88R25712 DIO-F By: Gates, Harris of Anderson, Burrows, H.B. No. 2615 Canales, Allen, et al. Substitute the following for H.B. No. 2615: By: Buckley C.S.H.B. No. 2615 A BILL TO BE ENTITLED AN ACT relating to the operation by a school district of a foundation and trade diploma program to provide eligible high school students with educational training under a plan for the issuance of a high school diploma and the application of certain student-based allotments under the public school finance system. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: ARTICLE 1. FOUNDATION AND TRADE DIPLOMA PROGRAMS SECTION 1.01. Subtitle F, Title 2, Education Code, is amended by adding Chapter 30B to read as follows: CHAPTER 30B. FOUNDATION AND TRADE DIPLOMA PROGRAMS Sec. 30B.001. DEFINITION. In this chapter, "board" means the State Board of Education. Sec. 30B.002. PURPOSE. The purpose of a foundation and trade diploma program operated under this chapter and authorized as a campus or campus program under Subchapter C, Chapter 12, is to provide public education to high school students: (1) whose educational needs are better served by tailored education and training; and (2) for whom a P-TECH program established under Subchapter N, Chapter 29, is not academically appropriate or would not provide adequate opportunities. Sec. 30B.003. FOUNDATION AND TRADE DIPLOMA PROGRAM. (a) Each foundation and trade diploma program authorized under Subchapter C, Chapter 12, and operating under this chapter shall offer students who reside in the district a program that is: (1) aligned with mathematics, English language, and other skills and content adequate for the foundation and trade diploma program, including essential knowledge and skills in English language arts, mathematics, science, and social studies; (2) designed to allow students to satisfy requirements related to: (A) industry-recognized credentials and certificates included in the inventory required by Section 312.003, Labor Code; or (B) industry-defined and industry-recognized skill standards developed under Section 2308.109, Government Code; and (3) tailored to serve as an entry point to high-wage and high-growth jobs and industries as determined by the agency. (a-1) In determining high-wage and high-growth jobs and industries under Subsection (a)(3), the agency shall consider: (1) the average salary or wages and available work opportunities for the applicable career, based on valid and reliable data; and (2) to the extent feasible, the variety of opportunities available to foundation and trade diploma students. (b) The board shall require the successful completion of 24 credits, as provided by Subsection (c), for graduation and the issuance of a foundation and trade diploma under Section 30B.004. (c) Before the issuance to a student of a foundation and trade diploma, the board shall require the successful completion of: (1) one credit in English I; (2) one credit in English II; (3) one credit in Algebra I; (4) one additional mathematics credit; (5) one credit in biology; (6) one additional science credit; (7) one credit in United States history; (8) one credit in a course providing instruction regarding the relationship between business and the federal government; (9) one credit in physical education; (10) one credit in a language course in a language other than English; (11) one credit in fine arts; (12) one credit in a course that provides instruction in basic knowledge and skills necessary to successfully run an independent business; (13) one credit in a course that provides instruction in basic knowledge and skills necessary to develop entrepreneurship; (14) one credit in a course that provides instruction regarding financial education; (15) nine credits in career and technical education courses related to industry-defined and industry-recognized skill standards developed under Section 2308.109, Government Code; and (16) one credit for an internship of no less than 120 hours in a job or industry approved by the board. (d) In providing curriculum requirements described by Subsection (c)(15) the board may only require career and technical education courses in: (1) computer programming and software development; (2) cybersecurity; (3) plumbing and pipefitting; (4) electricity; (5) welding; (6) diesel and heavy equipment; (7) aviation maintenance; (8) applied agricultural engineering; (9) heating, ventilation, and air conditioning; (10) property management; and (11) residential construction. (e) In providing the curriculum requirements under Subsection (c), the board may not require curriculum based on essential knowledge and skills identified for a course of instruction intended for students enrolled in a P-TECH program established under Subchapter N, Chapter 29. The curriculum requirements under Subsection (c) may only be based on essential knowledge and skills identified by the board and described by Subsection (a)(1). (f) The board by rule shall provide curriculum standards for the courses described by Subsection (c). The agency shall provide support to the board in