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STATE OF OKLAHOMA
1st Session of the 58th Legislature (2021)
COMMITTEE SUBSTITUTE
FOR
HOUSE BILL NO. 2673 By: Echols
COMMITTEE SUBSTITUTE
An Act relating to schools; reallocating State Aid
for certain transfer students; authorizing transfe r
allowance to private school for students enrolled in
certain F-graded schools; providing transfer
allowance requirements; authorizing transfer
allowance for certain time period; requiring certain
financial responsibility; requiring certain notice of
under certain wait list circumstances; defining term;
providing approved private school requirements;
providing transferring student requirements;
providing payments procedure for transfer allowance;
authorizing revocation of private school approval;
eliminating liability; prohibiting certain additional
regulation of private schools; amending 70 O.S. 2011,
Section 18-201.1, as last amended by Section 3,
Chapter 61, O.S.L. 2020 (70 O.S. Supp. 2020, Section
18-201.1), which relates to State Aid; adding certain
student weight for State Aid; amending 70 O.S. 2011,
Section 8-104, as amended by Section 1, Chapter 85,
O.S.L. 2013 (70 O.S. Supp. 2020, Section 8 -104),
which relates to student transfers; adding reason for
emergency transfer; providing for codification; an d
providing an effective date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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SECTION 1. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 8 -114 of Title 70, unless there
is created a duplication in numbering, reads as follows:
If a student transfers to a school district other than the
district of residence pursuant to paragraph 9 of subsection A of
Section 8-104 of Title 70 of the Oklahoma Statutes, upon approval of
the transfer, the receiving district shall claim the student in the
average daily membership for state and federal funding purposes and
shall assume all responsibility for education of the student. For
state funding purposes, the State Department of Education shall
include the appropriate grade level weight and all category weights
to which the pupil is assigned pursuant to the provisions of Section
18-201.1 of Title 70 of the Oklahoma Statutes when calculating State
Aid pursuant to the provisions of Section 18 -200.1 of Title 70 of
the Oklahoma Statutes.
SECTION 2. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 8 -115 of Title 70, unless there
is created a duplication in numbering, reads as follows:
A. If a student is enrolled at resident school that has
received an "F" school grade pursuant to Section 1210.545 of this
title in each of the last three (3) immediately preceding years
intends to transfer to a private school, the parent or legal
guardian of the student m ay exercise his or her parental option and
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request to have a transfer allowance awarded for the child to enroll
in and attend a private school in accordance with this section.
B. A transfer allowance shall be awarded pursuant to this
section if the parent or legal guardian has obtained acceptance for
admission of the student to an approved private school pursuant to
subsection C of this section and has notified the State Department
of Education of the request for a transfer allowance.
1. Requests for a transfer allowance made after December 1
shall be granted, but funding for transfer allowances requested
after December 1 shall not be available until the beginning of the
next school year. The request shall be through a communication
directly to the Depa rtment in a manner that creates a written or
electronic record of the request and shall include the date of
receipt of the request. The Department shall notify the school
district upon receipt of the request.
2. For purposes of continuity of educationa l choice, the
transfer allowance shall remain in force until the student returns
to a public school, graduates from high school or reaches the age of
twenty-two (22), whichever occurs first. At any time, the parent or
legal guardian of the student may rem ove the student from the
private school and place the student in another private school
approved by the State Department of Education as provided in
subsection C of this section or place the student in a public
school.
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3. Upon acceptance of a transfer all owance, the parent or legal
guardian shall assume full financial responsibility for the
education of the student, including, but not limited to,
transportation to and from the private school.
4. If the parent or legal guardian requests a transfer
allowance and the student is accepted by the private school pending
the availability of a space for the student, the parent or legal
guardian of the student shall notify the State Department of
Education before entering the private school and before December 1
in order to be eligible for the transfer allowance during the school
year when a space becomes available for the student in the private
school. If notification is made after December 1, payment of the
transfer allowance shall not begin until the next school year.
