Relating to the transfer of students between public schools.

89(R) SB 686 - Engrossed version - Bill Text

By: Paxton, King

S.B. No. 686

A BILL TO BE ENTITLED

AN ACT

relating to the transfer of students between public schools.

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

SECTION 1. Subchapter C, Chapter 7, Education Code, is

amended by adding Section 7.0611 to read as follows:

Sec.

7.0611.

FACILITY USAGE REPORT. (a) In this section,

"instructional facility" has the meaning assigned by Section

46.001.

(b)

The agency by rule shall require each school district to

annually report the following information in the form and manner

prescribed by the agency:

(1)

the square footage of each school district

facility and the acreage of land on which each facility sits;

(2)

the total student capacity for each instructional

facility on a district campus;

(3) for each campus in the school district:

(A)

the enrollment capacity of the campus and of

each grade level offered at the campus; and

(B)

the number of students currently enrolled at

the campus and in each grade level offered at the campus;

(4)

whether a school district facility is used by one

or more campuses and the campus identifier of each campus that uses

the facility;

(5)

what each school district facility is used for,

including:

(A) an instructional facility;

(B) a career and technology center;

(C) an administrative building;

(D) a food service facility;

(E) a transportation facility; and

(F) vacant land; and

(6)

whether each school district facility is leased or

owned.

(c)

From the information submitted under Subsection (b),

the agency shall produce and make available to the public on the

agency's Internet website an annual report on school district land

and facilities.

The agency may combine the report required under

this section with any other required report to avoid multiplicity

of reports.

(d)

If the agency determines information provided under

Subsection (b) would create a security risk, such information is

considered confidential for purposes of Chapter 552, Government

Code, and may not be disclosed in the annual report under Subsection

(c).

(e)

The commissioner may adopt rules as necessary to

implement this section.

In adopting rules for determining the

student capacity of a school district or district campus, the

commissioner may consider the staffing, student-teacher ratio, and

facility capacity of the district or campus.

SECTION 2. Section 12A.004(a), Education Code, is amended

to read as follows:

(a) A local innovation plan may not provide for the

exemption of a district designated as a district of innovation from

the following provisions of this title:

(1) a state or federal requirement applicable to an

open-enrollment charter school operating under Subchapter D,

Chapter 12;

(2) Subchapters A, C, D, and E, Chapter 11, except that

a district may be exempt from Sections 11.1511(b)(5) and (14) and

Section 11.162;

(3)
student transfer and admission requirements under

Sections 25.001, 25.036, 25.046, and 25.047;

(4)
state curriculum and graduation requirements

adopted under Chapter 28; and

(5)
[
(4)
] academic and financial accountability and

sanctions under Chapters 39 and 39A.

SECTION 3. Section 25.001(h), Education Code, is amended to

read as follows:

(h) In addition to the penalty provided by Section 37.10,

Penal Code, a person who knowingly falsifies information on a form

required for enrollment of a student in a school district is liable

to the district if the student is not eligible for enrollment in the

district but is enrolled on the basis of the false information. The

person is liable, for the period during which the ineligible

student is enrolled, for [
the greater of:

[
(1)

the maximum tuition fee the district may charge

under Section 25.038; or

[
(2)
] the amount the district has budgeted for each

student as maintenance and operating expenses.

SECTION 4. Section 25.035, Education Code, is amended to

read as follows:

Sec. 25.035. TRANSFERS BETWEEN DISTRICTS OR COUNTIES. The

boards of trustees of two or more [
adjoining
] school districts or

the boards of county school trustees of two or more [
adjoining
]

counties may, [
by agreement and
] in accordance with Sections

25.032, 25.033, and 25.034, arrange for the transfer and assignment

of any student from the jurisdiction of one board to that of

another. [
In the case of the transfer and assignment of a student

under this section, the participating governing boards shall also

agree to the transfer of school funds or other payments

proportionate to the transfer of attendance.
]

SECTION 5. Section 25.036, Education Code, is amended to

read as follows:

Sec. 25.036. TRANSFER OF STUDENT. (a) Any child, other

than a high school graduate, who is younger than 21 years of age and

eligible for enrollment on September 1 of any school year may
apply

to
transfer [
annually
] from the child's school district
or district

campus
[
of residence
] to another
school
district in this state
or

another campus located in the child's district, as applicable,

selected by the child's parent or guardian that offers the

appropriate grade level and has capacity, as determined under

Section 25.046
[
if both the receiving district and the applicant

parent or guardian or person having lawful control of the child

jointly approve and timely agree in writing to the transfer
].

