reglab/statecodes huggingface dataset:
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter A. General Provisions › Section 48.010. Determination of Funding Levels

Sec. 48.010.  DETERMINATION OF FUNDING LEVELS.  (a)  Not later than July 1 of each year, the commissioner shall determine for each school district whether the estimated amount of state and local funding per student in weighted average daily attendance to be provided to the district under the Foundation School Program for maintenance and operations for the following school year is less than the amount provided to the district for the 2010-2011 school year.  If the amount estimated to be provided is less, the commissioner shall certify the percentage decrease in funding to be provided to the district.
(b)  In making the determinations regarding funding levels required by Subsection (a), the commissioner shall:
(1)  make adjustments as necessary to reflect changes in a school district's maintenance and operations tax rate;
(2)  for a district required to reduce its local revenue level under Section 48.257, base the determinations on the district's net funding levels after deducting any amounts required to be expended by the district to comply with Chapter 49; and
(3)  determine a district's weighted average daily attendance in accordance with this chapter as it existed on January 1, 2011.
Added by Acts 2011, 82nd Leg., 1st C.S., Ch. 8 (S.B. 8), Sec. 18, eff. September 28, 2011.
Transferred, redesignated and amended from Education Code, Section 42.009 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.018, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter B. Basic Entitlement › Section 48.052. Sparsity Adjustment

Sec. 48.052.  SPARSITY ADJUSTMENT.  (a)  Notwithstanding Section 48.051, a school district that has fewer than 130 students in average daily attendance shall be provided a basic allotment on the basis of 130 students in average daily attendance if it offers a kindergarten through grade 12 program and has preceding or current year's average daily attendance of at least 90 students or is 30 miles or more by bus route from the nearest high school district. A district offering a kindergarten through grade 8 program whose preceding or current year's average daily attendance was at least 50 students or which is 30 miles or more by bus route from the nearest high school district shall be provided a basic allotment on the basis of 75 students in average daily attendance. An average daily attendance of 60 students shall be the basis of providing the basic allotment if a district offers a kindergarten through grade 6 program and has preceding or current year's average daily attendance of at least 40 students or is 30 miles or more by bus route from the nearest high school district.
(b)  Subsection (c) applies only to a school district that:
(1)  does not offer each grade level from kindergarten through grade 12 and whose prospective or former students generally attend school in a state that borders this state for the grade levels the district does not offer;
(2)  serves both students residing in this state and students residing in a state that borders this state who are subsequently eligible for in-state tuition rates at institutions of higher education in either state regardless of the state in which the students reside; and
(3)  shares students with an out-of-state district that does not offer competing instructional services.
(c)  Notwithstanding Subsection (a) or Section 48.051, a school district to which this subsection applies, as provided by Subsection (b), that has fewer than 130 students in average daily attendance shall be provided a basic allotment on the basis of 130 students in average daily attendance if it offers a kindergarten through grade four program and has preceding or current year's average daily attendance of at least 75 students or is 30 miles or more by bus route from the nearest high school district.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Amended by:
Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 57.10, eff. September 28, 2011.
Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 57.11, eff. September 1, 2015.
Acts 2015, 84th Leg., R.S., Ch. 785 (H.B. 2593), Sec. 1, eff. September 1, 2015.
Transferred, redesignated and amended from Education Code, Section 42.105 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.021, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter B. Basic Entitlement › Section 48.053. Allotment for Certain Special-Purpose School Districts

Sec. 48.053.  ALLOTMENT FOR CERTAIN SPECIAL-PURPOSE SCHOOL DISTRICTS.  (a)  This section applies only to a special-purpose school district established under Section 11.351 that is operated by a general academic teaching institution, as that term is defined by Section 61.003.
(b)  A school district to which this section applies is entitled to funding under this chapter as if the district had no tier one local share for purposes of Section 48.256 for each student enrolled in the district:
(1)  who resides in this state; or
(2)  who:
(A)  is a dependent of a member of the United States military;
(B)  was previously enrolled in school in this state; and
(C)  does not reside in this state due to a military deployment or transfer.
(c)  A school district to which this section applies may decline to receive funding under Subsection (b).
(d)  A school district that receives funding under Subsection (b) for a school year may not charge tuition or fees to students enrolled in the district who are residents of this state for that school year, other than fees authorized under Section 11.158.
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.022, eff. September 1, 2019.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 1041 (H.B. 4124), Sec. 2, eff. September 1, 2021.
Acts 2021, 87th Leg., 2nd C.S., Ch. 5 (S.B. 15), Sec. 8, eff. September 9, 2021.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter C. Student-Based Allotments › Section 48.101. Small and Mid-Sized District Allotment

