BILL ANALYSIS

 

 

Senate Research Center

S.B. 1575

 

By: Campbell; Paxton

 

Education

 

4/5/2013

 

As Filed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

S.B. 1575 is intended to create a taxpayer savings grant program. This program would allow all eligible Texas students to receive an educational grant which could then be used toward payment of tuition at a school of their choice, including a private and parochial school. An eligible student is one who has either been enrolled in public school for a full academic year prior to applying for the grant or a student who is entering kindergarten or first grade.

 

The amount of the educational grant, which would follow the child to a school of their choice, would either be the cost of school tuition or 60 percent of the state's per student maintenance and operations expenditure, whichever is less. These funds cannot come from the available school fund or federal funds. The remaining 40 percent of the state's per student maintenance and operations expenditure would return to the state's general revenue fund.

 

This bill will not affect local interest and sinking funds.

 

This bill does not require that private or parochial schools follow the same laws and regulations as public schools.

 

As proposed, S.B. 1575 amends current law relating to state savings and government efficiency through a taxpayer savings grant program.

 

RULEMAKING AUTHORITY

 

Rulemaking authority is expressly granted to the comptroller of public accounts of the State of Texas in SECTION 2 of this bill.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1.  Amends Chapter 42, Education Code, by adding Subchapter J, as follows:

 

SUBCHAPTER J. TAXPAYER SAVINGS GRANTS

 

Sec. 42.501.  TAXPAYER SAVINGS GRANT PROGRAM.  (a) Defines "eligible student" in this section.

 

(b)  Authorizes a parent or legal guardian of an eligible student who agrees to accept reimbursement in an amount that is less than the state average maintenance and operations expenditures per student to receive reimbursement from the state for the tuition paid for the enrollment of the eligible student at a private school in an amount that is the lesser of the tuition paid, or 60 percent of the state average maintenance and operations expenditures per student.

 

(c)  Prohibits money from the available school fund and federal funds from being  used for reimbursement under this section.

 

(d)  Provides that private schools that parents voluntarily choose to attend, with or without governmental assistance, will not be required to comply with any state law or regulation governing its educational program that was not in effect on January 1, 2013.

 

SECTION 2.  Requires the comptroller of public accounts of the state of Texas, in coordination with the commissioner of education, as soon as practicable, but not later than the 45th day after the effective date of this Act, to adopt rules to implement the Taxpayer Savings Grant Program under Section 42.501, Education Code, as added by this Act, including rules to prevent fraud in financial transactions under the program and to determine the net savings resulting from implementation of the program.  Requires that such regulations reconcile payments to all schools within the same fiscal year, or one month after.

 

SECTION 3.  Effective date: upon passage or September 1, 2013.