1-1     By:  Luna, Hochberg (Senate Sponsor - Cain)           H.B. No. 2172
 1-2           (In the Senate - Received from the House May 10, 1999;
 1-3     May 10, 1999, read first time and referred to Committee on
 1-4     Education; May 14, 1999, reported favorably by the following vote:
 1-5     Yeas 8, Nays 0; May 14, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to school district compliance with special education laws.
1-10           SECTION 1.  Section 29.010, Education Code, is amended by
1-11     amending Subsections (a) and (b) and adding Subsections (e) and (f)
1-12     to read as follows:
1-13           (a)  The agency shall adopt and implement a comprehensive
1-14     system for monitoring [monitor] school district compliance with
1-15     federal and state laws relating to special education.  The
1-16     monitoring system must provide for ongoing analysis of district
1-17     special education data and of complaints filed with the agency
1-18     concerning special education services and for inspections of [by
1-19     inspecting each] school districts [district] at district [the
1-20     district's] facilities.  The agency shall use the information
1-21     obtained through analysis of district data and from the complaints
1-22     management system to [may] determine the appropriate schedule for
1-23     and extent of the inspection.
1-24           (b)  To complete the inspection, the agency must obtain
1-25     information from parents and teachers of students in special
1-26     education programs in the district.
1-27           (e)  The agency's complaint management division shall develop
1-28     a system for expedited investigation and resolution of complaints
1-29     concerning a district's failure to provide  special education or
1-30     related services to a student eligible to participate in the
1-31     district's special education program.
1-32           (f)  This section does not create an obligation for or impose
1-33     a requirement on a school district or open-enrollment charter
1-34     school that is not also created or imposed under another state law
1-35     or a federal law.
1-36           SECTION 2.  Section 39.053, Education Code, is amended to
1-37     read as follows:
1-38           Sec. 39.053.  PERFORMANCE REPORT.  (a)  Each board of
1-39     trustees shall publish an annual report describing the educational
1-40     performance of the district and of each campus in the district that
1-41     includes uniform student performance and descriptive information as
1-42     determined under rules adopted by the commissioner.  The annual
1-43     report must also include:
1-44                 (1)  campus performance objectives established under
1-45     Section 11.253 and the progress of each campus toward those
1-46     objectives, which shall  be available to the public;
1-47                 (2) [.  The annual report must also include] the
1-48     performance rating for the district as provided under Section
1-49     39.072(a) and the performance rating of each campus in the district
1-50     as provided under Section 39.072(c); and
1-51                 (3)  the district's current special education
1-52     compliance status with the agency.
1-53           (b)  Supplemental information to be included in the reports
1-54     shall be determined by the board of trustees.  Performance
1-55     information in the annual reports on the indicators established
1-56     under Section 39.051 and descriptive information required by this
1-57     section shall be provided by the agency.
1-58           (c) [(b)]  The board of trustees shall hold a hearing for
1-59     public discussion of the report.  The board of trustees shall give
1-60     notice of the hearing to property owners in the district and
1-61     parents, guardians, conservators, and other persons having lawful
1-62     control of a district student.  The notification must include
1-63     notice to a newspaper of general circulation in the district and
1-64     notice to electronic media serving the district.  After the hearing
 2-1     the report shall be widely disseminated within the district in a
 2-2     manner to be determined under rules adopted by the commissioner.
 2-3           (d) [(c)]  The report must also include a comparison provided
 2-4     by the agency of:
 2-5                 (1)  the performance of each campus to its previous
 2-6     performance and to state-established standards;
 2-7                 (2)  the performance of each district to its previous
 2-8     performance and to state-established standards; and
 2-9                 (3)  the performance of each campus or district to
2-10     comparable improvement.
2-11           (e) [(d)]  The report may include the following information:
2-12                 (1)  student information, including total enrollment,
2-13     enrollment by ethnicity, economic status, and grade groupings and
2-14     retention rates;
2-15                 (2)  financial information, including revenues and
2-16     expenditures;
2-17                 (3)  staff information, including number and type of
2-18     staff by sex, ethnicity, years of experience, and highest degree
2-19     held, teacher and administrator salaries, and teacher turnover;
2-20                 (4)  program information, including student enrollment
2-21     by program, teachers by program, and instructional operating
2-22     expenditures by program; and
2-23                 (5)  the number of students placed in an alternative
2-24     education program under Chapter 37.
2-25           (f) [(e)]  The State Board of Education by rule shall
2-26     authorize the combination of this report with other reports and
2-27     financial statements and shall restrict the number and length of
2-28     reports that school districts, school district employees, and
2-29     school campuses are required to prepare.
2-30           (g) [(f)]  The report must include a statement of the amount,
2-31     if any, of the school district's unencumbered surplus fund balance
2-32     as of the last day of the preceding fiscal year and the percentage
2-33     of the preceding year's budget that the surplus represents.
