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Bill

SB 2937

Relating to the compensatory education allotment for homeless students or students in foster care under the Foundation School Program.

89th Legislature (2025) Introduced by José Menéndez

Bill increases compensatory education funding for Texas schools serving homeless and foster care students to better support their educational needs and stability.

Referred to Education K-16
#education--primary&secondary--finance(i0250) #family&protectiveservices #departmentof(v0461) #fostercare(s0064) #foundationschoolprogram(s0541) #homeless(s0243) #housing--homelesspersons(i0404)
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Bill Summary · SB 2937

Legislative bill overview

SB 2937 proposes to modify Texas's Foundation School Program by adjusting the compensatory education allotment specifically for students experiencing homelessness or in foster care. The bill targets additional funding resources toward schools serving these vulnerable student populations, who typically face significant educational barriers and mobility challenges.

Why is this important

Homeless and foster care students have substantially higher rates of school absences, grade retention, and dropout compared to their peers, directly affecting both their life outcomes and school district funding formulas. Current funding mechanisms may not adequately reflect the elevated instructional and support costs required to serve these high-need populations effectively. Adjusting compensatory allotments could enable schools to provide specialized services like case management, counseling, and tutoring that help stabilize these students' education.

Potential points of contention

  • Funding source uncertainty – Whether increased allotments come from new revenue, reallocation from other programs, or redistribution among school districts, with potential winners and losers
  • Definitional challenges – How schools identify and verify homeless or foster care status, which affects funding accuracy and creates administrative burden
  • Effectiveness questions – Debates over whether compensatory funding targeting alone addresses root causes (housing insecurity, trauma, family instability) versus need for broader social services coordination

Compiled from official sources — confirm details with the bill’s official record.

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