84R4312 MK-F
	By: Hancock	S.B. No. 1012

	A BILL TO BE ENTITLED
	AN ACT
	relating to local control school districts.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  The heading to Chapter 12, Education Code, is
	amended to read as follows:
	CHAPTER 12. CHARTERS AND OTHER ALTERNATIVES
	SECTION 2.  Section 12.001(b), Education Code, is amended to
	read as follows:
	(b)  This chapter shall be applied in a manner that ensures
	the fiscal and academic accountability of persons operating
	[holding charters issued] under this chapter. This chapter may not
	be applied in a manner that unduly regulates the instructional
	methods or pedagogical innovations of [charter] schools operating
	under this chapter.
	SECTION 3.  Section 12.0011, Education Code, is amended to
	read as follows:
	Sec. 12.0011.  ALTERNATIVE METHOD OF OPERATION. As an
	alternative to operating in the manner generally provided by this
	title, an independent school district, a school campus, or an
	educational program may choose to operate [under a charter] in
	accordance with this chapter.
	SECTION 4.  Section 12.002, Education Code, is amended to
	read as follows:
	Sec. 12.002.  CLASSES OF ALTERNATIVES [CHARTER]. The
	classes of alternatives [charter] under this chapter are:
	(1)  a local control [home-rule] school district
	[charter] as provided by Subchapter B;
	(2)  a campus or campus program charter as provided by
	Subchapter C; or
	(3)  an open-enrollment charter as provided by
	Subchapter D.
	SECTION 5.  Subchapter B, Chapter 12, Education Code, is
	amended to read as follows:
	SUBCHAPTER B. LOCAL CONTROL [HOME-RULE] SCHOOL DISTRICT [CHARTER]
	Sec. 12.011.  AUTHORIZATION AND STATUS. (a) In accordance
	with this subchapter, a school district may adopt a local control
	plan [home-rule school district charter] under which the district
	will operate.
	(b)  The adoption of a local control plan [home-rule school
	district charter] by a school district does not affect:
	(1)  the district's boundaries; or
	(2)  taxes or bonds of the district authorized before
	the effective date of the plan [charter].
	Sec. 12.012.  APPLICABILITY OF LAWS AND RULES TO LOCAL
	CONTROL [HOME-RULE] SCHOOL DISTRICT. (a) A local control
	[home-rule] school district is subject to federal and state laws
	and rules governing school districts, except that a local control
	[home-rule] school district is subject to:
	(1)  this code only to the extent that the
	applicability to a local control [home-rule] school district of a
	provision of this code is specifically provided;
	(2)  a rule adopted under this code by the State Board
	of Education or the commissioner only if the code provision
	authorizing the rule specifically applies to a local control
	[home-rule] school district; and
	(3)  all requirements of federal law and applicable
	court orders relating to eligibility for and the provision of
	special education and bilingual programs.
	(b)  An employee of a local control [home-rule] school
	district who qualifies for membership in the Teacher Retirement
	System of Texas shall be covered under the system in the same manner
	and to the same extent as a qualified employee employed by an
	independent school district is covered.
	(c)  This section does not permit a local control [home-rule]
	school district to discriminate against a student who has been
	diagnosed as having a learning disability, including dyslexia or
	attention deficit/hyperactivity disorder. Discrimination
	prohibited by this subsection includes denial of placement in a
	gifted and talented program if the student would otherwise be
	qualified for the program but for the student's learning
	disability. This section does not permit a local control
	[home-rule] school district to, on the basis of race, socioeconomic
	status, learning disability, or family support status, place a
	student in a program other than the highest-level program necessary
	to ensure the student's success.
	Sec. 12.013.  APPLICABILITY OF TITLE. (a) A local control
	[home-rule] school district has the powers and entitlements granted
	to school districts and school district boards of trustees under
	this title, including taxing authority.
	(b)  A local control [home-rule] school district is subject
	to:
	(1)  a provision of this title establishing a criminal
	offense;
	(2)  a provision of this title relating to limitations
	on liability; and
	(3)  a prohibition, restriction, or requirement, as
	applicable, imposed by this title or a rule adopted under this
	title, relating to:
	(A)  the Public Education Information Management
	System (PEIMS) to the extent necessary to monitor compliance with
	this subchapter as determined by the commissioner;
	(B)  educator certification under Chapter 21 and
	educator rights under Sections 21.407, 21.408, and 22.001;
	(C)  criminal history records under Subchapter C,
	Chapter 22;
	(D)  student admissions under Section 25.001;
	(E)  school attendance under Sections 25.085,
	25.086, and 25.087;
	(F)  inter-district or inter-county transfers of
	students under Subchapter B, Chapter 25;
	(G)  [elementary class size limits under Section
	25.112, in the case of any campus in the district that fails to
	satisfy any standard under Section 39.054(e);
	[(H)]  high school graduation under Section
	28.025;
	(H) [(I)]  special education programs under
	Subchapter A, Chapter 29;
	(I) [(J)]  bilingual education under Subchapter
	B, Chapter 29;
	(J) [(K)]  prekindergarten programs under
	Subchapter E, Chapter 29;
	(K) [(L)]  safety provisions relating to the
	transportation of students under Sections 34.002, 34.003, 34.004,
	and 34.008;
	(L) [(M)]  computation and distribution of state
	aid under Chapters 31, 42, [and] 43, and 46;
	(M) [(N)]  extracurricular activities under
	Section 33.081;
	(N) [(O)]  health and safety under Chapter 38;
	(O) [(P)]  public school accountability under
	Subchapters B, C, D, E, F, and J, Chapter 39;
	(P) [(Q)]  equalized wealth under Chapter 41;
	(Q) [(R)]  a bond or other obligation or tax rate
	under Chapters 42, 43, and 45; and
	(R) [(S)]  purchasing under Chapter 44.
