SLS 16RS-1032 ORIGINAL 2016 Regular Session SENATE BILL NO. 432 BY SENATORS PETERSON, BISHOP, CARTER AND MORRELL AND REPRESENTATIVES BAGNERIS, GARY CARTER, JIMMY HARRIS, HILFERTY, LEGER AND MORENO SCHOOLS. Provides for return of certain RSD schools to the transferring school board. (gov sig) 1 AN ACT 2 To amend and reenact R.S. 17:3995(A)(3), (4)(a)(ii), and (I), and 3999, and to enact R.S. 3 17:10.7.1, 100.11(I), and 3995(K), relative to the return of certain schools from the 4 Recovery School District to the transferring school system; to provide for the 5 governance, funding, and status of such schools; to provide for the return of school 6 buildings, facilities, and property; to provide relative to charter contracts and 7 enrollment and discipline policies; to provide relative to testing; to provide for the 8 duties and responsibilities of the local school board, the local school superintendent, 9 the Recovery School District, and the State Board of Elementary and Secondary 10 Education; to provide for an implementation plan and an advisory committee to help 11 develop the plan; to provide for immunity from civil liability for local school board 12 members; to provide with respect to the funding of charter schools acting as their 13 own local education agency; to provide for rules; to provide for effectiveness; to 14 provide for reporting; and to provide for related matters. 15 Be it enacted by the Legislature of Louisiana: 16 Section 1. R.S. 17:3995(A)(3), (4)(a)(ii), and (I), and 3999 are hereby amended and 17 reenacted, and R.S. 17:10.7.1, 100.11(I), and 3995(K) are hereby enacted to read as follows: Page 1 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 432 SLS 16RS-1032 ORIGINAL 1 §10.7.1. Return of certain schools from the Recovery School District to the 2 transferring school system; time line; conditions; funding 3 A. The provisions of this Section shall be applicable to any school system 4 from which one or more schools have been transferred to the Recovery School 5 District pursuant to R.S. 17:10.7. 6 B. To the extent that the provisions of this Section conflict with the 7 provisions of Chapter 42 of Title 17 of the Louisiana Revised Statutes of 1950, 8 the provisions of this Section shall prevail. 9 C.(1) Not later than July 1, 2018, every school transferred to the 10 Recovery School District pursuant to R.S. 17:10.5 or 10.7 shall be returned to 11 the governance, administration, and jurisdiction of the local school system from 12 which the school was transferred. 13 (2)(a) Each Type 5 charter school returned to the local school system 14 shall be converted to a Type 3B charter school in accordance with the provisions 15 of R.S. 17:3973(2)(b)(vii). 16 (b) The initial term of the charter for such Type 3B charter school shall 17 be equal to the number of years remaining on the school's prior Type 5 charter 18 contract. 19 D.(1) Not later than July 1, 2017, not less than ten schools in the 20 Recovery School District shall be returned to the governance, administration, 21 and jurisdiction of the local school system from which the school was 22 transferred, with the approval of the local school board. 23 (2) A school shall first be provided the opportunity to voluntarily elect 24 to return to the local school board. However, should fewer than ten schools elect 25 to do so, additional schools shall be selected and approved for return to the local 26 school board in accordance with a policy developed by the State Board of 27 Elementary and Secondary Education, until the requisite number of schools is 28 reached. 29 E.(1) All buildings, facilities, property, and other assets of a school shall Page 2 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 432 SLS 16RS-1032 ORIGINAL 1 be transferred to the local school system at the time the school is returned to the 2 governance, administration, and jurisdiction of the local school system from 3 which the school was transferred. 4 (2) Notwithstanding the provisions of this Subsection, unless as otherwise 5 agreed to by the Recovery School District and the local school system, subject 6 to any necessary approval by the appropriate federal agency, the following shall 7 apply: 8 (a) A school facility under the control of the Recovery School District 9 that is under construction or scheduled to be under construction pursuant to a 10 federal recovery plan, shall remain under the control of the Recovery School 11 District until construction is substantially complete. 12 (b) The Recovery School District and the state Department of Education 13 shall continue to operate as the federal grant applicant for projects completed 14 by the Recovery School District pursuant to a federal recovery plan and shall 15 retain responsibility for the execution and administration of contractual 16 warranties, grant close-outs, and financing compliance periods for such 17 projects. 18 (c)(i) The Recovery School District shall return all buildings, facilities, 19 and property related to a school returned to the local school system free of any 20 encumbrances, including liens and judgments, other than those financing 21 transactions to which the local school board is a party. 22 (ii) The local school board shall have no obligation to reimburse the 23 Recovery School District, the state Department of Education, or the State Board 24 of Elementary Education for any maintenance, alterations, or other repairs 25 made to any of the school's buildings, facilities, or property before the school's 26 return to the local school system. 