Recapture Paid by School District
Explore how much recapture each Texas school district has paid since 1993–94.
Historical recapture
Background
Each year, the Texas Education Agency identifies and notifies school districts that collect excess local property tax revenue beyond the entitlement established by the Texas legislature.
These school districts were originally subject to Chapter 41, Education Code, until it was repealed when House Bill 3 amended the Education Code to transfer certain sections from Chapter 41 to Chapter 49. At that time, it revised formulas used to determine excess local revenue under the Foundation School Program (FSP) by adding Subchapter F, Chapter 48, Education Code, Section 48.257, Local Revenue in Excess of Entitlement. This section of the Texas Education Code (TEC) makes provisions for certain school districts to share their local tax revenue with other school districts. These provisions are sometimes referred to as “Robin Hood” plan because recaptured funds are redistributed by the school finance system to assist with the financing of public education for all school districts.
The recaptured funds do not automatically increase funding for public education. Rather, recaptured funds reduce the state’s obligation to contribute state aid to FSP which frees up state funds to be used for any other purpose.