CS/HB 7195

1
A bill to be entitled
2An act relating to school choice; creating s. 1002.331,
3F.S.; establishing criteria for high-performing charter
4schools; authorizing a high-performing charter school to
5increase enrollment, expand grade levels served,
6consolidate the charters of certain charter schools,
7receive a 15-year charter renewal, and report financial
8statements on a quarterly basis; authorizing a high-
9performing charter school to apply to establish a charter
10school that replicates its educational program; providing
11application requirements; limiting the number of charter
12schools that may be established; requiring eligibility
13verification by the Commissioner of Education; creating s.
141002.332, F.S.; providing definitions; establishing
15criteria for high-performing charter school systems;
16providing for eligibility verification by the Commissioner
17of Education; authorizing a high-performing charter school
18system to apply to establish a charter school that
19replicates the educational program of one or more of its
20existing high-performing charter schools; providing
21application requirements; limiting the number of charter
22schools that may be established; amending s. 1002.33,
23F.S.; authorizing a charter school operated by a Florida
24College System institution to serve students in
25kindergarten through grade 12 if certain criteria are met;
26requiring a charter school sponsor to allow a charter
27school applicant to correct technical deficiencies in its
28application before approval or denial; establishing
29standards for sponsor review of a charter school
30application submitted by a high-performing charter school
31or high-performing charter school system; authorizing
32direct appeal to the State Board of Education of a denial
33of an application; establishing standards for reviewing
34such an appeal; revising applicant training requirements;
35requiring inclusion in the charter of procedures relating
36to high-performing charter schools; authorizing a sponsor
37to require certain governing board members to reside in
38the school district; revising the procedure for nonrenewal
39or termination of a charter; authorizing a charter
40school's governing board to request a hearing regarding
41charter nonrenewal or termination, including immediate
42termination; authorizing the sponsor to choose to provide
43a direct hearing or a hearing before an administrative law
44judge; authorizing the award of costs and attorney's fees
45to a charter school governing board if certain criteria
46are met; authorizing quarterly financial reporting for
47certain charter schools; establishing additional student
48enrollment preferences; correcting a cross-reference
49relating to the disclosure of financial interests;
50providing requirements for the shared use of charter
51school facilities; authorizing certain charter school
52systems to be the local education agency for administering
53federal funding received by the system's schools;
54requiring the Department of Education to examine certain
55charter school funding and costs and report its findings
56to the Governor and the Legislature; providing an
57effective date.
58
59Be It Enacted by the Legislature of the State of Florida:
60
61     Section 1.  Section 1002.331, Florida Statutes, is created
62to read:
63     1002.331  High-performing charter schools.-
64     (1)  A charter school is a high-performing charter school
65if it:
66     (a)  Received at least two school grades of "A" and no
67school grade below "B," pursuant to s. 1008.34, during each of
68the previous 3 school years.
69     (b)  Received an unqualified opinion on each annual
70financial audit required under s. 218.39 in the most recent 3
71fiscal years for which such audits are available.
72     (c)  Did not receive a financial audit that revealed one or
73more of the financial emergency conditions set forth in s.
74218.503(1) in the most recent 3 fiscal years for which such
75audits are available. However, the condition is deemed met for a
76charter school-in-the-workplace if there is a finding in an
77audit that the school has the monetary resources available to
78cover any reported deficiency or that the deficiency does not
79result in a deteriorating financial condition pursuant to s.
801002.345(1)(a)3.
81
82A virtual charter school established under s. 1002.33 is not
83eligible for designation as a high-performing charter school.
84     (2)  A high-performing charter school may:
85     (a)  Increase its student enrollment once per school year
86by up to 15 percent more than the capacity determined in the
87charter.
88     (b)  Expand grade levels within kindergarten through grade
8912 to add grade levels not already served if any annual
90enrollment increase resulting from grade level expansion is
91within the limit established in paragraph (a).
92     (c)  Submit a quarterly, rather than a monthly, financial
93statement to the sponsor pursuant to s. 1002.33(9)(g).
94     (d)  Consolidate under a single charter the charters of
95multiple high-performing charter schools operated in the same
96school district by the charter schools' governing board
97regardless of the renewal cycle.
98     (e)  Receive a 15-year charter renewal. The charter may be
99renewed for a shorter term at the option of the high-performing
100charter school. The charter is subject to annual review by the
101sponsor and may be terminated during its term pursuant to s.
1021002.33(8).
103
104A high-performing charter school shall notify its sponsor in
105writing by March 1 if it intends to increase enrollment or
106expand grade levels the following school year. The written
107notice shall specify the amount of the enrollment increase and
108the grade levels that will be added, as applicable.
109     (3)(a)  A high-performing charter school may submit an
110application pursuant to s. 1002.33(6) in any school district in
111the state to establish and operate a new charter school that
112will substantially replicate its educational program. An
113application submitted by a high-performing charter school must
114state that the application is being submitted pursuant to this
115paragraph and must include the verification letter provided by
116the Commissioner of Education pursuant to subsection (5). If the
117sponsor fails to act on the application within 60 days after
118receipt, the application is deemed approved and the procedure in
119s. 1002.33(6)(h) applies. If the sponsor denies the application,
120the high-performing charter school may appeal pursuant to s.
