By Barrientos                                          S.B. No. 197
       74R2110 KKA-F
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to an early high school graduation scholarship program and
    1-3  credit by examination for middle and secondary school students.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Chapter 56, Education Code, is amended by adding
    1-6  Subchapter K to read as follows:
    1-7                   SUBCHAPTER K.  EARLY HIGH SCHOOL
    1-8                    GRADUATION SCHOLARSHIP PROGRAM
    1-9        Sec. 56.201.  PROGRAM NAME.  The student financial assistance
   1-10  program authorized by this subchapter is known as the Early High
   1-11  School Graduation Scholarship program.
   1-12        Sec. 56.202.  PURPOSE.  (a)  The Early High School Graduation
   1-13  Scholarship program is created to increase efficiency in the
   1-14  foundation school program and to provide tuition assistance to an
   1-15  eligible person to enable that person to attend a Texas public or
   1-16  private institution of higher education.
   1-17        (b)  A portion of any savings to the foundation school
   1-18  program that occur as a result of the program is dedicated to state
   1-19  tuition credits provided by the program.
   1-20        Sec. 56.203.  ELIGIBLE PERSON.  (a)  To be eligible for the
   1-21  Early High School Graduation Scholarship program, a person must:
   1-22              (1)  have the written approval of at least one of the
   1-23  person's parents or a person standing in parental relation to the
   1-24  person;
    2-1              (2)  have successfully completed the requirements for a
    2-2  public high school diploma in less than four years and graduated or
    2-3  be eligible for graduation from a Texas public high school; and
    2-4              (3)  be a Texas resident as defined by Texas Higher
    2-5  Education Coordinating Board rule.
    2-6        (b)  Each school district shall certify annually to the
    2-7  coordinating board the names and other identifying information of
    2-8  those students in the district who are eligible under this section.
    2-9        Sec. 56.204.  ENTITLEMENT; MATCHING CREDIT.  (a)  An eligible
   2-10  person under the Early High School Graduation Scholarship program
   2-11  is entitled to $1,000 in state tuition credits at a Texas public or
   2-12  private institution of higher education.
   2-13        (b)  The use of a credit at a Texas private institution is
   2-14  contingent upon a private institution's agreement to match the
   2-15  state tuition credit.
   2-16        Sec. 56.205.  ISSUANCE OF CERTIFICATE.  The coordinating
   2-17  board shall provide a certificate for state tuition credits to an
   2-18  eligible person.
   2-19        Sec. 56.206.  USE OF TUITION CREDIT.  (a)  On enrollment of
   2-20  an eligible person in an eligible institution of higher education,
   2-21  the institution shall apply to the person's tuition charges for the
   2-22  enrollment period an amount equal to the lesser of:
   2-23              (1)  the amount of the tuition credit available to the
   2-24  person; or
   2-25              (2)  the person's actual tuition.
   2-26        (b)  A private institution of higher education shall apply
   2-27  the state tuition credit and the matching credit required by
    3-1  Section 56.204(b) in equal amounts.
    3-2        (c)  For each student using a state tuition credit under this
    3-3  subchapter, the institution of higher education shall report to the
    3-4  coordinating board:
    3-5              (1)  the student's name;
    3-6              (2)  the school district from which the student
    3-7  graduated from high school; and
    3-8              (3)  the amount of the state tuition credit applied.
    3-9        Sec. 56.207.  PAYMENT OF TUITION CREDIT.  (a)  On receipt of
   3-10  a report from an eligible institution of higher education under
   3-11  Section 56.206(c), the coordinating board shall distribute to the
   3-12  institution the amount of the state tuition credit applied by the
   3-13  institution.
   3-14        (b)  At least once each year the coordinating board shall
   3-15  submit a report to the commissioner of education that includes:
   3-16              (1)  the name of each student who used state tuition
   3-17  credit under this subchapter during the period covered by the
   3-18  report;
   3-19              (2)  the school district from which each student
   3-20  graduated from high school; and
   3-21              (3)  the amount of the state tuition credit used by
   3-22  each student during the period covered by the report.
