HB 4359

relating to the review of school districts by the Sunset Advisory
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Chapter 325, Government Code, is amended by
adding Section 325.026 to read as follows:
Sec. 325.026.  REVIEW OF SCHOOL DISTRICTS.  (a)  In this
section, "education service center region" means a geographic
region served by a regional education service center under Chapter
(b)  The commission shall review the operations and conduct a
forensic audit of certain independent school districts or
consolidated school districts.  The commission shall review two
school districts each review cycle.  The school districts
identified for review by the commission under this section are
subject to the requirements of this chapter as if they were a state
agency but may not be abolished.
(c)  Not later than October 31 of each odd-numbered year, the
commission shall select an education service center region from
which the school districts to be reviewed will be selected.  The
commission shall review the school district within the selected
region that has the lowest instructional spending per student and
the school district within the selected region that has the highest
instructional spending per student according to the most recent
information reported to the Texas Education Agency.
(d)  The commission shall prepare a report identifying areas
of each district's operations that do not effectively or
efficiently use the district's funds and that detract from
instructional spending and make recommendations to address its
findings.  The commission's review may also include recommendations
related to the district's governance, management, operating
structure, and compliance with legislative requirements.
SECTION 2.  This Act takes effect September 1, 2025.