SB 2, Hse 2nd Rdg, Amnd #1

(2) On page 2, line 16, between "program" and the underlined period, insert the following:

and has the authority to:

(1) execute contracts, agreements, and other instruments for goods and services;

(2) engage the services of private consultants, actuaries, trustees, records administrators, managers, and legal counsel for administrative and technical assistance; and

(3) perform any duty assigned to a certified educational assistance organization under this subchapter

(3) On page 3, line 18, strike "the 2026-2027" and substitute "each".

(4) On page 3, lines 25 and 26, strike "This subsection expires September 1, 2027.".

(5) On page 7, line 12, between "25.001" and the underlined semicolon, insert ", including if the child is a child of a parent who is an active duty member of the United States armed forces".

(6) On page 7, between lines 15 and 16, insert the following:

(a-1) A child's parent may establish proof of the child's residency in this state for purposes of verifying the child's eligibility to participate in the program under Subsection (a)(2) by submitting any of the following documents in the parent's name:

(2) a lease agreement or mortgage statement;

(3) a driver's license or state ID;

(4) a voter registration certificate;

(5) a letter from a government agency; or

(6) a notarized affidavit of residency.

(7) On page 13 as follows:

(A) on line 12, strike "and".

(B) on line 16, immediately following the underlined semicolon, add the following:

(C) the school has continuously operated a campus for at least two school years preceding the date the school seeks approval under this section;

(8) On page 23, lines 19 and 20, strike "Notwithstanding any other provision of this subchapter or other law, if" and substitute "If".

(9) On page 23, line 24, between "receive" and "an", insert ", in addition to other funding to which the district or school is entitled to receive for the child,".

(10) On page 25, line 14, strike "quarterly".

(11) On page 25, lines 15-16, strike "in equal amounts on or before the first day of July, October, January, and April." and substitute the following:

(1) not later than July 1, at least one-quarter of the total annual amount;

(2) not later than October 1, one-half of the total annual amount; and

(3) not later than April 1, the total remaining amount after the transfers under Subdivisions (1) and (2).

(12) On page 28, between lines 8 and 9, insert the following:

(d) The state auditor shall audit each certified educational assistance organization's compliance with the organization's duties to verify a child's eligibility to participate in the program under Section 29.355 and verify that a request for payment is for an approved expense under Section 29.360(c). Each organization shall submit to the state auditor documentation of:

(1) each item of residency documentation described by Section 29.355(a-1) reviewed by the organization;

(2) each preapproved education-related expense category reviewed by the organization under Section 29.360(c);

(3) the number of transactions approved by the organization; and

(4) the number of transactions denied by the organization.

(e) The state auditor may review and analyze individual transactions approved by a certified educational assistance organization.

(f) The state auditor shall randomly select 10 percent of program applications on which to perform an eligibility verification audit.

(g) Each education service provider shall provide to the state auditor proof of a third-party audit or financial review consistent with the provider's accreditation commission standards.

(13) On page 29, strike line 9 and substitute "applicable law if".

(14) On page 34, line 8, strike "and".

(15) On page 34, line 26, between "Guard" and the underlined period, insert the following:

(9) the dropout rate, expulsion rate, and graduation rate of participating children who are children with a disability, both aggregated and disaggregated by the child's:

(D) race or ethnicity; and

(E) category under Section 29.356(b)

(16) On page 35, between lines 11 and 12, insert the following:

(e) The comptroller shall provide the report, including assessment data, to the commissioner.

(f) The state auditor shall review and verify the validity of the contents of the comptroller's annual report required under this section. If the state auditor finds any discrepancies in the report, the state auditor may collect the data necessary to verify and audit the data from the comptroller, the applicable certified educational assistance organizations, and the applicable education service providers and vendors of educational products.

(17) On page 40, between lines 24 and 25, insert the following appropriately lettered subsection:

(____) The attorney general shall represent the state in any legal action brought that challenges the constitutionality or validity of all or any part of Subchapter J, Chapter 29, Education Code, as added by this Act.