A.B. 39 - *AB39* ASSEMBLY BILL NO. 39–COMMITTEE ON EDUCATION (ON BEHALF OF THE STATE PUBLIC CHARTER SCHOOL AUTHORITY) PREFILED NOVEMBER 19, 2024 ____________ Referred to Committee on Education SUMMARY—Revises provisions governing charter schools. (BDR 34-259) FISCAL NOTE: Effect on Local Government: May have Fiscal Impact. Effect on the State: Yes. CONTAINS UNFUNDED MANDATE (§ 4) (NOT REQUESTED BY AFFECTED LOCAL GOVERNMENT) ~ EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. AN ACT relating to charter schools; revising provisions governing the membership of the State Public Charter School Authority; revising provisions establishing the local educational agency that is responsible for performing certain functions with respect to charter schools; clarifying requirements for certain information to be included in an application to renew the charter contract of a charter school; and providing other matters properly relating thereto. Legislative Counsel’s Digest: Existing law creates the State Public Charter School Authority for the purpose 1 of, among other duties: (1) sponsoring charter schools; and (2) providing oversight 2 to the charter schools it sponsors. (NRS 388A.150) Existing law further establishes 3 that the Authority consists of nine members, the manner of appointing those 4 members and the qualifications of those members. (NRS 388A.153) Section 1 of 5 this bill provides that the nine members appointed under existing law are the voting 6 members of the Authority and that the voting members must be at least 21 years of 7 age. Section 1 also establishes the requirements governing the members of the 8 Authority that apply to all members, including voting and nonvoting members, and 9 the requirements that apply only to voting members. Section 2 of this bill makes a 10 conforming change to clarify that only voting members of the Authority are 11 required to complete certain training required by existing law. (NRS 388A.155) 12 Section 3 of this bill makes a conforming change to clarify that a majority of the 13 – 2 – - *AB39* voting members, rather than all members: (1) is authorized to call a meeting of the 14 Authority; and (2) constitutes a quorum to enable the Authority to exercise its 15 power and authority. (NRS 388A.156) 16 Under existing law, the number of members of the Authority who may be 17 teachers or administrators employed by a charter school or charter management 18 organization in this State is limited to two members. (NRS 388A.153) Section 1 19 revises the qualifications for a teacher or administrator employed by a charter 20 school or charter management organization to be eligible to serve as a member of 21 the Authority by: (1) removing the requirement that the charter school or charter 22 management organization employing the teacher or administrator must not have 23 ever received an annual rating established as one of the three lowest ratings of 24 performance pursuant to the statewide system of accountability for public schools; 25 and (2) instead, requiring that the charter school at which the teacher or 26 administrator is employed must be in good standing according to the performance 27 framework set forth in its charter contract. 28 Existing law prohibits a member of the Authority, other than a member who is 29 a teacher or administrator employed by a charter school or charter management 30 organization, from being actively engaged in business with or holding certain 31 interests relating to charter schools. (NRS 388A.153) Under existing law, a charter 32 school is defined as a charter school organized under the laws of this State. (NRS 33 385.007) Section 1 clarifies that the prohibition against a member of the Authority 34 being actively engaged in business with or holding certain interests relating to 35 charter schools only prohibits engaging in business with or holding certain interests 36 relating to a charter school in this State. 37 Existing law deems the Authority to be a local educational agency that is 38 responsible under state and federal law for: (1) providing a free and appropriate 39 public education to each pupil enrolled in a charter school sponsored by the 40 Authority; (2) the provision of special education and related services by a charter 41 school; and (3) directing money available from certain federal and state grant 42 programs to charter schools sponsored by the Authority, a college or university 43 within the Nevada System of Higher Education or a city or county. (NRS 44 388A.159) Section 4 of this bill removes the requirement for a college or university 45 within the System, or a city or county, that sponsors a charter school to enter into 46 an agreement with the Authority for the provision of any necessary functions of a 47 local educational agency. Instead, section 4 deems a college or university within 48 the System, or a city or county, to be a local educational agency, thereby making 49 the college or university, or city or county, responsible for performing the functions 50 of a local educational agency under state and federal law for the charter schools it 51 sponsors. 52 Under existing law, the governing body of a charter school seeking to renew its 53 charter contract is required to submit an application for renewal to the sponsor of 54 the charter school on or before October 15 of the final school year in which the 55 charter school is authorized to operate. Existing law requires the application for 56 renewal to include, without limitation, any information or data that: (1) the 57 governing body of the charter school determines supports the renewal of the charter 58 contract; and (2) is in addition to the information contained in the required 59 performance report previously submitted to the governing body by the sponsor and 60 any written response to that report. (NRS 388A.285) Section 5 of this bill clarifies 61 that any information or data to support the renewal of the charter contract is 62 information or data other than the previously submitted performance report and any 63 written response to that report. 