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Indiana Senate Bill SB0143

Indiana 2024 Regular Session

Indiana Senate Bill SB0143 Compare Versions

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22 Introduced Version
33 SENATE BILL No. 143
44 _____
55 DIGEST OF INTRODUCED BILL
66 Citations Affected: IC 20-19-3-32; IC 20-51.4.
77 Synopsis: Education matters. Requires the department of education to
88 prepare and submit a report that includes the department's
99 recommendations regarding the major themes and content areas that
1010 should be developed and maintained in Indiana education law. Amends
1111 the: (1) definition of "eligible student" for purposes of eligibility under
1212 the Indiana education scholarship account program (program); (2)
1313 definition of "ESA qualified expenses" under the program to include
1414 additional items; and (3) state fiscal year used to determine the annual
1515 grant amount under the program. Provides that the treasurer of state
1616 shall accept applications July 1 through June 30 of each year for the
1717 immediately following school year. (Current law requires applications
1818 to be submitted for an eligible student not later than September 1 for
1919 the immediately following school year.) Establishes requirements
2020 regarding using grants under the program for computer hardware or
2121 other technological devices. Removes the following provisions: (1)
2222 Certain program agreement requirements regarding enrollment in a
2323 school that receives tuition support. (2) References in the program
2424 provisions regarding plans developed under Section 504 of the federal
2525 Rehabilitation Act of 1973.
2626 Effective: Upon passage; July 1, 2024.
2727 Buchanan
2828 January 9, 2024, read first time and referred to Committee on Education and Career
2929 Development.
3030 2024 IN 143—LS 6513/DI 110 Introduced
3131 Second Regular Session of the 123rd General Assembly (2024)
3232 PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
3333 Constitution) is being amended, the text of the existing provision will appear in this style type,
3434 additions will appear in this style type, and deletions will appear in this style type.
3535 Additions: Whenever a new statutory provision is being enacted (or a new constitutional
3636 provision adopted), the text of the new provision will appear in this style type. Also, the
3737 word NEW will appear in that style type in the introductory clause of each SECTION that adds
3838 a new provision to the Indiana Code or the Indiana Constitution.
3939 Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
4040 between statutes enacted by the 2023 Regular Session of the General Assembly.
4141 SENATE BILL No. 143
4242 A BILL FOR AN ACT to amend the Indiana Code concerning
4343 education.
4444 Be it enacted by the General Assembly of the State of Indiana:
4545 1 SECTION 1. IC 20-19-3-32 IS ADDED TO THE INDIANA CODE
4646 2 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
4747 3 UPON PASSAGE]: Sec. 32. (a) The department shall do the
4848 4 following:
4949 5 (1) Review Title 20 and other applicable state education laws
5050 6 and prepare a report that includes the department's
5151 7 recommendations regarding the major themes and content
5252 8 areas that should be developed and maintained in Indiana
5353 9 education law.
5454 10 (2) Submit, not later than November 1, 2024, the report
5555 11 prepared under subdivision (1) to the following in an
5656 12 electronic format under IC 5-14-6:
5757 13 (A) The legislative council.
5858 14 (B) The chairperson of the senate standing committee that
5959 15 has subject matter jurisdiction over education issues.
6060 16 (C) The chairperson of the house of representatives
6161 17 standing committee that has subject matter jurisdiction
6262 2024 IN 143—LS 6513/DI 110 2
6363 1 over education issues.
6464 2 (b) This section expires July 1, 2025.
6565 3 SECTION 2. IC 20-51.4-2-4, AS ADDED BY P.L.165-2021,
6666 4 SECTION 180, IS AMENDED TO READ AS FOLLOWS
6767 5 [EFFECTIVE JULY 1, 2024]: Sec. 4. "Eligible student" refers to an
6868 6 individual who:
6969 7 (1) has legal settlement in Indiana; and
7070 8 (2) is at least five (5) years of age and less than twenty-two (22)
7171 9 years of age on the date in the school year specified in
7272 10 IC 20-33-2-7.
