HBA-NRS, CCH H.B. 406 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 406 By: Denny Public Education 4/9/2001 Introduced BACKGROUND AND PURPOSE The Foundation School Program provides weighted funding to schools serving special needs students who are not residents within the province of those schools. These students are located in hospital classes, group homes, and care and treatment facilities including state schools, and are assigned to instructional arrangements based on these locations. The cost of serving out-of-district students in hospital settings and on regular campuses continues to increase due to personnel and operating expenses, which creates an undue burden on local taxpayers. To compensate school districts for their efforts to integrate these students onto public school campuses the weighted formula for special education funding would have to be adjusted. House Bill 406 increases the funding weights for special needs students who are attending classes outside or their recognized school districts. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 406 amends the Education Code relating to the funding of special education programs through the Foundation School Program. H.B. 406 increases the weight accorded to students in the hospital class from 3.0 to 4.0. The bill increases the weight from 4.0 to 5.0 for students with disabilities who reside in care and treatment facilities other than state schools, whose parents or guardians do not reside in some district providing education services, and who receive services on a local district campus. The bill divides students who reside in state schools into two categories and increases the weight from 2.8 to 4.0 for those who receive their education services on the state school campus and increases the weight from 2.8 to 5.0 for those who receive their education services on a local school district campus. EFFECTIVE DATE September 1, 2001.