Bill Text: FL S0048 | 2021 | Regular Session | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
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-Introduced.html
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-Introduced.html
Florida Senate - 2021 SB 48 By Senator Diaz 36-00745D-21 202148__ 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 conforming provisions to changes made by the act; 15 requiring a dealer to identify on the dealer’s return 16 the amount of an eligible contribution; requiring the 17 Department of Revenue to ensure that certain receipts 18 are deposited in a specified fund; amending ss. 19 212.1831 and 212.1832, F.S.; conforming provisions to 20 changes made by the act; amending s. 213.053, F.S.; 21 deleting authorization for the Department of Revenue 22 to provide specified information to certain entities; 23 deleting definitions; amending ss. 220.1105, 220.13, 24 220.186, 220.1875, 561.1211, 624.51055, and 1002.20, 25 F.S.; conforming provisions to changes made by the 26 act; amending s. 1002.23, F.S.; correcting a reference 27 to the Florida Virtual School; conforming a provision 28 to changes made by the act; amending s. 1002.31, F.S.; 29 adding certain students to those whom district school 30 boards must provide preferential treatment in the 31 controlled open enrollment process; creating s. 32 1002.381, F.S.; establishing the McKay-Gardiner 33 Scholarship Program; providing the purpose of the 34 program; requiring certain written materials to 35 describe a scholarship under the program as a “McKay 36 Gardiner Scholarship”; defining terms; specifying 37 eligibility requirements; prohibiting a student from 38 participating in the program under certain 39 circumstances; providing criteria for authorized uses 40 of program funds; prohibiting providers of any 41 services receiving payments pursuant to the program 42 from sharing, refunding, or rebating any program funds 43 with parents of program students; prohibiting 44 specified persons from billing certain entities for 45 specified services; providing that program funding for 46 specified children constitutes their full funding 47 under part V of ch. 1002; providing the terms of a 48 program scholarship; requiring the Commissioner of 49 Education to close scholarship accounts and for 50 specified funds to revert to the state under specified 51 circumstances; requiring the commissioner to notify 52 parents and organizations when a program scholarship 53 account is closed and funds revert to the state; 54 providing school district obligations relating to 55 notifying parents, individualized education plans, and 56 matrices of service; specifying obligations for 57 eligible private schools; authorizing the commissioner 58 to determine that a private school is ineligible to 59 participate in the scholarship program if the private 60 school fails to meet certain requirements; providing 61 Department of Education obligations relating to the 62 program; providing commissioner authority and 63 obligations relating to suspending or revoking program 64 participation; providing parent and student 65 responsibilities for program participation; providing 66 that a participant who fails to comply with program 67 responsibilities forfeits a program scholarship; 68 requiring charitable organizations seeking to 69 participate in the program to submit an application 70 for initial approval or renewal to the Office of 71 Independent Education and Parental Choice by a 72 specified date; providing requirements for such 73 applications; requiring the office to review 74 applications in consultation with the Department of 75 Revenue and the Chief Financial Officer; requiring the 76 commissioner to recommend approval or disapproval of 77 applications to the State Board of Education within a 78 certain timeframe; requiring the state board to 79 consider applications and recommendations at its next 80 scheduled meeting; requiring the state board to 81 provide a written explanation to organizations whose 82 applications are disapproved; requiring the state 83 board to provide written notice to affected students 84 and parents if the state board disapproves an 85 organization’s renewal application; allowing students 86 affected by such disapproval to remain eligible for 87 the program for a specified timeframe; requiring such 88 students to apply to and be accepted by a different 89 organization for upcoming school years; requiring 90 remaining funds held by a disapproved organization to 91 be transferred to other eligible organizations; 92 requiring the state board to adopt specified rules; 93 exempting specified entities from the initial or 94 renewal application process; providing nonprofit 95 scholarship-funding organization obligations relating 96 to establishing program scholarships; providing 97 eligibility for transition-to-work programs; providing 98 requirements for such programs and for private schools 99 and job coaches participating in such programs; 100 providing student obligations relating to 101 participating in such programs; providing business 102 obligations relating to participating in such 103 programs; specifying requirements for scholarship 104 funding and payment; specifying the initial maximum 105 number of eligible FTE; providing for the annual 106 increase of the maximum number of