7373 11 (3) is a student with a disability at the time the account is
7474 12 established who requires special education and for whom:
7575 13 (A) an individualized education program;
7676 14 (B) a service plan developed under 511 IAC 7-34; or
7777 15 (C) a choice special education plan developed under 511
7878 16 IAC 7-49;
7979 17 has been developed; and
8080 18 (4) meets the annual income qualification requirement for a
8181 19 choice scholarship student under IC 20-51-1.
8282 20 SECTION 3. IC 20-51.4-2-9, AS AMENDED BY P.L.202-2023,
8383 21 SECTION 38, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
8484 22 JULY 1, 2024]: Sec. 9. (a) "ESA qualified expenses" refers to the
8585 23 following expenses provided by an ESA participating entity related to
8686 24 the education of an eligible student for which scholarship money in an
8787 25 ESA account may be used:
8888 26 (1) Tuition and fees at a qualified school, public school, or other
8989 27 ESA participating entity.
9090 28 (2) Fees for:
9191 29 (A) national norm referenced or criterion referenced
9292 30 examinations;
9393 31 (B) advanced placement examinations, Cambridge
9494 32 International courses, International Baccalaureate courses, or
9595 33 College-Level Examination Program (CLEP) examinations; or
9696 34 (C) statewide assessments associated with industry recognized
9797 35 credentials.
9898 36 (3) Educational services for an eligible student who is a student
9999 37 with a disability.
100100 38 (4) Payments associated with the use of paraprofessional or
101101 39 educational aides.
102102 40 (5) Services contracted for and provided by a school corporation,
103103 41 charter school, magnet school, or qualified school, including:
104104 42 (A) individual classes;
105105 2024 IN 143—LS 6513/DI 110 3
106106 1 (B) extracurricular activities or programs; or
107107 2 (C) additional programs, resources, or staffing defined in the
108108 3 student's education plan.
109109 4 (6) Occupational therapy for a student with a disability, provided
110110 5 in accordance with the eligible student's individualized education
111111 6 program developed under IC 20-35 or service plan developed
112112 7 under 511 IAC 7-34.
113113 8 (7) Subject to IC 20-51.4-4-7, fees for transportation paid to a
114114 9 fee-for-service transportation provider for the eligible student to
115115 10 travel to and from an approved special education service provider.
116116 11 (8) Tuition and fees to attend training programs and camps that
117117 12 have a focus on:
118118 13 (A) vocational skills;
119119 14 (B) academic skills;
120120 15 (C) life skills;
121121 16 (D) independence; or
122122 17 (E) soft job skills that are character traits and interpersonal
123123 18 skills that characterize a person's relationships with other
124124 19 people.
125125 20 (9) Additional services and therapies prescribed by the eligible
126126 21 student's treating physician in accordance with generally accepted
127127 22 standards of care to improve outcomes for the student in addition
128128 23 to any services currently being provided by the school, insurance,
129129 24 or the Medicaid program.
130130 25 (10) Fees for the management of the ESA account, as described
131131 26 in IC 20-51.4-3-2(d).
132132 27 (11) Expenses to enroll in and attend sequences, courses,
133133 28 apprenticeships, and programs of study designated and approved
134134 29 under IC 20-51.4-4.5-6 if the eligible student has enrolled in the
135135 30 CSA program.
136136 31 (12) Curricular materials or any supplemental materials
137137 32 other than computer hardware or other technological devices
138138 33 that are required to:
139139 34 (A) be used by an eligible student at a qualified school,
140140 35 public school, or other ESA participating entity; or
141141 36 (B) administer curriculum.
142142 37 (13) Expenses for autism spectrum disorder sensory
143143 38 educational tools.
144144 39 (14) Subject to IC 20-51.4-4-7.5, computer hardware or other
145145 40 technological devices.
