HB 7103

1	A bill to be entitled
2	An act relating to charter schools; amending s. 1002.33,
3	F.S.; revising charter school purposes; modifying
4	provisions relating to duties of sponsors, the application
5	process, denial of an application, and review of appeals;
6	requiring the Department of Education to provide technical
7	assistance to charter school applicants; providing
8	requirements relating to charter contracts; providing
9	procedures when a state of financial emergency exists;
10	revising provisions relating to charter terms and renewal;
11	revising nonrenewal and termination provisions, including
12	procedures for immediate termination; revising provisions
13	relating to the reversion of funds; revising duties of a
14	charter school governing body relating to audits;
15	requiring the department to develop a uniform
16	accountability report; providing procedures with respect
17	to charter schools with deficiencies; requiring a school
18	improvement plan to raise student achievement; providing
19	for probation and corrective actions; revising provisions
20	relating to payment and reimbursement to a charter school
21	by a school district and authorizing the withholding of
22	lottery funds under certain circumstances; authorizing the
23	State Board of Education to impose a fine on or withhold
24	lottery funds from a school district for certain
25	violations; requiring conversion charter schools to comply
26	with certain facility requirements under specific
27	situations; authorizing certain zoning and land use
28	designations for certain charter school facilities;
29	revising exemption from assessment of fees; providing for
30	additional services to charter schools and revising
31	administrative fee requirements; requiring the department
32	to develop a standard format for applications, charters,
33	and charter renewals; requiring legislative review of
34	charter schools in 2010; amending s. 218.39, F.S.;
35	requiring the governing body of a charter school to be
36	notified of certain deteriorating financial conditions;
37	amending s. 218.50, F.S.; modifying a short title;
38	amending s. 218.501, F.S.; including charter schools in
39	the statement of purpose relating to financial management;
40	amending s. 218.503, F.S.; providing for charter schools
41	to be subject to provisions governing financial
42	emergencies; providing procedures; amending s. 218.504,
43	F.S.; providing for cessation of state action related to a
44	state of financial emergency; amending s. 11.45, F.S.;
45	conforming provisions; amending s. 1002.32, F.S.;
46	providing that a charter lab school that elects to provide
47	student transportation is eligible for funding for that
48	purpose; amending s. 1003.05, F.S.; modifying the list of
49	special academic programs for transitioning students from
50	military families; amending s. 1012.74, F.S.; providing
51	that educator professional liability insurance shall cover
52	charter school personnel; amending s. 1013.62, F.S.;
53	revising provisions relating to eligibility for and
54	allocation of charter school capital outlay funding;
55	revising purposes for which capital outlay funds may be
56	used; providing effective dates.
57
58	Be It Enacted by the Legislature of the State of Florida:
59
60	Section 1.  Section 1002.33, Florida Statutes, is amended
61	to read:
62	1002.33  Charter schools.--
63	(1)  AUTHORIZATION.--Charter schools shall be part of the
64	state's program of public education. All charter schools in
65	Florida are public schools. A charter school may be formed by
66	creating a new school or converting an existing public school to
67	charter status. A public school may not use the term charter in
68	its name unless it has been approved under this section.
69	(2)  GUIDING PRINCIPLES; PURPOSE.--
70	(a)  Charter schools in Florida shall be guided by the
71	following principles:
72	1.  Meet high standards of student achievement while
73	providing parents flexibility to choose among diverse
74	educational opportunities within the state's public school
75	system.
76	2.  Promote enhanced academic success and financial
77	efficiency by aligning responsibility with accountability.
78	3.  Provide parents with sufficient information on whether
79	their child is reading at grade level and whether the child
80	gains at least a year's worth of learning for every year spent
81	in the charter school.
82	(b)  Charter schools shall fulfill the following purposes:
83	1.  Improve student learning and academic achievement.
84	2.  Increase learning opportunities for all students, with
85	special emphasis on low-performing students and reading.
86	3.  Create new professional opportunities for teachers,
87	including ownership of the learning program at the school site.
88	3.4.  Encourage the use of innovative learning methods.
89	4.5.  Require the measurement of learning outcomes.
90	(c)  Charter schools may fulfill the following purposes:
91	1.  Create innovative measurement tools.
92	2.  Provide rigorous competition within the public school
93	district to stimulate continual improvement in all public
94	schools.
95	3.  Expand the capacity of the public school system.
96	4.  Mitigate the educational impact created by the
97	development of new residential dwelling units.
98	5.  Create new professional opportunities for teachers,
99	including ownership of the learning program at the school site.
100	(3)  APPLICATION FOR CHARTER STATUS.--
101	(a)  An application for a new charter school may be made by
102	an individual, teachers, parents, a group of individuals, a
103	municipality, or a legal entity organized under the laws of this
104	state.
105	(b)  An application for a conversion charter school shall
106	be made by the district school board, the principal, teachers,
107	parents, and/or the school advisory council at an existing
108	public school that has been in operation for at least 2 years
109	prior to the application to convert., including A public school-
110	within-a-school that is designated as a school by the district
111	school board may also submit an application to convert to
112	charter status. An application submitted proposing to convert an
113	existing public school to a charter school shall demonstrate the
114	support of at least 50 percent of the teachers employed at the
115	school and 50 percent of the parents voting whose children are
116	enrolled at the school, provided that a majority of the parents
117	eligible to vote participate in the ballot process, according to
118	rules adopted by the State Board of Education. A district school
119	board denying an application for a conversion charter school
120	shall provide notice of denial to the applicants in writing
121	within 10 30 days after the meeting at which the district school
122	board denied the application. The notice must articulate in
123	writing specify the specific exact reasons for denial and must
124	provide documentation supporting those reasons. A private
125	school, parochial school, or home education program shall not be
126	eligible for charter school status.
127	(4)  UNLAWFUL REPRISAL.--
128	(a)  No district school board, or district school board
129	employee who has control over personnel actions, shall take
130	unlawful reprisal against another district school board employee
131	because that employee is either directly or indirectly involved
132	with an application to establish a charter school. As used in
133	this subsection, the term "unlawful reprisal" means an action
134	taken by a district school board or a school system employee
135	against an employee who is directly or indirectly involved in a
136	lawful application to establish a charter school, which occurs
137	as a direct result of that involvement, and which results in one
138	or more of the following: disciplinary or corrective action;
139	adverse transfer or reassignment, whether temporary or
140	permanent; suspension, demotion, or dismissal; an unfavorable
141	performance evaluation; a reduction in pay, benefits, or
142	rewards; elimination of the employee's position absent of a
143	reduction in workforce as a result of lack of moneys or work; or
144	other adverse significant changes in duties or responsibilities
145	that are inconsistent with the employee's salary or employment
146	classification. The following procedures shall apply to an
147	alleged unlawful reprisal that occurs as a consequence of an
148	employee's direct or indirect involvement with an application to
149	establish a charter school:
150	1.  Within 60 days after the date upon which a reprisal
151	prohibited by this subsection is alleged to have occurred, an
152	employee may file a complaint with the Department of Education.
153	2.  Within 3 working days after receiving a complaint under
154	this section, the Department of Education shall acknowledge
155	receipt of the complaint and provide copies of the complaint and
156	any other relevant preliminary information available to each of
157	the other parties named in the complaint, which parties shall
158	each acknowledge receipt of such copies to the complainant.
159	3.  If the Department of Education determines that the
160	complaint demonstrates reasonable cause to suspect that an
161	unlawful reprisal has occurred, the Department of Education
162	shall conduct an investigation to produce a fact-finding report.
163	4.  Within 90 days after receiving the complaint, the
164	Department of Education shall provide the district school
165	superintendent of the complainant's district and the complainant
166	with a fact-finding report that may include recommendations to
167	the parties or a proposed resolution of the complaint. The fact-
168	finding report shall be presumed admissible in any subsequent or
169	related administrative or judicial review.
170	5.  If the Department of Education determines that
171	reasonable grounds exist to believe that an unlawful reprisal
172	has occurred, is occurring, or is to be taken, and is unable to
173	conciliate a complaint within 60 days after receipt of the fact-
174	finding report, the Department of Education shall terminate the
175	investigation. Upon termination of any investigation, the
176	Department of Education shall notify the complainant and the
177	district school superintendent of the termination of the
178	investigation, providing a summary of relevant facts found
179	during the investigation and the reasons for terminating the
180	investigation. A written statement under this paragraph is
181	presumed admissible as evidence in any judicial or
182	administrative proceeding.
183	6.  The Department of Education shall either contract with
184	the Division of Administrative Hearings under s. 120.65, or
185	otherwise provide for a complaint for which the Department of
186	Education determines reasonable grounds exist to believe that an
187	unlawful reprisal has occurred, is occurring, or is to be taken,
188	and is unable to conciliate, to be heard by a panel of impartial
189	persons. Upon hearing the complaint, the panel shall make
190	findings of fact and conclusions of law for a final decision by
191	the Department of Education.
192
193	It shall be an affirmative defense to any action brought
194	pursuant to this section that the adverse action was predicated
195	upon grounds other than, and would have been taken absent, the
196	employee's exercise of rights protected by this section.
197	(b)  In any action brought under this section for which it
198	is determined reasonable grounds exist to believe that an
199	unlawful reprisal has occurred, is occurring, or is to be taken,
200	the relief shall include the following:
201	1.  Reinstatement of the employee to the same position held
202	before the unlawful reprisal was commenced, or to an equivalent
203	position, or payment of reasonable front pay as alternative
204	relief.
205	2.  Reinstatement of the employee's full fringe benefits
206	and seniority rights, as appropriate.
207	3.  Compensation, if appropriate, for lost wages, benefits,
208	or other lost remuneration caused by the unlawful reprisal.
209	4.  Payment of reasonable costs, including attorney's fees,
210	to a substantially prevailing employee, or to the prevailing
211	employer if the employee filed a frivolous action in bad faith.
212	5.  Issuance of an injunction, if appropriate, by a court
213	of competent jurisdiction.
214	6.  Temporary reinstatement to the employee's former
215	position or to an equivalent position, pending the final outcome
216	of the complaint, if it is determined that the action was not
217	made in bad faith or for a wrongful purpose, and did not occur
218	after a district school board's initiation of a personnel action
219	against the employee that includes documentation of the
220	employee's violation of a disciplinary standard or performance
221	deficiency.
222	(5)  SPONSOR; DUTIES.--
223	(a)  Sponsoring entities.--
224	1.  A district school board may sponsor a charter school in
225	the county over which the district school board has
226	jurisdiction.
227	2.  A state university may grant a charter to a lab school
228	created under s. 1002.32 and shall be considered to be the
229	school's sponsor. Such school shall be considered a charter lab
230	school.
231	(b)  Sponsor duties.--
232	1.  The sponsor shall monitor and review the charter school
233	in its progress toward the goals established in the charter.
234	2.  The sponsor shall monitor the revenues and expenditures
235	of the charter school.
