1-1 By: Haley S.B. No. 1111
1-2 (In the Senate - Filed March 12, 1993; March 15, 1993, read
1-3 first time and referred to Committee on Education; April 1, 1993,
1-4 reported adversely, with favorable Committee Substitute by the
1-5 following vote: Yeas 9, Nays 0; April 1, 1993, sent to printer.)
1-6 COMMITTEE VOTE
1-7 Yea Nay PNV Absent
1-8 Ratliff x
1-9 Haley x
1-10 Barrientos x
1-11 Bivins x
1-12 Harris of Tarrant x
1-13 Luna x
1-14 Montford x
1-15 Shapiro x
1-16 Sibley x
1-17 Turner x
1-18 Zaffirini x
1-19 COMMITTEE SUBSTITUTE FOR S.B. No. 1111 By: Haley
1-20 A BILL TO BE ENTITLED
1-21 AN ACT
1-22 relating to the consolidation of independent school districts.
1-23 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-24 SECTION 1. Subsection (a), Section 19.051, Education Code,
1-25 is amended to read as follows:
1-26 (a) By the procedure described in this subchapter, any of
1-27 the following groups of school districts may consolidate into a
1-28 single school district:
1-29 (1) two or more <contiguous> independent school
1-30 districts;
1-31 (2) two or more <contiguous> common school districts;
1-32 or
1-33 (3) one or more independent school districts and one
1-34 or more common school districts <constituting as a whole one
1-35 continuous territory>.
1-36 SECTION 2. Subchapter C, Chapter 19, Education Code, is
1-37 amended by adding Section 19.060 to read as follows:
1-38 Sec. 19.060. REGIONAL EDUCATION SERVICE CENTER
1-39 ADMINISTRATIVE CONSOLIDATION PLAN. (a) The board of each regional
1-40 education service center shall adopt an administrative
1-41 consolidation plan for the school districts in the area served by
1-42 the service center. The plan must contain recommendations
1-43 concerning the consolidation of the school districts'
1-44 administrative and support functions that would allow the school
1-45 districts to reduce costs, operate more efficiently, and improve
1-46 educational quality.
1-47 (b) In developing its plan, each service center shall meet
1-48 with representatives from each school district in the area.
1-49 (c) Each service center's plan must provide for all school
1-50 districts that are assigned to a single county in the 1992-1993
1-51 Texas School Directory published by the Central Education Agency to
1-52 consolidate administrative and support functions to the extent
1-53 recommended by the plan. The plan may recommend that a school
1-54 district that is not assigned to a single county consolidate
1-55 administrative and support functions with one or more other
1-56 specified school districts.
1-57 (d) Among the administrative and support functions a plan
1-58 may recommend for school districts to consolidate are central
1-59 administrative, transportation, food service, purchasing, and
1-60 payroll functions.
1-61 (e) After developing a plan as provided by this section,
1-62 each service center shall provide the plan to each school district
1-63 in the area for implementation. A school district is not required
1-64 to implement any recommendation made in the plan.
1-65 (f) A service center may modify or revise a plan made under
1-66 this section, including, after the 1994-1995 school year, changing
1-67 the assignments of school districts provided under Subsection (c)
1-68 of this section.
2-1 SECTION 3. Section 23.991, Education Code, is amended to
2-2 read as follows:
2-3 Sec. 23.991. Incentive Aid. (a) Independent school
2-4 districts created after August 22, 1963, through consolidation may
2-5 qualify for incentive aid payments by the State of Texas.
2-6 (b) In addition to incentive aid payments authorized under
2-7 Subsection (a) of this section, the commissioner of education may
2-8 authorize payments for planning and consolidating administrative
2-9 and support functions at the regional or subregional level.
2-10 (c) No<; provided, however, no> school district may receive
2-11 <such> payments under this subchapter for a period of more than 10
2-12 years.
2-13 (d) The <Such> incentive aid payments shall be made only
2-14 upon application to the Texas Education Agency and in compliance
2-15 with the terms and conditions contained in this subchapter
2-16 <section>.
2-17 SECTION 4. Section 23.992, Education Code, is amended by
2-18 adding Subsection (c) to read as follows:
2-19 (c) This section applies only to incentive aid payments
2-20 under Section 23.991(a) of this code.
2-21 SECTION 5. Section 23.995, Education Code, is amended to
2-22 read as follows:
2-23 Sec. 23.995. Payments Reduced. (a) The incentive aid
2-24 payments shall be reduced in direct proportion to any reduction in
2-25 the annual average daily attendance of the reorganized school
2-26 district for the preceding year.
2-27 (b) Subsection (a) of this section applies only to incentive
2-28 aid payments under Section 23.991(a) of this code.
2-29 SECTION 6. Section 23.996, Education Code, is amended to
2-30 read as follows:
2-31 Sec. 23.996. Consolidation Defined. "Consolidation" for
2-32 purposes of this subchapter shall mean and have application to
2-33 creation of new districts by election under school district
2-34 consolidation laws and/or by enlargement of existing districts by
2-35 annexation thereto of other entire <contiguous district or>
2-36 districts, other than dormant districts, under annexation laws, and
2-37 where the district consolidated by election or enlarged by
2-38 annexation under such laws results as an independent school
2-39 district.
