88S40601 MM-F     By: Jetton H.B. No. 115       A BILL TO BE ENTITLED   AN ACT   relating to the establishment of an education savings account   program.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  The purpose of this Act is to:                (1)  provide additional educational options to assist   families in this state in exercising the right to direct the   educational needs of their children; and                (2)  achieve a general diffusion of knowledge.          SECTION 2.  Chapter 29, Education Code, is amended by adding   Subchapter J to read as follows:   SUBCHAPTER J. EDUCATION SAVINGS ACCOUNT PROGRAM          Sec. 29.351.  DEFINITIONS. In this subchapter:                (1)  "Account" means an education savings account   established under the program.                (2)  "Approved educational assistance organization"   means an organization approved under Section 29.354 to support the   administration of the program.                (3)  "Approved education-related expense" means an   expense approved under Section 29.359.                (4)  "Child with a disability" means a child who is   eligible to participate in a school district's special education   program under Section 29.003.                (5)  "Cocurricular activity" means an activity that   directly adds value to classroom instruction and curriculum,   including an academic field trip, performance, contest, or display.     The term does not include an athletic or other nonacademic   activity.                (6)  "Higher education provider" means an institution   of higher education or a private or independent institution of   higher education, as those terms are defined by Section 61.003.                (7)  "Parent" means a resident of this state who is a   natural or adoptive parent, managing or possessory conservator,   legal guardian, custodian, or other person with legal authority to   act on behalf of a child.                (8)  "Program" means the program established under this   subchapter.                (9)  "Program participant" means a child and a parent   of a child enrolled in the program.          Sec. 29.352.  ESTABLISHMENT OF PROGRAM. The comptroller   shall establish a program to provide funding for approved   education-related expenses of children participating in the   program.          Sec. 29.353.  PROGRAM FUND. (a) The program fund is an   account in the general revenue fund to be administered by the   comptroller.          (b)  The fund is composed of:                (1)  general revenue transferred to the fund;                (2)  money appropriated to the fund;                (3)  gifts, grants, and donations received under   Section 29.370; and                (4)  any other money available for purposes of the   program.          (c)  Money in the fund may be appropriated only for the uses   specified by this subchapter.          Sec. 29.354.  SELECTION OF APPROVED EDUCATIONAL ASSISTANCE   ORGANIZATIONS. (a) An organization may apply to the comptroller   for approval as an approved educational assistance organization   during an application period established by the comptroller.          (b)  To be eligible for approval, an organization must:                (1)  have the ability to perform the duties and   functions required of an approved educational assistance   organization under this subchapter;                (2)  be in good standing with the state; and                (3)  be able to assist the comptroller in administering   the program, including the ability to:                      (A)  accept, process, and track applications for   the program;                      (B)  assist prospective applicants, applicants,   and program participants with finding education service providers   and vendors of educational products, including by developing and   maintaining an Internet website with information regarding those   providers and vendors; and                      (C)  accept and process payments for approved   education-related expenses.          (c)  The comptroller may approve not more than five   educational assistance organizations to support the administration   of the program.          Sec. 29.355.  ELIGIBLE CHILD. (a) A child is eligible to   participate in the program if the child is eligible to:                (1)  attend a public school under Section 25.001; or                (2)  enroll in a public school's prekindergarten   program under Section 29.153.          (b)  A child who establishes eligibility under this section   may, subject to available funding and the requirements of this   subchapter, participate in the program until the earliest of the   following dates:                (1)  the date on which the child graduates from high   school;                (2)  the date on which the child is no longer eligible   to attend a public school under Section 25.001;                (3)  the date on which the child enrolls in a public   school, including an open-enrollment charter school, in a manner in   which the child will be counted toward the school's average daily   attendance for purposes of the allocation of funding under the   foundation school program; or                (4)  the date on which the child is declared ineligible   for the program by the comptroller under this subchapter.          Sec. 29.356.  APPLICATION TO PROGRAM. (a) A parent of an   eligible child may apply to an approved educational assistance   organization to enroll the child in the program for the following   semester. The comptroller shall establish semiannual deadlines by   which an applicant must complete and submit an application form to   participate in the program.          (b)  On receipt of more acceptable applications during an   application period for admission under this section than available   positions in the program due to insufficient funding, an approved   educational assistance organization shall, at the direction of the   comptroller and subject to Subsection (c), fill the available   positions by lottery in the following order:                (1)  siblings of children participating in the program;                (2)  children with a disability who are educationally   disadvantaged;                (3)  children who are educationally disadvantaged;                (4)  children with a disability who are not   educationally disadvantaged; and                (5)  applicants not described by Subdivision (1), (2),   (3), or (4).          (c)  In filling available positions under Subsection (b), if   a sibling of a child accepted into the program under that subsection   applied to enroll in the program during the same application period   in which the child was accepted, an approved educational assistance   organization shall, subject to the availability of positions,   concurrently accept the child and the child's sibling into the   program.          (d)  The comptroller shall create an application form for the   program. The application form must state the semiannual   application deadlines established under Subsection (a).          (e)  Each approved educational assistance organization   shall:                (1)  make the application form readily available   through various sources, including the organization's Internet   website; and                (2)  ensure that the application form, including any   required supporting document, is capable of being submitted to the   organization electronically.          (f)  An approved educational assistance organization shall   post on the organization's Internet website an applicant and   participant handbook with a description of the program, including   information regarding:                (1)  approved education-related expenses;                (2)  the assistance the organization provides with   respect to finding and selecting education service providers and   vendors of educational products;                (3)  the application process under this section;                (4)  the program expenditures process under Section   29.360; and                (5)  the responsibilities of program participants.          (g)  An approved educational assistance organization shall   annually provide to the parent of each child participating in the   program the information described by Subsection (f). The   organization may provide the information electronically.          (h)  An approved educational assistance organization:                (1)  may require the parent of a child participating in   the program for whom the organization is responsible to submit   annual notice regarding the parent's intent for the child to   continue participating in the program for the next school year; and                (2)  may not require a program participant in good   standing to annually resubmit an application for continued   participation in the program.          (i)  Not later than the 30th day after the date on which an   approved educational assistance organization requires notice to be   submitted under Subsection (h)(1), the organization shall notify   the comptroller and each other approved educational assistance   organization regarding each notice received under that   subdivision.          Sec. 29.357.  PARTICIPATION IN PROGRAM. To receive funding   under the program, a parent of a child participating in the program   must agree to:                (1)  use money in the child's account only for approved   education-related expenses;                (2)  share or authorize the administrator of an   assessment instrument to share with the program participant's   approved educational assistance organization and the researchers   contracted under Section 29.371 the results of any assessment   instrument required to be administered to the child under Section   29.358(b)(1)(B);                (3)  refrain from selling an item purchased with   program money before the first anniversary of the purchase date;   and                (4)  notify the program participant's approved   educational assistance organization not later than the 30th day   after the date on which the child:                      (A)  enrolls in a public school, including an   open-enrollment charter school;                      (B)  graduates from high school; or                      (C)  is no longer eligible to either:                            (i)  enroll in a public school under Section   25.001; or                            (ii)  enroll in a public school's   prekindergarten program under Section 29.153.          Sec. 29.358.  PREAPPROVED PROVIDERS AND VENDORS. (a) The   comptroller shall by rule establish a process for the preapproval   of education service providers and vendors of educational products   for participation in the program. The comptroller shall allow for   the submission of applications on a rolling basis.          (b)  The comptroller shall approve an education service   provider or vendor of educational products for participation in the   program if the provider or vendor:                (1)  for a private school, demonstrates:                      (A)  accreditation by an organization recognized   by:                            (i)  the Texas Private School Accreditation   Commission; or                            (ii)  the agency; and                      (B)  in each grade level and subject area in which   an assessment instrument is required to be administered under   Section 39.023(a)(1), (2), (3), or (4) or (c), administration of a   nationally norm-referenced assessment instrument or the   appropriate assessment instrument required under Subchapter B,   Chapter 39;                (2)  for a public school, demonstrates:                      (A)  accreditation by the agency; and                      (B)  the ability to provide services or products   to children participating in the program in a manner in which the   children are not counted toward the school's average daily   attendance;                (3)  for a private tutor, therapist, or teaching   service:                      (A)  demonstrates that the tutor or therapist or   each employee of the teaching service who intends to provide   educational services to a child participating in the program:                            (i)  is an educator employed by or a retired   educator formerly employed by a school accredited by the agency, an   organization recognized by the agency, or an organization   recognized by the Texas Private School Accreditation Commission;                            (ii)  holds a relevant license or   accreditation issued by a state, regional, or national   certification or accreditation organization; or                            (iii)  is employed in or retired from a   teaching or tutoring capacity at a higher education provider;                      (B)  the tutor or therapist or each employee of   the teaching service who intends to provide educational services to   a child participating in the program provides to the comptroller a   national criminal history record information review completed by   the tutor, therapist, or employee, as applicable, within a period   established by comptroller rule; and                      (C)  the tutor or therapist or each employee of   the teaching service who intends to provide educational services to   a child participating in the program is not:                            (i)  required to be discharged or refused to   be hired by a school district under Section 22.085; or                            (ii)  included in the registry under Section   22.092;                (4)  for a higher education provider, demonstrates   nationally recognized postsecondary accreditation; or                (5)  for a provider or vendor not described by   Subdivision (1), (2), (3), or (4):                      (A)  demonstrates the ability to provide to   program participants services or products that are approved   education-related expenses;                      (B)  requires each employee of the provider or   vendor who intends to provide educational services to a child   participating in the program to provide to the comptroller a   national criminal history record information review completed by   the employee within a period established by comptroller rule; and                      (C)  demonstrates that each employee of the   provider or vendor who intends to provide educational services to a   child participating in the program is not:                            (i)  required to be discharged or refused to   be hired by a school district under Section 22.085; or                            (ii)  included in the registry under Section   22.092.          (c)  In recognizing an organization for purposes of   Subsection (b)(1)(A)(ii), the agency shall ensure that the   organization, through the organization's accreditation standards,   supports the college, career, and military readiness of children   participating in the program, including by coordinating with the   Tri-Agency Workforce Initiative established under Chapter 2308A,   Government Code.          (d)  The comptroller shall review the national criminal   history record information or documentation for each private tutor,   therapist, teaching service employee, or other employee of an   education service provider or vendor of educational products who   submits information or documentation under this section and verify   that the individual is not included in the registry under Section   22.092. The tutor, therapist, service, or other provider or vendor   must provide the comptroller with any information requested by the   comptroller to enable the comptroller to complete the review.          (e)  An education service provider or vendor of educational   products shall provide information requested by the comptroller to   verify the provider's or vendor's eligibility for preapproval under   Subsection (b). The comptroller may not approve a provider or   vendor if the comptroller cannot verify the provider's or vendor's   eligibility for preapproval.          (f)  A preapproved education service provider or vendor of   educational products that no longer meets the requirements of this   section must notify the comptroller, each approved educational   assistance organization, and each program participant served by the   provider or vendor under the program not later than the 15th day   after the date that the provider or vendor no longer meets the   requirements.  The notice must include the reason the provider or   vendor no longer meets the requirements of this section.  The   comptroller shall adopt a form for use under this subsection.          (g)  The comptroller shall by rule prohibit an education   service provider or vendor of educational products that is not   preapproved under Subsection (a) from receiving payment directly   from a program participant's account for an approved   education-related expense, including an expense incurred after the   date on which a formerly preapproved provider or vendor no longer   meets the requirements of this section.          Sec. 29.359.  