Florida Senate - 2017 COMMITTEE AMENDMENT Bill No. CS for SB 796 Ì4064641Î406464 LEGISLATIVE ACTION Senate . House Comm: RCS . 05/09/2017 . . . . ————————————————————————————————————————————————————————————————— ————————————————————————————————————————————————————————————————— The Committee on Appropriations (Bean) recommended the following: 1 Senate Amendment (with title amendment) 2 3 Delete everything after the enacting clause 4 and insert: 5 Section 1. Section 1002.333, Florida Statutes, is created 6 to read: 7 1002.333 High-impact school; high-impact school operator.— 8 (1) DEFINITIONS.—As used in this section, the term: 9 (a) “High-impact school operator” means an entity 10 identified by the department pursuant to subsection (2). The 11 term does not include a for-profit entity. 12 (b) “Persistently low-performing school” means a school 13 defined pursuant to s. 1008.33(3)(c). 14 (c) “High-impact school” means a full-time public school 15 operated by a high-impact school operator which primarily serves 16 students who were attending, or were assigned to attend, a 17 persistently low-performing school and who comprise at least 60 18 percent of its total enrollment; which is located in the 19 attendance zone of a persistently low-performing school; and 20 which is a Title I eligible school. The term does not include a 21 part-time school or a virtual charter school. 22 (2) HIGH-IMPACT SCHOOL OPERATOR.—A high-impact school 23 operator is a nonprofit organization with tax exempt status 24 under s. 501(c)(3) of the Internal Revenue Code which operates 25 three or more charter schools that serve students in grades K-12 26 in Florida or other states has a record of serving students from 27 low-income families, and is designated by the State Board of 28 Education as a high-impact school operator based on a 29 determination that it meets at least one of the following 30 requirements: 31 (a) The past performance of the high-impact school operator 32 meets or exceeds the following criteria: 33 1. The achievement of enrolled students exceeds the 34 district and state averages of the states in which the 35 operator’s schools operate; 36 2. The average college attendance rate at all schools 37 currently operated by the operator exceeds 80 percent, if such 38 data is available; 39 3. The percentage of students eligible for a free or 40 reduced price lunch under the National School Lunch Act enrolled 41 at all schools currently operated by the operator exceeds 70 42 percent; 43 4. The operator is in good standing with the authorizer in 44 each state in which it operates; 45 5. The audited financial statements of the operator are 46 free of material exceptions and going concern issues; and 47 6. Other outcome measures as determined by the State Board 48 of Education. 49 (b) The operator was awarded a United States Department of 50 Education Charter School Program grant for Replication and 51 Expansion of High-Quality Charter Schools within the preceding 3 52 years before applying to be a high-impact school operator. 53 (c) The operator receives funding through the National Fund 54 or a Regional Fund of the Charter School Growth Fund to 55 accelerate the growth of the nation’s best charter schools. 56 (d) The operator is selected by a district school board in 57 accordance with s. 1008.33. 58 59 An entity that meets the requirements of paragraph (b), 60 paragraph (c), or paragraph (d) before the adoption by the state 61 board of measurable criteria pursuant to paragraph (a) shall be 62 designated as a high-impact school operator. After the adoption 63 of the measurable criteria, an entity shall be designated as a 64 high-impact school operator if it meets the criteria or is 65 selected by a district school board in accordance with s. 66 1008.33. 67 (3) DESIGNATION OF HIGH-IMPACT SCHOOL OPERATOR.—Initial 68 status as a high-impact school operator is valid for 5 years 69 after the opening of a high-impact school. If a high-impact 70 school operator seeks the renewal of its status, such renewal 71 shall solely be based upon the academic and financial 72 performance of all schools established by the operator in the 73 state since its initial designation and the operator’s material 74 compliance with the terms of its performance-based agreement 75 established pursuant to subsection (5). 76 (4) ESTABLISHMENT OF HIGH-IMPACT SCHOOLS.—A high-impact 77 school operator may submit a notice of intent to open a high 78 impact school to the school district in which a persistently 79 low-performing school has been identified by the State Board of 80 Education pursuant to subsection (9). 