236	3.  The sponsor may approve a charter for a charter school
237	before the applicant has secured space, equipment, or personnel,
238	if the applicant indicates approval is necessary for it to raise
239	working funds capital.
240	4.  The sponsor's policies shall not apply to a charter
241	school unless mutually agreed to by both the sponsor and the
242	charter school.
243	5.  The sponsor shall ensure that the charter is innovative
244	and consistent with the state education goals established by s.
245	1000.03(5).
246	6.  The sponsor shall ensure that the charter school
247	participates in the state's education accountability system. If
248	a charter school falls short of performance measures included in
249	the approved charter, the sponsor shall report such shortcomings
250	to the Department of Education.
251	7.  The sponsor shall not impose additional reporting
252	requirements on a charter school without providing reasonable
253	and specific justification in writing to the charter school.
254
255	A community college may work with the school district or school
256	districts in its designated service area to develop charter
257	schools that offer secondary education. These charter schools
258	must include an option for students to receive an associate
259	degree upon high school graduation. District school boards shall
260	cooperate with and assist the community college on the charter
261	application. Community college applications for charter schools
262	are not subject to the time deadlines outlined in subsection (6)
263	and may be approved by the district school board at any time
264	during the year. Community colleges shall not report FTE for any
265	students who receive FTE funding through the Florida Education
266	Finance Program.
267	(6)  APPLICATION PROCESS AND REVIEW.--Charter school
268	Beginning September 1, 2003, applications are subject to the
269	following requirements:
270	(a)  A person or entity wishing to open a charter school
271	shall prepare an application that:
272	1.  Demonstrates how the school will use the guiding
273	principles and meet the statutorily defined purpose of a charter
274	school.
275	2.  Provides a detailed curriculum plan that illustrates
276	how students will be provided services to attain the Sunshine
277	State Standards.
278	3.  Contains goals and objectives for improving student
279	learning and measuring that improvement. These goals and
280	objectives must indicate how much academic improvement students
281	are expected to show each year, how success will be evaluated,
282	and the specific results to be attained through instruction.
283	4.  Describes the reading curriculum and differentiated
284	strategies that will be used for students reading at grade level
285	or higher and a separate curriculum and strategies for students
286	who are reading below grade level. A sponsor shall deny a
287	charter if the school does not propose a reading curriculum that
288	is consistent with effective teaching strategies that are
289	grounded in scientifically based reading research.
290	5.  Contains an annual financial plan for each year
291	requested by the charter for operation of the school for up to 5
292	years. This plan must contain anticipated fund balances based on
293	revenue projections, a spending plan based on projected revenues
294	and expenses, and a description of controls that will safeguard
295	finances and projected enrollment trends.
296	(b)  A district school board shall receive and review all
297	applications for a charter school. Beginning with the 2007-2008
298	school year, a district school board shall receive and consider
299	charter school applications received on or before August
300	September 1 of each calendar year for charter schools to be
301	opened at the beginning of the school district's next school
302	year, or to be opened at a time agreed to by the applicant and
303	the district school board. A district school board may receive
304	applications later than this date if it chooses. A sponsor may
305	not charge an applicant for a charter any fee for the processing
306	or consideration of an application, and a sponsor may not base
307	its consideration or approval of an application upon the promise
308	of future payment of any kind.
309	1.  In order to facilitate an accurate budget projection
310	process, a district school board shall be held harmless for FTE
311	students who are not included in the FTE projection due to
312	approval of charter school applications after the FTE projection
313	deadline. In a further effort to facilitate an accurate budget
314	projection, within 15 calendar days after receipt of a charter
315	school application, a district school board or other sponsor
316	shall report to the Department of Education the name of the
317	applicant entity, the proposed charter school location, and its
318	projected FTE.
319	2.  In order to ensure fiscal responsibility, an
320	application for a charter school shall include a full accounting
321	of expected assets, a projection of expected sources and amounts
322	of income, including income derived from projected student
323	enrollments and from community support, and an expense
324	projection that includes full accounting of the costs of
325	operation, including start-up costs.
326	3.  A district school board shall by a majority vote
327	approve or deny an application no later than 60 calendar days
328	after the application is received, unless the district school
329	board and the applicant mutually agree in writing to temporarily
330	postpone the vote to a specific date, at which time the district
331	school board shall by a majority vote approve or deny the
332	application. If the district school board fails to act on the
333	application, an applicant may appeal to the State Board of
334	Education as provided in paragraph (c). If an application is
335	denied, the district school board shall, within 10 calendar
336	days, articulate in writing the specific reasons for based upon
337	good cause supporting its denial of the charter application and
338	shall provide the letter of denial and supporting documentation
339	to the applicant and to the Department of Education supporting
340	those reasons.
341	4.  For budget projection purposes, the district school
342	board or other sponsor shall report to the Department of
343	Education the approval or denial of a charter application within
344	10 calendar days after such approval or denial. In the event of
345	approval, the report to the Department of Education shall
346	include the final projected FTE for the approved charter school.
347	5.  Upon approval of a charter application, the initial
348	startup shall commence with the beginning of the public school
349	calendar for the district in which the charter is granted unless
350	the sponsor district school board allows a waiver of this
351	provision for good cause.
352	(c)  An applicant may appeal any denial of that applicant's
353	application or failure to act on an application to the State
354	Board of Education no later than 30 calendar days after receipt
355	of the district school board's decision or failure to act and
356	shall notify the district school board of its appeal. Any
357	response of the district school board shall be submitted to the
358	State Board of Education within 30 calendar days after
359	notification of the appeal. Upon receipt of notification from
360	the State Board of Education that a charter school applicant is
361	filing an appeal, the Commissioner of Education shall convene a
362	meeting of the Charter School Appeal Commission to study and
363	make recommendations to the State Board of Education regarding
364	its pending decision about the appeal. The commission shall
365	forward its recommendation to the state board no later than 7
366	calendar days prior to the date on which the appeal is to be
367	heard. The State Board of Education shall by majority vote
368	accept or reject the decision of the district school board no
369	later than 90 calendar days after an appeal is filed in
370	accordance with State Board of Education rule. The Charter
371	School Appeal Commission may reject an appeal submission for
372	failure to comply with procedural rules governing the appeals
373	process. The rejection shall describe the submission errors. The
374	appellant may have up to 15 calendar days from notice of
375	rejection to resubmit an appeal that meets requirements of State
376	Board of Education rule. An application for appeal submitted
377	subsequent to such rejection shall be considered timely if the
378	original appeal was filed within 30 calendar days after receipt
379	of notice of the specific reasons for the district school
380	board's denial of the charter application. The State Board of
381	Education shall remand the application to the district school
382	board with its written decision that the district school board
383	approve or deny the application. The district school board shall
384	implement the decision of the State Board of Education. The
385	decision of the State Board of Education is not subject to the
386	provisions of the Administrative Procedure Act, chapter 120.
387	(d)  The district school board shall act upon the decision
388	of the State Board of Education within 30 calendar days after it
389	is received. The State Board of Education's decision is a final
390	action subject to judicial review in the district court of
391	appeal.
392	(e)1.  A Charter School Appeal Commission is established to
393	assist the commissioner and the State Board of Education with a
394	fair and impartial review of appeals by applicants whose charter
395	applications have been denied, whose charter contracts have not
396	been renewed, or whose charter contracts have been terminated by
397	their sponsors, or whose disputes over contract negotiations
398	have not been resolved through mediation.
399	2.  The Charter School Appeal Commission may receive copies
400	of the appeal documents forwarded to the State Board of
401	Education, review the documents, gather other applicable
402	information regarding the appeal, and make a written
403	recommendation to the commissioner. The recommendation must
404	state whether the appeal should be upheld or denied and include
405	the reasons for the recommendation being offered. The
406	commissioner shall forward the recommendation to the State Board
407	of Education no later than 7 calendar days prior to the date on
408	which the appeal is to be heard. The state board must consider
409	the commission's recommendation in making its decision, but is
410	not bound by the recommendation. The decision of the Charter
411	School Appeal Commission is not subject to the provisions of the
412	Administrative Procedure Act, chapter 120.
413	3.  The commissioner shall appoint the members of the
414	Charter School Appeal Commission. Members shall serve without
415	compensation but may be reimbursed for travel and per diem
416	expenses in conjunction with their service. One-half of the
417	members must represent currently operating charter schools, and
418	one-half of the members must represent school districts. The
419	commissioner or a named designee shall chair the Charter School
420	Appeal Commission.
421	4.  The chair shall convene meetings of the commission and
422	shall ensure that the written recommendations are completed and
423	forwarded in a timely manner. In cases where the commission
424	cannot reach a decision, the chair shall make the written
425	recommendation with justification, noting that the decision was
426	rendered by the chair.
427	5.  Commission members shall thoroughly review the
428	materials presented to them from the appellant and the sponsor.
429	The commission may request information to clarify the
430	documentation presented to it. In the course of its review, the
431	commission may facilitate the postponement of an appeal in those
432	cases where additional time and communication may negate the
433	need for a formal appeal and both parties agree, in writing, to
434	postpone the appeal to the State Board of Education. A new date
435	certain for the appeal shall then be set based upon the rules
436	and procedures of the State Board of Education. Commission
437	members shall provide a written recommendation to the state
438	board as to whether the appeal should be upheld or denied. A
439	fact-based justification for the recommendation must be
440	included. The chair must ensure that the written recommendation
441	is submitted to the State Board of Education members no later
442	than 7 calendar days prior to the date on which the appeal is to
443	be heard. Both parties in the case shall also be provided a copy
444	of the recommendation.
445	(f)  The Department of Education shall offer or arrange for
446	training and technical assistance to charter school applicants
447	in developing business plans and estimating costs and income.
448	This assistance shall address estimating startup costs,
449	projecting enrollment, and identifying the types and amounts of
450	state and federal financial assistance the charter school will
451	be eligible to receive. The department of Education may provide
452	other technical assistance to an applicant upon written request.
453	(g)  In considering charter applications for a lab school,
454	a state university shall consult with the district school board
455	of the county in which the lab school is located. The decision
456	of a state university may be appealed pursuant to the procedure
457	established in this subsection.
458	(h)  The terms and conditions for the operation of a
459	charter school shall be set forth by the sponsor and the
460	applicant in a written contractual agreement, called a charter.
