By Shapiro                                             S.B. No. 540
         76R4625 ESH-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the purchase of attendance credits under the foundation
 1-3     school program.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subchapter D, Chapter 41, Education Code, is
 1-6     amended by amending Sections 41.091 and 41.093 and by adding
 1-7     Section 41.0911 to read as follows:
 1-8           Sec. 41.091.  DEFINITION; COST OF ACCREDITED EDUCATION.  (a)
 1-9     In this subchapter, "accredited education" means an education that:
1-10                 (1)  results in a general diffusion of knowledge;
1-11                 (2)  achieves the academic goals specified by Section
1-12     4.002; and
1-13                 (3)  complies with the accreditation standards under
1-14     Subchapter D, Chapter 39.
1-15           (b)  The annual cost of an accredited education is $3,900 for
1-16     each student in weighted average daily attendance.
1-17           Sec. 41.0911.  AGREEMENT.  (a)  A school district with a
1-18     wealth per student that exceeds the equalized wealth level may
1-19     execute an agreement with the commissioner to purchase attendance
1-20     credits in an amount sufficient, in combination with any other
1-21     actions taken under this chapter, to reduce the district's wealth
1-22     per student to a level that is equal to or less than the equalized
1-23     wealth level.
1-24           (b)  A school district is eligible to purchase attendance
 2-1     credits under this subchapter only if the district has an effective
 2-2     maintenance and  operations tax rate equal to or greater than that
 2-3     necessary, when applied to a tax base equal to the equalized wealth
 2-4     level, to provide the cost of an accredited education for one
 2-5     student.
 2-6           Sec. 41.093.  COST.  [(a)]  The cost of each credit is an
 2-7     amount equal to the cost of an accredited education [greater of:]
 2-8                 [(1)  the amount of the district's maintenance and
 2-9     operations tax revenue per student in weighted average daily
2-10     attendance for the school year for which the contract is executed;
2-11     or]
2-12                 [(2)  the amount of the statewide district average of
2-13     maintenance and operations tax revenue per student in weighted
2-14     average daily attendance for the school year preceding the school
2-15     year for which the contract is executed].
2-16           [(b)  For purposes of this section, a school district's
2-17     maintenance and operations tax revenue does not include any amounts
2-18     paid into a tax increment fund under Chapter 311, Tax Code.]
2-19           SECTION 2.  This Act applies beginning with the 1999-2000
2-20     school year.
2-21           SECTION 3.  The importance of this legislation and the
2-22     crowded condition of the calendars in both houses create an
2-23     emergency and an imperative public necessity that the
2-24     constitutional rule requiring bills to be read on three several
2-25     days in each house be suspended, and this rule is hereby suspended,
2-26     and that this Act take effect and be in force from and after its
2-27     passage, and it is so enacted.