Bill Text: FL S0048 | 2021 | Regular Session | Comm Sub
Bill Title: Educational Scholarship Programs
Spectrum: Slight Partisan Bill (Republican 5-2)
Status: (Introduced - Dead) 2021-04-22 - Laid on Table, companion bill(s) passed, see CS/HB 7045 (Ch. 2021-27) [S0048 Detail]
Download: Florida-2021-S0048-Comm_Sub.html
Florida Senate - 2021 CS for CS for SB 48 By the Committees on Appropriations; and Education; and Senators Diaz, Brandes, Garcia, Baxley, and Perry 576-02416-21 202148c2 1 A bill to be entitled 2 An act relating to educational scholarship programs; 3 amending s. 11.45, F.S.; requiring the Auditor General 4 to conduct certain audits at least every 3 years 5 instead of annually; conforming provisions to changes 6 made by the act; amending s. 211.0251, F.S.; 7 conforming provisions to changes made by the act; 8 deleting a provision limiting a certain tax credit to 9 no more than 50 percent of the tax due on the return 10 the credit is taken; amending s. 212.099, F.S.; 11 revising the definition of the term “eligible 12 contribution”; deleting the definition of the term 13 “eligible nonprofit scholarship-funding organization”; 14 granting a credit against the state portion of certain 15 taxes to eligible businesses; requiring dealers to 16 remit any contributions of designated amounts from an 17 eligible business; revising the circumstances under 18 which dealers reduce the collection of taxes from 19 certain businesses; requiring the Department of 20 Revenue to provide eligible businesses that make a 21 contribution with a receipt during a certain 22 timeframe; requiring a dealer to identify on the 23 dealer’s return the amount of an eligible 24 contribution; requiring dealers to remit to the 25 Department of Revenue specified contributions; 26 requiring the Department of Revenue to ensure that 27 certain receipts are deposited into a specified fund; 28 conforming provisions to changes made by the act; 29 amending s. 212.1831, F.S.; conforming provisions to 30 changes made by the act; amending s. 212.1832, F.S.; 31 defining terms; requiring dealers claiming certain tax 32 credits to file and pay returns electronically; 33 requiring specified persons to report to the 34 Department of Revenue on certain returns the amount of 35 credits granted for the preceding reporting period; 36 requiring such persons to remit eligible contributions 37 to the Department of Revenue during a certain 38 timeframe; requiring the Department of Revenue to 39 adopt rules; conforming provisions to changes made by 40 the act; amending s. 213.053, F.S.; deleting 41 authorization for the Department of Revenue to provide 42 specified information to certain entities; deleting 43 definitions; amending ss. 220.1105, 220.13, 220.186, 44 220.1875, 561.1211, 624.51055, and 1002.20, F.S.; 45 conforming provisions to changes made by the act; 46 amending s. 1002.23, F.S.; correcting a reference to 47 the Florida Virtual School; conforming a provision to 48 changes made by the act; amending s. 1002.31, F.S.; 49 adding certain students to those to whom district 50 school boards must provide preferential treatment in 51 the controlled open enrollment process; creating s. 52 1002.381, F.S.; establishing the McKay-Gardiner 53 Scholarship Program; providing the purpose of the 54 program; defining terms; specifying eligibility 55 requirements; providing criteria for authorized uses 56 of program funds; providing the terms of a program 57 scholarship; requiring certain scholarship accounts to 58 be closed and for specified funds to revert to the 59 state under specified circumstances; providing school 60 district obligations under the program; specifying 61 obligations for eligible private schools; providing 62 Department of Education obligations relating to the 63 program; specifying Commissioner of Education 64 authority and obligations; providing parent and 65 student responsibilities for program participation; 66 providing an application approval and renewal process 67 for charitable organizations seeking to participate or 68 remain in the program; establishing a procedure for 69 when an organization is disapproved; providing that an 70 organization is a renewing organization if it was 71 approved by the State Board of Education for a certain 72 fiscal year or after and maintains continuous approval 73 and participation in the program; requiring the state 74 board to adopt specified rules; exempting specified 75 entities from the initial or renewal application 76 process; providing obligations for organizations 77 relating to establishing program scholarships; 78 providing eligibility and obligations for transition 79 to-work programs; specifying requirements for 80 scholarship funding and payment; specifying the 81 initial maximum number of student FTE; providing for 82 the annual increase of the maximum number of student 83 FTE; requiring the department to transfer certain 84 funds to organizations in a specified manner; 85 clarifying that accrued interest in student accounts 86 is in addition to, and not part of, awarded funds; 87 authorizing organizations to develop systems for 88 payment of benefits by funds transfer; prohibiting 89 organizations that develop such systems from reducing 90 scholarship awards through certain fees; clarifying 91 that scholarship funds do not constitute taxable 92 income to the qualified student or to his or her 93 parent; requiring the Auditor General to conduct 94 certain audits at least once every 3 years; specifying 95 obligations related to approved providers; providing 96 that the state is not liable for the award or use of 97 program funds; providing construction; requiring the 98 State Board of Education to adopt rules; repealing ss. 99 1002.385 and 1002.39, F.S., relating to the Gardiner 100 Scholarship and the John M. McKay Scholarships for 101 Students with Disabilities Program, respectively; 102 amending s. 1002.394, F.S.; revising the Family 103 Empowerment Scholarship Program; providing and 104 revising definitions; specifying and revising 105 eligibility requirements; revising the priority order 106 for awarding scholarships; providing and revising 107 terms for scholarship payments to organizations; 108 providing circumstances under which a student’s 109 account must be closed and remaining funds revert to 110 the state; specifying the purposes for which such 111 funds may be used; providing and revising school 112 district obligations; providing and revising 113 department obligations relating to participating 114 students; requiring the department to verify eligible 115 expenditures before distributing funds; requiring the 116 department to issue a project grant award to a state 117 university for a certain purpose; specifying the 118 duration of the grant and the maximum dollar amount; 119 requiring the university to annually report data on 120 student performance to the department; requiring the 121 department to publish the report on its website; 122 specifying other department requirements pertaining to 123 approved providers, verification of certain 124 expenditures, reports from eligible nonprofit 125 scholarship-funding organizations, and contracting 126 with an independent entity to evaluate the program 127 annually; requiring the department to investigate 128 certain complaints; requiring the department to 129 establish and coordinate an FTE reporting process; 130 providing and revising obligations for eligible 131 private schools; providing and revising parent and 132 student obligations for initial and continued 133 participation in the program; providing and revising 134 nonprofit scholarship-funding organization obligations 135 relating to participating in the program; specifying 136 Auditor General obligations; expanding eligibility to 137 specified students who received certain scholarships 138 in a specified school year; clarifying that certain 139 scholarships do not count toward the maximum number of 140 eligible students; providing the manner in which funds 141 will be allocated; requiring the department to verify 142 that a student is not prohibited from receiving a 143 scholarship upon notification from an organization 144 that an application has been approved; requiring the 145 organization to provide the department with the 146 documentation necessary to verify the student’s 147 participation; requiring the department to release the 148 student’s scholarship funds to the organization to be 149 deposited into the student’s account upon 150 verification; clarifying that accrued interest is in 151 addition to, and not part of, awarded funds; 152 authorizing organizations to develop a system for 153 payment of benefits by funds transfer; prohibiting 154 scholarship awards from being reduced by certain fees; 155 clarifying that scholarship funds do not constitute 156 taxable income to the qualified student or to his or 157 her parent; requiring the Auditor General to conduct 158 certain audits at least once every 3 years; providing 159 an application approval and renewal process for 160 charitable organizations seeking to participate or 161 remain in the program; establishing a procedure for 162 when an organization is disapproved; providing that an 163 organization is a renewing organization if it was 164 approved by the state board for a certain fiscal year 165 or after and maintains continuous approval and 166 participation in the program; requiring the state 167 board to adopt rules; exempting specified entities 168 from the initial or renewal application process; 169 providing certain authority and obligations of the 170 Commissioner of Education; deleting an obsolete 171 implementation schedule; amending s. 1002.395, F.S.; 172 repealing the Florida Tax Credit Scholarship Program; 173 revising legislative findings; revising and deleting 174 terms; deleting provisions made obsolete by the act; 175 retaining the tax credits available under the former 176 scholarship program; specifying the manner in which a 177 taxpayer may elect to make eligible contributions; 178 requiring all eligible contributions received by the 179 department and the division to be deposited into a 180 specified fund; requiring the Department of Revenue to 181 adopt rules; authorizing the Division of Alcoholic 182 Beverages and Tobacco to adopt rules; repealing s. 183 1002.40, F.S., relating to the Hope Scholarship 184 Program; amending s. 1002.411, F.S.; conforming a 185 provision to changes made by the act; amending s. 186 1002.421, F.S.; providing that private virtual schools 187 meet the requirement to maintain a physical location 188 in this state if such virtual schools maintain at 189 least one administrative office in a specified manner; 190 requiring certain private schools to provide reports 191 from a specified public accountant; providing 192 requirements for such reports; requiring the schools 193 to provide parents and students with specified 194 information; amending ss. 1009.971, 1009.98, 1009.981, 195 and 1011.61, F.S.; conforming provisions to changes 196 made by the act; amending s. 1011.62, F.S.; deleting a 197 provision requiring that certain funds not be included 198 in the calculated amount for certain scholarship 199 awards; creating s. 1011.687, F.S.; establishing an 200 allocation within the Florida Education Finance 201 Program for certain scholarship programs; providing 202 requirements for certain allocations of tax credits; 203 clarifying that certain requirements apply to 204 allocations of credit received before a certain date; 205 authorizing the Department of Revenue to contract with 206 a qualified vendor without using a competitive 207 solicitation process; providing an appropriation; 208 providing the department with emergency rulemaking 209 authority; providing effective dates. 210 211 Be It Enacted by the Legislature of the State of Florida: 212 213 Section 1. Paragraph (l) of subsection (2) and subsection 214 (8) of section 11.45, Florida Statutes, are amended to read: 215 11.45 Definitions; duties; authorities; reports; rules.— 216 (2) DUTIES.—The Auditor General shall: 217 (l) At least every 3 years,Annuallyconduct operational 218 audits of the accounts and records of eligible nonprofit 219 scholarship-funding organizationsreceiving eligible220contributionsunder ss. 1002.381 and 1002.394s. 1002.395, 221 including any contracts for services with related entities, to 222 determine compliance with the provisions of those sectionsthat223section. Such audits mustshallinclude, but need not be limited 224 to, a determination of the eligible nonprofit scholarship 225 funding organization’s compliance with ss. 1002.381(13)(f) and 226 1002.394(11)(k)s. 1002.395(6)(j). The Auditor General shall 227 provide its report on the results of the audits to the Governor, 228 the President of the Senate, the Speaker of the House of 229 Representatives, the Chief Financial Officer, and the 230 Legislative Auditing Committee, within 30 days of completion of 231 the audit. 232 233 The Auditor General shall perform his or her duties 234 independently but under the general policies established by the 235 Legislative Auditing Committee. This subsection does not limit 236 the Auditor General’s discretionary authority to conduct other 237 audits or engagements of governmental entities as authorized in 238 subsection (3). 239 (8) RULES OF THE AUDITOR GENERAL.—The Auditor General, in 240 consultation with the Board of Accountancy, shall adopt rules 241 for the form and conduct of all financial audits performed by 242 independent certified public accountants pursuant to ss. 243 215.981, 218.39, 1001.453, 1002.381, 1002.3941002.395, 1004.28, 244 and 1004.70. The rules for audits of local governmental 245 entities, charter schools, charter technical career centers, and 246 district school boards must include, but are not limited to, 247 requirements for the reporting of information necessary to carry 248 out the purposes of the Local Governmental Entity, Charter 249 School, Charter Technical Career Center, and District School 250 Board Financial Emergencies Act as stated in s. 218.501. 251 Section 2. Section 211.0251, Florida Statutes, is amended 252 to read: 253 211.0251 Credit for contributions for K-12 educationto254eligible nonprofit scholarship-funding organizations.—There is 255 allowed a credit of 100 percent of an eligible contribution 256 directedmadeto K-12 educationan eligible nonprofit257scholarship-funding organizationunder s. 1002.395 foragainst258 any tax due under s. 211.02 or s. 211.025.However, a credit259allowed under this section may not exceed 50 percent of the tax260due on the return the credit is taken.For purposes of the 261 distributions of tax revenue under s. 211.06, the department 262 shall disregard any tax credits allowed under this section to 263 ensure that any reduction in tax revenue received which is 264 attributable to the tax credits results only in a reduction in 265 distributions to the General Revenue Fund. The provisions of s. 266 1002.395 apply to the credit authorized by this section. 267 Section 3. Section 212.099, Florida Statutes, is amended to 268 read: 269 212.099 Credit for contributions for K-12 educationto270eligible nonprofit scholarship-funding organizations.— 271 (1) As used in this section, the term: 272 (a) “Eligible business” means a tenant or person actually 273 occupying, using, or entitled to the use of any property from 274 which the rental or license fee is subject to taxation under s. 275 212.031. 276 (b) “Eligible contribution” or “contribution” means the 277 amount of tax, or portion thereof, designated for K-12 education 278 by an eligible business and paid bya monetary contribution from279 an eligible business to, for the period of July 1, 2021, through 280 December 31, 2021, the department or as otherwise directed by 281 the department, and thereafter, to a collecting dealertoan282eligible nonprofit scholarship-funding organization to be used283pursuant to s. 1002.395. The eligible business making the284contribution may not designate a specific student as the285beneficiary of the contribution. 286(c) “Eligible nonprofit scholarship-funding organization”287or “organization” has the same meaning as provided in s.2881002.395(2)(f).289 (2) An eligible business shall be granted a credit against 290 the state portion of the taximposed under s. 212.031 and291collected from the eligible business by a dealer. The credit292shall be in an amountequal to 100 percent of an eligible 293 contributionmade to an organization. 294 (3) A dealer shall take a creditagainst the tax imposed295under s. 212.031in an amount equal to the credit taken by the 296 eligible business under subsection (2). The dealer shall also 297 remit to the department any contributions of designated amounts 298 it receives from an eligible business. 299 (4)(a) An eligible business must apply to the department 300 for an allocation of tax credits under this section. The 301 eligible business must specify in the application the state 302 fiscal year during which the contribution will be made,the303organization that will receive the contribution,the planned 304 amount of the contribution, the address of the property from 305 which the rental or license fee is subject to taxation under s. 306 212.031, and the federal employer identification number of the 307 dealer who collects the tax imposed under s. 212.031 from the 308 eligible business and who will, during the period of July 1, 309 2021, through December 31, 2021, reduce collection of taxes from 310 the eligible business if the eligible business provides the 311 dealer with a receipt of contribution as described in paragraph 312 (b)pursuant to this section. The department shall approve 313 allocations of tax credits on a first-come, first-served basis 314 and shall provide to the eligible business a separate approval 315 or denial letter for each dealer for which the eligible business 316 applied for an allocation of tax credits.Within 10 days after317approving or denying an application, the department shall318provide a copy of its approval or denial letter to the319organization specified by the eligible business in the320application.An approval letter must include the name and 321 federal employer identification number of the dealer from whom a 322 credit under this section can be taken and the amount of tax 323 credits approved for use with that dealer. 324 (b) For the period of July 1, 2021, through December 31, 325 2021, upon receipt of an eligible contribution from an eligible 326 business, the departmentorganizationshall provide the eligible 327 business that made the contribution with a receiptseparate328certificateof contribution for each dealer from whom a credit 329 can be taken as approved under paragraph (a). A receipt 330certificateof contribution must include the contributor’s name 331 and, if available, federal employer identification number, the 332 amount contributed, the date of contribution,the name of the333organization,and the name and federal employer identification 334 number of the dealer. 335 (5) Each dealer that receives from an eligible business a 336 copy of the department’s approval letter, and until December 31, 337 2021, the receiptand a certificateof contribution,both of338which identify the dealer as the dealer who collects the tax339imposed under s. 212.031 from the eligible business and who will340reduce collection of taxes from the eligible business pursuant341to this section,shall identify on the dealer’s return the 342 amount of the eligible contribution byreduce the tax collected343fromthe eligible business, which amountunder s. 212.031 by the344total amount of contributions indicated in the certificate of345contribution. The reductionmay not exceed the amount of credit 346 allocation approved by the department and may not exceed the 347 amount of tax that would otherwise be collected from the 348 eligible business by a dealer when a payment is made under the 349 rental or license fee arrangement. The dealer shall also remit 350 to the department any contributions of designated amounts for K 351 12 education it receives from an eligible business on the 352 dealer’s returnHowever, payments by an eligible business to a353dealer may not be reduced before October 1, 2018. 354 (a) If the total amount of credits an eligible business may 355 take cannot be fully used within any period that a payment is 356 due under the rental or license fee arrangement because of an 357 insufficient amount of tax that the dealer would collect from 358 the eligible business during that period, the unused amount may 359 be carried forward for a period not to exceed 10 years. 360 (b) A tax credit may not be claimed on an amended return or 361 through a refund. 362 (c) A dealer that claims a tax credit must file returns and 363 pay taxes by electronic means under s. 213.755. 364 (d) An eligible business may not convey, assign, or 365 transfer an approved tax credit or a carryforward tax credit to 366 another entity unless all of the assets of the eligible business 367 are conveyed, assigned, or transferred in the same transaction 368 and the successor business continues the same lease with the 369 dealer. 370 (e) Within any state fiscal year, an eligible business may 371 rescind all or part of a tax credit allocation approved under 372 this section. The amount rescinded shall become available for 373 that state fiscal year to another eligible business as approved 374 by the department if the business receives notice from the 375 department that the rescindment has been accepted by the 376 department. Any amount rescinded under this subsection shall 377 become available to an eligible business on a first-come, first 378 served basis based on tax credit applications received after the 379 date the rescindment is accepted by the department. 380(f) Within 10 days after the rescindment of a tax credit381under paragraph (e) is accepted by the department, the382department shall notify the eligible nonprofit scholarship383funding organization specified by the eligible business. The384department shall also include the eligible nonprofit385scholarship-funding organization specified by the eligible386business on all letters or correspondence of acknowledgment for387tax credits under this section.388 (6)An organization shall report to the department, on or389before the 20th day of each month, the total amount of390contributions received pursuant to subsection (4) in the391preceding calendar month on a form provided by the department.392Such report shall include the amount of contributions received393during that reporting period and the federal employer394identification number of each dealer associated with the395contribution.396(7)(a) Eligible contributions may be used to fund the397program established under s. 1002.395.398(b) The organization shall separately account for each399scholarship funded pursuant to this section.400(c) The organization may, subject to the limitations of s.4011002.395(6)(j)1., use eligible contributions received during the402state fiscal year in which such contributions are collected for403administrative expenses.404(8)The sum of tax credits that may be approved by the 405 department in any state fiscal year is $57.5 million. 406 (7)(9)The department shall ensure that receipts designated 407 by a remitting dealer as eligible contributions under this 408 section and eligible contributions transferred to the state by 409 an organization are deposited into the Florida K-12 Education 410 Tax Credit Program Trust Fund and used in accordance with s. 411 1010.88. For purposes of the distributions of tax revenue under 412 s. 212.20, the department shall disregard any tax credits 413 allowed under this section to ensure that any reduction in tax 414 revenue received that is attributable to the tax credits results 415 only in a reduction in distributions to the General Revenue 416 Fund. 417 (8)(10)The department may adopt rules to administer this 418 section. 419 Section 4. Section 212.1831, Florida Statutes, is amended 420 to read: 421 212.1831 Credit for contributions for K-12 educationto422eligible nonprofit scholarship-funding organizations.—There is 423 allowed a credit of 100 percent of an eligible contribution made 424to an eligible nonprofit scholarship-funding organizationunder 425 s. 1002.395 against the state portion of the taxany tax imposed426by the state and due under this chapterfrom a direct pay permit 427 holder as a result of the direct pay permit held pursuant to s. 428 212.183. For purposes of the dealer’s credit granted for keeping 429 prescribed records, filing timely tax returns, and properly 430 accounting and remitting taxes under s. 212.12, the amount of 431 tax due used to calculate the credit shall include any eligible 432 contributionmade to an eligible nonprofit scholarship-funding433organizationfrom a direct pay permit holder. For purposes of 434 the distributions of tax revenue under s. 212.20, the department 435 shall disregard any tax credits allowed under this section to 436 ensure that any reduction in tax revenue received that is 437 attributable to the tax credits results only in a reduction in 438 distributions to the General Revenue Fund. The provisions of s. 439 1002.395 apply to the credit authorized by this section. 440 Section 5. Section 212.1832, Florida Statutes, is amended 441 to read: 442 212.1832 Credit for contributions for K-12 educationto443eligible nonprofitscholarship-funding organizations.— 444 (1) As used in this section, the term: 445 (a) “Dealer” has the same meaning as provided in s. 212.06. 446 (b) “Designated agent” has the same meaning as provided in 447 s. 212.06(10). 448 (c) “Eligible contribution” or “contribution” means the 449 amount of tax paid by a person purchasing a motor vehicle, 450 subject to the restrictions provided in this section and s. 451 1002.395, and designated by the purchaser to be used for K-12 452 education. 453 (d) “Motor vehicle” has the same meaning as provided in s. 454 320.01(1)(a), but does not include a heavy truck, truck tractor, 455 trailer, or motorcycle. 456 (2) The purchaser of a motor vehicle shall be granted a 457 credit of 100 percent of an eligible contributionmade to an458eligible nonprofit scholarship-funding organizationunder s. 459 1002.395s. 1002.40against any tax imposed by the state under460this chapter and collected from the purchaser by a dealer,461designated agent, or private tag agentas a result of the 462 purchase or acquisition of a motor vehicle, except that a credit 463 may not exceed the tax that would otherwise be collected from 464 the purchaser by a dealer, designated agent, or private tag 465 agent. For purposes of this subsection, the term “purchase” does 466 not include the lease or rental of a motor vehicle. 467 (3)(2)A dealer shall take a credit against any tax imposed 468 by the state under this chapter on the purchase of a motor 469 vehicle in an amount equal to the credit granted to the 470 purchaser under subsection (2)(1). A dealer that claims a tax 471 credit must file returns and pay taxes by electronic means under 472 s. 213.755. 473 (4)(3)For purposes of the distributions of tax revenue 474 under s. 212.20, the department shall disregard any tax credits 475 allowed under this section to ensure that any reduction in tax 476 revenue received that is attributable to the tax credits results 477 only in a reduction in distributions to the General Revenue 478 Fund. The provisions of s. 1002.395s. 1002.40apply to the 479 credit authorized by this section. 480 (5)(a) A dealer, designated agent, or private tag agent 481 shall report to the department on each return filed pursuant to 482 s. 212.11 the total amount of credits granted under s. 212.1832 483 for the preceding reporting period. 484 (b) For eligible contributions made between July 1, 2021, 485 and December 31, 2021, a dealer, designated agent, or private 486 tag agent shall remit eligible contributions to the department 487 as a payment separate from the tax due with the return filed 488 pursuant to s. 212.11, or as otherwise directed by the 489 department. This paragraph expires July 1, 2022. 490 (6) The department shall adopt rules to administer this 491 section. 492 Section 6. Paragraph (s) of subsection (8) and subsections 493 (21) and (22) of section 213.053, Florida Statutes, are amended 494 to read: 495 213.053 Confidentiality and information sharing.— 496 (8) Notwithstanding any other provision of this section, 497 the department may provide: 498(s) Information relative to ss. 211.0251, 212.1831,499220.1875, 561.1211, 624.51055, and 1002.395 to the Department of500Education and the Division of Alcoholic Beverages and Tobacco in501the conduct of official business.502 503 Disclosure of information under this subsection shall be 504 pursuant to a written agreement between the executive director 505 and the agency. Such agencies, governmental or nongovernmental, 506 shall be bound by the same requirements of confidentiality as 507 the Department of Revenue. Breach of confidentiality is a 508 misdemeanor of the first degree, punishable as provided by s. 509 775.082 or s. 775.083. 510(21)(a) For purposes of this subsection, the term:5111. “Eligible nonprofit scholarship-funding organization”512means an eligible nonprofit scholarship-funding organization as513defined in s. 1002.395(2) that meets the criteria in s.5141002.395(6) to use up to 3 percent of eligible contributions for515administrative expenses.5162. “Taxpayer” has the same meaning as in s. 220.03, unless517disclosure of the taxpayer’s name and address would violate any518term of an information-sharing agreement between the department519and an agency of the Federal Government.520(b) The department, upon request, shall provide to an521eligible nonprofit scholarship-funding organization that522provides scholarships under s. 1002.395 a list of the 200523taxpayers with the greatest total corporate income or franchise524tax due as reported on the taxpayer’s return filed pursuant to525s. 220.22 during the previous calendar year. The list must be in526alphabetical order based on the taxpayer’s name and shall527contain the taxpayer’s address. The list may not disclose the528amount of tax owed by any taxpayer.529(c) An eligible nonprofit scholarship-funding organization530may request the list once each calendar year. The department531shall provide the list within 45 days after the request is made.532(d) Any taxpayer information contained in the list may be533used by the eligible nonprofit scholarship-funding organization534only to notify the taxpayer of the opportunity to make an535eligible contribution to the Florida Tax Credit Scholarship536Program under s. 1002.395. Any information furnished to an537eligible nonprofit scholarship-funding organization under this538subsection may not be further disclosed by the organization539except as provided in this paragraph.540(e) An eligible nonprofit scholarship-funding organization,541its officers, and employees are subject to the same requirements542of confidentiality and the same penalties for violating543confidentiality as the department and its employees. Breach of544confidentiality is a misdemeanor of the first degree, punishable545as provided by s. 775.082 or s. 775.083.546(22)(a) The department may provide to an eligible nonprofit547scholarship-funding organization, as defined in s. 1002.40, a548dealer’s name, address, federal employer identification number,549and information related to differences between credits taken by550the dealer pursuant to s. 212.1832(2) and amounts remitted to551the eligible nonprofit scholarship-funding organization under s.5521002.40(13)(b)3. The eligible nonprofit scholarship-funding553organization may use the information for purposes of recovering554eligible contributions designated for that organization that555were collected by the dealer but never remitted to the556organization.557(b) Nothing in this subsection authorizes the disclosure of558information if such disclosure is prohibited by federal law. An559eligible nonprofit scholarship-funding organization is bound by560the same requirements of confidentiality and the same penalties561for a violation of the requirements as the department.562 Section 7. Paragraph (a) of subsection (4) of section 563 220.1105, Florida Statutes, is amended to read: 564 220.1105 Tax imposed; automatic refunds and downward 565 adjustments to tax rates.