   3-23        (c)  On receipt of a report from the coordinating board under
   3-24  Subsection (b), the commissioner shall transfer to the coordinating
   3-25  board, from funds appropriated for the foundation school program,
   3-26  an amount sufficient to reimburse the coordinating board for
   3-27  amounts disbursed in payment of state tuition credits during the
    4-1  period covered by the report.
    4-2        Sec. 56.208.  FUNDING.  (a)  The Early High School Graduation
    4-3  Scholarship program is financed under the foundation school
    4-4  program.  Funding for the state tuition credits is not subject to
    4-5  the provisions of Sections 16.254(e)-(k).
    4-6        (b)  The commissioner of education shall reduce the total
    4-7  annual amount of foundation school fund payments made to a school
    4-8  district by an amount equal to F x A, where:
    4-9              (1)  "F" is the lesser of one or the quotient of the
   4-10  district's local share for the preceding school year under Section
   4-11  16.252 divided by the amount of money to which the district was
   4-12  entitled under Subchapters C and D, Chapter 16, for the preceding
   4-13  school year; and
   4-14              (2)  "A" is the amount of state tuition credits under
   4-15  this subchapter applied by institutions of higher education on
   4-16  behalf of eligible persons who graduated from the district that has
   4-17  not been used to compute a previous reduction under this
   4-18  subsection.
   4-19        (c)  A school district that does not receive foundation
   4-20  school fund payments during a year in which the commissioner would
   4-21  otherwise withhold money from the district under Subsection (b)
   4-22  shall remit an amount equal to the amount that would be withheld
   4-23  under Subsection (b) to the comptroller for deposit to the credit
   4-24  of the foundation school fund.
   4-25        (d)  The commissioner and the foundation school fund budget
   4-26  committee shall consider the costs of the program in estimating the
   4-27  funds needed for foundation school program purposes.
    5-1        (e)  The school district from which an eligible person
    5-2  graduated is entitled to continue including the eligible person in
    5-3  the average daily attendance of the district for purposes of
    5-4  Chapters 16 and 36 until the end of the school year in which the
    5-5  eligible person would have graduated had the eligible person not
    5-6  graduated early.
    5-7        Sec. 56.209.  ADOPTION AND DISTRIBUTION OF RULES.  (a)  The
    5-8  coordinating board shall adopt rules to administer this subchapter.
    5-9        (b)  The coordinating board shall distribute copies of all
   5-10  rules adopted under this subchapter to each eligible institution of
   5-11  higher education and to each school district.
   5-12        SECTION 2.  Section 21.032(a), Education Code, is amended to
   5-13  read as follows:
   5-14        (a)  Unless specifically exempted by Section 21.033 of this
   5-15  code or under other laws or unless a child is at least 17 years of
   5-16  age and has been issued a high school diploma or a high school
   5-17  equivalency certificate, every child in the state who is as much as
   5-18  six years of age, or who is less than seven years of age and has
   5-19  previously been enrolled in first grade, and who has not completed
   5-20  the academic year in which his 17th birthday occurred shall be
   5-21  required to attend the public schools in the district of his
   5-22  residence or in some other district to which he may be transferred
   5-23  as provided or authorized by law a minimum of 170 days of the
   5-24  regular school term of the district in which the child resides or
   5-25  to which he has been transferred.
   5-26        SECTION 3.  Section 21.724, Education Code, is amended to
   5-27  read as follows:
    6-1        Sec. 21.724.  ADVANCED PLACEMENT EXAMINATION FOR PRIMARY
    6-2  GRADE LEVELS.  (a)  Using guidelines established by the State Board
    6-3  of Education, a school district shall develop for board review
    6-4  advanced placement examinations for each primary school grade level
    6-5  <and for secondary school academic subjects>.  The guidelines must
    6-6  provide for the examinations to thoroughly test comprehension of
    6-7  the information presented in the applicable grade level <or
    6-8  subject>.  The board shall approve advanced placement examinations
    6-9  that satisfy board guidelines.
   6-10        (b)  A student in a primary grade level shall be given credit
   6-11  for a grade level and advanced one grade level on the basis of a
   6-12  board-approved advanced placement examination if:
   6-13              (1)  the student scores in the 90th percentile or above
   6-14  on each section of the examination;
   6-15              (2)  a school district representative recommends that
   6-16  the student be advanced; and
   6-17              (3)  the student's parent or guardian gives written
   6-18  approval of the advancement.
