TITLE 19.EDUCATION

Part 2. TEXAS EDUCATION AGENCY

Chapter 66. STATE ADOPTION AND DISTRIBUTION OF INSTRUCTIONAL MATERIALS

The Texas Education Agency (TEA) adopts amendments to 19 TAC §§66.1, 66.7, 66.10, 66.21, 66.24, 66.27, 66.28, 66.36, 66.54, 66.69, 66.78, 66.104, and 66.131, concerning state adoption and distribution of instructional materials. The sections establish procedures for the adoption, purchase, and distribution of instructional materials. The sections also specify definitions, requirements, and procedures related to: general provisions; state adoption of instructional materials; local operations; and disposition of instructional materials. Sections 66.1 and 66.10 are adopted with changes to the proposed text as published in the November 24, 2000, issue of the Texas Register (25 TexReg 11622). Sections 66.7, 66.21, 66.24, 66.27, 66.28, 66.36, 66.54, 66.69, 66.78, 66.104, and 66.131 are adopted without changes and will not be republished. The TEA withdraws the amendment to §66.51 that was filed as proposed in the November 24, 2000, issue of the Texas Register (25 TexReg 11625) in order to consider additional changes. The notice of withdrawal can be found in the Withdrawn Rules section in this issue.

The adopted amendments include changes relating to: scope of rules, back-order penalties; payment of fines; review and adoption cycles; review and renewal of contracts; maximum cost for instructional materials; adoptions by reference; samples; ancillary materials; notification of expected ship dates for back-ordered textbooks; school district responsibility to pay the portion of the cost of instructional materials above the state maximum; and disposition of out-of-adoption instructional materials.

A minor technical edit has been made to §66.1 to correct punctuation.

In response to comments, the following changes have been made to §66.10 since published as proposed.

The word "adopted" has been added to subsections (g) and (i) to references to instructional materials to clarify that the specified penalty provisions apply to failure to deliver adopted instructional materials.

The following comment was received regarding adoption of the amendments.

Comment. A publisher's representative requested an editorial change to the language in proposed amendments to §66.10(g) and §66.10(i) to clarify that references in these subsections refer to failure to deliver adopted instructional materials in a timely manner.

Agency Response. The agency agrees with the comment and has modified the section.

Subchapter A. GENERAL PROVISIONS

19 TAC §§66.1, 66.7, 66.10

The amendments are adopted under the Texas Education Code, §31.003, which authorizes the SBOE to adopt rules for the adoption, requisition, distribution, care, use, and disposal of textbooks.

§66.1.Scope of Rules.

The State Board of Education (SBOE) shall adopt lists of conforming and nonconforming instructional materials for use in the public schools of Texas according to the Texas Education Code, Chapter 31, and the requirements in this chapter. Instructional materials recommended as suitable for use in special populations, including bilingual education programs, shall be adopted according to the rules in this chapter for adopting regular instructional materials.

§66.10.Procedures Governing Violations of Statutes -- Administrative Penalties.

(a)

Complaints. An official complaint alleging a violation of the Texas Education Code, §31.151, must be filed with the commissioner of education. The commissioner may hold a formal or informal hearing in the case of an apparent violation of statute. Upon determining that a violation has occurred, the commissioner shall report his or her findings to the State Board of Education (SBOE).

(b)

Administrative penalties. Under the Texas Education Code, §31.151(b), the SBOE may impose a reasonable administrative penalty against a publisher or manufacturer found in violation of a provision of §31.151(a). An administrative penalty shall be assessed only after the SBOE has granted the publisher or manufacturer a hearing in accordance with the Texas Education Code, §31.151, and the Administrative Procedure Act.

(c)

Penalties for failure to correct factual errors.

(1)

A factual error shall be defined as a verified error of fact or any error that would interfere with student learning. The context, including the intended student audience and grade level appropriateness, shall be considered.

(2)

A factual error repeated in a single item or contained in both the student and teacher components of instructional material shall be counted once for the purpose of determining penalties.

(3)

A penalty may be assessed for failure to correct a factual error identified in the list of editorial corrections submitted by a publisher under §66.54(g) of this title (relating to Samples) or for failure to correct a factual error identified in the report of the commissioner of education under §66.63(d) of this title (relating to Report of the Commissioner of Education) and required by the SBOE. The publisher shall provide an errata sheet approved by the commissioner of education with each teacher component of an adopted title.

(4)

A penalty not to exceed $3,000 may be assessed for each factual error identified after the deadline established in the proclamation by which publishers must have submitted corrected samples of adopted instructional materials.

(d)

Categories of factual errors.

(1)

Category 1. A factual error in a student component that interferes with student learning.

(2)

Category 2. A factual error in a teacher component only.

(3)

Category 3. A factual error in either a student or teacher component that reviewers do not consider serious.

(e)

First-year penalties. The base and per-book penalties shall be assessed as follows for failure to correct factual errors described in subsections (c) and (d) of this section.

(1)

Category 1 error. $25,000 base plus 1% of sales.

(2)

Category 2 error. $15,000 base plus 1% of sales.

(3)

Category 3 error. $5,000 base plus 1% of sales.

(f)

Second-year penalties. The base and per-book penalties shall be assessed as follows if a publisher, after being penalized for failure to correct factual errors described in subsections (c) and (d) of this section, repeats the violation in the subsequent adoption.

(1)

Category 1 error. $30,000 base plus 1% of sales.