Sec. 48.101.  SMALL AND MID-SIZED DISTRICT ALLOTMENT.  (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; and
(3)  "BA" is the basic allotment determined under Section 48.051.
(b)  A school district that has fewer than 1,600 students in average daily attendance is entitled to an annual allotment for each student in average daily attendance based on the following formula:
AA = ((1,600 - ADA) X .0004) X BA
(c)  A school district that offers a kindergarten through grade 12 program and has less than 5,000 students in average daily attendance is entitled to an annual allotment for each student in average daily attendance based on the formula, of the following formulas, that results in the greatest annual allotment:
(1)  the formula in Subsection (b), if the district is eligible for that formula; or
(2)  AA = ((5,000 - ADA) X .000025) X BA.
(d)  Instead of the allotment under Subsection (b) or (c)(1), a school district that has fewer than 300 students in average daily attendance and is the only school district located in and operating in a county is entitled to an annual allotment for each student in average daily attendance based on the following formula:
AA = ((1,600 - ADA) X .00047) X BA
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.024, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter C. Student-Based Allotments › Section 48.103. Allotment for Student With Dyslexia or Related Disorder

Sec. 48.103.  ALLOTMENT FOR STUDENT WITH DYSLEXIA OR RELATED DISORDER.  (a)  Subject to Subsection (b), for each student that a school district serves who has been identified as having dyslexia or a related disorder, the district is entitled to an annual allotment equal to the basic allotment multiplied by 0.1 or a greater amount provided by appropriation.
(b)  A school district is entitled to an allotment under Subsection (a) only for a student who:
(1)  is receiving services for dyslexia or a related disorder in accordance with:
(A)  an individualized education program developed for the student under Section 29.005; or
(B)  a plan developed for the student under Section 504, Rehabilitation Act of 1973 (29 U.S.C. Section 794);
(2)  is receiving instruction that:
(A)  meets applicable dyslexia program criteria established by the State Board of Education; and
(B)  is provided by a person with specific training in providing that instruction; or
(3)  is permitted, on the basis of having dyslexia or a related disorder, to use modifications in the classroom or accommodations in the administration of assessment instruments under Section 39.023.
(c)  A school district may receive funding for a student under this section and Section 48.102 if the student satisfies the requirements of both sections.
(d)  A school district may use an amount not to exceed 20 percent of the allotment provided for a qualifying student under this section to contract with a private provider to provide supplemental academic services to the student that are recommended under the student's program or plan described by Subsection (b). A student may not be excused from school to receive supplemental academic services provided under this subsection.
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.027, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter C. Student-Based Allotments › Section 48.1041. Compensatory Education Allotment Advisory Committee

Sec. 48.1041.  COMPENSATORY EDUCATION ALLOTMENT ADVISORY COMMITTEE.  (a)  The commissioner shall establish an advisory committee to advise the agency in adopting rules for the compensatory education allotment under Section 48.104, including:
(1)  rules establishing the economic criteria described by Section 48.104(c)(5);
(2)  rules detailing the method to count students who qualify for the allotment in:
(A)  a dropout recovery school or program; or
(B)  a residential treatment facility;
(3)  methods for properly counting students who are homeless within the meaning of "homeless children and youths" under 42 U.S.C. Section 11434a; and
(4)  rules to determine the appropriate weight by which to adjust the basic allotment in determining the compensatory allotment for students described by Subdivision (3).
(b)  The advisory committee consists of members appointed by the commissioner, including:
(1)  school district superintendents and chief financial officers;
(2)  classroom teachers;
(3)  representatives of school districts located in an area other than an urban area, as designated by the United States Census Bureau;
(4)  at least one representative of an open-enrollment charter school;
(5)  demographers;
(6)  experts on census data;
(7)  public school finance experts; and
(8)  appropriate employees of the agency.
(c)  Members of the advisory committee serve at the pleasure of the commissioner.
(d)  A member of the advisory committee is not entitled to receive compensation for service on the committee or reimbursement for expenses incurred in performing official duties as a member of the committee.
(e)  Chapter 2110, Government Code, does not apply to the advisory committee.
(f)  Not less than once every two years, the advisory committee shall review census and student data and provide recommendations to the agency regarding any suggested changes to the rules adopted for the compensatory education allotment under Section 48.104.
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.029, eff. June 12, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter C. Student-Based Allotments › Section 48.105. Bilingual Education Allotment

