TX HB1770

Increases the basic allotment under the Foundation School Program from $6,160 to $7,500 per student in average daily attendance, effective September 1, 2025

Establishes an automatic annual inflation adjustment beginning with the 2026-2027 school year, increasing the basic allotment by the lesser of 3% or the Consumer Price Index for All Urban Consumers inflation rate

Prohibits negative adjustments by setting a floor of zero if the inflation rate is negative, ensuring the allotment never decreases due to deflation

Allows the legislature to appropriate a lesser amount than the inflation-adjusted figure through the General Appropriations Act, provided it does not fall below the base $7,500 allotment

Updates the guaranteed yield formulas for tier two funding to reference the new $7,500 basic allotment and the inflation adjustment provisions