1211002.33(6).
122     (b)  A high-performing charter school may not establish
123more than one charter school within the state under paragraph
124(a) in any year. A subsequent application to establish a charter
125school under paragraph (a) may not be submitted unless each
126charter school established in this manner achieves high-
127performing charter school status. A charter school established
128under paragraph (a) must meet class size requirements
129established under s. 1003.03, calculated at the classroom level.
130     (4)  A high-performing charter school may not increase
131enrollment or expand grade levels following any school year in
132which it receives a school grade of "C" or below. If the charter
133school receives a school grade of "C" or below in any 2 years
134during the term of the charter awarded under subsection (2), the
135term of the charter may be modified by the sponsor and the
136charter school loses its high-performing charter school status
137until it regains that status under subsection (1).
138     (5)  The Commissioner of Education, upon request by a
139charter school, shall verify that the charter school meets the
140criteria in subsection (1) and provide a letter to the charter
141school and the sponsor stating that the charter school is a
142high-performing charter school pursuant to this section.
143     (6)  A high-performing charter school replicated under this
144section may not be replicated as a virtual charter school.
145     Section 2.  Section 1002.332, Florida Statutes, is created
146to read:
147     1002.332  High-performing charter school system.-
148     (1)  For purposes of this section, the term:
149     (a)  "Entity" means a municipality or other public entity
150that is authorized by law to operate a charter school or is a
151private, nonprofit corporation with tax-exempt status under s.
152501(c)(3) of the Internal Revenue Code.
153     (b)  "High-performing charter school system" means an
154entity that:
155     1.  Operates at least three high-performing charter schools
156in the state.
157     2.  Operates a system of charter schools in which, during
158each of the previous 3 school years, at least 50 percent of the
159charter schools received a school grade of "A" and no charter
160school received a school grade below "B," pursuant to s.
1611008.34.
162     a.  If the entity has assumed operation of a public school
163with a school grade of "C," that school's grade shall not be
164considered in determining high-performing charter school system
165status if the school attains and maintains a school grade of "B"
166or higher within 3 years after the entity assumes operation of
167the school. The charter school's grade shall be considered for
168purposes of this sub-subparagraph beginning in year 4 after
169operations have been assumed.
170     b.  If the entity has assumed operation of a public school
171with a school grade of "D" or "F," that school's grade shall not
172be considered in determining high-performing charter school
173system status if the school attains and maintains an increase in
174the school's grade within 3 years after the entity assumes
175operation of the school and attains and maintains a school grade
176of "B" or higher within 5 years after the entity assumes
177operation of the school. The charter school's grade shall be
178considered for purposes of this sub-subparagraph beginning in
179year 6 after operations have been assumed.
180     c.  If the entity establishes a new charter school that
181serves a student population the majority of which resides in a
182school zone served by a public school that is identified as
183lowest performing under s. 1008.33(4)(b), that charter school's
184grade shall not be considered in determining high-performing
185charter school system status if it attains and maintains a
186school grade that is higher than that of the public school
187serving that school zone within 3 years after establishment and
188attains and maintains a school grade of "B" or higher within 5
189years after establishment. The charter school's grade shall be
190considered for purposes of this sub-subparagraph beginning in
191year 6 after operations have been assumed.
192     3.  Has not received a financial audit that revealed one or
193more of the financial emergency conditions set forth in s.
194218.503(1) for any charter school assumed or established by the
195entity.
196     (2)(a)  The Commissioner of Education, upon request by an
197entity, shall verify that the entity meets the criteria in
198subsection (1) and provide a letter to the entity stating that
199it is a high-performing charter school system.
200     (b)  A high-performing charter school system may submit an
201application pursuant to s. 1002.33(6) in any school district in
202the state to establish and operate a new charter school that
203will substantially replicate the educational program of one or
204more of its existing high-performing charter schools. An
205application submitted by a high-performing charter school system
206must state that the application is being submitted pursuant to
207this paragraph and must include the verification letter provided
208by the Commissioner of Education pursuant to paragraph (a). If
209the sponsor fails to act on the application within 60 days after
210receipt, the application is deemed approved and the procedure in
211s. 1002.33(6)(h) applies. If the sponsor denies the application,
212the high-performing charter school system may appeal pursuant to
213s. 1002.33(6).
214     (c)  A high-performing charter school system may not
215establish more than one charter school in a school district in
216any one year under paragraph (b). An application to establish a
217subsequent charter school under paragraph (b) in a school
218district may not be submitted unless each charter school
219established in the district in this manner achieves high-
220performing charter school status. A charter school established
221under paragraph (b) must meet class size requirements
222established under s. 1003.03, calculated at the classroom level.
223     (3)  A high-performing charter school replicated under this
224section may not be replicated as a virtual charter school.
225     Section 3.  Paragraph (b) of subsection (5), paragraphs
226(b), (c), (e), and (f) of subsection (6), subsection (7),
227paragraphs (b), (c), and (d) of subsection (8), paragraph (g) of
228subsection (9), paragraph (d) of subsection (10), and paragraph
229(b) of subsection (25) of section 1002.33, Florida Statutes, are
230amended, subsection (26) is renumbered as subsection (28), and
231new subsections (26) and (27) are added to that section, to
232read:
233     1002.33  Charter schools.-
234     (5)  SPONSOR; DUTIES.-
235     (b)  Sponsor duties.-
236     1.a.  The sponsor shall monitor and review the charter
237school in its progress toward the goals established in the
238charter.
