1. (a) Except as provided by Subsection (c), an institution of higher education or employee of an institution of higher education may not accept a gift the institution or employee knows is directly or indirectly offered from a foreign source of a foreign adversary unless the gift is of de minimis value, as determined by coordinating board rule in consultation with the council.

2. (b) An institution of higher education shall:

   1. (1) include the prohibition described by Subsection (a) in the institution's ethics policy; and
   2. (2) create a mechanism by which an employee of the institution may report being offered from a foreign source of a foreign adversary a gift prohibited by Subsection (a).

3. (c) An institution of higher education may accept a gift of more than de minimis value from a citizen of a foreign adversary only if:

   1. (1) the citizen is an individual;
   2. (2) the institution uses the best practices adopted by the council under Section 51.957(h)(1)(B) to vet and approve the gift; and
   3. (3) if the gift has a value of more than $25,000, the gift is approved by the chief executive officer of the institution and disclosed to the council at an interval established by the council.
4. (d) A gift described by Subsection (c) is not subject to disclosure under Chapter 552, Government Code, except as otherwise required by federal or state law.
5. (e) Each institution of higher education that submits reporting on foreign gift and contract disclosures to the United States Department of Education required under Section 117, Higher Education Act of 1965 (20 U.S.C. Section 1001 et seq.), shall submit that reporting to the coordinating board at the time when the institution is required to submit that reporting to the United States Department of Education.
6. (f) Not later than December 1 of each year, the coordinating board shall submit to the governor, the lieutenant governor, and the speaker of the house of representatives a report detailing the information submitted by institutions of higher education under Subsection (e) for that year.
7. (g) Information required to be reported under this section is not confidential except as otherwise provided by federal or state law or unless protected as a trade secret by federal or state law.

Added by Acts 2025, 89th Leg., R.S., Ch. 1071 (H.B. 127), Sec. 2, eff. September 1, 2025.