64 – 3 – - *AB39* THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. NRS 388A.153 is hereby amended to read as 1 follows: 2 388A.153 1. The State Public Charter School Authority 3 consists of nine voting members. The voting membership of the 4 State Public Charter School Authority consists of: 5 (a) Two members appointed by the Governor in accordance with 6 subsection 2; 7 (b) Two members, who must not be Legislators, appointed by 8 the Majority Leader of the Senate in accordance with subsection 2; 9 (c) Two members, who must not be Legislators, appointed by 10 the Speaker of the Assembly in accordance with subsection 2; 11 (d) Two members appointed by the State Board of Education; 12 and 13 (e) One member appointed by the Charter School Association of 14 Nevada or its successor organization. 15 2. The Governor, the Majority Leader of the Senate, the 16 Speaker of the Assembly and the State Board of Education shall 17 ensure that the voting membership of the State Public Charter 18 School Authority: 19 (a) Includes persons with a demonstrated understanding of 20 charter schools and a commitment to using charter schools as a way 21 to strengthen public education in this State; 22 (b) Includes a parent or legal guardian of a pupil enrolled in a 23 charter school in this State; 24 (c) Includes persons with specific knowledge of: 25 (1) Issues relating to elementary and secondary education; 26 (2) School finance or accounting, or both; 27 (3) Management practices; 28 (4) Assessments required in elementary and secondary 29 education; 30 (5) Educational technology; and 31 (6) The laws and regulations applicable to charter schools; 32 (d) Insofar as practicable, reflects the ethnic and geographical 33 diversity of this State; and 34 (e) Insofar as practicable, consists of persons who are experts on 35 best practices for authorizing charter schools and developing and 36 operating high-quality charter schools and charter management 37 organizations. 38 3. Each member of the State Public Charter School Authority 39 must be a resident of this State. Each voting member of the State 40 Public Charter School Authority must be at least 21 years of age. 41 – 4 – - *AB39* 4. Except as otherwise provided in subsection 5, a member of 1 the State Public Charter School Authority must not be actively 2 engaged in business with or hold a direct pecuniary interest relating 3 to charter schools [,] in this State, including, without limitation, 4 serving as a vendor, contractor, employee, officer, director or 5 member of the governing body of a charter school [,] in this State, 6 an educational management organization providing support or 7 operations to a charter school in this State or a charter 8 management organization [.] operating a charter school in this 9 State. 10 5. Not more than two members of the State Public Charter 11 School Authority may be teachers or administrators who are 12 employed by a charter school or charter management organization in 13 this State. For a teacher or administrator employed by a charter 14 school or charter management organization to be eligible to serve as 15 a member of the State Public Charter School Authority [, the] : 16 (a) The charter school [or charter management organization] 17 which employs the teacher or administrator must [not have ever 18 received an annual rating established as one of the three lowest 19 ratings of performance pursuant to the statewide system of 20 accountability for public schools.] be in good standing according to 21 the performance framework set forth in its charter contract 22 pursuant to NRS 388A.270; or 23 (b) If the teacher or administrator is employed by a charter 24 management organization, the charter school at which the teacher 25 or administrator is employed must be in good standing according 26 to the performance framework set forth in its charter contract 27 pursuant to NRS 388A.270. 28 6. After the initial terms, the term of each member of the State 29 Public Charter School Authority is 3 years, commencing on July 1 30 of the year in which he or she is appointed. A vacancy in the 31 membership of the State Public Charter School Authority must be 32 filled for the remainder of the unexpired term in the same manner as 33 the original appointment. A member shall continue to serve on the 34 State Public Charter School Authority until his or her successor is 35 appointed. 36 7. The voting members of the State Public Charter School 37 Authority shall select a Chair and Vice Chair from among [its] the 38 voting members. After the initial selection of those officers, each of 39 those officers holds the position for a term of 2 years commencing 40 on July 1 of each odd-numbered year. If a vacancy occurs in the 41 Chair or Vice Chair, the vacancy must be filled in the same manner 42 as the original selection for the remainder of the unexpired term. 43 8. Each voting member of the State Public Charter School 44 Authority is entitled to receive: 45 – 5 – - *AB39* (a) For each day or portion of a day during which he or she 1 attends a meeting of the State Public Charter School Authority a 2 salary of not more than $80, as fixed by the State Public Charter 3 School Authority; and 4 (b) For each day or portion of a day during which he or she 5 attends a meeting of the State Public Charter School Authority or is 6 otherwise engaged in the business of the State Public Charter School 7 Authority the per diem allowance and travel expenses provided for 8 state officers and employees generally. 9 Sec. 2. NRS 388A.155 is hereby amended to read as follows: 10 388A.155 Each voting member of the State Public Charter 11 School Authority must complete training: 12 1. At the time the voting member is appointed to the State 13 Public Charter School Authority, on the responsibilities of the 14 voting member and any framework used by the State Public Charter 15 School Authority in performing its duties; and 16 2. Each year, on the evaluation of applications to form charter 17 schools and the governance of charter schools. 18 Sec. 3. NRS 388A.156 is hereby amended to read as follows: 19 388A.156 1. The members of the State Public Charter School 20 Authority shall meet throughout the year at the times and places 21 specified by a call of the Chair or a majority of the voting members. 