HOUSE AMENDMENT Bill No. CS/CS/SB 1436
1	CHAMBER ACTION
2	Senate House
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12	Representative Vana offered the following:
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14	Amendment to Amendment (483919)
15	Remove line(s) 168-1395, and insert:
16	(m) Provide kindergarten grants in accordance with s.
17	1002.396.
18	(n) Provide K-8 virtual school grants in accordance with
19	s. 1002.397.
20	(o) Adopt policies to encourage the use of charter schools
21	that meet financial, management, accountability, and performance
22	standards as established by the State Board of Education.
23	(p) Use any other approach not prohibited by law.
24	(5) ACCOUNTABILITY.--
25	(a) Beginning in the 2004-2005 fiscal year, if the
26	Commissioner of Education determines for any year that a school
27	district has not reduced average class size as required in
28	subsection (3) at the time of the third FEFP calculation, the
29	department shall calculate an amount from the class size
30	reduction operating categorical that is proportionate to the
31	amount of class size reduction not accomplished. Upon
32	verification of the department's calculation by the Florida
33	Education Finance Program Appropriation Allocation Conference,
34	the Executive Office of the Governor shall transfer
35	undistributed funds, except for funds that have been encumbered
36	for classroom teacher contracts, equivalent to the calculated
37	amount from the school district's class size reduction operating
38	categorical to an approved fixed capital outlay appropriation
39	for class size reduction in the affected school district
40	pursuant to s. 216.292(13). The amount of such funds transferred
41	shall be the lesser of the amount specified above or the
42	undistributed balance of the school district's class size
43	reduction operating categorical.
44	(b) Beginning in the 2006-2007 school year, the
45	Commissioner of Education shall determine by January 15 of each
46	year which school districts have not met the two-student-per-
47	year reduction required in subsection (3) based upon a
48	comparison of the school district's October student membership
49	survey for the current school year and the March 2003 baseline
50	student membership survey. The commissioner shall report such
51	school districts to the Legislature. Each school district that
52	has not met the two-student-per-year reduction shall be required
53	to implement one of the following policies in the subsequent
54	school year unless the commissioner finds that the school
55	district comes into compliance based upon the February student
56	membership survey:
57	1. Year-round schools;
58	2. Double sessions;
59	3. Florida Learning Access Grants, pursuant to s.
60	1002.395;
61	4. Rezoning; or
62	5. Maximizing use of instructional staff by changing
63	required teacher loads and scheduling of planning periods,
64	deploying school district employees who have professional
65	certification to the classroom, using adjunct educators,
66	operating schools beyond the normal operating hours to provide
67	classes in the evening, or operating more than one session of
68	school during the day.
69	A school district that is required to implement one of the
70	policies outlined in subparagraphs 1.-5. shall correct in the
71	year of implementation any past deficiencies and bring the
72	school district into compliance with the two-student-per-year
73	reduction requirements pursuant to subsection (3). A school
74	district may choose to implement more than one of these
75	policies. The district school superintendent shall report to the
76	Commissioner of Education the extent to which the school
77	district implemented any of the policies outlined in
78	subparagraphs 1.-5. in a format to be specified by the
79	commissioner. The commissioner shall use the enforcement
80	authority provided in s. 1008.32 to ensure that school districts
81	comply with the provisions of this paragraph.
82	(c) Beginning in the 2007-2008 school year, the
83	Commissioner of Education shall annually determine which school
84	districts do not meet the requirements described in subsection
85	(3). In addition to enforcement authority provided in s.
86	1008.32, the commissioner shall develop a constitutional
87	compliance plan for each such school district that includes, but
88	is not limited to, redrawing school attendance zones to maximize
89	use of facilities while minimizing the additional use of
90	transportation, unless the commissioner finds that the school
91	district comes into compliance based upon the February student
92	membership survey and the other accountability policies listed
93	in paragraph (b). Each district school board shall implement
94	its constitutional compliance plan developed by the commissioner
95	until the school district complies with the constitutional class
96	size maximums.
97	Section 4. Section 1011.685, Florida Statutes, is created
98	to read:
99	1011.685 Class size reduction; operating categorical
100	fund.--
101	(1) There is created an operating categorical fund for
102	implementing the class size reduction provisions of s. 1, Art.
103	IX of the State Constitution. These funds shall be allocated to
104	each school district based on the school district's
105	proportionate share of FEFP base funding. Funds shall be
106	released upon the State Board of Education's approval of the
107	school district's class size reduction plan.
108	(2) Class size reduction operating categorical funds shall
109	be used by school districts for the following:
110	(a) To reduce class size in any lawful manner if the
111	school district has not met the constitutional class size
112	maximums identified in s. 1003.03(2) or the two-student-per-year
113	reduction required by s. 1003.03(3).
114	(b) Upon satisfying the requirements of paragraph (a), to
115	implement the requirements of ss. 1011.63 and 1012.231(2).
116	(c) Upon satisfying the requirements of paragraphs (a) and
117	(b), for any lawful operating expenditure; however, priority
118	should be given to increasing the salary of career teachers as
119	defined in s. 1012.231(2)(b).
120	(3) Notwithstanding the provisions of s. 1011.71(2), a
121	school district receiving funds under this section is authorized
122	until June 30, 2006, to use up to 2 mills of its nonvoted
123	capital improvement millage for any lawful operating expenditure
124	if the school district has met the constitutional class size
125	maximums identified in s. 1003.03(2); however, priority should
126	be given to increasing the salary of career teachers as defined
127	in s. 1012.231(2)(b). In order to exercise the authority of this
128	subsection, the school district must:
129	(a) Hold a public hearing that clearly communicates the
130	school district’s purpose for the use of the funds and, during a
131	regularly scheduled meeting of the district school board, vote
132	to use such funds in the manner and for the purpose identified
133	in the public hearing.
134	(b) Annually report to the Department of Education the
135	amount of funds used and the operating expenditures for which
136	the funds were used.
137	(4) The Department of Education shall collect all such
138	reports and shall report to the Governor, the President of the
139	Senate, and the Speaker of the House of Representatives by
140	December 31 of each year a summary of each school district’s use
141	of nonvoted capital improvement millage for operating
142	expenditures, including a summary of the amount of funds used
143	and the operating expenditures for which the funds were used.
144	(5) No later than June 30, 2006, the Legislature shall
145	review such reports for purposes of determining whether any
146	school district expended nonvoted capital improvement millage
147	while failing to comply with subsection (3) or any other
148	provision of law. Upon such review, if the Legislature so
149	directs, the Department of Education shall withhold from the
150	school district’s allocation from the Public Education Capital
151	Outlay and Debt Service Trust Fund no less than an amount of
152	funds equivalent to the amount determined by the Legislature to
153	have been so expended.
154	Section 5. Section 1013.735, Florida Statutes, is created
155	to read:
156	1013.735 Class Size Reduction Infrastructure Program.--
157	(1) ALLOCATION.--The Department of Education shall
158	allocate funds appropriated for the Class Size Reduction
159	Infrastructure Program, which is hereby established.
160	(2) DISTRICT PARTICIPATION.--In order to participate in
161	the Class Size Reduction Infrastructure Program, a district
162	school board shall:
163	(a) Enter into an interlocal agreement pursuant to s.
164	1013.33.
165	(b) Certify that the school district's inventory of
166	facilities listed in the Florida Inventory of School Houses is
167	accurate and up to date pursuant to s. 1013.31.
168	(c) Receive approval from the State Board of Education for
169	a capital outlay expenditure plan that is based on documented
170	infrastructure need and is limited only to construction,
171	renovation, and remodeling expenditures and purchase or lease-
172	purchase of relocatables for class size reduction.
