(a) This section applies only to a person who:
(1) was eligible to receive an initial TEXAS grant in an academic year for which sufficient money was not available through legislative appropriations to allow the coordinating board to award initial TEXAS grants to at least 10 percent of the persons eligible for initial TEXAS grants in that year, as determined by the coordinating board;
(2) has not previously been awarded a TEXAS grant; and
(3) has not received a baccalaureate degree.
(b) Provided that the person meets the requirements described by § 56.305(a), a person to whom this section applies is eligible to receive an initial TEXAS grant in any academic year in which funding is sufficient to award initial TEXAS grants to eligible applicants for that year. The person’s eligibility for an initial TEXAS grant under this section is not affected by:
(1) the period for which the person has been enrolled at an eligible institution; or
(2) any statutory changes to the eligibility requirements for initial TEXAS grants that are enacted after the person first established eligibility for an initial TEXAS grant as described by Subsection (a)(1).

(c) A person who is eligible for an initial TEXAS grant under this section is entitled to the highest priority as described by § 56.303(f) if the person was entitled to that priority when the person first established eligibility for an initial TEXAS grant as described by Subsection (a)(1).
(d) A person who receives an initial TEXAS grant under this section:
(1) may receive subsequent TEXAS grants as provided by § 56.305; and
(2) is not entitled to TEXAS grants for any previously completed academic year.