House Engrossed school districts; board members; superintendent State of Arizona House of Representatives Fifty-seventh Legislature First Regular Session 2025 HOUSE BILL 2610 AN ACT amending section 15-103, Arizona Revised Statutes; amending title 15, chapter 3, article 1, Arizona Revised Statutes, by adding section 15-302.01; amending sections 15-341 and 38-201, Arizona Revised Statutes; relating to school districts. (TEXT OF BILL BEGINS ON NEXT PAGE) House Engrossed school districts; board members; superintendent State of Arizona House of Representatives Fifty-seventh Legislature First Regular Session 2025 HOUSE BILL 2610 House Engrossed school districts; board members; superintendent State of Arizona House of Representatives Fifty-seventh Legislature First Regular Session 2025 HOUSE BILL 2610 AN ACT amending section 15-103, Arizona Revised Statutes; amending title 15, chapter 3, article 1, Arizona Revised Statutes, by adding section 15-302.01; amending sections 15-341 and 38-201, Arizona Revised Statutes; relating to school districts. (TEXT OF BILL BEGINS ON NEXT PAGE) Be it enacted by the Legislature of the State of Arizona: Section 1. Section 15-103, Arizona Revised Statutes, is amended to read: 15-103. School districts; financial mismanagement; intervention; receivership; definitions A. The state board of education shall review allegations of school district insolvency and gross mismanagement. The state board shall give the school district an opportunity to respond to these allegations at a public meeting. If the state board determines that the school district is insolvent or has grossly mismanaged its finances, the state board shall appoint a receiver or fiscal crisis team for that school district. B. The state board shall find a school district insolvent if it finds one or more of the following: 1. The school district is unable to pay debts as they fall due or in the usual course of business. 2. The salaries of any teachers or other employees have remained unpaid for forty-five days. 3. The tuition due another school district or other state institution remains unpaid on or after January 1 of the year following the school year it was due and there is no dispute regarding the validity or amount of the claim. 4. The school district has defaulted in payment of its bonds or interest on bonds or in payment of rentals due any state or federal authority or private business for a period of sixty calendar days and no action has been initiated within that period of time to make payment. 5. The school district has contracted for any loan not authorized by law. 6. The school district has accumulated and has operated with a deficit equal to five per cent percent or more of the school district's revenue control limit for any fiscal year within the past two fiscal years or the conditions prescribed in section 15-107 have occurred. 7. The school district's warrants have not been honored for payment by the school district's servicing bank or by the county treasurer and the warrants have remained unpaid for a period of more than sixty calendar days. C. A school district shall not be deemed to be insolvent pursuant to subsection B of this section if the circumstances are the result of the failure of the state to make any payments of monies due the school district at the time payment is due. D. The state board of education shall have has jurisdiction over all petitions requesting that a school district be placed in receivership and a receiver be appointed or that a fiscal crisis team be appointed because of the school district's alleged insolvency or gross mismanagement. The state board shall have has the burden of demonstrating by a preponderance of the evidence that the school district is insolvent or is engaged in gross mismanagement. E. If the state board of education finds that the school district is insolvent or has engaged in gross mismanagement, the state board may place the school district in receivership and appoint a receiver recommended by the state board. The state board shall develop and adopt a list of qualified receivers to be appointed by the board. F. On appointment, the receiver shall perform the actions prescribed in paragraph 1 of this subsection and may perform any of the actions prescribed in paragraphs 1 through 11 paragraph 2 of this subsection and shall begin a full review and investigation of the school district's financial affairs and submit to the state board of education a detailed report listing the findings of that investigation that shall include includes a financial improvement plan and budget that details how the school district will eliminate any continued gross financial mismanagement and achieve financial solvency. The plan shall include a proposed timeline for achieving financial solvency. The receiver shall submit the report within one hundred twenty days after the receiver's appointment. The financial improvement plan approved by the state board of education: 1. Shall require the receiver to terminate for cause the school district superintendent. The receiver may not provide a severance or buyout package to the school district superintendent if the state board of education places the school district in receivership. A superintendent who is terminated pursuant to this paragraph may appeal the termination to the state board of education if the superintendent files an appeal with the state board within thirty days after receiving notice of the termination. If the superintendent does not prevail in an appeal pursuant to this paragraph, the superintendent shall surrender any certificates issued by the department of education. 2. May authorize the receiver to do any of the following: 1. (a) Override any decisions of the school district's governing board or the school district superintendent, or both, concerning the management and operation of the school district, and initiate and make decisions concerning the management and operation of the school district. 2. (b) Attend any and all meetings of the school district's governing board and administrative staff. 3. (c) Supervise the day-to-day activities of the school district's staff, including reassigning the duties and responsibilities of personnel in a manner that, in the determination of the receiver, best suits the needs of the school district. 4. (d) Place on extended leave, suspend or terminate for cause the school district's superintendent or chief financial officer, or both. The receiver is not authorized to provide a severance or buyout package to the school district's superintendent or chief financial officer if the school district is placed into in receivership by the state board of education. A person chief financial officer who is terminated pursuant to this paragraph subdivision may appeal the receiver's decision termination to the state board of education if an appeal is filed with the state board within thirty days of after receiving notice of the termination. 5. (e) Authorize pupils to transfer from schools operated by the school district to schools operated by another school district that is not currently in receivership. 6. (f) Appoint a chief educational officer who shall possess the powers and duties of a school district superintendent. A chief educational officer who is appointed pursuant to this paragraph subdivision shall hold a valid administrative certificate. 7. (g) Appoint a chief fiscal officer who shall possess the powers and duties of the school district's chief school business official and any other duties regarding budgeting, accounting and other financial matters that are assigned to the school district by law. 8. (h) Appoint a competent independent public accountant to audit the accounts of the school district. 9. (i) Reorganize the school district's financial accounts, management and budgetary systems to improve financial responsibility and reduce financial inefficiency within the district. 10. (j) Establish school district fiscal guidelines and a system of internal controls, including internal administrative controls and internal accounting controls, with provisions for internal audits. 11. (k) Cancel or renegotiate any contract, other than contracts of certificated teachers who have been employed by the school district in the capacity of a certificated teacher for more than one year immediately before the date the receiver was appointed, to which the governing board or the school district is a party if the cancellation or renegotiation of the contract will produce needed economies in the operation of the district's schools. The receiver may refuse to reemploy any certificated teacher who has not been employed by the school district for more than the major portion of three consecutive school years as provided in section 15-536. G. The receiver's power, authority and duties shall be are effective on the date of the receiver's appointment by the state board of education. The receiver shall perform the receiver's duties according to the instructions of the state board of education order and according to law. The receiver shall promptly report any violations of law, including a violation of the uniform system of financial records, to the state board of education. H. On review and approval of the state board of education, the receiver shall take all necessary steps to implement the financial improvement plan and budget utilizing using those powers identified in the plan as prescribed in subsection F of this section. I. The salary and benefits of the receiver and any officers or employees appointed by the receiver shall be paid by the school district. The state board of education shall determine the salary for the receiver and any officers or employees appointed by the receiver based on amounts recommended by the state board. J. The state board of education shall remove the school district from receivership and dismiss the receiver and dismiss any officer or employee appointed by the receiver thirty days after all of the following have occurred: 1. The auditor general certifies that the school district has been financially solvent for one fiscal year. 2. The auditor general certifies that the school district's financial records are in compliance with the uniform system of financial records and generally accepted accounting principles. 3. The receiver certifies that the school district is no longer engaged in gross mismanagement. 4. The state board of education has determined that the school district is able to pay its debts as those debts become due. K. Beginning ninety days after the submission of the first report prescribed in subsection F of this section, the receiver shall submit a quarterly progress report to the state board of education. The state board of education shall review the expenses and costs of the receiver at least once each calendar quarter. L. The state board of education shall formally review the receiver's progress every six months. If, based on the quarterly progress reports, the state board determines that the receiver's progress is insufficient, the state board may remove the current receiver and appoint another receiver for the school district. M. The state board of education may dismiss the receiver for cause or on a majority vote of no confidence in the receiver of the state board. N. The school district shall indemnify the receiver and any officer or employee appointed by the receiver who is made or threatened to be made a party to any litigation by reason of their status under this section if the receiver, officer or employee acted in good faith and in a manner that the receiver, officer or employee reasonably believed to be consistent with the best interest of the school district and if the receiver, officer or employee had no reasonable cause to believe that the conduct was unlawful. O. During the period of time that the school district is in receivership, no a member, officer, employee or agent of the school district may not enter into any contract or incur any liability on behalf of the school district for any purpose if the amount of the contract or liability exceeds the receiver's authorized financial plan and budget for the school district. The receiver may discipline, including, if warranted, imposing a suspension from duty without pay, removal from office or termination of, any school district employee or officer who violates this subsection. P. This section does not create a private cause of action against the school district or its officers, directors, board members or employees. Q. The assumption of control of the school district by the receiver shall in no way not interfere with the election or reelection of school district governing board members, except as required by section 15-302.01. R. This section shall not interfere with a school district's ability to declare bankruptcy under federal law. S. The state board of education shall continue to monitor and offer technical assistance to a school district for two years after its removal from receivership. T. All information received and records or reports kept by the state board of education during an investigation resulting from a complaint against a receiver appointed pursuant to this section or section 15-107 are confidential and not a public record. U. The state board of education or the department of education shall immediately notify the auditor general if the board or department has knowledge that a superintendent or chief financial officer who was employed at the school district at the time the school district was placed in receivership is currently employed in another school district or charter school in this state. V. Notwithstanding any other law, a fiscal crisis team appointed pursuant to this section shall be is subject to section 15-107, subsections E through H and a school district that is assigned a level two fiscal crisis team pursuant to this section shall be is subject to section 15-107, subsections J, K and L. W. For the purposes of this section: 1. "Fiscal crisis team" means either: (a) A level one fiscal crisis team with the duties and authority prescribed in section 15-107, subsection D, paragraph 2. (b) A level two fiscal crisis team with the duties and authority prescribed in section 15-107, subsection D, paragraph 3. 2. "Gross mismanagement" means that the school district's officers or employees committed or engaged in gross incompetence or systemic and egregious mismanagement of the school district's finances or financial records. 3. "Notice" means written notice personally served or delivered by certified mail, return receipt requested. 4. "Receiver" means an individual who is appointed by the state board of education from the persons recommended by the state board for the purpose of managing a school district placed in receivership by the state board of education. 5. "Receivership" means the state or condition of being under the control of the receiver appointed by the state board of education. 