89R13571 KJE-D
 
  By: Hinojosa of Nueces S.B. No. 2507
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to requiring that public schools spend a certain
  percentage of funding for direct instructional activities,
  including an indicator for that requirement under the public school
  financial accountability system.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 39.082(c), Education Code, is amended to
  read as follows:
         (c)  The system must [may not] include an indicator under
  Subsection (b) [or any other performance measure] that[:
               [(1)]  requires a school district to spend at least 60
  [65] percent [or any other specified percentage] of district
  operating funds for direct instructional activities as described by
  Section 44.0071 [purposes; or
               [(2)  lowers the financial management performance
  rating of a school district for failure to spend at least 65 percent
  or any other specified percentage of district operating funds for
  instructional purposes].
         SECTION 2.  The heading to Section 44.0071, Education Code,
  is amended to read as follows:
         Sec. 44.0071.  COMPUTATION OF INSTRUCTIONAL EXPENDITURES
  RATIO AND INSTRUCTIONAL EMPLOYEES RATIO; MINIMUM RATIO REQUIRED.
         SECTION 3.  Sections 44.0071(a) and (c), Education Code, are
  amended to read as follows:
         (a)  Each fiscal year, a school district shall compute and
  report to the commissioner:
               (1)  the percentage of the district's total
  expenditures for the preceding fiscal year that were used to fund
  direct instructional activities, which must be at least 60 percent;
  and
               (2)  the percentage of the district's full-time
  equivalent employees during the preceding fiscal year whose job
  function was to directly provide classroom instruction to students,
  determined by dividing the number of hours spent by employees in
  providing direct classroom instruction by the total number of hours
  worked by all district employees.
         (c)  For purposes of this section, the computation of a
  district's expenditures used to fund direct instructional
  activities shall include:
               (1)  the salary, including any associated employment
  taxes, and value of any benefits provided to any district employee
  who directly provided classroom instruction to students, but only
  in proportion to the percentage of time spent by the employee in
  directly providing classroom instruction to students;
               (2)  the cost for the purchase of instructional
  materials and supplies; 
               (3)  the cost of professional and technical services
  and the renting of educational equipment; and
               (4)  expenses relating to extracurricular and
  cocurricular activities.
         SECTION 4.  This Act applies beginning with the 2025-2026
  school year.
         SECTION 5.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2025.