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78R11242 BDH-D
By: Madden, Grusendorf, Eissler, et al. H.B. No. 859
Substitute the following for H.B. No. 859:
By: Madden C.S.H.B. No. 859
A BILL TO BE ENTITLED
AN ACT
relating to home-rule school districts.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 12, Education Code, is amended by adding
Subchapter B to read as follows:
SUBCHAPTER B. HOME-RULE SCHOOL DISTRICT CHARTER
Sec. 12.011. AUTHORIZATION AND STATUS. (a) In accordance
with this subchapter, a school district may adopt a home-rule
school district charter under which the district will operate.
(b) A school district's adoption, amendment, or rescission
of a home-rule school district charter does not affect:
(1) the district's boundaries; or
(2) any taxes or bonds of the district authorized
before the effective date of the charter adoption, amendment, or
rescission.
Sec. 12.012. APPLICABILITY OF LAWS AND RULES TO HOME-RULE
SCHOOL DISTRICT. (a) A home-rule school district is subject to
federal and state laws and rules governing school districts, except
that a home-rule school district is subject to:
(1) this code only to the extent that the
applicability to a home-rule school district of a provision of this
code is specifically provided;
(2) a rule adopted under this code by the State Board
of Education or the commissioner only if the code provision
authorizing the rule specifically applies to a home-rule school
district and, in the case of a board rule, the rule is approved on
final adoption by a two-thirds record vote of the membership of the
board; and
(3) all requirements of federal law and applicable
court orders relating to eligibility for and the provision of
special education and bilingual programs.
(b) An employee of a home-rule school district who qualifies
for membership in the Teacher Retirement System of Texas shall be
covered under the system in the same manner and to the same extent
as a qualified employee employed by an independent school district
is covered.
Sec. 12.013. APPLICABILITY OF TITLE. (a) A home-rule
school district has the powers and entitlements granted to school
districts and school district boards of trustees under this title,
including taxing authority.
(b) A home-rule school district is subject to:
(1) a provision of this title establishing a criminal
offense;
(2) a provision of this title relating to limitations
on liability;
(3) Subchapters C and D, Chapter 11; and
(4) a prohibition, restriction, or requirement, as
applicable, imposed by this title or a rule adopted under this
title, relating to:
(A) the Public Education Information Management
System (PEIMS) to the extent necessary to monitor compliance with
this subchapter as determined by the commissioner;
(B) criminal history records under Subchapter C,
Chapter 22;
(C) student admissions and enrollment under
Subchapter A, Chapter 25;
(D) school attendance under Sections 25.085 and
25.086;
(E) high school graduation under Section 28.025;
(F) special education programs under Subchapter
A, Chapter 29;
(G) bilingual education under Subchapter B,
Chapter 29;
(H) computation and distribution of state aid
under Chapters 31, 42, and 43;
(I) extracurricular activities under Section
33.081;
(J) health and safety under Sections 38.001,
38.009, 38.0095, and 38.010;
(K) public school accountability under Chapter
39;
(L) equalized wealth under Chapter 41;
(M) a bond or other obligation or tax rate under
Chapters 42, 43, 45, and 46; and
(N) purchasing under Chapter 44.
(c) A person employed by a school district and entitled to a
minimum salary under Section 21.402 at the time the district adopts
a home-rule school district charter shall, for the duration of the
person's employment with the district, receive a salary at least
equal to the person's salary immediately before adoption of the
charter.
Sec. 12.014. FRAMING OF HOME-RULE SCHOOL DISTRICT CHARTER.
(a) The board of trustees of a school district shall frame a
home-rule school district charter if:
(1) the board receives a petition requesting that the
board frame a home-rule school district charter and the petition is
signed by a number of registered voters of the district equal to at
least five percent of the number of votes received in the district
by all candidates for governor in the most recent gubernatorial
general election; or
(2) a majority of the total membership of the board
adopts a resolution to frame a home-rule school district charter.
(b) The board of trustees shall complete a proposed charter
not later than the first anniversary of the date of the petition or
resolution described by Subsection (a).
Sec. 12.015. CONTENT. Each home-rule school district
charter must:
(1) describe the educational program to be offered;
(2) provide that continuation of the home-rule school
district charter is contingent on:
(A) acceptable student performance on assessment
instruments adopted under Subchapter B, Chapter 39, and maintenance
of the school district's performance rating under Section 39.072;
and
(B) compliance with any accountability provision
specified by the charter, by a deadline or at intervals specified by
the charter;
(3) specify any basis, in addition to a basis
specified by this subchapter, on which the charter may be placed on
probation or revoked;
(4) to the extent consistent with Subchapters C and D,
Chapter 11, describe the governing structure of the district and
campuses;
(5) specify a procedure that the district will follow
to ensure the health and safety of students and employees;
(6) describe the process by which the district will
adopt an annual budget;
(7) describe the manner in which an annual audit of
financial and programmatic operations of the district is to be
conducted, including the manner in which the district will provide
information necessary for the district to participate in the Public
Education Information Management System (PEIMS) to the extent
required by this subchapter; and
(8) include any other provision the board of trustees
of the school district considers necessary.
Sec. 12.016. LEGAL REVIEW. As soon as practicable after the
board of trustees of a school district completes a proposed
home-rule school district charter, the school district's legal
counsel shall review the proposed charter to ensure that the
proposed charter complies with any applicable laws and shall
recommend to the board any modifications necessary.