173	(3) USE OF FUNDS.--In order to increase capacity to reduce
174	class size, a district school board shall expend the funds
175	received pursuant to this section only to:
176	(a) Construct, renovate, remodel, or repair educational
177	facilities that reduce class size and are in excess of funded
178	projects identified in the school district's 5-year work program
179	adopted prior to March 15, 2003; or
180	(b) Purchase or lease-purchase relocatable facilities that
181	are in excess of relocatables identified in the school
182	district's 5-year work program adopted prior to March 15, 2003.
183	Section 6. Effective upon this act becoming a law, section
184	1013.736, Florida Statutes, is created to read:
185	1013.736 District Effort Recognition Program.--
186	(1) RECOGNITION FUNDS.--From funds appropriated by the
187	Legislature, district effort recognition capital outlay grants
188	shall be made to eligible school districts in accordance with
189	the provisions of this section and the General Appropriations
190	Act. The funds appropriated in this section are not subject to
191	the provisions of s. 216.301.
192	(2) ELIGIBILITY.--Annually, the Department of Education
193	shall determine each school district's compliance with the
194	provisions of s. 1003.03 and determine the school district's
195	eligibility to receive a district effort recognition grant for
196	local school facilities projects pursuant to this section.
197	School districts shall be eligible for a district effort
198	recognition grant based upon participation in any of the
199	following:
200	(a) The school district levies a half-cent school capital
201	outlay sales surtax authorized in s. 212.055(6).
202	(b) The school district participates in the levy of the
203	local government infrastructure sales surtax authorized in s.
204	212.055(2).
205	(c) The school district levies voted millage for capital
206	outlay purposes as authorized in s. 9, Art. VII of the State
207	Constitution.
208	(d) The school district levies the full 2 mills of
209	nonvoted discretionary capital outlay millage authorized by s.
210	1011.71(2).
211	(e) The school district receives proceeds of school impact
212	fees greater than $500 per dwelling unit.
213	(3) ALLOCATION AND DISTRIBUTION OF FUNDS.--The department
214	shall allocate the annual amount of funds provided among all
215	eligible school districts based upon the school district's plan
216	approved by the State Board of Education and documented
217	infrastructure need, which shall be limited solely to
218	construction, renovation, and remodeling expenditures and
219	purchase or lease-purchase of relocatables for class size
220	reduction.
221	Section 7. Section 1013.737, Florida Statutes, is created
222	to read:
223	1013.737 Class Size Reduction Lottery Revenue Bond
224	Program.--There is established the Class Size Reduction Lottery
225	Revenue Bond Program.
226	(1) The issuance of revenue bonds is authorized to finance
227	or refinance the construction, acquisition, reconstruction, or
228	renovation of educational facilities. Such bonds shall be issued
229	pursuant to and in compliance with the provisions of s. 11(d),
230	Art. VII of the State Constitution, the provisions of the State
231	Bond Act, ss. 215.57-215.83, as amended, and the provisions of
232	this section.
233	(2) The bonds are payable from, and secured by a first
234	lien on, the first lottery revenues transferred to the
235	Educational Enhancement Trust Fund each fiscal year, as provided
236	by s. 24.121(2), and do not constitute a general obligation of,
237	or a pledge of the full faith and credit of, the state.
238	(3) The state hereby covenants with the holders of such
239	revenue bonds that it will not take any action that will
240	materially and adversely affect the rights of such holders so
241	long as bonds authorized by this section are outstanding. The
242	state does hereby additionally authorize the establishment of a
243	covenant in connection with the bonds which provides that any
244	additional funds received by the state from new or enhanced
245	lottery programs or other similar activities will first be
246	available for payments relating to bonds pledging revenues
247	available pursuant to s. 24.121(2) prior to use for any other
248	purpose.
249	(4) The bonds shall be issued by the Division of Bond
250	Finance of the State Board of Administration on behalf of the
251	Department of Education in such amount as shall be requested by
252	resolution of the State Board of Education. However, the total
253	principal amount of bonds, excluding refunding bonds, issued
254	pursuant to this section shall not exceed $600 million.
255	(5) Proceeds available from the sale of the bonds shall be
256	deposited in the Lottery Capital Outlay and Debt Service Trust
257	Fund within the Department of Education.
258	(6) The facilities to be financed with the proceeds of
259	such bonds are designated as state fixed capital outlay projects
260	for purposes of s. 11(d), Art. VII of the State Constitution,
261	and the specific facilities to be financed shall be determined
262	in accordance with state law and appropriations from the
263	Educational Enhancement Trust Fund. Prior to the release of
264	funds, the State Board of Education must approve each school
265	district's expenditure plan, which plan must be based on
266	documented infrastructure need and be limited solely to
267	construction, renovation, and remodeling expenditures and
268	purchase or lease-purchase of relocatables for class size
269	reduction. Projects shall be funded from the Lottery Capital
270	Outlay and Debt Service Trust Fund. Each educational facility to
271	be financed with the proceeds of the bonds issued pursuant to
272	this section is hereby approved as required by s. 11(f), Art.
273	VII of the State Constitution.
274	(7) Any complaint for validation of such bonds is required
275	to be filed only in the circuit court of the county where the
276	seat of state government is situated. The notice required to be
277	published by s. 75.06 is required to be published only in the
278	county where the complaint is filed, and the complaint and order
279	of the circuit court need be served only on the state attorney
280	of the circuit in which the action is pending.
281	(8) The Commissioner of Education shall provide for timely
282	encumbrances of funds for duly authorized projects. Encumbrances
283	may include proceeds to be received under a resolution approved
284	by the State Board of Education authorizing issuance of class
285	size reduction lottery bonds pursuant to s. 11(d), Art. VII of
286	the State Constitution, this section, and other applicable law.
287	Section 8. Subsection (2) of section 24.121, Florida
288	Statutes, is amended to read:
289	24.121 Allocation of revenues and expenditure of funds for
290	public education.--
291	(2) Each fiscal year, at least 38 percent of the gross
292	revenue from the sale of on-line lottery tickets, variable
293	percentages of the gross revenue from the sale of instant
294	lottery tickets as determined by the department consistent with
295	subsection (1), and other earned revenue, excluding application
296	processing fees, shall be deposited in the Educational
297	Enhancement Trust Fund, which is hereby created in the State
298	Treasury to be administered by the Department of Education. The
299	Department of the Lottery shall transfer moneys to the
300	Educational Enhancement Trust Fund at least once each quarter.
301	Funds in the Educational Enhancement Trust Fund shall be used to
302	the benefit of public education in accordance with the
303	provisions of this act. Notwithstanding any other provision of
304	law, a maximum of $180 million oflottery revenues transferred
305	to the Educational Enhancement Trust Fund in fiscal year 1997-
306	1998 and for 30 years thereaftershall be reserved as needed and
307	used to meet the requirements of the documents authorizing the
308	bonds issued by the state pursuant to s. 1013.68,or s. 1013.70,
309	or s. 1013.737or distributed to school districts for the
310	Classrooms First Program as provided in s. 1013.68. Such lottery
311	revenues are hereby pledged to the payment of debt service on
312	bonds issued by the state pursuant to s. 1013.68,or s. 1013.70,
313	or s. 1013.737. Debt service payable on bonds issued by the
314	state pursuant to s. 1013.68,or s. 1013.70, or s. 1013.737
315	shall be payable from, and are secured by a first lien on,the
316	first lottery revenues transferred to the Educational
317	Enhancement Trust Fund in each fiscal year. Amounts
318	distributable to school districts that request the issuance of
319	bonds pursuant to s. 1013.68(3) are hereby pledged to such bonds
320	pursuant to s. 11(d), Art. VII of the State Constitution. The
321	amounts distributed through the Classrooms First Program shall
322	equal $145 million in each fiscal year. These funds are intended
323	to provide up to $2.5 billion for public school facilities.