2-34           SECTION 3.  Section 39.072(b), Education Code, is amended to
2-35     read as follows:
2-36           (b)  The academic excellence indicators adopted under
2-37     Sections 39.051(b)(1) through (6) and the district's current
2-38     special education compliance status with the agency shall be the
2-39     main considerations [consideration] of the agency in the rating of
2-40     the district under this section.  Additional criteria in the rules
2-41     may include consideration of:
2-42                 (1)  compliance with statutory requirements and
2-43     requirements imposed by rule of the State Board of Education under
2-44     specific statutory authority that relate to:
2-45                       (A)  reporting data through the Public Education
2-46     Information Management System (PEIMS);
2-47                       (B)  the high school graduation requirements
2-48     under Section 28.025; or
2-49                       (C)  an item listed in Sections
2-50     7.056(e)(3)(C)-(I) that applies to the district; and
2-51                 (2)  the effectiveness of the district's [programs in
2-52     special education based on the agency's most recent compliance
2-53     review of the district and] programs for special populations.
2-54           SECTION 4.  Section 39.073, Education Code, is amended by
2-55     adding Subsection (e) to read as follows:
2-56           (e)  In determining a district's accreditation rating, the
2-57     agency shall consider the district's current special education
2-58     compliance status with the agency.
2-59           SECTION 5.  Section 39.182(a), Education Code, is amended to
2-60     read as follows:
2-61           (a)  The agency shall prepare and deliver to the governor,
2-62     the lieutenant governor, the speaker of the house of
2-63     representatives, each member of the legislature, the Legislative
2-64     Budget Board, and the clerks of the standing committees of the
2-65     senate and house of representatives with primary jurisdiction over
2-66     the public school system a comprehensive report covering the
2-67     preceding two school years and containing:
2-68                 (1)  an evaluation of the achievements of the state
2-69     educational program in relation to the statutory goals for the
 3-1     public education system under Section 4.002;
 3-2                 (2)  an evaluation of the status of education in the
 3-3     state as reflected by the academic excellence indicators adopted
 3-4     under Section 39.051;
 3-5                 (3)  a summary compilation of overall student
 3-6     performance on academic skills assessment instruments required by
 3-7     Section 39.023, aggregated by grade level, subject area, campus,
 3-8     and district, with appropriate interpretations and analysis and
 3-9     disaggregated by race, ethnicity, sex, and socioeconomic status;
3-10                 (4)  an evaluation of the correlation between student
3-11     grades and student performance on academic skills assessment
3-12     instruments required by Section 39.023;
3-13                 (5)  a statement of the dropout rate of students in
3-14     grade levels 7 through 12, expressed in the aggregate and by grade
3-15     level;
3-16                 (6)  a statement of the projected cross-sectional and
3-17     longitudinal dropout rates for grade levels 7 through 12 for the
3-18     next five years, assuming no state action is taken to reduce the
3-19     dropout rate;
3-20                 (7)  a description of a systematic plan for reducing
3-21     the projected cross-sectional and longitudinal dropout rates to
3-22     five percent or less for the 1997-1998 school year;
3-23                 (8)  a summary of the information required by Section
3-24     29.083 regarding grade level retention of students;
3-25                 (9)  a list of each school district or campus that does
3-26     not satisfy performance standards, with an explanation of the
3-27     actions taken by the commissioner to improve student performance in
3-28     the district or campus and an evaluation of the results of those
3-29     actions;
3-30                 (10)  an evaluation of the status of the curriculum
3-31     taught in public schools, with recommendations for legislative
3-32     changes necessary to improve or modify the curriculum required by
3-33     Section 28.002;
3-34                 (11)  a description of all funds received by and each
3-35     activity and expenditure of the agency;
3-36                 (12)  a summary and analysis of the compliance of
3-37     school districts with administrative cost ratios set by the
3-38     commissioner under Section 42.201, including any improvements and
3-39     cost savings achieved by school districts;
3-40                 (13)  a summary of the effect of deregulation,
3-41     including exemptions and waivers granted under Section 7.056 or
3-42     39.112;
3-43                 (14)  a statement of the total number and length of
3-44     reports that school districts and school district employees must
3-45     submit to the agency, identifying which reports are required by
3-46     federal statute or rule, state statute, or agency rule, and a
3-47     summary of the agency's efforts to reduce overall reporting
3-48     requirements;  [and]
3-49                 (15)  a list of each school district that is not in
3-50     compliance with state special education requirements, including:
3-51                       (A)  the period for which the district has not
3-52     been in compliance;
3-53                       (B)  the manner in which the agency considered
3-54     the district's failure to comply in determining the district's
3-55     accreditation status; and
3-56                       (C)  an explanation of the actions taken by the
3-57     commissioner to ensure compliance and an evaluation of the results
3-58     of those actions; and
3-59                 (16)  any additional information considered important
3-60     by the commissioner or the State Board of Education.
3-61           SECTION 6.  (a)  Sections 2-4 of this Act apply beginning
3-62     with the 1999-2000 school year.
3-63           (b)  The report required under Section 39.182(a), Education
3-64     Code, must include the information required by Section
3-65     39.182(a)(15), Education Code, as amended by this Act, beginning
3-66     with the first report the Texas Education Agency would regularly
3-67     make under Section 39.182(a), Education Code, after the effective
3-68     date of this Act.
3-69           SECTION 7.  The importance of this legislation and the
 4-1     crowded condition of the calendars in both houses create an
 4-2     emergency and an imperative public necessity that the
 4-3     constitutional rule requiring bills to be read on three several
 4-4     days in each house be suspended, and this rule is hereby suspended,
 4-5     and that this Act take effect and be in force from and after its
 4-6     passage, and it is so enacted.
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