— 566 (4) For fiscal years 2018-2019 through 2020-2021, any 567 amount by which net collections for a fiscal year exceed 568 adjusted forecasted collections for that fiscal year shall only 569 be used to provide refunds to corporate income tax payers as 570 follows: 571 (a) For purposes of this subsection, the term: 572 1. “Eligible taxpayer” means: 573 a. For fiscal year 2018-2019, a taxpayer whose taxable year 574 begins between April 1, 2017, and March 31, 2018, and whose 575 final tax liability for such taxable year is greater than zero; 576 b. For fiscal year 2019-2020, a taxpayer whose taxable year 577 begins between April 1, 2018, and March 31, 2019, and whose 578 final tax liability for such taxable year is greater than zero; 579 or 580 c. For fiscal year 2020-2021, a taxpayer whose taxable year 581 begins between April 1, 2019, and March 31, 2020, and whose 582 final tax liability for such taxable year is greater than zero. 583 2. “Excess collections” for a fiscal year means the amount 584 by which net collections for a fiscal year exceeds adjusted 585 forecasted collections for that fiscal year. 586 3. “Final tax liability” means the taxpayer’s amount of tax 587 due under this chapter for a taxable year, reported on a return 588 filed with the department, plus the amount of any credit taken589on such return under s. 220.1875. 590 4. “Total eligible tax liability” for a fiscal year means 591 the sum of final tax liabilities of all eligible taxpayers for a 592 fiscal year as such liabilities are shown on the latest return 593 filed with the department as of February 1 immediately following 594 that fiscal year. 595 5. “Taxpayer refund share” for a fiscal year means an 596 eligible taxpayer’s final tax liability as a percentage of the 597 total eligible tax liability for that fiscal year. 598 6. “Taxpayer refund” for a fiscal year means the taxpayer 599 refund share for a fiscal year multiplied by the excess 600 collections for a fiscal year. 601 Section 8. Paragraph (a) of subsection (1) of section 602 220.13, Florida Statutes, is amended to read: 603 220.13 “Adjusted federal income” defined.— 604 (1) The term “adjusted federal income” means an amount 605 equal to the taxpayer’s taxable income as defined in subsection 606 (2), or such taxable income of more than one taxpayer as 607 provided in s. 220.131, for the taxable year, adjusted as 608 follows: 609 (a) Additions.—There shall be added to such taxable income: 610 1.a.The amount of any tax upon or measured by income, 611 excluding taxes based on gross receipts or revenues, paid or 612 accrued as a liability to the District of Columbia or any state 613 of the United States which is deductible from gross income in 614 the computation of taxable income for the taxable year. 615b. Notwithstanding sub-subparagraph a., if a credit taken616under s. 220.1875 is added to taxable income in a previous617taxable year under subparagraph 11. and is taken as a deduction618for federal tax purposes in the current taxable year, the amount619of the deduction allowed shall not be added to taxable income in620the current year. The exception in this sub-subparagraph is621intended to ensure that the credit under s. 220.1875 is added in622the applicable taxable year and does not result in a duplicate623addition in a subsequent year.624 2. The amount of interest which is excluded from taxable 625 income under s. 103(a) of the Internal Revenue Code or any other 626 federal law, less the associated expenses disallowed in the 627 computation of taxable income under s. 265 of the Internal 628 Revenue Code or any other law, excluding 60 percent of any 629 amounts included in alternative minimum taxable income, as 630 defined in s. 55(b)(2) of the Internal Revenue Code, if the 631 taxpayer pays tax under s. 220.11(3). 632 3. In the case of a regulated investment company or real 633 estate investment trust, an amount equal to the excess of the 634 net long-term capital gain for the taxable year over the amount 635 of the capital gain dividends attributable to the taxable year. 636 4. That portion of the wages or salaries paid or incurred 637 for the taxable year which is equal to the amount of the credit 638 allowable for the taxable year under s. 220.181. This 639 subparagraph shall expire on the date specified in s. 290.016 640 for the expiration of the Florida Enterprise Zone Act. 641 5. That portion of the ad valorem school taxes paid or 642 incurred for the taxable year which is equal to the amount of 643 the credit allowable for the taxable year under s. 220.182. This 644 subparagraph shall expire on the date specified in s. 290.016 645 for the expiration of the Florida Enterprise Zone Act. 646 6. The amount taken as a credit under s. 220.195 which is 647 deductible from gross income in the computation of taxable 648 income for the taxable year. 649 7. That portion of assessments to fund a guaranty 650 association incurred for the taxable year which is equal to the 651 amount of the credit allowable for the taxable year. 652 8. In the case of a nonprofit corporation which holds a 653 pari-mutuel permit and which is exempt from federal income tax 654 as a farmers’ cooperative, an amount equal to the excess of the 655 gross income attributable to the pari-mutuel operations over the 656 attributable expenses for the taxable year. 657 9. The amount taken as a credit for the taxable year under 658 s. 220.1895. 659 10. Up to nine percent of the eligible basis of any 660 designated project which is equal to the credit allowable for 661 the taxable year under s. 220.185. 662 11.The amount taken as a credit for the taxable year under663s. 220.1875. The addition in this subparagraph is intended to664ensure that the same amount is not allowed for the tax purposes665of this state as both a deduction from income and a credit666against the tax. This addition is not intended to result in667adding the same expense back to income more than once.66812.The amount taken as a credit for the taxable year under 669 s. 220.193. 670 12.13.Any portion of a qualified investment, as defined in 671 s. 288.9913, which is claimed as a deduction by the taxpayer and 672 taken as a credit against income tax pursuant to s. 288.9916. 673 13.14.The costs to acquire a tax credit pursuant to s. 674 288.1254(5) that are deducted from or otherwise reduce federal 675 taxable income for the taxable year. 676 14.15.The amount taken as a credit for the taxable year 677 pursuant to s. 220.194. 678 15.16.The amount taken as a credit for the taxable year 679 under s. 220.196. The addition in this subparagraph is intended 680 to ensure that the same amount is not allowed for the tax 681 purposes of this state as both a deduction from income and a 682 credit against the tax. The addition is not intended to result 683 in adding the same expense back to income more than once. 684 Section 9. Subsection (2) of section 220.186, Florida 685 Statutes, is amended to read: 686 220.186 Credit for Florida alternative minimum tax.— 687 (2) The credit pursuant to this section shall be the amount 688 of the excess, if any, of the tax paid based upon taxable income 689 determined pursuant to s. 220.13(2)(k) over the amount of tax 690 which would have been due based upon taxable income without 691 application of s. 220.13(2)(k), before application of this 692 creditwithout application of any credit under s. 220.1875. 693 Section 10. Section 220.1875, Florida Statutes, is amended 694 to read: 695 220.1875 Credit for contributions for K-12 educationto696eligible nonprofit scholarship-funding organizations.— 697 (1) There is allowed a credit of 100 percent of an eligible 698 contribution madeto an eligible nonprofit scholarship-funding699organizationunder s. 1002.395against any tax due for a taxable700year under this chapter after the application of any other701allowable credits by the taxpayer. An eligible contribution must 702 be made when the taxpayer makes an estimated paymentto an703eligible nonprofit scholarship-funding organization on or before704the date the taxpayer is required to file a return pursuant to705s. 220.222.The credit granted by this section shall be reduced706by the difference between the amount of federal corporate income707tax taking into account the credit granted by this section and708the amount of federal corporate income tax without application709of the credit granted by this section.710 (2) A taxpayer who files a Florida consolidated return as a 711 member of an affiliated group pursuant to s. 220.131(1) may be 712 allowed the credit on a consolidated return basis; however, the 713 total credit taken by the affiliated group is subject to the 714 limitation established under subsection (1). 715 (3) The provisions of s. 1002.395 apply to the credit 716 authorized by this section. 717(4) If a taxpayer applies and is approved for a credit718under s. 1002.395 after timely requesting an extension to file719under s. 220.222(2):720(a) The credit does not reduce the amount of tax due for721purposes of the department’s determination as to whether the722taxpayer was in compliance with the requirement to pay tentative723taxes under ss. 220.222 and 220.32.724(b) The taxpayer’s noncompliance with the requirement to725pay tentative taxes shall result in the revocation and726rescindment of any such credit.727(c) The taxpayer shall be assessed for any taxes,728penalties, or interest due from the taxpayer’s noncompliance729with the requirement to pay tentative taxes.730 Section 11. Section 561.1211, Florida Statutes, is amended 731 to read: 732 561.1211 Credit for contributions for K-12 educationto733eligible nonprofit scholarship-funding organizations.—There is 734 allowed a credit of 100 percent of an eligible contribution made 735to an eligible nonprofit scholarship-funding organizationunder 736 s. 1002.395 against any tax due under s. 563.05, s. 564.06, or 737 s. 565.12, except excise taxes imposed on wine produced by 738 manufacturers in this state from products grown in this state. 739However, a credit allowed under this section may not exceed 90740percent of the tax due on the return the credit is taken.For 741 purposes of the distributions of tax revenue under ss. 561.121 742 and 564.06(10), the division shall disregard any tax credits 743 allowed under this section to ensure that any reduction in tax 744 revenue received that is attributable to the tax credits results 745 only in a reduction in distributions to the General Revenue 746 Fund. The provisions of s. 1002.395 apply to the credit 747 authorized by this section. 748 Section 12. Section 624.51055, Florida Statutes, is amended 749 to read: 750 624.51055 Credit for contributions for K-12 educationto751eligible nonprofit scholarship-funding organizations.— 752 (1) There is allowed a credit of 100 percent of an eligible 753 contribution madeto an eligible nonprofit scholarship-funding754organizationunder s. 1002.395against any tax due for a taxable755year under s. 624.509(1) after deducting from such tax756deductions for assessments made pursuant to s. 440.51; credits757for taxes paid under ss. 175.101 and 185.08; credits for income758taxes paid under chapter 220; and the credit allowed under s.759624.509(5), as such credit is limited by s. 624.509(6). An760eligible contribution must be made to an eligible nonprofit761scholarship-funding organization on or before the date the762taxpayer is required to file a return pursuant to ss. 624.509763and 624.5092. An insurer claiming a credit against premium tax 764 liability under this section shall not be required to pay any 765 additional retaliatory tax levied pursuant to s. 624.5091 as a 766 result of claiming such credit. Section 624.5091 does not limit 767 such credit in any manner. 768 (2) The provisions of s. 1002.395 apply to the credit 769 authorized by this section. 770 Section 13. Paragraph (a) of subsection (6) of section 771 1002.20, Florida Statutes, is amended to read: 772 1002.20 K-12 student and parent rights.—Parents of public 773 school students must receive accurate and timely information 774 regarding their child’s academic progress and must be informed 775 of ways they can help their child to succeed in school. K-12 776 students and their parents are afforded numerous statutory 777 rights including, but not limited to, the following: 778 (6) EDUCATIONAL CHOICE.— 779 (a) Public educational school choices.—Parents of public 780 school students may seek any public educational school choice 781 options that are applicable and available to students throughout 782 the state. These options may include controlled open enrollment, 783 single-gender programs, lab schools, virtual instruction 784 programs, charter schools, charter technical career centers, 785 magnet schools, alternative schools, special programs, auditory 786 oral education programs, advanced placement, dual enrollment, 787 International Baccalaureate, International General Certificate 788 of Secondary Education (pre-AICE), CAPE digital tools, CAPE 789 industry certifications, collegiate high school programs, 790 Advanced International Certificate of Education, early 791 admissions, credit by examination or demonstration of 792 competency, the New World School of the Arts, the Florida School 793 for the Deaf and the Blind, and the Florida Virtual School. 794 These options may also include the public educational choice 795 options of the Opportunity Scholarship Program and the Family 796 Empowerment ScholarshipMcKay Scholarships for Students with797DisabilitiesProgram. 798 Section 14. Subsection (2) of section 1002.23, Florida 799 Statutes, is amended to read: 800 1002.23 Family and School Partnership for Student 801 Achievement Act.— 802 (2) To facilitate meaningful parent and family involvement, 803 the Department of Education shall develop guidelines for a 804 parent guide to successful student achievement which describes 805 what parents need to know about their child’s educational 806 progress and how they can help their child to succeed in school. 807 The guidelines shall include, but need not be limited to: 808 (a) Parental information regarding: 809 1. Requirements for their child to be promoted to the next 810 grade, as provided for in s. 1008.25; 811 2. Progress of their child toward achieving state and 812 district expectations for academic proficiency; 813 3. Assessment results, including report cards and progress 814 reports; 815 4. Qualifications of their child’s teachers; and 816 5. School entry requirements, including required 817 immunizations and the recommended immunization schedule; 818 (b) Services available for parents and their children, such 819 as family literacy services; mentoring, tutorial, and other 820 academic reinforcement programs; college planning, academic 821 advisement, and student counseling services; and after-school 822 programs; 823 (c) Opportunities for parental participation, such as 824 parenting classes, adult education, school advisory councils, 825 and school volunteer programs; 826 (d) Opportunities for parents to learn about rigorous 827 academic programs that may be available for their child, such as 828 honors programs, dual enrollment, advanced placement, 829 International Baccalaureate, International General Certificate 830 of Secondary Education (pre-AICE), Advanced International 831 Certificate of Education, Florida VirtualHighSchool courses, 832 and accelerated access to postsecondary education; 833 (e) Educational choices, as provided for in s. 1002.20(6),834and Florida tax credit scholarships, as provided for in s.8351002.395; 836 (f) Classroom and test accommodations available for 837 students with disabilities; 838 (g) School board rules, policies, and procedures for 839 student promotion and retention, academic standards, student 840 assessment, courses of study, instructional materials, and 841 contact information for school and district offices; and 842 (h) Resources for information on student health and other 843 available resources for parents. 844 Section 15. Paragraph (c) of subsection (2) of section 845 1002.31, Florida Statutes, is amended to read: 846 1002.31 Controlled open enrollment; Public school parental 847 choice.— 848 (2) 849 (c) Each district school board must provide preferential 850 treatment in its controlled open enrollment process to all of 851 the following: 852 1. Dependent children of active duty military personnel 853 whose move resulted from military orders. 854 2. Children who have been relocated due to a foster care 855 placement in a different school zone. 856 3. Children who move due to a court-ordered change in 857 custody due to separation or divorce, or the serious illness or 858 death of a custodial parent. 859 4. Students with an individual education plan or a 504 860 accommodation plan under s. 504 of the Rehabilitation Act of 861 1973 who are eligible for a McKay-Gardiner Scholarship pursuant 862 to s. 1002.381. 863 5. Students residing in the school district. 864 Section 16. Section 1002.381, Florida Statutes, is created 865 to read: 866 1002.381 The McKay-Gardiner Scholarship Program.— 867 (1) ESTABLISHMENT OF PROGRAM.—Beginning with the 2021-2022 868 school year, the McKay-Gardiner Scholarship Program is 869 established to provide the option for a parent to better meet 870 the individual educational needs of his or her eligible child. 871 All written explanatory materials, including state websites, 872 scholarship organization materials, letters to parents, 873 scholarship agreements, and any other written information 874 describing the program to the public, must refer to a 875 scholarship granted under this program as a “McKay-Gardiner 876 Scholarship.” 877 (2) DEFINITIONS.—As used in this section, the term: 878 (a) “Approved provider” means a provider approved by the 879 Agency for Persons with Disabilities, a health care practitioner 880 as defined in s. 456.001, or a provider approved by the 881 department pursuant to s. 1002.66. 882 (b) “Curriculum” has the same meaning as provided in s. 883 1002.394. 884 (c) “Department” means the Department of Education. 885 (d) “Disability” means: 886 1. For a 3-year-old or 4-year-old child or for a student in 887 kindergarten through grade 12, that the child has been diagnosed 888 with any of the following: autism spectrum disorder; cerebral 889 palsy; Down syndrome; an intellectual disability; Phelan 890 McDermid syndrome; Prader-Willi syndrome; spina bifida; being a 891 high-risk child, as defined in s. 393.063(23)(a); muscular 892 dystrophy; Williams syndrome; rare diseases which affect patient 893 populations of fewer than 200,000 individuals in the United 894 States, as defined by the National Organization for Rare 895 Disorders; anaphylaxis; deaf; visually impaired; traumatic 896 brain-injured; hospital or homebound; or dual sensory impaired, 897 as defined by rules of the State Board of Education and 898 evidenced by reports from local school districts. As used in 899 this subparagraph, the term “hospital or homebound” includes a 900 student who has a medically diagnosed physical or psychiatric 901 condition or illness, as defined by state board rule, and who is 902 confined to the home or hospital for more than 6 months. 903 2. For a student in kindergarten through grade 12, that the 904 child has been diagnosed with any of the following: a speech 905 impairment; a language impairment; a hearing impairment; an 906 orthopedic impairment; an emotional or behavioral disability; a 907 specific learning disability, including, but not limited to, 908 dyslexia, dyscalculia, or developmental aphasia; or a 909 developmental delay. 910 (e) “Eligible nonprofit scholarship-funding organization” 911 or “organization” means a state university; an independent 912 college or university eligible to participate in the William L. 913 Boyd, IV, Effective Access to Student Education Grant Program 914 located and chartered in this state which is not for profit and 915 is accredited by the Commission on Colleges of the Southern 916 Association of Colleges and Schools; or a charitable 917 organization that: 918 1. Is exempt from federal income tax pursuant to s. 919 501(c)(3) of the Internal Revenue Code; 920 2. Is a Florida entity formed under chapter 605, chapter 921 607, or chapter 617 and whose principal office is located in 922 this state; and 923 3. Complies with subsections (12) and (13). 924 (f) “Eligible postsecondary educational institution” has 925 the same meaning as provided in s. 1002.394. 926 (g) “Eligible private school” has the same meaning as 927 provided in s. 1002.394. 928 (h) “IEP” means an individual education plan, regardless of 929 whether the plan has been reviewed or revised within the last 12 930 months. 931 (i) “Inactive” means that no eligible expenditures have 932 been made from a student scholarship account funded pursuant to 933 this section. 934 (j) “Job coach” means an individual employed to help people 935 with disabilities learn, accommodate to, and perform their work 936 duties. 937 (k) “Parent” means a resident of this state who is a 938 parent, as defined in s. 1000.21(5). 939 (l) “Program” means the McKay-Gardiner Scholarship Program 940 established in this section. 941 (3) PROGRAM ELIGIBILITY.—A parent of a student with a 942 disability may request and receive from the state a McKay 943 Gardiner Scholarship for the purposes specified in subsection 944 (5) if: 945 (a) The student: 946 1. Is a resident of this state; 947 2. Is 3 or 4 years of age on or before September 1 of the 948 year in which the student applies for program participation or 949 is eligible to enroll in kindergarten through grade 12 in a 950 public school in this state; and 951 3. Meets at least one of the following criteria: 952 a. Has a diagnosis of a disability from a physician who is 953 licensed under chapter 458 or chapter 459, a psychologist who is 954 licensed under chapter 490, or a physician who holds an active 955 license issued by another state or territory of the United 956 States, the District of Columbia, or the Commonwealth of Puerto 957 Rico; 958 b. Has an individual education plan that has been written 959 in accordance with the rules of the State Board of Education; or 960 c. Has a 504 accommodation plan issued under s. 504 of the 961 Rehabilitation Act of 1973. 962 963 A student with a disability who meets the requirements of 964 subparagraph 1. and sub-subparagraph 3.a., but who turns 3 years 965 of age after September 1, may be determined to be eligible on or 966 after his or her third birthday and may be awarded a scholarship 967 if program funds are available. 968 (b) The parent has applied to an eligible nonprofit 969 scholarship-funding organization to participate in the program 970 by a date as set by the organization for any vacant slots. The 971 request must be communicated directly to the organization in a 972 manner that creates a written or electronic record of the 973 request and the date of receipt of the request. 974 (4) PROGRAM PROHIBITIONS.—A student is not eligible for the 975 program if he or she is: 976 (a) Enrolled in a public school, including, but not limited 977 to, the Florida School for the Deaf and the Blind, the College 978 Preparatory Boarding Academy, a developmental research school 979 authorized under s. 1002.32, or a charter school authorized 980 under this chapter. For purposes of this paragraph, a 3- or 4 981 year-old child who receives services funded through the Florida 982 Education Finance Program is considered to be a student enrolled 983 in a public school. 984 (b) Enrolled in a school operating for the purpose of 985 providing educational services to youth in Department of 986 Juvenile Justice commitment programs. 987 (c) Issued a temporary 504 accommodation plan under s. 504 988 of the Rehabilitation Act of 1973 which is valid for 6 months or 989 less. 990 (d) Receiving any other educational scholarship pursuant to 991 this chapter. 992 (e) Not having regular and direct contact with his or her 993 private school teachers pursuant to s. 1002.421(1)(i), unless he 994 or she is enrolled in the private school’s transition-to-work 995 program pursuant to subsection (14) or a home education program 996 pursuant to s. 1002.41. 997 (f) Participating in a virtual school, correspondence 998 school, or distance learning program that receives state funding 999 pursuant to the student’s participation. 1000 (5) AUTHORIZED USES OF PROGRAM FUNDS.—Program funds must be 1001 used to meet the individual educational needs of an eligible 1002 student and may be spent only for the following purposes: 1003 (a) Instructional materials, including school equipment and 1004 supplies, and digital devices, digital periphery devices, and 1005 assistive technology devices that allow a student to access 1006 instruction or instructional content; training on the use of 1007 these devices and related maintenance agreements; and Internet 1008 access to digital instructional materials. 1009 (b) Curriculum. 1010 (c) Specialized services by approved providers or by a 1011 hospital in this state which are selected by the parent. These 1012 specialized services may include, but are not limited to: 1013 1. Applied behavior analysis services as provided in ss. 1014 627.6686 and 641.31098. 1015 2. Services provided by a speech-language pathologist as 1016 defined in s. 468.1125(8). 1017 3. Occupational therapy services as specified in s. 1018 468.203. 1019 4. Services provided by a physical therapist as defined in 1020 s. 486.021(5). 1021 5. Services provided by listening and spoken language 1022 specialists and an appropriate acoustical environment for a 1023 child who is deaf or hard of hearing and who has received an 1024 implant or assistive hearing device. 1025 (d) Tuition or fees associated with full-time or part-time 1026 enrollment in any of the following: 1027 1. A home education program, an eligible private school, an 1028 eligible postsecondary educational institution, or a program 1029 offered by the postsecondary institution; 1030 2. A private tutoring program authorized under s. 1002.43, 1031 a virtual program offered by a department-approved private 1032 online provider that meets the provider qualifications specified 1033 in s. 1002.45(2)(a), or a program offered by the Florida Virtual 1034 School to a private paying student; or 1035 3. An approved online course offered pursuant to s. 1036 1003.499 or s. 1004.0961 or a private virtual school that meets 1037 the requirements of s. 1002.421. 1038 (e) Fees for nationally standardized, norm-referenced 1039 achievement tests, Advanced Placement examinations, industry 1040 certification examinations, assessments related to postsecondary 1041 education, or other such assessments. 1042 (f) Contributions to the Stanley G. Tate Florida Prepaid 1043 College Program pursuant to s. 1009.98 or the Florida College 1044 Savings Program pursuant to s. 1009.981, for the benefit of the 1045 eligible student. 1046 (g) Contracted services provided by a public school or a 1047 school district, including classes. A student who receives 1048 services under this paragraph is not considered enrolled in a 1049 public school for the purpose of eligibility as provided in 1050 subsection (4). 1051 (h) Tuition and fees for part-time tutoring services 1052 provided by a person who holds a valid Florida educator’s 1053 certificate issued pursuant to s. 1012.56; a person who holds an 1054 adjunct teaching certificate issued pursuant to s. 1012.57; a 1055 person who has a bachelor’s degree or a graduate degree in the 1056 subject area in which instruction is given; or a person who has 1057 demonstrated a mastery of subject area knowledge as provided in 1058 s. 1012.56(5) or approved by the department. Any part-time 1059 tutoring undertaken pursuant to this paragraph does not qualify 1060 as regular school attendance as defined in s. 1003.01(13)(e). 1061 (i) Fees for summer education programs. 1062 (j) Fees for after-school education programs. 1063 (k) Transition services, including a coordinated set of 1064 activities focused on improving the academic and functional 1065 achievement of the student to facilitate his or her movement 1066 from school to post-school activities and based on the 1067 individual student’s needs. Transition services may be provided 1068 by job coaches or pursuant to subsection (14). 1069 (l) Fees for an annual evaluation of educational progress 1070 by a state-certified teacher under s. 1002.41(1)(f), if this 1071 option is chosen for a home education student. 1072 (m) Tuition and fees associated with programs offered by 1073 Voluntary Prekindergarten Education Program providers approved 1074 pursuant to s. 1002.55 and school readiness providers approved 1075 pursuant to s. 1002.88. 1076 (n) Fees for services provided at a center that is a member 1077 of the Professional Association of Therapeutic Horsemanship 1078 International. 1079 (o) Fees for services provided by a therapist who is 1080 certified by the Certification Board for Music Therapists or 1081 credentialed by the Art Therapy Credentials Board, Inc. 1082 (p) Tuition and fees associated with enrollment in a 1083 nationally or internationally recognized research-based training 1084 program, for a child with a neurological disorder or brain 1085 damage. 1086 (q) Tuition and fees associated with a student’s 1087 participation in classes or lessons relating to art, music, or 1088 theater. The instructor of the classes or lessons must: 1089 1. Hold a valid or expired Florida educator’s certificate 1090 issued under s. 1012.56 in art, music, or drama; 1091 2. Have 3 years of employment experience in art, music, or 1092 theater, as demonstrated by employment records; 1093 3. Hold a baccalaureate degree or higher from a 1094 postsecondary educational institution with a major in music, 1095 art, theater, or drama or a related field; or 1096 4. Hold a certification or national accreditation in music, 1097 art, theater, or drama. 1098 (r) Transportation expenses that may not exceed $750 1099 annually necessary to meet the student’s educational needs under 1100 this section. 