Sec. 48.105.  BILINGUAL EDUCATION ALLOTMENT.  (a)  For each student in average daily attendance in a bilingual education or special language program under Subchapter B, Chapter 29, a district is entitled to an annual allotment equal to the basic allotment multiplied by:
(1)  for an emergent bilingual student, as defined by Section 29.052:
(A)  0.1; or
(B)  0.15 if the student is in a bilingual education program using a dual language immersion/one-way or two-way program model; and
(2)  for a student not described by Subdivision (1), 0.05 if the student is in a bilingual education program using a dual language immersion/two-way program model.
(b)  At least 55 percent of the funds allocated under this section must be used in providing bilingual education or special language programs under Subchapter B, Chapter 29.  A district's bilingual education or special language allocation may be used only for program and student evaluation, instructional materials and equipment, staff development, supplemental staff expenses, salary supplements for teachers, incremental costs associated with providing smaller class sizes, and other supplies required for quality instruction.
(c)  The State Board of Education shall adopt rules requiring a report on the use of funds under Subsection (b) as part of the annual audit under Section 44.008 and shall develop minimum requirements for that report.
(d)  The commissioner annually shall review each report required under Subsection (c) for the preceding school year and:
(1)  identify each school district that was not in compliance with Subsection (b) during that school year; and
(2)  provide each district identified under Subdivision (1) a reasonable opportunity to comply with Subsection (b).
(e)  The commissioner, in the year following a determination under Subsection (d) that a school district was not in compliance with Subsection (b) for the 2021-2022 school year or a subsequent school year, shall withhold from the district's foundation school fund payment an amount equal to the amount of bilingual education or special language funds the commissioner determines were not used in compliance with Subsection (b). The commissioner shall release to a district funds withheld under this subsection when the district provides to the commissioner a detailed plan to spend those funds in compliance with Subsection (b). In determining whether a school district is subject to the withholding of funding required under this subsection, the commissioner may consider the district's average use of funds for the three preceding school years.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Section 42.153 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.030, eff. September 1, 2019.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 973 (S.B. 2066), Sec. 25, eff. September 1, 2021.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter C. Student-Based Allotments › Section 48.107. Public Education Grant Allotment

Sec. 48.107.  PUBLIC EDUCATION GRANT ALLOTMENT.  (a)  Except as provided by Subsection (b), for each student in average daily attendance who is using a public education grant under Subchapter G, Chapter 29, to attend school in a district other than the district in which the student resides, the district in which the student attends school is entitled to an annual allotment equal to the basic allotment multiplied by a weight of 0.1.
(b)  The total number of allotments under this section to which a district is entitled may not exceed the number by which the number of students using public education grants to attend school in the district exceeds the number of students who reside in the district and use public education grants to attend school in another district.
Added by Acts 1997, 75th Leg., ch. 722, Sec. 5, eff. Sept. 1, 1997.
Transferred, redesignated and amended from Education Code, Section 42.157 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.030, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter C. Student-Based Allotments › Section 48.108. Early Education Allotment

Sec. 48.108.  EARLY EDUCATION ALLOTMENT.  (a)  For each student in average daily attendance in kindergarten through third grade, a school district is entitled to an annual allotment equal to the basic allotment multiplied by 0.1 if the student is:
(1)  educationally disadvantaged; or
(2)  an emergent bilingual student, as defined by Section 29.052, and is in a bilingual education or special language program under Subchapter B, Chapter 29.
(b)  Funds allocated under this section must be used to fund programs and services designed to improve student performance in reading and mathematics in prekindergarten through third grade, including programs and services designed to assist the district in achieving the goals set in the district's early childhood literacy and mathematics proficiency plans adopted under Section 11.185.
(c)  A school district is entitled to an allotment under each subdivision of Subsection (a) for which a student qualifies.
(d)  A school district may receive funding for a student under this section and under Sections 48.104 and 48.105, as applicable, if the student satisfies the requirements of each applicable section.
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.031, eff. September 1, 2019.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 973 (S.B. 2066), Sec. 26, eff. September 1, 2021.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter C. Student-Based Allotments › Section 48.109. Gifted and Talented Student Allotment

