Utah 2025 2025 Regular Session

Utah Senate Bill SB0137 Substitute / Bill

Filed 03/07/2025

                    03-07 10:50	4th Sub. (Pumpkin) S.B. 137
Candice B. Pierucci proposes the following substitute bill:
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Course Choice Empowerment
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Kirk A. Cullimore
House Sponsor: Jefferson Moss
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LONG TITLE
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General Description:
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This bill establishes a private online course choice program.
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Highlighted Provisions:
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This bill:
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▸ establishes standards for educational software and hardware procurement;
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▸ removes references to a contractor from the Statewide Online Education Program statute;
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▸ creates an online course choice program specifically for private school students;
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▸ requires the program be administered by an independent program manager contracted by
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the State Board of Education;
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▸ allows eligible students to earn credits through online courses, including courses in
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blended-learning environments;
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▸ establishes a contract administrator role to oversee program implementation;
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▸ authorizes the state board to contract with multiple entities for different program
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functions;
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▸ provides for state oversight while maintaining program independence;
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▸ creates transition provisions if program manager contracts end;
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▸ requires separate funding from public education programs;
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▸ requires the program manager to:
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● approve and oversee course providers;
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● approve and oversee courses offered;
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● establish payment structure for courses; and
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● annually report on program performance; and
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▸ makes technical changes.
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Money Appropriated in this Bill:
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None
4th Sub. S.B. 137 4th Sub. (Pumpkin) S.B. 137	03-07 10:50
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Other Special Clauses:
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This bill provides a coordination clause.
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Utah Code Sections Affected:
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AMENDS:
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53F-4-501, as last amended by Laws of Utah 2024, Third Special Session, Chapter 1
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53F-4-503, as last amended by Laws of Utah 2024, Chapter 24
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53F-4-505, as last amended by Laws of Utah 2024, Chapter 24
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53F-4-507, as last amended by Laws of Utah 2024, Chapter 24
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53F-4-511, as last amended by Laws of Utah 2024, Chapter 24
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53F-4-512, as last amended by Laws of Utah 2024, Chapter 24
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53F-4-514, as last amended by Laws of Utah 2024, Chapter 24
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53F-4-516, as last amended by Laws of Utah 2024, Chapter 24
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53F-6-401, as last amended by Laws of Utah 2024, Chapter 26
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ENACTS:
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53F-4-209, Utah Code Annotated 1953
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53F-4-519, Utah Code Annotated 1953
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53F-6-501, Utah Code Annotated 1953
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Utah Code Sections affected by Coordination Clause:
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Be it enacted by the Legislature of the state of Utah:
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Section 1.  Section 53F-4-209 is enacted to read:
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53F-4-209 . Neutrality and integrity in educational software and hardware
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procurement.
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(1) As used in this section:
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(a) "Educational entity" means:
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(i) the state board; or
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(ii) a local education agency governing board.
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(b) "Computer software" means a set of computer programs, procedures, and associated
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documentation concerned with computer data or with the operation of a computer,
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computer program, or computer network.
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(c) "Total cost of ownership" means the sum of all costs borne by the educational entity
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during the useful life of the software and hardware, including costs for acquisition,
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installation, training, data conversion, integration, maintenance, upgrades, and
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technical support.
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(2) The Legislature finds that:
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(a) the state board and local education agency governing boards have access to a broad
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variety of software and hardware products;
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(b) these boards should evaluate software and hardware based on performance, value,
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cost, and licensing terms; and
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(c) neutral software and hardware procurement practices promote competition, reduce
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costs, and provide better educational outcomes.
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(3) An educational entity shall:
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(a) base software and hardware procurement decisions on performance and value
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criteria, including quality, functionality, security, reliability, interoperability, and
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total cost of ownership;
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(b) maintain neutrality with respect to:
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(i) whether a for-profit or non-profit entity provides the software and hardware; and
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(ii) the licensing model under which a provider offers the software and hardware; and
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(c) retain the ability to install or run software and hardware on hardware that the
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educational entity chooses.
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(4) An educational entity may consider the effect of specific licensing terms in software and
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hardware procurement decisions, including terms governing:
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(a) availability of software and hardware source code;
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(b) rights and restrictions regarding software and hardware modification;
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(c) redistribution rights;
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(d) warranties; and
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(e) intellectual property indemnification.
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(5) An educational entity shall interpret and apply this section in concert with all applicable
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provisions of Title 63G, Chapter 6a, Utah Procurement Code.
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Section 2.  Section 53F-4-501 is amended to read:
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53F-4-501 . Definitions.
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      As used in this part:
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(1) "Authorized online course provider" means the entities listed in Subsection 53F-4-504
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(1).
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(2)(a) "Certified online course provider" means a provider that the state board approves
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to offer courses through the Statewide Online Education Program.
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(b) "Certified online course provider" does not include an entity described in
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Subsections 53F-4-504(1)(a) through (c).
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(3) "Credit" means credit for a high school course, or the equivalent for a middle school
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course, as determined by the state board.
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(4)[(a)] "Eligible student" means a student who:
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[(i)] (a) [who ]intends to take a course for middle school or high school credit; and
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[(ii)(A) who is enrolled in an LEA in Utah;]
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[(B) who attends a private school or home school andwhose custodial parent is a
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resident of Utah; or]
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[(C) who is an exchange student residing in Utah and enrolled in an LEA or
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private school in Utah.]
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(b) is:
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(i) enrolled in an LEA in Utah; or
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(ii) a home-based student in accordance with Section 53G-6-204, whose custodial
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parent is a resident of Utah.
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[(b) "Eligible student" does not include a scholarship student as defined in Section
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53F-6-401.]
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[(5) "Exchange student" means a student sponsored by an agency approved by an LEA or
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private school governing board or a student who has an F-1, J-1, or J-2 visa.]
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[(6)] (5) "High school" means grade 9, 10, 11, or 12.
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[(7)] (6) "Middle school" means, only for purposes of student eligibility to participate in the
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Statewide Online Education Program, grade 6, 7, or 8.
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[(8)] (7) "Online course" means a course of instruction offered by the Statewide Online
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Education Program through the use of digital technology, regardless of whether the
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student participates in the course at home, at school, at another location, or any
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combination of these.
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[(9)] (8) "Plan for college and career readiness" means the same as that term is defined in
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Section 53E-2-304.
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[(10)] (9) "Primary LEA of enrollment" or "primary LEA" means the LEA in which an
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eligible student is enrolled for courses other than online courses offered through the
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Statewide Online Education Program.
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[(11)] (10) "Released-time" means a period of time during the regular school day a student
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is excused from school at the request of the student's parent pursuant to rules of the state
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board.
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[(12) "State board's contractor" means the private entity described in Section 53F-4-503
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with which the state board contracts to administer the portion of the Statewide Online
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Education Program designated for a student who attends private school or home school.]