239     b.  The sponsor shall monitor the revenues and expenditures
240of the charter school and perform the duties provided in s.
2411002.345.
242     c.  The sponsor may approve a charter for a charter school
243before the applicant has identified space, equipment, or
244personnel, if the applicant indicates approval is necessary for
245it to raise working funds.
246     d.  The sponsor's policies shall not apply to a charter
247school unless mutually agreed to by both the sponsor and the
248charter school.
249     e.  The sponsor shall ensure that the charter is innovative
250and consistent with the state education goals established by s.
2511000.03(5).
252     f.  The sponsor shall ensure that the charter school
253participates in the state's education accountability system. If
254a charter school falls short of performance measures included in
255the approved charter, the sponsor shall report such shortcomings
256to the Department of Education.
257     g.  The sponsor shall not be liable for civil damages under
258state law for personal injury, property damage, or death
259resulting from an act or omission of an officer, employee,
260agent, or governing body of the charter school.
261     h.  The sponsor shall not be liable for civil damages under
262state law for any employment actions taken by an officer,
263employee, agent, or governing body of the charter school.
264     i.  The sponsor's duties to monitor the charter school
265shall not constitute the basis for a private cause of action.
266     j.  The sponsor shall not impose additional reporting
267requirements on a charter school without providing reasonable
268and specific justification in writing to the charter school.
269     2.  Immunity for the sponsor of a charter school under
270subparagraph 1. applies only with respect to acts or omissions
271not under the sponsor's direct authority as described in this
272section.
273     3.  This paragraph does not waive a district school board's
274sovereign immunity.
275     4.  A community college may work with the school district
276or school districts in its designated service area to develop
277charter schools that offer secondary education. These charter
278schools must include an option for students to receive an
279associate degree upon high school graduation. A Florida College
280System institution may operate no more than one charter school
281that serves students in kindergarten through grade 12 if the
282institution operates an approved teacher preparation program
283under s. 1004.04 or s. 1004.85. District school boards shall
284cooperate with and assist the community college on the charter
285application. Community college applications for charter schools
286are not subject to the time deadlines outlined in subsection (6)
287and may be approved by the district school board at any time
288during the year. Community colleges may not report FTE for any
289students who receive FTE funding through the Florida Education
290Finance Program.
291     (6)  APPLICATION PROCESS AND REVIEW.-Charter school
292applications are subject to the following requirements:
293     (b)  A sponsor shall receive and review all applications
294for a charter school using an evaluation instrument developed by
295the Department of Education. Beginning with the 2007-2008 school
296year, A sponsor shall receive and consider charter school
297applications received on or before August 1 of each calendar
298year for charter schools to be opened at the beginning of the
299school district's next school year, or to be opened at a time
300agreed to by the applicant and the sponsor. A sponsor may
301receive applications later than this date if it chooses. A
302sponsor may not charge an applicant for a charter any fee for
303the processing or consideration of an application, and a sponsor
304may not base its consideration or approval of an application
305upon the promise of future payment of any kind. Before approving
306or denying any application, the sponsor shall allow the
307applicant, upon receipt of written notification, at least 7
308calendar days to make technical or nonsubstantive corrections
309and clarifications, including, but not limited to, corrections
310of grammatical, typographical, and like errors or missing
311signatures, if such errors are identified by the sponsor as
312cause to deny the application.
313     1.  In order to facilitate an accurate budget projection
314process, a sponsor shall be held harmless for FTE students who
315are not included in the FTE projection due to approval of
316charter school applications after the FTE projection deadline.
317In a further effort to facilitate an accurate budget projection,
318within 15 calendar days after receipt of a charter school
319application, a sponsor shall report to the Department of
320Education the name of the applicant entity, the proposed charter
321school location, and its projected FTE.
322     2.  In order to ensure fiscal responsibility, an
323application for a charter school shall include a full accounting
324of expected assets, a projection of expected sources and amounts
325of income, including income derived from projected student
326enrollments and from community support, and an expense
327projection that includes full accounting of the costs of
328operation, including start-up costs.
329     3.a.  A sponsor shall by a majority vote approve or deny an
330application no later than 60 calendar days after the application
331is received, unless the sponsor and the applicant mutually agree
332in writing to temporarily postpone the vote to a specific date,
333at which time the sponsor shall by a majority vote approve or
334deny the application. If the sponsor fails to act on the
335application, an applicant may appeal to the State Board of
336Education as provided in paragraph (c). If an application is
337denied, the sponsor shall, within 10 calendar days after such
338denial, articulate in writing the specific reasons, based upon
339good cause, supporting its denial of the charter application and
340shall provide the letter of denial and supporting documentation
341to the applicant and to the Department of Education supporting
342those reasons.
