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Written Testimony: Senate Finance SB 2 – Texas Education Agency

February 9, 2015

Chandra Villanueva – villanueva@cppp.org 

The Center for Public Policy Priorities is an independent public policy organization that uses data and

analysis to advocate for solutions that enable Texans of all backgrounds to reach their full potential.

Last fall, District Court Judge John Dietz ruled the Texas school finance system is unconstitutional

because our schools are not adequately funded and the funding that is available is not distributed

equitably. In his ruling, Judge Dietz expressed concerns that the growing population of economically

disadvantaged students, who face significant educational challenges, are being denied access to the

meaningful opportunities needed to achieve academic success.

When adjusting for inflation, per student spending is $631 lower in the 2014-15 biennium than it was in

2008, prior to the recession.

        $       1       0  ,       6       9       0

        $       1       0  ,       7       5       4

        $       1       0  ,       5       5       0

        $       1       0  ,       3       1       3

        $       1       0  ,       6       5       1

        $       1       0  ,       5       9       4

        $       1       0  ,       4       6       7

        $       1       1  ,       5       2       4

        $       1       0  ,       6       2       3

        $       1       0  ,       4       5       8

        $       9  ,       5       7       6

        $       9  ,       4       6       7

        $       9  ,       7       5       6

        $       9  ,       9       1       7

$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

$14,000

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

   P   E   R  -   S   T   U   D   E   N   T   S   P   E   N   D   I   N   G    I

   N    2

   0   1   4

    $

Current Student Spending is Below

Pre-Recession Levels

Source: Includes state, local, and federal funding. LBB data on state revenue for TEA, minus recapture, and local revenue for FSP, M&O,

and I&S Federal funds recommended in GAA 2013.

mailto:villanueva@cppp.orgmailto:villanueva@cppp.orgmailto:villanueva@cppp.orgmailto:villanueva@cppp.org

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At the same time, the number of economically disadvantaged students is growing at twice the rate of

the overall student population. From 2008 to 2013, the population of economically increased by 18.8

percent, while total students only grew by 8.8 percent. Growth in economically disadvantaged students

is not just a byproduct of the recession. Since 1995 the average annual growth rate for economicallydisadvantaged students is 3.31 percent, while the growth rate for non-economically disadvantaged

students is 0.09 percent.

The Legislature doesn’t need to wait on the State Supreme Court’s final ruling to make meaningful

investments in the students being educated in our public schools today.

The House budget has $2.2 billion more than the current law Foundation School Program entitlement,

and the Senate budget should aim, at the very least, to match that level of investment.

To increase equity and adequacy within the school finance system, the Center for Public Policy Prioritieshas two priority recommendations:

  Increase the Basic Allotment – this is the rising tide that lifts all boats. Increasing the basic

allotment reduces the cost of “target revenue” and reduces the amount of recapture property-

 -

 500,000

 1,000,000

 1,500,000

 2,000,000

 2,500,000

 3,000,000

 3,500,000

 4,000,000 4,500,000

 5,000,000

Economically Disadvantaged Students are Growing at a Faster

Rate than Non-Economically Disadvantaged Students

Non-Economically Disadvantaged Economically Disadvantaged Studnets

Source: TEA Snapshot data 1995 - 2013

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