461	The sponsor shall not impose unreasonable rules or regulations
462	that violate the intent of giving charter schools greater
463	flexibility to meet educational goals. The applicant and sponsor
464	shall have 60 days to provide an initial proposed charter
465	contract to the charter school and 75 days thereafter to
466	negotiate the contract and 6 months in which to mutually agree
467	to the provisions of the final charter contract. The proposed
468	charter shall be provided to the charter school at least 7
469	calendar days prior to the date on which the charter is
470	scheduled to be heard by the sponsor. The Department of
471	Education shall provide mediation services for any dispute
472	regarding this section subsequent to the approval of a charter
473	application and for any dispute relating to the approved
474	charter, except disputes regarding charter school application
475	denials. If the Commissioner of Education determines that the
476	dispute cannot be settled through mediation, the dispute may be
477	appealed to an administrative law judge appointed by the
478	Division of Administrative Hearings. The administrative law
479	judge may rule on issues of equitable treatment of the charter
480	school as a public school, whether proposed provisions of the
481	charter violate the intended flexibility granted charter schools
482	by statute, or on any other matter regarding this section except
483	a charter school application denial, a charter termination, or a
484	charter nonrenewal and shall award the prevailing party
485	reasonable attorney's fees and costs incurred to be paid by the
486	losing party. The costs of the administrative hearing shall be
487	paid by the party whom the administrative law judge rules
488	against.
489	(7)  CHARTER.--The major issues involving the operation of
490	a charter school shall be considered in advance and written into
491	the charter. The charter shall be signed by the governing body
492	of the charter school and the sponsor, following a public
493	hearing to ensure community input.
494	(a)  The charter shall address, and criteria for approval
495	of the charter shall be based on:
496	1.  The school's mission, the students to be served, and
497	the ages and grades to be included.
498	2.  The focus of the curriculum, the instructional methods
499	to be used, any distinctive instructional techniques to be
500	employed, and identification and acquisition of appropriate
501	technologies needed to improve educational and administrative
502	performance which include a means for promoting safe, ethical,
503	and appropriate uses of technology which comply with legal and
504	professional standards. The charter shall ensure that reading is
505	a primary focus of the curriculum and that resources are
506	provided to identify and provide specialized instruction for
507	students who are reading below grade level. The curriculum and
508	instructional strategies for reading must be consistent with the
509	Sunshine State Standards and grounded in scientifically based
510	reading research.
511	3.  The current incoming baseline standard of student
512	academic achievement, the outcomes to be achieved, and the
513	method of measurement that will be used. The criteria listed in
514	this subparagraph shall include a detailed description for each
515	of the following:
516	a.  How the baseline student academic achievement levels
517	and prior rates of academic progress will be established.
518	b.  How these baseline rates will be compared to rates of
519	academic progress achieved by these same students while
520	attending the charter school.
521	c.  To the extent possible, how these rates of progress
522	will be evaluated and compared with rates of progress of other
523	closely comparable student populations.
524
525	The district school board is required to provide academic
526	student performance data to charter schools for each of their
527	students coming from the district school system, as well as
528	rates of academic progress of comparable student populations in
529	the district school system.
530	4.  The methods used to identify the educational strengths
531	and needs of students and how well educational goals and
532	performance standards are met by students attending the charter
533	school. Included in the methods is a means for the charter
534	school to ensure accountability to its constituents by analyzing
535	student performance data and by evaluating the effectiveness and
536	efficiency of its major educational programs. Students in
537	charter schools shall, at a minimum, participate in the
538	statewide assessment program created under s. 1008.22.
539	5.  In secondary charter schools, a method for determining
540	that a student has satisfied the requirements for graduation in
541	s. 1003.43.
542	6.  A method for resolving conflicts between the governing
543	body of the charter school and the sponsor.
544	7.  The admissions procedures and dismissal procedures,
545	including the school's code of student conduct.
546	8.  The ways by which the school will achieve a
547	racial/ethnic balance reflective of the community it serves or
548	within the racial/ethnic range of other public schools in the
549	same school district.
550	9.  The financial and administrative management of the
551	school, including a reasonable demonstration of the professional
552	experience or competence of those individuals or organizations
553	applying to operate the charter school or those hired or
554	retained to perform such professional services and the
555	description of clearly delineated responsibilities and the
556	policies and practices needed to effectively manage the charter
557	school. A description of internal audit procedures and
558	establishment of controls to ensure that financial resources are
559	properly managed must be included. Both public sector and
560	private sector professional experience shall be equally valid in
561	such a consideration.
562	10.  The asset and liability projections required in the
563	application which are incorporated into the charter and which
564	shall be compared with information provided in the annual report
565	of the charter school. The charter shall ensure that, if a
566	charter school internal audit or annual financial audit reveals
567	a state of financial emergency as defined in s. 218.503 or
568	deficit financial position, the auditors are required to notify
569	the charter school governing board, the sponsor, and the
570	Department of Education. The internal auditor shall report such
571	findings in the form of an exit interview to the principal or
572	the principal administrator of the charter school and the chair
573	of the governing board within 7 working days after finding the
574	state of financial emergency or deficit position. A final report
575	shall be provided to the entire governing board, the sponsor,
576	and the Department of Education within 14 working days after the
577	exit interview. When a charter school is in a state of financial
578	emergency, the charter school shall file a detailed financial
579	recovery plan with the sponsor. The department, with the
580	involvement of both sponsors and charter schools, shall
581	establish guidelines for developing such plans.
582	11.  A description of procedures that identify various
583	risks and provide for a comprehensive approach to reduce the
584	impact of losses; plans to ensure the safety and security of
585	students and staff; plans to identify, minimize, and protect
586	others from violent or disruptive student behavior; and the
587	manner in which the school will be insured, including whether or
588	not the school will be required to have liability insurance,
589	and, if so, the terms and conditions thereof and the amounts of
590	coverage.
591	12.  The term of the charter which shall provide for
592	cancellation of the charter if insufficient progress has been
593	made in attaining the student achievement objectives of the
594	charter and if it is not likely that such objectives can be
595	achieved before expiration of the charter. The initial term of a
596	charter shall be for 3, 4, or 5 years. In order to facilitate
597	access to long-term financial resources for charter school
598	construction, charter schools that are operated by a
599	municipality or other public entity as provided by law are
600	eligible for up to a 15-year charter, subject to approval by the
601	district school board. A charter lab school is eligible for a
602	charter for a term of up to 15 years. In addition, to facilitate
603	access to long-term financial resources for charter school
604	construction, charter schools that are operated by a private,
605	not-for-profit, s. 501(c)(3) status corporation are eligible for
606	up to a 15-year 10-year charter, subject to approval by the
607	district school board. Such long-term charters remain subject to
608	annual review and may be terminated during the term of the
609	charter, but only for specific good cause according to the
610	provisions set forth in subsection (8).
611	13.  The facilities to be used and their location.
612	14.  The qualifications to be required of the teachers and
613	the potential strategies used to recruit, hire, train, and
614	retain qualified staff to achieve best value.
615	15.  The governance structure of the school, including the
616	status of the charter school as a public or private employer as
617	required in paragraph (12)(i).
618	16.  A timetable for implementing the charter which
619	addresses the implementation of each element thereof and the
620	date by which the charter shall be awarded in order to meet this
621	timetable.
622	17.  In the case of an existing public school being
623	converted to charter status, alternative arrangements for
624	current students who choose not to attend the charter school and
625	for current teachers who choose not to teach in the charter
626	school after conversion in accordance with the existing
627	collective bargaining agreement or district school board rule in
628	the absence of a collective bargaining agreement. However,
629	alternative arrangements shall not be required for current
630	teachers who choose not to teach in a charter lab school, except
631	as authorized by the employment policies of the state university
632	which grants the charter to the lab school.
633	(b)1.  A charter may be renewed every 5 school years,
634	provided that a program review demonstrates that the criteria in
635	paragraph (a) have been successfully accomplished and that none
636	of the grounds for nonrenewal established by paragraph (8)(a)
637	has been documented. In order to facilitate long-term financing
638	for charter school construction, charter schools operating for a
639	minimum of 2 years and demonstrating exemplary academic
640	programming and fiscal management are eligible for a 15-year
641	charter renewal. Such long-term charter is subject to annual
642	review and may be terminated during the term of the charter.
643	2.  The 15-year charter renewal that may be granted
644	pursuant to subparagraph 1. shall be granted to a charter school
645	that has received a school grade of "A" or "B" pursuant to s.
646	1008.34 in 3 of the past 4 years and is not in a state of
647	financial emergency or deficit position as defined by this
648	section. Such long-term charter is subject to annual review and
649	may be terminated during the term of the charter pursuant to
650	subsection (8).
651	(c)  A charter may be modified during its initial term or
652	any renewal term upon the recommendation of the sponsor or the
653	charter school governing board and the approval of both parties
654	to the agreement.
655	(8)  CAUSES FOR NONRENEWAL OR TERMINATION OF CHARTER.--
656	(a)  At the end of the term of a charter, The sponsor may
657	choose not to renew or may terminate the charter for any of the
658	following grounds:
659	1.  Failure to participate in the state's education
660	accountability system created in s. 1008.31, as required in this
661	section, or failure to meet the requirements for student
662	performance stated in the charter.
663	2.  Failure to meet generally accepted standards of fiscal
664	management.
665	3.  Violation of law.
666	4.  Determination by the sponsor that the health, safety,
667	or welfare of the students is threatened Other good cause shown.
668	5.  Material breach or repeated violations of the terms of
669	the charter.
670	(b)  During the term of a charter, the sponsor may
671	terminate the charter for any of the grounds listed in paragraph
672	(a).
673	(b)(c)  At least 90 days prior to renewing or terminating a
674	charter, the sponsor shall notify the governing body of the
675	school of the proposed action in writing. The notice shall state
676	in reasonable detail the grounds for the proposed action and
677	stipulate that the school's governing body may, within 14
678	calendar days after receiving the notice, request an informal
679	hearing before the sponsor. The sponsor shall conduct the
680	informal hearing within 30 calendar days after receiving a
681	written request. The charter school's governing body may, within
682	14 calendar days after receiving the sponsor's decision to
683	terminate or refuse to renew the charter, appeal the decision
684	pursuant to the procedure established in subsection (6).
685	(c)  If a charter is not renewed or is terminated pursuant
686	to paragraph (b), the sponsor shall, within 10 calendar days,
687	articulate in writing the specific reasons for its nonrenewal or
688	termination of the charter and must provide the letter of
689	nonrenewal or termination and documentation supporting the
690	reasons to the charter school governing body, the charter school
691	principal, and the Department of Education. The charter school's
692	governing body may, within 30 calendar days after receiving the
693	sponsor's final written decision to refuse to renew or to
694	terminate the charter, appeal the decision pursuant to the
695	procedure established in subsection (6).
696	(d)  A charter may be terminated immediately if the sponsor
697	determines that good cause has been shown or if the health,
698	safety, or welfare of the students is threatened. The sponsor
699	shall notify in writing the charter school's governing body, the
700	charter school principal, and the department if a charter is
701	immediately terminated. The sponsor shall clearly identify the
702	specific issues that resulted in the immediate termination and
703	provide evidence of prior notification of issues resulting in
704	the immediate termination when appropriate. The school district
705	in which the charter school is located shall assume operation of
706	the school under these circumstances. The charter school's
707	governing board may, within 30 14 days after receiving the
708	sponsor's decision to terminate the charter, appeal the decision
709	pursuant to the procedure established in subsection (6).
