Florida Senate - 2014                        COMMITTEE AMENDMENT
       Bill No. CS for SB 1528
       
       
       
       
       
       
                                Ì7042484Î704248                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  04/11/2014           .                                
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    1  following:
    2  
    3         Senate Substitute for Amendment (393610) (with title
    4  amendment)
    5  
    6         Delete everything after the enacting clause
    7  and insert:
    8         Section 1. Paragraph (a) of subsection (3), paragraphs (b),
    9  (c), and (h) of subsection (6), paragraph (a) of subsection (7),
   10  paragraphs (n) and (o) of subsection (9), and paragraph (g) of
   11  subsection (10) of section 1002.33, Florida Statutes, are
   12  amended to read:
   13         1002.33 Charter schools.—
   14         (3) APPLICATION FOR CHARTER STATUS.—
   15         (a) An application for a new charter school may be made by
   16  an individual, teachers, parents, a group of individuals, a
   17  municipality, or a legal entity organized under the laws of this
   18  state. An application for a charter school may be made by the
   19  military installation commander of a military installation, if
   20  the commander is a member of the charter school's not-for-profit
   21  governing board, the charter school is located on the military
   22  installation, and the governing board operates the charter
   23  school or contracts with a management company or similar entity
   24  to operate the charter school.
   25         (6) APPLICATION PROCESS AND REVIEW.—Charter school
   26  applications are subject to the following requirements:
   27         (b) A sponsor shall receive and review all applications for
   28  a charter school using the an evaluation instrument developed by
   29  the Department of Education. A sponsor shall receive and
   30  consider charter school applications received on or before
   31  August 1 of each calendar year for charter schools to be opened
   32  at the beginning of the school district’s next school year, or
   33  to be opened at a time agreed to by the applicant and the
   34  sponsor. A sponsor may not refuse to receive a charter school
   35  application submitted before August 1 and may receive an
   36  application submitted later than August 1 if it chooses. In
   37  order to facilitate greater collaboration in the application
   38  process, an applicant may submit a draft charter school
   39  application on or before May 1 with an application fee of $500.
   40  If a draft application is timely submitted, the sponsor shall
   41  review and provide feedback as to material deficiencies in the
   42  application by July 1. The applicant shall then have until
   43  August 1 to resubmit a revised and final application. The
   44  sponsor may approve the draft application. A sponsor may not
   45  charge an applicant for a charter any fee for the processing or
   46  consideration of an application, and a sponsor may not base its
   47  consideration or approval of a final application upon the
   48  promise of future payment of any kind. Before approving or
   49  denying any final application, the sponsor shall allow the
   50  applicant, upon receipt of written notification, at least 7
   51  calendar days to make technical or nonsubstantive corrections
   52  and clarifications to address any deficiencies, including, but
   53  not limited to, corrections of grammatical, typographical, and
   54  like errors or missing signatures, if such errors are identified
   55  by the sponsor as cause to deny the final application.
   56         1. In order to facilitate an accurate budget projection
   57  process, a sponsor shall be held harmless for FTE students who
   58  are not included in the FTE projection due to approval of
   59  charter school applications after the FTE projection deadline.
   60  In a further effort to facilitate an accurate budget projection,
   61  within 15 calendar days after receipt of a charter school
   62  application, a sponsor shall report to the Department of
   63  Education the name of the applicant entity, the proposed charter
   64  school location, and its projected FTE.
   65         2. In order to ensure fiscal responsibility, an application
   66  for a charter school shall include a full accounting of expected
   67  assets, a projection of expected sources and amounts of income,
   68  including income derived from projected student enrollments and
   69  from community support, and an expense projection that includes
   70  full accounting of the costs of operation, including start-up
   71  costs.