27 (d) The local school board and its individual members shall be immune 28 from civil liability for any damages arising from acts, omissions, or incidents 29 occurring during the time a school returned to the local school system was Page 3 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 432 SLS 16RS-1032 ORIGINAL 1 under the jurisdiction of the Recovery School District. 2 (e) The local school board and its individual members shall be immune 3 from any liability or responsibility for any obligation, claim, demand for 4 reimbursement, or other indebtedness asserted by the Federal Emergency 5 Management Agency, the United States Department of Housing and Urban 6 Development, or any other federal or state governmental agency or entity, with 7 respect to construction projects managed by the Recovery School District. 8 F. In order to support and protect the interests and rights of the children 9 it serves, the local school board: 10 (1) Shall adopt a policy that establishes a process to determine the 11 district-level funding allocation to be effective beginning July 1, 2017, and as 12 revised in subsequent years as appropriate, based upon student characteristics 13 or needs to distribute the total amount of minimum foundation program 14 formula funds allocated to the local school board and to Type 1, 1B, 3, 3B, 4, 15 and 5 charter schools that are located within the geographic boundaries of the 16 local school system. 17 (2) May use local revenues from new or repurposed taxes levied by the 18 board and approved by voters after September 1, 2016, for parish-wide 19 functions or programs specifically approved by the voters. 20 (3) Shall approve contracts for all charter schools under the board's 21 jurisdiction that are limited to provisions which are common to all such charter 22 contracts, unless terms specific to an individual school are authorized pursuant 23 to policies of the board in accordance with applicable state law. 24 (4) Shall require all charter schools under the board's jurisdiction to 25 participate in the parish-wide enrollment system and student expulsion process, 26 according to policies established by the board. 27 (5) May adopt a policy for charter schools under the school board's 28 jurisdiction that are in good standing in regard to compliance with the board's 29 parish-wide enrollment system and student expulsion process policies, so that Page 4 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 432 SLS 16RS-1032 ORIGINAL 1 such schools shall be exempted from the minimum enrollment percentages 2 required by R.S. 17:3991. 3 (6) May provide a lottery preference for enrollment at elementary and 4 middle schools under the board's jurisdiction for students residing within 5 defined geographic zones as one of the factors to determine student assignment, 6 according to policies adopted by the board. Such preference shall be applied to 7 not more than one-half of the seats available in each grade level to ensure that 8 seats in all schools are accessible to students residing outside of a school's 9 respective geographic zones. Notwithstanding the provisions of this Subsection, 10 any Type 1 or Type 3 charter school which was first authorized by the board on, 11 or prior to, July 1, 2016, and whose charter contract includes a geographic 12 preference in accordance with R.S. 17:3991, may maintain such preference with 13 the approval of the board, in accordance with board policy adopted for this 14 purpose. 15 (7) May adopt a policy for cooperatively and annually establishing 16 enrollment projections and targets for every school under the school board's 17 jurisdiction and which requires enrollment of additional or fewer students 18 throughout the school year as necessary. The policy may consider factors 19 including past trends in enrollment and school performance. 20 (8) Shall adopt a policy establishing a process which allows the local 21 superintendent to limit the percentage of system enrollment that any single 22 operator of schools or charter governing authority may serve to ensure that a 23 diverse system of schools led by multiple high quality operators exists at all 24 times. 25 G. In order to determine quality standards for all schools and intervene 26 appropriately in instances when student needs are not being met, the local 27 superintendent shall: 28 (1) Present recommendations to the local school board regarding the 29 approval, extension, renewal, or revocation of the charter for any charter school Page 5 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 432 SLS 16RS-1032 ORIGINAL 1 under the board's jurisdiction. 2 (2) Monitor and require corrective actions by a charter school with 3 respect to compliance with board policy, state law, or terms of the charter 4 contract. 5 (3) Require charter schools under the school board's jurisdiction to 6 temporarily close, dismiss students, or evacuate in the event that there are 7 credible threats of terror, or an official state of emergency is declared for the 8 area in which any school under the board's jurisdiction is located. 