ENGR. S. B. NO. 358 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 ENGROSSED SENATE BILL NO. 358 By: Daniels of the Senate and Echols and Conley of the House An Act relating to the Lindsey Nicole Henry Scholarships for Students with Disabilities Program; amending 70 O.S. 2021, Section 13 -101.2, which relates to eligibility for the program; removing requirement for prior public school year attendance; providing certain exemption t o certain students; modifying reference to weights to be used in certain calculation; providing for calculation of scholarship amount if certain private school does not charge tuition; and updating statutory language . BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 70 O.S. 2021, Section 13 -101.2, is amended to read as follows: Section 13-101.2. A. There is hereby created the Lindsey Nicole Henry Scholarships for Students with Disabilities Pro gram. The Lindsey Nicole Henry Scholarships for Students with Disabiliti es Program is established to provide a s cholarship to a private school of choice for students with disa bilities for whom an individualized education program (IEP) in accordance with t he Individuals with Disabilities Education Act (IDEA) or an individualize d service plan pursuant to Section 1 -4-704 of Title 10A of the Oklahoma Statutes has been developed at any time prior to notifying the State ENGR. S. B. NO. 358 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Department of Education of the intent to p articipate in the Program and the IEP is in effect at the time the reques t for a scholarship is received by the S tate Department of Education. Scholarships shall be awarded beginning with the 2010 -2011 school year. B. The parent or legal guardian of a public school student with a disability may exercise their parental option and request to have a Lindsey Nicole Hen ry Scholarship awarded for the child to enroll in and attend a private school in accordance with this section and the scholarship shall be awar ded if: 1. The student has spent the prior school year in attendance at a public school in this state. For purp oses of this section, “prior school year in attendance” means t hat the student was enrolled in and reported by a school district for funding pu rposes during the preceding school year regardless of whether or not the student had an IEP at the time the stude nt was counted for funding purposes. A student who is a child of a member of the United States Armed Forces who transfers to a school in this state from out of state or f rom a foreign country pursuant to a permanent change of station orders of the parent shall be exempt from the requirements of this paragraph but shall be required to meet all other eligibility requirements to participate as provided for in this section. A student who has been provided services under an Individual Family Service Plan throu gh the SoonerStart program and during transition was evaluated and determined to be eligible for school district services shall be ENGR. S. B. NO. 358 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 exempt from the requirements of this par agraph but shall be required to meet all other eligibility requirements to participat e as provided for in this section. A an IEP or individualized service plan as provided for in subsection A of this section ; provided, however, a student who was in out -of-home placement with the Department of Human Services,; who was adopted while in the permanent custody of the Department of Human Services , an international child-placing agency, a child-placing agency in this state, or a federally recogni zed Indian tribe; who is enrolling or is enrolled in a school that exclusively serves students experiencing homelessness; or who was in out-of-home placement with the Office of Juvenile Affairs shall be exempt from the requirements of this paragraph but shall be required to meet all other eligibility requirements to participate as provided for in this section not be required to have an IEP or an individualized servi ce plan; and 2. The parent or legal guard ian has obtained acceptance for admission of the student to a private school that is eligible for the program as provided in subsection H of this section and has notified the State Department of Education of the re quest for a scholarship. Requests to participate in the program made after December 1 shall be granted, but funding for scholarships requested after December 1 shall not be available until the beginning of the next school year. The request shall be through a communication ENGR. S. B. NO. 358 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 directly to the Departm ent in a manner that creates a written or electronic record of the request and the date of receipt of the request. The Department shall notify the school district in which the student is enrolled, if applica ble, upon receipt of the request. For purposes of continuity of educational choice, the scholarship shall remain in force until the student returns to enrolls in 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 remove the student from the private school and place the student in another private school that is eligible for the program as provided in subsection H of this section or place the student in a public school. C. A student shall be eligible for a scholarship if the parent or legal guardian of th e student made a request for a scholarship for the 2010-2011 school year and the student transfe rred to an eligible private school but was subsequently denied a scholarship because the student did not have an IEP in effect on October 1, 2009, but did meet all other eligibility requirements as set fo rth in the Lindsey Nicole Henry Scholarships for Stu dents with Disabilities Program Act. D. A student shall not be eligible for a Lindsey Nico le Henry Scholarship if the student is not having regular and direct contact with the private school teachers at the physical location of the private school. ENGR. S. B. NO. 358 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 E. School districts shall notify the parent or le gal guardian of a public school student with a d isability of all options available pursuant to this section and infor m the parent or legal guardian of the availa bility of information about the program from the State Department of Education through the toll -free telephone number or website. The notifica tion shall be provided with or included in the copy of the “Parents Rights in Special Education: Notice of Procedural Safeguards” document given to parents at least annually or as otherwise required by law. F. 1. Acceptance of a Lindsey Nicole Henry Scho larship shall have the same effect as a parental revocation of consen