	Sec. 12.0131.  LOCAL CONTROL SCHOOL DISTRICT OPERATION
	BEGINS AFTER VOTER APPROVAL. An independent school district shall
	begin operation as a local control school district under the local
	control plan after the approval of a proposed local control plan by
	registered voters of the school district through the process
	provided by this subchapter.
	Sec. 12.014.  SUBMISSION OF LOCAL CONTROL PLAN TO VOTERS
	[APPOINTMENT OF CHARTER COMMISSION]. A local control plan shall be
	submitted to the voters under Section 12.019 [The board of trustees
	of a school district shall appoint a charter commission to frame a
	home-rule school district charter] if:
	(1)  the board of trustees of a school district
	receives a petition signed by at least five percent of the
	registered voters of the district, as verified under Section
	12.0151, requesting that the district adopt the local control plan
	that accompanies the petition [appointment of a charter commission
	to frame a home-rule school district charter signed by at least five
	percent of the registered voters of the district]; or
	(2)  at least two-thirds of the total membership of the
	board of trustees of a school district adopt a resolution
	requesting that the district adopt the local control plan
	considered with the resolution [ordering that a charter commission
	be appointed].
	Sec. 12.015.  PETITION TO OPERATE AS A LOCAL CONTROL SCHOOL
	DISTRICT. (a) For a petition to operate as a local control school
	district to be valid:
	(1)  the petition must include a statement worded
	substantially as follows on each page of the petition preceding the
	space reserved for signatures: "This petition is to request that an
	election be held for (name of school district) to operate under the
	local control plan available at (Internet website address).
	Technical amendments to the local control plan posted on the
	Internet may be adopted before the election on adoption of the
	plan.";
	(2)  the petition must include each signer's printed
	name and residential address, including zip code;
	(3)  each signer must enter beside his or her signature
	the date on which he or she signed the petition;
	(4)  the petition must designate one or more persons as
	lead petitioner;
	(5)  the proposed local control plan must be available
	online at the Internet website referenced on the petition during
	the period signatures are collected; and
	(6)  the petition, when submitted to the board of
	trustees of the school district as provided by Subsection (c), must
	include a signed statement by the lead petitioner stating that it is
	the lead petitioner's reasonable belief that the petition is signed
	by at least five percent of the registered voters of the district.
	(b)  A digital signature may be accepted if the board of
	trustees of the school district or county clerk of the county in
	which the school district's central administrative office is
	located has adopted rules under Section 2054.060, Government Code.
	(c)  When the lead petitioner believes that at least five
	percent of the registered voters of the school district have signed
	the petition, the lead petitioner shall submit the petition and
	proposed local control plan to the board of trustees of the school
	district.
	(d)  Not later than the fifth day after the date of receipt of
	the petition and local control plan, the board of trustees of the
	school district shall:
	(1)  submit a copy of the petition to the county clerk
	of the county in which the school district's central administrative
	office is located for verification of the signatures, as provided
	by Section 12.0151; and
	(2)  submit a copy of the proposed local control plan to
	the commissioner for review, as provided by Section 12.018.
	(e)  The failure of the board of trustees of the school
	district to comply with Subsection (d) does not invalidate the
	petition or the local control plan but may be a basis for equitable
	relief issued by a court of competent jurisdiction.
	(f)  If the board of trustees of the school district fails to
	comply with Subsection (d), the lead petitioner may:
	(1)  submit a copy of the petition to the county clerk
	of the county in which the school district's central administrative
	office is located for verification of the signatures, as provided
	by Section 12.0151; and
	(2)  submit a copy of the proposed local control plan to
	the commissioner for review, as provided by Section 12.018.
	(g)  The county clerk and commissioner shall consider the
	petition and local control plan received from the lead petitioner
	under Subsection (f) as if submitted in a timely manner by the board
	of trustees of the school district in accordance with Subsection
	(d). [CHARTER COMMISSION. (a) Not later than the 30th day after
	the date of receipt of a petition or adoption of a resolution under
	Section 12.014, the board of trustees of the school district shall
	appoint 15 residents of the district to serve on the commission to
	frame a charter for the district.
	[(b)     The membership of the charter commission must reflect
	the racial, ethnic, socioeconomic, and geographic diversity of the
	district. A majority of the members appointed to the commission
	must be parents of school-age children attending public school. At
	least 25 percent of the commission must be classroom teachers
	selected by the representatives of the professional staff pursuant
	to Section 11.251(e).