710	(e)  When a charter is not renewed or is terminated, the
711	school shall be dissolved under the provisions of law under
712	which the school was organized, and any unencumbered public
713	funds, except for capital outlay funds and federal charter
714	school program grant funds, from the charter school shall revert
715	to the sponsor district school board. Capital outlay funds
716	provided pursuant to s. 1013.62 and federal charter school
717	program grant funds that are unencumbered shall revert to the
718	department to be redistributed among eligible charter schools.
719	In the event a charter school is dissolved or is otherwise
720	terminated, all district school board property and improvements,
721	furnishings, and equipment purchased with public funds shall
722	automatically revert to full ownership by the district school
723	board, subject to complete satisfaction of any lawful liens or
724	encumbrances. Any unencumbered public funds from the charter
725	school, district school board property and improvements,
726	furnishings, and equipment purchased with public funds, or
727	financial or other records pertaining to the charter school, in
728	the possession of any person, entity, or holding company, other
729	than the charter school, shall be held in trust upon the
730	district school board's request, until any appeal status is
731	resolved.
732	(f)  If a charter is not renewed or is terminated, the
733	charter school is responsible for all debts of the charter
734	school. The district may not assume the debt from any contract
735	for services made between the governing body of the school and a
736	third party, except for a debt that is previously detailed and
737	agreed upon in writing by both the district and the governing
738	body of the school and that may not reasonably be assumed to
739	have been satisfied by the district.
740	(g)  If a charter is not renewed or is terminated, a
741	student who attended the school may apply to, and shall be
742	enrolled in, another public school. Normal application deadlines
743	shall be disregarded under such circumstances.
744	(9)  CHARTER SCHOOL REQUIREMENTS.--
745	(a)  A charter school shall be nonsectarian in its
746	programs, admission policies, employment practices, and
747	operations.
748	(b)  A charter school shall admit students as provided in
749	subsection (10).
750	(c)  A charter school shall be accountable to its sponsor
751	for performance as provided in subsection (7).
752	(d)  A charter school shall not charge tuition or
753	registration fees, except those fees normally charged by other
754	public schools. However, a charter lab school may charge a
755	student activity and service fee as authorized by s. 1002.32(5).
756	(e)  A charter school shall meet all applicable state and
757	local health, safety, and civil rights requirements.
758	(f)  A charter school shall not violate the
759	antidiscrimination provisions of s. 1000.05.
760	(g)  A charter school shall provide for an annual financial
761	audit in accordance with s. 218.39. Financial audits that reveal
762	a state of financial emergency as defined in s. 218.503 and are
763	conducted by a certified public accountant or auditor in
764	accordance with s. 218.39 shall be provided to the governing
765	body of the charter school within 7 working days after finding
766	that a state of financial emergency exists. When a charter
767	school is found to be in a state of financial emergency by a
768	certified public accountant or auditor, the charter school must
769	file a detailed financial recovery plan with the sponsor within
770	30 days after receipt of the audit.
771	(h)  No organization shall hold more than 15 charters
772	statewide.
773	(i)  In order to provide financial information that is
774	comparable to that reported for other public schools, charter
775	schools are to maintain all financial records which constitute
776	their accounting system:
777	1.  In accordance with the accounts and codes prescribed in
778	the most recent issuance of the publication titled "Financial
779	and Program Cost Accounting and Reporting for Florida Schools";
780	or
781	2.  At the discretion of the charter school governing
782	board, a charter school may elect to follow generally accepted
783	accounting standards for not-for-profit organizations, but must
784	reformat this information for reporting according to this
785	paragraph.
786
787	Charter schools shall are to provide annual financial report and
788	program cost report information in the state-required formats
789	for inclusion in district reporting in compliance with s.
790	1011.60(1). Charter schools that are operated by a municipality
791	or are a component unit of a parent nonprofit organization may
792	use the accounting system of the municipality or the parent but
793	must reformat this information for reporting according to this
794	paragraph.
795	(j)  The governing board of the charter school shall
796	annually adopt and maintain an operating budget.
797	(k)  The governing body of the charter school shall
798	exercise continuing oversight over charter school operations.
799	(l)  The governing body of the charter school shall be
800	responsible for:
801	1.  Ensuring that the charter school has retained the
802	services of a certified public accountant or auditor for the
803	annual financial audit, pursuant to paragraph (g), who shall
804	submit the report to the governing body.
805	2.  Reviewing and approving the audit report, including
806	audit findings and recommendations for the financial recovery
807	plan.
808	3.  Monitoring a financial recovery plan in order to ensure
809	compliance.
810	(m)(l)  The governing body of the charter school shall
811	report its progress annually to its sponsor, which shall forward
812	the report to the Commissioner of Education at the same time as
813	other annual school accountability reports. The Department of
814	Education shall develop a uniform, on-line annual accountability
815	report to be completed by charter schools. This report shall be
816	easy to utilize and contain demographic information, student
817	performance data, and financial accountability information. A
818	charter school shall not be required to provide information and
819	data that is duplicative and already in the possession of the
820	department. The Department of Education shall include in its
821	compilation a notation if a school failed to file its report by
822	the deadline established by the department. The report shall
823	include at least the following components:
824	1.  Student achievement performance data, including the
825	information required for the annual school report and the
826	education accountability system governed by ss. 1008.31 and
827	1008.345. Charter schools are subject to the same accountability
828	requirements as other public schools, including reports of
829	student achievement information that links baseline student data
830	to the school's performance projections identified in the
831	charter. The charter school shall identify reasons for any
832	difference between projected and actual student performance.
833	2.  Financial status of the charter school which must
834	include revenues and expenditures at a level of detail that
835	allows for analysis of the ability to meet financial obligations
836	and timely repayment of debt.
837	3.  Documentation of the facilities in current use and any
838	planned facilities for use by the charter school for instruction
839	of students, administrative functions, or investment purposes.
840	4.  Descriptive information about the charter school's
841	personnel, including salary and benefit levels of charter school
842	employees, the proportion of instructional personnel who hold
843	professional or temporary certificates, and the proportion of
844	instructional personnel teaching in-field or out-of-field.
845	(n)(m)  A charter school shall not levy taxes or issue
846	bonds secured by tax revenues.
847	(o)(n)  A charter school shall provide instruction for at
848	least the number of days required by law for other public
849	schools, and may provide instruction for additional days.
850	(p)  The director and a representative of the governing
851	body of a charter school that has received a school grade of "D"
852	under s. 1008.34(2) shall appear before the sponsor or the
853	sponsor's staff at least once a year to present information
854	concerning each contract component having noted deficiencies.
855	The sponsor shall communicate at the meeting, and in writing to
856	the director, the services provided to the school to help the
857	school address its deficiencies.
858	(q)  Upon notification that a charter school receives a
859	school grade of "D" for 2 consecutive years or a school grade of
860	"F" under s. 1008.34(2), the charter school sponsor or the
861	sponsor's staff shall require the director and a representative
862	of the governing body to submit to the sponsor for approval a
863	school improvement plan to raise student achievement and to
864	implement the plan. The sponsor has the authority to approve a
865	school improvement plan that the charter school will implement
866	in the following school year. The Department of Education shall
867	offer technical assistance and training to the charter school
868	and its governing body and establish guidelines for developing,
869	submitting, and approving such plans.
870	1.  If the charter school fails to improve its student
871	performance from the year immediately prior to the
872	implementation of the school improvement plan, the sponsor shall
873	place the charter school on probation and shall require the
874	charter school governing body to take one of the following
875	corrective actions:
876	a.  Contract for the educational services of the charter
877	school;
878	b.  Reorganize the school at the end of the school year
879	under a new director or principal who is authorized to hire new
880	staff and implement a plan that addresses the causes of
881	inadequate progress; or
882	c.  Reconstitute the charter school.
883	2.  A charter school that is placed on probation shall
884	continue the corrective actions required under subparagraph 1.
885	until the charter school improves its student performance from
886	the year prior to the implementation of the school improvement
887	plan.
888	3.  Notwithstanding any provision of this paragraph, the
889	sponsor may terminate the charter at any time pursuant to the
890	provisions of subsection (8).
891	(r)  The director and a representative of the governing
892	body of a graded charter school that has submitted a school
893	improvement plan or has been placed on probation under paragraph
894	(q) shall appear before the sponsor or the sponsor's staff at
895	least once a year to present information regarding the
896	corrective strategies that are being implemented by the school
897	pursuant to the school improvement plan. The sponsor shall
898	communicate at the meeting, and in writing to the director, the
899	services provided to the school to help the school address its
900	deficiencies.
901	(10)  ELIGIBLE STUDENTS.--
902	(a)  A charter school shall be open to any student covered
903	in an interdistrict agreement or residing in the school district
904	in which the charter school is located; however, in the case of
905	a charter lab school, the charter lab school shall be open to
906	any student eligible to attend the lab school as provided in s.
907	1002.32 or who resides in the school district in which the
908	charter lab school is located. Any eligible student shall be
909	allowed interdistrict transfer to attend a charter school when
910	based on good cause.
911	(b)  The charter school shall enroll an eligible student
912	who submits a timely application, unless the number of
913	applications exceeds the capacity of a program, class, grade
914	level, or building. In such case, all applicants shall have an
915	equal chance of being admitted through a random selection
916	process.
917	(c)  When a public school converts to charter status,
918	enrollment preference shall be given to students who would have
919	otherwise attended that public school.
920	(d)  A charter school may give enrollment preference to the
921	following student populations:
922	1.  Students who are siblings of a student enrolled in the
923	charter school.
924	2.  Students who are the children of a member of the
925	governing board of the charter school.
926	3.  Students who are the children of an employee of the
927	charter school.
928	(e)  A charter school may limit the enrollment process only
929	to target the following student populations:
930	1.  Students within specific age groups or grade levels.
931	2.  Students considered at risk of dropping out of school
932	or academic failure. Such students shall include exceptional
933	education students.
934	3.  Students enrolling in a charter school-in-the-workplace
935	or charter school-in-a-municipality established pursuant to
936	subsection (15).
937	4.  Students residing within a reasonable distance of the
938	charter school, as described in paragraph (20)(c). Such students
939	shall be subject to a random lottery and to the racial/ethnic
940	balance provisions described in subparagraph (7)(a)8. or any
941	federal provisions that require a school to achieve a
942	racial/ethnic balance reflective of the community it serves or
943	within the racial/ethnic range of other public schools in the
944	same school district.
945	5.  Students who meet reasonable academic, artistic, or
946	other eligibility standards established by the charter school
947	and included in the charter school application and charter or,
948	in the case of existing charter schools, standards that are
949	consistent with the school's mission and purpose. Such standards
950	shall be in accordance with current state law and practice in
951	public schools and may not discriminate against otherwise
952	qualified individuals.