81 (a) The notice of intent must include: 82 1. An academic focus and plan; 83 2. A financial plan; 84 3. Goals and objectives for increasing student achievement 85 for the students from any persistently low-performing school and 86 students from low-income families; 87 4. A completed or planned community outreach plan; 88 5. The organizational history of success in working with 89 students with similar demographics; 90 6. The grade levels to be served and enrollment 91 projections; 92 7. The proposed location or geographic area proposed for 93 the school and its proximity to the persistently low-performing 94 school; and 95 8. A staffing plan. 96 (b) A school district with a school that is designated, or 97 is likely to be designated, as a persistently low-performing 98 school during the 2017-2018 school year may, with the approval 99 of the State Board of Education contingent on its determination 100 that the school will likely improve to a grade of “C” or higher 101 during the 2018-2019 school year, implement a new turnaround 102 option specified under s. 1008.33(4). Absent the approval of the 103 state board, a school district must enter into a performance 104 based agreement with a high-impact operator, or may relinquish 105 authority to the state board to enter into a performance-based 106 agreement with a high-impact school operator, to open one or 107 more high-impact schools. 108 (5) PERFORMANCE-BASED AGREEMENT.—The performance-based 109 agreement must include all of the following components: 110 (a) The notice of intent, which is incorporated by 111 reference and attached to the agreement. 112 (b) The location or geographic area proposed for the high 113 impact school and its proximity to the persistently low 114 performing school. 115 (c) An enumeration of the grades to be served in each year 116 of the agreement and whether the school will serve children in 117 the school readiness or prekindergarten programs. 118 (d) A plan of action and specific milestones for student 119 recruitment and the enrollment of students from persistently 120 low-performing schools, including enrollment preferences and 121 procedures for conducting transparent admissions lotteries that 122 are open to the public; however, enrollment preference must be 123 given to students who are attending, or are assigned to attend, 124 a persistently low-performing school. If the high-impact 125 school’s total enrollment consists of at least 60 percent of 126 students who were attending, or were assigned to attend, a 127 persistently low-performing school, students attending the high 128 impact school are exempt, to the extent permitted by federal 129 grant requirements, from any enrollment lottery. 130 (e) A delineation of the current incoming baseline standard 131 of student academic achievement, the outcomes to be achieved, 132 and the method of measurement that will be used. 133 (f) A description of the methods of involving parents and 134 expected levels for such involvement. 135 (g) The grounds for termination, including failure to meet 136 the requirements for student performance established pursuant to 137 paragraph (e), generally accepted standards of fiscal 138 management, or material violation of terms of the agreement. The 139 nonrenewal or termination of a performance-based agreement must 140 comply with the requirements of s. 1002.33(8). 141 (h) A provision allowing the high-impact school operator to 142 open additional schools to serve students enrolled in or zoned 143 for a persistently low-performing school if the high-impact 144 school operator maintains its status under subsection (3). 145 (i) A provision establishing the initial term as 5 years. 146 The agreement shall be renewed, upon the request of the high 147 impact school operator, unless the school fails to meet the 148 requirements for student performance established pursuant to 149 paragraph (e) or generally accepted standards of fiscal 150 management, or the high-impact school operator or its high 151 impact school materially violates the law or the terms of the 152 agreement. 153 (j) A requirement to provide transportation consistent with 154 the requirements of ss. 1006.21-1006.27 and s. 1012.45. The 155 governing body of the high-impact school may provide 156 transportation through an agreement or contract with the 157 district school board, a private provider, or parents of 158 enrolled students. Transportation may not be a barrier to equal 159 access for all students residing within a reasonable distance of 160 the school. 161 (k) A requirement that any arrangement entered into to 162 borrow or otherwise secure funds for the high-impact school from 163 a source other than the state or a school district shall 164 indemnify the state and the school district from any and all 165 liability, including, but not limited to, financial 166 responsibility for the payment of the principal or interest. 167 (l) A provision that any loans, bonds, or other financial 168 agreements are not obligations of the state or the school 169 district but are obligations of the high-impact school and are 170 payable solely from the sources of funds pledged by such 171 agreement. 172 (m) A prohibition on the pledge of credit or taxing power 173 of the state or the school district. 