6. "Superintendent" means the chief executive officer of the school district. Sec. 2. Title 15, chapter 3, article 1, Arizona Revised Statutes, is amended by adding section 15-302.01, to read: 15-302.01. School district governing board members; resignation; appointment; election; exceptions A. Notwithstanding any other law, if the state board of education places a school district in receivership pursuant to section 15-103, Each member of the school district governing board SHALL IMMEDIATELY RESIGN and the county school superintendent of the county in which the school district is located Shall appoint governing [A.] Notwithstanding any other law, if the state board of education places a school district in receivership pursuant to section 15-103, [the county school superintendent of the county in which the school district is located shall remove] Each member of the school district governing board [SHALL IMMEDIATELY RESIGN] and [the county school superintendent of the county in which the school district is located] Shall appoint governing board members to temporarily fill the vacancies pursuant to section 15-302, except that: 1.except that[: 1. The county school superintendent may not accept names from the school district governing board for consideration. 2. The term of an appointment pursuant to this subsection shall be until a special election is held to elect new governing board members pursuant to paragraph 3 of this subsection. 3. As soon as practicable, the county school superintendent shall call a special election to replace all governing board members who are temporarily appointed pursuant to paragraph 2 of this subsection. The county school superintendent shall assign by lot the new governing board members who are elected pursuant to this paragraph to initial terms of two and four years in office. Thereafter, The term of office for each member is four years from January 1 next following the member's election. county school superintendent shall assign the governing board members by lot to initial terms of two and four years in office. Thereafter The term of office for each member shall be four years from January 1 next following the member's election.4. IF THE SCHOOL DISTRICT IS LOCATED IN TWO OR MORE COUNTIES, EACH VACANCY SHALL BE FILLED BY THE COUNTY SCHOOL SUPERINTENDENT OF THE COUNTY IN WHICH THE former GOVERNING BOARD MEMBER RESIDED AT THE TIME OF REMOVAL. The term of an appointment pursuant to this subsection shall be until a special election for governing board members. 3. As soon as practicable, the county school superintendent shall call a special election to replace all governing board members who are temporarily appointed pursuant to paragraph 2 of this subsection. The term of office for governing board members who are elected pursuant to this paragraph shall be [_______]. 4. B. A school district governing board member is not subject to the resignation requirement prescribed by subsection A of this section if either: 1. The governing board member submitted a written complaint relating to the school district's financial practices to the state board of education or the department of education before the date on which the department of education recommends that the state board of education place the school district in receivership. 2. The individual was elected or appointed to the office of school district governing board member not more than six months before the date on which the department of education recommends that the state board of education place the school district in receivership.former the resignation requirement prescribed by B. A school district governing board member who submits a written complaint relating to the school district's financial practices to the state board of education or the department of education before the date on which the department of education recommends that the state board of education be placed in receivership is not subject to removal pursuant to subsection A of this section if either: 1. The governing board member that the school district. 2. The individual was elected or appointed to the office of school district governing board member no more than six months that the school district.2. IF THE SCHOOL DISTRICT IS LOCATED IN TWO OR MORE COUNTIES, EACH VACANCY SHALL BE FILLED BY THE COUNTY SCHOOL SUPERINTENDENT OF THE COUNTY IN WHICH THE REMOVED GOVERNING BOARD MEMBER RESIDED AT THE TIME OF REMOVAL. Sec. 3. Section 15-341, Arizona Revised Statutes, is amended to read: 15-341. General powers and duties; immunity; delegation A. The each school district governing board shall: 1. Prescribe and enforce policies and procedures to govern the schools that are not inconsistent with the laws or rules prescribed by the state board of education. 2. Exclude from schools all books, publications, papers or audiovisual materials of a sectarian, partisan or denominational character. This paragraph does not prohibit the elective course allowed by section 15-717.01. 3. Manage and control the school property within its district, except that a district may enter into a partnership with an entity, including a charter school, another school district or a military base, to operate a school or offer educational services in a district building, including at a vacant or partially used building, or in any building on the entity's property pursuant to a written agreement between the parties. 4. Acquire school furniture, apparatus, equipment, library books and supplies for the schools to use. 5. Prescribe the curricula and criteria for the promotion and graduation of pupils as provided in sections 15-701 and 15-701.01. 6. Furnish, repair and insure, at full insurable value, the school property of the district. 7. Construct school buildings on approval by a vote of the district electors. 8. In the name of the district, convey property belonging to the district and sold by the board. 9. Purchase school sites when authorized by a vote of the district at an election conducted as nearly as practicable in the same manner as the election provided in section 15-481 and held on a date prescribed in section 15-491, subsection E, but such authorization shall not necessarily specify the site to be purchased and such authorization shall not be necessary to exchange unimproved property as provided in section 15-342, paragraph 23. 10. Construct, improve and furnish buildings used for school purposes when such buildings or premises are leased from the national park service. 11. Purchase school sites or construct, improve and furnish school buildings from the proceeds of the sale of school property only on approval by a vote of the district electors. 12. Hold pupils to strict account for disorderly conduct on school property. 13. Discipline students for disorderly conduct on the way to and from school. 14. Except as provided in section 15-1224, deposit all monies received by the district as gifts, grants and devises with the county treasurer who shall credit the deposits as designated in the uniform system of financial records. If not inconsistent with the terms of the gifts, grants and devises given, any balance remaining after expenditures for the intended purpose of the monies have been made shall be used to reduce school district taxes for the budget year, except that in the case of accommodation schools the county treasurer shall carry the balance forward for use by the county school superintendent for accommodation schools for the budget year. 15. Provide that, if a parent or legal guardian chooses not to accept a decision of the teacher as provided in paragraph 42 of this subsection, the parent or legal guardian may request in writing that the governing board review the teacher's decision. This paragraph does not release school districts from any liability relating to a child's promotion or retention. 16. Provide for adequate supervision over pupils in instructional and noninstructional activities by certificated or noncertificated personnel. 17. Use school monies received from the state and county school apportionment exclusively to pay salaries of teachers and other employees and contingent expenses of the district. 18. Annually report to the county school superintendent on or before October 1 in the manner and form and on the blanks prescribed by the superintendent of public instruction or county school superintendent. The board shall also report directly to the county school superintendent or the superintendent of public instruction whenever required. 19. Deposit all monies received by school districts other than student activities monies or monies from auxiliary operations as provided in sections 15-1125 and 15-1126 with the county treasurer to the credit of the school district except as provided in paragraph 20 of this subsection and sections 15-1223 and 15-1224, and the board shall spend the monies as provided by law for other school funds. 20. Establish bank accounts in which the board during a month may deposit miscellaneous monies received directly by the district. The board shall remit monies deposited in the bank accounts at least monthly to the county treasurer for deposit as provided in paragraph 19 of this subsection and in accordance with the uniform system of financial records. 21. Prescribe and enforce policies and procedures for disciplinary action against a teacher who engages in conduct that is a violation of the policies of the governing board but that is not cause for dismissal of the teacher or for revocation of the certificate of the teacher. Disciplinary action may include suspension without pay for a period of time not to exceed ten school days. Disciplinary action shall not include suspension with pay or suspension without pay for a period of time longer than ten school days. The procedures shall include notice, hearing and appeal provisions for violations that are cause for disciplinary action. The governing board may designate a person or persons to act on behalf of the board on these matters. 22. Prescribe and enforce policies and procedures for disciplinary action against an administrator who engages in conduct that is a violation of the policies of the governing board regarding duties of administrators but that is not cause for dismissal of the administrator or for revocation of the certificate of the administrator. Disciplinary action may include suspension without pay for a period of time not to exceed ten school days. Disciplinary action shall not include suspension with pay or suspension without pay for a period of time longer than ten school days. The procedures shall include notice, hearing and appeal provisions for violations that are cause for disciplinary action. The governing board may designate a person or persons to act on behalf of the board on these matters. For violations that are cause for dismissal, the provisions of notice, hearing and appeal in chapter 5, article 3 of this title apply. The filing of a timely request for a hearing suspends the imposition of a suspension without pay or a dismissal pending completion of the hearing. 23. Notwithstanding sections 13-3108 and 13-3120, prescribe and enforce policies and procedures that prohibit a person from carrying or possessing a weapon on school grounds unless the person is a peace officer or has obtained specific authorization from the school administrator. 24. Prescribe and enforce policies and procedures relating to the health and safety of all pupils participating in district-sponsored practice sessions or games or other interscholastic athletic activities, including: (a) The provision of water. (b) Guidelines, information and forms, developed in consultation with a statewide private entity that supervises interscholastic activities, to inform and educate coaches, pupils and parents of the dangers of concussions and head injuries and the risks of continued participation in athletic activity after a concussion. The policies and procedures shall require that, before a pupil participates in an athletic activity, the pupil and the pupil's parent sign an information form at least once each school year that states that the parent is aware of the nature and risk of concussion. The policies and procedures shall require that a pupil who is suspected of sustaining a concussion in a practice session, game or other interscholastic athletic activity be immediately removed from the athletic activity and that the pupil's parent or guardian be notified. A coach from the pupil's team or an official or a licensed health care provider may remove a pupil from play. A team parent may also remove the parent's own child from play. A pupil may return to play on the same day if a health care provider rules out a suspected concussion at the time the pupil is removed from play. On a subsequent day, the pupil may return to play if the pupil has been evaluated by and received written clearance to resume participation in athletic activity from a health care provider who has been trained in evaluating and managing concussions and head injuries. A health care provider who is a volunteer and who provides clearance to participate in athletic activity on the day of the suspected injury or on a subsequent day is immune from civil liability with respect to all decisions made and actions taken that are based on good faith implementation of the requirements of this subdivision, except in cases of gross negligence or wanton or wilful neglect. A school district, school district employee, team coach, official or team volunteer or a parent or guardian of a team member is not subject to civil liability for any act, omission or policy undertaken in good faith to comply with the requirements of this subdivision or for a decision made or an action taken by a health care provider. A group or organization that uses property or facilities owned or operated by a school district for athletic activities shall comply with the requirements of this subdivision. A school district and its employees and volunteers are not subject to civil liability for any other person or organization's failure or alleged failure to comply with the requirements of this subdivision. This subdivision does not apply to teams that are based in another state and that participate in an athletic activity in this state. For the purposes of this subdivision, athletic activity does not include dance, rhythmic gymnastics, competitions or exhibitions of academic skills or knowledge or other similar forms of physical noncontact activities, civic activities or academic activities, whether engaged in for the purposes of competition or recreation. For the purposes of this subdivision, "health care provider" means a physician who is licensed pursuant to title 32, chapter 13, 14 or 17, an athletic trainer who is licensed pursuant to title 32, chapter 41, a nurse practitioner who is licensed pursuant to title 32, chapter 15, and a physician assistant who is licensed pursuant to title 32, chapter 25. (c) Guidelines, information and forms that are developed in consultation with a statewide private entity that supervises interscholastic activities to inform and educate coaches, pupils and parents of the dangers of heat-related illnesses, sudden cardiac death and prescription opioid use. Before a pupil participates in any district-sponsored practice session or game or other interscholastic athletic activity, the pupil and the pupil's parent must be provided with information at least once each school year on the risks of heat-related illnesses, sudden cardiac death and prescription opioid addiction. 