Texas HB423 prohibits school district trustees from entering into contracts with trustees or companies where trustees have an ownership interest and.

Texas HB423 amends the Education Code to prohibit the board of trustees of a school district from entering into contracts with a trustee or a company where a trustee holds an ownership interest and expects to receive significant financial gain. Trustees must disclose any such ownership interests. Contracts entered into in violation of this provision are void. The commissioner of education must adopt rules to implement these changes by December 1, 2025. The law takes effect September 1, 2025.

Texas HB423 prohibits school district trustees from entering into contracts with trustees or companies where trustees have an ownership interest and.

Texas HB423 amends the Education Code to prohibit the board of trustees of a school district from entering into contracts with a trustee or a company where a trustee holds an ownership interest and expects to receive significant financial gain. Trustees must disclose any such ownership interests. Contracts entered into in violation of this provision are void. The commissioner of education must adopt rules to implement these changes by December 1, 2025. The law takes effect September 1, 2025.