eligible FTE; 107 requiring nonprofit scholarship-funding organizations 108 to report specified information to the department at 109 the time of each Florida Education Finance Program 110 student membership survey; requiring the department to 111 transfer certain funds to organizations in a specified 112 manner; clarifying that accrued interest in student 113 accounts is in addition to, and not part of, awarded 114 funds; authorizing organizations to develop systems 115 for payment of benefits by funds transfer; prohibiting 116 organizations that develop such systems from reducing 117 scholarship awards through certain fees; clarifying 118 that scholarship funds do not constitute taxable 119 income to the qualified student or to his or her 120 parent; requiring the Auditor General to conduct 121 certain audits at least once every 3 years; providing 122 criteria for such audits; requiring the Auditor 123 General to provide the commissioner with a copy of 124 such audits within a specified timeframe; requiring 125 the Auditor General to notify the department of any 126 organization that fails to comply with a request for 127 information; requiring certain departments and 128 agencies to work with organizations to provide access 129 to specified lists; providing that the state is not 130 liable for the award or use of program funds; 131 clarifying that the act does not expand regulatory 132 authority of the state over specified entities; 133 requiring the State Board of Education to adopt rules; 134 repealing ss. 1002.385 and 1002.39, F.S., relating to 135 the Gardiner Scholarship and the John M. McKay 136 Scholarships for Students with Disabilities Program, 137 respectively; amending s. 1002.394, F.S.; providing 138 and revising definitions; conforming provisions to 139 changes made by the act; specifying and revising 140 eligibility requirements; deleting a provision 141 requiring the department to notify the school district 142 of the parent’s intent upon receipt of the parent’s 143 request; revising the priority order for awarding the 144 scholarships to eligible students; providing and 145 revising terms for state Family Empowerment 146 Scholarship payments to organizations; providing 147 circumstances under which a student’s account must be 148 closed and remaining funds reverted to the state; 149 requiring the commissioner to notify parents when an 150 account is closed and funds revert to the state; 151 requiring funds to be used to meet individual 152 educational needs of eligible students; specifying the 153 purposes for which such funds may be used; prohibiting 154 a provider receiving such funds from sharing, 155 refunding, or rebating the funds with a participating 156 parent or student; providing eligibility for a 157 scholarship to transport a student; requiring a 158 principal or his or her designee to provide copies of 159 certain reports to a parent; requiring a principal or 160 his or her designee to investigate incidents in a 161 specified manner; providing and revising department 162 obligations relating to participating students; 163 requiring the department to issue a project grant 164 award to a state university, to which certain private 165 schools must report student scores on certain tests; 166 requiring the department to verify eligible 167 expenditures before distributing funds; providing and 168 revising obligations for eligible private schools; 169 providing and revising parent and student obligations 170 for initial and continued participation in the 171 program; providing and revising nonprofit scholarship 172 funding organization obligations relating to 173 participating in the program; expanding eligibility to 174 specified students who received certain scholarships 175 in a specified school year; clarifying that such 176 scholarships do not count toward the maximum number of 177 eligible students; requiring nonprofit scholarship 178 funding organizations to report specified information 179 to the department at the time of each Florida 180 Education Finance Program student membership survey; 181 providing the manner in which funds will be allocated 182 by certain dates; requiring the department to release 183 scholarship funds once an application has been 184 approved for the program; clarifying that accrued 185 interest is in addition to, and not part of, awarded 186 funds; authorizing organizations to develop a system 187 for payment of benefits by funds transfer; prohibiting 188 scholarship awards from being reduced by certain fees; 189 clarifying that scholarship funds do not constitute 190 taxable income to the qualified student or to his or 191 her parent; requiring the Auditor General to conduct 192 certain audits at least once every 3 years; providing 193 criteria for such audits; requiring the Auditor 194 General to provide the commissioner with a copy of 195 such audits within a specified timeframe; requiring 196 the Auditor General to notify the department of any 197 organization that fails to comply with a request for 198 information; providing application requirements for 199 charitable organizations seeking to participate in the 200 Family Empowerment Scholarship program; requiring the 201 office to review applications in consultation with the 202 Department of Revenue and the Chief Financial Officer; 203 requiring the commissioner