reglab/statecodes huggingface dataset:
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter F. Tax Base Consolidation › Section 49.258. Revenue Distribution

Sec. 49.258.  REVENUE DISTRIBUTION.  The consolidated taxing district shall distribute maintenance tax revenue to the component districts on the basis of the number of students in weighted average daily attendance in the component districts.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter F, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.058, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter F. Tax Base Consolidation › Section 49.259. Taxes of Component Districts

Sec. 49.259.  TAXES OF COMPONENT DISTRICTS.  (a)  The governing board of a component school district of a consolidated taxing district that has consolidated for maintenance and operation purposes only may issue bonds and levy, pledge, and collect ad valorem taxes within that component district sufficient to pay the principal of and interest on those bonds as provided by Chapter 45.
(b)  A component district levying an ad valorem tax under this section or Section 49.260(b)(1) is entitled to the guaranteed yield provided by Subchapter E, Chapter 48, for that portion of its tax rate that, when added to the maintenance tax levied by the consolidated taxing unit, does not exceed the limitation provided by Section 48.203.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter F, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.058, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter F. Tax Base Consolidation › Section 49.260. Optional Total Tax Base Consolidation

Sec. 49.260.  OPTIONAL TOTAL TAX BASE CONSOLIDATION.  (a)  An agreement executed under Section 49.251 may provide for total tax base consolidation instead of consolidation for maintenance and operation purposes only.
(b)  Under an agreement providing for total tax base consolidation:
(1)  the component districts may not levy maintenance or bond taxes, except to the extent necessary to retire bonds and other obligations issued before the effective date of the consolidation;
(2)  the joint board may issue bonds and levy, pledge, and collect ad valorem taxes sufficient to pay the principal of and interest on those bonds, and issue refunding bonds, as provided by Chapter 45 for independent school districts; and
(3)  to the end of the ballot proposition required under Section 49.253(a) shall be added ", and further to create a consolidated tax base for the repayment of all bonded indebtedness issued by the joint board of the taxing district after the effective date of the consolidation and to authorize the joint board to levy, pledge, and collect ad valorem taxes at a rate sufficient to pay the principal of and interest on those bonds."
(c)  Under an agreement providing for total tax base consolidation:
(1)  the component districts may provide for the consolidated taxing district to assume all of the indebtedness of all component districts; and
(2)  to the end of the ballot proposition required by Section 49.253(a) shall be added ", and further to create a consolidated tax base for the repayment of all bonded indebtedness issued by the joint board of the taxing district or previously issued by the component school districts and to authorize the joint board to levy, pledge, and collect ad valorem taxes at a rate sufficient to pay the principal of and interest on those bonds."
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter F, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.058, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.301. Definition

Sec. 49.301.  DEFINITION.  In this subchapter, "mineral property" means a real property mineral interest that has been severed from the surface estate by a mineral lease creating a determinable fee or by a conveyance that creates an interest taxable separately from the surface estate.  A mineral property includes each royalty interest, working interest, or other undivided interest in the mineral property.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.302. Determination of Taxable Value

Sec. 49.302.  DETERMINATION OF TAXABLE VALUE.  (a)  For purposes of this subchapter, the taxable value of an individual parcel or other item of property and the total taxable value of property in a school district resulting from the detachment of property from or annexation of property to that district is determined by applying the appraisal ratio for the appropriate category of property determined under Subchapter M, Chapter 403, Government Code, for the preceding tax year to the taxable value of the detached or annexed property determined under Title 1, Tax Code, for the preceding tax year.
(b)  For purposes of this subchapter, the taxable value of all or a portion of a parcel or item of real property includes the taxable value of personal property having taxable situs at the same location as the real property.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.303. Property Subject to Detachment and Annexation

Sec. 49.303.  PROPERTY SUBJECT TO DETACHMENT AND ANNEXATION.  (a)  Only the following property may be detached and annexed under this subchapter:
(1)  a mineral property;
(2)  real property used in the operation of a public utility, including a pipeline, pipeline gathering system, or railroad or other rail system; and
(3)  real property used primarily for industrial or other commercial purposes, other than property used primarily for agriculture or for residential purposes.
(b)  If a final judgment of a court determines that a mineral interest may not be annexed and detached as provided by this subchapter without an attendant annexation and detachment of the surface estate or any other interest in the same land, the detachment and annexation of a mineral interest under this subchapter includes the surface estate and each other interest in the land covered by the mineral interest.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.304. Taxation of Personal Property