   72         3.a. A sponsor shall by a majority vote approve or deny an
   73  application no later than 60 calendar days after the application
   74  is received, unless the sponsor and the applicant mutually agree
   75  in writing to temporarily postpone the vote to a specific date,
   76  at which time the sponsor shall by a majority vote approve or
   77  deny the application. If the sponsor fails to act on the
   78  application, an applicant may appeal to the State Board of
   79  Education as provided in paragraph (c). If an application is
   80  denied, the sponsor shall, within 10 calendar days after such
   81  denial, articulate in writing the specific reasons, based upon
   82  good cause, supporting its denial of the charter application and
   83  shall provide the letter of denial and supporting documentation
   84  to the applicant and to the Department of Education.
   85         b. An application submitted by a high-performing charter
   86  school identified pursuant to s. 1002.331 may be denied by the
   87  sponsor only if the sponsor demonstrates by clear and convincing
   88  evidence that:
   89         (I) The application does not materially comply with the
   90  requirements in paragraph (a);
   91         (II) The charter school proposed in the application does
   92  not materially comply with the requirements in paragraphs
   93  (9)(a)-(f);
   94         (III) The proposed charter school’s educational program
   95  does not substantially replicate that of the applicant or one of
   96  the applicant’s high-performing charter schools;
   97         (IV) The applicant has made a material misrepresentation or
   98  false statement or concealed an essential or material fact
   99  during the application process; or
  100         (V) The proposed charter school’s educational program and
  101  financial management practices do not materially comply with the
  102  requirements of this section.
  103  
  104  Material noncompliance is a failure to follow requirements or a
  105  violation of prohibitions applicable to charter school
  106  applications, which failure is quantitatively or qualitatively
  107  significant either individually or when aggregated with other
  108  noncompliance. An applicant is considered to be replicating a
  109  high-performing charter school if the proposed school is
  110  substantially similar to at least one of the applicant’s high
  111  performing charter schools and the organization or individuals
  112  involved in the establishment and operation of the proposed
  113  school are significantly involved in the operation of replicated
  114  schools.
  115         c. If the sponsor denies an application submitted by a
  116  high-performing charter school, the sponsor must, within 10
  117  calendar days after such denial, state in writing the specific
  118  reasons, based upon the criteria in sub-subparagraph b.,
  119  supporting its denial of the application and must provide the
  120  letter of denial and supporting documentation to the applicant
  121  and to the Department of Education. The applicant may appeal the
  122  sponsor’s denial of the application directly to the State Board
  123  of Education pursuant to paragraph (c) and must provide the
  124  sponsor with a copy of the appeal sub-subparagraph (c)3.b.
  125         4. For budget projection purposes, the sponsor shall report
  126  to the Department of Education the approval or denial of a
  127  charter application within 10 calendar days after such approval
  128  or denial. In the event of approval, the report to the
  129  Department of Education shall include the final projected FTE
  130  for the approved charter school.
  131         5. Upon approval of a charter application, the initial
  132  startup shall commence with the beginning of the public school
  133  calendar for the district in which the charter is granted unless
  134  the sponsor allows a waiver of this subparagraph for good cause.
  135         (c)1. An applicant may appeal any denial of that
  136  applicant’s application or failure to act on an application to
  137  the State Board of Education within no later than 30 calendar
  138  days after receipt of the sponsor’s decision or failure to act
  139  and shall notify the sponsor of its appeal. Any response of the
  140  sponsor shall be submitted to the State Board of Education
  141  within 30 calendar days after notification of the appeal. Upon
  142  receipt of notification from the State Board of Education that a
  143  charter school applicant is filing an appeal, the Commissioner
  144  of Education shall convene a meeting of the Charter School
  145  Appeal Commission to study and make recommendations to the State
  146  Board of Education regarding its pending decision about the
  147  appeal. The commission shall forward its recommendation to the
  148  state board at least 7 calendar days before the date on which
  149  the appeal is to be heard. An appeal regarding the denial of an
  150  application submitted by a high-performing charter school
  151  pursuant to s. 1002.331 shall be conducted by the State Board of
  152  Education in accordance with this paragraph, except that the
  153  commission shall not convene to make recommendations regarding
  154  the appeal. However, the Commissioner of Education shall review
  155  the appeal and make a recommendation to the state board.
