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2 | 2 | | HOUSE DOCKET, NO. 918 FILED ON: 1/14/2025 |
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3 | 3 | | HOUSE . . . . . . . . . . . . . . . No. 581 |
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4 | 4 | | The Commonwealth of Massachusetts |
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5 | 5 | | _________________ |
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6 | 6 | | PRESENTED BY: |
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7 | 7 | | William C. Galvin, (BY REQUEST) |
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8 | 8 | | _________________ |
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9 | 9 | | To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General |
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10 | 10 | | Court assembled: |
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11 | 11 | | The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: |
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12 | 12 | | An Act relative to educational freedom. |
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13 | 13 | | _______________ |
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14 | 14 | | PETITION OF: |
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15 | 15 | | NAME:DISTRICT/ADDRESS :DATE ADDED:Paul McAuliffe1/14/2025 1 of 13 |
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16 | 16 | | HOUSE DOCKET, NO. 918 FILED ON: 1/14/2025 |
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17 | 17 | | HOUSE . . . . . . . . . . . . . . . No. 581 |
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18 | 18 | | By Representative Galvin of Canton (by request), a petition (accompanied by bill, House, No. |
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19 | 19 | | 581) of Paul McAuliffe for legislation to create promise scholarship accounts composed of state |
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20 | 20 | | funds deposited on behalf of participating students to be used for qualified education expenses. |
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21 | 21 | | Education. |
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22 | 22 | | [SIMILAR MATTER FILED IN PREVIOUS SESSION |
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23 | 23 | | SEE HOUSE, NO. 481 OF 2023-2024.] |
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24 | 24 | | The Commonwealth of Massachusetts |
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25 | 25 | | _______________ |
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26 | 26 | | In the One Hundred and Ninety-Fourth General Court |
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27 | 27 | | (2025-2026) |
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28 | 28 | | _______________ |
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29 | 29 | | An Act relative to educational freedom. |
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30 | 30 | | Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority |
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31 | 31 | | of the same, as follows: |
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32 | 32 | | 1 Chapter 15 of the General Laws is hereby amended by adding the following section:- |
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33 | 33 | | 2 Section 67. (a) As used in sections 67 through 74, inclusive, the following words shall |
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34 | 34 | | 3have the following meanings: |
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35 | 35 | | 4 “Account” or “promise scholarship account”, a consumer directed account and composed |
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36 | 36 | | 5of state funds deposited on behalf of a participating student and which may be used for qualified |
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37 | 37 | | 6education expenses. |
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38 | 38 | | 7 “Account funds”, the funds awarded on behalf of a participating student. 2 of 13 |
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39 | 39 | | 8 “Curriculum”, a complete course of study for a particular content area or grade level, |
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40 | 40 | | 9including any supplemental materials required by the course of study. |
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41 | 41 | | 10 “Parent”, a biological parent, legal guardian, custodian or other person with legal |
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42 | 42 | | 11authority to act on behalf of a student. |
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43 | 43 | | 12 “Participating school”, a private school that has notified the department of its intention to |
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44 | 44 | | 13participate in the program and that complies with the department's requirements. |
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45 | 45 | | 14 “Participating student”, a student for whom a promise scholarship account has been |
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46 | 46 | | 15established. |
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47 | 47 | | 16 “Higher education institution” means a school which is: (1) a unit of the public |
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48 | 48 | | 17institutions of higher education system as provided in section 5 of chapter 15A; or (2) an |
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49 | 49 | | 18independent or private college or university located in the commonwealth. |
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50 | 50 | | 19 “Private school”, a nonpublic school, sectarian or nonsectarian, which is approved by a |
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51 | 51 | | 20school committee and provides comparable education to a public school pursuant to section 1 of |
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52 | 52 | | 21chapter 76. |
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53 | 53 | | 22 “Program”, the promise scholarship account program established pursuant to sections 67 |
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54 | 54 | | 23through 74, inclusive. |
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55 | 55 | | 24 “Qualified education expenses”, any 1 or more of the following: (1) tuition, fees and |
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56 | 56 | | 25required textbooks at a participating school; (2) tuition, fees, and required textbooks at a |
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57 | 57 | | 26community college or accredited postsecondary institution; (3) tutoring services provided by an |