324	Section 9. Effective upon this act becoming a law,
325	subsection (13) of section 121.091, Florida Statutes, is amended
326	to read:
327	121.091 Benefits payable under the system.-- Benefits may
328	not be paid under this section unless the member has terminated
329	employment as provided in s. 121.021(39)(a) or begun
330	participation in the Deferred Retirement Option Program as
331	provided in subsection (13), and a proper application has been
332	filed in the manner prescribed by the department. The department
333	may cancel an application for retirement benefits when the
334	member or beneficiary fails to timely provide the information
335	and documents required by this chapter and the department's
336	rules. The department shall adopt rules establishing procedures
337	for application for retirement benefits and for the cancellation
338	of such application when the required information or documents
339	are not received.
340	(13) DEFERRED RETIREMENT OPTION PROGRAM.—In general, and
341	subject to the provisions of this section, the Deferred
342	Retirement Option Program, hereinafter referred to as the DROP,
343	is a program under which an eligible member of the Florida
344	Retirement System may elect to participate, deferring receipt of
345	retirement benefits while continuing employment with his or her
346	Florida Retirement System employer. The deferred monthly
347	benefits shall accrue in the System Trust Fund on behalf of the
348	participant, plus interest compounded monthly, for the specified
349	period of the DROP participation, as provided in paragraph (c).
350	Upon termination of employment, the participant shall receive
351	the total DROP benefits and begin to receive the previously
352	determined normal retirement benefits. Participation in the DROP
353	does not guarantee employment for the specified period of DROP.
354	Participation in the DROP by an eligible member beyond the
355	initial 60-month period as authorized in this subsection shall
356	be on an annual contractual basis for all participants.
357	(a) Eligibility of member to participate in the DROP.--All
358	active Florida Retirement System members in a regularly
359	established position, and all active members of either the
360	Teachers' Retirement System established in chapter 238 or the
361	State and County Officers' and Employees' Retirement System
362	established in chapter 122 which systems are consolidated within
363	the Florida Retirement System under s. 121.011, are eligible to
364	elect participation in the DROP provided that:
365	1. The member is not a renewed member of the Florida
366	Retirement System under s. 121.122, or a member of the State
367	Community College System Optional Retirement Program under s.
368	121.051, the Senior Management Service Optional Annuity Program
369	under s. 121.055, or the optional retirement program for the
370	State University System under s. 121.35.
371	2. Except as provided in subparagraph 6., election to
372	participate is made within 12 months immediately following the
373	date on which the member first reaches normal retirement date,
374	or, for a member who reaches normal retirement date based on
375	service before he or she reaches age 62, or age 55 for Special
376	Risk Class members, election to participate may be deferred to
377	the 12 months immediately following the date the member attains
378	57, or age 52 for Special Risk Class members. For a member who
379	first reached normal retirement date or the deferred eligibility
380	date described above prior to the effective date of this
381	section, election to participate shall be made within 12 months
382	after the effective date of this section. A member who fails to
383	make an election within such 12-month limitation period shall
384	forfeit all rights to participate in the DROP. The member shall
385	advise his or her employer and the division in writing of the
386	date on which the DROP shall begin. Such beginning date may be
387	subsequent to the 12-month election period, but must be within
388	the 60-month or, with respect to members who are instructional
389	or administrative personnel employed by a community college in
390	areas of critical need identified by the district board of
391	trustees and who have received authorization by the district
392	board of trustees to participate in the DROP beyond 60 months,
393	or who are instructional or administrative personnel employed by
394	the Florida School for the Deaf and the Blind and who have
395	received authorization by the Board of Trustees of the Florida
396	School for the Deaf and the Blind to participate in the DROP
397	beyond 60 months, or who are instructional personnel as defined
398	in s. 1012.01(2)(a)-(d) in grades K-12 or administrative
399	personnel as defined in s. 1012.01(3) in grades K-12 and who
400	have received authorization by the district school
401	superintendent to participate in the DROP beyond 60 months, the
402	96-monthlimitation period as provided in subparagraph (b)1.
403	When establishing eligibility of the member to participate in
404	the DROP for the 60-month or, with respect to members who are
405	instructional or administrative personnel employed by a
406	community college in areas of critical need identified by the
407	district board of trustees and who have received authorization
408	by the district board of trustees to participate in the DROP
409	beyond 60 months, or who are instructional or administrative
410	personnel employed by the Florida School for the Deaf and the
411	Blind and who have received authorization by the Board of
412	Trustees of the Florida School for the Deaf and the Blind to
413	participate in the DROP beyond 60 months, or who are
414	instructional personnel as defined in s. 1012.01(2)(a)-(d) in
415	grades K-12 or administrative personnel as defined in s.
416	1012.01(3) in grades K-12 and who have received authorization by
417	the district school superintendent to participate in the DROP
418	beyond 60 months, the 96-monthmaximum participation period, the
419	member may elect to include or exclude any optional service
420	credit purchased by the member from the total service used to
421	establish the normal retirement date. A member with dual normal
422	retirement dates shall be eligible to elect to participate in
423	DROP within 12 months after attaining normal retirement date in
424	either class.
425	3. The employer of a member electing to participate in the
426	DROP, or employers if dually employed, shall acknowledge in
427	writing to the division the date the member's participation in
428	the DROP begins and the date the member's employment and DROP
429	participation will terminate.
430	4. Simultaneous employment of a participant by additional
431	Florida Retirement System employers subsequent to the
432	commencement of participation in the DROP shall be permissible
433	provided such employers acknowledge in writing a DROP
434	termination date no later than the participant's existing
435	termination date or the 60-month limitation period as provided
436	in subparagraph (b)1.
437	5. A DROP participant may change employers while
438	participating in the DROP, subject to the following:
439	a. A change of employment must take place without a break
440	in service so that the member receives salary for each month of
441	continuous DROP participation. If a member receives no salary
442	during a month, DROP participation shall cease unless the
443	employer verifies a continuation of the employment relationship
444	for such participant pursuant to s. 121.021(39)(b).
445	b. Such participant and new employer shall notify the
446	division on forms required by the division as to the identity of
447	the new employer.
448	c. The new employer shall acknowledge, in writing, the
449	participant's DROP termination date, which may be extended but
450	not beyond the original 60-month or, with respect to members who
451	are instructional or administrative personnel employed by a
452	community college in areas of critical need identified by the
453	district board of trustees and who have received authorization
454	by the district board of trustees to participate in the DROP
455	beyond 60 months, or who are instructional or administrative
456	personnel employed by the Florida School for the Deaf and the
457	Blind and who have received authorization by the Board of
458	Trustees of the Florida School for the Deaf and the Blind to
459	participate in the DROP beyond 60 months, or who are
460	instructional personnel as defined in s. 1012.01(2)(a)-(d) in
461	grades K-12 or administrative personnel as defined in s.
462	1012.01(3) in grades K-12 and who have received authorization by
463	the district school superintendent to participate in the DROP
464	beyond 60 months, the 96-monthperiod provided in subparagraph
465	(b)1., shall acknowledge liability for any additional retirement
466	contributions and interest required if the participant fails to
467	timely terminate employment, and shall be subject to the
468	adjustment required in sub-subparagraph (c)5.d.
469	6. Effective July 1, 2001, for instructional personnel as
470	defined in s. 1012.01(2), election to participate in the DROP
471	shall be made at any time following the date on which the member
472	first reaches normal retirement date. The member shall advise
473	his or her employer and the division in writing of the date on
474	which the Deferred Retirement Option Program shall begin. When
475	establishing eligibility of the member to participate in the
476	DROP for the 60-month or, with respect to members who are
477	instructional or administrative personnel employed by a
478	community college in areas of critical need identified by the
479	district board of trustees and who have received authorization
480	by the district board of trustees to participate in the DROP
481	beyond 60 months, or who are instructional or administrative
482	personnel employed by the Florida School for the Deaf and the
483	Blind and who have received authorization by the Board of
484	Trustees of the Florida School for the Deaf and the Blind to
485	participate in the DROP beyond 60 months, or who are
486	instructional personnel as defined in s. 1012.01(2)(a)-(d) in
487	grades K-12 or administrative personnel as defined in s.