343     b.  An application submitted by a high-performing charter
344school identified pursuant to s. 1002.331 or a high-performing
345charter school system identified pursuant to s. 1002.332 may be
346denied by the sponsor only if the sponsor demonstrates by clear
347and convincing evidence that:
348     (I)  The application does not materially comply with the
349requirements in paragraph (a);
350     (II)  The charter school proposed in the application does
351not materially comply with the requirements in paragraphs
352(9)(a)-(f);
353     (III)  The proposed charter school's educational program
354does not substantially replicate that of the applicant or one of
355the applicant's high-performing charter schools;
356     (IV)  The applicant has made a material misrepresentation
357or false statement or concealed an essential or material fact
358during the application process; or
359     (V)  The proposed charter school's educational program and
360financial management practices do not materially comply with the
361requirements of this section.
362
363Material noncompliance is a failure to follow requirements or a
364violation of prohibitions applicable to charter school
365applications, which failure is quantitatively or qualitatively
366significant either individually or when aggregated with other
367noncompliance. An applicant is considered to be replicating a
368high-performing charter school if the proposed school is
369substantially similar to at least one of the applicant's high-
370performing charter schools and the organization or individuals
371involved in the establishment and operation of the proposed
372school are significantly involved in the operation of replicated
373schools.
374     c.  If the sponsor denies an application submitted by a
375high-performing charter school or a high-performing charter
376school system, the sponsor must, within 10 calendar days after
377such denial, state in writing the specific reasons, based upon
378the criteria in sub-subparagraph b., supporting its denial of
379the application and must provide the letter of denial and
380supporting documentation to the applicant and to the Department
381of Education. The applicant may appeal the sponsor's denial of
382the application directly to the State Board of Education for
383review pursuant to sub-subparagraph (c)3.b.
384     4.  For budget projection purposes, the sponsor shall
385report to the Department of Education the approval or denial of
386a charter application within 10 calendar days after such
387approval or denial. In the event of approval, the report to the
388Department of Education shall include the final projected FTE
389for the approved charter school.
390     5.  Upon approval of a charter application, the initial
391startup shall commence with the beginning of the public school
392calendar for the district in which the charter is granted unless
393the sponsor allows a waiver of this subparagraph for good cause.
394     (c)1.  An applicant may appeal any denial of that
395applicant's application or failure to act on an application to
396the State Board of Education no later than 30 calendar days
397after receipt of the sponsor's decision or failure to act and
398shall notify the sponsor of its appeal. Any response of the
399sponsor shall be submitted to the State Board of Education
400within 30 calendar days after notification of the appeal. Upon
401receipt of notification from the State Board of Education that a
402charter school applicant is filing an appeal, the Commissioner
403of Education shall convene a meeting of the Charter School
404Appeal Commission to study and make recommendations to the State
405Board of Education regarding its pending decision about the
406appeal. The commission shall forward its recommendation to the
407state board no later than 7 calendar days prior to the date on
408which the appeal is to be heard.
409     2.  The Charter School Appeal Commission may reject an
410appeal submission for failure to comply with procedural rules
411governing the appeals process. The rejection shall describe the
412submission errors. The appellant shall have 15 calendar days
413after notice of rejection in which to resubmit an appeal that
414meets the requirements set forth in State Board of Education
415rule. An appeal submitted subsequent to such rejection is
416considered timely if the original appeal was filed within 30
417calendar days after receipt of notice of the specific reasons
418for the sponsor's denial of the charter application.
419     3.a.  The State Board of Education shall by majority vote
420accept or reject the decision of the sponsor no later than 90
421calendar days after an appeal is filed in accordance with State
422Board of Education rule. The Charter School Appeal Commission
423may reject an appeal submission for failure to comply with
424procedural rules governing the appeals process. The rejection
425shall describe the submission errors. The appellant may have up
426to 15 calendar days from notice of rejection to resubmit an
427appeal that meets requirements of State Board of Education rule.
428An application for appeal submitted subsequent to such rejection
429shall be considered timely if the original appeal was filed
430within 30 calendar days after receipt of notice of the specific
431reasons for the sponsor's denial of the charter application. The
432State Board of Education shall remand the application to the
433sponsor with its written decision that the sponsor approve or
434deny the application. The sponsor shall implement the decision
435of the State Board of Education. The decision of the State Board
436of Education is not subject to the provisions of the
437Administrative Procedure Act, chapter 120.
438     b.  If an appeal concerns an application submitted by a
439high-performing charter school identified pursuant to s.
4401002.331 or a high-performing charter school system identified
441pursuant to s. 1002.332, the State Board of Education shall
442review the application denial to determine whether the sponsor
443has shown, by clear and convincing evidence, that:
444     (I)  The application does not materially comply with the
445requirements in paragraph (a);
446     (II)  The charter school proposed in the application does
447not materially comply with the requirements in paragraphs
448(9)(a)-(f);
449     (III)  The proposed charter school's educational program
450does not substantially replicate that of the applicant or one of
451the applicant's high-performing charter schools;
452     (IV)  The applicant has made a material misrepresentation
453or false statement or concealed an essential or material fact
454during the application process; or
455     (V)  The proposed charter school's educational program and
456financial management practices do not materially comply with the
457requirements of this section.