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58 | 58 | | 27educator certified by pursuant to section 38G of chapter 71; (4) payment for the purchase of a |
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59 | 59 | | 28curriculum, including any supplemental materials required by the curriculum; (5) tuition and fees 3 of 13 |
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60 | 60 | | 29for a nonpublic online learning program or course; (6) services from a licensed physician or |
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61 | 61 | | 30therapist, including, but not limited to, for occupational, behavioral, physical or speech-language |
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62 | 62 | | 31therapies; (7) fees paid to a fee-for-service transportation provider for transportation to or from a |
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63 | 63 | | 32participating school or service provider, except that said fees shall not exceed $500 per year; (8) |
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64 | 64 | | 33fees for the management of account funds in accordance with subsection (e) of section 72; or (9) |
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65 | 65 | | 34computer hardware or other technological devices approved by the department or a physician if |
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66 | 66 | | 35the computer hardware or other technological device is used to meet the student's educational |
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67 | 67 | | 36needs. |
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68 | 68 | | 37 “Resident school system”, the public school system in which the student would be |
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69 | 69 | | 38enrolled based on their residence. |
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70 | 70 | | 39 “Service provider”, a person or entity that provides services that are covered as qualified |
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71 | 71 | | 40education expenses other than a participating school. |
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72 | 72 | | 41 Section 68. (a) A student shall qualify for a promise scholarship account if: |
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73 | 73 | | 42 (1) the student's parent or parents currently reside within the commonwealth; |
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74 | 74 | | 43 (2) the student was enrolled in and attended a public school in the commonwealth for at |
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75 | 75 | | 44least 6 weeks during the school year immediately preceding such student's initial or resumed |
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76 | 76 | | 45participation in the program; |
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77 | 77 | | 46 (3) the student's parent signs an agreement promising: (A) to provide an education for the |
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78 | 78 | | 47participating student in at least the subjects of reading, grammar, mathematics, social studies and |
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79 | 79 | | 48science; (B) not to enroll the student in a local school system school, local charter school or state 4 of 13 |
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80 | 80 | | 49charter school while participating in the program; and (C) to use account funds only for qualified |
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81 | 81 | | 50education expenses of the participating student; |
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82 | 82 | | 51 (4) the student is not receiving special education in a private school paid for by a school |
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83 | 83 | | 52committee pursuant to chapter 71B, nor shall the student or the student’s family seek to receive |
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84 | 84 | | 53such special education in a private school at any time while participating in the program; and |
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85 | 85 | | 54 (5) the student's parent submits an application for an account to the department no later |
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86 | 86 | | 55than the deadline established by the department; provided, however, that the department shall |
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87 | 87 | | 56provide quarterly application periods that correspond with quarterly funding dates pursuant to |
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88 | 88 | | 57subsection (b) of section 70. |
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89 | 89 | | 58 (b) Upon acceptance of the account, the parent shall assume full financial responsibility |
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90 | 90 | | 59for the education of the participating student, including transportation to and from the |
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91 | 91 | | 60participating school or service provider. |
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92 | 92 | | 61 (c) Students enrolled in educational programming conducted in a house of correction or |
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93 | 93 | | 62state prison shall not be eligible for the program. |
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94 | 94 | | 63 (e) Subject to appropriation, a participating student shall continue to be eligible to receive |
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95 | 95 | | 64account funds until the student returns to a public school, graduates from high school or reaches |
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96 | 96 | | 65the age of 20 years, or for special education students, reaches the age of 22 years; provided, |
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97 | 97 | | 66however, that a student who participated in the program for any length of time before returning |
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98 | 98 | | 67to a public school shall submit a new application for an account in order to participate in the |
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99 | 99 | | 68program for a second or subsequent time. 5 of 13 |
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100 | 100 | | 69 (d) For participating students with a disability, acceptance of an account shall have the |
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101 | 101 | | 70same effect as a parental refusal to consent to services pursuant to the Individuals with |
