By: West S.B. No. 1718

A BILL TO BE ENTITLED

AN ACT

relating to the establishment of the Texas Achievement School District for educating students attending campuses removed from the jurisdiction of a school district or charter school.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Chapter 11, Education Code, is amended by adding Subchapter I to read as follows:

SUBCHAPTER I. TEXAS ACHIEVEMENT SCHOOL DISTRICT

Sec. 11.401. TEXAS ACHIEVEMENT SCHOOL DISTRICT ESTABLISHED. (a) The Texas Achievement School District is hereby established as a school district under this Chapter and an intermediate educational unit under Title 34, Code of Federal Regulations, Section 222.50, for the purpose of educating students attending any campus removed from the jurisdiction of a school district or open-enrollment charter school under Section 39.107. The school district or charter school from which the campus was removed is the "prior system" under this Section.

(b) The superintendent of the Achievement School District shall report to the commissioner under a written contract for services.

(c) The Achievement School District does not have authority to impose taxes, but has authority to seek and expend federal funding and grant funding and to otherwise seek, obtain, and expend funding with the same authority as an independent school district.

(d) The Achievement School District may provide for the supervision, management, and operation of each campus placed under its jurisdiction and receive, control, and expend the local, state, and federal funding attributable to that campus, with all the same power and authority as the prior system subject to the requirements of this Subchapter and Section 39.107, and with any other power or authority otherwise granted by law.

(e) The Achievement School District is entitled to the same level of services provided to other school districts by regional education service centers, and to participate in any state program available to school districts, including a purchasing program. In addition, using funds appropriated for the regional education service centers, the commissioner shall direct that appropriate administrative facilities and support be made available to serve as the central administrative offices of the District.

(f) The Achievement School District may employ such staff as the superintendent deems necessary.

Sec. 11.402. APPLICABILITY OF LAWS, RULES, AND ORDINANCES TO ACHIEVEMENT SCHOOL DISTRICT. (a) Except as expressly provided by law, the Achievement School District is subject to federal and state laws and rules governing public schools and to municipal zoning ordinances governing public schools.

(b) Except as expressly provided by law, the Achievement School District is subject to a provision of this title to the extent and in the manner that such provision applies to an open-enrollment charter school under Chapter 12, Subchapter D.

Sec. 11.403. IMMUNITY. The Achievement School District is immune from liability to the same extent as any other school district, and its employees and volunteers are immune from liability to the same extent as other school district employees and volunteers.

Sec. 11.404. MEMBERSHIP IN TEACHER RETIREMENT SYSTEM OF TEXAS BY ACHIEVEMENT SCHOOL DISTRICT EMPLOYEES. (a) An employee of the Achievement School District who qualifies for membership in the Teacher Retirement System of Texas shall be covered under the system to the same extent a qualified employee of any other school district is covered.

(b) For each employee of the Achievement School District covered under the system, the District is responsible for making any contribution that otherwise would be the legal responsibility of the District, and the state is responsible for making contributions to the same extent it would be legally responsible if the employee were that of another school district.

Sec. 11.405. FUNDING OF STUDENTS ENROLLED IN ACHIEVEMENT SCHOOL DISTRICT. (a) The Achievement School District is entitled to receive for the education of students transferred to it funding under Chapter 42 equal to the amount of funding per student in weighted average daily attendance to which the prior system would be entitled under Chapter 42 if it were a school district without a tier one local share for purposes of Section 42.253.

(b) In determining funding for the District under Subsection (a), adjustments under Sections 42.102, 42.103, 42.104, and 42.105 are based on the actual adjustment for the prior system. In addition to the funding provided by Subsection (a), the Achievement School District is entitled to receive enrichment funding under Section 42.302 based on the actual amount for the prior system.

(c) In determining funding for the Achievement School District under Subsection (a), the commissioner shall apply the same adjustment factor provided under Section 42.101 to calculate the regular program allotment as for the prior system.