establishing curriculum requirements under that subsection. (g) In offering a foundation and trade diploma program under this chapter, a school district may form partnerships between the district and public junior colleges, public technical institutes, public state colleges, and any other public postsecondary institutions in this state offering academic or technical education or training under a certificate program or an associate degree program. (h) A school district may use state funding received under Chapter 48 that is available for the purpose to pay tuition costs for district students enrolled in the district's foundation and trade diploma program and receiving academic or technical education or training from a college or institution under a partnership entered into under Subsection (g). Sec. 30B.004. FOUNDATION AND TRADE HIGH SCHOOL DIPLOMA. Notwithstanding any other law, agency rule, or school district policy, a student enrolled in a district's foundation and trade diploma program is entitled to receive a high school diploma from the district if the student: (1) successfully completes the required curriculum established by the board under Section 30B.003; (2) satisfies any other high school graduation requirements provided by commissioner rule for students obtaining a high school diploma under the district's foundation and trade diploma program; and (3) either: (A) achieves satisfactory performance on each end-of-course assessment instrument administered to the student under Section 39.023(c); or (B) is determined to be qualified to graduate by the student's individual graduation committee established under Section 28.0258 for the student by the district operating the foundation and trade diploma program. Sec. 30B.005. ENROLLMENT ELIGIBILITY. A student is eligible to enroll in a school district's foundation and trade diploma program if: (1) the district has received the form indicating informed consent for the student under Section 30B.006; and (2) the student attends a high school campus of the district and has completed the student's 10th grade year. Sec. 30B.006. INFORMED CONSENT. (a) Before a student may enroll in a school district's foundation and trade diploma program, the student and the student's parent, guardian, or other person standing in parental relation to the student must be advised by a school counselor concerning: (1) specific benefits of graduating under the foundation high school program established under Section 28.025; (2) specific benefits of graduating under a foundation and trade diploma program with a diploma and earning industry-recognized credentials through the program; (3) the differences between the curriculum requirements for obtaining a diploma under a foundation and trade diploma program and the curriculum requirements for obtaining a diploma under the foundation high school program, including specific foundation high school program courses that will be replaced by foundation and trade diploma program courses; and (4) the number of additional credits that may be required to graduate under the foundation high school program if the student chooses to cease participation in a foundation and trade diploma program and resume participation in the foundation high school program. (b) After receiving the required counseling described by Subsection (a), the student's parent, guardian, or other person standing in parental relation to the student may provide written permission for the student to enroll in the school district's foundation and trade diploma program, on a form adopted by the agency, to the school counselor. Sec. 30B.007. ASSESSMENT INSTRUMENTS. (a) A school district may adopt and administer assessment instruments necessary for a student enrolled in the district's foundation and trade diploma program to earn an industry-recognized license, credential, or certificate. (b) A student enrolled in a district's foundation and trade diploma program shall be administered the end-of-course assessment for each secondary level course in which the student enrolls that is listed in Section 39.023(c), as provided by that section. (c) The commissioner may not waive the application of Subsection (b) under Section 7.056 or any other law. This subsection does not prohibit the commissioner from waiving the administration of assessment instruments otherwise required to be administered to students under federal law in accordance with waiver authority granted to the commissioner by the United States Department of Education. Sec. 30B.008. REIMBURSEMENT FOR CERTAIN EXAMS. (a) Subject to Subsection (b), a student enrolled in a school district's foundation and trade diploma program is entitled to reimbursement from the district for the cost paid by the student for an exam administered under Section 30B.007 that qualifies the student for an industry-recognized license, credential, or certificate. (b) A student may receive reimbursement under this section for the cost paid for one examination in each school year. Sec. 30B.009. ACHIEVEMENT INDICATORS. (a) The commissioner shall adopt a set of