SRC-AMY S.B. 329 78(R)   BILL ANALYSIS


Senate Research Center   S.B. 329
78R2459 ESH-DBy: Shapiro
Education
2/26/2003
As Filed


DIGEST AND PURPOSE 

Currently, the Texas school finance system, resulting from court
directives for equitable funding of Texas schools,  redistributes property
tax revenues from property wealthy districts to poorer districts. This
ensures substantially equal revenue for substantially equal property tax
effort.  Although considered a hallmark in equity, critics see the system
as the cause for the leveling down in education programs. The system
threatens many school districts ability to meet students' needs, tax rates
have increased, and many districts have reached the $1.50 cap and have no
access to additional revenue.  As proposed, S.B. 329 sunsets the school
finance portions of the Education Code on September 1, 2005. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Repealer: Chapter 41 (Equalized Wealth Level), Chapter 42
(Foundation School Program), Chapter 45 (School District Funds), and
Chapter 46 (Assistance with Instructional Facilities and Payment of
Existing Debt), Education Code. 

SECTION 2.  Prohibits an independent school district (ISD) from adopting a
tax rate for the 2005 tax year. Authorizes, notwithstanding the repeal of
Chapter 45, Education Code, an ISD to collect and use delinquent ad
valorem taxes imposed for the 2004 or an earlier tax year, after September
1, 2005. 

SECTION 3.  Effective date: September 1, 2005.