State Compensatory Education

The goal of the State Compensatory Education (SCE) program is to provide funding to reduce disparity in performance on assessment instruments or disparity in the rates of high school completion between educationally disadvantaged students, at-risk students, and all other students. The SCE program aims to increase academic achievement and reduce the dropout rate for these students by providing compensatory programs and services.

Statutes and correspondence related to the SCE program are listed below.

• The Texas Education Code (TEC) §28.0211 pertains to satisfactory performance on state assessment instruments and providing accelerated instruction to certain students.
• The TEC §29.081 defines the purpose of the SCE program and the statutory criteria for determining if a student is at risk of dropping out of high school.
• The TEC §48.104 provides the method for TEA to calculate school district and charter school allotments.
• 19 Texas Administrative Code (TAC) §61.1027 is related to the eligible student count for the compensatory education allotment.

Campus and District Improvement Plans

The Texas Education Code (TEC), §29.081(b-2) requires that any district required to provide accelerated instruction under §29.081(b-1) must allocate sufficient funds for this purpose. This includes budgeting funds from the Compensatory Education allotment (TEC §48.104) to ensure that at-risk students receive the necessary support.

School districts and charter schools with an annual Compensatory Education allotment of $750,000 or more must submit two campus improvement plans to TEA on or before the date, which is 150 days after the final PEIMS midyear collection resubmission date. (The 150th day following the last day is acceptable for submitting data for the PEIMS midyear collection resubmission.)

Campus improvement plans must be reviewed and revised each year. Requirements for these plans, including who should participate in the planning process, are outlined in TEC §11.251 for district-level planning and TEC §11.253 for campus-level planning. Submit the district plan only if it includes substantial and supporting SCE information. The review highlights the thorough documentation of crucial details regarding the SCE program.

Access to the TEA Login (TEAL) system’s AUDIT application requires the roles of Charter AFR User, Charter AFR and Depository Contract User, ISD User, or ISD AFR and Depository Contract User to upload plans. The naming conventions and submission instructions start on page five of the Electronic Report Submission Standards (PDF, 1,182 KB) manual, available on the Electronic Submissions webpage.

Submission Summary

If submitting the District Improvement Plan, the file name should begin with the school's six-digit county-district number, followed by the letter "t", and end with the last digit of the fiscal year (e.g.., 123456t4).

The Campus Improvement Plans should have a filename that begins with the school's six-digit county-district number, followed by the three-digit campus number, then the letter "p", and ending with the last digit of the fiscal year (e.g., 123456789p4). The submission of the SCE evaluation is required only for campuses with an at-risk percentage of 59% or for F-rated campuses.

The SCE evaluation is named after the school's six-digit county-district number, followed by the letter "e", and ending with the last digit of the fiscal year (e.g., 123456e4).

Uploading the plans:

1. Log into TEAL and select Audit from the application listing.
2. Select IMPORT Audit Data from the menu.
3. Click on the Display button.
4. On the import screen, roll the year to 2023 (upper right corner) if it displays 2024.
5. The SCE section is located towards the bottom of the page.
6. Each file should be submitted separately.
7. Use the browse button to locate the file on your computer.
8. Click the Upload Now button at the bottom of the page to submit the file.
9. The system should display a successful/unsuccessful upload message and email the same message to the email address associated with the submitter's TEAL account.
10. Return to the import screen to submit the next file.
11. At any time, the submitter can use the VIEW District Status menu option, after rolling back the year to 2023-2024, to view the submissions made.

For more detailed information about the campus and district improvement and charter instructional plans, refer to the Financial Accountability System Resource Guide (FASRG) Module 6 (texas.gov), Section 6.2.2.

Frequently Asked Questions

• State Compensatory Education Frequently Asked Questions - Updated 10/26/2021 (PDF, 734 KB)

Sample Letters, Forms, and Instructions

• Alternative Compensatory Education Allotment Reporting Procedures (PDF, 134 KB)
• 2025-2026 Form SF-141R25.26 - English (PDF, 318 KB)
• 2025-2026 Form SF-141R25.26 - Spanish (PDF, 374 KB)
• 2025-2026 Income Eligibility Guidelines (PDF, 137 KB)

Other Contacts and Resources