C. For purposes of this section, "private school" shall mean a
school approved by the State Department of Education. The State
Department of Education shall approve a private school upon request
by the private school and determination that the priv ate school:
1. Meets the accreditation requirements set by the State Board
of Education or another accrediting association approved by the
State Board of Education. The State Department of Education shall
list on its website all accrediting associations approved by the
Board;
2. Demonstrates fiscal soundness by having been in operation
for one (1) school year or providing the State Department of
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Education with a statement by a certified public accountant
confirming that the private school is insured and the owner or
owners have sufficient capital or credit to operate the school for
the upcoming year by serving the number of students anticipated with
expected revenues from tuition and other sources that may be
reasonably expected. In lieu of a statement, a surety bond or
letter of credit for the amount equal to the transfer allowance
funds for any quarter may be filed with the Department;
3. Complies with the antidiscrimination provisions of 42
U.S.C., Section 2000d;
4. Meets state and local health and s afety laws and codes;
5. Will be academically accountable to the parent or legal
guardian for meeting the educational needs of the student;
6. Employs or contracts with teachers who hold baccalaureate or
higher degrees, or have at least three (3) years o f teaching
experience in public or private schools, or have special skills,
knowledge or expertise that qualifies them to provide instruction in
subjects taught;
7. Complies with all state laws relating to general regulation
of private schools; and
8. Adheres to the tenets of its published disciplinary
procedures prior to the expulsion of a student.
D. Upon approval of a private school, the State Department of
Education shall provide on its website all information and material
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submitted by the private sc hool with its application. Students
transferring pursuant to this section shall comply with the
following:
1. The parent or legal guardian shall select the private school
from the schools approved pursuant to subsection C of this section
and apply for the admission of the child;
2. The parent or legal guardian shall request the transfer
allowance no later than December 1 of the school year during which
the transfer allowance is requested;
3. Any student receiving a transfer allowance pursuant to this
section shall attend the school throughout the school year, unless
excused by the school for illness or other good cause, and shall
comply fully with the code of conduct for the school;
4. The parent or legal guardian shall fully comply with the
parental involvement requirements of the private school, unless
excused by the school for illness or other good cause; and
5. Upon issuance of a transfer allowance, the parent or legal
guardian to whom the allowance is made shall restrictively endorse
the funds to the private school for deposit into the account of the
private school. The parent or legal guardian may not designate any
entity or individual associated with the private school as the
attorney in fact for the parent or legal guardian to endorse an
allowance. A parent or legal guardian who fails to comply with this
paragraph shall forfeit the transfer allowance.
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E. Provisions governing payment of a transfer allowance shall
be as follows:
1. The State Department of Education shall calculate the total
cost of all transfer allowances for all eligible students in the
state. The State Department of Education shall then reserve or
retain from the total amount appropriated to the State Board of
Education for State Aid purposes and any other revenue available fo r
allocation for State Aid purposes the total cost for all transfer
allowance payments;
2. The maximum transfer allowance granted for an eligible
student shall be a calculated amount equivalent to the total State
Aid factors for the applicable school year multiplied by the grade
and disability weights, if applicable, generated by that student for
the applicable school year. The maximum transfer allowance amount
shall be calculated by the State Board of Education for each year
the student receives a transf er allowance;
3. The amount of the transfer allowance shall be the amount
calculated in paragraph 2 of this subsection or the amount of
tuition and fees for the private school, whichever is less, minus up
to two and one-half percent (2 1/2%) of the transf er allowance
amount which may be retained by the State Department of Education as
a fee for administrative services rendered. The amount of the
transfer allowance shall be prorated to reflect the number of days
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remaining in the current school year, if the transfer allowance
request is granted after the beginning of the school year;
4. The State Department of Education shall notify the private
school of the amount of the transfer allowance within ten (10) days
after receiving the request for a transfer all owance, when the total
State Aid factors have been determined for the current fiscal year.