25. Establish an assessment, data gathering and reporting system as prescribed in chapter 7, article 3 of this title. 26. Provide special education programs and related services pursuant to section 15-764, subsection A to all children with disabilities as defined in section 15-761. 27. Administer competency tests prescribed by the state board of education for the graduation of pupils from high school. 28. Ensure that insurance coverage is secured for all construction projects for purposes of general liability, property damage and workers' compensation and secure performance and payment bonds for all construction projects. 29. Collect and maintain information about each current and former teacher's educational and teaching background and experience in a particular academic content subject area. A school district shall either post the information on the school district's website or make the information available for inspection on request of parents and guardians of pupils enrolled at a school. This paragraph does not require any school to release personally identifiable information in relation to any teacher, including the teacher's address, salary, social security number or telephone number. 30. Report to local law enforcement agencies any suspected crime against a person or property that is a serious offense as defined in section 13-706 or that involves a deadly weapon or dangerous instrument or serious physical injury and any conduct that poses a threat of death or serious physical injury to employees, students or anyone on the property of the school. This paragraph does not limit or preclude the reporting by a school district or an employee of a school district of suspected crimes other than those required to be reported by this paragraph. For the purposes of this paragraph, "dangerous instrument", "deadly weapon" and "serious physical injury" have the same meanings prescribed in section 13-105. 31. In conjunction with local law enforcement agencies and emergency response agencies, develop an emergency response plan for each school in the school district in accordance with minimum standards developed jointly by the department of education and the division of emergency management within the department of emergency and military affairs. Any emergency response plan developed pursuant to this paragraph must address how the school and emergency responders will communicate with and provide assistance to students with disabilities. 32. Provide written notice to the parents or guardians of all students enrolled in the school district at least ten days before a public meeting to discuss closing a school within the school district. The notice shall include the reasons for the proposed closure and the time and place of the meeting. The governing board shall fix a time for a public meeting on the proposed closure not less than ten days before voting in a public meeting to close the school. The school district governing board shall give notice of the time and place of the meeting. At the time and place designated in the notice, the school district governing board shall hear reasons for or against closing the school. The school district governing board is exempt from this paragraph if the governing board determines that the school shall be closed because it poses a danger to the health or safety of the pupils or employees of the school. A governing board may consult with the division of school facilities within the department of administration for technical assistance and for information on the impact of closing a school. The information provided from the division of school facilities within the department of administration shall not require the governing board to take or not take any action. 33. Incorporate instruction on Native American history into appropriate existing curricula. 34. Prescribe and enforce policies and procedures: (a) Allowing pupils who have been diagnosed with anaphylaxis by a health care provider licensed pursuant to title 32, chapter 13, 14, 17 or 25 or by a registered nurse practitioner licensed and certified pursuant to title 32, chapter 15 to carry and self-administer emergency medications, including epinephrine auto-injectors, while at school and at school-sponsored activities. The pupil's name on the prescription label on the medication container or on the medication device and annual written documentation from the pupil's parent or guardian to the school that authorizes possession and self-administration is sufficient proof that the pupil is entitled to possess and self-administer the medication. The policies shall require a pupil who uses an epinephrine auto-injector while at school and at school-sponsored activities to notify the nurse or the designated school staff person of the use of the medication as soon as practicable. A school district and its employees are immune from civil liability with respect to all decisions made and actions taken that are based on good faith implementation of the requirements of this subdivision, except in cases of wanton or wilful neglect. (b) For the emergency administration of epinephrine auto-injectors by a trained employee of a school district pursuant to section 15-157. 35. Allow the possession and self-administration of prescription medication for breathing disorders in handheld inhaler devices by pupils who have been prescribed that medication by a health care professional licensed pursuant to title 32. The pupil's name on the prescription label on the medication container or on the handheld inhaler device and annual written documentation from the pupil's parent or guardian to the school that authorizes possession and self-administration is sufficient proof that the pupil is entitled to possess and self-administer the medication. A school district and its employees are immune from civil liability with respect to all decisions made and actions taken that are based on a good faith implementation of the requirements of this paragraph. 36. Prescribe and enforce policies and procedures to prohibit pupils from harassing, intimidating and bullying other pupils on school grounds, on school property, on school buses, at school bus stops, at school-sponsored events and activities and through the use of electronic technology or electronic communication on school computers, networks, forums and mailing lists that include the following components: (a) A procedure for pupils, parents and school district employees to confidentially report to school officials incidents of harassment, intimidation or bullying. The school shall make available written forms designed to provide a full and detailed description of the incident and any other relevant information about the incident. (b) A requirement that school district employees report in writing suspected incidents of harassment, intimidation or bullying to the appropriate school official and a description of appropriate disciplinary procedures for employees who fail to report suspected incidents that are known to the employee. (c) A requirement that, at the beginning of each school year, school officials provide all pupils with a written copy of the rights, protections and support services available to a pupil who is an alleged victim of an incident reported pursuant to this paragraph. (d) If an incident is reported pursuant to this paragraph, a requirement that school officials provide a pupil who is an alleged victim of the incident with a written copy of the rights, protections and support services available to that pupil. (e) A formal process for documenting reported incidents of harassment, intimidation or bullying and providing for the confidentiality, maintenance and disposition of this documentation. School districts shall maintain documentation of all incidents reported pursuant to this paragraph for at least six years. The school shall not use that documentation to impose disciplinary action unless the appropriate school official has investigated and determined that the reported incidents of harassment, intimidation or bullying occurred. If a school provides documentation of reported incidents to persons other than school officials or law enforcement, all individually identifiable information shall be redacted. (f) A formal process for the appropriate school officials to investigate suspected incidents of harassment, intimidation or bullying, including procedures for notifying the alleged victim and the alleged victim's parent or guardian when a school official or employee becomes aware of the suspected incident of harassment, intimidation or bullying. (g) Disciplinary procedures for pupils who have admitted or been found to have committed incidents of harassment, intimidation or bullying. (h) A procedure that sets forth consequences for submitting false reports of incidents of harassment, intimidation or bullying. (i) Procedures designed to protect the health and safety of pupils who are physically harmed as the result of incidents of harassment, intimidation and bullying, including, if appropriate, procedures to contact emergency medical services or law enforcement agencies, or both. (j) Definitions of harassment, intimidation and bullying. 37. Prescribe and enforce policies and procedures regarding changing or adopting attendance boundaries that include the following components: (a) A procedure for holding public meetings to discuss attendance boundary changes or adoptions that allows public comments. (b) A procedure to notify the parents or guardians of the students affected, including assurance that, if that school remains open as part of the boundary change and capacity is available, students assigned to a new attendance area may stay enrolled in their current school. (c) A procedure to notify the residents of the households affected by the attendance boundary changes. (d) A process for placing public meeting notices and proposed maps on the school district's website for public review, if the school district maintains a website. (e) A formal process for presenting the attendance boundaries of the affected area in public meetings that allows public comments. (f) A formal process for notifying the residents and parents or guardians of the affected area as to the decision of the governing board on the school district's website, if the school district maintains a website. (g) A formal process for updating attendance boundaries on the school district's website within ninety days after an adopted boundary change. The school district shall send a direct link to the school district's attendance boundaries website to the department of real estate. 38. If the state board of education determines that the school district has committed an overexpenditure as defined in section 15-107, provide a copy of the fiscal management report submitted pursuant to section 15-107, subsection H on its website and make copies available to the public on request. The school district shall comply with a request within five business days after receipt. 39. Ensure that the contract for the superintendent is structured in a manner in which up to twenty percent of the total annual salary included for the superintendent in the contract is classified as performance pay. This paragraph does not require school districts to increase total compensation for superintendents. Unless the school district governing board votes to implement an alternative procedure at a public meeting called for this purpose, the performance pay portion of the superintendent's total annual compensation shall be determined as follows: (a) Twenty-five percent of the performance pay shall be determined based on the percentage of academic gain determined by the department of education of pupils who are enrolled in the school district compared to the academic gain achieved by the highest ranking of the fifty largest school districts in this state. For the purposes of this subdivision, the department of education shall determine academic gain by the academic growth achieved by each pupil who has been enrolled at the same school in a school district for at least five consecutive months measured against that pupil's academic results in the 2008-2009 school year. For the purposes of this subdivision, of the fifty largest school districts in this state, the school district with pupils who demonstrate the highest statewide percentage of overall academic gain measured against academic results for the 2008-2009 school year shall be assigned a score of 100 and the school district with pupils who demonstrate the lowest statewide percentage of overall academic gain measured against academic results for the 2008-2009 school year shall be assigned a score of 0. (b) Twenty-five percent of the performance pay shall be determined by the percentage of parents of pupils who are enrolled at the school district who assign a letter grade of "A" to the school on a survey of parental satisfaction with the school district. The parental satisfaction survey shall be administered and scored by an independent entity that is selected by the governing board and that demonstrates sufficient expertise and experience to accurately measure the results of the survey. The parental satisfaction survey shall use standard random sampling procedures and provide anonymity and confidentiality to each parent who participates in the survey. The letter grade scale used on the parental satisfaction survey shall direct parents to assign one of the following letter grades: (i) A letter grade of "A" if the school district is excellent. (ii) A letter grade of "B" if the school district is above average. (iii) A letter grade of "C" if the school district is average. (iv) A letter grade of "D" if the school district is below average. (v) A letter grade of "F" if the school district is a failure. (c) Twenty-five percent of the performance pay shall be determined by the percentage of teachers who are employed at the school district and who assign a letter grade of "A" to the school on a survey of teacher satisfaction with the school. The teacher satisfaction survey shall be administered and scored by an independent entity that is selected by the governing board and that demonstrates sufficient expertise and experience to accurately measure the results of the survey. The teacher satisfaction survey shall use standard random sampling procedures and provide anonymity and confidentiality to each teacher who participates in the survey. The letter grade scale used on the teacher satisfaction survey shall direct teachers to assign one of the following letter grades: (i) A letter grade of "A" if the school district is excellent. (ii) A letter grade of "B" if the school district is above average. (iii) A letter grade of "C" if the school district is average. (iv) A letter grade of "D" if the school district is below average. (v) A letter grade of "F" if the school district is a failure. (d) Twenty-five percent of the performance pay shall be determined by other criteria selected by the governing board. 