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A BILL TO BE ENTITLED
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AN ACT
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relating to establishing the Rural Pathway Excellence Partnership |
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(R-PEP) program and creating an allotment and outcomes bonus under |
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the Foundation School Program to support the program. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter Z, Chapter 29, Education Code, is |
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amended by adding Section 29.912 to read as follows: |
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Sec. 29.912. RURAL PATHWAY EXCELLENCE PARTNERSHIP (R-PEP) |
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PROGRAM. (a) In this section, "program" means the Rural Pathway |
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Excellence Partnership (R-PEP) program. |
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(b) The commissioner shall establish and administer the |
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Rural Pathway Excellence Partnership (R-PEP) program to |
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incentivize and support multidistrict, cross-sector, rural college |
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and career pathway partnerships that expand opportunities for |
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underserved students to succeed in school and life while promoting |
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economic development in rural areas. |
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(c) The program must enable an eligible school district that |
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has fewer than 1,600 students in average daily attendance to |
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partner with at least one other school district located within a |
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distance of 100 miles to offer a broader array of robust college and |
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career pathways. Each partnership must: |
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(1) offer college and career pathways that align with |
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regional labor market projections for high-wage, high-demand |
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careers; and |
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(2) be managed by a coordinating entity that: |
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(A) has or will have at the time students are |
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served under the partnership the capacity to effectively coordinate |
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the partnership; |
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(B) has entered into a performance agreement |
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approved by the board of trustees of each partnering school |
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district that confers on the coordinating entity the same authority |
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with respect to pathways offered under the partnership provided to |
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an entity that contracts to operate a district campus under Section |
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11.174; |
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(C) is an eligible entity as defined by Section |
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12.101(a); and |
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(D) has on the entity's governing board as either |
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voting or ex officio members, or has on an advisory body, |
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representatives of each partnering school district and members of |
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regional higher education and workforce organizations. |
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(d) The performance agreement described by Subsection |
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(c)(2)(B) must: |
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(1) include ambitious and measurable performance |
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goals and progress measures tied to current college, career, and |
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military readiness outcomes and longitudinal postsecondary |
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completion and employment-related outcomes; |
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(2) allocate responsibilities for accessing and |
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managing progress and outcome information and annually publish that |
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information on the Internet website of each partnering district and |
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the coordinating entity; |
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(3) authorize the coordinating entity to optimize the |
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value of each college and career pathway offered through the |
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partnership by: |
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(A) determining scheduling; |
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(B) adding or removing a pathway; |
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(C) selecting and assigning pathway-specific |
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personnel; |
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(D) developing and exercising final approval of |
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pathway budgets, which must include at least 80 percent of the state |
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and local funding to which each partnering school district is |
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entitled under Chapter 48, including an allotment under Section |
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48.106 or 48.118 and an outcome bonus under Section 48.110 or |
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48.118; and |
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(E) determining any other matter critical to the |
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efficacy of the pathways; and |
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(4) provide that any eligible student enrolled in a |
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partnering school district may participate in a college or career |
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pathway offered through the partnership. |
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(e) An employee of a coordinating entity that manages a |
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partnership under the program is eligible for membership in and |
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benefits from the Teacher Retirement System of Texas if the |
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employee would be eligible for membership and benefits by holding a |
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similar position at a partnering school district. An employee is |
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eligible for membership under this subsection if a partnership |
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would be authorized to participate in the program, as determined by |
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the commissioner, but for the maximum expenditure established in |
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Section 48.118(f). |
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(f) A student enrolled in a college or career pathway |
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offered through a partnership under the program is not considered |
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for accountability purposes under Chapter 39 to have dropped out of |
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high school or failed to complete the curriculum requirements for |
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high school graduation until the sixth anniversary of the student's |
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first day in high school. |
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(g) A school district proposing to enter into a performance |
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agreement under this section shall notify the commissioner of the |
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district's intent to enter into the agreement. The commissioner |
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shall establish procedures for a district to notify the |
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commissioner, including establishing the period within which |
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notification is required before the school year in which the |
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proposed agreement would take effect, and to provide any additional |
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information required by the commissioner. |
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(h) In authorizing partnerships to participate in the |
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program, the commissioner shall give priority to partnerships in |
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which participating districts contract with a coordinating entity |
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that has at least two years' experience or employs an executive |
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officer with at least two years' experience managing college and |
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career pathways under a performance contract. |
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(i) Not later than the 60th day after the date the |
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commissioner receives notification of a proposed agreement and all |
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other information required by the commissioner, the commissioner |
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shall notify the school districts whether the proposed performance |
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agreement is approved and the partnering districts are authorized |
