Amend CSSB 1 (house committee printing) in Article III of the bill, following the appropriations to the Texas Education Agency (page III-3), by adding the following appropriately numbered rider:

____.  Study on the Financial and Operational Impact of Sustained Student Enrollment Declines. (a) Out of funds appropriated above, the Texas Education Agency, in consultation with school districts, regional education service centers, and school finance experts, shall conduct a study on the financial and operational impact on public schools of sustained student enrollment declines related to statewide and regional reductions in birth rates. The study must:

(1)  identify school districts that have experienced a 10-percent or greater decline in enrollment over the past five years;

(2)  analyze the impact of enrollment declines on school closures, staffing, facilities, and fixed costs;

(3)  assess whether current formula funding structures adequately financially support school districts in realigning district operations to account for changes due to sustained student enrollment declines; and

(4)  analyze the feasibility of temporary formula funding adjustments or transitional supports to allow for strategic right-sizing and fiscal stability for school districts.

(b)  Not later than December 1, 2027, the Texas Education Agency shall prepare and submit to the legislature a report on the results of the study conducted under Subsection (a) of this rider and any recommendations for legislative or other action.