Bill Text: TX HB5170 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to public school finance and public education.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2023-03-24 - Referred to Public Education [HB5170 Detail]
Download: Texas-2023-HB5170-Introduced.html
By: Dutton | H.B. No. 5170 |
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relating to public school finance and public education. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 30.003, Education Code, is amended by | ||
adding Subsection (b-1) and amending Subsection (f-1) to read as | ||
follows: | ||
(b-1) For purposes of subsection (b), the maintenance and | ||
debt service taxes imposed by the district is reduced by the | ||
district's amount of local revenue in excess of entitlement for | ||
that year under Section 48.257. | ||
(f-1) The commissioner shall determine the total amount | ||
that the Texas School for the Blind and Visually Impaired and the | ||
Texas School for the Deaf would have received from school districts | ||
in accordance with this section if the following provisions had not | ||
reduced the districts' share of the cost of providing education | ||
services: | ||
(1) H.B. No. 1, Acts of the 79th Legislature, 3rd | ||
Called Session, 2006; | ||
(2) Section 45.0032; | ||
(3) Section 48.255; |
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(4) Section 48.2551 |
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(5) Section 30.003 (b-1). | ||
Section 2. Section 46.003, Education Code, is amended by | ||
amending Subsection (a) to read as follows: | ||
Sec. 46.003. SCHOOL FACILITIES ALLOTMENT. (a) For each | ||
year, except as provided by Sections 46.005 and 46.006, a school | ||
district is guaranteed a specified amount per student in state and | ||
local funds for each cent of tax effort, up to the maximum rate | ||
under Subsection (b), to pay the principal of and interest on | ||
eligible bonds issued to construct, acquire, renovate, or improve | ||
an instructional facility. The amount of state support is | ||
determined by the formula: | ||
FYA = (FYL X ADA X BTR X 100) - (BTR X (DPV/100)) | ||
where: | ||
"FYA" is the guaranteed facilities yield amount of state | ||
funds allocated to the district for the year; | ||
"FYL" is the dollar amount guaranteed level of state and | ||
local funds per student per cent of tax effort, which is $45 |
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greater amount for any year provided by appropriation; | ||
"ADA" is the greater of the number of students in average | ||
daily attendance, as determined under Section 48.005, in the | ||
district or 400; | ||
"BTR" is the district's bond tax rate for the current year, | ||
which is determined by dividing the amount budgeted by the district | ||
for payment of eligible bonds by the quotient of the district's | ||
taxable value of property as determined under Subchapter M, Chapter | ||
403, Government Code, or, if applicable, Section 48.258, divided by | ||
100; and | ||
"DPV" is the district's taxable value of property as | ||
determined under Subchapter M, Chapter 403, Government Code, or, if | ||
applicable, Section 48.258. | ||
Section 3. Section 46.032, Education Code, is amended by | ||
amending Subsection (a) to read as follows: | ||
Sec. 46.032. ALLOTMENT. (a) Each school district is | ||
guaranteed a specified amount per student in state and local funds | ||
for each cent of tax effort to pay the principal of and interest on | ||
eligible bonds. The amount of state support, subject only to the | ||
maximum amount under Section 46.034, is determined by the formula: | ||
EDA = (EDGL X ADA X EDTR X 100) - (EDTR X (DPV/100)) | ||
where: | ||
"EDA" is the amount of state funds to be allocated to the | ||
district for assistance with existing debt; | ||
"EDGL" is the dollar amount guaranteed level of state and | ||
local funds per student per cent of tax effort, which is |
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appropriation |
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"ADA" is the number of students in average daily attendance, | ||
as determined under Section 48.005, in the district; | ||
"EDTR" is the existing debt tax rate of the district, which is | ||
determined by dividing the amount budgeted by the district for | ||
payment of eligible bonds by the quotient of the district's taxable | ||
value of property as determined under Subchapter M, Chapter 403, | ||
Government Code, or, if applicable, under Section 48.258, divided | ||
by 100; and | ||
"DPV" is the district's taxable value of property as | ||
determined under Subchapter M, Chapter 403, Government Code, or, if | ||
applicable, under Section 48.258. | ||
Section 4. Section 48.0071, Education Code, is amended by | ||
amending Subsection (d) as follows: | ||
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Section 5. Section 48.051, Education Code, is amended by | ||
amending Subsection (a) and adding Subsection (e) to read as | ||
follows: | ||
(a) For each student in average daily attendance, not | ||
including the time students spend each day in special education | ||
programs in an instructional arrangement other than mainstream or | ||
career and technology education programs, for which an additional | ||
allotment is made under Subchapter C, a district is entitled to an | ||
allotment equal to the lesser of $6,210 |
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results from the following formula: | ||
A = $6,210 |
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where: | ||
"A" is the allotment to which a district is entitled; | ||
"TR" is the district's tier one maintenance and operations | ||
tax rate, as provided by Section 45.0032. |
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"MCR" is the district's maximum compressed tax rate, as | ||
determined under Section 48.2551 |
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"IF" is the statewide inflation factor determined under | ||