t to service pursuant to 20 U.S.C., Sections 1414(a)(1)(D) and 1414(C) of the IDEA. 2. Upon acceptance of a Lindsey Nicole Henry Scholarsh ip, the parent or legal guardian shall assume fu ll financial responsibility for the education of the student , including but not limited to transportation to and from the private school. G. If the parent or legal guardian requests a Lindsey Nicole Henry Scholarship and the student is accepted by the pri vate school pending the availability of a space for the student, the parent or legal guardian of the student shal l notify the State Department of Education before entering the private school and before December 1 in order to be eligible for the scholarship during the school year when a space becomes available for the studen t in the private ENGR. S. B. NO. 358 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 school. If notification is made after December 1, payment of the scholarship shall not begin until the next school year . H. 1. To be eligible to participate in the Lin dsey Nicole Henry Scholarships for Students with Disabilities Program , a private school shall notify the State De partment of Education of its intent to participate. The notice shall specify the grade levels and services that the private school has availab le for students with disabilities who are participating in the schola rship program. The State Department of Educ ation shall approve a private school as eligible to participate in the scholarship program upon determination that the private school: a. meets the accreditation requirements set by the State Board of Education o r another accrediting association approved by the State Board of Education. The State Department of Education shall list on its website al l accrediting associations approved by the Board , b. demonstrates fiscal soundness by having been in operation for one (1) school year or providing the State Department of Education with a statement by a certified public accountant confirming that the private school desiring to participate is insured an d 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 ENGR. S. B. NO. 358 Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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 scholarship funds for any quarter may be filed wi th the Department, c. complies with the antidiscrimi nation provisions of 42 U.S.C., Section 2000d, d. meets state and local health and safety l aws and codes, e. will be academically accountable to the parent or legal guardian for meeting the educational ne eds of the student, f. employs or contracts with teachers who hold baccalaureate or highe r degrees, or have at least three (3) years of teachin g experience in public or private schools, or have special skills, kn owledge, or expertise that qualifies them to provide instruction in subjects taught, g. complies with all state laws relating to general regulation of private schools, and h. adheres to the tenets of its published disciplinary procedures prior to the expul sion of a scholarship student. ENGR. S. B. NO. 358 Page 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 2. Upon approval of a private school, the State Depa rtment of Education shall provide on its website all information and material submitted by the private school with its application. I. 1. Lindsey Nicole Henry Scholarship Program participants shall comply with the following: a. the parent or legal guardi an shall select the private school from the schools approved for eligibility pursuant to subsection H o f this section and apply for the admission of the child, b. the parent or legal guardian shall request the scholarship no later than December 1 of the sc hool year during which the scholarship is requested, c. any student participating in the scholarship pr ogram shall attend 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, d. the parent or legal guardian shall ful ly comply with the parental involvement re quirements of the private school, unless excused by the school for il lness or other good cause, and e. upon issuance of a scholarship warrant, the p arent or legal guardian to whom the warrant is made shall restrictively endorse the warrant to the private ENGR. S. B. NO. 358 Page 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 school for deposit into the account of the private school. The parent or legal guardian may not designate any entity or individual associated with t he private school as the attorney in fact for the parent or legal guardian to endorse a warrant. A parent o r legal guardian who fails to comply with this subparagraph shall for feit the scholarship. 2. A participant who fails to comply with this subsectio n forfeits the scholarship. J. Provisions governing payment of a Lindsey Nicole Henry Scholarship shall be as follows: 1. The State Department of Education shall calculate the total cost of all scholarships for all elig ible students in the state. The State Department of Education shall then reserve or retain from the total amount appropriated to the State Boa rd of Education for State Aid purposes and any other revenue availabl e for allocation for State Aid purposes the total cost for all scholarship paym ents; 2. The maximum scholarship granted for an eligible student with disabilities shall be a calculated am ount equivalent to the total State Aid factors for the applicable sch ool year multiplied by the grade and disability weights generated by that for which the student is eligible for the applicable school year. The disability weights used in calculating the scholarship amount shall include all disability weights which correspond to the disabilities i ncluded in ENGR. S. B. NO. 358 Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the multidisciplinary evaluation and eligi bility group summary for the student at the time the request for a scholarship is made by the parent or legal guardian. The maximum scholarship amount shall be calculated by the State Board of Education for each year the student is participating in the sc holarship program; 3. The amount of the scholarship shall be the amount calculated in paragraph 2 of this s ubsection 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 scholars hip amount which may be retained by the State Department of Educat ion as a fee for administrative services r endered. If a private school does not charge tuition, the amount of the scholarship shall be the am ount calculated in paragraph 2 of this subsection minus up to two and one-half percent (2 1/2%) of the scholarship amount which may be retained by the State Department of Ed ucation as a fee for administrative services rendered. The amount of any assessment fee required by the private school and the amount