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A BILL TO BE ENTITLED
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AN ACT
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relating to open-enrollment charter schools. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 12.106, Education Code, is amended by |
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adding Subsections (a-3), (a-4), (a-5), (a-6), (d), and (e) to read |
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as follows: |
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(a-3) In addition to the funding provided by Subsections |
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(a), (a-2), and (d), a charter holder who meets the eligibility |
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requirements under Subsection (a-4) is entitled to receive for the |
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open-enrollment charter school supplemental funding for each |
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student in weighted average daily attendance in an amount equal to |
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the difference between: |
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(1) the statewide average amount of state and local |
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revenue, including maintenance and operations revenue and revenue |
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for debt service, of a school district per student in weighted |
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average daily attendance; and |
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(2) the sum of: |
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(A) the amount of funding per student in weighted |
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average daily attendance to which the charter holder is entitled |
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under Subsections (a) and (a-2); and |
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(B) the amount of funding per student in average |
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daily attendance to which the charter holder is entitled under |
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Subsection (d). |
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(a-4) A charter holder is eligible to receive supplemental |
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funding under Subsection (a-3) if: |
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(1) for a charter holder for whom at least 50 percent |
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of enrolled students for the current year are economically |
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disadvantaged, as determined by the agency, the percentage of the |
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charter holder's economically disadvantaged students who achieved |
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the college readiness performance standard on two or more |
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assessment instruments administered under Section 39.023(a) or (c) |
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exceeded the percentage of all economically disadvantaged students |
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in the state who achieved that standard on two or more of those |
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assessment instruments for at least two of the last three preceding |
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school years; |
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(2) for a charter holder for whom less than 50 percent |
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of enrolled students for the current year are economically |
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disadvantaged, as determined by the agency, the percentage of the |
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charter holder's students who are not economically disadvantaged |
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and who achieved the college readiness performance standard on two |
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or more assessment instruments administered under Section |
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39.023(a) or (c) exceeded the percentage of all students in the |
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state who are not economically disadvantaged and who achieved that |
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standard on two or more of those assessment instruments for at least |
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two of the last three preceding school years; or |
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(3) the charter holder has qualified for and received |
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supplemental funding under Subdivision (1) or (2) for three |
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consecutive school years. |
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(a-5) A charter holder who establishes eligibility under |
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Subsection (a-4)(3) remains eligible for supplemental funding in |
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subsequent school years and is not required for those years to |
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satisfy the criteria described by Subsection (a-4)(1) or (2), |
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provided that the charter holder continues to comply with the |
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requirements imposed by Section 12.1071(c). |
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(a-6) In determining eligibility for supplemental funding |
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under Subsection (a-4) for the current year, a charter holder may |
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elect to exclude the results on assessment instruments administered |
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to students enrolled at a campus established two years or less |
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before the date on which eligibility is determined if the charter |
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holder notifies the agency of the charter holder's election not |
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later than the date specified by the commissioner. |
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(d) In addition to other amounts provided by this section, a |
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charter holder is entitled to receive for the open-enrollment |
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charter school funding per student in average daily attendance in |
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an amount equal to the state average amount of state funds per |
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student in average daily attendance collected by independent school |
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districts under Sections 46.003(a) and 46.032(a). |
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(e) Notwithstanding any other provision of this section, |
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the total amount of funding per student in weighted average daily |
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attendance to which a charter holder may be entitled for an |
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open-enrollment charter school under this section, including a |
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charter holder eligible for supplemental funding under Subsection |
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(a-3), may not exceed the average amount of state and local revenue, |
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including maintenance and operations revenue and revenue for debt |
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service, per student in weighted average daily attendance of the |
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school districts located within the regional boundaries of the |
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regional education service center within whose boundaries a |
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majority of the charter holder's students attend school. If a |
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charter holder's funding would exceed that amount, the amount of |
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maintenance and operations funding and debt service funding to |
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which the charter holder would otherwise be entitled under this |
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section shall be reduced proportionately to comply with the maximum |
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amount of funding described by this subsection. |
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SECTION 2. Section 12.1071, Education Code, is amended by |
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adding Subsection (c) to read as follows: |
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(c) A charter holder who accepts supplemental funding under |
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Section 12.106(a-3) for a school year: |
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(1) may not expel a student during that school year |
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unless the expulsion is required or permitted under Chapter 37; and |
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(2) shall provide a disciplinary alternative |
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education program or juvenile justice alternative education |
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program, as applicable, during that school year to a student for |
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whom a school district would be required to provide the program |
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under Chapter 37, in the manner provided by that chapter. |
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SECTION 3. Section 12.1101, Education Code, is amended to |
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read as follows: |
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Sec. 12.1101. NOTIFICATION OF CHARTER APPLICATION OR |
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ESTABLISHMENT OF CAMPUS. (a) The commissioner by rule shall adopt |
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a procedure for providing notice to the following persons on |