1101 1102 A service provider who receives payments pursuant to this 1103 subsection may not share or refund any moneys from the McKay 1104 Gardiner Scholarship with the parent or participating student 1105 and may not issue rebates to such persons. A parent, student, or 1106 service provider may not bill an insurance company, Medicaid, or 1107 any other agency for the same services that are paid for with 1108 McKay-Gardiner Scholarship funds. Funding provided pursuant to 1109 this subsection for a child eligible for enrollment in the 1110 Voluntary Prekindergarten Education Program constitutes funding 1111 for the child under part V of this chapter, and no additional 1112 funding may be provided for the child under part V. 1113 (6) TERMS OF THE PROGRAM.—For purposes of continuity of 1114 educational choice and program integrity: 1115 (a)1. Program payments made by the state to an organization 1116 for a McKay-Gardiner Scholarship under this section must 1117 continue until: 1118 a. A student’s parent does not renew program eligibility; 1119 b. The organization determines that a student is not 1120 eligible for program renewal; 1121 c. The Commissioner of Education suspends or revokes 1122 program participation or use of funds pursuant to subparagraph 1123 (b)1.; 1124 d. A student’s parent has forfeited participation in the 1125 program for failure to comply with subsection (11); 1126 e. A student enrolls in a public school, except that a 1127 student who enters a Department of Juvenile Justice detention 1128 center for a period of no more than 21 days is not considered to 1129 have returned to a public school for that purpose; or 1130 f. A student graduates from high school or attains 22 years 1131 of age, whichever occurs first. 1132 2. Reimbursements for program expenditures may continue 1133 until the account balance is expended or the account is closed 1134 pursuant to paragraph (b). 1135 (b)1. The commissioner must close a student’s scholarship 1136 account, and any remaining funds, including, but not limited to, 1137 contributions made to the Stanley G. Tate Florida Prepaid 1138 College Program or earnings from or contributions made to the 1139 Florida College Savings Program using program funds pursuant to 1140 paragraph (5)(f), revert to the state after: 1141 a. Denial or revocation of program eligibility by the 1142 commissioner for fraud or abuse, including, but not limited to, 1143 the student or student’s parent accepting any payment, refund, 1144 or rebate from a provider of services received pursuant to 1145 subsection (5); however, a private school may discount tuition 1146 if the private school deems it necessary; 1147 b. Any period of 3 consecutive years after high school 1148 completion or graduation during which the student has not been 1149 enrolled in an eligible postsecondary educational institution or 1150 a program offered by such an institution; or 1151 c. Two consecutive fiscal years in which an account has 1152 been inactive. 1153 2. The commissioner must notify the parent and the 1154 organization when a McKay-Gardiner Scholarship account is closed 1155 and program funds revert to the state. 1156 (7) SCHOOL DISTRICT OBLIGATIONS; PARENTAL OPTIONS.— 1157 (a) By each April 1 and within 10 days after an individual 1158 education plan meeting or a 504 accommodation plan is issued 1159 under s. 504 of the Rehabilitation Act of 1973, a school 1160 district shall notify the parent of the student of all options 1161 available pursuant to this section and shall inform the parent 1162 of the availability of the department’s website for additional 1163 information on McKay-Gardiner Scholarships. 1164 (b)1. The parent of a student with a disability who does 1165 not have an IEP or who seeks a reevaluation of an existing IEP 1166 may request an IEP meeting and evaluation from the school 1167 district in order to obtain or revise a matrix of services. The 1168 district must accept the diagnosis, and consider the service 1169 plan of the licensed professional providing the diagnosis 1170 pursuant to sub-subparagraph (3)(a)3.a., during the development 1171 of the IEP or provide in writing reasons for any changes or 1172 disagreement with the licensed professional’s diagnosis and 1173 service plan. The school district shall notify a parent who has 1174 made a request for an IEP that the district is required to 1175 complete the IEP and matrix of services within 30 days after 1176 receiving notice of the parent’s request. The school district 1177 shall conduct a meeting and develop an IEP and matrix of 1178 services within 30 days after receipt of the parent’s request in 1179 accordance with State Board of Education rule. 1180 2.a. The school district must provide the student’s parent 1181 and the department with the student’s matrix level within 10 1182 calendar days after its completion. 1183 b. A school district may change a matrix of services only 1184 if the change is a result of an IEP reevaluation or to correct a 1185 technical, typographical, or calculation error. 1186 (c) For each student participating in the program who 1187 chooses to participate in statewide, standardized assessments 1188 under s. 1008.22 or the Florida Alternate Assessment, the school 1189 district in which the student resides must notify the student 1190 and his or her parent about the locations and times of all 1191 statewide, standardized assessments. 1192 (8) PRIVATE SCHOOL ELIGIBILITY AND OBLIGATIONS.—An eligible 1193 private school may be sectarian or nonsectarian and shall: 1194 (a) Comply with all requirements for private schools 1195 participating in state school choice scholarship programs 1196 pursuant to s. 1002.421. 1197 (b)1. Annually administer or make provision for students 1198 participating in the program in grades 3 through 10 to take one 1199 of the nationally norm-referenced tests identified by the 1200 Department of Education or the statewide assessments 1201 administered pursuant to s. 1008.22. This subparagraph does not 1202 apply to students with disabilities for whom standardized 1203 testing is not appropriate. A participating private school shall 1204 report a student’s scores to the parent. 1205 2. Administer the statewide assessments pursuant to s. 1206 1008.22 if a private school chooses to offer the statewide 1207 assessments. A participating private school may choose to offer 1208 and administer the statewide assessments to all students who 1209 attend the private school in grades 3 through 10 and must submit 1210 a request in writing to the Department of Education by March 1 1211 of each year in order to administer the statewide assessments in 1212 the subsequent school year. 1213 (c) Provide to the organization all documentation for a 1214 student’s participation by a date established by the 1215 organization. 1216 1217 If a private school fails to meet the requirements of this 1218 subsection or s. 1002.421, the commissioner may determine that 1219 the private school is ineligible to participate in the 1220 scholarship program. 1221 (9) DEPARTMENT OF EDUCATION OBLIGATIONS.—The department 1222 shall: 1223 (a) Comply with s. 1002.394(8)(a)-(g). 1224 (b) Maintain on its website a list of approved providers as 1225 required by s. 1002.66, eligible postsecondary educational 1226 institutions, eligible private schools, and eligible 1227 organizations and may identify or provide links to lists of 1228 other approved providers. 1229 (c) Require each organization to verify eligible 1230 expenditures before the distribution of funds for any 1231 expenditures made pursuant to paragraphs (5)(a) and (b). Review 1232 of expenditures made for services specified in paragraphs 1233 (5)(c)-(r) may be completed after the purchase is made. 1234 (d) Investigate any written complaint of a violation of 1235 this section by a parent, a student, a private school, a public 1236 school, a school district, an organization, a provider, or 1237 another appropriate party in accordance with the process 1238 established under s. 1002.421. 1239 (e) Require quarterly reports by an organization, which 1240 must include, at a minimum, the number of students participating 1241 in the program; the demographics of program participants; the 1242 disability category of program participants; the matrix level of 1243 services, if known; the program award amount per student; the 1244 total expenditures for the purposes specified in subsection (5); 1245 the types of providers of services to students; and any other 1246 information deemed necessary by the department. 1247 (f) Compare the list of students participating in the 1248 program with the public school student enrollment lists, 1249 Voluntary Prekindergarten Education Program enrollment lists, 1250 and the list of students participating in school choice 1251 scholarship programs established pursuant to this chapter before 1252 each scholarship award is provided to the organization, and 1253 subsequently throughout the school year, to avoid duplicate 1254 payments and confirm program eligibility. 1255 (g) Distribute each student’s scholarship funds on a 1256 quarterly basis to the eligible nonprofit scholarship-funding 1257 organization, to be deposited into the student’s account. 1258 (h) Establish and coordinate with the eligible nonprofit 1259 scholarship-funding organizations an FTE reporting process to 1260 provide FTE by county by FEFP program and by matrix level of 1261 services to be used to revise and update the K-12 Education 1262 Scholarship Program allocation pursuant to s. 1011.687, for 1263 inclusion in the FEFP calculations beginning with the FEFP 1264 calculation following the October student membership survey. 1265 (10) COMMISSIONER OF EDUCATION AUTHORITY AND OBLIGATIONS.— 1266 (a) The Commissioner of Education: 1267 1. May suspend or revoke program participation or use of 1268 program funds by the student or participation or eligibility of 1269 an organization, eligible postsecondary educational institution, 1270 approved provider, or other party for a violation of this 1271 section. 1272 2. May determine the length of, and conditions for lifting, 1273 a suspension or revocation specified in this subsection. 1274 3. May recover unexpended program funds or withhold payment 1275 of an equal amount of program funds to recover program funds 1276 that were not authorized for use. 1277 4. Shall deny or terminate program participation upon a 1278 parent’s forfeiture of a McKay-Gardiner Scholarship pursuant to 1279 subsection (11). 1280 (b) In determining whether to suspend or revoke 1281 participation or lift a suspension or revocation in accordance 1282 with this subsection, the commissioner may consider factors that 1283 include, but are not limited to, acts or omissions that led to a 1284 previous suspension or revocation of participation in a state or 1285 federal program or an education scholarship program; failure to 1286 reimburse the organization for funds improperly received or 1287 retained; failure to reimburse government funds improperly 1288 received or retained; imposition of a prior criminal sanction 1289 related to the person or entity or its officers or employees; 1290 imposition of a civil or administrative fine, license revocation 1291 or suspension, or program eligibility suspension, termination, 1292 or revocation related to a person’s or an entity’s management or 1293 operation; or other types of criminal proceedings in which the 1294 person or entity or its officers or employees were found guilty 1295 of, regardless of adjudication, or entered a plea of nolo 1296 contendere or guilty to, any offense involving fraud, deceit, 1297 dishonesty, or moral turpitude. 1298 (11) PARENT AND STUDENT RESPONSIBILITIES FOR PROGRAM 1299 PARTICIPATION.—A parent who applies for program participation 1300 under this section is exercising his or her parental option to 1301 determine the appropriate placement or services that best meet 1302 the needs of his or her child. 1303 (a) To satisfy or maintain program eligibility, including 1304 eligibility to receive and spend program payments, the parent 1305 must sign an agreement with the organization and annually submit 1306 a sworn compliance statement to the organization to: 1307 1. Affirm that the student is enrolled in a program that 1308 meets regular school attendance requirements as provided in s. 1309 1003.01(13)(b), (c), or (d). 1310 2. Affirm that the program funds are used only for 1311 authorized purposes serving the student’s educational needs, as 1312 described in subsection (5). 1313 3. Affirm that the parent is responsible for the education 1314 of his or her student by, as applicable: 1315 a. Requiring the student to take an assessment in 1316 accordance with paragraph (8)(b); 1317 b. Providing an annual evaluation in accordance with s. 1318 1002.41(1)(f); or 1319 c. Requiring the child to take any preassessments and 1320 postassessments selected by the provider if the child is 4 years 1321 of age and is enrolled in a program provided by an eligible 1322 Voluntary Prekindergarten Education Program provider. This sub 1323 subparagraph does not apply to a student with disabilities for 1324 whom a preassessment and postassessment are not appropriate. A 1325 participating provider shall report a student’s scores to the 1326 parent. 1327 4. Affirm that the student remains in good standing with 1328 the provider or school if one of those options is selected by 1329 the parent. 1330 (b) The parent must file an application for initial program 1331 participation with an organization by a date established by the 1332 organization. 1333 (c) The parent must enroll his or her child in a program 1334 from a Voluntary Prekindergarten Education Program provider 1335 authorized under s. 1002.55, a school readiness provider 1336 authorized under s. 1002.88, or an eligible private school if 1337 either option is selected by the parent. 1338 (d) The parent must annually renew participation in the 1339 program by a date set and format determined by the nonprofit 1340 scholarship-funding organization in order for a student to be 1341 eligible to receive funding. A student whose participation in 1342 the program is not renewed may continue to spend scholarship 1343 funds that are in his or her account from prior years unless the 1344 account is closed pursuant to paragraph (6)(b). Notwithstanding 1345 any changes to the student’s IEP, a student who was previously 1346 eligible for participation in the program remains eligible to 1347 apply for renewal. However, for a high-risk child to continue to 1348 participate in the program in the school year after he or she 1349 reaches 6 years of age, the child’s application for renewal of 1350 program participation must contain documentation that the child 1351 has a disability, other than high-risk status. 1352 (e) The parent is responsible for procuring the services 1353 necessary to educate the student. If a parent does not procure 1354 the necessary educational services for the student and the 1355 student’s account has been inactive for 2 consecutive fiscal 1356 years, the student’s account must be closed pursuant to 1357 paragraph (6)(b). When the student receives a McKay-Gardiner 1358 Scholarship, the district school board is not obligated to 1359 provide the student with a free, appropriate public education. 1360 For purposes of s. 1003.57 and the Individuals with Disabilities 1361 in Education Act, a participating student has only those rights 1362 that apply to all other unilaterally, parentally placed 1363 students, except that, when requested by the parent, school 1364 district personnel must develop an individual education plan or 1365 matrix level of services. 1366 (f) The parent is responsible for all eligible expenses in 1367 excess of the amount of the McKay-Gardiner Scholarship. 1368 (g) The parent may not transfer any prepaid college plan or 1369 college savings plan funds contributed pursuant to paragraph 1370 (5)(f) to another beneficiary while the plan contains funds 1371 contributed pursuant to this section. 1372 (h) The parent may not receive a payment, refund, or rebate 1373 from an approved provider of any services under this program. 1374 1375 A participant who fails to comply with this subsection forfeits 1376 the McKay-Gardiner Scholarship. 1377 (12) NONPROFIT SCHOLARSHIP-FUNDING ORGANIZATIONS; 1378 APPLICATION.—In order to participate in the scholarship program 1379 created under this section, a charitable organization that seeks 1380 to be an eligible nonprofit scholarship-funding organization 1381 must submit an application for initial approval or renewal to 1382 the Office of Independent Education and Parental Choice no later 1383 than September 1 of each year before the school year for which 1384 the organization intends to offer scholarships. 1385 (a) An application for initial approval must include all of 1386 the following: 1387 1. A copy of the organization’s incorporation documents and 1388 registration with the Division of Corporations of the Department 1389 of State. 1390 2. A copy of the organization’s Internal Revenue Service 1391 determination letter as a s. 501(c)(3) not-for-profit 1392 organization. 1393 3. A description of the organization’s financial plan which 1394 demonstrates sufficient funds to operate throughout the school 1395 year. 1396 4. A description of the geographic region that the 1397 organization intends to serve and an analysis of the demand and 1398 unmet need for eligible students in that area. 1399 5. The organization’s organizational chart. 1400 6. A description of the criteria and methodology that the 1401 organization will use to evaluate scholarship eligibility. 1402 7. A description of the application process, including 1403 deadlines and any associated fees. 1404 8. A description of the deadlines for attendance 1405 verification and scholarship payments. 1406 9. A copy of the organization’s policies on conflict of 1407 interest and whistleblowers. 1408 10. A copy of a surety bond or letter of credit to secure 1409 the faithful performance of the obligations of the eligible 1410 nonprofit scholarship-funding organization in accordance with 1411 this section in an amount equal to 25 percent of the scholarship 1412 funds anticipated for each school year or $100,000, whichever is 1413 greater. The surety bond or letter of credit must specify that 1414 any claim against the bond or letter of credit may be made only 1415 by an eligible nonprofit scholarship-funding organization to 1416 provide scholarships to and on behalf of students who would have 1417 had scholarships funded if it were not for the diversion of 1418 funds giving rise to the claim against the bond or letter of 1419 credit. 1420 (b) In addition to the information required under paragraph 1421 (a), an application for renewal must include all of the 1422 following: 1423 1. A single surety bond or letter of credit to secure the 1424 faithful performance of the obligations of the eligible 1425 nonprofit scholarship-funding organization in accordance with 1426 this chapter equal to the amount of undisbursed funds held by 1427 the organization based on the annual report submitted pursuant 1428 to paragraph (13)(a). The amount of the surety bond or letter of 1429 credit must be at least $100,000, but not more than $25 million. 1430 The surety bond or letter of credit must specify that any claim 1431 against the bond or letter of credit may be made only by an 1432 eligible nonprofit scholarship-funding organization to provide 1433 scholarships to and on behalf of students who would have had 1434 scholarships funded if it were not for the diversion of funds 1435 giving rise to the claim against the bond or letter of credit. 1436 2. The organization’s completed Internal Revenue Service 1437 Form 990 submitted no later than November 30 of the year before 1438 the school year for which the organization intends to offer the 1439 scholarships, notwithstanding the September 1 application 1440 deadline. 1441 3. A copy of any statutorily required audit that the 1442 organization must provide to the Department of Education and 1443 Auditor General. 1444 4. An annual report that includes all of the following: 1445 a. The number of students who completed applications, by 1446 county and by grade. 1447 b. The number of students who were approved for 1448 scholarships, by county and by grade. 1449 c. The number of students who received funding for 1450 scholarships within each funding category, by county and by 1451 grade. 1452 d. The amount of funds received, the amount of funds 1453 distributed in scholarships, and an accounting of remaining 1454 funds and the obligation of those funds. 1455 e. A detailed accounting of how the organization spent the 1456 administrative funds allowable under paragraph (13)(f). 1457 (c) In consultation with the Chief Financial Officer, the 1458 Office of Independent Education and Parental Choice shall review 1459 the application. The Department of Education shall notify the 1460 organization in writing of any deficiencies within 30 days after 1461 receipt of the application and allow the organization 30 days to 1462 correct any deficiencies. 1463 (d) Within 30 days after receipt of the finalized 1464 application by the Office of Independent Education and Parental 1465 Choice, the Commissioner of Education shall recommend approval 1466 or disapproval of the application to the State Board of 1467 Education. The State Board of Education shall consider the 1468 application and recommendation at the next scheduled meeting, 1469 adhering to appropriate meeting notice requirements. If the 1470 State Board of Education disapproves the organization’s 1471 application, it must provide the organization with a written 1472 explanation of that determination. The State Board of 1473 Education’s action is not subject to chapter 120. 1474 (e) If the State Board of Education disapproves the renewal 1475 of a nonprofit scholarship-funding organization, the 1476 organization must notify the affected eligible students and 1477 parents of the decision within 15 days after disapproval. An 1478 eligible student affected by the disapproval of an 1479 organization’s participation remains eligible under this section 1480 until the end of the school year in which the organization was 1481 disapproved. The student must apply to and be accepted by 1482 another eligible nonprofit scholarship-funding organization for 1483 the upcoming school year. The student must be given priority 1484 under paragraph (13)(e). 1485 (f) All remaining student accounts with funds held by a 1486 nonprofit scholarship-funding organization that is disapproved 1487 for participation must be transferred to the student’s account 1488 established with the eligible nonprofit scholarship-funding 1489 organization that accepts the student. All transferred funds 1490 must be deposited by the eligible nonprofit scholarship-funding 1491 organization receiving such funds into the student’s scholarship 1492 account. All other remaining funds must be transferred to the 1493 department. All transferred amounts received by any eligible 1494 nonprofit scholarship-funding organization must be separately 1495 disclosed in the annual audit required under subsection (16). 1496 (g) A nonprofit scholarship-funding organization is a 1497 renewing organization if it was approved by the State Board of 1498 Education for the 2021-2022 fiscal year or after and maintains 1499 continuous approval and participation in the program. An 1500 organization that chooses not to participate for 1 year or more 1501 or is disapproved to participate for 1 year or more must submit 1502 an application for initial approval in order to participate in 1503 the program again. 1504 (h) The State Board of Education shall adopt rules 1505 providing guidelines for receiving, reviewing, and approving 1506 applications for new and renewing nonprofit scholarship-funding 1507 organizations. The rules must include a process for compiling 1508 input and recommendations from the Chief Financial Officer and 1509 the Department of Education. The rules also must require that 1510 the nonprofit scholarship-funding organization make a brief 1511 presentation to assist the State Board of Education in its 1512 decision. 1513 (i) A state university; or an independent nonprofit college 1514 chartered in this state or independent nonprofit university 1515 chartered in this state that are eligible to participate in the 1516 William L. Boyd, IV, Effective Access to Student Education Grant 1517 Program and are accredited by the Commission on Colleges of the 1518 Southern Association of Colleges and Schools is exempt from the 1519 initial or renewal application process, but must file a 1520 registration notice with the Department of Education to be an 1521 eligible nonprofit scholarship-funding organization. The State 1522 Board of Education shall adopt rules that identify the procedure 1523 for filing the registration notice with the department. The 1524 rules must identify appropriate reporting requirements for 1525 fiscal, programmatic, and performance accountability purposes 1526 consistent with this section, but may not exceed the 1527 requirements for eligible nonprofit scholarship-funding 1528 organizations for charitable organizations. 1529 (13) OBLIGATIONS OF ELIGIBLE NONPROFIT SCHOLARSHIP-FUNDING 1530 ORGANIZATIONS.—An organization may establish McKay-Gardiner 1531 Scholarships for eligible students by: 1532 (a) Complying with the requirements of s. 1002.394(11)(a) 1533 (h), including, but not limited to, the annual report on the 1534 results of the annual financial audit. 1535 (b) Receiving applications and determining student 1536 eligibility in accordance with the requirements of this section. 1537 When an application is approved, the organization must provide 1538 the department with information on the student to enable the 1539 department to determine student funding in accordance with 1540 subsection (15). 1541 (c) Providing scholarships on a first-come, first-served 1542 basis, based upon the funds provided, and notifying parents of 1543 their respective student’s receipt of a scholarship. 1544 (d) Establishing a date by which a parent must confirm 1545 initial or continuing participation in the program. 1546 (e) Reviewing applications and awarding scholarship funds 1547 to approved applicants using the following order of priority: 1548 1.a. For the 2021-2022 school year, a student who received 1549 a John M. McKay Scholarship for Students with Disabilities or a 1550 Gardiner Scholarship in the 2020-2021 school year and meets the 1551 eligibility requirements in subsection (3) is eligible for a 1552 McKay-Gardiner Scholarship in the 2021-2022 school year. 1553 b. For the 2022-2023 school year and thereafter, renewing 1554 students from the previous school year under this section. 1555 2. Students retained on the previous school year’s wait 1556 list. 1557 3. An eligible student who meets the criteria for an 1558 initial award pursuant to subsection (3). 1559 1560 An approved student who does not receive a scholarship must be 1561 placed on the wait list in the order in which his or her 1562 application is approved. An eligible student who does not 1563 receive a scholarship within the fiscal year shall be retained 1564 on the wait list for the subsequent year. 1565 (f) Using an amount not to exceed 2.5 percent of the total 1566 calculated amount of all scholarships awarded under this section 1567 for administrative expenses associated with performing functions 1568 authorized under this section, if the organization has operated 1569 as an eligible nonprofit scholarship-funding organization for at 1570 least the preceding 3 fiscal years and did not have any material 1571 weakness or material noncompliance in its most recent audit 1572 performed pursuant to s. 1002.394(11)(f). 1573 (g) Verifying qualifying educational expenditures pursuant 1574 to paragraph (9)(c) and requesting the return of any funds used 1575 for unauthorized purposes. 1576 (h) Returning any remaining program funds to the department 1577 pursuant to paragraph (6)(b). 1578 (i) Notifying the parent about the availability of, and the 1579 requirements associated with requesting, an initial IEP or IEP 1580 reevaluation every 3 years for each student participating in the 1581 program. 1582 (j) Documenting each student’s eligibility for a fiscal 1583 year before granting a scholarship for that fiscal year pursuant 1584 to paragraph (3)(b). A student is ineligible for a scholarship 1585 if the student’s account has been inactive for 2 consecutive 1586 fiscal years and the student’s account has been closed pursuant 1587 to paragraph (6)(b). 1588 (k) Submitting in a timely fashion any information 1589 requested by the department relating to the program. 1590 (l) Preparing and submitting quarterly reports to the 1591 department pursuant to paragraph (9)(e). 1592 (m) Notifying the department of any violation of this 1593 section. 1594 (14) TRANSITION-TO-WORK PROGRAM.—A student participating in 1595 the McKay-Gardiner Scholarship Program who is at least 17 years 1596 of age, but not older than 22 years of age, and who has not 1597 received a high school diploma or certificate of completion is 1598 eligible for enrollment in a transition-to-work program provided 1599 by a private school or job coach. A transition-to-work program 1600 must consist of academic instruction, work skills training, and 1601 a volunteer or paid work experience. 1602 (a) To offer a transition-to-work program, a participating 1603 private school or job coach must: 1604 1. Develop a transition-to-work program plan, which must 1605 include a written description of the academic instruction and 1606 work skills training students will receive and the goals for 1607 students in the program. 1608 2. Submit the transition-to-work program plan to the Office 1609 of Independent Education and Parental Choice. 1610 3. Develop a personalized transition-to-work program plan 1611 for each student enrolled in the program. The student’s parent, 1612 the student, and the school principal or job coach must sign the 1613 personalized plan. The personalized plan must be submitted to 1614 the Office of Independent Education and Parental Choice upon 1615 request by the office. 1616 4. Provide a release of liability form that must be signed 1617 by the student’s parent, the student, and a representative of 1618 the business offering the volunteer or paid work experience. 1619 5. Assign a case manager or job coach to visit the 1620 student’s job site on a weekly basis to observe the student and, 1621 if necessary, provide support and guidance to the student. 1622 6. Provide to the parent and student a quarterly report 1623 that documents and explains the student’s progress and 1624 performance in the program. 1625 7. Maintain accurate attendance and performance records for 1626 the student. 1627 (b) A student enrolled in a transition-to-work program 1628 must, at a minimum: 1629 1. Receive 15 instructional hours that must include 1630 academic instruction and work skills training. 1631 2. Participate in 10 hours of work at the student’s 1632 volunteer or paid work experience. 1633 (c) To participate in a transition-to-work program, a 1634 business must: 1635 1. Maintain an accurate record of the student’s performance 1636 and hours worked and provide the information to the private 1637 school. 