H.B. No. 4234 introduces a new requirement for general academic teaching institutions in Texas to include specific grading information on student transcripts. The bill mandates that for each class a student attempts, the transcript must display either the average grade awarded to all students in that class or, if letter grades are given, the median grade awarded. This information is to be placed immediately to the right of the student's individual grade. However, the requirement does not apply to classes offered on a pass-fail basis, independent study credits, or classes with 10 or fewer students.

The Texas Higher Education Coordinating Board is tasked with adopting rules to implement this new section, which is set to take effect starting with the fall semester of 2025. The bill allows for the adoption of initial rules through emergency procedures to ensure timely implementation. The act will take effect immediately if it receives a two-thirds majority vote in both houses; otherwise, it will become effective on September 1, 2025.

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