(d) The Achievement School District is entitled to funds that are available to other school districts from the agency or the commissioner in the form of grants or other discretionary funding. The District is entitled to a pro-rata share of all revenue to the prior system from the agency or the commissioner in the form of grants or other discretionary funding.

(e) The Achievement School District is entitled to share in the available school fund apportionment and other privileges the same as the prior system. The District shall report its student attendance and receive funding as any other district.

(f) The amount the prior system is entitled to receive under Chapter 42 shall be reduced by the amount received by the Achievement School District under this Section, including the tier one local share.

(g) The commissioner shall adopt rules under this Section.

Sec. 11.406. FACILITIES SUPPORT FOR STUDENTS ENROLLED IN ACHIEVEMENT SCHOOL DISTRICT. The Achievement School District shall have the right to use any school building and all facilities and property otherwise part of the campus and recognized as part of the facilities or assets of the campus prior to its placement in the District, and shall have access to such additional facilities as are typically available to the campus, its students, and faculty and staff prior to its placement in the District. Such use shall be unrestricted, except that the District shall be responsible for and obligated to provide for routine maintenance and repair such that the facilities and property are maintained in as good an order as when the right of use was acquired by the District.

Sec. 11.407. OTHER SUPPORT FOR STUDENTS ENROLLED IN ACHIEVEMENT SCHOOL DISTRICT. The Achievement School District may require the prior system to provide school support or student support services for a campus transferred from its jurisdiction including but not limited to student transportation, school food service, or student assessment for special education eligibility that are compliant with all laws and regulations governing such services. The Achievement School District shall reimburse the actual cost of such services to the prior system. If a dispute arises between the District and the prior system regarding the actual cost of services to be reimbursed, the commissioner or his designee shall determine the cost to be reimbursed.

Sec. 11.408. EXPENDITURES FOR SUPPORT OF STUDENTS ENROLLED IN ACHIEVEMENT SCHOOL DISTRICT. Funds received by the Achievement School District under Section 11.405 shall be used for the operation and administration of campuses transferred from prior systems to the District.

SECTION 2. Subsection (f), Section 39.106, Education Code, is amended to read as follows:

(f) Notwithstanding any other provision of this subchapter, if the commissioner determines that a campus for which an intervention is ordered under Subsection (a) is not fully implementing the campus intervention team's recommendations or targeted improvement plan or updated plan, the commissioner may order the reconstruction or removal of the campus as provided by Section 39.107.

SECTION 3. The heading to Section 39.107, Education Code, is amended to read as follows:

Sec. 39.107. RECONSTITUTION, REPURPOSING, ALTERNATIVE MANAGEMENT, CLOSURE OR REMOVAL OF CAMPUS TO ACHIEVEMENT SCHOOL DISTRICT. RECONSTITUTION, REPURPOSING, ALTERNATIVE MANAGEMENT, AND CLOSURE.

SECTION 4. Section 39.107, Education Code, is amended to read as follows:

(a)(1) After a campus has been identified as unacceptable for three consecutive school years, the commissioner may order the reconstruction or removal [reconstitution] of the campus to the Achievement School District established by Section 11.401.

(2) The students assigned to attend the campus may choose to attend the campus under the jurisdiction of the Achievement School District or may exercise an option, made available by the prior system, to attend another campus remaining under the jurisdiction of the prior system.

(3) Only students who were eligible to attend a campus under the prior system may attend that campus at the District.

(a-1) In reconstituting a campus, a campus intervention team shall assist the campus in:

(1) developing an updated targeted improvement plan;

(2) submitting the updated targeted improvement plan to the board of trustees of the school district for approval and presenting the plan in a public hearing as provided by Section 39.106(e-1);

(3) obtaining approval of the updated plan from the commissioner; and

(4) executing the plan on approval by the commissioner.]

(b) Effective on a date determined by the commissioner after consulting with the superintendent of the Achievement School District, a campus subject to this Section may be removed from the jurisdiction of the school district or open-enrollment charter school and transferred to the jurisdiction of the District. On such date, the district or charter holder from which the campus was transferred becomes the "prior system" under this Section.

