TITLE: Relating to prohibiting public institutions of higher education and employees of public institutions of higher education and their spouses from soliciting or accepting gifts, grants, donations, or investments from certain foreign entities.

SUMMARY: Relating to prohibiting public institutions of higher education and employees of public institutions of higher education and their spouses from soliciting or accepting gifts, grants, donations, or investments from certain foreign entities.

FULL TEXT:
AN ACT relating to prohibiting public institutions of higher education and employees of public institutions of higher education and their spouses from soliciting or accepting gifts, grants, donations, or investments from certain foreign entities. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter Z, Chapter 51, Education Code, is amended by adding Section 51.984 to read as follows: Sec. 51.984. PROHIBITION ON SOLICITING OR ACCEPTING GIFTS, GRANTS, DONATIONS, OR INVESTMENTS FROM CERTAIN FOREIGN ENTITIES. (a) In this section: (1) "Designated country" means: (A) a country identified by the United States director of national intelligence as a country that poses a risk to the national security of the United States in at least one of the three most recent Annual Threat Assessments of the U.S. Intelligence Community issued pursuant to Section 108B, National Security Act of 1947 (50 U.S.C. Section 3043b); and (B) a country designated by the governor after consultation with the director of the Department of Public Safety. (2) "Institution of higher education" has the meaning assigned by Section 61.003. (b) Notwithstanding any other law, an institution of higher education or an employee or spouse of an employee of an institution of higher education in the employee's or spouse's official or private capacity may not solicit or accept a gift, grant, donation, or investment from: (1) a governmental entity of a designated country; (2) a political party of a designated country, including private money from any party member; or (3) a company: (A) that is headquartered in a designated country; and (B) in which a governmental entity of a designated country holds an ownership interest. (c) An institution of higher education shall include in any employment contract entered into between the institution and an employee a prohibition against the conduct described by Subsection (b) by the employee or spouse of the employee. (d) An institution of higher education or an employee or spouse of an employee of an institution of higher education shall return any money or other thing of value received in violation of this section during the preceding state fiscal biennium to the entity or entities that provided the money or other thing of value to the institution, employee, or spouse of the employee. (e) The Texas Higher Education Coordinating Board may adopt rules as necessary to implement this section. SECTION 2. Section 51.984(c), Education Code, as added by this Act, applies only to a contract entered into or renewed on or after the effective date of this Act. A contract entered into or renewed before that date is governed by the law in effect on the date the contract was entered into or renewed, and the former law is continued in effect for that purpose. SECTION 3. This Act takes effect September 1, 2025.