Alabama 2023 Regular Session

Alabama House Bill HB363 Latest Draft

Bill / Enrolled Version Filed 06/01/2023

                            HB363ENROLLED
Page 0
JRCCYF-3
By Representatives Collins, DuBose, Baker, Holk-Jones,
Paramore, Estes, Moore (P)
RFD: Education Policy
First Read: 20-Apr-23
2023 Regular Session
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Enrolled, An Act,
Relating to the Alabama School Choice and Student
Opportunity Act; to amend Sections 16-6F-5, 16-6F-6, and
16-6F-10, Code of Alabama 1975, to change the appointment
process for the Alabama Public Charter School Commission; to
authorize the commission to hire staff; to require
commissioners to receive annual training; to provide
additional guidelines for the authorizing and application
review process; to provide further for the operational and
categorical funding of public charter schools in their first
year of operation; and to clarify the per pupil federal,
state, and local funding of conversion public charter schools
during their first year of operation.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. Sections 16-6F-5, 16-6F-6, and 16-6F-10 of
the Code of Alabama 1975, are amended to read as follows:
"§16-6F-5
(a) Open enrollment.
(1) A public charter school shall be open to any
student residing in the state.
(2) A school system shall not require any student
enrolled in the school system to attend a start-up public
charter school.
(3) A public charter school shall not limit admission
based on ethnicity, national origin, religion, gender, income
level, disability, proficiency in the English language, or
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academic or athletic ability.
(4) A public charter school may limit admission to
students within a given age group or grade level and may be
organized around a special emphasis, theme, or concept as
stated in the school's charter application, but fluency or
competence in the theme may not be used as a standard for
enrollment.
(5) A public charter school shall enroll all students
who wish to attend the school, unless the number of students
exceeds the capacity of the facility identified for the public
charter school.
(6) If facility capacity is insufficient to enroll all
students who wish to attend a start-up public charter school,
the school shall select students through a random selection
process. The school shall first enroll students who reside
within the school system in which the public charter school is
located. If the number of local students wanting to enroll
exceeds the facility's capacity, then the school shall conduct
a random selection process to enroll students who reside in
the local school system. If the school has additional capacity
after admitting students from the local school system, then
the school shall admit any students without regard to their
residency by a random selection process. The selection shall
take place in a public meeting, called by the governing body
of the public charter school, and following all posting and
notice requirements prescribed by the Alabama Open Meetings
Act.
(7) Any non-charter public school converting partially
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or entirely to a public charter school shall adopt and
maintain a policy giving enrollment preference to students who
reside within the former attendance area of that public
school.
After all students who reside within the former
attendance area of that public school are enrolled, enrollment
shall first be opened to students residing within the local
school system and then outside the local school system, as set
forth in subdivision (6).
(8) A public charter school shall give enrollment
preference to students enrolled in the public charter school
the previous school year and to siblings of students already
enrolled in the public charter school.
(9) A public charter school may give enrollment
preference to children of a public charter school's founders,
governing board members, and full-time employees, so long as
they constitute no more than 10 percent of the school's total
student population.
(10) A public charter school may give enrollment
preference to children living within a certain geographical
boundary, so long as the overall enrollment of the public
charter school includes a majority of at-risk students. The
proposed boundary shall be approved by the authorizer.
(10)(11) This subsection does not preclude the
formation of a public charter school whose mission is focused
on serving special education students, students of the same
gender, students who pose such severe disciplinary problems
that they warrant a specific educational program, or students
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who are at risk of academic failure. Notwithstanding the
stated mission of the public charter school, any student may
attend.
(11)(12) This subsection does not preclude the
formation of a public charter school, that is located on or
within one mile of a military installation, whose mission is
focused on serving students who are dependents of military
members or Department of Defense civilian employees that are
permanently assigned to that military installation. If the
number of dependent students wanting to enroll exceeds the
facility's capacity, then the school shall conduct a random
selection process to enroll those students. If the school has
additional capacity after admitting those dependent students
of parents assigned to the military installation, then the
school shall admit students first from the local school system
by a random selection process and then without regard to their
residency by a random selection process, as capacity permits.
The selection shall take place in a public meeting, called by
the governing body of the public charter school, and following
all posting and notice requirements prescribed by the Alabama
Open Meetings Act. Once the total number of students enrolled
in the school reaches 400, all additional admitted students
shall be dependents of military members or Department of
Defense civilian employees who are permanently assigned to
that military installation.
