86R9582 SRS-D

By: Taylor S.B. No. 2265

A BILL TO BE ENTITLED

AN ACT

relating to the assignment of performance ratings to school districts and school district campuses.

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

SECTION 1. Sections 8.051(b) and (d), Education Code, are amended to read as follows:

(b) Each regional education service center shall annually develop and submit to the commissioner for approval a plan for improvement. Each plan must include the purposes and description of the services the center will provide to:

(1) campuses assigned a [an unacceptable] performance rating of F under Section 39.054;

(2) the lowest-performing campuses in the region; and

(3) other campuses.

(d) Each regional education service center shall maintain core services for purchase by school districts and campuses. The core services are:

(1) training and assistance in:

(A) teaching each subject area assessed under Section 39.023; and

(B) providing instruction in personal financial literacy as required under Section 28.0021;

(2) training and assistance in providing each program that qualifies for a funding allotment under Section 42.151, 42.152, 42.153, or 42.156;

(3) assistance specifically designed for a school district or campus assigned a [an unacceptable] performance rating of F under Section 39.054;

(4) training and assistance to teachers, administrators, members of district boards of trustees, and members of site-based decision-making committees;

(5) assistance specifically designed for a school district that is considered out of compliance with state or federal special education requirements, based on the agency's most recent compliance review of the district's special education programs; and

(6) assistance in complying with state laws and rules.

SECTION 2. Sections 11.174(b) and (f), Education Code, are amended to read as follows:

(b) The board of trustees of a school district may enter into a contract as provided by Subsection (a) only if:

(1) the charter of the open-enrollment charter school has not been previously revoked;

(2) for the three school years preceding the school year of the proposed operation of the district campus as described by Subsection (a), the open-enrollment charter school has received:

(A) an overall performance rating of C [acceptable] or higher under Subchapter C, Chapter 39; and

(B) a financial accountability rating under Subchapter D, Chapter 39, indicating financial performance of satisfactory or higher; or

(3) the entity considered for a district-authorized charter has not previously operated an open-enrollment charter school in which the charter expired or was revoked or surrendered.

(f) This subsection applies only to a district campus subject to a contract described by Subsection (a) that received an overall performance rating of F [unacceptable] under Subchapter C, Chapter 39, for the school year before operation of the district campus under the contract began. The commissioner may not impose a sanction or take action against the campus under Section 39A.101 or 39A.111 [39.107(a) or (e)] for failure to satisfy academic performance standards during the first two school years of operation of a district campus under Subsection (a). The overall performance rating received by the campus during those first two school years is not included in calculating consecutive school years and is not considered a break in consecutive school years under Section 39A.101 or 39A.111 [39.107(a) or (e)].

SECTION 3. Section 12.1054(a), Education Code, is amended to read as follows:

(a) A member of the governing body of a charter holder, a member of the governing body of an open-enrollment charter school, or an officer of an open-enrollment charter school is considered to be a local public official for purposes of Chapter 171, Local Government Code. For purposes of that chapter:

(1) a member of the governing body of a charter holder or a member of the governing body or officer of an open-enrollment charter school is considered to have a substantial interest in a business entity if a person related to the member or officer in the third degree by consanguinity or affinity, as determined under Chapter 573, Government Code, has a substantial interest in the business entity under Section 171.002, Local Government Code; and

(2) notwithstanding any provision of Subdivision (1) [Section 12.1054(1)], an employee of an open-enrollment charter school that was assigned a performance rating of C [rated acceptable] or higher under Section 39.054 for at least two of the preceding three school years may serve as a member of the governing body of the charter holder of the governing body of the school if the employees do not constitute a quorum of the governing body or any committee of the governing body; however, all members shall comply with the requirements of Sections 171.003-171.007, Local Government Code.

SECTION 4. Section 12.106(e), Education Code, is amended to read as follows:

(e) A charter holder is entitled to receive funding under Subsection (d) only if the most recent overall performance rating assigned to the open-enrollment charter school under Subchapter C, Chapter 39, was a C or higher [reflects at least acceptable performance]. This subsection does not apply to a charter holder that operates a school program located at a day treatment facility, residential treatment facility, psychiatric hospital, or medical hospital.

