The bill amends Section 48.257 of the Education Code to modify the requirements for certain school districts regarding the reduction of local revenue levels that exceed their entitlement under the public school finance system. Specifically, it introduces a new Subsection (b-1) that applies to school districts that have adopted a maintenance and operations tax rate for the 2024-2025 school year that is equal to or greater than the sum of the district's maximum compressed tax rate and six cents. Under this new provision, if the maintenance and operations revenue per student in average daily attendance for a district falls below the amount available for the 2025-2026 school year after the required reduction, the agency will adjust the reduction amount to ensure the district receives adequate funding.

The bill also includes an amendment to Subsection (a) to clarify that the reduction requirements are subject to the new Subsection (b-1). This change aims to provide additional financial support to qualifying school districts, ensuring they maintain sufficient funding levels for their operations despite the necessary reductions in local revenue. The act is set to take effect on September 1, 2025.

Statutes affected:
Introduced: Education Code 48.257 (Education Code 48)