The initial payment shall be made after the Department verifies
admission acceptance and enrollment. Quarterly payments shall be
made upon verification of continue d enrollment and attendance at the
private school. Payment shall be made by the Department with an
individual warrant made payable to the parent or legal guardian of
the student and mailed by the Department to the private school that
the parent or legal g uardian chooses. The parent or legal guardian
shall restrictively endorse the warrant to the private school for
deposit into the account of the private school;
5. The State Department of Education shall require an annual,
notarized, sworn compliance stat ement by participating private
schools certifying compliance with state laws and shall retain all
records received from a participating private school. The State
Department of Education shall post on its website the annual
compliance statement for each pa rticipating private school; and
6. The State Department of Education shall cross -check the list
of participating students with the public school enrollments prior
to each transfer allowance payment to avoid duplication.
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F. The State Board of Education sh all deny, suspend or revoke
the approval of a private school granted in subsection C of this
section if it is determined that the private school has failed to
comply with the provisions of this section.
G. No liability shall arise on the part of the sta te, the State
Board of Education, the State Department of Education or a school
district based on the award or use of any transfer allowance
provided pursuant to this section.
H. The inclusion of private schools within options available to
public school students in Oklahoma shall not expand the regulatory
authority of the state or any school district to impose any
additional regulation of private schools beyond those reasonably
necessary to enforce the requirements expressly set forth in this
section.
SECTION 3. AMENDATORY 70 O.S. 2011, Section 18 -201.1, as
last amended by Section 3, Chapter 61, O.S.L. 2020 (70 O.S. Supp.
2020, Section 18-201.1), is amended to read as follows:
Section 18-201.1 A. Beginning with the 2020 -21 school year,
and each school year thereafter, the weighted membership of a school
district for calculation of Foundation Aid purposes pursuant to
paragraph 1 of subsection D of Section 18 -200.1 of this title shall
be the sum of the weighted pupil grade level cal culation, the
weighted pupil category calculation, the weighted district
calculation and the weighted teacher experience and degree
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calculation. The weighted membership of a school district for
calculation of Salary Incentive Aid purposes pursuant to para graph 3
of subsection D of Section 18 -200.1 of this title shall be the sum
of the weighted pupil grade level calculation, the weighted pupil
category calculation, the weighted district calculation and the
weighted teacher experience and degree calculation.
B. The weighted calculations provided for in subsection A of
this section shall be based on the highest weighted average daily
membership of the first nine (9) weeks of the current school year,
the preceding school year or the second preceding school yea r of a
school district, unless otherwise specified. The highest of the
three (3) weighted average daily memberships shall be used
consistently in all of the calculations; however, the weighted
calculation for a statewide virtual charter school experiencin g a
significant decline in membership shall be based on the first nine
(9) weeks of the current school year and not on the preceding school
year or the second preceding school year for the statewide virtual
charter school. For purposes of this subsection, "significant
decline in membership" means equal to or greater than a fifteen
percent (15%) decrease in average daily membership from the
preceding school year to the average daily membership of the first
nine (9) weeks of the current school year. The ave rage daily
membership data used for all calculations in paragraphs 1, 2, 3 and
4 of this subsection shall be the same as used in the calculation of
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the State Aid Formula. The weighted calculations provided for in
subsection A of this section shall be dete rmined as follows:
1. The weighted pupil grade level calculation shall be
determined by taking the highest average daily membership and
assigning weights to the pupils according to grade attended as
follows:
GRADE LEVEL WEIGHT
a. Half-day early childhood programs .7
b. Full-day early childhood programs 1.3
c. Half-day kindergarten 1.3
d. Full-day kindergarten 1.5
e. First and second grade 1.351
f. Third grade 1.051
g. Fourth through sixth grade 1.0
h. Seventh through twelfth grade 1.2
i. Out-of-home placement 1.50
Multiply the membership of each subparagraph of this paragraph by
the weight assigned to such subparagraph of this paragraph and add
the totals together to determine the weighted pupil grade level
calculation for a school district. Determination of the pupils
eligible for the early childhood program weight shall be pursuant to
the provisions of Section 1 -114 of this title. The pupils eligible
for the out-of-home placement pupil weight shall be students who are
not residents of the school district in which they are receiving
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education pursuant to the provisions of subsection D of Section 1 -
113 of this title. Such weight may be claimed by the district
providing educational services to such student for the days that
student is enrolled in that distr ict. If claimed, the out -of-home
placement weight shall be in lieu of the pupil grade level and any
pupil category weights for that student. Provided, if a student
resides in a juvenile detention center that is restricted to less
than twelve (12) beds, t he out-of-home placement pupil weight for
such students shall be calculated as follows: for a center with six
(6) beds - 3.0; for a center with eight (8) beds - 2.3 and for a
center with ten (10) beds - 1.80.