40. Maintain and store permanent public records of the school district as required by law. Notwithstanding section 39-101, the standards adopted by the Arizona state library, archives and public records for the maintenance and storage of school district public records shall allow school districts to elect to satisfy the requirements of this paragraph by maintaining and storing these records either on paper or in an electronic format, or a combination of a paper and electronic format. 41. Adopt in a public meeting and implement policies for principal evaluations. Before adopting principal evaluation policies, the school district governing board shall provide opportunities for public discussion on the proposed policies. The governing board shall adopt policies that: (a) Are designed to improve principal performance and improve student achievement. (b) Include the use of quantitative data on the academic progress for all students, which shall account for between twenty percent and thirty-three percent of the evaluation outcomes. (c) Include four performance classifications, designated as highly effective, effective, developing and ineffective. (d) Describe both of the following: (i) The methods used to evaluate the performance of principals, including the data used to measure student performance and job effectiveness. (ii) The formula used to determine evaluation outcomes. 42. Prescribe and enforce policies and procedures that define the duties of principals and teachers. These policies and procedures shall authorize teachers to take and maintain daily classroom attendance, make the decision to promote or retain a pupil in a grade in common school or to pass or fail a pupil in a course in high school, subject to review by the governing board in the manner provided in section 15-342, paragraph 11. 43. Prescribe and enforce policies and procedures for the emergency administration by an employee of a school district pursuant to section 36-2267 of naloxone hydrochloride or any other opioid antagonist approved by the United States food and drug administration. 44. In addition to the notification requirements prescribed in paragraph 36 of this subsection, prescribe and enforce reasonable and appropriate policies to notify a pupil's parent or guardian if any person engages in harassing, threatening or intimidating conduct against that pupil. A school district and its officials and employees are immune from civil liability with respect to all decisions made and actions taken that are based on good faith implementation of the requirements of this paragraph, except in cases of gross negligence or wanton or wilful neglect. A person engages in threatening or intimidating if the person threatens or intimidates by word or conduct to cause physical injury to another person or serious damage to the property of another on school grounds. A person engages in harassment if, with intent to harass or with knowledge that the person is harassing another person, the person anonymously or otherwise contacts, communicates or causes a communication with another person by verbal, electronic, mechanical, telephonic or written means in a manner that harasses on school grounds or substantially disrupts the school environment. 45. Each fiscal year, provide to each school district employee a total compensation statement that is broken down by category of benefit or payment and that includes, for that employee, at least all of the following: (a) Base salary and any additional pay. (b) Medical benefits and the value of any employer-paid portions of insurance plan premiums. (c) Retirement benefit plans, including social security. (d) Legally required benefits. (e) Any paid leave. (f) Any other payment made to or on behalf of the employee. (g) Any other benefit provided to the employee. 46. Develop and adopt in a public meeting policies to allow for visits, tours and observations of all classrooms by parents of enrolled pupils and parents who wish to enroll their children in the school district unless a visit, tour or observation threatens the health and safety of pupils and staff. These policies and procedures must be easily accessible from the home page on each school's website. B. Notwithstanding subsection A, paragraphs 7, 9 and 11 of this section, the county school superintendent may construct, improve and furnish school buildings or purchase or sell school sites in the conduct of an accommodation school. C. If any school district acquires real or personal property, whether by purchase, exchange, condemnation, gift or otherwise, the governing board shall pay to the county treasurer any taxes on the property that were unpaid as of the date of acquisition, including penalties and interest. The lien for unpaid delinquent taxes, penalties and interest on property acquired by a school district: 1. Is not abated, extinguished, discharged or merged in the title to the property. 2. Is enforceable in the same manner as other delinquent tax liens. D. The governing board may not locate a school on property that is less than one-fourth mile from agricultural land regulated pursuant to section 3-365, except that the owner of the agricultural land may agree to comply with the buffer zone requirements of section 3-365. If the owner agrees in writing to comply with the buffer zone requirements and records the agreement in the office of the county recorder as a restrictive covenant running with the title to the land, the school district may locate a school within the affected buffer zone. The agreement may include any stipulations regarding the school, including conditions for future expansion of the school and changes in the operational status of the school that will result in a breach of the agreement. E. A school district, its governing board members, its school council members and its employees are immune from civil liability for the consequences of adopting and implementing policies and procedures pursuant to subsection A of this section and section 15-342. This waiver does not apply if the school district, its governing board members, its school council members or its employees are guilty of gross negligence or intentional misconduct. F. A governing board may delegate in writing to a superintendent, principal or head teacher the authority to prescribe procedures that are consistent with the governing board's policies. G. Notwithstanding any other provision of this title, a school district governing board shall not do either of the following: [do] either of the following: 1. Take any action that would result in a reduction of pupil square footage unless the governing board notifies the school facilities oversight board established by section 41-5701.02 of the proposed action and receives written approval from the school facilities oversight board to take the action. A reduction includes an increase in administrative space that results in a reduction of pupil square footage or sale of school sites or buildings, or both. A reduction includes a reconfiguration of grades that results in a reduction of pupil square footage of any grade level. This subsection paragraph does not apply to temporary reconfiguration of grades to accommodate new school construction if the temporary reconfiguration does not exceed one year. The sale of equipment that results in a reduction that falls below the equipment requirements prescribed in section 41-5711, subsection B is subject to commensurate withholding of school district district additional assistance monies pursuant to the direction of the school facilities oversight board. Except as provided in section 15-342, paragraph 10, proceeds from the sale of school sites, buildings or other equipment shall be deposited in the school plant fund as provided in section 15-1102. 2. Enter into two or more real estate transactions in a twelve-month period if the transactions involve both the same parties 2. Enter into two or more real estate transactions in a twelve-month period if the transactions involve both the same parties and the same property. For the purposes of this paragraph: (a) "Property" means a school site, a school building, a school facility, a portion of a school site, school building or school facility or a tract of land. (b) "Transaction" includes the sale, exchange, purchase or lease, in whole or in part, of property.and the same property. For the purposes of this paragraph: (a) "Property" means a school site, a school building, a school facility, a portion of a school site, school building, school facility or tract of land. (b) "Transaction" includes the sale, exchange, purchase or lease, in whole or in part, of property. H. Subsections C through G of this section apply to a county board of supervisors and a county school superintendent when operating and administering an accommodation school. I. A school district governing board may delegate authority in writing to the superintendent of the school district to submit plans for new school facilities to the school facilities oversight board for the purpose of certifying that the plans meet the minimum school facility adequacy guidelines prescribed in section 41-5711. J. For the purposes of subsection A, paragraph 37 of this section, attendance boundaries may not be used to require students to attend certain schools based on the student's place of residence. Sec. 4. Section 38-201, Arizona Revised Statutes, is amended to read: 38-201. General qualifications A. Every Each officer shall be not less than at least eighteen years of age, a citizen of the United States and a resident of this state. B. No aA person is not eligible to any office, employment or service in any public institution in the this state, or in any of the several counties thereof, of this state of any kind or character, whether by election, appointment or contract, unless he the person is a citizen of the United States, but the provisions of this subsection shall does not apply to the employment of any teacher, instructor or professor authorized to teach in the United States under the teacher exchange program as provided by federal statutes or the employment of university or college faculty members. C. A person who is unable to speak, write and read the English language is not eligible to hold a state, county, city, town or precinct office in the this state, whether elective or appointive, and no aa certificate of election or commission shall not issue to a person so disqualified. D. Except as provided in subsection E of this section, a person is not eligible for employment by or service for the this state or a political subdivision of the this state, including all boards and commissions of the this state or political subdivision of this state, all multimember governing bodies of departments, agencies, institutions and instrumentalities of the this state or political subdivisions of this state unless the person has registered with the selective service system if required by the federal military selective service act (62 Stat. 604; 50 United States Code App. section 453). E. A person may not be denied a right, privilege or benefit by reason of subsection D of this section if either of the following applies: 1. The requirement for the person to so register has terminated or become inapplicable to the person. 2. The person shows by a preponderance of the evidence that the failure of the person to register with the selective service system was not a knowing and willful wilful failure to register. F. A person is not eligible to hold an appointed state, county, city, town or precinct office that is established by legislative enactment if the person either: 1. Is required to resign from the office of school district governing board member pursuant to section 15-302.01. 2. Resigned from the office of school district governing board member up to one month before the school district was placed in receivership pursuant to section 15-103. Sec. 5. School districts in receivership; resignation of governing board members; vacancies; delayed repeal A. If the state board of education placed a school district in receivership pursuant to section 15-103, Arizona Revised Statutes, as amended by this act, in January 2025, each member of the school district governing board shall immediately resign and the vacancies shall be filled pursuant to section 15-302.01, Arizona Revised Statutes, as added by this act. B. This section is repealed from and after December 31, 2026. Sec. 6. Retroactivity Section 15-341, Arizona Revised Statutes, as amended by this act, applies retroactively to from and after January 1, 2025. Sec. 7. Severability If any provision of this act or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the act that can be given effect without resignation ; delayed repealvacancies shall be filled pursuant to section 15-302.01, Arizona Revised Statutes, as added by this act.1. Appoint governing board members to temporarily 2. As soon as practicable, call a special election to replace the appointed members pursuant to section 15-302.01, Arizona Revised Statutes, as added by this act. B. This section is repealed from and after December 31, 2026.]>> [Section 15-341, Arizona Revised Statutes, as amended by this act applies retroactively to from and after January 1, 2025. <<Sec. Severability [If any provision of this act or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the act that can be given effect without the invalid provision or application, and to this end the provisions of this act are severable. (ENACTED WITHOUT THE EMERGENCY)B. This section is repealed from and after December 31, 2026.]If the state board of education places a school district in receivership pursuant to section 15 103, Arizona Revised Statutes, in January 2025, the county school superintendent of the county in which the school district is located shall remove each member of the school district governing board and shall fill the vacancies pursuant to section 15-302.01, Arizona Revised Statutes, as added by this act.>> <<Sec. 5. Severability [If any provision of this act or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the act that can be given effect without the invalid provision or application, and to this end the provisions of this act are severable.]>> Secschool district. C. This section is repealed from and after December 31, 2026.]County treasurer; warrants issued by a school district in receivership; intent; delayed repealA. Notwithstanding any other law, the county treasurer shall register a warrant that is issued before April 1, 2025, by a school district in receivership pursuant to section 15-103, Arizona Revised Statutes, and approved by the receiver regardless of whether there are sufficient monies in the school district's account. B. The legislature intends that warrants registered pursuant to subsection A of this section be funded by basic state aid payments to the school district. C. This section is repealed from and after December 31, 2026.