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Section 3.  Section 53F-4-503 is amended to read:
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53F-4-503 . Option to enroll in online courses offered through the Statewide
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Online Education Program.
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(1) Subject to Subsections (2), (9), and (12), and[, for a public education student, ]  with the
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advice of a school counselor at a student's primary LEA, an eligible student may enroll
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in an online course offered through the Statewide Online Education Program if:
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(a) the student meets the course prerequisites;
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(b) the course is open for enrollment; and
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(c) the online course is aligned with the student's plan for college and career readiness.
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(2) An eligible student may enroll in online courses totaling up to six credits per school
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year.
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(3) Notwithstanding Subsection (2):
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(a) a student's primary LEA of enrollment may allow an eligible student to enroll in
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online courses for more than the number of credits specified in Subsection (2); or
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(b) upon the request of an eligible student, the state board [or, in relation to a student
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who attends a private school or home school, the state board's contractor, ]may allow
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the student to enroll in online courses for more than the number of credits specified in
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Subsection (2), if the online courses better meet the academic goals of the student.
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(4) An eligible student's primary LEA of enrollment:
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(a) in conjunction with the student and the student's parent, is responsible for preparing
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and implementing a plan for college and career readiness for the eligible student, as
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provided in Section 53E-2-304; and
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(b) shall assist an eligible student in scheduling courses in accordance with the student's
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plan for college and career readiness, graduation requirements, and the student's
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post-secondary plans.
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(5) An eligible student's primary LEA of enrollment may not:
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(a) impose restrictions on a student's selection of an online course that fulfills graduation
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requirements and is consistent with the student's plan for college and career readiness
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or post-secondary plans; or
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(b) give preference to an online course or authorized online course provider.
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(6) The state board, [or, in relation to a student who attends a private school or home
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school, the state board's contractor, ]including an employee of the state board[ or the
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state board's contractor,] , may not give preference to an online course or authorized
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online course provider.
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(7)(a) Except as provided in Subsection (7)(b), a person may not provide an inducement
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or incentive to a [public school ]student to participate in the Statewide Online
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Education Program.
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(b) For purposes of Subsection (7)(a):
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(i) "Inducement or incentive" does not mean:
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(A) instructional materials or software necessary to take an online course; or
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(B) access to a computer or digital learning device for the purpose of taking an
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online course.
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(ii) "Person" does not include a relative of the [public school] eligible student.
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(8) The state board shall coordinate with the Utah System of Higher Education to study
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funding structures and access barriers related to concurrent enrollment for the Statewide
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Online Education Program and provide recommendations to the Education Interim
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Committee no later than the November 2024 meeting.
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(9) Subject to legislative appropriations[ and for an eligible student who is enrolled at a
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public school], the state board shall provide Statewide Online Education Program
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academic counseling that:
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(a) may advise an eligible student or an eligible student's parent regarding an online
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course enrollment including how an online course relates to graduation requirements
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described in Section 53E-4-204 and administrative rule;
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(b) provides the training described in Section 53F-4-514;
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(c) provides technical support to an LEA, school-based counselor, eligible student, or
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eligible student's parent;
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(d) assists in gathering information, reports, and data an LEA requests; and
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(e) directs an eligible student or an eligible student's parent to a school-specific
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counselor for advice regarding an online course enrollment in relation to an LEA, or
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school-specific graduation requirement and all other counseling services.
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(10) If an eligible student has an IEP or Section 504 accommodation plan:
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(a) the eligible student's primary LEA:
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(i) shall:
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(A) forward a copy of the relevant portions of the eligible student's existing IEP or
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Section 504 accommodation plan to the authorized online course provider in
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accordance with federal law and guidelines; and
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(B) ensure the authorized online course provider is provided an eligible student's
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updated IEP when revisions are made;
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(ii) may:
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(A) ensure the eligible student's IEP team and the authorized online course
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provider review a course enrollment for compliance with requirements
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described in Subsection (1); and
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(B) as needed, coordinate additional IEP team reviews with the authorized online
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course provider to ensure appropriate services, supports, and accommodations
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are in place for the eligible student; and
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(b) the authorized online course provider:
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(i) shall implement an eligible student's IEP or Section 504 accommodation plan; and
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(ii) may seek assistance from the primary LEA to implement an eligible student's IEP
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or Section 504 accommodation plan.
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(11) The state board shall create a model cooperative agreement between a primary LEA
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and an authorized online course provider for use when the primary LEA determines that
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an authorized online course provider would best provide IEP services, including a
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requirement that the eligible student's primary LEA provide funding for the IEP services.
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(12) If the program lacks sufficient legislative appropriations to fund the enrollment in
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online courses for all eligible students who do not have a primary LEA of enrollment,
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the state board [or, in relation to a student who attends a private school or home school,
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the state board's contractor, ]shall prioritize funding the enrollment of an eligible student
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who intends to graduate from high school during the school year in which the student
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enrolls in an online course.
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[(13) No later than April 1, 2025, and in accordance with Title 63G, Chapter 6a, Utah
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Procurement Code, the state board shall use funds the state board expends to administer
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to the Statewide Online Education Program for students who attend private school or
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home school to alternatively contract with a private entity:]
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[(a) that has demonstrated an expertise or ability to administer a statewide program to
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deliver education services to students who attend private school or home school; and]
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[(b) to administer the portion of the Statewide Online Education Program that is
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designated for students who attend private school or home school, including
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providing an enrollment platform or tool separate from the enrollment tool or
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platform the state board provides for the program.]
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[(14) The state board's contractor described in Subsection (13) may use a percentage of the
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appropriation for home school and private school students that is equal to the proportion
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of the state board's administrative cost in relation to the appropriation for students
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enrolled in an LEA.]
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Section 4.  Section 53F-4-505 is amended to read:
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53F-4-505 . Payment for an online course.
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(1) For the 2012-13 school year, the fee for a .5 credit online course or .5 credit of a 1 credit
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online course is:
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(a) $200 for the following courses, except a concurrent enrollment course:
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(i) financial literacy;
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(ii) health;
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(iii) fitness for life; and
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(iv) computer literacy;
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(b) $200 for driver education;
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(c) $250 for a course that meets core standards for Utah public schools in fine arts or
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career and technical education, except a concurrent enrollment course;
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(d) $300 for the following courses:
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(i) a course that meets core standards for Utah public schools requirements in social
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studies, except a concurrent enrollment course; and
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(ii) a world language course, except a concurrent enrollment course;
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(e) $350 for the following courses:
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(i) a course that meets core standards for Utah public schools requirements for
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language arts, mathematics, or science; and
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(ii) a concurrent enrollment course; and
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(f) $250 for a course not described in Subsections (1)(a) through (e).
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(2) If a course meets the requirements of more than one course fee category described in
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Subsection (1), the course fee shall be the lowest of the applicable course fee categories.
