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State Board of Education asks for modest standards-review funding as misconduct reports climb

House Finance, Ways and Means Committee · February 12, 2026

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Summary

The State Board of Education told the House Finance committee its FY27 budget is largely flat but asked for a $65,000 one-time and $125,000 recurring boost to restore standards-review capacity; board officials also reported educator‑misconduct reports rose from 407 in 2020 to 1,116 in 2025, stressing the workload for attorneys who oversee licensure discipline.

The State Board of Education told the House Finance, Ways and Means Committee on Feb. 12 that its FY27 budget is largely unchanged but that pressures on core functions are mounting.

Sarah Morrison, executive director, said the board’s above‑the‑line payroll and benefits total $2,906,500 and the operational budget is $569,800; the agency has 17 staff and took a net reduction of $34,300 in the proposed budget. Nathan James, who reviewed the financials, said the board received no general cost increases this year and noted a prior supplemental operational increase of $130,000 the board gained in an earlier amendment.

Morrison emphasized one program area that is seeing increased demand: licensure discipline. “Under TCA 49‑1‑302 we have a statutory charge to discipline licensed personnel for misconduct,” she said, and noted the team handling intake, investigation and prosecution consists of four attorneys and three paralegals overseen by the board’s general counsel, Rachel Soupey. The board documented a steady rise in reports of potential misconduct: 407 in 2020 and 1,116 in 2025.

Board staff also described the statutorily required eight‑year review of instructional standards for the four core subjects and asked the committee to consider restoring funding eroded by inflation. Michael Dirlin and other staff said the standards‑review process depends on in‑person convenings of educator advisory panels, stipends for participants and a contractor (Scantron) that handles public comment; the board is asking for a one‑time $65,000 infusion to prepare for an upcoming math review and a recurring $125,000 adjustment to restore the program’s effective operating level.

Committee members pressed staff on logistics if the program had to move online and on how to keep teacher participation strong. Dirlin said moving fully virtual would change the collaborative dynamic and would likely require spreading meetings out longer and reducing stipends; the board said it could rely on some carryforward balances but that the recurring adjustment would be needed to preserve in‑person work.

Morrison said the board will begin accountability hearings for LEAs or authorizers whose schools earn D or F grades for two consecutive years, and that after hearings the board can recommend corrective action, an audit, or no action to the Department of Education. She told legislators the board will report back after the new accountability hearings begin in March.

The board’s presentation included the statutory citation Morrison referenced (TCA 49‑1‑302) as the authority for disciplinary work. The board did not request major headcount increases but flagged the rising caseload for discipline and the standards‑review funding gap as items likely to return to lawmakers if not funded.