Excess Local Revenue

Chapter 41, Education Code, was repealed. House Bill 3 amended the Education Code to transfer certain sections from Chapter 41 to Chapter 49, and revised formulas used to determine excess local revenue under the FSP by adding Subchapter F, Chapter 48, Education Code, Section 48.257, Local Revenue in Excess of Entitlement. This section of the Texas Education Code (TEC) makes provisions for certain school districts to share their local tax revenue with other school districts. These provisions are sometimes referred to as “share the wealth” or “Robin Hood” plan because recaptured funds are redistributed by the school finance system to assist with the financing of public education for all school districts.

Law and Rules

• Chapter 49. Options for Local Revenue Levels in Excess of Entitlement
• 19 Texas Administrative Code Chapter 62, Commissioner's Rules Concerning the Equalized Wealth Level

Reports, Links and Other Information

• Cost of Recapture Report (School Years 2018–2019 and prior)
• Worksheets (Courtesy of ESC 13. See the worksheets labeled "SOF xxxx HB1525" in the state aid template.)
• State Aid Template 2022-2025
• School Finance Topics - One Page Description

Payment Instructions

Option 3 Payment Schedule Report

• 2023–2024 Option 3 Payment Schedule Report

Frequently Asked Questions

• Excess Local Revenue Questions and Answers

Correspondence

Manuals

• Options and Procedures for Local Revenue in Excess of Entitlement 2023-2024 "Draft" (PDF, 1179 KB)
• Options and Procedures for Local Revenue in Excess of Entitlement 2022-2023 (PDF, 1030 KB)
• Options and Procedures for Local Revenue in Excess of Entitlement 2021-2022 (PDF, 964 KB)
• Options and Procedures for Local Revenue in Excess of Entitlement 2020-2021 (PDF, 990 KB)
• Options and Procedures for Local Revenue in Excess of Entitlement 2019-2020 (PDF, 1.15 MB)
• Manual for Districts Subject to Wealth Equalization (Chapter 41) 2018–2019 (PDF, 1.7 MB)
• Manual for Districts Subject to Wealth Equalization (Chapter 41) 2017–2018 (PDF, 1.7 MB)
• Manual for Districts Subject to Wealth Equalization (Chapter 41) 2016–2017 (PDF, 2044 KB)
• Manual for Districts Subject to Wealth Equalization (Chapter 41) 2015–2016 (PDF, 1.2 MB)
• Manual for Districts Subject to Wealth Equalization (Chapter 41) 2014–2015 (PDF, 1253 KB)
• Manual for Districts Subject to Wealth Equalization (Chapter 41) 2013–2014 (PDF, 950 KB)

Option 3 Agreements

• Purchase of Attendance Credit (PDF, 110 KB)
• Purchase of Attendance Credit (Netting Chapter 48 Funding) (PDF, 105 KB)

Option 4 Agreements

• Education of Nonresident Students, with CAD Cost Language (PDF, 102 KB)
• Education of Nonresident Students, no CAD Cost Language (PDF, 87 KB)

Notification Status, Partner District Data and Recapture Paid

Excess Local Revenue Status

Potential Partner Districts

Recapture Paid

• 1994–2024 Recapture Paid by District (Excel, 129 KB)
• 1994–2024 Recapture Paid by District (PDF, 206 KB)