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(3) The online course fees described in Subsection (1) shall be adjusted each school year in
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accordance with the percentage change in value of the weighted pupil unit from the
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previous school year.
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(4) An authorized online course provider shall receive payment for an online course as
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follows:
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(a) for a .5 credit online course, 50% of the online course fee after the withdrawal period
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described in Section 53F-4-506;
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(b) for a 1 credit online course, 25% of the online course fee after the withdrawal period
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described in Section 53F-4-506 and 25% of the online course fee upon the beginning
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of the second .5 credit of the online course; and
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(c) if a student completes a 1 credit online course within 12 months or a .5 credit course
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within nine weeks following the end of a traditional semester, 50% of the online
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course fee.
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(5)(a) If a student fails to complete a 1 credit course within 12 months or a .5 credit
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course within nine weeks following the end of a traditional semester, the student may
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continue to be enrolled in the course until the student graduates from high school.
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(b) To encourage an authorized online course provider to provide remediation to a
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student who remains enrolled in an online course pursuant to Subsection (5)(a) and
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avoid the need for credit recovery, an authorized online course provider shall receive
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a payment equal to 30% of the online course fee if the student completes the online
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course:
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(i) for a high school online course, before the student graduates from high school; or
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(ii) for a middle school online course, before the student completes middle school.
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(6) Notwithstanding the online course fees prescribed in Subsections (1) through (3), a
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school district or charter school may:
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(a) negotiate a fee with an authorized online course provider for an amount up to the
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amount prescribed in Subsections (1) through (3); and
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(b) pay the negotiated fee instead of the fee prescribed in Subsections (1) through (3).
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(7) An authorized online course provider who contracts with a vendor for the acquisition of
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online course content or online course instruction may negotiate the payment for the
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vendor's service independent of the fees specified in Subsections (1) through (3).
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(8) The state board [or, in relation to a student who attends a private school or home school,
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the state board's contractor, ]may not remove a student from an online course if the
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student is eligible for continued enrollment in the online course under Subsection (5).
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(9) Upon request by a primary LEA, the state board shall provide an itemized report to the
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primary LEA showing the deduction described in Subsection 53F-4-508(2) by student
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and course enrolled.
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Section 5.  Section 53F-4-507 is amended to read:
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53F-4-507 . Direction to deduct funds and make payments -- Plan for the
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payment of online courses taken by home-based students.
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(1)[(a)] Subject to future budget constraints, the Legislature shall adjust the
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appropriation for the Statewide Online Education Program based on[:]
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[(i)] 
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(a) the anticipated increase of eligible [home school] home-based [and private school]
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students enrolled in the Statewide Online Education Program; and
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[(ii)] 
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(b) the value of the weighted pupil unit.
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[(b) The state board shall, if the state board contracts with a private entity under
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Subsection 53F-4-503(9), delegate to the state board's contractor the management of
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the funds appropriated for the Statewide Online Education Program for students who
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attend private school or home school.]
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(2) Notwithstanding Subsection (1) and subject to future budget constraints, the Legislature
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shall:
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(a) consider enrollment projections provided by the authorized online course providers
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to account for enrollment growth during the appropriations process; and
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(b) provide a supplemental appropriation to adequately fund the Statewide Online
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Education Program when the enrollment amount exceeds the projected enrollment
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amounts provided by the authorized online course providers[; and] .
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[(c) in the fiscal year beginning July 1, 2025, keep all other appropriations for the
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Statewide Online Education Program separate from the appropriations described in
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Section 53F-4-518.]
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(3)(a) The state board shall deduct money from funds allocated to the student's primary
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LEA of enrollment under Chapter 2, State Funding -- Minimum School Program, to
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pay for online course fees.
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(b) Money shall be deducted under Subsection (3)(a) in the amount and at the time an
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authorized online course provider qualifies to receive payment for an online course
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provided to a [public education] student, not to exceed 90 days after qualification, as
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provided in Subsection 53F-4-505(4).
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[(c) The state board or, in relation to a student who attends a private school or home
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school, the state board's contractor, shall deduct money from funds allocated for
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course fees for a private school or home school student in the amount and at the time
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an authorized online course provider qualifies to receive payment for an online
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course, not to exceed 90 days after qualification.]
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(4) From money deducted under Subsection (3), the state board [or, in relation to a student
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who attends a private school or home school, the state board's contractor, ]shall make
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payments to the student's authorized online course provider as provided in Section
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53F-4-505.
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Section 6.  Section 53F-4-511 is amended to read:
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53F-4-511 . Report on performance of authorized online course providers.
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(1) The state board, in collaboration with authorized online course providers, [and, if
338 
applicable, the state board's contractor, ]shall develop a report on the performance of
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authorized online course providers, which may be used to evaluate the Statewide Online
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Education Program and assess the quality of an authorized online course provider..
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(2) A report on the performance of an authorized online course provider shall include:
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(a) scores aggregated by test on statewide assessments administered under Title 53E,
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Chapter 4, Part 3, Assessments, taken by students at the end of an online course
344 
offered through the Statewide Online Education Program;
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(b) the percentage of the authorized online course provider's students who complete
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online courses within the applicable time period specified in Subsection 53F-4-505
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(4)(c);
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(c) the percentage of the authorized online course provider's students who complete
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online courses after the applicable time period specified in Subsection 53F-4-505
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(4)(c) and before the student graduates from high school; and
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(d) the pupil-teacher ratio for the combined online courses of the authorized online
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course provider.
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(3) The state board shall post a report on the performance of an authorized online course
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provider on the Statewide Online Education Program's website described in Section
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53F-4-512.
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Section 7.  Section 53F-4-512 is amended to read:
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53F-4-512 . Dissemination of information on the Statewide Online Education
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Program.
359 
(1) The state board shall develop a website for the Statewide Online Education Program
360 
which shall include:
361 
(a) a description of the Statewide Online Education Program, including its purposes;
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(b) notwithstanding Subsection (2), information on who is eligible to enroll, and how an
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eligible student may enroll, in an online course;
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(c) a directory of authorized online course providers;
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(d) a link to a course catalog for each authorized online course provider; and
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(e) a report on the performance of authorized online course providers as required by
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Section 53F-4-511.
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(2) An authorized online course provider shall provide the following information on the
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authorized online course provider's website:
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(a) a description of the Statewide Online Education Program, including its purposes;
371 
(b) information on who is eligible to enroll, and how an eligible student may enroll, in
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an online course;
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(c) a course catalog;
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(d) scores aggregated by test on statewide assessments administered under Title 53E,
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Chapter 4, Part 3, Assessments, taken by students at the end of an online course
376 
offered through the Statewide Online Education Program;
377 
(e) the percentage of an authorized online course provider's students who complete
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online courses within the applicable time period specified in Subsection 53F-4-505
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(4)(c);
380 
(f) the percentage of an authorized online course provider's students who complete
381 
online courses after the applicable time period specified in Subsection 53F-4-505
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(4)(c) and before the student graduates from high school; and
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(g) the authorized online course provider's pupil-teacher ratio for the online courses
384 
combined.
