Published prior to the U.S. Supreme Court decision on the case, this report puts into perspective the questions and problems before the State of Texas in resolving the issue raised by Rodriguez vs San Antonio. The document reviews the key elements of the decision in the Rodriguez case and considers alternative approaches that comply with the decision. The current method of public school financing is examined, and proposed plans and the State costs involved are considered. The publication also discusses ways to measure a school district's fiscal ability and taxpayer equity. It concludes with a recommended legislative strategy for public school finance and property tax reform. (Author/DN)