SECTION 5. Section 12.110(e), Education Code, is amended to read as follows:

(e) The commissioner shall give priority to applications that propose an open-enrollment charter school campus to be located in the attendance zone of a school district campus assigned a [an unacceptable] performance rating of F under Section 39.054 for the two preceding school years.

SECTION 6. Section 12.115(c), Education Code, is amended to read as follows:

(c) The commissioner shall revoke the charter of an open-enrollment charter school if:

(1) the charter holder has been assigned a [an unacceptable] performance rating of F under Subchapter C, Chapter 39, for the three preceding school years;

(2) the charter holder has been assigned a financial accountability performance rating under Subchapter D, Chapter 39, indicating financial performance lower than satisfactory for the three preceding school years; or

(3) the charter holder has been assigned any combination of the ratings described by Subdivision (1) or (2) for the three preceding school years.

SECTION 7. Section 12A.001(b), Education Code, is amended to read as follows:

(b) A school district is eligible for designation as a district of innovation only if the district's most recent performance rating under Section 39.054 was a C or higher [reflects at least acceptable performance].

SECTION 8. Sections 12A.008(a) and (c), Education Code, are amended to read as follows:

(a) The commissioner may terminate a district's designation as a district of innovation if the district receives for two consecutive school years:

(1) an [unacceptable] academic performance rating of F under Section 39.054;

(2) an unacceptable financial accountability rating under Section 39.082; or

(3) an [unacceptable] academic performance rating of F under Section 39.054 for one of the school years and an unacceptable financial accountability rating under Section 39.082 for the other school year.

(c) The commissioner shall terminate a district's designation as a district of innovation if the district receives for three consecutive school years:

(1) an [unacceptable] academic performance rating of F under Section 39.054;

(2) an unacceptable financial accountability rating under Section 39.082; or

(3) any combination of one or more [unacceptable] ratings of F under Subdivision (1) and one or more unacceptable ratings under Subdivision (2).

SECTION 9. The heading to Section 13.054, Education Code, is amended to read as follows:

Sec. 13.054. [ACADEMICALLY UNACCEPTABLE] SCHOOL DISTRICTS ASSIGNED ACADEMIC PERFORMANCE RATING OF F.

SECTION 10. Sections 13.054(a), (b), and (d), Education Code, are amended to read as follows:

(a) The commissioner by order may annex to one or more adjoining districts a school district that has been assigned an academic performance rating of F [rated as academically unacceptable] for a period of two years.

(b) The governing board of a district to which territory of a [an academically unacceptable] district assigned an academic performance rating of F is annexed is the governing board for the new district.

(d) Title to the real property of the [academically unacceptable] district assigned an academic performance rating of F vests in the district to which the property is annexed. Each district to which territory is annexed assumes and is liable for any portion of the [academically unacceptable district's] indebtedness of the district assigned an academic performance rating of F that is allocated to the receiving district under Section 13.004.

SECTION 11. Section 21.453(b), Education Code, is amended to read as follows:

(b) The commissioner may allocate funds from the account to regional education service centers to provide staff development resources to school districts that:

(1) are assigned an academic performance rating of F [rated academically unacceptable];

(2) have one or more campuses assigned an academic performance rating of F [rated as academically unacceptable]; or

(3) are otherwise in need of assistance as indicated by the academic performance of students, as determined by the commissioner.

SECTION 12. Section 28.020(c), Education Code, is amended to read as follows:

(c) A campus designated as a mathematics innovation zone is not subject to interventions under the state accountability system described by Section 39A.101 or 39A.111 [39.107(a) or (e)] for the first two years of the designation, provided that the campus implements the instructional program with fidelity and complies with each mathematics innovation zone requirement to the satisfaction of the commissioner. The period that a campus is exempt from interventions as provided by this subsection is not:

(1) included in calculating consecutive school years under Section 39A.101 or 39A.111 [39.107(a) or (e)]; or

(2) considered a break in consecutive school years of receiving performance [unacceptable] ratings of F for purposes of determining the need for intervention under Section 39A.101 or 39A.111 [39.107(a) or (e)].