	[(c)     The charter commission must complete a proposed
	charter not later than the first anniversary of the date of its
	appointment. After that date, the commission expires and the
	appointment under Section 12.014 is void.
	[(d)     A charter commission appointed under this section is
	considered a governmental body for purposes of Chapters 551 and
	552, Government Code.]
	Sec. 12.0151.  DUTIES OF COUNTY CLERK ON RECEIPT OF
	PETITION. (a) On receipt of a petition under Section 12.015, the
	county clerk of the county in which the school district's central
	administrative office is located, in cooperation with the county
	clerk of any other county in which any part of the school district
	is located, shall verify that each signer of the petition is
	registered to vote in the school district.
	(b)  Not later than the 30th day after receipt of the
	petition, the county clerk shall certify to the board of trustees of
	the school district and the lead petitioner the percentage of
	registered voters of the district who signed the petition. The
	county clerk's certification is a public record.
	Sec. 12.0152.  SUBMISSION OF ADDITIONAL SIGNATURES; FINAL
	CERTIFICATION BY COUNTY CLERK. (a) If the county clerk certifies
	that less than five percent of the registered voters of the school
	district signed the petition submitted to the board of trustees of
	the school district under Section 12.015, the lead petitioner may
	submit one tranche of additional signatures in support of the
	petition to the county clerk not later than the 30th day after the
	date of the clerk's certification.
	(b)  On receipt of additional signatures from the lead
	petitioner, the county clerk shall verify the additional signatures
	and, not later than the 30th day after the date of receipt of the
	additional signatures, certify to the board of trustees of the
	school district and the lead petitioner the percentage of
	registered voters of the district who signed the petition, as
	supplemented by the additional signatures. The county clerk's
	certification is a public record.
	Sec. 12.0153.  SUIT TO CONTEST VERIFICATION OF SIGNATURES.
	Any suit to contest the verification of signatures for a petition
	must be filed not later than the 30th day after the date of the
	county clerk's final certification.
	Sec. 12.016.  CONTENT. (a) Each local control plan
	[home-rule school district charter] must:
	(1)  describe the educational program to be offered;
	(2)  provide that continuation of the local control
	[home-rule] school district [charter] is contingent on:
	(A)  acceptable student performance on assessment
	instruments adopted under Subchapter B, Chapter 39; and
	(B)  compliance with other applicable
	accountability provisions under Chapter 39;
	(3)  specify any basis, in addition to a basis
	specified by this subchapter, on which the local control school
	district [charter] may be placed on probation or the local control
	plan may be revoked;
	(4)  describe the governing structure of the district
	and campuses;
	(5)  specify any procedure or requirement, in addition
	to those under Chapter 38, that the district will follow to ensure
	the health and safety of students and employees;
	(6)  describe the process by which the district will
	adopt an annual budget, including a description of the use of
	program-weight funds; and
	(7)  describe the manner in which an annual audit of
	financial and programmatic operations of the district is to be
	conducted, including the manner in which the district will provide
	information necessary for the district to participate in the Public
	Education Information Management System (PEIMS) to the extent
	required by this subchapter[; and
	[(8)     include any other provision the charter
	commission considers necessary].
	(b)  This section does not limit the permissible content of a
	local control plan.
	Sec. 12.017.  DETERMINATION OF COMPLIANCE WITH VOTING RIGHTS
	ACT. (a) If a local control plan is proposed by the board of
	trustees of a school district, the board may [The charter
	commission shall] submit the proposed local control plan  [charter]
	to the secretary of state. The secretary of state shall determine
	whether a proposed local control plan requires preclearance under
	federal law [charter contains a change in the governance of the
	school district].
	(b)  If a local control plan is proposed by petition, the
	lead petitioner may submit the proposed local control plan to the
	secretary of state. The secretary of state shall determine whether
	a proposed local control plan requires preclearance under federal
	law.
	(c)  If the secretary of state determines that a proposed
	local control plan requires preclearance under federal law [charter
	contains a change in the governance of the school district], the
	secretary of state shall, not later than the second working day
	after the date the secretary of state makes that determination,
	[notify the board of trustees of the school district. The board
	shall] submit the proposed local control plan [change] to the
	United States Department of Justice or the United States District
	Court for the District of Columbia for preclearance under the
	Voting Rights Act (52 U.S.C. Section 10101 et seq.) [(42 U.S.C.
	Section 1973c et seq.)].
	Sec. 12.018.  TECHNICAL [LEGAL] REVIEW. (a)  Not later than
	the fifth day after the date the board of trustees of a school
	district adopts a resolution or receives a petition and local
	control plan under Section 12.014, the board [The charter
	commission] shall submit the proposed local control plan [charter]
	to the commissioner for review.
	(b)  As soon as practicable, but not later than the 30th day
	after the date the commissioner receives the proposed local control
	plan [charter], the commissioner shall review the proposed local
	control plan for compliance [charter to ensure that the proposed
	charter complies] with any applicable state and federal laws and
	shall provide written notification to the board of trustees of the
	school district and the lead petitioner, if applicable, of the
	results of the review, including any recommended technical
	amendments for compliance with state or federal law [recommend to
	the charter commission any modifications necessary].