Sec. 12.017. CHARTER ELECTION. (a) As soon as practicable
after the legal review under Section 12.016, the board of trustees
of the district shall order an election on the proposed charter.
(b) The proposed charter shall be submitted to the voters of
the district at an election to be held on the first uniform election
date that occurs at least 45 days after the date on which the board
of trustees orders the election.
(c) At least three copies of the proposed charter must be
available in the office of each school campus in the district and at
the district's central administrative office between the date of
the election order and election day. Notice of the election must
include a statement of where and how copies may be obtained or
viewed. A summary of the content of the proposed charter shall be
attached to each copy. The summary also shall be made available to
school district employees, parents, community members, and members
of the media.
(d) The ballot shall be printed to permit voting for or
against the proposition: "Whether the (name of school district)
School District shall be governed under the home-rule school
district charter, which is proposed by the board of trustees and
under which only certain laws and rules apply to the district."
Sec. 12.018. CHARTER AMENDMENT. (a) The board of trustees
of a home-rule school district on its own motion may order an
election on a proposed charter amendment that complies with this
subchapter, including a proposed amendment that rescinds the
charter.
(b) The board of trustees shall order an election on a
proposed charter amendment that complies with this subchapter,
including a proposed amendment that rescinds the charter, if a
petition submitted to the board proposing the charter amendment is
signed by a number of registered voters of the district equal to at
least five percent of the number of votes received in the district
by all candidates for governor in the most recent gubernatorial
general election.
(c) Before the board of trustees of a school district orders
an election on a proposed charter amendment, the district's legal
counsel shall review the proposed amendment to ensure that the
proposed amendment complies with any applicable laws and shall
recommend to the board any modifications necessary.
(d) An election under this section shall be held on the
first uniform election date that occurs at least 45 days after the
date the election is ordered.
(e) Notice of the election must include a substantial copy
of the proposed charter amendment.
(f) A charter amendment may not contain more than one
subject.
(g) The ballot shall be prepared so that a voter may approve
or disapprove any one or more charter amendments without having to
approve or disapprove all of the charter amendments.
(h) The board of trustees may not order an election on a
proposed charter amendment earlier than the second anniversary of
the date of any previous election to amend the charter.
Sec. 12.019. ADOPTION OF CHARTER OR CHARTER AMENDMENT. (a)
A proposed home-rule school district charter or a proposed charter
amendment, including an amendment that rescinds the charter, is
adopted if approved by a majority of the qualified voters of the
district voting at an election held for that purpose.
(b) A charter or charter amendment shall specify an
effective date and takes effect according to its terms when the
board of trustees of the school district enters an order declaring
that the charter or charter amendment is adopted. The board shall
enter an order not later than the 10th day after the date the
canvass of the election returns is completed.
Sec. 12.020. CERTIFICATION OF CHARTER OR CHARTER AMENDMENT.
(a) As soon as practicable after a school district adopts a
home-rule school district charter or charter amendment, the
president of the board of trustees shall certify to the secretary of
state a copy of the charter or amendment showing the approval by the
voters of the district.
(b) The secretary of state shall file and record the
certification in the secretary of state's office.
Sec. 12.021. EFFECT OF RECORDING CHARTER OR CHARTER
AMENDMENT. A recorded charter or charter amendment is a public act.
A court shall take judicial notice of a recorded charter or charter
amendment and proof of its provisions is not required.
Sec. 12.022. CHANGE IN BOARD OF TRUSTEES. To the extent
consistent with Subchapter C, Chapter 11, if the adoption,
amendment, rescission, or revocation of a home-rule school district
charter changes the structure of the board of trustees of the school
district, the members of the board serving on the date the adoption,
amendment, rescission, or revocation takes effect continue in
office until their successors are chosen and have qualified for
office.
Sec. 12.023. BASIS FOR PLACEMENT ON PROBATION OR REVOCATION
OF CHARTER. (a) The State Board of Education may place on
probation or revoke a home-rule school district charter of a school
district if the board determines that the district:
(1) committed a material violation of the charter;
(2) failed to satisfy generally accepted accounting
standards of fiscal management; or
(3) failed to comply with this subchapter, another
law, or a state agency rule.
(b) The action the board takes under Subsection (a) shall be
based on the best interest of district students, the severity of the
violation, and any previous violation the district has committed.
(c) The board shall revoke the home-rule school district
charter of a school district that is rated academically
unacceptable for a school year under Section 39.072.
(d) The board may revoke the home-rule school district
charter of a school district if the district receives a performance
rating for a school year under Section 39.072 that is lower than the
rating the district received for the preceding school year and the
district fails to improve the lower rating during the following
school year.
(e) A revocation under Subsection (c) or (d) takes effect at
the end of the applicable school year.
(f) A district whose home-rule school district charter is
revoked or rescinded under this subchapter shall operate under the
other provisions of Title 1 and this title that apply to school
districts.
Sec. 12.024. PROCEDURE FOR PLACEMENT ON PROBATION OR
REVOCATION. (a) The State Board of Education by rule shall adopt a
procedure to be used for placing on probation or revoking a
home-rule school district charter.
(b) The procedure adopted under Subsection (a) must provide
an opportunity for a hearing to the district and to parents of
district students. A hearing under this subsection must be held in
the district.
SECTION 2. Subchapter B, Chapter 12, Education Code, as added
by Chapter 260, Acts of the 74th Legislature, Regular Session,
1995, is repealed.
SECTION 3. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2003.