2. The weighted pupil category calculation sha ll be determined
by assigning a weight to the pupil category as follows:
CATEGORY WEIGHT
a. Visual Impairment 3.8
b. Specific Learning Disability .4
c. Deafness or Hearing Impairment 2.9
d. Deaf-Blindness 3.8
e. Intellectual Disability 1.3
f. Emotional Disturbance 2.5
g. Gifted .34
h. Multiple Disabilities 2.4
i. Orthopedic Impairment 1.2
j. Speech or Language Impairment .05
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k. Bilingual .25
l. Special Education Summer Program 1.2
m. Economically Disadvantaged .25
n. Optional Extended School Year
Program As determined by
the State Board
of Education
o. Autism 2.4
p. Traumatic Brain Injury 2.4
q. Other Health Impairment 1.2
r. Enrolled at a school that has
received an "F" school grade
pursuant to Section 1210.545
of this title in each of the
last three (3) immediately
preceding years 1.1
Except as otherwise provided, multiply the number of pupils approved
in the school year with the highest average daily membership in each
category by the weight assigned to such category and add the totals
together to determine the weighted pupil category calculation for a
school district. For the 1996 -97 school year, the number to be
multiplied by the weight assigned to the gifted category in
subparagraph g of this paragraph shall be the lesser of (1) the sum
of the number of students who scored in the top three percent (3%)
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on any national standardized test of intellectual ability plus the
number of students identified as gifted pursuant to subparagraphs a
through d of paragraph 1 of Section 1210.301 of this title or (2 )
the sum of the number of students who scored in the top three
percent (3%) on any national standardized test of intellectual
ability plus eight percent (8%) of the total average daily
membership of the school district for the preceding school year.
For the 1997-98 school year and subsequent school years, the number
to be multiplied by the weight assigned to the gifted category in
subparagraph g of this paragraph shall be the lesser of (1) the sum
of the number of students who scored in the top three perc ent (3%)
on any national standardized test of intellectual ability plus the
number of students identified as gifted pursuant to subparagraphs a
through d of paragraph 1 of Section 1210.301 of this title, or (2)
the sum of the number of students who scored in the top three
percent (3%) on any national standardized test of intellectual
ability plus eight percent (8%) of the total average daily
membership of the school district for the first nine (9) weeks of
the school year.
3. The weighted district calculat ion shall be determined by
determining the calculations for each school district for both the
small school district formula and the district sparsity - isolation
formula, applying whichever is the greater of the calculations of
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the two formulas and then ap plying the restrictions pursuant to
subparagraph c of this paragraph.
a. Small school district formula: 529 minus the average
daily membership divided by 529 times .2 times total
average daily membership.