(b)
Before the beginning of each school year, a school

district shall:

(1)

require a transfer applicant under Subsection (a)

to complete and submit the district's transfer application form by

a reasonable deadline established by the district; and

(2)

subject to Subsection (g), admit each eligible

transfer applicant until enrollment at the campus reaches capacity,

as determined under Section 25.046.
[
A transfer agreement under

this section shall be filed and preserved as a receiving district

record for audit purposes of the agency.
]

(c)
If a school district receives more eligible transfer

applications for a district campus or a specific grade level at a

district campus than the district has capacity for at that campus or

in that grade level, as determined under Section 25.046, the

district shall fill the available positions by lottery.

A school

district shall offer to a student who the district does not enroll

due to lack of capacity an available position, if any, in the

appropriate grade level at another district campus.

(d)

A school district that must fill positions by lottery

under Subsection (c) shall, in developing the lottery system,

ensure priority is given to applicants in the following order:

(1) students residing in the receiving district;

(2)

students enrolled as transfer students at another

campus in the receiving district;

(3)

students who are dependents of an employee of the

receiving district;

(4)

students receiving special education services

under Subchapter A, Chapter 29;

(5) students who are dependents of military personnel;

(6)

students who are dependents of law enforcement

personnel;

(7) students in foster care;

(8)

students who are the subject of court-ordered

modification of an order establishing conservatorship or

possession and access; and

(9)

students who are siblings of a student who is

enrolled in the receiving district at the time the student seeks to

transfer.

(e)

A school district that receives more eligible transfer

applications for a district campus or a specific grade level at a

district campus than the district may enroll at the capacity

determined under Section 25.046 for that campus or grade level

shall establish and maintain a waitlist for transfer applicants who

are not admitted.

(f)

If a position at a school district campus with a

waitlist under Subsection (e) becomes available after the start of

the school year, the district shall first admit transfer applicants

according to that waitlist and then admit any additional transfer

applicants in the order in which those additional transfer

applications are received.

(g)

A school district may deny approval of a transfer under

this section only if:

(1)

the district or a school in the district to which a

student seeks to transfer is at full student capacity or has more

requests for transfers than available positions;

(2) at the time a student seeks to transfer:

(A) the student is:

(i)

suspended or expelled by the district

in which the student is enrolled; or

(ii)

placed in a disciplinary alternative

education program or a juvenile justice alternative education

program; or

(B)

disciplinary proceedings are pending against

the student in the district in which the student is enrolled for

conduct for which the student:

(i)

may be placed in out-of-school

suspension in accordance with the district's student code of

conduct;

(ii)

is required or permitted to be removed

from class and placed in a disciplinary alternative education

program under Section 37.006; or

(iii)

is required or permitted to be

expelled under Section 37.007; or

(3)

approving the transfer would supersede a

court-ordered desegregation plan.

(h)

A school district that denies approval of a transfer

under this section shall inform the applicant in writing of the

reason for denying approval of the applicant's transfer.

(i)

A student who transfers to another school district under

this section may not be charged tuition. The student is included in

the average daily attendance of the district to which the student

transfers, beginning on the date the student begins attending

classes at that district.

(j)

A receiving school district may, but is not required to,

provide transportation to a student who transfers to the receiving

district under this section.

(k)

A receiving school district may revoke, at any time

during the school year, the approval of the student's transfer if

the student:

(1)

fails to comply with a condition specified in the

agreement that is:

(A)

a condition specified in the student code of

conduct under Section 37.001(a)(2);

(B)

a circumstance specified in the student code

of conduct under Section 37.001(a)(3) that may result in

out-of-school suspension;

(C)

conduct for which a student is required or

permitted to be removed from class and placed in a disciplinary

alternative education program under Section 37.006; or

(D)

conduct for which a student is required or

permitted to be expelled from school under Section 37.007; or

(2)

fails to maintain a specified school attendance

rate.

(l)

A student who transfers to another school district or

district campus as provided by this section may remain at the

receiving campus until that student completes the highest grade

level offered at the campus.

