By: Creighton, et al.  S.B. No. 2
         (In the Senate - Filed October 9, 2023; October 9, 2023,
  read first time and referred to Committee on Finance;
  October 10, 2023, reported favorably by the following vote:  Yeas
  15, Nays 0; October 10, 2023, sent to printer.)
Click here to see the committee vote
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to a local optional teacher designation system implemented
  by a school district, a security officer employed by a school
  district, the basic allotment and guaranteed yield under the public
  school finance system, and certain allotments under the Foundation
  School Program; making an appropriation.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Sections 21.3521(a), (c), and (e), Education
  Code, are amended to read as follows:
         (a)  Subject to Subsection (b), a school district or
  open-enrollment charter school may designate a classroom teacher as
  a master, exemplary, [or] recognized, or acknowledged teacher for a
  five-year period based on the results from single year or multiyear
  appraisals that comply with Section 21.351 or 21.352.
         (c)  Notwithstanding performance standards established
  under Subsection (b), a classroom teacher that holds a National
  Board Certification issued by the National Board for Professional
  Teaching Standards may be designated as nationally board certified
  [recognized].
         (e)  The agency shall develop and provide technical
  assistance for school districts and open-enrollment charter
  schools that request assistance in implementing a local optional
  teacher designation system, including:
               (1)  providing assistance in prioritizing high needs
  campuses;
               (2)  providing examples or models of local optional
  teacher designation systems to reduce the time required for a
  district or school to implement a teacher designation system;
               (3)  establishing partnerships between districts and
  schools that request assistance and districts and schools that have
  implemented a teacher designation system;
               (4)  applying the performance and validity standards
  established by the commissioner under Subsection (b);
               (5)  providing centralized support for the analysis of
  the results of assessment instruments administered to district
  students; and
               (6)  facilitating effective communication on and
  promotion of local optional teacher designation systems.
         SECTION 2.  Subchapter H, Chapter 21, Education Code, is
  amended by adding Section 21.3522 to read as follows:
         Sec. 21.3522.  LOCAL OPTIONAL TEACHER DESIGNATION SYSTEM
  GRANT PROGRAM.  (a)  From funds appropriated or otherwise
  available for the purpose, the agency shall establish and
  administer a grant program to provide money and technical
  assistance to:
               (1)  expand implementation of local optional teacher
  designation systems under Section 21.3521;
               (2)  increase the number of classroom teachers eligible
  for a designation under that section; and
               (3)  increase the salaries paid to classroom teachers
  employed by school districts or open-enrollment charter schools
  that have established or are seeking to establish a designation
  system under that section.
         (b)  A grant awarded under this section must:
               (1)  meet the needs of individual school districts; and
               (2)  enable regional leadership capacity.
         SECTION 3.  Sections 37.0814(b) and (d), Education Code, are
  amended to read as follows:
         (b)  A security officer described by Subsection (a) must be:
               (1)  a school district peace officer;
               (2)  a school resource officer; [or]
               (3)  a commissioned peace officer employed as security
  personnel under Section 37.081;
               (4)  a school marshal; or
               (5)  a school district employee or a person with whom
  the district contracts who:
                     (A)  has completed school safety training
  provided by a qualified handgun instructor certified in school
  safety under Section 411.1901, Government Code; and
                     (B)  carries a handgun on school premises in
  accordance with written regulations or written authorization of the
  district under Section 46.03(a)(1)(A), Penal Code.
         (d)  The board of trustees of a school district that claims a
  good cause exception under Subsection (c) must develop an
  alternative standard with which the district is able to comply[,
  which may include providing a person to act as a security officer
  who is:
               [(1)  a school marshal; or
               [(2)  a school district employee or a person with whom
  the district contracts who:
                     [(A)  has completed school safety training
  provided by a qualified handgun instructor certified in school
  safety under Section 411.1901, Government Code; and
                     [(B)  carries a handgun on school premises in
  accordance with written regulations or written authorization of the
  district under Section 46.03(a)(1)(A), Penal Code].
