6:00 p.m., Friday, August 12, 2005

Earlier today, House education leaders including Rep. Dan Branch (R-Dallas) voted to rein in Robin Hood, lower property taxes, and increase the state's percentage and total contribution to public school funding. As originally passed by the Senate, SB 8 included none of the limitations on Robin Hood that House and Senate leaders had agreed to in writing just over three weeks ago.

As noted in the enclosed Quorum Report article entitled "The Senate Gave Us the Null Set, Branch Tells Committee," the House Committee reinstated the following Robin Hood reforms:

1. An effective 38 percent cap on Robin Hood recapture that declines as equity improves so districts will no longer be forced to pay excessive recapture tax rates;

2. Full state recognition of the local option homestead exemption so property wealthy school districts would not be taxed on revenues they never receive.

The House Committee voted on the legislation in less than 3 days after receiving it from the Senate. One week remains in the current special session of the Legislature. The Texas Supreme Court is expected to rule on the constitutionality of the current school finance system before October 1.

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The Quorum Report

August 11, 2005 4:03 PM

THE SENATE GAVE US THE NULL SET, BRANCH TELLS COMMITTEE

House member angry that equity negotiations cut in Senate Bill 8.

At this hour, the House Select Public Education Reform Committee is walking through a side-by-side comparison between the House Bill 2 conference committee report and Senate Bill 8 with Texas Education Agency staffer Joe Wisnoski.

This is a rather tedious page-by-page process, with Wisnoski highlighting the differences between the two proposals. Rep. Dan Branch (R-Dallas) jumped on Wisnoski’s statement that Senate Bill 8 proposed no recapture limits for property-wealthy districts. Branch was a key advocate for the Chapter 41 districts in committee, frequently saying the House has compromised time and again on the issue, and the Senate hadn't budged on an equity solution fair to all districts.

Gone was the tie between equity and recapture, otherwise known as the Rule of 130, Branch said. Gone was the benefit of the mid-sized adjustments for property-wealthy districts. Gone was the ability to recognize local homestead exemptions so property-wealthy districts wouldn’t take a double hit on state funding.

The House negotiated for 10 days in good faith, a clearly frustrated Branch said. The Senate came back with a “null set” on the important issue of equity in the bill. Wisnoski, as the agency staff member, had no response. Later during testimony, Superintendent Nola Wellman of the Eanes school district, supported the conference in the conference committee report.

The discussion of reform issues is now underway. Committee members have questioned the Senate’s definition of classroom-related expenses under of the “65 percent rule” and frowned on the straight dollar amount (rather than a percentage of salary) in the Senate version for incentive programs. And Rep. Kent Grusendorf (R-Arlington), in particular, was unhappy the November election date was out of the bill.

Wisnoski also noted the Senate had modified some language in the "cupcake amendment" in the bill. Rep. Rob Eissler (R-The Woodlands) noted it was a "crumb-y thing to do."

Copyright August 11, 2005 by Harvey Kronberg, www.quorumreport.com, All rights are reserved