On July 1st, the U.S. House passed its version of the FY 2010 Defense Supplemental bill, HR 4899.  The measure includes over $58 billion for defense spending, and $21 billion in a domestic spending package.

U.S. Rep. Lloyd Doggett (D-Austin) drafted a Texas provision that restricts how the Texas Legislature can spend future federal education dollars.  The provision was added to the bill and requires the State of Texas to provide a certain level of state funding which may be prohibited by the Texas Constitution.  The provision also takes education officials out of the decision-making process that will determine how federal aid to schools will be spent.

Insiders also point out the amendment was drafted in such way that Texas would not be eligible to receive any of the funds because the Governor does not have the authority to commit the Texas legislature to any specific appropriation amount. 

However, if the issues with the amendment could be addressed, it should be noted the funds would have to be distribute through the Title I formula instead of state funding formulas which could result in over 800 school districts receiving considerably less funding. 

In an effort to reduce the amount of new spending the bill, it includes $11.7 billion in rescissions, including a cut in the “Race to The Top” education program. The President has issued a veto threat if cuts in the “Race to the Top” education program are included in the final bill.

The Senate passed its version of the FY 2010 Defense Supplemental on May 27th with none of the $21 billion in new domestic spending provisions included. Doggett said he expects the Senate will take up the supplemental budget by mid-July.