Senate Bill sb0256e1

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    CS for CS for SB 256                           First Engrossed



  1                      A bill to be entitled

  2         An act relating to scholarship program

  3         accountability; amending s. 1002.39, F.S.,

  4         relating to the John M. McKay Scholarships for

  5         Students with Disabilities Program; revising

  6         the definition of the term "students with

  7         disabilities"; revising student eligibility

  8         requirements for receipt of a scholarship and

  9         restricting eligibility therefor; providing for

10         the term of a scholarship; revising and adding

11         school district obligations and clarifying

12         parental options; revising and adding

13         Department of Education obligations, including

14         verification of eligibility of private schools

15         and establishment of a process for notification

16         of violations, subsequent inquiry or

17         investigation, and certification of compliance

18         by private schools; providing Commissioner of

19         Education authority and obligations, including

20         the denial, suspension, or revocation of a

21         private school's participation in the

22         scholarship program and procedures and

23         timelines therefor; authorizing the Department

24         of Education's Office of the Inspector General

25         to release student records under certain

26         conditions; revising private school eligibility

27         and obligations, including compliance with

28         specified laws and academic accountability to

29         the parent; revising parent and student

30         responsibilities for scholarship program

31         participation; prohibiting power of attorney


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 1         for endorsing a scholarship warrant; revising

 2         provisions relating to scholarship funding and

 3         payment; providing funding and payment

 4         requirements for former Florida School for the

 5         Deaf and the Blind students and for students

 6         exiting a Department of Juvenile Justice

 7         program; providing for the Department of

 8         Education to request a sample of endorsed

 9         warrants from the Department of Financial

10         Services; amending s. 220.187, F.S., relating

11         to credits for contributions to nonprofit

12         scholarship-funding organizations; revising and

13         providing definitions; naming the Corporate

14         Income Tax Credit Scholarship Program;

15         providing student eligibility requirements for

16         receipt of a corporate income tax credit

17         scholarship and restricting eligibility

18         therefor; revising provisions relating to tax

19         credits for small businesses; providing for

20         rescindment of tax credit allocation; revising

21         and adding obligations of eligible nonprofit

22         scholarship-funding organizations, including

23         compliance with requirements for background

24         checks of owners and operators,

25         scholarship-funding organization ownership or

26         operation, carryforward and transfer of funds,

27         audits, and reports; specifying background

28         screening requirements and procedures;

29         requiring that certain information remain

30         confidential in accordance with s. 213.053,

31         F.S.; revising and adding parent and student


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 1         responsibilities for scholarship program

 2         participation, including compliance with a

 3         private school's published policies,

 4         participation in student academic assessment,

 5         and restrictive endorsement of scholarship

 6         warrants; prohibiting power of attorney for

 7         endorsing a scholarship warrant; revising and

 8         adding private school eligibility requirements

 9         and obligations, including compliance with

10         specified laws and academic accountability to

11         parents; revising and adding Department of

12         Education obligations, including verification

13         of eligibility of program participants,

14         establishment of a process for notification of

15         violations, subsequent inquiry or

16         investigation, certification of compliance by

17         private schools, and selection of a research

18         organization to analyze student performance

19         data; providing Commissioner of Education

20         authority and obligations, including the

21         denial, suspension, or revocation of a private

22         school's participation in the scholarship

23         program and procedures and timelines therefor;

24         authorizing the Department of Education's

25         Office of the Inspector General to release

26         student records under certain circumstances;

27         revising and adding provisions relating to

28         scholarship funding and payment, including the

29         amount of a scholarship and the payment

30         process; requiring adoption of rules; creating

31         s. 1002.421, F.S., relating to accountability


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 1         of private schools participating in state

 2         school choice scholarship programs; providing

 3         requirements for participation in a scholarship

 4         program, including compliance with specified

 5         state, local, and federal laws and

 6         demonstration of fiscal soundness; requiring

 7         restrictive endorsement of a scholarship

 8         warrant and prohibiting power of attorney for

 9         endorsing a warrant; requiring employment of

10         qualified teachers and background screening of

11         employees and contracted personnel having

12         direct student contact; specifying background

13         screening requirements and procedures;

14         providing scope of authority; requiring

15         adoption of rules; providing effective dates.

16  

17  Be It Enacted by the Legislature of the State of Florida:

18  

19         Section 1.  Section 1002.39, Florida Statutes, is

20  amended to read:

21         1002.39  The John M. McKay Scholarships for Students

22  with Disabilities Program.--There is established a program

23  that is separate and distinct from the Opportunity Scholarship

24  Program and is named the John M. McKay Scholarships for

25  Students with Disabilities Program, pursuant to this section.

26         (1)  THE JOHN M. MCKAY SCHOLARSHIPS FOR STUDENTS WITH

27  DISABILITIES PROGRAM.--The John M. McKay Scholarships for

28  Students with Disabilities Program is established to provide

29  the option to attend a public school other than the one to

30  which assigned, or to provide a scholarship to a private

31  school of choice, for students with disabilities for whom an


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 1  individual education plan has been written in accordance with

 2  rules of the State Board of Education. Students with

 3  disabilities include K-12 students who are documented as

 4  having a mental handicap, including trainable, profound, or

 5  educable; a mentally handicapped, speech or and language

 6  impairment; a impaired, deaf or hard of hearing impairment,

 7  including deafness; a visual impairment, including blindness;

 8  a visually impaired, dual sensory impairment; a physical

 9  impairment; a serious emotional disturbance, including an

10  emotional handicap; a impaired, physically impaired,

11  emotionally handicapped, specific learning disability,

12  including, but not limited to, dyslexia, dyscalculia, or

13  developmental aphasia; a traumatic brain injury; disabled,

14  hospitalized or homebound, or autism autistic.

15         (2)  JOHN M. MCKAY SCHOLARSHIP ELIGIBILITY.--The parent

16  of a public school student with a disability who is

17  dissatisfied with the student's progress may request and

18  receive from the state a John M. McKay Scholarship for the

19  child to enroll in and attend a private school in accordance

20  with this section if:

21         (a)  By assigned school attendance area or by special

22  assignment, The student has spent the prior school year in

23  attendance at a Florida public school or the Florida School

24  for the Deaf and the Blind. Prior school year in attendance

25  means that the student was:

26         1.  Enrolled and reported by a school district for

27  funding during the preceding October and February Florida

28  Education Finance Program surveys in kindergarten through

29  grade 12, which shall include time spent in a Department of

30  Juvenile Justice commitment program if funded under the

31  Florida Education Finance Program;


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 1         2.  Enrolled and reported by the Florida School for the

 2  Deaf and the Blind during the preceding October and February

 3  student membership surveys in kindergarten through grade 12;

 4  or

 5         3.  Enrolled and reported by a school district for

 6  funding during the preceding October and February Florida

 7  Education Finance Program surveys, was at least 4 years old

 8  when so enrolled and reported, and was eligible for services

 9  under s. 1003.21(1)(e).

10  

11  However, this paragraph does not apply to a dependent child of

12  a member of the United States Armed Forces who transfers to a

13  school in this state from out of state or from a foreign

14  country pursuant to a parent's permanent change of station

15  orders is exempt from this paragraph but. A dependent child of

16  a member of the United States Armed Forces who transfers to a

17  school in this state from out of state or from a foreign

18  country pursuant to a parent's permanent change of station

19  orders must meet all other eligibility requirements to

20  participate in the program.

21         (b)  The parent has obtained acceptance for admission

22  of the student to a private school that is eligible for the

23  program under subsection (8) (4) and has requested from the

24  department notified the school district of the request for a

25  scholarship at least 60 days prior to the date of the first

26  scholarship payment. The request parental notification must be

27  through a communication directly to the department district or

28  through the Department of Education to the district in a

29  manner that creates a written or electronic record of the

30  request notification and the date of receipt of the request

31  notification. The Department of Education must notify the


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 1  district of the parent's intent upon receipt of the parent's

 2  request.

 3  

 4  This section does not apply to a student who is enrolled in a

 5  school operating for the purpose of providing educational

 6  services to youth in Department of Juvenile Justice commitment

 7  programs. For purposes of continuity of educational choice,

 8  the scholarship shall remain in force until the student

 9  returns to a public school or graduates from high school.

10  However, at any time, the student's parent may remove the

11  student from the private school and place the student in

12  another private school that is eligible for the program under

13  subsection (4) or in a public school as provided in subsection

14  (3).

15         (3)  JOHN M. MCKAY SCHOLARSHIP PROHIBITIONS.--A student

16  is not eligible for a John M. McKay Scholarship while he or

17  she is:

18         (a)  Enrolled in a school operating for the purpose of

19  providing educational services to youth in Department of

20  Juvenile Justice commitment programs;

21         (b)  Receiving a corporate income tax credit

22  scholarship under s. 220.187;

23         (c)  Receiving an educational scholarship pursuant to

24  this chapter;

25         (d)  Participating in a home education program as

26  defined in s. 1002.01(1);

27         (e)  Participating in a private tutoring program

28  pursuant to s. 1002.43;

29         (f)  Participating in a virtual school, correspondence

30  school, or distance learning program that receives state

31  funding pursuant to the student's participation unless the


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 1  participation is limited to no more than two courses per

 2  school year;

 3         (g)  Enrolled in the Florida School for the Deaf and

 4  the Blind; or

 5         (h)  Not having regular and direct contact with his or

 6  her private school teachers at the school's physical location.