Section 48.0512. | ||
(b) A greater amount for any school year may be provided by | ||
appropriation. | ||
(c) During any school year for which the maximum amount of | ||
the basic allotment provided under Subsection (a) or (b) is greater | ||
than the maximum amount provided for the preceding school year, a | ||
school district must use at least 30 percent of the amount, if the | ||
amount is greater than zero, that equals the product of the average | ||
daily attendance of the district multiplied by the amount of the | ||
difference between the district's funding under this chapter per | ||
student in average daily attendance for the current school year and | ||
the preceding school year to provide compensation increases to | ||
full-time district employees other than administrators as follows: | ||
(1) 75 percent must be used to increase the | ||
compensation paid to classroom teachers, full-time librarians, | ||
full-time school counselors certified under Subchapter B, Chapter | ||
21, and full-time school nurses, prioritizing differentiated | ||
compensation for classroom teachers with more than five years of | ||
experience; and | ||
(2) 25 percent may be used as determined by the | ||
district to increase compensation paid to full-time district | ||
employees. | ||
(c-1) A school district employee who received a salary | ||
increase under Subsection (c) from a school district for the | ||
2019-2020 school year is, as long as the employee remains employed | ||
by the same district and the district is receiving at least the same | ||
amount of funding as the amount of funding the district received for | ||
the 2019-2020 school year, entitled to salary that is at least equal | ||
to the salary the employee received for the 2019-2020 school year. | ||
This subsection does not apply if the board of trustees of the | ||
school district at which the employee is employed: | ||
(1) complies with Sections 21.4021, 21.4022, and | ||
21.4032 in reducing the employee's salary; and | ||
(2) has adopted a resolution declaring a financial | ||
exigency for the district under Section 44.011. | ||
(c-2) A reduction in the salary of a school district | ||
employee described by Subsection (c-1) is subject to the rights | ||
granted to the employee under this code. | ||
(d) In this section, "compensation" includes benefits such | ||
as insurance premiums. | ||
(e) For purposes of calculating the amount of the required | ||
compensation increases under Subsection (c), increases to an | ||
allotment under Sections 48.111, 48.115, 48.151, 48.152, 48.252, | ||
and 48.277 are excluded from the calculation. | ||
Section 6. Section 48.0512, Education Code, is added to | ||
read as follows: | ||
Sec. 48.0512. INFLATION FACTOR FOR BASIC ALLOTMENT. (a) In | ||
the second year of each biennium, the basic allotment under Section | ||
48.051 is adjusted by a factor equivalent to the average annual | ||
percentage increase in the Texas Consumer Price Index for the | ||
preceding 10-year period. | ||
(b) In school years where an adjustment under Subsection (a) | ||
would result in a reduction to the basic allotment, then the basic | ||
allotment would equal the value for the first year of the biennium. | ||
Section 7. Section 48.101, Education Code, is amended by | ||
amending Subsection (a) to read as follows: | ||
(a) Small and mid-sized districts are entitled to an annual | ||
allotment in accordance with this section. In this section: | ||
(1) "AA" is the district's annual allotment per | ||
student in average daily attendance; | ||
(2) "ADA" is the number of students in average daily | ||
attendance for which the district is entitled to an allotment under | ||
Section 48.051, excluding students counted in average daily | ||
attendance under Section 48.0071(b) for districts eligible to | ||
operate virtual programs under Section 48.007(c); and | ||
(3) "BA" is the basic allotment determined under | ||
Section 48.051. | ||
Section 8. Section 48.110, Education Code, is amended by | ||
amending Subsection (d) to read as follows: | ||
(d) For each annual graduate in a cohort described by | ||
Subsection (b) who demonstrates college, career, or military | ||
readiness as described by Subsection (f) in excess of the minimum | ||
number of students determined for the applicable district cohort | ||
under Subsection (c), a school district is entitled to an annual | ||
outcomes bonus of: | ||
(1) if the annual graduate is educationally | ||
disadvantaged, $5,000; | ||
(2) if the annual graduate is not educationally | ||
disadvantaged, $3,000; and | ||
(3) if the annual graduate is enrolled in a special | ||
education program under Subchapter A, Chapter 29, $4 |
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regardless of whether the annual graduate is educationally | ||
disadvantaged. | ||
Section 9. Section 48.111, Education Code, is amended by | ||
amending Subsections (a), (c), (c-1), (d), (d-1), (d-2), and (d-3) | ||
to read as follows: | ||
(a) |
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district is entitled to an annual allotment equal to the basic | ||
allotment multiplied by the applicable weight under Subsection | ||
(a-1) for each enrolled student equal to the difference, if the | ||
difference is greater than zero, that results from subtracting 250 | ||
from the difference between the number of students enrolled in the | ||
district during the school year immediately preceding the current | ||
school year and the number of students enrolled in the district | ||
during the school year six years preceding the current school year. | ||
(a-1) For purposes of Subsection (a), the agency shall | ||
assign the following weights: | ||
(1) 0.48 for each student enrolled at a district in the | ||
top 40 percent of districts, as determined based on the number of | ||
students calculated under Subsection (a); | ||
