HBA-MPM S.B. 1446 77(R)    BILL ANALYSIS


Office of House Bill AnalysisS.B. 1446
By: Van de Putte
Public Education
5/6/2001
Engrossed



BACKGROUND AND PURPOSE 

Currently, large cash payments referred to either as a settlement or
severance payment can be made to a school superintendent upon the
superintendent's termination from a school district.  Senate Bill 1446
requires the commissioner of education to reduce a school district's state
funding by any amount of a severance payment that exceeds an amount equal
to one year's salary and benefits under the superintendent's terminated
contract.  

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that rulemaking
authority is expressly granted to the commissioner of education in SECTION
1 (Section 11.201, Education Code) of this bill.  

ANALYSIS

Senate Bill 1446 amends the Education Code to require the commissioner of
education (commissioner) to reduce a school district's Foundation School
Program funds by any amount that the amount of a severance payment to the
superintendent exceeds an amount equal to one year's salary and benefits
under the superintendent's terminated contract rather than by an amount
equal to the severance payment made to the superintendent for the school
year following the year in which the first payment is made.  The bill
authorizes the commissioner to adopt rules to administer this provision. 

EFFECTIVE DATE

September 1, 2001.