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[(3) The state board's contractor shall provide on the contractor's website information
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regarding enrollment and participation by a private school or home school student
387 
through the contractor.]
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Section 8.  Section 53F-4-514 is amended to read:
389 
53F-4-514 . State board -- Rulemaking -- Fees.
390 
(1) Notwithstanding Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the state
391 
board shall provide a delayed effective date that is after the school year has ended for a
392 
change to an administrative rule related to the Statewide Online Education Program if
393 
the change would require an authorized online course provider to make program changes
394 
during the school year.
395 
(2) The state board shall make rules in accordance with this part and Title 63G, Chapter 3,
396 
Utah Administrative Rulemaking Act, that establish:
397 
(a) a course credit acknowledgement form and procedures for completing and
398 
submitting to the state board [or, in relation to a student who attends a private school
399 
or home school, the state board's contractor, ]a course credit acknowledgement;
400 
(b) procedures for the administration of a statewide assessment to a student enrolled in
401 
an online course; [and]
402 
(c) protocols for an online course provider to obtain approval to become a certified
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online course provider, including:
404 
(i) the application procedure for an online course provider to obtain approval to
405 
become a certified online course provider; and
406 
(ii) the standards that a certified online course provider and any online course the
407 
certified online course provider offers shall meet;
408 
(d) in accordance with Title 53E, Chapter 4, Academic Standards, Assessments, and
409 
Materials, criteria for an authorized online course provider to submit for approval an
410 
online course that does not have an existing state board course code; and
411 
(e) [no later than July 1, 2024, a] a process within existing systems at the state board [or,
412 
in relation to a student who attends a private school or home school, the state board's
413 
contractor, ]to allow a certified online course provider access to an educator's
414 
licensing, endorsement, certification, and assignment information if the educator is
415 
teaching an online course for the certified online course provider;
416 
(f) in consultation with the authorized online course providers, the parameters for
417 
conducting a site visit including:
418 
(i) a definition for the term, site visit;
419 
(ii) the minimum amount of time required for:
420 
(A) notice to an authorized online course provider of a site visit; and
421 
(B) an authorized online course provider to prepare for a site visit;
422 
(iii) the documents, data, and artifacts subject to inspection during a site visit; and
423 
(iv) a process to ensure a site visit allows for observation of instruction without
424 
interfering with the instruction;
425 
(g) annual mandatory training for relevant staff at a primary LEA that includes:
426 
(i) program requirements for a primary LEA including reporting requirements and
427 
methods;
428 
(ii) uses of resources and tools to ensure adequate monitoring of an eligible student's
429 
progress;
430 
(iii) federal and state requirements for accommodating enrollments that involve
431 
special education;
432 
(iv) appropriate circumstances and methodologies for reducing an eligible student's
433 
schedule; and
434 
(v) other components the state board determines are necessary[; and] .
435 
(3)(a) When establishing the standards described in Subsection (2)(c)(ii) the state board
436 
shall:
- 13 - 4th Sub. (Pumpkin) S.B. 137	03-07 10:50
437 
(i) establish rules and minimum standards regarding accreditation;
438 
(ii) require an online course to be aligned with the core standards described in
439 
Section 53E-4-202;
440 
(iii) require proof that a national organization responsible for college athletics
441 
endorses:
442 
(A) the certified online course provider; or
443 
(B) the online course that a certified online course provider offers;
444 
(iv) permit an open-entry, open-exit method of instructional delivery that allows a
445 
student the flexibility to:
446 
(A) schedule in response to individual needs or requirements;
447 
(B) demonstrate competency when the student has mastered knowledge and skills;
448 
(C) begin or end study at any time; and
449 
(D) progress through course material at the student's own pace; and
450 
(v) except as provided in Subsection (5), require an individual who teaches a course
451 
for a certified online course provider to hold a teaching license issued by the state
452 
board.
453 
(b) When establishing the standards described in Subsection (2)(c)(ii), the state board
454 
may not:
455 
(i) specify a minimum duration for an online course;
456 
(ii) specify a minimum amount of time that a student must spend in an online course;
457 
or
458 
(iii) limit the class size of an online course.
459 
(4) No later than January 31, 2026, the state board shall create a communication dashboard
460 
for the program [and only related to eligible students enrolled in a public school ]that
461 
may include:
462 
(a) a counselor contact list for an eligible student that is accessible to an authorized
463 
online course provider; and
464 
(b) progress monitoring fields that are accessible to the primary LEA, the eligible
465 
student's counselor, and the eligible student's parent containing:
466 
(i) grade progress reporting of an eligible student by an authorized online course
467 
provider;
468 
(ii) an ability to flag a student that is at-risk of failing an online course; and
469 
(iii) other relevant capabilities the state board determines to be necessary in
470 
consultation with LEA users of the dashboard.
- 14 - 03-07 10:50	4th Sub. (Pumpkin) S.B. 137
471 
(5) If an individual possesses a provider-specific license described in Section 53E-6-201,
472 
the state board may not prohibit the individual from teaching an online course for an
473 
authorized online course provider while the individual is in the process of obtaining an
474 
endorsement or additional license issued by the state board.
475 
(6) The state board may establish a fee, in accordance with Section 63J-1-504, in an amount
476 
to pay the costs to the state board of the application approval process and the monitoring
477 
of a certified online course provider's compliance with the standards described in
478 
Subsection (2)(c)(ii).
479 
(7)(a) Fee revenue collected in accordance with Subsection (6) shall be:
480 
(i) deposited into the Uniform School Fund as a dedicated credit; and
481 
(ii) used to pay the costs to the state board of reviewing certified online course
482 
providers' applications and compliance with the standards described in Subsection
483 
(2)(c)(ii).
484 
Section 9.  Section 53F-4-516 is amended to read:
485 
53F-4-516 . Report of noncompliance -- Action to ensure compliance.
486 
(1) The state superintendent shall report to the state board any report of noncompliance of
487 
this part made to a staff member of the state board[ or, in relation to a student who
488 
attends a private school or home school, the state board's contractor].
489 
(2) The state board [and, if applicable, the state board's contractor, ]shall take appropriate
490 
action to ensure compliance with this part.
491 
Section 10.  Section 53F-4-519 is enacted to read:
492 
53F-4-519 .  Home-based  student access to online courses.
493 
      Subject to legislative appropriations and Subsection 53-4-514(2), and notwithstanding
494 
Subsections 53F-4-509(2) and (3), the state board shall
495 
(1) use funds from an appropriation for the Statewide Online Education Program to pay for
496 
an online course fee described in Section 53F-4-505 for a home-based student whose
497 
custodial parent is a resident of Utah; and
498 
(2) allocate funds for online course fees for home-based students on a first-come,
499 
first-served basis until the appropriated funds are fully expended.