APPROVED EDUCATION-RELATED EXPENSES. (a)   Subject to Subsection (b), money in an account may be used only for   the following education-related expenses incurred by a child   participating in the program:                (1)  tuition and fees for a private school, higher   education provider, or educational course or program;                (2)  the purchase of textbooks or other instructional   materials;                (3)  uniforms required by a school, higher education   provider, course, or program in which the child is enrolled;                (4)  costs related to cocurricular activities;                (5)  costs related to academic assessments;                (6)  fees for services provided by a private tutor or   teaching service;                (7)  fees for classes or other educational services   provided by a public school, including an open-enrollment charter   school, if the classes or services do not qualify the child to be   included in the school's average daily attendance;                (8)  for a child with a disability, costs of computer   hardware and software and other technological devices prescribed by   a physician to facilitate a child's education, not to exceed in any   year 10 percent of the total amount paid to the program   participant's account that year;                (9)  fees for transportation provided by a   fee-for-service transportation provider for the child to travel to   and from an education service provider or vendor of educational   products; and                (10)  fees for educational therapies or services   provided by a practitioner or provider, only for fees that are not   covered by any federal, state, or local government benefits such as   Medicaid or the Children's Health Insurance Program (CHIP) or by   any private insurance that the child is enrolled in at the time of   receiving the therapies or services.          (b)  Money in an account may not be used to pay any person who   is related to the program participant within the third degree by   consanguinity or affinity, as determined under Chapter 573,   Government Code.          (c)  A finding that a program participant used money   distributed under the program to pay for an expense not allowed   under Subsection (a) does not affect the validity of any payment   made by the participant for an approved education-related expense   that is allowed under that subsection.          Sec. 29.360.  PROGRAM EXPENDITURES. (a) The comptroller   shall disburse from the program fund to each approved educational   assistance organization the amount specified under Section   29.361(a) for each child participating in the program served by the   organization.          (b)  To initiate payment to a preapproved education service   provider or vendor of educational products for an approved   education-related expense, the parent of a child participating in   the program must submit a request in a form prescribed by   comptroller rule to the approved educational assistance   organization that serves the child.          (c)  Subject to Subsection (e) and Sections 29.362(g) and   29.364, on receiving a request under Subsection (b), an approved   educational assistance organization shall verify that the request   is for an approved education-related expense and, not later than   the fifth business day after the date the organization verifies the   request, send payment to the education service provider or vendor   of educational products.          (d)  Notwithstanding Subsection (b), each approved   educational assistance organization shall establish a process by   which the parent of a child participating in the program who makes a   payment for an approved education-related expense using money other   than money in the child's account may request reimbursement for the   expense from the child's account.  The organization may require the   use of an online platform for purposes of requesting reimbursement.          (e)  A disbursement under this section may not exceed the   applicable program participant's account balance.          (f)  An approved educational assistance organization shall   provide program participants with electronic access to:                (1)  view the participant's current account balance;                (2)  initiate the payment process under Subsection (b);   and                (3)  view a summary of the participant's past account   activity, including payments from the account to education service   providers and vendors of educational products.          Sec. 29.361.  AMOUNT OF PAYMENT; FINANCING. (a) Regardless   of the deadline by which the parent applies for enrollment in the   program under Section 29.356(a), a parent of a child participating   in the program shall receive each year that the child participates   in the program payments from the state to the child's account in a   total amount equal to the sum of:                (1)  the state average maintenance and operations   revenue per student in average daily attendance for the preceding   state fiscal year; and                (2)  for a child who was a child with a disability at   the time the child was initially determined to be eligible for   enrollment in the program, the greater of:                      (A)  $1,500; or                      (B)  if applicable, the amount the school district   in which the child was previously enrolled was entitled to receive   for the child under Chapter 48 based on the child's participation in   the district's special education program for the most recent school   year in which the child participated in that program, as determined   by commissioner rule, including any funding based on the intensity   of service or service group for which the child qualified and   excluding any amount attributable to:                            (i)  the basic allotment under Section   48.051 for time the child spent in a general education setting; or                            (ii)  the allotment under Section 48.101.          (b)  Any money remaining in a child's account at the end of a   fiscal year is carried forward to the next fiscal year unless   another provision of this subchapter mandates the closure of the   account.          (c)  The parent of a child participating in the program is   entitled to make payments for the expenses of educational programs,   services, and products using money other than money in the child's   account.          (d)  A payment under Subsection (a) may not be financed using   federal money or money from the available school fund or   instructional materials and technology fund.          (e)  Payments received under this subchapter do not   constitute taxable income to a parent of a child participating in   the program, unless otherwise provided by federal law.          (f)  Not later than May 1 of each year, the agency shall   submit to the comptroller the data necessary to calculate the   amount specified under Subsection (a).          Sec. 29.362.  ADMINISTRATION OF ACCOUNTS. (a)  On receipt   of money distributed by the comptroller for purposes of making   payments to program participants, an approved educational   assistance organization shall make semiannual payments to the   account of each child participating in the program served by the   organization in equal amounts on or before the first day of July and   January.          (b)  Each year, the comptroller may deduct from the total   amount of money appropriated for purposes of this subchapter an   amount, not to exceed three percent of that total amount, to cover   the comptroller's cost of administering the program.          (c)  Not later than the first day of the month preceding the   start of each quarter, each approved educational assistance   organization shall submit to the comptroller in the form prescribed   by comptroller rule an estimate of the organization's costs of   administering the program for that quarter.          (d)  Each quarter, the comptroller shall disburse from money   appropriated for the program to each approved educational   assistance organization the amount necessary to cover the   organization's costs of administering the program for that quarter,   calculated as provided by Subsection (e). The total amount   disbursed to approved educational assistance organizations under   this subsection for a state fiscal year may not exceed five percent   of the amount appropriated for purposes of this subchapter for that   fiscal year.          (e)  Subject to the limitation under Subsection (d), the   amount of an approved educational assistance organization's   disbursement under that subsection is the lesser of:                (1)  the amount of the organization's estimate   submitted under Subsection (c); or                (2)  the product of the total amount to be disbursed and   the average percentage of program participants served by the   organization during the preceding quarter.          (f)  On or before the first day of October and February, an   approved educational assistance organization shall:                (1)  verify with the agency that each child   participating in the program is not enrolled in a public school,   including an open-enrollment charter school, in a manner in which   the child is counted toward the school's average daily attendance   for purposes of the allocation of state funding under the   foundation school program; and                (2)  notify the comptroller if the organization   determines that a child participating in the program is enrolled in   a public school, including an open-enrollment charter school, in a   manner in which the child is counted toward the school's average   daily attendance for purposes of the allocation of state funding   under the foundation school program.          (g)  On the date on which a child who participated in the   program is no longer eligible to participate in the program under   Section 29.355 and payments for approved education-related   expenses from the child's account have been completed, the child's   account shall be closed and any remaining money returned to the   comptroller for deposit in the program fund.          (h)  Each quarter, any interest or other earnings   attributable to money held by an approved educational assistance   organization for purposes of the program shall be remitted to the   comptroller for deposit in the program fund.          Sec. 29.363.  AUDITING.  (a)  Subject to Subsection (b), the   state auditor:                (1)  shall audit the comptroller and each approved   educational assistance organization with respect to the program's   operation at least once each state fiscal biennium; and                (2)  may audit accounts to ensure compliance with this   subchapter.          (b)  Work performed under this section by the state auditor   is subject to approval by the legislative audit committee for   inclusion in the audit plan under Section 321.013(c), Government   Code.          Sec. 29.364.  SUSPENSION OF ACCOUNT. (a) An approved   educational assistance organization shall suspend the account of a   program participant who fails to remain in good standing by   complying with applicable law or a requirement of the program.  Not   later than the fifth business day after the date on which the   organization suspends an account, the organization shall notify the   comptroller that the account has been suspended.          (b)  On suspension of an account under Subsection (a), the   approved educational assistance organization shall notify the   program participant in writing that the account has been suspended   and that no additional payments may be made from the account. The   notification must specify the grounds for the suspension and state   that the participant has 30 business days to respond and take any   corrective action required to comply with this subchapter.          (c)  On the expiration of the 30-day period under Subsection   (b), the comptroller shall:                (1)  order closure of the suspended account;                (2)  order temporary reinstatement of the account,   conditioned on the performance of a specified action by the program   participant; or                (3)  order full reinstatement of the account.          (d)  A payment to a preapproved education service provider or   vendor of educational products for an approved education-related   expense initiated under Section 29.360(b) before an account is   suspended under this section may not be denied on the basis of the   suspension.          Sec. 29.365.  TUITION AND FEES; REFUND PROHIBITED. (a) An   education service provider or vendor of educational products may   not charge a child participating in the program an amount greater   than the standard amount charged for that service or product by the   provider or vendor.          (b)  An education service provider or vendor of educational   products receiving money distributed under the program may not in   any manner rebate, refund, or credit to or share with a program   participant, or any person on behalf of a participant, any program   money paid or owed by the participant to the provider or vendor.          Sec. 29.366.  REFERRAL TO DISTRICT ATTORNEY. If the   comptroller obtains evidence of fraudulent use of an account or   money distributed under the program by an approved educational   assistance organization, education service provider, vendor of   educational products, or program participant, the comptroller   shall notify the appropriate local county or district attorney with   jurisdiction over the principal place of business of the   organization, provider, or vendor or the residence of the program   participant, as applicable.           Sec. 29.367.  SPECIAL EDUCATION NOTICE. (a) An approved   educational assistance organization shall post on the   organization's Internet website a notice that:                (1)  states that a private school is not subject to   federal and state laws regarding the provision of educational   services to a child with a disability in the same manner as a public   school; and                (2)  provides information regarding rights to which a   child with a disability is entitled under federal and state law if   the child attends a public school, including:                      (A)  rights provided under the Individuals with   Disabilities Education Act (20 U.S.C. Section 1400 et seq.); and                      (B)  rights provided under Subchapter A.          (b)  A private school in which a child with a disability who   is a program participant enrolls shall provide to the child's   parent a copy of the notice required under Subsection (a).          Sec. 29.368.  PROGRAM PARTICIPANT, PROVIDER, AND VENDOR   AUTONOMY. (a) An education service provider or vendor of   educational products that receives money distributed under the   program is not a recipient of federal financial assistance and may   not be considered to be an agent of state government on the basis of   receiving that money.          (b)  A rule adopted or other governmental action taken,   including an action taken by an approved educational assistance   organization, related to the program may not impose requirements   that are contrary to or limit the religious or institutional values   or practices of an education service provider, vendor of   educational products, or program participant, including by   limiting the ability of the provider, vendor, or participant, as   applicable, to:                (1)  determine the methods of instruction or curriculum   used to educate students;                (2)  determine admissions and enrollment practices,   policies, and standards;                (3)  modify or refuse to modify the provider's,   vendor's, or participant's religious or institutional values or   practices, including operations, conduct, policies, standards,   assessments, or employment practices that are based on the   provider's, vendor's, or participant's religious or institutional   values or practices; or                (4)  exercise the provider's, vendor's, or   participant's religious or institutional practices as determined   by the provider, vendor, or participant.          Sec. 29.369.  STUDENT RECORDS AND INFORMATION. (a) On   request by the parent of a child participating or seeking to   participate in the program, the school district or open-enrollment   charter school that the child attends or previously attended shall   provide a copy of the child's school records possessed by the   district or school, if any, to the child's parent or, if requested,   the private school the child attends.          (b)  As necessary to verify a child's eligibility for the   program, the agency, a school district, or an open-enrollment   charter school shall provide to the state auditor and an approved   educational assistance organization any information available to   the agency, district, or school regarding a child who participates   or seeks to participate in the program, including information   regarding the child's public school enrollment status and whether   the child can be counted toward a public school's average daily   attendance for purposes of the allocation of funding under the   foundation school program. The state auditor and the organization   may not retain information provided under this subsection beyond   the period necessary to determine a child's eligibility to   participate in the program.          (c)  An approved educational assistance organization or an   education service provider or vendor of educational products that   obtains information regarding a child participating in the program:                (1)  shall comply with:                      (A)  the requirements regarding the   confidentiality of student educational information under the   Family Educational Rights and Privacy Act of 1974 (20   U.S.C. Section 1232g); and                      (B)  state law regarding the confidentiality of   student educational information; and                (2)  may not sell or otherwise distribute information   regarding a child participating in the program.          Sec. 29.370.  GIFTS, GRANTS, AND DONATIONS. The comptroller   and an approved educational assistance organization may solicit and   accept gifts, grants, and donations from any public or private   source for any expenses related to the administration of the   program, including establishing the program and contracting for the   report required under Section 29.371.          Sec. 29.371.  ANNUAL REPORT. (a)  The comptroller shall   contract with one or more qualified researchers employed by a   higher education provider to compile and publish program data and   produce an annual longitudinal report regarding:                (1)  the number of program applications received,   accepted, and waitlisted, disaggregated by age;                (2)  program participant satisfaction;                 (3)  the results of assessment instruments shared in   accordance with Section 29.357(2);                (4)  the effect of the program on public and private   school capacity, availability, and quality;                (5)  the amount of cost savings accruing to the state as   a result of the program;                (6)  in a report submitted in an even-numbered year   only, an estimate of the total amount of funding required for the   program for the next state fiscal biennium;                (7)  the amount of gifts, grants, and donations   received under Section 29.370; and                (8)  based on surveys of former program participants or   other sources available to the researcher, the number and   percentage of children who participated in the program and, within   one year after graduating from high school, are:                      (A)  college ready, as indicated by earning a   minimum of 12 non-remedial semester credit hours or the equivalent   or an associate degree from a postsecondary educational   institution;                      (B)  career ready, as indicated by:                            (i)  earning a credential of value included   in the library of credentials established under Section 2308A.007,   Government Code; or                            (ii)  employment at or above the median wage   in the child's region; or                      (C)  military ready, as indicated by achieving a   passing score set by the applicable military branch on the Armed   Services Vocational Aptitude Battery and enlisting in the armed   forces of the United States or the Texas National Guard.          (b)  In producing program data and the report, a researcher   shall:                (1)  use appropriate analytical and behavioral science   methodologies to ensure public confidence in the report; and                (2)  comply with the requirements regarding the   confidentiality of student educational information under the   Family Educational Rights and Privacy Act of 1974 (20 U.S.C.   Section 1232g).          (c)  The report must cover the five most recent school years   and include, subject to Subsection (b)(2), the data analyzed and   methodology used.          (d)  The comptroller and each approved educational   assistance organization shall post the report on the comptroller's   and organization's respective Internet websites.          (e)  To the extent consistent with state and federal law   regarding the confidentiality of student educational information,   the program data and report are public information under Chapter   552, Government Code.          Sec. 29.372.  RULES; PROCEDURES. The comptroller shall   adopt rules and procedures as necessary to implement, administer,   and enforce this subchapter.          Sec. 29.373.  APPEAL; JUDICIAL REVIEW. (a) A program   participant may appeal to the comptroller an administrative   decision made by the comptroller or an approved educational   assistance organization under this subchapter, including a   decision regarding eligibility, allowable expenses, or the   participant's removal from the program.          (b)  A program participant, education service provider, or   vendor of educational products who is adversely affected or   aggrieved by a decision made by the comptroller or an approved   educational assistance organization under this subchapter may file   a suit challenging the decision in a district court in the county in   which the program participant resides or the provider or vendor has   its principal place of business, as applicable.          Sec. 29.374.  RIGHT TO INTERVENE IN CIVIL ACTION. (a) A   program participant, education service provider, or vendor of   educational products may intervene in any civil action challenging   the constitutionality of the program.          (b)  A court in which a civil action described by Subsection   (a) is filed may require that all program participants, education   service providers, and vendors of educational products wishing to   intervene in the action file a joint brief. A program participant,   education service provider, or vendor of educational products may   not be required to join a brief filed on behalf of the state or a   state agency.          