  156         2. The Charter School Appeal Commission or, in the case of
  157  an appeal regarding an application submitted by a high
  158  performing charter school, the State Board of Education may
  159  reject an appeal submission for failure to comply with
  160  procedural rules governing the appeals process. The rejection
  161  shall describe the submission errors. The appellant shall have
  162  15 calendar days after notice of rejection in which to resubmit
  163  an appeal that meets the requirements set forth in State Board
  164  of Education rule. An appeal submitted subsequent to such
  165  rejection is considered timely if the original appeal was filed
  166  within 30 calendar days after receipt of notice of the specific
  167  reasons for the sponsor’s denial of the charter application.
  168         3.a. The State Board of Education shall by majority vote
  169  accept or reject the decision of the sponsor no later than 90
  170  calendar days after an appeal is filed in accordance with State
  171  Board of Education rule. The State Board of Education shall
  172  remand the application to the sponsor with its written decision
  173  that the sponsor approve or deny the application. The sponsor
  174  shall implement the decision of the State Board of Education.
  175  The decision of the State Board of Education is not subject to
  176  the provisions of the Administrative Procedure Act, chapter 120.
  177         b. If an appeal concerns an application submitted by a
  178  high-performing charter school identified pursuant to s.
  179  1002.331, the State Board of Education shall determine whether
  180  the sponsor’s denial of the application complies with the
  181  requirements in sub-subparagraph (b)3.b. sponsor has shown, by
  182  clear and convincing evidence, that:
  183         (I) The application does not materially comply with the
  184  requirements in paragraph (a);
  185         (II) The charter school proposed in the application does
  186  not materially comply with the requirements in paragraphs
  187  (9)(a)-(f);
  188         (III) The proposed charter school’s educational program
  189  does not substantially replicate that of the applicant or one of
  190  the applicant’s high-performing charter schools;
  191         (IV) The applicant has made a material misrepresentation or
  192  false statement or concealed an essential or material fact
  193  during the application process; or
  194         (V) The proposed charter school’s educational program and
  195  financial management practices do not materially comply with the
  196  requirements of this section.
  197  
  198  The State Board of Education shall approve or reject the
  199  sponsor’s denial of an application no later than 90 calendar
  200  days after an appeal is filed in accordance with State Board of
  201  Education rule. The State Board of Education shall remand the
  202  application to the sponsor with its written decision that the
  203  sponsor approve or deny the application. The sponsor shall
  204  implement the decision of the State Board of Education. The
  205  decision of the State Board of Education is not subject to the
  206  Administrative Procedure Act, chapter 120.
  207         (h)1. The terms and conditions for the operation of a
  208  charter school shall be set forth by the sponsor and the
  209  applicant in a written contractual agreement, called a charter.
  210  The sponsor may not impose unreasonable rules or regulations
  211  that violate the intent of giving charter schools greater
  212  flexibility to meet educational goals. The sponsor has 30 days
  213  after approval of the application to provide an initial proposed
  214  charter contract to the charter school. The applicant and the
  215  sponsor have 40 days thereafter to negotiate and notice the
  216  charter contract for final approval by the sponsor unless both
  217  parties agree to an extension. The proposed charter contract
  218  shall be provided to the charter school at least 7 calendar days
  219  prior to the date of the meeting at which the charter is
  220  scheduled to be voted upon by the sponsor.
  221         2. The Department of Education shall provide mediation
  222  services for any dispute regarding this section subsequent to
  223  the approval of a charter application and for any dispute
  224  relating to the approved charter, except disputes regarding
  225  charter school application denials.
