By: Eissler, et al. Senate Sponsor-Shapiro H.B. No. 2238
       (In the Senate - Received from the House May 10, 2007;
May 14, 2007, read first time and referred to Committee on
Education; May 21, 2007, reported adversely, with favorable
Committee Substitute by the following vote:  Yeas 6, Nays 0;
May 21, 2007, sent to printer.)
 
COMMITTEE SUBSTITUTE FOR H.B. No. 2238 By:  Shapiro
 
A BILL TO BE ENTITLED
AN ACT
relating to the establishment of the Texas Education Data System
(TEDS).
       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
       SECTION 1.  Title 1, Education Code, is amended by adding
Chapter 2 to read as follows:
CHAPTER 2. TEXAS EDUCATION DATA SYSTEM (TEDS)
SUBCHAPTER A. GENERAL PROVISIONS
       Sec. 2.001.  DEFINITIONS. In this chapter:
             (1)  "Board" means the system board established under
Section 2.051.
             (2)  "Charter school" means any school or program that
is operating under a charter authorized by Chapter 12 or other law,
including:
                   (A)  a home-rule school district under Subchapter
B, Chapter 12;
                   (B)  a campus or campus program under Subchapter
C, Chapter 12;
                   (C)  an open-enrollment charter school under
Subchapter D, Chapter 12; and
                   (D)  a college or university charter school under
Subchapter E, Chapter 12.
             (3)  "Education agency" means:
                   (A)  the Texas Education Agency, the State Board
for Educator Certification, or the Texas Higher Education
Coordinating Board; or
                   (B)  a regional education service center, as
defined by Section 5.001, or any other public local, regional, or
state education organization identified by the board for
participation in the system.
             (4)  "Educational institution" means:
                   (A)  a school district or campus;
                   (B)  a charter school;
                   (C)  an institution of higher education;
                   (D)  a university system; or
                   (E)  a virtual educational system accredited by an
education agency.
             (5)  "Educator" means a person who:
                   (A)  is required to hold a certificate issued
under Subchapter B, Chapter 21; or
                   (B)  is an instructor at an institution of higher
education.
             (6)  "Institution of higher education" has the meaning
assigned by Section 61.003.
             (7)  "System" means the Texas Education Data System
(TEDS) established under this chapter.
             (8)  "University system" has the meaning assigned by
Section 61.003.
       Sec. 2.002.  PURPOSE. The purpose of the system is to:
             (1)  enable educational institutions and education
agencies to provide detailed information for the evaluation and
improvement of educational programs;
             (2)  facilitate academic, fiscal, and managerial
accountability at educational institutions and education agencies;
             (3)  enable educational institutions and education
agencies to provide information to the public in a manner
consistent with state and federal law, including the Family
Educational Rights and Privacy Act (20 U.S.C. Section 1232g); and
             (4)  facilitate the collection of information used in
the administration of educational institutions.
       Sec. 2.003.  PARTICIPATION REQUIRED. Each educational
institution and education agency shall:
             (1)  participate in the system; and
             (2)  use information systems, including connection
capabilities, data elements, and accounting, personnel, and
student information systems, that meet the system's requirements.
       Sec. 2.0031.  IMPLEMENTATION. (a) Not later than September
1, 2011:
             (1)  the commissioner of education and commissioner of
higher education shall fully implement the system for participation
by educational institutions and education agencies; and
             (2)  each educational institution and education agency
shall begin participating in the system as required by Section
2.003.
       (b)  The commissioner of education and commissioner of
higher education may implement the system on a pilot basis in one or
more educational institutions before fully implementing the system
as required by this section.
       (c)  The board shall adopt an implementation and transition
timeline for the system.
       (d)  This section expires December 1, 2011.
       Sec. 2.0032.  ENHANCEMENT OF PUBLIC EDUCATION INFORMATION
MANAGEMENT SYSTEM (PEIMS). (a)  The commissioner of education
shall upgrade and enhance the Public Education Information
Management System (PEIMS) to the extent necessary to enable an
efficient transition to the system established under this chapter.