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receipt by the commissioner of an application for a charter for an |
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open-enrollment charter school under Section 12.110 or of notice of |
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the establishment of a campus as authorized under Section |
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12.101(b-4): |
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(1) the superintendent and board of trustees of each |
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school district within a three-mile radius of the address or |
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intersection at [from] which the proposed open-enrollment charter |
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school or campus is likely to be located [draw students, as
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determined by the commissioner]; and |
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(2) each member of the legislature who [that] |
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represents a [the] geographic area within a three-mile radius of |
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the address or intersection at which [to be served by] the proposed |
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school or campus is likely to be located [, as determined by the
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commissioner]. |
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(b) Not later than the 30th day after the date on which an |
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applicant or charter holder acquires property intended to serve as |
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the location of a proposed open-enrollment charter school or campus |
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for which notice was provided under Subsection (a), the applicant |
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or charter holder shall provide notice of the address of the |
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acquired property to: |
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(1) the superintendent and board of trustees of each |
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school district within a three-mile radius of the property; and |
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(2) each member of the legislature who represents a |
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geographic area within a three-mile radius of the property. |
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SECTION 4. Subchapter D, Chapter 12, Education Code, is |
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amended by adding Sections 12.138 and 12.139 to read as follows: |
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Sec. 12.138. CONTRACTS TO OPERATE ALTERNATIVE EDUCATION |
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PROGRAMS. (a) A charter holder who receives supplemental funding |
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under Section 12.106(a-3) shall enter into a memorandum of |
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understanding with the juvenile board of the county in which the |
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majority of the charter holder's students attend school for the |
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board to operate on behalf of the charter holder a juvenile justice |
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alternative education program required under Section 12.1071(c) if |
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the board has developed such a program. The board is entitled to |
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receive all funding to which the charter holder would otherwise |
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have been entitled for each student enrolled by the charter holder |
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in the program. |
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(b) A charter holder who receives supplemental funding |
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under Section 12.106(a-3) may enter into a memorandum of |
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understanding with the board of trustees of a school district |
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located within the regional boundaries of the regional education |
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service center within whose boundaries the majority of the charter |
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holder's students attend school for the district to operate on |
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behalf of the charter holder a disciplinary alternative education |
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program required under Section 12.1071(c). The district is entitled |
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to receive all funding to which the charter holder would otherwise |
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have been entitled for each student enrolled by the charter holder |
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in the program. |
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(c) The juvenile board of a county or board of trustees of a |
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school district shall enter into a memorandum of understanding as |
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provided by Subsection (a) or (b) on request by a charter holder to |
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whom that subsection applies. |
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(d) Each student enrolled by a charter holder in an |
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alternative education program under Subsection (a) or (b) is |
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considered a student of the charter holder for purposes of: |
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(1) determining the amount of funding to which the |
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charter holder would otherwise have been entitled for that student |
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under Section 12.106, including eligibility for supplemental |
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funding under Section 12.106(a-3); and |
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(2) accountability under Chapter 39. |
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Sec. 12.139. CONTRACT TO OPERATE SCHOOL DISTRICT CAMPUS. |
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(a) A charter holder who receives supplemental funding under |
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Section 12.106(a-3) may contract with the board of trustees of a |
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school district for the charter holder to operate one or more of the |
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district's campuses. The district may receive all or part of the |
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charter holder's supplemental funding, in an amount determined by |
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the charter holder, to which the charter holder is entitled for each |
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student enrolled at that campus. |
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(b) Each student enrolled at a campus operated by a charter |
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holder under Subsection (a) is considered a student of: |
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(1) the charter holder for purposes of determining the |
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amount of funding to which the charter holder is entitled for that |
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student under Section 12.106, including eligibility for |
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supplemental funding under Section 12.106(a-3); and |
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(2) the school district for purposes of accountability |
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under Chapter 39. |
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(c) Notwithstanding any other provision of this code, for |
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not less than three years after the date on which a charter holder |
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begins operating a school district's campus under Subsection (a), |
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the commissioner may not take action against the campus under |
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Subchapter E, Chapter 39, for the reason that the campus received |
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the lowest performance rating under Section 39.054. |
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SECTION 5. Subchapter A, Chapter 11, Education Code, is |
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amended by adding Section 11.004 to read as follows: |
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Sec. 11.004. CONTRACT WITH HIGH-PERFORMING OPEN-ENROLLMENT |
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CHARTER SCHOOL TO OPERATE CAMPUS. The board of trustees of a school |
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district may contract with an open-enrollment charter school to |
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which Section 12.139 applies for the charter school to operate one |
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or more of the district's campuses as provided by that section. |
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SECTION 6. (a) Except as provided by Subsection (b) of this |
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section, this Act applies beginning with the 2017-2018 school year. |
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(b) Section 12.106(d), Education Code, as added by this Act, |
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applies to funding per student in average daily attendance at an |
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open-enrollment charter school for the 2017-2018 and 2018-2019 |
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school years only if the 85th Legislature makes a specific |
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appropriation to implement that provision. |
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SECTION 7. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2017. |