By Nixon H.B. No. 2117
76R7725 JD-D
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 at a junior high
1-12 school or high school of 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 high school or junior high school of the
2-8 district where the qualified individual will perform the teaching
2-9 services;
2-10 (C) the semester in which the qualified
2-11 individual will perform the teaching services; and
2-12 (D) the amount of the tax credit that the
2-13 qualified individual will receive on successful completion of the
2-14 individual's contractual obligations; and
2-15 (2) set out or describe the provisions of Subsections
2-16 (d)-(g).
2-17 (d) A qualified individual who teaches a course for an
2-18 entire school semester is entitled to a maximum credit of $500
2-19 against the taxes imposed, except that if the qualified individual
2-20 teaches a course for which a student receives a full year's credit
2-21 for one semester, the qualified individual is entitled to a maximum
2-22 credit of $1,000 for each such course taught for one semester by
2-23 the qualified individual. A qualified individual may not receive
2-24 credits for teaching more than two courses in any school year.
2-25 (e) The district shall terminate the contract if:
2-26 (1) the qualified individual fails to perform the
2-27 teaching services; or
3-1 (2) the district determines that the teaching services
3-2 of the qualified individual are unsatisfactory.
3-3 (f) If the contract is terminated under Subsection (e), on
3-4 the termination date the district may grant the individual a
3-5 portion of the tax credit based on the portion of the teaching
3-6 services performed.
3-7 (g) While performing teaching services for a school
3-8 district, the qualified individual:
3-9 (1) is not an employee of the district; and
3-10 (2) is not entitled to any benefit, including workers'
3-11 compensation coverage, that the district provides to an employee of
3-12 the district.
3-13 (h) An individual is qualified to perform teaching services
3-14 for a school district under this section only if the individual
3-15 holds a baccalaureate or more advanced degree in a field related to
3-16 each course to be taught and:
3-17 (1) is certified as a classroom teacher under
3-18 Subchapter B, Chapter 21, Education Code; or
3-19 (2) obtains a school district teaching permit under
3-20 Section 21.055, Education Code.
3-21 Sec. 31.036. PERFORMANCE OF TEACHING SERVICES BY EMPLOYEE IN
3-22 LIEU OF PAYMENT OF SCHOOL TAXES ON PROPERTY OF BUSINESS ENTITY.
3-23 (a) The governing body of a school district by resolution may
3-24 authorize a corporation or other business entity to permit a
3-25 qualified individual employed by the business entity to perform
3-26 teaching services in a high school or a junior high school for the
3-27 school district in lieu of paying taxes imposed by the district on
4-1 property owned by the business entity.
4-2 (b) The governing body of the school district shall
4-3 determine:
4-4 (1) the number of business entities that will be
4-5 eligible for a tax credit under this section;
4-6 (2) the courses that an employee of the business
4-7 entity may teach for the district under this section; and
4-8 (3) the amount of the tax credit that a business
4-9 entity may earn.
4-10 (c) The governing body shall require that each business
4-11 entity permitted to provide an employee to perform teaching
4-12 services for the district under this section execute a contract
4-13 with the district. The contract must be executed before the
4-14 delinquency date and must:
4-15 (1) specify:
4-16 (A) the course or courses that the employee will
4-17 teach for the district;
4-18 (B) the high school or junior high school of the
4-19 district where the employee will perform the teaching services;
4-20 (C) the semester in which the employee will
4-21 perform the teaching services; and
4-22 (D) the amount of the tax credit that the
4-23 business entity will receive on successful completion of the
4-24 contractual obligations of the business entity and its employee;
4-25 and
4-26 (2) set out or describe the provisions of Subsections
4-27 (d)-(h).
5-1 (d) For each course taught for the entire school semester by
5-2 an employee of the business entity for the school district, the
5-3 business entity is entitled to a maximum credit of $500 against the
5-4 taxes imposed, except that if the employee teaches a course for
5-5 which a student receives a full year's credit for one semester, the
5-6 business entity is entitled to a maximum credit of $1,000 for each
5-7 such course taught for one semester by the employee.
5-8 (e) The district shall terminate the contract if:
5-9 (1) the employee fails to perform the teaching
5-10 services; or
5-11 (2) the district determines that the teaching services
5-12 of the employee of the business entity are unsatisfactory.
5-13 (f) If the contract is terminated under Subsection (e), on
5-14 the termination date the district may grant the business entity a
5-15 portion of the tax credit based on the portion of the teaching
5-16 services performed.
5-17 (g) While performing teaching services for a school
5-18 district, the employee of the business entity:
5-19 (1) is not an employee of the district; and
5-20 (2) is not entitled to any benefit, including workers'
5-21 compensation coverage, that the district provides to an employee of
5-22 the district.
5-23 (h) An individual may not perform teaching services for
5-24 which a business entity receives a tax credit under this section if
5-25 the individual enters into a contract with the same school district
5-26 to provide teaching services for a tax credit for the same tax year
5-27 under Section 31.035.
6-1 (i) An individual is qualified to perform teaching services
6-2 for a school district under this section only if the individual
6-3 holds a baccalaureate or more advanced degree in a field related to
6-4 the course to be taught and:
6-5 (1) is certified as a classroom teacher under
6-6 Subchapter B, Chapter 21, Education Code; or
6-7 (2) obtains a school district teaching permit under
6-8 Section 21.055, Education Code.
6-9 SECTION 2. Section 42.302, Education Code, is amended by
6-10 adding Subsection (c) to read as follows:
6-11 (c) For purposes of this section, school district taxes for
6-12 which credit is granted under Section 31.035 or 31.036, Tax Code,
6-13 are considered taxes collected by the school district as if the
6-14 taxes were paid when the credit for the taxes was granted.
6-15 SECTION 3. The importance of this legislation and the
6-16 crowded condition of the calendars in both houses create an
6-17 emergency and an imperative public necessity that the
6-18 constitutional rule requiring bills to be read on three several
6-19 days in each house be suspended, and this rule is hereby suspended,
6-20 and that this Act take effect and be in force from and after its
6-21 passage, and it is so enacted.