Florida Senate - 2015 SB 1366 By Senator Ring 29-00727-15 20151366__ 1 A bill to be entitled 2 An act relating to high school student retention; 3 defining terms; requiring the Department of Management 4 Services to oversee a Pay-for-Success Contract 5 Program; authorizing the department, contingent upon 6 funding, to negotiate and enter into pay-for-success 7 contracts with private entities to fund high-quality 8 dropout prevention programs; specifying the duties of 9 the department; requiring the Office of Economic and 10 Demographic Research to provide information to the 11 department to assist in determining performance 12 outcome measures; specifying contract requirements; 13 requiring an independent evaluator to determine 14 whether the performance outcome measures in a contract 15 have been met; requiring the private entity to 16 annually report certain data; requiring the Office of 17 Economic and Demographic Research to estimate a 18 specified cost under certain circumstances; providing 19 that a high-quality dropout prevention program is not 20 a procurement item; providing an effective date. 21 22 Be It Enacted by the Legislature of the State of Florida: 23 24 Section 1. (1) As used in this section, the term: 25 (a) “High-quality dropout prevention program” means an 26 evidence-based model of programming and services which provides 27 an ongoing assessment of a student’s educational growth and 28 developmental progress. 29 (b) “Pay-for-success contract” or “contract” means a 30 contract entered into between the Department of Management 31 Services and a private entity to fund a high-quality dropout 32 prevention program for high-risk students attending a public 33 high school in this state. 34 (c) “Private entity” means a private investor that enters 35 into a pay-for-success contract or an authorized representative 36 who authorizes a pay-for-success contract. 37 (d) “Success payment” means an additional return on 38 investment paid to a private entity that meets the performance 39 outcome measures established in a pay-for-success contract. 40 (2) The Department of Management Services shall oversee a 41 Pay-for-Success Contract Program. The department may, contingent 42 upon funding in the General Appropriations Act, negotiate and 43 enter into a pay-for-success contract with a private entity that 44 is selected through a competitive process. The department shall: 45 (a) Determine performance outcome measures that must be 46 included in the contract. The Office of Economic and Demographic 47 Research shall provide information to the department to assist 48 in the determination of these measures. 49 (b) Select an independent, nationally recognized evaluator 50 through a request for proposals process to annually evaluate the 51 performance outcome measures specified in the contract. 52 (c) Ensure that the parent of a student participating in 53 the high-quality dropout prevention program has given permission 54 and signed an acknowledgment that the student’s data may be 55 shared with an independent evaluator for research and evaluation 56 purposes. 57 (d) Maintain documentation of the required parental 58 permission. 59 (3) A pay-for-success contract must: 60 (a) Be limited to high-quality dropout prevention programs. 61 (b) Require a repayment of an investment and a success 62 payment only if the specified performance outcome measures are 63 achieved. 64 (c) Require an independent evaluator to determine whether 65 the specified performance outcomes have been achieved. 66 (d) Specify that a repayment of an investment and a success 67 payment are based upon money appropriated in the General 68 Appropriations Act. 69 (e) Prohibit the private entity from receiving or viewing 70 any personally identifiable student information. 71 (4) At the direction of the Department of Management 72 Services, an independent evaluator shall determine whether the 73 performance outcome measures contained in the contract have been 74 met. Once the performance outcome measures have been met, the 75 department may authorize a repayment of an investment and a 76 success payment to the private entity. 77 (5) A private entity that receives a repayment of an 78 investment or a success payment pursuant to a contract shall 79 annually report to the Department of Management Services all of 80 the following data, which must not contain any personally 81 identifiable student information: 82 (a) The number of eligible students served by the high 83 quality dropout prevention program funded by the private entity, 84 including students who are economically disadvantaged or English 85 language learners. 86 (b) Attendance records. 87 (c) Cost per student. 88 (d) Aggregated longitudinal data on students who currently 89 receive funding under this section and any students who 90 previously received funding under this section. Such data must 91 include academic achievement outcomes, dropout rates, and 92 graduation rates. 93 (6) At the request of the Department of Management 94 Services, the Office of Economic and Demographic Research shall 95 estimate the total cost the state incurs due to students who 96 drop out of school. 97 (7) Funding obtained for a high-quality dropout prevention 98 program under this section is not a procurement item under s. 99 287.057. 100 Section 2. This act shall take effect upon becoming a law.