Assigned to ED & APPROP FOR COMMITTEE ARIZONA STATE SENATE Fifty-Fifth Legislature, Second Regular Session FACT SHEET FOR H.B. 2122 continuing high school; workforce training Purpose Requires the State Board of Education (SBE) to establish a Continuing High School and Workforce Training Program (Program) to provide adult learners with alternative study services leading to a high school diploma (diploma) and industry-recognized credentials through qualifying 501(c)(3) nonprofits. Outlines requirements for Program school eligibility, performance expectations, Program funding and administration of the Program. Background Schools must admit children who are between the ages of 6 and 21, who reside in the school district and who meet the requirements for enrollment in one of the grades or programs offered in the school (A.R.S. § 15-821). An adult may obtain a high school equivalency (HSE) diploma by: 1) passing the graduation equivalency diploma test; 2) participating in the College Credit Pathway to complete 25 college credits in specified subject areas; or 3) participating in the HSE PLUS Career Readiness Pathway offered exclusively by adult education providers under the federal Workforce Innovation and Opportunity Act (ADE). The Arizona Department of Education's (ADE's) Adult Education Services authorizes adult education providers to provide educational services and training for adults who are at least 16 years old to continue their basic education and pass an SBE-approved HSE diploma test an HSE diploma test approved. An adult education provider is a school district, community college district, correctional facility or community-based organization, an institution serving educationally disadvantaged adults or any other institution that receives public funds to provide adult education services (A.R.S. §§ 15-232 and 15-234). If directing funding from an unspecified source to Program schools in specified amounts per student in FYs 2023 and 2024 and, beginning in FY 2025, according to an SBE-adopted funding model results in increased costs to the state General Fund, there may be a fiscal impact. Provisions Program Administration 1. Directs the SBE to establish a Program that: a) provides adult learners with alternative study services; and b) leads to the issuance of a diploma and industry-recognized credentials. 2. Allows a diploma to be issued to a participating adult learner who meets statutory and SBE-adopted high school graduation requirements. FACT SHEET H.B. 2122 Page 2 3. Requires the SBE to authorize eligible service providers to participate in the Program and establish a Program school in partnership with a school district or nonprofit charter school. 4. Deems a service provider to be eligible for Program participation if the service provider: a) is a 501(c)(3) nonprofit corporation or an adult education provider approved by the ADE Division of Adult Education; and b) demonstrates at least a 10-year history of providing workforce training and career services in Arizona to persons: i. who are at least 18 years old; and ii. whose educational and training opportunities have been limited by educational disadvantages, disabilities or other barriers to education, such as a lack of affordable and reliable transportation, lack of child care or food insecurity. 5. Requires a Program school to meet all applicable legal and statutory requirements for public schools, including: a) requirements for student assessments and special education services; and b) prohibitions against admission limits based on ethnicity, national origin, gender, income level, disabling condition, English language proficiency or athletic ability. 6. Requires the SBE, in consultation with ADE, to evaluate applications and approve Program schools that demonstrate the ability to provide adult learners with the instruction and support that lead to a diploma and one or more industry-recognized credentials. 7. Caps the terms of Program school approval at: a) for initial approval, two school years; and b) for renewal of approval, at four school years contingent on performance expectations, including student progression, graduation rates, and earning of industry-recognized credentials. 8. Caps the total projected full-time enrollment of Program schools at: a) 600 in FY 2023; b) 1,000 in FY 2024; and c) 1,400 in FY 2025 and each subsequent fiscal year. 9. Directs ADE to develop application procedures for the Program and requires a service provider to submit an application on behalf of a Program school. 