01-17 10:50 S.B. 137 1 Course Choice Empowerment 2025 GENERAL SESSION STATE OF UTAH Chief Sponsor: Kirk A. Cullimore 2 3 LONG TITLE 4 General Description: 5 This bill establishes a private and home school online course choice program. 6 Highlighted Provisions: 7 This bill: 8 ▸ removes references to a contractor from the Statewide Online Education Program statute; 9 ▸ creates an online course choice program specifically for private and home school students; 10 ▸ requires the program be administered by an independent program manager contracted by 11 the State Board of Education; 12 ▸ allows eligible students to earn credits through online courses, including courses in 13 blended-learning environments; 14 ▸ requires separate funding from public education programs; 15 ▸ requires the program manager to: 16 ● approve and oversee course providers; 17 ● approve and oversee courses offered; 18 ● establish payment structure for courses; and 19 ● annually report on program performance; and 20 ▸ makes technical changes. 21 Money Appropriated in this Bill: 22 None 23 Other Special Clauses: 24 None 25 Utah Code Sections Affected: 26 AMENDS: 27 53F-4-501, as last amended by Laws of Utah 2024, Third Special Session, Chapter 1 28 53F-4-503, as last amended by Laws of Utah 2024, Chapter 24 29 53F-4-505, as last amended by Laws of Utah 2024, Chapter 24 30 53F-4-507, as last amended by Laws of Utah 2024, Chapter 24 31 53F-4-511, as last amended by Laws of Utah 2024, Chapter 24 S.B. 137 01-17 10:50 32 53F-4-512, as last amended by Laws of Utah 2024, Chapter 24 33 53F-4-514, as last amended by Laws of Utah 2024, Chapter 24 34 53F-4-516, as last amended by Laws of Utah 2024, Chapter 24 35 53F-6-401, as last amended by Laws of Utah 2024, Chapter 26 36 ENACTS: 37 53F-6-501, Utah Code Annotated 1953 38 39 Be it enacted by the Legislature of the state of Utah: 40 Section 1. Section 53F-4-501 is amended to read: 41 53F-4-501 . Definitions. 42 As used in this part: 43 (1) "Authorized online course provider" means the entities listed in Subsection 53F-4-504(1). 44 (2)(a) "Certified online course provider" means a provider that the state board approves 45 to offer courses through the Statewide Online Education Program. 46 (b) "Certified online course provider" does not include an entity described in 47 Subsections 53F-4-504(1)(a) through (c). 48 (3) "Credit" means credit for a high school course, or the equivalent for a middle school 49 course, as determined by the state board. 50 (4)[(a)] "Eligible student" means a student who: 51 [(i)] (a) [who ]intends to take a course for middle school or high school credit; and 52 [(ii)] (b)[(A) who ]is enrolled in an LEA in Utah[;] . 53 [(B) who attends a private school or home school andwhose custodial parent is a 54 resident of Utah; or] 55 [(C) who is an exchange student residing in Utah and enrolled in an LEA or private 56 school in Utah.] 57 [(b) "Eligible student" does not include a scholarship student as defined in Section 58 53F-6-401.] 59 [(5) "Exchange student" means a student sponsored by an agency approved by an LEA or 60 private school governing board or a student who has an F-1, J-1, or J-2 visa.] 61 [(6)] (5) "High school" means grade 9, 10, 11, or 12. 62 [(7)] (6) "Middle school" means, only for purposes of student eligibility to participate in the 63 Statewide Online Education Program, grade 6, 7, or 8. 64 [(8)] (7) "Online course" means a course of instruction offered by the Statewide Online 65 Education Program through the use of digital technology, regardless of whether the - 2 - 01-17 10:50 S.B. 137 66 student participates in the course at home, at school, at another location, or any 67 combination of these. 68 [(9)] (8) "Plan for college and career readiness" means the same as that term is defined in 69 Section 53E-2-304. 70 [(10)] (9) "Primary LEA of enrollment" or "primary LEA" means the LEA in which an 71 eligible student is enrolled for courses other than online courses offered through the 72 Statewide Online Education Program. 73 [(11)] (10) "Released-time" means a period of time during the regular school day a student 74 is excused from school at the request of the student's parent pursuant to rules of the state 75 board. 76 [(12) "State board's contractor" means the private entity described in Section 53F-4-503 77 with which the state board contracts to administer the portion of the Statewide Online 78 Education Program designated for a student who attends private school or home school.] 79 Section 2. Section 53F-4-503 is amended to read: 80 53F-4-503 . Option to enroll in online courses offered through the Statewide 81 Online Education Program. 82 (1) Subject to Subsections (2), (9), and (12), and[, for a public education student, ] with the 83 advice of a school counselor at a student's primary LEA, an eligible student may enroll 84 in an online course offered through the Statewide Online Education Program if: 85 (a) the student meets the course prerequisites; 86 (b) the course is open for enrollment; and 87 (c) the online course is aligned with the student's plan for college and career readiness. 88 (2) An eligible student may enroll in online courses totaling up to six credits per school 89 year. 90 (3) Notwithstanding Subsection (2): 91 (a) a student's primary LEA of enrollment may allow an eligible student to enroll in 92 online courses for more than the number of credits specified in Subsection (2); or 93 (b) upon the request of an eligible student, the state board [or, in relation to a student 94 who attends a private school or home school, the state board's contractor, ]may allow 95 the student to enroll in online courses for more than the number of credits specified in 96 Subsection (2), if the online courses better meet the academic goals of the student. 97 (4) An eligible student's primary LEA of enrollment: 98 (a) in conjunction with the student and the student's parent, is responsible for preparing 99 and implementing a plan for college and career readiness for the eligible student, as - 3 - S.B. 137 01-17 10:50 100 provided in Section 53E-2-304; and 101 (b) shall assist an eligible student in scheduling courses in accordance with the student's 102 plan for college and career readiness, graduation requirements, and the student's 103 post-secondary plans. 104 (5) An eligible student's primary LEA of enrollment may not: 105 (a) impose restrictions on a student's selection of an online course that fulfills graduation 106 requirements and is consistent with the student's plan for college and career readiness 107 or post-secondary plans; or 108 (b) give preference to an online course or authorized online course provider. 