2-40 SECTION 7. Section 23.997, Education Code, is amended to
2-41 read as follows:
2-42 Sec. 23.997. Conditions Precedent to Payment. As a
2-43 condition precedent to receiving incentive aid payments under
2-44 Section 23.991(a) of this code:
2-45 (1) the geographical limits of the proposed
2-46 consolidated district shall be submitted to the Texas Education
2-47 Agency for approval and the geographical limits so approved shall
2-48 be set forth in the petition for any consolidation election; and
2-49 (2) the consolidation of the school districts shall
2-50 result in the formation of an independent school district.
2-51 SECTION 8. Section 16.103, Education Code, is amended by
2-52 adding Subsection (d) to read as follows:
2-53 (d) From the total amount of funds appropriated for the
2-54 small district adjustment under this section, the commissioner of
2-55 education shall withhold an amount necessary for incentive aid
2-56 payments made under Section 23.991(b) of this code, but not to
2-57 exceed $7,500,000 during the 1994-1995 biennium or a higher amount
2-58 set by appropriation. After deducting the amount withheld under
2-59 this subsection from the total amount appropriated for the small
2-60 district adjustment, the commissioner of education shall reduce
2-61 each district's entitlement proportionately and shall allocate
2-62 funds to each district accordingly.
2-63 SECTION 9. Sections 23.993, 23.994, and 23.999, Education
2-64 Code, are repealed.
2-65 SECTION 10. From the total amount of funds appropriated for
2-66 the Foundation School Program, the commissioner of education shall
2-67 withhold an amount not to exceed $2,500,000 during the 1994-1995
2-68 biennium, or a higher amount set by appropriation, for revision of
2-69 Bulletin 679, accounting procedures and related training. After
2-70 deducting the amount withheld under this section from the total
3-1 amount appropriated for the Foundation School Program, the
3-2 commissioner of education shall reduce each district's entitlement
3-3 proportionately and shall allocate funds to each district
3-4 accordingly.
3-5 SECTION 11. The State Board of Education shall conduct a
3-6 study of rural high school districts and shall report the results
3-7 of the study to the 74th Legislature not later than February 1,
3-8 1995. The report must include:
3-9 (1) a description of the status of rural high school
3-10 districts;
3-11 (2) recommendations for criteria for the creation of
3-12 rural high school districts to ensure that the districts provide a
3-13 high school education of high quality; and
3-14 (3) recommendations for statutory changes needed to
3-15 encourage or require the creation of rural high school districts or
3-16 to improve the operation of the districts.
3-17 SECTION 12. (a) Each regional education service center
3-18 shall complete the administrative consolidation plan as provided by
3-19 Section 19.060, Education Code, as added by this Act, for
3-20 implementation at the beginning of the 1994-1995 school year.
3-21 (b) Not later than January 1, 1995, each service center
3-22 shall report to the commissioner of education on the service
3-23 center's recommendations for consolidation of administrative and
3-24 support functions of school districts under Section 19.060,
3-25 Education Code, as added by this Act. The report must:
3-26 (1) identify the proposals recommended under the
3-27 service center's plan;
3-28 (2) identify the proposals school districts have
3-29 agreed to implement and those that school districts do not want to
3-30 implement;
3-31 (3) offer recommendations for consolidation of
3-32 administrative and support functions of school districts that could
3-33 be implemented on a statewide basis and that would allow school
3-34 districts to reduce costs, operate more efficiently, and improve
3-35 educational quality; and
3-36 (4) identify any school district that does not intend
3-37 to implement the recommendations in the plan.
3-38 (c) Not later than February 1, 1995, the commissioner of
3-39 education shall prepare a summary of the service centers' reports
3-40 under Subsection (b) of this section and present that summary to
3-41 the legislature.
3-42 SECTION 13. Sections 1 through 9 of this Act apply beginning
3-43 with the 1993-1994 school year.
3-44 SECTION 14. The importance of this legislation and the
3-45 crowded condition of the calendars in both houses create an
3-46 emergency and an imperative public necessity that the
3-47 constitutional rule requiring bills to be read on three several
3-48 days in each house be suspended, and this rule is hereby suspended,
3-49 and that this Act take effect and be in force from and after its
3-50 passage, and it is so enacted.
3-51 * * * * *
3-52 Austin,
3-53 Texas
3-54 April 1, 1993
3-55 Hon. Bob Bullock
3-56 President of the Senate
3-57 Sir:
3-58 We, your Committee on Education to which was referred S.B. No.
3-59 1111, have had the same under consideration, and I am instructed to
3-60 report it back to the Senate with the recommendation that it do not
3-61 pass, but that the Committee Substitute adopted in lieu thereof do
3-62 pass and be printed.
3-63 Ratliff,
3-64 Chairman
3-65 * * * * *
3-66 WITNESSES
3-67 FOR AGAINST ON
3-68 ___________________________________________________________________
3-69 Name: Hamp Atkinson x
3-70 Representing:
4-1 City: Austin
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