Texas Senate Higher Education Committee reviews SB 37 implementation and UT permanent fund use

August 1, 2026

The Senate Committee on Higher Education met Tuesday and Wednesday to evaluate two central topics: the rollout of SB 37 and the use of the Permanent University Fund for university affordability efforts.

On Tuesday lawmakers focused on SB 37, the 2025 law that expanded governing board authority over curriculum and shifted faculty senates to advisory roles. Brandon Creighton, chancellor of the Texas Tech University System and the bill's author when he served in the Senate, told the committee his system has reviewed more than 14,000 courses to meet the law's review requirements. Of those, 92 underwent formal review by the Texas Tech Board of Regents, and 60 courses were changed.

The bill requires every Texas public university, including the University of Texas institutions, to finish their curriculum reviews by January 1, 2027. Committee members are carrying out the review as part of interim charges to study recent higher education laws ahead of the 2027 legislative session.

Tuesday's hearing also covered the new Office of the Ombudsman at the Texas Higher Education Coordinating Board, created by SB 37 to handle complaints tied to SB 17. Brandon Simmons, who leads the ombudsman office and directs institutional policy and oversight at THECB, said the office has received 73 complaints since it opened, launched two formal investigations into alleged SB 17 violations, and set up procedures for future complaint reviews.

On Wednesday the committee shifted to university finances, scrutinizing how the Permanent University Fund supports institutions within the UT and Texas A&M systems and how those resources fund affordability programs. Committee Chair Paul Bettencourt referenced a biblical passage to emphasize the committee's expectation that the systems use their resources responsibly.

UT System Chair Kevin Eltife told senators that in May 2025 the Board of Regents raised the annual distribution from the Permanent University Fund to the constitutional maximum of 7 percent. He said the increase allows more investment in capital projects and student aid while protecting the fund's long term value.

Eltife outlined Promise Plus, a UT System program that covers tuition and mandatory fees for Texas resident undergraduates with financial need at any UT System institution. The Board expanded eligibility in 2024 from family incomes up to $65,000 to $100,000, using distributions routed through the Available University Fund. Eltife said the program has reached more than 41,000 students. He also noted housing remains a major cost barrier in Austin and that UT Austin is pursuing a privately funded endowment to support housing assistance.

Lawmakers said the hearings will inform their oversight and any legislative planning before the Legislature reconvenes in January 2027.