|
|
|
A BILL TO BE ENTITLED
|
|
AN ACT
|
|
relating to the establishment of an individualized education plan |
|
account program for certain children with disabilities. |
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
SECTION 1. Chapter 29, Education Code, is amended by adding |
|
Subchapter J to read as follows: |
|
SUBCHAPTER J. INDIVIDUALIZED EDUCATION PLAN ACCOUNT PROGRAM |
|
Sec. 29.351. DEFINITIONS. In this subchapter: |
|
(1) "Account" means an individualized education plan |
|
account established under the program. |
|
(2) "Child with a disability" means a child who is: |
|
(A) eligible to participate in a school |
|
district's special education program under Section 29.003; or |
|
(B) protected by Section 504, Rehabilitation Act |
|
of 1973 (29 U.S.C. Section 794). |
|
(3) "Curriculum" means a complete course of study for |
|
a particular content area or grade level. |
|
(4) "Financial institution" means a bank, credit |
|
union, savings bank, or savings and loan association organized |
|
under the laws of this state, the laws of another state, or federal |
|
law that has its main office or a branch office in this state. The |
|
term does not include any institution the deposits of which are not |
|
insured by the Federal Deposit Insurance Corporation or the |
|
National Credit Union Administration. |
|
(5) "Parent" means a resident of this state who is a |
|
natural or adoptive parent, managing or possessory conservator, |
|
legal guardian, custodian, or other person with legal authority to |
|
act on behalf of a child. |
|
(6) "Postsecondary educational institution" means: |
|
(A) an institution of higher education or a |
|
private or independent institution of higher education as defined |
|
by Section 61.003; or |
|
(B) a career school or college as defined by |
|
Section 132.001. |
|
(7) "Program" means the individualized education plan |
|
account program established under this subchapter. |
|
(8) "Program participant" means a child and a parent |
|
of a child enrolled in the program. |
|
Sec. 29.352. PURPOSES. The purposes of the individualized |
|
education plan account program are to: |
|
(1) improve public schools and overall academic |
|
performance; |
|
(2) promote efficiency; |
|
(3) promote and preserve the liberties and rights of |
|
the people; and |
|
(4) increase parental options. |
|
Sec. 29.353. ESTABLISHMENT OF PROGRAM. (a) The |
|
comptroller shall establish and administer an individualized |
|
education plan account program to provide funding for certain |
|
education-related expenses of eligible children. |
|
(b) The comptroller, with cooperation from the agency, |
|
shall ensure that information about the program is readily |
|
available to the public through various sources, including the |
|
comptroller's Internet website. |
|
Sec. 29.354. ELIGIBLE CHILD. (a) A child is eligible to |
|
participate in the program if the child is: |
|
(1) eligible to attend a public school under Section |
|
25.001; and |
|
(2) a child with a disability. |
|
(b) A child who establishes eligibility under this section |
|
may participate in the program until the earliest of the following |
|
dates: |
|
(1) the date on which the child no longer meets the |
|
eligibility requirements under Subsection (a); |
|
(2) the date that is three months after the date on |
|
which the child: |
|
(A) graduates from high school; or |
|
(B) receives a high school equivalency |
|
certificate under Section 7.111; |
|
(3) the date on which the child enrolls in a public |
|
school, including an open-enrollment charter school; or |
|
(4) the date on which the child is declared ineligible |
|
for the program by the comptroller under this subchapter. |
|
(c) Notwithstanding Subsection (b), the comptroller shall |
|
establish guidelines for, in the least disruptive manner possible: |
|
(1) a child participating in the program to cease |
|
participation and enroll in a public school, including an |
|
open-enrollment charter school; and |
|
(2) a child who previously participated in the program |
|
and subsequently enrolled in a public school, including an |
|
open-enrollment charter school, to resume participation in the |
|
program. |
|
Sec. 29.355. ENROLLMENT IN PROGRAM. (a) A parent of an |
|
eligible child may enroll the child in the program for the following |
|
school year. |
|
(b) The comptroller, in consultation with the agency, shall |
|
by rule create an enrollment form for the program and make the |
|
enrollment form readily available to interested parents through |
|
various sources, including the comptroller's Internet website. The |
|
enrollment form must include spaces to provide the following |
|
information: |
|
(1) the name of the school district the child would |
|
otherwise have attended; |
|
(2) the name of the last public school in which the |
|
child was enrolled, if any; and |
|
(3) any other information necessary to determine |
|
whether the child is eligible to participate in the program or the |
|
amount of the payment the child, if eligible, would be entitled to |
|