1638 2. Comply with all state and federal child labor laws. 1639 (15) FUNDING AND PAYMENT.—For the purposes of this 1640 subsection, the term “student FTE” refers to how participating 1641 students are calculated for the purposes of the scholarship 1642 program allocation, which is equal to four quarterly scholarship 1643 payments. 1644 (a) The McKay-Gardiner scholarship is established for up to 1645 50,000 student FTE for the 2021-2022 school year. For the 2022 1646 2023 school year, and each year thereafter, the maximum number 1647 of student FTE shall increase by 1.0 percent of the state’s 1648 total public school exceptional student education student 1649 enrollment, not including gifted students. 1650 1. For a student who has a Level I to Level III matrix of 1651 services or a doctor’s diagnosis, the calculated scholarship 1652 amount for a student participating in the program must be based 1653 upon the grade level and school district in which the student 1654 would have been enrolled as 97.5 percent of the funds per 1655 unweighted full-time equivalent in the Florida Education Finance 1656 Program for a student in the basic exceptional student education 1657 program pursuant to s. 1011.62(1)(c)1. and (e)1.c., plus a per 1658 full-time equivalent share of funds for all categorical 1659 programs, as funded in the General Appropriations Act, except 1660 that for the exceptional student education guaranteed allocation 1661 as provided in s. 1011.62(1)(e)1.c. and 2., the funds must be 1662 allocated based on the school district’s average exceptional 1663 student education guaranteed allocation funds per exceptional 1664 student education full-time equivalent student. 1665 2. For a student with a Level IV or Level V matrix of 1666 services, the calculated scholarship amount must be based upon 1667 the school district to which the student would have been 1668 assigned as 97.5 percent of the funds per full-time equivalent 1669 for the Level IV or Level V exceptional student education 1670 program pursuant to s. 1011.62(1)(c)2.a. or b., plus a per-full 1671 time equivalent share of funds for all categorical programs, as 1672 funded in the General Appropriations Act. 1673 3. For a student with a 504 plan, the calculated 1674 scholarship amount must be based upon the grade level and school 1675 district to which the student would have been assigned as 97.5 1676 percent of the funds per unweighted full-time equivalent in the 1677 Florida Education Finance Program for a student in the basic 1678 education program established pursuant to s. 1011.62(1)(c)1., 1679 plus a per-full-time equivalent share of funds for all 1680 categorical programs, as funded in the General Appropriations 1681 Act. 1682 (b) At the time of each Florida Education Finance Program 1683 student membership survey, the scholarship-funding organization 1684 shall report to the department student enrollment, student FTE, 1685 and total award amounts by county, delineated by FEFP program, 1686 and grade and matrix level for all students who are 1687 participating in the McKay-Gardiner Scholarship Program. 1688 Students with a 504 plan must be separately identified. 1689 (c) Upon notification from an organization on July 1, 1690 September 1, December 1, and February 1 that an application has 1691 been approved for the program, the department shall verify that 1692 the student is not prohibited from receiving a scholarship 1693 pursuant to subsection (4). The organization must provide the 1694 department with the documentation necessary to verify the 1695 student’s participation. 1696 (d) Upon verification, the department shall release the 1697 student’s scholarship funds to the organization, to be deposited 1698 into the student’s account in four equal amounts no later than 1699 September 1, November 1, February 1, and April 1 of each school 1700 year in which the scholarship is in force. 1701 (e) Accrued interest in the student’s account is in 1702 addition to, and not part of, the awarded funds. Program funds 1703 include both the awarded funds and accrued interest. 1704 (f) The organization may develop a system for payment of 1705 benefits by funds transfer, including, but not limited to, debit 1706 cards, electronic payment cards, or any other means of payment 1707 which the department deems to be commercially viable or cost 1708 effective. A student’s scholarship award may not be reduced for 1709 debit card or electronic payment fees. Commodities or services 1710 related to the development of such a system must be procured by 1711 competitive solicitation unless they are purchased from a state 1712 term contract pursuant to s. 287.056. 1713 (g) Moneys received pursuant to this section do not 1714 constitute taxable income to the qualified student or the parent 1715 of the qualified student. 1716 (16) OBLIGATIONS OF THE AUDITOR GENERAL.— 1717 (a) The Auditor General shall review all audit reports 1718 submitted pursuant to subsection (13). The Auditor General shall 1719 request any significant items that were omitted in violation of 1720 a rule adopted by the Auditor General. The organization shall 1721 provide such items within 45 days after the date of the request. 1722 If the scholarship-funding organization does not comply with the 1723 Auditor General’s request, the Auditor General must notify the 1724 Legislative Auditing Committee. 1725 (b) At least once every 3 years, the Auditor General shall 1726 conduct an operational audit of accounts and records of each 1727 organization that participates in the program. As part of this 1728 audit, the Auditor General, at a minimum, shall verify the total 1729 number of students served and the eligibility of reimbursements 1730 made by the organization and transmit that information to the 1731 department. The Auditor General shall provide the commissioner 1732 with a copy of each annual operational audit performed pursuant 1733 to this subsection within 10 days after the audit is finalized. 1734 (c) The Auditor General shall notify the department of any 1735 organization that fails to comply with a request for 1736 information. 1737 (17) OBLIGATIONS RELATED TO APPROVED PROVIDERS.—The 1738 Department of Health, the Agency for Persons with Disabilities, 1739 and the Department of Education shall coordinate with an 1740 organization to provide easy or automated access to lists of 1741 licensed providers of services specified in paragraph (5)(c) to 1742 ensure efficient administration of the program. 1743 (18) LIABILITY.—The state is not liable for the awarding of 1744 funds or for any use of funds awarded under this section. 1745 (19) SCOPE OF AUTHORITY.—This section does not expand the 1746 authority of the state, its officers, or any school district to 1747 impose additional regulation on participating private schools, 1748 independent postsecondary educational institutions, and private 1749 providers beyond that reasonably necessary to enforce 1750 requirements expressly set forth in this section. 1751 (20) RULES.—The State Board of Education shall adopt rules 1752 pursuant to ss. 120.536(1) and 120.54 to administer this 1753 section. 1754 Section 17. Section 1002.385, Florida Statutes, is 1755 repealed. 1756 Section 18. Section 1002.39, Florida Statutes, is repealed. 1757 Section 19. Section 1002.394, Florida Statutes, is amended 1758 to read: 1759 1002.394 The Family Empowerment Scholarship Program.— 1760 (1) PURPOSE.—The Family Empowerment Scholarship Program is 1761 established to provide children of families in this state, 1762 including those withwhich havelimited financial resources, 1763 with educational options to achieve success in their education. 1764 (2) DEFINITIONS.—As used in this section, the term: 1765 (a) “Approved provider” means a provider approved by the 1766 department“Department” means the Department of Education. 1767 (b) “Curriculum” means a complete course of study for a 1768 particular content area or grade level, including any required 1769 supplemental materials, teachers’ manuals, and associated online 1770 instruction. 1771 (c) “Department” means the Department of Education. 1772 (d) “Direct certification list” means the certified list of 1773 children who qualify for the food assistance program, the 1774 Temporary Assistance for Needy Families Program, or the Food 1775 Distribution Program on Indian Reservations provided to the 1776 Department of Education by the Department of Children and 1777 Families. 1778 (e) “Eligible nonprofit scholarship-funding organization” 1779 or “organization” means a state university, an independent 1780 college or university that is eligible to participate in the 1781 William L. Boyd, IV, Effective Access to Student Education Grant 1782 Program located and chartered in this state which is not for 1783 profit and is accredited by the Commission on Colleges of the 1784 Southern Association of Colleges and Schools, or is a charitable 1785 organization that:has the same meaning as provided in s.17861002.395(2)(f).1787 1. Is exempt from federal income tax pursuant to s. 1788 501(c)(3) of the Internal Revenue Code; 1789 2. Is a Florida entity formed under chapter 605, chapter 1790 607, or chapter 617 and whose principal office is located in 1791 this state; and 1792 3. Complies with subsections (11) and (14). 1793 (f) “Eligible postsecondary educational institution” means 1794 a Florida College System institution; a state university; a 1795 school district technical center; a school district adult 1796 general education center; an independent college or university 1797 that is eligible to participate in the William L. Boyd, IV, 1798 Effective Access to Student Education Grant Program under s. 1799 1009.89; or an accredited independent postsecondary educational 1800 institution, as defined in s. 1005.02, which is licensed to 1801 operate in this state under part III of chapter 1005. 1802 (g)(c)“Eligible private school” means a private school as 1803 defined in s. 1002.01 located in this state which offers an 1804 education to students in any grade from kindergarten through 1805 grade 12 and: 1806 1. Meets the requirements of ss. 1002.42 and 1002.421; and 1807 2. Meets the applicable requirements imposed under this 1808 chapter, if the private school participates in a scholarship 1809 program under this chapterhas the same meaning as provided in1810s. 1002.395(2)(g). 1811 (h) “Household income” has the same meaning as the term 1812 “income” as defined in the Income Eligibility Guidelines for 1813 free and reduced price meals under the National School Lunch 1814 Program in 7 C.F.R. part 210 as published in the Federal 1815 Register by the United States Department of Agriculture. 1816 (i) “Inactive” means that no eligible expenditures have 1817 been made from a student scholarship account funded pursuant to 1818 this section. 1819 (j) “Incident” means battery; harassment; hazing; bullying; 1820 kidnapping; physical attack; robbery; sexual offenses, 1821 harassment, assault, or battery; threat or intimidation; or 1822 fighting at school, as defined by the department in accordance 1823 with s. 1006.147(4). 1824 (k) “Owner or operator” includes: 1825 1. An owner, president, officer, or director of an eligible 1826 nonprofit scholarship-funding organization or a person with 1827 equivalent decisionmaking authority over an eligible nonprofit 1828 scholarship-funding organization. 1829 2. An owner, operator, superintendent, or principal of an 1830 eligible private school or a person with equivalent 1831 decisionmaking authority over an eligible private school. 1832 (l)(d)“Parent” means a resident of this state who is a 1833 parent, as defined in s. 1000.21. 1834 (m)(e)“Program” means the Family Empowerment Scholarship 1835 Program. 1836 (n) “School” means any educational program or activity 1837 conducted by a public K-12 educational institution, any school 1838 related or school-sponsored program or activity, and riding on a 1839 school bus as defined in s. 1006.25(1), including waiting at a 1840 school bus stop. 1841 (3) INITIAL SCHOLARSHIP ELIGIBILITY.—A student is eligible 1842 for a Family Empowerment Scholarship under this section if the 1843 student meets the following criteria: 1844 (a)1. The student is on the direct certification list 1845pursuant tos. 1002.395(2)(c)or the student’s household income 1846 level does not exceed 300185percent of the federal poverty 1847 level or an adjusted maximum percent of the federal poverty 1848 level established pursuant to paragraph (e); or 1849 2. The student is: 1850 a. Currently placed, or during the previous state fiscal 1851 year was placed, in foster care or in out-of-home care as 1852 defined in s. 39.01; 1853 b. A sibling of a student who is participating in the 1854 scholarship program under this subsection, if the student 1855 resides in the same household as the sibling; 1856 c. A sibling of a student who is participating in the 1857 scholarship program under s. 1002.381, if the student resides in 1858 the same household as the sibling and attends the same school; 1859 or 1860 d. Enrolled in a Florida public school in kindergarten 1861 through grade 12 and reported an incident in accordance with 1862 paragraph (7)(b) 18633.Thestudent’s household income level does not exceed 3001864percent of the federal poverty level or an adjusted maximum1865percent of the federal poverty level as established pursuant to1866paragraph (e). 1867 1868 A student who initially receives a scholarship based on 1869 eligibility under this paragraphsubparagraph 2.remains 1870 eligible to participate until the student graduates from high 1871 school or attains the age of 21 years, whichever occurs first, 1872 regardless of the student’s household income level.A sibling of1873a student who is participating in the scholarship program under1874this subsection is eligible for a scholarship if the student1875resides in the same household as the sibling.1876 (b)1.The student is eligible to enroll in kindergarten 1877 through grade 12 in a public school in this state;18782. The student has spent the prior school year in1879attendance at a Florida public school; or18803. Beginning with the 2020-2021 school year, the student1881received a scholarship pursuant to s. 1002.395 during the1882previous school year but did not receive a renewal scholarship1883based solely on the eligible nonprofit scholarship-funding1884organization’s lack of available funds after the organization1885fully exhausts its efforts to use funds available for awards1886under ss. 1002.395 and 1002.40(11)(i). Eligible nonprofit1887scholarship-funding organizations with students who meet the1888eligibility criterion of this subparagraph must annually notify1889the department in a format and by a date established by the1890department.1891 1892For purposes of this paragraph, the term “prior school year in1893attendance” means that the student was enrolled full time and1894reported by a school district for funding during the preceding1895October and February Florida Education Finance Program surveys1896in kindergarten through grade 12, which includes time spent in a1897Department of Juvenile Justice commitment program if funded1898under the Florida Education Finance Program. However, a1899dependent child of a member of the United States Armed Forces1900who transfers to a school in this state from out of state or1901from a foreign country due to a parent’s permanent change of1902station orders or a foster child is exempt from the prior public1903school attendance requirement under this paragraph, but must1904meet the other eligibility requirements specified under this1905section to participate in the program. 1906 (c) The parent has applied to an eligible nonprofit 1907 scholarship-funding organization to participate in the program 1908 by a date set by the organizationobtained acceptance for1909admission of the student to a private school that is eligible1910for the program under subsection (8), and the parent has1911requested a scholarship from the Department of Education by a1912date established by the department pursuant to paragraph (7)(e),1913but no later than at least 60 days before the date of the first1914scholarship payment. The applicationrequestmust be 1915 communicated directly to the organizationdepartmentin a manner 1916 that creates a written or electronic record of the application 1917requestand the date of receipt of the applicationrequest.The1918department must notify the school district of the parent’s1919intent upon receipt of the parent’s request.1920 (d) The student is awarded a scholarship in accordance with 1921 the following priority order: 1922 1. An eligible student who received a Family Empowerment 1923 Scholarship during the previous school year, or a Florida Tax 1924 Credit Scholarship or Hope Scholarship during the 2020-2021 1925 school year, and requested a renewal scholarship award. 1926 2. An eligible student who meets the criteria for an 1927 initial award under both paragraphsparagraph(a) and (b) and 1928 was retained on the previous school year’s wait list 1929subparagraph(b)3. 1930 3. An eligible student who meets the criteria for an 1931 initial award under sub-subparagraph (a)2.a., or sub 1932 subparagraph (a)2.b., or sub-subparagraph (a)2.d., and paragraph 1933 (b)subparagraph (b)2. and either subparagraph (a)1. or1934subparagraph (a)2. 1935 4. An eligible student who meets the criteria for an 1936 initial award under subparagraph (a)1.(b)1.and paragraph (b), 1937 and the student’s household income level does not exceed 185 1938 percent of the federal poverty leveleither subparagraph (a)1.1939or subparagraph (a)2. 1940 5. An eligible student who meets the criteria for an 1941 initial award under subparagraph (a)1.(a)3.and,paragraph (b) 1942in priority order, either subparagraph (b)2. or subparagraph1943(b)1. 1944 6. An eligible student who meets the criteria for an 1945 initial award under sub-subparagraph (a)2.c. and paragraph (b). 1946 1947 An approved student who does not receive a scholarship must be 1948 placed on the wait list in the order in which his or her 1949 application is approved. An eligible student who does not 1950 receive a scholarship within the fiscal year must be retained on 1951 the wait list for the subsequent year. 1952 (e) The student’s household income level does not exceed an 1953 adjusted maximum percent of the federal poverty level that is 1954 increased by 25 percent in the fiscal year following any fiscal 1955 year in which more than 5 percent of the available scholarships 1956 authorized under subsection (12)(11)have not been awarded. 1957 (4) TERM OF SCHOLARSHIP.—For purposes of continuity of 1958 educational choice and program integrity: 1959 (a)1. Program payments made by the state to an organization 1960 for a Family Empowerment Scholarship under this section must 1961 continue until: 1962 a. The parent does not renew program eligibility; 1963 b. The organization determines that the student is not 1964 eligible for program renewal; 1965 c. The Commissioner of Education suspends or revokes 1966 program participation or use of funds pursuant to subparagraph 1967 (b)1.; 1968 d. The student’s parent has forfeited participation in the 1969 program for failure to comply with subsection (10); 1970 e. The student enrolls in a public school, except that a 1971 student who enters a Department of Juvenile Justice detention 1972 center for a period of no more than 21 days is not considered to 1973 have returned to a public school for that purpose; or 1974 f. The student graduates from high school or attains 21 1975 years of age, whichever occurs first. 1976 2. Reimbursements for program expenditures may continue 1977 until the account balance is expended or the account is closed 1978 pursuant to paragraph (b)For purposes of continuity of1979educational choice, a Family Empowerment Scholarship shall1980remain in force until the student returns to a public school,1981graduates from high school, or reaches the age of 21, whichever1982occurs first. A scholarship student who enrolls in a public1983school or public school program is considered to have returned1984to a public school for the purpose of determining the end of the1985scholarship’s term. However, if a student enters a Department of1986Juvenile Justice detention center for a period of no more than198721 days, the student is not considered to have returned to a1988public school for that purpose. 1989 (b)1. The commissioner shall close a student’s scholarship 1990 account, and any remaining funds, including, but not limited to, 1991 contributions made to the Stanley G. Tate Florida Prepaid 1992 College Program or earnings from or contributions made to the 1993 Florida College Savings Program using program funds pursuant to 1994 paragraph (6)(e), revert to the state after: 1995 a. Denial or revocation of program eligibility by the 1996 commissioner for fraud or abuse, including, but not limited to, 1997 the student or the student’s parent accepting any payment, 1998 refund, or rebate in any manner from a provider of any services 1999 received pursuant to subsection (6); however, a private school 2000 may discount tuition if the private school deems it necessary; 2001 b. Any period of 2 consecutive years after high school 2002 completion or graduation during which the student has not been 2003 enrolled in an eligible postsecondary educational institution or 2004 a program offered by the institution; or 2005 c. The account has been inactive for 2 consecutive fiscal 2006 yearsUpon reasonable notice to the department and the school2007district, the student’s parent may remove the student from the2008private school and place the student in a public school in2009accordance with this section. 2010 2. The commissioner must notify the parent and the 2011 organization when a Family Empowerment Scholarship account is 2012 closed and program funds revert to the state 2013(c) Upon reasonable notice to the department, the student’s2014parent may move the student from one participating private2015school to another participating private school. 2016 (5) SCHOLARSHIP PROHIBITIONS.—A student is not eligible for 2017 a Family Empowerment Scholarship while he or she is: 2018 (a) Enrolled in a public school, including, but not limited 2019 to, the Florida School for the Deaf and the Blind, the College 2020 Preparatory Boarding Academy, a developmental research school 2021 authorized under s. 1002.32, or a charter school authorized 2022 under this chapter; 2023 (b) Enrolled in a school operating for the purpose of 2024 providing educational services to youth in a Department of 2025 Juvenile Justice commitment program; 2026 (c) Receiving any other educational scholarship pursuant to 2027 this chapter; 2028 (d) Not having regular and direct contact with his or her 2029 private school teachers pursuant to s. 1002.421(1)(i), unless he 2030 or she is enrolled in a home education program pursuant to s. 2031 1002.41Participating in a home education program as defined in2032s. 1002.01(1);2033(e) Participating in a private tutoring program pursuant to2034s. 1002.43; or 2035 (e)(f)Participating in a virtual school, correspondence 2036 school, or distance learning program that receives state funding 2037 pursuant to the student’s participation. 2038 (6) AUTHORIZED USES OF PROGRAM FUNDS.—Program funds must be 2039 used to meet the individual educational needs of an eligible 2040 student and may be spent for the following purposes: 2041 (a) Instructional materials, including school equipment and 2042 supplies, and digital devices and Internet access to access 2043 digital instructional materials. 2044 (b) Curriculum. 2045 (c) Tuition or fees associated with full-time or part-time 2046 enrollment in any of the following: 2047 1. A home education program, an eligible private school, an 2048 eligible postsecondary educational institution, or a program 2049 offered by the postsecondary institution; 2050 2. A private tutoring program authorized under s. 1002.43, 2051 a virtual program offered by a department-approved private 2052 online provider that meets the provider qualifications specified 2053 in s. 1002.45(2)(a), or a program offered by the Florida Virtual 2054 School to a private paying student; or 2055 3. An approved online course offered pursuant to s. 2056 1003.499 or s. 1004.0961 or a private virtual school that meets 2057 the requirements of s. 1002.421. 2058 (d) Fees for nationally standardized, norm-referenced 2059 achievement tests, Advanced Placement examinations, industry 2060 certification examinations, assessments related to postsecondary 2061 education, or other assessments. 2062 (e) Contributions to the Stanley G. Tate Florida Prepaid 2063 College Program pursuant to s. 1009.98 or the Florida College 2064 Savings Program pursuant to s. 1009.981, for the benefit of the 2065 eligible student. 2066 (f) Contracted services provided by a public school or 2067 school district, including classes. A student who receives 2068 services under a contract under this paragraph is not considered 2069 enrolled in a public school for eligibility purposes as 2070 specified in subsection (5). 2071 (g) Tuition and fees for part-time tutoring services 2072 provided by a person who holds a valid Florida educator’s 2073 certificate pursuant to s. 1012.56; a person who holds an 2074 adjunct teaching certificate pursuant to s. 1012.57; a person 2075 who has a bachelor’s degree or a graduate degree in the subject 2076 area in which instruction is given; or a person who has 2077 demonstrated a mastery of subject area knowledge pursuant to s. 2078 1012.56(5) or as approved by the department. As used in this 2079 paragraph, the term “part-time tutoring services” does not 2080 qualify as regular school attendance as defined in s. 2081 1003.01(13)(e). 2082 (h) Fees for summer education programs. 2083 (i) Fees for after-school education programs. 2084 (j) Fees for an annual evaluation of educational progress 2085 by a state-certified teacher under s. 1002.41(1)(f), if this 2086 option is chosen for a home education student. 2087 (k) Transportation expenses that may not exceed $750 2088 annually necessary to meet the student’s educational needs under 2089 this section. 2090 2091 A provider of any services receiving payments pursuant to this 2092 subsection may not share, refund, or rebate any moneys from the 2093 Family Empowerment Scholarship with the parent or participating 2094 student in any manner. 2095 (7)(6)SCHOOL DISTRICT OBLIGATIONS.— 2096 (a) By July 15, 2019, and by April 1 of each year 2097 thereafter, a school district shall inform all households within 2098 the district receiving free or reduced-priced meals under the 2099 National School Lunch Act of their eligibility to applyto the2100departmentfor a Family Empowerment Scholarship. The form of 2101 such notice shall be provided by the department, and the school 2102 district shall include the provided form in any normal 2103 correspondence with eligible households. Such notice is limited 2104 to once a year. 2105 (b) Upon receipt of a report of an incident, the school 2106 principal, or his or her designee, shall provide a copy of the 2107 report to the parent and investigate the incident to determine 2108 if the incident must be reported as required by s. 1006.147(4). 2109 Within 24 hours after receipt of the report, the principal or 2110 his or her designee shall provide a copy of the report to the 2111 parent of the alleged offender and to the superintendent. Upon 2112 conclusion of the investigation or within 15 days after the 2113 incident was reported, whichever occurs first, the school 2114 district shall notify the parent of the program and offer the 2115 parent an opportunity to request and receive a Family 2116 Empowerment Scholarship. 2117 (c) The school district in which a participating student 2118 resides must notify the student and his or her parent about the 2119 locations and times to take all statewide assessments under s. 2120 1008.22 if the student chooses to participate in such 2121 assessments. Upon the request of the department, a school 2122 district shall coordinate with the department to provide to a 2123 participating private school the statewide assessments 2124 administered under s. 1008.22 and any related materials for 2125 administering the assessments. For a student who participates in 2126 the Family Empowerment Scholarship Program whose parent requests 2127 that the student take the statewide assessments under s. 2128 1008.22, the district in which the student attends a private 2129 school shall provide locations and times to take all statewide 2130 assessments. A school district is responsible for implementing 2131 test administrations at a participating private school, 2132 including the: 2133 1. Provision of training for private school staff on test 2134 security and assessment administration procedures; 2135 2. Distribution of testing materials to a private school; 2136 3. Retrieval of testing materials from a private school; 2137 4. Provision of the required format for a private school to 2138 submit information to the district for test administration and 2139 enrollment purposes; and 2140 5. Provision of any required assistance, monitoring, or 2141 investigation at a private school. 2142 (d)(c)Each school district must publish information about 2143 the Family Empowerment Scholarship Program on the district’s 2144 website homepage, which,.at a minimum,the published2145informationmust include a website link to the Family 2146 Empowerment Scholarship Program published on the Department of 2147 Education websiteas well as a telephone number and e-mail that2148students and parents may use to contact relevant personnel in2149the school district to obtain information about the scholarship. 2150 (8)(7)DEPARTMENT OF EDUCATION OBLIGATIONS.—The department 2151 shall: 2152 (a) Annually verify the eligibility of nonprofit 2153 scholarship-funding organizations that meet the requirements of 2154 paragraph (2)(e). 2155 (b)(a)Publish and update, as necessary, information on the 2156 department website about the scholarship programs under this 2157 chapterFamily Empowerment Scholarship Program, including, but 2158 not limited to, student eligibility criteria, parental 2159 responsibilities, and relevant data. 2160 (c)(b)Cross-check prior to each distribution of funds the 2161 list of participating scholarship students with the public 2162 school enrollment lists before each scholarship payment to avoid 2163 duplication. 2164 (d)(c)Maintain and publish a list of nationally norm 2165 referenced tests identified for purposes of satisfying the 2166 testing requirement in subparagraph (9)(c)1.(8)(c)1.The tests 2167 must meet industry standards of quality in accordance with state 2168 board rule. 2169 (e)(d)Notify eligible nonprofit scholarship-funding 2170 organizations of the deadlines for submitting the verified list 2171 of students determined to be eligible for an initial or renewal 2172 scholarship. 2173 (f)(e)Distribute each student’s scholarship funds on a 2174 quarterly basis to the eligible nonprofit scholarship-funding 2175 organization, to be deposited into the student’s account 2176Establish deadlines for the receipt of initial applications and2177renewal notifications in order to implement the priority order2178for scholarship awards pursuant to paragraph (3)(d). 