109 (6) The state board, [or, in relation to a student who attends a private school or home 110 school, the state board's contractor, ]including an employee of the state board[ or the 111 state board's contractor,] , may not give preference to an online course or authorized 112 online course provider. 113 (7)(a) Except as provided in Subsection (7)(b), a person may not provide an inducement 114 or incentive to a [public school ]student to participate in the Statewide Online 115 Education Program. 116 (b) For purposes of Subsection (7)(a): 117 (i) "Inducement or incentive" does not mean: 118 (A) instructional materials or software necessary to take an online course; or 119 (B) access to a computer or digital learning device for the purpose of taking an 120 online course. 121 (ii) "Person" does not include a relative of the [public school] eligible student. 122 (8) The state board shall coordinate with the Utah System of Higher Education to study 123 funding structures and access barriers related to concurrent enrollment for the Statewide 124 Online Education Program and provide recommendations to the Education Interim 125 Committee no later than the November 2024 meeting. 126 (9) Subject to legislative appropriations[ and for an eligible student who is enrolled at a 127 public school], the state board shall provide Statewide Online Education Program 128 academic counseling that: 129 (a) may advise an eligible student or an eligible student's parent regarding an online 130 course enrollment including how an online course relates to graduation requirements 131 described in Section 53E-4-204 and administrative rule; 132 (b) provides the training described in Section 53F-4-514; 133 (c) provides technical support to an LEA, school-based counselor, eligible student, or - 4 - 01-17 10:50 S.B. 137 134 eligible student's parent; 135 (d) assists in gathering information, reports, and data an LEA requests; and 136 (e) directs an eligible student or an eligible student's parent to a school-specific 137 counselor for advice regarding an online course enrollment in relation to an LEA, or 138 school-specific graduation requirement and all other counseling services. 139 (10) If an eligible student has an IEP or Section 504 accommodation plan: 140 (a) the eligible student's primary LEA: 141 (i) shall: 142 (A) forward a copy of the relevant portions of the eligible student's existing IEP or 143 Section 504 accommodation plan to the authorized online course provider in 144 accordance with federal law and guidelines; and 145 (B) ensure the authorized online course provider is provided an eligible student's 146 updated IEP when revisions are made; 147 (ii) may: 148 (A) ensure the eligible student's IEP team and the authorized online course 149 provider review a course enrollment for compliance with requirements 150 described in Subsection (1); and 151 (B) as needed, coordinate additional IEP team reviews with the authorized online 152 course provider to ensure appropriate services, supports, and accommodations 153 are in place for the eligible student; and 154 (b) the authorized online course provider: 155 (i) shall implement an eligible student's IEP or Section 504 accommodation plan; and 156 (ii) may seek assistance from the primary LEA to implement an eligible student's IEP 157 or Section 504 accommodation plan. 158 (11) The state board shall create a model cooperative agreement between a primary LEA 159 and an authorized online course provider for use when the primary LEA determines that 160 an authorized online course provider would best provide IEP services, including a 161 requirement that the eligible student's primary LEA provide funding for the IEP services. 162 (12) If the program lacks sufficient legislative appropriations to fund the enrollment in 163 online courses for all eligible students who do not have a primary LEA of enrollment, 164 the state board [or, in relation to a student who attends a private school or home school, 165 the state board's contractor, ]shall prioritize funding the enrollment of an eligible student 166 who intends to graduate from high school during the school year in which the student 167 enrolls in an online course. - 5 - S.B. 137 01-17 10:50 168 [(13) No later than April 1, 2025, and in accordance with Title 63G, Chapter 6a, Utah 169 Procurement Code, the state board shall use funds the state board expends to administer 170 to the Statewide Online Education Program for students who attend private school or 171 home school to alternatively contract with a private entity:] 172 [(a) that has demonstrated an expertise or ability to administer a statewide program to 173 deliver education services to students who attend private school or home school; and] 174 [(b) to administer the portion of the Statewide Online Education Program that is designated 175 for students who attend private school or home school, including providing an 176 enrollment platform or tool separate from the enrollment tool or platform the state board 177 provides for the program.] 178 [(14) The state board's contractor described in Subsection (13) may use a percentage of the 179 appropriation for home school and private school students that is equal to the proportion 180 of the state board's administrative cost in relation to the appropriation for students 181 enrolled in an LEA.] 182 Section 3. Section 53F-4-505 is amended to read: 183 53F-4-505 . Payment for an online course. 184 (1) For the 2012-13 school year, the fee for a .5 credit online course or .5 credit of a 1 credit 185 online course is: 186 (a) $200 for the following courses, except a concurrent enrollment course: 187 (i) financial literacy; 188 (ii) health; 189 (iii) fitness for life; and 190 (iv) computer literacy; 191 (b) $200 for driver education; 192 (c) $250 for a course that meets core standards for Utah public schools in fine arts or 193 career and technical education, except a concurrent enrollment course; 194 (d) $300 for the following courses: 195 (i) a course that meets core standards for Utah public schools requirements in social 196 studies, except a concurrent enrollment course; and 197 (ii) a world language course, except a concurrent enrollment course; 198 (e) $350 for the following courses: 199 (i) a course that meets core standards for Utah public schools requirements for 200 language arts, mathematics, or science; and 201 (ii) a concurrent enrollment course; and - 6 - 01-17 10:50 S.B. 137 202 (f) $250 for a course not described in Subsections (1)(a) through (e). 