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79R12208 SLO-F


By:  Chisum                                                       H.B. No. 990

Substitute the following for H.B. No. 990:                                    

By:  Eissler                                                  C.S.H.B. No. 990



A BILL TO BE ENTITLED

AN ACT

relating to the applicability of restrictions on student transfers 
to certain school districts.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subchapter B, Chapter 25, Education Code, is 
amended by adding Section 25.043 to read as follows:
	Sec. 25.043.  APPLICABILITY OF FEDERAL COURT DESEGREGATION 
ORDER.  (a)  In this section, "modified order" means the modified 
order entered July 13, 1971, and amended August 9, 1973, in United 
States of America v. State of Texas, Civil Action No. 5281, United 
States District Court for the Eastern District of Texas.
	(b)  To the extent permissible under federal law, the agency 
shall interpret and apply the requirements of Section A (student 
transfers) of the modified order in the manner provided by this 
section.
	(c)  The agency may not deny a student transfer between 
school districts on the basis of the modified order unless the 
agency investigates and determines that:
		(1)  the actual cumulative effect of the particular 
transfer, in either the sending or receiving school or school 
district, would be to reduce or impede desegregation, or to 
reinforce, renew, or encourage the continuation of acts and 
practices resulting in discriminatory treatment of students on the 
ground of race, color, or national origin, as provided by Section 
A(1) of the modified order; and
		(2)  the cumulative effect described by Subdivision (1) 
of the particular transfer is a vestige, or flows from a vestige, of 
the former de jure segregated school system of this state.
	(d)  If the agency determines that a particular student 
transfer would have the cumulative effect described by Subsection 
(c), the agency shall determine if one of the three classes of 
exceptions described by Section A(2) of the modified order apply to 
the transfer.  If the agency determines that one of the three 
classes of exceptions is applicable, the agency shall apply the 
exception to the transfer.  Except as provided by Subsection (e), 
the agency may not apply, in either the sending or receiving school 
district, the percentage limitation described by Section A(3) of 
the modified order to a transfer approved under one of the three 
classes of exceptions.
	(e)  If the agency investigates and determines that a 
particular student transfer between school districts would have the 
cumulative effect described by Subsection (c) and involves ethnic 
consideration concerning the race, color, or national origin of 
students in the sending or receiving district that is a vestige, or 
flows from a vestige, of the former de jure segregated school system 
of this state, the agency shall apply the percentage limitation 
described by Section A(3) of the modified order in accordance with 
the modified order.
	(f)  In imposing a sanction for a violation of an agency 
decision made pursuant to Section A of the modified order, the 
agency shall strictly follow the procedures under Sections A(5), 
(6), and (7) of the modified order.
	(g)  The agency may not:                                                
		(1)  apply the percentage limitation described by 
Section A(3) of the modified order to every student transfer 
between school districts;
		(2)  use the computerized student transfer system (STS) 
for the approval or disapproval of student transfers;
		(3)  account for transfer violations by day rather than 
by year; or  
		(4)  retroactively withhold state funds from a 
receiving district's budget in a later fiscal year if the agency 
finds a violation of an agency decision made pursuant to Section A 
of the modified order.
	(h)  On the effective date of this section, the agency shall 
immediately:
		(1)  discontinue taking the actions prohibited under 
Subsection (g); and
		(2)  transfer to each affected school district any 
state funds previously withheld from the district as a result of the 
agency's use of the computerized student transfer system (STS).
	(i)  Subsection (h) and this subsection expire January 1, 
2006.       
	SECTION 2.  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, 2005.