Sec. 48.109.  GIFTED AND TALENTED STUDENT ALLOTMENT.  (a)  For each identified student a school district serves in a program for gifted and talented students that the district certifies to the commissioner as complying with Subchapter D, Chapter 29, a district is entitled to an annual allotment equal to the basic allotment multiplied by 0.07 for each school year or a greater amount provided by appropriation.
(b)  Funds allocated under this section, other than the amount that represents the program's share of general administrative costs, must be used in providing programs for gifted and talented students under Subchapter D, Chapter 29, including programs sanctioned by International Baccalaureate and Advanced Placement, or in developing programs for gifted and talented students.  Each district must account for the expenditure of state funds as provided by rule of the State Board of Education.  If by the end of the 12th month after receiving an allotment for developing a program a district has failed to implement a program, the district must refund the amount of the allotment to the agency within 30 days.
(c)  Not more than five percent of a district's students in average daily attendance are eligible for funding under this section.
(d)  If the amount of state funds for which school districts are eligible under this section exceeds the amount of state funds appropriated in any year for the programs, the commissioner shall reduce each district's tier one allotments in the same manner described for a reduction in allotments under Section 48.266.
(e)  If the total amount of funds allotted under this section before a date set by rule of the State Board of Education is less than the total amount appropriated for a school year, the commissioner shall transfer the remainder to any program for which an allotment under Section 48.104 may be used.
(f)  After each district has received allotted funds for this program, the State Board of Education may use up to $500,000 of the funds allocated under this section for programs such as MATHCOUNTS, Future Problem Solving, Odyssey of the Mind, and Academic Decathlon, as long as these funds are used to train personnel and provide program services.  To be eligible for funding under this subsection, a program must be determined by the State Board of Education to provide services that are effective and consistent with the state plan for gifted and talented education.
Added by Acts 2021, 87th Leg., R.S., Ch. 806 (H.B. 1525), Sec. 27, eff. September 1, 2021.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter C. Student-Based Allotments › Section 48.114. Mentor Program Allotment

Sec. 48.114.  MENTOR PROGRAM ALLOTMENT.  (a)  A school district that has implemented a mentoring program for classroom teachers who have less than two years of teaching experience under Section 21.458 is entitled to an allotment as determined under Subsection (b) to fund the mentoring program and to provide stipends for mentor teachers.
(b)  The commissioner shall adopt a formula to determine the amount to which each district described by Subsection (a) is entitled.
(c)  Funding provided to districts under this section may be used only for providing:
(1)  mentor teacher stipends;
(2)  scheduled release time for mentor teachers and the classroom teachers to whom they are assigned for meeting and engaging in mentoring activities; and
(3)  mentoring support through providers of mentor training.
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.031, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter D. Additional Funding › Section 48.152. New Instructional Facility Allotment

Sec. 48.152.  NEW INSTRUCTIONAL FACILITY ALLOTMENT.  (a) In this section:
(1)  "Instructional facility" has the meaning assigned by Section 46.001.
(2)  "New instructional facility" includes:
(A)  a newly constructed instructional facility;
(B)  a repurposed instructional facility; and
(C)  a leased facility operating for the first time as an instructional facility with a minimum lease term of not less than 10 years.
(b)  A school district is entitled to an additional allotment as provided by this section for operational expenses associated with opening a new instructional facility.
(c)  A school district entitled to an allotment under this section may use funds from the district's allotment to renovate an existing instructional facility to serve as a dedicated cybersecurity computer laboratory.
(d)  For the first school year in which students attend a new instructional facility, a school district is entitled to an allotment of $1,000 for each student in average daily attendance at the facility.  For the second school year in which students attend that instructional facility, a school district is entitled to an allotment of $1,000 for each additional student in average daily attendance at the facility.
(e)  For purposes of this section, the number of additional students in average daily attendance at a facility is the difference between the number of students in average daily attendance in the current year at that facility and the number of students in average daily attendance at that facility in the preceding year.
(f)  The amount appropriated for allotments under this section may not exceed $100 million in a school year.  If the total amount of allotments to which districts are entitled under this section for a school year exceeds the amount appropriated under this subsection, the commissioner shall reduce each district's allotment under this section in the manner provided by Section 48.266(f).
Added by Acts 1999, 76th Leg., ch. 396, Sec. 1.14, eff. Sept. 1, 1999.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1058 (H.B. 2237), Sec. 15, eff. June 15, 2007.
Acts 2017, 85th Leg., R.S., Ch. 817 (H.B. 1081), Sec. 1, eff. September 1, 2017.
Acts 2017, 85th Leg., R.S., Ch. 1088 (H.B. 3593), Sec. 6, eff. June 15, 2017.
Transferred, redesignated and amended from Education Code, Section 42.158 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.033, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter D. Additional Funding › Section 48.153. Dropout Recovery School and Residential Placement Facility Allotment

