June 23, 2026 Committee of the Full Board Item 2
Proposed New 19 TAC Chapter 113, Texas Essential Knowledge and Skills for Social Studies, Subchapter C, High School, §113.26, Personal Financial Literacy (One-Half Credit), Adopted 2026
(First Reading and Filing Authorization)
June 26, 2026
COMMITTEE OF THE FULL BOARD: ACTION
STATE BOARD OF EDUCATION: ACTION
SUMMARY: This item presents for first reading and filing authorization proposed new 19 Texas Administrative Code (TAC) Chapter 113, Texas Essential Knowledge and Skills for Social Studies, Subchapter C, High School, §113.26, Personal Financial Literacy (One-Half Credit), Adopted 2026. The proposed new rule would update the Texas Essential Knowledge and Skills (TEKS) for the high school personal financial literacy course to ensure alignment with requirements in House Bill (HB) 27, 89th Texas Legislature, Regular Session, 2025, and ensure the standards remain current.
STATUTORY AUTHORITY: Texas Education Code (TEC), §§7.102(c)(4); 28.002(a) and (c); and 28.025(a) and (b-24).
TEC, §7.102(c)(4), requires the State Board of Education (SBOE) to establish curriculum and graduation requirements.
TEC, §28.002(a), identifies the subjects of the required curriculum.
TEC, §28.002(c), requires the SBOE to identify by rule the essential knowledge and skills of each subject in the required curriculum that all students should be able to demonstrate and that will be used in evaluating instructional materials and addressed on the state assessment instruments.
TEC, §28.025(a), requires the SBOE to determine by rule the curriculum requirements for the foundation high school graduation program that are consistent with the required curriculum under TEC, §28.002.
TEC, §28.025(b-24), as added by HB 27, 89th Texas Legislature, Regular Session, 2025, requires the SBOE to allow a student to comply with the curriculum requirement for a one-half credit in personal financial literacy by successfully completing an advanced placement (AP) course designated by the SBOE as containing substantively similar and rigorous academic content.
The full text of statutory citations can be found in the links above.
EFFECTIVE DATE: The proposed effective date of the proposed new section is 20 days after filing as adopted with the Texas Register. Under TEC, §7.102(f), the SBOE must approve the rule action at second reading and final adoption by a vote of two-thirds of its members to specify an effective date earlier than the beginning of the 2027-2028 school year. The earlier effective date will enable school systems to begin preparing for implementation of the new TEKS.
PREVIOUS BOARD ACTION: The SBOE adopted 19 TAC §113.49, Personal Financial Literacy (One-Half Credit), Adopted 2016, effective August 22, 2016. In June 2022, the SBOE adopted §113.76, Personal Financial Literacy and Economics, effective August 1, 2022. At the April 2026 meeting, the SBOE removed §113.26, Personal Financial Literacy (One-Half Credit), Adopted 2026, from proposed new Chapter 113, Subchapters A-D, and approved the remaining proposal for first reading and filing authorization.
BACKGROUND INFORMATION AND JUSTIFICATION: In accordance with statutory requirements that the SBOE identify by rule the essential knowledge and skills of each subject in the required curriculum, the SBOE follows a board-approved cycle to review and revise the essential knowledge and skills for each subject.
In 2013, the 83rd Texas Legislature passed HB 2662, amending TEC, §28.0021, to require school districts and open enrollment charter schools offering a high school program to provide a one-half credit elective course in personal financial literacy. In January 2016, the SBOE adopted TEKS for the elective course in personal financial literacy to be implemented beginning with the 2016-2017 school year.
In 2021, Senate Bill (SB) 1063, 87th Texas Legislature, Regular Session, amended TEC, §28.025, to add a one-half credit course in personal financial literacy and economics as an option to meet the one-half credit graduation requirement for economics under the Foundation High School Program. SB 1063 required that the SBOE adopt TEKS for the personal financial literacy and economics course and that the required curriculum for the course allocate two-thirds of the instructional time to personal financial literacy and one-third of instructional time to economics. At its June 2022 meeting, the SBOE adopted TEKS for the new course, §113.76, Personal Financial Literacy and Economics, and the rule became effective August 1, 2022.
In 2025, the 89th Texas Legislature, Regular Session, passed HB 27, which revised the high school social studies graduation requirement for students who enter Grade 9 in the 2026-2027 school year and thereafter. Under HB 27, students must successfully complete a one-half credit personal financial literacy course instead of the one-half credit economics course or one-half economics and personal financial literacy and economics course to satisfy the economics requirement under the Foundation High School Program. Additionally, the bill permits students in this cohort to select the third social studies credit required for graduation from one credit in economics, world geography, or world history. As a result, the bill requires the approval of a one-credit economics course for this cohort while the current one-half economics course offerings remain in place for students not subject to HB 27. The bill also added new TEC, §28.025(b-24), requiring the SBOE to allow a student to comply with the personal financial literacy requirement by successfully completing an AP course that contains substantively similar and rigorous academic content.
