THE TEXAS HOUSE & SENATE PRESENT:

FOR TRANSFORMATIONAL SCHOOL FINANCE REFORM

THE PLAN

$4.5 Billion 
for transformational education reforms

PUTS MORE MONEY INTO CLASSROOMS TO ACCELERATE STUDENT ACHIEVEMENT

  • Significantly increases the Basic Allotment per student

  • Funds full-day Pre-K for low income students

  • Adopts high-quality K-3 reading standards so students read at grade level by 3rd grade

  • Creates the first dyslexia identification program in Texas history

  • Accelerates student achievement via College, Career & Military Readiness (CCMR) outcomes bonuses, dual-language programs, and extended year summer programs for students

  • Creates a "Do Not Hire" registry to protect children in the classroom

  • Funds transportation at a rate of $1.00/mile and quadruples funding for building and equipping new facilities

  • Directs more funds to schools with higher concentrations of under-served students, including dropouts, students in special education, and residential treatment facilities

  • And more!

Over $5 Billion
in property tax relief

INCREASES THE STATE'S SHARE OF EDUCATION FUNDING TO LOWER PROPERTY TAXES

  • Provides over $5 billion in statewide property tax relief

  • Lowers school property tax rates by an average of 8 cents in 2020 and 13 cents in 2021

  • Provides an additional 2.5% tax compression starting in 2021

  • Ensures taxpayer dollars are used responsibly by requiring districts to conduct efficiency audits before going to voters with a tax increase

  • Increases the state's share of education funding from 38% to 45%

$3.6 Billion
recapture reduction*

*Not an appropriation. The reduction in recapture is a cumulative effect of the $11.6B investment made in HB 3 to buy down property taxes and reform school finance formulas.

MODERNIZES OUTDATED SCHOOL FINANCE FORMULAS TO REDUCE RECAPTURE

  • Reduces recapture payments by $3.6 billion, a 47% reduction this biennium

  • Increases equity within the school finance system

  • Gives ISDs the ability to keep more of the money they earn from their local property taxes

$2 Billion
for dynamic teacher compensation

ENERGIZES TEACHER PAY & INVESTS IN PROGRAMS TO PROMOTE TEACHER QUALITY

  • Compensates educators as true professionals by unleashing over $2 billion in dynamic pay raises for teachers, librarians, counselors, and nurses

  • Creates a merit/incentive pay program for high-quality educators to receive additional pay

  • Increases the minimum teacher salary schedule

  • Invests in professional development and mentoring programs for new teachers

 

House Bill 3 meets the classroom needs of today's students and tomorrow's workforce.