  226         3. If the Commissioner of Education determines that a the
  227  dispute cannot be settled through mediation, or if the sponsor
  228  or charter school requests to bypass mediation, a the dispute
  229  must be immediately forwarded may be appealed to an
  230  administrative law judge appointed by the Division of
  231  Administrative Hearings.
  232         a. The administrative law judge must issue a summary final
  233  order for a dispute regarding language to be included in the
  234  initial charter contract. The administrative law judge may
  235  consider all documents determined necessary by the
  236  administrative law judge to issue the summary final order. The
  237  administrative law judge must hold at least one conference with
  238  the parties to discuss the dispute, and may require other
  239  proceedings only if determined necessary by the administrative
  240  law judge. The summary final order must consist of a summary of
  241  the facts and law, the position of the charter school and
  242  sponsor, the administrative law judge’s disposition of the
  243  dispute and supporting rationale, and may include other
  244  information if determined necessary by the administrative law
  245  judge. The administrative law judge’s summary final order must
  246  be issued within 30 calendar days after receipt of the referral
  247  of the dispute from the Commissioner of Education.
  248         b. The administrative law judge has final order authority
  249  to rule on issues of equitable treatment of the charter school
  250  as a public school, whether proposed provisions of the charter
  251  renewals or amendments violate the intended flexibility granted
  252  charter schools by statute, or on any other matter regarding
  253  this section except a charter school application denial, a
  254  charter termination, or a charter nonrenewal.
  255         c. The administrative law judge’s summary final order or
  256  final order pursuant to this subparagraph and shall award the
  257  prevailing party reasonable attorney’s fees and costs incurred
  258  to be paid by the losing party. The costs of the administrative
  259  hearing shall be paid by the party whom the administrative law
  260  judge rules against.
  261         (7) CHARTER.— The major issues involving the operation of a
  262  charter school shall be considered in advance and written into
  263  the charter. The charter shall be signed by the governing board
  264  of the charter school and the sponsor, following a public
  265  hearing to ensure community input.
  266         (a) The charter shall address and criteria for approval of
  267  the charter shall be based on:
  268         12. The term of the charter which shall provide for
  269  cancellation of the charter if insufficient progress has been
  270  made in attaining the student achievement objectives of the
  271  charter and if it is not likely that such objectives can be
  272  achieved before expiration of the charter. The initial term of
  273  the a charter, which shall be for 4 or 5 years. In order to
  274  facilitate access to long-term financial resources for charter
  275  school construction, Charter schools that are operated by a
  276  municipality or other public entity, as provided by law, or a
  277  private, not-for-profit, s. 501(c)(3) status corporation are
  278  eligible for up to a 15-year charter, subject to approval by the
  279  district school board, which consent may not unreasonably
  280  withheld. A charter lab school is also eligible for a charter
  281  for a term of up to 15 years. In addition, to facilitate access
  282  to long-term financial resources for charter school
  283  construction, charter schools that are operated by a private,
  284  not-for-profit, s. 501(c)(3) status corporation are eligible for
  285  up to a 15-year charter, subject to approval by the district
  286  school board. Such long-term charters remain subject to annual
  287  review and may be terminated during the term of the charter, but
  288  only according to the provisions set forth in subsection (8).
  289         20. Termination or nonrenewal of the charter pursuant to
  290  subsection (8), including termination for failure to make
  291  sufficient progress towards attaining the student achievement
  292  objectives of the charter.
  293         (9) CHARTER SCHOOL REQUIREMENTS.—
  294         (n)4. A charter school’s charter is automatically
  295  terminated if the charter school earns two consecutive grades of
  296  “F,” after all school grade appeals are final, The sponsor shall
  297  terminate a charter if the charter school earns two consecutive
  298  grades of “F” unless:
  299         a. The charter school is established to turn around the
  300  performance of a district public school pursuant to s.
  301  1008.33(4)(b)3. Such charter schools shall be governed by s.
