LEGISLATIVE SERVICES AGENCY OFFICE OF FISCAL AND MANAGEMENT ANALYSIS 200 W. Washington St., Suite 301 Indianapolis, IN 46204 (317) 233-0696 iga.in.gov FISCAL IMPACT STATEMENT LS 7066 NOTE PREPARED: Jan 5, 2022 BILL NUMBER: HB 1251 BILL AMENDED: SUBJECT: Various Education Matters. FIRST AUTHOR: Rep. Behning BILL STATUS: As Introduced FIRST SPONSOR: FUNDS AFFECTED:XGENERAL IMPACT: State & Local DEDICATED XFEDERAL Summary of Legislation: Innovative Assessment System Application: This bill requires the Department of Education (DOE) to apply to the United States Department of Education to establish and operate an innovative assessment system. Parent-Teacher Compact Report: This bill requires the DOE to: (1) prepare a report that includes information and recommendations regarding establishing and implementing a Parent-teacher Compact Program; and (2) submit the report to the Legislative Council not later than November 1, 2022. Academic Standards: This bill provides that the State Board of Education (SBOE) shall, in consultation with postsecondary educational institutions and various businesses and industries, identify what skills or traits students need to be successful upon completion of high school. It requires the SBOE to make findings relating to academic standards needed to meet the skills or traits identified by the SBOE. It also requires the DOE to: (1) develop academic standards that incorporate the findings of the SBOE; and (2) reduce or consolidate the total amount of all academic standards for each grade level by an amount equal to not less than 75% of the number of academic standards in effect on January 1, 2022. Adjunct Teacher Permits: This bill provides that: (1) the governing body of a school corporation may issue an adjunct teacher permit to an individual who meets certain requirements; and (2) if a governing body of a school corporation issues an adjunct teacher permit to an individual, the school corporation may enter into an employment agreement with the individual as a part-time or full-time teacher of the school corporation. It establishes requirements for adjunct teacher employment agreements. It provides that these employment agreements are not subject to certain requirements regarding teacher salaries and school corporation local compensation plans. It provides that: (1) an adjunct teacher is not a school employee for purposes of HB 1251 1 collective bargaining; and (2) an employment agreement with an adjunct teacher is not subject to a collective bargaining agreement. It also provides that it is not an unfair labor practice for a school corporation to enter into an employment agreement with an adjunct teacher. Online Portal: This bill requires the DOE to establish an online adjunct teacher portal on the DOE’s Internet web site that allows: (1) a school corporation to post a vacant adjunct teacher position; and (2) an individual to submit certain information or inquiries regarding the position. Primary Use of a School Building: This bill amends the definition of "primary use of the building" for certain applicable high schools to mean, in part, an occupancy classification most closely related to the intended use of the building upon construction. School Transportation: This bill amends the definition of "appropriate vehicle". It provides that a special purpose bus or an appropriate vehicle may be used to transport students under certain circumstances. It also provides that the driver of a special purpose bus or an appropriate vehicle must pass an expanded criminal history check and an expanded child protection index check. School Accreditation: This bill provides that the SBOE may adopt emergency rules relating to school accreditation. Effective Date: Upon passage; July 1, 2022. Explanation of State Expenditures: Innovative Assessment System Application: This bill requires the Department of Education (DOE) to apply for a federal funding initiative to establish and operate a statewide innovative assessment system. The DOE must acquire and submit all required information for the application, including: a description of the system to be implemented, the experience the applicant has in implementing any components of the system, the timeline over which the state proposes to exercise the demonstration authority, as well as other criteria as listed in 20 U.S. Code § 6364 (e). The application must also include a plan for the DOE to assist schools in the assessment of subject matter mastery for various grade levels. If awarded, the DOE will experience an increase in workload to implement and administer the new system, but will receive technical assistance from the U.S. Secretary of Education. Academic Standards: This bill requires the DOE to develop new academic standards, which incorporate the findings of the SBOE, and submit the standards to the SBOE for approval. The DOE must also reduce or consolidate the overall number of state standards for each grade level, with the maximum allowable number of standards being based on a formula prescribed in the bill. The SBOE must request information from