(2) 0.33 for each student enrolled at a district in the | ||
middle 30 percent of districts, as determined based on the number of | ||
students calculated under Subsection (a); and | ||
(3) 0.18 for each student enrolled at a district in the | ||
bottom 30 percent of districts, as determined based on the number of | ||
students calculated under Subsection (a). | ||
(a-2) Notwithstanding Subsection (a-1), for the 2021-2022 | ||
school year, instead of using the weights under that subsection, | ||
the agency shall substitute the following weights: | ||
(1) 0.45 for each student enrolled at a district in the | ||
top 40 percent of districts, as determined based on the number of | ||
students calculated under Subsection (a); | ||
(2) 0.30 for each student enrolled at a district in the | ||
middle 30 percent of districts, as determined based on the number of | ||
students calculated under Subsection (a); and | ||
(3) 0.15 for each student enrolled at a district in the | ||
bottom 30 percent of districts, as determined based on the number of | ||
students calculated under Subsection (a). | ||
(a-3) Subsection (a-2) and this subsection expire September | ||
1, 2024. | ||
(b) For purposes of Subsection (a), in determining the | ||
number of students enrolled in a school district, the commissioner | ||
shall exclude students enrolled in the district who receive | ||
full-time instruction through the state virtual school network | ||
under Chapter 30A. | ||
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Section 10. Section 48.202, Education Code, is amended by | ||
amending Subsection (a-1) to read as follows: | ||
(a-1) For purposes of Subsection (a), the dollar amount | ||
guaranteed level of state and local funds per weighted student per | ||
cent of tax effort ("GL") for a school district is: | ||
(1) the greater of the amount of district tax revenue | ||
per weighted student per cent of tax effort available to a school | ||
district at the 96th percentile of wealth per weighted student or | ||
the amount that results from multiplying $6,210 |
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greater amount provided under Section 48.051(b), if applicable, by | ||
0.016, for the first eight cents by which the district's | ||
maintenance and operations tax rate exceeds the district's tier one | ||
tax rate; and | ||
(2) subject to Subsection (f), the amount that results | ||
from multiplying $6,210 |
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Section 48.051(b), if applicable, by 0.008, for the district's | ||
maintenance and operations tax effort that exceeds the amount of | ||
tax effort described by Subdivision (1). | ||
Section 11. Section 48.252, Education Code, is amended by | ||
adding Subsection (b-1) to read as follows: | ||
(b-1) For purposes of calculating an amount under (b)(2), | ||
the agency shall calculate the amount to which the district would be | ||
entitled to under this Chapter using the enrichment tax rate as | ||
defined under Section 45.0032(b) for the school year prior to the | ||
district entering into a contract to operate a district campus as | ||
provided by Section 11.174. | ||
Section 12. Section 48.257, Education Code, is amended by | ||
adding Subsections (h) and (i) as follows: | ||
(h) Subsection (i) applies only to a school district: | ||
(1) for which Subsection (a) applies for the current | ||
school year, | ||
(2) that received an allotment under Section 48.277 | ||
for the 2023-2024 school year, and | ||
(3) that adopted a maintenance and operations tax rate | ||
for the 2022-2023 school year of at least the district's maximum | ||
compressed tax rate under Section 48.2551 plus five cents per $100 | ||
valuation of taxable property. | ||
(i) Notwithstanding Subsections (a) through (g), if a | ||
district's maintenance and operations revenue per student in | ||
average daily attendance after the required reduction under | ||
Subsection (a) would be less than the district's 2023-2024 | ||
maintenance and operations revenue per student in average daily | ||
attendance, excluding Sections 48.278, 48.279, and 48.281, the | ||
agency shall decrease the amount of the required reduction under | ||
Subsection (a) by an amount of local funds necessary to provide | ||
additional revenue up to the district's maintenance and operations | ||
revenue per student in average daily attendance for the 2023-2024 | ||
school year. | ||
Section 13. Section 49.201, Education Code, is amended to | ||
read as follows: | ||
Sec. 49.201. AGREEMENT. The board of trustees of a district | ||
with a local revenue level in excess of entitlement may execute an | ||
agreement to educate the students of another district in a number | ||
that, when the weighted average daily attendance of the students | ||
served is added to the weighted average daily attendance of the | ||
contracting district, is sufficient, in combination with any other | ||
actions taken under this chapter, to reduce the district's local | ||
revenue level to a level that is equal to or less than the level | ||
established under Section 48.257. The agreement is not effective | ||
unless the commissioner certifies that the transfer of weighted | ||
average daily attendance will not result in any of the contracting | ||
districts' local revenue level being greater than the level | ||
established under Section 48.257 and that the agreement requires an | ||
expenditure per student in weighted average daily attendance that | ||
is at least equal to the amount per student in weighted average | ||
daily attendance required under Section 49.153, unless it is | ||
determined by the commissioner that a quality educational program | ||
can be delivered at a lesser amount. The commissioner may approve a | ||
special financial arrangement between districts if that | ||
arrangement serves the best educational interests of the state. | ||
Section 14. This Act takes effect September 1, 2023. |