(m)

Once a student who transfers to another school district

or district campus as provided by this section completes the

highest grade level offered at the receiving campus, the district

may require the student to reapply to continue attending school in

the receiving district.

The district must prioritize admitting the

student as provided by Subsection (d).

(n)

A school district may not deny admission to a student

who is currently enrolled in the district, including a student

enrolled as a transfer student at another campus in the district, or

a student who is not enrolled in the district but resides in the

district's attendance zone for the purpose of accepting a transfer

applicant under this section.

(o)

A school district may not take any adverse action

against a student enrolled as a transfer student in the district

based on the fact that the district charged a tuition fee for the

student to attend school in the district for a previous school year

under former Section 25.038.

(p)
In the case of a transfer under this section, a child's

school district [
of residence
] shall provide the receiving district

with the child's disciplinary record and any threat assessment

involving the child's behavior conducted under Section 37.115.

(q)

The commissioner shall adopt rules necessary to

implement this section, including rules establishing:

(1)

an admissions lottery, as described by Subsection

(c), and a waitlist as described by Subsection (e); and

(2)

procedures to ensure this section complies with

state and federal law regarding confidentiality of student medical

or educational information, including the Health Insurance

Portability and Accountability Act of 1996 (42 U.S.C. Section 1320d

et seq.) and the Family Educational Rights and Privacy Act of 1974

(20 U.S.C. Section 1232g).

SECTION 6. Subchapter B, Chapter 25, Education Code, is

amended by adding Sections 25.046 and 25.047 to read as follows:

Sec.

25.046.

TRANSFER CAPACITY; DISTRICT POLICY.

(a)

Except as provided by Subsection (c), before the beginning of each

semester, the board of trustees of a school district shall

determine the capacity of each district campus and the capacity of

each grade level offered at each campus. For purposes of this

section, the capacity of a district campus or a grade level at that

campus is the total number of students that may be admitted at the

campus or at that grade level, as applicable, less the students who

are currently enrolled at that campus or at that grade level, as

applicable.

Based on the board's determination of campus or grade

level capacity and current student enrollment, the district shall

identify the number of available positions at each campus and for

each grade level.

In determining campus and grade level capacity,

the district may consider the number of staff employed by the campus

and shall consult the most recent district facility plan,

including:

(1)

a facility plan created as part of a district bond

proposal; or

(2)

a long-range facility plan created as part of a

capital improvement project for which construction services are

procured under Chapter 2269, Government Code, in accordance with

Section 44.031(a)(5) of this code.

(b)

The district shall post for each campus in the district

on the district's Internet website, if the district maintains a

website, the most recent determination of campus and grade level

capacity.

If the district does not maintain a website, the district

shall make the information required under this subsection available

to the public at an administrative office of the district.

(c)

A school district is not required to determine the

capacity of a new instructional facility, as defined by Section

48.152, in the first school year in which students attend the new

instructional facility.

(d)

The board of trustees of a school district shall adopt a

written policy that meets the requirements adopted by the

commissioner under Subsection (f) for the admission of a transfer

applicant under this subchapter.

The board shall make the policy

available to the public in the same manner the district makes

available a district's determination of campus and grade level

capacity under Subsection (b).

The policy must:

(1)

include the adoption of a transfer application

form;

(2)

include the provision of the address of the

district administrative office where a person may access the

district's determination of campus and grade level capacity, if the

district does not maintain an Internet website;

(3)

include the provision of information regarding

available options for transportation provided by the district or in

the community; and

(4) prioritize:

(A) flexibility of access for students;

(B)

encouraging schools in the district to

accommodate student transfers; and

(C)

preventing schools in the district from

discouraging student transfers.

(e)

The agency shall post on the agency's Internet website

information regarding each school district's policy adopted under

this section and each district's campus or grade level capacity

determinations under Subsection (a).

(f)

The commissioner shall adopt rules and prescribe

procedures necessary to implement this section, including by

developing model policies and forms for use by a school district in

complying with Subsection (d).

Sec.

25.047.

REPORTING AND AUDIT REQUIREMENTS. (a)

Subject to Subsection (b), each school district shall annually

submit not later than the last Friday in October of each school year

a report to the agency regarding the transfer of students to and

from the district during the previous school year.