(b) Credit transferability. If a student who was
previously enrolled in a public charter school enrolls in
another public school in Alabama, the student's new school
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shall accept credits earned by the student in courses or
instructional programs at the public charter school in a
uniform and consistent manner and according to the same
criteria that are used to accept academic credits from other
public schools. Nothing in this chapter shall prevent local
school systems from administering placement tests for newly
enrolled students who were previously enrolled in a public
charter school.
(c) Determination of student capacity of public charter
schools. The capacity of the public charter school shall be
determined annually by the governing board of the public
charter school in conjunction with the authorizer and in
consideration of the public charter school's ability to
facilitate the academic success of its students, to achieve
the other objectives specified in the charter contract, and to
ensure that its student enrollment does not exceed the
capacity of its facility or site.
(d) Student information. A public charter school shall
maintain records on all enrolled students utilizing the state
adopted Alabama Student Information System (ASIM)."
"§16-6F-6
(a) Eligible authorizing entities.
(1) A public charter school shall not be established in
this state unless its establishment is authorized by this
section. No governmental entity or other entity, other than an
entity expressly granted chartering authority as set forth in
this section, may assume any authorizing function or duty in
any form. The following entities shall be authorizers of
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public charter schools:
a. A local school board, for chartering of schools
within the boundaries of the school system under its
jurisdiction, pursuant to state law.
b. The Alabama Public Charter School Commission,
pursuant to this section.
(2) A local school board that registers as an
authorizer may approve or deny an application to form a public
charter school within the boundaries of the local school
system overseen by the local school board.
(3) All authorizing entities shall prioritize those
applications that are focused on serving at-risk students.
(4) A decision made by a local school board shall be
subject to appeal to the commission. The commission may hear
an application for the formation of a public charter school by
an applicant only if one of the following factors is met:
a. An application to form a public charter school is
denied by the local school board overseeing that system and
the applicant chooses to appeal the decision of the local
school board to the commission.
b. The applicant wishes to open a start-up public
charter school in a public school system that has chosen not
to register as an authorizer.
(b) Public charter school cap.
(1) Authorizers may not approve more than 10 start-up
public charter schools in a fiscal year.
(2) Upon receiving notice of approval of the tenth
start-up public charter school to be approved in a fiscal
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year, the department shall provide notice to all authorizers
that the cap has been reached and no new start-up public
charter schools may be approved in that fiscal year.
(3) The cap expires on April 1 immediately following
the conclusion of the fiscal year beginning October 1, 2020.
(4) At the conclusion of the fiscal year beginning
October 1, 2020, the department shall submit a report to the
Legislature outlining the performance of both start-up and
conversion public charter schools. This report shall include,
at a minimum, academic performance of all public charter
schools in the state, a detailed update on the authorizing
process, and recommendations for adjustments to public charter
school governance and oversight.
(5) There is no limit on the number of conversion
public charter schools that may be approved.
(c) The Alabama Public Charter School Commission.
(1) The commission is established as an independent
state entity.
(2) The mission of the commission is to authorize high
quality public charter schools, in accordance with the powers
expressly conferred on the commission in this chapter.
(3)a. The initial membership of the commission shall be
composed of a total of 11 members. consist of the following:
The State Board of Education shall appoint 10 members, made up
of four appointees recommended by the Governor, one appointee
recommended by the Lieutenant Governor, two appointees
recommended by the President Pro Tempore of the Senate, and
three appointees recommended by the Speaker of the House of
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Representatives. The Governor, the Lieutenant Governor, the
President Pro Tempore of the Senate, and the Speaker of the
House of Representatives shall each recommend a list of no
fewer than two nominees for each initial appointment to the
commission. One recommended initial appointee of the President
Pro Tempore of the Senate and one recommended initial
appointee of the Speaker of the House of Representatives shall
be an appointee recommended by members of the Senate minority
party and members of the House minority party, respectively.