203 (2) If a course meets the requirements of more than one course fee category described in 204 Subsection (1), the course fee shall be the lowest of the applicable course fee categories. 205 (3) The online course fees described in Subsection (1) shall be adjusted each school year in 206 accordance with the percentage change in value of the weighted pupil unit from the 207 previous school year. 208 (4) An authorized online course provider shall receive payment for an online course as 209 follows: 210 (a) for a .5 credit online course, 50% of the online course fee after the withdrawal period 211 described in Section 53F-4-506; 212 (b) for a 1 credit online course, 25% of the online course fee after the withdrawal period 213 described in Section 53F-4-506 and 25% of the online course fee upon the beginning 214 of the second .5 credit of the online course; and 215 (c) if a student completes a 1 credit online course within 12 months or a .5 credit course 216 within nine weeks following the end of a traditional semester, 50% of the online 217 course fee. 218 (5)(a) If a student fails to complete a 1 credit course within 12 months or a .5 credit 219 course within nine weeks following the end of a traditional semester, the student may 220 continue to be enrolled in the course until the student graduates from high school. 221 (b) To encourage an authorized online course provider to provide remediation to a 222 student who remains enrolled in an online course pursuant to Subsection (5)(a) and 223 avoid the need for credit recovery, an authorized online course provider shall receive 224 a payment equal to 30% of the online course fee if the student completes the online 225 course: 226 (i) for a high school online course, before the student graduates from high school; or 227 (ii) for a middle school online course, before the student completes middle school. 228 (6) Notwithstanding the online course fees prescribed in Subsections (1) through (3), a 229 school district or charter school may: 230 (a) negotiate a fee with an authorized online course provider for an amount up to the 231 amount prescribed in Subsections (1) through (3); and 232 (b) pay the negotiated fee instead of the fee prescribed in Subsections (1) through (3). 233 (7) An authorized online course provider who contracts with a vendor for the acquisition of 234 online course content or online course instruction may negotiate the payment for the 235 vendor's service independent of the fees specified in Subsections (1) through (3). - 7 - S.B. 137 01-17 10:50 236 (8) The state board [or, in relation to a student who attends a private school or home school, 237 the state board's contractor, ]may not remove a student from an online course if the 238 student is eligible for continued enrollment in the online course under Subsection (5). 239 (9) Upon request by a primary LEA, the state board shall provide an itemized report to the 240 primary LEA showing the deduction described in Subsection 53F-4-508(2) by student 241 and course enrolled. 242 Section 4. Section 53F-4-507 is amended to read: 243 53F-4-507 . Direction to deduct funds and make payments -- Plan for the 244 payment of online courses taken by private and home school students. 245 (1)[(a)] Subject to future budget constraints, the Legislature shall adjust the 246 appropriation for the Statewide Online Education Program based on[:] 247 [(i) the anticipated increase of eligible home school and private school students enrolled 248 in the Statewide Online Education Program; and] 249 [(ii)] the value of the weighted pupil unit. 250 [(b) The state board shall, if the state board contracts with a private entity under 251 Subsection 53F-4-503(9), delegate to the state board's contractor the management of 252 the funds appropriated for the Statewide Online Education Program for students who 253 attend private school or home school.] 254 (2) Notwithstanding Subsection (1) and subject to future budget constraints, the Legislature 255 shall: 256 (a) consider enrollment projections provided by the authorized online course providers 257 to account for enrollment growth during the appropriations process; and 258 (b) provide a supplemental appropriation to adequately fund the Statewide Online 259 Education Program when the enrollment amount exceeds the projected enrollment 260 amounts provided by the authorized online course providers[; and] . 261 [(c) in the fiscal year beginning July 1, 2025, keep all other appropriations for the 262 Statewide Online Education Program separate from the appropriations described in 263 Section 53F-4-518.] 264 (3)(a) The state board shall deduct money from funds allocated to the student's primary 265 LEA of enrollment under Chapter 2, State Funding -- Minimum School Program, to 266 pay for online course fees. 267 (b) Money shall be deducted under Subsection (3)(a) in the amount and at the time an 268 authorized online course provider qualifies to receive payment for an online course 269 provided to a [public education] student, not to exceed 90 days after qualification, as - 8 - 01-17 10:50 S.B. 137 270 provided in Subsection 53F-4-505(4). 271 [(c) The state board or, in relation to a student who attends a private school or home 272 school, the state board's contractor, shall deduct money from funds allocated for 273 course fees for a private school or home school student in the amount and at the time 274 an authorized online course provider qualifies to receive payment for an online 275 course, not to exceed 90 days after qualification.] 276 (4) From money deducted under Subsection (3), the state board [or, in relation to a student 277 who attends a private school or home school, the state board's contractor, ]shall make 278 payments to the student's authorized online course provider as provided in Section 279 53F-4-505. 280 Section 5. Section 53F-4-511 is amended to read: 281 53F-4-511 . Report on performance of authorized online course providers. 282 (1) The state board, in collaboration with authorized online course providers, [and, if 283 applicable, the state board's contractor, ]shall develop a report on the performance of 284 authorized online course providers, which may be used to evaluate the Statewide Online 285 Education Program and assess the quality of an authorized online course provider.. 