Texas House passes education savings accounts bill, school funding bill

AUSTIN - The Texas House early Thursday morning approved a bill that would set aside $1 billion in taxpayer funds to pay tuition at private schools across the state.

The approving vote came just after 2 a.m. Thursday, some 10 hours after the debate started on the House floor.

School savings accounts pass the House

The bill was approved 86-63. Every Democrat and two Republicans, Dade Phelan and Gary VanDeaver, voted no.

The passage marked a notable departure from last year's attempt to pass similar legislation, which ended with bipartisan opposition that ultimately led to the bill's failing.

What they're saying:

Gov. Greg Abbott celebrated the bill's passing saying in a release he would "swiftly sign the bill into law" when it hits his desk.

"For the first time in Texas history, our state has passed a universal school choice bill out of both chambers in the Texas Legislature. This is an extraordinary victory for the thousands of parents who have advocated for more choices when it comes to the education of their children," Abbott said. "I applaud the legislators who took a stand with the overwhelming majority of Texans who support school choice."

The House's plan would use $1 billion to create education savings accounts that families could use to pay for private school tuition and other school-related expenses. The bill ties the funding to public education funding, which means the amount available to participating students would increase and decrease as public school funding increases and decreases.

Democrats, who have said school choice will mostly benefit those that are already attending private schools, had much less help in the chamber on Wednesday and Thursday. The House heard 44 amendments to the bill during the marathon session as the Democrats only hoped to stop the bill.

Republicans continued to reiterate that the bill would prioritize low-income children and students with disabilities.

In the end, only Republican Rep. Brad Buckley's perfecting amendment passed.

The bill now requires private schools to have existed for at least two years before they can join the program and requires the state's annual report on the program to include dropout, expulsion and graduation data on participating students with disabilities.

What they're saying:

Two of the more hotly contested amendments would have seen the bill put to the public to vote as a referendum and one that would have given the poorest families more money to use for private education.

Rep. James Talarico (D-Austin) called on the House to let voters decide the fate of school savings accounts by putting them on election ballots in November.

"A few days ago, there was growing bipartisan support in this chamber for this common sense idea," Talarico said. "But then, the governor of our state started calling members into his office one by one and threatening to veto all the bills of any member who votes for this amendment, threatened to make their primary elections, quote, a bloodbath."

Rep. Mitch Little pushed Talarico to name the names of the representatives that he thought were contacted before saying Abbott "doesn't have my number."

Rep. Harold Dutton also proposed an amendment that was shot down that would have added extra funding to the lowest income students, saying that $10,000 might not be enough for those students.

Dutton likened the current bill to giving someone in a 12-foot hole, a 10-foot rope.

House Bill 2 - School Funding

Before deliberations could get under way on the school choice bill, the House debated House Bill 2 which would inject nearly $8 billion into Texas public schools.

The bill passed 144-4.

It wasn't without debate though. Lawmakers filed 17 amendments and debated the merits back and forth most of the afternoon.

Among those who challenged the bill, Austin Rep. James Talarico, who questioned Rep. Brad Buckley on raising the amount of school funding to 2019 levels. The exchange brought a reaction from the House gallery, which had to be warned by Speaker Dustin Burrows.

In the end, the bill increases the districts' base money per student, gives money for teacher raises and puts limits on teachers without certifications.

The bill will also add funding to special education by allocating funding based on the individual needs of children with disabilities.

What they're saying:

San Antonio Democrat Diego Bernal said the bill was a good start and even said that if some of the pieces included in the bill had been passed separately then everyone would be celebrating.

"I'm happy to acknowledge that there's still work to do, but I don't want the work that's left to do overshadow the very, very good and important work and the important changes, the generational landmark changes that this bill has inside of it," Bernal said.

Gov. Greg Abbott sent a statement praising the passage.

"The Texas House took a monumental step to increase education funding and teacher pay raises that puts Texas on the path to education excellence for our students," Abbott said. "Since I have been Governor, public education funding and average teacher pay have reached all-time highs and, now, House Bill 2 will add $7.7 billion more to fund a high-quality education for the next generation of Texas leaders. I thank Speaker Dustin Burrows and Chairman Brad Buckley for their steadfast leadership, and I look forward to signing this bill into law."

