4 | 3 | | |
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5 | 4 | | SENATE BILL 1019 |
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6 | 5 | | By White |
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7 | 6 | | |
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8 | 7 | | |
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9 | 8 | | SB1019 |
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10 | 9 | | 003170 |
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11 | 10 | | - 1 - |
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12 | 11 | | |
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13 | 12 | | AN ACT to amend Chapter __ of the Public Acts of 2025 |
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14 | 13 | | (1st Ex. Sess. – SB 6001 / HB 6004); and |
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15 | 14 | | Tennessee Code Annotated, Title 49, Chapter 13 |
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16 | 15 | | and Title 49, Chapter 3, relative to education |
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17 | 16 | | funding for public charter schools. |
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18 | 17 | | |
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19 | 18 | | BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE: |
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20 | 19 | | SECTION 1. Tennessee Code Annotated, Section 49-3-103(d)(3), is amended by |
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21 | 20 | | adding the language "or public charter school" after the language "Explain how an LEA". |
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22 | 21 | | SECTION 2. Tennessee Code Annotated, Section 49-3-105, is amended by deleting |
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23 | 22 | | subsection (d) and substituting instead the following: |
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24 | 23 | | (d) |
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25 | 24 | | (1) The funding that a student generates pursuant to this section must be |
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26 | 25 | | administered and allocated by the department to the LEA in which the student is |
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27 | 26 | | a member for the duration of the student's membership in the LEA, except that: |
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28 | 27 | | (A) The funding a student generates pursuant to subdivision |
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29 | 28 | | (c)(3) must not be allocated to the LEA, but must be maintained by the |
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30 | 29 | | department; and |
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31 | 30 | | (B) The state share of the funding a public charter school student |
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32 | 31 | | generates for an LEA pursuant to this section must not be allocated to the |
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33 | 32 | | LEA, but must be allocated directly to the public charter school. |
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34 | 33 | | (2) A student's membership in an LEA begins on the first day of the |
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35 | 34 | | student's membership and ends on the last day of the student's membership in |
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36 | 35 | | the LEA, except that the membership of a student who graduates early is |
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37 | 36 | | extended to the student's expected graduation date for funding purposes. |
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38 | 37 | | |
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39 | 38 | | |
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40 | 39 | | - 2 - 003170 |
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41 | 40 | | |
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42 | 41 | | SECTION 3. Tennessee Code Annotated, Section 49-3-316, is amended by adding the |
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43 | 42 | | language "or public charter school" after the language "LEA" wherever it appears in subsection |
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44 | 43 | | (c) and by adding the following as a new subsection: |
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45 | 44 | | (f) |
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46 | 45 | | (1) The commissioner, in consultation with the comptroller of the |
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47 | 46 | | treasury, shall develop, revise as necessary, and prescribe a standardized |
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48 | 47 | | system of financial accounting and reporting for all public charter schools, |
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49 | 48 | | including appropriate forms or other documentation. This system must be |
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50 | 49 | | designed to facilitate year-to-year and agency-to-agency comparison, as well as |
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51 | 50 | | adequately indicating the sources and uses of all funds received by each public |
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52 | 51 | | charter school. The commissioner shall review the fiscal public school records in |
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53 | 52 | | all public charter schools to the end that the expenditure of funds, whether for |
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54 | 53 | | current operation and maintenance purposes, capital outlay purposes, and other |
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55 | 54 | | school purposes, are properly accounted for and safeguarded. |
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56 | 55 | | (2) The commissioner may require public charter schools that receive |
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57 | 56 | | allocations of state education funding pursuant to part 1 of this chapter or |
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58 | 57 | | otherwise to comply with one (1) or more of the requirements established for |
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59 | 58 | | LEAs in this section, as the commissioner deems appropriate or applicable. |
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60 | 59 | | SECTION 4. Tennessee Code Annotated, Section 49-13-112, is amended by deleting |
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61 | 60 | | subsection (a) and substituting instead the following: |
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62 | 61 | | (a) |
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63 | 62 | | (1) A local board of education shall allocate to the public charter school |
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64 | 63 | | an amount equal to: |
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65 | 64 | | |
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66 | 65 | | |
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67 | 66 | | - 3 - 003170 |
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68 | 67 | | |
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69 | 68 | | (A) The local student-generated funds for member students in the |
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70 | 69 | | public charter school for the prior year in alignment with the TISA |
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71 | 70 | | pursuant to chapter 3, part 1 of this title; |
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72 | 71 | | (B) The average per pupil state and local funds received by the |
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73 | 72 | | district in the current school year above those required by the TISA for |
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74 | 73 | | each member student in the public charter school in the prior year; |
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75 | 74 | | (C) The per student state and local funds received by the LEA for |
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76 | 75 | | member students in the public charter school in the current school year |
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77 | 76 | | beyond the prior year's membership; and |
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78 | 77 | | (D) All appropriate allocations under federal law or regulation, |
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79 | 78 | | including, but not limited to, IDEA and ESEA funds. |
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80 | 79 | | (2) The department of education shall allocate directly to the public |
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81 | 80 | | charter school an amount equal to the state student-generated funds for member |
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82 | 81 | | students in the public charter school for the prior year in alignment with the TISA |
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83 | 82 | | pursuant to chapter 3, part 1 of this title. |
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84 | 83 | | (3) Federal funds received by the LEA must be disbursed to public |
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85 | 84 | | charter schools authorized by the LEA by either joint agreement on shared |
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86 | 85 | | services by individual public charter schools or sub-grants to a public charter |
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87 | 86 | | school for the public charter school's equitable share of the federal grant based |
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88 | 87 | | on eligible students. The allocation must be made in accordance with the |
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89 | 88 | | policies and procedures developed by the department of education. |
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90 | 89 | | (4) Each LEA shall include as part of its budget submitted pursuant to § |
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91 | 90 | | 49-2-203, the per pupil amount of local money it will pass through to public |
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92 | 91 | | charter schools during the upcoming school year, including all calculations listed |
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93 | 92 | | in this section. Allocations to public charter schools during that year must be |
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94 | 93 | | |
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95 | 94 | | |
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96 | 95 | | - 4 - 003170 |
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97 | 96 | | |
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98 | 97 | | based on the calculated amounts. The LEA shall distribute the portion of local |
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99 | 98 | | funds it expects to receive in no fewer than nine (9) equal installments to public |
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100 | 99 | | charter schools in the same manner as state funds are distributed pursuant to |
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101 | 100 | | chapter 3 of this title. An LEA shall adjust local payments to public charter |
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102 | 101 | | schools, at a minimum, in October, February, and June, based on changes in |
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103 | 102 | | revenue, student membership, or student services. All funds received by a public |
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104 | 103 | | charter school must be spent according to the budget submitted or as otherwise |
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105 | 104 | | revised by the public charter school governing body, subject to the requirements |
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106 | 105 | | of state and federal law. |
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107 | 106 | | SECTION 5. Sections 1 and 3 of this act take effect upon becoming a law, the public |
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108 | 107 | | welfare requiring it. For rulemaking purposes, Sections 2 and 4 of this act take effect upon |
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109 | 108 | | becoming a law, the public welfare requiring it. For all other purposes, Sections 2 and 4 of this |
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110 | 109 | | act take effect July 1, 2025, the public welfare requiring it. |
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