488	1012.01(3) in grades K-12 and who have received authorization by
489	the district school superintendent to participate in the DROP
490	beyond 60 months, the 96-monthmaximum participation period, as
491	provided in subparagraph (b)1., the member may elect to include
492	or exclude any optional service credit purchased by the member
493	from the total service used to establish the normal retirement
494	date. A member with dual normal retirement dates shall be
495	eligible to elect to participate in either class.
496	(b) Participation in the DROP.—
497	1. An eligible member may elect to participate in the DROP
498	for a period not to exceed a maximum of 60 calendar months or,
499	with respect to members who are instructional or administrative
500	personnel employed by a community college in areas of critical
501	need identified by the district board of trustees and who have
502	received authorization by the district board of trustees to
503	participate in the DROP beyond the initial 60 calendar months on
504	an annual contractual basis, or who are instructional or
505	administrative personnel employed by the Florida School for the
506	Deaf and the Blind and who have received authorization by the
507	Board of Trustees of the Florida School for the Deaf and the
508	Blind to participate in the DROP beyond the initial 60 calendar
509	months on an annual contractual basis, or who are instructional
510	personnel as defined in s. 1012.01(2)(a)-(d) in grades K-12 or
511	administrative personnel as defined in s. 1012.01(3) in grades
512	K-12 and who have received authorization by the district school
513	superintendent to participate in the DROP beyond the initial 60
514	calendar months on an annual contractual basis, a maximum of 96
515	calendar monthsimmediately following the date on which the
516	member first reaches his or her normal retirement date or the
517	date to which he or she is eligible to defer his or her election
518	to participate as provided in subparagraph (a)2. However, a
519	member who has reached normal retirement date prior to the
520	effective date of the DROP shall be eligible to participate in
521	the DROP for a period of time not to exceed 60 calendar months
522	or, with respect to members who are instructional or
523	administrative personnel employed by a community college in
524	areas of critical need identified by the district board of
525	trustees and who have received authorization by the district
526	board of trustees to participate in the DROP beyond the initial
527	60 calendar months on an annual contractual basis, or who are
528	instructional or administrative personnel employed by the
529	Florida School for the Deaf and the Blind and who have received
530	authorization by the Board of Trustees of the Florida School for
531	the Deaf and the Blind to participate in the DROP beyond the
532	initial 60 calendar months on an annual contractual basis, or
533	who are instructional personnel as defined in s. 1012.01(2)(a)-
534	(d) in grades K-12 or administrative personnel as defined in s.
535	1012.01(3) in grades K-12 and who have received authorization by
536	the district school superintendent to participate in the DROP
537	beyond the initial 60 calendar months on an annual contractual
538	basis, a maximum of 96 calendar monthsimmediately following the
539	effective date of the DROP, except a member of the Special Risk
540	Class who has reached normal retirement date prior to the
541	effective date of the DROP and whose total accrued value exceeds
542	75 percent of average final compensation as of his or her
543	effective date of retirement shall be eligible to participate in
544	the DROP for no more than 36 calendar months immediately
545	following the effective date of the DROP.
546	2. Upon deciding to participate in the DROP, the member
547	shall submit, on forms required by the division:
548	a. A written election to participate in the DROP;
549	b. Selection of the DROP participation and termination
550	dates, which satisfy the limitations stated in paragraph (a) and
551	subparagraph 1. Such termination date shall be in a binding
552	letter of resignation with the employer, establishing a deferred
553	termination date. The member may change the termination date
554	within the limitations of subparagraph 1., but only with the
555	written approval of his or her employer;
556	c. A properly completed DROP application for service
557	retirement as provided in this section; and
558	d. Any other information required by the division.
559	3. The DROP participant shall be a retiree under the
560	Florida Retirement System for all purposes, except for paragraph
561	(5)(f) and subsection (9) and ss. 112.3173, 112.363, 121.053,
562	and 121.122. However, participation in the DROP does not alter
563	the participant's employment status and such employee shall not
564	be deemed retired from employment until his or her deferred
565	resignation is effective and termination occurs as provided in
566	s. 121.021(39).
567	4. Elected officers shall be eligible to participate in
568	the DROP subject to the following:
569	a. An elected officer who reaches normal retirement date
570	during a term of office may defer the election to participate in
571	the DROP until the next succeeding term in that office. Such
572	elected officer who exercises this option may participate in the
573	DROP for up to 60 calendar months or a period of no longer than
574	such succeeding term of office, whichever is less.
575	b. An elected or a nonelected participant may run for a
576	term of office while participating in DROP and, if elected,
577	extend the DROP termination date accordingly, except, however,
578	if such additional term of office exceeds the 60-month
579	limitation established in subparagraph 1., and the officer does
580	not resign from office within such 60-month limitation, the
581	retirement and the participant's DROP shall be null and void as
582	provided in sub-subparagraph (c)5.d.
583	c. An elected officer who is dually employed and elects to
584	participate in DROP shall be required to satisfy the definition
585	of termination within the 60-month or, with respect to members
586	who are instructional or administrative personnel employed by a
587	community college in areas of critical need identified by the
588	district board of trustees and who have received authorization
589	by the district board of trustees to participate in the DROP
590	beyond 60 months, or who are instructional or administrative
591	personnel employed by the Florida School for the Deaf and the
592	Blind and who have received authorization by the Board of
593	Trustees of the Florida School for the Deaf and the Blind to
594	participate in the DROP beyond 60 months, or who are
595	instructional personnel as defined in s. 1012.01(2)(a)-(d) in
596	grades K-12 or administrative personnel as defined in s.
597	1012.01(3) in grades K-12 and who have received authorization by
598	the district school superintendent to participate in the DROP
599	beyond 60 months, the 96-monthlimitation period as provided in
600	subparagraph 1. for the nonelected position and may continue
601	employment as an elected officer as provided in s. 121.053. The
602	elected officer will be enrolled as a renewed member in the
603	Elected Officers' Class or the Regular Class, as provided in ss.
604	121.053 and 121.22, on the first day of the month after
605	termination of employment in the nonelected position and
606	termination of DROP. Distribution of the DROP benefits shall be
607	made as provided in paragraph (c).
608	(c) Benefits payable under the DROP.--
609	1. Effective with the date of DROP participation, the
610	member's initial normal monthly benefit, including creditable
611	service, optional form of payment, and average final
612	compensation, and the effective date of retirement shall be
613	fixed. The beneficiary established under the Florida Retirement
614	System shall be the beneficiary eligible to receive any DROP
615	benefits payable if the DROP participant dies prior to the
616	completion of the period of DROP participation. In the event a
617	joint annuitant predeceases the member, the member may name a
618	beneficiary to receive accumulated DROP benefits payable. Such
619	retirement benefit, the annual cost of living adjustments
620	provided in s. 121.101, and interest shall accrue monthly in the
621	System Trust Fund. Such interest shall accrue at an effective
622	annual rate of 6.5 percent compounded monthly, on the prior
623	month's accumulated ending balance, up to the month of
624	termination or death.
625	2. Each employee who elects to participate in the DROP
626	shall be allowed to elect to receive a lump-sum payment for
627	accrued annual leave earned in accordance with agency policy
628	upon beginning participation in the DROP. Such accumulated leave
629	payment certified to the division upon commencement of DROP
630	shall be included in the calculation of the member's average
631	final compensation. The employee electing such lump-sum payment
632	upon beginning participation in DROP will not be eligible to
633	receive a second lump-sum payment upon termination, except to
634	the extent the employee has earned additional annual leave which
635	combined with the original payment does not exceed the maximum
636	lump-sum payment allowed by the employing agency's policy or
637	rules. Such early lump-sum payment shall be based on the hourly
638	wage of the employee at the time he or she begins participation
639	in the DROP. If the member elects to wait and receive such lump-
640	sum payment upon termination of DROP and termination of
641	employment with the employer, any accumulated leave payment made
642	at that time cannot be included in the member's retirement
643	benefit, which was determined and fixed by law when the employee
644	elected to participate in the DROP.