         SECTION 4.  Section 48.051(a), Education Code, is amended to
  read as follows:
         (a)  For each student in average daily attendance, not
  including the time students spend each day in special education
  programs in an instructional arrangement other than mainstream or
  career and technology education programs, for which an additional
  allotment is made under Subchapter C, a district is entitled to an
  allotment equal to [the lesser of $6,160 or] the amount that results
  from the following formula:
  A = B [$6,160] X TR/MCR
  where:
         "A" is the allotment to which a district is entitled;
         "B" is the base amount, which equals the greater of:
               (1)  $6,235;
               (2)  an amount equal to the district's base amount under
  this section for the preceding school year; or
               (3)  the amount appropriated under Subsection (b);
         "TR" is the district's tier one maintenance and operations
  tax rate, as provided by Section 45.0032; and
         "MCR" is the district's maximum compressed tax rate, as
  determined under Section 48.2551.
         SECTION 5.  Sections 48.112(c) and (d), Education Code, are
  amended to read as follows:
         (c)  For each classroom teacher with a teacher designation
  under Section 21.3521 employed by a school district, the school
  district is entitled to an allotment equal to the following
  applicable base amount increased by the high needs and rural factor
  as determined under Subsection (d):
               (1)  $12,000, or an increased amount not to exceed
  $36,000 [$32,000] as determined under Subsection (d), for each
  master teacher;
               (2)  $9,000 [$6,000], or an increased amount not to
  exceed $25,000 [$18,000] as determined under Subsection (d), for
  each exemplary teacher; [and]
               (3)  $5,000 [$3,000], or an increased amount not to
  exceed $15,000 [$9,000] as determined under Subsection (d), for
  each recognized teacher; and
               (4)  $3,000, or an increased amount not to exceed
  $9,000 as determined under Subsection (d), for each:
                     (A)  acknowledged teacher; or
                     (B)  nationally board certified teacher.
         (d)  The high needs and rural factor is determined by
  multiplying the following applicable amounts by the average of the
  point value assigned to each student at a district campus under
  Subsection (e):
               (1)  $6,000 [$5,000] for each master teacher;
               (2)  $4,000 [$3,000] for each exemplary teacher; [and]
               (3)  $2,500 [$1,500] for each recognized teacher; and
               (4)  $1,500 for each:
                     (A)  acknowledged teacher; or
                     (B)  nationally board certified teacher.
         SECTION 6.  Section 48.115(a), Education Code, is amended to
  read as follows:
         (a)  Except as provided by Subsection (a-1), a school
  district is entitled to an annual allotment equal to the sum of the
  following amounts or a greater amount provided by appropriation:
               (1)  $20 [$10] for each student in average daily
  attendance, plus $1 for each student in average daily attendance
  per every $50 by which the district's maximum basic allotment under
  Section 48.051 exceeds the greater of $6,235 or the amount equal to
  the district's base amount, as defined by Section 48.051(a), for
  the preceding school year [$6,160], prorated as necessary; and
               (2)  $30,000 [$15,000] per campus.
         SECTION 7.  Section 48.202(a-1), Education Code, is amended
  to read as follows:
         (a-1)  For purposes of Subsection (a), the dollar amount
  guaranteed level of state and local funds per weighted student per
  cent of tax effort ("GL") for a school district is:
               (1)  the greater of the amount of district tax revenue
  per weighted student per cent of tax effort available to a school
  district at the 96th percentile of wealth per weighted student or
  the amount that results from multiplying the maximum amount of the
  basic allotment provided under Section 48.051 for the applicable
  school year [6,160, or the greater amount provided under Section
  48.051(b), if applicable,] by 0.016, for the first eight cents by
  which the district's maintenance and operations tax rate exceeds
  the district's tier one tax rate; and
               (2)  subject to Subsection (f), the amount that results
  from multiplying the maximum amount of the basic allotment provided
  under Section 48.051 for the applicable school year [$6,160, or the
  greater amount provided under Section 48.051(b), if applicable,] by
  0.008, for the district's maintenance and operations tax effort
  that exceeds the amount of tax effort described by Subdivision (1).