associ ated with providing services and therapies to address the disabilities of the student may be paid from the total amount of the scholarship. The amount of the scholarship shall be prorated to reflect the number of days remaining in the current school year, if the scholarship request is granted after the begi nning of the school year; 4. The State Department of Education shall notify the private school of the amount of the scholarship within ten (10) days after ENGR. S. B. NO. 358 Page 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 receiving the request for a scholarship, when t he total State Aid factors have been determined for t he 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 continued enrollment a nd attendance at the private school. Payment shall b e made by the Department with a n individual warrant made payable to the parent or legal guardian of the student and mailed by the Department to the private sc hool that the parent or legal guardian choose s. The parent or legal guardian shall restrictively endorse the warrant to the priv ate school for deposit into the account of the private school; 5. The State Department of Education shall not be responsible for any additional costs associated with speci al education and related services incurred by the pri vate school for the student including the cost of teachers, equipment, material, and special costs associated with the special education class; 6. The State Department of Education shall establish a tol l- free telephone number or website that provides pare nts or legal guardians and private schools with information about the program; 7. The State Department of E ducation shall require an annual, notarized, sworn compliance statement by participating privat e schools certifying compliance with state laws and s hall retain all records received from a participating private school. The State ENGR. S. B. NO. 358 Page 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Department of Education sha ll post on its website the annual compliance statement for each participating private school; a nd 8. The State Department of Education shall cross -check the list of participating scholarship students with the public school enrollments prior to each schola rship payment to avoid duplication. K. 1. The State Superintendent of Public Instruction shal l deny, suspend, or revoke the participation of a pri vate school in the scholarship program if it is determined that the private school has failed to comply with the provisions of this section. However, in instances in which the noncompliance is correctab le within a reasonable amount of time and in which th e health, safety, or welfare of the students is not threatened, the Superintendent may issue a notice of non compliance which shall provide the private school with a time frame within which to provide evi dence of compliance prior to taking action to suspend or revoke participation in the scholarship program. 2. If the Superintendent intends to deny, suspend, or revoke the participation of a private school in th e scholarship program, the Department shall n otify the private school of the proposed action in writing by certified mail and reg ular mail to the private school’s address of record with the Department. The Department shall also notify any parents or legal guardians of scholarship students attending the private school. The notification shall ENGR. S. B. NO. 358 Page 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 include the reasons for the proposed act ion and notice of the timelines and procedures set forth in this subsection. 3. The private school that is adversely affected by the proposed action shall have fifteen (15 ) days from receipt of the notice of proposed action to file with the Department a r equest for an administrative hearing proceeding pursuant to the Administrativ e Procedures Act. 4. Upon receipt of a request fo r a hearing, the State Board of Education shall commence a hearing within sixty (60) days after th e receipt of the formal written request and enter an order within thirty (30) days after the hearing. 5. The Board may immediately suspend payment of scholar ship funds if it is determined that there is probable cause to believe that there is an imminent t hreat to the health, safety, or welfare of the students or fraudulent activity on the part of the private school. L. No liability shall arise on the part of the state, the State Board of Education, the State Department of Education, or a school district based on the award or use of any scholarship provided through the Lindsey Nicole Henry Scholarships for Stude nts with Disabilities Program. M. 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 ENGR. S. B. NO. 358 Page 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 additional regulation of private schools beyond those reasonably necessary to enforce the requirements expressly set forth in thi s section. N. If the State Department of Education determines that a school district prior to the effective date of this act August 26, 2011, has failed to comply with the provisions of the Lindsey Nicole Henry Scholarships for Students with Disabilities Progra m Act and has failed to make full or partial s cholarship payments for eligibl e students, the Department shall have authority to reduce the amount of State Aid allocated to the school district or require t he school district to make repayment to the Departme nt of State Aid allocations in an amount equal to the amount of scholarship p ayments the school district failed to make. The Department shall make payment to the parent or legal guardian in the amount th e school district failed to make in the manner as pr ovided for in subsection J of this section. O. The State Department of Educa tion shall annually prepare and post on its website a report of Lindsey Nicol e Henry Scholarships for Students with Disabilitie s Program. The annual report shall include, but not be limited to, the following information: 1. The total number and amount of scholarships awarded and reported for each participating private school; 2. The total number of scholarships denied; ENGR. S. B. NO. 358 Page 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 3. The total number and amount of scholarship payments suspended for each participating private school; a nd 4. Data on participating st udents, disaggregated by years of participation in the program, grade level, economically disadvantaged status, racial and ethn ic groups, and disability category. Passed the Senate the 13th day of March, 2023. Presiding Officer of the Senate Passed the House of Representatives the ____ da y of __________, 2023. Presiding Officer of the House of Representatives