2179 (g) Notify an eligible nonprofit scholarship-funding 2180 organization of any of the organization’s or other eligible 2181 nonprofit scholarship-funding organization’s identified students 2182 who are receiving educational scholarships under this chapter. 2183 (h) Issue a project grant award to a state university, to 2184 which participating private schools must report the scores of 2185 participating students on the nationally norm-referenced tests 2186 or the statewide assessments administered by the private school 2187 in grades 3 through 10. The project term is 2 years, and the 2188 amount of the project is up to $250,000 per year. The project 2189 grant award must be reissued in 2-year intervals in accordance 2190 with this paragraph. 2191 1. The state university must annually report to the 2192 Department of Education on the student performance of 2193 participating students: 2194 a. On a statewide basis. The report shall also include, to 2195 the extent possible, a comparison of scholarship students’ 2196 performance to the statewide student performance of public 2197 school students with socioeconomic backgrounds similar to those 2198 of students participating in the scholarship program. To 2199 minimize costs and reduce time required for the state 2200 university’s analysis and evaluation, the Department of 2201 Education shall coordinate with the state university to provide 2202 data in order to conduct analyses of matched students from 2203 public school assessment data and calculate control group 2204 student performance using an agreed-upon methodology; and 2205 b. On an individual school basis. For the 2020-2021 school 2206 year, the annual report must include student performance for 2207 each participating private school in which at least 51 percent 2208 of the total enrolled students in the private school 2209 participated in the Florida Tax Credit Scholarship Program or 2210 the Family Empowerment Scholarship Program. Beginning with the 2211 2021-2022 school year, the annual report must include student 2212 performance for each participating private school in which at 2213 least 51 percent of the total enrolled students in the private 2214 school participated in the Family Empowerment Scholarship 2215 Program. The report shall be according to each participating 2216 private school, and for participating students, in which there 2217 are at least 30 participating students who have scores for tests 2218 administered. If the state university determines that the 30 2219 participating-student cell size may be reduced without 2220 disclosing personally identifiable information, as described in 2221 34 C.F.R. s. 99.12, of a participating student, the state 2222 university may reduce the participating-student cell size, but 2223 the cell size may not be reduced to less than 10 participating 2224 students. The department shall provide each private school’s 2225 prior school year student enrollment information to the state 2226 university no later than June 15 of each year, or as requested 2227 by the state university. 2228 2. The sharing and reporting of student performance data 2229 under this paragraph must be in accordance with the requirements 2230 of ss. 1002.22 and 1002.221 and 20 U.S.C. s. 1232g, the Family 2231 Educational Rights and Privacy Act, and the applicable rules and 2232 regulations issued pursuant thereto, and must be for the sole 2233 purpose of creating the annual report required by subparagraph 2234 1. All parties must preserve the confidentiality of such 2235 information as required by law. The annual report may not 2236 disaggregate data to a level that will identify individual 2237 participating schools, except as required under sub-subparagraph 2238 1.b., or disclose the academic level of individual students. 2239 3. The annual report required by subparagraph 1. must be 2240 published by the Department of Education on its website. 2241 (i) Maintain on its website a list of approved providers, 2242 including eligible postsecondary educational institutions, 2243 eligible private schools, and organizations. The department may 2244 identify or provide links to lists of other approved providers. 2245 (j) Require each organization to verify eligible 2246 expenditures before the distribution of funds for any 2247 expenditures made pursuant to paragraphs (6)(a) and (b). Review 2248 of expenditures made for services specified in paragraphs 2249 (6)(c)-(k) may be completed after the purchase is made. 2250 (k) Require quarterly reports by an eligible nonprofit 2251 scholarship-funding organization regarding the overall number of 2252 students participating in the scholarship program, the number of 2253 home education students participating in the scholarship 2254 program, the number of students attending a private school 2255 participating in the scholarship program, the private schools at 2256 which the students are enrolled, and other information the 2257 department deems necessary. 2258 (l) Provide a process to match the direct certification 2259 list with the scholarship application data submitted by any 2260 nonprofit scholarship-funding organization eligible to receive 2261 the 2.5 percent administrative allowance under paragraph 2262 (11)(k). 2263 (m) Contract with an independent entity to provide an 2264 annual evaluation of the program by: 2265 1. Reviewing the school bullying prevention education 2266 program, school climate, and code of student conduct of each 2267 public school from which 10 or more students transferred to 2268 another public school or private school using the Hope 2269 Scholarship or Family Empowerment Scholarship to determine areas 2270 in the school or school district procedures involving reporting, 2271 investigating, and communicating a parent’s and student’s rights 2272 which are in need of improvement. At a minimum, the review must 2273 include: 2274 a. An assessment of the investigation time and quality of 2275 the response of the school and the school district. 2276 b. An assessment of the effectiveness of communication 2277 procedures with the students involved in an incident, the 2278 students’ parents, and the school and school district personnel. 2279 c. An analysis of school incident and discipline data. 2280 d. The challenges and obstacles relating to implementing 2281 recommendations from the review. 2282 2. Reviewing the school bullying prevention education 2283 program, school climate, and code of student conduct of each 2284 public school to which a student transferred if the student was 2285 from a school identified in subparagraph 1. in order to identify 2286 best practices and make recommendations to the public school at 2287 which the incidents occurred. 2288 3. Surveying the parents of participating students to 2289 determine academic, safety, and school climate satisfaction and 2290 to identify any challenges to or obstacles in addressing an 2291 incident or relating to the use of the scholarship. 2292 (n) Investigate any written complaint of a violation of 2293 this section by a parent, a student, a private school, a public 2294 school, a school district, an organization, a provider, or 2295 another appropriate party in accordance with the process 2296 established under s. 1002.421. 2297 (o) Establish and coordinate with the eligible nonprofit 2298 scholarship-funding organizations an FTE reporting process to 2299 provide FTE by county by FEFP program and by matrix level of 2300 services to be used to revise and update the K-12 Education 2301 Scholarship Program Allocation pursuant to s. 1011.687, for 2302 inclusion in the FEFP calculations beginning with the FEFP 2303 calculation following the October student membership survey. 2304 (9)(8)PRIVATE SCHOOL ELIGIBILITY AND OBLIGATIONS.—To be 2305 eligible to participate in the Family Empowerment Scholarship 2306 Program, a private school may be sectarian or nonsectarian and 2307 must: 2308 (a) Comply with all requirements for private schools 2309 participating in state school choice scholarship programs 2310 pursuant to s. 1002.421. 2311 (b) Provide to the organizationdepartmentall 2312 documentation required for a student’s participation by a date 2313 established by the organization, including the private school’s2314and student’s fee schedules, at least 30 days before any2315quarterly scholarship payment is made for the student pursuant2316to paragraph (11)(f).A student is not eligible to receive a2317quarterly scholarship payment if the private school fails to2318meet this deadline.2319 (c)1. Annually administer or make provision for students 2320 participating in the program in grades 3 through 10 to take one 2321 of the nationally norm-referenced tests that are identified by 2322 the department pursuant to paragraph (8)(d)(7)(c)or to take 2323 the statewide assessments pursuant to s. 1008.22. Students with 2324 disabilities for whom standardized testing is not appropriate 2325 are exempt from this requirement. A participating private school 2326 shall report a student’s scores to his or her parent. By August 2327 15 of each year, a participating private school must report the 2328 scores of all participating students to a state university as 2329 described in paragraph (8)(h)s. 1002.395(9)(f). 2330 2. Administer the statewide assessments pursuant to s. 2331 1008.22 if the private school chooses to offer the statewide 2332 assessments. A participating private school may choose to offer 2333 and administer the statewide assessments to all students who 2334 attend the private school in grades 3 through 10 and must submit 2335 a request in writing to the department by March 1 of each year 2336 in order to administer the statewide assessments in the 2337 subsequent school year. 2338 2339 If a private school fails to meet the requirements of this 2340 subsection or s. 1002.421, the commissioner may determine that 2341 the private school is ineligible to participate in the 2342 scholarship program. 2343 (10)(9)PARENT AND STUDENT RESPONSIBILITIES FOR PROGRAM 2344 PARTICIPATION.—A parent who applies for a Family Empowerment 2345 Scholarship is exercising his or her parental option to 2346 determine the appropriate placement or the services that best 2347 meet the needs of his or her childplace his or her child in a2348private school. 2349 (a) To satisfy or maintain program eligibility, including 2350 eligibility to receive and spend program payments, the parent 2351 must sign an agreement with the organization and annually submit 2352 a sworn compliance statement to the organization to: 2353 1. Affirm that the student is enrolled in a program that 2354 meets regular school attendance requirements as provided in s. 2355 1003.01(13)(b)-(e). 2356 2. Affirm that the program funds are used only for 2357 authorized purposes serving the student’s educational needs, as 2358 described in subsection (6). 2359 3. Affirm that the parent is responsible for the education 2360 of his or her student by, as applicable: 2361 a. Requiring the student to take an assessment in 2362 accordance with paragraph (9)(c); or 2363 b. Providing an annual evaluation in accordance with s. 2364 1002.41(1)(f). 2365 4. Affirm that the student remains in good standing with 2366 the provider or school if those options are selected by the 2367 parentThe parent must select the private school and apply for2368the admission of his or her student. 2369 (b)Theparent must request the scholarship at least 602370days before the date of the first scholarship payment.2371(c)The parent must inform the applicable school district2372when the parent withdraws his or her student from a public2373school to attend an eligible private school.2374(d)Any student participating in the program must remain in 2375 attendance throughout the school year unless excusedby the2376schoolfor illness or other good cause. 2377 (c)(e)IfBeforeenrolling in a private school, a student 2378 and his or her parent or guardian must meet with the private 2379 school’s principal or the principal’s designee to review the 2380 school’s academic programs and policies, customized educational 2381 programs, code of student conduct, and attendance policies. 2382 (d)(f)The parent shall ensure that athestudent 2383 participating in the scholarship program and who is enrolled in 2384 a private school takes the norm-referenced assessment offered by 2385 the private school. The parent may also choose to have the 2386 student participate in the statewide assessments pursuant to 2387 paragraph (9)(c)(6)(b). 2388 (e)(g)If the parent requests that the student 2389 participating in the program take all statewide assessments 2390 required pursuant to s. 1008.22, the parent is responsible for 2391 transporting the student to the assessment site designated by 2392 the school district. 2393(h)Upon receipt of a scholarship warrant, the parent to2394whom the warrant is issued must restrictively endorse the2395warrant to the private school for deposit into the private2396school’s account. The parent may not designate any entity or2397individual associated with the participating private school as2398the parent’s attorney in fact to endorse a scholarship warrant.2399A participant who fails to comply with this paragraph forfeits2400the scholarship.2401 (f)(i)The parent must annually renew participation in the 2402 program by the date established and in a format determined by 2403 the organizationdepartment pursuant to paragraph (7)(e). A 2404 student whose participation in the program is not renewed may 2405 continue to spend scholarship funds that are in his or her 2406 account from prior years unless the account must be closed 2407 pursuant to paragraph (4)(b). 2408 (g) The parent is responsible for procuring the services 2409 necessary to educate the student. If a parent does not procure 2410 the necessary educational services for the student and the 2411 student’s account has been inactive for 2 consecutive fiscal 2412 years, the student is ineligible and the student’s account must 2413 be closed pursuant to paragraph (4)(b). 2414 (h) The parent is responsible for all eligible expenses in 2415 excess of the Family Empowerment Scholarship. 2416 (i) The parent may not transfer any prepaid college plan or 2417 college savings plan funds contributed pursuant to paragraph 2418 (6)(e) to another beneficiary while the plan contains funds 2419 contributed pursuant to this section. 2420 (j) The parent may not receive a payment, refund, or rebate 2421 from an approved provider of any services under this program. 2422 2423 A participant who fails to comply with this subsection forfeits 2424 the Family Empowerment Scholarship. 2425 (11)(10)OBLIGATIONS OF ELIGIBLE NONPROFIT SCHOLARSHIP 2426 FUNDING ORGANIZATIONS.—An eligible nonprofit scholarship-funding 2427 organization: 2428 (a) Must comply with the antidiscrimination provisions of 2429 42 U.S.C. s. 2000d. 2430 (b) Must comply with the following background check 2431 requirements: 2432 1. All owners and operators as defined in subparagraph 2433 (2)(k)1., before employment or engagement to provide services, 2434 are subject to a level 2 background screening as provided under 2435 chapter 435. The fingerprints for the background screening must 2436 be electronically submitted to the Department of Law Enforcement 2437 and may be taken by an authorized law enforcement agency or by 2438 an employee of the eligible nonprofit scholarship-funding 2439 organization or a private company who is trained to take 2440 fingerprints. However, the complete set of fingerprints of an 2441 owner or operator may not be taken by the owner or operator. The 2442 results of the state and national criminal history check must be 2443 provided to the Department of Education for screening under 2444 chapter 435. The cost of the background screening may be borne 2445 by the eligible nonprofit scholarship-funding organization or 2446 the owner or operator. 2447 2. Every 5 years following employment or engagement to 2448 provide services or association with an eligible nonprofit 2449 scholarship-funding organization, each owner or operator must 2450 meet level 2 screening standards as described in s. 435.04, at 2451 which time the nonprofit scholarship-funding organization shall 2452 request the Department of Law Enforcement to forward the 2453 fingerprints to the Federal Bureau of Investigation for level 2 2454 screening. If the fingerprints of an owner or operator are not 2455 retained by the Department of Law Enforcement under subparagraph 2456 3., the owner or operator must electronically file a complete 2457 set of fingerprints with the Department of Law Enforcement. Upon 2458 submission of fingerprints for this purpose, the eligible 2459 nonprofit scholarship-funding organization shall request that 2460 the Department of Law Enforcement forward the fingerprints to 2461 the Federal Bureau of Investigation for level 2 screening, and 2462 the fingerprints must be retained by the Department of Law 2463 Enforcement under subparagraph 3. 2464 3. Fingerprints submitted to the Department of Law 2465 Enforcement as required by this paragraph must be retained by 2466 the Department of Law Enforcement in a manner approved by rule 2467 and entered in the statewide automated biometric identification 2468 system authorized by s. 943.05(2)(b). The fingerprints must 2469 continue to be available for all purposes and uses authorized 2470 for arrest fingerprints entered in the statewide automated 2471 biometric identification system pursuant to s. 943.051. 2472 4. The Department of Law Enforcement shall search all 2473 arrest fingerprints received under s. 943.051 against the 2474 fingerprints retained in the statewide automated biometric 2475 identification system under subparagraph 3. Any arrest record 2476 that is identified with an owner’s or operator’s fingerprints 2477 must be reported to the Department of Education. The Department 2478 of Education shall participate in this search process by paying 2479 an annual fee to the Department of Law Enforcement and by 2480 informing the Department of Law Enforcement of any change in the 2481 employment, engagement, or association status of the owners or 2482 operators whose fingerprints are retained under subparagraph 3. 2483 The Department of Law Enforcement shall adopt a rule setting the 2484 amount of the annual fee to be imposed upon the Department of 2485 Education for performing these services and establishing the 2486 procedures for the retention of owner or operator fingerprints 2487 and the dissemination of search results. The fee may be borne by 2488 the owner or operator of the nonprofit scholarship-funding 2489 organization. 2490 5. A nonprofit scholarship-funding organization whose owner 2491 or operator fails the level 2 background screening is not 2492 eligible to provide scholarships under this section. 2493 6. A nonprofit scholarship-funding organization whose owner 2494 or operator in the last 7 years has filed for personal 2495 bankruptcy or corporate bankruptcy in a corporation of which he 2496 or she owned more than 20 percent is not eligible to provide 2497 scholarships under this section. 2498 7. In addition to the offenses listed in s. 435.04, a 2499 person required to undergo background screening pursuant to this 2500 part or authorizing statutes may not have an arrest awaiting 2501 final disposition for, must not have been found guilty of, or 2502 entered a plea of nolo contendere to, regardless of 2503 adjudication, and must not have been adjudicated delinquent, and 2504 the record must not have been sealed or expunged for, any of the 2505 following offenses or any similar offense of another 2506 jurisdiction: 2507 a. Any authorizing statutes, if the offense was a felony. 2508 b. This chapter, if the offense was a felony. 2509 c. Section 409.920, relating to Medicaid provider fraud. 2510 d. Section 409.9201, relating to Medicaid fraud. 2511 e. Section 741.28, relating to domestic violence. 2512 f. Section 817.034, relating to fraudulent acts through 2513 mail, wire, radio, electromagnetic, photoelectronic, or 2514 photooptical systems. 2515 g. Section 817.234, relating to false and fraudulent 2516 insurance claims. 2517 h. Section 817.505, relating to patient brokering. 2518 i. Section 817.568, relating to criminal use of personal 2519 identification information. 2520 j. Section 817.60, relating to obtaining a credit card 2521 through fraudulent means. 2522 k. Section 817.61, relating to fraudulent use of credit 2523 cards, if the offense was a felony. 2524 l. Section 831.01, relating to forgery. 2525 m. Section 831.02, relating to uttering forged instruments. 2526 n. Section 831.07, relating to forging bank bills, checks, 2527 drafts, or promissory notes. 2528 o. Section 831.09, relating to uttering forged bank bills, 2529 checks, drafts, or promissory notes. 2530 p. Section 831.30, relating to fraud in obtaining medicinal 2531 drugs. 2532 q. Section 831.31, relating to the sale, manufacture, 2533 delivery, or possession with the intent to sell, manufacture, or 2534 deliver any counterfeit controlled substance, if the offense was 2535 a felony. 2536 (c) May not have an owner or operator who owns or operates 2537 an eligible private school that is participating in the 2538 scholarship program. 2539 (d) Shall establish and maintain separate accounts for each 2540 eligible student. For each account, the organization must 2541 maintain a record of accrued interest that is retained in the 2542 student’s account and available only for authorized program 2543 expenditures. 2544 (e) May not restrict or reserve scholarships for use at a 2545 particular private school. 2546 (f) Must provide to the Auditor General and the Department 2547 of Education a report on the results of an annual financial 2548 audit of its accounts and records conducted by an independent 2549 certified public accountant in accordance with auditing 2550 standards generally accepted in the United States, government 2551 auditing standards, and rules promulgated by the Auditor 2552 General. The audit report must include a report on financial 2553 statements presented in accordance with generally accepted 2554 accounting principles. Audit reports must be provided to the 2555 Auditor General and the Department of Education within 180 days 2556 after completion of the eligible nonprofit scholarship-funding 2557 organization’s fiscal year. 2558 (g)1.a. Must use agreed-upon procedures that uniformly 2559 apply to all private schools and determine, at a minimum, 2560 whether the private school has been verified as eligible by the 2561 Department of Education under s. 1002.421; has an adequate 2562 accounting system, system of financial controls, and process for 2563 deposit and classification of scholarship funds; and has 2564 properly expended scholarship funds for education-related 2565 expenses. 2566 b. Must participate in a joint review of the agreed-upon 2567 procedures and guidelines under sub-subparagraph a., by February 2568 of each biennium, if the scholarship-funding organization 2569 provided more than $250,000 in scholarship funds to an eligible 2570 private school under this chapter during the state fiscal year 2571 preceding the biennial review. If the procedures and guidelines 2572 are revised, the revisions must be provided to private schools 2573 and the Commissioner of Education by March 15 of the year in 2574 which the revisions were completed. The revised agreed-upon 2575 procedures take effect the subsequent school year. 2576 c. Must monitor the compliance of a private school with s. 2577 1002.421(1)(q) if the scholarship-funding organization provided 2578 the majority of the scholarship funding to the school. For each 2579 private school subject to s. 1002.421(1)(q), the appropriate 2580 scholarship-funding organization shall annually notify the 2581 Commissioner of Education by October 30 of: 2582 (I) A private school’s failure to submit a report required 2583 under s. 1002.421(1)(q); or 2584 (II) Any material exceptions set forth in the report 2585 required under s. 1002.421(1)(q). 2586 2. Must seek input from the accrediting associations that 2587 are members of the Florida Association of Academic Nonpublic 2588 Schools and the Department of Education when conducting a joint 2589 review of the procedures and guidelines under sub-subparagraph 2590 1.b. 2591 (h) Must establish a date by which the parent of a 2592 participating student must confirm continuing participation in 2593 the program. 2594 (i)(a)Shall verify the household income level of students 2595 pursuant to subparagraph (3)(a)1. and submit the verified list 2596 of students and related documentation to the department. 2597 (j)(b)Shall award initial and renewal scholarships to 2598 eligible studentsin priority orderpursuant to subsection (3) 2599 and notify parents of their receipt of a scholarshipparagraph2600(3)(d). The eligible nonprofit scholarship-funding organization 2601 shall implement the deadlines established by the department 2602pursuant to paragraphs (7)(d) and (e). 2603 (k)(c)May, from eligible contributions received pursuant2604to s. 1002.395(6)(j)1.,use an amount not to exceed 2.512605 percent of the total amount of all scholarships awarded under 2606 this section for administrative expenses associated with 2607 performing functions under this section, if the organization has 2608 operated as an eligible nonprofit scholarship-funding 2609 organization for at least the preceding 3 fiscal years and did 2610 not have any findings of material weakness or material 2611 noncompliance in its most recent audit performed pursuant to 2612 paragraph (f).Such administrative expense amount is considered2613within the 3 percent limit on the total amount an organization2614may use to administer scholarships under this chapter.2615 (l) Must verify qualifying educational expenditures 2616 pursuant to the requirement of paragraph (8)(j) and must request 2617 the return of any funds used for unauthorized purposes. 2618 (m) Must return any remaining program funds to the 2619 department pursuant to paragraph (4)(b). 2620 (n) Must document each scholarship student’s eligibility 2621 pursuant to subsection (3) for a fiscal year before granting a 2622 scholarship for that fiscal year. A student is ineligible for a 2623 scholarship if the student’s account has been inactive for 2 2624 fiscal years and the student’s account has been closed pursuant 2625 to paragraph (4)(b). 2626 (o) Must allow a student who meets the requirements of 2627 subparagraph (3)(a)2. or a dependent child of a parent who is a 2628 member of the United States Armed Forces to apply for a 2629 scholarship at any time. 2630 (p)(d)Must, in a timely manner, submit any information 2631 requested by the department relating to the scholarship under 2632 this section. 2633 (q) Must establish a date by which the parent of a 2634 participating student must confirm continuing participation in 2635 the program. 2636 (r) Must prepare and submit quarterly reports to the 2637 department pursuant to paragraph (8)(k). 2638 (s)(e)Must notify the department about any violation of 2639 this section by a parent or a private school. 2640 (12)(11)SCHOLARSHIP FUNDING AND PAYMENT.—For the purposes 2641 of this subsection, the term “student FTE” refers to how 2642 participating students are calculated for the purposes of the 2643 scholarship program allocation, which is equal to four quarterly 2644 scholarship payments. 2645 (a) The scholarship is established for up to 175,00018,0002646 student FTE forstudents annually beginning inthe 2021-2022 26472019-2020school year. A student who received a Florida Tax 2648 Credit Scholarship or a Hope Scholarship in the 2020-2021 school 2649 year and who meets the eligibility requirements in subsection 2650 (3) for the 2021-2022 school year is eligible for a Family 2651 Empowerment Scholarship in the 2021-2022 school year. Beginning 2652 in the 2022-20232020-2021school year, and each year 2653 thereafter, the maximum number of student FTEstudents2654participatingin the scholarship program under this section 2655 shall annually increase by 1.0 percent of the state’s total 2656 public school student enrollment. 2657 (b)The scholarship amount provided to a student for any2658single school year shall be for tuition and fees for an eligible2659private school, not to exceed annual limits, which shall be2660determined in accordance with this paragraph.The calculated 2661 scholarship amount for a student participating in the program 2662 mustto attend an eligible private schoolshallbe based upon 2663 the grade level and school district in which the student was 2664 assigned as 97.595percent of the funds per unweighted full 2665 time equivalent in the Florida Education Finance Program for a 2666 student in the basic program established pursuant to s. 2667 1011.62(1)(c)1., plus a per-full-time equivalent share of funds 2668 for all categorical programs, as provided in the General 2669 Appropriations Actexcept for the Exceptional Student Education2670Guaranteed Allocation. 2671 (c) As an alternative, a student who is eligible for a 2672 Family Empowerment Scholarship is eligible for a transportation 2673 award limited to $750 annually necessary to meet the student’s 2674 educational needs under this section, if the student enrolls in 2675 a Florida public school that is outside the school district in 2676 which the student resides or is enrolled in a lab school as 2677 defined in s. 1002.32. These students do not count against the 2678 175,000 student FTE cap established in paragraph (a)The amount2679of the Family Empowerment Scholarship shall be the calculated2680amount or the amount of the private school’s tuition and fees,2681whichever is less. The amount of any assessment fee required by2682the participating private school may be paid from the total2683amount of the scholarship. 