SECTION 13. Section 29.202(a), Education Code, is amended to read as follows:

(a) A student is eligible to receive a public education grant or to attend another public school in the district in which the student resides under this subchapter if the student is assigned to attend a public school campus assigned a [an unacceptable] performance rating of F that is made publicly available under Section 39.054 for:

(1) the student achievement domain under Section 39.053(c)(1); and

(2) the school progress domain under Section 39.053(c)(2).

SECTION 14. Section 30A.101(a), Education Code, is amended to read as follows:

(a) A school district or open-enrollment charter school is eligible to act as a course provider under this chapter only if the district or school is assigned a performance rating of C or higher [rated acceptable] under Section 39.054. An open-enrollment charter school may serve as a course provider only:

(1) to a student within its service area; or

(2) to another student in the state:

(A) through an agreement with the school district in which the student resides; or

(B) if the student receives educational services under the supervision of a juvenile probation department, the Texas Juvenile Justice Department, or the Texas Department of Criminal Justice, through an agreement with the applicable agency.

SECTION 15. Sections 39.054(a) and (a-2), Education Code, are amended to read as follows:

(a) The commissioner shall adopt rules to evaluate school district and campus performance and assign each district and campus an overall performance rating of A, B, C, D, or F. In addition to the overall performance rating, the commissioner shall assign each district and campus a separate domain performance rating of A, B, C, D, or F for each domain under Section 39.053(c). [An overall or domain performance rating of A reflects exemplary performance. An overall or domain performance rating of B reflects recognized performance. An overall or domain performance rating of C reflects acceptable performance. An overall or domain performance rating of D reflects performance that needs improvement. An overall or domain performance rating of F reflects unacceptable performance.] A district may not receive an overall or domain performance rating of A if the district includes any campus with a corresponding overall or domain performance rating of D or F. If a school district has been approved under Section 39.0544 to assign campus performance ratings and the commissioner has not assigned a campus an overall performance rating of D or F, the commissioner shall assign the campus an overall performance rating based on the school district assigned performance rating under Section 39.0544. [A reference in law to an acceptable rating or acceptable performance includes an overall or domain performance rating of A, B, C, or D or performance that is exemplary, recognized, or acceptable performance or performance that needs improvement.]

(a-2) The commissioner by rule may adopt procedures to ensure that a repeated performance rating of D or F [or unacceptable] in one domain, particularly performance that is not significantly improving, is reflected in the overall performance rating of a district or campus under this section or a campus under Section 39.0544 and is not compensated for by a performance rating of A, B, or C in another domain.

SECTION 16. Section 39.101, Education Code, as added by Chapter 807 (H.B. 22), Acts of the 85th Legislature, Regular Session, 2017, is transferred to Subchapter B, Chapter 39A, Education Code, redesignated as Section 39A.0545, Education Code, amended to conform to the repeal of Subchapter E, Chapter 39, Education Code, by Article 21, Chapter 324 (S.B. 1488), Acts of the 85th Legislature, Regular Session, 2017, and further amended to read as follows:

Sec. 39A.0545 [39.101]. PERFORMANCE [NEEDS IMPROVEMENT] RATING OF D. (a) Notwithstanding any other law, if a school district or campus is assigned an overall or domain performance rating of D:

(1) the commissioner shall order the district or campus to develop and implement a targeted improvement plan approved by the board of trustees of the district; and

(2) the interventions and sanctions provided by this chapter [subchapter] based on failure to satisfy performance standards under Section 39.054(e) apply to the district or campus only as provided by this section.