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102 | 102 | | 71Disabilities Education Act, 20 U.S.C. section 1414 and a parental waiver of rights to educational |
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103 | 103 | | 72accommodations under Section 504 of the federal Rehabilitation Act of 1973, 29 U.S.C. Section |
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104 | 104 | | 73701, et seq. |
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105 | 105 | | 74 (e) The creation of the program or the granting of an account shall not be construed to |
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106 | 106 | | 75imply that a public school did not provide a free and appropriate public education for a student or |
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107 | 107 | | 76constitute a waiver or admission by the commonwealth. |
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108 | 108 | | 77 (f) Any account funds directed to a participating school or service provider are so |
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109 | 109 | | 78directed wholly as a result of the genuine and independent private choice of the parent. |
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110 | 110 | | 79 (g) The parent of each student participating in the program shall comply fully with the |
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111 | 111 | | 80participating school or service provider's rules and policies. |
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112 | 112 | | 81 (h) Any parent who fails to comply with sections 67 to 74, inclusive and department |
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113 | 113 | | 82regulations relating to the program shall forfeit the account and all account funds therein. |
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114 | 114 | | 83 Section 69. (a) To be eligible to enroll a participating student, a participating school shall: |
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115 | 115 | | 84 (1) demonstrate fiscal soundness by having been in operation for 1 school year or by |
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116 | 116 | | 85submitting a financial information report for the school that complies with uniform financial |
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117 | 117 | | 86accounting standards established by the department and conducted by a certified public |
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118 | 118 | | 87accountant; provided, that he report shall confirm that the school desiring to participate is insured |
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119 | 119 | | 88and the owner or owners have sufficient capital or credit to operate the school for the upcoming |
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120 | 120 | | 89school year serving the number of students anticipated with expected revenues from tuition and 6 of 13 |
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121 | 121 | | 90other sources that may be reasonably expected; and provided, further, that the report shall be |
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122 | 122 | | 91limited in scope to those records that are necessary for the department to make a determination |
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123 | 123 | | 92on fiscal soundness of the school; |
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124 | 124 | | 93 (2) comply with the antidiscrimination provisions of 42 U.S.C. Section 2000d; |
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125 | 125 | | 94 (3) comply with all health and safety laws or codes that apply to private schools; |
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126 | 126 | | 95 (4) Comply with section 1 of chapter 76 and any other state law applicable to private |
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127 | 127 | | 96schools; and |
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128 | 128 | | 97 (5) employ or contract with teachers who hold a bachelor's degree or higher degree or |
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129 | 129 | | 98have at least 3 years of experience in education and annually provide to the parents the relevant |
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130 | 130 | | 99credentials, including any teacher or subject matter certifications, of the teachers who will be |
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131 | 131 | | 100teaching their students. |
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132 | 132 | | 101 (b) A participating school or service provider may apply to the department to participate |
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133 | 133 | | 102in the program and accept account funds for providing services covered as qualified education |
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134 | 134 | | 103expenses. |
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135 | 135 | | 104 (c) The department shall establish standards that a participating school or service provider |
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136 | 136 | | 105shall meet to receive approval by the department to participate in the program. |
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137 | 137 | | 106 (d) The department shall, not later than 60 days after receiving a participating school's or |
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138 | 138 | | 107service provider's application for approval, notify such school or service provider as to whether |
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139 | 139 | | 108the application has been approved or denied. If the department denies an application, the |
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140 | 140 | | 109department shall provide a reason and notify the school or service provider that it may appeal the |
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141 | 141 | | 110decision to the parent review committee created pursuant to section 71. 7 of 13 |
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142 | 142 | | 111 (e) A participating school and service provider shall not refund, rebate or share account |
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143 | 143 | | 112funds with a parent or student in any manner. |
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144 | 144 | | 113 (f) The creation of the program shall not be construed to expand the regulatory authority |
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145 | 145 | | 114of the commonwealth, its officers or any local school system to impose any additional regulation |
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146 | 146 | | 115of nonpublic schools beyond those reasonably necessary to enforce the requirements of sections |