146146 41 (15) Any other expense approved by the treasurer of state.
147147 42 (b) This subsection does not apply to subsection (a)(3), (a)(6),
148148 2024 IN 143—LS 6513/DI 110 4
149149 1 (a)(7), or (a)(8). The term includes only services that are provided in
150150 2 person. The term does not include any virtual or distance learning
151151 3 services.
152152 4 SECTION 4. IC 20-51.4-4-1, AS AMENDED BY P.L.201-2023,
153153 5 SECTION 220, AND AS AMENDED BY P.L.202-2023, SECTION
154154 6 49, AND AS AMENDED BY THE TECHNICAL CORRECTIONS
155155 7 BILL OF THE 2024 GENERAL ASSEMBLY, IS CORRECTED AND
156156 8 AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2024]:
157157 9 Sec. 1. (a) After June 30, 2022, A parent of an eligible student or an
158158 10 emancipated eligible student may establish an Indiana education
159159 11 scholarship account for the eligible student by entering into a written
160160 12 agreement with the treasurer of state on a form prepared by the
161161 13 treasurer of state. Beginning July 1, 2024, the treasurer of state shall
162162 14 establish a date by which an application to establish an ESA account
163163 15 accept applications July 1 through June 30 of each year for
164164 16 participation in the ESA program for the upcoming immediately
165165 17 following school year. must be submitted. However, for a school year
166166 18 beginning after July 1, 2022, applications must be submitted for an
167167 19 eligible student not later than September 1 for the immediately
168168 20 following school year. The ESA account of an eligible student shall be
169169 21 made in the name of the eligible student. The treasurer of state shall
170170 22 make the agreement available on the Internet web site website of the
171171 23 treasurer of state. To be eligible, a parent of an eligible student or an
172172 24 emancipated eligible student wishing to participate in the ESA program
173173 25 must agree that:
174174 26 (1) a grant deposited in the eligible student's ESA account under
175175 27 section 2 of this chapter and any interest that may accrue in the
176176 28 ESA account will be used only for the eligible student's ESA
177177 29 qualified expenses;
178178 30 (2) if the eligible student participates in the CSA program, a
179179 31 grant deposited in the eligible student's ESA account under
180180 32 IC 20-51.4-4.5-3 and any interest that may accrue in the ESA
181181 33 account will be used only for the eligible student's ESA qualified
182182 34 expenses;
183183 35 (2) (3) money in the ESA account when the ESA account is
184184 36 terminated reverts to the state general fund;
185185 37 (3) (4) the parent of the eligible student or the emancipated
186186 38 eligible student will use part of the money in the ESA account:
187187 39 (A) for the eligible student's study in the subject of reading,
188188 40 grammar, mathematics, social studies, or science; or
189189 41 (B) for use in accordance with the eligible student's:
190190 42 (i) individualized education program;
191191 2024 IN 143—LS 6513/DI 110 5
192192 1 (ii) service plan developed under 511 IAC 7-34; or
193193 2 (iii) choice special education plan developed under 511
194194 3 IAC 7-49; or
195195 4 (iv) plan developed under Section 504 of the federal
196196 5 Rehabilitation Act of 1973, 29 U.S.C. 794;
197197 6 (4) (5) the eligible student will not be enrolled in a school that
198198 7 receives tuition support under IC 20-43; and
199199 8 (5) (6) (5) the eligible student will take the statewide assessment,
200200 9 as applicable based on the eligible student's grade level, as
201201 10 provided under IC 20-32-5.1, or the assessment specified in the
202202 11 eligible student's:
203203 12 (A) individualized education program developed under
204204 13 IC 20-35;
205205 14 (B) service plan developed under 511 IAC 7-34; or
206206 15 (C) choice special education plan developed under 511
207207 16 IAC 7-49. or
208208 17 (D) plan developed under Section 504 of the federal
209209 18 Rehabilitation Act of 1973, 29 U.S.C. 794.