458
459The State Board of Education shall approve or reject the
460sponsor's denial of an application no later than 90 calendar
461days after an appeal is filed in accordance with State Board of
462Education rule. The State Board of Education shall remand the
463application to the sponsor with its written decision that the
464sponsor approve or deny the application. The sponsor shall
465implement the decision of the State Board of Education. The
466decision of the State Board of Education is not subject to the
467Administrative Procedure Act, chapter 120.
468     (e)1.  A Charter School Appeal Commission is established to
469assist the commissioner and the State Board of Education with a
470fair and impartial review of appeals by applicants whose charter
471applications have been denied, whose charter contracts have not
472been renewed, or whose charter contracts have been terminated by
473their sponsors.
474     2.  The Charter School Appeal Commission may receive copies
475of the appeal documents forwarded to the State Board of
476Education, review the documents, gather other applicable
477information regarding the appeal, and make a written
478recommendation to the commissioner. The recommendation must
479state whether the appeal should be upheld or denied and include
480the reasons for the recommendation being offered. The
481commissioner shall forward the recommendation to the State Board
482of Education no later than 7 calendar days prior to the date on
483which the appeal is to be heard. The state board must consider
484the commission's recommendation in making its decision, but is
485not bound by the recommendation. The decision of the Charter
486School Appeal Commission is not subject to the provisions of the
487Administrative Procedure Act, chapter 120.
488     3.  The commissioner shall appoint a number of the members
489to of the Charter School Appeal Commission sufficient to ensure
490that no potential conflict of interest exists for any commission
491appeal decision. Members shall serve without compensation but
492may be reimbursed for travel and per diem expenses in
493conjunction with their service. Of the members present at the
494time of appeal decisions before the commission, one-half of the
495members must represent currently operating charter schools, and
496one-half of the members must represent sponsors. The
497commissioner or a named designee shall chair the Charter School
498Appeal Commission.
499     4.  The chair shall convene meetings of the commission and
500shall ensure that the written recommendations are completed and
501forwarded in a timely manner. In cases where the commission
502cannot reach a decision, the chair shall make the written
503recommendation with justification, noting that the decision was
504rendered by the chair.
505     5.  Commission members shall thoroughly review the
506materials presented to them from the appellant and the sponsor.
507The commission may request information to clarify the
508documentation presented to it. In the course of its review, the
509commission may facilitate the postponement of an appeal in those
510cases where additional time and communication may negate the
511need for a formal appeal and both parties agree, in writing, to
512postpone the appeal to the State Board of Education. A new date
513certain for the appeal shall then be set based upon the rules
514and procedures of the State Board of Education. Commission
515members shall provide a written recommendation to the state
516board as to whether the appeal should be upheld or denied. A
517fact-based justification for the recommendation must be
518included. The chair must ensure that the written recommendation
519is submitted to the State Board of Education members no later
520than 7 calendar days prior to the date on which the appeal is to
521be heard. Both parties in the case shall also be provided a copy
522of the recommendation.
523     (f)1.  The Department of Education shall provide offer or
524arrange for training and technical assistance to charter schools
525school applicants in developing and adjusting business plans and
526accounting for estimating costs and income. Training and
527technical This assistance shall also address, at a minimum,
528state and federal grant and student performance accountability
529reporting requirements and provide assistance in estimating
530startup costs, projecting enrollment, and identifying and
531applying for the types and amounts of state and federal
532financial assistance the charter school may be eligible to
533receive. The department may provide other technical assistance
534to an applicant upon written request.
535     2.  A charter school applicant must participate in the
536training provided by the Department of Education after approval
537of an application but at least 30 calendar days before the first
538day of classes at the charter school before filing an
539application. However, a sponsor may require the charter school
540applicant to attend training provided by the sponsor in lieu of
541the department's training if the sponsor's training standards
542meet or exceed the standards developed by the department of
543Education. In such case, the sponsor may not require the charter
544school applicant to attend the training within 30 calendar days
545before the first day of classes at the charter school. The
546training must shall include instruction in accurate financial
547planning and good business practices. If the applicant is a
548management company or a other nonprofit organization, the
549charter school principal and the chief financial officer or his
550or her equivalent must also participate in the training. A
551sponsor may not require a high-performing charter school or
552high-performing charter school system applicant to participate
553in the training described in this subparagraph more than once.
554     (7)  CHARTER.-The major issues involving the operation of a
555charter school shall be considered in advance and written into
556the charter. The charter shall be signed by the governing board
557body of the charter school and the sponsor, following a public
558hearing to ensure community input.
559     (a)  The charter shall address and criteria for approval of
560the charter shall be based on:
561     1.  The school's mission, the students to be served, and
562the ages and grades to be included.
563     2.  The focus of the curriculum, the instructional methods
564to be used, any distinctive instructional techniques to be
565employed, and identification and acquisition of appropriate
566technologies needed to improve educational and administrative
567performance which include a means for promoting safe, ethical,
568and appropriate uses of technology which comply with legal and
569professional standards. The charter shall ensure that reading is
570a primary focus of the curriculum and that resources are
571provided to identify and provide specialized instruction for
572students who are reading below grade level. The curriculum and
573instructional strategies for reading must be consistent with the
574Sunshine State Standards and grounded in scientifically based
575reading research.