953	6.  Students articulating from one charter school to
954	another pursuant to an articulation agreement between the
955	charter schools that has been approved by the sponsor.
956	(f)  Students with handicapping conditions and students
957	served in English for Speakers of Other Languages programs shall
958	have an equal opportunity of being selected for enrollment in a
959	charter school.
960	(g)  A student may withdraw from a charter school at any
961	time and enroll in another public school as determined by
962	district school board rule.
963	(h)  The capacity of the charter school shall be determined
964	annually by the governing board, in conjunction with the
965	sponsor, of the charter school in consideration of the factors
966	identified in this subsection.
967	(11)  PARTICIPATION IN INTERSCHOLASTIC EXTRACURRICULAR
968	ACTIVITIES.--A charter school student is eligible to participate
969	in an interscholastic extracurricular activity at the public
970	school to which the student would be otherwise assigned to
971	attend pursuant to s. 1006.15(3)(d).
972	(12)  EMPLOYEES OF CHARTER SCHOOLS.--
973	(a)  A charter school shall select its own employees. A
974	charter school may contract with its sponsor for the services of
975	personnel employed by the sponsor.
976	(b)  Charter school employees shall have the option to
977	bargain collectively. Employees may collectively bargain as a
978	separate unit or as part of the existing district collective
979	bargaining unit as determined by the structure of the charter
980	school.
981	(c)  The employees of a conversion charter school shall
982	remain public employees for all purposes, unless such employees
983	choose not to do so.
984	(d)  The teachers at a charter school may choose to be part
985	of a professional group that subcontracts with the charter
986	school to operate the instructional program under the auspices
987	of a partnership or cooperative that they collectively own.
988	Under this arrangement, the teachers would not be public
989	employees.
990	(e)  Employees of a school district may take leave to
991	accept employment in a charter school upon the approval of the
992	district school board. While employed by the charter school and
993	on leave that is approved by the district school board, the
994	employee may retain seniority accrued in that school district
995	and may continue to be covered by the benefit programs of that
996	school district, if the charter school and the district school
997	board agree to this arrangement and its financing. School
998	districts shall not require resignations of teachers desiring to
999	teach in a charter school. This paragraph shall not prohibit a
1000	district school board from approving alternative leave
1001	arrangements consistent with chapter 1012.
1002	(f)  Teachers employed by or under contract to a charter
1003	school shall be certified as required by chapter 1012. A charter
1004	school governing board may employ or contract with skilled
1005	selected noncertified personnel to provide instructional
1006	services or to assist instructional staff members as education
1007	paraprofessionals in the same manner as defined in chapter 1012,
1008	and as provided by State Board of Education rule for charter
1009	school governing boards. A charter school may not knowingly
1010	employ an individual to provide instructional services or to
1011	serve as an education paraprofessional if the individual's
1012	certification or licensure as an educator is suspended or
1013	revoked by this or any other state. A charter school may not
1014	knowingly employ an individual who has resigned from a school
1015	district in lieu of disciplinary action with respect to child
1016	welfare or safety, or who has been dismissed for just cause by
1017	any school district with respect to child welfare or safety. The
1018	qualifications of teachers shall be disclosed to parents.
1019	(g)  A charter school shall employ or contract with
1020	employees who have undergone background screening as provided in
1021	s. 1012.32. Members of the governing board of the charter school
1022	shall also undergo background screening in a manner similar to
1023	that provided in s. 1012.32.
1024	(h)  For the purposes of tort liability, the governing body
1025	and employees of a charter school shall be governed by s.
1026	768.28.
1027	(i)  A charter school shall organize as, or be operated by,
1028	a nonprofit organization. A charter school may be operated by a
1029	municipality or other public entity as provided for by law. As
1030	such, the charter school may be either a private or a public
1031	employer. As a public employer, a charter school may participate
1032	in the Florida Retirement System upon application and approval
1033	as a "covered group" under s. 121.021(34). If a charter school
1034	participates in the Florida Retirement System, the charter
1035	school employees shall be compulsory members of the Florida
1036	Retirement System. As either a private or a public employer, a
1037	charter school may contract for services with an individual or
1038	group of individuals who are organized as a partnership or a
1039	cooperative. Individuals or groups of individuals who contract
1040	their services to the charter school are not public employees.
1041	(13)  CHARTER SCHOOL COOPERATIVES.--Charter schools may
1042	enter into cooperative agreements to form charter school
1043	cooperative organizations that may provide the following
1044	services: charter school planning and development, direct
1045	instructional services, and contracts with charter school
1046	governing boards to provide personnel administrative services,
1047	payroll services, human resource management, evaluation and
1048	assessment services, teacher preparation, and professional
1049	development.
1050	(14)  CHARTER SCHOOL FINANCIAL ARRANGEMENTS;
1051	INDEMNIFICATION OF THE STATE AND SCHOOL DISTRICT; CREDIT OR
1052	TAXING POWER NOT TO BE PLEDGED.--Any arrangement entered into to
1053	borrow or otherwise secure funds for a charter school authorized
1054	in this section from a source other than the state or a school
1055	district shall indemnify the state and the school district from
1056	any and all liability, including, but not limited to, financial
1057	responsibility for the payment of the principal or interest. Any
1058	loans, bonds, or other financial agreements are not obligations
1059	of the state or the school district but are obligations of the
1060	charter school authority and are payable solely from the sources
1061	of funds pledged by such agreement. The credit or taxing power
1062	of the state or the school district shall not be pledged and no
1063	debts shall be payable out of any moneys except those of the
1064	legal entity in possession of a valid charter approved by a
1065	district school board pursuant to this section.
1066	(15)  CHARTER SCHOOLS-IN-THE-WORKPLACE; CHARTER SCHOOLS-IN-
1067	A-MUNICIPALITY.--
1068	(a)  In order to increase business partnerships in
1069	education, to reduce school and classroom overcrowding
1070	throughout the state, and to offset the high costs for
1071	educational facilities construction, the Legislature intends to
1072	encourage the formation of business partnership schools or
1073	satellite learning centers and municipal-operated schools
1074	through charter school status.
1075	(b)  A charter school-in-the-workplace may be established
1076	when a business partner provides the school facility to be used;
1077	enrolls students based upon a random lottery that involves all
1078	of the children of employees of that business or corporation who
1079	are seeking enrollment, as provided for in subsection (10); and
1080	enrolls students according to the racial/ethnic balance
1081	provisions described in subparagraph (7)(a)8. Any portion of a
1082	facility used for a public charter school shall be exempt from
1083	ad valorem taxes, as provided for in s. 1013.54, for the
1084	duration of its use as a public school.
1085	(c)  A charter school-in-a-municipality designation may be
1086	granted to a municipality that possesses a charter; enrolls
1087	students based upon a random lottery that involves all of the
1088	children of the residents of that municipality who are seeking
1089	enrollment, as provided for in subsection (10); and enrolls
1090	students according to the racial/ethnic balance provisions
1091	described in subparagraph (7)(a)8. When a municipality has
1092	submitted charter applications for the establishment of a
1093	charter school feeder pattern, consisting of elementary, middle,
1094	and senior high schools, and each individual charter application
1095	is approved by the district school board, such schools shall
1096	then be designated as one charter school for all purposes listed
1097	pursuant to this section. Any portion of the land and facility
1098	used for a public charter school shall be exempt from ad valorem
1099	taxes, as provided for in s. 1013.54, for the duration of its
1100	use as a public school.
1101	(d)  As used in this subsection, the terms "business
1102	partner" or "municipality" may include more than one business or
1103	municipality to form a charter school-in-the-workplace or
1104	charter school-in-a-municipality.
1105	(16)  EXEMPTION FROM STATUTES.--
1106	(a)  A charter school shall operate in accordance with its
1107	charter and shall be exempt from all statutes in chapters 1000-
1108	1013. However, a charter school shall be in compliance with the
1109	following statutes in chapters 1000-1013:
1110	1.  Those statutes specifically applying to charter
1111	schools, including this section.
1112	2.  Those statutes pertaining to the student assessment
1113	program and school grading system.
1114	3.  Those statutes pertaining to the provision of services
1115	to students with disabilities.
1116	4.  Those statutes pertaining to civil rights, including s.
1117	1000.05, relating to discrimination.
1118	5.  Those statutes pertaining to student health, safety,
1119	and welfare.
1120	(b)  Additionally, a charter school shall be in compliance
1121	with the following statutes:
1122	1.  Section 286.011, relating to public meetings and
1123	records, public inspection, and criminal and civil penalties.
1124	2.  Chapter 119, relating to public records.
1125	(17)  FUNDING.--Students enrolled in a charter school,
1126	regardless of the sponsorship, shall be funded as if they are in
1127	a basic program or a special program, the same as students
1128	enrolled in other public schools in the school district. Funding
1129	for a charter lab school shall be as provided in s. 1002.32.
1130	(a)  Each charter school shall report its student
1131	enrollment to the district school board as required in s.
1132	1011.62, and in accordance with the definitions in s. 1011.61.
1133	The district school board shall include each charter school's
1134	enrollment in the district's report of student enrollment. All
1135	charter schools submitting student record information required
1136	by the Department of Education shall comply with the Department
1137	of Education's guidelines for electronic data formats for such
1138	data, and all districts shall accept electronic data that
1139	complies with the Department of Education's electronic format.
1140	(b)  The basis for the agreement for funding students
1141	enrolled in a charter school shall be the sum of the school
1142	district's operating funds from the Florida Education Finance
1143	Program as provided in s. 1011.62 and the General Appropriations
1144	Act, including gross state and local funds, discretionary
1145	lottery funds, and funds from the school district's current
1146	operating discretionary millage levy; divided by total funded
1147	weighted full-time equivalent students in the school district;
1148	multiplied by the weighted full-time equivalent students for the
1149	charter school. Charter schools whose students or programs meet
1150	the eligibility criteria in law shall be entitled to their
1151	proportionate share of categorical program funds included in the
1152	total funds available in the Florida Education Finance Program
1153	by the Legislature, including transportation. Total funding for
1154	each charter school shall be recalculated during the year to
1155	reflect the revised calculations under the Florida Education
1156	Finance Program by the state and the actual weighted full-time
1157	equivalent students reported by the charter school during the
1158	full-time equivalent student survey periods designated by the
1159	Commissioner of Education.
1160	(c)  If the district school board is providing programs or
1161	services to students funded by federal funds, any eligible
1162	students enrolled in charter schools in the school district
1163	shall be provided federal funds for the same level of service
1164	provided students in the schools operated by the district school
1165	board. Pursuant to provisions of 20 U.S.C. 8061 s. 10306, all
1166	charter schools shall receive all federal funding for which the
1167	school is otherwise eligible, including Title I funding, not
1168	later than 5 months after the charter school first opens and
1169	within 5 months after any subsequent expansion of enrollment.
