July 2016 Committee on Instruction Item 1

Proposed Amendments to 19 TAC Chapter 89, Adaptations for Special Populations, Subchapter C, Texas Certificate of High School Equivalency
(Second Reading and Final Adoption)

July 22, 2016

COMMITTEE ON INSTRUCTION: ACTION
STATE BOARD OF EDUCATION: ACTION

SUMMARY: This item presents for second reading and final adoption proposed amendments to 19 TAC Chapter 89, Adaptations for Special Populations, Subchapter C, Texas Certificate of High School Equivalency. Proposed amendments would update the rules related to the administration of high school equivalency exams by multiple providers as well as offering both paper-based and computer-based testing formats; accommodations for applicants with documented disabilities; court ordered examinations; and fees and other provisions for the issuance of certificates. No changes are recommended since approved for first reading.

STATUTORY AUTHORITY: Texas Education Code (TEC), §7.111.

TEC, §7.111, requires the State Board of Education (SBOE) to adopt rules to develop and deliver high school equivalency examinations and provide for the administration of the examinations online.

EFFECTIVE DATE: The proposed effective date of the proposed amendments is 20 days after filing as adopted with the Texas Register. Under TEC, §7.102(f), the SBOE must approve the rule action at second reading and final adoption by a vote of two-thirds of its members to specify an effective date earlier than the beginning of the 2017-2018 school year. The earlier effective date will allow the agency to implement the multiple vendor system as soon as possible.

PREVIOUS BOARD ACTION: The SBOE adopted 19 TAC Chapter 89, Adaptations for Special Populations, Subchapter C, Texas Certificate of High School Equivalency, effective September 1, 1996. Rules in 19 TAC Chapter 89, Subchapter C, were last revised effective August 20, 2014. A discussion item on the proposed amendments to Chapter 89, Subchapter C, was presented to the Committee on Instruction at its January 2016 meeting. The proposed amendments were approved for first reading and filing authorization at the April 2016 SBOE meeting.

BACKGROUND INFORMATION AND SIGNIFICANT ISSUES: In November 2011, the committee discussed proposed modifications to the current high school equivalency program. The board asked Texas Education Agency (TEA) staff to produce a Request for Information (RFI) to identify available options for the operation of the Texas Certificate of High School Equivalency and report to the board the results of the RFI. At the November 2012 committee meeting, TEA staff presented the results of the RFI and provided information regarding the potential development of a new Texas High School Equivalency Examination. The committee requested that the TEA continue its relationship with the GED® Testing Service and not issue a Request for Proposals (RFP) for a Texas High School Equivalency Examination.

At the September 2013 meeting, the board approved for second reading and final adoption proposed amendments to 19 TAC Chapter 89, Adaptations for Special Populations, Subchapter C, Texas Certificate of High School Equivalency, to update the rules, including the expansion of eligible entities that may apply to become testing centers and the change in the fee structure.

In November 2013, the committee requested that the TEA draft an RFP to solicit proposals for a provider for the Texas Certificate of High School Equivalency examination.

Beginning in January 2014, all tests administered as part of the Texas Certificate of High School Equivalency, with the exception of tests provided by correctional institutions, transitioned from paper-based tests to computer-based tests.

On January 5, 2015, the TEA released a competitive RFP. Responses were due to the TEA on February 17, 2015. At the April 2015 SBOE meeting, the TEA staff presented the results of the RFP. The SBOE requested that the TEA extend the existing provider's Memorandum of Understanding for six months beyond the expiration date and begin the development of a new RFP to potentially identify multiple test providers.

At the July 2015 meeting, the board approved a decision matrix of requirements to be included in a future RFP. During the September 2015 meeting, the board approved the competitive RFP to be released in fall 2015. On October 6, 2015, the TEA released a competitive RFP. Responses were due to the TEA on November 17, 2015.

On January 29, 2016, the board voted to award contracts to three separate companies to provide high school equivalency assessments in Texas. The three companies are Data Recognition Corporation, Educational Testing Service, and GED® Testing Service.

The rules in 19 TAC Chapter 89, Subchapter C, provide for administration of high school equivalency testing and certification, including provisions relating to official testing centers, test taker eligibility, accommodations for examinees with disabilities, and the issuance of high school equivalency certificates.

Proposed amendments to 19 TAC Chapter 89, Subchapter C, shown as Attachment II, would update the rules as follows.

Section 89.42, Official Testing Centers, would be amended to establish entities eligible to serve as official paper-based testing centers, identify potential testing center violations, and update provisions related to the administration of high school equivalency examinations as both paper-based and computer-based testing formats.

