76R9554 JD-D
By Nixon, et al. H.B. No. 2117
Substitute the following for H.B. No. 2117:
By Sadler C.S.H.B. No. 2117
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the authority of a school district to permit certain
1-3 persons to perform teaching services or to provide teachers for the
1-4 district in lieu of paying ad valorem taxes owed to the district.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Chapter 31, Tax Code, is amended by adding
1-7 Sections 31.035 and 31.036 to read as follows:
1-8 Sec. 31.035. PERFORMANCE OF TEACHING SERVICES IN LIEU OF
1-9 PAYMENT OF SCHOOL TAXES ON HOMESTEAD. (a) The governing body of a
1-10 school district by resolution may permit qualified individuals to
1-11 perform teaching services for the school district in grades six
1-12 through 12 at a school in the district in lieu of paying taxes
1-13 imposed by the district on property owned and occupied by the
1-14 individual as a residence homestead.
1-15 (b) The governing body of the school district shall
1-16 determine:
1-17 (1) the number of qualified individuals who will be
1-18 permitted to perform teaching services for the district under this
1-19 section;
1-20 (2) the courses that a qualified individual may teach
1-21 for the district under this section; and
1-22 (3) the amount of the tax credit that a qualified
1-23 individual may earn.
1-24 (c) The governing body shall require that each qualified
2-1 individual permitted to perform teaching services for the district
2-2 under this section execute a contract with the district. The
2-3 contract must be executed before the delinquency date and must:
2-4 (1) specify:
2-5 (A) the course or courses that the qualified
2-6 individual will teach for the district;
2-7 (B) the school in the district where the
2-8 qualified individual will perform the teaching services;
2-9 (C) the period for which the qualified
2-10 individual will perform the teaching services; and
2-11 (D) the amount of the tax credit that the
2-12 qualified individual will receive on successful completion of the
2-13 individual's contractual obligations; and
2-14 (2) set out or describe the provisions of Subsections
2-15 (d)-(g).
2-16 (d) A qualified individual who teaches a course for an
2-17 entire school semester, or for an equivalent period at a school
2-18 that uses terms other than semesters, is entitled to a maximum
2-19 credit of $500 against the taxes imposed, except that if the
2-20 qualified individual teaches a course for which a student receives
2-21 a full year's credit for one semester, the qualified individual is
2-22 entitled to a maximum credit of $1,000 for each such course taught
2-23 for one semester by the qualified individual. A qualified
2-24 individual may not receive credits for teaching more than two
2-25 courses in any school year.
2-26 (e) The district shall terminate the contract if:
2-27 (1) the qualified individual fails to perform the
3-1 teaching services; or
3-2 (2) the district determines that the teaching services
3-3 of the qualified individual are unsatisfactory.
3-4 (f) If the contract is terminated under Subsection (e), on
3-5 the termination date the district may grant the individual a
3-6 portion of the tax credit based on the portion of the teaching
3-7 services performed.
3-8 (g) While performing teaching services for a school
3-9 district, the qualified individual:
3-10 (1) is not an employee of the district; and
3-11 (2) is not entitled to any benefit, including workers'
3-12 compensation coverage, that the district provides to an employee of
3-13 the district.
3-14 (h) An individual is qualified to perform teaching services
3-15 for a school district under this section only if the individual
3-16 holds a baccalaureate or more advanced degree in a field related to
3-17 each course to be taught and:
3-18 (1) is certified as a classroom teacher under
3-19 Subchapter B, Chapter 21, Education Code; or
3-20 (2) obtains a school district teaching permit under
3-21 Section 21.055, Education Code.
3-22 Sec. 31.036. PERFORMANCE OF TEACHING SERVICES BY EMPLOYEE IN
3-23 LIEU OF PAYMENT OF SCHOOL TAXES ON PROPERTY OF BUSINESS ENTITY.
3-24 (a) The governing body of a school district by resolution may
3-25 authorize a corporation or other business entity to permit a
3-26 qualified individual employed by the business entity to perform
3-27 teaching services in grades six through 12 at a school in the
4-1 school district in lieu of paying taxes imposed by the district on
4-2 property owned by the business entity.
4-3 (b) The governing body of the school district shall
4-4 determine:
4-5 (1) the number of business entities that will be
4-6 eligible for a tax credit under this section;
4-7 (2) the courses that an employee of the business
4-8 entity may teach for the district under this section; and
4-9 (3) the amount of the tax credit that a business
4-10 entity may earn.