>> <<Sec. 5. Department of education; budget capacity calculation; school districts in receivership; delayed repeal [A. Notwithstanding any other law, the department of education may not consider the cash balance or budget carryforward of a school district that is placed in receivership in the third quarter of the 2024-2025 fiscal year when calculating the school district's budget capacity until March 2025.]>> B. This section is repealed from and after December 31, 2026. <<Sec. 8. Emergency This act is an emergency measure that is necessary to preserve the public peace, health or safety and is operative immediately as provided by law. Be it enacted by the Legislature of the State of Arizona: Section 1. Section 15-103, Arizona Revised Statutes, is amended to read: 15-103. School districts; financial mismanagement; intervention; receivership; definitions A. The state board of education shall review allegations of school district insolvency and gross mismanagement. The state board shall give the school district an opportunity to respond to these allegations at a public meeting. If the state board determines that the school district is insolvent or has grossly mismanaged its finances, the state board shall appoint a receiver or fiscal crisis team for that school district. B. The state board shall find a school district insolvent if it finds one or more of the following: 1. The school district is unable to pay debts as they fall due or in the usual course of business. 2. The salaries of any teachers or other employees have remained unpaid for forty-five days. 3. The tuition due another school district or other state institution remains unpaid on or after January 1 of the year following the school year it was due and there is no dispute regarding the validity or amount of the claim. 4. The school district has defaulted in payment of its bonds or interest on bonds or in payment of rentals due any state or federal authority or private business for a period of sixty calendar days and no action has been initiated within that period of time to make payment. 5. The school district has contracted for any loan not authorized by law. 6. The school district has accumulated and has operated with a deficit equal to five per cent percent or more of the school district's revenue control limit for any fiscal year within the past two fiscal years or the conditions prescribed in section 15-107 have occurred. 7. The school district's warrants have not been honored for payment by the school district's servicing bank or by the county treasurer and the warrants have remained unpaid for a period of more than sixty calendar days. C. A school district shall not be deemed to be insolvent pursuant to subsection B of this section if the circumstances are the result of the failure of the state to make any payments of monies due the school district at the time payment is due. D. The state board of education shall have has jurisdiction over all petitions requesting that a school district be placed in receivership and a receiver be appointed or that a fiscal crisis team be appointed because of the school district's alleged insolvency or gross mismanagement. The state board shall have has the burden of demonstrating by a preponderance of the evidence that the school district is insolvent or is engaged in gross mismanagement. E. If the state board of education finds that the school district is insolvent or has engaged in gross mismanagement, the state board may place the school district in receivership and appoint a receiver recommended by the state board. The state board shall develop and adopt a list of qualified receivers to be appointed by the board. F. On appointment, the receiver shall perform the actions prescribed in paragraph 1 of this subsection and may perform any of the actions prescribed in paragraphs 1 through 11 paragraph 2 of this subsection and shall begin a full review and investigation of the school district's financial affairs and submit to the state board of education a detailed report listing the findings of that investigation that shall include includes a financial improvement plan and budget that details how the school district will eliminate any continued gross financial mismanagement and achieve financial solvency. The plan shall include a proposed timeline for achieving financial solvency. The receiver shall submit the report within one hundred twenty days after the receiver's appointment. The financial improvement plan approved by the state board of education: 1. Shall require the receiver to terminate for cause the school district superintendent. The receiver may not provide a severance or buyout package to the school district superintendent if the state board of education places the school district in receivership. A superintendent who is terminated pursuant to this paragraph may appeal the termination to the state board of education if the superintendent files an appeal with the state board within thirty days after receiving notice of the termination. If the superintendent does not prevail in an appeal pursuant to this paragraph, the superintendent shall surrender any certificates issued by the department of education. 2. May authorize the receiver to do any of the following: 1. (a) Override any decisions of the school district's governing board or the school district superintendent, or both, concerning the management and operation of the school district, and initiate and make decisions concerning the management and operation of the school district. 2. (b) Attend any and all meetings of the school district's governing board and administrative staff. 3. (c) Supervise the day-to-day activities of the school district's staff, including reassigning the duties and responsibilities of personnel in a manner that, in the determination of the receiver, best suits the needs of the school district. 4. (d) Place on extended leave, suspend or terminate for cause the school district's superintendent or chief financial officer, or both. The receiver is not authorized to provide a severance or buyout package to the school district's superintendent or chief financial officer if the school district is placed into in receivership by the state board of education. A person chief financial officer who is terminated pursuant to this paragraph subdivision may appeal the receiver's decision termination to the state board of education if an appeal is filed with the state board within thirty days of after receiving notice of the termination. 5. (e) Authorize pupils to transfer from schools operated by the school district to schools operated by another school district that is not currently in receivership. 6. (f) Appoint a chief educational officer who shall possess the powers and duties of a school district superintendent. A chief educational officer who is appointed pursuant to this paragraph subdivision shall hold a valid administrative certificate. 7. (g) Appoint a chief fiscal officer who shall possess the powers and duties of the school district's chief school business official and any other duties regarding budgeting, accounting and other financial matters that are assigned to the school district by law. 8. (h) Appoint a competent independent public accountant to audit the accounts of the school district. 9. (i) Reorganize the school district's financial accounts, management and budgetary systems to improve financial responsibility and reduce financial inefficiency within the district. 10. (j) Establish school district fiscal guidelines and a system of internal controls, including internal administrative controls and internal accounting controls, with provisions for internal audits. 11. (k) Cancel or renegotiate any contract, other than contracts of certificated teachers who have been employed by the school district in the capacity of a certificated teacher for more than one year immediately before the date the receiver was appointed, to which the governing board or the school district is a party if the cancellation or renegotiation of the contract will produce needed economies in the operation of the district's schools. The receiver may refuse to reemploy any certificated teacher who has not been employed by the school district for more than the major portion of three consecutive school years as provided in section 15-536. G. The receiver's power, authority and duties shall be are effective on the date of the receiver's appointment by the state board of education. The receiver shall perform the receiver's duties according to the instructions of the state board of education order and according to law. The receiver shall promptly report any violations of law, including a violation of the uniform system of financial records, to the state board of education. H. On review and approval of the state board of education, the receiver shall take all necessary steps to implement the financial improvement plan and budget utilizing using those powers identified in the plan as prescribed in subsection F of this section. I. The salary and benefits of the receiver and any officers or employees appointed by the receiver shall be paid by the school district. The state board of education shall determine the salary for the receiver and any officers or employees appointed by the receiver based on amounts recommended by the state board. J. The state board of education shall remove the school district from receivership and dismiss the receiver and dismiss any officer or employee appointed by the receiver thirty days after all of the following have occurred: 1. The auditor general certifies that the school district has been financially solvent for one fiscal year. 2. The auditor general certifies that the school district's financial records are in compliance with the uniform system of financial records and generally accepted accounting principles. 3. The receiver certifies that the school district is no longer engaged in gross mismanagement. 4. The state board of education has determined that the school district is able to pay its debts as those debts become due. K. Beginning ninety days after the submission of the first report prescribed in subsection F of this section, the receiver shall submit a quarterly progress report to the state board of education. The state board of education shall review the expenses and costs of the receiver at least once each calendar quarter. L. The state board of education shall formally review the receiver's progress every six months. If, based on the quarterly progress reports, the state board determines that the receiver's progress is insufficient, the state board may remove the current receiver and appoint another receiver for the school district. M. The state board of education may dismiss the receiver for cause or on a majority vote of no confidence in the receiver of the state board. N. The school district shall indemnify the receiver and any officer or employee appointed by the receiver who is made or threatened to be made a party to any litigation by reason of their status under this section if the receiver, officer or employee acted in good faith and in a manner that the receiver, officer or employee reasonably believed to be consistent with the best interest of the school district and if the receiver, officer or employee had no reasonable cause to believe that the conduct was unlawful. O. During the period of time that the school district is in receivership, no a member, officer, employee or agent of the school district may not enter into any contract or incur any liability on behalf of the school district for any purpose if the amount of the contract or liability exceeds the receiver's authorized financial plan and budget for the school district. The receiver may discipline, including, if warranted, imposing a suspension from duty without pay, removal from office or termination of, any school district employee or officer who violates this subsection. P. This section does not create a private cause of action against the school district or its officers, directors, board members or employees. Q. The assumption of control of the school district by the receiver shall in no way not interfere with the election or reelection of school district governing board members, except as required by section 15-302.01. R. This section shall not interfere with a school district's ability to declare bankruptcy under federal law. S. The state board of education shall continue to monitor and offer technical assistance to a school district for two years after its removal from receivership. T. All information received and records or reports kept by the state board of education during an investigation resulting from a complaint against a receiver appointed pursuant to this section or section 15-107 are confidential and not a public record. U. The state board of education or the department of education shall immediately notify the auditor general if the board or department has knowledge that a superintendent or chief financial officer who was employed at the school district at the time the school district was placed in receivership is currently employed in another school district or charter school in this state. V. Notwithstanding any other law, a fiscal crisis team appointed pursuant to this section shall be is subject to section 15-107, subsections E through H and a school district that is assigned a level two fiscal crisis team pursuant to this section shall be is subject to section 15-107, subsections J, K and L. W. For the purposes of this section: 1. "Fiscal crisis team" means either: (a) A level one fiscal crisis team with the duties and authority prescribed in section 15-107, subsection D, paragraph 2. (b) A level two fiscal crisis team with the duties and authority prescribed in section 15-107, subsection D, paragraph 3. 2. "Gross mismanagement" means that the school district's officers or employees committed or engaged in gross incompetence or systemic and egregious mismanagement of the school district's finances or financial records. 3. "Notice" means written notice personally served or delivered by certified mail, return receipt requested. 4. "Receiver" means an individual who is appointed by the state board of education from the persons recommended by the state board for the purpose of managing a school district placed in receivership by the state board of education. 5. "Receivership" means the state or condition of being under the control of the receiver appointed by the state board of education. 6. "Superintendent" means the chief executive officer of the school district. Sec. 2. Title 15, chapter 3, article 1, Arizona Revised Statutes, is amended by adding section 15-302.01, to read: 15-302.01. School district governing board members; resignation; appointment; election; exceptions A. Notwithstanding any other law, if the state board of education places a school district in receivership pursuant to section 15-103, Each member of the school district governing board SHALL IMMEDIATELY RESIGN and the county school superintendent of the county in which the school district is located Shall appoint governing [A.] Notwithstanding any other law, if the state board of education places a school district in receivership pursuant to section 15-103, [the county school superintendent of the county in which the school district is located shall remove] Each member of the school district governing board [SHALL IMMEDIATELY RESIGN] and [the county school superintendent of the county in which the school district is located] Shall appoint governing board members to temporarily fill the vacancies pursuant to section 15-302, except that: 1.except that[: 1. The county school superintendent may not accept names from the school district governing board for consideration. 