  302  1008.33;
  303         b. The charter school serves a student population the
  304  majority of which resides in a school zone served by a district
  305  public school that earned a grade of “F” in the year before the
  306  charter school opened and the charter school earns at least a
  307  grade of “D” in its third year of operation. The exception
  308  provided under this sub-subparagraph does not apply to a charter
  309  school in its fourth year of operation and thereafter; or
  310         c. The state board grants the charter school a waiver of
  311  termination. The charter school must request the waiver within
  312  15 days after the department’s official release of school
  313  grades. The state board may waive termination if the charter
  314  school demonstrates that the learning gains of its students on
  315  statewide assessments are comparable to or better than the
  316  learning gains of similarly situated students enrolled in nearby
  317  district public schools. The waiver is valid for 1 year and may
  318  only be granted once. Charter schools that have been in
  319  operation for more than 5 years are not eligible for a waiver
  320  under this sub-subparagraph.
  321  
  322  The sponsor shall notify in writing the charter school’s
  323  governing board, the charter school principal, and the
  324  department when a charter is terminated under this subparagraph.
  325  A charter terminated under this subparagraph is governed by the
  326  requirements of paragraphs (8)(e)-(g) and (9)(o).
  327         (o)1. Upon initial notification of nonrenewal, closure, or
  328  termination of its charter, a charter school may not expend more
  329  than $10,000 per expenditure without prior written approval from
  330  the sponsor unless such expenditure was included within the
  331  annual budget submitted to the sponsor pursuant to the charter
  332  contract, is for reasonable attorney fees and costs during the
  333  pendency of any hearing or appeal, or is for reasonable fees and
  334  costs to conduct an independent audit.
  335         2. An independent audit shall be completed within 30 days
  336  after notice of nonrenewal, closure, or termination to account
  337  for all public funds and assets.
  338         3. A provision in a charter contract that contains an
  339  acceleration clause requiring the expenditure of funds based
  340  upon closure or upon notification of nonrenewal or termination
  341  is void and unenforceable.
  342         4. A charter school may not enter into a contract with an
  343  employee that exceeds the term of the school’s charter contract
  344  with its sponsor.
  345         5. A violation of this paragraph triggers a reversion or
  346  clawback power by the sponsor allowing for collection of an
  347  amount equal to or less than the accelerated amount that exceeds
  348  normal expenditures. The reversion or clawback plus legal fees
  349  and costs shall be levied against the person or entity receiving
  350  the accelerated amount.
  351         (10) ELIGIBLE STUDENTS.—
  352         (g)1. A student may withdraw from a charter school at any
  353  time and enroll in another public school as determined by
  354  district school board rule. A charter school must request, but
  355  may not require, that the student withdrawing or the parent of
  356  the student withdrawing complete a survey and provide
  357  information concerning the student’s experiences at the charter
  358  school and reasons for withdrawal. A charter school must provide
  359  in its annual report to its sponsor and the Department of
  360  Education the total number of students that leave the charter
  361  school and their reasons for leaving the charter school,
  362  including but not limited to, withdrawal, suspension, and
  363  dismissal, if known.
  364         2. A student may only receive disciplinary action,
  365  including but not limited to suspension or dismissal, on the
  366  grounds and in the manner specified in the charter school’s code
  367  of student conduct.
  368         Section 2. Subsection (5) of section 1002.331, Florida
  369  Statutes, is amended to read:
  370         1002.331 High-performing charter schools.—
  371         (5) The Commissioner of Education, upon request by a
  372  charter school, shall verify that the charter school meets the
  373  criteria in subsection (1) and provide a letter to the charter
  374  school and the sponsor stating that the charter school is a
  375  high-performing charter school pursuant to this section. The
  376  commissioner shall annually determine whether a high-performing
  377  charter school under subsection (1) continues to meet the
  378  criteria in that subsection. Such high-performing charter school
  379  shall maintain its high-performing status unless the
  380  commissioner determines that the charter school no longer meets
  381  the criteria in subsection (1), at which time the commissioner
  382  shall send a letter to the charter school and its sponsor
  383  providing notification that the charter school has been
  384  declassified of its declassification as a high-performing
  385  charter school.
