HBA-MPM H.B. 1827 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 1827 By: Tillery Public Education 5/1/2001 Introduced BACKGROUND AND PURPOSE Many cities in Texas are divided between two or more school districts. For example, the city of Balch Springs is divided between the Dallas and Mesquite Independent School Districts. While this can be a beneficial arrangement, for some districts the division of school districts may not be in the best interest of the students who attend the various districts. House Bill 1827 directs the school district with the greatest number of a home-rule municipality's residents to enter into negotiations with all other districts sharing the municipality for the assignment of school infrastructure, students, and debt to that district. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 1827 amends the Education Code to provide that all territory located in a home-rule municipality must be included in the same school district, except as otherwise provided by this bill. If a municipality is a home-rule municipality on September 1, 2001 and contains territory that is located in two or more school districts, the bill requires the district that has the greatest number of the municipality's residents, no later than September 1, 2003, by agreement with each other district, to annex all territory located in the boundaries of the municipality that is a part of another district. This provision expires September 1, 2004. If a municipality becomes a home-rule municipality after September 1, 2001 and, at the time it becomes a home-rule municipality, contains territory that is located in two or more districts, the bill requires the district located in the municipality that has the greatest number of the municipality's residents by agreement with each other district to annex all territory located in the boundaries of the municipality that is a part of another district no later than the second anniversary of the date the municipality becomes a home-rule municipality. The bill specifies that no later than the first anniversary of the date a home-rule municipality annexes territory not located in the boundaries of the district located in the municipality, the district is required to annex that territory by agreement with each school district in which the territory is located. The bill provides that by the agreement of the boards of trustees (boards) of the affected school districts, a district that annexes territory of another district takes title to all school property located in the annexed territory and is required to assume all indebtedness relating to the property. Certain provisions governing the allocation of indebtedness and personal property of a district that is annexed to another or abolished do not apply to an annexation under this bill. The board of each district affected by the annexation of territory is required to execute an annexation agreement that specifies the territory to be annexed and allocates property and indebtedness. The bill provides that the annexation agreement must be filed with the commissioners court of each affected county and requires the commissioners court to enter an order redefining the boundaries of the affected districts. If the board of a district that is required to annex territory cannot reach agreement regarding the annexation with the board of another district, the board of the district that is required to annex territory is required to appeal to the commissioner of education (commissioner). The bill requires the commissioner to conduct a hearing on each issue, decide each issue, and enter an order stating the commissioner's decision. The bill authorizes either affected district to appeal the commissioner's decision to a district court in Travis County. The bill does not prohibit a district that contains the territory of a home-rule municipality from containing territory located outside the municipal boundaries. EFFECTIVE DATE September 1, 2001.