 7         (4)  TERM OF JOHN M. MCKAY SCHOLARSHIP.--

 8         (a)  For purposes of continuity of educational choice,

 9  a John M. McKay Scholarship shall remain in force until the

10  student returns to a public school, graduates from high

11  school, or reaches the age of 22, whichever occurs first.

12         (b)  Upon reasonable notice to the department and the

13  school district, the student's parent may remove the student

14  from the private school and place the student in a public

15  school in accordance with this section.

16         (c)  Upon reasonable notice to the department, the

17  student's parent may move the student from one participating

18  private school to another participating private school.

19         (5)(3)  SCHOOL DISTRICT AND DEPARTMENT OF EDUCATION

20  OBLIGATIONS; PARENTAL OPTIONS.--

21         (a)1.  By April 1 of each year and within 10 days after

22  an individual education plan meeting, a school district shall

23  timely notify the parent of the student of all options

24  available pursuant to this section, inform the parent of the

25  availability of the department's telephone hotline and

26  Internet website for additional information on John M. McKay

27  Scholarships, and offer that student's parent an opportunity

28  to enroll the student in another public school within the

29  district.

30         2.  The parent is not required to accept the this offer

31  of enrolling in another public school in lieu of requesting a


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 1  John M. McKay Scholarship to a private school. However, if the

 2  parent chooses the public school option, the student may

 3  continue attending a public school chosen by the parent until

 4  the student graduates from high school.

 5         3.  If the parent chooses a public school consistent

 6  with the district school board's choice plan under s. 1002.31,

 7  the school district shall provide transportation to the public

 8  school selected by the parent. The parent is responsible to

 9  provide transportation to a public school chosen that is not

10  consistent with the district school board's choice plan under

11  s. 1002.31.

12         (b)1.  For a student with disabilities who does not

13  have a matrix of services under s. 1011.62(1)(e), the school

14  district must complete a matrix that assigns the student to

15  one of the levels of service as they existed prior to the

16  2000-2001 school year.

17         2.a.  Within 10 school days after it receives

18  notification of a parent's request for a John M. McKay

19  Scholarship, a school district must notify the student's

20  parent if the matrix of services has not been completed and

21  inform the parent that the district is required to complete

22  the matrix within 30 days after receiving notice of the

23  parent's request for a John M. McKay Scholarship. This notice

24  should include the required completion date for the matrix.

25         b.  The school district must complete the matrix of

26  services for any student who is participating in the John M.

27  McKay Scholarships for Students with Disabilities Program and

28  must notify the department of Education of the student's

29  matrix level within 30 days after receiving notification of a

30  request by the student's parent of intent to participate in

31  the scholarship program. The school district must provide the


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 1  student's parent with the student's matrix level within 10

 2  school days after its completion.

 3         c.  The department of Education shall notify the

 4  private school of the amount of the scholarship within 10 days

 5  after receiving the school district's notification of the

 6  student's matrix level. Within 10 school days after it

 7  receives notification of a parent's intent to apply for a

 8  McKay Scholarship, a district school board must notify the

 9  student's parent if the matrix has not been completed and

10  provide the parent with the date for completion of the matrix

11  required in this paragraph.

12         d.  A school district may change a matrix of services

13  only if the change is to correct a technical, typographical,

14  or calculation error.

15         (c)  A school district shall provide notification to

16  parents of the availability of a reevaluation at least every 3

17  years of each student who receives a John M. McKay

18  Scholarship.

19         (d)(c)  If the parent chooses the private school option

20  and the student is accepted by the private school pending the

21  availability of a space for the student, the parent of the

22  student must notify the department school district 60 days

23  prior to the first scholarship payment and before entering the

24  private school in order to be eligible for the scholarship

25  when a space becomes available for the student in the private

26  school.

27         (e)(d)  The parent of a student may choose, as an

28  alternative, to enroll the student in and transport the

29  student to a public school in an adjacent school district

30  which has available space and has a program with the services

31  agreed to in the student's individual education plan already


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 1  in place, and that school district shall accept the student

 2  and report the student for purposes of the district's funding

 3  pursuant to the Florida Education Finance Program.

 4         (f)(e)  For a student in the district who participates

 5  in the John M. McKay Scholarships for Students with

 6  Disabilities Program whose parent requests that the student

 7  take the statewide assessments under s. 1008.22, the district

 8  in which the student attends private school shall provide

 9  locations and times to take all statewide assessments.

10         (f)  A school district must notify the Department of

11  Education within 10 days after it receives notification of a

12  parent's intent to apply for a scholarship for a student with

13  a disability. A school district must provide the student's

14  parent with the student's matrix level within 10 school days

15  after its completion.

16         (6)  DEPARTMENT OF EDUCATION OBLIGATIONS.--The

17  department shall:

18         (a)  Establish a toll-free hotline that provides

19  parents and private schools with information on participation

20  in the John M. McKay Scholarships for Students with

21  Disabilities Program.

22         (b)  Annually verify the eligibility of private schools

23  that meet the requirements of subsection (8).

24         (c)  Establish a process by which individuals may

25  notify the department of any violation by a parent, private

26  school, or school district of state laws relating to program

27  participation. The department shall conduct an inquiry of any

28  written complaint of a violation of this section, or make a

29  referral to the appropriate agency for an investigation, if

30  the complaint is signed by the complainant and is legally

31  sufficient. A complaint is legally sufficient if it contains


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 1  ultimate facts that show that a violation of this section or

 2  any rule adopted by the State Board of Education has occurred.

 3  In order to determine legal sufficiency, the department may

 4  require supporting information or documentation from the

 5  complainant. A department inquiry is not subject to the

 6  requirements of chapter 120.

 7         (d)  Require an annual, notarized, sworn compliance

 8  statement by participating private schools certifying

 9  compliance with state laws and shall retain such records.

10         (e)  Cross-check the list of participating scholarship

11  students with the public school enrollment lists prior to each

12  scholarship payment to avoid duplication.

13         (f)1.  Conduct random site visits to private schools

14  participating in the John M. McKay Scholarships for Students

15  with Disabilities Program. The purpose of the site visits is

16  solely to verify the information reported by the schools

17  concerning the enrollment and attendance of students, the

18  credentials of teachers, background screening of teachers, and

19  teachers' fingerprinting results, which information is

20  required by rules of the State Board of Education, subsection

21  (8), and s. 1002.421. The Department of Education may not make

22  more than three random site visits each year and may not make

23  more than one random site visit each year to the same private

24  school.

25         2.  Annually, by December 15, report to the Governor,

26  the President of the Senate, and the Speaker of the House of

27  Representatives the Department of Education's actions with

28  respect to implementing accountability in the scholarship

29  program under this section and s. 1002.421, any substantiated

30  allegations or violations of law or rule by an eligible

31  private school under this program concerning the enrollment


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 1  and attendance of students, the credentials of teachers,

 2  background screening of teachers, and teachers' fingerprinting

 3  results and the corrective action taken by the Department of

 4  Education.

 5         (7)  COMMISSIONER OF EDUCATION AUTHORITY AND

 6  OBLIGATIONS.--

 7         (a)  The Commissioner of Education shall deny, suspend,

 8  or revoke a private school's participation in the scholarship

 9  program if it is determined that the private school has failed

10  to comply with the provisions of this section. However, in

11  instances in which the noncompliance is correctable within a

12  reasonable amount of time and in which the health, safety, or

13  welfare of the students are not threatened, the commissioner

14  may issue a notice of noncompliance which shall provide the

15  private school with a timeframe within which to provide

16  evidence of compliance prior to taking action to suspend or

17  revoke the private school's participation in the scholarship

18  program.

19         (b)  The commissioner's determination is subject to the

20  following:

21         1.  If the commissioner intends to deny, suspend, or

22  revoke a private school's participation in the scholarship

23  program, the department shall notify the private school of

24  such proposed action in writing by certified mail and regular

25  mail to the private school's address of record with the

26  department. The notification shall include the reasons for the

27  proposed action and notice of the timelines and procedures set

28  forth in this paragraph.