	(c)  If the commissioner does not act within the prescribed
	time, it is presumed that the commissioner has determined that the
	proposed local control plan [charter] is in compliance with
	applicable state and federal laws [approved]. The commissioner will
	be considered to have notified the board of trustees of the school
	district of the commissioner's determination on the 30th day after
	the date the commissioner received the proposed local control plan.
	Sec. 12.0181.  DESIGNATING PROPOSED LOCAL CONTROL PLAN AS
	FINAL. (a) If the local control plan was proposed by the board of
	trustees of a school district, the board shall, not later than the
	30th day after the date of receipt of the commissioner's
	recommendations under Section 12.018, accept or reject any
	technical amendments recommended by the commissioner and designate
	the local control plan as final.
	(b)  If the local control plan was proposed by petition, the
	lead petitioner or a majority of persons originally designated as
	lead petitioners may, not later than the 45th day after the date of
	receipt of the commissioner's recommendations under Section
	12.018, notify the board of trustees of the school district in
	writing that the lead petitioner or majority accepts or rejects any
	technical amendments recommended by the commissioner and designate
	the local control plan as final. If the board of trustees does not
	receive written notice under this subsection, the board of trustees
	shall accept all technical amendments recommended by the
	commissioner and designate the local control plan as final.
	(c)  If the commissioner does not recommend any technical
	amendments under Section 12.018, the proposed local control plan is
	considered final on receipt of the commissioner's notification.
	Sec. 12.019.  LOCAL CONTROL PLAN [CHARTER] ELECTION. (a) The
	board of trustees of a school district shall order an election on
	the local control plan not later than the 15th day after the date
	the board receives notice from the county clerk certifying that at
	least five percent of the registered voters of the district have
	signed the petition under Section 12.0151 or 12.0152 and the local
	control plan is designated as final under Section 12.0181 [As soon
	as practicable after approval of a home-rule school district
	charter under Section 12.018, the board of trustees of the district
	shall order an election on the proposed charter].
	(b)  The proposed local control plan [charter] shall be
	submitted to the voters of the district at an election to be held on
	the first uniform election date in November of an even-numbered
	year that occurs at least 78 [45] days after the date on which the
	board of trustees orders the election.
	(c)  If the local control plan was proposed by the board of
	trustees of the school district, the ballot shall be printed to
	permit voting for or against the proposition "Whether the (name of
	school district) School District shall be governed under the local
	control plan that is proposed by the board of trustees and under
	which only certain laws and rules apply to the district." [At least
	three copies of the proposed charter must be available in the office
	of each school campus in the district and at the district's central
	administrative office between the date of the election order and
	election day. Notice of the election must include a statement of
	where and how copies may be obtained or viewed. A summary of the
	content of the proposed charter shall be attached to each copy. The
	summary also shall be made available to school district employees,
	parents, community members, and members of the media.]
	(d)  If the local control plan was proposed by petition, the
	[The] ballot shall be printed to permit voting for or against the
	proposition "Whether the (name of school district) School District
	shall be governed under the local control plan that [home-rule
	school district charter, which] is proposed by a petition of
	(percentage of valid signatures of registered voters on the
	petition) percent of registered voters of the school district
	[charter commission appointed by the board of trustees] and under
	which only certain laws and rules apply to the district."
	(e)  If two or more local control plans are submitted to the
	voters, the board of trustees of the school district shall request
	that the county clerk include neutral ballot language to allow
	voters to distinguish between the plans.  If two or more local
	control plans are approved at the same election, the plan receiving
	the highest affirmative vote prevails.
	Sec. 12.0191.  NOTICE OF LOCAL CONTROL PLAN ELECTION. (a)
	At least three copies of the proposed local control plan must be
	available in the office of each campus in the school district and at
	the district's central administrative office between the date of
	the election order and election day. Notice of the election must
	include a statement of where and how copies may be obtained or
	viewed. A summary of the content of the proposed local control plan
	shall be attached to each copy. The summary also shall be made
	available to school district employees, parents, community
	members, and members of the media.
	(b)  At the time the board of trustees of the school district
	orders an election on the proposed local control plan, the school
	district shall post on the district's Internet website a copy of the
	proposed local control plan, a summary of the content of the
	proposed plan, and a notice of the election.  These items shall
	remain posted on the school district's Internet website until the
	election is held.
	(c)  The school district and each campus in the district
	shall prominently display and maintain on the main page of the
	district's or campus's Internet website a link to the Internet
	website containing the information required under Subsection (b).
	Sec. 12.020.  LOCAL CONTROL PLAN [CHARTER] AMENDMENT. (a)
	The governing body of a local control [home-rule] school district
	on its own motion may submit a proposed [charter] amendment to the
	local control plan that complies with this subchapter to the
	commissioner for technical [legal] review.
