(a) In this section: (1) “Available fund” means the available workforce education fund. (2) “Permanent fund” means the permanent technical institution infrastructure fund. (b) The permanent technical institution infrastructure fund and the available workforce education fund are established as special funds in the state treasury outside the general revenue fund to be administered as provided by this section without further appropriation for the purpose of providing a dedicated source of funding for capital projects and equipment purchases related to educational programs offered by the Texas State Technical College System. (c) The permanent fund consists of: (1) money appropriated, credited, transferred, or deposited to the credit of the fund by this section or as authorized by other law; (2) any interest or other earnings attributable to the investment of money in the fund; and (3) gifts, grants, and donations made to the fund. (d) The available fund consists of: (1) money distributed to the fund from the permanent fund as provided by this section; (2) money appropriated, credited, transferred, or deposited to the credit of the fund by this section or as authorized by other law; (3) any interest or other earnings attributable to the investment of money in the fund; and (4) gifts, grants, and donations made to the fund. (e) The comptroller of public accounts or the board of regents of the Texas State Technical College System may establish accounts in the available fund as necessary to administer the fund or pay for projects authorized under this section. (f) The comptroller of public accounts shall hold, manage, and invest the permanent fund. In managing the assets of the fund, the comptroller may acquire, exchange, sell, supervise, manage, or retain any kind of investment that a prudent investor, exercising reasonable care, skill, and caution, would acquire or retain in light of the purposes, terms, distribution needs, and other circumstances of the fund, taking into consideration the investment of all the assets of the fund rather than a single investment. The expenses of managing the investments of the fund shall be paid from the fund. (g) Money may not be appropriated or transferred from the permanent fund or the available fund except as provided by this section. (h) The comptroller of public accounts shall determine the amount available for distribution from the permanent fund to the available fund for each fiscal year in accordance with a distribution policy adopted by the comptroller. The amount available for distribution: (1) must be determined in a manner intended to: (A) provide the available fund with a stable and predictable stream of annual distributions; and (B) preserve over a rolling 10-year period the purchasing power of the permanent fund; and (2) may not exceed 5.5 percent of the fair market value of the investment assets of the permanent fund, as determined by the comptroller. (i) For each state fiscal year, on request of the board of regents of the Texas State Technical College System, the comptroller of public accounts shall distribute an amount that does not exceed the amount determined under Subsection (h) of this section from the permanent fund to the available fund for purposes of this section. (j) The amount distributed from the permanent fund to the available fund under Subsection (i) of this section is appropriated to the board of regents of the Texas State Technical College System for: (1) acquiring land, either with or without permanent improvements; (2) constructing and equipping buildings or other permanent improvements; (3) major repair and rehabilitation of buildings and other permanent improvements; (4) acquiring capital equipment, including instructional equipment, virtual reality or augmented reality equipment, heavy industrial equipment, and vehicles; (5) acquiring library books and materials, including digital or electronic library books and materials; (6) payment of the principal and interest due on the bonds and notes issued by the respective board of regents to finance permanent improvements as authorized by other law; and (7) any other purpose authorized by general law. (k) Notwithstanding any other provision of this section, money appropriated from the available fund under this section may not be used for the purpose of constructing, equipping, repairing, or rehabilitating buildings or other permanent improvements that are to be used for intercollegiate athletics or auxiliary enterprises. (l) An institution, other than a component institution of the Texas State Technical College System, that is entitled to participate in dedicated funding provided by Section 17 or 18 of this article may not be entitled to participate in the funding provided by this section. (m) This section does not impair any obligation created by the issuance of bonds or notes in accordance with prior law, including bonds or notes issued under Section 17 of this article, and all outstanding bonds and notes shall be paid in full, both principal and interest, in accordance with their terms. If
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(a) In this section: (1) “Available fund” means the available workforce education fund. (2) “Permanent fund” means the permanent technical institution infrastructure fund. (b) The permanent technical institution infrastructure fund and the available workforce education fund are established as special funds in the state treasury outside the general revenue fund to be administered as provided by this section without further appropriation for the purpose of providing a dedicated source of funding for capital projects and equipment purchases related to educational programs offered by the Texas State Technical College System. (c) The permanent fund consists of: (1) money appropriated, credited, transferred, or deposited to the credit of the fund by this section or as authorized by other law; (2) any interest or other earnings attributable