Sec. 49.304.  TAXATION OF PERSONAL PROPERTY.  Personal property having a taxable situs at the same location as real property detached and annexed under this subchapter is taxable by the school district to which the real property is annexed.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.305. Detachment of Property

Sec. 49.305.  DETACHMENT OF PROPERTY.  (a)  The commissioner shall detach property under this section from each school district from which the commissioner is required under Section 49.004 to detach property under this subchapter.
(b)  The commissioner shall detach from each school district covered by Subsection (a) one or more whole parcels or items of property in descending order of the taxable value of each parcel or item, beginning with the parcel or item having the greatest taxable value, until the school district's local revenue level is equal to or less than the level established under Section 48.257, except as otherwise provided by Subsection (c).
(c)  If the detachment of whole parcels or items of property as provided by Subsection (a) would result in a district's local revenue level that is less than the level established under Section 48.257 by more than the product of $10,000 multiplied by weighted average daily attendance, the commissioner may not detach the last parcel or item of property and shall detach the next one or more parcels or items of property in descending order of taxable value that would result in the school district having a local revenue level that is equal to or less than the level established under Section 48.257 by not more than the product of $10,000 multiplied by weighted average daily attendance.
(d)  Notwithstanding Subsections (a), (b), and (c), the commissioner may detach only a portion of a parcel or item of property if:
(1)  it is not possible under this subchapter 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 unless some or all of the parcel or item of property is detached and the detachment of the whole parcel or item would result in the district from which it is detached having a local revenue level that is less than the level established under Section 48.257 by more than the product of $10,000 multiplied by weighted average daily attendance; or
(2)  the commissioner determines that a partial detachment of that parcel or item of property is preferable to the detachment of one or more other parcels or items having a lower taxable value in order to minimize the number of parcels or items of property to be detached consistent with the purposes of this chapter.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.307. Limitations on Detachment and Annexation

Sec. 49.307.  LIMITATIONS ON DETACHMENT AND ANNEXATION.  The commissioner may detach and annex property under this subchapter only if:
(1)  the property is not exempt from ad valorem taxation under Section 11.20 or 11.21, Tax Code; and
(2)  the property does not contain a building or structure owned by the United States, this state, or a political subdivision of this state that is exempt from ad valorem taxation under law.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.308. Orders and Notice

Sec. 49.308.  ORDERS AND NOTICE.  (a)  The commissioner shall order any detachments and annexations of property under this subchapter not later than November 8 of each year.
(a-1)  Notwithstanding Subsection (a), for the 2023-2024 school year, the commissioner shall order any detachments and annexations of property under this subchapter as soon as practicable after the canvass of the votes on the constitutional amendment proposed by H.J.R. 2, 88th Legislature, 2nd Called Session, 2023.  This subsection expires September 1, 2024.
(b)  As soon as practicable after issuing the order under Subsection (a), the commissioner shall notify each affected school district and the appraisal district in which the affected property is located of the determination.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 465 (S.B. 1), Sec. 16, eff. June 15, 2015.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
Amended by:
Acts 2023, 88th Leg., 2nd C.S., Ch. 1 (S.B. 2), Sec. 3.13, eff. July 22, 2023.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.309. Treatment of Subdivided Property

Sec. 49.309.  TREATMENT OF SUBDIVIDED PROPERTY.  (a)  If the commissioner orders the detachment or annexation of a portion of a parcel or item of property under this subchapter, the order shall specify the portion of the taxable value of the property to be detached or annexed and may, but need not, describe the specific area of the parcel or item to be detached or annexed.
(b)  If an order for the detachment or annexation of a portion of a parcel or item of property does not describe the specific area of the parcel or item to be detached or annexed, the commissioner, as soon as practicable after issuing the order, shall determine the specific area to be detached or annexed and shall certify that determination to the appraisal district for the county in which the property is located.
(c)  If portions of a parcel or item of property are located in two or more school districts as the result of a detachment or annexation, the parcel or item shall be appraised for taxation as a unit, and the commissioner shall determine the portion of the taxable value of the property that is located in each of those school districts based on the square footage of the property, or any other reasonable method adopted by the commissioner.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.310. Duties of Chief Appraiser