achievement indicators for school district students enrolled in a district's foundation and trade diploma program based on recommendations provided by the Texas Workforce Investment Council. (b) The achievement indicators adopted by the commissioner must measure outcomes for a school district's foundation and trade diploma program with respect to: (1) preparing students for success in: (A) achieving industry-recognized licenses, credentials, and certificates; (B) training in postsecondary occupational programs; and (C) entering the workforce; (2) reducing outcome differentials among students from different racial and ethnic groups and socioeconomic backgrounds; and (3) informing parents and employers regarding the performance of school district foundation and trade diploma programs and students who enroll in those programs. (c) Each school district that operates a foundation and trade diploma program under this chapter shall submit to the commissioner all relevant information the commissioner determines necessary to evaluate the district's foundation and trade diploma program based on the achievement indicators adopted under this section. (c-1) Each year, the commissioner shall determine for each foundation and trade diploma program operated under this chapter a cohort to evaluate the implementation and effectiveness of the foundation and trade diploma program. (d) The commissioner shall annually publish a report on the performance of foundation and trade diploma programs operated under this chapter based on the achievement indicators and the evaluation of the cohorts established under Subsection (c-1). Sec. 30B.010. MINIMUM INSTRUCTOR QUALIFICATIONS. (a) A person employed by a school district as a foundation and trade diploma program instructor must have demonstrated subject matter expertise related to the subject taught, including: (1) professional work experience; (2) formal training and education; (3) holding a relevant, active, industry-recognized license, credential, or certificate; or (4) any combination of Subdivisions (1), (2), and (3). (b) A person employed by a school district as a foundation and trade diploma program instructor must have received at least 20 hours of classroom management training as determined by the board of trustees of the district. Sec. 30B.011. MEMBERSHIP IN TEACHER RETIREMENT SYSTEM OF TEXAS. A school district employee who provides services under the district's foundation and trade diploma program and qualifies for membership in the Teacher Retirement System of Texas shall be covered under the system to the same extent another qualified employee of a school district is covered. Sec. 30B.012. BUSINESS AND INDUSTRY PARTNERSHIPS. (a) To ensure students have sufficient opportunities to participate in apprenticeship training programs and other workplace-based education, a school district operating a foundation and trade diploma program under this chapter may partner with: (1) private sector businesses; and (2) institutions of higher education that offer workforce development training programs that culminate in the attainment of an industry-recognized certification upon satisfactory completion, including Texas State Technical College. (b) A partnership under Subsection (a) may allow for the use of the partnering entity's facilities for purposes of a foundation and trade diploma program operated under this chapter. (c) A school district may sponsor apprenticeship training programs under Chapter 133 for students enrolled in the district's foundation and trade diploma program. Sec. 30B.013. LIMITATION ON CAREER AND TECHNOLOGY EDUCATION ALLOTMENT. For each student enrolled in a school district's foundation and trade diploma program, the district's entitlement to the career and technology education allotment under Section 48.106 is limited to the amount determined by the commissioner for a campus designated as a P-TECH school, in accordance with Subsection (a-1) of that section. Sec. 30B.0131. APPLICATION TO CERTAIN GRANT PROGRAM. (a) A school district operating a foundation and trade diploma program under this chapter may apply to the grant program established under Section 29.556 in the same manner a school district that implements or seeks to implement a P-TECH program may apply to the grant program under that section. (b) Funds obtained under Subsection (a) may only be used for the purposes described by Section 30B.003(h). Sec. 30B.014. STUDY ON IMPLEMENTATION AND EFFECTIVENESS OF FOUNDATION AND TRADE DIPLOMA PROGRAMS. (a) The board shall conduct an annual study on the implementation and effectiveness of foundation and trade diploma programs operated under this chapter. (b) Not later than December 31 of each year, the board shall submit to the legislature and the special committee established under Section 30B.015 a report on the results of the study and any recommendations for legislative or other action. (c) The agency shall provide support to the board in conducting the study under Subsection (a). Sec. 30B.015. LEGISLATIVE OVERSIGHT COMMITTEE. (a) The legislative oversight