29         2.  The private school that is adversely affected by

30  the proposed action shall have 15 days from receipt of the

31  notice of proposed action to file with the department's agency


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 1  clerk a request for a proceeding pursuant to ss. 120.569 and

 2  120.57. If the private school is entitled to a hearing under

 3  s. 120.57(1), the department shall forward the request to the

 4  Division of Administrative Hearings.

 5         3.  Upon receipt of a request referred pursuant to this

 6  paragraph, the director of the Division of Administrative

 7  Hearings shall expedite the hearing and assign an

 8  administrative law judge who shall commence a hearing within

 9  30 days after the receipt of the formal written request by the

10  division and enter a recommended order within 30 days after

11  the hearing or within 30 days after receipt of the hearing

12  transcript, whichever is later. Each party shall be allowed 10

13  days in which to submit written exceptions to the recommended

14  order. A final order shall be entered by the agency within 30

15  days after the entry of a recommended order. The provisions of

16  this subparagraph may be waived upon stipulation by all

17  parties.

18         (c)  The commissioner may immediately suspend payment

19  of scholarship funds if it is determined that there is

20  probable cause to believe that there is:

21         1.  An imminent threat to the health, safety, or

22  welfare of the students; or

23         2.  Fraudulent activity on the part of the private

24  school. Notwithstanding s. 1002.22(3), in incidents of alleged

25  fraudulent activity pursuant to this section, the Department

26  of Education's Office of Inspector General is authorized to

27  release personally identifiable records or reports of students

28  to the following persons or organizations:

29         a.  A court of competent jurisdiction in compliance

30  with an order of that court or the attorney of record in

31  accordance with a lawfully issued subpoena, consistent with


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 1  the Family Educational Rights and Privacy Act, 20 U.S.C. s.

 2  1232g.

 3         b.  A person or entity authorized by a court of

 4  competent jurisdiction in compliance with an order of that

 5  court or the attorney of record pursuant to a lawfully issued

 6  subpoena, consistent with the Family Educational Rights and

 7  Privacy Act, 20 U.S.C. s. 1232g.

 8         c.  Any person, entity, or authority issuing a subpoena

 9  for law enforcement purposes when the court or other issuing

10  agency has ordered that the existence or the contents of the

11  subpoena or the information furnished in response to the

12  subpoena not be disclosed, consistent with the Family

13  Educational Rights and Privacy Act, 20 U.S.C. s. 1232g, and 34

14  C.F.R. s. 99.31.

15  

16  The commissioner's order suspending payment pursuant to this

17  paragraph may be appealed pursuant to the same procedures and

18  timelines as the notice of proposed action set forth in

19  paragraph (b).

20         (8)(4)  PRIVATE SCHOOL ELIGIBILITY AND OBLIGATIONS.--To

21  be eligible to participate in the John M. McKay Scholarships

22  for Students with Disabilities Program, a private school must

23  be a Florida private school, may be sectarian or nonsectarian,

24  and must:

25         (a)  Comply with all requirements for private schools

26  participating in state school-choice scholarship programs

27  pursuant to s. 1002.421.

28         (b)  Provide to the department all documentation

29  required for a student's participation, including the private

30  school's and student's fee schedules, at least 30 days before

31  


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 1  the first quarterly scholarship payment is made for the

 2  student.

 3         (c)  Be academically accountable to the parent for

 4  meeting the educational needs of the student by:

 5         1.  At a minimum, annually providing to the parent a

 6  written explanation of the student's progress.

 7         2.  Cooperating with the scholarship student whose

 8  parent chooses to participate in the statewide assessments

 9  pursuant to s. 1008.22.

10         (d)  Maintain in this state a physical location where a

11  scholarship student regularly attends classes.

12  

13  The inability of a private school to meet the requirements of

14  this subsection shall constitute a basis for the ineligibility

15  of the private school to participate in the scholarship

16  program as determined by the department.

17         (a)  Demonstrate fiscal soundness by being in operation

18  for 1 school year or provide the Department of Education with

19  a statement by a certified public accountant confirming that

20  the private school desiring to participate is insured and the

21  owner or owners have sufficient capital or credit to operate

22  the school for the upcoming year serving the number of

23  students anticipated with expected revenues from tuition and

24  other sources that may be reasonably expected. In lieu of such

25  a statement, a surety bond or letter of credit for the amount

26  equal to the scholarship funds for any quarter may be filed

27  with the department.

28         (b)  Notify the Department of Education of its intent

29  to participate in the program under this section. The notice

30  must specify the grade levels and services that the private

31  


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 1  school has available for students with disabilities who are

 2  participating in the scholarship program.

 3         (c)  Comply with the antidiscrimination provisions of

 4  42 U.S.C. s. 2000d.

 5         (d)  Meet state and local health and safety laws and

 6  codes.

 7         (e)  Be academically accountable to the parent for

 8  meeting the educational needs of the student.

 9         (f)  Employ or contract with teachers who hold

10  baccalaureate or higher degrees, or have at least 3 years of

11  teaching experience in public or private schools, or have

12  special skills, knowledge, or expertise that qualifies them to

13  provide instruction in subjects taught.

14         (g)  Comply with all state laws relating to general

15  regulation of private schools.

16         (h)  Adhere to the tenets of its published disciplinary

17  procedures prior to the expulsion of a scholarship student.

18         (9)(5)  PARENT AND STUDENT RESPONSIBILITIES FOR

19  OBLIGATION OF PROGRAM PARTICIPATION PARTICIPANTS.--A parent

20  who applies for a John M. McKay Scholarship is exercising his

21  or her parental option to place his or her child in a private

22  school.

23         (a)  A parent who applies for a John M. McKay

24  Scholarship is exercising his or her parental option to place

25  his or her child in a private school. The parent must select

26  the private school and apply for the admission of his or her

27  child.

28         (b)  The parent must have requested the scholarship at

29  least 60 days prior to the date of the first scholarship

30  payment.

31  


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 1         (c)  Any student participating in the John M. McKay

 2  Scholarships for Students with Disabilities scholarship

 3  Program must remain in attendance throughout the school year,

 4  unless excused by the school for illness or other good cause,

 5  and must comply fully with the school's code of conduct.

 6         (d)  Each The parent and of each student has an

 7  obligation to the private school to participating in the

 8  scholarship program must comply fully with the private

 9  school's published policies parental involvement requirements,

10  unless excused by the school for illness or other good cause.

11         (e)  If the parent requests that the student

12  participating in the John M. McKay Scholarships for Students

13  with Disabilities scholarship Program take all statewide

14  assessments required pursuant to s. 1008.22, the parent is

15  responsible for transporting the student to the assessment

16  site designated by the school district.

17         (f)  Upon receipt of a scholarship warrant, the parent

18  to whom the warrant is made must restrictively endorse the

19  warrant to the private school for deposit into the account of

20  the private school. The parent may not designate any entity or

21  individual associated with the participating private school as

22  the parent's attorney in fact to endorse a scholarship

23  warrant. A participant who fails to comply with this paragraph

24  forfeits the scholarship.

25         (g)  A participant who fails to comply with this

26  subsection forfeits the scholarship.

27         (10)(6)  JOHN M. MCKAY SCHOLARSHIP FUNDING AND

28  PAYMENT.--

29         (a)1.  The maximum scholarship granted for an eligible

30  student with disabilities shall be a calculated amount

31  equivalent to the base student allocation in the Florida


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 1  Education Finance Program multiplied by the appropriate cost

 2  factor for the educational program that would have been

 3  provided for the student in the district school to which he or

 4  she was assigned, multiplied by the district cost

 5  differential.

 6         2.  In addition, a share of the guaranteed allocation

 7  for exceptional students shall be determined and added to the

 8  calculated amount. The calculation shall be based on the

 9  methodology and the data used to calculate the guaranteed

10  allocation for exceptional students for each district in

11  chapter 2000-166, Laws of Florida. Except as provided in

12  subparagraphs subparagraph 3. and 4., the calculation shall be

13  based on the student's grade, matrix level of services, and

14  the difference between the 2000-2001 basic program and the

15  appropriate level of services cost factor, multiplied by the

16  2000-2001 base student allocation and the 2000-2001 district

17  cost differential for the sending district. Also, the

18  calculated amount shall include the per-student share of

19  supplemental academic instruction funds, instructional

20  materials funds, technology funds, and other categorical funds

21  as provided for such purposes in the General Appropriations

22  Act.

23         3.  The calculated scholarship amount for a student who

24  is eligible under subparagraph (2)(a)2. shall be calculated as

25  provided in subparagraphs 1. and 2. However, the calculation

26  shall be based on the school district in which the parent

27  resides at the time of the scholarship request.

28         4.3.  Until the school district completes the matrix

29  required by paragraph (5)(3)(b), the calculation shall be

30  based on the matrix that assigns the student to support level

31  I of service as it existed prior to the 2000-2001 school year.


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 1  When the school district completes the matrix, the amount of

 2  the payment shall be adjusted as needed.

 3         (b)  The amount of the John M. McKay Scholarship shall

 4  be the calculated amount or the amount of the private school's

 5  tuition and fees, whichever is less. The amount of any

 6  assessment fee required by the participating private school

 7  may be paid from the total amount of the scholarship.

