Representative Aycock filed HB654, which proposes to significantly overhaul the current school finance system on Monday. Representative Aycock is challenging his fellow members of the legislature to engage in broader conversations regarding school finance rather than waiting on a school finance decision.
HB654 proposes to
- Repeal Chapters 41 and 42 of the Education Code and deliver state aid on the basis of weighted average daily attendance – the proposal would discontinue the use of the basic allotment and Tier 2 funding, along with abolishing ASATR and target revenue;
- Define a permissible range of wealth for all school districts as a basis to replace the current Chapter 41 funding structure;
- Require districts outside of a permissible range of wealth to consolidate by forming school finance districts (SFDs)– the districts would not necessarily be contiguous;
- Consolidate tax bases and allocate maintenance tax revenue for school finance districts on the basis of prorata weighted average daily attendance;
- Require the SFD to assume indebtedness of the component school districts and would prohibit the SFD from levying taxes without voter approval;
- Establish a governance structure for the school finance district that is comprised of component school districts' Boards of Trustees acting jointly;
- Authorize the Commissioner of Education to consolidate districts that are outside of permissible wealth range and do not become a member of a SFD;
- Provide for establishment of not less than 30 SFDs;
- Require member districts of SFDs to submit local property tax collections to the Comptroller of Public Accounts for administration of funding distribution based upon a prorata WADA; and,
- Require the Commissioner of Education to ensure the PEIMS reporting system links student performance and other related information to efficient and effective use of funds.
There are many intricacies of HB654, which will likely be studied throughout the session. TASBO will continue to monitor the status of legislation throughout the session and will update members frequently.