committee on foundation and trade diploma programs is composed of six members as follows: (1) three members of the senate appointed by the lieutenant governor; and (2) three members of the house of representatives appointed by the speaker of the house of representatives. (b) The committee shall: (1) meet at least twice a year; and (2) receive the report issued under Section 30B.014 and any other information regarding the implementation and effectiveness of the foundation and trade diploma programs operated under this chapter, including information regarding rules relating to foundation and trade diploma programs adopted or proposed for adoption by the board. (c) The committee may request reports and other information from the agency, the board, or a school district relating to the operation of foundation and trade diploma programs under this chapter. (d) The committee shall review specific recommendations for legislation related to this chapter that are contained in the report submitted under Section 30B.014 or that are otherwise proposed by the agency, the board, a school district, or relevant stakeholders. (e) The committee shall monitor the operation of the foundation and trade diploma programs under this chapter with emphasis on the manner of implementation and effectiveness of the programs to achieve the purpose described by Section 30B.002. (f) Not later than December 31 of each even-numbered year, the committee shall file a report with the governor, lieutenant governor, and speaker of the house of representatives. (g) The report under Subsection (f) must include a description of any problems identified by the committee with respect to the implementation and effectiveness of foundation and trade diploma programs operated under this chapter and the committee's recommendations regarding proposed legislative actions to address those problems. ARTICLE 2. OPERATION OF FOUNDATION AND TRADE DIPLOMA PROGRAM AS CAMPUS OR CAMPUS PROGRAM SECTION 2.01. Section 12.056, Education Code, is amended by adding Subsection (c) to read as follows: (c) Notwithstanding Subsection (b), requirements related to high school graduation under Section 28.025 do not apply to the issuance of a diploma under a foundation and trade diploma program under Chapter 30B operated as a campus or campus program under this subchapter if the program is administered in accordance with Chapter 30B and any applicable rules adopted by the agency or the State Board of Education under that chapter. SECTION 2.02. Section 28.016(b), Education Code, is amended to read as follows: (b) The instruction must include information regarding: (1) the creation of a high school personal graduation plan under Section 28.02121; (2) the distinguished level of achievement described by Section 28.025(b-15); (3) each endorsement described by Section 28.025(c-1); (4) college readiness standards; [and] (5) potential career choices and the education needed to enter those careers; and (6) programs of study offered through a foundation and trade diploma program under Chapter 30B operated as a campus or campus program under Subchapter C, Chapter 12. SECTION 2.03. Section 29.182(b), Education Code, is amended to read as follows: (b) The state plan must include procedures designed to ensure that: (1) all secondary and postsecondary students have the opportunity to participate in career and technology education programs; (2) the state complies with requirements for supplemental federal career and technology education funding; (3) career and technology education is established as a part of the total education system of this state and constitutes an option for student learning that provides a rigorous course of study consistent with the required curriculum under Section 28.002 and under which a student may receive specific education in a career and technology program that: (A) incorporates competencies leading to academic and technical skill attainment; (B) leads to: (i) an industry-recognized license, credential, or certificate; or (ii) at the postsecondary level, an associate or baccalaureate degree; (C) includes opportunities for students to earn college credit for coursework; [and] (D) includes, as an integral part of the program, participation by students and teachers in activities of career and technical student organizations supported by the agency and the State Board of Education; and (E) includes the opportunity for students to participate in a foundation and trade diploma program under Chapter 30B operated as a campus or campus program under Subchapter C, Chapter 12; and (4) a school district provides, to the greatest extent possible, to a student participating in a career and technology education program opportunities to enroll in dual credit courses designed to lead to a degree, license, or certification as part of the program. ARTICLE 3. APPLICATION OF CERTAIN STUDENT-BASED ALLOTMENTS REGARDING FOUNDATION AND TRADE DIPLOMA PROGRAM STUDENTS SECTION 3.01. Section 48.106, Education Code, is amended by amending Subsections (a) and (c) and adding Subsection (a-2) to read