Per Capita Apportionment Rate for the 2012-2013 School Year
February 1, 2013
COMMITTEE ON SCHOOL FINANCE/PERMANENT SCHOOL FUND: ACTION
STATE BOARD OF EDUCATION: ACTION
SUMMARY: The board is responsible for setting a per capita apportionment rate for each school year based on an estimate of the amount available for expenditures from the Available School Fund. The board set the rate at $373.878 at its July 2012 meeting and adopted a revised rate of $406.100 at its November 2012 meeting. Since the November 2012 meeting, the School Land Board has transferred an additional $300 million into the Available School Fund, allowing for another increase in the per capita rate. A further revised rate of $471.048 for the 2012-2013 school year is recommended.
STATUTORY AUTHORITY: Texas Education Code, (TEC) §42.004 and §43.001(b).
PREVIOUS BOARD ACTION: The board adopted a preliminary 2012-2013 per capita apportionment rate of $373.878 in July 2012 and a revised 2012-2013 per capita apportionment rate of $406.100 in November 2012.
BACKGROUND INFORMATION AND SIGNIFICANT ISSUES: Senate Bill 1, the General Appropriations Bill enacted by the 82nd Texas Legislature, 2011, contains an estimate of the amount available for expenditures from the Available School Fund for the 2012-2013 school year. The per capita apportionment includes distributions from the Permanent School Fund and one-quarter of the net Motor Fuels Tax. Each year, the recommended per capita apportionment rate is based on an estimate of the funds available for expenditure. The rate may be revised later in the school year based on actual funds available for expenditure. After the board set the preliminary rate for the 2012-2013 school year, there was a significant increase in the amount estimated as available for expenditures from the Available School Fund, which allowed for a corresponding increase in the per capita rate. Since that rate increase in November 2012, the School Land Board has transferred an additional $300 million into the Available School Fund, making possible another increase in the rate. A further revised rate of $471.048 for the 2012-2013 school year is recommended.
FISCAL IMPACT: The per capita apportionment rate finances part of the cost of the Foundation School Program. State aid comes from the Available School Fund and the Foundation School Fund. The per capita apportionment rate determines how much of each district's total state aid is paid from the Available School Fund. The part that is not financed by the Available School Fund must be paid from the Foundation School Fund.
PUBLIC AND STUDENT BENEFIT: State aid for the Foundation School Program is partially funded by the Available School Fund per capita apportionment. If this source of funds were not available, the shortfall would have to be made up from the General Revenue Fund.
PROCEDURAL AND REPORTING IMPLICATIONS: None.
PUBLIC COMMENTS: None.
ALTERNATIVES: None.
OTHER COMMENTS AND RELATED ISSUES: None.
MOTION TO BE CONSIDERED: The State Board of Education:
Adopt a revised per capita apportionment rate of $471.048 for the 2012-2013 school year.
Staff Members Responsible:
Robert Durón, Deputy Commissioner
Finance and Administration
Lisa Dawn-Fisher, Associate Commissioner
School Finance/Chief School Finance Officer
Attachment:
2012-2013 Proposed Revised Per Capita Rate (PDF, 19KB)