 8         (c)  If the participating private school requires

 9  partial payment of tuition prior to the start of the academic

10  year to reserve space for students admitted to the school,

11  that partial payment may be paid by the Department of

12  Education prior to the first quarterly payment of the year in

13  which the John M. McKay Scholarship is awarded, up to a

14  maximum of $1,000, and deducted from subsequent scholarship

15  payments. If a student decides not to attend the participating

16  private school, the partial reservation payment must be

17  returned to the Department of Education by the participating

18  private school. There is a limit of one reservation payment

19  per student per year.

20         (c)1.(d)  The school district shall report all students

21  who are attending a private school under this program. The

22  students with disabilities attending private schools on John

23  M. McKay Scholarships shall be reported separately from other

24  students reported for purposes of the Florida Education

25  Finance Program.

26         2.  For program participants who are eligible under

27  subparagraph (2)(a)2., the school district that is used as the

28  basis for the calculation of the scholarship amount as

29  provided in subparagraph (a)3. shall:

30         a.  Report to the department all such students who are

31  attending a private school under this program.


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 1         b.  Be held harmless for such students from the

 2  weighted enrollment ceiling for group 2 programs in s.

 3  1011.62(1)(d)3.a. during the first school year in which the

 4  students are reported.

 5         (d)(e)  Following notification on July 1, September 1,

 6  December 1, or February 1 of the number of program

 7  participants, the department of Education shall transfer, from

 8  General Revenue funds only, the amount calculated under

 9  paragraph (b) from the school district's total funding

10  entitlement under the Florida Education Finance Program and

11  from authorized categorical accounts to a separate account for

12  the scholarship program for quarterly disbursement to the

13  parents of participating students. Funds may not be

14  transferred from any funding provided to the Florida School

15  for the Deaf and the Blind for program participants who are

16  eligible under subparagraph (2)(a)2. For a student exiting a

17  Department of Juvenile Justice commitment program who chooses

18  to participate in the scholarship program, the amount of the

19  John M. McKay Scholarship calculated pursuant to paragraph (b)

20  shall be transferred from the school district in which the

21  student last attended a public school prior to commitment to

22  the Department of Juvenile Justice. When a student enters the

23  scholarship program, the department of Education must receive

24  all documentation required for the student's participation,

25  including the private school's and student's fee schedules, at

26  least 30 days before the first quarterly scholarship payment

27  is made for the student. The Department of Education may not

28  make any retroactive payments.

29         (e)(f)  Upon notification proper documentation reviewed

30  and approved by the department that it has received the

31  documentation required under paragraph (d) Department of


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    CS for CS for SB 256                           First Engrossed



 1  Education, the Chief Financial Officer shall make scholarship

 2  payments in four equal amounts no later than September 1,

 3  November 1, February 1, and April 1 15 of each academic year

 4  in which the scholarship is in force. The initial payment

 5  shall be made after department of Education verification of

 6  admission acceptance, and subsequent payments shall be made

 7  upon verification of continued enrollment and attendance at

 8  the private school. Payment must be by individual warrant made

 9  payable to the student's parent and mailed by the department

10  of Education to the private school of the parent's choice, and

11  the parent shall restrictively endorse the warrant to the

12  private school for deposit into the account of the private

13  school.

14         (f)  Subsequent to each scholarship payment, the

15  department shall request from the Department of Financial

16  Services a sample of endorsed warrants to review and confirm

17  compliance with endorsement requirements.

18         (11)(7)  LIABILITY.--No liability shall arise on the

19  part of the state based on the award or use of a John M. McKay

20  Scholarship.

21         (12)  SCOPE OF AUTHORITY.--The inclusion of eligible

22  private schools within options available to Florida public

23  school students does not expand the regulatory authority of

24  the state, its officers, or any school district to impose any

25  additional regulation of private schools beyond those

26  reasonably necessary to enforce requirements expressly set

27  forth in this section.

28         (13)(8)  RULES.--The State Board of Education shall

29  adopt rules pursuant to ss. 120.536(1) and 120.54 to

30  administer this section, including rules that school districts

31  must use to expedite the development of a matrix of services


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    CS for CS for SB 256                           First Engrossed



 1  based on an active a current individual education plan from

 2  another state or a foreign country for a transferring student

 3  with a disability who is a dependent child of a member of the

 4  United States Armed Forces. The rules must identify the

 5  appropriate school district personnel who must complete the

 6  matrix of services. For purposes of these rules, a

 7  transferring student with a disability is one who was

 8  previously enrolled as a student with a disability in an

 9  out-of-state or an out-of-country public or private school or

10  agency program and who is transferring from out of state or

11  from a foreign country pursuant to a parent's permanent change

12  of station orders. However, the inclusion of eligible private

13  schools within options available to Florida public school

14  students does not expand the regulatory authority of the

15  state, its officers, or any school district to impose any

16  additional regulation of private schools beyond those

17  reasonably necessary to enforce requirements expressly set

18  forth in this section.

19         Section 2.  Section 220.187, Florida Statutes, is

20  amended to read:

21         220.187  Credits for contributions to nonprofit

22  scholarship-funding organizations.--

23         (1)  PURPOSE.--The purpose of this section is to:

24         (a)  Encourage private, voluntary contributions to

25  nonprofit scholarship-funding organizations.

26         (b)  Expand educational opportunities for children of

27  families that have limited financial resources.

28         (c)  Enable children in this state to achieve a greater

29  level of excellence in their education.

30         (2)  DEFINITIONS.--As used in this section, the term:

31         (a)  "Department" means the Department of Revenue.


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 1         (b)  "Eligible contribution" means a monetary

 2  contribution from a taxpayer, subject to the restrictions

 3  provided in this section, to an eligible nonprofit

 4  scholarship-funding organization. The taxpayer making the

 5  contribution may not designate a specific child as the

 6  beneficiary of the contribution. The taxpayer may not

 7  contribute more than $5 million to any single eligible

 8  nonprofit scholarship-funding organization.

 9         (c)(d)  "Eligible nonprofit scholarship-funding

10  organization" means a charitable organization that:

11         1.  Is exempt from federal income tax pursuant to s.

12  501(c)(3) of the Internal Revenue Code;

13         2.  Is a Florida entity formed under chapter 607,

14  chapter 608, or chapter 617 and whose principal office is

15  located in the state; and

16         3.  and that Complies with the provisions of subsection

17  (6) (4).

18         (d)(c)  "Eligible private nonpublic school" means a

19  private nonpublic school, as defined in s. 1002.01(2), located

20  in Florida which that offers an education to students in any

21  grades K-12 and that meets the requirements in subsection (8)

22  (6).

23         (e)  "Owner or operator" includes:

24         1.  An owner, president, officer, or director of an

25  eligible nonprofit scholarship-funding organization or a

26  person with equivalent decisionmaking authority over an

27  eligible nonprofit scholarship-funding organization.

28         2.  An owner, operator, superintendent, or principal of

29  an eligible private school or a person with equivalent

30  decisionmaking authority over an eligible private school.

31  


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    CS for CS for SB 256                           First Engrossed



 1         (e)  "Qualified student" means a student who qualifies

 2  for free or reduced-price school lunches under the National

 3  School Lunch Act and who:

 4         (3)  PROGRAM; SCHOLARSHIP ELIGIBILITY.--The Corporate

 5  Income Tax Credit Scholarship Program is established. A

 6  student is eligible for a corporate income tax credit

 7  scholarship if the student qualifies for free or reduced-price

 8  school lunches under the National School Lunch Act and:

 9         (a)1.  Was counted as a full-time equivalent student

10  during the previous state fiscal year for purposes of state

11  per-student funding;

12         (b)2.  Received a scholarship from an eligible

13  nonprofit scholarship-funding organization or from the State

14  of Florida during the previous school year; or

15         (c)3.  Is eligible to enter kindergarten or first

16  grade.

17  

18  Contingent upon available funds, a student may continue in the

19  scholarship program as long as the student's family income

20  level does not exceed 200 percent of the federal poverty

21  level.

22         (4)  SCHOLARSHIP PROHIBITIONS.--A student is not

23  eligible for a scholarship while he or she is:

24         (a)  Enrolled in a school operating for the purpose of

25  providing educational services to youth in Department of

26  Juvenile Justice commitment programs;

27         (b)  Receiving a scholarship from another eligible

28  nonprofit scholarship-funding organization under this section;

29         (c)  Receiving an educational scholarship pursuant to

30  chapter 1002;

31  


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 1         (d)  Participating in a home education program as

 2  defined in s. 1002.01(1);

 3         (e)  Participating in a private tutoring program

 4  pursuant to s. 1002.43;

 5         (f)  Participating in a virtual school, correspondence

 6  school, or distance learning program that receives state

 7  funding pursuant to the student's participation unless the

 8  participation is limited to no more than two courses per

 9  school year; or

10         (g)  Enrolled in the Florida School for the Deaf and

11  the Blind.

