Less than three weeks--20 days remain in the 87th Regular Legislative Session.

The Senate Education Committee was expected to take up their version of HB 1525 (the "HB 3 Clean Up Bill") at their hearing yesterday afternoon. However, due to the many calls received about a limit on Formula Transition Grants being added to the bill, consideration was delayed. There are two important new provisions expected in the Senate version of the bill we expect Senator Larry Taylor (R-Friendswood) to propose about which you should be aware:

1) Beginning in the 2021-22 school year, Formula Transition Grant funding would be limited to not exceed $400 million per year statewide; grant amounts would be proportionally reduced for all districts if the total funding exceeds that amount.  

This is a retreat from the commitment made in HB 3. There are those in the Senate with unofficial runs prepared by TEA who say not many districts will be harmed by this limitation. However, it is important to remember that Commissioner Mike Morath testified before the Senate Education Committee on March 18, 2021, that during the 86th Legislative Session, TEA estimates showed that FTG funding would be $41 million, while the actual cost was $441 million. If a cap had been placed based on TEA estimates then, an awful lot of districts would have received significantly less from HB 3 than prior law. There is no reason to trust estimates now, and without the protection offered through the FTG as passed in HB 3 without a limit, districts could stand to lose funding. For more information on this topic, please see: Formula Transition Grant Prevents Funding Losses.

2) Language is expected to be added that allows the Commissioner to adjust school district and charter funding entitlements to ensure compliance with MOE and MOQ in federal legislation. This means district formula entitlements could be reduced. Further, beginning in the 2021-22 school year, schools will be required to reserve an amount of state and/or local FSP funding determined by TEA that must be maintained in reserve for use in 2024-2025 (amount to be determined, but in relation to how much federal ESSER funding is received by the district).  

While the federal law may prohibit the state from supplanting much of the funding, Senate leaders seem to think nothing prevents the from requiring schools to supplant the funding the state sends (or that local taxpayers contribute to schools).

Other provisions in the Senate committee substitute for HB 1525 include:

The committee substitute has not yet been adopted by the committee, but our section-by-section has bee updated to include a comparison of the version of the bill passed by the House and what we *think* will be proposed in the Senate Committee Substitute here: HB 1525 Section-by-Section.

More details to come. If you have thoughts to share on any of the provisions described above, please be in touch with your local Senator(s) as well as Chairman Larry Taylor at in the Senate Education Committee office at 512-463-0355 and the other members of the Senate Education Committee. Click here to look up contact info for your Senator.

The House Public Education Committee will meet this morning in a formal hearing to consider pending business (formal hearings are not broadcast). In fact, Committee Chairman Harold Dutton (D-Houston) has informed the committee that they will not have any more public hearings this session, so all remaining hearings will be formal hearings.

One of the pieces of pending business that could be considered this morning is SB 28 (Bettencourt/Dutton), which make charter school expansions easier and more available.

Last night, the House gave preliminary passage to:

Tomorrow the House is expected to give final passage to the bills described above and they will also take up and consider HB 547 (Frank), which would allow homeschooled students to participate in school district UIL activities.

The Senate Education Committee met yesterday and passed the following bills:

There were several bills filed related to the extension/reauthorization of Chapter 313 of the Tax Code, and now there is one that remains.

HB 4242 by Chairman Morgan Meyer (R-Dallas) would extend the program in current law for a period of two years. This bill was finally passed by the House on Saturday and has been received by the Senate.

HB 1556 by Chairman Jim Murphy (R-Houston), which would have reauthorized Chapter 313 for 10 years and make other reforms to the program, officially died on Monday. After many amendments were added to the bill against the author's wishes, he postponed consideration of the bill until after the conclusion of the legislative session, effectively killing the bill.

In May of a legislative session deadlines matter--especially in the Texas House, and sometimes even in the Senate. Monday, May 10, was the last day for a House bill to be reported out of the House. All but the final calendar for HBs--that of Thursday, May 13 have been set.

On Monday, the House did not make it halfway through their 8-page calendar (despite working until after 1:30 a.m.). The remaining pages of bills will be rolled over to Tuesday, making for a 14-page calendar, and so it goes. Given that pace, the likelihood that the House will make it through bills scheduled for Thursday is not high.

We're planning our first in-person gathering in over a year and we hope you will participate (either in-person or through our hybrid virtual option). Please mark your calendar for Wednesday, June 9, from 10:00 a.m. until 2:00 p.m. in Dallas at the DoubleTree by Dallas Love Field.

You can register via the link below to attend in person and also find the info you need to make hotel reservations for a discounted rate if you plan to stay overnight.

If you are not able to join us in person, but still want to join in on the fun, please click on the button below to register and attend virtually via Zoom.