500 
Section 11.  Section 53F-6-401 is amended to read:
501 
53F-6-401 . Definitions.
502 
      As used in this part:
503 
(1) "Eligible student" means a student:
504 
(a) who is eligible to participate in public school, in kindergarten, or grades 1 through 12;
- 15 - 4th Sub. (Pumpkin) S.B. 137	03-07 10:50
505 
(b) who is a resident of the state, including a child of a military service member, as that
506 
term is defined in Section 53B-8-102;
507 
(c) who, during the school year for which the student is applying for a scholarship
508 
account:
509 
(i) does not receive a scholarship under:
510 
(A) the Carson Smith Scholarship Program established in Section 53F-4-302; or
511 
(B) the Carson Smith Opportunity Scholarship Program established in Section
512 
53E-7-402; and
513 
(ii) is not enrolled in, upon receiving the scholarship:
514 
(A) an LEA; or
515 
(B) the Statewide Online Education Program to participate in a course with
516 
funding provided under Title 53F, Chapter 4, Part 5, Statewide Online
517 
Education Program, which does not include participation in a course by an
518 
entity as described in Subsection 53F-6-409(7);
519 
(d) whose eligibility is not suspended or disqualified under Section 53F-6-401; and
520 
(e) who completes, to maintain eligibility, the portfolio requirement described in
521 
Subsection 53F-6-402(3)(d).
522 
(2) "Federal poverty level" means the United States poverty level as defined by the most
523 
recently revised poverty income guidelines published by the United States Department
524 
of Health and Human Services in the Federal Register.
525 
(3)(a) "Home-based scholarship student" means a student who:
526 
(i) is eligible to participate in public school, in kindergarten or grades 1 through 12;
527 
(ii) is excused from enrollment in an LEA in accordance with Section 53G-6-204 to
528 
attend a [home school] home-based learning environment; and
529 
(iii) receives a benefit of scholarship funds.
530 
(b) "Home-based scholarship student" does not mean a [home school] home-based
531 
student who does not receive a scholarship under the program.
532 
(4) "Parent" means:
533 
(a) the same as that term is defined in Section 53E-1-102; and
534 
(b) a foster parent who has initiated a process to adopt the foster child.
535 
(5) "Program manager" means an organization that:
536 
(a) is qualified as tax exempt under Section 501(c)(3), Internal Revenue Code;
537 
(b) is not affiliated with any international organization;
538 
(c) does not harvest data for the purpose of reproducing or distributing the data to other
- 16 - 03-07 10:50	4th Sub. (Pumpkin) S.B. 137
539 
entities;
540 
(d) has no involvement in guiding or directing any curriculum or curriculum standards;
541 
(e) does not manage or otherwise administer a scholarship under:
542 
(i) the Carson Smith Scholarship Program established in Section 53F-4-302; or
543 
(ii) the Carson Smith Opportunity Scholarship Program established in Section
544 
53E-7-402; and
545 
(f) an agreement with the state board recognizes as a program manager, in accordance
546 
with this part.
547 
(6)(a) "Program manager employee" means an individual working for the program
548 
manager in a position in which the individual's salary, wages, pay, or compensation,
549 
including as a contractor, is paid from scholarship funds.
550 
(b) "Program manager employee" does not include:
551 
(i) an individual who volunteers for the program manager or for a qualifying provider;
552 
(ii) an individual who works for a qualifying provider; or
553 
(iii) a qualifying provider.
554 
(7) "Program manager officer" means:
555 
(a) a member of the board of a program manager; or
556 
(b) the chief administrative officer of a program manager.
557 
(8)(a) "Qualifying provider" means one of the following entities:
558 
(i) an eligible school that the program manager approves in accordance with Section
559 
53F-6-408; or
560 
(ii) an eligible service provider that the program manager approves in accordance
561 
with Section 53F-6-409.
562 
(b) "Qualifying provider" does not include:
563 
(i) a parent of a home-based scholarship student [or a home school student] solely in
564 
relation to the parent's child; or
565 
(ii) any other individual that does not meet the requirements described in Subsection
566 
(8)(a).
567 
(9) "Relative" means a father, mother, husband, wife, son, daughter, sister, brother, uncle,
568 
aunt, nephew, niece, first cousin, mother-in-law, father-in-law, brother-in-law,
569 
sister-in-law, son-in-law, or daughter-in-law.
570 
(10) "Scholarship account" means the account to which a program manager allocates funds
571 
for the payment of approved scholarship expenses in accordance with this part.
572 
(11)(a) "Scholarship expense" means an expense described in Section 53F-6-402 that a
- 17 - 4th Sub. (Pumpkin) S.B. 137	03-07 10:50
573 
parent or scholarship student incurs in the education of the scholarship student for a
574 
service or goods that a qualifying provider provides, including:
575 
[(a)] (i) tuition and fees of a qualifying provider;
576 
[(b)] (ii) fees and instructional materials at a technical college;
577 
[(c)] (iii) tutoring services;
578 
[(d)] (iv) fees for after-school or summer education programs;
579 
[(e)] (v) textbooks, curricula, or other instructional materials, including any
580 
supplemental materials or associated online instruction that a curriculum or a
581 
qualifying provider recommends;
582 
[(f)] (vi) educational software and applications;
583 
[(g)] (vii) supplies or other equipment related to a scholarship student's educational
584 
needs;
585 
[(h)] (viii) computer hardware or other technological devices that are intended
586 
primarily for a scholarship student's educational needs;
587 
[(i)] (ix) fees for the following examinations, or for a preparation course for the
588 
following examinations, that the program manager approves:
589 
[(i)] (A) a national norm-referenced or standardized assessment described in
590 
Section 53F-6-410, an advanced placement examination, or another similar
591 
assessment;
592 
[(ii)] (B) a state-recognized industry certification examination; and
593 
[(iii)] (C) an examination related to college or university admission;
594 
[(j)] (x) educational services for students with disabilities from a licensed or
595 
accredited practitioner or provider, including occupational, behavioral, physical,
596 
audiology, or speech-language therapies;
597 
[(k)] (xi) contracted services that the program manager approves and that an LEA
598 
provides, including individual classes, after-school tutoring services,
599 
transportation, or fees or costs associated with participation in extracurricular
600 
activities;
601 
[(l)] (xii) ride fees or fares for a fee-for-service transportation provider to transport the
602 
scholarship student to and from a qualifying provider, not to exceed $750 in a
603 
given school year;
604 
[(m)] (xiii) expenses related to extracurricular activities, field trips, educational
605 
supplements, and other educational experiences; or
606 
[(n)] (xiv) any other expense for a good or service that:
- 18 - 03-07 10:50	4th Sub. (Pumpkin) S.B. 137
607 
[(i)] (A) a parent or scholarship student incurs in the education of the scholarship
608 
student; and
609 
[(ii)] (B) the program manager approves, in accordance with Subsection (5)(d).