Live updates:

6:30 p.m. - The amendment is tabled.

5:57 p.m. - Rep. Chris Turner files an amendment that would strike the enacting clause and kill the bill.

"So let's call vouchers what they are," Turner said. "They're a coupon for the wealthy who can already afford to send their kids to private schools."

5:54 p.m. - 

5:49 p.m. - Talarico's motion is tabled 86-62.

5:43 p.m. - Little asks Talarico why he didn't try to put the school funding bill up for referendum.

Talarico notes the near-unanimous passing of the funding bill as the reason it wasn't needed, but calls the school choice bill more divided.

5:39 p.m. - Mitch Little asks if Talarico will name the representatives that Abbott "threatened."

Talarico refuses. Little quips that he wasn't called and that Abbott "doesn't have his number."

5:28 p.m. - Amendment 3 from James Talarico would put the bill before the voters and let them decide if school choice is the answer.

"A few days ago, there was growing bipartisan support in this chamber for this common-sense idea. 

"But then the governor of our state started calling members into his office one by one and threatening to veto all the bills of any member who votes for this amendment, threatened to make their primary elections, quote, a bloodbath. 

"So this morning, I decided to carry this amendment. Not only because it's a good idea, not only because it's what our constituents want, but also to make a very important point. 

"No one, including the governor, should ever threaten a lawmaker. We do not serve the governor. We serve our constituents," Talarico said.

5:19 p.m. - Rep. Harold Dutton proposes amendment 2 that would change the funding structure to offer lower amounts the further above the poverty line a family is.

Rep. Brisco Cain pointed out that most private schools cost less than $9,000 a year.

Buckley moves to table.

Table passes 91-47.

5:04 p.m. - Amendments to SB 2 can be found in real time, here. Scroll to the bottom for the most current amendment.

5:03 p.m. - Amendment 1 passes 145-1.

5:01 p.m. - Rep. Alma Allen (D-Houston) asks Buckley if there would be a private school seat for every child if they all chose to leave Houston ISD and go to a private school.

"Are there enough private schools out there to absorb 180,000 kids in the district?," Allen said.

"I don't believe that if every child left HISD, there would be enough private school openings for them," Buckley said. "No."

4:54 p.m. - Amendment 1 is here. It's a perfecting amendment.

It clarifies that children of active duty military are included in eligibility.

It requires that accredited private schools have operated a campus for two years before they can accept a student.

The amendment also adds more transparency to reporting.

4:50 p.m. - Gov. Greg Abbott praises the passing of the school funding bill.

"The Texas House took a monumental step to increase education funding and teacher pay raises that puts Texas on the path to education excellence for our students," Abbott said. "Since I have been Governor, public education funding and average teacher pay have reached all-time highs and, now, House Bill 2 will add $7.7 billion more to fund a high-quality education for the next generation of Texas leaders. I thank Speaker Dustin Burrows and Chairman Brad Buckley for their steadfast leadership, and I look forward to signing this bill into law."

4:40 p.m. - Buckley's time is up. They agreed to an extension earlier, but not this time. The House is waiting on an amendment.

4:37 p.m. - "Isn't it true that a private school may deny admission on the basis of a disability?," Reynolds said.

"What private schools do is they make certain that they can provide the services that are necessary to serve that child. And we have, many we have 60-something private schools in Texas that are accredited to make sure that they, particularly, serve children with special needs, including one in my own district. 

"And, so, you know, but, you know, we even had testimony from, from families that applied to certain schools, and they would say, you know what? There might be a better private school option, and they would give parents an option because they want to make sure it fits for the kid.

"They understand that if they can't provide the services, they think, but they know a, a, an additional school or another school could do that," Buckley said. 

4:30 p.m. - "Has this body adequately considered the very likely possibility that this legislation will disproportionately benefit white students and create more segregation in our schools?," Rep. Ron Reynolds said.