2. The term of an appointment pursuant to this subsection shall be until a special election is held to elect new governing board members pursuant to paragraph 3 of this subsection. 3. As soon as practicable, the county school superintendent shall call a special election to replace all governing board members who are temporarily appointed pursuant to paragraph 2 of this subsection. The county school superintendent shall assign by lot the new governing board members who are elected pursuant to this paragraph to initial terms of two and four years in office. Thereafter, The term of office for each member is four years from January 1 next following the member's election. county school superintendent shall assign the governing board members by lot to initial terms of two and four years in office. Thereafter The term of office for each member shall be four years from January 1 next following the member's election.4. IF THE SCHOOL DISTRICT IS LOCATED IN TWO OR MORE COUNTIES, EACH VACANCY SHALL BE FILLED BY THE COUNTY SCHOOL SUPERINTENDENT OF THE COUNTY IN WHICH THE former GOVERNING BOARD MEMBER RESIDED AT THE TIME OF REMOVAL. The term of an appointment pursuant to this subsection shall be until a special election for governing board members. 3. As soon as practicable, the county school superintendent shall call a special election to replace all governing board members who are temporarily appointed pursuant to paragraph 2 of this subsection. The term of office for governing board members who are elected pursuant to this paragraph shall be [_______]. 4. B. A school district governing board member is not subject to the resignation requirement prescribed by subsection A of this section if either: 1. The governing board member submitted a written complaint relating to the school district's financial practices to the state board of education or the department of education before the date on which the department of education recommends that the state board of education place the school district in receivership. 2. The individual was elected or appointed to the office of school district governing board member not more than six months before the date on which the department of education recommends that the state board of education place the school district in receivership.former the resignation requirement prescribed by B. A school district governing board member who submits a written complaint relating to the school district's financial practices to the state board of education or the department of education before the date on which the department of education recommends that the state board of education be placed in receivership is not subject to removal pursuant to subsection A of this section if either: 1. The governing board member that the school district. 2. The individual was elected or appointed to the office of school district governing board member no more than six months that the school district.2. IF THE SCHOOL DISTRICT IS LOCATED IN TWO OR MORE COUNTIES, EACH VACANCY SHALL BE FILLED BY THE COUNTY SCHOOL SUPERINTENDENT OF THE COUNTY IN WHICH THE REMOVED GOVERNING BOARD MEMBER RESIDED AT THE TIME OF REMOVAL. Sec. 3. Section 15-341, Arizona Revised Statutes, is amended to read: 15-341. General powers and duties; immunity; delegation A. The each school district governing board shall: 1. Prescribe and enforce policies and procedures to govern the schools that are not inconsistent with the laws or rules prescribed by the state board of education. 2. Exclude from schools all books, publications, papers or audiovisual materials of a sectarian, partisan or denominational character. This paragraph does not prohibit the elective course allowed by section 15-717.01. 3. Manage and control the school property within its district, except that a district may enter into a partnership with an entity, including a charter school, another school district or a military base, to operate a school or offer educational services in a district building, including at a vacant or partially used building, or in any building on the entity's property pursuant to a written agreement between the parties. 4. Acquire school furniture, apparatus, equipment, library books and supplies for the schools to use. 5. Prescribe the curricula and criteria for the promotion and graduation of pupils as provided in sections 15-701 and 15-701.01. 6. Furnish, repair and insure, at full insurable value, the school property of the district. 7. Construct school buildings on approval by a vote of the district electors. 8. In the name of the district, convey property belonging to the district and sold by the board. 9. Purchase school sites when authorized by a vote of the district at an election conducted as nearly as practicable in the same manner as the election provided in section 15-481 and held on a date prescribed in section 15-491, subsection E, but such authorization shall not necessarily specify the site to be purchased and such authorization shall not be necessary to exchange unimproved property as provided in section 15-342, paragraph 23. 10. Construct, improve and furnish buildings used for school purposes when such buildings or premises are leased from the national park service. 11. Purchase school sites or construct, improve and furnish school buildings from the proceeds of the sale of school property only on approval by a vote of the district electors. 12. Hold pupils to strict account for disorderly conduct on school property. 13. Discipline students for disorderly conduct on the way to and from school. 14. Except as provided in section 15-1224, deposit all monies received by the district as gifts, grants and devises with the county treasurer who shall credit the deposits as designated in the uniform system of financial records. If not inconsistent with the terms of the gifts, grants and devises given, any balance remaining after expenditures for the intended purpose of the monies have been made shall be used to reduce school district taxes for the budget year, except that in the case of accommodation schools the county treasurer shall carry the balance forward for use by the county school superintendent for accommodation schools for the budget year. 15. Provide that, if a parent or legal guardian chooses not to accept a decision of the teacher as provided in paragraph 42 of this subsection, the parent or legal guardian may request in writing that the governing board review the teacher's decision. This paragraph does not release school districts from any liability relating to a child's promotion or retention. 16. Provide for adequate supervision over pupils in instructional and noninstructional activities by certificated or noncertificated personnel. 17. Use school monies received from the state and county school apportionment exclusively to pay salaries of teachers and other employees and contingent expenses of the district. 18. Annually report to the county school superintendent on or before October 1 in the manner and form and on the blanks prescribed by the superintendent of public instruction or county school superintendent. The board shall also report directly to the county school superintendent or the superintendent of public instruction whenever required. 19. Deposit all monies received by school districts other than student activities monies or monies from auxiliary operations as provided in sections 15-1125 and 15-1126 with the county treasurer to the credit of the school district except as provided in paragraph 20 of this subsection and sections 15-1223 and 15-1224, and the board shall spend the monies as provided by law for other school funds. 20. Establish bank accounts in which the board during a month may deposit miscellaneous monies received directly by the district. The board shall remit monies deposited in the bank accounts at least monthly to the county treasurer for deposit as provided in paragraph 19 of this subsection and in accordance with the uniform system of financial records. 21. Prescribe and enforce policies and procedures for disciplinary action against a teacher who engages in conduct that is a violation of the policies of the governing board but that is not cause for dismissal of the teacher or for revocation of the certificate of the teacher. Disciplinary action may include suspension without pay for a period of time not to exceed ten school days. Disciplinary action shall not include suspension with pay or suspension without pay for a period of time longer than ten school days. The procedures shall include notice, hearing and appeal provisions for violations that are cause for disciplinary action. The governing board may designate a person or persons to act on behalf of the board on these matters. 22. Prescribe and enforce policies and procedures for disciplinary action against an administrator who engages in conduct that is a violation of the policies of the governing board regarding duties of administrators but that is not cause for dismissal of the administrator or for revocation of the certificate of the administrator. Disciplinary action may include suspension without pay for a period of time not to exceed ten school days. Disciplinary action shall not include suspension with pay or suspension without pay for a period of time longer than ten school days. The procedures shall include notice, hearing and appeal provisions for violations that are cause for disciplinary action. The governing board may designate a person or persons to act on behalf of the board on these matters. For violations that are cause for dismissal, the provisions of notice, hearing and appeal in chapter 5, article 3 of this title apply. The filing of a timely request for a hearing suspends the imposition of a suspension without pay or a dismissal pending completion of the hearing. 23. Notwithstanding sections 13-3108 and 13-3120, prescribe and enforce policies and procedures that prohibit a person from carrying or possessing a weapon on school grounds unless the person is a peace officer or has obtained specific authorization from the school administrator. 24. Prescribe and enforce policies and procedures relating to the health and safety of all pupils participating in district-sponsored practice sessions or games or other interscholastic athletic activities, including: (a) The provision of water. (b) Guidelines, information and forms, developed in consultation with a statewide private entity that supervises interscholastic activities, to inform and educate coaches, pupils and parents of the dangers of concussions and head injuries and the risks of continued participation in athletic activity after a concussion. The policies and procedures shall require that, before a pupil participates in an athletic activity, the pupil and the pupil's parent sign an information form at least once each school year that states that the parent is aware of the nature and risk of concussion. The policies and procedures shall require that a pupil who is suspected of sustaining a concussion in a practice session, game or other interscholastic athletic activity be immediately removed from the athletic activity and that the pupil's parent or guardian be notified. A coach from the pupil's team or an official or a licensed health care provider may remove a pupil from play. A team parent may also remove the parent's own child from play. A pupil may return to play on the same day if a health care provider rules out a suspected concussion at the time the pupil is removed from play. On a subsequent day, the pupil may return to play if the pupil has been evaluated by and received written clearance to resume participation in athletic activity from a health care provider who has been trained in evaluating and managing concussions and head injuries. A health care provider who is a volunteer and who provides clearance to participate in athletic activity on the day of the suspected injury or on a subsequent day is immune from civil liability with respect to all decisions made and actions taken that are based on good faith implementation of the requirements of this subdivision, except in cases of gross negligence or wanton or wilful neglect. A school district, school district employee, team coach, official or team volunteer or a parent or guardian of a team member is not subject to civil liability for any act, omission or policy undertaken in good faith to comply with the requirements of this subdivision or for a decision made or an action taken by a health care provider. A group or organization that uses property or facilities owned or operated by a school district for athletic activities shall comply with the requirements of this subdivision. A school district and its employees and volunteers are not subject to civil liability for any other person or organization's failure or alleged failure to comply with the requirements of this subdivision. This subdivision does not apply to teams that are based in another state and that participate in an athletic activity in this state. For the purposes of this subdivision, athletic activity does not include dance, rhythmic gymnastics, competitions or exhibitions of academic skills or knowledge or other similar forms of physical noncontact activities, civic activities or academic activities, whether engaged in for the purposes of competition or recreation. For the purposes of this subdivision, "health care provider" means a physician who is licensed pursuant to title 32, chapter 13, 14 or 17, an athletic trainer who is licensed pursuant to title 32, chapter 41, a nurse practitioner who is licensed pursuant to title 32, chapter 15, and a physician assistant who is licensed pursuant to title 32, chapter 25. (c) Guidelines, information and forms that are developed in consultation with a statewide private entity that supervises interscholastic activities to inform and educate coaches, pupils and parents of the dangers of heat-related illnesses, sudden cardiac death and prescription opioid use. Before a pupil participates in any district-sponsored practice session or game or other interscholastic athletic activity, the pupil and the pupil's parent must be provided with information at least once each school year on the risks of heat-related illnesses, sudden cardiac death and prescription opioid addiction. 25. Establish an assessment, data gathering and reporting system as prescribed in chapter 7, article 3 of this title. 26. Provide special education programs and related services pursuant to section 15-764, subsection A to all children with disabilities as defined in section 15-761. 