Sec. 49.310.  DUTIES OF CHIEF APPRAISER.  (a)  The chief appraiser of each appraisal district shall cooperate with the commissioner in administering this subchapter.  The commissioner may require the chief appraiser to submit any reports or provide any information available to the chief appraiser in the form and at the times required by the commissioner.
(b)  As soon as practicable after the detachment and annexation of property, the chief appraiser of the appraisal district in which the property is located shall send a written notice of the detachment and annexation to the owner of any property taxable in a different school district as a result of the detachment and annexation.  The notice must include the name of the school district by which the property is taxable after the detachment and annexation.
(c)  The commissioner may reimburse an appraisal district for any costs incurred in administering this subchapter and may condition the reimbursement or the amount of the reimbursement on the timely submission of reports or information required by the commissioner or the satisfactory performance of any other action required or requested by the commissioner.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 648 (H.B. 1010), Sec. 4, eff. January 1, 2008.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.311. Student Attendance

Sec. 49.311.  STUDENT ATTENDANCE.  A student who is a resident of real property detached from a school district may choose to attend school in that district or in the district to which the property is annexed.  For purposes of determining average daily attendance under Section 48.005, the student shall be counted in the district to which the property is annexed.  If the student chooses to attend school in the district from which the property is detached, the state shall withhold any foundation school funds from the district to which the property is annexed and shall allocate to the district in which the student is attending school those funds and the amount of funds equal to the difference between the state funds the district is receiving for the student and the district's cost in educating the student.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.312. Bond Taxes

Sec. 49.312.  BOND TAXES.  Property detached from a school district is released from the obligation for any tax to pay principal and interest on bonds authorized by the district before detachment.  The property is subject to any tax to pay principal or interest on bonds authorized by the district to which the property is annexed whether authorized before or after annexation.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter G. Detachment and Annexation by Commissioner › Section 49.313. Determination by Commissioner Final

Sec. 49.313.  DETERMINATION BY COMMISSIONER FINAL.  A decision or determination of the commissioner under this subchapter is final and not appealable.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter G, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.059, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter H. Consolidation by Commissioner › Section 49.351. Commissioner Order

Sec. 49.351.  COMMISSIONER ORDER.  If the commissioner is required under Section 49.004 to order the consolidation of districts, the consolidation is governed by this subchapter.  The commissioner's order shall be effective on a date determined by the commissioner, but not later than the earliest practicable date after November 8.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter H, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.060, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter H. Consolidation by Commissioner › Section 49.352. Selection Criteria

Sec. 49.352.  SELECTION CRITERIA.  (a)  In selecting the districts to be consolidated with a district that has taxable values of property in an amount that exceeds the local revenue level established under Section 48.257, the commissioner shall select one or more districts that, when consolidated, will result in a consolidated district with a local revenue level equal to or less than the level established under Section 48.257.  In achieving that result, the commissioner shall give priority to school districts in the following order:
(1)  first, to the contiguous district that has the lowest local revenue level and is located in the same county;
(2)  second, to the district that has the lowest local revenue level and is located in the same county;
(3)  third, to a contiguous district with a local revenue level below the level established under Section 48.257 that has requested the commissioner that it be considered in a consolidation plan;
(4)  fourth, to include as few districts as possible that have the lowest local revenue levels below the level established under Section 48.257 within the consolidation order that have not requested the commissioner to be included;
(5)  fifth, to the district that has the lowest local revenue level and is located in the same regional education service center area; and
(6)  sixth, to a district that has a tax rate similar to that of the district that has a local revenue level greater than the level established under Section 48.257.
(b)  The commissioner may not select a district that has been created as a result of consolidation by agreement under Subchapter B to be consolidated under this subchapter with a district that has a local revenue level greater than the level established under Section 48.257.
(c)  In applying the selection criteria specified by Subsection (a), if more than two districts are to be consolidated, the commissioner shall select the third and each subsequent district to be consolidated by treating the district that has a local revenue level greater than the level established under Section 48.257 and the district or districts previously selected for consolidation as one district.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter H, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.060, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter H. Consolidation by Commissioner › Section 49.353. Governance