1170	(d)  District school boards shall make every effort to
1171	ensure that charter schools receive timely and efficient payment
1172	and reimbursement to charter schools, including processing
1173	paperwork required to access special state and federal funding
1174	for which they may be eligible. The district school board may
1175	distribute funds to a charter school for up to 3 months based on
1176	the projected full-time equivalent student membership of the
1177	charter school. Thereafter, the results of full-time equivalent
1178	student membership surveys shall be used in adjusting the amount
1179	of funds distributed monthly to the charter school for the
1180	remainder of the fiscal year. The payment shall be issued no
1181	later than 10 working days after the district school board
1182	receives a distribution of state or federal funds. If a warrant
1183	for payment is not issued within 10 30 working days after
1184	receipt of funding by the district school board, the school
1185	district shall pay to the charter school, in addition to the
1186	amount of the scheduled disbursement, interest at a rate of 5 1
1187	percent per month calculated on a daily basis on the unpaid
1188	balance from the expiration of the 10 working days 30-day period
1189	until such time as the warrant is issued. The Commissioner of
1190	Education is authorized to withhold lottery funds from school
1191	districts that repeatedly fail to make timely payments and
1192	reimbursements.
1193	(e)  The State Board of Education is authorized to impose a
1194	fine on or withhold lottery funds from a school district for any
1195	violation of the procedural requirements for charter school
1196	application, termination, or nonrenewal appeals regardless of
1197	whether the violation affects the fairness of the appeal process
1198	or the correctness of the action taken by the school district.
1199	Prior to the imposition of a fine or the withholding of lottery
1200	funds under this paragraph, the State Board of Education shall
1201	provide the school district with notice of the amount of the
1202	proposed fine or lottery funds to be withheld and an opportunity
1203	to be heard at a subsequent meeting of the State Board of
1204	Education. The funds collected for fines under this paragraph
1205	shall be taken from the school district's administrative fee
1206	under paragraph (20)(a) and disbursed to the prevailing charter
1207	school appellant under this section or, if the charter school
1208	appellant's appeal is denied, in equal amounts to each of the
1209	charter schools within the school district. The imposition of a
1210	fine under this paragraph shall not exceed $10,000 and is a
1211	final action subject to judicial review in the district court of
1212	appeals.
1213	(18)  FACILITIES.--
1214	(a)  A startup charter school shall utilize facilities
1215	which comply with the Florida Building Code pursuant to chapter
1216	553 except for the State Requirements for Educational
1217	Facilities. Conversion charter schools shall utilize facilities
1218	that comply with the State Requirements for Educational
1219	Facilities, provided that the school district and the charter
1220	school have entered into a mutual management plan with
1221	sufficient funding from the school district to comply with the
1222	State Requirements for Educational Facilities. Charter schools,
1223	with the exception of conversion charter schools, are not
1224	required to comply, but may choose to comply, with the State
1225	Requirements for Educational Facilities of the Florida Building
1226	Code adopted pursuant to s. 1013.37. The local governing
1227	authority shall not adopt or impose local building requirements
1228	or restrictions that are more stringent than those found in the
1229	Florida Building Code. The agency having jurisdiction for
1230	inspection of a facility and issuance of a certificate of
1231	occupancy shall be the local municipality or, if in an
1232	unincorporated area, the county governing authority.
1233	(b)  A charter school shall utilize facilities that comply
1234	with the Florida Fire Prevention Code, pursuant to s. 633.025,
1235	as adopted by the authority in whose jurisdiction the facility
1236	is located as provided in paragraph (a).
1237	(c)  Any facility, or portion thereof, used to house a
1238	charter school whose charter has been approved by the sponsor
1239	and the governing board, pursuant to subsection (7), shall be
1240	exempt from ad valorem taxes pursuant to s. 196.1983. Library,
1241	community service, museum, performing arts, theatre, cinema,
1242	church, community college, college, and university facilities
1243	may provide space to charter schools within their facilities
1244	under their preexisting zoning and land use designations.
1245	(d)  Charter school facilities are exempt from assessments
1246	of fees for building permits, except as provided in s. 553.80,
1247	fees and for building and occupational licenses, and from
1248	assessments of impact fees or service availability fees.
1249	(e)  If a district school board facility or property is
1250	available because it is surplus, marked for disposal, or
1251	otherwise unused, it shall be provided for a charter school's
1252	use on the same basis as it is made available to other public
1253	schools in the district. A charter school receiving property
1254	from the school district may not sell or dispose of such
1255	property without written permission of the school district.
1256	Similarly, for an existing public school converting to charter
1257	status, no rental or leasing fee for the existing facility or
1258	for the property normally inventoried to the conversion school
1259	may be charged by the district school board to the parents and
1260	teachers organizing the charter school. The charter school
1261	organizers shall agree to reasonable maintenance provisions in
1262	order to maintain the facility in a manner similar to district
1263	school board standards. The Public Education Capital Outlay
1264	maintenance funds or any other maintenance funds generated by
1265	the facility operated as a conversion school shall remain with
1266	the conversion school.
1267	(f)  To the extent that charter school facilities are
1268	specifically created to mitigate the educational impact created
1269	by the development of new residential dwelling units, pursuant
1270	to subparagraph (2)(c)4., some of or all of the educational
1271	impact fees required to be paid in connection with the new
1272	residential dwelling units may be designated instead for the
1273	construction of the charter school facilities that will mitigate
1274	the student station impact. Such facilities shall be built to
1275	the State Requirements for Educational Facilities and shall be
1276	owned by a public or nonprofit entity. The local school district
1277	retains the right to monitor and inspect such facilities to
1278	ensure compliance with the State Requirements for Educational
1279	Facilities. If a facility ceases to be used for public
1280	educational purposes, either the facility shall revert to the
1281	school district subject to any debt owed on the facility, or the
1282	owner of the facility shall have the option to refund all
1283	educational impact fees utilized for the facility to the school
1284	district. The district and the owner of the facility may
1285	contractually agree to another arrangement for the facilities if
1286	the facilities cease to be used for educational purposes. The
1287	owner of property planned or approved for new residential
1288	dwelling units and the entity levying educational impact fees
1289	shall enter into an agreement that designates the educational
1290	impact fees that will be allocated for the charter school
1291	student stations and that ensures the timely construction of the
1292	charter school student stations concurrent with the expected
1293	occupancy of the residential units. The application for use of
1294	educational impact fees shall include an approved charter school
1295	application. To assist the school district in forecasting
1296	student station needs, the entity levying the impact fees shall
1297	notify the affected district of any agreements it has approved
1298	for the purpose of mitigating student station impact from the
1299	new residential dwelling units.
1300	(19)  CAPITAL OUTLAY FUNDING.--Charter schools are eligible
1301	for capital outlay funds pursuant to s. 1013.62.
1302	(20)  SERVICES.--
1303	(a)  A sponsor shall provide certain administrative and
1304	educational services to charter schools. These services shall
1305	include contract management services; full-time equivalent and
1306	data reporting services; exceptional student education
1307	administration and evaluation services; services related to
1308	eligibility and reporting duties required to ensure that school
1309	lunch services under the federal lunch program, consistent with
1310	the needs of the charter school, are provided by the school
1311	district at the request of the charter school; test
1312	administration services, including payment of the costs of
1313	state-required or district-required student assessments;
1314	processing of teacher certificate data services; and information
1315	services, including equal access to student information systems
1316	that are used by public schools in the district in which the
1317	charter school is located. Student performance data for each
1318	student in a charter school, including, but not limited to, FCAT
1319	scores, standardized test scores, individual report cards, and
1320	student performance measures, shall be provided by the sponsor
1321	to a charter school in the same manner provided to other public
1322	schools in the district. A total administrative fee for the
1323	provision of such services shall be calculated based upon up to
1324	5 percent of the available funds defined in paragraph (17)(b)
1325	for all students. However, a sponsor may only withhold up to a
1326	5-percent administrative fee for enrollment for up to and
1327	including 500 students. For charter schools with a population of
1328	501 or more students, the difference between the total
1329	administrative fee calculation and the amount of the
1330	administrative fee withheld may only be used for capital outlay
1331	purposes specified in s. 1013.62(4)(2). Sponsors shall not
1332	charge charter schools any additional fees or surcharges for
1333	administrative and educational services in addition to the
1334	maximum 5-percent administrative fee withheld pursuant to this
1335	paragraph.
1336	(b)  If goods and services are made available to the
1337	charter school through the contract with the school district,
1338	they shall be provided to the charter school at a rate no
1339	greater than the district's actual cost unless mutually agreed
1340	upon by the charter school and the sponsor in a contract
1341	negotiated separately from the charter. When mediation has
1342	failed to resolve disputes over contracted services or
1343	contractual matters not included in the charter, an appeal may
1344	be made for a dispute resolution hearing before the Charter
1345	School Appeal Commission. To maximize the use of state funds,
1346	school districts shall allow charter schools to participate in
1347	the sponsor's bulk purchasing program if applicable.
1348	(c)  Transportation of charter school students shall be
1349	provided by the charter school consistent with the requirements
1350	of subpart I.E. of chapter 1006 and s. 1012.45. The governing
1351	body of the charter school may provide transportation through an
1352	agreement or contract with the district school board, a private
1353	provider, or parents. The charter school and the sponsor shall
1354	cooperate in making arrangements that ensure that transportation
1355	is not a barrier to equal access for all students residing
1356	within a reasonable distance of the charter school as determined
1357	in its charter.
1358	(21)  PUBLIC INFORMATION ON CHARTER SCHOOLS.--The
1359	Department of Education shall provide information to the public,
1360	directly and through sponsors, both on how to form and operate a
1361	charter school and on how to enroll in charter schools once they
1362	are created. This information shall include a standard
1363	application format, charter format, and charter renewal format
1364	which shall include the information specified in subsection (7).
1365	These formats shall This application format may be used as
1366	guidelines by charter school sponsors chartering entities.
1367	(22)  CHARTER SCHOOL REVIEW PANEL AND LEGISLATIVE REVIEW.--
1368	(a)  The Department of Education shall staff and regularly
1369	convene a Charter School Review Panel in order to review issues,
1370	practices, and policies regarding charter schools. The
1371	composition of the review panel shall include individuals with
1372	experience in finance, administration, law, education, and
1373	school governance, and individuals familiar with charter school
1374	construction and operation. The panel shall include two
1375	appointees each from the Commissioner of Education, the
1376	President of the Senate, and the Speaker of the House of
1377	Representatives. The Governor shall appoint three members of the
1378	panel and shall designate the chair. Each member of the panel
1379	shall serve a 1-year term, unless renewed by the office making
1380	the appointment. The panel shall make recommendations to the
1381	Legislature, to the Department of Education, to charter schools,
1382	and to school districts for improving charter school operations
1383	and oversight and for ensuring best business practices at and
1384	fair business relationships with charter schools.
1385	(b)  The Legislature shall review the operation of charter
1386	schools during the 2010 2005 Regular Session of the Legislature.