as follows: (a) Subject to Subsection (a-2), for [For] each full-time equivalent student in average daily attendance in an approved career and technology education program in grades 7 through 12, a district is entitled to an annual allotment equal to the basic allotment, or, if applicable, the sum of the basic allotment and the allotment under Section 48.101 to which the district is entitled, multiplied by: (1) 1.1 for a full-time equivalent student in career and technology education courses not in an approved program of study; (2) 1.28 for a full-time equivalent student in levels one and two career and technology education courses in an approved program of study, as identified by the agency; and (3) 1.47 for a full-time equivalent student in levels three and four career and technology education courses in an approved program of study, as identified by the agency. (a-2) For each full-time equivalent student in average daily attendance in a foundation and trade diploma program operated under Chapter 30B and authorized under Subchapter C, Chapter 12, only the first 10 hours of instructional hours provided to those students under the program each week qualify toward the district's entitlement to the allotment under Subsection (a)(1), and the commissioner shall proportionately reduce the amount of the entitlement accordingly to an amount that reflects the limitation on qualified instructional hours per week using a method adopted by the commissioner. (c) At least 65 [55] percent of the funds allocated under this section must be used in providing career and technology education programs in grades 7 through 12. SECTION 3.02. Sections 48.110(b), (f), and (h), Education Code, are amended to read as follows: (b) For purposes of the outcomes bonus under this section, the commissioner shall determine the threshold percentage as provided by Subsection (g) for college, career, or military readiness as described by Subsection (f) for each of the following cohorts: (1) annual graduates who are educationally disadvantaged; (2) annual graduates who are not educationally disadvantaged; [and] (3) annual graduates who are enrolled in a special education program under Subchapter A, Chapter 29, regardless of whether the annual graduates are educationally disadvantaged; and (4) annual graduates who are enrolled in a foundation and trade diploma program under Chapter 30B. (f) For purposes of this section, an annual graduate demonstrates: (1) college readiness if the annual graduate: (A) both: (i) achieves college readiness standards used for accountability purposes under Chapter 39 on the ACT, the SAT, or an assessment instrument designated by the Texas Higher Education Coordinating Board under Section 51.334; and (ii) during a time period established by commissioner rule, enrolls at a postsecondary educational institution; or (B) earns an associate degree from a postsecondary educational institution approved by the Texas Higher Education Coordinating Board while attending high school or during a time period established by commissioner rule; (2) career readiness if: (A) the annual graduate: (i) [(A)] achieves college readiness standards used for accountability purposes under Chapter 39 on the ACT, the SAT, or an assessment instrument designated by the Texas Higher Education Coordinating Board under Section 51.334; and (ii) [(B)] during a time period established by commissioner rule, earns an industry-accepted certificate; or (B) the annual graduate earns an industry-recognized license, credential, or certificate under a foundation and trade diploma program under Chapter 30B; and (3) military readiness if the annual graduate: (A) achieves a passing score set by the applicable military branch on the Armed Services Vocational Aptitude Battery; and (B) during a time period established by commissioner rule, enlists in the armed forces of the United States or the Texas National Guard. (h) On application by a school district, the commissioner may allow annual graduates from the district to satisfy the requirement for demonstrating career readiness under Subsection (f)(2)(A)(ii) [(f)(2)(B)] by successfully completing a coherent sequence of courses required to obtain an industry-accepted certificate. The district must demonstrate in the application that the district is unable to provide sufficient courses or programs to enable students enrolled at the district to earn an industry-accepted certificate within the time period established by the commissioner under Subsection (f)(2)(A)(ii) [(f)(2)(B)]. The commissioner by rule shall provide the criteria required for an application under this subsection. ARTICLE 4. TRANSITION; EFFECTIVE DATE SECTION 4.01. Not later than December 1, 2024, the appropriate appointing authority shall appoint the members to the legislative oversight committee on foundation and trade diploma programs as required by Section 30B.015, Education Code, as added by this Act. SECTION 4.02. This Act applies beginning with the 2023-2024 school year. SECTION 4.03. 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, 2023.