By Shapiro                                      S.B. No. 1698

      75R8525 ESH-F                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to funding for certain fast-growth school districts.

 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-4           SECTION 1.  Subchapter B, Chapter 42, Education Code, is

 1-5     amended by adding Section 42.106 to read as follows:

 1-6           Sec. 42.106.  FAST GROWTH ADJUSTMENT.  (a)  The basic

 1-7     allotment for certain fast-growth districts is adjusted in

 1-8     accordance with this section.  In this section:

 1-9                 (1)  "ABA" is the district's adjusted basic allotment

1-10     determined under Section 42.102 or adjusted allotment determined

1-11     under Section 42.103;

1-12                 (2)  "ADA" is the number of students in average daily

1-13     attendance for which the district is entitled to an allotment under

1-14     Section 42.101;

1-15                 (3)  "Current school year" means the school year for

1-16     which an adjustment or computation under this section is made;

1-17                 (4)  "FGABA" is the adjusted basic allotment per

1-18     student to which the district is entitled under this section;

1-19                 (5)  "PADA" is the number of students in average daily

1-20     attendance for which the district was entitled to an allotment

1-21     under Section 42.101 for the school year that began five years

1-22     before the current school year; and

1-23                 (6)  "SAG" is the average rate of growth in average

1-24     daily attendance for all districts in the state for the five

 2-1     preceding school years, which is computed by subtracting the

 2-2     statewide average daily attendance for the school year that began

 2-3     five years before the current school year from the statewide

 2-4     average daily attendance for the current school year and dividing

 2-5     the difference by the statewide average daily attendance for the

 2-6     school year that began five years before the current school year.

 2-7           (b)  Except as provided by Subsection (c) or (d), the basic

 2-8     allotment of a school district that has at least 1,000 students in

 2-9     ADA and that has in the preceding five years grown at a rate at

2-10     least equal to the average rate of growth for all districts in the

2-11     state is adjusted by the formula:

2-13           (c)  A district's FGABA may not exceed the amount computed by

2-14     multiplying the district's ABA by 1.03.

2-15           (d)  A district in which ADA exceeds PADA by more than 3,500

2-16     is entitled to an FGABA equal to the greater of:

2-17                 (1)  the amount computed under Subsection (b); or

2-18                 (2)  the amount computed by multiplying the district's

2-19     ABA by 1.01.

2-20           (e)  The commissioner, subject to the approval of the

2-21     foundation school fund budget committee, shall adopt rules to

2-22     implement this section over a four-year period beginning with the

2-23     1997-1998 school year.  This subsection expires September 1, 2002.

2-24           SECTION 2.  This Act applies beginning with the 1997-1998

2-25     school year.

2-26           SECTION 3.  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,

 3-4     and that this Act take effect and be in force from and after its

 3-5     passage, and it is so enacted.