1387	(23)  ANALYSIS OF CHARTER SCHOOL PERFORMANCE.--Upon receipt
1388	of the annual report required by paragraph (9)(m)(l), the
1389	Department of Education shall provide to the State Board of
1390	Education, the Commissioner of Education, the Governor, the
1391	President of the Senate, and the Speaker of the House of
1392	Representatives an analysis and comparison of the overall
1393	performance of charter school students, to include all students
1394	whose scores are counted as part of the statewide assessment
1395	program, versus comparable public school students in the
1396	district as determined by the statewide assessment program
1397	currently administered in the school district, and other
1398	assessments administered pursuant to s. 1008.22(3).
1399	(24)  RULEMAKING.--The Department of Education, after
1400	consultation with school districts and charter school directors,
1401	shall recommend that the State Board of Education adopt rules to
1402	implement specific subsections of this section. Such rules shall
1403	require minimum paperwork and shall not limit charter school
1404	flexibility authorized by statute.
1405	Section 2.  Subsection (5) of section 218.39, Florida
1406	Statutes, is amended to read:
1407	218.39  Annual financial audit reports.--
1408	(5)  At the conclusion of the audit, the auditor shall
1409	discuss with the chair of each local governmental entity or the
1410	chair's designee, or with the elected official of each county
1411	agency or with the elected official's designee, or with the
1412	chair of the district school board or the chair's designee, or
1413	with the chair of the board of the charter school or the chair's
1414	designee, or with the chair of the charter technical career
1415	center or the chair's designee, as appropriate, all of the
1416	auditor's comments that will be included in the audit report. If
1417	the officer is not available to discuss the auditor's comments,
1418	their discussion is presumed when the comments are delivered in
1419	writing to his or her office. The auditor shall notify each
1420	member of the governing body of a local governmental entity, or
1421	district school board, or charter school for which deteriorating
1422	financial conditions exist that may cause a condition described
1423	in s. 218.503(1) to occur if actions are not taken to address
1424	such conditions.
1425	Section 3.  Section 218.50, Florida Statutes, is amended to
1426	read:
1427	218.50  Short title.--Sections 218.50-218.504 may be cited
1428	as the "Local Governmental Entity, Charter School, and District
1429	School Board Financial Emergencies Act."
1430	Section 4.  Section 218.501, Florida Statutes, is amended
1431	to read:
1432	218.501  Purposes.--The purposes of ss. 218.50-218.504 are:
1433	(1)  To promote the fiscal responsibility of local
1434	governmental entities, charter schools, and district school
1435	boards.
1436	(2)  To assist local governmental entities, charter
1437	schools, and district school boards in providing essential
1438	services without interruption and in meeting their financial
1439	obligations.
1440	(3)  To assist local governmental entities, charter
1441	schools, and district school boards through the improvement of
1442	local financial management procedures.
1443	Section 5.  Subsections (1) and (2) of section 218.503,
1444	Florida Statutes, are amended, a new subsection (4) is added,
1445	and subsections (4) and (5) of that section are renumbered as
1446	subsections (5) and (6), respectively, to read:
1447	218.503  Determination of financial emergency.--
1448	(1)  Local governmental entities, charter schools, and
1449	district school boards shall be subject to review and oversight
1450	by the Governor, charter school sponsor, or the Commissioner of
1451	Education, as appropriate, when any one of the following
1452	conditions occurs:
1453	(a)  Failure within the same fiscal year in which due to
1454	pay short-term loans or failure to make bond debt service or
1455	other long-term debt payments when due, as a result of a lack of
1456	funds.
1457	(b)  Failure to pay uncontested claims from creditors
1458	within 90 days after the claim is presented, as a result of a
1459	lack of funds.
1460	(c)  Failure to transfer at the appropriate time, due to
1461	lack of funds:
1462	1.  Taxes withheld on the income of employees; or
1463	2.  Employer and employee contributions for:
1464	a.  Federal social security; or
1465	b.  Any pension, retirement, or benefit plan of an
1466	employee.
1467	(d)  Failure for one pay period to pay, due to lack of
1468	funds:
1469	1.  Wages and salaries owed to employees; or
1470	2.  Retirement benefits owed to former employees.
1471	(e)  An unreserved or total fund balance or retained
1472	earnings deficit, or unrestricted or total net assets deficit,
1473	as reported on the balance sheet or statement of net assets on
1474	the general purpose or fund financial statements, for which
1475	sufficient resources of the local governmental entity, as
1476	reported on the balance sheet or statement of net assets on the
1477	general purpose or fund financial statements, are not available
1478	to cover the deficit. Resources available to cover reported
1479	deficits include net assets that are not otherwise restricted by
1480	federal, state, or local laws, bond covenants, contractual
1481	agreements, or other legal constraints. Fixed or capital assets,
1482	the disposal of which would impair the ability of a local
1483	governmental entity to carry out its functions, are not
1484	considered resources available to cover reported deficits.
1485	(2)  A local governmental entity shall notify the Governor
1486	and the Legislative Auditing Committee, a charter school shall
1487	notify the charter school sponsor and the Legislative Auditing
1488	Committee, and a district school board shall notify the
1489	Commissioner of Education and the Legislative Auditing
1490	Committee, when one or more of the conditions specified in
1491	subsection (1) have occurred or will occur if action is not
1492	taken to assist the local governmental entity, charter school,
1493	or district school board. In addition, any state agency must,
1494	within 30 days after a determination that one or more of the
1495	conditions specified in subsection (1) have occurred or will
1496	occur if action is not taken to assist the local governmental
1497	entity, charter school, or district school board, notify the
1498	Governor, charter school sponsor, or the Commissioner of
1499	Education, as appropriate, and the Legislative Auditing
1500	Committee.
1501	(4)  Upon notification that one or more of the conditions
1502	in subsection (1) exist, the charter school sponsor or the
1503	sponsor's designee shall contact the charter school governing
1504	body to determine what actions have been taken by the charter
1505	school governing body to resolve the condition. The charter
1506	school sponsor has the authority to require and approve a
1507	financial recovery plan, to be prepared by the charter school
1508	governing body, prescribing actions that will cause the charter
1509	school to no longer be subject to this section. The Department
1510	of Education shall establish guidelines for developing such
1511	plans.
1512	Section 6.  Subsection (1) of section 218.504, Florida
1513	Statutes, is amended to read:
1514	218.504  Cessation of state action.--The Governor or the
1515	Commissioner of Education, as appropriate, has the authority to
1516	terminate all state actions pursuant to ss. 218.50-218.504.
1517	Cessation of state action must not occur until the Governor or
1518	the Commissioner of Education, as appropriate, has determined
1519	that:
1520	(1)  The local governmental entity, charter school, or
1521	district school board:
1522	(a)  Has established and is operating an effective
1523	financial accounting and reporting system.
1524	(b)  Has resolved the conditions outlined in s. 218.503(1).
1525	Section 7.  Paragraph (e) of subsection (7) and subsection
1526	(8) of section 11.45, Florida Statutes, are amended to read:
1527	11.45  Definitions; duties; authorities; reports; rules.--
1528	(7)  AUDITOR GENERAL REPORTING REQUIREMENTS.--
1529	(e)  The Auditor General shall notify the Governor or the
1530	Commissioner of Education, as appropriate, and the Legislative
1531	Auditing Committee of any audit report reviewed by the Auditor
1532	General pursuant to paragraph (b) which contains a statement
1533	that a local governmental entity, charter school, or district
1534	school board has met one or more of the conditions specified in
1535	s. 218.503. If the Auditor General requests a clarification
1536	regarding information included in an audit report to determine
1537	whether a local governmental entity, charter school, or district
1538	school board has met one or more of the conditions specified in
1539	s. 218.503, the requested clarification must be provided within
1540	45 days after the date of the request. If the local governmental
1541	entity, charter school, or district school board does not comply
1542	with the Auditor General's request, the Auditor General shall
1543	notify the Legislative Auditing Committee. If, after obtaining
1544	the requested clarification, the Auditor General determines that
1545	the local governmental entity, charter school, or district
1546	school board has met one or more of the conditions specified in
1547	s. 218.503, he or she shall notify the Governor or the
1548	Commissioner of Education, as appropriate, and the Legislative
1549	Auditing Committee.
1550	(8)  RULES OF THE AUDITOR GENERAL.--The Auditor General, in
1551	consultation with the Board of Accountancy, shall adopt rules
1552	for the form and conduct of all financial audits performed by
1553	independent certified public accountants pursuant to ss.
1554	215.981, 218.39, 1001.453, 1004.28, and 1004.70. The rules for
1555	audits of local governmental entities, charter schools, and
1556	district school boards must include, but are not limited to,
1557	requirements for the reporting of information necessary to carry
1558	out the purposes of the Local Governmental Entity, Charter
1559	School, and District School Board Financial Emergencies Act as
1560	stated in s. 218.501.
1561	Section 8.  Paragraph (a) of subsection (9) and paragraph
1562	(b) of subsection (11) of section 1002.32, Florida Statutes, are
1563	amended to read:
1564	1002.32  Developmental research (laboratory) schools.--
1565	(9)  FUNDING.--Funding for a lab school, including a
1566	charter lab school, shall be provided as follows:
1567	(a)  Each lab school shall be allocated its proportional
1568	share of operating funds from the Florida Education Finance
1569	Program as provided in s. 1011.62 based on the county in which
1570	the lab school is located and the General Appropriations Act.
1571	The nonvoted ad valorem millage that would otherwise be required
1572	for lab schools shall be allocated from state funds. The
1573	required local effort funds calculated pursuant to s. 1011.62
1574	shall be allocated from state funds to the schools as a part of
1575	the allocation of operating funds pursuant to s. 1011.62. Each
1576	eligible lab school in operation as of September 1, 2002, shall
1577	also receive a proportional share of the sparsity supplement as
1578	calculated pursuant to s. 1011.62. In addition, each lab school
1579	shall receive its proportional share of all categorical funds,
1580	with the exception of s. 1011.68, and new categorical funds
1581	enacted after July 1, 1994, for the purpose of elementary or
1582	secondary academic program enhancement. However, if a lab
1583	school, in the fulfillment of its requirements to have a
1584	representative student population pursuant to subsection (4),
1585	elects to provide student transportation, the lab school shall
1586	be eligible for funding pursuant to s. 1011.68. The sum of funds
1587	available as provided in this paragraph shall be included
1588	annually in the Florida Education Finance Program and
1589	appropriate categorical programs funded in the General
1590	Appropriations Act.
1591	(11)  EXCEPTIONS TO LAW.--To encourage innovative practices
1592	and facilitate the mission of the lab schools, in addition to
1593	the exceptions to law specified in s. 1001.23(2), the following
1594	exceptions shall be permitted for lab schools:
1595	(b)  With the exception of s. 1001.42(16), s. 1001.42 shall
1596	be held in abeyance, except that a lab school, in the
1597	fulfillment of its requirements to have a representative student
1598	population pursuant to subsection (4), may elect to provide
1599	transportation in accordance with s. 1001.42(8). Reference to
1600	district school boards in s. 1001.42(16) shall mean the
1601	president of the university or the president's designee.