Sec. 49.353.  GOVERNANCE.  (a)  Until the initial trustees elected as provided by Subsection (b) have qualified and taken office, a district consolidated under this subchapter is governed by a transitional board of trustees consisting of the board of trustees of the district having the greatest student membership on the last day of the school year preceding the consolidation plus one member of the board of trustees of each other consolidating district selected by that board.
(b)  The transitional board of trustees shall divide the consolidated district into nine single-member trustee districts in accordance with the procedures provided by Section 11.052.  The transitional board shall order an election for the initial board of trustees to be held on the first May uniform election date after the effective date of a consolidation order.
(c)  Members of the board of trustees of a consolidated district serve staggered terms of office for four years.
(d)  Section 13.156 applies to districts consolidated under this subchapter.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter H, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.060, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter H. Consolidation by Commissioner › Section 49.354. Dissolution of Consolidated District

Sec. 49.354.  DISSOLUTION OF CONSOLIDATED DISTRICT.  (a)  If the legislature abolishes ad valorem taxes for public school maintenance and operations and adopts another method of funding public education, the board of trustees of a consolidated district created under this subchapter may dissolve the consolidated district, provided that the dissolution is approved by a majority of those voters residing within the district participating in an election called for the purpose of approving the dissolution of the consolidated school district.
(b)  If a consolidated district is dissolved, each of the former districts is restored as a separate district and is classified as an independent district.
(c)  Title to real property of the consolidated district is allocated to the restored district in which the property is located.  Title to proportionate shares of the fund balances and personal property of the consolidated district, as determined by Subsection (e), are allocated to each restored district.
(d)  Each of the restored districts assumes and is liable for:
(1)  indebtedness of the consolidated district that relates to real property allocated to the district; and
(2)  a proportionate share, as determined by Subsection (e), of indebtedness of the consolidated district that does not relate to real property.
(e)  A restored district's proportionate share of fund balances, personal property, or indebtedness is equal to the proportion that the number of students in average daily attendance in the restored district bears to the number of students in average daily attendance in the consolidated district.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter H, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.060, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter H. Consolidation by Commissioner › Section 49.355. Fund Balances

Sec. 49.355.  FUND BALANCES.  Fund balances of a school district consolidated under this subchapter may be used only for the benefit of the schools within the district that generated the funds.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter H, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.060, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter H. Consolidation by Commissioner › Section 49.356. Employment Contracts

Sec. 49.356.  EMPLOYMENT CONTRACTS.  A consolidated district created under this subchapter shall honor an employment contract entered into by a consolidating district.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter H, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.060, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 2 - Public Education › Subtitle I - School Finance and Fiscal Management › Chapter 49 - Options for Local Revenue Levels in Excess of Entitlement › Subchapter H. Consolidation by Commissioner › Section 49.357. Application of Sparse Adjustment and Small and Transportation Allotments

Sec. 49.357.  APPLICATION OF SPARSE ADJUSTMENT AND SMALL AND TRANSPORTATION ALLOTMENTS.  The budget of the consolidated district must apply the benefit of the adjustment or allotment to the schools of the consolidating district to which Section 48.052, 48.101, or 48.151 would have applied in the event that the consolidated district still qualifies as a small or sparse district.
Added by Acts 1995, 74th Leg., ch. 260, Sec. 1, eff. May 30, 1995.
Transferred, redesignated and amended from Education Code, Subchapter H, Chapter 41 by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.060, eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.001. Institutions to Which Applicable

Sec. 51.001.  INSTITUTIONS TO WHICH APPLICABLE.  The provisions of this subchapter apply to each institution of higher education, as that term is defined by Section 61.003 of this code, including each public junior college to the extent possible.
Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, Sec. 1, eff. Sept. 1, 1971.  Amended by Acts 1973, 63rd Leg., p. 1656, ch. 601, Sec. 1, eff. June 15, 1973;  Acts 1975, 64th Leg., p. 813, ch. 317, Sec. 2, eff. Sept. 1, 1975;  Acts 1987, 70th Leg., ch. 823, Sec. 3.05, eff. June 20, 1987;  Acts 1987, 70th Leg., ch. 1070, Sec. 2, eff. May 15, 1988.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.002. Funds Subject to Control

