2022-2023 State Compensatory Education (SCE) Allotment Census Block Groups

The United States Census Bureau released adjusted census block groups in Spring 2022 based on the 2020 decennial census. The updated census block groups have significant adjustments when compared to prior year data. This letter is to inform you that the Texas Education Agency (TEA) has adjusted the tier assignments on census block groups. 

The changes will impact funding for the 2022–2023 school year (SY) based on Texas Education Code (TEC), §48.104, Compensatory Education Allotment, and §48.112, Teacher Incentive Allotment.

State Compensatory Education (SCE) 

Overview

SCE funding is based on each student census block group submitted in the PEIMS Fall submission. A census block group number must be submitted for every educationally disadvantaged student except those students who are homeless, not enrolled, ADA-ineligible or who reside in a residential facility and whose parents live outside the district. 

The agency is required to provide local educational agencies (LEAs) with a resource for use in determining the census block group in which a student resides. The Census Block Group tool is being moved from the TEA website to the Texas Student Data System (TSDS) utility suite on July 29, 2022. The TSDS Census Block Group tool is a downloadable utility that will utilize the 2020 census data when assigning Census Block Group numbers to students for the 2022—2023 PEMS Fall submission. The Census Block Group Map will also be updated in July to use the 2020 census data. The map can be found here:

http://www.tea.texas.gov/Texas_Schools/General_Information/Census_Block_Group_Tools

TSDS PEIMS reporting requirements regarding census block groups can be found in the Texas Education Data Standards.

Funding

School districts and open-enrollment charter schools receive an annual allotment equal to the basic allotment multiplied by one of five weight factors for students determined to be educationally disadvantaged. These weights are based on the tier (Tiers 1-5) assigned to the census block group in which a student who is educationally disadvantaged resides. The data used to generate census block group tier values for each student is derived from the PEIMS Fall submission.

Previous State Compensatory Education (SCE) tier assignments utilized counts of economically disadvantaged students taken from PEIMS data as provided by LEAs. Since this year’s SCE tier assignments rely on U.S. Census decennial year 2020 data, the total number of block groups in Texas was updated from 15,811 for previous years to 18,638 block groups, and all individual block group assignments across the state were renumbered. Additionally, the number of students per block group displayed will now comprise the total population of people 0-18 years of age regardless of economic disadvantage, as found in ACS 5-year table B09018 Population under 18 years in households (excluding householders, spouses, and unmarried partners).

This state compensatory education data is also utilized in the calculation of the Teacher Incentive Allotment as described below:

Teacher Incentive Allotment (TIA)

Overview 

LEAs, if they choose, may designate high performing teachers as master, exemplary, or recognized with an approved local optional teacher designation system.  

• LEAs receive $3,000 - $32,000 per year for every designated teacher they employ. 
• LEAs receive greater funding for designated teachers who work on rural and/or high-needs campuses. 
• At least 90% of the Teacher Incentive Allotment funds must be used on teacher compensation on the campus where the designated teacher works. Up to 10% can be used for costs associated with implementing the local designation system or to support teachers in obtaining designations. All funds must be expended by August 31st of each year. 
• National Board-Certified Teachers may automatically earn a recognized designation.
• Fees paid under TEC, §21.3521, are reimbursable through an increased allotment out of the Foundation School Program. Districts may also submit for National Board fee reimbursement once a teacher becomes National-Board certified.  

Funding 

The LEA campus funding formula per designation is listed below. The exact dollar amount an LEA would receive for a designated teacher depends on the level of designation, whether the campus at which the teacher works is rural, and the level of socio-economic need at the campus. The basic formula to calculate TIA amounts for each teacher designation for a campus is:

TIA amount = Base + (Multiplier x Average Student Point Value)

There is a maximum TIA amount for each teacher designation.

The TIA allotment amounts are calculated annually each April. The 2021-2022 allotment amounts were published in April 2022, utilizing 2021-2022 SCE data. The 2022-2023 allotment amounts will be calculated utilizing the updated SCE data and rural statuses in April 2023.

Questions

Nothing stated in this correspondence supersedes the Texas Education Code or the Texas Administrative Code. If you have any questions related to SCE under TEC, §48.104, please contact the division of state funding by phone at (512) 463-9238 or by email at sfinance@tea.texas.gov. If you have any questions related to the TIA under TEC, §48.112, please contact the Teacher Incentive Allotment team by email at tia@tea.texas.gov. 

Sincerely,
Sara Kohn, CPA, RTSBA
Director of Forecasting & Fiscal Analysis