286 (2) A report on the performance of an authorized online course provider shall include: 287 (a) scores aggregated by test on statewide assessments administered under Title 53E, 288 Chapter 4, Part 3, Assessments, taken by students at the end of an online course 289 offered through the Statewide Online Education Program; 290 (b) the percentage of the authorized online course provider's students who complete 291 online courses within the applicable time period specified in Subsection 53F-4-505 292 (4)(c); 293 (c) the percentage of the authorized online course provider's students who complete 294 online courses after the applicable time period specified in Subsection 53F-4-505 295 (4)(c) and before the student graduates from high school; and 296 (d) the pupil-teacher ratio for the combined online courses of the authorized online 297 course provider. 298 (3) The state board shall post a report on the performance of an authorized online course 299 provider on the Statewide Online Education Program's website described in Section 300 53F-4-512. 301 Section 6. Section 53F-4-512 is amended to read: 302 53F-4-512 . Dissemination of information on the Statewide Online Education 303 Program. - 9 - S.B. 137 01-17 10:50 304 (1) The state board shall develop a website for the Statewide Online Education Program 305 which shall include: 306 (a) a description of the Statewide Online Education Program, including its purposes; 307 (b) notwithstanding Subsection (2), information on who is eligible to enroll, and how an 308 eligible student may enroll, in an online course; 309 (c) a directory of authorized online course providers; 310 (d) a link to a course catalog for each authorized online course provider; and 311 (e) a report on the performance of authorized online course providers as required by 312 Section 53F-4-511. 313 (2) An authorized online course provider shall provide the following information on the 314 authorized online course provider's website: 315 (a) a description of the Statewide Online Education Program, including its purposes; 316 (b) information on who is eligible to enroll, and how an eligible student may enroll, in 317 an online course; 318 (c) a course catalog; 319 (d) scores aggregated by test on statewide assessments administered under Title 53E, 320 Chapter 4, Part 3, Assessments, taken by students at the end of an online course 321 offered through the Statewide Online Education Program; 322 (e) the percentage of an authorized online course provider's students who complete 323 online courses within the applicable time period specified in Subsection 53F-4-505 324 (4)(c); 325 (f) the percentage of an authorized online course provider's students who complete 326 online courses after the applicable time period specified in Subsection 53F-4-505 327 (4)(c) and before the student graduates from high school; and 328 (g) the authorized online course provider's pupil-teacher ratio for the online courses 329 combined. 330 [(3) The state board's contractor shall provide on the contractor's website information 331 regarding enrollment and participation by a private school or home school student 332 through the contractor.] 333 Section 7. Section 53F-4-514 is amended to read: 334 53F-4-514 . State board -- Rulemaking -- Fees. 335 (1) Notwithstanding Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the state 336 board shall provide a delayed effective date that is after the school year has ended for a 337 change to an administrative rule related to the Statewide Online Education Program if - 10 - 01-17 10:50 S.B. 137 338 the change would require an authorized online course provider to make program changes 339 during the school year. 340 (2) The state board shall make rules in accordance with this part and Title 63G, Chapter 3, 341 Utah Administrative Rulemaking Act, that establish: 342 (a) a course credit acknowledgement form and procedures for completing and 343 submitting to the state board [or, in relation to a student who attends a private school 344 or home school, the state board's contractor, ]a course credit acknowledgement; 345 (b) procedures for the administration of a statewide assessment to a student enrolled in 346 an online course; [and] 347 (c) protocols for an online course provider to obtain approval to become a certified 348 online course provider, including: 349 (i) the application procedure for an online course provider to obtain approval to 350 become a certified online course provider; and 351 (ii) the standards that a certified online course provider and any online course the 352 certified online course provider offers shall meet; 353 (d) in accordance with Title 53E, Chapter 4, Academic Standards, Assessments, and 354 Materials, criteria for an authorized online course provider to submit for approval an 355 online course that does not have an existing state board course code; and 356 (e) [no later than July 1, 2024, a] a process within existing systems at the state board [or, 357 in relation to a student who attends a private school or home school, the state board's 358 contractor, ]to allow a certified online course provider access to an educator's 359 licensing, endorsement, certification, and assignment information if the educator is 360 teaching an online course for the certified online course provider; 361 (f) in consultation with the authorized online course providers, the parameters for 362 conducting a site visit including: 363 (i) a definition for the term, site visit; 364 (ii) the minimum amount of time required for: 365 (A) notice to an authorized online course provider of a site visit; and 366 (B) an authorized online course provider to prepare for a site visit; 367 (iii) the documents, data, and artifacts subject to inspection during a site visit; and 368 (iv) a process to ensure a site visit allows for observation of instruction without 369 interfering with the instruction; 370 (g) annual mandatory training for relevant staff at a primary LEA that includes: 371 (i) program requirements for a primary LEA including reporting requirements and - 11 - S.B. 137 01-17 10:50 372 methods; 373 (ii) uses of resources and tools to ensure adequate monitoring of an eligible student's 374 progress; 375 (iii) federal and state requirements for accommodating enrollments that involve 376 special education; 377 (iv) appropriate circumstances and methodologies for reducing an eligible student's 378 schedule; and 379 (v) other components the state board determines are necessary[; and] . 