Sec. 51.002.  FUNDS SUBJECT TO CONTROL.  (a)  The governing board of each institution listed in Section 51.001 of this code may retain control of the following sums of money collected at the institution, subject to Section 51.008 of this code:
(1)  student fees of all kinds;
(2)  charges for use of rooms and dormitories;
(3)  receipts from meals, cafes, and cafeterias;
(4)  fees on deposit refundable to students under certain conditions;
(5)  receipts from school athletic activities;
(6)  income from student publications and other student activities;
(7)  receipts from the sale of publication products and miscellaneous supplies and equipment;
(8)  students' voluntary deposits of money for safekeeping;
(9)  all other fees and local or institutional funds arising out of and by virtue of the educational activities, research, or demonstrations carried on by the institution;  and
(10)  donations and gifts to the institution.
(b)  The provisions of this subchapter do not apply to any income derived from the permanent university fund.
Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, Sec. 1, eff. Sept. 1, 1971.  Amended by Acts 1991, 72nd Leg., ch. 481, Sec. 1, eff. June 8, 1991.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.003. Depositories

Sec. 51.003.  DEPOSITORIES.  (a)  The governing board of each institution may select one or more depositories as places of deposit for the funds enumerated in Section 51.002 of this code.  Depositories shall be selected on the basis of competitive bids.  If bids are taken orally, the bids shall be tabulated by the person taking the bids and made a part of the permanent records of the institution.
(b)  The funds shall either be deposited in the depository bank or banks or invested as authorized by Chapter 2256, Government Code (Public Funds Investment Act).  Funds that are to be deposited in the depository bank or banks must be deposited within seven days from the date of receipt by the institution.
(c)  The governing board shall require adequate surety bonds or securities to be posted to secure the deposits and may require additional security at any time it deems the deposits inadequately secured.  The depository banks selected may pledge their securities to protect the funds.
(d)  A depository shall pay interest on the deposits at a rate agreed on by the depository and the governing board.
(e)  Any surety bond furnished under the provisions of this section shall be payable to the governor and his successors in office.  Venue for a suit to recover an amount claimed by the state to be due on a surety bond is in Travis County.
(f)  Notwithstanding any other provision of this section, the governing board of each institution may maintain unsecured deposits in a foreign bank as necessary to support the institution's academic and research operations in the foreign country in which the bank is located, provided that no appropriated or tuition funds other than those collected from students enrolled in the affected programs are deposited.  The foreign bank must:
(1)  be licensed and supervised by a central bank;
(2)  be audited annually by an accounting firm that follows international financial reporting standards; and
(3)  maintain a capital to total assets ratio that is not less than the greater of four percent or the minimum tier 1 capital to total assets ratio required for depository institutions insured by the Federal Deposit Insurance Corporation.
Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, Sec. 1, eff. Sept. 1, 1971.  Amended by Acts 1987, 70th Leg., ch. 823, Sec. 4.03, eff. June 20, 1987;  Acts 1987, 70th Leg., ch. 889, Sec. 8, eff. Aug. 31, 1987;  Acts 1995, 74th Leg., ch. 402, Sec. 2, eff. Sept. 1, 1995.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 1049 (S.B. 5), Sec. 1.01, eff. June 17, 2011.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.0031. Deposits and Investments

Sec. 51.0031.  DEPOSITS AND INVESTMENTS.  (a)  A governing board may deposit funds under its control as provided in Section 51.003 of this code, may invest funds under its control in accordance with Chapter 2256, Government Code and, with regard to donations, gifts, and trusts, may establish endowment funds that operate as trusts and are managed under prudent person standards.
(b)  Funds described in this section may also be invested in cash management and fixed income funds held by organizations exempt from federal taxation under Section 501(f) of the Internal Revenue Code of 1986 (26 U.S.C. Section 501(f)), as that section may be amended.
(c)  If a governing board has under its control at least $25 million in book value of endowment funds, such governing board may invest all funds described in this section under prudent person standards.
(c-1)  If a governing board does not have under its control at least $25 million in book value of endowment funds, the governing board may contract to pool its funds described in this section with another institution that meets the $25 million in book value of endowment funds threshold established under Subsection (c), and have its funds invested by that governing board under prudent person standards.
(d)  As used in this section, "prudent person standard" is the standard of care described in Article VII, Section 11b, of the Texas Constitution, and means that standard of judgment and care that prudent investors, exercising reasonable care, skill, and caution, would acquire or retain in light of the purposes, terms, distribution requirements, and other circumstances of the fund then prevailing, taking into consideration the investment of all the assets of the fund rather than a single investment.
Added by Acts 1987, 70th Leg., ch. 823, Sec. 4.04, eff. June 20, 1987.  Amended by Acts 1993, 73rd Leg., ch. 240, Sec. 4, eff. May 22, 1993;  Acts 1995, 74th Leg., ch. 402, Sec. 3, eff. Sept. 1, 1995;  Acts 2001, 77th Leg., ch. 1158, Sec. 4, eff. June 15, 2001.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 111 (S.B. 1019), Sec. 1, eff. September 1, 2013.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.0032. Investment Reports and Policies

