By Uher H.B. No. 1682
76R5901 ESH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the inclusion of Social Security taxes paid by a school
1-3 district in funding formulas under the foundation school program.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subchapter A, Chapter 41, Education Code, is
1-6 amended by adding Section 41.014 to read as follows:
1-7 Sec. 41.014. REDUCTION FOR SOCIAL SECURITY TAXES. (a) A
1-8 school district that participates in the Social Security system may
1-9 reduce the amount paid to the commissioner under Subchapter D or to
1-10 another school district under Subchapter E by an amount equivalent
1-11 to the taxes paid by the district under 26 U.S.C. Section 3111(a),
1-12 and its subsequent amendments, in the preceding calendar year.
1-13 (b) A school district shall report the payment of those
1-14 taxes in the time and manner prescribed by rule of the
1-15 commissioner.
1-16 SECTION 2. Section 42.252, Education Code, is amended by
1-17 adding Subsection (f) to read as follows:
1-18 (f) The local share of a school district that participates
1-19 in the Social Security system is reduced by an amount equivalent to
1-20 the taxes paid by the district under 26 U.S.C. Section 3111(a),
1-21 and its subsequent amendments, in the preceding calendar year. A
1-22 school district shall report the payment of those taxes in the time
1-23 and manner prescribed by rule of the commissioner. This subsection
1-24 does not apply to a district that has a wealth per student, as
2-1 defined by Section 41.001, that exceeds the equalized wealth level
2-2 under Section 41.002.
2-3 SECTION 3. This Act applies beginning with the 1999-2000
2-4 school year.
2-5 SECTION 4. The importance of this legislation and the
2-6 crowded condition of the calendars in both houses create an
2-7 emergency and an imperative public necessity that the
2-8 constitutional rule requiring bills to be read on three several
2-9 days in each house be suspended, and this rule is hereby suspended,
2-10 and that this Act take effect and be in force from and after its
2-11 passage, and it is so enacted.