No commission member can be appointed unless he or she has
been recommended by the Governor, Lieutenant Governor,
President Pro Tempore of the Senate, or the Speaker of the
House of Representatives.
b. Commencing on the effective date of the act adding
this paragraph, as the terms of the then serving members
expire, the nominating authority for that respective serving
member shall become the appointing authority for his or her
successor on the commission so that the Governor shall appoint
four members to the commission, the Lieutenant Governor shall
appoint two members to the commission, the President Pro
Tempore of the Senate shall appoint two members to the
commission, and the Speaker of the House of Representatives
shall appoint three members to the commission. At least one
member appointed by the President Pro Tempore of the Senate
shall be an appointee recommended Commencing on the effective
date of the act adding this paragraph, one additional member
shall be appointed by the Minority Leader of the Senate and at
least one additional member shall be appointed by the Speaker
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of the House of Representatives shall be an appointee
recommended by the Minority Leader of the House of
Representatives for four-year terms of office as provided in
subdivision (6).
(4) The eleventh member of the commission shall be a
rotating position based on the local school system where the
application was denied. This member appointed to the rotating
position shall be appointed by the local school system where
the applicant is seeking to open a public charter school. The
local school system shall appoint a member to the rotating
position through board action specifically to consider that
application.
(5)(4) The appointing authorities of the commission
members shall strive to select individuals that collectively
possess strong experience and expertise in public and
nonprofit governance, strategic planning, management and
finance, public school leadership, assessment, curriculum and
instruction, and public education law. Each member of the
commission shall have demonstrated understanding of and
commitment to charter schooling as a tool for strengthening
public education and shall sign an agreement to hear the
appeal and review documents in a fair and impartial manner.
(6)(5) Membership of the commission shall be inclusive
and reflect the racial, gender, geographic, urban/rural, and
economic diversity of the state. The appointing authority
shall consider the eight State Board of Education districts in
determining the geographical diversity of the commission.
(7)(6) The initial appointments to the commission shall
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be made no later than June 1, 2015. Two recommended initial
appointees of the Governor, one recommended initial appointee
of the Lieutenant Governor, one recommended initial appointee
of the Speaker of the House of Representatives, and one
recommended initial appointee of the President Pro Tempore of
the Senate shall serve an initial term of one year and two
recommended initial appointees of the Governor, two
recommended initial appointees of the Speaker of the House of
Representatives, and one recommended initial appointee of the
President Pro Tempore of the Senate shall serve an initial
term of two years. Thereafter, all appointees shall serve
two-year four-year terms of office. All appointments shall be
eligible for reappointment as determined by the appointing
authority, not to exceed a total of six eight years of
service, unless the member was initially appointed to serve a
one-year term of office. If the initial term of office of an
appointee was one year, he or she may serve a total of five
nine years of service on the commission.
(8)(7) A member of the commission may be removed for
failure to perform the duties of the appointment. Whenever a
vacancy on the commission exists, the appointing authority,
within 60 days after the vacancy occurs, shall appoint a
member for the remaining portion of the term in the same
manner as the original appointment was made. A member of the
commission shall abstain from any vote that involves a local
school system of which he or she is an employee or which he or
she oversees as a member of a local school board. The
requirement to abstain does not apply to the rotating position
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on the commission.
(9)(8) Six members of the commission constitute a
quorum, and a quorum shall be necessary to transact business.
Actions of the commission shall be by a majority vote of the
commission. The commission, in all respects, shall comply with
the Alabama Open Meetings Act and state record laws.
Notwithstanding the preceding sentence, members of the
commission may participate in a meeting of the commission by
means of telephone conference, video conference, or similar
communications equipment by means of which all persons
participating in the meeting may hear each other at the same
time. Participation by such means shall constitute presence in
person at a meeting for all purposes, including the
establishment of a quorum. Telephone or video conference or
similar communications equipment shall also allow members of
the public the opportunity to simultaneously listen to or
observe meetings of the commission.
(10)(9) If the commission overrules the decision of a
local school board and chooses to authorize the establishment
of a public charter school in that local school system, the
commission shall serve as the authorizer for that public
charter school, pursuant to this chapter.
(10) Each member of the commission, upon assuming
office, shall complete an orientation program, and an annual
training program thereafter, as developed by the commission.
The orientation program shall focus on roles and
responsibilities of charter school authorizers, laws impacting
commissioners as public officials, general education laws, and
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best practices. In developing and implementing the programs,
the commission may consult national or state organizations
with training expertise. Before the start of each regular
legislative session, the commission shall provide a report to
each appointing authority regarding the implementation and
effectiveness of the programs. Failure to attend and complete
a required orientation or annual training program may
constitute grounds for removal from the commission by the
appointing authority.