Sec. 51.0032.  INVESTMENT REPORTS AND POLICIES.  (a)  A governing board shall adopt by rule or resolution a written investment policy for the investment of its institutional funds.
(b)  Not less than quarterly, an institution of higher education shall prepare and submit to the governing board of the institution a written report of the institution's institutional funds investment transactions for the preceding reporting period.
(c)  In addition to other information that may be required by the governing board, the report must contain:
(1)  a summary statement of each pooled fund group that states the beginning market value for the reporting period, additions and changes to the market value during the period, and the ending market value for the period;  and
(2)  the book value and market value of each separately invested asset at the beginning and end of the reporting period by type of asset and fund type invested.
(d)  In this section:
(1)  "Governing board" means a governing board described in Section 51.0031(c).
(2)  "Institution of higher education" means an institution of higher education under the governance of a governing board to which this section applies.
(3)  "Pooled fund group" means an internally created fund of an institution of higher education in which one or more institutional accounts are invested.
(4)  "Separately invested asset" means an account of an institution of higher education that is not invested in a pooled fund group.
Added by Acts 1995, 74th Leg., ch. 402, Sec. 4, eff. Sept. 1, 1995.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.004. Separate Accounts; Trust Funds; Interest

Sec. 51.004.  SEPARATE ACCOUNTS;  TRUST FUNDS;  INTEREST.  (a)  Separate accounts shall be kept on the books of the institution showing the sources of all sums collected and the purposes for which disbursements are made.
(b)  All trust funds, including gifts, grants, and bequests received, establishing or adding to endowment funds, loan and scholarship funds, and funds for other current restricted purposes, shall be credited to separate accounts and shall not be commingled with other local or institutional funds.
(c)  If the governing board so elects, deposits of all funds not specifically required to be deposited to special accounts may be deposited in a single bank account if the records of the institution clearly reflect the balances attributable to general funds and various categories of trust funds.
(d)  Interest received from depository banks for funds on deposit may be credited to an appropriate account in either general funds or trust funds in relation to the sources of temporary investments in time deposits, if the disposition of the earnings was not specified by the grantor.  Interest received from the trust funds time deposits shall be available for loans, scholarships, fellowships, institutional research, faculty aid, and other lawful purposes.
Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, Sec. 1, eff. Sept. 1, 1971.  Amended by Acts 1991, 72nd Leg., ch. 481, Sec. 2, eff. June 8, 1991.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.005. Reports

Sec. 51.005.  REPORTS.  Each institution of higher education shall prepare a complete annual financial report as prescribed by Section 2101.011, Government Code.
Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, Sec. 1, eff. Sept. 1, 1971.  Amended by Acts 1975, 64th Leg., p. 568, ch. 227, Sec. 1, eff. May 20, 1975;  Acts 1977, 65th Leg., p. 1187, ch. 455, Sec. 1, eff. Aug. 29, 1977;  Acts 1979, 66th Leg., p. 1053, ch. 484, Sec. 1, eff. Aug. 27, 1979;  Acts 1987, 70th Leg., ch. 823, Sec. 3.06, eff. June 20, 1987;  Acts 1989, 71st Leg., ch. 584, Sec. 98, eff. Sept. 1, 1989;  Acts 1993, 73rd Leg., ch. 449, Sec. 19, eff. Sept. 1, 1993.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 1049 (S.B. 5), Sec. 1.02, eff. June 17, 2011.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.0051. Annual Operating Budgets

Sec. 51.0051.  ANNUAL OPERATING BUDGETS.  The governing board of each institution shall approve on or before September 1 of each year an itemized budget covering the operation of the institution for the fiscal year beginning on September 1 of each year.  The budget shall be prepared within the limits of legislatively appropriated general revenue and estimated educational and general funds.  The budget shall also include estimated institutional funds.  Copies of each such budget shall be furnished to the Texas Higher Education Coordinating Board for distribution to the Governor's Budget and Planning Office, Legislative Budget Board, and Legislative Reference Library.  Additional copies shall be delivered to the Texas Higher Education Coordinating Board as required.  The governing board of the institution shall retain five copies of the budget for distribution to legislators or other state officials on request.
Added by Acts 1991, 72nd Leg., ch. 481, Sec. 3, eff. June 8, 1991.  Amended by Acts 1995, 74th Leg., ch. 823, Sec. 4, eff. Aug. 28, 1995.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.0052. Application Requirement for Colonias Projects

