1-1 By: Shapiro S.B. No. 562
1-2 (In the Senate - Filed February 6, 2001; February 7, 2001,
1-3 read first time and referred to Committee on Education;
1-4 March 19, 2001, reported adversely, with favorable Committee
1-5 Substitute by the following vote: Yeas 6, Nays 0; March 19, 2001,
1-6 sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 562 By: Cain
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to computation and reporting requirements regarding a
1-11 school district's expenditures and personnel.
1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13 SECTION 1. Subchapter A, Chapter 44, Education Code, is
1-14 amended by adding Section 44.0071 to read as follows:
1-15 Sec. 44.0071. COMPUTATION AND DISCLOSURE OF EXPENDITURES AND
1-16 STAFFING. (a) Each fiscal year, the agency shall compute and
1-17 report to each school district:
1-18 (1) for each accounting function code:
1-19 (A) the district's total expenditures for the
1-20 preceding fiscal year; and
1-21 (B) the percentage of the district's total
1-22 expenditures for the preceding fiscal year that the expenditures
1-23 for that code represent, with a comparison of that percentage to
1-24 the corresponding statewide average percentage of total
1-25 expenditures for that code;
1-26 (2) the number of the district's full-time equivalent
1-27 employees for the preceding fiscal year employed in each capacity;
1-28 and
1-29 (3) the percentage of the district's total full-time
1-30 equivalent employees for the preceding fiscal year employed in each
1-31 capacity, with a comparison of that percentage to the corresponding
1-32 statewide average percentage of total full-time equivalent
1-33 employees employed in each capacity.
1-34 (b) The agency shall include with the information reported
1-35 in accordance with Subsection (a) a simplified definition of each
1-36 accounting function code and employment capacity used by the agency
1-37 in making the computations required under that subsection.
1-38 (c) At least annually, a school district shall make
1-39 available to the employees at each campus a list of all campus
1-40 employees who were included in making the computations required
1-41 under Subsections (a)(2) and (3). The list must identify each
1-42 employee by name and state the capacity in which the employee was
1-43 classified.
1-44 (d) The commissioner shall adopt rules as necessary to
1-45 implement this section.
1-46 SECTION 2. Section 39.053, Education Code, is amended by
1-47 adding Subsection (h) to read as follows:
1-48 (h) The report must include:
1-49 (1) the district's administrative cost ratio
1-50 determined under Section 42.201 and a description of:
1-51 (A) the method used to determine that ratio; and
1-52 (B) the accounting function codes used in
1-53 determining that ratio; and
1-54 (2) information regarding the district's expenditures
1-55 and staffing provided to the district under Section 44.0071.
1-56 SECTION 3. Subsection (a), Section 39.182, Education Code,
1-57 is amended to read as follows:
1-58 (a) The agency shall prepare and deliver to the governor,
1-59 the lieutenant governor, the speaker of the house of
1-60 representatives, each member of the legislature, the Legislative
1-61 Budget Board, and the clerks of the standing committees of the
1-62 senate and house of representatives with primary jurisdiction over
1-63 the public school system a comprehensive report covering the
1-64 preceding two school years and containing:
2-1 (1) an evaluation of the achievements of the state
2-2 educational program in relation to the statutory goals for the
2-3 public education system under Section 4.002;
2-4 (2) an evaluation of the status of education in the
2-5 state as reflected by the academic excellence indicators adopted
2-6 under Section 39.051;
2-7 (3) a summary compilation of overall student
2-8 performance on academic skills assessment instruments required by
2-9 Section 39.023, aggregated by grade level, subject area, campus,
2-10 and district, with appropriate interpretations and analysis and
2-11 disaggregated by race, ethnicity, sex, and socioeconomic status;
2-12 (4) an evaluation of the correlation between student
2-13 grades and student performance on academic skills assessment
2-14 instruments required by Section 39.023;
2-15 (5) a statement of the dropout rate of students in
2-16 grade levels 7 through 12, expressed in the aggregate and by grade
2-17 level;
2-18 (6) a statement of the projected cross-sectional and
2-19 longitudinal dropout rates for grade levels 7 through 12 for the
2-20 next five years, assuming no state action is taken to reduce the
2-21 dropout rate;
2-22 (7) a description of a systematic plan for reducing
2-23 the projected cross-sectional and longitudinal dropout rates to
2-24 five percent or less for the 1997-1998 school year;
2-25 (8) a summary of the information required by Section
2-26 29.083 regarding grade level retention of students;
2-27 (9) a list of each school district or campus that does
2-28 not satisfy performance standards, with an explanation of the
2-29 actions taken by the commissioner to improve student performance in
2-30 the district or campus and an evaluation of the results of those
2-31 actions;
2-32 (10) an evaluation of the status of the curriculum
2-33 taught in public schools, with recommendations for legislative
2-34 changes necessary to improve or modify the curriculum required by
2-35 Section 28.002;
2-36 (11) a description of all funds received by and each
2-37 activity and expenditure of the agency;
2-38 (12) a summary and analysis of:
2-39 (A) the compliance of school districts with
2-40 administrative cost ratios set by the commissioner under Section
2-41 42.201, including any improvements and cost savings achieved by
2-42 school districts; and
2-43 (B) information regarding expenditures and
2-44 staffing of school districts computed under Section 44.0071;
2-45 (13) a summary of the effect of deregulation,
2-46 including exemptions and waivers granted under Section 7.056 or
2-47 39.112;
2-48 (14) a statement of the total number and length of
2-49 reports that school districts and school district employees must
2-50 submit to the agency, identifying which reports are required by
2-51 federal statute or rule, state statute, or agency rule, and a
2-52 summary of the agency's efforts to reduce overall reporting
2-53 requirements;
2-54 (15) a list of each school district that is not in
2-55 compliance with state special education requirements, including:
2-56 (A) the period for which the district has not
2-57 been in compliance;
2-58 (B) the manner in which the agency considered
2-59 the district's failure to comply in determining the district's
2-60 accreditation status; and
2-61 (C) an explanation of the actions taken by the
2-62 commissioner to ensure compliance and an evaluation of the results
2-63 of those actions; and
2-64 (16) any additional information considered important
2-65 by the commissioner or the State Board of Education.
2-66 SECTION 4. Subdivisions (2) and (3), Subsection (g), Section
2-67 42.201, Education Code, are amended to read as follows:
2-68 (2) "Administrative costs" are defined as operating
2-69 expenses made from funds other than federal funds associated with
3-1 managing, planning, directing, coordinating, and evaluating a
3-2 school district in accordance with Accounting function codes
3-3 [functions] 21 -- Instructional Leadership, and 41 -- General
3-4 Administration, as described in the Financial Accountability
3-5 Resource guide, Bulletin 679, Module 1: Financial Accounting and
3-6 Reporting, First Edition, published by the Texas Education Agency.
3-7 (3) "Instructional costs" are defined as operating
3-8 expenses made from funds other than federal funds associated with
3-9 teacher-student instruction in accordance with Accounting function
3-10 codes [functions] 11 -- Instruction, 12 -- Instructional Resources
3-11 and Media Services, 13 -- Curriculum Development and Instructional
3-12 Staff Development, and 31 -- Guidance and Counseling Services, as
3-13 described in the Financial Accountability Resource guide, Bulletin
3-14 679, Module 1: Financial Accounting and Reporting, First Edition,
3-15 published by the Texas Education Agency.
3-16 SECTION 5. This Act takes effect September 1, 2001.
3-17 * * * * *