10. Includes, in information required in a Program application: a) a description of the service provider's partnership with a school district or nonprofit charter school; b) a description of the Program school's administrative structure, Program activities, Program staff, budget and specific curriculum that is aligned with state academic standards; c) the Program school's academic calendar and a schedule describing the length of school day, program sequence, multidisciplinary courses, pace and instructional activities; d) confirmation of the school's location and a description of the school's facility, including accessibility, available classroom space, childcare space and health and safety requirements; e) a description of specific academic, behavioral and emotional support services the service provider will offer to enrolled adult learners; FACT SHEET H.B. 2122 Page 3 f) a description of the adult learner and family supports that the Program school will provide at no cost to adult learners, including on-site childcare, local transportation assistance, career and higher education counseling and job placement assistance; g) a description of the available counseling services that assist adult learners in overcoming barriers to educational success, including educational disadvantages, homelessness, criminal history or disabling conditions; h) a description of the career technical education (CTE) instruction the Program school will provide; i) a description of specific Program outcomes, goals and metrics the Program school will use to determine adult learner success; and j) the projected number of adult learners the school will enroll. 11. Requires the Program school CTE instruction and courses to lead to industry-recognized credentials or result in an adult learner earning university or community college course credits. 12. Allows a service provider to partner with a community college district or CTE district to provide CTE instruction. Program Performance Expectations and Funding 13. Directs, by July 1, 2024, the SBE, in consultation with ADE, to adopt: a) performance expectations to evaluate Program schools; and b) an adult education and workforce performance funding model (Program funding model). 14. Requires the SBE-adopted performance expectations to include: a) measurements of adult learner progress toward earning a diploma; b) the graduation rates of adult learners earning at least one academic credit; c) the number of industry-recognized credentials earned; d) the number of students who have newly-acquired proficiency in the English language; e) the number of students or graduates who have matriculated in an institution of higher learning or postsecondary educational institution; f) the number of students or graduates who have newly-acquired employment at a wage that is at least 150 percent of the state minimum wage; and g) other relevant measures as adopted by the SBE. 15. Directs the SBE, if an approved service provider fails to meet any Program requirements or SBE-adopted rules, to immediately: a) initiate a process to bring the Program school into compliance; or b) revoke the Program school's authorization to participate in the Program. 16. Funds a Program school as follows: a) for FYs 2023 and 2024, $7,700 per full-time student and, for a part-time student, funding proportionate to the number of enrolled courses or hours of instruction; and b) beginning in FY 2025 and subject to legislative appropriation, funding determined according to the SBE-adopted Program funding model. 17. Requires, for the Program funding model: a) the SBE to consider all outlined performance expectations, except for enrollment; and b) at least half of the funding provided to the Program school to be based on the school's average performance in the prior two fiscal years. FACT SHEET H.B. 2122 Page 4 18. Authorizes the SBE, if the total full-time enrollment requested by Program schools exceeds the prescribed caps, to prioritize funding to Program schools demonstrating the highest performance. 19. Requires the SBE to prioritize new Program schools based on the services and supports for adult learners outlined on their applications. 20. Deems a Program school to be ineligible for any other school finance formula funding, including transportation funding, Arizona online instruction funding, base-support level funding and additional assistance. 21. Specifies that a Program school is eligible to receive funding for any adult student regardless of age. Miscellaneous 22. Prohibits a Program school from: a) conducting advertising or marketing campaigns directed at students who are currently enrolled in a school district or charter school; b) undertaking any other activity that encourages students currently enrolled in a school district or charter school to stop attending school to enroll in a Program school; or c) enrolling a student who was enrolled in a school district or charter school within the preceding 30 days. 23. Requires a Program school to annually report to ADE the following information on adult learners enrolled in the school: a) the number enrolled; b) the average progress toward meeting graduation requirements and the graduation rate; c) the number and type of industry-recognized credentials earned; d) a descriptive summary of the academic, behavioral and emotional support services the service provider offers; and e) the information required by the Program school performance expectations. 24. Requires, beginning in 2025, ADE to submit an annual report by December 15 evaluating Program effectiveness to the Governor, President of the Senate, Speaker of the House of Representatives and the Secretary of State. 25. Authorizes the SBE to adopt rules to administer the Program. 26. Becomes effective on the general effective date. House Action ED 2/8/22 DPA 8-2-0-0 APPROP 2/15/22 W/D 3 rd Read 2/23/22 39-20-1 Prepared by Senate Research March 4, 2022 LB/KJA/slp