Section 89.43, Eligibility for a Texas Certificate of High School Equivalency, would be amended to add the statutory reference for court-ordered examinations and the high school equivalency program and to clarify the age requirements.

Section 89.46, Accommodations, would be amended to prohibit testing centers from charging fees or prepayments to evaluate requests for accommodations and from charging additional fees for the administration of examinations with approved accommodations.

Section 89.47, Issuance of the Certificate, would be amended to update the total state administrative fee and the calculation of that administrative fee; clarify that the certificate must indicate the language, format, and provider of each test taken; and specify that notification of nonissuance or cancellation of a certificate will be made by the state administrator instead of the testing entity.

No changes are recommended since approved for first reading.

FISCAL IMPACT: The TEA has determined that there will be fiscal implications for state and local government as a result of enforcing or administering the proposed amendments. Selection of multiple test providers and conforming amendments to current administrative rules has resulted in a need for the TEA to increase the state administrative fee that is charged to test takers as a condition to the issuance of a high school equivalency certificate. The increased state administrative fee will allow TEA to build and maintain a data system to accept scores and issue certificates administered by additional vendors.

The Texas Certificate of High School Equivalency (TxCHSE) receives no legislative appropriation and is administered solely on the revenue generated by the per test fee paid by the individuals who test for the certificate of high school equivalency. Due to changes in testing format in January 2014 (conversion to computer-based testing) and action by the SBOE in January 2016 (to allow multiple providers to offer the exam battery), the number of test takers has significantly fluctuated since calendar year 2013, and an accurate estimated number of test takers is not able to be determined. In 2014, TEA contributed approximately $140,000 of general revenue to the TxCHSE budget to cover estimated overage costs of administering the TxCHSE. It is anticipated in TEA's budget projections for 2016 that the TxCHSE budget will have an approximate $260,000 budget shortfall. By increasing the fee, the state will have an increase in revenue to cover the program costs.

School district, charter schools, and/or education service centers may choose to serve as testing centers that administer the TxCHSE. Based on preliminary information from the SBOE, testing centers would set their own fee for administering the TxCHSE. As the fee would be set locally, the TEA would not know what the actual costs or revenue would be for each test center. The costs or savings cannot be determined.

There is no direct adverse economic impact for small businesses and microbusinesses; therefore, no regulatory flexibility analysis, specified in Texas Government Code, §2006.002, is required. Businesses may choose to serve as testing centers that administer TxCHSE. Based on preliminary information from the SBOE, testing centers would set their own fee for administering the TxCHSE. As the fee would be set locally, the TEA would not know what the actual costs or revenue would be for each test center. The costs or savings cannot be determined.

There is no effect on local economy for the first five years that the proposed amendments are in effect; therefore, no local employment impact statement is required under Texas Government Code, §2001.022.

PUBLIC AND STUDENT BENEFIT: Benefits include added flexibility in test options and locations for individuals to access the test.

PROCEDURAL AND REPORTING IMPLICATIONS: The proposed amendments would have no procedural or reporting implications.

LOCALLY MAINTAINED PAPERWORK REQUIREMENTS: The proposed amendments would have no new locally maintained paperwork requirements.

PUBLIC COMMENTS: Following the April 2016 SBOE meeting, notice of proposed amendments to 19 TAC Chapter 89, Adaptations for Special Populations, Subchapter C, Texas Certificate of High School Equivalency, was filed with the Texas Register, initiating the official public comment period. No public comments had been received at the time this item was prepared. A summary of any public comments received regarding the proposal will be provided to the SBOE during the July 2016 meeting.

ALTERNATIVES: None.

OTHER COMMENTS AND RELATED ISSUES: A discussion item on the Texas Certificate of High School Equivalency is presented as a separate item in this agenda.

MOTION TO BE CONSIDERED: The State Board of Education:

By an affirmative vote of two-thirds of the members of the board, approve for second reading and final adoption the proposed amendments to 19 TAC Chapter 89, Adaptations for Special Populations, Subchapter C, Texas Certificate of High School Equivalency, with an effective date of 20 days after filing as adopted with the Texas Register.

Staff Members Responsible:
Monica Martinez, Associate Commissioner
Standards and Programs

Stacy Avery, Director
Texas Initiatives
Federal and State Education Policy

Attachments:
I. Statutory Citation (PDF, 17KB)
II. Text of Proposed Amendments to 19 TAC Chapter 89, Adaptations for Special Populations, Subchapter C, Texas Certificate of High School Equivalency (PDF, 30KB)