postsecondary educational institutions, businesses, and industries, in order to make findings regarding Indiana’s academic standards. The SBOE must approve the new standards submitted by the DOE, as prescribed in this bill, by June 1, 2023. Parent-Teacher Compact Report: This bill requires the DOE to prepare a report, as prescribed in the bill, and submit the final report to the Legislative Council by November 1, 2022. Online Portal: This bill requires the DOE to establish an online portal for school corporations to post vacant adjunct teacher positions and for individuals to submit their application or make inquiries to the school via the portal. The DOE has an existing School Personnel Job Bank. This job bank lists open positions within a school and directs applicants to the website where they may apply for such positions. The DOE may HB 1251 2 experience an increase in costs or workload to modify the existing system. School Transportation/School Accreditation: The SBOE must amend rules regarding the State School Bus Committee to comply with the requirements of this bill. Additionally, this bill permits the SBOE to adopt emergency rules regarding school accreditation. This bill’s requirements on the State Board of Education (SBOE) are within the agency’s routine administrative functions and should be able to be implemented with no additional appropriations, assuming near customary agency staffing and resource levels. Additional Information: Innovative Assessment System Application: The DOE may apply as an individual entity, or with up to three other state educational agencies as part of a consortia. During the first three years of the initiative, the maximum number of states which may be selected for a system is seven, including states applying as part of a consortia. Additional applications may be granted after this time period. Academic Standards: State educational institutions have 60 days to respond when asked to submit information to the SBOE for the purposes of this bill. Explanation of State Revenues: Innovative Assessment System Application: If selected, the DOE will receive federal funding to implement the plan described in the state’s application. Federal funding for this initiative is made available under U.S. Code § 6364. The amount of federal funding will depend on the application submitted by the DOE. Explanation of Local Expenditures: Innovative Assessment System Application: School corporations and charter schools (schools) may need to provide information, data, or input to the DOE during the application process. If the DOE is awarded federal funding for this initiative, schools will need to implement the new system, including making any required changes to their curriculum or classes offered. Schools will also be required to provide ongoing feedback to the DOE regarding the new system. Academic Standards: Any impact to schools resulting from the change in academic standards will depend on the final standards created and approved by the state. Adjunct Teacher Permits: This bill allows schools to issue adjunct teacher permits, based on the requirements outlined in this bill, and it allows schools to enter into an employment agreement with an adjunct teacher, as prescribed in the bill. Any impact to school expenditures will depend on local action regarding the number of adjunct teachers hired by a school and the agreed upon salaries of those teachers. Primary Use of a School Building: This bill modifies the criteria to determine which rules of the Fire Prevention and Building Safety Commission an applicable high school must follow. Any impact to a school will depend on local action. School Transportation: This bill increases the allowed capacity of an appropriate vehicle for school transportation, and it removes the capacity and weight restrictions from a special purpose bus used to transport students. It also expands the allowable uses of both an appropriate vehicle and a special purpose bus for transporting students. These provisions will allow more options for schools to offer transportation services for students and may lead to a reduction in expenditures by allowing schools to own fewer vehicles or require fewer drivers paid by the school. HB 1251 3 Schools must require that an operator of an appropriate vehicle or a special purpose bus pass an expanded criminal history check and expanded child protection index check. Any resulting change in expenditures for a school will depend on local action. Additional Information: Adjunct teachers are not considered school employees for the purposes of collective bargaining. The salary of an adjunct teacher under an employment agreement is not subject to a local compensation plan established by a school corporation. Explanation of Local Revenues: State Agencies Affected: Department of Education; State Board of Education; State educational institutions. Local Agencies Affected: School corporations; Charter schools. Information Sources: Department of Education, https://doeonline.doe.in.gov/jobbank/search.aspx. Fiscal Analyst: Jason Barrett, 317-232-9809. HB 1251 4