         SECTION 8.  Subchapter G, Chapter 48, Education Code, is
  amended by adding Sections 48.310 and 48.311 to read as follows:
         Sec. 48.310.  TEACHER RETENTION ALLOTMENT.  (a) In this
  section, "classroom teacher" has the meaning assigned by Section
  5.001, except that the term also includes a person who is not
  required to hold a certificate issued under Subchapter B, Chapter
  21 who otherwise meets the definition of a classroom teacher under
  that section.
         (b)  A school district is entitled to an annual allotment for
  each classroom teacher employed by the district in the school year
  for which the allotment is provided as follows:
               (1)  if the district has 5,000 or fewer students
  enrolled for that school year, $10,000 per classroom teacher; and
               (2)  if the district has more than 5,000 students
  enrolled for that school year, $3,000 per classroom teacher.
         (c)  For the 2024-2025 school year, a school district shall
  use money received under Subsection (b) to increase the salary
  provided to each classroom teacher in the district for that year
  over the salary the teacher received or would have received if
  employed by the district in the 2023-2024 school year by at least
  the amount received per classroom teacher under Subsection (b).
         (d)  For the 2025-2026 and each subsequent school year, a
  school district shall use money received under Subsection (b) to
  maintain the salary increases for classroom teachers provided under
  Subsection (c). Any additional funding generated for a school
  district under this section may only be used for the compensation of
  classroom teachers employed by the district.
         (e)  Notwithstanding any other law, the commissioner shall
  exclude the funding to which a school district is entitled under
  this section for purposes of:
               (1)  determining the amount by which the district must
  reduce the district's tier one revenue level under Section 48.257;
  and
               (2)  calculating a school district's maintenance and
  operations revenue under Section 48.277(a).
         Sec. 48.311.  TEACHER RETENTION BONUS FOR 2023-2024 SCHOOL
  YEAR. (a) In this section, "classroom teacher" has the meaning
  assigned by Section 48.310.
         (b)  A school district is entitled to a one-time payment for
  each classroom teacher employed by the district during the
  2023-2024 school year in the following amount:
               (1)  if the district has 5,000 or fewer students
  enrolled for that school year, $10,000 per classroom teacher; and
               (2)  if the district has more than 5,000 students
  enrolled for that school year, $3,000 per classroom teacher.
         (c)  A school district shall use money received under
  Subsection (b) to provide a bonus payment in the amount received per
  classroom teacher under Subsection (b) to each classroom teacher in
  the district as part of the teacher's salary payment for December
  2023, if feasible, and if not feasible, then the district shall
  provide the bonus payment as part of the teacher's salary payment
  for the first month in which it is feasible. The bonus payment made
  under this subsection is in addition to the salary and wages to
  which the classroom teacher is otherwise entitled for the 2023-2024
  school year.
         (d)  Notwithstanding any other law, the commissioner shall
  exclude the funding to which a school district is entitled under
  this section for purposes of:
               (1)  determining the amount by which the district must
  reduce the district's tier one revenue level under Section 48.257;
  and
               (2)  calculating a school district's maintenance and
  operations revenue under Section 48.277(a).
         (e)  A bonus payment made under this section is included in
  salary and wages for service for purposes of Section 822.201,
  Government Code.
         (f)  This section expires September 1, 2024.