610 
(b) "Scholarship expense" does not include:
611 
(i) chaperone expenses, except that a family with one or more scholarship students
612 
receiving the scholarship under Subsection 53F-6-402(2)(c) may use scholarship
613 
funds for one chaperone expense or pass per family, regardless of how many
614 
scholarship students are in the family or household;
615 
(ii) season tickets or subscriptions to entertainment venues;
616 
(iii) ski passes or lift tickets;
617 
(iv) access to recreational facilities unless for physical education of the student;
618 
(v) playground equipment;
619 
(vi) the purchase of any type of:
620 
(A) furniture; or
621 
(B) a musical instrument;
622 
(vii) apparel; and
623 
(viii) other non-educational expenses as the program manager determines.
624 
(12) "Scholarship funds" means:
625 
(a) funds that the Legislature appropriates for the program; and
626 
(b) interest that scholarship funds accrue.
627 
(13)(a) "Scholarship student" means an eligible student, including a home-based
628 
scholarship student, for whom the program manager establishes and maintains a
629 
scholarship account in accordance with this part.
630 
(b) "Scholarship student" does not include a [home school] home-based student who does
631 
not receive a scholarship award under the program.
632 
(14) "Utah Fits All Scholarship Program" or "program" means the scholarship program
633 
established in Section 53F-6-402.
634 
Section 12.  Section 53F-6-501 is enacted to read:
635 
 
Part 5. Utah Private Course Choice Empowerment
636 
53F-6-501 . Utah Private Course Choice Empowerment program.
637 
(1) As used in this section:
638 
(a) "Authorized online course provider" or "provider" means a provider approved by the
639 
program manager to offer online courses through the program.
640 
(b) "Blended learning" means an education model that:
- 19 - 4th Sub. (Pumpkin) S.B. 137	03-07 10:50
641 
(i) combines in-person and online or digital instruction and learning activities;
642 
(ii) allows students to receive instruction through:
643 
(A) direct, in-person interaction with an instructor;
644 
(B) digital or online content and activities; or
645 
(C) a combination of both in-person and online methods;
646 
(iii) may include hybrid teaching formats where:
647 
(A) some students participate in-person while others participate remotely; or
648 
(B) instruction alternates between in-person and online delivery; and
649 
(iv) provides students flexibility in time, place, path, or pace of learning.
650 
(c) "Contract administrator" means the state board's appointed Deputy Superintendent of
651 
Operations that ensures the program manager meets contractual obligations.
652 
(d) "Contract oversight and compliance" means the oversight and coordination functions
653 
performed by the Department of Operations contract administrator, including:
654 
(i) establishing and maintaining program standards within a contract with a program
655 
manager;
656 
(ii) determining operational requirements and structures;
657 
(iii) procuring and managing contracts for program services and standards;
658 
(iv) ensuring program integrity through direct or contracted oversight;
659 
(v) coordinating program functions and contracted services with a program manager;
660 
and
661 
(vi) maintaining appropriate separation between government oversight and
662 
independent program operations.
663 
(e) "Contracted entity" means an organization that:
664 
(i) contracts with the state board to perform duties and functions necessary for
665 
program administration and operations;
666 
(ii) is not affiliated with any international organization;
667 
(iii) does not harvest data for the purpose of reproducing or distributing the data to
668 
other entities;
669 
(iv) has no involvement in guiding or directing any curriculum or curriculum
670 
standards; and
671 
(v) performs the specific duties and functions assigned in the contract with the state
672 
board.
673 
(f) "Department of Operations" means the section of the state board that oversees
674 
financial operations, procurement operations, data and statistics operations, school
- 20 - 03-07 10:50	4th Sub. (Pumpkin) S.B. 137
675 
land trust, and information technology operations for the state board.
676 
(g) Eligible student" means a student:
677 
(i) who attends a private school whose parent is a resident of Utah; or
678 
(ii) who is an exchange student residing in Utah and enrolled in a private school in
679 
Utah.
680 
(h) "Online course" means a course of instruction for grades 6 through 12 offered
681 
through the program using digital technology, including:
682 
(i) an exclusively online learning and instructional model; or
683 
(ii) blended learning models.
684 
(i) "Private school" means the same as term is defined in Section 53F-6-401.
685 
(j) "Program" means the Utah Private Course Choice Empowerment program created in
686 
this section.
687 
(k) "Program manager" means a contracted entity that, at the time of application,
688 
demonstrates the ability without external contracts to internally meet the
689 
qualifications specified in this section, that is contracted by the state board to
690 
administer the Utah Private Course Choice Empowerment program, including:
691 
(i) the ability to manage, distribute, and transact program funds;
692 
(ii) capacity to create and maintain a user-friendly website;
693 
(iii) the ability to verify a student's eligibility based on the requirements of this part;
694 
(iv) capacity to process provider payments and maintain financial records;
695 
(v) ability to track, monitor, and report program enrollment, participation, and
696 
outcomes at both provider and individual student levels; and
697 
(vi) maintenance of a publicly accessible provider list, including:
698 
(A) the capability to allow a student or a student's parent to rate, review, and share
699 
information about providers; and
700 
(B) appropriate links to a provider's course catalog.
701 
(2) The program is created to enable an eligible student to engage in taking online courses.
702 
(3) The purposes of the program are to:
703 
(a) provide a student with access to online learning options regardless of where the
704 
student attends school, including blending learning settings;
705 
(b) provide digital learning options for a student regardless of language, residence,
706 
family income, or special needs;
707 
(c) utilize the power and scalability of technology to customize education so that a
708 
student may learn in the student's own style preference and at the student's own pace;
- 21 - 4th Sub. (Pumpkin) S.B. 137	03-07 10:50
709 
(d) provide greater access to self-paced programs enabling a high achieving student to
710 
accelerate academically, while a struggling student may have additional time and
711 
help to gain competency;
712 
(e) allow a student to customize the student's schedule to better meet the student's
713 
academic goals;
714 
(f) provide quality learning options to better prepare a student for post-secondary
715 
education and career opportunities; and
716 
(g) support flexible learning environments through blended learning options that
717 
combine the benefits of both in-person and online instruction to enhance student
718 
engagement and achievement.
719 
(4) An eligible student may enroll in an online course offered through the program if:
720 
(a) the student meets the course prerequisites; and
721 
(b) the course is open for enrollment.
722 
(5)(a) An eligible student may enroll in online courses up to the equivalent of six credits
723 
per school year.
724 
(b) Notwithstanding Subsection (5)(a), if an eligible student is also a scholarship student
725 
as defined in Section 53F-6-401, the student may enroll in online courses up to the
726 
equivalent of four credits per school year.