	(b)  The governing body shall submit a proposed [charter]
	amendment to the local control plan that complies with this
	subchapter to the commissioner for technical [legal] review if a
	petition submitted to the governing body proposing the [charter]
	amendment is signed by at least five percent of the registered
	voters of the district.  The petition must designate one or more
	persons as a lead petitioner.
	(c)  As soon as practicable, but not later than the 30th day
	after the date on which the requirements [for an election] under
	Subsection (a) or (b) are satisfied, the commissioner shall review
	the proposed amendment to ensure that the proposed amendment
	complies with any applicable state and federal laws and shall
	recommend any modifications necessary in accordance with Section
	12.018.  If the commissioner does not act within the prescribed
	time, the proposed [charter] amendment is considered to be in
	compliance with applicable state and federal laws [approved].
	(d)  The governing body or lead petitioner, as applicable,
	may accept or reject any proposed modifications and designate the
	amendment as final through the process described by Section
	12.0181.  As soon as practicable, but not later than the 15th day
	after the date an amendment is designated as final [commissioner
	review under Subsection (c)], the governing body of the district
	shall order an election on the proposed amendment.
	(e)  An election under this section shall be held on the
	first uniform election date in November of an even-numbered year
	that occurs at least 78 [45] days after the date the election is
	ordered.
	(f)  Notice of the election must include a substantial copy
	of the proposed [charter] amendment to the local control plan.
	(g)  An [A charter] amendment to a local control plan may not
	contain more than one subject.
	(h)  The ballot shall be prepared so that a voter may approve
	or disapprove any one or more [charter] amendments to a local
	control plan without having to approve or disapprove all of the
	[charter] amendments to a local control plan.
	(i)  The governing body may not order an election on a
	proposed [charter] amendment to a local control plan earlier than
	the first anniversary of the date of any previous election to amend
	the plan [charter].
	(j)  Section 12.017 applies to a proposed [charter]
	amendment to a local control plan[, except that the governing body
	shall submit the proposed charter amendment to the secretary of
	state].
	Sec. 12.021.  ADOPTION OF LOCAL CONTROL PLAN [CHARTER] OR
	[CHARTER] AMENDMENT. (a)  A [Subject to Section 12.022, a] proposed
	local control plan [home-rule school district charter] or a
	proposed [charter] amendment to a local control plan is adopted if
	approved by a majority of the registered [qualified] voters of the
	district voting at an election held for that purpose.
	(b)  A local control plan [charter] or [charter] amendment to
	a local control plan shall specify an effective date and takes
	effect according to its terms when the board of trustees or
	governing body of the school district enters an order declaring
	that the plan [charter] or [charter] amendment is adopted.  The
	board of trustees or governing body shall enter an order not later
	than the 10th day after the date the canvass of the election returns
	is completed.
	(c)  As soon as practicable after a school district adopts a
	local control plan or amendment to a local control plan [home-rule
	school district charter or charter amendment], the board of
	trustees or governing body shall notify the commissioner of the
	outcome of the election.
	Sec. 12.022.  [MINIMUM VOTER TURNOUT REQUIRED. (a) An
	election on the adoption of a proposed home-rule school district
	charter has no effect unless at least 25 percent of the registered
	voters of the district vote in the election in which the adoption of
	the charter is on the ballot.
	[(b)     An election on the adoption of a proposed amendment to
	a home-rule school district charter has no effect unless at least 20
	percent of the registered voters of the district vote in the
	election in which the adoption of the amendment is on the ballot.
	[(c)     If the required number of voters prescribed by
	Subsection (a) or (b) do not vote in the election, the board of
	trustees shall order an election on the issue to be held on the
	first uniform election date:
	[(1)     that occurs at least 45 days after the date the
	election is ordered; and
	[(2)     on which one or more elections are to be held, the
	combination of which covers all of the territory of the school
	district.
	[(d)     If the required number of voters prescribed by
	Subsection (a) or (b) do not vote at an election ordered as required
	by Subsection (c), the board of trustees may continue to order
	elections on the issue in accordance with Subsection (c) until the
	required minimum voter turnout is achieved.
	[Sec. 12.023.]  CERTIFICATION OF LOCAL CONTROL PLAN OR
	AMENDMENT [CHARTER OR CHARTER AMENDMENT].  (a)  As soon as
	practicable after a school district adopts a local control plan or
	amendment to a local control plan [home-rule school district
	charter or charter amendment], the president of the board of
	trustees or presiding officer of the governing body shall certify
	to the secretary of state a copy of the plan [charter] or amendment
	showing the approval by the voters of the district.
	(b)  The secretary of state shall file and record the
	certification in the secretary of state's office.
	Sec. 12.023 [12.024].  EFFECT OF RECORDING LOCAL CONTROL
	PLAN OR AMENDMENT [CHARTER OR CHARTER AMENDMENT].  A recorded local
	control plan or amendment to a local control plan [charter or
	charter amendment] is a public act.  A court shall take judicial
	notice of a recorded plan [charter] or [charter] amendment and
	proof is not required of its provisions.
	Sec.  12.024 [12.025].  GOVERNANCE.  (a)  A local control
	[home-rule] school district may adopt and operate under any
	governing structure.