22 2. Five voting members of the State Public Charter School 23 Authority constitute a quorum, and a quorum may exercise all the 24 power and authority conferred on the State Public Charter School 25 Authority. 26 Sec. 4. NRS 388A.159 is hereby amended to read as follows: 27 388A.159 1. The State Public Charter School Authority , a 28 college or university within the Nevada System of Higher 29 Education that sponsors a charter school or a city or county that 30 sponsors a charter school is hereby deemed a local educational 31 agency for all purposes [,] for any charter school that it sponsors, 32 including, without limitation: 33 (a) The provision of a free and appropriate public education to 34 each pupil enrolled in a charter school ; [sponsored by the State 35 Public Charter School Authority;] 36 (b) The provision of special education and related services 37 provided by a charter school ; [sponsored by the State Public 38 Charter School Authority;] and 39 (c) Directing the proportionate share of any money available 40 from federal and state categorical grant programs to charter schools 41 [which are sponsored by the State Public Charter School Authority, 42 a college or university within the Nevada System of Higher 43 Education or a city or county] that are eligible to receive such 44 money. 45 – 6 – - *AB39* 2. [A college or university within the Nevada System of Higher 1 Education or a city or county that sponsors a charter school shall 2 enter into an agreement with the State Public Charter School 3 Authority for the provision of any necessary functions of a local 4 educational agency.] A charter school that receives money pursuant 5 to such a grant program shall comply with any applicable reporting 6 requirements to receive the grant. 7 3. As used in this section, “local educational agency” has the 8 meaning ascribed to it in 20 U.S.C. § 7801(30)(A). 9 Sec. 5. NRS 388A.285 is hereby amended to read as follows: 10 388A.285 1. On or before June 30 immediately preceding the 11 final school year in which a charter school is authorized to operate 12 pursuant to its charter contract, the sponsor of the charter school 13 shall submit to the governing body of the charter school a written 14 report summarizing the performance of the charter school and each 15 facility that constitutes the charter school during the term of the 16 charter contract, including, without limitation: 17 (a) A summary of the performance of the charter school based 18 upon the terms of the charter contract and the requirements of this 19 chapter; 20 (b) An identification of any deficiencies relating to the 21 performance of the charter school which the sponsor has determined 22 may result in nonrenewal of the charter contract if the deficiencies 23 remain uncorrected; 24 (c) Requirements for the application for renewal of the charter 25 contract submitted to the sponsor pursuant to subsection 3; and 26 (d) The criteria that the sponsor will apply in making a 27 determination on the application for renewal based upon the 28 performance framework for the charter school and the requirements 29 of this chapter. Such criteria must include, without limitation, the 30 performance indicators, measures and metrics included in the 31 performance framework. 32 2. The governing body of a charter school may submit a 33 written response to the sponsor of the charter school concerning the 34 performance report prepared by the sponsor pursuant to subsection 35 1, which may include any revisions or clarifications that the 36 governing body seeks to make to the report. 37 3. If a charter school seeks to renew its charter contract, the 38 governing body of the charter school shall submit an application for 39 renewal to the sponsor of the charter school on or before October 15 40 of the final school year in which the charter school is authorized to 41 operate pursuant to its charter contract. The application for renewal 42 must include, without limitation: 43 – 7 – - *AB39* (a) The requirements for the application identified by the 1 sponsor in the performance report prepared by the sponsor pursuant 2 to subsection 1; 3 (b) A description of the academic, financial and organizational 4 vision and plans for the charter school for the next charter term; 5 (c) Any information or data that the governing body of the 6 charter school determines supports the renewal of the charter 7 contract [in addition to] other than the information contained in the 8 performance report prepared by the sponsor pursuant to subsection 1 9 and any response submitted by the governing body pursuant to 10 subsection 2; and 11 (d) A description of any improvements to the charter school 12 already undertaken or planned. 13 4. The sponsor of a charter school shall consider the 14 application for renewal of the charter contract at a meeting held in 15 accordance with chapter 241 of NRS. The sponsor shall provide 16 written notice to the governing body of the charter school 17 concerning its determination on the application for renewal of the 18 charter contract not more than 60 days after receipt of the 19 application for renewal from the governing body. The determination 20 of the sponsor must be based upon: 21 (a) The criteria of the sponsor for the renewal of charter 22 contracts; and 23 (b) Evidence of the performance of the charter school during the 24 term of the charter contract in accordance with the performance 25 framework for the charter school. 26 5. The sponsor of the charter school shall: 27 (a) Make available to the governing body of the charter school 28 the data used in making the renewal decision; and 29 (b) Post a report on the Internet website of the sponsor 30 summarizing the decision of the sponsor on the application for 31 renewal and the basis for its decision. 32 6. A charter contract may be renewed for a term of not less 33 than 3 years or more than 10 years. 34 Sec. 6. The provisions of NRS 354.599 do not apply to any 35 additional expenses of a local government that are related to the 36 provisions of this act. 37 Sec. 7. This act becomes effective upon passage and approval. 38 H