727 
(6)(a) No later than April 1, 2025, the state board shall:
728 
(i) in accordance with Title 63G, Chapter 6a, Utah Procurement Code, enter in an
729 
agreement with one or more contracted entities to serve as a program manager for
730 
the program, including management of the funds appropriated for the program;
731 
(ii) ensure the initial contract is no more than a three-year contract with annual
732 
renewal options subject to performance review and compliance with Title 63G,
733 
Chapter 6a, Utah Procurement Code; and
734 
(iii) ensure the contract:
735 
(A) clearly delineates the specific duties and functions to be performed;
736 
(B) ensures the efficiency and success of the program;
737 
(C) maintains appropriate separation between program and contract administration
738 
and direct educational services;
739 
(D) preserves the independence of educational decisions made between parents
740 
and providers; and
741 
(E) does not impose any requirements on the program manager that are not
742 
essential to the basic administration of the program or create restrictions,
- 22 - 03-07 10:50	4th Sub. (Pumpkin) S.B. 137
743 
directions, or mandates regarding instructional content or curriculum.
744 
(b) The state board shall perform contract oversight and compliance through the contract
745 
administrator, who shall:
746 
(i) regulate and take enforcement action as necessary against a program manager in
747 
accordance with the provisions of the state board's agreement with the program
748 
manager;
749 
(ii) ensure the program manager adheres to all contractual obligations;
750 
(iii) review all program reports and financial records;
751 
(iv) conduct regular compliance audits; and
752 
(v) evaluate the program manager's performance annually.
753 
(c) The state board shall not include a provision in any rule that creates or implies a
754 
restriction, direction, or mandate regarding program administration, including student
755 
enrollment, payments to providers, instructional content, or curriculum.
756 
(d) The state board, in collaboration with the contract administrator, may:
757 
(i) distribute program functions among multiple contracted entities, including:
758 
(A) program management functions;
759 
(B) financial processing and payment functions;
760 
(C) provider management functions; and
761 
(D) other administrative functions as needed; and
762 
(ii) ensure appropriate coordination between all contracted entities through clearly
763 
defined roles and responsibilities in each contract.
764 
(7)(a) The program manager shall:
765 
(i) administer the program;
766 
(ii) ensure an eligible student can navigate to all authorized online course providers'
767 
enrollment platforms or tools for the program;
768 
(iii) approve and oversee authorized online course providers;
769 
(iv) establish guidelines for qualifying providers and courses;
770 
(v) manage funds appropriated for the program;
771 
(vi) make payments to authorized online course providers that may not include
772 
transaction fees of any kind;
773 
(vii) as described in Subsection (19), provide an annual report on the performance of
774 
the program to the Education Interim Committee; and
775 
(viii) ensure compliance with applicable laws and regulations.
776 
(b) The program manager shall maintain detailed financial records subject to review by
- 23 - 4th Sub. (Pumpkin) S.B. 137	03-07 10:50
777 
the contract administrator, including:
778 
(i) all course payments processed;
779 
(ii) provider payment histories;
780 
(iii) administrative costs; and
781 
(iv) audit results.
782 
(8) The state board may regulate and take enforcement action as necessary against a
783 
program manager in accordance with the provisions of the state board's agreement with
784 
the program manager.
785 
(9)(a) If the state board determines that a program manager has violated a provision of
786 
this part or a provision of the state board's agreement with the program manager, the
787 
state board shall send written notice to the program manager explaining the violation
788 
and the remedial action required to correct the violation.
789 
(b) A program manager that receives a notice described in Subsection (9)(a) shall, no
790 
later than 60 days after the day on which the program manager receives the notice,
791 
correct the violation and report the correction to the state board.
792 
(c)(i) If a program manager that receives a notice described in Subsection (9)(a) fails
793 
to correct a violation in the time period described in Subsection (9)(b), the state
794 
board may bar the program manager from further participation in the program.
795 
(ii) A program manager may appeal a decision of the state board under Subsection
796 
(9)(c)(i) in accordance with Title 63G, Chapter 4, Administrative Procedures Act.
797 
(d) A program manager may not accept state funds while the program manager:
798 
(i) is barred from participating in the program under Subsection (9)(c)(i); or
799 
(ii) has an appeal pending under Subsection (9)(c)(ii).
800 
(e) A program manager that has an appeal pending under Subsection (9)(c)(ii) may
801 
continue to administer online courses during the pending appeal.
802 
(10) The program manager shall approve online course providers to offer courses through
803 
the program.
804 
(11)(a) Subject to Subsection (11)(b), the program manager shall establish a process to
805 
approve an entity as an authorized online course provider, including:
806 
(i) the entity's demonstration of at least three years of experience in either:
807 
(A) developing and delivering proprietary digital coursework for students; or
808 
(B) successfully aggregating and managing third-party digital education providers
809 
and courses for students;
810 
(ii) the ability to provide a publicly available user-friendly website for an eligible
- 24 - 03-07 10:50	4th Sub. (Pumpkin) S.B. 137
811 
student, including:
812 
(A) an accessible course enrollment system;
813 
(B) comprehensive provider and course information; and
814 
(C) program participation metrics;
815 
(iii) verification that within the past five years, the entity:
816 
(A) has not been subject to sanctions;
817 
(B) has not undergone investigations;
818 
(C) has not had adverse findings in malfeasance audits; and
819 
(D) has not received other official censures in any state where it delivers digital
820 
courses;
821 
(iv) certification that the entity is not currently named in any lawsuit or ongoing civil
822 
litigation in any state where the entity delivers digital courses; and
823 
(v) the entity's demonstrated capacity to:
824 
(A) evaluate and monitor course quality and content;
825 
(B) verify instructor qualifications and experience;
826 
(C) ensure instructor technical competency;
827 
(D) conduct instructor background checks;
828 
(E) provide regular professional development;
829 
(F) implement student safety policies;
830 
(G) maintain data privacy and security;
831 
(H) enforce a learner code of conduct; and
832 
(I) uphold academic integrity standards.
833 
(b) In accordance with Subsection (13), the program manager shall allow all authorized
834 
online course providers and courses the state board has approved up to July 1, 2024,
835 
for the Statewide Online Education Program described in Title 53F, Chapter 4, Part
836 
5, Statewide Online Education Program, to be offered to private school students.
837 
(12) The program manager may revoke approval of an authorized online course provider
838 
for non-compliance with program requirements described in this section or poor
839 
performance as the program manager determines.