(c)(1) The removed campus shall be reorganized and reformed, as necessary, and operated by the Achievement School District.

(2) The Achievement School District [campus intervention team] shall decide which educators may be retained at that campus in the superintendent's sole discretion. If the District does not retain an educator, that educator may be assigned to another position by the prior system.

(3) A certified teacher with regular and direct responsibility for providing classroom instruction to students who is employed at the transferred campus by the prior system shall be given priority consideration for employment in a comparable position by the District's superintendent. A person employed by the prior system at a transferred campus may choose to remain in the employ of the prior system and, in that case, the prior system shall retain and reassign such person consistent with its contractual obligations or policies regarding the retention and reassignment of employees.

(4) For the purposes of any benefit or right requiring continuous service or based on years of service, the prior system shall grant leave of absence to a person employed by the Achievement School District who was employed at a campus when it was transferred under this Section. The prior system shall consider the period while the District operated the campus to be service time if the employee returns to the prior system's employment, but the prior system need not provide benefits during such leave.

(5) The benefits and privileges of any person employed in a campus by the District or employed by any operator of a District campus pursuant to any contract with the District who was not employed by the prior system at the time the campus was transferred to the District shall be those determined by the District or the operator at the time of such employment in compliance with applicable law.

A principal who has been employed by the campus in that capacity during the full period described by Subsection (a) may not be retained at that campus unless the campus intervention team determines that retention of the principal would be more beneficial to the student achievement and campus stability than removal.

(b-1) A teacher of a subject assessed by an assessment instrument under Section 39.023 may be retained only if the campus intervention team determines that a pattern exists of significant academic improvement by students taught by the teacher. If an educator is not retained, the educator may be assigned to another position in the district.

(b-2) For each year that a campus is considered to have an unacceptable performance rating, a campus intervention team shall:

(1) assist in updating the targeted improvement plan to identify and analyze areas of growth and areas that require improvement;

(2) submit the updated plan to:

(A) the board of trustees of the school district; and

(B) the parents of campus students; and

(3) assist in submitting the updated plan to the commissioner for approval.

(d) The Achievement School District shall retain jurisdiction over any campus transferred to it until the commissioner, in consultation with the District's superintendent, enters into an agreement with the prior system for return of the campus to the prior system.

(e) When a campus in the Achievement School District achieves an acceptable level of performance under this Chapter, the commissioner shall direct the Achievement School District to seek agreement for the return of the campus to the prior system. An agreement between the commissioner and the prior system for the return of the campus shall include all of the following:

(1) Details for the operation of the campus by the prior system, including provisions for the continuation of the programs that have provided the basis for the academic achievement by the students and any charter granted under this Section.

(2) Provisions providing for the employment status of all persons employed by the Achievement School District or by the operator of the campus who were not employed by the prior system at the time the campus was transferred to the Achievement School District.

(3) Provisions for the means and timetable for the campus' transition and return to the prior system.

(f) When a campus has been operating pursuant to arrangements established by the Achievement School District for three years, yet has failed to achieve and maintain an acceptable level of performance under this Chapter, the Commissioner shall:

(1) address the failure to turn around the campus within three years in the next statewide plan under Section 11.409,

(2) record these steps for annual reporting as required by Section 39.332.

A campus subject to Subsection (a) shall implement the updated targeted improvement plan as approved by the commissioner. The commissioner may appoint a monitor, conservator, management team, or board of managers to the district to ensure and oversee district-level support to low-performing campuses and the implementation of the updated targeted improvement plan. In making appointments under this subsection, the commissioner shall consider individuals who have demonstrated success in managing campuses with student populations similar to the campus at which the individual appointed will serve.

[(d) If the commissioner determines that the campus is not fully implementing the updated targeted improvement plan or if the students enrolled at the campus fail to demonstrate substantial improvement in the areas targeted by the updated plan, the commissioner may order:

(1) repurposing of the campus under this section;

(2) alternative management of the campus under this section; or

(3) closure of the campus.

