The UT System board must administer the fund, invest it to preserve purchasing power, and limit use of fund money to the listed exceptions.
Sec. 63.002. ADMINISTRATION AND USE OF FUND. (a) The board of regents of The University of Texas System shall administer the fund. The board may manage and invest the fund in the same manner as the board manages and invests other permanent endowments. In administering the fund, the board shall invest any funds in a manner that preserves the purchasing power of the fund's assets and the fund's annual distributions. The board shall determine the amount available for distribution from the fund in a manner consistent with the board's procedures for making distributions to other endowment beneficiaries. The amount available for distribution shall be determined by the investment and distribution policy for the fund's assets adopted by the board. Expenses of managing the fund's assets shall be paid from the fund. (b) Except as provided by Subsections (c), (d), and (f), money in the fund may not be used for any purpose. (c) The amount available for distribution from the fund may be appropriated only for programs that benefit medical research, health education, or treatment programs at the following health-related institutions of higher education: (1) The University of Texas Health Science Center at San Antonio; (2) The University of Texas M. D. Anderson Cancer Center; (3) The University of Texas Southwestern Medical Center; (4) The University of Texas Medical Branch at Galveston; (5) The University of Texas Health Science Center at Houston; (6) The University of Texas Health Science Center at Tyler; (7) The University of Texas Health Science Center--South Texas and its component institutions, if established under Subchapter N, Chapter 74; (8) The Texas A&M University Health Science Center; (9) the University of North Texas Health Science Center at Fort Worth; (10) the Texas Tech University Health Sciences Center; (11) the Texas Tech University Health Sciences Center at El Paso; (12) the University of Houston College of Medicine; (13) the Sam Houston State University College of Osteopathic Medicine; (14) the Dell Medical School at The University of Texas at Austin; and (15) Baylor College of Medicine, if a contract between Baylor College of Medicine and the Texas Higher Education Coordinating Board is in effect under Section 61.092. (d) The governing board of a health-related institution of higher education entitled to receive money under this subchapter may solicit and accept gifts and grants to the fund. A gift or grant to the fund shall be appropriated and distributed and may be used in the same manner as an amount appropriated under Section 63.003, subject to any limitation or requirement placed on the gift or grant by the donor or granting entity. (e) Sections 403.095 and 404.071, Government Code, do not apply to the fund. Section 404.094(d), Government Code, applies to the fund. (f) An institution of higher education that has accepted a gift under Subchapter I, Chapter 51, that was conditioned on the receipt by the institution of state matching funds from the eminent scholars fund may use money the institution receives under this subchapter to provide the state matching funds, treating that amount as if it were a distribution to the institution from the eminent scholars fund for purposes of Subchapter I, Chapter 51. Added by Acts 1999, 76th Leg., ch. 1402, Sec. 1, eff. Aug. 30, 1999. Amended by: Acts 2009, 81st Leg., R.S., Ch. 1341 (S.B. 98), Sec. 4, eff. June 19, 2009. Acts 2013, 83rd Leg., R.S., Ch. 65 (S.B. 120), Sec. 14, eff. May 18, 2013. Acts 2013, 83rd Leg., R.S., Ch. 179 (H.B. 1844), Sec. 7, eff. September 1, 2013. Acts 2019, 86th Leg., R.S., Ch. 8 (H.B. 826), Sec. 7, eff. May 1, 2019. Acts 2019, 86th Leg., R.S., Ch. 294 (H.B. 2867), Sec. 7, eff. May 29, 2019. Acts 2019, 86th Leg., R.S., Ch. 517 (S.B. 479), Sec. 3, eff. June 7, 2019. Acts 2021, 87th Leg., R.S., Ch. 915 (H.B. 3607), Sec. 5.025, eff. September 1, 2021.