645	3. The effective date of DROP participation and the
646	effective date of retirement of a DROP participant shall be the
647	first day of the month selected by the member to begin
648	participation in the DROP, provided such date is properly
649	established, with the written confirmation of the employer, and
650	the approval of the division, on forms required by the division.
651	4. Normal retirement benefits and interest thereon shall
652	continue to accrue in the DROP until the established termination
653	date of the DROP, or until the participant terminates employment
654	or dies prior to such date. Although individual DROP accounts
655	shall not be established, a separate accounting of each
656	participant's accrued benefits under the DROP shall be
657	calculated and provided to participants.
658	5. At the conclusion of the participant's DROP, the
659	division shall distribute the participant's total accumulated
660	DROP benefits, subject to the following provisions:
661	a. The division shall receive verification by the
662	participant's employer or employers that such participant has
663	terminated employment as provided in s. 121.021(39)(b).
664	b. The terminated DROP participant or, if deceased, such
665	participant's named beneficiary, shall elect on forms provided
666	by the division to receive payment of the DROP benefits in
667	accordance with one of the options listed below. For a
668	participant or beneficiary who fails to elect a method of
669	payment within 60 days of termination of the DROP, the division
670	will pay a lump sum as provided in sub-sub-subparagraph (I).
671	(I) Lump sum.--All accrued DROP benefits, plus interest,
672	less withholding taxes remitted to the Internal Revenue Service,
673	shall be paid to the DROP participant or surviving beneficiary.
674	(II) Direct rollover.--All accrued DROP benefits, plus
675	interest, shall be paid from the DROP directly to the custodian
676	of an eligible retirement plan as defined in s. 402(c)(8)(B) of
677	the Internal Revenue Code. However, in the case of an eligible
678	rollover distribution to the surviving spouse of a deceased
679	participant, an eligible retirement plan is an individual
680	retirement account or an individual retirement annuity as
681	described in s. 402(c)(9) of the Internal Revenue Code.
682	(III) Partial lump sum.--A portion of the accrued DROP
683	benefits shall be paid to the DROP participant or surviving
684	spouse, less withholding taxes remitted to the Internal Revenue
685	Service, and the remaining DROP benefits shall be transferred
686	directly to the custodian of an eligible retirement plan as
687	defined in s. 402(c)(8)(B) of the Internal Revenue Code.
688	However, in the case of an eligible rollover distribution to the
689	surviving spouse of a deceased participant, an eligible
690	retirement plan is an individual retirement account or an
691	individual retirement annuity as described in s. 402(c)(9) of
692	the Internal Revenue Code. The proportions shall be specified by
693	the DROP participant or surviving beneficiary.
694	c. The form of payment selected by the DROP participant or
695	surviving beneficiary complies with the minimum distribution
696	requirements of the Internal Revenue Code.
697	d. A DROP participant who fails to terminate employment as
698	defined in s. 121.021(39)(b) shall be deemed not to be retired,
699	and the DROP election shall be null and void. Florida Retirement
700	System membership shall be reestablished retroactively to the
701	date of the commencement of the DROP, and each employer with
702	whom the participant continues employment shall be required to
703	pay to the System Trust Fund the difference between the DROP
704	contributions paid in paragraph (i) and the contributions
705	required for the applicable Florida Retirement System class of
706	membership during the period the member participated in the
707	DROP, plus 6.5 percent interest compounded annually.
708	6. The accrued benefits of any DROP participant, and any
709	contributions accumulated under such program, shall not be
710	subject to assignment, execution, attachment, or to any legal
711	process whatsoever, except for qualified domestic relations
712	orders by a court of competent jurisdiction, income deduction
713	orders as provided in s. 61.1301, and federal income tax levies.
714	7. DROP participants shall not be eligible for disability
715	retirement benefits as provided in subsection (4).
716	(d) Death benefits under the DROP.--
717	1. Upon the death of a DROP participant, the named
718	beneficiary shall be entitled to apply for and receive the
719	accrued benefits in the DROP as provided in sub-subparagraph
720	(c)5.b.
721	2. The normal retirement benefit accrued to the DROP
722	during the month of a participant's death shall be the final
723	monthly benefit credited for such DROP participant.
724	3. Eligibility to participate in the DROP terminates upon
725	death of the participant. If the participant dies on or after
726	the effective date of enrollment in the DROP, but prior to the
727	first monthly benefit being credited to the DROP, Florida
728	Retirement System benefits shall be paid in accordance with
729	subparagraph (7)(c)1. or subparagraph 2.
730	4. A DROP participants' survivors shall not be eligible to
731	receive Florida Retirement System death benefits as provided in
732	paragraph (7)(d).
733	(e) Cost-of-living adjustment.--On each July 1, the
734	participants' normal retirement benefit shall be increased as
735	provided in s. 121.101.
736	(f) Retiree health insurance subsidy.--DROP participants
737	are not eligible to apply for the retiree health insurance
738	subsidy payments as provided in s. 112.363 until such
739	participants have terminated employment and participation in the
740	DROP.
741	(g) Renewed membership.--DROP participants shall not be
742	eligible for renewed membership in the Florida Retirement System
743	under ss. 121.053 and 121.122 until termination of employment is
744	effectuated as provided in s. 121.021(39)(b).
745	(h) Employment limitation after DROP participation.--Upon
746	satisfying the definition of termination of employment as
747	provided in s. 121.021(39)(b), DROP participants shall be
748	subject to such reemployment limitations as other retirees.
749	Reemployment restrictions applicable to retirees as provided in
750	subsection (9) shall not apply to DROP participants until their
751	employment and participation in the DROP are terminated.
752	(i) Contributions.--
753	1. All employers paying the salary of a DROP participant
754	filling a regularly established position shall contribute 8.0
755	percent of such participant's gross compensation for the period
756	of July 1, 2002, through June 30, 2003, and 11.56 percent of
757	such compensation thereafter, which shall constitute the entire
758	employer DROP contribution with respect to such participant.
759	Such contributions, payable to the System Trust Fund in the same
760	manner as required in s. 121.071, shall be made as appropriate
761	for each pay period and are in addition to contributions
762	required for social security and the Retiree Health Insurance
763	Subsidy Trust Fund. Such employer, social security, and health
764	insurance subsidy contributions are not included in the DROP.
765	2. The employer shall, in addition to subparagraph 1.,
766	also withhold one-half of the entire social security
767	contribution required for the participant. Contributions for
768	social security by each participant and each employer, in the
769	amount required for social security coverage as now or hereafter
770	provided by the federal Social Security Act, shall be in
771	addition to contributions specified in subparagraph 1.
772	3. All employers paying the salary of a DROP participant
773	filling a regularly established position shall contribute the
774	percent of such participant's gross compensation required in s.
775	121.071(4), which shall constitute the employer's health
776	insurance subsidy contribution with respect to such participant.
777	Such contributions shall be deposited by the administrator in
778	the Retiree Health Insurance Subsidy Trust Fund.
779	(j) Forfeiture of retirement benefits.--Nothing in this
780	section shall be construed to remove DROP participants from the
781	scope of s. 8(d), Art. II of the State Constitution, s.
782	112.3173, and paragraph (5)(f). DROP participants who commit a
783	specified felony offense while employed will be subject to
784	forfeiture of all retirement benefits, including DROP benefits,
785	pursuant to those provisions of law.
786	(k) Administration of program.--The division shall make
787	such rules as are necessary for the effective and efficient
788	administration of this subsection. The division shall not be
789	required to advise members of the federal tax consequences of an
790	election related to the DROP but may advise members to seek
791	independent advice.
