Beginning in 2003, a new assessment, the Texas Assessment of Knowledge and Skills (TAKS), was administered. This assessment includes more subjects and grades, and is more difficult than the previous statewide assessment. A new rating system based on the TAKS was developed during 2003. Ratings established using the newly designed system were first issued in the fall of 2004. Districts and schools may be rated as Exemplary, Recognized, Academically Acceptable, or Academically Unacceptable under the standard accountability procedures.

The TAKS indicator is the percent of students who scored high enough to meet the standard to pass the test. This is calculated as the number of students who met the TAKS student passing standard divided by the number tested. Results for the TAKS (grades 3-11) are summed across grades for each subject (including reading/ELA, mathematics, writing, science, and social studies). Results for each subject tested are evaluated separately to determine ratings.

To determine ratings under the standard accountability procedures, the accountability rating system for Texas public schools and districts uses three base indicators: spring performance on the Texas Assessment of Knowledge and Skills, the Completion Rate I (includes graduates and continuers), and the Annual Dropout Rate for grades 7 and 8. These indicators are used to provide possible performance measures for all students and for African American, Hispanic, White, and Economically Disadvantaged student groups.

A set of alternative performance measures for campuses serving at-risk students was developed. In order for a campus to qualify as alternative, it was required to serve one or more of the following student populations: students at risk of dropping out; recovered dropouts; pregnant or parenting students; adjudicated students; students with severe discipline problems; or expelled students. The overall design of the AEA procedures is an improvement model that allows alternative educations campuses (AECs) and charters to meet either an absolute performance standard or an improvement standard for each accountability measure.

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