12         (5)(3)  AUTHORIZATION TO GRANT SCHOLARSHIP FUNDING TAX

13  CREDITS; LIMITATIONS ON INDIVIDUAL AND TOTAL CREDITS.--

14         (a)  There is allowed a credit of 100 percent of an

15  eligible contribution against any tax due for a taxable year

16  under this chapter. However, such a credit may not exceed 75

17  percent of the tax due under this chapter for the taxable

18  year, after the application of any other allowable credits by

19  the taxpayer. However, at least 5 percent of the total

20  statewide amount authorized for the tax credit shall be

21  reserved for taxpayers who meet the definition of a small

22  business provided in s. 288.703(1) at the time of application.

23  The credit granted by this section shall be reduced by the

24  difference between the amount of federal corporate income tax

25  taking into account the credit granted by this section and the

26  amount of federal corporate income tax without application of

27  the credit granted by this section.

28         (b)  The total amount of tax credits and carryforward

29  of tax credits which may be granted each state fiscal year

30  under this section is $88 million. At least 1 percent of the

31  total statewide amount authorized for the tax credit shall be


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    CS for CS for SB 256                           First Engrossed



 1  reserved for taxpayers who meet the definition of a small

 2  business provided in s. 288.703(1) at the time of application.

 3         (c)  A taxpayer who files a Florida consolidated return

 4  as a member of an affiliated group pursuant to s. 220.131(1)

 5  may be allowed the credit on a consolidated return basis;

 6  however, the total credit taken by the affiliated group is

 7  subject to the limitation established under paragraph (a).

 8         (d)  Effective for tax years beginning January 1, 2006,

 9  a taxpayer may rescind all or part of its allocated tax credit

10  under this section. The amount rescinded shall become

11  available for purposes of the cap for that state fiscal year

12  under this section to an eligible taxpayer as approved by the

13  department if the taxpayer receives notice from the department

14  that the rescindment has been accepted by the department and

15  the taxpayer has not previously rescinded any or all of its

16  tax credit allocation under this section more than once in the

17  previous 3 tax years. Any amount rescinded under this

18  paragraph shall become available to an eligible taxpayer on a

19  first-come, first-served basis based on tax credit

20  applications received after the date the rescindment is

21  accepted by the department.

22         (6)(4)  OBLIGATIONS OF ELIGIBLE NONPROFIT

23  SCHOLARSHIP-FUNDING ORGANIZATIONS.--An eligible nonprofit

24  scholarship-funding organization:

25         (a)  Must comply with the antidiscrimination provisions

26  of 42 U.S.C. s. 2000d.

27         (b)  Must comply with the following background check

28  requirements:

29         1.  All owners and operators as defined in subparagraph

30  (2)(e)1. are, upon employment or engagement to provide

31  services, subject to level 2 background screening as provided


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    CS for CS for SB 256                           First Engrossed



 1  under chapter 435. The fingerprints for the background

 2  screening must be electronically submitted to the Department

 3  of Law Enforcement and can be taken by an authorized law

 4  enforcement agency or by an employee of the eligible nonprofit

 5  scholarship-funding organization or a private company who is

 6  trained to take fingerprints. However, the complete set of

 7  fingerprints of an owner or operator may not be taken by the

 8  owner or operator. The results of the state and national

 9  criminal history check shall be provided to the Department of

10  Education for screening under chapter 435. The cost of the

11  background screening may be borne by the eligible nonprofit

12  scholarship-funding organization or the owner or operator.

13         2.  Every 5 years following employment or engagement to

14  provide services or association with an eligible nonprofit

15  scholarship-funding organization, each owner or operator must

16  meet level 2 screening standards as described in s. 435.04, at

17  which time the nonprofit scholarship-funding organization

18  shall request the Department of Law Enforcement to forward the

19  fingerprints to the Federal Bureau of Investigation for level

20  2 screening. If the fingerprints of an owner or operator are

21  not retained by the Department of Law Enforcement under

22  subparagraph 3., the owner or operator must electronically

23  file a complete set of fingerprints with the Department of Law

24  Enforcement. Upon submission of fingerprints for this purpose,

25  the eligible nonprofit scholarship-funding organization shall

26  request that the Department of Law Enforcement forward the

27  fingerprints to the Federal Bureau of Investigation for level

28  2 screening, and the fingerprints shall be retained by the

29  Department of Law Enforcement under subparagraph 3.

30         3.  Beginning July 1, 2007, all fingerprints submitted

31  to the Department of Law Enforcement as required by this


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    CS for CS for SB 256                           First Engrossed



 1  paragraph must be retained by the Department of Law

 2  Enforcement in a manner approved by rule and entered in the

 3  statewide automated fingerprint identification system

 4  authorized by s. 943.05(2)(b). The fingerprints must

 5  thereafter be available for all purposes and uses authorized

 6  for arrest fingerprint cards entered in the statewide

 7  automated fingerprint identification system pursuant to s.

 8  943.051.

 9         4.  Beginning July 1, 2007, the Department of Law

10  Enforcement shall search all arrest fingerprint cards received

11  under s. 943.051 against the fingerprints retained in the

12  statewide automated fingerprint identification system under

13  subparagraph 3. Any arrest record that is identified with an

14  owner's or operator's fingerprints must be reported to the

15  Department of Education. The Department of Education shall

16  participate in this search process by paying an annual fee to

17  the Department of Law Enforcement and by informing the

18  Department of Law Enforcement of any change in the employment,

19  engagement, or association status of the owners or operators

20  whose fingerprints are retained under subparagraph 3. The

21  Department of Law Enforcement shall adopt a rule setting the

22  amount of the annual fee to be imposed upon the Department of

23  Education for performing these services and establishing the

24  procedures for the retention of owner and operator

25  fingerprints and the dissemination of search results. The fee

26  may be borne by the owner or operator of the nonprofit

27  scholarship-funding organization.

28         5.  A nonprofit scholarship-funding organization whose

29  owner or operator fails the level 2 background screening shall

30  not be eligible to provide scholarships under this section.

31  


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 1         6.  A nonprofit scholarship-funding organization whose

 2  owner or operator in the last 7 years has filed for personal

 3  bankruptcy or corporate bankruptcy in a corporation of which

 4  he or she owned more than 20 percent shall not be eligible to

 5  provide scholarships under this section.

 6         (c)  Must not have an owner or operator who owns or

 7  operates an eligible private school that is participating in

 8  the scholarship program.

 9         (d)(a)  Must An eligible nonprofit scholarship-funding

10  organization shall provide scholarships, from eligible

11  contributions, to eligible qualified students for:

12         1.  Tuition or textbook expenses for, or transportation

13  to, an eligible private nonpublic school. At least 75 percent

14  of the scholarship funding must be used to pay tuition

15  expenses; or

16         2.  Transportation expenses to a Florida public school

17  that is located outside the district in which the student

18  resides or to a lab school as defined in s. 1002.32.

19         (e)(b)  Must An eligible nonprofit scholarship-funding

20  organization shall give priority to eligible qualified

21  students who received a scholarship from an eligible nonprofit

22  scholarship-funding organization or from the State of Florida

23  during the previous school year.

24         (f)  Must provide a scholarship to an eligible student

25  on a first-come, first-served basis unless the student

26  qualifies for priority pursuant to paragraph (e).

27         (g)  May not restrict or reserve scholarships for use

28  at a particular private school or provide scholarships to a

29  child of an owner or operator.

30         (h)  Must allow an eligible student to attend any

31  eligible private school and must allow a parent to transfer a


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    CS for CS for SB 256                           First Engrossed



 1  scholarship during a school year to any other eligible private

 2  school of the parent's choice.

 3         (c)  The amount of a scholarship provided to any child

 4  for any single school year by all eligible nonprofit

 5  scholarship-funding organizations from eligible contributions

 6  shall not exceed the following annual limits:

 7         1.  Three thousand five hundred dollars for a

 8  scholarship awarded to a student enrolled in an eligible

 9  nonpublic school.

10         2.  Five hundred dollars for a scholarship awarded to a

11  student enrolled in a Florida public school that is located

12  outside the district in which the student resides.

13         (d)  The amount of an eligible contribution which may

14  be accepted by an eligible nonprofit scholarship-funding

15  organization is limited to the amount needed to provide

16  scholarships for qualified students which the organization has

17  identified and for which vacancies in eligible nonpublic

18  schools have been identified.

19         (i)(e)  Must obligate, in the same fiscal year in which

20  the contribution was received, An eligible nonprofit

21  scholarship-funding organization that receives an eligible

22  contribution must spend 100 percent of the eligible

23  contribution to provide annual or partial-year scholarships;

24  however, up to 25 percent of the total contribution may be

25  carried forward for expenditure in the following same state

26  fiscal year in which the contribution was received. A

27  scholarship-funding organization must, before granting a

28  scholarship for an academic year, document each scholarship

29  student's eligibility for that academic year. A

30  scholarship-funding organization may not grant multi-year

31  scholarships in one approval process. No portion of eligible


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    CS for CS for SB 256                           First Engrossed



 1  contributions may be used for administrative expenses. All

 2  interest accrued from contributions must be used for

 3  scholarships.