receive under the program. |
|
(c) The comptroller shall provide to each parent who submits |
|
an enrollment form a publication that describes the operation of |
|
the program, including: |
|
(1) expenses allowed under the program under Section |
|
29.357; |
|
(2) expense reporting requirements; and |
|
(3) a description of the responsibilities of program |
|
participants and the duties of the comptroller under this |
|
subchapter. |
|
(d) For each submitted enrollment form, the agency shall |
|
determine whether the child is eligible to participate in the |
|
program and report that determination to the comptroller. |
|
Sec. 29.356. PARTICIPATION IN PROGRAM. (a) To receive |
|
funding under the program, a parent of an eligible child must agree |
|
to: |
|
(1) spend funds received through the program only for |
|
expenses allowed under Section 29.357; |
|
(2) notify the comptroller if the child enrolls in a |
|
public school, including an open-enrollment charter school, not |
|
later than the 30th day after the date of enrollment; and |
|
(3) inform the comptroller if the child graduates from |
|
high school or receives a high school equivalency certificate under |
|
Section 7.111. |
|
(b) The parent of a child participating in the program is |
|
the trustee of the child's account. |
|
(c) The comptroller shall provide annually to each program |
|
participant the publication provided under Section 29.355(c). |
|
Sec. 29.357. APPROVED EDUCATION-RELATED EXPENSES. (a) |
|
Funds received under the program may be used only for the following |
|
expenses incurred by a program participant: |
|
(1) tuition and fees: |
|
(A) at a private school accredited by an |
|
organization that is recognized by the Texas Private School |
|
Accreditation Commission; |
|
(B) at a postsecondary educational institution |
|
for a course described by Section 28.009 for which the child may |
|
receive high school credit based on an agreement between the |
|
institution and the school in which the child is enrolled; or |
|
(C) for an online educational course or program |
|
offered through the state virtual school network under Chapter 30A |
|
or otherwise approved by the agency for public school students; |
|
(2) the purchase of textbooks or other instructional |
|
materials; |
|
(3) payments for the purchase of a curriculum; |
|
(4) fees for classes or other educational services |
|
provided by a public school, if the classes or services do not |
|
qualify the child to be included in the school's average daily |
|
attendance; |
|
(5) fees for services provided by a private tutor or |
|
teaching service; |
|
(6) fees for educational therapies or services |
|
provided by a practitioner or provider, other than fees covered by |
|
any federal, state, or local government benefit program, including |
|
Medicaid or the children's health insurance program, or any |
|
applicable private insurance; |
|
(7) costs of computer hardware and software and other |
|
technological devices that clearly may be used for educational |
|
purposes, not to exceed in any year 10 percent of the total amount |
|
paid to the program participant's account that year; |
|
(8) fees for a nationally norm-referenced achievement |
|
test or examination, an assessment instrument adopted by the agency |
|
under Section 39.023, an advanced placement test or similar |
|
examination, or any examination related to college or university |
|
admission; and |
|
(9) contributions to a qualified tuition program |
|
established for the child that meets the requirements of Section |
|
529 or 530, Internal Revenue Code of 1986, not to exceed in any year |
|
25 percent of the total amount paid to the program participant's |
|
account that year. |
|
(b) Expenses allowed under Subsection (a) do not include |
|
expenses for: |
|
(1) consumable supplies, including paper, pens, |
|
pencils, folders, and notebooks; |
|
(2) food; or |
|
(3) before-school or after-school child care and child |
|
care during school holidays and vacations. |
|
(c) An education service provider or vendor of educational |
|
products must provide a program participant with a receipt for each |
|
expense allowed under Subsection (a) charged by the provider or |
|
vendor to the participant. |
|
(d) The content or religious nature of a product or service |
|
may not be considered in determining whether a payment for the |
|
product or service is an expense allowed under Subsection (a). |
|
(e) A finding that a program participant used funds |
|
distributed under the program to pay for an expense not allowed |
|
under Subsection (a) does not affect the validity of any payment |
|
made by the participant for an expense that is allowed under that |
|
subsection. |
|
Sec. 29.358. AMOUNT OF PAYMENT; FINANCING. (a) A parent of |
|
an eligible child shall receive each year that the child |
|
participates in the program a payment from the Foundation School |
|
Program to the child's account in an amount that is equal to 90 |
|
percent of the state and local maintenance and operations revenue |
|
