| 1 | 1 | | 89R2324 MEW-F |
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| 2 | 2 | | By: Plesa H.B. No. 289 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | |
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| 6 | 6 | | |
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| 7 | 7 | | A BILL TO BE ENTITLED |
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| 8 | 8 | | AN ACT |
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| 9 | 9 | | relating to a reduction of the amount by which certain school |
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| 10 | 10 | | districts must reduce their local revenue levels in excess of |
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| 11 | 11 | | entitlement under the public school finance system. |
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| 12 | 12 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 13 | 13 | | SECTION 1. Section 48.257, Education Code, is amended by |
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| 14 | 14 | | amending Subsection (a) and adding Subsection (b-1) to read as |
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| 15 | 15 | | follows: |
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| 16 | 16 | | (a) Subject to Subsection (b) and except as provided by |
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| 17 | 17 | | Subsection (b-1), if a school district's tier one local share under |
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| 18 | 18 | | Section 48.256 exceeds the district's entitlement under Section |
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| 19 | 19 | | 48.266(a)(1) less the district's distribution from the state |
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| 20 | 20 | | available school fund, the district must reduce the district's tier |
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| 21 | 21 | | one revenue level in accordance with Chapter 49 to a level not to |
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| 22 | 22 | | exceed the district's entitlement under Section 48.266(a)(1) less |
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| 23 | 23 | | the district's distribution from the state available school fund. |
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| 24 | 24 | | (b-1) This subsection applies only to a school district to |
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| 25 | 25 | | which Subsection (a) applies and that adopted a maintenance and |
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| 26 | 26 | | operations tax rate for the 2024-2025 school year equal to or |
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| 27 | 27 | | greater than the sum of the district's maximum compressed tax rate, |
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| 28 | 28 | | as determined under Section 48.2551, and six cents. |
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| 29 | 29 | | Notwithstanding Subsection (a), if, after reducing the tier one |
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| 30 | 30 | | revenue level of a school district to which this subsection applies |
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| 31 | 31 | | as required under Subsection (a), the maintenance and operations |
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| 32 | 32 | | revenue per student in average daily attendance of the district for |
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| 33 | 33 | | a school year would be less than the maintenance and operations |
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| 34 | 34 | | revenue per student in average daily attendance available to the |
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| 35 | 35 | | district for the 2025-2026 school year, excluding any funding |
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| 36 | 36 | | provided to the district under Section 48.279, the agency shall |
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| 37 | 37 | | adjust the amount of the reduction required in the district's tier |
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| 38 | 38 | | one revenue level under Subsection (a) up to the amount of local |
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| 39 | 39 | | funds necessary to provide the district with the amount of |
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| 40 | 40 | | maintenance and operations revenue per student in average daily |
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| 41 | 41 | | attendance available to the district for the 2025-2026 school year. |
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| 42 | 42 | | SECTION 2. This Act takes effect September 1, 2025. |
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