380 (3)(a) When establishing the standards described in Subsection (2)(c)(ii) the state board 381 shall: 382 (i) establish rules and minimum standards regarding accreditation; 383 (ii) require an online course to be aligned with the core standards described in 384 Section 53E-4-202; 385 (iii) require proof that a national organization responsible for college athletics 386 endorses: 387 (A) the certified online course provider; or 388 (B) the online course that a certified online course provider offers; 389 (iv) permit an open-entry, open-exit method of instructional delivery that allows a 390 student the flexibility to: 391 (A) schedule in response to individual needs or requirements; 392 (B) demonstrate competency when the student has mastered knowledge and skills; 393 (C) begin or end study at any time; and 394 (D) progress through course material at the student's own pace; and 395 (v) except as provided in Subsection (5), require an individual who teaches a course 396 for a certified online course provider to hold a teaching license issued by the state 397 board. 398 (b) When establishing the standards described in Subsection (2)(c)(ii), the state board 399 may not: 400 (i) specify a minimum duration for an online course; 401 (ii) specify a minimum amount of time that a student must spend in an online course; 402 or 403 (iii) limit the class size of an online course. 404 (4) No later than January 31, 2026, the state board shall create a communication dashboard 405 for the program [and only related to eligible students enrolled in a public school ]that - 12 - 01-17 10:50 S.B. 137 406 may include: 407 (a) a counselor contact list for an eligible student that is accessible to an authorized 408 online course provider; and 409 (b) progress monitoring fields that are accessible to the primary LEA, the eligible 410 student's counselor, and the eligible student's parent containing: 411 (i) grade progress reporting of an eligible student by an authorized online course 412 provider; 413 (ii) an ability to flag a student that is at-risk of failing an online course; and 414 (iii) other relevant capabilities the state board determines to be necessary in 415 consultation with LEA users of the dashboard. 416 (5) If an individual possesses a provider-specific license described in Section 53E-6-201, 417 the state board may not prohibit the individual from teaching an online course for an 418 authorized online course provider while the individual is in the process of obtaining an 419 endorsement or additional license issued by the state board. 420 (6) The state board may establish a fee, in accordance with Section 63J-1-504, in an amount 421 to pay the costs to the state board of the application approval process and the monitoring 422 of a certified online course provider's compliance with the standards described in 423 Subsection (2)(c)(ii). 424 (7)(a) Fee revenue collected in accordance with Subsection (6) shall be: 425 (i) deposited into the Uniform School Fund as a dedicated credit; and 426 (ii) used to pay the costs to the state board of reviewing certified online course 427 providers' applications and compliance with the standards described in Subsection 428 (2)(c)(ii). 429 Section 8. Section 53F-4-516 is amended to read: 430 53F-4-516 . Report of noncompliance -- Action to ensure compliance. 431 (1) The state superintendent shall report to the state board any report of noncompliance of 432 this part made to a staff member of the state board[ or, in relation to a student who 433 attends a private school or home school, the state board's contractor]. 434 (2) The state board [and, if applicable, the state board's contractor, ]shall take appropriate 435 action to ensure compliance with this part. 436 Section 9. Section 53F-6-401 is amended to read: 437 53F-6-401 . Definitions. 438 As used in this part: 439 (1) "Eligible student" means a student: - 13 - S.B. 137 01-17 10:50 440 (a) who is eligible to participate in public school, in kindergarten, or grades 1 through 12; 441 (b) who is a resident of the state, including a child of a military service member, as that 442 term is defined in Section 53B-8-102; 443 (c) who, during the school year for which the student is applying for a scholarship 444 account: 445 (i) does not receive a scholarship under: 446 (A) the Carson Smith Scholarship Program established in Section 53F-4-302; or 447 (B) the Carson Smith Opportunity Scholarship Program established in Section 448 53E-7-402; and 449 (ii) is not enrolled in[,] an LEA upon receiving the scholarship[:] ; 450 [(A) an LEA; or] 451 [(B) the Statewide Online Education Program to participate in a course with 452 funding provided under Title 53F, Chapter 4, Part 5, Statewide Online 453 Education Program, which does not include participation in a course by an 454 entity as described in Subsection 53F-6-409(7);] 455 (d) whose eligibility is not suspended or disqualified under Section 53F-6-401; and 456 (e) who completes, to maintain eligibility, the portfolio requirement described in 457 Subsection 53F-6-402(3)(d). 458 (2) "Federal poverty level" means the United States poverty level as defined by the most 459 recently revised poverty income guidelines published by the United States Department 460 of Health and Human Services in the Federal Register. 461 (3)(a) "Home-based scholarship student" means a student who: 462 (i) is eligible to participate in public school, in kindergarten or grades 1 through 12; 463 (ii) is excused from enrollment in an LEA in accordance with Section 53G-6-204 to 464 attend a home school; and 465 (iii) receives a benefit of scholarship funds. 466 (b) "Home-based scholarship student" does not mean a home school student who does 467 not receive a scholarship under the program. 468 (4) "Parent" means: 469 (a) the same as that term is defined in Section 53E-1-102; and 470 (b) a foster parent who has initiated a process to adopt the foster child. 471 (5) "Program manager" means an organization that: 472 (a) is qualified as tax exempt under Section 501(c)(3), Internal Revenue Code; 473 (b) is not affiliated with any international organization; - 14 - 01-17 10:50 S.B. 137 474 (c) does not harvest data for the purpose of reproducing or distributing the data to other 475 entities; 476 (d) has no involvement in guiding or directing any curriculum or curriculum standards; 477 (e) does not manage or otherwise administer a scholarship under: 478 (i) the Carson Smith Scholarship Program established in Section 53F-4-302; or 479 (ii) the Carson Smith Opportunity Scholarship Program established in Section 480 53E-7-402; and 481 (f) an agreement with the state board recognizes as a program manager, in accordance 482 with this part. 483 (6)(a) "Program manager employee" means an individual working for the program 484 manager in a position in which the individual's salary, wages, pay, or compensation, 485 including as a contractor, is paid from scholarship funds. 