 4         (j)  Must maintain separate accounts for scholarship

 5  funds and operating funds.

 6         (k)  With the prior approval of the Department of

 7  Education, may transfer funds to another eligible nonprofit

 8  scholarship-funding organization if additional funds are

 9  required to meet scholarship demand at the receiving nonprofit

10  scholarship-funding organization. A transfer shall be limited

11  to the greater of $500,000 or 20 percent of the total

12  contributions received by the nonprofit scholarship-funding

13  organization making the transfer. All transferred funds must

14  be deposited by the receiving nonprofit scholarship-funding

15  organization into its scholarship accounts. All transferred

16  amounts received by any nonprofit scholarship-funding

17  organization must be separately disclosed in the annual

18  financial and compliance audit required in this section.

19         (l)(f)  An eligible nonprofit scholarship-funding

20  organization that receives eligible contributions Must provide

21  to the Auditor General and the Department of Education an

22  annual financial and compliance audit of its accounts and

23  records conducted by an independent certified public

24  accountant and in accordance with rules adopted by the Auditor

25  General. The audit must be conducted in compliance with

26  generally accepted auditing standards and must include a

27  report on financial statements presented in accordance with

28  generally accepted accounting principles set forth by the

29  American Institute of Certified Public Accountants for

30  not-for-profit organizations and a determination of compliance

31  with the statutory eligibility and expenditure requirements


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    CS for CS for SB 256                           First Engrossed



 1  set forth in this section. Audits must be provided to the

 2  Auditor General and the Department of Education within 180

 3  days after completion of the eligible nonprofit

 4  scholarship-funding organization's fiscal year.

 5         (m)  Must prepare and submit quarterly reports to the

 6  Department of Education pursuant to paragraph (9)(m). In

 7  addition, an eligible nonprofit scholarship-funding

 8  organization must submit in a timely manner any information

 9  requested by the Department of Education relating to the

10  scholarship program.

11  

12  Any and all information and documentation provided to the

13  Department of Education and the Auditor General relating to

14  the identity of a taxpayer that provides an eligible

15  contribution under this section shall remain confidential at

16  all times in accordance with s. 213.053.

17         (g)  Payment of the scholarship by the eligible

18  nonprofit scholarship-funding organization shall be by

19  individual warrant or check made payable to the student's

20  parent. If the parent chooses for his or her child to attend

21  an eligible nonpublic school, the warrant or check must be

22  mailed by the eligible nonprofit scholarship-funding

23  organization to the nonpublic school of the parent's choice,

24  and the parent shall restrictively endorse the warrant or

25  check to the nonpublic school. An eligible nonprofit

26  scholarship-funding organization shall ensure that, upon

27  receipt of a scholarship warrant or check, the parent to whom

28  the warrant or check is made restrictively endorses the

29  warrant or check to the nonpublic school of the parent's

30  choice for deposit into the account of the nonpublic school.

31  


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    CS for CS for SB 256                           First Engrossed



 1         (7)(5)  PARENT AND STUDENT RESPONSIBILITIES FOR PROGRAM

 2  PARTICIPATION OBLIGATIONS.--

 3         (a)  The parent must select an eligible private school

 4  and apply for the admission of his or her child.

 5         (b)  The parent must inform the child's school district

 6  when the parent withdraws his or her child to attend an

 7  eligible private school.

 8         (c)  Any student participating in the scholarship

 9  program must remain in attendance throughout the school year

10  unless excused by the school for illness or other good cause.

11         (d)  Each parent and each student has an obligation to

12  the private school to comply with the private school's

13  published policies.

14         (e)  The parent shall ensure that the student

15  participating in the scholarship program takes the

16  norm-referenced assessment offered by the private school. The

17  parent may also choose to have the student participate in the

18  statewide assessments pursuant to s. 1008.22. If the parent

19  requests that the student participating in the scholarship

20  program take statewide assessments pursuant to s. 1008.22, the

21  parent is responsible for transporting the student to the

22  assessment site designated by the school district.

23         (f)  Upon receipt of a scholarship warrant from the

24  eligible nonprofit scholarship-funding organization, the

25  parent to whom the warrant is made must restrictively endorse

26  the warrant to the private school for deposit into the account

27  of the private school. The parent may not designate any entity

28  or individual associated with the participating private school

29  as the parent's attorney in fact to endorse a scholarship

30  warrant. A participant who fails to comply with this paragraph

31  forfeits the scholarship. As a condition for scholarship


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    CS for CS for SB 256                           First Engrossed



 1  payment pursuant to paragraph (4)(g), if the parent chooses

 2  for his or her child to attend an eligible nonpublic school,

 3  the parent must inform the child's school district within 15

 4  days after such decision.

 5         (8)(6)  PRIVATE ELIGIBLE NONPUBLIC SCHOOL ELIGIBILITY

 6  AND OBLIGATIONS.--An eligible private nonpublic school may be

 7  sectarian or nonsectarian and must:

 8         (a)  Comply with all requirements for private schools

 9  participating in state school choice scholarship programs

10  pursuant to s. 1002.421.

11         (b)  Provide to the eligible nonprofit

12  scholarship-funding organization, upon request, all

13  documentation required for the student's participation,

14  including the private school's and student's fee schedules.

15         (c)  Be academically accountable to the parent for

16  meeting the educational needs of the student by:

17         1.  At a minimum, annually providing to the parent a

18  written explanation of the student's progress.

19         2.  Annually administering or making provision for

20  students participating in the scholarship program to take one

21  of the nationally norm-referenced tests identified by the

22  Department of Education. Students with disabilities for whom

23  standardized testing is not appropriate are exempt from this

24  requirement. A participating private school must report a

25  student's scores to the parent and to the independent research

26  organization selected by the Department of Education as

27  described in paragraph (9)(j).

28         3.  Cooperating with the scholarship student whose

29  parent chooses to participate in the statewide assessments

30  pursuant to s. 1008.32.

31  


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 1         (d)  Employ or contract with teachers who have regular

 2  and direct contact with each student receiving a scholarship

 3  under this section at the school's physical location.

 4  

 5  The inability of a private school to meet the requirements of

 6  this subsection shall constitute a basis for the ineligibility

 7  of the private school to participate in the scholarship

 8  program as determined by the Department of Education.

 9         (a)  Demonstrate fiscal soundness by being in operation

10  for one school year or provide the Department of Education

11  with a statement by a certified public accountant confirming

12  that the nonpublic school desiring to participate is insured

13  and the owner or owners have sufficient capital or credit to

14  operate the school for the upcoming year serving the number of

15  students anticipated with expected revenues from tuition and

16  other sources that may be reasonably expected. In lieu of such

17  a statement, a surety bond or letter of credit for the amount

18  equal to the scholarship funds for any quarter may be filed

19  with the department.

20         (b)  Comply with the antidiscrimination provisions of

21  42 U.S.C. s. 2000d.

22         (c)  Meet state and local health and safety laws and

23  codes.

24         (d)  Comply with all state laws relating to general

25  regulation of nonpublic schools.

26         (9)  DEPARTMENT OF EDUCATION OBLIGATIONS.--The

27  Department of Education shall:

28         (a)  Annually submit to the department, by March 15, a

29  list of eligible nonprofit scholarship-funding organizations

30  that meet the requirements of paragraph (2)(c).

31  


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 1         (b)  Annually verify the eligibility of nonprofit

 2  scholarship-funding organizations that meet the requirements

 3  of paragraph (2)(c).

 4         (c)  Annually verify the eligibility of private schools

 5  that meet the requirements of subsection (8).

 6         (d)  Annually verify the eligibility of expenditures as

 7  provided in paragraph (6)(d) using the audit required by

 8  paragraph (6)(l).

 9         (e)  Establish a toll-free hotline that provides

10  parents and private schools with information on participation

11  in the scholarship program.

12         (f)  Establish a process by which individuals may

13  notify the Department of Education of any violation by a

14  parent, private school, or school district of state laws

15  relating to program participation. The Department of Education

16  shall conduct an inquiry of any written complaint of a

17  violation of this section, or make a referral to the

18  appropriate agency for an investigation, if the complaint is

19  signed by the complainant and is legally sufficient. A

20  complaint is legally sufficient if it contains ultimate facts

21  that show that a violation of this section or any rule adopted

22  by the State Board of Education has occurred. In order to

23  determine legal sufficiency, the Department of Education may

24  require supporting information or documentation from the

25  complainant. A department inquiry is not subject to the

26  requirements of chapter 120.

27         (g)  Require an annual, notarized, sworn compliance

28  statement by participating private schools certifying

29  compliance with state laws and shall retain such records.

30  

31  


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 1         (h)  Cross-check the list of participating scholarship

 2  students with the public school enrollment lists to avoid

 3  duplication.

 4         (i)  In accordance with State Board of Education rule,

 5  identify and select the nationally norm-referenced tests that

 6  are comparable to the norm-referenced provisions of the

 7  Florida Comprehensive Assessment Test (FCAT) provided that the

 8  FCAT may be one of the tests selected. However, the Department

 9  of Education may approve the use of an additional assessment

10  by the school if the assessment meets industry standards of

11  quality and comparability.

