HBA-TBM H.B. 2864 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2864 By: Sadler Public Education 4/18/2001 Introduced BACKGROUND AND PURPOSE Under current law, a school district is entitled to a basic allotment (BA) of $2,537 for each student in average daily attendance. The BA for each district is adjusted to reflect the geographic variation in known resource costs and costs of education due to factors beyond the control of the school district using the cost of education index to produce the adjusted basic allotment (ABA). The ABA for certain small and midsized school districts is then adjusted based on specific formulas to produce the adjusted allotment per student (AA). Several of the formulas are no longer current and as such do not produce a valid adjustment. House Bill 2864 removes invalid formulas for calculating the AA of small and mid-sized school districts. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 2864 amends the Education Code to remove outdated formulas for calculating the adjusted allotment for a school district that offers a kindergarten through grade 12 program and has less than 5,000 students in average daily attendance. The bill applies the 2000-2001 school year formula to future years. EFFECTIVE DATE September 1, 2001.