SB 2927 Texas Senate · 89th Legislature (2025)

Relating to a contract regarding the operation of a school district campus.

SB 2927 requires school districts to include specific financial transparency measures in contracts with open-enrollment charter schools operating district campuses. The bill mandates that contracts must include accurate enrollment/cost projections, clear shared service fee formulas, and direct passing of federal funds (like IDEA and Title I money) without unauthorized deductions. It also requires annual financial reviews to reconcile all partnership payments and gives the state agency authority to provide guidance and audit these contracts. The law applies only to new or renewed contracts after September 1, 2025, and directly affects school districts and charter schools entering such agreements.
Bill status passed 3 of 5 stages cleared
Introduction
Mar 2025
Committee Review
May 2025
Senate Passage
May 2025
House Passage
Governor
Introduced Mar 14, 2025 Last action May 2, 2025
Maddy AI version diff · 1 comparison

What changed between versions

Introduced Engrossed · 6 edits · May 1, 2025
MODERATE
The bill was reorganized and reformatted from its original introduction to an engrossed version, with substantive text changes that clarify requirements for school district contracts with charter schools. The main policy change involves restructuring how contracts must be written and enforced, particularly around financial reviews and federal funding distribution.
Scope change
The bill's scope remains focused on contracts between school districts and charter schools for campus operations, but the applicability language was revised to clarify when new requirements apply versus existing contracts.
REQUIREMENT

Reordered and clarified the vetting process requirements to emphasize accurate financial projections before contract execution

Added explicit requirement for annual financial reviews and reconciliation of partnership payments

FISCAL

Clarified that federal funding must pass directly from district to school without unauthorized deductions

ENFORCEMENT

Reorganized agency authority sections to better separate guidance provision from audit powers

TIMELINE

Updated Section 2 to clarify that new requirements apply only to contracts entered into or renewed on or after the effective date

TECHNICAL

Removed placeholder text, standardized numbering, and corrected formatting inconsistencies from the original draft

Floor votes

How they voted

This bill passed the Senate by voice vote (no roll call recorded).
Full legislative history

Actions timeline

Total actions
24
Key actions
5
Committee
6
May 2, 2025
Committee
Referred to Public Education
lower
May 2, 2025
Introduced
Read first time
lower
May 1, 2025
Introduced
Received from the Senate
lower
May 1, 2025
Upper · Passed
Passed
upper
Apr 22, 2025
Upper · Passed
Committee report printed and distributed
upper
Apr 22, 2025
Upper · Passed
Reported favorably as substituted
upper
Apr 16, 2025
Upper · Passed
Vote taken in committee
upper
Apr 15, 2025
Upper · Passed
Left pending in committee
upper
Apr 7, 2025
Committee
Referred to Education K-16
upper
Apr 7, 2025
Introduced
Read first time
upper
1 primary · 0 co-sponsors

Sponsors

Role
Legislator
Party
State
District
P
Photo of Brandon Creighton
Brandon Creighton
RRepublican
TX
4