AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
Many school districts across the state experience natural disasters and catastrophes based on their geographic location in Texas. Due to hurricanes, hail storms and wild fires, some districts must pay higher than average premiums for wind and hail insurance.
To address this statewide disparity, S.B. 750 would authorize a school district that contracts for wind and hail insurance to receive an allotment equal to the total amount paid for the insurance, not to exceed an amount specified by commissioner of education (commissioner) rule.
The commissioner may provide the allotment if funds are specifically appropriated or if the Foundation School Program exceeds the amount by which school districts are entitled.
As proposed, S.B. 750 amends current law relating to an allotment under the public school finance system for the cost of windstorm and hail insurance.
RULEMAKING AUTHORITY
Rulemaking authority is expressly granted to the commissioner of education in in SECTION 1 (Section 42.161, Education Code) of this bill.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Subchapter C, Chapter 42, Education Code, by adding Section 42.161, as follows:
Sec. 42.161. WINDSTORM AND HAIL INSURANCE ALLOTMENT. (a) Provides that a school district that contracts for windstorm and hail insurance is entitled to receive an allotment equal to the total amount required to be paid for the insurance, not to exceed an amount specified by commissioner of education (commissioner) rule.
(b) Provides that the commissioner may provide the allotment under this section only if funds are specifically appropriated for that purpose or the commissioner determines that the amount appropriated for purposes of the Foundation School Program exceeds the amount to which school districts are entitled under this chapter and the excess funds may be used for that purpose.
SECTION 2. Effective date: September 1, 2015.