to which the school district the child would otherwise attend would |
|
be entitled for the child if the child enrolled in the district, |
|
excluding any revenue under Subchapter C, Chapter 42, other than |
|
revenue to which the district would be entitled as a result of the |
|
special allotments under Sections 42.151, 42.152, and 42.160. The |
|
comptroller shall base the calculation on a 100 percent attendance |
|
rate. |
|
(b) For purposes of Subsection (a), in calculating the |
|
amount of any special allotments to which the school district would |
|
be entitled for the child under Section 42.151 or 42.152, the |
|
comptroller shall use the following weights or amounts that result |
|
in the greatest amount of revenue: |
|
(1) the weights for which the child qualifies under |
|
the applicable section, including, if applicable, a weight for the |
|
child's instructional arrangement if the child's instructional |
|
arrangement can be determined; or |
|
(2) the average amount per student received by the |
|
district for the preceding school year for each special allotment |
|
for which the child qualifies, regardless of the applicable |
|
instructional arrangement, if any. |
|
(c) In administering the program, the comptroller may use |
|
funds from any public or private source that are available for that |
|
purpose. |
|
(d) Any funds remaining in a child's account at the end of a |
|
fiscal year are carried forward to the next fiscal year unless |
|
another provision of this subchapter mandates the closure of the |
|
account. |
|
(e) The parent of a child participating in the program may |
|
make payments for the expenses of educational programs, services, |
|
and products not covered by funds in the child's account. |
|
(f) A payment under the program may not be financed using |
|
federal funds or money appropriated from the available school fund. |
|
Sec. 29.359. ADMINISTRATION OF ACCOUNTS. (a) The |
|
comptroller may contract with one or more financial institutions to |
|
establish and manage an account for each child participating in the |
|
program. A program participant must be able to access the |
|
participant's account by using an online or electronic transfer |
|
payment service. |
|
(b) The comptroller shall make quarterly payments to each |
|
program participant's account in equal amounts on or before the |
|
15th days of August, November, February, and May. |
|
(c) The comptroller may deduct an amount from each quarterly |
|
payment to a program participant's account to cover the |
|
comptroller's cost of administering the program. The amount |
|
deducted may not exceed three percent of the payment. |
|
(d) Within the first month following the end of each fiscal |
|
year, the comptroller shall reconcile payments made to and from all |
|
accounts under the program. |
|
(e) The comptroller shall coordinate as necessary to |
|
calculate annually the savings to the state from the implementation |
|
of the program. |
|
(f) On the date on which a child ceases to participate in the |
|
program for any reason, the child's account is closed and any |
|
remaining funds are returned to the state for deposit in the |
|
foundation school fund. This subsection does not affect a child's |
|
eligibility to resume participation in the program. |
|
(g) The comptroller may contract with a private entity to |
|
administer all or any part of the program. |
|
Sec. 29.360. RANDOM AUDITING. (a) The comptroller shall |
|
randomly audit or contract with a private entity to randomly audit: |
|
(1) accounts as necessary to ensure compliance with |
|
applicable law and the requirements of the program; and |
|
(2) education service providers and vendors of |
|
educational products that accept funds distributed under the |
|
program as necessary to ensure compliance with this subchapter. |
|
(b) In auditing an account, provider, or vendor, the |
|
comptroller or private entity may require that a program |
|
participant, provider, or vendor provide further information and |
|
documentation regarding any payment from the participant's |
|
account. |
|
(c) The private entity shall report to the comptroller any |
|
violation of this subchapter or other relevant law found by the |
|
entity during an audit conducted under this section. |
|
Sec. 29.361. SUSPENSION OF ACCOUNT. (a) The comptroller |
|
shall suspend the account of a program participant who fails to |
|
comply with applicable law or a requirement of the program, |
|
including a requirement under Section 29.356(a), or who |
|
substantially misuses funds received under the program. |
|
(b) On suspension of an account under Subsection (a), the |
|
comptroller shall notify the participant in writing that the |
|
account has been suspended and that no further payments may be made |
|
from the account. The notification must specify the grounds for the |
|
suspension and state that the participant has 10 business days to |
|
respond and take any corrective action required by the comptroller. |
|
(c) On the expiration of the 10-day period under Subsection |
|