792	Section 10. Subsection (20) of section 1001.42, Florida
793	Statutes, is amended to read:
794	1001.42 Powers and duties of district school board.--The
795	district school board, acting as a board, shall exercise all
796	powers and perform all duties listed below:
797	(20) SCHOOL-WITHIN-A-SCHOOL.--In order to reduce the
798	anonymity of students in large schools, adopt policies to
799	encourage any large school that does not meet the definition of
800	a small school, as established by s. 1013.43(2),to subdivide
801	into schools-within-a-school that shall operate within existing
802	resources in accordance with the provisions of chapter 1003.
803	Section 11. Section 1002.395, Florida Statutes, is created
804	to read:
805	1002.395 Florida Learning Access Grants.--
806	(1) POPULAR NAME.--This section shall be known by the
807	popular name the “Florida Learning Access Grants Program."
808	(2) DISTRICT PARTICIPATION.--District school boards may
809	choose to implement the Florida Learning Access Grants program
810	as a strategy to reduce class size in their local school
811	districts pursuant to s. 1003.03(4). District school boards may
812	be required to participate in this program to reduce class size
813	if the Commissioner of Education so determines pursuant to s.
814	1003.03(5)(b).
815	(3) PARENTAL CHOICE.--The parent of any K-12 student in a
816	school district participating in the program pursuant to
817	subsection (2) who is enrolled and in attendance during the
818	October and February FTE enrollment counts in a Florida public
819	school may, for the following school year:
820	(a) Opt to have the student remain in the school in which
821	the student is enrolled; or
822	(b) Opt to request, on an annual basis, a Florida Learning
823	Access Grant to assist the parent in paying for the student’s
824	attendance at an eligible private school of the parent’s choice.
825	The grant shall be in the amount of $3,500 in 2003 dollars,
826	adjusted annually thereafter to reflect increases or decreases
827	in the Consumer Price Index, or the tuition charged by the
828	private school, whichever is less. The parent choosing a Florida
829	Learning Access Grant shall be responsible for the child's
830	transportation.
831	(4) PARTICIPATING SCHOOL DISTRICT OBLIGATIONS.--Each
832	school district participating in this program shall annually by
833	February 22, for each K-12 student eligible under subsection
834	(3), notify the parent that the school district has chosen to
835	offer Florida Learning Access Grants and provide the parent with
836	the parental choice options for the following school year as
837	provided in subsection (3).
838	(5) PARENT OBLIGATIONS.--
839	(a) The parent shall notify the school district as to
840	which of the options provided in subsection (3) the parent
841	wishes to choose.
842	1. Failure of the parent to provide notification shall
843	constitute the choice of the option provided by paragraph
844	(3)(a).
845	2. If the parent chooses the option provided by paragraph
846	(3)(b), the parent must:
847	a. Obtain acceptance for admission of the student to a
848	private school eligible under subsection (6) as soon as possible
849	and inform the private school that the student will be using a
850	Florida Learning Access Grant.
851	b. Notify the Department of Education of the parent’s
852	request for a Florida Learning Access Grant and the name and
853	address of the selected private school.
854	c. Agree to provide transportation for the student to the
855	private school if necessary.
856	d. Agree to pay any costs associated with the student’s
857	attendance at the private school that exceed the annual amount
858	of the Florida Learning Access Grant.
859	e. Agree that the education provided by the private school
860	selected shall satisfy the student’s full need for educational
861	services from the student’s school.
862	f. Ensure that the student takes a nationally normed
863	examination as determined by the private school for each grade 3
864	through 10. The results of the examination shall be provided to
865	the parent.
866	(b) After the first year of the student’s attendance at a
867	private school under the Florida Learning Access Grants program,
868	the parent must annually notify the Department of Education if
869	the parent intends to renew the grant according to the
870	provisions of subsection (8) in order for the student to
871	continue in the program, together with the name and address of
872	the private school selected for the student for the following
873	year.
874	(6) PRIVATE SCHOOL ELIGIBILITY.--Eligibility of a private
875	school shall be determined by the parental oversight and
876	accountability requirements that, coupled with the exercise of
877	parental choice, are reasonably necessary to secure the
878	educational public purpose. To be eligible to participate in the
879	Florida Learning Access Grants program, a private school must be
880	a Florida private school, may be sectarian or nonsectarian, and
881	must:
882	(a) Demonstrate fiscal soundness by being in operation for
883	1 school year or provide the Department of Education with a
884	statement by a certified public accountant confirming that the
885	private school desiring to participate is insured and the owner
886	or owners have sufficient capital or credit to operate the
887	school for the upcoming year serving the number of students
888	anticipated with expected revenues from tuition and other
889	sources that may be reasonably expected. In lieu of such a
890	statement, a surety bond or letter of credit for the amount
891	equal to the Florida Learning Access Grant funds for any school
892	year may be filed with the department.
893	(b) Notify the Department of Education and the school
894	district in the service areas in which the school is located of
895	its intent to participate in the program under this section as
896	early as possible, but no later than July 1 preceding the school
897	year in which it intends to participate. The notice shall
898	specify the grade levels and services that the private school
899	has available for the Florida Learning Access Grants program.
900	(c) Comply with the antidiscrimination provisions of 42
901	U.S.C. s. 2002d.
902	(d) Meet state and local health and safety laws and codes.
903	(e) Comply with all state statutes applicable to the
904	general regulation of private schools.
905	(f) If a Florida Learning Access Grant student’s parent so
906	requests, coordinate with the school district the locations and
907	times for the student to take all statewide assessments pursuant
908	to s. 1008.22.
909	(7) INITIAL FLORIDA LEARNING ACCESS GRANTS.--
910	(a) Initial Florida Learning Access Grants shall be
911	offered on a first-come, first-served basis.
912	(b) The number of initial Florida Learning Access Grants
913	to be awarded shall be determined annually by the Department of
914	Education based upon the department’s determination of the
915	number that would be necessary to reduce class size to meet the
916	school district’s two-student-per-year reduction requirements
917	pursuant to s. 1003.03(3) or to meet the constitutional class
918	size maximums described in s. 1003.03(2). However, district
919	school boards may authorize more Florida Learning Access Grants
920	than the number established by the department.
921	(8) FLORIDA LEARNING ACCESS GRANT RENEWAL.--For purposes
922	of educational continuity and parental choice, a Florida
923	Learning Access Grant, once awarded, shall be renewable for as
924	long as the parent is a Florida resident who opts for
925	continuation of the grant for the student and the student
926	lawfully attends an eligible private school through grade 12 or
927	until the student graduates from high school. The Florida
928	Learning Access Grant may be transferred from one eligible
929	private school to another upon the school’s acceptance of the
930	student and the parent’s provision of adequate notice to the
931	Department of Education. A parent may, however, at any time opt
932	to return the student to the public school.
933	(9) FLORIDA LEARNING ACCESS GRANT DISBURSEMENT.--Upon
934	proper documentation reviewed and approved by the Department of
935	Education, the Chief Financial Officer shall make Florida
936	Learning Access Grant payments in four equal amounts no later
937	than September 1, November 1, February 1, and April 1 of each
938	academic year. The initial payment shall be made after
939	Department of Education verification of admission acceptance,
940	and subsequent payments shall be made upon verification of the
941	student’s continued enrollment and attendance at the private
942	school. Payment must be by individual warrant made payable to
943	the student’s parent and mailed by the Department of Education
944	to the private school of the parent’s choice, and the parent
945	shall restrictively endorse the warrant to the private school.