Sec. 48.153.  DROPOUT RECOVERY SCHOOL AND RESIDENTIAL PLACEMENT FACILITY ALLOTMENT.  A school district or open-enrollment charter school is entitled to $275 for each student in average daily attendance who:
(1)  resides in a residential placement facility; or
(2)  is at a district or school or a campus of the district or school that is designated as a dropout recovery school under Section 39.0548.
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.034, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter D. Additional Funding › Section 48.154. Tuition Allotment for Districts Not Offering All Grade Levels

Sec. 48.154.  TUITION ALLOTMENT FOR DISTRICTS NOT OFFERING ALL GRADE LEVELS.  A school district that contracts for students residing in the district to be educated in another district under Section 25.039(a) is entitled to receive an allotment equal to the total amount of tuition required to be paid by the district under Section 25.039, not to exceed the amount specified by commissioner rule under Section 25.039(b).
Added by Acts 1999, 76th Leg., ch. 396, Sec. 1.12, eff. Sept. 1, 1999.  Amended by Acts 2003, 78th Leg., ch. 1069, Sec. 2, eff. Sept. 1, 2003.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1328 (H.B. 3646), Sec. 51, eff. September 1, 2009.
Transferred, redesignated and amended from Education Code, Section 42.106 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.035, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter D. Additional Funding › Section 48.155. College Preparation Assessment Reimbursement

Sec. 48.155.  COLLEGE PREPARATION ASSESSMENT REIMBURSEMENT.  A school district is entitled to reimbursement for the amount of fees paid by the district for the administration of an assessment instrument under Section 39.0261(a)(3).
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.036, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter D. Additional Funding › Section 48.156. Certification Examination Reimbursement

Sec. 48.156.  CERTIFICATION EXAMINATION REIMBURSEMENT.  A school district is entitled to reimbursement for the amount of a subsidy paid by the district for a student's certification examination under Section 29.190(a) as provided by Section 29.190(c).
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.036, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter E. Tier Two Entitlement › Section 48.201. Purpose

Sec. 48.201.  PURPOSE.  The purpose of the tier two component of the Foundation School Program is to provide each school district with the opportunity to provide the basic program and to supplement that program at a level of its own choice.  An allotment under this subchapter may be used for any legal purpose other than:
(1)  capital outlay or debt service; or
(2)  a purpose prohibited by Section 45.105(c-1) or another provision of this code.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.  Amended by Acts 1999, 76th Leg., ch. 396, Sec. 1.20, eff. Sept. 1, 1999.
Transferred, redesignated and amended from Education Code, Section 42.301 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.038, eff. September 1, 2019.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 1046 (S.B. 1365), Sec. 3.03, eff. September 1, 2021.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter E. Tier Two Entitlement › Section 48.203. Limitation on Enrichment Tax Rate

Sec. 48.203.  LIMITATION ON ENRICHMENT TAX RATE.  The district enrichment tax rate ("DTR") under Section 48.202 may not exceed the amount per $100 of valuation by which the maximum rate permitted under Section 45.003 exceeds the rate used to determine the district's local share under Section 48.256, or a greater amount for any year provided by appropriation.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.  Amended by Acts 1997, 75th Leg., ch. 1071, Sec. 21, eff. Sept. 1, 1997;  Acts 1999, 76th Leg., ch. 396, Sec. 1.20, eff. Sept. 1, 1999.
Amended by:
Acts 2006, 79th Leg., 3rd C.S., Ch. 5 (H.B. 1), Sec. 1.09, eff. May 31, 2006.
Acts 2009, 81st Leg., R.S., Ch. 1328 (H.B. 3646), Sec. 64, eff. September 1, 2009.
Transferred, redesignated and amended from Education Code, Section 42.303 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.038, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter E. Tier Two Entitlement › Section 48.204. Computation of Aid for District on Military Reservation or at State School