4-11 (c) The governing body shall require that each business
4-12 entity permitted to provide an employee to perform teaching
4-13 services for the district under this section execute a contract
4-14 with the district. The contract must be executed before the
4-15 delinquency date and must:
4-16 (1) specify:
4-17 (A) the course or courses that the employee will
4-18 teach for the district;
4-19 (B) the school in the district where the
4-20 employee will perform the teaching services;
4-21 (C) the period for which the employee will
4-22 perform the teaching services; and
4-23 (D) the amount of the tax credit that the
4-24 business entity will receive on successful completion of the
4-25 contractual obligations of the business entity and its employee;
4-26 and
4-27 (2) set out or describe the provisions of Subsections
5-1 (d)-(h).
5-2 (d) For each course taught by an employee of the business
5-3 entity for the school district for an entire school semester, or
5-4 for an equivalent period at a school that uses terms other than
5-5 semesters, the business entity is entitled to a maximum credit of
5-6 $500 against the taxes imposed, except that if the employee teaches
5-7 a course for which a student receives a full year's credit for one
5-8 semester, the business entity is entitled to a maximum credit of
5-9 $1,000 for each such course taught for one semester by the
5-10 employee.
5-11 (e) The district shall terminate the contract if:
5-12 (1) the employee fails to perform the teaching
5-13 services; or
5-14 (2) the district determines that the teaching services
5-15 of the employee of the business entity are unsatisfactory.
5-16 (f) If the contract is terminated under Subsection (e), on
5-17 the termination date the district may grant the business entity a
5-18 portion of the tax credit based on the portion of the teaching
5-19 services performed.
5-20 (g) While performing teaching services for a school
5-21 district, the employee of the business entity:
5-22 (1) is not an employee of the district; and
5-23 (2) is not entitled to any benefit, including workers'
5-24 compensation coverage, that the district provides to an employee of
5-25 the district.
5-26 (h) An individual may not perform teaching services for
5-27 which a business entity receives a tax credit under this section if
6-1 the individual enters into a contract with the same school district
6-2 to provide teaching services for a tax credit for the same tax year
6-3 under Section 31.035.
6-4 (i) An individual is qualified to perform teaching services
6-5 for a school district under this section only if the individual
6-6 holds a baccalaureate or more advanced degree in a field related to
6-7 the course to be taught and:
6-8 (1) is certified as a classroom teacher under
6-9 Subchapter B, Chapter 21, Education Code; or
6-10 (2) obtains a school district teaching permit under
6-11 Section 21.055, Education Code.
6-12 SECTION 2. Section 21.055, Education Code, is amended by
6-13 amending Subsection (c) and adding Subsection (f) to read as
6-14 follows:
6-15 (c) Promptly after employing a person under this section or
6-16 issuing a school district teaching permit to a person under
6-17 Subsection (f), a school district shall send to the commissioner a
6-18 written statement identifying the person, the person's
6-19 qualifications as a teacher, and the subject or class the person
6-20 will teach. The person may teach the subject or class pending
6-21 action by the commissioner.
6-22 (f) A school district may issue a school district teaching
6-23 permit to a person seeking the permit for the purpose of qualifying
6-24 to perform teaching services for the school district under Section
6-25 31.035 or 31.036, Tax Code. Notwithstanding any other provision of
6-26 this section to the contrary, a person issued a school district
6-27 teaching permit under this subsection:
7-1 (1) is not required to be employed by the district as
7-2 a teacher; and
7-3 (2) while performing teaching services for the
7-4 district under Section 31.035 or 31.036, Tax Code, is not
7-5 considered to be an employee of the district.
7-6 SECTION 3. Section 42.302, Education Code, is amended by
7-7 adding Subsection (c) to read as follows:
7-8 (c) For purposes of this section, school district taxes for
7-9 which credit is granted under Section 31.035 or 31.036, Tax Code,
7-10 are considered taxes collected by the school district as if the
7-11 taxes were paid when the credit for the taxes was granted.
7-12 SECTION 4. The importance of this legislation and the
7-13 crowded condition of the calendars in both houses create an
7-14 emergency and an imperative public necessity that the
7-15 constitutional rule requiring bills to be read on three several
7-16 days in each house be suspended, and this rule is hereby suspended,
7-17 and that this Act take effect and be in force from and after its
7-18 passage, and it is so enacted.