TX HB1703

Replaces "average daily attendance" (ADA) with "average enrollment" (AE) as the basis for calculating public school funding throughout the Texas Education Code, fundamentally changing how school districts receive state funds

Requires the Commissioner of Education to adopt rules determining the method to calculate average enrollment, including establishing minimum instructional time requirements for full or half average enrollment eligibility

Removes provisions related to flexible year programs and flexible school day programs that previously had separate attendance calculation methods, streamlining the funding formula

Maintains existing protections for districts experiencing enrollment declines of 2% or more, allowing funding based on up to 98% of the preceding year's enrollment (or 100% if decline is due to military base closures)

Applies the enrollment-based funding model consistently across charter schools, special education programs, career and technology education, bilingual education, and other specialized programs previously funded based on daily attendance