12         (j)  Select an independent research organization, which

13  may be a public or private entity or university, to which

14  participating private schools must report the scores of

15  participating students on the nationally norm-referenced tests

16  administered by the private school. The independent research

17  organization must annually report to the Department of

18  Education on the year-to-year improvements of participating

19  students. The independent research organization must analyze

20  and report student performance data in a manner that protects

21  the rights of students and parents as mandated in 20 U.S.C. s.

22  1232g, the Family Educational Rights and Privacy Act, and must

23  not disaggregate data to a level that will disclose the

24  academic level of individual students or of individual

25  schools. To the extent possible, the independent research

26  organization must accumulate historical performance data on

27  students from the Department of Education and private schools

28  to describe baseline performance and to conduct longitudinal

29  studies. To minimize costs and reduce time required for

30  third-party analysis and evaluation, the Department of

31  Education shall conduct analyses of matched students from


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 1  public school assessment data and calculate control group

 2  learning gains using an agreed-upon methodology outlined in

 3  the contract with the third-party evaluator. The sharing of

 4  student data must be in accordance with requirements of 20

 5  U.S.C. s. 1232g, the Family Educational Rights and Privacy

 6  Act, and shall be for the sole purpose of conducting the

 7  evaluation. All parties must preserve the confidentiality of

 8  such information as required by law.

 9         (k)  Notify an eligible nonprofit scholarship-funding

10  organization of any of the organization's identified students

11  who are receiving educational scholarships pursuant to chapter

12  1002.

13         (l)  Notify an eligible nonprofit scholarship-funding

14  organization of any of the organization's identified students

15  who are receiving corporate income tax credit scholarships

16  from other eligible nonprofit scholarship-funding

17  organizations.

18         (m)  Require quarterly reports by an eligible nonprofit

19  scholarship-funding organization regarding the number of

20  students participating in the scholarship program, the private

21  schools at which the students are enrolled, and other

22  information deemed necessary by the Department of Education.

23         (n)1.  Conduct random site visits to private schools

24  participating in the Corporate Tax Credit Scholarship Program.

25  The purpose of the site visits is solely to verify the

26  information reported by the schools concerning the enrollment

27  and attendance of students, the credentials of teachers,

28  background screening of teachers, and teachers' fingerprinting

29  results. The Department of Education may not make more than

30  seven random site visits each year and may not make more than

31  one random site visit each year to the same private school.


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 1         2.  Annually, by December 15, report to the Governor,

 2  the President of the Senate, and the Speaker of the House of

 3  Representatives the Department of Education's actions with

 4  respect to implementing accountability in the scholarship

 5  program under this section and s. 1002.421, any substantiated

 6  allegations or violations of law or rule by an eligible

 7  private school under this program concerning the enrollment

 8  and attendance of students, the credentials of teachers,

 9  background screening of teachers, and teachers' fingerprinting

10  results and the corrective action taken by the Department of

11  Education.

12         (10)  COMMISSIONER OF EDUCATION AUTHORITY AND

13  OBLIGATIONS.--

14         (a)  The Commissioner of Education shall deny, suspend,

15  or revoke a private school's participation in the scholarship

16  program if it is determined that the private school has failed

17  to comply with the provisions of this section. However, in

18  instances in which the noncompliance is correctable within a

19  reasonable amount of time and in which the health, safety, or

20  welfare of the students are not threatened, the commissioner

21  may issue a notice of noncompliance that shall provide the

22  private school with a timeframe within which to provide

23  evidence of compliance prior to taking action to suspend or

24  revoke the private school's participation in the scholarship

25  program.

26         (b)  The commissioner's determination is subject to the

27  following:

28         1.  If the commissioner intends to deny, suspend, or

29  revoke a private school's participation in the scholarship

30  program, the Department of Education shall notify the private

31  school of such proposed action in writing by certified mail


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 1  and regular mail to the private school's address of record

 2  with the Department of Education. The notification shall

 3  include the reasons for the proposed action and notice of the

 4  timelines and procedures set forth in this paragraph.

 5         2.  The private school that is adversely affected by

 6  the proposed action shall have 15 days from receipt of the

 7  notice of proposed action to file with the Department of

 8  Education's agency clerk a request for a proceeding pursuant

 9  to ss. 120.569 and 120.57. If the private school is entitled

10  to a hearing under s. 120.57(1), the Department of Education

11  shall forward the request to the Division of Administrative

12  Hearings.

13         3.  Upon receipt of a request referred pursuant to this

14  paragraph, the director of the Division of Administrative

15  Hearings shall expedite the hearing and assign an

16  administrative law judge who shall commence a hearing within

17  30 days after the receipt of the formal written request by the

18  division and enter a recommended order within 30 days after

19  the hearing or within 30 days after receipt of the hearing

20  transcript, whichever is later. Each party shall be allowed 10

21  days in which to submit written exceptions to the recommended

22  order. A final order shall be entered by the agency within 30

23  days after the entry of a recommended order. The provisions of

24  this subparagraph may be waived upon stipulation by all

25  parties.

26         (c)  The commissioner may immediately suspend payment

27  of scholarship funds if it is determined that there is

28  probable cause to believe that there is:

29         1.  An imminent threat to the health, safety, and

30  welfare of the students; or

31  


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 1         2.  Fraudulent activity on the part of the private

 2  school. Notwithstanding s. 1002.22(3), in incidents of alleged

 3  fraudulent activity pursuant to this section, the Department

 4  of Education's Office of Inspector General is authorized to

 5  release personally identifiable records or reports of students

 6  to the following persons or organizations:

 7         a.  A court of competent jurisdiction in compliance

 8  with an order of that court or the attorney of record in

 9  accordance with a lawfully issued subpoena, consistent with

10  the Family Educational Rights and Privacy Act, 20 U.S.C. s.

11  1232g.

12         b.  A person or entity authorized by a court of

13  competent jurisdiction in compliance with an order of that

14  court or the attorney of record pursuant to a lawfully issued

15  subpoena, consistent with the Family Educational Rights and

16  Privacy Act, 20 U.S.C. s. 1232g.

17         c.  Any person, entity, or authority issuing a subpoena

18  for law enforcement purposes when the court or other issuing

19  agency has ordered that the existence or the contents of the

20  subpoena or the information furnished in response to the

21  subpoena not be disclosed, consistent with the Family

22  Educational Rights and Privacy Act, 20 U.S.C. s. 1232g, and 34

23  C.F.R. s. 99.31.

24  

25  The commissioner's order suspending payment pursuant to this

26  paragraph may be appealed pursuant to the same procedures and

27  timelines as the notice of proposed action set forth in

28  paragraph (b).

29         (11)  SCHOLARSHIP AMOUNT AND PAYMENT.--

30         (a)  The amount of a scholarship provided to any

31  student for any single school year by an eligible nonprofit


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 1  scholarship-funding organization from eligible contributions

 2  shall not exceed the following annual limits:

 3         1.  Three thousand seven hundred fifty dollars for a

 4  scholarship awarded to a student enrolled in an eligible

 5  private school.

 6         2.  Five hundred dollars for a scholarship awarded to a

 7  student enrolled in a Florida public school that is located

 8  outside the district in which the student resides or in a lab

 9  school as defined in s. 1002.32.

10         (b)  Payment of the scholarship by the eligible

11  nonprofit scholarship-funding organization shall be by

12  individual warrant made payable to the student's parent. If

13  the parent chooses that his or her child attend an eligible

14  private school, the warrant must be delivered by the eligible

15  nonprofit scholarship-funding organization to the private

16  school of the parent's choice, and the parent shall

17  restrictively endorse the warrant to the private school. An

18  eligible nonprofit scholarship-funding organization shall

19  ensure that the parent to whom the warrant is made

20  restrictively endorsed the warrant to the private school for

21  deposit into the account of the private school.

22         (c)  An eligible nonprofit scholarship-funding

23  organization shall obtain verification from the private school

24  of a student's continued attendance at the school prior to

25  each scholarship payment.

26         (d)  Payment of the scholarship shall be made by the

27  eligible nonprofit scholarship-funding organization no less

28  frequently than on a quarterly basis.

29         (12)(7)  ADMINISTRATION; RULES.--

30         (a)  If the credit granted pursuant to this section is

31  not fully used in any one year because of insufficient tax


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 1  liability on the part of the corporation, the unused amount

 2  may be carried forward for a period not to exceed 3 years;

 3  however, any taxpayer that seeks to carry forward an unused

 4  amount of tax credit must submit an application for allocation

 5  of tax credits or carryforward credits as required in

 6  paragraph (d) in the year that the taxpayer intends to use the

 7  carryforward carry forward. The total amount of tax credits

 8  and carryforward of tax credits granted each state fiscal year

 9  under this section is $88 million. This carryforward applies

10  to all approved contributions made after January 1, 2002. A

11  taxpayer may not convey, assign, or transfer the credit

12  authorized by this section to another entity unless all of the

13  assets of the taxpayer are conveyed, assigned, or transferred

14  in the same transaction.

