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A BILL TO BE ENTITLED
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AN ACT
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relating to an annual adjustment to the basic allotment under the |
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Foundation School Program to reflect inflation. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 48.051, Education Code, is amended by |
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amending Subsection (a) and adding Subsections (a-1), (a-2), and |
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(a-3) to read as follows: |
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(a) Subject to adjustment under Subsection (a-1) , for [For] |
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each student in average daily attendance, not including the time |
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students spend each day in special education programs in an |
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instructional arrangement other than mainstream or career and |
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technology education programs, for which an additional allotment is |
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made under Subchapter C, a district is entitled to an allotment |
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equal to the lesser of $7,500 [$6,160] or the amount that results |
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from the following formula: |
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A = $7,500 [$6,160] X TR/MCR |
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where: |
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"A" is the allotment to which a district is entitled; |
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"TR" is the district's tier one maintenance and operations |
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tax rate, as provided by Section 45.0032; and |
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"MCR" is the district's maximum compressed tax rate, as |
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determined under Section 48.2551. |
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(a-1) Subject to Subsection (a-3), beginning with the |
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2026-2027 school year, the basic allotment provided to a district |
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under Subsection (a) or (b) is adjusted annually to increase the |
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allotment by the lesser of: |
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(1) three percent of the amount of the allotment for |
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the preceding school year; or |
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(2) the amount that results from applying the |
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inflation rate, as determined by the comptroller on the basis of |
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changes in the Consumer Price Index for All Urban Consumers |
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published by the Bureau of Labor Statistics of the United States |
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Department of Labor, to the allotment for the preceding school |
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year. |
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(a-2) If the inflation rate for a school year is less than |
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zero, the inflation rate to be used for purposes of Subsection (a-1) |
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is zero. |
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(a-3) The legislature in the General Appropriations Act may |
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provide for a lesser amount than the amount determined under |
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Subsection (a-1), provided that the amount is equal to or greater |
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than the amount provided under Subsection (a). |
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SECTION 2. Section 48.202(a-1), Education Code, is amended |
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to read as follows: |
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(a-1) For purposes of Subsection (a), the dollar amount |
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guaranteed level of state and local funds per weighted student per |
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cent of tax effort ("GL") for a school district is: |
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(1) the greater of the amount of district tax revenue |
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per weighted student per cent of tax effort available to a school |
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district at the 96th percentile of wealth per weighted student or |
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the amount that results from multiplying $7,500 [6,160], or the |
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greater amount provided under Section 48.051(a-1) or (b) |
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[48.051(b)], if applicable, by 0.016, for the first eight cents by |
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which the district's maintenance and operations tax rate exceeds |
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the district's tier one tax rate; and |
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(2) subject to Subsection (f), the amount that results |
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from multiplying $7,500 [$6,160], or the greater amount provided |
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under Section 48.051(a-1) or (b) [48.051(b)], if applicable, by |
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0.008, for the district's maintenance and operations tax effort |
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that exceeds the amount of tax effort described by Subdivision (1). |
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SECTION 3. This Act takes effect September 1, 2025. |