1-1     By:  Cuellar, et al. (Senate Sponsor - Bivins)         H.B. No. 318

 1-2           (In the Senate - Received from the House May 9, 1997;

 1-3     May 12, 1997, read first time and referred to Committee on

 1-4     Education; May 18, 1997, reported adversely, with favorable

 1-5     Committee Substitute by the following vote:  Yeas 9, Nays 0;

 1-6     May 18, 1997, sent to printer.)

 1-7     COMMITTEE SUBSTITUTE FOR H.B. No. 318                   By:  Bivins

 1-8                            A BILL TO BE ENTITLED

 1-9                                   AN ACT

1-10     relating to the public education grant program.

1-11           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-12           SECTION 1.  Sections 29.202 and 29.203, Education Code, are

1-13     amended to read as follows:

1-14           Sec. 29.202.  Eligibility.  (a)  A student is eligible to

1-15     receive a public education grant or to attend another public school

1-16     in the district in which the student resides under this subchapter

1-17     if the student is assigned to attend a public school campus:

1-18                 (1)  at which 50 percent or more of the students did

1-19     not perform satisfactorily on an assessment instrument administered

1-20     under Section 39.023(a) or (b) during each of the [in the]

1-21     preceding three years; or

1-22                 (2)  that was, at any time in the preceding three

1-23     years, identified as low-performing by the commissioner under

1-24     Subchapter D, Chapter 39.

1-25           (b)  After a student has used a public education grant to

1-26     attend a school in a district other than the district in which the

1-27     student resides:

1-28                 (1)  the student does not become ineligible for the

1-29     grant if the school on which the student's initial eligibility is

1-30     based no longer meets the criteria under Subsection (a); and

1-31                 (2)  the student becomes ineligible for the grant if

1-32     the student is assigned to attend a school that does not meet the

1-33     criteria under Subsection (a).

1-34           Sec. 29.203.  Financing.  (a)  A student [eligible under

1-35     Section 25.001 to attend school in a school district but] who under

1-36     this subchapter uses a public education grant to attend [attends] a

1-37     public school in a school [another] district other than the

1-38     district in which the student resides is included in the average

1-39     daily attendance of the district in which the student [resides.

1-40     The district in which the student] attends school [shall report the

1-41     student's attendance to the district in which the student resides

1-42     in accordance with rules adopted by the commissioner].

1-43           (b)  A school district is entitled to the allotment provided

1-44     by Section 42.157 for each eligible student using a public

1-45     education grant.  If the district has a wealth per student greater

1-46     than the guaranteed wealth level but less than the equalized wealth

1-47     level, a school district is entitled under rules adopted by the

1-48     commissioner to additional state aid in an amount equal to the

1-49     difference between the cost to the district of providing services

1-50     to a student using a public education grant and the sum of the

1-51     state aid received because of the allotment under Section 42.157

1-52     and money from the available school fund attributable to the

1-53     student.

1-54           (c)  A school district is entitled to additional facilities

1-55     assistance under Section 42.4101 if the district agrees to:

1-56                 (1)  accept a number of students using public education

1-57     grants that is at least one percent of the district's average daily

1-58     attendance for the preceding school year; and

1-59                 (2)  provide services to each student until the student

1-60     either voluntarily decides to attend a school in a different

1-61     district or graduates from high school.

1-62           (d)  [A student's public education grant is the total state

1-63     and local funding per student for the school district in which the

1-64     student resides.  Total funding from state and local sources

 2-1     includes special allotments under Subchapter C, Chapter 42, but

 2-2     does not include small district, sparsity, and cost of education

 2-3     adjustments and allotments for technology and transportation.  A

 2-4     student's public education grant is the entitlement of the student,

 2-5     under the supervision of the student's parent, guardian, or

 2-6     custodian, is not an entitlement of any school district, and is

 2-7     paid to a school district solely as a means of administrative

 2-8     convenience.]

 2-9           [(c)]  A school district chosen by a student's parent under

2-10     Section 29.201 is entitled to accept or reject the application for

2-11     the student to attend school in that district but may not use

2-12     criteria that discriminate on the basis of a student's race,

2-13     ethnicity, academic achievement, athletic abilities, language

2-14     proficiency, sex, or socioeconomic status.  A school district that

2-15     has more acceptable applicants for attendance under this subchapter

2-16     than available positions must give priority to students at risk of

2-17     dropping out of school as defined by Section 29.081 and must fill

2-18     the available positions by lottery.  However, to achieve continuity

2-19     in education, a school district may give preference over at-risk

2-20     students to enrolled students and to the siblings of enrolled

2-21     students residing in the same household or other children residing

2-22     in the same household as enrolled students for the convenience of

2-23     parents, guardians, or custodians of those children.