1602	Section 9.  Subsection (3) of section 1003.05, Florida
1603	Statutes, is amended to read:
1604	1003.05  Assistance to transitioning students from military
1605	families.--
1606	(3)  Dependent children of active duty military personnel
1607	who otherwise meet the eligibility criteria for special academic
1608	programs offered through public schools shall be given first
1609	preference for admission to such programs even if the program is
1610	being offered through a public school other than the school to
1611	which the student would generally be assigned and the school at
1612	which the program is being offered has reached its maximum
1613	enrollment. If such a program is offered through a public school
1614	other than the school to which the student would generally be
1615	assigned, the parent or guardian of the student must assume
1616	responsibility for transporting the student to that school. For
1617	purposes of this subsection, special academic programs include
1618	charter schools, magnet schools, advanced studies programs,
1619	advanced placement, dual enrollment, and International
1620	Baccalaureate.
1621	Section 10.  Effective July 1, 2007, subsection (2) of
1622	section 1012.74, Florida Statutes, is amended to read:
1623	1012.74  Florida educators professional liability insurance
1624	protection.--
1625	(2)(a)  Educator professional liability coverage for all
1626	instructional personnel, including charter school instructional
1627	personnel, as defined by s. 1012.01(2), who are full-time
1628	personnel, as defined by the district school board policy, shall
1629	be provided by specific appropriations under the General
1630	Appropriations Act.
1631	(b)  Educator professional liability coverage shall be
1632	extended at cost to all instructional personnel, including
1633	charter school instructional personnel, as defined by s.
1634	1012.01(2), who are part-time personnel, as defined by the
1635	district school board policy, and choose to participate in the
1636	state-provided program.
1637	(c)  Educator professional liability coverage shall be
1638	extended at cost to all administrative personnel, including
1639	administrative personnel in charter schools, as defined by s.
1640	1012.01(3), who choose to participate in the state-provided
1641	program.
1642	Section 11.  Section 1013.62, Florida Statutes, is amended
1643	to read:
1644	1013.62  Charter schools capital outlay funding.--
1645	(1)  In each year in which funds are appropriated for
1646	charter school capital outlay purposes, the Commissioner of
1647	Education shall allocate the funds among eligible charter
1648	schools. To be eligible for a funding allocation, a charter
1649	school must be one of the following:
1650	(a)  The same school that received capital outlay funding
1651	in the 2002-2003 fiscal year.
1652	(b)  A charter school that is an expanded feeder pattern of
1653	a charter school that received capital outlay funding in the
1654	2002-2003 fiscal year.
1655	(2)  If an appropriation for charter school capital outlay
1656	funds is less than the appropriation in the 2002-2003 fiscal
1657	year, the funds shall be prorated among schools eligible
1658	pursuant to subsection (1).
1659	(3)  If an appropriation for charter school capital outlay
1660	funds is greater than the appropriation in the 2002-2003 fiscal
1661	year, the funds shall be allocated to schools eligible pursuant
1662	to subsection (1) and to charter schools that:
1663	(a)1.  Have been in operation for 3 or more years;
1664	2.  Are Be an expanded feeder chain of a charter school
1665	within the same school district that is currently receiving
1666	charter school capital outlay funds; or
1667	3.  Have been accredited by the Commission on Schools of
1668	the Southern Association of Colleges and Schools.
1669	(b)  Have financial stability for future operation as a
1670	charter school.
1671	(c)  Have received a school grade of "A" or "B," pursuant
1672	to s. 1008.34, during at least 3 of the past 4 school years
1673	satisfactory student achievement based on state accountability
1674	standards applicable to the charter school.
1675	(d)  Have received final approval from its sponsor pursuant
1676	to s. 1002.33 for operation during that fiscal year.
1677	(e)  Serve students in facilities that are not provided by
1678	the charter school's sponsor.
1679
1680	First priority for allocating the amount in excess of the
1681	appropriation for the 2002-2003 fiscal year shall be to prorate
1682	the excess funds among charter schools with long-term debt or
1683	long-term leases to the extent that the initial allocation is
1684	insufficient to provide one-fifteenth of the cost-per-student
1685	station specified in s. 1013.64(6)(b) and second priority shall
1686	be to other eligible charter schools. Prior to the release of
1687	capital outlay funds to a school district on behalf of the
1688	charter school, the Department of Education shall ensure that
1689	the district school board and the charter school governing board
1690	enter into a written agreement that includes provisions for the
1691	reversion of any unencumbered funds and all equipment and
1692	property purchased with public education funds to the ownership
1693	of the district school board, as provided for in subsection (5)
1694	(3), in the event that the school terminates operations. Any
1695	funds recovered by the state shall be deposited in the General
1696	Revenue Fund. A charter school is not eligible for a funding
1697	allocation if it was created by the conversion of a public
1698	school and operates in facilities provided by the charter
1699	school's sponsor for a nominal fee or at no charge or if it is
1700	directly or indirectly operated by the school district. Unless
1701	otherwise provided in the General Appropriations Act, the
1702	funding allocation for each eligible charter school shall be
1703	determined by multiplying the school's projected student
1704	enrollment by one-fifteenth of the cost-per-student station
1705	specified in s. 1013.64(6)(b) for an elementary, middle, or high
1706	school, as appropriate. If the funds appropriated are not
1707	sufficient, the commissioner shall prorate the available funds
1708	among eligible charter schools. However, no charter school or
1709	charter lab school shall receive state charter school capital
1710	outlay funds in excess of the one-fifteenth cost per student
1711	station formula if the charter school's combination of state
1712	charter school capital outlay funds, capital outlay funds
1713	calculated through the reduction in the administrative fee
1714	provided in s. 1002.33(20), and capital outlay funds allowed in
1715	s. 1002.32(9)(e) and (h) exceeds the one-fifteenth cost per
1716	student station formula. Funds shall be distributed on the basis
1717	of the capital outlay full-time equivalent membership by grade
1718	level, which shall be calculated by averaging the results of the
1719	second and third enrollment surveys. The Department of Education
1720	shall distribute capital outlay funds monthly, beginning in the
1721	first quarter of the fiscal year, based on one-twelfth of the
1722	amount the department reasonably expects the charter school to
1723	receive during that fiscal year. The commissioner shall adjust
1724	subsequent distributions as necessary to reflect each charter
1725	school's actual student enrollment as reflected in the second
1726	and third enrollment surveys. The commissioner shall establish
1727	the intervals and procedures for determining the projected and
1728	actual student enrollment of eligible charter schools.
1729	(4)(2)  A charter school's governing body may use charter
1730	school capital outlay funds for the following purposes:
1731	(a)  Purchase of real property.
1732	(b)  Construction of school facilities.
1733	(c)  Purchase, lease-purchase, or lease of permanent or
1734	relocatable school facilities.
1735	(d)  Purchase of vehicles to transport students to and from
1736	the charter school.
1737	(e)  Renovation, repair, furnishing, and maintenance of
1738	school facilities that the charter school owns or is purchasing
1739	through a lease-purchase or long-term lease of 5 years or longer
1740	and purchasing equipment for such facilities.
1741
1742	Conversion charter schools may use capital outlay funds received
1743	through the reduction in the administrative fee provided in s.
1744	1002.33(20) for renovation, repair, and maintenance of school
1745	facilities that are owned by the sponsor.
1746	(5)(3)  When a charter school is nonrenewed or terminated,
1747	any unencumbered funds and all equipment and property purchased
1748	with district public funds shall revert to the ownership of the
1749	district school board, as provided for in s. 1002.33(8)(e) and
1750	(f). In the case of a charter lab school, any unencumbered funds
1751	and all equipment and property purchased with university public
1752	funds shall revert to the ownership of the state university that
1753	issued the charter. The reversion of such equipment, property,
1754	and furnishings shall focus on recoverable assets, but not on
1755	intangible or irrecoverable costs such as rental or leasing
1756	fees, normal maintenance, and limited renovations. The reversion
1757	of all property secured with public funds is subject to the
1758	complete satisfaction of all lawful liens or encumbrances. If
1759	there are additional local issues such as the shared use of
1760	facilities or partial ownership of facilities or property, these
1761	issues shall be agreed to in the charter contract prior to the
1762	expenditure of funds.
1763	(6)(4)  The Commissioner of Education shall specify
1764	procedures for submitting and approving requests for funding
1765	under this section and procedures for documenting expenditures.
1766	(7)(5)  The annual legislative budget request of the
1767	Department of Education shall include a request for capital
1768	outlay funding for charter schools. The request shall be based
1769	on the projected number of students to be served in charter
1770	schools who meet the eligibility requirements of this section. A
1771	dedicated funding source, if identified in writing by the
1772	Commissioner of Education and submitted along with the annual
1773	charter school legislative budget request, may be considered an
1774	additional source of funding.
1775	(8)(6)  Unless authorized otherwise by the Legislature,
1776	allocation and proration of charter school capital outlay funds
1777	shall be made to eligible charter schools by the Commissioner of
1778	Education in an amount and in a manner authorized by subsections
1779	(2) and (3) subsection (1).
1780	(7)  Notwithstanding the provisions of this section,
1781	beginning in the 2003-2004 fiscal year:
1782	(a)  If the appropriation for charter school capital outlay
1783	funds is no greater than the 2002-2003 appropriation, the funds
1784	shall be allocated according to the formula outlined in
1785	subsection (1) to:
1786	1.  The same schools that received funding in 2002-2003.
1787	2.  Schools that are an expanded feeder pattern of schools
1788	that received funding in 2002-2003.
1789	3.  Schools that have an approved charter and are serving
1790	students at the start of the 2003-2004 school year and either
1791	incurred long-term financial obligations prior to January 31,
1792	2003, or began construction on educational facilities prior to
1793	December 31, 2002.
1794	(b)  If the appropriation for charter school capital outlay
1795	funds is less than the 2002-2003 appropriation, the funds shall
1796	be prorated among the schools eligible in paragraph (a).
1797	(c)  If the appropriation for charter school capital outlay
1798	funds is greater than the 2002-2003 appropriation, the amount of
1799	funds provided in the 2002-2003 appropriation shall be allocated
1800	according to paragraph (a). First priority for allocating the
1801	amount in excess of the 2002-2003 appropriation shall be to
1802	prorate the excess funds among the charter schools with long-
1803	term debt or long-term lease to the extent that the initial
1804	allocation is insufficient to provide one-fifteenth of the cost
1805	per student station specified in s. 1013.64(6)(b), and second
1806	priority shall be to other eligible charter schools.
1807	Section 12.  Except as otherwise expressly provided in this
1808	act, this act shall take effect July 1, 2006.

CODING: Words stricken are deletions; words underlined are additions.