1. © 2015 Texas Association of School Boards, Inc. All rights reserved. Legislative Update North Texas Area Association of School Boards Bill R. Johnson CTE Center, Crowley ISD April 15, 2015 This information is provided for educational purposes only to facilitate a general understanding of the law or other regulatory matter. This information is neither an exhaustive treatment on the subject nor is this intended to substitute for the advice of an attorney or other professional advisor. Consult with your attorney or professional advisor to apply these principles to specific fact situations.

2. © 2015 Texas Association of School Boards, Inc. All rights reserved. The 84 th Texas Legislature Agenda Who’s who and the legislative context The issues –MONEY: state budget/appropriations, school finance –“Choice” (vouchers, tax credits, etc.) –Local control –Accountability/assessment, other legislation Other things....

3. © 2015 Texas Association of School Boards, Inc. All rights reserved. It’ll be over soon...... But not soon enough!

4. © 2015 Texas Association of School Boards, Inc. All rights reserved. Who’s who? State Senate –20 R’s, 11 D’s (+ 1 R) –New Lt. Governor (Dan Patrick) –New senators Wendy Davis (D) → Konni Burton (R) John Carona (R) → Don Huffines (R) Robert Duncan (R) → Charles Perry (R) Bob Duell (R) → Bob Hall (R)

5. © 2015 Texas Association of School Boards, Inc. All rights reserved. Who’s who? Senate Education Committee –7 R’s, 4 D’s –New Committee chair (Larry Taylor) –6 of 11 members are new to committee –4 of 11 are freshmen senators (Bettencourt, Huffines, Kolkhorst, Van Taylor)

6. © 2015 Texas Association of School Boards, Inc. All rights reserved. Who’s who? House of Representatives –51 D’s, 98 R’s, 1 vacancy (+ 3 R’s) –Speaker Joe Straus (4 th session as speaker) –26 freshmen

7. © 2015 Texas Association of School Boards, Inc. All rights reserved. Who’s who? House Public Education Committee –7 R’s, 4 D’s –Same chair: Jimmie Don Aycock (2 nd session as chair) –4 of 11 members are new to committee –2 of 11 are freshmen House members

8. © 2015 Texas Association of School Boards, Inc. All rights reserved. Who’s who? The Lobby: Who we’re up against –Texans for Education Reform (TER) Lobbying for: –A-F School ratings, parent trigger, “opportunity school district” 21 lobbyists (several former legislators) Paid between $840,000 - $1,610,000

9. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Legislative Context The pace and flavor of the session –Slow. Senate passed fewer bills than the past six sessions –Contentious. “Three-party” system –Neo-conservative Republicans (Tea Party) –Business/establishment Republicans –Democrats

10. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues State budget/appropriations –HB 1/SB 2: Appropriations Bill House adopted their version April 1, sent to Senate Senate passed their bill yesterday, 30-1 Conference committee will be appointed to reconciled the differences

11. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues School finance –Both houses fund enrollment growth (~$2.2 b) –Proposed funding levels: House = $3 billion above enrollment growth Senate = $1.2 billion above enrollment growth –Property value increases saved the state $4.5 billion

12. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues School finance bill: HB 1759 (by Aycock) –Could flow $3 billion above enrollment growth $2.2 billion through funding formulas $800 million contingent on school finance reform –Deletes/modifies several adjustments Deletes Cost of Education Index (CEI), transportation allotment Modifies mid-size school adjustment

13. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues Tax cuts: Senate –Senate Finance: $4.6 billion in property and business franchise tax cuts Approximately $206/yr average property tax cut Business tax: either lower rate or reduce number of small business affected

14. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues Tax cuts: House –Proposal cuts $4.9 billion, through sales and business tax reduction Reduce state sales tax rate by ~1/3 cent 6.25% → 5.95% (+ local govt add-on rates) Average household savings ~ $172/yr –Business tax: reduces business tax by 25%

15. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues Spending cap –Limits spending growth from session to session –Based on growth in personal income –LBB chose smallest growth option –Senate idea: don’t count tax cut spending against spending cap (frees up more $ to spend)

16. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues School “choice” –Vouchers, tax credits, parent trigger –Gloves have been taken off –Senate Ed Committee passed SB 4 (Taylor) on 8-3 vote

17. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues Vouchers and tax credits –Rhetoric by the voucher proponents has escalated

18. © 2015 Texas Association of School Boards, Inc. All rights reserved. Voucher rhetoric...

19. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues School “choice” (con’t) –House is the battleground on vouchers –Appropriations bill anti-voucher rider amendment withdrawn Why withdrawn? Indication of lack of support? Email to R’s from state Republican party chair

20. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues School “choice” (con’t) –SBOE to consider anti-voucher resolution next week –Authored by SBOE member Ruben Cortez –Please call your SBOE member to seek support

21. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues Local control debates –In the past, a “school” issue –Some state legislators want to dictate to cities and counties Denton fracking, plastic bag ban, texting & cell phone bans, ride-sharing (Uber, etc.) –“Who gets to decide?”

22. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues Pre-Kindergarten –Governor Abbott priority –HB 4 (Huberty) passed by House, 129-18, yesterday –$130 million in pre-K funding –Attempts to restore some of the cuts made to pre-K funding in previous sessions

23. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues Graduation committees: SB 149 (by Seliger) –For students who obtain course credits to graduate, but fail one EOC exam –Committee would determine if diploma should be conferred to these students –Passed Senate, passed House Public Ed Committee

24. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues SB 149 -- Rep. Huberty’s response to Bill Hammond’s testimony:

25. © 2015 Texas Association of School Boards, Inc. All rights reserved. The Issues Lobbying by school associations –Bills would prohibit school districts from joining organizations that lobby (read: TASB) –Several bills filed; Rep. Shaheen bills heard in committee today

26. © 2015 Texas Association of School Boards, Inc. All rights reserved. Summary: 84 th Texas Legislature More bad legislation introduced and is moving Margin for killing bad legislation in House is very thin More important than ever to communicate with your legislators

27. © 2015 Texas Association of School Boards, Inc. All rights reserved. Other things TASB’s Business Engagement Initiative –Recognition for businesses supporting schools 500 businesses submitted –Business/Education Forum April 28 in Austin Come and bring a local business person –Better information to Texas businesses

28. © 2015 Texas Association of School Boards, Inc. All rights reserved. Other things “Stand Up for Texas Public Schools” campaign –In conjunction with the National School Boards Association (NSBA) –Encourage support for public schools –Ads, wristbands: Cause conversations to tell the positive story of Texas schools

29. © 2015 Texas Association of School Boards, Inc. All rights reserved. Legislative Update Questions? The information in this presentation may include the intellectual property of third parties