The report must

include:

(1)

for each district campus, the campus and grade

level capacity determinations under Section 25.046;

(2)

for each campus, the number of transfer

applications for transfers to that campus the district received,

the number of applications that were granted, and the number of

applications that were denied, including the reason for the denial,

during the preceding school year;

(3)

the information described by Subdivisions (1) and

(2) aggregated for all campuses in the district; and

(4)

for the purposes of demographic analysis, any

information required by the commissioner as necessary to identify

each student admitted to or denied admission to a campus in the

district who is or was previously enrolled in a public school in

this state.

(b)

A school district with only one campus serving each

grade level is exempt from Subsection (a)(3).

(c)

Not later than March 15 of each year, the agency shall

post on the agency's Internet website a report on the transfer and

assignment of students.

The report must include:

(1)

a summary of school district admission practices

relating to student transfer admissions;

(2)

for the state, the aggregated data reported under

Subsection (a);

(3)

for each district, the aggregated data reported

under Subsection (a);

(4)

a demographic analysis of the students

transferring districts;

(5)

a demographic analysis of the students

transferring between campuses within the same district;

(6)

for each district, the number of transfer

applicants seeking admission or withdrawal, showing the potential

net change in enrollment; and

(7)

for each district, the actual number of students

who transferred into or out of the district, showing the actual net

change in enrollment.

(d)

Every sixth year, the agency shall publish a study of

statewide transfer trends that includes:

(1)

the total number of students transferring

districts and of students transferring between campuses within the

same district;

(2)

using data from the previous six school years, an

analysis at the state and district level of changes in:

(A)

the number of school districts and campuses

admitting transfer students;

(B)

the number of students transferring

districts; and

(C)

the number of students transferring between

campuses within the same district;

(3)

a demographic analysis of the students

transferring districts and of the students transferring between

campuses within the same district;

(4)

using data from the previous six school years, an

analysis of the patterns of student movement between districts and

campuses, including a description of any characteristics that are

correlated with students transferring to or away from districts or

schools;

(5)

a summary of district practices regarding

transportation of transfer students;

(6)

an explanation of the reasons students choose to

transfer districts or campuses and the barriers faced by students

in transferring districts or campuses;

(7)

an explanation of the challenges restricting

school districts from admitting more transfer students;

(8)

performance outcomes for inter- and

intra-district transfer students, including changes in student

proficiency after the date of transfer; and

(9)

the effects of inter-district transfers on student

performance outcomes and district program offerings for both

sending and receiving districts.

(e)

Each year, the agency shall randomly select 10 percent

of the school districts in the state and conduct an audit of each

district's capacity determination under Section 25.046 and of each

district's approved and denied transfer applications.

If the

agency finds inaccurate reporting of capacity levels by a school

district, the agency shall set the capacity for the school

district.

Districts audited during the previous two school years

may not be selected for audit in a school year.

(f)

The commissioner shall adopt rules necessary to

implement this section.

SECTION 7. The following provisions of the Education Code

are repealed:

(1) Section 25.038;

(2) Sections 25.039(b) and (c); and

(3) Section 48.154.

SECTION 8. The changes in law made by this Act may not be

interpreted to affect the Interstate Compact on Educational

Opportunity for Military Children executed under Section 162.002,

Education Code.

SECTION 9. The changes in law made by this Act may not be

interpreted to affect the authority or existing rules of the

University Interscholastic League regarding the participation of a

student in an interscholastic competition.

SECTION 10. Section 12A.004(a), Education Code, as amended

by this Act, applies to each local innovation plan adopted under

Chapter 12A, Education Code, regardless of whether the plan was

adopted before, on, or after the effective date of this Act. A

local innovation plan adopted or renewed before the effective date

of this Act must comply with Section 12A.004(a), Education Code, as

amended by this Act, not later than September 1, 2025.

SECTION 11. Notwithstanding any other provision of this

Act, a student accepted for transfer to a school district for the

2025-2026 school year under Section 25.035 or 25.036, Education

Code, on a date occurring before the effective date of this Act is

entitled to transfer to the district for that school year in the

same manner as any other student accepted for transfer to the

district for that school year on a date occurring on or after the

effective date of this Act.

SECTION 12. Not later than September 1, 2031, the Texas

Education Agency shall publish the first study of statewide

transfer trends required under Section 25.047, Education Code, as

added by this Act.

SECTION 13. This Act applies beginning with the 2025-2026

school year.

SECTION 14. 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, 2025.