15         (b)  An application for a tax credit pursuant to this

16  section shall be submitted to the department on forms

17  established by rule of the department.

18         (c)  The department and the Department of Education

19  shall develop a cooperative agreement to assist in the

20  administration of this section. The Department of Education

21  shall be responsible for annually submitting, by March 15, to

22  the department a list of eligible nonprofit

23  scholarship-funding organizations that meet the requirements

24  of paragraph (2)(d) and for monitoring eligibility of

25  nonprofit scholarship-funding organizations that meet the

26  requirements of paragraph (2)(d), eligibility of nonpublic

27  schools that meet the requirements of paragraph (2)(c), and

28  eligibility of expenditures under this section as provided in

29  subsection (4).

30         (d)  The department shall adopt rules necessary to

31  administer this section, including rules establishing


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 1  application forms and procedures and governing the allocation

 2  of tax credits and carryforward credits under this section on

 3  a first-come, first-served basis.

 4         (e)  The State Board Department of Education shall

 5  adopt rules pursuant to ss. 120.536(1) and 120.54 necessary to

 6  administer this section as it relates to the roles of the

 7  Department of Education and the Commissioner of Education

 8  determine eligibility of nonprofit scholarship-funding

 9  organizations as defined in paragraph (2)(d) and according to

10  the provisions of subsection (4) and identify qualified

11  students as defined in paragraph (2)(e).

12         (13)(8)  DEPOSITS OF ELIGIBLE CONTRIBUTIONS.--All

13  eligible contributions received by an eligible nonprofit

14  scholarship-funding organization shall be deposited in a

15  manner consistent with s. 17.57(2).

16         Section 3.  Section 1002.421, Florida Statutes, is

17  created to read:

18         1002.421  Accountability of private schools

19  participating in state school-choice scholarship programs.--

20         (1)  A Florida private school participating in the

21  Corporate Income Tax Credit Scholarship Program established

22  pursuant to s. 220.187 or an educational scholarship program

23  established pursuant to this chapter must comply with all

24  requirements of this section in addition to private school

25  requirements outlined in s. 1002.42, specific requirements

26  identified within respective scholarship program laws, and

27  other provisions of Florida law that apply to private schools.

28         (2)  A private school participating in a scholarship

29  program must be a Florida private school as defined in s.

30  1002.01(2), must be registered in accordance with s. 1002.42,

31  and must:


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 1         (a)  Comply with the antidiscrimination provisions of

 2  42 U.S.C. s. 2000d.

 3         (b)  Notify the department of its intent to participate

 4  in a scholarship program.

 5         (c)  Notify the department of any change in the

 6  school's name, school director, mailing address, or physical

 7  location within 15 days after the change.

 8         (d)  Complete student enrollment and attendance

 9  verification requirements, including use of an on-line

10  attendance verification form, prior to scholarship payment.

11         (e)  Annually complete and submit to the department a

12  notarized scholarship compliance statement certifying that all

13  school employees and contracted personnel with direct student

14  contact have undergone background screening pursuant to s.

15  943.0542.

16         (f)  Demonstrate fiscal soundness and accountability

17  by:

18         1.  Being in operation for at least 3 school years or

19  obtaining a surety bond or letter of credit for the amount

20  equal to the scholarship funds for any quarter and filing the

21  surety bond or letter of credit with the department.

22         2.  Requiring the parent of each scholarship student to

23  personally restrictively endorse the scholarship warrant to

24  the school. The school may not act as attorney in fact for the

25  parent of a scholarship student under the authority of a power

26  of attorney executed by such parent, or under any other

27  authority, to endorse scholarship warrants on behalf of such

28  parent.

29         (g)  Meet applicable state and local health, safety,

30  and welfare laws, codes, and rules, including:

31         1.  Firesafety.


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 1         2.  Building safety.

 2         (h)  Employ or contract with teachers who hold

 3  baccalaureate or higher degrees, have at least 3 years of

 4  teaching experience in public or private schools, or have

 5  special skills, knowledge, or expertise that qualifies them to

 6  provide instruction in subjects taught.

 7         (i)  Require each employee and contracted personnel

 8  with direct student contact, upon employment or engagement to

 9  provide services, to undergo a state and national background

10  screening, pursuant to s. 943.0542, by electronically filing

11  with the Department of Law Enforcement a complete set of

12  fingerprints taken by an authorized law enforcement agency or

13  an employee of the private school, a school district, or a

14  private company who is trained to take fingerprints and deny

15  employment to or terminate an employee if he or she fails to

16  meet the screening standards under s. 435.04. Results of the

17  screening shall be provided to the participating private

18  school. For purposes of this paragraph:

19         1.  An "employee or contracted personnel with direct

20  student contact" means any employee or contracted personnel

21  who has unsupervised access to a scholarship student for whom

22  the private school is responsible.

23         2.  The costs of fingerprinting and the background

24  check shall not be borne by the state.

25         3.  Continued employment of an employee or contracted

26  personnel after notification that he or she has failed the

27  background screening under this paragraph shall cause a

28  private school to be ineligible for participation in a

29  scholarship program.

30         4.  An employee or contracted personnel holding a valid

31  Florida teaching certificate who has been fingerprinted


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 1  pursuant to s. 1012.32 is not required to comply with the

 2  provisions of this paragraph.

 3         (3)(a)  Beginning July 1, 2007, all fingerprints

 4  submitted to the Department of Law Enforcement as required by

 5  this section shall be retained by the Department of Law

 6  Enforcement in a manner provided by rule and entered in the

 7  statewide automated fingerprint identification system

 8  authorized by s. 943.05(2)(b). Such fingerprints shall

 9  thereafter be available for all purposes and uses authorized

10  for arrest fingerprint cards entered in the statewide

11  automated fingerprint identification system pursuant to s.

12  943.051.

13         (b)  Beginning July 1, 2007, the Department of Law

14  Enforcement shall search all arrest fingerprint cards received

15  under s. 943.051 against the fingerprints retained in the

16  statewide automated fingerprint identification system under

17  paragraph (a). Any arrest record that is identified with the

18  retained fingerprints of a person subject to the background

19  screening under this section shall be reported to the

20  employing school with which the person is affiliated. Each

21  private school participating in a scholarship program is

22  required to participate in this search process by informing

23  the Department of Law Enforcement of any change in the

24  employment or contractual status of its personnel whose

25  fingerprints are retained under paragraph (a). The Department

26  of Law Enforcement shall adopt a rule setting the amount of

27  the annual fee to be imposed upon each private school for

28  performing these searches and establishing the procedures for

29  the retention of private school employee and contracted

30  personnel fingerprints and the dissemination of search

31  


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 1  results. The fee may be borne by the private school or the

 2  person fingerprinted.

 3         (c)  Employees and contracted personnel whose

 4  fingerprints are not retained by the Department of Law

 5  Enforcement under paragraphs (a) and (b) are required to be

 6  refingerprinted and must meet state and national background

 7  screening requirements upon reemployment or reengagement to

 8  provide services in order to comply with the requirements of

 9  this section.

10         (d)  Every 5 years following employment or engagement

11  to provide services with a private school, employees or

12  contracted personnel required to be screened under this

13  section must meet screening standards under s. 435.04, at

14  which time the private school shall request the Department of

15  Law Enforcement to forward the fingerprints to the Federal

16  Bureau of Investigation for national processing. If the

17  fingerprints of employees or contracted personnel are not

18  retained by the Department of Law Enforcement under paragraph

19  (a), employees and contracted personnel must electronically

20  file a complete set of fingerprints with the Department of Law

21  Enforcement. Upon submission of fingerprints for this purpose,

22  the private school shall request that the Department of Law

23  Enforcement forward the fingerprints to the Federal Bureau of

24  Investigation for national processing, and the fingerprints

25  shall be retained by the Department of Law Enforcement under

26  paragraph (a).

27         (4)  The inability of a private school to meet the

28  requirements of this section shall constitute a basis for the

29  ineligibility of the private school to participate in a

30  scholarship program as determined by the department.

31  


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 1         (5)  The inclusion of eligible private schools within

 2  options available to Florida public school students does not

 3  expand the regulatory authority of the state, its officers, or

 4  any school district to impose any additional regulation of

 5  private schools beyond those reasonably necessary to enforce

 6  requirements expressly set forth in this section.

 7         (6)  The State Board of Education shall adopt rules

 8  pursuant to ss. 120.536(1) and 120.54 to administer this

 9  section.

10         Section 4.  Except for this section and paragraph

11  220.187(6)(i), Florida Statutes, as amended by section 2 of

12  this act, which shall take effect June 1, 2006, this act shall

13  take effect July 1, 2006.

14  

15  

16  

17  

18  

19  

20  

21  

22  

23  

24  

25  

26  

27  

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29  

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31  


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