Sec. 48.204.  COMPUTATION OF AID FOR DISTRICT ON MILITARY RESERVATION OR AT STATE SCHOOL.  State assistance under this subchapter for a school district located on a federal military installation or at Moody State School is computed using the average tax rate and property value per student of school districts in the county, as determined by the commissioner.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Section 42.304 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.038, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.251. Financing; General Rule

Sec. 48.251.  FINANCING; GENERAL RULE.  (a)  The cost of the Foundation School Program for a school district is the total sum of:
(1)  the sum of the tier one allotments and other funding as follows:
(A)  the basic allotment under Subchapter B;
(B)  the student-based allotments under Subchapter C; and
(C)  the additional funding under Subchapter D; and
(2)  the tier two allotment under Subchapter E.
(b)  The sum of the Foundation School Program maintenance and operations costs for all accredited school districts in this state constitutes the total maintenance and operations cost of the Foundation School Program.
(c)  The program shall be financed by:
(1)  state available school funds distributed in accordance with the law;
(2)  ad valorem tax revenue generated by local school district effort; and
(3)   state funds appropriated for the purposes of public school education and allocated to each district in an amount sufficient to finance the cost of each district's Foundation School Program not covered by other funds specified in this subsection.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.  Amended by Acts 1999, 76th Leg., ch. 396, Sec. 1.15, 3.01(a), eff. Sept. 1, 1999.
Amended by:
Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 57.14, eff. September 28, 2011.
Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 57.15, eff. September 1, 2015.
Transferred, redesignated and amended from Education Code, Section 42.251 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.040, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.252. School District Entitlement for Certain Students

Sec. 48.252.  SCHOOL DISTRICT ENTITLEMENT FOR CERTAIN STUDENTS.  (a)  This section applies only to:
(1)  a school district and an open-enrollment charter school that enter into a contract to operate a district campus as provided by Section 11.174;
(2)  a charter granted by a school district for a program operated by an entity that has entered into a contract under Section 11.174, provided that the district does not appoint a majority of the governing body of the charter holder;
(3)  a school district that contracts with an open-enrollment charter school to jointly operate a campus or campus program as provided by Section 11.157(b); and
(4)  a school district that operates a resource campus as provided by Section 29.934.
(b)  Notwithstanding any other provision of this chapter or Chapter 49, a school district subject to this section is entitled to receive for each student in average daily attendance at the campus or program described by Subsection (a) an amount equivalent to the difference, if the difference results in increased funding, between:
(1)  the amount described by Section 12.106; and
(2)  the amount to which the district would be entitled under this chapter.
(c)  The commissioner shall adopt rules as necessary to administer this section.
Added by Acts 2017, 85th Leg., R.S., Ch. 953 (S.B. 1882), Sec. 2, eff. June 15, 2017.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 677 (S.B. 2117), Sec. 2, eff. June 10, 2019.
Transferred, redesignated and amended from Education Code, Section 42.2511 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.040, eff. September 1, 2019.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 806 (H.B. 1525), Sec. 32, eff. September 1, 2021.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.253. Additional State Aid for Tax Increment Financing Payments

Sec. 48.253.  ADDITIONAL STATE AID FOR TAX INCREMENT FINANCING PAYMENTS.  (a)  For each school year, a school district is entitled to state aid in an amount equal to the amount the district is required to pay into the tax increment fund for a reinvestment zone under Section 311.013(n), Tax Code.
(b)  A school district shall provide to the agency any agreements, amendments to agreements, or other information required by the agency to implement this section.
Added by Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 57.16, eff. September 28, 2011.
Transferred, redesignated and amended from Education Code, Section 42.2514 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.040, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.254. Additional State Aid for Ad Valorem Tax Credits Under Texas Economic Development Act

Sec. 48.254.  ADDITIONAL STATE AID FOR AD VALOREM TAX CREDITS UNDER TEXAS ECONOMIC DEVELOPMENT ACT.   For each school year, a school district, including a school district that is otherwise ineligible for state aid under this chapter, is entitled to state aid in an amount equal to the amount of all tax credits credited against ad valorem taxes of the district in that year under former Subchapter D, Chapter 313, Tax Code.
Added by Acts 2001, 77th Leg., ch. 1505, Sec. 6, eff. Jan. 1, 2002.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 1304 (H.B. 3390), Sec. 20, eff. January 1, 2014.
Transferred, redesignated and amended from Education Code, Section 42.2515 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.040, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.2541. Additional State Aid for Certain Ad Valorem Tax Refunds