576     3.  The current incoming baseline standard of student
577academic achievement, the outcomes to be achieved, and the
578method of measurement that will be used. The criteria listed in
579this subparagraph shall include a detailed description of:
580     a.  How the baseline student academic achievement levels
581and prior rates of academic progress will be established.
582     b.  How these baseline rates will be compared to rates of
583academic progress achieved by these same students while
584attending the charter school.
585     c.  To the extent possible, how these rates of progress
586will be evaluated and compared with rates of progress of other
587closely comparable student populations.
588
589The district school board is required to provide academic
590student performance data to charter schools for each of their
591students coming from the district school system, as well as
592rates of academic progress of comparable student populations in
593the district school system.
594     4.  The methods used to identify the educational strengths
595and needs of students and how well educational goals and
596performance standards are met by students attending the charter
597school. The methods shall provide a means for the charter school
598to ensure accountability to its constituents by analyzing
599student performance data and by evaluating the effectiveness and
600efficiency of its major educational programs. Students in
601charter schools shall, at a minimum, participate in the
602statewide assessment program created under s. 1008.22.
603     5.  In secondary charter schools, a method for determining
604that a student has satisfied the requirements for graduation in
605s. 1003.43.
606     6.  A method for resolving conflicts between the governing
607board body of the charter school and the sponsor.
608     7.  The admissions procedures and dismissal procedures,
609including the school's code of student conduct.
610     8.  The ways by which the school will achieve a
611racial/ethnic balance reflective of the community it serves or
612within the racial/ethnic range of other public schools in the
613same school district.
614     9.  The financial and administrative management of the
615school, including a reasonable demonstration of the professional
616experience or competence of those individuals or organizations
617applying to operate the charter school or those hired or
618retained to perform such professional services and the
619description of clearly delineated responsibilities and the
620policies and practices needed to effectively manage the charter
621school. A description of internal audit procedures and
622establishment of controls to ensure that financial resources are
623properly managed must be included. Both public sector and
624private sector professional experience shall be equally valid in
625such a consideration.
626     10.  The asset and liability projections required in the
627application which are incorporated into the charter and shall be
628compared with information provided in the annual report of the
629charter school.
630     11.  A description of procedures that identify various
631risks and provide for a comprehensive approach to reduce the
632impact of losses; plans to ensure the safety and security of
633students and staff; plans to identify, minimize, and protect
634others from violent or disruptive student behavior; and the
635manner in which the school will be insured, including whether or
636not the school will be required to have liability insurance,
637and, if so, the terms and conditions thereof and the amounts of
638coverage.
639     12.  The term of the charter which shall provide for
640cancellation of the charter if insufficient progress has been
641made in attaining the student achievement objectives of the
642charter and if it is not likely that such objectives can be
643achieved before expiration of the charter. The initial term of a
644charter shall be for 4 or 5 years. In order to facilitate access
645to long-term financial resources for charter school
646construction, charter schools that are operated by a
647municipality or other public entity as provided by law are
648eligible for up to a 15-year charter, subject to approval by the
649district school board. A charter lab school is eligible for a
650charter for a term of up to 15 years. In addition, to facilitate
651access to long-term financial resources for charter school
652construction, charter schools that are operated by a private,
653not-for-profit, s. 501(c)(3) status corporation are eligible for
654up to a 15-year charter, subject to approval by the district
655school board. Such long-term charters remain subject to annual
656review and may be terminated during the term of the charter, but
657only according to the provisions set forth in subsection (8).
658     13.  The facilities to be used and their location.
659     14.  The qualifications to be required of the teachers and
660the potential strategies used to recruit, hire, train, and
661retain qualified staff to achieve best value.
662     15.  The governance structure of the school, including the
663status of the charter school as a public or private employer as
664required in paragraph (12)(i).
665     16.  A timetable for implementing the charter which
666addresses the implementation of each element thereof and the
667date by which the charter shall be awarded in order to meet this
668timetable.
669     17.  In the case of an existing public school that is being
670converted to charter status, alternative arrangements for
671current students who choose not to attend the charter school and
672for current teachers who choose not to teach in the charter
673school after conversion in accordance with the existing
674collective bargaining agreement or district school board rule in
675the absence of a collective bargaining agreement. However,
676alternative arrangements shall not be required for current
677teachers who choose not to teach in a charter lab school, except
678as authorized by the employment policies of the state university
679which grants the charter to the lab school.
680     18.  Full disclosure of the identity of all relatives
681employed by the charter school who are related to the charter
682school owner, president, chairperson of the governing board of
683directors, superintendent, governing board member, principal,
684assistant principal, or any other person employed by the charter
685school who has equivalent decisionmaking authority. For the
686purpose of this subparagraph, the term "relative" means father,
687mother, son, daughter, brother, sister, uncle, aunt, first
688cousin, nephew, niece, husband, wife, father-in-law, mother-in-
689law, son-in-law, daughter-in-law, brother-in-law, sister-in-law,
690stepfather, stepmother, stepson, stepdaughter, stepbrother,
691stepsister, half brother, or half sister.
692     19.  Implementation of the activities authorized under s.