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147 | 147 | | 11667 to 74, inclusive. |
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148 | 148 | | 117 Section 70. (a) Subject to appropriation, the account funds granted to a participating |
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149 | 149 | | 118student shall be $9,500 per school year. |
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150 | 150 | | 119 (b)(1) When a student enters the program, the department shall receive all documentation |
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151 | 151 | | 120required for the student's participation during a quarterly enrollment period pursuant to clause (5) |
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152 | 152 | | 121of subsection (a) of section 68 before the first quarterly account payment is made for the student. |
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153 | 153 | | 122 (2) Subject to appropriation and upon proper documentation received by the department, |
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154 | 154 | | 123the department shall make quarterly payments to the account of a participating student, |
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155 | 155 | | 124beginning with the first quarterly payment that corresponds with the enrollment period in which |
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156 | 156 | | 125the student's application was received. As nearly as practical, the quarterly payments shall be |
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157 | 157 | | 126equal.; provided, however, that this shall not prevent payments from being reduced pursuant to |
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158 | 158 | | 127section 9C of chapter 29. The state auditor shall cite as an audit exception any failure by the |
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159 | 159 | | 128department to meet any payment deadlines and shall include such audit exceptions on the |
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160 | 160 | | 129website established pursuant to section 14C of chapter 7. |
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161 | 161 | | 130 (3) The department shall develop a system for parents to direct account funds to |
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162 | 162 | | 131participating schools and service providers by electronic funds transfer, automated clearing- |
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163 | 163 | | 132house transfer or another system that the department finds to be commercially viable, cost- 8 of 13 |
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164 | 164 | | 133effective and easy for parents of participating students to use. The department shall not adopt a |
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165 | 165 | | 134system that relies solely on reimbursing parents for out-of-pocket expenses, but may determine |
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166 | 166 | | 135certain qualified education expenses that shall require reimbursement or preapproval for |
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167 | 167 | | 136purchase. The department may qualify private financial management firms to manage the |
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168 | 168 | | 137payment system. The department, at its discretion, may create a system of individually funded |
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169 | 169 | | 138accounts or notional accounts funded through a single state account. |
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170 | 170 | | 139 (4) If the participating school requires partial payment of tuition prior to the start of the |
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171 | 171 | | 140academic year to reserve space for students admitted to the school, such partial payment may be |
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172 | 172 | | 141paid by the department prior to the first quarterly payment of the year in which the account is |
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173 | 173 | | 142awarded, up to a maximum of $1,000, and deducted from subsequent account payments. If a |
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174 | 174 | | 143student decides not to attend the participating school, the partial reservation payment shall be |
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175 | 175 | | 144returned to the department by the school. Only 1 reservation payment per student may be made |
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176 | 176 | | 145per year. |
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177 | 177 | | 146 (d) Funds received pursuant to this section shall not constitute taxable income of the |
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178 | 178 | | 147parent of the participating student. |
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179 | 179 | | 148 (e) Funds deposited into an account shall be used only for qualified education expenses |
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180 | 180 | | 149for the participating student. Unused funds in an account, up to an amount not greater than 50 per |
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181 | 181 | | 150cent of the total funds deposited into the account for the current school year, shall roll over to the |
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182 | 182 | | 151following school year; provided, however, that, if an account has been inactive for 2 consecutive |
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183 | 183 | | 152years, the funds in such account shall be returned to the General Fund and the account shall be |
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184 | 184 | | 153closed. Upon high school graduation of the participating student, any unused funds shall roll over |
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185 | 185 | | 154and may be used for tuition at a postsecondary institution located in the commonwealth. 9 of 13 |
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186 | 186 | | 155 (f) Nothing in sections 67 to 74, inclusive, shall be deemed to prohibit a parent or student |
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187 | 187 | | 156from making a payment for any tuition, fee, service or product described in said sections 67 to |
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188 | 188 | | 15774, inclusive, from a source other than the account funds of the student. |
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189 | 189 | | 158 Section 71. (a) To assist in the determination of whether certain expenses meet the |
