By Culberson H.B. No. 555
75R1729 ESH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the composition of the permanent school fund and the
1-3 financing of the Foundation School Program.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 43.001(a), Education Code, is amended to
1-6 read as follows:
1-7 (a) The permanent school fund, which is a perpetual
1-8 endowment for the public schools of this state, consists of:
1-9 (1) all land appropriated for the public schools by
1-10 the constitution and laws of this state;
1-11 (2) all of the unappropriated public domain remaining
1-12 in this state, including all land recovered by the state by suit or
1-13 otherwise except pine forest land as defined by Section 88.111;
1-14 (3) all proceeds from the authorized sale of permanent
1-15 school fund land;
1-16 (4) all proceeds from the lawful sale of any other
1-17 properties belonging to the permanent school fund;
1-18 (5) all investments authorized by Section 43.003 of
1-19 properties belonging to the permanent school fund; and
1-20 (6) 50 percent of all income from the mineral
1-21 development of permanent school fund land, including income from
1-22 mineral development of riverbeds and other submerged land.
1-23 SECTION 2. Chapter 43, Education Code, is amended by adding
1-24 Section 43.020 to read as follows:
2-1 Sec. 43.020. FOUNDATION SCHOOL FUND. (a) The foundation
2-2 school fund is in the state treasury.
2-3 (b) The fund consists of:
2-4 (1) revenue, including tax revenue, required by
2-5 statute to be deposited to the credit of the foundation school
2-6 fund;
2-7 (2) 50 percent of all income from the mineral
2-8 development of land constituting the permanent school fund,
2-9 including income from the mineral development of riverbeds and
2-10 other submerged land; and
2-11 (3) other funds transferred, dedicated, or
2-12 appropriated to the fund.
2-13 (c) The fund may be appropriated only to finance the
2-14 Foundation School Program.
2-15 SECTION 3. The heading to Chapter 43, Education Code, is
2-16 amended to read as follows:
2-17 CHAPTER 43. PERMANENT SCHOOL FUND, [AND] AVAILABLE
2-18 SCHOOL FUND,
2-19 AND FOUNDATION SCHOOL FUND
2-20 SECTION 4. This Act takes effect September 1, 1998, but only
2-21 if the constitutional amendment proposed by _____J.R. No. _____,
2-22 75th Legislature, Regular Session, 1997, relating to the
2-23 composition of the permanent and available school funds is approved
2-24 by the voters. If that amendment is not approved by the voters,
2-25 this Act has no effect.
2-26 SECTION 5. The importance of this legislation and the
2-27 crowded condition of the calendars in both houses create an
3-1 emergency and an imperative public necessity that the
3-2 constitutional rule requiring bills to be read on three several
3-3 days in each house be suspended, and this rule is hereby suspended.