(b) The interventions and sanctions provided by this chapter [subchapter] based on failure to satisfy performance standards under Section 39.054(e) apply to a district or campus ordered to develop and implement a targeted improvement plan under Subsection (a) only if the district or campus is assigned:

(1) an overall or domain performance rating of F; or

(2) an overall performance rating of D as provided by Subsection (c).

(c) If a school district or campus is assigned an overall performance rating of D for a school year after the district or campus is ordered to develop and implement a targeted improvement plan under Subsection (a), the commissioner shall implement interventions and sanctions that apply to a [an unacceptable] campus that received a performance rating of F and those interventions and sanctions shall continue for each consecutive school year thereafter in which the campus is assigned an overall performance rating of D.

(d) The commissioner shall adopt rules as necessary to implement this section.

SECTION 17. Section 39.201(b), Education Code, is amended to read as follows:

(b) A district or campus may not be awarded a distinction designation under this subchapter unless the district or campus has a [acceptable] performance rating of C or higher under Section 39.054.

SECTION 18. Sections 39.232(a) and (d), Education Code, are amended to read as follows:

(a) Except as provided by Subsection (b), a school campus or district that has been awarded a distinction designation [is rated exemplary] under Subchapter G is exempt from requirements and prohibitions imposed under this code including rules adopted under this code.

(d) The commissioner may exempt a [an exemplary] school campus that has been awarded a distinction designation under Subchapter G from elementary class size limits under this section if the school campus submits to the commissioner a written plan showing steps that will be taken to ensure that the exemption from the class size limits will not be harmful to the academic achievement of the students on the school campus. The commissioner shall review achievement levels annually. The exemption remains in effect until the commissioner determines that achievement levels of the campus have declined.

SECTION 19. Section 39.306(a), Education Code, is amended to read as follows:

(a) Each board of trustees shall publish an annual report describing the educational performance of the district and of each campus in the district that includes uniform student performance and descriptive information as determined under rules adopted by the commissioner. The annual report must also include:

(1) campus performance objectives established under Section 11.253 and the progress of each campus toward those objectives, which shall be available to the public;

(2) information indicating the district's accreditation status and identifying each district campus awarded a distinction designation under Subchapter G or subject to interventions or sanctions [considered an unacceptable campus] under Chapter 39A;

(3) the district's current special education compliance status with the agency;

(4) a statement of the number, rate, and type of violent or criminal incidents that occurred on each district campus, to the extent permitted under the Family Educational Rights and Privacy Act of 1974 (20 U.S.C. Section 1232g);

(5) information concerning school violence prevention and violence intervention policies and procedures that the district is using to protect students;

(6) the findings that result from evaluations conducted under the Safe and Drug-Free Schools and Communities Act of 1994 (20 U.S.C. Section 7101 et seq.); and

(7) information received under Section 51.403(e) for each high school campus in the district, presented in a form determined by the commissioner.

SECTION 20. Section 39A.060, Education Code, is amended to conform to Section 1, Chapter 472 (H.B. 2263), Acts of the 85th Legislature, Regular Session, 2017, and further amended to read as follows:

Sec. 39A.060. CAMPUS INTERVENTION TEAM CONTINUING DUTIES. For each year a campus is assigned a [an unacceptable] performance rating of F, the campus intervention team shall:

(1) [continue to work with the campus until:

[(A) the campus satisfies all performance standards under Section 39.054(e) for a two-year period; or

[(B) the campus satisfies all performance standards under Section 39.054(e) for a one-year period and the commissioner determines that the campus is operating and will continue to operate in a manner that improves student achievement;

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

(2) [(3)] submit each updated targeted improvement plan described by Subdivision (1) [(2)] to the board of trustees of the school district.

SECTION 21. Section 39A.103, Education Code, is amended to read as follows:

Sec. 39A.103. NOTICE OF CAMPUS TURNAROUND PLAN. Before a campus turnaround plan is prepared and submitted for approval to the board of trustees of the school district, the district, in consultation with the campus intervention team, shall:

(1) provide notice to parents, the community, and stakeholders that the campus has received a [an unacceptable] performance rating of F for two consecutive years and will be required to submit a campus turnaround plan; and

(2) request assistance from parents, the community, and stakeholders in developing the campus turnaround plan.