946	(10) LIABILITY.--No liability shall arise on the part of
947	the state based on the award or use of any Florida Learning
948	Access Grant.
949	(11) DEPARTMENT OF EDUCATION OBLIGATIONS.--
950	(a)1. Upon notification of the number of students whose
951	parents have opted to request initial Florida Learning Access
952	Grants, the Department of Education shall transfer from general
953	revenue funds appropriated to the school district the total
954	amount of annual $3,500 grants for the school district’s
955	students from the Florida Education Finance Program to a
956	separate account for the disbursement of the initial Florida
957	Learning Access Grants.
958	2. The Department of Education shall, in its annual
959	budget, provide for Florida Learning Access Grants for parents
960	who wish their children to continue participation in the Florida
961	Learning Access Grants program beyond the initial year of
962	participation.
963	(b) The Department of Education shall administer the
964	Florida Learning Access Grants program, and the State Board of
965	Education may adopt rules pursuant ss. 120.536(1) and 120.54 to
966	implement the provisions of this section. However, the inclusion
967	of eligible private schools within options available to Florida
968	public school students does not expand the regulatory authority
969	of the state, its officers, or any school district to impose any
970	additional regulations on private schools beyond those
971	reasonably necessary to enforce requirements expressly set forth
972	in this section.
973	Section 12. Section 1002.396, Florida Statutes, is created
974	to read:
975	1002.396 Kindergarten grants program.--
976	(1) SCHOOL DISTRICT PARTICIPATION.--District school boards
977	may choose to implement the kindergarten grants program as a
978	strategy to reduce class size in their local school districts
979	pursuant to s. 1003.03(4).
980	(2) PARENTAL CHOICE.--Parents of a child who will have
981	attained the age of 5 years on or before September 1 of the
982	school year or who is otherwise eligible to attend kindergarten
983	in a Florida public school be given the option:
984	(a) To enroll the child in and transport the child to
985	kindergarten in any public school within the school district
986	other than the school to which the child is assigned; or
987	(b) To receive a kindergarten grant to enroll the child in
988	an eligible private kindergarten of the parent's choice. The
989	grant shall be in the amount of $3,500 in 2003 dollars, adjusted
990	annually thereafter to reflect increases or decreases in the
991	Consumer Price Index, or the tuition charged by the private
992	kindergarten, whichever is less. The parent choosing a
993	kindergarten grant shall be responsible for the child's
994	transportation.
995	(3) PARENT OBLIGATIONS.--
996	(a) The parent choosing to participate in the kindergarten
997	grants program shall notify the school district as to which of
998	the options provided in subsection (2) the parent wishes to
999	choose.
1000	(b) If the parent chooses the option provided in paragraph
1001	(2)(a), the parent shall inform the school district by May 1
1002	which public school the parent has selected, and the parent
1003	shall agree to provide any necessary transportation to the
1004	selected public school.
1005	(c) If the parent chooses the option provided in paragraph
1006	(2)(b), the parent shall:
1007	1. Obtain acceptance for admission of the child to a
1008	private kindergarten eligible under subsection (4) as soon as
1009	possible and inform the private kindergarten that the child will
1010	be using a kindergarten grant.
1011	2. Notify the Department of Education by July 1 of the
1012	parent's request for a kindergarten grant and the name and
1013	address of the selected private kindergarten.
1014	3. Agree to provide any necessary transportation for the
1015	child to the selected private kindergarten.
1016	4. Agree to pay any costs associated with the child's
1017	attendance at the private kindergarten that exceed the amount of
1018	the kindergarten grant.
1019	(4) PRIVATE KINDERGARTEN ELIGIBILITY.--Eligibility of a
1020	private kindergarten shall be determined by the parental
1021	oversight and accountability requirements that, coupled with the
1022	exercise of parental choice, are reasonably necessary to secure
1023	the educational public purpose. To be eligible to participate in
1024	the kindergarten grants program, a kindergarten must be a
1025	Florida private kindergarten, may be sectarian or nonsectarian,
1026	and must:
1027	(a) Demonstrate fiscal soundness by being in operation for
1028	1 school year or provide the Department of Education with a
1029	statement by a certified public accountant confirming that the
1030	private kindergarten desiring to participate is insured and the
1031	owner or owners have sufficient capital or credit to operate the
1032	kindergarten for the upcoming year serving the number of
1033	students anticipated with expected revenues from tuition and
1034	other sources that may be reasonably expected. In lieu of such a
1035	statement, a surety bond or letter of credit for the amount
1036	equal to the kindergarten grants funds for any school year may
1037	be filed with the department.
1038	(b) Notify the Department of Education and the school
1039	district in the service area in which the kindergarten is
1040	located of its intent to participate in the program under this
1041	section as early as possible, but no later than July 1 preceding
1042	the school year in which it intends to participate.
1043	(c) Comply with the antidiscrimination provisions of 42
1044	U.S.C. s. 2000d.
1045	(d) Meet state and local health and safety laws and codes.
1046	(e) Comply with all state statutes applicable to the
1047	general regulation of private schools.
1048	(5) KINDERGARTEN GRANT DISBURSEMENT.--Upon proper
1049	documentation reviewed and approved by the Department of
1050	Education, the Chief Financial Officer shall make kindergarten
1051	grant payments in four equal amounts no later than September 1,
1052	November 1, February 1, and April 1 of each academic year. The
1053	initial payment shall be made after Department of Education
1054	verification of admission acceptance, and subsequent payments
1055	shall be made upon verification of the student's continued
1056	enrollment and attendance at the private kindergarten. Payment
1057	must be by individual warrant made payable to the student's
1058	parent and mailed by the Department of Education to the private
1059	kindergarten of the parent's choice, and the parent shall
1060	restrictively endorse the warrant to the private kindergarten.
1061	(6) LIABILITY.--No liability shall arise on the part of
1062	the state based on the award or use of any kindergarten grant.
1063	(7) DEPARTMENT OF EDUCATION OBLIGATIONS.--
1064	(a) The Department of Education shall transfer from
1065	general revenue funds appropriated to the school district the
1066	total amount of annual $3,500 grants for the school district's
1067	students from the Florida Education Finance Program to a
1068	separate account for the disbursement of the kindergarten
1069	grants.
1070	(b) The Department of Education shall administer the
1071	kindergarten grants program and may adopt rules pursuant to ss.
1072	120.536(1) and 120.54 to implement the provisions of this
1073	section. However, the inclusion of eligible private schools
1074	within options available to Florida public school students does
1075	not expand the regulatory authority of the state, its officers,
1076	or any school district to impose any additional regulations on
1077	private schools beyond those reasonably necessary to enforce
1078	requirements expressly set forth in this section.
1079	Section 13. Section 1002.397, Florida Statutes, is created
1080	to read:
1081	1002.397 K-8 Virtual School Grants Program.--
1082	(1) SCHOOL DISTRICT PARTICIPATION.--District school boards
1083	may choose to implement the K-8 virtual school grants program as
1084	a strategy to reduce class size in their local school districts
1085	pursuant to s. 1003.03(4).
1086	(2) K-8 VIRTUAL SCHOOL GRANTS PROGRAM.--Parents of a
1087	student who is eligible to attend kindergarten or grade 1, 2, 3,
1088	4, 5, 6, 7, or 8 and was enrolled and in attendance at a Florida
1089	public school during the October and February FTE enrollment
1090	counts or is entering kindergarten or first grade and has been
1091	assigned to a specific Florida public school shall be given the
1092	option to enroll the student in an eligible K-8 virtual school
1093	of the parent’s choice. The student shall be enrolled as a full-
1094	time student. The student shall be eligible for a virtual school
1095	grant in the amount of $4,800 in 2003 dollars, adjusted annually
1096	thereafter to reflect increases or decreases in the Consumer
1097	Price Index, or the tuition charged by the eligible K-8 virtual
1098	school, whichever is less. Students who are enrolled in
1099	traditional public school classes that are not in compliance
1100	with the maximum class sizes provided in s. 1003.03 or who have
1101	scored Level 1 on the Florida Comprehensive Assessment Test or
1102	have been retained shall be given priority.
