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This report covers TEA’s video covering transportation funding under HB 3. The video covers transportation allotment changes, transportation outside of attendance zones, 2019-2020 transportation information and non HB-3 related topics. The link to the video can be found here.

This report is intended to give you an overview and highlight of the discussions on the various topics the committee took up. It is not a verbatim transcript of the hearing but is based upon what was audible or understandable to the observer and the desire to get details out as quickly as possible with few errors or omissions.

Recommendations to Transportation Funding

  • Finance Commission made two recommendations
    • Base transportation funding on mileage
    • Provide transportation funding to recapture districts

Transportation Before and After HB 3

  • HB 3 made changes to the regular transportation program funding rate that will allow districts to improve students’ access to specialized schools outside of their attendance zones.
  • Districts can now offer transportation to eligible students outside their attendance zone without negatively impacting their transportation allotment.
  • Special education transportation funding rates remain unchanged under HB 3.
  • There is no change to the career & technology transportation funding rates.
    • Allowable uses for dual credit and CT transportations: another campus within the district, out of district, a postsecondary campus, a third party site where appropriate  courses are offered
  • Under HB 3, the Regular Transportation Program allotment is now calculated using a flat $1 per mile rate.
    • The rate is set by the legislature in the General Appropriations Act.
    • Districts are encouraged to report all eligible miles.
    • Districts will no longer be penalized for offering more routes with fewer riders who are outside of their district.
    • Now, funding eligible student transportation during the school day to and from dual enrollment courses is formalized into law.
      • Allowable uses for dual credit and technology work-based learning transportation are outlined.
  • Districts with a Linear Density rate less than $1 will receive more regular transportation funding which districts with a rate greater than $1 will receive less regular transportation funding
  • Implications of the move to a flat $1 per mile multiplier means that districts will no longer be penalized for offering more routes with fewer riders to accommodate transportation outside of attendance zones
  • The $1 per mile regular transportation allotment will be calculated once TEA receives the 2019-2020 eligible route mileage on the FSP Transportation Route Services Report.
  • The calculation of recapture is based on local revenue in excess of entitlement instead of equalized wealth levels.
    • Costs for transportation are now funded equally between recapture and non-recapture districts.
  • HB 3 formally expanded the definition of a “regular eligible student” to include students who are homeless.
  • TEA is now required to study and submit a report on geographic variations in resource costs and cost of education, including transportation.
    • They study will be completed by a public institution of higher education
    • The TEA will provide the legislature the report by Dec. 1, 2020

Reporting 2019-2020 Transportation Information

  • There are NO changes to FSP Transportation Reporting due to HB 3 Districts and charter schools are still required to conduct official counts of eligible riders.

Reviews of Non-HB 3 Topics

  • The presentation focuses on the two or more miles rules that states that districts may report transportation to school at the beginning of the day and from school at the end of the day for students who live two or more miles from the student’s campus of regular attendance.
    • This rule has three exceptions:
      • Students who are provided specialized transportation (IEP or Section 504).
      • Students who are homeless.
      • Students who live in a hazardous traffic of high risk of violence area (as designated by the school board).
    • The presentation defines hazardous routes.
  • In order to be eligible for hazardous transportation funding, the school board must identity hazardous routes and submit an approved hazardous route policy to TEA.
    • HR transportation funding will be calculated at the standard rate for regular transportation services, but it limited to 10% of a district’s regular transportation program allotment.
    • The presentation outline the three requirements districts must meet in order to be eligible for hazardous funding for high risk of violence areas.
  • Districts may establish a program to provide bus passes to eligible student and receive TEA reimbursements for those passes.
  • Districts have the option to provide transportation to and from school to students who live within two miles of their campus and do not live in a hazardous area and may charge those students for transportation.
    • Districts may not charge students whose transportation is eligible for allotment purposes if the district reports any transportation routes for allotment purposes.
  • TEC 34.007(a)(2) prohibits districts from providing transportation to students living outside of its boundaries without an interlocal cooperation contract.
    • Districts may apply for an interlocal agreement waiver for the 2019-2020 school year to into an interlocal agreement before providing transportation.