Skip to main content

HB 3301

AN ACT relating to establishing the permanent public school fund to reduce

House Bill
Filed

Filed

Bill introduced by legislator

Committee

Hearing

Passed Cmte

Calendar

Passed

Sent

Enrolled

Governor

Signed

89th Regular Session

Jan 14, 2025 - Jun 2, 2025 • Session ended

Awaiting Committee Assignment

Bill filed, pending referral to House committee

← Back to Bills

Committee

Not yet assigned

Fiscal Note

Not available

What This Bill Does

Establishes a new Permanent Public School Fund in the state treasury, which will receive $10 million at the start of each state fiscal biennium. The fund's earnings can only be used for two specific purposes: reducing school district maintenance and operations property taxes and providing funding for prekindergarten programs. The legislature is restricted from spending the principal of the fund, ensuring long-term financial stability for public education initiatives.

Subject Areas

Bill Text

relating to establishing the permanent public school fund to reduce
school district maintenance and operations ad valorem taxes and
provide funding for public school prekindergarten programs.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Subtitle I, Title 2, Education Code, is amended
by adding Chapter 47A to read as follows:
CHAPTER 47A.  PERMANENT PUBLIC SCHOOL FUND
Sec. 47A.001.  DEFINITION.  In this chapter, "fund" means
the permanent public school fund.
Sec. 47A.002.  FUND ESTABLISHED.  (a)  The permanent public
school fund is a special fund in the state treasury outside the
(1)  money appropriated by the legislature for deposit
(2)  interest or other earnings attributable to the
investment of money in the fund.
Sec. 47A.003.  USES OF FUND.  (a)  The legislature may not
appropriate money from the fund other than the interest or other
earnings attributable to the investment of money in the fund.
(b)  The interest or other earnings attributable to the
investment of money in the fund may be appropriated only to:
(1)  reduce school district maintenance and operations
ad valorem taxes by reducing the state compression percentage under
(2)  provide funding for prekindergarten programs
under Subchapter E, Chapter 29.
Sec. 47A.004.  DEPOSIT OF MONEY.  Not later than the first
day of each state fiscal biennium, the comptroller shall deposit
$10 million to the credit of the fund.
Sec. 47A.005.  INVESTMENT OF FUND.  Notwithstanding Section
404.024(b), Government Code, the comptroller shall invest money in
(4)  treasury bills issued by the United States
SECTION 2.  This Act takes effect September 1, 2025.

Bill History

filed

Bill filed: AN ACT relating to establishing the permanent public school fund to reduce