Any project implemented under this section to upgrade and enhance
the Public Education Information Management System (PEIMS) must:
             (1)  conform to the requirements of the Texas project
delivery framework established under Subchapter J, Chapter 2054,
Government Code;
             (2)  enable web-based applications and interfaces
within a client-server environment for future data collections; and
             (3)  be scalable to accommodate the future data needs
of the system.
       (b)  The commissioner of education may use funds
appropriated for the fiscal biennium ending August 31, 2009, and
federal funds, to the extent authorized under federal law, to
implement projects under this section. The commissioner of
education may accept gifts, grants, and donations for the purpose
of implementing projects under this section.
       (c)  Not later than December 1, 2008, the commissioner of
education shall prepare and deliver to each member of the
legislature a report concerning the progress of any project
implemented under this section.
       (d)  This section expires August 31, 2009.
       Sec. 2.004.  REFERENCE TO PUBLIC EDUCATION INFORMATION
MANAGEMENT SYSTEM (PEIMS). On or after September 1, 2011, a
reference in law to the Public Education Information Management
System (PEIMS) means the Texas Education Data System (TEDS).
[Sections 2.005-2.050 reserved for expansion]
SUBCHAPTER B. SYSTEM BOARD
       Sec. 2.051.  ESTABLISHMENT OF BOARD. The commissioner of
education and the commissioner of higher education shall establish
a board to design and monitor the implementation of the system and
perform other functions authorized under this chapter.
       Sec. 2.052.  MEMBERSHIP OF BOARD. (a) The board is composed
of 13 members, including the commissioner of education and the
commissioner of higher education. The commissioner of education
shall chair the board.
       (b)  The commissioner of education shall appoint six members
of the board. Two of the members appointed by the commissioner of
education must have extensive experience in the field of public
education data systems or as researchers. Two of the members
appointed by the commissioner of education must have extensive
experience in the field of public education.  At least two of the
members appointed by the commissioner of education must be employed
by a school district at the time of appointment.  Two of the members
appointed by the commissioner of education must be selected from a
list of candidates prepared by the lieutenant governor for
appointment to the board.
       (c)  The commissioner of higher education shall appoint five
members of the board. Two of the members appointed by the
commissioner of higher education must have extensive experience in
the field of higher education data systems or as researchers. One
of the members appointed by the commissioner of higher education
must have expertise in complex business transaction software, but
may not be affiliated with an entity that contracts with any
education agency or educational institution to provide services.  
At least two of the members appointed by the commissioner of higher
education must be employed by an institution of higher education at
the time of appointment.  Two of the members appointed by the
commissioner of higher education must be selected from a list of
candidates prepared by the speaker of the house of representatives
for appointment to the board.
       Sec. 2.053.  TERMS. Members of the board, other than the
commissioner of education and commissioner of higher education,
serve four-year terms expiring February 1, 2011, and February 1 of
every fourth year thereafter, and are eligible for reappointment.
       Sec. 2.054.  REIMBURSEMENT FOR EXPENSES. A member of the
board is not entitled to compensation for the member's service on
the board, but is entitled to reimbursement for actual and
reasonable expenses incurred while on board business as provided by
the General Appropriations Act.
[Sections 2.055-2.100 reserved for expansion]
SUBCHAPTER C. SYSTEM COMPONENTS
       Sec. 2.101.  ESTABLISHMENT OF SYSTEM.  (a) The commissioner
of education and commissioner of higher education shall establish,
implement, and administer the system in the manner provided by this
chapter.
       (b)  The system must be an efficient, cost-effective
electronic system for storage of public and higher education data
that consolidates data previously managed separately by the Texas
Education Agency, the Texas Higher Education Coordinating Board,
and the State Board for Educator Certification.