The small school district formula calculation shal l apply
only to school districts whose highest average daily
membership is less than 529 pupils. School districts which
are consolidated or annexed after July 1, 2003, pursuant to
the Oklahoma School Voluntary Consolidation and Annexation
Act shall have the weighted district size calculation for
the three (3) school years following the fiscal year in
which such consolidation occurred calculated to be the sum
of the individual consolidated districts computed as if the
consolidation had not taken place. The reafter, any such
district which is consolidated pursuant to the Oklahoma
School Voluntary Consolidation and Annexation Act shall not
qualify for the weighted district calculation unless the
district can satisfy the specifications herein. Subject to
the provisions of subparagraph c of this paragraph, the
resulting number shall be counted as additional students
for the purpose of calculating State Aid.
b. District sparsity - isolation formula:
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The district sparsity - isolation formula calculation shall
apply only to school districts:
(1) whose total area in square miles is greater than
the average number of square miles for all school
districts in this state; and
(2) whose areal density is less than one -fourth (1/4)
of the state average areal density. Areal
density shall be determined by dividing the
school district's average daily membership by the
school district's total area in square miles.
The district sparsity - isolation formula calculation shall
be calculated as follows:
The school district student c ost factor multiplied by
the school district area factor. The resulting
product shall be multiplied by the school district's
average daily membership. Subject to the provisions
of subparagraph c of this paragraph, the resulting
number shall be counted as additional students for the
purpose of calculating State Aid.
The school district student cost factor shall be calculated
as follows:
The school district's average daily membership shall
be categorized into the following grade level groups
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and applied to the appropriate formulas as computed
below:
Grade Level Group
Grades K-5 Divide 74 by the sum of the Grade
Level ADM plus 23,
add .85 to the quotient, then
multiply the sum by the Grade
Level ADM.
Grades 6-8 Divide 122 by the sum of the Grade
Level ADM plus 133,
add .85 to the quotient, then
multiply the sum by the Grade
Level ADM.
Grades 9-12 Divide 292 by the sum of the Grade
Level ADM plus 128,
add .78 to the quotient, then
multiply the sum by the Grade
Level ADM.
The sum of the grade level group's avera ge daily
membership shall be divided by the school district's
average daily membership. The number one (1.0) shall
be subtracted from the resulting quotient.
The school district area cost factor shall be calculated as
follows:
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Subtract the state average d istrict area from the
district area, then divide the remainder by the state
average district area;
however, the district area cost factor shall not exceed one
(1.0).
The State Board of Education shall define geographical barriers
whose location in a school district would inhibit the district from
consolidation or annexation. The Board shall make available an
application process, review applications, and for districts the
Board deems necessary allow additional square miles to be used for
the purposes of calculations used for the weighted district sparsity
- isolation formula. Provided, that the additional square miles
allowed for geographical barriers shall not exceed thirty percent
(30%) of the district's actual size.
c. State Aid funds which a district is calculated to
receive as a result of the weighted district
calculation shall be restricted as follows:
If, after the weighted district calculation is
applied, the district's projected per pupil
revenue exceeds one hundred fifty percent (150%)
of the projected state average per pupil revenue,
then the district's State Aid shall be reduced by
an amount that will restrict the district's
projected per pupil revenue to one hundred fifty
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percent (150%) of the projected state average per
pupil revenue. Provided, in applying the
restriction provided in this division, the
district's State Aid shall not be reduced by an
amount greater than by the amount of State Aid
which was generated by the weighted district
calculation.
The July calculation of the projected per p upil
revenue shall be determined by dividing the highest of
the district's preceding two (2) years average daily
membership (ADM) as weighted by the pupil grade level,
the pupil category, the district and the teacher
experience degree index calculations fo r projected
State Aid into the district's projected total revenues
including projected funds for the State Aid Formula
for the preceding year, net assessed valuation for the
preceding calendar year times thirty -nine (39) mills,
county revenues excluding th e county four-mills
revenues for the second preceding year, other state
appropriations for the preceding year and the
collections for the preceding year of state
apportionment, motor vehicle revenue, gross production
tax and R.E.A. tax.