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for participation in the program. |
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(j) The commissioner shall make grants available for use by |
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a coordinating entity for a two-year period to assist with costs |
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associated with the planning, development, establishment, or |
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expansion, as applicable, of partnerships under the program using a |
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portion of state funds allocated under Section 48.118 as well as |
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money appropriated for that purpose, federal funds, and any other |
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funds available. The commissioner may award a grant only to a |
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coordinating entity that has entered into a performance agreement |
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approved under Subsection (i) or, if in the planning stage, has |
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entered into a memorandum of understanding to enter into a |
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performance agreement, unless the source of funds does not permit a |
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grant to the coordinating entity, in which case the grant shall be |
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made to a participating school district acting as fiscal agent. |
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Eligible use of grant funds shall include planning, development, |
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establishment, or expansion of partnerships under the program. The |
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commissioner may use not more than 15 percent of the money allocated |
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for the grants to cover the cost of administering grants awarded |
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under the program and to provide technical assistance and support |
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to partnerships under the program. |
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(k) The commissioner shall adopt rules as necessary to |
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implement this section, including rules establishing: |
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(1) requirements of a performance agreement between |
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participating districts and the coordinating entity; |
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(2) the period during which a partnership under the |
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program may operate after receiving commissioner approval and |
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before a renewal of commissioner authorization is required; and |
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(3) performance standards for a renewal of |
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commissioner authorization to participate in the program. |
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(l) This section does not prohibit an agreement between a |
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school district and another entity for the provision of services at |
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a district campus. |
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(m) The commissioner may accept gifts, grants, and |
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donations from any source, including private and nonprofit |
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organizations, for the program. A private or nonprofit |
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organization that contributes to the program may receive an award |
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under Section 7.113. |
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SECTION 2. Subchapter C, Chapter 48, Education Code, is |
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amended by adding Section 48.118 to read as follows: |
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Sec. 48.118. RURAL PATHWAY EXCELLENCE PARTNERSHIP (R-PEP) |
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ALLOTMENT AND OUTCOMES BONUS. (a) For each full-time equivalent |
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student in average daily attendance in grades 9 through 12 in a |
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college or career pathway offered through a partnership under the |
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Rural Pathway Excellence Partnership (R-PEP) program under Section |
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29.912, a school district is entitled to an allotment equal to the |
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basic allotment, or, if applicable, the sum of the basic allotment |
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and the allotment under Section 48.101 to which the district is |
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entitled, multiplied by: |
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(1) 1.15 if the student is educationally |
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disadvantaged; or |
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(2) 1.11 if the student is not educationally |
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disadvantaged. |
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(b) Each year, the commissioner shall determine for each |
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school district the minimum number of annual graduates of a college |
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or career pathway described by Subsection (a) in each cohort |
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described by Section 48.110(b) who would have to obtain not later |
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than five years after high school graduation a postsecondary |
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credential of value, as determined by the Texas Higher Education |
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Coordinating Board based on analyses of wages and costs associated |
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with the credential, including a degree, certificate, or other |
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credential from credit and noncredit programs that equip students |
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for continued learning and greater earnings in the state economy, |
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in order for the district to qualify for an outcomes bonus under |
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Subsection (c). |
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(c) In addition to the allotment under Subsection (a), for |
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each annual graduate in a cohort described by Subsection (b) who |
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obtains a postsecondary credential of value in excess of the |
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minimum number of students determined for the applicable district |
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cohort under Subsection (b), a school district is entitled to an |
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annual outcomes bonus of: |
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(1) if the annual graduate is educationally |
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disadvantaged, $1,500; |
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(2) if the annual graduate is not educationally |
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disadvantaged, $750; and |
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(3) if the annual graduate is enrolled in a special |
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education program under Subchapter A, Chapter 29, $1,500, |
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regardless of whether the annual graduate is educationally |
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disadvantaged. |
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(d) A school district is entitled to an outcomes bonus under |
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each subdivision in Subsection (c) for which an annual graduate |
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qualifies. |
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(e) A school district may receive funding for a student |
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under this section and any other section for which the student |
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qualifies. At least 80 percent of funds allocated under this |
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section must be spent as provided in the budget adopted by the board |
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of the coordinating entity. |
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(f) The total amount of state funding for allotments and |
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outcomes bonuses under this section may not exceed $5 million per |
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year. |
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SECTION 3. Section 29.912, Education Code, as added by this |
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Act, applies beginning with the 2023-2024 school year. |
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SECTION 4. (a) Except as provided by Subsection (b) of this |
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section, this Act takes effect immediately if it receives a vote of |
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two-thirds of all the members elected to each house, as provided by |
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Section 39, Article III, Texas Constitution. If this Act does not |
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receive the vote necessary for immediate effect, this Act takes |
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effect September 1, 2023. |
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(b) Section 48.118, Education Code, as added by this Act, |
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takes effect September 1, 2023. |
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