174 (6) AUTHORIZED FLEXIBILITIES.— 175 (a) A high-impact school may be designated by the State 176 Board of Education as a local education agency, if requested, 177 for the purposes of receiving federal funds and, in doing so, 178 accepts the full responsibility for all local education agency 179 requirements and the schools for which it will perform local 180 education agency responsibilities. Students enrolled in a school 181 established by a high-impact school operator designated as a 182 local educational agency are not eligible students for purposes 183 of calculating the district grade pursuant to s. 1008.34(5). 184 (b) For the purposes of tort liability, the high-impact 185 school operator, the high-impact school, and its employees or 186 agents shall be governed by s. 768.28. The school district 187 sponsor is not liable for civil damages under state law for the 188 employment actions or personal injury, property damage, or death 189 resulting from an act or omission of a high-impact school 190 operator, the high-impact school, or its employees or agents. 191 (c) A high-impact school may be either a private or a 192 public employer. As a public employer, the high-impact school 193 may participate in the Florida Retirement System upon 194 application and approval as a covered group under s. 195 121.021(34). If a high-impact school participates in the Florida 196 Retirement System, the high-impact school’s employees shall be 197 compulsory members of the Florida Retirement System. 198 (d) A high-impact school operator may employ school 199 administrators and instructional personnel who do not meet the 200 requirements of s. 1012.56 if the school administrators and 201 instructional personnel are not ineligible for such employment 202 under s. 1012.315. 203 (e) Compliance with s. 1003.03 shall be calculated as the 204 average at the school level. 205 (f) High-impact schools operated by a high-impact school 206 operator shall be exempt from chapters 1000-1013 and all school 207 board policies. However, a high-impact school operator shall be 208 in compliance with the laws in chapters 1000-1013 relating to: 209 1. The student assessment program and school grading 210 system; 211 2. Student progression and graduation; 212 3. The provision of services to students with disabilities; 213 4. Civil rights, including s. 1000.05, relating to 214 discrimination; 215 5. Student health, safety, and welfare; 216 6. Public meetings and records, public inspection, and 217 criminal and civil penalties pursuant to s. 286.011. The 218 governing board of a high-impact school must hold at least two 219 public meetings per school year in the school district in which 220 the high-impact school is located. Any other meetings of the 221 governing board may be held in accordance with s. 222 120.54(2)(b)2.; 223 7. Public records pursuant to chapter 119; and 224 8. The code of ethics for public officers and employees 225 pursuant to ss. 112.313(2), (3), (7), and (12) and 112.3143(3). 226 (7) FACILITIES.— 227 (a) A high-impact school shall use facilities that comply 228 with the Florida Building Code, except for the State 229 Requirements for Educational Facilities. A high-impact school 230 that uses school district facilities must comply with the State 231 Requirements for Educational Facilities only if the school 232 district and the high-impact school operator have entered into a 233 mutual management plan for the reasonable maintenance of such 234 facilities. The mutual management plan shall contain a provision 235 by which the district school board agrees to maintain the school 236 facilities in the same manner as its other public schools within 237 the district. The local governing authority shall not adopt or 238 impose any local building requirements or site-development 239 restrictions, such as parking and site-size criteria, which are 240 addressed by and more stringent than those found in the State 241 Requirements for Educational Facilities of the Florida Building 242 Code. A local governing authority must treat high-impact schools 243 equitably in comparison to similar requirements, restrictions, 244 and site planning processes imposed upon public schools. The 245 agency having jurisdiction for inspection of a facility and 246 issuance of a certificate of occupancy or use shall be the local 247 municipality or, if in an unincorporated area, the county 248 governing authority. If an official or employee of the local 249 governing authority refuses to comply with this paragraph, the 250 aggrieved school or entity has an immediate right to bring an 251 action in circuit court to enforce its rights by injunction. An 252 aggrieved party that receives injunctive relief may be awarded 253 reasonable attorney fees and court costs. 