6931002.331 by the charter school when it satisfies the eligibility
694requirements for a high-performing charter school. A high-
695performing charter school shall notify its sponsor in writing by
696March 1 if it intends to increase enrollment or expand grade
697levels the following school year. The written notice shall
698specify the amount of the enrollment increase and the grade
699levels that will be added, as applicable.
700     (b)1.  A charter may be renewed provided that a program
701review demonstrates that the criteria in paragraph (a) have been
702successfully accomplished and that none of the grounds for
703nonrenewal established by paragraph (8)(a) has been documented.
704In order to facilitate long-term financing for charter school
705construction, charter schools operating for a minimum of 3 years
706and demonstrating exemplary academic programming and fiscal
707management are eligible for a 15-year charter renewal. Such
708long-term charter is subject to annual review and may be
709terminated during the term of the charter.
710     2.  The 15-year charter renewal that may be granted
711pursuant to subparagraph 1. shall be granted to a charter school
712that has received a school grade of "A" or "B" pursuant to s.
7131008.34 in 3 of the past 4 years and is not in a state of
714financial emergency or deficit position as defined by this
715section. Such long-term charter is subject to annual review and
716may be terminated during the term of the charter pursuant to
717subsection (8).
718     (c)  A charter may be modified during its initial term or
719any renewal term upon the recommendation of the sponsor or the
720charter school governing board and the approval of both parties
721to the agreement.
722     (d)  A school district may require that up to 50 percent of
723a charter school's governing board members reside in the school
724district in which the charter school is located. Each charter
725school's governing board must annually hold at least three
726public meetings in the school district. Such meetings must be
727open and accessible to the public, and attendees must be
728provided an opportunity to receive information and provide input
729regarding the charter school's affairs. A quorum of the
730governing board members must be physically present at each
731meeting.
732     (8)  CAUSES FOR NONRENEWAL OR TERMINATION OF CHARTER.-
733     (b)  At least 90 days prior to renewing or terminating a
734charter, the sponsor shall notify the governing board body of
735the school of the proposed action in writing. The notice shall
736state in reasonable detail the grounds for the proposed action
737and stipulate that the school's governing board body may, within
73814 calendar days after receiving the notice, request a an
739informal hearing. The hearing shall be conducted at the
740sponsor's election in accordance with one of the following
741procedures:
742     1.  A direct hearing conducted by the sponsor within 60
743days after receipt of the request for a hearing. The hearing
744shall be conducted in accordance with ss. 120.569 and 120.57.
745The sponsor shall decide upon nonrenewal or termination by a
746majority vote. The sponsor's decision shall be a final order; or
747     2.  A hearing conducted by an administrative law judge
748assigned by the Division of Administrative Hearings. The hearing
749shall be conducted within 60 days after receipt of the request
750for a hearing in accordance with chapter 120. The recommendation
751of the administrative law judge shall be made to the sponsor. A
752majority vote by the sponsor shall be required to sustain or
753change the administrative law judge's recommendation. The
754determination of the sponsor shall be a final order before the
755sponsor. The sponsor shall conduct the informal hearing within
75630 calendar days after receiving a written request.
757     (c)  The final order shall include the specific reasons for
758nonrenewal or termination of the charter and shall be provided
759to the charter school governing board and the Department of
760Education within 10 calendar days after the final order is
761issued. If a charter is not renewed or is terminated pursuant to
762paragraph (b), the sponsor shall, within 10 calendar days,
763articulate in writing the specific reasons for its nonrenewal or
764termination of the charter and must provide the letter of
765nonrenewal or termination and documentation supporting the
766reasons to the charter school governing body, the charter school
767principal, and the Department of Education. The charter school's
768governing board body may, within 30 calendar days after
769receiving the sponsor's final order written decision to refuse
770to renew or to terminate the charter, appeal the decision
771pursuant to s. 120.68 the procedure established in subsection
772(6).
773     (d)  A charter may be terminated immediately if the sponsor
774sets forth in writing the particular facts and circumstances
775indicating that an immediate and serious danger to determines
776that good cause has been shown or if the health, safety, or
777welfare of the charter school's students exists is threatened.
778The sponsor's determination is not subject to the procedures set
779forth in paragraphs an informal hearing under paragraph (b) and
780(c), except that the hearing may take place after the charter
781has been terminated or pursuant to chapter 120. The sponsor
782shall notify in writing the charter school's governing board
783body, the charter school principal, and the department if a
784charter is immediately terminated immediately. The sponsor shall
785clearly identify the specific issues that resulted in the
786immediate termination and provide evidence of prior notification
787of issues resulting in the immediate termination when
788appropriate. Upon receiving written notice from the sponsor, the
789charter school's governing board has 10 calendar days to request
790a hearing. A requested hearing must be expedited and the final
791order must be issued within 60 days after the date of request.
792The sponsor shall assume operation of the charter school
793throughout the pendency of the hearing under paragraphs (b) and
794(c) unless the continued operation of the charter school would
795materially threaten the health, safety, or welfare of the
796students. Failure by the sponsor to assume and continue
797operation of the charter school shall result in the awarding of
798costs and attorney's fees to the charter school if the charter
799school prevails on appeal. The school district in which the
800charter school is located shall assume operation of the school
801under these circumstances. The charter school's governing board
802may, within 30 days after receiving the sponsor's decision to
803terminate the charter, appeal the decision pursuant to the
804procedure established in subsection (6).