  386         Section 3. Paragraph (a) of subsection (1) of section
  387  1013.62, Florida Statutes, is amended to read:
  388         1013.62 Charter schools capital outlay funding.—
  389         (1) In each year in which funds are appropriated for
  390  charter school capital outlay purposes, the Commissioner of
  391  Education shall allocate the funds among eligible charter
  392  schools.
  393         (a) To be eligible for a funding allocation, a charter
  394  school must:
  395         1.a. Have been in operation for 3 or more years;
  396         b. Be governed by a governing board established in the
  397  state for 3 or more years which operates both charter schools
  398  and conversion charter schools within the state;
  399         c. Be an expanded feeder chain of a charter school within
  400  the same school district that is currently receiving charter
  401  school capital outlay funds;
  402         d. Have been accredited by the Commission on Schools of the
  403  Southern Association of Colleges and Schools; or
  404         e. Serve students in facilities that are provided by a
  405  business partner for a charter school-in-the-workplace pursuant
  406  to s. 1002.33(15)(b).
  407         2. For the most recent fiscal year for which an audit is
  408  available, have an audit that does not reveal one or more of the
  409  following emergency financial conditions: stability for future
  410  operation as a charter school.
  411         a. During that fiscal year, failure to pay short-term loans
  412  and failure to timely make bond debt service or other long-term
  413  debt payments due to a lack of funds.
  414         b. Failure to pay uncontested claims from creditors within
  415  90 days after the claim is presented due to a lack of funds.
  416         c. Failure to transfer at the appropriate time, due to lack
  417  of funds:
  418         (I) Taxes withheld on the income of employees; or
  419         (II) Employer and employee contributions for federal social
  420  security or any other pension, retirement, or benefit plan of an
  421  employee.
  422         d. Failure for one pay period to pay, due to lack of funds:
  423         (I) Wages and salaries owed to employees; or
  424         (II) Retirement benefits owed to former employees.
  425         3. Have satisfactory student achievement based on state
  426  accountability standards applicable to the charter school.
  427         4. Have received final approval from its sponsor pursuant
  428  to s. 1002.33 for operation during that fiscal year.
  429         5. Serve students in facilities that are not provided by
  430  the charter school’s sponsor.
  431         Section 4. This act shall take effect July 1, 2014.
  432  
  433  ================= T I T L E  A M E N D M E N T ================
  434  And the title is amended as follows:
  435         Delete everything before the enacting clause
  436  and insert:
  437                        A bill to be entitled                      
  438         An act relating to charter schools; amending s.
  439         1002.33, F.S.; authorizing a military installation
  440         commander of a military installation to apply for a
  441         charter school located on the military installation;
  442         establishing conditions for the commander and charter
  443         school governing board; conforming provisions
  444         regarding the appeal process for denial of high
  445         performing charter school applications; authorizing
  446         contract disputes to be referred to the Division of
  447         Administrative Hearings for summary final order;
  448         removing limitation of access to long-term charters
  449         for a private, not-for-profit corporation; clarifying
  450         provisions regarding charter terminations; specifying
  451         that a charter is automatically terminated when a
  452         charter school earns two consecutive grades of “F”
  453         after all appeals unless an exception applies;
  454         specifying requirements regarding such terminations;
  455         providing that a charter school may only discipline
  456         students for the grounds and in the manner specified
  457         in the code of student conduct; amending s. 1002.331,
  458         F.S.; clarifying the commissioner's requirements when
  459         a high performing charter school is declassified;
  460         amending s. 1013.62, F.S.; requiring that a charter
  461         school not have financial emergency conditions on an
  462         annual audit in order to qualify for capital outlay
  463         funding; providing an effective date.
  464  
  465