
submit a written response appealing the Board's decision, or the penalty
shall become final and no longer subject to an appeal. An appeal under
this section will be conducted in accordance with the rules provided
in Chapter 1 of this title (relating to Agency Administration).
(4) Program Reviews. If selected for such by the Board,
participating institutions must submit to program reviews of activities
related to the TEXAS Grant Program.
|Source Note: The provisions of this §22.227 adopted to be effective August 16, 2004, 29 TexReg 7988; amended to be effective November 28, 2005, 30 TexReg 7869; amended to be effective February 26, 2014, 39 TexReg 1143