82R880 GCB-D By: Menendez H.J.R. No. 91 A JOINT RESOLUTION proposing a constitutional amendment dissolving the State Board of Education and creating the Texas Education Commission. BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Article VII, Texas Constitution, is amended by adding Sections 8a and 8b to read as follows: Sec. 8a. (a) The State Board of Education is dissolved and the members of the board are relieved of board duties on the effective date of this section. (b) The commissioner of education shall assume the powers and duties of the State Board of Education from the date the board is dissolved until the date the Texas Education Commission created under Section 8b of this article holds its first meeting. (c) This section expires September 1, 2013. Sec. 8b. (a) The Texas Education Commission is composed of 15 members appointed by the governor with the advice and consent of the senate as follows: (1) nine members who reside one each in the nine counties of this state with the greatest population, according to the last preceding federal decennial census; (2) four members who reside in areas of this state designated as rural communities by the United States Department of Agriculture; and (3) two members who reside in this state. (a-1) The governor may begin to nominate the initial members of the commission beginning October 1, 2012. The governor shall nominate all 15 initial members not later than January 1, 2013. After nominees are confirmed by the senate, the initial members shall determine by lot which members serve two-year terms and which serve four-year terms, with as close to one-half of the total number of members as possible serving terms of each length. This subsection expires September 1, 2013. (b) To be eligible to serve as a member of the commission, a person must have: (1) 10 or more years' experience as a public school educator, school board member, chief executive officer, or investment banker; (2) 10 or more years' experience working in a financial institution or the field of securities and exchange; or (3) a professional background that the senate determines is equivalent to the experience described by Subdivision (1) or (2) of this subsection. (c) Members of the commission serve staggered four-year terms with the terms of seven or eight members, as applicable, expiring December 31 of each even-numbered year. A person may not serve more than two terms as a member of the commission. (d) The governor shall nominate for confirmation by the senate a person to fill each regularly occurring vacancy on the commission not later than January 1 of each odd-numbered year. If the senate fails to confirm the person during the regular legislative session that immediately follows the date of appointment, the position remains vacant until the person or an alternate person nominated by the governor is confirmed by the senate during a subsequent regular or called legislative session. The governor may also nominate for confirmation by the senate a person to fill any vacancy on the commission not later than the fifth day of a called legislative session. If the senate fails to confirm the person during that session, the position remains vacant as described above. A person may not in any circumstance act as a member of the commission until the person has been confirmed by the senate and may not serve beyond the expiration of the term for which appointed unless the person is reappointed and reconfirmed. To the extent this subsection conflicts with Section 12, Article IV, or Section 17, Article XVI, of this constitution, this subsection prevails. (e) If, following a federal decennial census, a county that was among the nine counties with the greatest population under the preceding census ceases to rank among the nine largest counties: (1) the member representing the county vacates the member's office on the date the secretary of state receives the official census data; (2) as soon as practicable after the date the secretary of state receives the official census data, the governor shall nominate to serve on the commission a person who resides in the county that is newly among the nine largest counties; and (3) if confirmed by the senate, the person nominated under Subdivision (2) of this subsection serves for the remainder of the term for which the member described by Subdivision (1) of this subsection was appointed. (f) Not later than January 1 of each odd-numbered year, the governor, with the advice and consent of the senate, shall appoint the chair from among the membership of the commission. The chair serves a term of two years. (g) Not later than January 1 of each odd-numbered year, the members of the commission shall elect from among the membership of the commission a person to serve as vice chair for a term of two years. (h) The members of the commission shall appoint an executive director to exercise the powers and perform the duties previously exercised and performed by the commissioner of education. A reference in general law to the commissioner of education means the executive director appointed under this subsection. The executive director serves at the pleasure of the commission. (i) The commission shall carry out the commission's powers and duties with the advice and assistance of the executive director. (j) The commission may perform only those duties assigned to the commission by this constitution or as provided by the legislature. A reference in general law to the State Board of Education means the commission created under this section. (k) The commission shall hold four meetings a year in Austin, Texas, on dates determined by the chair and may hold other meetings as may be called by the chair. At the commission's first regular meeting after March 1 of an odd-numbered year, the commission shall organize, adopt rules of procedure, and elect a secretary. (l) The commission shall develop and implement policies that provide the public with a reasonable opportunity to appear before the commission and to speak on any issue under the jurisdiction of the commission. SECTION 2. Section 3(b), Article VII, Texas Constitution, is amended to read as follows: (b) It shall be the duty of the Texas Education Commission [State Board of Education] to set aside a sufficient amount of available funds to provide free text books for the use of children attending the public free schools of this State. SECTION 3. Section 4, Article VII, Texas Constitution, is amended to read as follows: Sec. 4. The lands herein set apart to the Public Free School fund, shall be sold under such regulations, at such times, and on such terms as may be prescribed by law; and the Legislature shall not have power to grant any relief to purchasers thereof. The proceeds of such sales must be used to acquire other land for the Public Free School fund as provided by law or the proceeds shall be invested by the comptroller of public accounts, as may be directed by the Texas Education Commission [Board of Education] herein provided for, in the bonds of the United States, the State of Texas, or counties in said State, or in such other securities, and under such restrictions as may be prescribed by law; and the State shall be responsible for all investments. SECTION 4. Sections 5(a) and (f), Article VII, Texas Constitution, are amended to read as follows: (a) The permanent school fund consists of all land appropriated for public schools by this constitution or the other laws of this state, other properties belonging to the permanent school fund, and all revenue derived from the land or other properties. The available school fund consists of the distributions made to it from the total return on all investment assets of the permanent school fund, the taxes authorized by this constitution or general law to be part of the available school fund, and appropriations made to the available school fund by the legislature. The total amount distributed from the permanent school fund to the available school fund: (1) in each year of a state fiscal biennium must be an amount that is not more than six percent of the average of the market value of the permanent school fund, excluding real property belonging to the fund that is managed, sold, or acquired under Section 4 of this article, on the last day of each of the 16 state fiscal quarters preceding the regular session of the legislature that begins before that state fiscal biennium, in accordance with the rate adopted by: (A) the Texas Education Commission [a vote of two-thirds of the total membership of the State Board of Education, taken] before the regular session of the legislature convenes; or (B) the legislature by general law or appropriation, if the Texas Education Commission [State Board of Education] does not adopt a rate as provided by Paragraph (A) of this subdivision; and (2) over the 10-year period consisting of the current state fiscal year and the nine preceding state fiscal years may not exceed the total return on all investment assets of the permanent school fund over the same 10-year period. (f) Notwithstanding any other provision of this constitution, in managing the assets of the permanent school fund, the Texas Education Commission [State Board of Education] may acquire, exchange, sell, supervise, manage, or retain, through procedures and subject to restrictions it establishes and in amounts it considers appropriate, any kind of investment[, including investments in the Texas growth fund created by Article XVI, Section 70, of this constitution,] that persons of ordinary prudence, discretion, and intelligence, exercising the judgment and care under the circumstances then prevailing, acquire or retain for their own account in the management of their affairs, not in regard to speculation but in regard to the permanent disposition of their funds, considering the probable income as well as the probable safety of their capital. SECTION 5. Section 8, Article VII, Texas Constitution, is repealed. SECTION 6. This proposed constitutional amendment shall be submitted to the voters at an election to be held November 8, 2011. The ballot shall be printed to permit voting for or against the proposition: "The constitutional amendment dissolving the elected State Board of Education and creating an appointed Texas Education Commission."