(b), the comptroller shall: |
|
(1) order permanent closure of the suspended account |
|
and declare the participant ineligible for the program; |
|
(2) order temporary reinstatement of the account, |
|
conditioned on the performance of a specified action by the |
|
participant; or |
|
(3) order full reinstatement of the account. |
|
(d) If a program participant's account is suspended or |
|
closed under this section, the comptroller may recover funds that |
|
were used for expenses not allowed under Section 29.357(a) from the |
|
participant or the entity that received the funds. |
|
Sec. 29.362. TUITION AND FEES; REFUND PROHIBITED. (a) An |
|
education service provider may not charge a child participating in |
|
the program an amount greater than the standard amount charged for |
|
that service by the provider. |
|
(b) An education service provider or a vendor of educational |
|
products receiving funds distributed under the program may not in |
|
any manner rebate, refund, or credit to or share with a program |
|
participant, or any person on behalf of a participant, any program |
|
funds paid or owed by the participant to the provider or vendor. |
|
Sec. 29.363. REFERRAL TO ATTORNEY GENERAL. (a) If the |
|
comptroller obtains evidence of fraudulent use of an account, the |
|
comptroller may refer the case to the attorney general for |
|
investigation. |
|
(b) With the consent of the appropriate local county or |
|
district attorney, the attorney general has concurrent |
|
jurisdiction with the consenting local prosecutor to prosecute an |
|
offense referred to the attorney general under Subsection (a). |
|
Sec. 29.364. PROVIDER ACCOUNTABILITY. (a) A private |
|
school must be accredited by an organization that is recognized by |
|
the Texas Private School Accreditation Commission to receive funds |
|
distributed under the program. |
|
(b) A private tutor or teaching service and a practitioner |
|
or provider who provides educational therapies or services must be |
|
licensed or accredited by a regional or national accrediting |
|
organization to receive funds distributed under the program. |
|
Sec. 29.365. PROGRAM PARTICIPANT, PROVIDER, AND VENDOR |
|
AUTONOMY. (a) An education service provider or vendor of |
|
educational products that receives funds distributed under the |
|
program is not an agent of the state or federal government. |
|
(b) Except as provided by this subchapter, the comptroller, |
|
the agency, the State Board of Education, any other state agency, or |
|
any school district may not: |
|
(1) regulate the educational program of an education |
|
service provider or vendor of educational products that receives |
|
funds distributed under the program; or |
|
(2) exercise control or supervision over a program |
|
participant or an education service provider or vendor of |
|
educational products that receives funds distributed under the |
|
program. |
|
(c) The program does not expand the regulatory authority of |
|
the state or any school district to impose any additional |
|
regulation on an education service provider or vendor of |
|
educational products except those reasonably necessary to enforce |
|
the program as provided by this subchapter. |
|
(d) A private school may not be required to modify the |
|
school's creed, practices, admissions policies, curriculum, |
|
performance standards, or assessments to receive funds distributed |
|
under the program. |
|
(e) A private school voluntarily selected by a parent for |
|
the parent's child to attend or a parent who homeschools the |
|
parent's child, with or without governmental assistance, may not be |
|
required to comply with any state law or rule governing the |
|
applicable educational program that was not in effect on January 1, |
|
2017. |
|
(f) In any proceeding challenging a rule adopted by a state |
|
agency or officer under this subchapter, the agency or officer has |
|
the burden of proof to establish that the rule: |
|
(1) is necessary to implement or enforce the program |
|
as provided by this subchapter; and |
|
(2) does not impose an undue burden on a program |
|
participant or an education service provider or vendor of |
|
educational products that receives or seeks to receive funds |
|
distributed under the program. |
|
Sec. 29.366. STUDENT RECORDS. On request by the parent of a |
|
child participating in the program, the school district or |
|
open-enrollment charter school that the child would otherwise |
|
attend shall provide a copy of the child's school records possessed |
|
by the district or school, if any, to the child's parent or, if |
|
applicable, the private school the child attends. |
|
Sec. 29.367. REPORTING NUMBER OF PARTICIPANTS. (a) Not |
|
later than October 1 of each year, the commissioner shall notify the |
|
comptroller and the Legislative Budget Board of the number of |
|
eligible children likely to participate in the program, |
|
disaggregated by the school district or open-enrollment charter |
|
school the eligible children would otherwise attend. |
|
(b) Not later than March 1 of each year, the commissioner |