2684 (d) At the time of each Florida Education Finance Program 2685 student membership survey, the scholarship-funding organization 2686 shall report to the department student enrollment, student FTE, 2687 and total award amounts by county, delineated by the FEFP 2688 program, and grade forThe school district shall reportall 2689 students who are participating inattending a private school2690underthis program.The students attending private schools on2691Family Empowerment Scholarships shall be reported separately2692from other students reported for purposes of the Florida2693Education Finance Program.2694 (e) UponFollowingnotification from the organization on 2695 July 1, September 1, December 1, andorFebruary 1 that an 2696 application has been approved for the programof the number of2697program participants, the department shall verify that the 2698 student is not prohibited from receiving a scholarship pursuant 2699 to subsection (5). The organization must provide the department 2700 with the documentation necessary to verify the student’s 2701 participationtransfer, from general revenue funds only,the2702amount calculated pursuant to paragraph (b) to a separate2703account for the scholarship program for quarterly disbursement2704to parents of participating students.For a student exiting a2705Department of Juvenile Justice commitment program who chooses to2706participate in the scholarship program, the amount of the Family2707Empowerment Scholarship calculated pursuant to paragraph (b)2708must be transferred from the school district in which the2709student last attended a public school before commitment to the2710Department of Juvenile Justice. When a student enters the2711scholarship program, the department must receive all2712documentation required for the student’s participation,2713including the private school’s and the student’s fee schedules,2714at least 30 days before the first quarterly scholarship payment2715is made for the student.2716 (f) Upon verification, the department shall release the 2717 student’s scholarship funds to the organization, to be deposited 2718 into the student’s accountnotificationby the department that2719it has received the documentation required under paragraph (e),2720the Chief Financial Officer shall make scholarship paymentsin 2721 four equal amounts no later than September 1, November 1, 2722 February 1, and April 1 of each school year in which the 2723 scholarship is in force.The initial payment shall be made after2724department verification of admission acceptance, and subsequent2725payments shall be made upon verification of continued enrollment2726and attendance at the private school. Paymentmust be by2727individual warrant made payable to the student’s parent and2728mailed by the department to the private school of the parent’s2729choice, and the parent shall restrictively endorse the warrant2730to the private school for deposit into the account of the2731private school.2732 (g) Accrued interest in the student’s account is in 2733 addition to, and not part of, the awarded funds. Program funds 2734 include both the awarded funds and accrued interestSubsequent2735to each scholarship payment, the department shall request from2736the Department of Financial Services a sample of endorsed2737warrants to review and confirm compliance with endorsement2738requirements. 2739 (h) The organization may develop a system for payment of 2740 benefits by funds transfer, including, but not limited to, debit 2741 cards, electronic payment cards, or any other means of payment 2742 that the department deems to be commercially viable or cost 2743 effective. A student’s scholarship award may not be reduced for 2744 debit card or electronic payment fees. Commodities or services 2745 related to the development of such a system must be procured by 2746 competitive solicitation unless they are purchased from a state 2747 term contract pursuant to s. 287.056. 2748 (i) Moneys received pursuant to this section do not 2749 constitute taxable income to the qualified student or parent of 2750 the qualified student. 2751 (13) OBLIGATIONS OF THE AUDITOR GENERAL.— 2752 (a) The Auditor General shall review all audit reports 2753 submitted pursuant to subsection (11). The Auditor General shall 2754 request any significant items that were omitted in violation of 2755 a rule adopted by the Auditor General. The organization shall 2756 provide such items within 45 days after the date of the request. 2757 If the organization does not comply with the Auditor General’s 2758 request, the Auditor General shall notify the Legislative 2759 Auditing Committee. 2760 (b) At least once every 3 years, the Auditor General shall 2761 conduct an operational audit of accounts and records of each 2762 organization that participates in the program. As part of this 2763 audit, the Auditor General, at a minimum, must verify the total 2764 number of students served and the eligibility of reimbursements 2765 made by the organization and transmit that information to the 2766 department. The Auditor General must provide the commissioner 2767 with a copy of each annual operational audit performed pursuant 2768 to this subsection within 10 days after the audit is finalized. 2769 (c) The Auditor General shall notify the department of any 2770 organization that fails to comply with a request for 2771 information. 2772 (14) NONPROFIT SCHOLARSHIP-FUNDING ORGANIZATIONS; 2773 APPLICATION.—In order to participate in the scholarship program 2774 created under this section, a charitable organization that seeks 2775 to be a nonprofit scholarship-funding organization shall submit 2776 an application for initial approval or renewal to the Office of 2777 Independent Education and Parental Choice no later than 2778 September 1 of each year before the school year for which the 2779 organization intends to offer scholarships. 2780 (a) An application for initial approval must include: 2781 1. A copy of the organization’s incorporation documents and 2782 registration with the Division of Corporations of the Department 2783 of State. 2784 2. A copy of the organization’s Internal Revenue Service 2785 determination letter as an s. 501(c)(3) not-for-profit 2786 organization. 2787 3. A description of the organization’s financial plan that 2788 demonstrates sufficient funds to operate throughout the school 2789 year. 2790 4. A description of the geographic region that the 2791 organization intends to serve and an analysis of the demand and 2792 unmet need for eligible students in that area. 2793 5. The organization’s organizational chart. 2794 6. A description of the criteria and methodology that the 2795 organization will use to evaluate scholarship eligibility. 2796 7. A description of the application process, including 2797 deadlines and any associated fees. 2798 8. A description of the deadlines for attendance 2799 verification and scholarship payments. 2800 9. A copy of the organization’s policies on conflict of 2801 interest and whistleblowers. 2802 10. A copy of a surety bond or letter of credit to secure 2803 the faithful performance of the obligations of the eligible 2804 nonprofit scholarship-funding organization in accordance with 2805 this section in an amount equal to 25 percent of the scholarship 2806 funds anticipated for each school year or $100,000, whichever is 2807 greater. The surety bond or letter of credit must specify that 2808 any claim against the bond or letter of credit may be made only 2809 by an eligible nonprofit scholarship-funding organization to 2810 provide scholarships to and on behalf of students who would have 2811 had scholarships funded if it were not for the diversion of 2812 funds giving rise to the claim against the bond or letter of 2813 credit. 2814 (b) In addition to the information required by 2815 subparagraphs (a)1.-10., an application for renewal must 2816 include: 2817 1. A single surety bond or letter of credit to secure the 2818 faithful performance of the obligations of the eligible 2819 nonprofit scholarship-funding organization in accordance with 2820 this chapter equal to the amount of undisbursed funds held by 2821 the organization based on the annual report submitted pursuant 2822 to paragraph (11)(f). The amount of the surety bond or letter of 2823 credit must be at least $100,000, but not more than $25 million. 2824 The surety bond or letter of credit must specify that any claim 2825 against the bond or letter of credit may be made only by an 2826 eligible nonprofit scholarship-funding organization to provide 2827 scholarships to and on behalf of students who would have had 2828 scholarships funded if it were not for the diversion of funds 2829 giving rise to the claim against the bond or letter of credit. 2830 2. The organization’s completed Internal Revenue Service 2831 Form 990 submitted no later than November 30 of the year before 2832 the school year that the organization intends to offer the 2833 scholarships, notwithstanding the September 1 application 2834 deadline. 2835 3. A copy of the statutorily required audit to the 2836 Department of Education and Auditor General. 2837 4. An annual report that includes: 2838 a. The number of students who completed applications, by 2839 county and by grade. 2840 b. The number of students who were approved for 2841 scholarships, by county and by grade. 2842 c. The number of students who received funding for 2843 scholarships within each funding category, by county and by 2844 grade. 2845 d. The amount of funds received, the amount of funds 2846 distributed in scholarships, and an accounting of remaining 2847 funds and the obligation of those funds. 2848 e. A detailed accounting of how the organization spent the 2849 administrative funds allowable under paragraph (11)(k). 2850 (c) In consultation with the Chief Financial Officer, the 2851 Office of Independent Education and Parental Choice shall review 2852 the application. The Department of Education shall notify the 2853 organization in writing of any deficiencies within 30 days after 2854 receipt of the application and allow the organization 30 days to 2855 correct any deficiencies. 2856 (d) Within 30 days after receipt of the finalized 2857 application by the Office of Independent Education and Parental 2858 Choice, the Commissioner of Education shall recommend approval 2859 or disapproval of the application to the State Board of 2860 Education. The State Board of Education shall consider the 2861 application and recommendation at the next scheduled meeting, 2862 adhering to appropriate meeting notice requirements. If the 2863 State Board of Education disapproves the organization’s 2864 application, it shall provide the organization with a written 2865 explanation of that determination. The State Board of 2866 Education’s action is not subject to chapter 120. 2867 (e) If the State Board of Education disapproves the renewal 2868 of a nonprofit scholarship-funding organization, the 2869 organization must notify the affected eligible students and 2870 parents of the decision within 15 days after disapproval. An 2871 eligible student affected by the disapproval of an 2872 organization’s participation remains eligible under this section 2873 until the end of the school year in which the organization was 2874 disapproved. The student must apply and be accepted by another 2875 eligible nonprofit scholarship-funding organization for the 2876 upcoming school year. The student must be given priority in 2877 accordance with paragraph (3)(d). 2878 (f) All remaining eligible student accounts with funds held 2879 by a nonprofit scholarship-funding organization that is 2880 disapproved for participation must be transferred to the 2881 student’s account established at the eligible nonprofit 2882 scholarship-funding organization accepting the student. All 2883 transferred funds must be deposited by each eligible nonprofit 2884 scholarship-funding organization receiving such funds into the 2885 student’s scholarship account. All other remaining funds must be 2886 transferred to the department. All transferred amounts received 2887 by any eligible nonprofit scholarship-funding organization must 2888 be separately disclosed in the annual financial audit required 2889 under subsection (11). 2890 (g) A nonprofit scholarship-funding organization is a 2891 renewing organization if it was approved by the State Board of 2892 Education for the 2021-2022 fiscal year or after and maintains 2893 continuous approval and participation in the program. An 2894 organization that chooses not to participate for 1 year or more 2895 or is disapproved to participate for 1 year or more must submit 2896 an application for initial approval in order to participate in 2897 the program again. 2898 (h) The State Board of Education shall adopt rules 2899 providing guidelines for receiving, reviewing, and approving 2900 applications for new and renewing nonprofit scholarship-funding 2901 organizations. The rules must include a process for compiling 2902 input and recommendations from the Chief Financial Officer and 2903 the Department of Education. The rules must also require that 2904 the nonprofit scholarship-funding organization make a brief 2905 presentation to assist the State Board of Education in its 2906 decision. 2907 (i) A state university or an independent college or 2908 university that is eligible to participate in the William L. 2909 Boyd, IV, Effective Access to Student Education Grant Program, 2910 is located and chartered in this state, is not for profit, and 2911 is accredited by the Commission on Colleges of the Southern 2912 Association of Colleges and Schools is exempt from the initial 2913 or renewal application process, but must file a registration 2914 notice with the Department of Education to be an eligible 2915 nonprofit scholarship-funding organization. The State Board of 2916 Education shall adopt rules that identify the procedure for 2917 filing the registration notice with the department. The rules 2918 must identify appropriate reporting requirements for fiscal, 2919 programmatic, and performance accountability purposes consistent 2920 with this section, but may not exceed the requirements for 2921 eligible nonprofit scholarship-funding organizations for 2922 charitable organizations. 2923 (15) COMMISSIONER OF EDUCATION AUTHORITY AND OBLIGATIONS.— 2924 (a) The Commissioner of Education: 2925 1. May suspend or revoke program participation or use of 2926 program funds by the student or participation or eligibility of 2927 an organization, eligible postsecondary educational institution, 2928 approved provider, or other party for a violation of this 2929 section. 2930 2. May determine the length of, and conditions for lifting, 2931 a suspension or revocation specified in this subsection. 2932 3. May recover unexpended program funds or withhold payment 2933 of an equal amount of program funds to recover program funds 2934 that were not authorized for use. 2935 4. Shall deny or terminate program participation upon a 2936 parent’s forfeiture of a Family Empowerment Scholarship pursuant 2937 to subsection (10). 2938 (b) In determining whether to suspend or revoke 2939 participation or lift a suspension or revocation in accordance 2940 with this subsection, the commissioner may consider factors that 2941 include, but are not limited to, acts or omissions that led to a 2942 previous suspension or revocation of participation in a state or 2943 federal program or an education scholarship program; failure to 2944 reimburse the organization for funds improperly received or 2945 retained; failure to reimburse government funds improperly 2946 received or retained; imposition of a prior criminal sanction 2947 related to the person or entity or its officers or employees; 2948 imposition of a civil fine or administrative fine, license 2949 revocation or suspension, or program eligibility suspension, 2950 termination, or revocation related to a person’s or entity’s 2951 management or operation; or other types of criminal proceedings 2952 in which the person or entity or its officers or employees were 2953 found guilty of, regardless of adjudication, or entered a plea 2954 of nolo contendere or guilty to, any offense involving fraud, 2955 deceit, dishonesty, or moral turpitude. 2956 (16)(12)LIABILITY.—No liability shall arise on the part of 2957 the state based on the award or use of a Family Empowerment 2958 Scholarship. 2959 (17)(13)SCOPE OF AUTHORITY.—The inclusion of eligible 2960 private schools and private providers within the options 2961 available to Florida public school students does not expand the 2962 regulatory authority of the state, its officers, or any school 2963 district to impose any additional regulation of private schools 2964 beyond those reasonably necessary to enforce requirements 2965 expressly set forth in this section. 2966 (18)(14)RULES.—The State Board of Education shall adopt 2967 rules pursuant to ss. 120.536(1) and 120.54 to administer this 2968 section. The state board rules must include a requirement that 2969 the department work collaboratively with an approved 2970 scholarship-funding organization to expedite the process for the 2971 verification and reporting obligations specified under 2972 subsection (11)(10). 2973(15) IMPLEMENTATION SCHEDULE FOR THE 2019-2020 SCHOOL2974YEAR.—Notwithstanding the provisions of this section related to2975notification requirements and eligibility timelines, for the29762019-2020 school year:2977(a) A student is eligible for a Family Empowerment2978Scholarship under this section if the student’s parent has2979obtained acceptance of the student’s admission to a private2980school that is eligible for the program under subsection (8),2981and the parent has requested a scholarship from the Department2982of Education no later than August 15, 2019. The request must be2983communicated directly to the department in a manner that creates2984a written or electronic record of the request and the date of2985receipt of the request.2986(b) The department shall expedite the publication of2987information relevant to the Family Empowerment Scholarship2988Program on the department’s website, including, but not limited2989to, the eligibility criteria for students to qualify for the2990scholarship under this section and how parents may request the2991scholarship. The department must immediately notify the school2992district of the parent’s intent upon receipt of the parent’s2993request.2994(c) Upon notification by the department that it has2995received the documentation required under paragraph (10)(a), the2996Chief Financial Officer shall make the first quarter payment of2997scholarships no later than October 1, 2019.2998 2999This subsection shall expire June 30, 2020.3000 Section 20. Section 1002.395, Florida Statutes, is amended 3001 to read: 3002 1002.395 Florida K-12 Education Tax CreditScholarship3003 Program.— 3004 (1) FINDINGS AND PURPOSE.— 3005 (a) The Legislature finds that: 3006 1. It has the inherent power to determine subjects of 3007 taxation for general or particular public purposes. 3008 2. Expanding educational opportunities and improving the 3009 quality of educational services within the state are valid 3010 public purposes that the Legislature may promote using its 3011 sovereign power to determine subjects of taxation and exemptions 3012 from taxation. 3013 3. Ensuring that all parents, regardless of means, may 3014 exercise and enjoy their basic right to educate their children 3015 as they see fit is a valid public purpose that the Legislature 3016 may promote using its sovereign power to determine subjects of 3017 taxation and exemptions from taxation. 3018 4. Expanding educational opportunities and the healthy 3019 competition they promote are critical to improving the quality 3020 of education in the state and to ensuring that all children 3021 receive the high-quality education to which they are entitled. 3022 (b) The purpose of this section is to: 3023 1. Enable taxpayers to designate portions of certain tax 3024 payments asmake private, voluntarycontributions for K-12 3025 educationto nonprofit scholarship-funding organizationsin 3026 order to promote the general welfare. 3027 2.Provide taxpayers who wish to help parents with limited3028resources exercise their basic right to educate their children3029as they see fit with a means to do so.30303. Promote the general welfare by expanding educational3031opportunities for children of families that have limited3032financial resources.30334.Enable children in this state to achieve a greater level 3034 of excellence in their education. 3035 3.5.Improve the quality of education in this state, both 3036 by expanding educational opportunities for children and by 3037 creating incentives for schools to achieve excellence. 3038(c) The purpose of this section is not to prescribe the3039standards or curriculum for private schools. A private school3040retains the authority to determine its own standards and3041curriculum.3042 (2) DEFINITIONS.—As used in this section, the term: 3043 (a)“Annual tax credit amount” means, for any state fiscal3044year, the sum of the amount of tax credits approved under3045paragraph (5)(b), including tax credits to be taken under s.3046220.1875 or s. 624.51055, which are approved for a taxpayer3047whose taxable year begins on or after January 1 of the calendar3048year preceding the start of the applicable state fiscal year.3049(b)“Department” means the Department of Revenue. 3050(c) “Direct certification list” means the certified list of3051children who qualify for the food assistance program, the3052Temporary Assistance to Needy Families Program, or the Food3053Distribution Program on Indian Reservations provided to the3054Department of Education by the Department of Children and3055Families.3056 (b)(d)“Division” means the Division of Alcoholic Beverages 3057 and Tobacco of the Department of Business and Professional 3058 Regulation. 3059 (c)(e)“Eligible contribution” means the taxes, or a 3060 portion thereof, remitted by the taxpayer to the department or 3061 the division which the taxpayer elects to designate for K-12 3062 educationa monetary contribution from a taxpayer, subject to 3063 the restrictions provided in this section, to an eligible3064nonprofit scholarship-funding organization. The taxpayer making3065the contribution may not designate a specific child as the3066beneficiary of the contribution. Once made, such election is 3067 irrevocable. 3068(f) “Eligible nonprofit scholarship-funding organization”3069means a state university; or an independent college or3070university that is eligible to participate in the William L.3071Boyd, IV, Effective Access to Student Education Grant Program,3072located and chartered in this state, is not for profit, and is3073accredited by the Commission on Colleges of the Southern3074Association of Colleges and Schools; or is a charitable3075organization that:30761. Is exempt from federal income tax pursuant to s.3077501(c)(3) of the Internal Revenue Code;30782. Is a Florida entity formed under chapter 605, chapter3079607, or chapter 617 and whose principal office is located in the3080state; and30813. Complies with subsections (6) and (15).3082(g) “Eligible private school” means a private school, as3083defined in s. 1002.01(2), located in Florida which offers an3084education to students in any grades K-12 and that meets the3085requirements in subsection (8).3086(h) “Household income” has the same meaning as the term3087“income” as defined in the Income Eligibility Guidelines for3088free and reduced price meals under the National School Lunch3089Program in 7 C.F.R. part 210 as published in the Federal3090Register by the United States Department of Agriculture.3091(i) “Owner or operator” includes:30921. An owner, president, officer, or director of an eligible3093nonprofit scholarship-funding organization or a person with3094equivalent decisionmaking authority over an eligible nonprofit3095scholarship-funding organization.30962. An owner, operator, superintendent, or principal of an3097eligible private school or a person with equivalent3098decisionmaking authority over an eligible private school.3099(j) “Tax credit cap amount” means the maximum annual tax3100credit amount that the department may approve for a state fiscal3101year.3102(k) “Unweighted FTE funding amount” means the statewide3103average total funds per unweighted full-time equivalent funding3104amount that is incorporated by reference in the General3105Appropriations Act, or any subsequent special appropriations3106act, for the applicable state fiscal year.3107 (3)PROGRAM; INITIAL SCHOLARSHIP ELIGIBILITY.—3108(a) The Florida Tax Credit Scholarship Program is3109established.3110(b) A student is eligible for a Florida tax credit3111scholarship under this section if the student meets one or more3112of the following criteria:31131. The student is on the direct certification list or the3114student’s household income level does not exceed 260 percent of3115the federal poverty level; or31162. The student is currently placed, or during the previous3117state fiscal year was placed, in foster care or in out-of-home3118care as defined in s. 39.01.3119 3120Priority must be given to a student whose household income level3121does not exceed 185 percent of the federal poverty level or who3122is in foster care or out-of-home care. A student who initially3123receives a scholarship based on eligibility under this paragraph3124remains eligible to participate until he or she graduates from3125high school or attains the age of 21 years, whichever occurs3126first, regardless of the student’s household income level. A3127sibling of a student who is participating in the scholarship3128program under this subsection is eligible for a scholarship if3129the student resides in the same household as the sibling.3130(4) SCHOLARSHIP PROHIBITIONS.—A student is not eligible for3131a scholarship while he or she is:3132(a) Enrolled in a school operating for the purpose of3133providing educational services to youth in Department of3134Juvenile Justice commitment programs;3135(b) Receiving a scholarship from another eligible nonprofit3136scholarship-funding organization under this section;3137(c) Receiving an educational scholarship pursuant to3138chapter 1002;3139(d) Participating in a home education program as defined in3140s. 1002.01(1);3141(e) Participating in a private tutoring program pursuant to3142s. 1002.43;3143(f) Participating in a virtual school, correspondence3144school, or distance learning program that receives state funding3145pursuant to the student’s participation unless the participation3146is limited to no more than two courses per school year; or3147(g) Enrolled in the Florida School for the Deaf and the3148Blind.3149(5)K-12 EDUCATIONSCHOLARSHIP FUNDINGTAX CREDITS; 3150 LIMITATIONS.— 3151(a)1. Thetax credit cap amount is $229 million in the31522012-2013 state fiscal year.31532. In the 2013-2014 state fiscal year and each state fiscal3154year thereafter, the tax credit cap amount is the tax credit cap3155amount in the prior state fiscal year. However, in any state3156fiscal year when the annual tax credit amount for the prior3157state fiscal year is equal to or greater than 90 percent of the3158tax credit cap amount applicable to that state fiscal year, the3159tax credit cap amount shall increase by 25 percent. The3160Department of Education and Department of Revenue shall publish3161on their websites information identifying the tax credit cap3162amount when it is increased pursuant to this subparagraph.3163 (a)(b)A taxpayer may elect to make eligible contributions 3164submit an applicationto the department or the division for a 3165 tax credit or credits under one or more of s. 211.0251, s. 3166 212.1831, s. 212.1832, s. 220.1875, s. 561.1211, or s. 3167 624.51055. For elections related to taxes imposed under chapter 3168 211, chapter 212, or chapter 561, the taxpayer shall make the 3169 election on a return filed with the department or the division. 3170 For elections related to taxes imposed under chapter 220 or 3171 chapter 624, the taxpayer shall make the election when making 3172 the estimated payment. 3173 (b) The taxpayer shall specify the amount of the eligible 3174 contribution, which amount may not exceed: 3175 1. For elections under s. 211.0251, 50 percent of the tax 3176 due on the return on which the election is made. 3177 2. For elections under s. 212.1831, 100 percent of the tax 3178 due on the return on which the election is made. 3179 3. For elections under s. 212.1832, each eligible 3180 contribution is limited to a single designation of $105 per 3181 motor vehicle made at the time of purchase of a motor vehicle or 3182 a single designation of $105 per motor vehicle made at the time 3183 registration of a motor vehicle that was not purchased from a 3184 dealer, except that a contribution may not exceed the state tax 3185 imposed under chapter 212 which would otherwise be collected 3186 from the purchaser by a dealer, designated agent, or private tag 3187 agent. 3188 4. For elections under s. 220.1875, 25 percent of the final 3189 tax liability shown on the taxpayer’s Florida Corporate 3190 Income/Franchise Tax Return for the taxable year immediately 3191 preceding the most recent completed taxable year. This 3192 limitation applies to each estimated payment made. However, a 3193 taxpayer may not designate an eligible contribution on more than 3194 4 estimated payments in any taxable year. 3195 5. For elections under s. 561.1211, 90 percent of the tax 3196 due on the return on which the election is made. 3197 6. For elections under s. 624.51055, 33 percent of the tax 3198 due for the prior taxable year under s. 624.509(1) after 3199 deducting from such tax the prior year’s deductions for 3200 assessments made pursuant to s. 440.51; credits for taxes paid 3201 under ss. 175.101 and 185.08; credits for income taxes paid 3202 under chapter 220; and the credit allowed under s. 624.509(5), 3203 as such credit is limited by s. 624.509(6). This limitation 3204 applies to each installment payment made. However, a taxpayer 3205 may not designate an eligible contribution on more than 3 3206 installment payments in any taxable year. 32071. The taxpayer shall specify in the application each tax3208for which the taxpayer requests a credit and the applicable3209taxable year for a credit under s. 220.1875 or s. 624.51055 or3210the applicable state fiscal year for a credit under s. 211.0251,3211s. 212.1831, or s. 561.1211. For purposes of s. 220.1875, a3212taxpayer may apply for a credit to be used for a prior taxable3213year before the date the taxpayer is required to file a return3214for that year pursuant to s. 220.222. For purposes of s.3215624.51055, a taxpayer may apply for a credit to be used for a3216prior taxable year before the date the taxpayer is required to3217file a return for that prior taxable year pursuant to ss.3218624.509 and 624.5092. The department shall approve tax credits3219on a first-come, first-served basis and must obtain the3220division’s approval before approving a tax credit under s.3221561.1211.32222. Within 10 days after approving or denying an3223application, the department shall provide a copy of its approval3224or denial letter to the eligible nonprofit scholarship-funding3225organization specified by the taxpayer in the application.3226 (c) If a tax creditapproved under paragraph (b) is not3227fully used within the specified state fiscal year for credits3228 under s. 211.0251, s. 212.1831,ors. 561.1211,or against taxes3229due for the specified taxable year for credits unders. 3230 220.1875, or s. 624.51055 is not fully used because of 3231 insufficient tax liability on the part of the taxpayer, the 3232 unused amount shall be carried forward for a period not to 3233 exceed 10 years. For purposes of s. 220.1875, a credit carried 3234 forward may be used in a subsequent year after applying the 3235 other credits and unused carryovers in the order provided in s. 3236 220.02(8). 