H.B. No. 5265 proposes the establishment of the Texas Health Care Workforce Education Fund, aimed at providing dedicated funding to general academic teaching institutions to increase the production of health care professional degrees in response to workforce needs in Texas. The bill amends Section 62.003(1) of the Education Code to include Subchapter J, which defines "eligible institution" and introduces the new fund. The fund will be administered by the comptroller and invested by the Texas Treasury Safekeeping Trust Company, with provisions for the management of expenses and distribution of funds to eligible institutions based on specific criteria.

The bill outlines the eligibility requirements for institutions to receive distributions, including designations as comprehensive, doctoral, or master's universities and the awarding of health care professional degrees in the preceding fiscal year. It specifies the allocation of appropriated funds, with 95% directed to a permanent endowment for health care workforce education and 5% to a startup fund for new or expanded health care degree programs. The act is set to take effect on September 1, 2026, contingent upon the approval of a constitutional amendment by voters that would establish the fund.

Statutes affected:
Introduced: Education Code 62.003 (Education Code 62)
House Committee Report: Education Code 62.003 (Education Code 62)
Engrossed: Education Code 62.003 (Education Code 62)