to the investment of money in the fund; and (3) gifts, grants, and donations made to the fund. (d) The available fund consists of: (1) money distributed to the fund from the permanent fund as provided by this section; (2) money appropriated, credited, transferred, or deposited to the credit of the fund by this section or as authorized by other law; (3) any interest or other earnings attributable to the investment of money in the fund; and (4) gifts, grants, and donations made to the fund. (e) The comptroller of public accounts or the board of regents of the Texas State Technical College System may establish accounts in the available fund as necessary to administer the fund or pay for projects authorized under this section. (f) The comptroller of public accounts shall hold, manage, and invest the permanent fund. In managing the assets of the fund, the comptroller may acquire, exchange, sell, supervise, manage, or retain any kind of investment that a prudent investor, exercising reasonable care, skill, and caution, would acquire or retain in light of the purposes, terms, distribution needs, and other circumstances of the fund, taking into consideration the investment of all the assets of the fund rather than a single investment. The expenses of managing the investments of the fund shall be paid from the fund. (g) Money may not be appropriated or transferred from the permanent fund or the available fund except as provided by this section. (h) The comptroller of public accounts shall determine the amount available for distribution from the permanent fund to the available fund for each fiscal year in accordance with a distribution policy adopted by the comptroller. The amount available for distribution: (1) must be determined in a manner intended to: (A) provide the available fund with a stable and predictable stream of annual distributions; and (B) preserve over a rolling 10-year period the purchasing power of the permanent fund; and (2) may not exceed 5.5 percent of the fair market value of the investment assets of the permanent fund, as determined by the comptroller. (i) For each state fiscal year, on request of the board of regents of the Texas State Technical College System, the comptroller of public accounts shall distribute an amount that does not exceed the amount determined under Subsection (h) of this section from the permanent fund to the available fund for purposes of this section. (j) The amount distributed from the permanent fund to the available fund under Subsection (i) of this section is appropriated to the board of regents of the Texas State Technical College System for: (1) acquiring land, either with or without permanent improvements; (2) constructing and equipping buildings or other permanent improvements; (3) major repair and rehabilitation of buildings and other permanent improvements; (4) acquiring capital equipment, including instructional equipment, virtual reality or augmented reality equipment, heavy industrial equipment, and vehicles; (5) acquiring library books and materials, including digital or electronic library books and materials; (6) payment of the principal and interest due on the bonds and notes issued by the respective board of regents to finance permanent improvements as authorized by other law; and (7) any other purpose authorized by general law. (k) Notwithstanding any other provision of this section, money appropriated from the available fund under this section may not be used for the purpose of constructing, equipping, repairing, or rehabilitating buildings or other permanent improvements that are to be used for intercollegiate athletics or auxiliary enterprises. (l) An institution, other than a component institution of the Texas State Technical College System, that is entitled to participate in dedicated funding provided by Section 17 or 18 of this article may not be entitled to participate in the funding provided by this section. (m) This section does not impair any obligation created by the issuance of bonds or notes in accordance with prior law, including bonds or notes issued under Section 17 of this article, and all outstanding bonds and notes shall be paid in full, both principal and interest, in accordance with their terms. If this section conflicts with any other provision of this constitution, this section prevails. (n) Money appropriated under Subsection (j) of this section that is not spent during the state fiscal year for which the appropriation is made is retained by the Texas State Technical College System and may be spent in a subsequent state fiscal year for a purpose for which the appropriation was made. (o) The sum of the amount allocated to the Texas State Technical College System under Section 17 of this article and the amount distributed to the system under this section may not exceed: (1) for the state fiscal year beginning September 1, 2025, $52 million; and (2) for a state fiscal year beginning on or after September 1, 2026, the amount determined under this subsection for the preceding state fiscal year adjusted by the increase, if any, in the rate of inflation during the preceding state fiscal year, as determined by the comptroller of public accounts on the basis of changes in the most recent construction cost index published by the Engineering News-Record or, if that index is unavailable, a comparable cost index determined by the comptroller. (p) If the sum of the amounts described by Subsection (o) of this section would exceed the limit provided under Subsection (o) for a state fiscal year: (1) the amount allocated to the system under Section 17 of this article shall be reduced until the limit is met or the amount allocated is reduced to zero; and (2) if necessary after the reduction under Subdivision (1) of this subsection, the amount distributed to the system under this section shall be reduced until the limit is met or the amount distributed is reduced to zero. (Added Nov. 4, 2025.) This page intentionally left blank.