210210 19 (b) A parent of an eligible student may enter into a separate
211211 20 agreement under subsection (a) for each child of the parent. However,
212212 21 not more than one (1) ESA account may be established for each eligible
213213 22 student.
214214 23 (c) The ESA account must be established under subsection (a) by a
215215 24 parent of an eligible student or an emancipated eligible student for a
216216 25 school year on or before a date established by the treasurer of state,
217217 26 which must be at least thirty (30) days before the fall ADM count date
218218 27 established by the state board fall count day of ADM established under
219219 28 IC 20-43-4-3. A parent of an eligible student or an emancipated eligible
220220 29 student may not enter into an agreement under this section or maintain
221221 30 an ESA account under this chapter if the eligible student receives a
222222 31 choice scholarship under IC 20-51-4 for the same school year. An
223223 32 eligible student may not receive a grant under section 2 of this chapter
224224 33 if the eligible student is currently included in a school corporation's
225225 34 ADM count under IC 20-43-4.
226226 35 (d) Except as provided in subsections (e) and (f), an agreement
227227 36 made under this section is valid for one (1) school year while the
228228 37 eligible student is in kindergarten through grade 12 and may be
229229 38 renewed annually. Upon graduation, or receipt of a certificate of
230230 39 completion under the eligible student's individualized education
231231 40 program, the eligible student's ESA account is terminated.
232232 41 (e) An agreement entered into under this section terminates
233233 42 automatically for an eligible student if:
234234 2024 IN 143—LS 6513/DI 110 6
235235 1 (1) the eligible student no longer resides in Indiana while the
236236 2 eligible student is eligible to receive grants under section 2 of this
237237 3 chapter; or
238238 4 (2) the ESA account is not renewed within three hundred
239239 5 ninety-five (395) days after the date the ESA account was either
240240 6 established or last renewed.
241241 7 If an ESA account is terminated under this section, money in the
242242 8 eligible student's ESA account, including any interest accrued, reverts
243243 9 to the state general fund.
244244 10 (f) An agreement made under this section for an eligible student
245245 11 while the eligible student is in kindergarten through grade 12 may be
246246 12 terminated before the end of the school year if the parent of the eligible
247247 13 student or the emancipated eligible student notifies the treasurer of
248248 14 state in a manner specified by the treasurer of state.
249249 15 (g) A distribution made to an ESA account under section 2 of this
250250 16 chapter is considered tax exempt as long as the distribution is used for
251251 17 a an ESA qualified expense. The amount is subtracted from the
252252 18 definition of adjusted federal gross income under IC 6-3-1-3.5 to the
253253 19 extent the distribution used for the ESA qualified expense is included
254254 20 in the taxpayer's adjusted federal gross income under the Internal
255255 21 Revenue Code.
256256 22 (h) The department shall establish a student test number as
257257 23 described in IC 20-19-3-9.4 for each eligible student. The treasurer of
258258 24 state shall provide the department information necessary for the
259259 25 department to comply with this subsection.
260260 26 SECTION 5. IC 20-51.4-4-4, AS AMENDED BY P.L.201-2023,
261261 27 SECTION 224, AND AS AMENDED BY P.L.202-2023, SECTION
262262 28 53, AND AS AMENDED BY THE TECHNICAL CORRECTIONS
263263 29 BILL OF THE 2024 GENERAL ASSEMBLY, IS CORRECTED AND
264264 30 AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2024]:
265265 31 Sec. 4. (a) Subject to sections 5 and 10 of this chapter, the annual grant
266266 32 amount under section 2 of this chapter for an eligible student equals,
267267 33 subject to subsection (b), ninety percent (90%) of the amount
268268 34 determined in the last STEP of the following formula:
269269 35 STEP ONE: Determine the school corporation in which the
270270 36 eligible student has legal settlement.