"That is not the intent of this legislation. It's my intent that this gives every Texas family the opportunity to select their education, that that is the best fit for their child," Buckley said.

4:18 p.m. - Rep. Ramon Romero is asking about eligibility requirements for students.

Buckley says the child will have to be a citizen or lawfully admitted in the United States.

"If you're asking for them to prove the status, there's concern that they have to prove status," Romero said. "You've mentioned that it's going to go to an outside vendor. You haven't told me other than tell me that's in the controller, but you haven't instructed in this legislation."

"The organizations that operate as a certified education assistant organization have privacy, guards and protection for all personal information that is required for this application," Buckley said.

3:49 p.m. - Buckley: "You know, when you look around at states there's cherry pick data that we'll talk about, you know, issues in other states. And the fact is, though, that when a program operates like this and parents are empowered, what you'll find is that those children are served better in public school, outcomes improve."

3:40 p.m. - Buckley explains the priority process for children to get funding. Priority group one is students with disabilities, from families that are earning, 500% of the federal poverty level. 

Priority number two is students from families at or below 200% of the poverty level. 

Three are students from families with an income between 200 and 500 percent of the federal poverty line. 

Priority four is students, that are from families that are making greater than 500%.

3:34 p.m. - It's main event time. Senate Bill 2 is on the floor.

3:28 p.m. - Not school related, but the House just passed HB2000 which would require those convicted of child grooming to register as sex offenders. The bill passed 148-0.

3:23 p.m. - House bill 2 passes 144-4.

3:21 p.m. - Buckley is back to close the bill.

3:10 p.m. - Bernal: "I'm happy to acknowledge that there's still work to do, but I don't want the work that's left to do overshadow the very, very good and important work and the important changes, the generational landmark changes that this bill has inside of it."

3:09 p.m. - Amendments are over. We're speaking for and against the bill now. Bernal is up first.

"The idea that we do school finance, you know, every half decade or so probably isn't enough." - Bernal

3:06 p.m. - That was entertaining, but the amendment is tabled.

3:04 p.m. - Bryant and Rep. Steve Toth are having a back and forth where Toth is challenging Bryant with examples of public schools owning golf courses and planes.

The pair get a warning from Burrows who tells them not speak over each other.

They immediately continue to speak over each other.

2:52 p.m. - More Bryant amendments. This amendment adds section 12.10561 to the Education Code to prohibit charter schools from using state funding to pay off settlements from civil liability imposed on them by lawsuits or government agencies. 

"The ones that are misbehaving aren't going to like this."

2:50 p.m. - John Bryant again. This amendment would require certifications for charter school teachers. Buckley wants to table. It's tabled.

2:48 p.m. - Bryant's next amendment calls for 25% of basic allotment to go towards staff raises. It's tabled.

2:41 p.m. - Bryant introduces an amendment to raise the basic allotment in line with inflation.

Bryant: "This amendment is an opportunity to show that we value public education as much as we do every other service to the state, to provides its public. We believe in our children, and we expect that the state should be not underfunding public education so dramatically relative to the rest of the country, and certainly not falling behind inflation."

Buckley moves to table this.

87-59 the amendment is tabled.

2:39 p.m. - Interested in what amendments have passed and failed? Find the list here.

2:35 p.m. - Amendment 12 would tie the basic allotment to inflation. Buckley says the bill already has inflation protections and moves to table. Bryant argues this amendment isn't tied to anything. Motion is tabled.

2:32 p.m. - Amendment 11 passes. The amendment clarifies the definitions of disabilities and adds qualifications for residential placement.

2:30 p.m. - Amendment 10 was withdrawn after a point of order.

1:20 p.m. - House is at ease for 20 minutes.

1:02 p.m. - We're all the way back up to amendment 1 voting. That passes 144-0.

1:01 p.m. - Buckley brings up an amendment that addresses the concerns Rep. Hinojosa had a while ago. It's adopted.

1:00 p.m. - San Antonio Democrat Rep. Diego Bernal's amendment that led to Schoolcraft's amendment was adopted.

