Sec. 11.184. EFFICIENCY AUDIT. (a) For purposes of this section, "efficiency audit" means an investigation of the operations of a school district to examine fiscal management, efficiency, and utilization of resources.

(b) Except as provided by Subsection (b-1), the board of trustees of a school district shall conduct an efficiency audit before seeking voter approval to adopt a tax rate for the maintenance and operations of the district at an election held for that purpose and may not hold the election without complying with this section.

(b-1) The board of trustees of a school district all or part of which is located in an area declared a disaster area by the governor under Chapter 418, Government Code, may hold an election to seek voter approval to adopt a maintenance and operations tax rate during the two-year period following the date of the declaration without conducting an efficiency audit otherwise required under this section.

(c) A school district must pay for the costs associated with an efficiency audit required under this section.

(d) The board of trustees of a school district must select an auditor to conduct an efficiency audit under this section not later than four months before the date on which the district proposes to hold an election to adopt a maintenance and operations tax rate.

(e) The board of trustees of a school district may select for purposes of Subsection (d) the auditor that conducts the district's annual audit under Section 44.008 and may include the efficiency audit as part of the district's annual audit.

(f) The Legislative Budget Board shall establish guidelines identifying the scope and areas of investigation of an efficiency audit, including identification of resources being used effectively and efficiently and identification of cost savings or reallocations. The Legislative Budget Board may consult with the agency to identify areas in which school districts in this state have a demonstrated history of effectively utilizing resources to improve student achievement and achieve cost savings. The auditor selected by the board of trustees of a school district must follow the guidelines established by the Legislative Budget Board under this subsection.

(g) An auditor selected by the board of trustees of a school district must maintain independence from the district and complete the efficiency audit not later than three months after the date the auditor was selected.

(h) Before an election at which a school district seeks voter approval to adopt a tax rate the board of trustees of the school district must hold an open meeting to discuss the results of the efficiency audit conducted under this section. Not later than 30 days before the date of the election, the results of an efficiency audit conducted under this section must be posted on the school district's Internet website.

(i) A school district shall provide all documents, records, and personnel requested by the auditor as needed to conduct the audit in an efficient manner.

Added by Acts 2019, 86th Leg., R.S., Ch. 943 (H.B. 3), Sec. 1.001, eff. January 1, 2020.