271271 37 STEP TWO: Determine the amount of state tuition support that
272272 38 the school corporation identified under STEP ONE is eligible to
273273 39 receive under IC 20-43-6 for the state fiscal year in which the
274274 40 immediately preceding current school year begins. The amount
275275 41 does not include amounts provided for special education grants
276276 42 under IC 20-43-7, career and technical education grants under
277277 2024 IN 143—LS 6513/DI 110 7
278278 1 IC 20-43-8, or grants under IC 20-43-10, or an academic
279279 2 performance grant under IC 20-43-10.5.
280280 3 STEP THREE: Determine the result of:
281281 4 (A) the STEP TWO amount; divided by
282282 5 (B) the current ADM (as defined in IC 20-43-1-10) for the
283283 6 school corporation identified under STEP ONE for the state
284284 7 fiscal year used in STEP TWO.
285285 8 (b) An eligible student may choose to receive special education
286286 9 services from the school corporation required to provide the special
287287 10 education services to the eligible student under 511 IAC 7-34-1.
288288 11 However, if an eligible student described in subsection (a) chooses not
289289 12 to receive special education or related services from a school
290290 13 corporation required to provide the services to the eligible student
291291 14 under 511 IAC 7-34-1, the ESA annual grant amount for the eligible
292292 15 student shall, in addition to the amount described in subsection (a),
293293 16 include the amount the school corporation would receive under
294294 17 IC 20-43-7 for the eligible student if the eligible student attended the
295295 18 school corporation.
296296 19 (c) The ESA annual grant amounts provided in subsection (a) shall
297297 20 be rounded as provided in IC 20-43-3-1(4).
298298 21 SECTION 6. IC 20-51.4-4-7.5 IS ADDED TO THE INDIANA
299299 22 CODE AS A NEW SECTION TO READ AS FOLLOWS
300300 23 [EFFECTIVE JULY 1, 2024]: Sec. 7.5. A parent of an eligible
301301 24 student or an emancipated eligible student may purchase computer
302302 25 hardware or one (1) technological device as described in
303303 26 IC 20-51.4-2-9(a)(14) only:
304304 27 (1) one (1) time during a three (3) year period; and
305305 28 (2) if the following apply:
306306 29 (A) The computer hardware or other technological device
307307 30 is used for the eligible student's educational needs.
308308 31 (B) The treasurer of state approves the purchase of the
309309 32 computer hardware or technological device.
310310 33 SECTION 7. IC 20-51.4-5-3, AS AMENDED BY P.L.202-2023,
311311 34 SECTION 65, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
312312 35 JULY 1, 2024]: Sec. 3. (a) Each qualified school that is an ESA
313313 36 participating entity that accepts payments for tuition and fees made
314314 37 from an ESA account under the ESA program shall administer to its
315315 38 eligible students, for the applicable grade levels as provided under
316316 39 IC 20-32-5.1, the statewide assessment unless otherwise prescribed by
317317 40 the eligible student's:
318318 41 (1) individualized education program;
319319 42 (2) service plan developed under 511 IAC 7-34; or
320320 2024 IN 143—LS 6513/DI 110 8
321321 1 (3) choice special education plan developed under 511 IAC 7-49.
322322 2 or
323323 3 (4) plan developed under Section 504 of the federal Rehabilitation
324324 4 Act of 1973, 29 U.S.C. 794.
325325 5 (b) Upon receipt of the statewide assessment test results, the
326326 6 department shall, subject to the federal Family Educational Rights and
327327 7 Privacy Act (20 U.S.C. 1232g) and any regulations adopted under that
328328 8 act:
329329 9 (1) aggregate the statewide assessment test results according to
330330 10 the grade level, gender, race, and family income level of all
331331 11 eligible students; and
332332 12 (2) make the results determined under subdivision (1) available
333333 13 on the department's website.
334334 14 SECTION 8. An emergency is declared for this act.
335335 2024 IN 143—LS 6513/DI 110