House Bill 2 will provide permanent raises for educators and support staff; invest in early learning initiatives; and set aside money for schools to spend on fixed costs, such as utilities and insurance. The bill also increases funding for special education, school safety, student career training and educator preparation.
State senators substantially changed HB 2 before passing it a week earlier. Legislative leaders from both political parties had expressed their support for the long-negotiated school funding package in a May 22 statement.
The latest
House lawmakers voted 122-13 to concur with the Senate amendments to HB 2, which included reducing a boost to base per-student funding, reworking teacher pay provisions and creating new funding allotments. Eight House Republicans and 5 Democrats voted against the changes on May 29.
“It’s about trying to help keep local control,” Rep. Matt Morgan, a Richmond Republican who voted against the Senate’s version of HB 2, told Community Impact May 29. “Our version gave more local control, and that’s why I voted no.”
Rep. Jon Rosenthal, D-Houston, told Community Impact he voted against concurrence due to concerns that HB 2 would not fully fund public education, which he called “the one issue that the constitution of the state actually requires us to fund.”
“They made my original concerns with the first bill even worse by refusing to increase the basic allotment [by more than $55],” Rosenthal said May 29. “It’s a slap in the face. ... I’m for the bill because it puts so much money in schools, which we totally need, but it’s also [much less than] what we need just to cover inflation.”
Morgan and Rosenthal each voted in favor of the previous version of HB 2 in April.
The context
Before the May 29 vote, Rep. James Talarico, D-Austin, asked questions about the changes made to HB 2. Talarico, who said he “would vote for a $1 increase for public education,” questioned why lawmakers had not passed “comprehensive” school finance legislation since 2019, when they raised base per-student funding from $5,140 to $6,160.
Talarico noted that state lawmakers had a nearly $33 billion budget surplus at their disposal in 2023; however, school funding legislation stalled after four special legislative sessions that year.
“Is there a reason why, for six years, we have been unable or unwilling to provide the real funding needed to stop school closures, stop [budget] cuts and stop teacher layoffs?” Talarico asked bill author Brad Buckley, R-Salado, on the House floor.
Buckley did not finish answering the question before the speaking time that House lawmakers receive to explain bills expired, although his opening remarks on the bill highlighted what he deemed “the largest investment in public education in the history of our state.”
“Texas is a big state,” Buckley said May 29. “Every district in our region, from El Paso to Orange and from Texoma to Brownsville, has varying needs and requests for specific support. Satisfying all those needs is an incredible, incredible undertaking, and I believe that this version of House Bill 2... meets that moment.”
Breaking down the bill
HB 2 will provide a $55 increase to the base amount of per-student funding schools receive from the state, known as the basic allotment. Schools can use the basic allotment to fund a variety of needs, including purchasing classroom materials, renovating facilities and paying teachers or support staff.
The $55 basic allotment increase falls short of a $395 boost previously approved by the House, with some school leaders requesting a roughly $1,300 increase to keep up with inflationary costs.
However, over a dozen school associations and advocacy groups praised final passage of HB 2 in a statement released shortly after the vote. Education leaders noted the range of initiatives funded by the bill and thanked lawmakers for providing a “lifeline” to schools facing budget cuts.
“Texas students deserve the highest quality education that our schools can provide, and that requires significant resources from the state,” the Texas Classroom Teachers Association stated. “HB 2’s $8.5 billion investment in teachers and schools, much of it flowing directly into classrooms, represents a targeted approach to providing the support and assistance our students and teachers need.”
Before state senators passed HB 2 one week earlier, they noted that the bill will restructure Texas’ school finance system.
“Everything is not flowing through a basic allotment anymore,” Sen. Royce West, D-Dallas, said May 22. “We have different allotments specified for specific purposes.”
HB 2 will give schools $1.3 billion to cover various fixed costs, such as health insurance, teacher pensions and transportation. Senators said this could reduce districts’ reliance on the basic allotment and give them more spending flexibility.
Bill sponsor Sen. Brandon Creighton, R-Conroe, said the $55 basic allotment increase is “less than 10%” of the new money schools will receive.
“Texans expect education dollars to support teachers and students and [staff],” he said May 22. “The students, at the end of the day, they're our focus.”
Texas will spend “north of $17,700” per student under HB 2, Creighton said. During the 2022-23 school year, the average Texas public school received $15,503 in state, local and federal funds, according to Texas Education Agency data.
More details
HB 2 will also spend $3.7 billion on permanent raises for teachers with at least three years of experience through a new teacher retention allotment.
In districts with 5,000 students or less, teachers with three to four years of experience would receive a $4,000 raise, while those with at least five years of experience would receive an $8,000 boost. In districts with over 5,000 students, educators with three to four years of experience would get a $2,500 raise, and more experienced teachers would earn a $5,000 raise, according to Creighton’s office.
According to previous Community Impact reporting, the 229-page bill will also spend:
- $850 million on overhauling special education funding to allocate resources based on students’ individual needs, rather than where they receive services
- $500 million for raises for support stuff, including bus drivers, janitors and librarians
- $433 million to help young students succeed in reading and math
- $430 million for schools to spend on school safety equipment and initiatives
- $200 million on teacher preparation and certification, including stipends to prospective teachers who complete educator certification programs
