Relating to a credit against required recapture payments for certain school districts for the cost of windstorm and hail insurance under the public school finance system.

HB 3631 creates a credit against required recapture payments for school districts in designated coastal counties (first or second tier under Texas Insurance Code). The bill reduces a district's annual recapture payment by the amount it spent the previous year on windstorm and hail insurance. This credit applies after other applicable reductions under the public school finance system. The bill is pending and would take effect September 1, 2025.