BILL ANALYSIS

Senate Research Center	H.B. 27
	By: King; Garcia, Linda (Flores)
	Education K-16
	5/16/2025
	Engrossed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

Currently, our students are not required to have personal financial literacy instruction besides what is merely briefed in our TEKS or offered as an elective, denying them critical knowledge of finances they should know for the success of their futures, careers, families, or their potential ventures into higher education.

This bill seeks to provide required instruction on personal financial literacy in high school by replacing the current one-half credit requirement in economics with one-half credit in personal financial literacy. Economics would then become a full-credit option for students to take among world geography and world history to satisfy social studies credit requirements or to be taken as an elective. Additionally, the State Board of Education may develop an advanced placement course that may fulfill the personal financial literacy course requirement. Equipping students with valuable instruction on personal finances would afford them the opportunity to be financially secure and autonomous as they enter adulthood.

H.B. 27 amends current law relating to courses in personal financial literacy for high school students in public schools.

RULEMAKING AUTHORITY

Rulemaking authority previously granted to the State Board of Education is modified in SECTION 1 (Section 28.025, Education Code) of this bill.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 28.025, Education Code, by amending Subsections (b-1) and (b-23) and adding Subsection (b-24), as follows:

(b-1) Requires the State Board of Education (SBOE) by rule to require that the curriculum requirements for the foundation high school program under Subsection (a) (relating to requiring SBOE by rule to determine curriculum requirements) include a requirement that students successfully complete certain education credits, including three credits in social studies under Section 28.002(a)(1)(D) (relating to requiring certain school districts to offer a foundation curriculum that includes social studies), including one credit in United States history, at least one-half credit in government and at least one-half credit in personal financial literacy, rather than economics or personal financial literacy & economics, and one credit in economics, world geography, or world history. Makes nonsubstantive changes.

(b-23) Makes conforming changes to this subsection.

(b-24) Requires SBOE, in adopting rules under Subsection (b-1), to allow a student to comply with the curriculum requirement under Subsection (b-1)(4) (relating to requiring SBOE to require the curriculum requirements for a certain high school program include a requirement that a student complete certain social studies credits) for a one-half credit in personal financial literacy by successfully completing an advanced placement course designated by SBOE as containing substantively similar and rigorous academic content.

SECTION 2.� Repealer: Section 28.025(b-22) (relating to requiring SBEC to ensure that a personal financial literacy & economics course meets certain criteria), Education Code.

SECTION 3. Provides that Section 28.025(b-1), Education Code, as amended by this Act, applies only to students entering the ninth grade during the 2025�2026 school year or a later school year. Provides that for students entering a grade above ninth grade during the 2025�2026 school year, Section 28.025(b-1), Education Code, as that section existed before amendment by this Act, applies, and that section is continued in effect for that purpose.

SECTION 4. Provides that this Act applies beginning with the 2025�2026 school year.

SECTION 5. Effective date: upon passage or September 1, 2025.