9 H. In order to ensure the appropriate level of autonomy to enable 10 educators to successfully prepare students for success in college and career: 11 (1) The local school board shall not impede the operational autonomy of 12 a charter school under its jurisdiction, as provided in the school's charter, in the 13 areas of school programming, instruction, curriculum, materials and texts, 14 yearly school calendars and daily schedules, hiring and firing of personnel, 15 employee performance management and evaluation, terms and conditions of 16 employment, teacher or administrator certification, salaries and benefits, 17 retirement, collective bargaining, budgeting, purchasing, procurement, and 18 contracting for services other than capital repairs and facilities construction. 19 (2) With the approval of the local school board, any charter school under 20 the board's jurisdiction may act as its own local educational agency for one or 21 more funding purposes or statutory definitions, in accordance with R.S. 22 17:3995, and rules adopted by the State Board of Elementary and Secondary 23 Education. 24 (3) Beginning July 1, 2017, each charter school under the local school 25 board's jurisdiction shall provide for independent test monitoring from a third 26 party entity approved by the school board for the testing period immediately 27 preceding the board's consideration of renewal of the charter school's contract. 28 I.(1)(a) The local school superintendent shall develop a plan to effect the 29 return of schools from the Recovery School District to the local school board, Page 6 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 432 SLS 16RS-1032 ORIGINAL 1 as provided in this Section. 2 (b) The local school superintendent, in consultation with the 3 superintendent of the Recovery School District, shall convene an advisory 4 committee to assist in the development of the plan. 5 (2) The advisory committee shall be subject to the provisions of 6 Louisiana Open Meetings Law, the Louisiana Public Records Law, and all local 7 school board policy regarding public meetings and public documents. 8 (3) The advisory committee shall be comprised of eleven members as 9 follows: 10 (a) The local school superintendent. 11 (b) The superintendent of the Recovery School District. 12 (c) Two members who shall represent Type 5 charter school operators, 13 appointed by the local school superintendent. 14 (d) Two representatives of Type 5 charter school operators, appointed 15 by the superintendent of the Recovery School District. 16 (e) Two members who shall represent either a Type 1 or Type 3 charter 17 school operator, appointed by the local school superintendent. 18 (f) One member who shall represent a school directly operated by the 19 local board, appointed by the local school superintendent. 20 (g) One member who shall represent an educational advocacy 21 organization, appointed by the local school superintendent. 22 (h) One member jointly appointed by the local school superintendent and 23 the superintendent of the Recovery School District. 24 (4) The local school superintendent shall submit the plan to the local 25 school board for approval by September 1, 2016. The plan shall include: 26 (a) Consideration for equitable funding of all schools under the 27 jurisdiction of the local school board. 28 (b) An implementation time line that shall include a detailed list of tasks 29 and benchmarks that are appropriately sequenced to efficiently facilitate the Page 7 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 432 SLS 16RS-1032 ORIGINAL 1 return of schools to the local school system. 2 (5) After the local school board has approved the plan, the local school 3 superintendent shall convene the advisory committee as often as he deems 4 necessary, but at least on a quarterly basis, until all schools have been returned 5 from the Recovery School District to the local school system. 6 (6)(a) The local school superintendent shall prepare a written progress 7 report regarding implementation of the approved plan to return schools from 8 the Recovery School District to the local school system not later than December 9 1, 2016, March 1, 2017, June 1, 2017, September 1, 2017, December 1, 2017, 10 March 1, 2018, and June 1, 2018, and submit the report to the following: 11 (i) The State Board of Elementary and Secondary Education. 12 (ii) The local school board. 13 (iii) The Recovery School District. 14 (iv) The state Department of Education. 15 (v) The education committees of the Senate and the House of 16 Representatives. 17 (b) A final report shall be prepared and submitted to the entities 18 enumerated in Subparagraph (a) of this Paragraph not later than August 1, 19 2018. 20 J. The local school board, by a two-thirds vote of its full membership, 21 may postpone the final transfer of schools from the Recovery School District to 22 the local school board provided for in this Section. The school board shall 23 consider such postponement at a regular or special school board meeting upon 24 official request by a two-thirds majority vote of the full membership of the 25 advisory committee. The length of such postponement shall be determined by 26 the local school board; provided, however, that no such postponement shall 27 extend the final transfer date beyond July 1, 2019. 28 * * * 29 §100.11. School facilities preservation; certain districts Page 8 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 432 SLS 16RS-1032 ORIGINAL 1 * * * 2 I.