S.B. No. 1382 amends the Education Code by adding a new section, 45.0542, which establishes eligibility criteria for certain school districts with outstanding debt seeking bond guarantees from the permanent school fund. Specifically, the bill stipulates that the commissioner may approve the guarantee of a school district's eligible bonds only if the ratio of the total amount of the district's outstanding bonds to the number of students enrolled does not exceed $10,000 per student.

The provisions of this bill will apply only to bonds issued on or after its effective date of September 1, 2025. Bonds issued prior to this date will continue to be governed by the existing law in effect at the time of issuance. This change aims to ensure that school districts maintain a manageable level of debt relative to their student population when seeking financial guarantees.

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