	(b)  The district may:
	(1)  create offices;
	(2)  determine the time and method for selecting
	officers; and
	(3)  prescribe the qualifications and duties of
	officers.
	(c)  The term of any officer of the district is determined
	under Section 11.059.
	Sec. 12.025 [12.026].  CHANGE IN GOVERNING BODY. If the
	adoption, amendment, or revocation of a local control [home-rule]
	school district plan [charter] changes the structure of the
	governing body of the school district, the members of the governing
	body serving on the date the adoption, amendment, or revocation
	takes effect continue in office until their successors are chosen
	and have qualified for office.
	Sec. 12.026 [12.027].  BASIS FOR PLACEMENT ON PROBATION OR
	REVOCATION OF LOCAL CONTROL PLAN [CHARTER].  (a)  The commissioner
	[State Board of Education] may place a local control school
	district on probation or revoke the local control plan [a home-rule
	school district charter] of a school district if the commissioner
	[board] determines that the district:
	(1)  committed a material violation of the local
	control plan [charter];
	(2)  failed to satisfy generally accepted accounting
	standards of fiscal management; or
	(3)  failed to comply with this subchapter or other
	applicable federal or state law or rule.
	(b)  The action the commissioner [board] takes under
	Subsection (a) shall be based on the best interest of district
	students, the severity of the violation, and any previous violation
	the district has committed.
	(c)  A district whose local control plan [home-rule school
	district charter] is revoked or rescinded under this subchapter
	shall operate under the other provisions of Title 1 and this title
	that apply to school districts.
	Sec. 12.027 [12.028].  PROCEDURE FOR PLACEMENT ON PROBATION
	OR REVOCATION.  (a)  The commissioner [State Board of Education] by
	rule shall adopt a procedure to be used for placing a local control
	school district on probation or revoking a local control plan
	[home-rule school district charter].
	(b)  The procedure adopted under Subsection (a) must provide
	an opportunity for a hearing to the district and to parents of
	district students.  A hearing under this subsection must be held in
	the district.
	Sec. 12.028 [12.029].  STATUS OF DISTRICT IN CASE OF
	ANNEXATION OR CONSOLIDATION. (a)  If a school district is annexed
	to another district under Chapter 13, and only one of the districts
	has a local control [home-rule] school district status, the
	status[, as a home-rule or other type of school district,] of the
	receiving district is the status for both districts following
	annexation.
	(b)  Except as provided by Subchapter H, Chapter 41, if two
	or more school districts having different status, one of which is
	local control [home-rule] school district status, consolidate into
	a single district, the petition under Section 13.003 initiating the
	consolidation must state the status for the consolidated district.
	The ballot shall be printed to permit voting for or against the
	proposition:  "Consolidation of (names of school districts) into a
	single school district governed as (status of school district
	specified in the petition)."
	Sec. 12.029 [12.030].  RESCISSION OF LOCAL CONTROL PLAN
	[CHARTER].  (a)  A local control plan [home-rule school district
	charter] may be rescinded as provided by this section.
	(b)  The governing body of the district shall order an
	election on the question of rescinding a local control plan
	[home-rule school district charter] if:
	(1)  the governing body receives a petition requesting
	a rescission election signed by at least five percent of the
	registered voters of the district; or
	(2)  at least two-thirds of the total membership of the
	governing body adopt a resolution ordering that a rescission
	election be held.
	(c)  As soon as practicable after the date of receipt or
	adoption of a resolution under Subsection (b), the governing body
	shall order an election.
	(d)  The proposition to rescind the local control plan
	[home-rule school district charter] shall be submitted to the
	voters of the district at an election to be held on the first
	uniform election date in November of an even-numbered year that
	occurs at least 78 [45] days after the date on which the governing
	body orders the election.
	(e)  The ballot shall be printed to permit voting for or
	against the proposition: "Whether the local control plan [home-rule
	school district charter] of (name of school district) shall be
	rescinded so that the school district becomes an independent school
	district."
	(f)  A local control plan [home-rule school district
	charter] is rescinded if the rescission is approved by a majority of
	the registered [qualified] voters of the district voting at an
	election held for that purpose [at which at least 25 percent of the
	registered voters of the district vote].
	(g)  The rescission takes effect on a date established by
	resolution of the governing body but not later than the 90th day
	after the date of an election held under this section at which
	rescission of the local control plan [charter] is approved [and at
	which the number of registered voters required under Subsection (f)
	vote].  As soon as practicable after that election, the governing
	body shall notify the commissioner and the secretary of state of the
	results of the election and of the effective date of the rescission.
	(h)  The rescission of a local control plan [home-rule school
	district charter] under this section does not affect:
	(1)  the district's boundaries; or
	(2)  taxes or bonds of the district authorized before
	the effective date of the rescission.
	SECTION 6.  Section 12.051(2), Education Code, is amended to
	read as follows:
	(2)  "Board" and "board of trustees" mean the board of
	trustees of a school district or the governing body of a local
	control [home-rule] school district.