Sec. 48.2541.  ADDITIONAL STATE AID FOR CERTAIN AD VALOREM TAX REFUNDS.  For each school year, a school district, including a school district that is otherwise ineligible for state aid under this chapter, is entitled to state aid in an amount equal to the amount of all tax refunds provided under Section 26.1115(c), Tax Code.
Added by Acts 2021, 87th Leg., 2nd C.S., Ch. 12 (S.B. 8), Sec. 7, eff. January 1, 2022.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.2542. Additional State Aid for Adjustment of Limitation on Tax Increases on Homestead of Elderly or Disabled

Text of section effective until January 01, 2025
Sec. 48.2542.  ADDITIONAL STATE AID FOR ADJUSTMENT OF LIMITATION ON TAX INCREASES ON HOMESTEAD OF ELDERLY OR DISABLED.  Notwithstanding any other provision of this chapter, if a school district is not fully compensated through state aid or the calculation of excess local revenue under this chapter based on the determination of the district's taxable value of property under Subchapter M, Chapter 403, Government Code, the district is entitled to additional state aid in the amount necessary to fully compensate the district for the amount of ad valorem tax revenue lost due to a reduction of the amount of the limitation on tax increases provided by Sections 11.26(a-4), (a-5), (a-6), (a-7), (a-8), (a-9), (a-10), (a-11), and (a-12), Tax Code, as applicable.
Amended by:
Acts 2023, 88th Leg., 2nd C.S., Ch. 1 (S.B. 2), Sec. 3.04, eff. November 7, 2023.
Acts 2023, 88th Leg., 2nd C.S., Ch. 1 (S.B. 2), Sec. 3.05, eff. January 1, 2025.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.2542. Additional State Aid for Adjustment of Limitation on Tax Increases on Homestead of Elderly or Disabled

Text of section effective on January 01, 2025
Sec. 48.2542.  ADDITIONAL STATE AID FOR ADJUSTMENT OF LIMITATION ON TAX INCREASES ON HOMESTEAD OF ELDERLY OR DISABLED.  Notwithstanding any other provision of this chapter, if a school district is not fully compensated through state aid or the calculation of excess local revenue under this chapter based on the determination of the district's taxable value of property under Subchapter M, Chapter 403, Government Code, the district is entitled to additional state aid in the amount necessary to fully compensate the district for the amount of ad valorem tax revenue lost due to a reduction of the amount of the limitation on tax increases provided by Section 11.26(a-10), Tax Code.
Amended by:
Acts 2023, 88th Leg., 2nd C.S., Ch. 1 (S.B. 2), Sec. 3.04, eff. November 7, 2023.
Acts 2023, 88th Leg., 2nd C.S., Ch. 1 (S.B. 2), Sec. 3.05, eff. January 1, 2025.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.2543. Additional State Aid for Homestead Exemption

Sec. 48.2543.  ADDITIONAL STATE AID FOR HOMESTEAD EXEMPTION.  (a)  For the 2022-2023 school year, a school district is entitled to additional state aid to the extent that state and local revenue under this chapter and Chapter 49 is less than the state and local revenue that would have been available to the district under this chapter and Chapter 49 as those chapters existed on September 1, 2021, if any increase in the residence homestead exemption under Section 1-b(c), Article VIII, Texas Constitution, as proposed by the 87th Legislature, 3rd Called Session, 2021, had not occurred.
(a-1)  Beginning with the 2023-2024 school year, a school district is entitled to additional state aid to the extent that state and local revenue under this chapter and Chapter 49 is less than the state and local revenue that would have been available to the district under this chapter and Chapter 49 as those chapters existed on September 1, 2022, if any increase in a residence homestead exemption under Section 1-b(c), Article VIII, Texas Constitution, and any additional limitation on tax increases under Section 1-b(d) of that article as proposed by the 88th Legislature, 2nd Called Session, 2023, had not occurred.
(b)  The lesser of the school district's currently adopted maintenance and operations tax rate or the adopted maintenance and operations tax rate for:
(1)  the 2021 tax year is used for the purpose of determining additional state aid under Subsection (a); and
(2)  the 2022 tax year is used for the purpose of determining additional state aid under Subsection (a-1).
Amended by:
Acts 2023, 88th Leg., 2nd C.S., Ch. 1 (S.B. 2), Sec. 3.06, eff. November 7, 2023.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.255. State Compression Percentage