254 (b) Any facility, or portion thereof, used to house a high 255 impact school shall be exempt from ad valorem taxes pursuant to 256 s. 196.1983. Library, community service, museum, performing 257 arts, theatre, cinema, church, Florida College System 258 institution, college, and university facilities may provide 259 space to high-impact schools within their facilities under their 260 preexisting zoning and land use designations. 261 (c) High-impact school facilities are exempt from 262 assessments of fees for building permits, except as provided in 263 s. 553.80; fees for building and occupational licenses; impact 264 fees or exactions; service availability fees; and assessments 265 for special benefits. 266 (d) No later than October 1, each school district shall 267 annually provide to the department a list of all underused, 268 vacant, or surplus facilities owned or operated by the school 269 district. A high-impact school operator establishing a high 270 impact school may use an educational facility identified in this 271 paragraph at no cost or at a mutually agreeable cost not to 272 exceed fair market value rates. A high-impact school operator 273 using a facility pursuant to this paragraph may not sell or 274 dispose of such facility without the written permission of the 275 school district. For purposes of this paragraph, “underused, 276 vacant, or surplus facility” means an entire facility or portion 277 thereof which is not fully used or is used irregularly or 278 intermittently by the school district for instructional or 279 program use. 280 (8) FUNDING.— 281 (a) High-impact schools shall be funded in accordance with 282 s. 1002.33(17). 283 (b) High-impact schools shall receive priority in the 284 department’s Public Charter School Grant Program competitions. 285 (c) High-impact schools shall be considered charter schools 286 for purposes of s. 1013.62, except charter capital outlay may 287 not be used to purchase real property or for the construction of 288 school facilities. 289 (d) Funding for high-impact schools may be provided in the 290 General Appropriations Act to support the following eligible 291 expenditures: 292 1. Preparing teachers, school leaders, and specialized 293 instructional support personnel, including costs associated 294 with: 295 a. Providing professional development; and 296 b. Hiring and compensating teachers, school leaders, and 297 specialized instructional support personnel for services beyond 298 the school day and year. 299 2. Acquiring supplies, training, equipment, and educational 300 materials, including developing and acquiring instructional 301 materials. 302 3. Providing one-time startup costs associated with 303 providing transportation to students to and from the high-impact 304 school. 305 4. Carrying out community engagement activities, which may 306 include paying the cost of student and staff recruitment. 307 5. Providing funds to cover the nonvoted ad valorem millage 308 that would otherwise be required for schools and the required 309 local effort funds calculated pursuant to s. 1011.62 when the 310 State Board of Education enters into an agreement with a high 311 impact school operator pursuant to subsection (5). 312 (e) If a high-impact school is not renewed or is 313 terminated, any unencumbered funds and all equipment and 314 property purchased with the funds shall revert to the ownership 315 of the state. The reversion of such equipment, property, and 316 furnishings shall focus on tangible or irrecoverable costs such 317 as rental or leasing fees, normal maintenance, and limited 318 renovations. The reversion of all property secured with grant 319 funds is subject to the complete satisfaction of all lawful 320 liens or encumbrances. 321 (9) STATE BOARD OF EDUCATION AUTHORITY AND OBLIGATIONS. 322 Pursuant to Art. IX of the State Constitution, which prescribes 323 the duty of the State Board of Education to supervise the public 324 school system, the State Board of Education shall: 325 (a) Publish an annual list of persistently low-performing 326 schools after the release of preliminary school grades. 327 (b) Adopt a standard notice of intent and performance-based 328 agreement that must be used by high-impact school operators and 329 district school boards to eliminate regulatory and bureaucratic 330 barriers that delay access to high-quality schools for students 331 in persistently low-performing schools. 332 (c) Resolve disputes between a high-impact school operator 333 and a school district arising from a performance-based agreement 334 or a contract between a charter operator and a school district 335 under the board’s oversight and enforcement authority and the 336 requirements of s. 1008.33. 337 (d) Provide students in persistently low-performing schools 338 with a public school that meets accountability standards. 