805     (9)  CHARTER SCHOOL REQUIREMENTS.-
806     (g)  In order to provide financial information that is
807comparable to that reported for other public schools, charter
808schools are to maintain all financial records that constitute
809their accounting system:
810     1.  In accordance with the accounts and codes prescribed in
811the most recent issuance of the publication titled "Financial
812and Program Cost Accounting and Reporting for Florida Schools";
813or
814     2.  At the discretion of the charter school governing
815board, a charter school may elect to follow generally accepted
816accounting standards for not-for-profit organizations, but must
817reformat this information for reporting according to this
818paragraph.
819
820Charter schools shall provide annual financial report and
821program cost report information in the state-required formats
822for inclusion in district reporting in compliance with s.
8231011.60(1). Charter schools that are operated by a municipality
824or are a component unit of a parent nonprofit organization may
825use the accounting system of the municipality or the parent but
826must reformat this information for reporting according to this
827paragraph. A charter school shall provide a monthly financial
828statement to the sponsor unless the charter school is designated
829as a high-performing charter school pursuant to s. 1002.331, in
830which case the high-performing charter school may provide a
831quarterly financial statement. The monthly financial statement
832required under this paragraph shall be in a form prescribed by
833the Department of Education.
834     (10)  ELIGIBLE STUDENTS.-
835     (d)  A charter school may give enrollment preference to the
836following student populations:
837     1.  Students who are siblings of a student enrolled in the
838charter school.
839     2.  Students who are the children of a member of the
840governing board of the charter school.
841     3.  Students who are the children of an employee of the
842charter school.
843     4.  Students who are the children of:
844     a.  An employee of the business partner of a charter
845school-in-the-workplace established under paragraph (15)(b) or a
846resident of the municipality in which such charter school is
847located; or
848     b.  A resident of a municipality that operates a charter
849school-in-a-municipality pursuant to paragraph (15)(c).
850     5.  Students who have successfully completed a voluntary
851prekindergarten education program under ss. 1002.51-1002.79
852provided by the charter school or the charter school's nonprofit
853governing board during the previous year.
854     (25)  STANDARDS OF CONDUCT AND FINANCIAL DISCLOSURE.-
855     (b)  A member of a governing board of a charter school
856operated by a municipality or other public entity is subject to
857s. 112.3145 112.3144, which relates to the disclosure of
858financial interests.
859     (26)  SHARED USE OF FACILITIES BY CHARTER SCHOOLS.-
860     (a)  A charter school may not transfer an enrolled student
861to another charter school having a separate Master School
862Identification Number without first obtaining the written
863approval of the student's parent.
864     (b)  A charter school is ineligible for federal charter
865school program grant funds during any period of time during
866which it:
867     1.  Shares an educational facility with an existing charter
868school having a separate Master School Identification Number and
869serving students in any of the grades offered by that charter
870school; or
871     2.  Shares administrative, instructional, or support staff
872with another charter school having a separate Master School
873Identification Number and operating within the same educational
874facility.
875     (27)  LOCAL EDUCATIONAL AGENCY STATUS FOR CERTAIN CHARTER
876SCHOOL SYSTEMS.-A charter school system shall be designated a
877local educational agency solely for the purpose of receiving
878federal funds, in the same manner as if the charter school
879system were a school district, if the governing board of the
880charter school system has adopted and filed a resolution with
881its sponsoring district school board and the Department of
882Education in which the governing board accepts full
883responsibility for all local educational agency requirements and
884if the charter school system meets all of the following:
885     (a)  Includes both conversion charter schools and
886nonconversion charter schools;
887     (b)  Has all schools located in the same county;
888     (c)  Has a total enrollment exceeding the total enrollment
889of at least one school district in the state;
890     (d)  Has the same governing board; and
891     (e)  Does not contract with a for-profit service provider
892for management of school operations.
893
894Such designation does not apply to other provisions of law
895unless specifically provided by law.
896     Section 4.  (1)  For the 2011-2012 fiscal year, the
897Department of Education shall:
898     (a)  Identify the school districts that distribute funds or
899provide facilities, renovation, or new construction with funds
900generated by the capital improvement millage authorized under s.
9011011.71(2), Florida Statutes, to charter schools and the use of
902such funds by the charter schools.
903     (b)  Examine the costs associated with supervising charter
904schools and determine whether the 5-percent administrative fee
905for administrative and educational services for charter schools
906covers the costs associated with the provision of the services.
907     (c)  Examine the distribution of federal education funding
908to eligible students who are enrolled in charter schools,
909including, without limitation, funding provided under Title I of
910the Elementary and Secondary Education Act and the Individuals
911with Disabilities Education Act.
912     (d)  Examine the impacts of removing the discretion given
913to school districts regarding the distribution of capital
914improvement millage authorized under s. 1011.71(2), Florida
915Statutes, to charter schools-in-a-municipality as set forth in
916s. 1002.33(15)(c), Florida Statutes.
917     (2)  The Department of Education shall report its findings
918to the Governor, the President of the Senate, and the Speaker of
919the House of Representatives no later than January 1, 2012.
920     Section 5.  This act shall take effect July 1, 2011.


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