840 
(13) The program manager shall establish a process for reviewing and approving courses to
841 
be offered through the program, including:
842 
(a) submission of the following course information:
843 
(i) course title;
844 
(ii) course fee;
- 25 - 4th Sub. (Pumpkin) S.B. 137	03-07 10:50
845 
(iii) subject area;
846 
(iv) if applicable, credits earned;
847 
(b) description of course organization, including:
848 
(i) modules, units, or chapters;
849 
(ii) frequency of assessments; and
850 
(iii) overall course length;
851 
(c) course pacing information, including:
852 
(i) recommended standard course pace progression;
853 
(ii) expected weeks of study per semester of content; and
854 
(iii) acknowledgment of a student's flexibility to adjust course pace;
855 
(d) course withdrawal policy;
856 
(e) final completion deadline for the course;
857 
(f) summary description of course subject matter content;
858 
(g) course prerequisites, if any;
859 
(h) required course materials, including:
860 
(i) technology requirements; and
861 
(ii) tangible materials needed for course completion;
862 
(i) alignment with any applicable:
863 
(i) industry standards;
864 
(ii) state board standards;
865 
(iii) National Collegiate Athletic Association requirements; or
866 
(iv) accreditation requirements;
867 
(j) method of course instruction and delivery;
868 
(k) description of instructional support, including:
869 
(i) frequency of instructor-initiated one-on-one progress checks;
870 
(ii) frequency of instructor-led tutoring;
871 
(iii) availability of small-group tutoring;
872 
(iv) frequency of synchronous one-on-one instructor-led checks for a student's
873 
understanding; and
874 
(v) regular student interaction with educators;
875 
(l) student-to-teacher ratio;
876 
(m) for blended or hybrid format courses:
877 
(i) a description of in-person instruction components; and
878 
(ii) any waiver for online instructional support requirements when a student receives
- 26 - 03-07 10:50	4th Sub. (Pumpkin) S.B. 137
879 
real-time in-person instruction for a portion of the course; and
880 
(n) prohibiting credit recovery courses or packet-based courses.
881 
(14) The program manager shall ensure the review process described in Subsection (13):
882 
(a) does not require an authorized online course provider to alter the provider's:
883 
(i) creed;
884 
(ii) practices;
885 
(iii) admissions policies;
886 
(iv) hiring practices; or
887 
(v) curricula, including any religious course or course content;
888 
(b) maintains an authorized online course provider's autonomy while accepting program
889 
funds; and
890 
(c) provides for a regular renewal of:
891 
(i) a course approval; and
892 
(ii) an authorized online course provider's authorization based on criteria, including:
893 
(A) a course completion rate of at least 80%;
894 
(B) reviews of the courses provided by a parent or eligible student; and
895 
(C) if applicable, fidelity to the approval criteria described in Subsection (11).
896 
(15) An authorized online course provider shall:
897 
(a) for each course offered, establish reasonable:
898 
(i) course lengths;
899 
(ii) standardized completion deadlines that are the same for all courses offered by the
900 
provider;
901 
(iii) standardized withdrawal deadlines that are the same for all courses offered by the
902 
provider; and
903 
(iv) course fees;
904 
(b) submit the information described in Subsections (13) and (15)(a) to the program
905 
manager for approval;
906 
(c) ensure the information described in Subsections (13) and (15)(a) are correctly posted
907 
with each course listing; and
908 
(d) report enrollment and withdrawal data to the program manager within five business
909 
days.
910 
(16) Subject to legislative appropriation, the program manager shall manage program funds
911 
to administer the program, including:
912 
(a) paying a course fee to an authorized online course provider as follows:
- 27 - 4th Sub. (Pumpkin) S.B. 137	03-07 10:50
913 
(i) 60% of the course fee paid upon an eligible student's enrollment; and
914 
(ii) 40% of the course fee paid upon the eligible student's completion of the course;
915 
(b) if the student does not complete the course by the deadline the authorized online
916 
course provider establishes as described in Subsection (15), disqualifying an
917 
authorized online course provider from receiving the 40% of the course fee as
918 
described in Subsection (16)(a)(ii);
919 
(c) processing payments to a provider within 30 days of relevant deadlines for
920 
enrollment, withdrawal, or course completion; and
921 
(d) establishing a payment structure for payments made to a provider that ensures no
922 
transaction fees are passed on to the provider.
923 
(17) Subject to legislative appropriation, the Legislature shall:
924 
(a) provide funds for the program that are separate from funding for public education
925 
programs; and
926 
(b) adjust the appropriation based on anticipated enrollment increases in the program.
927 
(18) The program manager may use a percentage of the appropriation described in
928 
Subsection (17) for administrative costs as follows:
929 
(a) up to 8% of the appropriation for administrative costs when the total annual
930 
appropriation from the Legislature is $10,000,000 or less; and
931 
(b) up to 5% of the appropriation for administrative costs when the total annual
932 
appropriation from the Legislature exceeds $10,000,000.
933 
(19) The program manager shall provide an annual report to the Education Interim
934 
Committee regarding the performance of the program, including:
935 
(a) number of students served;
936 
(b) courses offered and completed;
937 
(c) student progress and completion rates; and
938 
(d) financial information and use of funds.
939 
(20) The program manager shall establish a comprehensive system for monitoring
940 
providers, including:
941 
(a) regular performance reviews based on:
942 
(i) student completion rates;
943 
(ii) student academic progress metrics;
944 
(iii) instructor qualifications and performance;
945 
(iv) course content quality and alignment; and
946 
(v) technical system reliability;
- 28 - 03-07 10:50	4th Sub. (Pumpkin) S.B. 137
947 
(b) annual compliance audits of:
948 
(i) financial records;
949 
(ii) student data privacy practices; and
950 
(iii) security protocols; and
951 
(c) regular provider site visits that occur at least once per academic year.
952 
(21) On or before July 1, 2025, and as frequently as necessary to maintain the information,
953 
the state board shall provide information on the state board's website, including:
954 
(a) information on the program manager, including the program manager's contact
955 
information; and
956 
(b) an overview of the program.
957 
(22) In the event of the expiration or termination of a program manager contract, or the
958 
inability of a program manager to perform required duties:
959 
(a) the Department of Operations shall serve as a temporary bridge program
960 
administrator solely during the time required to:
961 
(i) maintain essential program operations; and
962 
(ii) complete the procurement process for selecting a new program manager;
963 
(b) the Department of Operations shall immediately initiate and complete the
964 
procurement process described in this section in an expedited manner;
965 
(c) the Department of Operations shall establish clear timelines and procedures for the
966 
transition process between the previous program manager to the Department of
967 
Operations to the new program manager; and
968 
(d) the Department of Operations shall provide proper notice to and coordinate with:
969 
(i) authorized online course providers;
970 
(ii) parents;
971 
(iii) the state board; and
972 
(iv) other affected parties.
973 
Section 13.  Effective Date.
974 
This bill takes effect on May 7, 2025.
975 
Section 14.  Coordinating S.B. 137 with H.B. 455.
976 
If S.B. 137, Course Choice Empowerment, and H.B. 455, Utah Fits All Scholarship
977 
Program Amendments, both pass and become law, the Legislature intends that, on May 7,
978 
2025, the amendments to Subsection 53F-6-401(11)(b) in S.B. 137 supersede the amendments
979 
to Subsection 53F-6-401(20)(b) in H.B. 455.
- 29 -