27. Administer competency tests prescribed by the state board of education for the graduation of pupils from high school. 28. Ensure that insurance coverage is secured for all construction projects for purposes of general liability, property damage and workers' compensation and secure performance and payment bonds for all construction projects. 29. Collect and maintain information about each current and former teacher's educational and teaching background and experience in a particular academic content subject area. A school district shall either post the information on the school district's website or make the information available for inspection on request of parents and guardians of pupils enrolled at a school. This paragraph does not require any school to release personally identifiable information in relation to any teacher, including the teacher's address, salary, social security number or telephone number. 30. Report to local law enforcement agencies any suspected crime against a person or property that is a serious offense as defined in section 13-706 or that involves a deadly weapon or dangerous instrument or serious physical injury and any conduct that poses a threat of death or serious physical injury to employees, students or anyone on the property of the school. This paragraph does not limit or preclude the reporting by a school district or an employee of a school district of suspected crimes other than those required to be reported by this paragraph. For the purposes of this paragraph, "dangerous instrument", "deadly weapon" and "serious physical injury" have the same meanings prescribed in section 13-105. 31. In conjunction with local law enforcement agencies and emergency response agencies, develop an emergency response plan for each school in the school district in accordance with minimum standards developed jointly by the department of education and the division of emergency management within the department of emergency and military affairs. Any emergency response plan developed pursuant to this paragraph must address how the school and emergency responders will communicate with and provide assistance to students with disabilities. 32. Provide written notice to the parents or guardians of all students enrolled in the school district at least ten days before a public meeting to discuss closing a school within the school district. The notice shall include the reasons for the proposed closure and the time and place of the meeting. The governing board shall fix a time for a public meeting on the proposed closure not less than ten days before voting in a public meeting to close the school. The school district governing board shall give notice of the time and place of the meeting. At the time and place designated in the notice, the school district governing board shall hear reasons for or against closing the school. The school district governing board is exempt from this paragraph if the governing board determines that the school shall be closed because it poses a danger to the health or safety of the pupils or employees of the school. A governing board may consult with the division of school facilities within the department of administration for technical assistance and for information on the impact of closing a school. The information provided from the division of school facilities within the department of administration shall not require the governing board to take or not take any action. 33. Incorporate instruction on Native American history into appropriate existing curricula. 34. Prescribe and enforce policies and procedures: (a) Allowing pupils who have been diagnosed with anaphylaxis by a health care provider licensed pursuant to title 32, chapter 13, 14, 17 or 25 or by a registered nurse practitioner licensed and certified pursuant to title 32, chapter 15 to carry and self-administer emergency medications, including epinephrine auto-injectors, while at school and at school-sponsored activities. The pupil's name on the prescription label on the medication container or on the medication device and annual written documentation from the pupil's parent or guardian to the school that authorizes possession and self-administration is sufficient proof that the pupil is entitled to possess and self-administer the medication. The policies shall require a pupil who uses an epinephrine auto-injector while at school and at school-sponsored activities to notify the nurse or the designated school staff person of the use of the medication as soon as practicable. A school district and its employees are immune from civil liability with respect to all decisions made and actions taken that are based on good faith implementation of the requirements of this subdivision, except in cases of wanton or wilful neglect. (b) For the emergency administration of epinephrine auto-injectors by a trained employee of a school district pursuant to section 15-157. 35. Allow the possession and self-administration of prescription medication for breathing disorders in handheld inhaler devices by pupils who have been prescribed that medication by a health care professional licensed pursuant to title 32. The pupil's name on the prescription label on the medication container or on the handheld inhaler device and annual written documentation from the pupil's parent or guardian to the school that authorizes possession and self-administration is sufficient proof that the pupil is entitled to possess and self-administer the medication. A school district and its employees are immune from civil liability with respect to all decisions made and actions taken that are based on a good faith implementation of the requirements of this paragraph. 36. Prescribe and enforce policies and procedures to prohibit pupils from harassing, intimidating and bullying other pupils on school grounds, on school property, on school buses, at school bus stops, at school-sponsored events and activities and through the use of electronic technology or electronic communication on school computers, networks, forums and mailing lists that include the following components: (a) A procedure for pupils, parents and school district employees to confidentially report to school officials incidents of harassment, intimidation or bullying. The school shall make available written forms designed to provide a full and detailed description of the incident and any other relevant information about the incident. (b) A requirement that school district employees report in writing suspected incidents of harassment, intimidation or bullying to the appropriate school official and a description of appropriate disciplinary procedures for employees who fail to report suspected incidents that are known to the employee. (c) A requirement that, at the beginning of each school year, school officials provide all pupils with a written copy of the rights, protections and support services available to a pupil who is an alleged victim of an incident reported pursuant to this paragraph. (d) If an incident is reported pursuant to this paragraph, a requirement that school officials provide a pupil who is an alleged victim of the incident with a written copy of the rights, protections and support services available to that pupil. (e) A formal process for documenting reported incidents of harassment, intimidation or bullying and providing for the confidentiality, maintenance and disposition of this documentation. School districts shall maintain documentation of all incidents reported pursuant to this paragraph for at least six years. The school shall not use that documentation to impose disciplinary action unless the appropriate school official has investigated and determined that the reported incidents of harassment, intimidation or bullying occurred. If a school provides documentation of reported incidents to persons other than school officials or law enforcement, all individually identifiable information shall be redacted. (f) A formal process for the appropriate school officials to investigate suspected incidents of harassment, intimidation or bullying, including procedures for notifying the alleged victim and the alleged victim's parent or guardian when a school official or employee becomes aware of the suspected incident of harassment, intimidation or bullying. (g) Disciplinary procedures for pupils who have admitted or been found to have committed incidents of harassment, intimidation or bullying. (h) A procedure that sets forth consequences for submitting false reports of incidents of harassment, intimidation or bullying. (i) Procedures designed to protect the health and safety of pupils who are physically harmed as the result of incidents of harassment, intimidation and bullying, including, if appropriate, procedures to contact emergency medical services or law enforcement agencies, or both. (j) Definitions of harassment, intimidation and bullying. 37. Prescribe and enforce policies and procedures regarding changing or adopting attendance boundaries that include the following components: (a) A procedure for holding public meetings to discuss attendance boundary changes or adoptions that allows public comments. (b) A procedure to notify the parents or guardians of the students affected, including assurance that, if that school remains open as part of the boundary change and capacity is available, students assigned to a new attendance area may stay enrolled in their current school. (c) A procedure to notify the residents of the households affected by the attendance boundary changes. (d) A process for placing public meeting notices and proposed maps on the school district's website for public review, if the school district maintains a website. (e) A formal process for presenting the attendance boundaries of the affected area in public meetings that allows public comments. (f) A formal process for notifying the residents and parents or guardians of the affected area as to the decision of the governing board on the school district's website, if the school district maintains a website. (g) A formal process for updating attendance boundaries on the school district's website within ninety days after an adopted boundary change. The school district shall send a direct link to the school district's attendance boundaries website to the department of real estate. 38. If the state board of education determines that the school district has committed an overexpenditure as defined in section 15-107, provide a copy of the fiscal management report submitted pursuant to section 15-107, subsection H on its website and make copies available to the public on request. The school district shall comply with a request within five business days after receipt. 39. Ensure that the contract for the superintendent is structured in a manner in which up to twenty percent of the total annual salary included for the superintendent in the contract is classified as performance pay. This paragraph does not require school districts to increase total compensation for superintendents. Unless the school district governing board votes to implement an alternative procedure at a public meeting called for this purpose, the performance pay portion of the superintendent's total annual compensation shall be determined as follows: (a) Twenty-five percent of the performance pay shall be determined based on the percentage of academic gain determined by the department of education of pupils who are enrolled in the school district compared to the academic gain achieved by the highest ranking of the fifty largest school districts in this state. For the purposes of this subdivision, the department of education shall determine academic gain by the academic growth achieved by each pupil who has been enrolled at the same school in a school district for at least five consecutive months measured against that pupil's academic results in the 2008-2009 school year. For the purposes of this subdivision, of the fifty largest school districts in this state, the school district with pupils who demonstrate the highest statewide percentage of overall academic gain measured against academic results for the 2008-2009 school year shall be assigned a score of 100 and the school district with pupils who demonstrate the lowest statewide percentage of overall academic gain measured against academic results for the 2008-2009 school year shall be assigned a score of 0. (b) Twenty-five percent of the performance pay shall be determined by the percentage of parents of pupils who are enrolled at the school district who assign a letter grade of "A" to the school on a survey of parental satisfaction with the school district. The parental satisfaction survey shall be administered and scored by an independent entity that is selected by the governing board and that demonstrates sufficient expertise and experience to accurately measure the results of the survey. The parental satisfaction survey shall use standard random sampling procedures and provide anonymity and confidentiality to each parent who participates in the survey. The letter grade scale used on the parental satisfaction survey shall direct parents to assign one of the following letter grades: (i) A letter grade of "A" if the school district is excellent. (ii) A letter grade of "B" if the school district is above average. (iii) A letter grade of "C" if the school district is average. (iv) A letter grade of "D" if the school district is below average. (v) A letter grade of "F" if the school district is a failure. (c) Twenty-five percent of the performance pay shall be determined by the percentage of teachers who are employed at the school district and who assign a letter grade of "A" to the school on a survey of teacher satisfaction with the school. The teacher satisfaction survey shall be administered and scored by an independent entity that is selected by the governing board and that demonstrates sufficient expertise and experience to accurately measure the results of the survey. The teacher satisfaction survey shall use standard random sampling procedures and provide anonymity and confidentiality to each teacher who participates in the survey. The letter grade scale used on the teacher satisfaction survey shall direct teachers to assign one of the following letter grades: (i) A letter grade of "A" if the school district is excellent. (ii) A letter grade of "B" if the school district is above average. (iii) A letter grade of "C" if the school district is average. (iv) A letter grade of "D" if the school district is below average. (v) A letter grade of "F" if the school district is a failure. (d) Twenty-five percent of the performance pay shall be determined by other criteria selected by the governing board. 40. Maintain and store permanent public records of the school district as required by law. Notwithstanding section 39-101, the standards adopted by the Arizona state library, archives and public records for the maintenance and storage of school district public records shall allow school districts to elect to satisfy the requirements of this paragraph by maintaining and storing these records either on paper or in an electronic format, or a combination of a paper and electronic format. 