486 (b) "Program manager employee" does not include: 487 (i) an individual who volunteers for the program manager or for a qualifying provider; 488 (ii) an individual who works for a qualifying provider; or 489 (iii) a qualifying provider. 490 (7) "Program manager officer" means: 491 (a) a member of the board of a program manager; or 492 (b) the chief administrative officer of a program manager. 493 (8)(a) "Qualifying provider" means one of the following entities: 494 (i) an eligible school that the program manager approves in accordance with Section 495 53F-6-408; or 496 (ii) an eligible service provider that the program manager approves in accordance 497 with Section 53F-6-409. 498 (b) "Qualifying provider" does not include: 499 (i) a parent of a home-based scholarship student or a home school student solely in 500 relation to the parent's child; or 501 (ii) any other individual that does not meet the requirements described in Subsection 502 (8)(a). 503 (9) "Relative" means a father, mother, husband, wife, son, daughter, sister, brother, uncle, 504 aunt, nephew, niece, first cousin, mother-in-law, father-in-law, brother-in-law, 505 sister-in-law, son-in-law, or daughter-in-law. 506 (10) "Scholarship account" means the account to which a program manager allocates funds 507 for the payment of approved scholarship expenses in accordance with this part. - 15 - S.B. 137 01-17 10:50 508 (11) "Scholarship expense" means an expense described in Section 53F-6-402 that a parent 509 or scholarship student incurs in the education of the scholarship student for a service or 510 goods that a qualifying provider provides, including: 511 (a) tuition and fees of a qualifying provider; 512 (b) fees and instructional materials at a technical college; 513 (c) tutoring services; 514 (d) fees for after-school or summer education programs; 515 (e) textbooks, curricula, or other instructional materials, including any supplemental 516 materials or associated online instruction that a curriculum or a qualifying provider 517 recommends; 518 (f) educational software and applications; 519 (g) supplies or other equipment related to a scholarship student's educational needs; 520 (h) computer hardware or other technological devices that are intended primarily for a 521 scholarship student's educational needs; 522 (i) fees for the following examinations, or for a preparation course for the following 523 examinations, that the program manager approves: 524 (i) a national norm-referenced or standardized assessment described in Section 525 53F-6-410, an advanced placement examination, or another similar assessment; 526 (ii) a state-recognized industry certification examination; and 527 (iii) an examination related to college or university admission; 528 (j) educational services for students with disabilities from a licensed or accredited 529 practitioner or provider, including occupational, behavioral, physical, audiology, or 530 speech-language therapies; 531 (k) contracted services that the program manager approves and that an LEA provides, 532 including individual classes, after-school tutoring services, transportation, or fees or 533 costs associated with participation in extracurricular activities; 534 (l) ride fees or fares for a fee-for-service transportation provider to transport the 535 scholarship student to and from a qualifying provider, not to exceed $750 in a given 536 school year; 537 (m) expenses related to extracurricular activities, field trips, educational supplements, 538 and other educational experiences; or 539 (n) any other expense for a good or service that: 540 (i) a parent or scholarship student incurs in the education of the scholarship student; 541 and - 16 - 01-17 10:50 S.B. 137 542 (ii) the program manager approves, in accordance with Subsection (5)(d). 543 (12) "Scholarship funds" means: 544 (a) funds that the Legislature appropriates for the program; and 545 (b) interest that scholarship funds accrue. 546 (13)(a) "Scholarship student" means an eligible student, including a home-based 547 scholarship student, for whom the program manager establishes and maintains a 548 scholarship account in accordance with this part. 549 (b) "Scholarship student" does not include a home school student who does not receive a 550 scholarship award under the program. 551 (14) "Utah Fits All Scholarship Program" or "program" means the scholarship program 552 established in Section 53F-6-402. 553 Section 10. Section 53F-6-501 is enacted to read: 554 Part 5. Utah Home and Private Course Choice Empowerment 555 53F-6-501 . Utah Home and Private Course Choice Empowerment program. 556 (1) As used in this section: 557 (a) "Authorized online course provider" or "provider" means a provider approved by the 558 program manager to offer online courses through the program. 559 (b) "Blended learning" means an education model that: 560 (i) combines in-person and online or digital instruction and learning activities; 561 (ii) allows students to receive instruction through: 562 (A) direct, in-person interaction with an instructor; 563 (B) digital or online content and activities; or 564 (C) a combination of both in-person and online methods; 565 (iii) may include hybrid teaching formats where: 566 (A) some students participate in-person while others participate remotely; or 567 (B) instruction alternates between in-person and online delivery; and 568 (iv) provides students flexibility in time, place, path, or pace of learning. 569 (c) "Eligible student" means a student: 570 (i) who attends a private school or home school and whose parent is a resident of 571 Utah; or 572 (ii) who is an exchange student residing in Utah and enrolled in a private school in 573 Utah. 574 (d) "Online course" means a course of instruction for grades 6 through 12 offered 575 through the program using digital technology, including: - 17 - S.B. 137 01-17 10:50 576 (i) an exclusively online learning and instructional model; or 577 (ii) blended learning models. 578 (e) "Program" means the Utah Home and Private Course Choice Empowerment program 579 created in this section. 