         SECTION 9.  Section 822.201(b), Government Code, is amended
  to read as follows:
         (b)  "Salary and wages" as used in Subsection (a) means:
               (1)  normal periodic payments of money for service the
  right to which accrues on a regular basis in proportion to the
  service performed;
               (2)  amounts by which the member's salary is reduced
  under a salary reduction agreement authorized by Chapter 610;
               (3)  amounts that would otherwise qualify as salary and
  wages under Subdivision (1) but are not received directly by the
  member pursuant to a good faith, voluntary written salary reduction
  agreement in order to finance payments to a deferred compensation
  or tax sheltered annuity program specifically authorized by state
  law or to finance benefit options under a cafeteria plan qualifying
  under Section 125 of the Internal Revenue Code of 1986, if:
                     (A)  the program or benefit options are made
  available to all employees of the employer; and
                     (B)  the benefit options in the cafeteria plan are
  limited to one or more options that provide deferred compensation,
  group health and disability insurance, group term life insurance,
  dependent care assistance programs, or group legal services plans;
               (4)  performance pay awarded to an employee by a school
  district as part of a total compensation plan approved by the board
  of trustees of the district and meeting the requirements of
  Subsection (e);
               (5)  the benefit replacement pay a person earns under
  Subchapter H, Chapter 659, except as provided by Subsection (c);
               (6)  stipends paid to teachers in accordance with
  former Section 21.410, 21.411, 21.412, or 21.413, Education Code;
               (7)  amounts by which the member's salary is reduced or
  that are deducted from the member's salary as authorized by
  Subchapter J, Chapter 659;
               (8)  a merit salary increase made under Section 51.962,
  Education Code;
               (9)  amounts received under the relevant parts of the
  educator excellence awards program under Subchapter O, Chapter 21,
  Education Code, or a mentoring program under Section 21.458,
  Education Code, that authorize compensation for service;
               (10)  salary amounts designated as health care
  supplementation by an employee under Subchapter D, Chapter 22,
  Education Code;
               (11)  to the extent required by Sections 3401(h) and
  414(u)(12), Internal Revenue Code of 1986, differential wage
  payments received by an individual from an employer on or after
  January 1, 2009, while the individual is performing qualified
  military service as defined by Section 414(u), Internal Revenue
  Code of 1986; [and]
               (12)  increased compensation paid to a teacher by a
  school district using funds received by the district under the
  teacher incentive allotment under Section 48.112, Education Code;
  and
               (13)  any increase in the payment of money made to a
  classroom teacher by a school district from funds allotted to the
  district under Section 48.310, Education Code.
         SECTION 10.  Section 18.78, Article IX, Chapter 1170 (H.B.
  1), Acts of the 88th Legislature, Regular Session, 2023 (the
  General Appropriations Act), is amended by adding Subsections (m)
  and (n) to read as follows:
         (m)  It is the intent of the legislature that money
  appropriated under Subsection (e) of this section be expended
  equally in each year of the 2024-25 fiscal biennium, not including
  any supplemental funds appropriated in 2025 for the same or a
  similar purpose.
         (n)  In addition to amounts appropriated elsewhere in this
  Act, TEA is appropriated $1,196,500,000 from general revenue to
  implement the provisions of S.B. 2, Acts of the 88th Legislature,
  3rd Called Session, 2023.  From the amount appropriated under this
  subsection, not more than:
               (1)  $400,000,000 may also be used for school safety
  and related purposes; and
               (2)  $796,500,000 may also be used for financial and
  other assistance to public school educators and/or the public
  school finance system.
         SECTION 11.  Sections 48.051(c), (c-1), (c-2), and (d),
  Education Code, are repealed.
         SECTION 12.  Immediately following the effective date of
  this Act, a school district or open-enrollment charter school shall
  redesignate a teacher who holds a designation made under Section
  21.3521, Education Code, before the effective date of this Act, to
  reflect the teacher's designation under Section 21.3521, Education
  Code, as amended by this Act. Funding provided to a school district
  under Section 48.112, Education Code, for a teacher who held a
  designation made under Section 21.3521, Education Code, as that
  section existed immediately before the effective date of this Act,
  shall be increased to reflect the teacher's redesignation under
  Section 21.3521, Education Code, as amended by this Act.
         SECTION 13.  (a)  Except as provided by Subsection (b) of
  this section, this Act applies beginning with the 2023-2024 school
  year.
         (b)  Section 48.310, Education Code, as added by this Act,
  applies beginning with the 2024-2025 school year.
         SECTION 14.  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 on the 91st day after the
  last day of the legislative session.
 
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