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Amend CSHB 2237 (Senate committee printing) as follows:                      
	(1)  Between SECTIONS 2 and 3 of the bill (page 2, between 
lines 1 and 2), insert the following appropriately numbered SECTION 
to the bill:
	SECTION ____.  Subchapter D, Chapter 12, Education Code, is 
amended by adding Sections 12.134 and 12.135 to read as follows:
	Sec. 12.134.  AGREEMENT BETWEEN CERTAIN SCHOOL DISTRICTS AND 
OPEN-ENROLLMENT CHARTER SCHOOLS. (a) This section applies only to a 
school district with a student enrollment of 140,000 or more.
	(b)  Notwithstanding any other law, a school district that 
contracts with an open-enrollment charter school for education 
services for the district's students on the premises of the charter 
school may elect to have the federal and state funds attributable to 
students educated by the charter school paid directly to the 
charter school.
	(c)  A district that elects for direct payment to the charter 
school under Subsection (b):
		(1)  shall make an annual declaration of the district's 
election under Subsection (b) in the manner prescribed by the 
commissioner; and
		(2)  remains responsible for any overallocation or 
audit recovery of federal or state funds as determined by the 
commissioner.
	(d)  The contract between the school district and the charter 
school shall identify for each school year the students from the 
school district who may enroll in the charter school and be served 
in the leased facilities.  The district may identify the students 
under this subsection based on:
		(1)  the enrollment and attendance of the eligible 
students at a specified campus or campuses in the leasing school 
district;
		(2)  the needs of the eligible students for specific 
academic services;
		(3)  the academic performance of the eligible students 
in previous school years; or
		(4)  other objective factors as determined by the 
district and charter school.
	(e)  The contract may prohibit a charter school from 
enrolling students, other than students designated in the contract 
as provided by Subsection (d), at the leased facilities.
	(f)  This section expires September 1, 2011.                            

	Sec. 12.135.  STATE FUNDING UNDER CERTAIN SCHOOL DISTRICT 
AGREEMENTS. (a)  Notwithstanding any other provision of Chapter 41 
or 42, and in addition to any other funds to which a school district 
may be entitled, a school district that enters into an agreement 
with a charter school under Section 12.134 is entitled to receive 
the greater of the following amounts of state funding:
		(1)  the amount the charter school would receive as 
calculated under Section 12.106; or
		(2)  the amount to which the school district is 
entitled under Chapters 41 and 42 for the student.
	(b)  This section expires September 1, 2011.                            
	(2)  Renumber the SECTIONS of the bill accordingly.