3237 (d) Subsequent to the limitations in s. 215.26(2), the 3238 unused amount of a tax credit, or any portion thereof, which is 3239 carried forward as provided in paragraph (c) may be refunded to 3240 the taxpayer upon written request, or as otherwise directed by 3241 the department. Refunded amounts are no longer designations for 3242 K-12 fundingA taxpayer may not convey, assign, or transfer an3243approved tax credit or a carryforward tax credit to another3244entity unless all of the assets of the taxpayer are conveyed,3245assigned, or transferred in the same transaction. The department 3246 may offset incoming contributions designated for K-12 education 3247 with requests for refunds. Funds from the Florida K-12 Education 3248 Tax Credit Program Trust Fund may be used to pay refunds 3249However, a tax credit under s. 211.0251, s. 212.1831, s.3250220.1875, s. 561.1211, or s. 624.51055 may be conveyed,3251transferred, or assigned between members of an affiliated group3252of corporations if the type of tax credit under s. 211.0251, s.3253212.1831, s. 220.1875, s. 561.1211, or s. 624.51055 remains the3254same.A taxpayer shall notify the department of its intent to3255convey, transfer, or assign a tax credit to another member3256within an affiliated group of corporations. The amount conveyed,3257transferred, or assigned is available to another member of the3258affiliated group of corporations upon approval by the3259department. The department shall obtain the division’s approval3260before approving a conveyance, transfer, or assignment of a tax3261credit under s. 561.1211.3262 (e) For elections made between July 1, 2021, and December 3263 31, 2021, for tax credits under ss. 211.0251, 212.1831, 3264 220.1875, and 624.51055, an eligible contribution must be 3265 remitted by electronically submitting a separate designation or 3266 contribution payment to the department. The department shall 3267 provide the taxpayer with a receipt for the contribution. This 3268 paragraph expires July 1, 2022Within any state fiscal year, a3269taxpayer may rescind all or part of a tax credit approved under3270paragraph (b).The amount rescinded shall become available for3271that state fiscal year to another eligible taxpayer as approved3272by the department if the taxpayer receives notice from the3273department that the rescindment has been accepted by the3274department. The department must obtain the division’s approval3275prior to accepting the rescindment of a tax credit under s.3276561.1211. Any amount rescinded under this paragraph shall become3277available to an eligible taxpayer on a first-come, first-served3278basis based on tax credit applications received after the date3279the rescindment is accepted by the department.3280(f) Within 10 days after approving or denying the3281conveyance, transfer, or assignment of a tax credit under3282paragraph (d), or the rescindment of a tax credit under3283paragraph (e), the department shall provide a copy of its3284approval or denial letter to the eligible nonprofit scholarship3285funding organization specified by the taxpayer. The department3286shall also include the eligible nonprofit scholarship-funding3287organization specified by the taxpayer on all letters or3288correspondence of acknowledgment for tax credits under s.3289212.1831.3290(g) For purposes of calculating the underpayment of3291estimated corporate income taxes pursuant to s. 220.34 and tax3292installment payments for taxes on insurance premiums or3293assessments under s. 624.5092, the final amount due is the3294amount after credits earned under s. 220.1875 or s. 624.510553295for contributions to eligible nonprofit scholarship-funding3296organizations are deducted.32971. For purposes of determining if a penalty or interest3298shall be imposed for underpayment of estimated corporate income3299tax pursuant to s. 220.34(2)(d)1., a taxpayer may, after earning3300a credit under s. 220.1875, reduce any estimated payment in that3301taxable year by the amount of the credit. This subparagraph3302applies to contributions made on or after July 1, 2014.33032. For purposes of determining if a penalty under s.3304624.5092 shall be imposed, an insurer, after earning a credit3305under s. 624.51055 for a taxable year, may reduce any3306installment payment for such taxable year of 27 percent of the3307amount of the net tax due as reported on the return for the3308preceding year under s. 624.5092(2)(b) by the amount of the3309credit. This subparagraph applies to contributions made on or3310after July 1, 2014.3311(6) OBLIGATIONS OF ELIGIBLE NONPROFIT SCHOLARSHIP-FUNDING3312ORGANIZATIONS.—An eligible nonprofit scholarship-funding3313organization:3314(a) Must comply with the antidiscrimination provisions of331542 U.S.C. s. 2000d.3316(b) Must comply with the following background check3317requirements:33181. All owners and operators as defined in subparagraph3319(2)(i)1. are, before employment or engagement to provide3320services, subject to level 2 background screening as provided3321under chapter 435. The fingerprints for the background screening3322must be electronically submitted to the Department of Law3323Enforcement and can be taken by an authorized law enforcement3324agency or by an employee of the eligible nonprofit scholarship3325funding organization or a private company who is trained to take3326fingerprints. However, the complete set of fingerprints of an3327owner or operator may not be taken by the owner or operator. The3328results of the state and national criminal history check shall3329be provided to the Department of Education for screening under3330chapter 435. The cost of the background screening may be borne3331by the eligible nonprofit scholarship-funding organization or3332the owner or operator.33332. Every 5 years following employment or engagement to3334provide services or association with an eligible nonprofit3335scholarship-funding organization, each owner or operator must3336meet level 2 screening standards as described in s. 435.04, at3337which time the nonprofit scholarship-funding organization shall3338request the Department of Law Enforcement to forward the3339fingerprints to the Federal Bureau of Investigation for level 23340screening. If the fingerprints of an owner or operator are not3341retained by the Department of Law Enforcement under subparagraph33423., the owner or operator must electronically file a complete3343set of fingerprints with the Department of Law Enforcement. Upon3344submission of fingerprints for this purpose, the eligible3345nonprofit scholarship-funding organization shall request that3346the Department of Law Enforcement forward the fingerprints to3347the Federal Bureau of Investigation for level 2 screening, and3348the fingerprints shall be retained by the Department of Law3349Enforcement under subparagraph 3.33503. Fingerprints submitted to the Department of Law3351Enforcement as required by this paragraph must be retained by3352the Department of Law Enforcement in a manner approved by rule3353and entered in the statewide automated biometric identification3354system authorized by s. 943.05(2)(b). The fingerprints must3355thereafter be available for all purposes and uses authorized for3356arrest fingerprints entered in the statewide automated biometric3357identification system pursuant to s. 943.051.33584. The Department of Law Enforcement shall search all3359arrest fingerprints received under s. 943.051 against the3360fingerprints retained in the statewide automated biometric3361identification system under subparagraph 3. Any arrest record3362that is identified with an owner’s or operator’s fingerprints3363must be reported to the Department of Education. The Department3364of Education shall participate in this search process by paying3365an annual fee to the Department of Law Enforcement and by3366informing the Department of Law Enforcement of any change in the3367employment, engagement, or association status of the owners or3368operators whose fingerprints are retained under subparagraph 3.3369The Department of Law Enforcement shall adopt a rule setting the3370amount of the annual fee to be imposed upon the Department of3371Education for performing these services and establishing the3372procedures for the retention of owner and operator fingerprints3373and the dissemination of search results. The fee may be borne by3374the owner or operator of the nonprofit scholarship-funding3375organization.33765. A nonprofit scholarship-funding organization whose owner3377or operator fails the level 2 background screening is not3378eligible to provide scholarships under this section.33796. A nonprofit scholarship-funding organization whose owner3380or operator in the last 7 years has filed for personal3381bankruptcy or corporate bankruptcy in a corporation of which he3382or she owned more than 20 percent shall not be eligible to3383provide scholarships under this section.33847. In addition to the offenses listed in s. 435.04, a3385person required to undergo background screening pursuant to this3386part or authorizing statutes must not have an arrest awaiting3387final disposition for, must not have been found guilty of, or3388entered a plea of nolo contendere to, regardless of3389adjudication, and must not have been adjudicated delinquent, and3390the record must not have been sealed or expunged for, any of the3391following offenses or any similar offense of another3392jurisdiction:3393a. Any authorizing statutes, if the offense was a felony.3394b. This chapter, if the offense was a felony.3395c. Section 409.920, relating to Medicaid provider fraud.3396d. Section 409.9201, relating to Medicaid fraud.3397e. Section 741.28, relating to domestic violence.3398f. Section 817.034, relating to fraudulent acts through3399mail, wire, radio, electromagnetic, photoelectronic, or3400photooptical systems.3401g. Section 817.234, relating to false and fraudulent3402insurance claims.3403h. Section 817.505, relating to patient brokering.3404i. Section 817.568, relating to criminal use of personal3405identification information.3406j. Section 817.60, relating to obtaining a credit card3407through fraudulent means.3408k. Section 817.61, relating to fraudulent use of credit3409cards, if the offense was a felony.3410l. Section 831.01, relating to forgery.3411m. Section 831.02, relating to uttering forged instruments.3412n. Section 831.07, relating to forging bank bills, checks,3413drafts, or promissory notes.3414o. Section 831.09, relating to uttering forged bank bills,3415checks, drafts, or promissory notes.3416p. Section 831.30, relating to fraud in obtaining medicinal3417drugs.3418q. Section 831.31, relating to the sale, manufacture,3419delivery, or possession with the intent to sell, manufacture, or3420deliver any counterfeit controlled substance, if the offense was3421a felony.3422(c) Must not have an owner or operator who owns or operates3423an eligible private school that is participating in the3424scholarship program.3425(d) Must provide scholarships, from eligible contributions,3426to eligible students for the cost of:34271. Tuition and fees for an eligible private school; or34282. Transportation to a Florida public school in which a3429student is enrolled and that is different from the school to3430which the student was assigned or to a lab school as defined in3431s. 1002.32.3432(e) Must give first priority to eligible renewal students3433who received a scholarship from an eligible nonprofit3434scholarship-funding organization or from the State of Florida3435during the previous school year. The eligible nonprofit3436scholarship-funding organization must fully apply and exhaust3437all funds available under this section and s. 1002.40(11)(i) for3438renewal scholarship awards before awarding any initial3439scholarships.3440(f) Must provide a renewal or initial scholarship to an3441eligible student on a first-come, first-served basis unless the3442student qualifies for priority pursuant to paragraph (e). Each3443eligible nonprofit scholarship-funding organization must refer3444any student eligible for a scholarship pursuant to this section3445who did not receive a renewal or initial scholarship based3446solely on the lack of available funds under this section and s.34471002.40(11)(i) to another eligible nonprofit scholarship-funding3448organization that may have funds available.3449(g) May not restrict or reserve scholarships for use at a3450particular private school or provide scholarships to a child of3451an owner or operator.3452(h) Must allow a student in foster care or out-of-home care3453or a dependent child of a parent who is a member of the United3454States Armed Forces to apply for a scholarship at any time.3455(i) Must allow an eligible student to attend any eligible3456private school and must allow a parent to transfer a scholarship3457during a school year to any other eligible private school of the3458parent’s choice.3459(j)1. May use eligible contributions received pursuant to3460this section and ss. 212.099, 212.1832, and 1002.40 during the3461state fiscal year in which such contributions are collected for3462administrative expenses if the organization has operated as an3463eligible nonprofit scholarship-funding organization for at least3464the preceding 3 fiscal years and did not have any findings of3465material weakness or material noncompliance in its most recent3466audit under paragraph (m). Administrative expenses from eligible3467contributions may not exceed 3 percent of the total amount of3468all scholarships awarded by an eligible scholarship-funding3469organization under this chapter. Such administrative expenses3470must be reasonable and necessary for the organization’s3471management and distribution of scholarships awarded under this3472chapter. No funds authorized under this subparagraph shall be3473used for lobbying or political activity or expenses related to3474lobbying or political activity. Up to one-third of the funds3475authorized for administrative expenses under this subparagraph3476may be used for expenses related to the recruitment of3477contributions from taxpayers. An eligible nonprofit scholarship3478funding organization may not charge an application fee.34792. Must expend for annual or partial-year scholarships an3480amount equal to or greater than 75 percent of the net eligible3481contributions remaining after administrative expenses during the3482state fiscal year in which such contributions are collected. No3483more than 25 percent of such net eligible contributions may be3484carried forward to the following state fiscal year. All amounts3485carried forward, for audit purposes, must be specifically3486identified for particular students, by student name and the name3487of the school to which the student is admitted, subject to the3488requirements of ss. 1002.22 and 1002.221 and 20 U.S.C. s. 1232g,3489and the applicable rules and regulations issued pursuant3490thereto. Any amounts carried forward shall be expended for3491annual or partial-year scholarships in the following state3492fiscal year. No later than September 30 of each year, net3493eligible contributions remaining on June 30 of each year that3494are in excess of the 25 percent that may be carried forward3495shall be used to provide scholarships to eligible students or3496transferred to other eligible nonprofit scholarship-funding3497organizations to provide scholarships for eligible students. All3498transferred funds must be deposited by each eligible nonprofit3499scholarship-funding organization receiving such funds into its3500scholarship account. All transferred amounts received by any3501eligible nonprofit scholarship-funding organization must be3502separately disclosed in the annual financial audit required3503under paragraph (m).35043. Must, before granting a scholarship for an academic3505year, document each scholarship student’s eligibility for that3506academic year. A scholarship-funding organization may not grant3507multiyear scholarships in one approval process.3508(k) Must maintain separate accounts for scholarship funds3509and operating funds.3510(l) With the prior approval of the Department of Education,3511may transfer funds to another eligible nonprofit scholarship3512funding organization if additional funds are required to meet3513scholarship demand at the receiving nonprofit scholarship3514funding organization. A transfer is limited to the greater of3515$500,000 or 20 percent of the total contributions received by3516the nonprofit scholarship-funding organization making the3517transfer. All transferred funds must be deposited by the3518receiving nonprofit scholarship-funding organization into its3519scholarship accounts. All transferred amounts received by any3520nonprofit scholarship-funding organization must be separately3521disclosed in the annual financial and compliance audit required3522in this section.3523(m) Must provide to the Auditor General and the Department3524of Education a report on the results of an annual financial3525audit of its accounts and records conducted by an independent3526certified public accountant in accordance with auditing3527standards generally accepted in the United States, government3528auditing standards, and rules promulgated by the Auditor3529General. The audit report must include a report on financial3530statements presented in accordance with generally accepted3531accounting principles. Audit reports must be provided to the3532Auditor General and the Department of Education within 180 days3533after completion of the eligible nonprofit scholarship-funding3534organization’s fiscal year. The Auditor General shall review all3535audit reports submitted pursuant to this paragraph. The Auditor3536General shall request any significant items that were omitted in3537violation of a rule adopted by the Auditor General. The items3538must be provided within 45 days after the date of the request.3539If the scholarship-funding organization does not comply with the3540Auditor General’s request, the Auditor General shall notify the3541Legislative Auditing Committee.3542(n) Must prepare and submit quarterly reports to the3543Department of Education pursuant to paragraph (9)(i). In3544addition, an eligible nonprofit scholarship-funding organization3545must submit in a timely manner any information requested by the3546Department of Education relating to the scholarship program.3547(o)1.a. Must participate in the joint development of3548agreed-upon procedures during the 2009-2010 state fiscal year.3549The agreed-upon procedures must uniformly apply to all private3550schools and must determine, at a minimum, whether the private3551school has been verified as eligible by the Department of3552Education under s. 1002.421; has an adequate accounting system,3553system of financial controls, and process for deposit and3554classification of scholarship funds; and has properly expended3555scholarship funds for education-related expenses. During the3556development of the procedures, the participating scholarship3557funding organizations shall specify guidelines governing the3558materiality of exceptions that may be found during the3559accountant’s performance of the procedures. The procedures and3560guidelines shall be provided to private schools and the3561Commissioner of Education by March 15, 2011.3562b. Must participate in a joint review of the agreed-upon3563procedures and guidelines developed under sub-subparagraph a.,3564by February of each biennium, if the scholarship-funding3565organization provided more than $250,000 in scholarship funds to3566an eligible private school under this chapter during the state3567fiscal year preceding the biennial review. If the procedures and3568guidelines are revised, the revisions must be provided to3569private schools and the Commissioner of Education by March 15 of3570the year in which the revisions were completed. The revised3571agreed-upon procedures shall take effect the subsequent school3572year. For the 2018-2019 school year only, the joint review of3573the agreed-upon procedures must be completed and the revisions3574submitted to the commissioner no later than September 15, 2018.3575The revised procedures are applicable to the 2018-2019 school3576year.3577c. Must monitor the compliance of a private school with s.35781002.421(1)(q) if the scholarship-funding organization provided3579the majority of the scholarship funding to the school. For each3580private school subject to s. 1002.421(1)(q), the appropriate3581scholarship-funding organization shall annually notify the3582Commissioner of Education by October 30 of:3583(I) A private school’s failure to submit a report required3584under s. 1002.421(1)(q); or3585(II) Any material exceptions set forth in the report3586required under s. 1002.421(1)(q).35872. Must seek input from the accrediting associations that3588are members of the Florida Association of Academic Nonpublic3589Schools and the Department of Education when jointly developing3590the agreed-upon procedures and guidelines under sub-subparagraph35911.a. and conducting a review of those procedures and guidelines3592under sub-subparagraph 1.b.3593(p) Must maintain the surety bond or letter of credit3594required by subsection (15). The amount of the surety bond or3595letter of credit may be adjusted quarterly to equal the actual3596amount of undisbursed funds based upon submission by the3597organization of a statement from a certified public accountant3598verifying the amount of undisbursed funds. The requirements of3599this paragraph are waived if the cost of acquiring a surety bond3600or letter of credit exceeds the average 10-year cost of3601acquiring a surety bond or letter of credit by 200 percent. The3602requirements of this paragraph are waived for a state3603university; or an independent college or university which is3604eligible to participate in the William L. Boyd, IV, Effective3605Access to Student Education Grant Program, located and chartered3606in this state, is not for profit, and is accredited by the3607Commission on Colleges of the Southern Association of Colleges3608and Schools.3609(q) Must provide to the Auditor General any information or3610documentation requested in connection with an operational audit3611of a scholarship funding organization conducted pursuant to s.361211.45.3613 3614Information and documentation provided to the Department of3615Education and the Auditor General relating to the identity of a3616taxpayer that provides an eligible contribution under this3617section shall remain confidential at all times in accordance3618with s. 213.053.3619(7) PARENT AND STUDENT RESPONSIBILITIES FOR PROGRAM3620PARTICIPATION.—3621(a) The parent must select an eligible private school and3622apply for the admission of his or her child.3623(b) The parent must inform the child’s school district when3624the parent withdraws his or her child to attend an eligible3625private school.3626(c) Any student participating in the scholarship program3627must remain in attendance throughout the school year unless3628excused by the school for illness or other good cause.3629(d) Each parent and each student has an obligation to the3630private school to comply with the private school’s published3631policies.3632(e) The parent shall ensure that the student participating3633in the scholarship program takes the norm-referenced assessment3634offered by the private school. The parent may also choose to3635have the student participate in the statewide assessments3636pursuant to s. 1008.22. If the parent requests that the student3637participating in the scholarship program take statewide3638assessments pursuant to s. 1008.22 and the private school has3639not chosen to offer and administer the statewide assessments,3640the parent is responsible for transporting the student to the3641assessment site designated by the school district.3642(f) Upon receipt of a scholarship warrant from the eligible3643nonprofit scholarship-funding organization, the parent to whom3644the warrant is made must restrictively endorse the warrant to3645the private school for deposit into the account of the private3646school. If payments are made by funds transfer, the parent must3647approve each payment before the scholarship funds may be3648deposited. The parent may not designate any entity or individual3649associated with the participating private school as the parent’s3650attorney in fact to endorse a scholarship warrant or approve a3651funds transfer. A participant who fails to comply with this3652paragraph forfeits the scholarship.3653(g) The parent shall authorize the nonprofit scholarship3654funding organization to access information needed for income3655eligibility determination and verification held by other state3656or federal agencies, including the Department of Revenue, the3657Department of Children and Families, the Department of3658Education, the Department of Economic Opportunity, and the3659Agency for Health Care Administration.3660(8) PRIVATE SCHOOL ELIGIBILITY AND OBLIGATIONS.—An eligible3661private school may be sectarian or nonsectarian and must:3662(a) Comply with all requirements for private schools3663participating in state school choice scholarship programs3664pursuant to s. 1002.421.3665(b)1. Annually administer or make provision for students3666participating in the scholarship program in grades 3 through 103667to take one of the nationally norm-referenced tests identified3668by the Department of Education or the statewide assessments3669pursuant to s. 1008.22. Students with disabilities for whom3670standardized testing is not appropriate are exempt from this3671requirement. A participating private school must report a3672student’s scores to the parent. A participating private school3673must annually report by August 15 the scores of all3674participating students to a state university described in3675paragraph (9)(f).36762. Administer the statewide assessments pursuant to s.36771008.22 if a private school chooses to offer the statewide3678assessments. A participating private school may choose to offer3679and administer the statewide assessments to all students who3680attend the private school in grades 3 through 10 and must submit3681a request in writing to the Department of Education by March 13682of each year in order to administer the statewide assessments in3683the subsequent school year.3684 3685If a private school fails to meet the requirements of this3686subsection or s. 1002.421, the commissioner may determine that3687the private school is ineligible to participate in the3688scholarship program.3689(9) DEPARTMENT OF EDUCATION OBLIGATIONS.—The Department of3690Education shall:3691(a) Annually submit to the department and division, by3692March 15, a list of eligible nonprofit scholarship-funding3693organizations that meet the requirements of paragraph (2)(f).3694(b) Annually verify the eligibility of nonprofit3695scholarship-funding organizations that meet the requirements of3696paragraph (2)(f).3697(c) Annually verify the eligibility of expenditures as3698provided in paragraph (6)(d) using the audit required by3699paragraph (6)(m) and s. 11.45(2)(l).3700(d) Cross-check the list of participating scholarship3701students with the public school enrollment lists to avoid3702duplication.3703(e) Maintain a list of nationally norm-referenced tests3704identified for purposes of satisfying the testing requirement in3705subparagraph (8)(b)1. The tests must meet industry standards of3706quality in accordance with State Board of Education rule.3707(f) Issue a project grant award to a state university, to3708which participating private schools must report the scores of3709participating students on the nationally norm-referenced tests3710or the statewide assessments administered by the private school3711in grades 3 through 10. The project term is 2 years, and the3712amount of the project is up to $250,000 per year. The project3713grant award must be reissued in 2-year intervals in accordance3714with this paragraph.37151. The state university must annually report to the3716Department of Education on the student performance of3717participating students:3718a. On a statewide basis. The report shall also include, to3719the extent possible, a comparison of scholarship students’3720performance to the statewide student performance of public3721school students with socioeconomic backgrounds similar to those3722of students participating in the scholarship program. To3723minimize costs and reduce time required for the state3724university’s analysis and evaluation, the Department of3725Education shall coordinate with the state university to provide3726data to the state university in order to conduct analyses of3727matched students from public school assessment data and3728calculate control group student performance using an agreed-upon3729methodology with the state university; and3730b. On an individual school basis. The annual report must3731include student performance for each participating private3732school in which at least 51 percent of the total enrolled3733students in the private school participated in the Florida Tax3734Credit Scholarship Program in the prior school year. The report3735shall be according to each participating private school, and for3736participating students, in which there are at least 303737participating students who have scores for tests administered.3738If the state university determines that the 30-participating3739student cell size may be reduced without disclosing personally3740identifiable information, as described in 34 C.F.R. s. 99.12, of3741a participating student, the state university may reduce the3742participating-student cell size, but the cell size must not be3743reduced to less than 10 participating students. The department3744shall provide each private school’s prior school year’s student3745enrollment information to the state university no later than3746June 15 of each year, or as requested by the state university.37472. The sharing and reporting of student performance data3748under this paragraph must be in accordance with requirements of3749ss. 1002.22 and 1002.221 and 20 U.S.C. s. 1232g, the Family3750Educational Rights and Privacy Act, and the applicable rules and3751regulations issued pursuant thereto, and shall be for the sole3752purpose of creating the annual report required by subparagraph37531. All parties must preserve the confidentiality of such3754information as required by law. The annual report must not3755disaggregate data to a level that will identify individual3756participating schools, except as required under sub-subparagraph37571.b., or disclose the academic level of individual students.37583. The annual report required by subparagraph 1. shall be3759published by the Department of Education on its website.3760(g) Notify an eligible nonprofit scholarship-funding3761organization of any of the organization’s identified students3762who are receiving educational scholarships pursuant to chapter37631002.3764(h) Notify an eligible nonprofit scholarship-funding3765organization of any of the organization’s identified students3766who are receiving tax credit scholarships from other eligible3767nonprofit scholarship-funding organizations.3768(i) Require quarterly reports by an eligible nonprofit3769scholarship-funding organization regarding the number of3770students participating in the scholarship program, the private3771schools at which the students are enrolled, and other3772information deemed necessary by the Department of Education.3773(j) Provide a process to match the direct certification3774list with the scholarship application data submitted by any3775nonprofit scholarship-funding organization eligible to receive3776the 3-percent administrative allowance under paragraph (6)(j).3777(10) SCHOOL DISTRICT OBLIGATIONS; PARENTAL OPTIONS.