	SECTION 7.  Section 12.052(a), Education Code, is amended to
	read as follows:
	(a)  In accordance with this subchapter, the board of
	trustees of a school district or the governing body of a local
	control [home-rule] school district shall grant or deny, through a
	public vote of the board of trustees or governing body, a charter to
	parents and teachers for a campus or a program on a campus if the
	board is presented with a petition signed by:
	(1)  the parents of a majority of the students at that
	school campus; and
	(2)  a majority of the classroom teachers at that
	school campus.
	SECTION 8.  Section 12.0521(a), Education Code, is amended
	to read as follows:
	(a)  Notwithstanding Section 12.052, in accordance with this
	subchapter and in the manner provided by this section, the board of
	trustees of a school district or the governing body of a local
	control [home-rule] school district may grant a charter for:
	(1)  a new district campus; or
	(2)  a program that is operated:
	(A)  by an entity that has entered into a contract
	with the district under Section 11.157 to provide educational
	services to the district through the campus or program; and
	(B)  at a facility located in the boundaries of
	the district.
	SECTION 9.  Section 12.0522(a), Education Code, is amended
	to read as follows:
	(a)  Notwithstanding Section 12.052, in the manner provided
	by this section, the board of trustees of a school district or the
	governing body of a local control [home-rule] school district may
	grant a district charter to a campus to the extent authorized under
	this section.
	SECTION 10.  Section 12.101(a), Education Code, is amended
	to read as follows:
	(a)  In accordance with this subchapter, the commissioner
	may grant a charter on the application of an eligible entity for an
	open-enrollment charter school to operate in a facility of a
	commercial or nonprofit entity, an eligible entity, or a school
	district, including a local control [home-rule] school district.
	In this subsection, "eligible entity" means:
	(1)  an institution of higher education as defined
	under Section 61.003;
	(2)  a private or independent institution of higher
	education as defined under Section 61.003;
	(3)  an organization that is exempt from taxation under
	Section 501(c)(3), Internal Revenue Code of 1986 (26 U.S.C. Section
	501(c)(3)); or
	(4)  a governmental entity.
	SECTION 11.  Sections 22.003(d) and (e), Education Code, are
	amended to read as follows:
	(d)  A school district employee with available personal
	leave under this section is entitled to use the leave for
	compensation during a term of active military service.  This
	subsection applies to any personal or sick leave available under
	former law or provided by local policy of a school district,
	including a local control [home-rule] school district.
	(e)  A school district, including a local control
	[home-rule] school district, may adopt a policy providing for the
	paid leave of absence of employees taking leave for active military
	service as part of the consideration of employment by the district.
	SECTION 12.  Section 37.007(e), Education Code, is amended
	to read as follows:
	(e)  In accordance with 20 U.S.C. Section 7151, a local
	educational agency, including a school district, local control
	[home-rule] school district, or open-enrollment charter school,
	shall expel a student who brings a firearm, as defined by 18 U.S.C.
	Section 921, to school. The student must be expelled from the
	student's regular campus for a period of at least one year, except
	that:
	(1)  the superintendent or other chief administrative
	officer of the school district or of the other local educational
	agency, as defined by 20 U.S.C. Section 7801, may modify the length
	of the expulsion in the case of an individual student;
	(2)  the district or other local educational agency
	shall provide educational services to an expelled student in a
	disciplinary alternative education program as provided by Section
	37.008 if the student is younger than 10 years of age on the date of
	expulsion; and
	(3)  the district or other local educational agency may
	provide educational services to an expelled student who is 10 years
	of age or older in a disciplinary alternative education program as
	provided in Section 37.008.
	SECTION 13.  Section 37.022(a)(2), Education Code, is
	amended to read as follows:
	(2)  "District or school" includes an independent
	school district, a local control [home-rule] school district, a
	campus or campus program charter holder, or an open-enrollment
	charter school.
	SECTION 14.  Section 38.152, Education Code, is amended to
	read as follows:
	Sec. 38.152.  APPLICABILITY.  This subchapter applies to an
	interscholastic athletic activity, including practice and
	competition, sponsored or sanctioned by:
	(1)  a school district, including a local control
	[home-rule] school district, or a public school, including any
	school for which a charter has been granted under Chapter 12; or
	(2)  the University Interscholastic League.
	SECTION 15.  Section 38.157(c), Education Code, is amended
	to read as follows:
	(c)  The school district superintendent or the
	superintendent's designee or, in the case of a local control
	[home-rule] school district or open-enrollment charter school, the
	person who serves the function of superintendent or that person's
	designee shall supervise an athletic trainer or other person
	responsible for compliance with the return-to-play protocol.  The
	person who has supervisory responsibilities under this subsection
	may not be a coach of an interscholastic athletics team.
	SECTION 16.  Section 38.158(f), Education Code, is amended
	to read as follows:
	(f)  Each person described by Subsection (c) must submit
	proof of timely completion of an approved course in compliance with
	Subsection (e) to the school district superintendent or the
	superintendent's designee or, in the case of a local control
	[home-rule] school district or open-enrollment charter school, a
	person who serves the function of a superintendent or that person's
	designee.