(11) The commission may do any of the following:
a. Utilize professional and administrative staff of the
department as recommended by the State Superintendent of
Education.
a. Upon evaluation and agreement, share services,
facilities, supplies, and related costs with the department.
b. Adopt rules for the operation and organization of
the commission.
c. Review, at least once per year, department rules and
regulations concerning public charter schools and, if needed,
recommend to the State Superintendent of Education any rule or
regulation changes deemed necessary.
d. Convene stakeholder groups and engage experts.
e. Seek and receive state, federal, and private funds
for operational expenses.
f. Employ professional, administrative, technical, and
clerical staff, without regard to the state Merit System, who
shall serve at the pleasure of the commission. Staff employed
pursuant to this paragraph shall receive compensation and
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benefits established by the commission, payable in the same
manner as state employees.
f.(12) A commission member may not receive
compensation, but shall be reimbursed by the department for
travel and per diem expenses at the same rates and in the same
manner as state employees.
g.(13) The commission shall submit an annual report to
the department pursuant to subsection (g).
(12)(14) In order to overrule the decision of a local
school board and authorize a public charter school, the
commission, in its own consideration of the application, shall
do all of the following:
a. Find evidence of a thorough and high-quality public
charter school application from the applicant based on the
authorizing standards in subdivision (8) of subsection (a) of
Section 16-6F-7.
b. Hold an open community hearing opportunity for
public comment within the local school system where the
application was denied.
c. Find that the local board's denial of an original
charter application was is not supported by the then current
application and exhibits.
d. Take into consideration all of the following:
1. other Other existing charter school applications ,.
2. the The quality of school options existing in the
affected community ,.
3. the The existence of other charter schools , and.
4. any Any other factors considered relevant to ensure
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the establishment of high-quality charter schools in
accordance with the intent of this chapter.
e. Find evidence that the local school board erred in
its application of nationally recognized authorizing
standards.
e. At least 15 days prior to consideration of the
application, send a letter to the chair of the local school
board where the denial originated informing the local school
board that the commission will hear the appeal pursuant to a
public hearing and will provide the chair, or his or her
designee, the opportunity to address the commission at that
public hearing.
(d)(1) A local school board may register with apply to
the department for chartering authority within the boundaries
of the school system overseen by the local school board. The
department shall publicize to all local school boards the
opportunity to register with apply to the state for chartering
authority within the school system they oversee. By June 1 of
each year, the department shall provide information about the
opportunity, including a registration an application deadline,
to all local school boards. To register apply as a charter
authorizer in its school system, each interested local school
board shall submit the following information in a format to be
established by the department:
(1)a. Written notification of intent to serve as a
charter authorizer in accordance with this chapter.
(2)b. An explanation of the local school board's
capacity and commitment to execute the duties of quality
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charter authorizing, as defined by nationally recognized
authorizing standards.
(3)c. An explanation of the local school board's
strategic vision for chartering.
(4)d. An explanation of how the local school board
plans to solicit public charter school applicants, in
accordance with this chapter.
(5)e. A description or outline of the performance
framework the local school board will use to guide the
establishment of a charter contract and for ongoing oversight
and evaluation of public charter schools, consistent with the
requirements of this chapter.
(6)f. A draft of the local school board's renewal,
revocation, and nonrenewal processes, consistent with
subsection (c) of Section 16-6F-8.
(7)g. A statement of assurance that the local school
board commits to serving as a charter authorizer and shall
fully participate in any an annual authorizer training
provided or required by the state approved by the department .
(2) Once chartering authority is granted, the
registered local school board shall reapply to be an
authorizer every five years if the local school board wishes
to continue serving as an authorizer.
(e) If a local school board chooses not to register as
an authorizer, all applications seeking to open a start-up
public charter school within that local school board's
boundaries shall be denied. Applicants wishing to open a
public charter school physically located in that local school
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system may apply directly to the commission.
(f) An authorizer may do all of the following:
(1) Solicit, invite, receive, and evaluate applications
from organizers of proposed public charter schools.
(2) Approve applications that meet identified
educational needs.
(3) Deny applications that do not meet identified
educational needs.
(4) Create a framework to guide the development of
charter contracts.
(5) Negotiate and execute charter contracts with each
approved public charter school.
(6) Monitor the academic, fiscal, and organizational
performance and compliance of public charter schools.
(7) Determine whether each charter contract merits
renewal or revocation.