1103	(3) STUDENT AND PARENT OBLIGATIONS.--
1104	(a) The parent of an eligible student choosing to
1105	participate in the K-8 Virtual School Grants Program shall
1106	notify the school district of the parent’s desire for the
1107	student to participate in the grants program.
1108	(b) The parent shall:
1109	1. Obtain acceptance for admission of the student to an
1110	eligible K-8 virtual school and inform the virtual school that
1111	the child will be using a virtual school grant.
1112	2. Notify the Department of Education by July 1 of the
1113	parent’s request for a K-8 virtual school grant and the name and
1114	address of the selected virtual school.
1115	3. Agree to pay any costs, including any transportation,
1116	associated with the child’s attendance at the K-8 virtual school
1117	that exceed the amount of the K-8 virtual school grant.
1118	(c) Each parent shall serve as, or provide, an onsite
1119	mentor or facilitator at the site where the student is
1120	physically located.
1121	(d) Each student shall have access to a singular,
1122	consistent curriculum that meets or exceeds the Sunshine State
1123	Standards and that has an interactive program with significant
1124	on-line components. Nothing in this section, however, shall
1125	prohibit a student from working at a different grade level in a
1126	subject within the singular curriculum.
1127	(e) Each student enrolled in an approved K-8 virtual
1128	school shall be a full-time student. Enrolled students must take
1129	all language arts, mathematics, science, history, and required
1130	courses for the grade level in which the student is enrolled.
1131	(f) Each student enrolled in an approved K-8 virtual
1132	school in grades 3, 4, 5, 6, 7, and 8 shall participate in the
1133	Florida Comprehensive Assessment Test (FCAT) in accordance with
1134	the requirement of s. 1008.22. Students in grades that are not
1135	required to take the FCAT shall participate in local assessments
1136	and in the K-3 state-approved assessment for reading adopted by
1137	Just Read Florida.
1138	(4) K-8 VIRTUAL SCHOOL ELIGIBILITY.--As used in this
1139	section, a “K-8 virtual school” means an independent public
1140	school that uses on-line and distance learning technology in
1141	order to deliver instruction to students in kindergarten and
1142	grades 1 through 8. Eligibility of a K-8 virtual school to
1143	participate in the K-8 Virtual School Grants Program shall be
1144	determined by the State Board of Education. To be eligible to
1145	participate in the program, a K-8 virtual school must:
1146	(a) Demonstrate fiscal soundness by being in operation for
1147	at least 1 school year or provide the Department of Education
1148	with a statement by a certified public accountant confirming
1149	that the K-8 virtual school desiring to participate is insured
1150	and the owner or owners have sufficient capital or credit to
1151	operate the school for the upcoming year serving the number of
1152	students anticipated with expected revenues from tuition and
1153	other sources that may be reasonably expected. In lieu of such a
1154	statement, a surety bond or letter of credit for the amount
1155	equal to the K-8 virtual school grants funds for any school year
1156	may be filed with the department.
1157	(b) Notify the Department of Education of its intent to
1158	participate in the program under this section as early as
1159	possible, but no later than July 1 preceding the school year in
1160	which it intends to participate, except that such notification
1161	deadline shall not apply in the first year of implementation.
1162	(c) Comply with the antidiscrimination provisions of 42
1163	U.S.C. s. 2000d.
1164	(d) Submit to the State Board of Education forecasted
1165	enrollment, actual enrollments, and grade completions for the K-
1166	8 virtual school according to procedures established by the
1167	State Board of Education. At a minimum, such procedures must
1168	include the number of students served by grade and by county of
1169	residence.
1170	(e) Provide, free of charge, all instructional materials
1171	for each student enrolled in the K–8 virtual school for as long
1172	as the student is enrolled. In addition, for each household with
1173	a student or students enrolled in a K-8 virtual school, the
1174	virtual school must make available, free of charge, a computer
1175	and a printer, in addition to a subsidized Internet connection,
1176	for as long as the student is enrolled. Nothing in this
1177	paragraph prevents students from using their own computers,
1178	printers, or Internet connections.
1179	(f) Conform all curriculum and course content to the
1180	Sunshine State Standards. All reading and other content area
1181	strategies shall be based on scientific research.
1182	(g) Administer the Florida Comprehensive Assessment Test
1183	(FCAT) in accordance with ss. 1008.22, 1008.23, and 1008.24 or,
1184	for those students in grades that are not required to take the
1185	FCAT, local assessments and the K-3 state-approved assessment
1186	for reading adopted by Just Read Florida.
1187	(h) Employ on-line teachers who are certified in Florida.
1188	All on-line teachers shall meet with each student at least once
1189	per month during each school semester, either face-to-face at
1190	the school facility or another mutually agreed upon location or
1191	via telephone. On-line teachers shall be available to students,
1192	parents, and onsite mentors and facilitators on a schedule
1193	equivalent to that of a normal public school day and normal
1194	public school calendar for each K-8 virtual school student's
1195	public school district in a variety of ways, including, but not
1196	limited to, telephone and electronic mail.
1197	(i) Maintain an administrative office, which shall be
1198	considered its principal place of business within the state.
1199	(5) K-8 VIRTUAL SCHOOL GRANT DISBURSEMENT.--Upon proper
1200	documentation reviewed and approved by the Department of
1201	Education, the Chief Financial Officer shall make K-8 virtual
1202	school grant payments in four equal amounts no later than
1203	September 1, November 1, February 1, and April 1 of each
1204	academic year. The initial payment shall be made after
1205	Department of Education verification of admission acceptance,
1206	and subsequent payments shall be made upon verification of the
1207	student’s continued enrollment. Payment must be by individual
1208	warrant made payable to the student’s parent and mailed by the
1209	Department of Education to the K-8 virtual school of the
1210	parent’s choice, and the parent shall restrictively endorse the
1211	warrant to the virtual school.
1212	(6) LIABILITY.--No liability shall arise on the part of
1213	the state based on the award or use of any K-8 virtual school
1214	grant.
1215	(7) DEPARTMENT OF EDUCATION OBLIGATIONS.--The Department
1216	of Education shall administer the K-8 Virtual School Grants
1217	Program.
1218	(a) The department may approve one or more K-8 virtual
1219	schools for the purpose of delivering K-8 on-line and distance
1220	learning education.
1221	(b) The department shall monitor each K-8 virtual school’s
1222	performance and annually evaluate each K-8 virtual school based
1223	on the following criteria:
1224	1. The extent to which the school demonstrates increases
1225	in student achievement according to the goals of the Sunshine
1226	State Standards.
1227	2. Student achievement data from the Florida Comprehensive
1228	Assessment Test (FCAT) for grades 3 through 8. The school shall
1229	be assigned a school performance grade under the school grading
1230	system. For those students in kindergarten and grades 1 and 2
1231	who are not required to take the FCAT, student achievement data
1232	shall be from local assessments and the K-3 state-approved
1233	assessment for reading adopted by Just Read Florida.
1234	3. Grade completion rate, based upon the goals of a
1235	70-percent completion rate, with 80 percent of those completing
1236	grades scoring at Level 3 or higher on the FCAT or at least
1237	satisfactory on the K-3 assessment.
1238	4. Parent satisfaction rate, based upon the goal of 80
1239	percent of parents of participating students indicating
1240	satisfaction with the school.
1241	5. The accountability and viability of the K-8 virtual
1242	school as demonstrated by its academic, fiscal, and operational
1243	performance.
1244
1245	The Department of Education shall report each K-8 virtual
1246	school’s performance to the State Board of Education, the
1247	President of the Senate, and the Speaker of the House of
1248	Representatives.
1249	(8) RULEMAKING.--The State Board of Education may adopt
1250	rules in accordance with ss. 120.536(1) and 120.54 as necessary
1251	to implement this section, including reporting requirements for
1252	K-8 virtual schools operating pursuant to this section.
1253
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