SECTION 3.  Section 22.092(d), Education Code, is amended to   read as follows:          (d)  The agency shall provide equivalent access to the   registry maintained under this section to:                (1)  private schools;                (2)  public schools; [and]                (3)  nonprofit teacher organizations approved by the   commissioner for the purpose of participating in the tutoring   program established under Section 33.913; and                (4)  the comptroller for the purpose of preapproving   education service providers and vendors of educational products   under Section 29.358 for participation in the program established   under Subchapter J, Chapter 29.          SECTION 4.  Section 411.109, Government Code, is amended by   adding Subsection (b-1) to read as follows:          (b-1)  The comptroller is entitled to obtain criminal   history record information maintained by the department about a   person who is a private tutor, a therapist, or an employee of a   teaching service, school, or other education service provider or   vendor of educational products who intends to provide educational   services to a child participating in the program established under   Subchapter J, Chapter 29, Education Code, and is seeking approval   to receive money distributed under that program.          SECTION 5.  Subchapter J, Chapter 29, Education Code, as   added by this Act, applies beginning with the 2024-2025 school   year.          SECTION 6.  (a)  Not later than February 15, 2024, the   comptroller of public accounts shall adopt rules as provided by   Section 29.372, Education Code, as added by this Act.          (b)  The comptroller of public accounts may identify rules   required by the passage of Subchapter J, Chapter 29, Education   Code, as added by this Act, that must be adopted on an emergency   basis for purposes of the 2024-2025 school year and may use the   procedures established under Section 2001.034, Government Code,   for adopting those rules.  The comptroller of public accounts is not   required to make the finding described by Section 2001.034(a),   Government Code, to adopt emergency rules under this subsection.          SECTION 7.  (a) The constitutionality and other validity   under the state or federal constitution of all or any part of   Subchapter J, Chapter 29, Education Code, as added by this Act, may   be determined in an action for declaratory judgment under Chapter   37, Civil Practice and Remedies Code, in a district court in the   county in which the violation is alleged to have occurred or where   the plaintiff resides or has its principal place of business.          (b)  An order, however characterized, of a trial court   granting or denying a temporary or otherwise interlocutory   injunction or a permanent injunction on the grounds of the   constitutionality or unconstitutionality, or other validity or   invalidity, under the state or federal constitution of all or any   part of Subchapter J, Chapter 29, Education Code, as added by this   Act, may be reviewed only by direct appeal to the Texas Supreme   Court filed not later than the 15th business day after the date on   which the order was entered. The Texas Supreme Court shall give   precedence to appeals under this section over other matters.          (c)  The direct appeal is an accelerated appeal.          (d)  This section exercises the authority granted by Section   3-b, Article V, Texas Constitution.          (e)  The filing of a direct appeal under this section will   automatically stay any temporary or otherwise interlocutory   injunction or permanent injunction granted in accordance with this   section pending final determination by the Texas Supreme Court,   unless the supreme court makes specific findings that the applicant   seeking such injunctive relief has pleaded and proved that:                (1)  the applicant has a probable right to the relief it   seeks on final hearing;                (2)  the applicant will suffer a probable injury that   is imminent and irreparable, and that the applicant has no other   adequate legal remedy; and                (3)  maintaining the injunction is in the public   interest.          (f)  An appeal under this section, including an   interlocutory, accelerated, or direct appeal, is governed, as   applicable, by the Texas Rules of Appellate Procedure, including   Rules 25.1(d)(6), 28.1, 32.1(g), 37.3(a)(1), 38.6(a) and (b),   40.1(b), and 49.4.          (g)  This section does not authorize an award of attorney's   fees against this state, and Section 37.009, Civil Practice and   Remedies Code, does not apply to an action filed under this section.          (h)  This section does not authorize a taxpayer suit to   contest the denial of a tax credit by the comptroller of public   accounts.          SECTION 8.  It is the intent of the legislature that every   provision, section, subsection, sentence, clause, phrase, or word   in this Act, and every application of the provisions in this Act to   each person or entity, is severable from each other. If any   application of any provision in this Act to any person, group of   persons, or circumstances is found by a court to be invalid for any   reason, the remaining applications of that provision to all other   persons and circumstances shall be severed and may not be affected.          SECTION 9.  This Act takes effect immediately if it receives   a vote of two-thirds of all the members elected to each house, as   provided by Section 39, Article III, Texas Constitution.  If this   Act does not receive the vote necessary for immediate effect, this   Act takes effect on the 91st day after the last day of the   legislative session.