(g) An authorizer shall submit to the State Board of
Education a publicly accessible annual report within 60 days
after the end of each school fiscal year summarizing all of
the following:
(1) The authorizer's strategic vision for chartering
and progress toward achieving that vision.
(2) The academic and financial performance of all
operating public charter schools overseen by the authorizer,
according to the performance measures and expectations
specified in the charter contracts.
(3) The status of the public charter school portfolio
of the authorizer, identifying all public charter schools
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within that portfolio as one of the following:
a. Approved, but not yet open.
b. Open and operating.
c. Terminated.
d. Closed, including year closed and reason for
closing.
e. Never opened.
(4) The oversight and services, if any, provided by the
authorizer to the public charter schools under the purview of
the authorizer.
(5) The authorizing functions provided by the
authorizer to the public charter schools under its
jurisdiction, including the operating costs and expenses of
the authorizer detailed in annual audited financial statements
that conform to generally accepted accounting principles.
(6) All use of taxpayer dollars including expenditures,
contracts, and revenues.
(h) To cover costs for overseeing and authorizing
public charter schools in accordance with this chapter,	a
local school board serving as an authorizer may do all of the
following:
(1) Expend its own resources, seek grant funds, and
establish partnerships to support its public charter school
authorizing activities.
(2) Charge a portion of annual per student state
allocations received by each public charter school it
authorizes based on the following schedule:
a. If thelocal school board has oversight over one to
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three, inclusive, public charter schools: Three percent of
annual per student state allocations.
b. If the local school board has oversight over four to
five, inclusive, public charter schools: Two percent of annual
per student state allocations.
c. If the local school board has oversight over six to
10, inclusive, public charter schools: One percent of annual
per student state allocations.
d. These funds shall be used to cover the costs for a
local school board to provide authorizing services to its
public charter schools.
(i) An employee, agent, or representative of an
authorizer may not simultaneously serve as an employee, agent,
representative, vendor, or contractor of a public charter
school of that authorizer.
(j) With the exception of charges for oversight
services as required in subsection (h), a public charter
school may not be required to purchase services from its
authorizer as a condition of charter approval or of a charter
contract, nor may any such condition be implied.
(k) A public charter school authorized by a local
school system may choose to purchase services, such as
transportation-related or lunchroom-related services, from its
authorizer. In such event, the public charter school and
authorizer shall execute an annual service contract, separate
from the charter contract, stating the mutual agreement of the
parties concerning any service fees to be charged to the
public charter school. A public charter school authorized by
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the commission may not purchase services from the commission,
but consistent with this section, may purchase services from
the local school system where the public charter school is
located.
(l) The department shall oversee the performance and
effectiveness of all authorizers established under this
chapter. Persistently unsatisfactory performance of the
portfolio of the public charter schools of an authorizer, a
pattern of well-founded complaints about the authorizer or its
public charter schools, or other objective circumstances may
trigger a special review by the department. In reviewing and
evaluating the performance of an authorizer, the department
shall apply nationally recognized standards for quality in
charter authorizing. If, at any time, the department finds
that an authorizer is not in compliance with an existing
charter contract or the requirements of all authorizers under
this chapter, the department shall notify the authorizer in
writing of any identified problem, and the authorizer shall
have reasonable opportunity to respond and remedy the problem.
(m) If a local school board acting as an authorizer
persists in violating a material provision of a charter
contract or fails to remedy any other authorizing problem
after due notice from the department, the department shall
notify the local school board, within 60 days, that it intends
to revoke the chartering authority of the local school board
unless the local school board demonstrates a timely and
satisfactory remedy for the violation or deficiencies.
(n) If the commission violates a material provision of
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a charter contract or fails to remedy any other authorizing
problems after due notice from the department, the department
shall notify the commission, within 60 days, that it intends
to notify the Governor, the Speaker of the House of
Representatives, and the President Pro Tempore of the Senate
of the actions of the commission unless the commission
demonstrates a timely and satisfactory remedy for the
violation of the deficiencies. Along with this notification,
the department shall publicly request in writing that the
Governor, the Speaker of the House of Representatives, and the
President Pro Tempore appointees comply with the requests of
the department or face a revocation of their appointment to
the commission.
(o) In the event of revocation of the chartering
authority of an authorizer, the department shall manage the
timely and orderly transfer of each start-up public charter
contract held by that authorizer to another authorizer in the
state, with the mutual agreement of each affected start-up
public charter school and proposed new authorizer. The new
authorizer shall assume the existing charter contract for the
remainder of the charter term.
