1. (a) Each school district or open-enrollment charter school shall conduct an annual physical inventory of all currently adopted instructional materials that have been requisitioned by, and delivered to, the district. The results of the inventory shall be recorded in the district's files. Reimbursement and/or replacement shall be made for all instructional materials determined to be lost.
2. (b) Each textbook, other than an electronic textbook, must be covered by the student under the direction of the teacher.
3. (c) After the beginning of every school year, each school district or open-enrollment charter school shall determine if it has surplus instructional materials for any subject area/grade level, based on its current enrollment for the subject area/grade level. Instructional materials determined by the school district or open-enrollment charter school to be surplus-to-quota shall be returned to the State Textbook Depository in accordance with instructions provided by the Texas Education Agency. A school district or open-enrollment charter school is entitled to retain surplus-to-quota instructional materials only when data approved by the Texas Education Agency indicate that students will be enrolled in the subject and a need for the surplus-to-quota instructional materials exists.

4. (d) When placing orders for instructional materials, school districts and open-enrollment charter schools shall report enrollments as follows:

   1. (1) Annual orders for instructional materials. Enrollments shall be reported based on the maximum number of students enrolled in the district or open-enrollment charter school during the previous school year and/or registered to attend the district during the next school year; and
   2. (2) Supplemental orders for instructional materials. Enrollments shall be reported based on the actual number of students enrolled in the district when the order is submitted.
5. (e) The Texas Education Agency assumes that enrollments reported by a school district or open-enrollment charter school at the time an order for instructional materials is placed are accurate.
6. (f) A school district or open-enrollment charter school that orders instructional materials in excess of its eligibility by reporting enrollments above enrollments described in subsection (c)(1) and (2) of this section enters into a contract with the state to purchase the instructional materials supplied that exceed the school district or open-enrollment charter school's eligibility for the subject area/grade level. A school district or open-enrollment charter school may cancel the contract to purchase instructional materials supplied in excess of its eligibility by immediately returning the excess instructional materials to the State Textbook Depository. If prior approval is received, excess instructional materials may also be returned to the publisher's approved depository. A school district or open-enrollment charter school that retains excess instructional materials for more than six months after the beginning of the school year shall reimburse the state at the full price for the excess instructional materials.
7. (g) All textbooks must be turned in at the end of the school year or when the student withdraws from school.

Source Note:The provisions of this §66.107 adopted to be effective September 1, 1996, 21 TexReg 7236; amended to be effective September 1, 1998, 23 TexReg 7779; amended to be effective February 7, 2002, 27 TexReg 746.