339 Subject to the authorities and approvals specified under 340 paragraph (4)(b), the State Board of Education may enter into a 341 performance-based agreement with a high-impact school operator 342 to establish a high-impact school. Upon the State Board of 343 Education entering into a performance-based agreement with a 344 high-impact school operator, the school district shall transfer 345 to the high-impact school the proportionate share of state funds 346 allocated from the Florida Education Finance Program. 347 (10) RULES.—The State Board of Education shall adopt rules 348 pursuant to ss. 120.536(1) and 120.54 to implement this section. 349 Section 2. Section 1001.292, Florida Statutes, is created 350 to read: 351 1001.292 High-impact Schools Revolving Loan Program.— 352 (1) The High-impact Schools Revolving Loan Program is 353 established within the Department of Education to provide 354 assistance to a high-impact school operator, as defined in s. 355 1002.333, to meet school building construction needs and pay for 356 expenses related to the startup of a new high-impact school. The 357 program shall consist of funds appropriated by the Legislature, 358 money received from the repayment of loans made from the 359 program, and interest earned. 360 (2) Funds provided pursuant to this section may not exceed 361 25 percent of the total cost of the project, which shall be 362 calculated based on 80 percent of the cost per student station 363 established by s. 1013.64(6)(b) multiplied by the capacity of 364 the facility. 365 (3) The department may contract with a third-party 366 administrator to administer the program. If the department 367 contracts with a third-party administrator, funds shall be 368 granted to the third-party administrator to create a revolving 369 loan fund for the purpose of financing projects that meet the 370 requirements of subsection (4). The third-party administrator 371 shall report to the department annually. The department shall 372 continue to administer the program until a third-party 373 administrator is selected. 374 (4) High-impact school operators that have been designated 375 by the State Board of Education and have executed a performance 376 based agreement pursuant to s. 1002.333 shall be provided a loan 377 up to the amount provided in subsection (2) to support the 378 performance-based contract components of high-impact schools, as 379 defined in s. 1002.333(1). 380 (5) The department shall post on its website the projects 381 that have received loans, the geographic distribution of the 382 projects, the status of the projects, the costs of the program, 383 and student outcomes for students enrolled in the high-impact 384 school receiving funds. 385 (6) All repayments of principal and interest shall be 386 returned to the loan fund and made available for loans to other 387 applicants. 388 (7) Interest on loans provided under this program may be 389 used to defray the costs of administration and shall be the 390 lower of: 391 (a) The rate paid on moneys held in the fund; or 392 (b) A rate equal to 50 percent of the rate authorized under 393 s. 215.84. 394 Section 3. This act shall take effect July 1, 2017. 395 396 ================= T I T L E A M E N D M E N T ================ 397 And the title is amended as follows: 398 Delete everything before the enacting clause 399 and insert: 400 A bill to be entitled 401 An act relating to K-12 public schools; creating s. 402 1002.333, F.S., relating to high-impact schools and 403 high-impact school operators; defining terms; 404 providing eligibility criteria for high-impact school 405 operators; providing for the designation and 406 redesignation of a high-impact school operator; 407 authorizing high-impact school operators to establish 408 high-impact schools in specified areas; providing the 409 process for the establishment of a high-impact school; 410 providing the requirements for a performance-based 411 agreement; authorizing the State Board of Education to 412 designate a high-impact school as a local education 413 agency; providing that a school district sponsor is 414 not liable for specified damages; providing that a 415 high-impact school may be a private or public 416 employer; authorizing a high-impact school to 417 participate in the Florida Retirement System; 418 authorizing a high-impact school operator to employ 419 certain staff; providing specific statutory exemptions 420 for high-impact schools; providing requirements for 421 facilities used by high-impact schools; requiring 422 districts to annually provide a list of specified 423 property to the Department of Education; requiring 424 that high-impact schools be funded through the Florida 425 Education Finance Program; establishing additional 426 funding sources and guidelines for eligible 427 expenditures; providing authority and obligations of 428 the State Board of Education; providing a mechanism 429 for the resolution of disputes; providing for 430 rulemaking; creating s. 1001.292, F.S.; establishing 431 the High-impact Schools Revolving Loan Program; 432 providing criteria for administration of the program; 433 providing an effective date.