Finance

• ICYMI: Final FIRST Ratings for 2024-25 were released last week.
   
• Federal changes have increased the micro-purchase threshold and simplified acquisition threshold (from $10K-$15K and $250K-$350K, respectively). Guidance for implementing these changes locally can be found here. 
   
• The definition of students at risk of dropping out of school has been expanded through Senate Bill 991 to include chronically absent and truant students. Chronic absenteeism is different from truancy in that some types of excused absences count toward the 10% threshold.
   
• The state AP/IB Fee subsidy for eligible students will be $27 per exam. This means that after the $37 fee reduction from College Board and the $9 rebate are removed, the actual cost per student for AP exams will be $26 per exam.
   
• Indirect Cost Rate Proposals for ISD's only, are due January 16, 2026. There are online training sessions available from TEA.

Accountability

• The number of Industry-Based Certifications taking effect this year has increased to 523, from 309 in 2024-25. However, they won’t apply to accountability ratings until 2027. At that time, schools may not earn CCMR credit for more than 20% of graduates who exclusively met CCMR from an IBC dropped from the list.

• The Leaver Records Data Validation system will have changes for the 2025-26 and 2026-27 school years. For the Fall 2025 PEIMS submission, school systems should use the Manual published on October 29 to review their 2024-25 leaver data.

• Masked public reports and program area determinations under Results Driven Accountability framework are now available for the 2025-26 school year. The four determination levels are aligned with federal requirements, as well as new House Bill 6 requirements.

Don’t Forget: Updated Grant Opportunity in LASO 4

The Leadership and Instructional Foundations for Texas (LIFT) program is part of the LASO Cycle 4 Grant, which is open until December 3, 2025. This is a three-year, grant-funded program that merges Strong Foundations, Texas Instructional Leadership, and Texas Lesson Study into a cohesive system of support that is flexible to district needs.

According to the TEA One-Pager, LIFT funding levels vary from $855K-4.5M depending on the district participation size and the current program year. They expect to award at least 350 districts.

MoakCasey is here to help district leaders assess whether grant programs fit within their current goals and needs, and we can also support your application process.

TAMS/TARS/MoakCasey Annual Legislative Conference

Saddle up and join school leaders from across the Lone Star State for the TAMS/TARS/MoakCasey Legislative Conference on December 4-5, 2025, at the Sheraton Austin Georgetown Hotel and Conference Center. This year’s Legislative Conference will bring together superintendents, policymakers, and education advocates for two days of powerful conversations, practical insights, and Texas-sized collaboration.

• Conference registration link 
• Golf registration link 
• Hotel registration link (Book by 11/18 to get the conference rate)

Other Education News

• Governor Greg Abbott laid out a plan to address property tax reform during his reelection campaign announcement this week. This includes:
  • Requiring a two-thirds voter approval for entities raising taxes over the 3.5% threshold;
  • Allowing voters to reduce their local tax rate through a petition to hold an election;
  • Updating reappraisals every five years (instead of every three) 
  • Lowering the appraisal cap from 10% to 3% and expanding it to all properties; and
  • Eliminating school property taxes for homeowners.
     
• In January, the U.S. Court of Appeals for the Fifth Circuit will hear the case regarding Senate Bill 10, which allows for posting of the Ten Commandments in public school classrooms. The hearing will be followed by an “expedited” schedule for a decision. Texas Attorney General Ken Paxton previously issued a legal advisory to school districts, which explains the various requirements of the law and provides clarity about the impact of the litigation.
   
• New research about cell phone bans shows that they are connected to improvement in academic outcomes and attendance. The study was conducted by the University of Rochester and the RAND Corporation, using data from Florida’s 2023 statewide cell phone restriction policy. The policy is similar to the new HB 1481 requirements we have in Texas. Read more.