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A BILL TO BE ENTITLED
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AN ACT
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relating to a pilot program for outcomes-based contracts at public |
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schools. |
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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 29.913 to read as follows: |
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Sec. 29.913. OUTCOMES-BASED CONTRACTS PILOT PROGRAM. (a) |
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The agency shall establish a pilot program through which school |
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districts and open-enrollment charter schools, in contracting for a |
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good or service related to student outcomes, use a funding model |
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that ties compensation to measurable student outcomes, including |
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academic performance, graduation rates, and skill proficiency. |
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(b) The agency shall select at least five school districts |
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and open-enrollment charter schools to participate in the pilot |
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program. |
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(c) To be eligible to participate in the pilot program, a |
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school district or open-enrollment charter school must agree to |
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enter into a contract for a good or service related to student |
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outcomes that: |
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(1) requires the contracting entity to: |
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(A) meet clearly defined outcome targets related |
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to increased student achievement; and |
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(B) use best practices; |
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(2) includes specific, quantifiable performance |
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metrics used to assess the effectiveness of the good or service in |
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making progress toward outcome targets described by Subdivision |
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(1)(A); |
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(3) provides for a funding structure that includes |
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incentives for meeting or exceeding outcome targets described by |
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Subdivision (1)(A); and |
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(4) allows flexibility in the implementation of |
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educational strategies tailored to the unique needs of each student |
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served. |
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(d) From money appropriated or otherwise available for the |
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purpose, the agency shall award grants to school districts and |
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open-enrollment charter schools participating in the pilot |
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program. The amount of each grant must be correlated to the |
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achievement of outcome targets described by Subsection (c)(1)(A) in |
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each contract entered into under the pilot program. |
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(e) Not later than December 1, 2028, the agency shall submit |
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to the legislature a report on the results of the pilot program. |
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The report must include the agency's recommendation on whether the |
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pilot program should be expanded or continued on a statewide basis. |
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(f) The commissioner may adopt rules as necessary to |
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implement the pilot program. |
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(g) This section expires September 1, 2029. |
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SECTION 2. As soon as practicable but not later than six |
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months after the effective date of this Act, the Texas Education |
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Agency shall establish the pilot program required under Section |
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29.913, Education Code, as added by this Act. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2025. |