[(e) If a campus is considered to have an unacceptable performance rating for three consecutive school years after the campus is reconstituted under Subsection (a), the commissioner, subject to Subsection (e-1) or (e-2), shall order:

(1) repurposing of the campus under this section;

(2) alternative management of the campus under this section; or

(3) closure of the campus.

(e-1) The commissioner may waive the requirement to enter an order under Subsection (e) for not more than one school year if the commissioner determines that, on the basis of significant improvement in student performance over the preceding two school years, the campus is likely to be assigned an acceptable performance rating for the following school year.

(g)(1) [(e-2)] For purposes of this subsection, "parent" has the meaning assigned by Section 12.051.

(2) If the commissioner is presented, in the time and manner specified by commissioner rule, a written petition signed by the parents of a majority of the students enrolled at a campus to which Subsection (f) [(e)] applies, specifying an [the] action described by Subsection (e)(1), (2),(3)or(g)(4). that the parents request the commissioner to order, the commissioner shall, except as otherwise authorized by this subsection, order the specific action requested.

(3) If a campus governing body established by the Achievement School District under this Section [the board of trustees of the school district in which the campus is located] presents to the commissioner, in the time and manner specified by commissioner rule, a written request that the commissioner order specific action authorized under Subsection (g)(4) [(e)] other than the specific action requested in the parents' petition and a written explanation of the basis for the governing body's [board's] request, the commissioner may order the action requested by the governing body [board of trustees].

(5) [(e-3)] For purposes of Subsection (g)(2) [(e-2)], the signature of only one parent of a student is required.

[(e-3) For purposes of Subsection (e-2), the signature of only one parent of a student is required.

[(f) If the commissioner orders repurposing of a campus, the school district shall develop a comprehensive plan for repurposing the campus and submit the plan to the board of trustees for approval, using the procedures described by Section 39.106(e-1), and to the commissioner for approval. The plan must include a description of a rigorous and relevant academic program for the campus. The plan may include various instructional models. The commissioner may not approve the repurposing of a campus unless:

(1) all students in the assigned attendance zone of the campus in the school year immediately preceding the repurposing of the campus are provided with the opportunity to enroll in and are provided transportation on request to another campus, unless the commissioner grants an exception because there is no other campus in the district in which the students may enroll;

(2) the principal is not retained at the campus, unless the commissioner determines that students enrolled at the campus have demonstrated significant academic improvement; and

(3) teachers employed at the campus in the school year immediately preceding the repurposing of the campus are not retained at the campus, unless the commissioner or the commissioner's designee grants an exception, at the request of a school district, for:

(A) a teacher who provides instruction in a subject other than a subject for which an assessment instrument is administered under Section 39.023(a) or (c) who demonstrates to the commissioner satisfactory performance; or

(B) a teacher who provides instruction in a subject for which an assessment instrument is administered under Section 39.023(a) or (c) if the district demonstrates that the students of the teacher demonstrated satisfactory performance or improved academic growth on that assessment instrument.

[(g) If an educator is not retained under Subsection (f), the educator may be assigned to another position in the district.

[(h) If the commissioner orders alternative management under this section, the commissioner shall solicit proposals from qualified nonprofit entities to assume management of a campus subject to this section or may appoint to assume management of a campus subject to this section a school district other than the district in which the campus is located that is located in the boundaries of the same regional education service center as the campus is located. The commissioner may solicit proposals from qualified for-profit entities to assume management of a campus subject to this section if a nonprofit entity has not responded to the commissioner's request for proposals. A district appointed under this section shall assume management of a campus subject to this section in the same manner provided by this section for a qualified entity or in accordance with commissioner rule.

(g) [(i)] If the commissioner determines that the basis for the unsatisfactory performance of a campus for more than three consecutive school years is limited to a specific condition that may be remedied with targeted technical assistance, the commissioner may require the district to contract for the appropriate technical assistance.