SECTION 22. Section 39A.106, Education Code, is amended to read as follows:

Sec. 39A.106. DATE CAMPUS TURNAROUND PLAN TAKES EFFECT. A campus turnaround plan must take effect not later than the school year following the third consecutive school year that the campus has received a [an unacceptable] performance rating of F.

SECTION 23. Section 39A.110, Education Code, is amended to read as follows:

Sec. 39A.110. CHANGE IN CAMPUS PERFORMANCE RATING. (a) If a campus for which a campus turnaround plan has been ordered under Section 39A.101 receives a [an acceptable] performance rating of C or higher for the school year following the order, the board of trustees of the school district may:

(1) implement the campus turnaround plan;

(2) implement a modified version of the campus turnaround plan; or

(3) withdraw the campus turnaround plan.

(b) A school district required to implement a campus turnaround plan may modify the plan if the campus receives a [an acceptable] performance rating of C or higher for two consecutive school years following implementation of the plan.

SECTION 24. Section 39A.111, Education Code, is amended to read as follows:

Sec. 39A.111. CONTINUED [UNACCEPTABLE] PERFORMANCE RATING OF F. If a campus is assigned a [considered to have an unacceptable] performance rating of F for three consecutive school years after the campus is ordered to submit a campus turnaround plan under Section 39A.101, the commissioner, subject to Section 39A.112, shall order:

(1) appointment of a board of managers to govern the school district as provided by Section 39A.202; or

(2) closure of the campus.

SECTION 25. Section 39A.152(a), Education Code, is amended to read as follows:

(a) To qualify for consideration as a managing entity under this subchapter, 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 who have:

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

(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.

SECTION 26. Section 39A.156, Education Code, is amended to read as follows:

Sec. 39A.156. CANCELLATION OF MANAGEMENT CONTRACT. If a campus receives a [an unacceptable] performance rating of F for two consecutive school years after a managing entity assumes management of the campus, the commissioner shall cancel the contract with the managing entity.

SECTION 27. Sections 39A.209(a) and (b), Education Code, are amended to read as follows:

(a) Notwithstanding Section 39A.208, the commissioner may remove a board of managers appointed to govern a school district under Subchapter C only if the campus that was the basis for the appointment of the board of managers receives a [an acceptable] performance rating of C or higher for two consecutive school years.

(b) If a campus that was the basis for the appointment of a board of managers receives a [an unacceptable] performance rating of F for two additional consecutive years following the appointment of the board of managers, the commissioner may remove the board of managers and, in consultation with the local community, may appoint a new board of managers to govern the school district.

SECTION 28. Sections 39A.906(b) and (d), Education Code, are amended to read as follows:

(b) If a campus described by Subsection (a) receives a [an unacceptable] performance rating of F for the 2016-2017 and 2017-2018 school years, the commissioner shall apply the interventions and sanctions authorized by Section 39A.111 to the campus.

(d) If a campus described by Subsection (c) receives a [an unacceptable] performance rating of F for the 2016-2017, 2017-2018, and 2018-2019 school years, the commissioner shall apply the interventions and sanctions authorized by Section 39A.111 to the campus.

SECTION 29. Section 42.002(b), Education Code, is amended to read as follows:

(b) The Foundation School Program consists of:

(1) two tiers that in combination provide for:

(A) sufficient financing for all school districts to provide a basic program of education that is assigned a performance rating of C [rated acceptable] or higher under Section 39.054 and meets other applicable legal standards; and

(B) substantially equal access to funds to provide an enriched program; and

(2) a facilities component as provided by Chapter 46.

SECTION 30. This Act applies beginning with the 2019-2020 school year.

SECTION 31. To the extent of any conflict, this Act prevails over another Act of the 86th Legislature, Regular Session, 2019, relating to nonsubstantive additions to and corrections in enacted codes.

SECTION 32. 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. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2019.