(p) Authorizer power, duties, and liabilities.
Authorizers are responsible for executing, in accordance with
this chapter, the following essential powers and duties:
(1) Soliciting and evaluating charter applications
based on nationally recognized standards.
(2) Approving quality charter applications that meet
identified educational needs and promote a diversity of
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high-quality educational choices.
(3) Declining to approve weak or inadequate charter
applications.
(4) Negotiating and executing charter contracts with
each approved public charter school.
(5) Monitoring, in accordance with charter contract
terms, the performance and legal compliance of public charter
schools.
(6) Determining whether each charter contract merits
renewal, nonrenewal, or revocation.
(q) An authorizer that grants a charter to a 501(c)(3)
tax-exempt organization for the purpose of opening and
operating a public charter school is not liable for the debts
or obligations of the public charter school, or for claims
arising from the performance of acts, errors, or omissions by
the charter school, if the authorizer has complied with all
oversight responsibilities required by law, including, but not
limited to, those required by this chapter.
(r) Principles and standards for charter authorizing.
(1) All authorizers shall be required to develop and
maintain chartering policies and practices consistent with
nationally recognized principles and standards for quality
charter authorizing in all major areas of authorizing
responsibility including: Organizational capacity and
infrastructure; soliciting and evaluating charter
applications; performance contracting; ongoing public charter
school oversight and evaluation; and charter renewal
decision-making. The State Board of Education shall promulgate
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reasonable rules and regulations to effectuate this section by
June 17, 2015.
(2) Authorizers shall carry out all of their duties
under this chapter in a manner consistent with such nationally
recognized principles and standards and with the spirit and
intent of this chapter. Evidence of material or persistent
failure to do so shall constitute grounds for losing charter
authorizing powers."
"§16-6F-10
(a) Enrollment. Students enrolled in and attending
public charter schools shall be included in all enrollment and
attendance counts of students of the local school system in
which the students reside. The public charter school shall
report all such data to the local school systems of residence
in a timely manner. Each local school system public charter
school shall report such enrollment, attendance, and other
counts of students to the department in the manner required by
the department.
(b) Operational funding.
(1) The following provisions govern operational
funding:
a.1. In their initial year, and in subsequent years to
accommodate growth as articulated in their application,
funding for public charter schools shall be provided from the
Education Trust Fund in the Foundation Program appropriation
for current units. Subsequent year funding for public charter
schools shall be based on the Foundation Program allocation
and other public school Education Trust Fund appropriations.
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1. In their initial year, and in subsequent years to
accommodate growth as articulated in their application,
start-up public charter schools shall be provided Foundation
Program funding by inclusion of anticipated enrollment as
provided in the approved charter application. During the
fiscal year, the resulting Foundation Program allocation shall
be adjusted to reconcile the variance between anticipated and
actual funded enrollment.
2. A conversion public charter school shall be funded
at the same level as the school was funded prior to its
conversion to a conversion public charter school. All federal,
state, and local dollars allocated to support the conversion
public charter school shall be directly appropriated by the
local school board to the conversion public charter school
operator. Under no circumstances may the local school board
withhold funds for services without mutual agreement from the
conversion public charter school operator.
3. In addition to Foundation Program allocation, all
start-up public charter schools shall participate in other
Education Trust Fund and Public School Fund appropriations in
the same manner as any other non-charter public school system.
In addition to Foundation Program allocation, all conversion
public charter schools shall be funded as they would have been
prior to their conversion to a conversion public charter
school from other Education Trust Fund and Public School Fund
appropriations. In addition to Foundation Program allocation,
all conversion public charter schools shall receive from the
local school board a pro rata share of other Education Trust
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Fund appropriations.
b. For each of its students, a public charter school
shall receive the same amount of state funds, including funds
earmarked for the Foundation Program transportation, school
nurses, technology coordinators, and other line items that may
be included in the appropriation for the Foundation Program
Fund, that, for the then-current fiscal year, would have
otherwise been allocated on behalf of each public charter
school student to the local school system where the student
resides. This amount shall reflect the status of each student
according to grade level, economic disadvantage, limited
English proficiency, and special education needs.
c. For each of its students, a public charter school
shall receive the same amount of local tax revenue, that, for
the then-current fiscal year, would have otherwise been
allocated on behalf of each public charter school student to
the local non-charter public school of each student's
residence, excluding those funds already earmarked through a
vote of the local school board for debt service, capital
expenditures, or transportation. As necessary, the department
shall promulgate processes and procedures to determine the
specific local revenue allocations according to the Foundation
Program for each public charter school.
d. The state funds described in paragraph b.a. shall be
forwarded on a quarterly basis to the by the department to all
start-up public charter school schools on the same schedule as
funds are forwarded to local school systems by the department.