       (c)  In designing the system, the board shall:
             (1)  develop policy objectives concerning the system;
             (2)  design evaluation criteria for the system so that
the system is capable of providing detailed student achievement,
curricular, instructional, managerial, and educational policy data
functions;
             (3)  ensure that student educational data is not
disclosed, removed, or copied, except as authorized under the
Family Educational Rights and Privacy Act (20 U.S.C. Section
1232g);
             (4)  limit the extent to which education agencies and
educational institutions are required to collect data separately
from the collection of data for the system; and
             (5)  allow for longitudinal analysis and program
evaluations through the system.
       (d)  The commissioner of education and commissioner of
higher education shall implement the system in a manner consistent
with the design adopted by the board under Subsection (c).
       (e)  The commissioner of education and commissioner of
higher education shall acquire access to a database that includes
college enrollment and graduation information concerning students
who attended public high schools and charter schools in this state
and make the information from that database available through the
system. To the extent authorized under state and federal law, the
commissioner of education and commissioner of higher education
shall adopt rules to ensure that educational institutions,
education agencies, community leaders, and members of the
legislature have access to the information from the database.  The
rules shall ensure that access to student educational records is
limited to aggregate data that does not disclose personally
identifiable information about an individual student or the
student's family, except as specifically authorized by federal law.
       Sec. 2.102.  SYSTEM TECHNOLOGIES. In developing the system,
the commissioner of education and commissioner of higher education
shall ensure that the system includes:
             (1)  technologies that connect data elements among
educational institutions and education agencies;
             (2)  direct connection technologies that allow
educational institutions and education agencies to use a variety of
local information systems to maintain data, connect with the
system, and facilitate timely exchange of information; and
             (3)  analytical tools designed to assist educators,
policy makers, and researchers in the evaluation of student
achievement, educational programs, and operational efficiencies.
       Sec. 2.103.  SYSTEM DATA ELEMENTS. (a)  The commissioner of
education and commissioner of higher education, acting on
recommendation of the board, shall identify the data elements
required for inclusion in the system.  The data elements may
include:
             (1)  data for each educational institution concerning
organization, personnel, budgetary and actual fiscal measures, and
student and community demographics;
             (2)  to the extent applicable, a record of the academic
training, certifications, experience, and completion of continuing
education and professional development for each educator employed
by an educational institution;
             (3)  a unique, permanent personal identification
number for each student enrolled in and educator employed by an
educational institution for the purpose of facilitating the
connection of relevant data elements and for use at each level of
the system;
             (4)  data concerning student academic performance,
including performance on state assessment instruments;
             (5)  demographic data for each student; and
             (6)  a secure and transferable electronic record with a
common data structure for each student enrolled in an educational
institution that includes the following information:
                   (A)  for a student enrolled in an institution of
higher education:
                         (i)  courses taken by the student and course
completion and academic performance information concerning the
student;
                         (ii)  instructors of record for the student;
and
                         (iii)  each degree awarded to the student;
and
                   (B)  for a student enrolled in a school district
or charter school:
                         (i)  courses taken by the student and grade
or course completion information, as applicable, concerning the
student;
                         (ii)  teachers of record for the student;
                         (iii)  the student's performance on
assessment instruments administered under Section 39.023 and
college preparation assessments;
                         (iv)  information concerning whether the
student received special education services under Subchapter A,
Chapter 29, including information concerning any individualized
education program developed for the student under Section 29.005;
                         (v)  information concerning any personal
graduation plan developed for the student under Section 28.0212;
                         (vi)  the student's attendance records; and
                         (vii)  the specific reason for leaving a
school district or charter school, such as transferring,
graduating, or dropping out of school.
       (b)  In specifying the data elements to be included in the
system, the commissioner of education and commissioner of higher
education shall consider the cost to educational institutions of
collecting and reporting the required information.
       (c)  The commissioner of education and commissioner of
higher education shall ensure that the system includes flexible
data fields so that the system can be used in the evaluation of
programs at educational institutions.