41. Adopt in a public meeting and implement policies for principal evaluations. Before adopting principal evaluation policies, the school district governing board shall provide opportunities for public discussion on the proposed policies. The governing board shall adopt policies that: (a) Are designed to improve principal performance and improve student achievement. (b) Include the use of quantitative data on the academic progress for all students, which shall account for between twenty percent and thirty-three percent of the evaluation outcomes. (c) Include four performance classifications, designated as highly effective, effective, developing and ineffective. (d) Describe both of the following: (i) The methods used to evaluate the performance of principals, including the data used to measure student performance and job effectiveness. (ii) The formula used to determine evaluation outcomes. 42. Prescribe and enforce policies and procedures that define the duties of principals and teachers. These policies and procedures shall authorize teachers to take and maintain daily classroom attendance, make the decision to promote or retain a pupil in a grade in common school or to pass or fail a pupil in a course in high school, subject to review by the governing board in the manner provided in section 15-342, paragraph 11. 43. Prescribe and enforce policies and procedures for the emergency administration by an employee of a school district pursuant to section 36-2267 of naloxone hydrochloride or any other opioid antagonist approved by the United States food and drug administration. 44. In addition to the notification requirements prescribed in paragraph 36 of this subsection, prescribe and enforce reasonable and appropriate policies to notify a pupil's parent or guardian if any person engages in harassing, threatening or intimidating conduct against that pupil. A school district and its officials and employees are immune from civil liability with respect to all decisions made and actions taken that are based on good faith implementation of the requirements of this paragraph, except in cases of gross negligence or wanton or wilful neglect. A person engages in threatening or intimidating if the person threatens or intimidates by word or conduct to cause physical injury to another person or serious damage to the property of another on school grounds. A person engages in harassment if, with intent to harass or with knowledge that the person is harassing another person, the person anonymously or otherwise contacts, communicates or causes a communication with another person by verbal, electronic, mechanical, telephonic or written means in a manner that harasses on school grounds or substantially disrupts the school environment. 45. Each fiscal year, provide to each school district employee a total compensation statement that is broken down by category of benefit or payment and that includes, for that employee, at least all of the following: (a) Base salary and any additional pay. (b) Medical benefits and the value of any employer-paid portions of insurance plan premiums. (c) Retirement benefit plans, including social security. (d) Legally required benefits. (e) Any paid leave. (f) Any other payment made to or on behalf of the employee. (g) Any other benefit provided to the employee. 46. Develop and adopt in a public meeting policies to allow for visits, tours and observations of all classrooms by parents of enrolled pupils and parents who wish to enroll their children in the school district unless a visit, tour or observation threatens the health and safety of pupils and staff. These policies and procedures must be easily accessible from the home page on each school's website. B. Notwithstanding subsection A, paragraphs 7, 9 and 11 of this section, the county school superintendent may construct, improve and furnish school buildings or purchase or sell school sites in the conduct of an accommodation school. C. If any school district acquires real or personal property, whether by purchase, exchange, condemnation, gift or otherwise, the governing board shall pay to the county treasurer any taxes on the property that were unpaid as of the date of acquisition, including penalties and interest. The lien for unpaid delinquent taxes, penalties and interest on property acquired by a school district: 1. Is not abated, extinguished, discharged or merged in the title to the property. 2. Is enforceable in the same manner as other delinquent tax liens. D. The governing board may not locate a school on property that is less than one-fourth mile from agricultural land regulated pursuant to section 3-365, except that the owner of the agricultural land may agree to comply with the buffer zone requirements of section 3-365. If the owner agrees in writing to comply with the buffer zone requirements and records the agreement in the office of the county recorder as a restrictive covenant running with the title to the land, the school district may locate a school within the affected buffer zone. The agreement may include any stipulations regarding the school, including conditions for future expansion of the school and changes in the operational status of the school that will result in a breach of the agreement. E. A school district, its governing board members, its school council members and its employees are immune from civil liability for the consequences of adopting and implementing policies and procedures pursuant to subsection A of this section and section 15-342. This waiver does not apply if the school district, its governing board members, its school council members or its employees are guilty of gross negligence or intentional misconduct. F. A governing board may delegate in writing to a superintendent, principal or head teacher the authority to prescribe procedures that are consistent with the governing board's policies. G. Notwithstanding any other provision of this title, a school district governing board shall not do either of the following: [do] either of the following: 1. Take any action that would result in a reduction of pupil square footage unless the governing board notifies the school facilities oversight board established by section 41-5701.02 of the proposed action and receives written approval from the school facilities oversight board to take the action. A reduction includes an increase in administrative space that results in a reduction of pupil square footage or sale of school sites or buildings, or both. A reduction includes a reconfiguration of grades that results in a reduction of pupil square footage of any grade level. This subsection paragraph does not apply to temporary reconfiguration of grades to accommodate new school construction if the temporary reconfiguration does not exceed one year. The sale of equipment that results in a reduction that falls below the equipment requirements prescribed in section 41-5711, subsection B is subject to commensurate withholding of school district district additional assistance monies pursuant to the direction of the school facilities oversight board. Except as provided in section 15-342, paragraph 10, proceeds from the sale of school sites, buildings or other equipment shall be deposited in the school plant fund as provided in section 15-1102. 2. Enter into two or more real estate transactions in a twelve-month period if the transactions involve both the same parties 2. Enter into two or more real estate transactions in a twelve-month period if the transactions involve both the same parties and the same property. For the purposes of this paragraph: (a) "Property" means a school site, a school building, a school facility, a portion of a school site, school building or school facility or a tract of land. (b) "Transaction" includes the sale, exchange, purchase or lease, in whole or in part, of property.and the same property. For the purposes of this paragraph: (a) "Property" means a school site, a school building, a school facility, a portion of a school site, school building, school facility or tract of land. (b) "Transaction" includes the sale, exchange, purchase or lease, in whole or in part, of property. H. Subsections C through G of this section apply to a county board of supervisors and a county school superintendent when operating and administering an accommodation school. I. A school district governing board may delegate authority in writing to the superintendent of the school district to submit plans for new school facilities to the school facilities oversight board for the purpose of certifying that the plans meet the minimum school facility adequacy guidelines prescribed in section 41-5711. J. For the purposes of subsection A, paragraph 37 of this section, attendance boundaries may not be used to require students to attend certain schools based on the student's place of residence. Sec. 4. Section 38-201, Arizona Revised Statutes, is amended to read: 38-201. General qualifications A. Every Each officer shall be not less than at least eighteen years of age, a citizen of the United States and a resident of this state. B. No aA person is not eligible to any office, employment or service in any public institution in the this state, or in any of the several counties thereof, of this state of any kind or character, whether by election, appointment or contract, unless he the person is a citizen of the United States, but the provisions of this subsection shall does not apply to the employment of any teacher, instructor or professor authorized to teach in the United States under the teacher exchange program as provided by federal statutes or the employment of university or college faculty members. C. A person who is unable to speak, write and read the English language is not eligible to hold a state, county, city, town or precinct office in the this state, whether elective or appointive, and no aa certificate of election or commission shall not issue to a person so disqualified. D. Except as provided in subsection E of this section, a person is not eligible for employment by or service for the this state or a political subdivision of the this state, including all boards and commissions of the this state or political subdivision of this state, all multimember governing bodies of departments, agencies, institutions and instrumentalities of the this state or political subdivisions of this state unless the person has registered with the selective service system if required by the federal military selective service act (62 Stat. 604; 50 United States Code App. section 453). E. A person may not be denied a right, privilege or benefit by reason of subsection D of this section if either of the following applies: 1. The requirement for the person to so register has terminated or become inapplicable to the person. 2. The person shows by a preponderance of the evidence that the failure of the person to register with the selective service system was not a knowing and willful wilful failure to register. F. A person is not eligible to hold an appointed state, county, city, town or precinct office that is established by legislative enactment if the person either: 1. Is required to resign from the office of school district governing board member pursuant to section 15-302.01. 2. Resigned from the office of school district governing board member up to one month before the school district was placed in receivership pursuant to section 15-103. Sec. 5. School districts in receivership; resignation of governing board members; vacancies; delayed repeal A. If the state board of education placed a school district in receivership pursuant to section 15-103, Arizona Revised Statutes, as amended by this act, in January 2025, each member of the school district governing board shall immediately resign and the vacancies shall be filled pursuant to section 15-302.01, Arizona Revised Statutes, as added by this act. B. This section is repealed from and after December 31, 2026. Sec. 6. Retroactivity Section 15-341, Arizona Revised Statutes, as amended by this act, applies retroactively to from and after January 1, 2025. Sec. 7. Severability If any provision of this act or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the act that can be given effect without resignation ; delayed repealvacancies shall be filled pursuant to section 15-302.01, Arizona Revised Statutes, as added by this act.1. Appoint governing board members to temporarily 2. As soon as practicable, call a special election to replace the appointed members pursuant to section 15-302.01, Arizona Revised Statutes, as added by this act. B. This section is repealed from and after December 31, 2026.]>> [Section 15-341, Arizona Revised Statutes, as amended by this act applies retroactively to from and after January 1, 2025. <<Sec. Severability [If any provision of this act or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the act that can be given effect without the invalid provision or application, and to this end the provisions of this act are severable. (ENACTED WITHOUT THE EMERGENCY)B. This section is repealed from and after December 31, 2026.]If the state board of education places a school district in receivership pursuant to section 15 103, Arizona Revised Statutes, in January 2025, the county school superintendent of the county in which the school district is located shall remove each member of the school district governing board and shall fill the vacancies pursuant to section 15-302.01, Arizona Revised Statutes, as added by this act.>> <<Sec. 5. Severability [If any provision of this act or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the act that can be given effect without the invalid provision or application, and to this end the provisions of this act are severable.]>> Secschool district. C. This section is repealed from and after December 31, 2026.]County treasurer; warrants issued by a school district in receivership; intent; delayed repealA. Notwithstanding any other law, the county treasurer shall register a warrant that is issued before April 1, 2025, by a school district in receivership pursuant to section 15-103, Arizona Revised Statutes, and approved by the receiver regardless of whether there are sufficient monies in the school district's account. B. The legislature intends that warrants registered pursuant to subsection A of this section be funded by basic state aid payments to the school district. C. This section is repealed from and after December 31, 2026.>> <<Sec. 5. Department of education; budget capacity calculation; school districts in receivership; delayed repeal [A. Notwithstanding any other law, the department of education may not consider the cash balance or budget carryforward of a school district that is placed in receivership in the third quarter of the 2024-2025 fiscal year when calculating the school district's budget capacity until March 2025.]>> B. This section is repealed from and after December 31, 2026. <<Sec. 8. Emergency This act is an emergency measure that is necessary to preserve the public peace, health or safety and is operative immediately as provided by law.