[(j) The commissioner may annually solicit proposals under this section for the management of a campus subject to this section. The commissioner shall notify a qualified entity that has been approved as a provider under this section. The district must execute a contract with an approved provider and relinquish control of the campus before January 1 of the school year.

[(k) To qualify for consideration as a managing entity under this section, the entity must submit a proposal that provides information relating to the entity's management and leadership team that will participate in management of the campus under consideration, including information relating to individuals that have:

(1) documented success in whole school interventions that increased the educational and performance levels of students in campuses considered to have an unacceptable performance rating;

(2) a proven record of effectiveness with programs assisting low-performing students;

(3) a proven ability to apply research-based school intervention strategies;

(4) a proven record of financial ability to perform under the management contract; and

(5) any other experience or qualifications the commissioner determines necessary.

[(l) In selecting a managing entity under this section, the commissioner shall give preference to a qualified entity that:

(1) meets any qualifications under this section; and

(2) has documented success in educating students from similar demographic groups and with similar educational needs as the students who attend the campus that is to be operated by a managing entity under this section.

[(m) The school district may negotiate the term of a management contract for not more than five years with an option to renew the contract. The management contract must include a provision describing the district's responsibilities in supporting the operation of the campus. The commissioner shall approve the contract before the contract is executed and, as appropriate, may require the district, as a term of the contract, to support the campus in the same manner as the district was required to support the campus before the execution of the management contract.

[(n) A management contract under this section shall include provisions approved by the commissioner that require the managing entity to demonstrate improvement in campus performance, including negotiated performance measures. The performance measures must be consistent with the priorities of this chapter. The commissioner shall evaluate a managing entity's performance on the first and second anniversaries of the date of the management contract. If the evaluation fails to demonstrate improvement as negotiated under the contract by the first anniversary of the date of the management contract, the district may terminate the management contract, with the commissioner's consent, for nonperformance or breach of contract and select another provider from an approved list provided by the commissioner. If the evaluation fails to demonstrate significant improvement, as determined by the commissioner, by the second anniversary of the date of the management contract, the district shall terminate the management contract and select another provider from an approved list provided by the commissioner or resume operation of the campus if approved by the commissioner. If the commissioner approves the district's operation of the campus, the commissioner shall assign a technical assistance team to assist the campus.

(h) [(o)] Notwithstanding any other provision of this code, the funding for a campus operated by the Achievement School District or a managing entity must be not less than the funding of the other campuses in the prior system [district] on a per student basis so that the Achievement School District or a managing entity receives at least the same funding the campus would otherwise have received.

(p) Each campus operated by a managing entity under this section is subject to this chapter in the same manner as any other campus in the district.

(i) [(q)] The commissioner may adopt rules necessary to implement this section.

[(r) With respect to the management of a campus under this section:

(1) a managing entity is considered to be a governmental body for purposes of Chapters 551 and 552, Government Code; and

(2) any requirement in Chapter 551 or 552, Government Code, that applies to a school district or the board of trustees of a school district applies to a managing entity.]

SECTION 5. Section 39.108, Education Code, is amended to read as follows:

Sec. 39.108. ANNUAL REVIEW. (a) The commissioner shall review annually the performance of a district or campus subject to this subchapter to determine the appropriate actions to be implemented under this subchapter. The commissioner must review at least annually the performance of a district for which the accreditation status or rating has been lowered due to insufficient student performance and may not raise the accreditation status or rating until the district has demonstrated improved student performance. If the review reveals a lack of improvement, the commissioner shall increase the level of state intervention and sanction unless the commissioner finds good cause for maintaining the current status.

(b) The reviews required by subsection (a) shall form the basis of the reporting required by Section 39.332, Subsection (b)(23).

SECTION 6. Subsection (b), Section 39.332, Education Code, is amended by adding Subdivision (23) to read as follows:

(23) The report must contain a listing and description of the status of each campus under the jurisdiction of the Achievement School District and a summary of the reforms implemented and progress of the campus.

SECTION 7. This Act applies beginning with the 2013-2014 school year.

SECTION 8. 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; and if this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2013.