580 (f) "Program manager" means a for-profit or non-profit entity that, at the time of 581 application, demonstrates the ability without external contracts to internally meet the 582 qualifications specified in this section, that is contracted by the state board to 583 administer the Utah Home and Private Course Choice Empowerment program, 584 including: 585 (i) the ability to manage, distribute, and transact program funds; 586 (ii) capacity to create and maintain a user-friendly website; 587 (iii) the ability to verify a student's eligibility based on the requirements of this part; 588 (iv) capacity to process provider payments and maintain financial records; 589 (v) ability to track, monitor, and report program enrollment, participation, and 590 outcomes at both provider and individual student levels; and 591 (vi) maintenance of a publicly accessible provider list, including: 592 (A) the capability to allow a student or a student's parent to rate, review, and share 593 information about providers; and 594 (B) appropriate links to a provider's course catalog. 595 (2) The program is created to enable an eligible student to engage in taking online courses. 596 (3) The purposes of the program are to: 597 (a) provide a student with access to online learning options regardless of where the 598 student attends school, including blending learning settings; 599 (b) provide digital learning options for a student regardless of language, residence, 600 family income, or special needs; 601 (c) utilize the power and scalability of technology to customize education so that a 602 student may learn in the student's own style preference and at the student's own pace; 603 (d) provide greater access to self-paced programs enabling a high achieving student to 604 accelerate academically, while a struggling student may have additional time and 605 help to gain competency; 606 (e) allow a student to customize the student's schedule to better meet the student's 607 academic goals; 608 (f) provide quality learning options to better prepare a student for post-secondary 609 education and career opportunities; and - 18 - 01-17 10:50 S.B. 137 610 (g) support flexible learning environments through blended learning options that 611 combine the benefits of both in-person and online instruction to enhance student 612 engagement and achievement. 613 (4) An eligible student may enroll in an online course offered through the program if: 614 (a) the student meets the course prerequisites; and 615 (b) the course is open for enrollment. 616 (5) An eligible student may enroll in online courses up to the equivalent of six credits per 617 school year. 618 (6)(a) No later than July 1, 2025, the state board shall: 619 (i) contract with one or more private entities to serve as a program manager for the 620 program, including management of the funds appropriated for the program; and 621 (ii) ensure the initial contract is no more than a three-year contract with annual 622 renewal options subject to performance review and compliance with Title 63G, 623 Chapter 6a, Utah Procurement Code. 624 (b) The state board may regulate and take enforcement action as necessary against a 625 program manager in accordance with the provisions of the state board's agreement 626 with the program manager. 627 (c) The state board may not include a provision in any rule that creates or implies a 628 restriction, direction, or mandate regarding program administration, including student 629 enrollment, payments to providers, instructional content, or curriculum. 630 (7) The program manager shall: 631 (a) administer the program; 632 (b) ensure an eligible student can navigate to all authorized online course providers' 633 enrollment platforms or tools for the program; 634 (c) approve and oversee authorized online course providers; 635 (d) establish guidelines for qualifying providers and courses; 636 (e) manage funds appropriated for the program; 637 (f) make payments to authorized online course providers that may not include 638 transaction fees of any kind; 639 (g) as described in Subsection (17), provide an annual report on the performance of the 640 program to the Education Interim Committee; and 641 (h) ensure compliance with applicable laws and regulations. 642 (8) The program manager shall approve online course providers to offer courses through the 643 program. - 19 - S.B. 137 01-17 10:50 644 (9)(a) Subject to Subsection (9)(b), the program manager shall establish a process to 645 approve an entity as an authorized online course provider, including: 646 (i) the entity's demonstration of at least three years of experience in either: 647 (A) developing and delivering proprietary digital coursework for students; or 648 (B) successfully aggregating and managing third-party digital education providers 649 and courses for students; 650 (ii) the ability to provide a publicly available user-friendly website for an eligible 651 student, including: 652 (A) an accessible course enrollment system; 653 (B) comprehensive provider and course information; and 654 (C) program participation metrics; 655 (iii) verification that within the past five years, the entity: 656 (A) has not been subject to sanctions; 657 (B) has not undergone investigations; 658 (C) has not had adverse findings in malfeasance audits; and 659 (D) has not received other official censures in any state where it delivers digital 660 courses; 661 (iv) certification that the entity is not currently named in any lawsuit or ongoing civil 662 litigation in any state where the entity delivers digital courses; and 663 (v) the entity's demonstrated capacity to: 664 (A) evaluate and monitor course quality and content; 665 (B) verify instructor qualifications and experience; 666 (C) ensure instructor technical competency; 667 (D) conduct instructor background checks; 668 (E) provide regular professional development; 669 (F) implement student safety policies; 670 (G) maintain data privacy and security; 671 (H) enforce a learner code of conduct; and 672 (I) uphold academic integrity standards. 673 (b) In accordance with Subsection (11), the program manager shall allow all authorized 674 online course providers and courses the state board has approved up to July 1, 2024, 675 for the Statewide Online Education Program described in Title 53F, Chapter 4, Part 676 5, Statewide Online Education Program, to be offered to private and home school 677 students. - 20 - 01-17 10:50 S.B. 137 678 (10) The program manager may revoke approval of an authorized online course provider 679 for non-compliance with program requirements described in this section or poor 680 performance as the program manager determines. 