The state funds described in paragraph a. shall be forwarded
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to conversion public charter schools by the local school
system on the same schedule as funds are forwarded to local
school systems by the department. The local funds described in
paragraph c. shall be forwarded on a quarterly basis to the
public charter school by the local educational agency of the
student's residence, notwithstanding the oversight fee
reductions pursuant to Section 16-6F-6. Additionally, any
local revenues restricted, earmarked, or committed by
statutory provision, constitutional provision, or board
covenant pledged or imposed by formal action of the local
board of education or other authorizing body of government,
shall be excluded by the local educational agency of the
student's residence when determining the amount of funds to be
forwarded by the agency to the public charter school.
e. The maximum annual local tax allocation forwarded to
a start-up public charter school from a local school system
shall, for each student, not exceed the per student portion of
the state required 10 mill ad valorem match.
f. The maximum annual local tax allocation forwarded to
a conversion public charter school from a local school system
shall, for each student, equal the amount that would have been
received by the local education agency of the student's
residence for each student who now attends a conversion public
charter school, minus any amounts otherwise excluded pursuant
to this section. In the event a local school system fails to
honor an agreement with a conversion public charter school
operator or if the local school system fails to forward the
annual local tax allocation to a conversion public charter
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school as required by this subsection, the State
Superintendent of Education shall intervene pursuant to
Section 16-4-4, and allocate the local funds to the conversion
public charter school accordingly .
g. If necessary Annually, the department shall adopt
rules governing how to calculate and distribute these
per-student allocations , as well as any and ensure that these
per-student allocations are distributed directly to start-up
public charter schools and conversion public charter schools
on a per-student basis. The department shall adopt rules
governing cost-sharing for students participating in
specialized gifted, talented, vocational, technical, or career
education programs.
(2) Categorical funding. The department shall direct
the proportionate share of moneys monies generated under
federal and state categorical aid programs to all public
charter schools, including start-up public charter schools and
conversion public charter schools, serving students eligible
for such aid. The state shall ensure that all public charter
schools with rapidly expanding enrollments are treated
equitably in the calculation and disbursement of all federal
and state categorical aid program dollars. Each public charter
school that serves students who may be eligible to receive
services provided through such programs shall comply with all
reporting requirements to receive the aid.
(3) Special education funding.
a. The state or a local school board shall pay directly
to a public charter school , including start-up public charter
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schools and conversion public charter schools, any federal or
state aid attributable to a student with a disability
attending the school.
b. At either party's request, a public charter school
and its authorizer may negotiate and include in the charter
contract alternate arrangements for the provision of and
payment for special education services.
(4) Generally accepted accounting principles;
independent audit.
a. A public charter school shall adhere to generally
accepted accounting principles.
b. A public charter school shall annually engage an
independent certified public accountant to do an independent
audit of the school's finances. A public charter school shall
file a copy of each audit report and accompanying management
letter to its authorizer by June 1. This audit shall include
the same requirements as those required of local school system
pursuant to Section 16-13A-7.
(5) Transportation funding.
a. The department shall disburse state transportation
funding to a public charter school on the same basis and in
the same manner as it is paid to public school systems.
b. A public charter school may enter into a contract
with a school system or private provider to provide
transportation to the school's students.
c. Public charter schools that do not provide
transportation services shall not be allocated any federal,
state, or local funds otherwise earmarked for
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transportation-related expenses."
Section 2. This act shall become effective immediately
following its passage and approval by the Governor, or its
otherwise becoming law.
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________________________________________________
Speaker of the House of Representatives
________________________________________________
President and Presiding Officer of the Senate
House of Representatives
I hereby certify that the within Act originated in and
was passed by the House 11-May-23, as amended.
John Treadwell
Clerk
Senate          31-May-23                    Passed
House          01-June-23                    Concurred in 
                                              Senate Amendment
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