At the September 2025 meeting, the SBOE approved the social studies framework course sequence and strands for Kindergarten-Grade 8. The SBOE designated content advisors for the social studies TEKS review, and an application to serve on social studies TEKS review work groups was posted on the Texas Education Agency (TEA) website in October 2025. A discussion item regarding content advisor recommendations for key topics to be included in the social studies TEKS framework was presented to the Committee of the Full Board at the November 2025 meeting. The content advisors were also directed to address instructional requirements from HB 27, HB 824, and SB 24 in their recommendations. At the January 2026 meeting, the SBOE approved key topics and subtopics to be included in the new TEKS for social studies. Work group meetings were convened in February 2026 to develop draft recommendations for the new social studies TEKS. As part of the SBOE's process for the review and revision of the TEKS, education service centers (ESCs) collected feedback from educators in their regions on the work group drafts and submitted the feedback to TEA.
The SBOE held a public hearing and discussed the proposed new TEKS for social studies at a special called meeting in February 2026. In March 2026, TEA convened additional work groups to address the feedback from the SBOE and ESC focus groups to finalize their recommendations. At the April 2026 meeting, the SBOE held a public hearing on the proposed new TEKS. At the meeting, the SBOE removed §113.26, Personal Financial Literacy (One-Half Credit), Adopted 2026, from the proposal and directed staff to post on the TEA website both the proposed new course as presented in the April agenda and an alternative version presented during the meeting and to collect informal public feedback. At that time, the SBOE also approved the remaining proposed new rules in 19 TAC Chapter 113, Subchapters A-D, for first reading and filing authorization.
The attachment to this item reflects the text of proposed new 19 TAC §113.26 for consideration by the SBOE for first reading and filing authorization.
FISCAL IMPACT: TEA has determined that for the first five years the proposal is in effect (2026-2030), there are fiscal implications to the state. The estimated cost to TEA for revision of the personal financial literacy TEKS is $13,000 in Fiscal Year 2026.
There may be fiscal implications for school districts and charter schools to implement the proposed new TEKS, which is expected to include the need for professional development and revisions to district-developed databases, curriculum, and scope and sequence documents. Since curriculum and instruction decisions are made at the local district level, it is difficult to estimate the fiscal impact on any given district.
LOCAL EMPLOYMENT IMPACT: The proposal has no effect on local economy; therefore, no local employment impact statement is required under Texas Government Code, §2001.022.
SMALL BUSINESS, MICROBUSINESS, AND RURAL COMMUNITY IMPACT: The proposal has no direct adverse economic impact for small businesses, microbusinesses, or rural communities; therefore, no regulatory flexibility analysis specified in Texas Government Code, §2006.002, is required.
COST INCREASE TO REGULATED PERSONS: The proposal does not impose a cost on regulated persons, another state agency, a special district, or a local government and, therefore, is not subject to Texas Government Code, §2001.0045.
TAKINGS IMPACT ASSESSMENT: The proposal does not impose a burden on private real property and, therefore, does not constitute a taking under Texas Government Code, §2007.043.
GOVERNMENT GROWTH IMPACT: TEA staff prepared a Government Growth Impact Statement assessment for this proposed rulemaking. During the first five years the proposed rulemaking would be in effect, it would create a new regulation by proposing new TEKS in personal financial literacy required to be offered by school districts and charter schools.
The proposed rulemaking would not create or eliminate a government program; would not require the creation of new employee positions or elimination of existing employee positions; would not require an increase or decrease in future legislative appropriations to the agency; would not require an increase or decrease in fees paid to the agency; would not expand, limit, or repeal an existing regulation; would not increase or decrease the number of individuals subject to its applicability; and would not positively or adversely affect the state's economy.
PUBLIC BENEFIT AND COST TO PERSONS: The proposal would update the standards to align with recent legislative requirements and ensure the standards remain current. There is no anticipated economic cost to persons who are required to comply with the proposal.
DATA AND REPORTING IMPACT: The proposal would have no data and reporting impact.
PRINCIPAL AND CLASSROOM TEACHER PAPERWORK REQUIREMENTS: TEA has determined that the proposal would not require a written report or other paperwork to be completed by a principal or classroom teacher.
PUBLIC COMMENTS: The public comment period on the proposal begins July 24, 2026, and ends at 5:00 p.m. on August 24, 2026. A request for a public hearing on the proposal submitted under the Administrative Procedure Act must be received by the commissioner of education not more than 14 calendar days after notice of the proposal has been published in the Texas Register on July 24, 2026.
MOTION TO BE CONSIDERED: The State Board of Education:
Approve for first reading and filing authorization proposed new 19 TAC Chapter 113, Texas Essential Knowledge and Skills for Social Studies, Subchapter C, High School, §113.26, Personal Financial Literacy, (One-Half Credit), Adopted 2026.
Staff Member Responsible:
Shannon Trejo, Deputy Commissioner, Office of School Programs
Attachment:
Text of Proposed New 19 TAC Chapter 113, Texas Essential Knowledge and Skills for Social Studies, Subchapter C, High School, §113.26, Personal Financial Literacy, (One-Half Credit), Adopted 2026