       (d)  Any personally identifiable information collected under
this section shall not be public information subject to disclosure
under Chapter 552, Government Code.  The commissioner of education
and commissioner of higher education shall adopt procedures for
complying with requests for information under Chapter 552,
Government Code, that allow for recovery of all costs associated
with providing information from the system.
       Sec. 2.104.  ANALYTICAL TOOLS. (a) The commissioner of
education and commissioner of higher education shall incorporate
into the system analytical tools for improving the quality of data
collection, management, analyses, and dissemination.
       (b)  The analytical tools, where applicable, must be
designed to provide information that can be used directly and
efficiently by educators so as to limit the need for locally
designed data management systems.
       (c)  The analytical tools incorporated into the system under
this section must include:
             (1)  comparative academic and fiscal measures of
success as provided by Section 2.105; and
             (2)  dropout prevention and intervention tools as
provided by Section 2.106.
       Sec. 2.105.  COMPARATIVE ACADEMIC AND FISCAL MEASURES OF
SUCCESS. (a) The commissioner of education and commissioner of
higher education shall select a methodology and incorporate into
the system a capability for generating reports that compare the
spending and performance of educational institutions over time and
as compared with other educational institutions.
       (b)  The methodology selected by the commissioner of
education and commissioner of higher education must include
advanced statistical methods that can adjust for factors beyond the
control of an educational institution, including student
demographics and community characteristics.
       Sec. 2.106.  DROPOUT PREVENTION AND INTERVENTION. (a) The
commissioner of education and commissioner of higher education
shall contract with one or more centers for education research, as
established under Section 1.005, to develop recommendations for
establishing indicators for identifying students who are likely to
drop out of school.
       (b)  The commissioner of education shall select a
methodology and recommend that school districts implement a
reporting method that aids in the early detection and intervention
of students who are likely to drop out of school.
       Sec. 2.107.  MEASURES OF IMPROVEMENT IN STUDENT ACHIEVEMENT.
(a) The commissioner of education and commissioner of higher
education shall contract with one or more organizations with
well-established peer-review processes to:
             (1)  develop recommendations, drawing from
independently peer-reviewed research that is based on empirical
evidence and adheres to the basic principles of sound statistical
analysis, for using the system to measure improvement in individual
student achievement on assessment instruments; and
             (2)  study the feasibility, reliability, and validity
of using the measure of improvement in individual student
achievement on assessment instruments in conducting evaluations
and appraisals of educators.
       (b)  The results of the study conducted under Subsection
(a)(2) must be based on empirical evidence and published in
scientific journals using independent peer review. The validity of
a measure of improvement in individual student achievement on
assessment instruments must be established before the measure may
be a required component of an educator's evaluation or appraisal.
An entity that develops an assessment instrument that is used as a
basis for an educator's evaluation or appraisal as provided by this
section, as well as an impartial psychometrician, must certify that
the assessment instrument is validated and reliable for that
purpose.
       (c)  The commissioner of education and commissioner of
higher education shall select a methodology and incorporate into
the system a capability for generating reports for school districts
and charter schools concerning annual improvement in student
achievement at the student, classroom, campus, and district or
charter school levels. The methodology selected by the
commissioner of education and commissioner of higher education must
include advanced statistical methods that are capable of fairly and
accurately adjusting for factors beyond the control of an
educational institution or educator, including student
demographics and community characteristics.
       Sec. 2.108.  INFORMATION CONCERNING INSTRUCTIONAL METHODS
PROHIBITED. The system may not contain any information concerning
instructional methods, except as required by federal law.
[Sections 2.109-2.150 reserved for expansion]
SUBCHAPTER D. ADMINISTRATION AND MANAGEMENT OF SYSTEM
       Sec. 2.151.  RULES. The commissioner of education and the
Texas Higher Education Coordinating Board may, where applicable:
             (1)  separately adopt rules necessary to support the
implementation of criteria, strategies, and policies concerning
the system; and
             (2)  coordinate and adopt joint rules.