|
shall provide final information to the comptroller and the |
|
Legislative Budget Board regarding the number of children |
|
participating in the program, disaggregated in the same manner as |
|
the initial information under Subsection (a). |
|
Sec. 29.368. ANNUAL SURVEY. The comptroller may conduct an |
|
annual parental satisfaction survey that asks each parent of a |
|
child participating in the program to express: |
|
(1) the parent's overall level of satisfaction with |
|
the program; and |
|
(2) the parent's opinion on specified topics and |
|
issues relevant to the effectiveness of the program. |
|
Sec. 29.369. DISTRICTS WITH HIGH PARTICIPATION RATE. |
|
Notwithstanding any other law, a school district in which at least |
|
one percent of resident children eligible to attend public school |
|
under Section 25.001 are participating in the program shall receive |
|
the following benefits: |
|
(1) the district may elect to administer assessment |
|
instruments only as necessary to comply with the Every Student |
|
Succeeds Act (20 U.S.C. Section 6301 et seq.) and may be evaluated |
|
for accountability purposes related to assessment only based on the |
|
results of those assessment instruments; |
|
(2) the district may create a local innovation plan |
|
and be designated as a district of innovation under Chapter 12A |
|
without complying with the requirements under Section 12A.001 or |
|
12A.002; |
|
(3) teachers employed by the district are entitled to |
|
receive a stipend for attending a mathematics achievement academy |
|
under Section 21.4553 or a reading-to-learn academy under Section |
|
21.4554 in an amount equal to twice the amount established by the |
|
commissioner for the applicable stipend; |
|
(4) the agency shall award the district an additional |
|
five percentage points toward the district's overall performance |
|
rating under Section 39.054; |
|
(5) the district is entitled to reimbursement from the |
|
state for the cost of locating, identifying, and evaluating |
|
children with disabilities who are enrolled in private schools in |
|
the district in compliance with 20 U.S.C. Section 1412; and |
|
(6) in addition to any funding the district receives |
|
under Chapter 42, for each resident child participating in the |
|
program, the district is entitled to receive for the first year in |
|
which the child participates in the program an amount equal to the |
|
difference between: |
|
(A) the state and local maintenance and |
|
operations revenue to which the district would be entitled for the |
|
child if the child enrolled in the district, excluding any revenue |
|
under Subchapter C, Chapter 42, other than revenue to which the |
|
district would be entitled as a result of the special allotments |
|
under Sections 42.151, 42.152, and 42.160, calculated in accordance |
|
with Sections 29.358(a) and (b); and |
|
(B) the amount the child's parent receives under |
|
Section 29.358(a) for the year. |
|
Sec. 29.370. GIFTS, GRANTS, AND DONATIONS. The comptroller |
|
may solicit and accept gifts, grants, and donations from any public |
|
or private source for any expenses related to the initial |
|
implementation or administration of the program. |
|
Sec. 29.371. RULES. The comptroller shall adopt rules as |
|
necessary to implement this subchapter, including: |
|
(1) rules regarding expense reporting requirements |
|
for program participants; and |
|
(2) rules for implementing this subchapter in a manner |
|
that ensures compliance with federal law regarding confidentiality |
|
of student educational information, including the Family |
|
Educational Rights and Privacy Act of 1974 (20 U.S.C. Section |
|
1232g). |
|
SECTION 2. Section 42.253, Education Code, is amended by |
|
adding Subsection (b-1) to read as follows: |
|
(b-1) Notwithstanding Subsection (b), the commissioner |
|
shall adjust enrollment estimates and entitlement for each school |
|
district for each school year based on information collected in |
|
accordance with Section 29.367. This subsection expires September |
|
1, 2020. |
|
SECTION 3. This Act applies beginning with the 2017-2018 |
|
school year. |
|
SECTION 4. Not later than 45 days after the effective date |
|
of this Act, the comptroller of public accounts shall adopt rules |
|
necessary to implement the individualized education plan account |
|
program under Subchapter J, Chapter 29, Education Code, as added by |
|
this Act. |
|
SECTION 5. Notwithstanding Section 29.367(a), Education |
|
Code, as added by this Act, the commissioner of education shall |
|
provide the information described by that subsection as soon as |
|
practicable after the effective date of this Act. |
|
SECTION 6. This Act takes effect immediately if it receives |
|
a vote of two-thirds of all the members elected to each house, as |
|
provided by Section 39, Article III, Texas Constitution. If this |
|
Act does not receive the vote necessary for immediate effect, this |
|
Act takes effect on the 91st day after the last day of the |
|
legislative session. |