—3778(a) Upon the request of any eligible nonprofit scholarship3779funding organization, a school district shall inform all3780households within the district receiving free or reduced-priced3781meals under the National School Lunch Act of their eligibility3782to apply for a tax credit scholarship. The form of such notice3783shall be provided by the eligible nonprofit scholarship-funding3784organization, and the district shall include the provided form,3785if requested by the organization, in any normal correspondence3786with eligible households. If an eligible nonprofit scholarship3787funding organization requests a special communication to be3788issued to households within the district receiving free or3789reduced-price meals under the National School Lunch Act, the3790organization shall reimburse the district for the cost of3791postage. Such notice is limited to once a year.3792(b) Upon the request of the Department of Education, a3793school district shall coordinate with the department to provide3794to a participating private school the statewide assessments3795administered under s. 1008.22 and any related materials for3796administering the assessments. A school district is responsible3797for implementing test administrations at a participating private3798school, including the:37991. Provision of training for private school staff on test3800security and assessment administration procedures;38012. Distribution of testing materials to a private school;38023. Retrieval of testing materials from a private school;38034. Provision of the required format for a private school to3804submit information to the district for test administration and3805enrollment purposes; and38065. Provision of any required assistance, monitoring, or3807investigation at a private school.3808(11) SCHOLARSHIP AMOUNT AND PAYMENT.—3809(a) The scholarship amount provided to any student for any3810single school year by an eligible nonprofit scholarship-funding3811organization from eligible contributions shall be for total3812costs authorized under paragraph (6)(d), not to exceed annual3813limits, which shall be determined as follows:38141. For a student who received a scholarship in the 201838152019 school year, who remains eligible, and who is enrolled in3816an eligible private school, the amount shall be the greater3817amount calculated pursuant to subparagraph 2. or a percentage of3818the unweighted FTE funding amount for the 2018-2019 state fiscal3819year and thereafter as follows:3820a. Eighty-eight percent for a student enrolled in3821kindergarten through grade 5.3822b. Ninety-two percent for a student enrolled in grade 63823through grade 8.3824c. Ninety-six percent for a student enrolled in grade 93825through grade 12.38262. For students initially eligible in the 2019-2020 school3827year or thereafter, the calculated amount for a student to3828attend an eligible private school shall be based upon the grade3829level and school district in which the student resides as 953830percent of the funds per unweighted full-time equivalent in the3831Florida Education Finance Program for a student in the basic3832program established pursuant to s. 1011.62(1)(c)1., plus a per3833full-time equivalent share of funds for all categorical3834programs, except for the Exceptional Student Education3835Guaranteed Allocation.38363. The scholarship amount awarded to a student enrolled in3837a Florida public school in which a student is enrolled and that3838is different from the school to which the student was assigned3839or in a lab school as defined in s. 1002.32, is limited to $750.3840(b) Payment of the scholarship by the eligible nonprofit3841scholarship-funding organization shall be by individual warrant3842made payable to the student’s parent or by funds transfer,3843including, but not limited to, debit cards, electronic payment3844cards, or any other means of payment that the department deems3845to be commercially viable or cost-effective. If the payment is3846made by warrant, the warrant must be delivered by the eligible3847nonprofit scholarship-funding organization to the private school3848of the parent’s choice, and the parent shall restrictively3849endorse the warrant to the private school. An eligible nonprofit3850scholarship-funding organization shall ensure that the parent to3851whom the warrant is made restrictively endorsed the warrant to3852the private school for deposit into the account of the private3853school or that the parent has approved a funds transfer before3854any scholarship funds are deposited.3855(c) An eligible nonprofit scholarship-funding organization3856shall obtain verification from the private school of a student’s3857continued attendance at the school for each period covered by a3858scholarship payment.3859(d) Payment of the scholarship shall be made by the3860eligible nonprofit scholarship-funding organization no less3861frequently than on a quarterly basis.3862(12) ADMINISTRATION; RULES.—3863(a) The department, the division, and the Department of3864Education shall develop a cooperative agreement to assist in the3865administration of this section.3866(b) The department shall adopt rules necessary to3867administer this section and ss. 211.0251, 212.1831, 220.1875,3868561.1211, and 624.51055, including rules establishing3869application forms, procedures governing the approval of tax3870credits and carryforward tax credits under subsection (5), and3871procedures to be followed by taxpayers when claiming approved3872tax credits on their returns.3873(c) The division shall adopt rules necessary to administer3874its responsibilities under this section and s. 561.1211.3875(d) The State Board of Education shall adopt rules to3876administer the responsibilities of the Department of Education3877and the Commissioner of Education under this section.3878 (4)(13)DEPOSITS OF ELIGIBLE CONTRIBUTIONS.—All eligible 3879 contributions received by the department or the division or 3880 transferred by an eligible nonprofit scholarship-funding 3881 organization shall be deposited into the Florida K-12 Education 3882 Tax Credit Program Trust Fund as created in s. 1010.88in a3883manner consistent with s. 17.57(2). By August 1, 2021, an 3884 eligible nonprofit scholarship-funding organization must 3885 transfer any funds, including eligible contributions, which were 3886 received pursuant to the former Florida Tax Credit Scholarship 3887 Program or the former Hope Scholarship Program to the department 3888 for deposit into the Florida K-12 Education Tax Credit Program 3889 Trust Fund. 3890 (5) RULES.— 3891 (a) The department shall adopt rules necessary to 3892 administer this section and ss. 211.0251, 212.1831, 220.1875, 3893 and 624.51055. 3894 (b) The division may adopt rules necessary to administer 3895 this section and s. 561.1211. 3896(14) PRESERVATION OF CREDIT.—If any provision or portion of3897this section, s. 211.0251, s. 212.1831, s. 220.1875, s.3898561.1211, or s. 624.51055 or the application thereof to any3899person or circumstance is held unconstitutional by any court or3900is otherwise declared invalid, the unconstitutionality or3901invalidity shall not affect any credit earned under s. 211.0251,3902s. 212.1831, s. 220.1875, s. 561.1211, or s. 624.51055 by any3903taxpayer with respect to any contribution paid to an eligible3904nonprofit scholarship-funding organization before the date of a3905determination of unconstitutionality or invalidity. Such credit3906shall be allowed at such time and in such a manner as if a3907determination of unconstitutionality or invalidity had not been3908made, provided that nothing in this subsection by itself or in3909combination with any other provision of law shall result in the3910allowance of any credit to any taxpayer in excess of one dollar3911of credit for each dollar paid to an eligible nonprofit3912scholarship-funding organization.3913(15) NONPROFIT SCHOLARSHIP-FUNDING ORGANIZATIONS;3914APPLICATION.—In order to participate in the scholarship program3915created under this section, a charitable organization that seeks3916to be a nonprofit scholarship-funding organization must submit3917an application for initial approval or renewal to the Office of3918Independent Education and Parental Choice no later than3919September 1 of each year before the school year for which the3920organization intends to offer scholarships.3921(a) An application for initial approval must include:39221. A copy of the organization’s incorporation documents and3923registration with the Division of Corporations of the Department3924of State.39252. A copy of the organization’s Internal Revenue Service3926determination letter as a s. 501(c)(3) not-for-profit3927organization.39283. A description of the organization’s financial plan that3929demonstrates sufficient funds to operate throughout the school3930year.39314. A description of the geographic region that the3932organization intends to serve and an analysis of the demand and3933unmet need for eligible students in that area.39345. The organization’s organizational chart.39356. A description of the criteria and methodology that the3936organization will use to evaluate scholarship eligibility.39377. A description of the application process, including3938deadlines and any associated fees.39398. A description of the deadlines for attendance3940verification and scholarship payments.39419. A copy of the organization’s policies on conflict of3942interest and whistleblowers.394310. A copy of a surety bond or letter of credit to secure3944the faithful performance of the obligations of the eligible3945nonprofit scholarship-funding organization in accordance with3946this section in an amount equal to 25 percent of the scholarship3947funds anticipated for each school year or $100,000, whichever is3948greater. The surety bond or letter of credit must specify that3949any claim against the bond or letter of credit may be made only3950by an eligible nonprofit scholarship-funding organization to3951provide scholarships to and on behalf of students who would have3952had scholarships funded if it were not for the diversion of3953funds giving rise to the claim against the bond or letter of3954credit.3955(b) In addition to the information required by3956subparagraphs (a)1.-9., an application for renewal must include:39571. A surety bond or letter of credit to secure the faithful3958performance of the obligations of the eligible nonprofit3959scholarship-funding organization in accordance with this section3960equal to the amount of undisbursed donations held by the3961organization based on the annual report submitted pursuant to3962paragraph (6)(m). The amount of the surety bond or letter of3963credit must be at least $100,000, but not more than $25 million.3964The surety bond or letter of credit must specify that any claim3965against the bond or letter of credit may be made only by an3966eligible nonprofit scholarship-funding organization to provide3967scholarships to and on behalf of students who would have had3968scholarships funded if it were not for the diversion of funds3969giving rise to the claim against the bond or letter of credit.39702. The organization’s completed Internal Revenue Service3971Form 990 submitted no later than November 30 of the year before3972the school year that the organization intends to offer the3973scholarships, notwithstanding the September 1 application3974deadline.39753. A copy of the statutorily required audit to the3976Department of Education and Auditor General.39774. An annual report that includes:3978a. The number of students who completed applications, by3979county and by grade.3980b. The number of students who were approved for3981scholarships, by county and by grade.3982c. The number of students who received funding for3983scholarships within each funding category, by county and by3984grade.3985d. The amount of funds received, the amount of funds3986distributed in scholarships, and an accounting of remaining3987funds and the obligation of those funds.3988e. A detailed accounting of how the organization spent the3989administrative funds allowable under paragraph (6)(j).3990(c) In consultation with the Department of Revenue and the3991Chief Financial Officer, the Office of Independent Education and3992Parental Choice shall review the application. The Department of3993Education shall notify the organization in writing of any3994deficiencies within 30 days after receipt of the application and3995allow the organization 30 days to correct any deficiencies.3996(d) Within 30 days after receipt of the finalized3997application by the Office of Independent Education and Parental3998Choice, the Commissioner of Education shall recommend approval3999or disapproval of the application to the State Board of4000Education. The State Board of Education shall consider the4001application and recommendation at the next scheduled meeting,4002adhering to appropriate meeting notice requirements. If the4003State Board of Education disapproves the organization’s4004application, it shall provide the organization with a written4005explanation of that determination. The State Board of4006Education’s action is not subject to chapter 120.4007(e) If the State Board of Education disapproves the renewal4008of a nonprofit scholarship-funding organization, the4009organization must notify the affected eligible students and4010parents of the decision within 15 days after disapproval. An4011eligible student affected by the disapproval of an4012organization’s participation remains eligible under this section4013until the end of the school year in which the organization was4014disapproved. The student must apply and be accepted by another4015eligible nonprofit scholarship-funding organization for the4016upcoming school year. The student shall be given priority in4017accordance with paragraph (6)(f).4018(f) All remaining funds held by a nonprofit scholarship4019funding organization that is disapproved for participation must4020be transferred to other eligible nonprofit scholarship-funding4021organizations to provide scholarships for eligible students. All4022transferred funds must be deposited by each eligible nonprofit4023scholarship-funding organization receiving such funds into its4024scholarship account. All transferred amounts received by any4025eligible nonprofit scholarship-funding organization must be4026separately disclosed in the annual financial audit required4027under subsection (6).4028(g) A nonprofit scholarship-funding organization is a4029renewing organization if it maintains continuous approval and4030participation in the program. An organization that chooses not4031to participate for 1 year or more or is disapproved to4032participate for 1 year or more must submit an application for4033initial approval in order to participate in the program again.4034(h) The State Board of Education shall adopt rules4035providing guidelines for receiving, reviewing, and approving4036applications for new and renewing nonprofit scholarship-funding4037organizations. The rules must include a process for compiling4038input and recommendations from the Chief Financial Officer, the4039Department of Revenue, and the Department of Education. The4040rules must also require that the nonprofit scholarship-funding4041organization make a brief presentation to assist the State Board4042of Education in its decision.4043(i) A state university; or an independent college or4044university which is eligible to participate in the William L.4045Boyd, IV, Effective Access to Student Education Grant Program,4046located and chartered in this state, is not for profit, and is4047accredited by the Commission on Colleges of the Southern4048Association of Colleges and Schools, is exempt from the initial4049or renewal application process, but must file a registration4050notice with the Department of Education to be an eligible4051nonprofit scholarship-funding organization. The State Board of4052Education shall adopt rules that identify the procedure for4053filing the registration notice with the department. The rules4054must identify appropriate reporting requirements for fiscal,4055programmatic, and performance accountability purposes consistent4056with this section, but shall not exceed the requirements for4057eligible nonprofit scholarship-funding organizations for4058charitable organizations.4059 Section 21. Section 1002.40, Florida Statutes, is repealed. 4060 Section 22. Subsection (4) of section 1002.411, Florida 4061 Statutes, is amended to read: 4062 1002.411 Reading scholarship accounts.— 4063 (4) ADMINISTRATION.—An eligible nonprofit scholarship 4064 funding organization participating in a scholarship program 4065 under this chapterthe Florida Tax Credit Scholarship Program4066established by s. 1002.395may establish reading scholarship 4067 accounts for eligible students in accordance with the 4068 requirements of eligible nonprofit scholarship-funding 4069 organizations under this chapter. 4070 Section 23. Paragraphs (i) and (q) of subsection (1) of 4071 section 1002.421, Florida Statutes, are amended, and paragraph 4072 (r) is added to that subsection, to read: 4073 1002.421 State school choice scholarship program 4074 accountability and oversight.— 4075 (1) PRIVATE SCHOOL ELIGIBILITY AND OBLIGATIONS.—A private 4076 school participating in an educational scholarship program 4077 established pursuant to this chapter must be a private school as 4078 defined in s. 1002.01(2) in this state, be registered, and be in 4079 compliance with all requirements of this section in addition to 4080 private school requirements outlined in s. 1002.42, specific 4081 requirements identified within respective scholarship program 4082 laws, and other provisions of Florida law that apply to private 4083 schools, and must: 4084 (i)1. Maintain a physical location in the state at which 4085 each student has regular and direct contact with teachers; or 4086 2. If the private school is a private virtual school, have 4087 at least one administrative office located in this state at 4088 which all of its administrative staff are Florida residents. 4089 (q) Provide a report from an independent certified public 4090 accountant who performs the agreed-upon proceduresdeveloped4091 pursuant to s. 1002.394(11)(g)s. 1002.395(6)(o)if the private 4092 school receives more than $250,000 in funds from scholarships 4093 awarded under this chapter in a state fiscal year. A private 4094 school subject to this subsection must annually submit the 4095 report by September 15 to the scholarship-funding organization 4096 that awarded the majority of the school’s scholarship funds. 4097 However, for the 2020-2021 school year only, a school that 4098 receives more than $250,000 in scholarship funds only through 4099 the John M. McKay Scholarship for Students with Disabilities 4100 Program pursuant to s. 1002.39 must submit the annual report by 4101 September 15 to the department. The agreed-upon procedures must 4102 be conducted in accordance with attestation standards 4103 established by the American Institute of Certified Public 4104 Accountants. 4105 (r) Provide to parents and students enrolled in a private 4106 virtual school specific information posted and accessible online 4107 which includes, but is not limited to, all of the following 4108 teacher-parent and teacher-student contact information for each 4109 course: 4110 1. How to contact the instructor, technical support staff, 4111 and the administration office by phone, e-mail, or online 4112 messaging tools. 4113 2. Requirements for regular contact with the instructor for 4114 the course and clear expectations for meeting such requirements. 4115 3. Requirements that the instructor of each course must, at 4116 a minimum, conduct one contact with the parent and student each 4117 month. 4118 4119 The department shall suspend the payment of funds to a private 4120 school that knowingly fails to comply with this subsection, and 4121 shall prohibit the school from enrolling new scholarship 4122 students, for 1 fiscal year and until the school complies. If a 4123 private school fails to meet the requirements of this subsection 4124 or has consecutive years of material exceptions listed in the 4125 report required under paragraph (q), the commissioner may 4126 determine that the private school is ineligible to participate 4127 in a scholarship program. 4128 Section 24. Paragraph (aa) of subsection (4) of section 4129 1009.971, Florida Statutes, is amended to read: 4130 1009.971 Florida Prepaid College Board.— 4131 (4) FLORIDA PREPAID COLLEGE BOARD; POWERS AND DUTIES.—The 4132 board shall have the powers and duties necessary or proper to 4133 carry out the provisions of ss. 1009.97-1009.988, including, but 4134 not limited to, the power and duty to: 4135 (aa) Adopt rules relating to the purchase and use of a 4136 prepaid college plan authorized under s. 1009.98 or a college 4137 savings plan authorized under s. 1009.981 for the McKay-Gardiner 4138GardinerScholarship Program pursuant to s. 1002.381 or the 4139 Family Empowerment Scholarship Program pursuant to s. 1002.394 4140s. 1002.385, which may include, but need not be limited to: 4141 1. The use of such funds for postsecondary education 4142 programs for students with disabilities; 4143 2. Effective procedures that allow program funds to be used 4144 in conjunction with other funds used by a parent in the purchase 4145 of a prepaid college plan or a college savings plan; 4146 3. The tracking and accounting of program funds separately 4147 from other funds contributed to a prepaid college plan or a 4148 college savings plan; 4149 4. The reversion of program funds, including, but not 4150 limited to, earnings from contributions to the Florida College 4151 Savings Plan; 4152 5. The use of program funds only after private payments 4153 have been used for prepaid college plan or college savings plan 4154 expenditures; 4155 6. Contracting with each eligible nonprofit scholarship 4156 funding organization to establish mechanisms to implement ss. 4157 1002.381 and 1002.394s. 1002.385, including, but not limited 4158 to, identifying the source of funds being deposited in the 4159 plans; and 4160 7. The development of a written agreement that defines the 4161 owner and beneficiary of an account and outlines 4162 responsibilities for the use of the advance payment contract 4163 funds or savings program funds. 4164 Section 25. Subsection (11) of section 1009.98, Florida 4165 Statutes, is amended to read: 4166 1009.98 Stanley G. Tate Florida Prepaid College Program.— 4167 (11) IMPLEMENTATION PROCEDURES.— 4168 (a) A prepaid college plan may be purchased, accounted for, 4169 used, and terminated as provided in ss. 1002.381 and 1002.394s.41701002.385. 4171 (b) A qualified beneficiary may apply the benefits of an 4172 advance payment contract toward the program fees of a program 4173 designed for students with disabilities conducted by a state 4174 postsecondary institution. A transfer authorized under this 4175 subsection may not exceed the redemption value of the advance 4176 payment contract at a state postsecondary institution or the 4177 number of semester credit hours contracted on behalf of a 4178 qualified beneficiary. A qualified beneficiary may not be 4179 changed while a prepaid college plan contains funds contributed 4180 under ss. 1002.381 and 1002.394s. 1002.385. 4181 Section 26. Subsection (10) of section 1009.981, Florida 4182 Statutes, is amended to read: 4183 1009.981 Florida College Savings Program.— 4184 (10) IMPLEMENTATION PROCEDURES.— 4185 (a) A college savings plan may be purchased, accounted for, 4186 used, and terminated as provided in ss. 1002.381 and 1002.394s.41871002.385. 4188 (b) A designated beneficiary may apply the benefits of a 4189 participation agreement toward the program fees of a program 4190 designed for students with disabilities conducted by a state 4191 postsecondary institution. A designated beneficiary may not be 4192 changed while a college savings plan contains funds contributed 4193 under ss. 1002.381 and 1002.394s. 1002.385. 4194 Section 27. Subsection (4) of section 1011.61, Florida 4195 Statutes, is amended to read: 4196 1011.61 Definitions.—Notwithstanding the provisions of s. 4197 1000.21, the following terms are defined as follows for the 4198 purposes of the Florida Education Finance Program: 4199 (4) The maximum value for funding a student in kindergarten 4200 through grade 12 or in a prekindergarten program for exceptional 4201 children as provided in s. 1003.21(1)(e) shall be the sum of the 4202 calculations in paragraphs (a), (b), and (c) as calculated by 4203 the department. 4204 (a) The sum of the student’s full-time equivalent student 4205 membership value for the school year or the equivalent derived 4206 from paragraphs (1)(a) and (b), subparagraph (1)(c)1., sub 4207 subparagraphs (1)(c)2.b. and c.,subparagraph (1)(c)3.,and 4208 subsection (2). If the sum is greater than 1.0, the full-time 4209 equivalent student membership value for each program or course 4210 shall be reduced by an equal proportion so that the student’s 4211 total full-time equivalent student membership value is equal to 4212 1.0. 4213 (b) If the result in paragraph (a) is less than 1.0 full 4214 time equivalent student and the student has full-time equivalent 4215 student enrollment pursuant to sub-sub-subparagraph 4216 (1)(c)1.b.(VIII), calculate an amount that is the lesser of the 4217 value in sub-sub-subparagraph (1)(c)1.b.(VIII) or the value of 4218 1.0 less the value in paragraph (a). 4219 (c) The full-time equivalent student enrollment value in 4220 sub-subparagraph (1)(c)2.a. 4221 4222A scholarship award provided to a student enrolled in the John4223M. McKay Scholarships for Students with Disabilities Program4224pursuant to s. 1002.39 is not subject to the maximum value for4225funding a student under this subsection.4226 Section 28. Paragraph (f) of subsection (18) of section 4227 1011.62, Florida Statutes, is amended to read: 4228 1011.62 Funds for operation of schools.—If the annual 4229 allocation from the Florida Education Finance Program to each 4230 district for operation of schools is not determined in the 4231 annual appropriations act or the substantive bill implementing 4232 the annual appropriations act, it shall be determined as 4233 follows: 4234 (18) TEACHER SALARY INCREASE ALLOCATION.—The Legislature 4235 may annually provide in the Florida Education Finance Program a 4236 teacher salary increase allocation to assist school districts in 4237 their recruitment and retention of classroom teachers and other 4238 instructional personnel. The amount of the allocation shall be 4239 specified in the General Appropriations Act. 4240(f) Notwithstanding any other provision of law, funds4241allocated under this subsection shall not be included in the4242calculated amount for any scholarship awarded under chapter42431002.4244 Section 29. Section 1011.687, Florida Statutes, is created 4245 to read: 4246 1011.687 K-12 Education Scholarship Program Allocation.—The 4247 K-12 Education Scholarship Program Allocation is established to 4248 provide funds to implement the McKay-Gardiner Scholarship 4249 Program provided in s. 1002.381 and the Family Empowerment 4250 Scholarship Program provided in s. 1002.394. A student FTE 4251 scholarship amount shall be calculated as provided in ss. 4252 1002.381(15) and 1002.394(12)(b), based on funds calculated for 4253 a similarly situated public school student full-time equivalent 4254 in the Florida Education Finance Program. For purposes of this 4255 allocation, one student FTE is equivalent to four quarterly 4256 scholarship payments. A student who receives funding for the 4257 program for less than four quarters shall be a fraction of an 4258 FTE. Funds for the scholarship allocation shall be provided for 4259 student FTE in each county in the amount prescribed in the 4260 General Appropriations Act. The calculated student scholarship 4261 amounts provided may not be revised during the fiscal year. 4262 Section 30. (1) Any allocation of tax credit made by the 4263 Department of Revenue in response to a taxpayer request for 4264 allocation of credit received before July 1, 2021, under former 4265 s. 212.099, Florida Statutes 2020, shall remain in effect, 4266 subject to the carryforward, conveyance, assignment, transfer, 4267 and rescindment provisions of former s. 212.099(5), Florida 4268 Statutes 2020. However, contributions made on or after July 1, 4269 2021, shall be paid by electronic means to the Department of 4270 Revenue instead of to a nonprofit scholarship-funding 4271 organization. 4272 (2)(a) Any allocation of tax credit made by the Department 4273 of Revenue in response to a taxpayer request for allocation of 4274 credit received before July 1, 2021, for credits under ss. 4275 211.0251, 212.1831, 220.1875, and 624.51055, Florida Statutes, 4276 shall remain in effect under former s. 1002.395, Florida 4277 Statutes 2020. However, contributions made on or after July 1, 4278 2021, shall be paid by electronic means to the Department of 4279 Revenue instead of to an eligible nonprofit scholarship-funding 4280 organization. 4281 (b) All credits under ss. 211.0251, 212.1831, 220.1875, and 4282 624.51055, Florida Statutes, earned by a taxpayer under former 4283 s. 1002.395, Florida Statutes 2020, including those under 4284 paragraph (a), continue in effect, subject to the carryforward, 4285 conveyance, assignment, transfer, and rescindment, corporate 4286 income tax estimated payment, and insurance premium tax 4287 installment payment provisions of former s. 1002.395, Florida 4288 Statutes 2020. 4289 (3) Eligible contributions received by a dealer, designated 4290 agent, or private tag agent under former s. 212.1832, Florida 4291 Statutes 2020, before July 1, 2021, shall be remitted to the 4292 designated eligible nonprofit scholarship-funding organizations 4293 by July 21, 2021. 4294 Section 31. (1) Notwithstanding s. 287.057, Florida 4295 Statutes, the Department of Revenue is authorized to contract 4296 with a qualified vendor to provide services necessary to 4297 administer this act, without using a competitive solicitation 4298 process. 4299 (2) The authority granted to the Department of Revenue by 4300 this section applies solely to the implementation and 4301 administration of this act and shall not be used for any other 4302 purpose. Such authority ends, and any contract entered into 4303 pursuant to this section still in force becomes void, upon the 4304 expiration of this section. 4305 (3) This section shall take effect upon this act becoming a 4306 law and expires July 1, 2022. 4307 Section 32. For the 2021-2022 fiscal year, the sum of 4308 $264,687 in nonrecurring funds is appropriated from the General 4309 Revenue Fund to the Department of Revenue for the purpose of 4310 implementing this act. Funds remaining unexpended from this 4311 appropriation as of July 1, 2022, shall revert to the General 4312 Revenue Fund. 4313 Section 33. (1) The Department of Revenue is authorized, 4314 and all conditions are deemed met, to adopt emergency rules 4315 pursuant to s. 120.54(4), Florida Statutes, for the purpose of 4316 administering this act. 4317 (2) Notwithstanding any other law, emergency rules adopted 4318 pursuant to this section are effective for 6 months after 4319 adoption and may be renewed during the pendency of procedures to 4320 adopt permanent rules addressing the subject of the emergency 4321 rules. 4322 (3) This section shall take effect upon this act becoming a 4323 law and expires July 1, 2023. 4324 Section 34. Except as otherwise expressly provided in this 4325 act and except for this section, which shall take effect upon 4326 this act becoming a law, this act shall take effect July 1, 4327 2021.