       Sec. 2.152.  COST-EFFECTIVE MANAGEMENT OF SYSTEM. (a) The
commissioner of education and commissioner of higher education
shall identify the most cost-effective approach to establishing and
maintaining the system, including in establishing and selecting:
             (1)  interfaces to the data system for educators,
educational institutions, education agencies, other state
agencies, centers for education research established under Section
1.005, and the public; and
             (2)  analytical tools that improve the quality of data
submissions, educational programs, and operational efficiencies at
educational institutions and education agencies.
       (b)  To achieve the objectives described by this section, the
commissioner of education and commissioner of higher education:
             (1)  shall consider using the TexasOnline project as
provided by Section 2054.252, Government Code;
             (2)  may issue requests for proposals and award
contracts on a competitive basis; and
             (3)  may include incentives in contracts to facilitate
the receipt of timely delivery of services.
       (c)  The commissioner of education and commissioner of
higher education may enter into a contract with one or more persons
with relevant expertise to:
             (1)  advise the commissioners in issuing requests for
proposals under Subsection (b)(2);
             (2)  score responses to proposals received by the
commissioners; and
             (3)  make recommendations to the commissioners
concerning the proposals.
       Sec. 2.153.  ASSISTANCE OF DEPARTMENT OF INFORMATION
RESOURCES. The commissioner of education and commissioner of
higher education shall separately or jointly, as applicable, seek
the assistance of the Department of Information Resources in the
design, coordination, implementation, and management of projects
related to the system.
       Sec. 2.154.  PROCESS FOR RELEASING INFORMATION. The
commissioner of education and commissioner of higher education
shall develop and implement a process for releasing information for
research purposes in a manner consistent with state and federal
law, including the Family Educational Rights and Privacy Act (20
U.S.C. Section 1232g).
       Sec. 2.155.  GRANTS; FEDERAL FUNDS. For the purpose of
developing, maintaining, and enhancing the system, the
commissioner of education and the commissioner of higher education:
             (1)  may solicit and receive grants; and
             (2)  where applicable, shall apply for and use relevant
federal funds.
[Sections 2.156-2.200 reserved for expansion]
SUBCHAPTER E. REVIEWS AND REPORTS CONCERNING SYSTEM
       Sec. 2.201.  REVIEW; RECOMMENDATIONS TO LEGISLATURE. (a)
The board shall review rules, criteria, strategies, and policies
relating to the system and make recommendations to the commissioner
of education and the commissioner of higher education concerning
the repeal or amendment of rules or reporting requirements that are
unnecessary.
       (b)  Not later than December 1 of each even-numbered year,
the commissioner of education and commissioner of higher education,
with the assistance of the board, shall provide each member of the
legislature with a report concerning recommendations for improving
the efficiency and effectiveness of the system.
       (c)  Not later than September 1, 2008, the commissioner of
education and commissioner of higher education shall complete the
first review required by Subsection (a). Not later than December 1,
2008, the commissioner of education and commissioner of higher
education shall provide the first report to each member of the
legislature as required by Subsection (b). The reports to be
provided to the legislature by December 1, 2008, and December 1,
2010, must include information concerning the status of the
transition toward the implementation of the system in accordance
with the timeline adopted by the board under Section 2.0031(c).  
This subsection expires January 1, 2011.
       SECTION 2.  Effective September 1, 2011, Section 42.006,
Education Code, is repealed.
       SECTION 3.  As soon as practicable after the effective date
of this Act:
             (1)  the lieutenant governor shall provide the
commissioner of education with a list of candidates for appointment
to the Texas Education Data System (TEDS) board, as required by
Section 2.052, Education Code, as added by this Act;
             (2)  the speaker of the house of representatives shall
provide the commissioner of higher education with a list of
candidates for appointment to the Texas Education Data System
(TEDS) board, as required by Section 2.052, Education Code, as
added by this Act; and
             (3)  the commissioner of education and the commissioner
of higher education shall appoint members to the Texas Education
Data System (TEDS) board.
       SECTION 4.  Except as otherwise provided by this Act, this
Act takes effect September 1, 2007.
* * * * *