(1) Prior to July 1, 2017, the provisions of this Section shall be 3 implemented in accordance with a plan or agreement between the school board 4 and the Recovery School District. 5 (2) Beginning on July 1, 2017, the provisions of this Section shall be 6 implemented in accordance with the plan approved pursuant to R.S. 17:10.7.1. 7 * * * 8 §3995. Charter school funding 9 A.(1) * * * 10 * * * 11 (3) Notwithstanding Paragraph (1) of this Subsection and unless otherwise 12 provided for in the approved minimum foundation program formula: 13 (a) Through June 30, 2016, Type 3B charter schools shall receive funds 14 according to the district-level allocation formula based on weights for student 15 characteristics or needs used for Type 5 charter schools within the same geographic 16 boundaries as determined by the state board. 17 (b)(a)(i) Beginning July 1, 2016, for a district with one or more Type 3B 18 charter schools in a parish that contains a municipality with a population of three 19 hundred thousand or more persons according to the latest federal decennial census, 20 the total amount of minimum foundation program formula funds allocated to the 21 local school board and to Type 1, 1B, 3, 3B, 4, and 5 charter schools that are located 22 within the district shall be allocated using a district-level computation based on 23 student characteristics or needs as determined by the state board. The state 24 Department of Education shall facilitate a collaborative process that includes 25 representatives from the Recovery School District, the Louisiana Association of 26 Public Charter Schools, any affected local school board and any organization 27 representing its authorized charter schools, and advocates for students with 28 disabilities in the development of the district-level allocation policy that shall take 29 effect on July 1, 2016. Page 9 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 432 SLS 16RS-1032 ORIGINAL 1 (ii) The local school board shall adopt a policy that establishes a process 2 to determine the district-level funding allocation to be effective beginning July 3 1, 2017, and as revised in subsequent years as appropriate, based upon student 4 characteristics or needs to distribute the total amount of minimum foundation 5 program formula funds allocated to the local school board and to Type 1, 1B, 6 3, 3B, 4, and 5 charter schools that are located within the geographic boundaries 7 of the local school system. 8 (4)(a)(i) * * * 9 * * * 10 (ii) The state Department of Education may withhold and retain from state 11 funds otherwise allocated to a local public school system through the minimum 12 foundation program formula an amount equal to one quarter of one percent of the fee 13 amount charged to a Type 3B charter school acting as its own local education 14 agency pursuant to Item (i) of this Subparagraph, or a Type 1, 3, or 4 charter 15 school acting as its own education agency pursuant to R.S. 17:10.7.1, for 16 administrative costs incurred by the department for providing financial oversight and 17 monitoring of such charter schools. 18 * * * 19 I. The local school board shall remain the local education agency for any 20 Type 1, 3, or 4 charter school, unless the charter school is authorized to act as its 21 own local education agency, pursuant to R.S. 17:10.7.1. 22 * * * 23 K. The State Board of Elementary and Secondary Education shall 24 promulgate rules in accordance with the Administrative Procedure Act 25 regarding a charter school acting as its own local education agency, pursuant 26 to R.S. 17:10.7.1. Such rules shall: 27 (1) Delineate the financial and programmatic obligations of the charter 28 school as related to the receipt of public funds. 29 (2) Authorize the state superintendent of education to rescind a charter Page 10 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 432 SLS 16RS-1032 ORIGINAL 1 school's authority to act as its own local education agency if the school fails to 2 meet the financial and programmatic obligations established by the board. 3 * * * 4 §3999. Application of Chapter 5 A. All charter schools shall be governed by the law in effect on August 15, 6 2003. Thereafter, if the provisions of this Chapter are amended, all charter schools 7 shall comply with the law as amended within ninety days of its effective date. 8 B. To the extent that the provisions of this Chapter conflict with the 9 provisions of R.S. 17:10.7.1, the provisions of R.S. 17:10.7.1 shall prevail. 10 Section 2. This Act shall become effective upon signature by the governor or, if not 11 signed by the governor, upon expiration of the time for bills to become law without signature 12 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If 13 vetoed by the governor and subsequently approved by the legislature, this Act shall become 14 effective on the day following such approval. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Jeanne C. Johnston. DIGEST SB 432 Original 2016 Regular Session Peterson Proposed law provides for the return of certain charter schools from the Recovery School District to the transferring local school system. Effective upon signature of the governor or lapse of time for gubernatorial action. (Amends R.S. 17:3995(A)(3), (4)(a)(ii), and (I), and 3999; adds R.S. 17:10.7.1, 100.11(I), and 3995(K)) Page 11 of 11 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.