	SECTION 17.  Section 39.102(a), Education Code, is amended
	to read as follows:
	(a)  If a school district does not satisfy the accreditation
	criteria under Section 39.052, the academic performance standards
	under Section 39.053 or 39.054, or any financial accountability
	standard as determined by commissioner rule, the commissioner shall
	take any of the following actions to the extent the commissioner
	determines necessary:
	(1)  issue public notice of the deficiency to the board
	of trustees;
	(2)  order a hearing conducted by the board of trustees
	of the district for the purpose of notifying the public of the
	insufficient performance, the improvements in performance expected
	by the agency, and the interventions and sanctions that may be
	imposed under this section if the performance does not improve;
	(3)  order the preparation of a student achievement
	improvement plan that addresses each student achievement indicator
	under Section 39.053(c) for which the district's performance is
	insufficient, the submission of the plan to the commissioner for
	approval, and implementation of the plan;
	(4)  order a hearing to be held before the commissioner
	or the commissioner's designee at which the president of the board
	of trustees of the district and the superintendent shall appear and
	explain the district's low performance, lack of improvement, and
	plans for improvement;
	(5)  arrange an on-site investigation of the district;
	(6)  appoint an agency monitor to participate in and
	report to the agency on the activities of the board of trustees or
	the superintendent;
	(7)  appoint a conservator to oversee the operations of
	the district;
	(8)  appoint a management team to direct the operations
	of the district in areas of insufficient performance or require the
	district to obtain certain services under a contract with another
	person;
	(9)  if a district has a current accreditation status
	of accredited-warned or accredited-probation, fails to satisfy any
	standard under Section 39.054(e), or fails to satisfy financial
	accountability standards as determined by commissioner rule,
	appoint a board of managers to exercise the powers and duties of the
	board of trustees;
	(10)  if for two consecutive school years, including
	the current school year, a district has received an accreditation
	status of accredited-warned or accredited-probation, has failed to
	satisfy any standard under Section 39.054(e), or has failed to
	satisfy financial accountability standards as determined by
	commissioner rule, revoke the district's accreditation and:
	(A)  order closure of the district and annex the
	district to one or more adjoining districts under Section 13.054;
	or
	(B)  in the case of a local control [home-rule]
	school district or open-enrollment charter school, order closure of
	all programs operated under the district's local control plan or
	school's charter; or
	(11)  if a district has failed to satisfy any standard
	under Section 39.054(e) due to the district's dropout rates, impose
	sanctions designed to improve high school completion rates,
	including:
	(A)  ordering the development of a dropout
	prevention plan for approval by the commissioner;
	(B)  restructuring the district or appropriate
	school campuses to improve identification of and service to
	students who are at risk of dropping out of school, as defined by
	Section 29.081;
	(C)  ordering lower student-to-counselor ratios
	on school campuses with high dropout rates; and
	(D)  ordering the use of any other intervention
	strategy effective in reducing dropout rates, including mentor
	programs and flexible class scheduling.
	SECTION 18.  Section 42.152(c), Education Code, is amended
	to read as follows:
	(c)  Funds allocated under this section shall be used to fund
	supplemental programs and services designed to eliminate any
	disparity in performance on assessment instruments administered
	under Subchapter B, Chapter 39, or disparity in the rates of high
	school completion between students at risk of dropping out of
	school, as defined by Section 29.081, and all other students.
	Specifically, the funds, other than an indirect cost allotment
	established under State Board of Education rule, which may not
	exceed 45 percent, may be used to meet the costs of providing a
	compensatory, intensive, or accelerated instruction program under
	Section 29.081 or a disciplinary alternative education program
	established under Section 37.008, to pay the costs associated with
	placing students in a juvenile justice alternative education
	program established under Section 37.011, or to support a program
	eligible under Title I of the Elementary and Secondary Education
	Act of 1965, as provided by Pub. L. No. 103-382 and its subsequent
	amendments, and by federal regulations implementing that Act, at a
	campus at which at least 40 percent of the students are
	educationally disadvantaged.  In meeting the costs of providing a
	compensatory, intensive, or accelerated instruction program under
	Section 29.081, a district's compensatory education allotment
	shall be used for costs supplementary to the regular education
	program, such as costs for program and student evaluation,
	instructional materials and equipment and other supplies required
	for quality instruction, supplemental staff expenses, salary for
	teachers of at-risk students, smaller class size, and
	individualized instruction.  A local control [home-rule] school
	district or an open-enrollment charter school must use funds
	allocated under Subsection (a) for a purpose authorized in this
	subsection but is not otherwise subject to Subchapter C, Chapter
	29.  For purposes of this subsection, a program specifically
	designed to serve students at risk of dropping out of school, as
	defined by Section 29.081, is considered to be a program
	supplemental to the regular education program, and a district may
	use its compensatory education allotment for such a program.
	SECTION 19.  Section 7.102(c)(8), Education Code, is
	repealed.
	SECTION 20.  This Act takes effect immediately if it
	receives a vote of two-thirds of all the members elected to each
	house, as provided by Section 39, Article III, Texas Constitution.
	If this Act does not receive the vote necessary for immediate
	effect, this Act takes effect September 1, 2015.