Relating to instructional facilities funding for certain open-enrollment charter schools.

89(R) SB 1750 - Engrossed version - Bill Text

By: Paxton

S.B. No. 1750

A BILL TO BE ENTITLED

AN ACT

relating to instructional facilities funding for certain

open-enrollment charter schools.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 12.106, Education Code, is amended by

amending Subsections (d) and (f) and adding Subsections (e-1) and

(f-1) to read as follows:

(d) Subject to
Subsections
[
Subsection
] (e)
and (e-1)
, in

addition to other amounts provided by this section, a charter

holder is entitled to receive, for the open-enrollment charter

school,
an annual allotment
[
funding
] per student in average daily

attendance [
in an amount
] equal to [
the guaranteed level of state

and local funds per student per cent of tax effort under Section

46.032(a) multiplied by
] the lesser of:

(1) the state average interest and sinking fund tax

rate imposed by school districts for the current year
multiplied by

the guaranteed level of state and local funds per student per cent

of tax effort under Section 46.032(a)
; or

(2)
the maximum amount of the basic allotment provided

under Section 48.051 for the applicable school year multiplied by

0.06
[
a rate that would result in a total amount to which charter

schools are entitled under this subsection for the current year

equal to $60 million
].

(e-1)

A charter holder is entitled to receive funding under

Subsection (d) for an open-enrollment charter school only if the

governing body of the school annually certifies in writing to the

agency that none of the following derives any financial benefit

from a real estate transaction with the school:

(1)

an administrator, officer, or employee of the

school;

(2)

a member of the governing body of the school or its

charter holder; or

(3)

a person related within the third degree by

consanguinity or second degree by affinity, as determined under

Chapter 573, Government Code, to a person described by Subdivision

(1) or (2).

(f) Funds received by a charter holder under Subsection (d)

may only be used:

(1) to lease an instructional facility;

(2) to pay property taxes imposed on an instructional

facility;

(3) to pay debt service on bonds issued to finance an

instructional facility; [
or
]

(4) for any other purpose related to the purchase,

lease, sale, acquisition, or maintenance of an instructional

facility
;

(5)

to purchase or pay debt service on bonds issued to

finance the purchase of school buses;

(6)

to purchase or pay debt service on bonds issued to

finance the acquisition or update of technology equipment used to

support instruction;

(7)

to pay debt service on bonds issued to improve

school safety and security in accordance with the requirements of

Section 37.351; or

(8)

to pay debt service on bonds issued to finance the

construction, acquisition, or equipment of performing arts

facilities or athletic facilities, other than a stadium with

seating capacity for more than 1,000 spectators
.

(f-1)

The governing body of an open-enrollment charter

school must comply with Chapter 551, Government Code, when

considering the issuance of bonds.

SECTION 2. This Act takes effect September 1, 2025.