   6-19        (c)  <A student in grade level six or above shall be given
   6-20  credit for a subject on the basis of a board-approved advanced
   6-21  placement examination in the subject if the student scores in the
   6-22  90th percentile or above on the examination.  If a student is given
   6-23  credit in a subject on the basis of an examination, the examination
   6-24  score shall be entered on the student's transcript.>
   6-25        <(d)>  Each school district shall administer the advanced
   6-26  placement examination not less than once a year, at times to be
   6-27  determined by the board.
    7-1        SECTION 4.  Subchapter S, Chapter 21, Education Code, is
    7-2  amended by adding Section 21.725 to read as follows:
    7-3        Sec. 21.725.  CREDIT BY EXAMINATION FOR MIDDLE AND SECONDARY
    7-4  SCHOOLS.  (a)  A school district shall adopt a policy governing
    7-5  credit by examination for use by students in middle and secondary
    7-6  schools consistent with this section that includes:
    7-7              (1)  eligibility requirements applicable to a student
    7-8  seeking credit by examination;
    7-9              (2)  a list of courses for which credit may be earned
   7-10  by examination;
   7-11              (3)  procedures for obtaining credit by examination;
   7-12  and
   7-13              (4)  provisions that ensure that examinations given
   7-14  under this section:
   7-15                    (A)  assess mastery of applicable subject or
   7-16  course essential elements adopted by the State Board of Education
   7-17  under Section 21.101; and
   7-18                    (B)  are properly evaluated before credit is
   7-19  granted.
   7-20        (b)  A policy adopted by a school district under Subsection
   7-21  (a) may:
   7-22              (1)  contain restrictions on the total amount of credit
   7-23  that may be earned through examination;
   7-24              (2)  use screening procedures to determine which
   7-25  students may seek credit by examination, except that a student with
   7-26  formal previous instruction in a subject, as determined by the
   7-27  district's review of the student's educational records, must be
    8-1  allowed to seek credit by examination for the subject; and
    8-2              (3)  impose fees to be charged for examinations given
    8-3  under this section in amounts not to exceed limits set by the
    8-4  commissioner of education.
    8-5        (c)  A school district may obtain an examination that
    8-6  assesses student mastery of the essential elements of a particular
    8-7  course from any source and may select any entity to administer the
    8-8  examination.  The examination may use a variety of testing methods
    8-9  and should be as rigorous as possible.
   8-10        (d)  A school district is not required to submit an
   8-11  examination given under this section to the Central Education
   8-12  Agency for approval, but accreditation teams from the agency may
   8-13  review the examination.
   8-14        (e)  A school district may not give a student credit for a
   8-15  course under this section unless:
   8-16              (1)  the student scores at least 70 on a scale of 100
   8-17  on an examination that meets the requirements of this section;
   8-18              (2)  the student performs at a level equivalent to the
   8-19  performance of a student receiving regular classroom instruction;
   8-20  and
   8-21              (3)  the district and the student's parents agree that
   8-22  credit should be given.
   8-23        (f)  A school district shall record credit awarded to a
   8-24  student under this section on the student's permanent school record
   8-25  or academic achievement record.
   8-26        (g)  A student may not use credit received by examination
   8-27  under this section to gain eligibility for participation in
    9-1  extracurricular activities.
    9-2        (h)  A school district shall give reasonable notice of the
    9-3  availability of credit by examination to students and their parents
    9-4  by including information about the district's policy in the
    9-5  district's student handbook, if any, or other documents made
    9-6  available to students and their parents.
    9-7        SECTION 5.  This Act applies beginning with the 1995-1996
    9-8  school year.
    9-9        SECTION 6.  The importance of this legislation and the
   9-10  crowded condition of the calendars in both houses create an
   9-11  emergency and an imperative public necessity that the
   9-12  constitutional rule requiring bills to be read on three several
   9-13  days in each house be suspended, and this rule is hereby suspended,
   9-14  and that this Act take effect and be in force from and after its
   9-15  passage, and it is so enacted.