Sec. 51.0052.  APPLICATION REQUIREMENT FOR COLONIAS PROJECTS.  (a)  In this section, "colonia" means a geographic area that:
(1)  is an economically distressed area as defined by Section 17.921, Water Code;
(2)  is located in a county any part of which is within 62 miles of an international border; and
(3)  consists of 11 or more dwellings that are located in close proximity to each other in an area that may be described as a community or neighborhood.
(b)  Repealed by Acts 2019, 86th Leg., R.S., Ch. 573 (S.B. 241), Sec. 3.01(1), eff. September 1, 2019.
(c)  Repealed by Acts 2019, 86th Leg., R.S., Ch. 573 (S.B. 241), Sec. 3.01(1), eff. September 1, 2019.
(d)  Regarding any projects funded by an institution of higher education that provide assistance to colonias, the institution of higher education shall require an applicant for the funds to submit to the institution a colonia classification number, if one exists, for each colonia that may be served by the project proposed in the application.  If a colonia does not have a classification number, the institution of higher education may contact the secretary of state or the secretary of state's representative to obtain the classification number.  On request of the institution, the secretary of state or the secretary of state's representative shall assign a classification number to the colonia.
Added by Acts 2007, 80th Leg., R.S., Ch. 341 (S.B. 99), Sec. 10, eff. June 15, 2007.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 573 (S.B. 241), Sec. 2.01, eff. September 1, 2019.
Acts 2019, 86th Leg., R.S., Ch. 573 (S.B. 241), Sec. 2.02, eff. September 1, 2019.
Acts 2019, 86th Leg., R.S., Ch. 573 (S.B. 241), Sec. 3.01(1), eff. September 1, 2019.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.006. Funds Not to Be Used to Increase Salaries

Sec. 51.006.  FUNDS NOT TO BE USED TO INCREASE SALARIES.  No part of any of the funds listed in Section 51.002 of this code shall ever be used to increase any salary beyond the sum fixed by the legislature in the general appropriations act;  provided, however, that the use of such funds by an institution for this purpose may be specifically authorized by the legislature in general law or the general appropriations act.
Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, Sec. 1, eff. Sept. 1, 1971.  Amended by Acts 1991, 72nd Leg., ch. 481, Sec. 4, eff. June 8, 1991.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.0065. Applicability of Across-the-Board Salary Increase

Sec. 51.0065.  APPLICABILITY OF ACROSS-THE-BOARD SALARY INCREASE.  An institution of higher education that has adopted a pay-for-performance program that is in effect when an across-the-board salary increase for state employees made by an appropriation act of the legislature takes effect is entitled to receive any appropriation made for purposes of the across-the-board salary increase, and may use the amount appropriated for an across-the-board salary increase or for increases in compensation under the institution's pay-for-performance program.
Added by Acts 2003, 78th Leg., ch. 1266, Sec. 2.07, eff. June 20, 2003.
2023 Texas Statutes › Education Code › Title 3 - Higher Education › Subtitle A - Higher Education in General › Chapter 51 - Provisions Generally Applicable to Higher Education › Subchapter A. Control of Funds › Section 51.007. Penalty

Sec. 51.007.  PENALTY.  Any state officer, agent, employee, or member of a governing board of any of the above named institutions, or any other person who violates any provision of this subchapter shall be deemed guilty of a misdemeanor and shall be punished by a fine of not less than $50 nor more than $500, and in addition may be sentenced to not less than 15 days nor more than three months in the county jail.  Failure to print and furnish to the officers above named, the reports above specified, shall subject all of the members of the governing board of the institutions above mentioned to the penalties provided for in this section.  Every day in excess of the number of days hereinabove provided for that any sum of money belonging to any of the funds enumerated in this subchapter, whether depositable in special depositories or whether those that should be deposited in the state treasury, shall be withheld from deposit at its proper place of deposit, shall constitute a separate offense and each day of such withholding shall subject the officer, agent, employee, or person so withholding said sum to the penalties herein provided for.
Acts 1971, 62nd Leg., p. 3072, ch. 1024, art. 1, Sec. 1, eff. Sept. 1, 1971.