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The December calculation of the projected per pupil
revenue shall be determined by dividing the highest of
the district's first nine (9) weeks of the current
school year or the two (2) preceding school years
average daily membership (ADM) as weighted by the
pupil grade level, the pupil category, the district
and the teacher experience degree index calculations
for projected State Aid into the district's projected
total revenues including funds for the December
calculation of the current year State Aid Formula, net
assessed valuation for the current calendar year times
thirty-nine (39) mills, county revenues excluding the
county four-mills revenue for the preceding year,
other state appropriations for the preceding year and
the collections for the preceding year of state
apportionment, motor vehicle revenue, gross production
tax and R.E.A. tax.
The district's projected total revenues for each
calculation shall exclude the following collections
for the second preceding year: federal revenue,
insurance loss payments, reimbursement s, recovery of
overpayments and refunds, unused reserves, prior
expenditures recovered, prior year surpluses, and
other local miscellaneous revenues.
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4. The weighted teacher experience and degree calculation shall
be determined in accordance with the teac her experience and degree
index. The State Department of Education shall determine an index
for each state teacher by using data supplied in the school
district's teacher personnel reports of the preceding year and
utilizing the index as follows:
TEACHER EXPERIENCE - DEGREE INDEX
EXPERIENCE BACHELOR'S MASTER'S DOCTOR'S
DEGREE DEGREE DEGREE
0 - 2 .7 .9 1.1
3 - 5 .8 1.0 1.2
6 - 8 .9 1.1 1.3
9 - 11 1.0 1.2 1.4
12 - 15 1.1 1.3 1.5
Over 15 1.2 1.4 1.6
The school district teacher index for each school district s hall
be determined by subtracting the weighted average state teacher from
the weighted average district teacher. Multiply the school district
teacher index if greater than zero by .7 and then multiply that
product by the sum of the district's weighted pup il grade level
calculation provided in paragraph 1 of this subsection and the
weighted pupil category calculation provided in subparagraph m of
paragraph 2 of this subsection to determine the weighted teacher
experience and degree calculation.
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SECTION 4. AMENDATORY 70 O.S. 2011, Section 8 -104, as
amended by Section 1, Chapter 85, O.S.L. 2013 (70 O.S. Supp. 2020,
Section 8-104), is amended to read as follows:
Section 8-104. A. In addition to the transfer process provided
in Section 8-103 of this title, students may be transferred on an
emergency basis. A written application for an emergency transfer
designating the district to which the transfer is desired shall be
made by the parent and filed with the superintendent of the
receiving school district. On an adequate showing of emergency the
superintendent of the receiving school district may make and order a
transfer, subject to approval by the State Board of Education. An
emergency shall include only:
1. The destruction or parti al destruction of a school building;
2. The inability to offer the subject a pupil desires to
pursue, if the pupil becomes a legal resident of a school district
after February 1 of the school year immediately prior to the school
year for which the pupil i s seeking the transfer;
3. A catastrophic medical problem of a student, which for
purposes of this section shall mean an acute or chronic serious
illness, disease, disorder or injury which has a permanently
detrimental effect on the body's system or rende rs the risk
unusually hazardous;
4. The total failure of transportation facilities;
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5. The concurrence of both the sending and receiving school
districts;
6. The unavailability of remote or on -site Internet-based
instruction by course title in the distr ict of residence for a
student identified as in need of drop -out recovery or alternative
education services, provided such student was enrolled at any time
in a public school in this state during the previous three (3)
school years;
7. The unavailability of a specialized deaf education program
for a student who is deaf or hearing impaired; or
8. When a student has been the victim of harassment,
intimidation and bullying as defined in Section 24 -100.3 of this
title, upon verification by the receiving schoo l district that the
student has been the victim of harassment, intimidation or bullying
and that the sending school district was notified of the incident or
incidents prior to the filing of the application for transfer ; or
9. Enrollment at a resident scho ol that has received an "F"
school grade pursuant to Section 1210.545 of this title in each of
the last three (3) immediately preceding years prior to the year the
student submits the emergency transfer application .
B. An emergency transfer previously mad e may be canceled, with
the concurrence of the board of the receiving district and the
parent.
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SECTION 5. This act shall become effective November 1, 2021.
58-1-7699 AMM 02/23/21