12:59 p.m. - Schoolcraft's amendment to the amendment fails. 25-121

12:52 p.m. - John Bryant (D- Dallas): You could have taken this money out of charter schools. You could have taken this money out of the allotment for teacher incentives. You could have taken it from a lot of places, but you've taken it from the poorest kids and the most needy kids in the state, haven't you?

Schoolcraft: "Are you saying they're dumb or there's some reason that they need extra money?"

12:50 p.m. - VanDeaver: "You're taking comp ed money from low socio economic school districts, and you're sending it to wealthy districts."

12:48 p.m. - Rep. Gary VanDeaver (R-New Boston) says Schoolcraft's funding plan is risky.

"I can't imagine voting for something that I have no idea how it's going to affect my district."

12:46 p.m. - Schoolcraft: "I don't pick winners and losers. I just pass good policy."

12:27 p.m. - Rep. Alan Schoolcraft (R-McQueeny) is asking to repeal the compensatory allotment to schools and roll those funds into the basic allotment.

"Seriously, is there anyone in this chamber who is not frustrated with the sheer complexity of our school finance system? Is there anyone in this chamber who thinks it's a good thing that we have a school finance system that spends $101 billion, and yet nobody understands it."

12:21 p.m. - More scenes from Wednesday's protests:

12:18 p.m. - Here's the exchange between Buckley and Talarico:

12:13 p.m. - We've moved on to the amendment. Buckley says the amendment makes teacher pay raises sustainable long-term.

Rep. Gina Hinojosa (D-Austin) raises concern that the amendment doesn't require charter schools to submit funding statements that purchases do not benefit anyone affiliated with the school.

Buckley assures her that those rules will be in the final version.

12:05 p.m. - 

11:53 a.m. - Rep. James Talarico is grilling Buckley on what it would take to bring school funding up to 2019 levels.

Speaker Dustin Burrows is warning the House gallery about outbursts. There was a small roar of support for Talarico's questioning of Buckley earlier.

11:48 a.m. - Buckley: "We represent our districts. And that representation of your districts could not be more apparent in any piece of legislation."

11:47 a.m. - Buckley: "HB2 represents a thoughtful, student centered investment in public education. It provides teacher support and a substantial investment in special education and other important services, that we need in our public schools, all while ensuring district flexibility. This bill provides substantially for local control."

11:42 a.m. - We're back. Brad Buckley (R-Salado) is introducing House Bill 2, the school funding bill. He calls it "landmark funding" for public schools.

11:23 a.m. - While we're all waiting for the House to get back to work. Here are scenes from a protest at the Capitol this morning opposing school vouchers.

11:05 a.m. - The House is waiting for a perfecting amendment before debating House Bill 2, the school funding bill. They'll be back at 11:15 a.m.

FROM Congress.gov: A perfecting amendment may take any one of the three possible forms; it may propose to strike out, to insert, or to strike out and insert. On the other hand, a substitute amendment is a proposal to replace one thing with another, and so it always takes the form of a motion to strike out and insert.

11:04 a.m. - 

11 a.m. - Gov. Greg Abbott shares a phone call from President Donald Trump voicing his support for the school choice bill.

10:50 a.m. - The House votes to delay a vote on the Senate school choice bill until the House votes on its school funding bill. It's still expected that both bills will be voted on today.

Texas House debates school choice legislation

Senate Bill 2 and House Bill 2 are set to head to the House floor on Wednesday.

Senate Bill 2 would create a $1 billion school choice program. The program would establish Education Savings Accounts that would give parents $10,000 in state money per student that could be used toward private schools. Additional money would be made available for students with special needs.

If the legislation passes, it will be the largest school voucher program in the country. 

House Bill 2 would provide $7.7 billion for public school funding, which would add nearly $400 to the per-student basic allotment local districts get and a teacher pay hike; those with at least 10 years in the classroom would get more money than those with less time. 

What's next:

Both bills require another reading in the House, but those are thought to be largely procedural votes.

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