681 (11) The program manager shall establish a process for reviewing and approving courses to 682 be offered through the program, including: 683 (a) submission of the following course information: 684 (i) course title; 685 (ii) course fee; 686 (iii) subject area; 687 (iv) if applicable, credits earned; 688 (b) description of course organization, including: 689 (i) modules, units, or chapters; 690 (ii) frequency of assessments; and 691 (iii) overall course length; 692 (c) course pacing information, including: 693 (i) recommended standard course pace progression; 694 (ii) expected weeks of study per semester of content; and 695 (iii) acknowledgment of a student's flexibility to adjust course pace; 696 (d) course withdrawal policy; 697 (e) final completion deadline for the course; 698 (f) summary description of course subject matter content; 699 (g) course prerequisites, if any; 700 (h) required course materials, including: 701 (i) technology requirements; and 702 (ii) tangible materials needed for course completion; 703 (i) alignment with any applicable: 704 (i) industry standards; 705 (ii) state board standards; 706 (iii) National Collegiate Athletic Association requirements; or 707 (iv) accreditation requirements; 708 (j) method of course instruction and delivery; 709 (k) description of instructional support, including: 710 (i) frequency of instructor-initiated one-on-one progress checks; 711 (ii) frequency of instructor-led tutoring; - 21 - S.B. 137 01-17 10:50 712 (iii) availability of small-group tutoring; 713 (iv) frequency of synchronous one-on-one instructor-led checks for a student's 714 understanding; and 715 (v) regular student interaction with educators; 716 (l) student-to-teacher ratio; 717 (m) for blended or hybrid format courses: 718 (i) a description of in-person instruction components; and 719 (ii) any waiver for online instructional support requirements when a student receives 720 real-time in-person instruction for a portion of the course; and 721 (n) prohibiting credit recovery courses or packet-based courses. 722 (12) The program manager shall ensure the review process described in Subsection (11): 723 (a) does not require an authorized online course provider to alter the provider's: 724 (i) creed; 725 (ii) practices; 726 (iii) admissions policies; 727 (iv) hiring practices; or 728 (v) curricula, including any religious course or course content; 729 (b) maintains an authorized online course provider's autonomy while accepting program 730 funds; and 731 (c) provides for a regular renewal of: 732 (i) a course approval; and 733 (ii) an authorized online course provider's authorization based on criteria, including: 734 (A) a course completion rate of at least 80%; 735 (B) reviews of the courses provided by a parent or eligible student; and 736 (C) if applicable, fidelity to the approval criteria described in Subsection (9). 737 (13) An authorized online course provider shall: 738 (a) for each course offered, establish reasonable: 739 (i) course lengths; 740 (ii) standardized completion deadlines that are the same for all courses offered by the 741 provider; 742 (iii) standardized withdrawal deadlines that are the same for all courses offered by the 743 provider; and 744 (iv) course fees; 745 (b) submit the information described in Subsections (11) and (13)(a) to the program - 22 - 01-17 10:50 S.B. 137 746 manager for approval; 747 (c) ensure the information described in Subsections (11) and (13)(a) are correctly posted 748 with each course listing; and 749 (d) report enrollment and withdrawal data to the program manager within five business 750 days. 751 (14) Subject to legislative appropriation, the program manager shall manage program funds 752 to administer the program, including: 753 (a) paying a course fee to an authorized online course provider as follows: 754 (i) 60% of the course fee paid upon an eligible student's enrollment; and 755 (ii) 40% of the course fee paid upon the eligible student's completion of the course; 756 (b) if the student does not complete the course by the deadline the authorized online 757 course provider establishes as described in Subsection (13), disqualifying an 758 authorized online course provider from receiving the 40% of the course fee as 759 described in Subsection (14)(a)(ii); 760 (c) processing payments to a provider within 30 days of relevant deadlines for 761 enrollment, withdrawal, or course completion; and 762 (d) establishing a payment structure for payments made to a provider that ensures no 763 transaction fees are passed on to the provider. 764 (15) Subject to legislative appropriation, the Legislature shall: 765 (a) provide funds for the program that are separate from funding for public education 766 programs; and 767 (b) adjust the appropriation based on anticipated enrollment increases in the program. 768 (16) The program manager may use a percentage of the appropriation described in 769 Subsection (15) for administrative costs as follows: 770 (a) up to 8% of the appropriation for administrative costs when the total annual 771 appropriation from the Legislature is $10,000,000 or less; and 772 (b) up to 5% of the appropriation for administrative costs when the total annual 773 appropriation from the Legislature exceeds $10,000,000. 774 (17) The program manager shall provide an annual report to the Education Interim 775 Committee regarding the performance of the program, including: 776 (a) number of students served; 777 (b) courses offered and completed; 778 (c) student progress and completion rates; and 779 (d) financial information and use of funds. - 23 - S.B. 137 01-17 10:50 780 (18) The program manager shall establish a comprehensive system for monitoring 781 providers, including: 782 (a) regular performance reviews based on: 783 (i) student completion rates; 784 (ii) student academic progress metrics; 785 (iii) instructor qualifications and performance; 786 (iv) course content quality and alignment; and 787 (v) technical system reliability; 788 (b) annual compliance audits of: 789 (i) financial records; 790 (ii) student data privacy practices; and 791 (iii) security protocols; and 792 (c) regular provider site visits that occur at least once per academic year. 793 (19) On or before July 1, 2025, and as frequently as necessary to maintain the information, 794 the state board shall provide information on the state board's website, including: 795 (a) information on the program manager, including the program manager's contact 796 information; and 797 (b) an overview of the program. 798 Section 1. Effective Date. 799 This bill takes effect on May 7, 2025. - 24 -