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190 | 190 | | 159requirements to be considered a qualified education expense under sections 67 to 74, inclusive, a |
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191 | 191 | | 160parent review committee shall be established. |
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192 | 192 | | 161 (b)(1) The committee shall be composed of 8 parents of participating students. Four of |
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193 | 193 | | 162the parents shall reside in communities with student enrollment of greater than 10,000, and4 of |
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194 | 194 | | 163the parents shall reside in communities with student enrollment of less than 10,000. |
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195 | 195 | | 164 (2) Members of the committee shall be appointed by and serve at the pleasure of the |
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196 | 196 | | 165commissioner. |
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197 | 197 | | 166 (3) Members of the committee shall serve for 1-year terms and may be reappointed. |
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198 | 198 | | 167 (4) The commissioner or the commissioner’s designee shall serve as the chair of the |
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199 | 199 | | 168committee and shall only vote in the event of a tie. |
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200 | 200 | | 169 (c) The department may request the committee to determine whether an expenditure of |
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201 | 201 | | 170account funds from an account qualifies as a qualified education expense under sections 67 to 74, |
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202 | 202 | | 171inclusive. |
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203 | 203 | | 172 (d) The department may request the committee review appeals of participating schools or |
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204 | 204 | | 173service provider application denials pursuant to subsection (d) of section 69. |
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205 | 205 | | 174 Section 72. (a) The department shall adopt rules and regulations as necessary for the |
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206 | 206 | | 175administration of the program and shall include rules and regulations regarding the selection of 10 of 13 |
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207 | 207 | | 176participating students by a lottery process governed by chance if either the number of |
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208 | 208 | | 177participating students or the number of applications for accounts exceeds the funds available for |
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209 | 209 | | 178the program; provided, however, that continued participation in the program by participating |
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210 | 210 | | 179students shall be prioritized over new applications for accounts. The department shall adopt rules |
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211 | 211 | | 180and regulations regarding eligibility and participation of participating schools and service |
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212 | 212 | | 181providers, including, but not limited to, timelines that will maximize student and private school |
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213 | 213 | | 182participation, the calculation and distribution of accounts to participating students, and the |
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214 | 214 | | 183application and approval procedures for participating students, participating schools, and service |
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215 | 215 | | 184providers. The department shall develop and utilize a compliance form for completion by |
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216 | 216 | | 185participating schools and service providers. The department shall be authorized to require any |
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217 | 217 | | 186pertinent information as it deems necessary from participating schools and service providers for |
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218 | 218 | | 187the purpose of implementing the program. Participating schools and service providers shall be |
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219 | 219 | | 188required to complete such forms and certify their accuracy. |
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220 | 220 | | 189 (b) No liability shall arise on the part of the department or the commonwealth or of any |
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221 | 221 | | 190local board of education based on the award or use of an account awarded pursuant to sections |
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222 | 222 | | 19167 to 74, inclusive. |
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223 | 223 | | 192 (c) The department shall have the authority to conduct or contract for the auditing of |
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224 | 224 | | 193accounts and shall, at a minimum, conduct random audits on an annual basis. The department |
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225 | 225 | | 194shall have the authority to make any parent or participating student ineligible for the program in |
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226 | 226 | | 195the event of misuse of account funds. |
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227 | 227 | | 196 (d) The department shall have the authority to refer cases of substantial misuse of account |
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228 | 228 | | 197funds to the attorney general for investigation if evidence of fraudulent use is obtained. 11 of 13 |
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229 | 229 | | 198 (e) The department may deduct an amount from accounts to cover the costs of overseeing |
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230 | 230 | | 199and administering the program, up to a maximum of 3 per cent annually. |
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231 | 231 | | 200 (f) The department may contract with a qualified nonprofit organization to administer the |
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232 | 232 | | 201program or specific functions of the program. |
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233 | 233 | | 202 (g) The department shall provide parents of participating students with an explanation of |