2-24           (e) [(d)]  A school district chosen by a student's parent

2-25     under Section 29.201 may not charge the student tuition [in

2-26     addition to the public education grant or charge tuition that is

2-27     greater than the district's average expenditure per student.  The

2-28     school district in which the student resides is entitled to the

2-29     remainder, if any, of the student's public education grant funds].

2-30           (f) [(e)]  The school district in which a student resides

2-31     shall provide each student attending a school in another district

2-32     under this subchapter transportation free of charge to and from the

2-33     school the student would otherwise attend.

2-34           (g)  In this section:

2-35                 (1)  "Equalized wealth level" has the meaning assigned

2-36     by Section 41.001.

2-37                 (2)  "Guaranteed wealth level" means a wealth per

2-38     student equal to the dollar amount guaranteed level of state and

2-39     local funds per weighted student per cent of tax effort, as

2-40     provided by Section 42.302, multiplied by 10,000.

2-41                 (3)  "Wealth per student" has the meaning assigned by

2-42     Section 41.001.

2-43           SECTION 2.  Subchapter G, Chapter 29, Education Code, is

2-44     amended by adding Section 29.204 to read as follows:

2-45           Sec. 29.204.  NOTIFICATION.  (a)  Not later than January 1 of

2-46     each year the commissioner shall, based on the preceding year,

2-47     provide notice to each school district in which a campus described

2-48     by Section 29.202 is located that:

2-49                 (1)  identifies each campus in the district that meets

2-50     the description in Section 29.202; and

2-51                 (2)  informs the district that the district must comply

2-52     with Subsection (b).

2-53           (b)  Not later than February 1 of each year, a school

2-54     district shall notify the parent of each student in the district

2-55     assigned to attend a campus described by Section 29.202 that the

2-56     student is eligible for a public education grant.  The notice must

2-57     contain a clear, concise explanation of the public education grant

2-58     program and of the manner in which the parent may obtain further

2-59     information about the program.

2-60           SECTION 3.  Subchapter G, Chapter 29, Education Code, is

2-61     amended by adding Section 29.205 to read as follows:

2-62           Sec. 29.205.  CONTRACT AUTHORITY.  The board of trustees of a

2-63     school district may contract under Section 11.157 for the provision

2-64     of educational services to a district student eligible to receive a

2-65     public education grant under Section 29.202.

2-66           SECTION 4.  Subchapter C, Chapter 42, Education Code, is

2-67     amended by adding Section 42.157 to read as follows:

2-68           Sec. 42.157.  PUBLIC EDUCATION GRANT ALLOTMENT.  (a)  Except

2-69     as provided by Subsection (b), for each student in average daily

 3-1     attendance who is using a public education grant under Subchapter

 3-2     G, Chapter 29, to attend school in a district other than the

 3-3     district in which the student resides, the district in which the

 3-4     student attends school is entitled to an annual allotment equal to

 3-5     the adjusted basic allotment multiplied by a weight of 0.1.

 3-6           (b)  The total number of allotments under this section to

 3-7     which a district is entitled may not exceed the number by which the

 3-8     number of students using public education grants to attend school

 3-9     in the district exceeds the number of students who reside in the

3-10     district and use public education grants to attend school in

3-11     another district.

3-12           SECTION 5.  Subchapter H, Chapter 42, Education Code, is

3-13     amended by adding Section 42.4101 to read as follows:

3-14           Sec. 42.4101.  ADDITIONAL ASSISTANCE FOR DISTRICTS WITH

3-15     STUDENTS USING PUBLIC EDUCATION GRANTS.  (a)  A district is

3-16     entitled to additional assistance under this section as provided by

3-17     Section 29.203(c).

3-18           (b)  The amount of additional assistance under this section

3-19     is computed by subtracting the number of students residing in the

3-20     district and using public education grants to attend school in

3-21     another district for the year in which the assistance is granted

3-22     from the number of students using public education grants to attend

3-23     school in the district for that year and multiplying the difference

3-24     by $266.

3-25           (c)  If a district to which this section applies is entitled

3-26     to the maximum amount of assistance under Section 42.406, the

3-27     maximum is increased by the amount of additional assistance to

3-28     which the district is entitled under this section.

3-29           SECTION 6.  This Act applies beginning with the 1997-1998

3-30     school year.

3-31           SECTION 7.  The importance of this legislation and the

3-32     crowded condition of the calendars in both houses create an

3-33     emergency and an imperative public necessity that the

3-34     constitutional rule requiring bills to be read on three several

3-35     days in each house be suspended, and this rule is hereby suspended,

3-36     and that this Act take effect and be in force from and after its

3-37     passage, and it is so enacted.

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