Highlights 77th Texas Legislature - Senate

_______________________ E DUCATION/Public
DUCATION/Public
77 th Texas Legislature
Requires employers to contribute a minimum of $1,800 per employee per year for health insurance, but
provides up to $1,800 per employee in state assistance for employers who contribute less, assistance that
is reduced by $300 per year through FY 2007.
Provides additional state assistance for school districts that are property-wealthy and do not receive state
aid; school districts that do not have adequate tax rate capacity available to contribute $1,800 per year per
employee; those that do not receive state aid to pay the additional cost of the plan; and districts that pay
Social Security taxes and would owe additional payroll taxes for those employees who elect to take
supplemental salary.
Requires employers whose current contributions exceed the requirements to use that remaining revenue
for other employee compensation.
Provides comparable insurance coverage for children made ineligible for the federal children’s health
insurance plan (CHIP) by the plan.
Eliminates the effect of state appropriations for the plan on the salary schedule for professional employees.
Increases the wealth limit for recapture from property wealthy school districts from $295,000 to $300,000
and $305,000 per weighted student for FY 2002 and 2003, respectively.
Requires the commissioner to notify each employer of the increase in its funding due to the effects of H.B.
3343 in the 2001-2002 school year. Requires employers to use that revenue for nonrecurring expenses or
debt service.
Modifies the school finance formula by increasing the guaranteed level of state and local funding from
$24.70 per penny per weighted student to $25.81 and $27.14 in FY 2002 and 2003, respectively.
Revises the roll-back tax-election trigger though 2008 to avoid elections based on property-tax increases to
pay the school districts’ share of the plan.
Mineral Interests for Permanent School Fund - H.B. 3558
by Representative Junell
Senate Sponsor: Senator Ellis
Authorizes the State Board of Education to designate proceeds of current and future mineral leases and
royalties from mineral interests to acquire mineral and royalty interests for the benefit of the permanent
school fund.
Requires the board to use the money and royalties from leases to purchase interests in real property within
two years of deposit.
Senate Research Center 100