House Bill No. 1703 amends the Education Code to redefine "average enrollment" in the public school finance system, replacing the previous term "daily attendance." This new definition focuses on the average number of students enrolled in a school district throughout the school year, which will impact funding calculations. The bill allows school districts experiencing a decline in average enrollment to receive funding based on the previous year's enrollment under specific conditions, such as military base closures. Additionally, charter schools and adult education programs will also be funded based on average enrollment, with established criteria for determining eligibility based on instructional time and program types.

The bill further introduces provisions for small and mid-sized districts, ensuring they receive adequate funding based on a minimum number of students. It also outlines conditions for tuition fees for transfer students and includes measures for students in disciplinary alternative education programs and those in juvenile facilities, ensuring they are counted in average enrollment for funding purposes. Overall, the amendments aim to streamline funding processes, enhance financial accountability, and provide a more equitable distribution of resources based on enrollment figures rather than attendance metrics. The bill is set to take effect on September 1, 2025.

Statutes affected:
Introduced: Education Code 48.005, Education Code 7.062, Education Code 11.052, Education Code 12.106, Education Code 12.263, Education Code 13.051, Education Code 13.102, Education Code 13.283, Education Code 25.038, Education Code 25.045, Education Code 25.081, Education Code 25.087, Education Code 25.111, Education Code 25.112, Education Code 29.008, Education Code 29.014, Education Code 29.081, Education Code 29.0822, Education Code 29.184, Education Code 29.203, Education Code 29.403, Education Code 29.912, Education Code 30.003, Education Code 30.102, Education Code 33.157, Education Code 37.0061, Education Code 37.008, Education Code 39.027, Education Code 39.262, Education Code 43.001, Education Code 44.004, Education Code 45.0011, Education Code 45.006, Education Code 45.105, Education Code 45.003, Education Code 46.005, Education Code 46.006, Education Code 46.032, Education Code 48.0051, Education Code 48.006, Education Code 48.010, Education Code 48.051, Education Code 48.052, Education Code 48.101, Education Code 48.102, Education Code 48.105, Education Code 48.106, Education Code 48.107, Education Code 48.108, Education Code 48.109, Education Code 48.115, Education Code 48.118, Education Code 48.152, Education Code 48.153, Education Code 48.202, Education Code 48.256, Education Code 48.2642, Education Code 48.273, Education Code 48.277, Education Code 49.001, Education Code 49.002, Education Code 49.003, Education Code 49.158, Education Code 49.201, Education Code 49.203, Education Code 49.205, Education Code 49.258, Education Code 49.305, Education Code 49.306, Education Code 49.311, Education Code 49.354, Government Code 403.104, Government Code 1371.001, Government Code 1431.001, Local Government Code 48.005 (Local Government Code 48, Education Code 43, Education Code 12, Education Code 25, Education Code 45, Government Code 1431, Education Code 30, Education Code 11, Education Code 48, Education Code 33, Education Code 49, Education Code 13, Government Code 403, Education Code 44, Education Code 46, Education Code 39, Education Code 37, Government Code 1371, Education Code 7, Education Code 29)