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234 | 234 | | 203the allowable uses of account funds, the responsibilities of parents and the duties of the |
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235 | 235 | | 204department. |
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236 | 236 | | 205 Section 73. (a)(1) In order to allow parents and taxpayers to measure the achievements of |
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237 | 237 | | 206the program, the department shall annually approve no fewer than 3 nationally norm-referenced |
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238 | 238 | | 207tests that measure student academic progress in math and language arts. |
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239 | 239 | | 208 (2) Private schools enrolling participating students shall ensure that all participating |
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240 | 240 | | 209students are annually administered a nationally norm-referenced test identified by the department |
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241 | 241 | | 210or a state-wide assessment administered pursuant to section 1D of chapter 69 of the General |
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242 | 242 | | 211Laws, which shall be made available by the resident school system. |
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243 | 243 | | 212 (3) The department shall develop a process for the annual administration of a nationally |
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244 | 244 | | 213norm-referenced test or a state-wide assessment and the collection of results for participating |
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245 | 245 | | 214students not enrolled full time in a private school. |
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246 | 246 | | 215 (b) The results of such norm-referenced tests or state-wide assessments shall be provided |
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247 | 247 | | 216to and collected by the department or an organization chosen by the department on an annual |
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248 | 248 | | 217basis. 12 of 13 |
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249 | 249 | | 218 (c) Student information shall be reported and collected in a manner that allows the |
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250 | 250 | | 219commonwealth to aggregate data by grade level, gender, family income level and race. |
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251 | 251 | | 220 (d) The department or an organization chosen by the department shall collect information |
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252 | 252 | | 221regarding the high school graduation of all participating students. |
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253 | 253 | | 222 Section 74. (a) The department shall annually file with the clerks of the house of |
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254 | 254 | | 223representatives and the senate not later than December 1 a report regarding the program for the |
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255 | 255 | | 224previous fiscal year. The report shall also be posted on the department's website. |
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256 | 256 | | 225 (b) The report shall include, but not be limited to, numbers and demographics of |
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257 | 257 | | 226participating students and numbers of participating schools. The report shall also include: (1) |
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258 | 258 | | 227participating student performance on nationally norm-referenced tests or state-wide assessments, |
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259 | 259 | | 228including aggregate information on long-term performance gains; (2) the level of satisfaction |
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260 | 260 | | 229with the program from parents of participating students; (3) the percentage of funds used for |
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261 | 261 | | 230each type of qualified education expense included enumerated in section 67; and (4) the fiscal |
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262 | 262 | | 231impact to the state and resident school systems of the program, taking into consideration both the |
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263 | 263 | | 232impact on revenue and the impact on expenses. The fiscal savings associated with students |
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264 | 264 | | 233departing public schools shall be explicitly quantified, even if the public school losing the |
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265 | 265 | | 234student or students does not reduce its spending. |
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266 | 266 | | 235 (c) The report shall apply appropriate analytical and behavioral science methodologies to |
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267 | 267 | | 236ensure public confidence in the report. |
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268 | 268 | | 237 (d) The report shall protect the identity of participating students through whatever means |
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269 | 269 | | 238the department deems appropriate, including, but not limited to, by keeping anonymous all |
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270 | 270 | | 239disaggregated data and complying with state and federal guidelines for student privacy. The 13 of 13 |
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271 | 271 | | 240names of participating schools and the number of participating students at each such school shall |
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272 | 272 | | 241be included in the report. |
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273 | 273 | | 242 (e) The state auditor shall audit the program annually. Audit reports, including, but not |
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274 | 274 | | 243limited to, any findings and recommendations by the state auditor, shall be included in the first |
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275 | 275 | | 244annual report submitted by the department following completion of each audit of the program by |
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276 | 276 | | 245the department of the state auditor. Nothing in this subsection shall be construed to limit the |
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277 | 277 | | 246authority of the state auditor to conduct an audit at any time. |
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