Sec. 48.255.  STATE COMPRESSION PERCENTAGE.  (a)  In this title, "state compression percentage" means the percentage of the rate of $1.00 per $100 valuation of taxable property that is used to determine a school district's maximum compressed tax rate under Section 48.2551.
(b)  The state compression percentage is the lower of:
(1)  93 percent, or a lower percentage set by appropriation for a school year;
(2)  the percentage determined by the following formula:
SCP = PYCP X 1.025/(1 + ECPV); or
(3)  the percentage determined under this section for the preceding school year.
(c)  For purposes of Subsection (b)(2):
(1)  "SCP" is the state compression percentage;
(2)  "PYCP" is the state compression percentage for the preceding school year; and
(3)  "ECPV" is the estimated percentage change in total taxable property value for the applicable tax year as determined based on the estimate submitted to the legislature under Section 48.269.
Transferred, redesignated and amended by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1A.006, eff. September 1, 2020.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.2552. Limitation on Maximum Compressed Rate

Sec. 48.2552.  LIMITATION ON MAXIMUM COMPRESSED RATE.  (a)  Each year, the agency shall evaluate the difference between school districts' maximum compressed rates, as determined under Section 48.2551.
(b)  If a school district's maximum compressed rate as calculated under Section 48.2551(b) would be less than 90 percent of another school district's maximum compressed rate, the district's maximum compressed rate is the value at which the district's maximum compressed rate would be equal to 90 percent of the other district's maximum compressed rate.
(c)  The amount of revenue available to the state as a result of the differences in the amount of state aid and reduction in local revenue between calculating a district's maximum compressed rate in accordance with Subsection (b) and calculating the district's maximum compressed rate under Section 48.2551 shall be used to lower the state compression percentage under Section 48.255. The agency shall provide estimates to the legislature of the reduction of the state compression percentage based on this subsection.
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1A.007, eff. September 1, 2020.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 806 (H.B. 1525), Sec. 34, eff. September 1, 2021.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 48 - Foundation School Program › Subchapter F. Financing the Program › Section 48.2553. Permitted Tax Rate for Maintenance of 2020-2021 School Year Basic Allotment

Sec. 48.2553.  PERMITTED TAX RATE FOR MAINTENANCE OF 2020-2021 SCHOOL YEAR BASIC ALLOTMENT.  (a)  Notwithstanding any other provision of this title or Chapter 26, Tax Code, if the maximum amount of the basic allotment provided under Section 48.051(a) or (b) for a school year is less than the maximum amount provided for the 2020-2021 school year, subject to Subsection (b), a school district may adopt a maintenance and operations tax rate that exceeds the maximum compressed tax rate permitted under Section 48.2551, provided that:
(1)  the rate adopted by the district was previously approved by voters for a tax year subsequent to the 2005 tax year; and
(2)  the rate may not exceed the lesser of:
(A)  $1.17; or
(B)  the district's maximum compressed tax rate and the additional tax rate necessary to generate the amount of revenue equal to the difference in per student funding.
(b)  Before adopting a maintenance and operations tax rate under Subsection (a), a school district must receive approval from the agency.  To receive approval from the agency under this subsection the district must submit the following information:
(1)  a statement detailing the loss of funding to the district that resulted from the decline in the maximum amount of the basic allotment provided under Section 48.051(a) or (b);
(2)  the proposed additional tax effort and the amount of funding the proposed additional tax effort will generate;
(3)  evidence that the proposed additional tax effort described by Subdivision (2) had been previously authorized by voters subsequent to the 2005 tax year; and
(4)  any other information required by the commissioner.
(c)  The agency's approval of a district's tax rate under Subsection (b) expires at the end of each tax year.
(d)  Any additional tax effort by a school district authorized under this section is not:
(1)  eligible for funding under Subchapter B, C, or D;
(2)  eligible for the guaranteed yield amount of state funds under Section 48.202; or
(3)  subject to the limit on local revenue under Section 48.257.
(e)  The commissioner shall reduce state aid or adjust the limit on local revenue under Section 48.257 in an amount equal to the amount of revenue generated by a school district's tax effort that is not in compliance with this section or Section 48.2551.
(f)  This section does not apply to a school district to which Section 45.003(f) applies.
Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1A.007, eff. September 1, 2020.
For expiration of this section, see Subsection (f).