(2)

Category 2 error. $20,000 base plus 1% of sales.

(3)

Category 3 error. $10,000 base plus 1% of sales.

(g)

Penalties for failure to deliver adopted instructional materials in a timely manner. The SBOE may assess administrative penalties against publishers who fail to deliver adopted instructional materials in accordance with provisions in the contracts.

(h)

State Board of Education discretion regarding penalties. The SBOE may, if circumstances warrant, waive or vary penalties contained in this section for first or subsequent violations based on the seriousness of the violation, any history of a previous violation or violations, the amount necessary to deter a future violation, any effort to correct the violation, and any other matter justice requires.

(i)

Payment of fines. Each affected publisher shall issue credit to the Texas Education Agency (TEA) in the amount of any penalty imposed under the provisions of this section. When circumstances warrant it, TEA is authorized to require payment of penalties in cash within ten days. Each affected publisher who pays a fine for failure to deliver adopted instructional materials in a timely manner will not be subject to the liquidated damages provision in the publisher's contract for the same failure to deliver adopted instructional materials in a timely manner.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 12, 2001.

TRD-200100874

Criss Cloudt

Associate Commissioner, Accountability Reporting and Research

Texas Education Agency

Effective date: March 4, 2001

Proposal publication date: November 24, 2000

For further information, please call: (512) 463-9701


Subchapter B. STATE ADOPTION OF INSTRUCTIONAL MATERIALS

19 TAC §§66.21, 66.24, 66.27, 6628, 66.36, 66.54, 66.69, 66.78

The amendments are adopted under the Texas Education Code, §31.003, which authorizes the SBOE to adopt rules for the adoption, requisition, distribution, care, use, and disposal of textbooks.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 12, 2001

TRD-200100873

Criss Cloudt

Associate Commissioner, Accountability Reporting and Research

Texas Education Agency

Effective date: March 4, 2001

Proposal publication date: November 24, 2000

For further information, please call: (512) 463-9701


Subchapter C. LOCAL OPERATIONS

19 TAC §66.104

The amendment is adopted under the Texas Education Code, §31.003, which authorizes the SBOE to adopt rules for the adoption, requisition, distribution, care, use, and disposal of textbooks.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 12, 2001.

TRD-200100872

Criss Cloudt

Associate Commissioner, Accountability Reporting and Research

Texas Education Agency

Effective date: March 4, 2001

Proposal publication date: November 24, 2000

For further information, please call: (512) 463-9701


Subchapter E. DISPOSITION OF INSTRUCTIONAL MATERIALS

19 TAC §66.131

The amendment is adopted under the Texas Education Code, §31.003, which authorizes the SBOE to adopt rules for the adoption, requisition, distribution, care, use, and disposal of textbooks.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 12, 2001.

TRD-200100871

Criss Cloudt

Associate Commissioner, Accountability Reporting and Research

Texas Education Agency

Effective date: March 4, 2001

Proposal publication date: November 24, 2000

For further information, please call: (512) 463-9701


Chapter 109. BUDGETING, ACCOUNTING, AND AUDITING

Subchapter D. UNIFORM BANK BID AND DEPOSITORY CONTRACT

19 TAC §109.51, §109.52

The Texas Education Agency (TEA) adopts amendments to 19 TAC §109.51 and §109.52, concerning uniform bank bids and depository contracts, without changes to the proposed text as published in the November 24, 2000, issue of the Texas Register (25 TexReg 11628) and will not be republished. Section 109.51 establishes the requirement that each school district submit a blank uniform bid form to each bank located in the district and, if desired, to other banks interested in acting as depository for all funds. The section includes the bid form prescribed by the State Board of Education (SBOE). Section 109.52 establishes the requirement that each school district select a bank or banks as school depository or depositories and enter into a depository contract or contracts with the bank or banks. A school district may also enter into a bond or bonds with the bank or banks. The section includes the depository contract form with the content prescribed by the SBOE.

The adopted amendments include updates to the bid form (Figure 19 TAC §109.51(b)) and the contract form (Figure 19 TAC §109.52(b)) and the addition of a new surety bond form (Figure 19 TAC §109.52(d)). Revisions to the bid form and contract form include: wording to specify that the content of a surety bond is defined in SBOE rule; details relating to surety bonds such as payments, signatures, school district board of trustee approval, and bond conditioning; specifications regarding the location for the venue for litigation; and conditions for early withdrawal penalties related to interest rates. In addition, revision to the contract form stipulates that the length of the contract extends until a successor is selected and qualified. The new surety bond form sets forth requirements relating to: guarantee; designation of depository owner(s) and account(s); limit of liability; payment of loss; termination or cancellation; responsibility of bank; consolidation or merger; and sole use and benefits.

No comments were received regarding adoption of the amendments.

The amendments are adopted under the Texas Education Code, §7.102(b)(34), which requires the SBOE to prescribe uniform bid blanks for school districts to use in selecting a depository bank as required under §45.206; and §45.208, which requires the SBOE to prescribe the form and content of a depository contract or contracts, bond or bonds, or other necessary instruments setting forth the duties and agreements pertaining to a depository.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 12, 2001.

TRD-200100870

Criss Cloudt

Associate Commissioner, Accountability Reporting and Research

Texas Education Agency

Effective date: March 4, 2001

Proposal publication date: November 24, 2000

For further information, please call: (512) 463-9701