to recommend approval or 204 disapproval of applications to the State Board of 205 Education within a certain timeframe; requiring the 206 state board to consider applications and 207 recommendations at its next scheduled meeting; 208 requiring the state board to provide a written 209 explanation to organizations whose applications are 210 disapproved; requiring the state board to provide 211 written notice to affected students and parents if the 212 state board disapproves an organization’s renewal 213 application; allowing students affected by such 214 disapproval to remain eligible for the program for a 215 specified timeframe; requiring such students to apply 216 to and be accepted by a different organization for 217 upcoming school years; requiring remaining funds held 218 by a disapproved organization to be transferred to the 219 student’s account established at the eligible 220 organization accepting the student; providing that an 221 organization is a renewing organization if it 222 maintains continuous approval and participation in the 223 program; requiring the state board to adopt rules; 224 exempting specified entities from the initial or 225 renewal application process; deleting an obsolete 226 implementation schedule; amending s. 1002.395, F.S.; 227 renaming the Florida Tax Credit Scholarship Program 228 the Florida K-12 Education Funding Tax Credit Program; 229 revising the purpose of the program; revising and 230 deleting terms; deleting provisions made obsolete by 231 the act; authorizing a taxpayer to elect to make 232 eligible contributions to the Department of Revenue or 233 Division of Alcoholic Beverages and Tobacco; 234 specifying the manner in which a taxpayer may elect to 235 make eligible contributions; requiring all eligible 236 contributions received by the department and the 237 division to be deposited into a specified fund; 238 amending s. 1002.40, F.S.; renaming the Hope 239 Scholarship Program the K-12 Education Funding Tax 240 Credit Program; deleting provisions made obsolete by 241 the act; revising and deleting terms; authorizing 242 eligible contributions to be used for K-12 education 243 funding; requiring an eligible contribution to be 244 accompanied by a contribution election form provided 245 by the Department of Revenue; requiring the Department 246 of Revenue to develop the form in collaboration with 247 the Department of Education; providing the information 248 to be included in the form; requiring the Department 249 of Revenue to deposit all receipts of eligible 250 contributions into a specified fund; requiring the 251 Department of Revenue to adopt rules; amending s. 252 1002.411, F.S.; conforming a provision to changes made 253 by the act; amending s. 1002.421, F.S.; providing that 254 private virtual schools meet the requirement to 255 maintain a physical location in this state if such 256 virtual schools maintain at least one administrative 257 office in a specified manner; requiring certain 258 private schools to provide reports from a specified 259 public accountant; providing requirements for such 260 reports; amending s. 1009.971, F.S.; conforming 261 provisions to changes made by the act; amending ss. 262 1009.98, 1009.981, and 1011.61, F.S.; conforming 263 provisions to changes made by the act; amending s. 264 1011.62, F.S.; deleting a provision requiring that 265 certain funds not be included in the calculated amount 266 for certain scholarship awards; providing an effective 267 date. 268 269 Be It Enacted by the Legislature of the State of Florida: 270 271 Section 1. Paragraph (l) of subsection (2) and subsection 272 (8) of section 11.45, Florida Statutes, are amended to read: 273 11.45 Definitions; duties; authorities; reports; rules.— 274 (2) DUTIES.—The Auditor General shall: 275 (l) At least every 3 years,Annuallyconduct operational 276 audits of the accounts and records of eligible nonprofit 277 scholarship-funding organizationsreceiving eligible278contributionsunder ss. 1002.381 and 1002.394s. 1002.395, 279 including any contracts for services with related entities, to 280 determine compliance with the provisions of that section. Such 281 audits mustshallinclude, but not be limited to, a 282 determination of the eligible nonprofit scholarship-funding 283 organization’s compliance with ss. 1002.381(13)(f) and 284 1002.394(11)(k)s. 1002.395(6)(j). The Auditor General shall 285 provide its report on the results of the audits to the Governor, 286 the President of the Senate, the Speaker of the House of 287 Representatives, the Chief Financial Officer, and the 288 Legislative Auditing Committee, within 30 days of completion of 289 the audit. 290 291 The Auditor General shall perform his or her duties 292 independently but under the general policies established by the 293 Legislative Auditing Committee. This subsection does not limit 294 the Auditor General’s discretionary authority to conduct other 295 audits or engagements of governmental entities as authorized in 296 subsection (3). 297 (8) RULES OF THE AUDITOR GENERAL.—The Auditor General, in 298 consultation with the Board of Accountancy, shall adopt rules 299 for the form and conduct of all financial audits performed by 300 independent certified public accountants pursuant to ss. 301 215.981, 218.39, 1001.453, 1002.381, 1002.3941002.395, 1004.28, 302 and 1004.70. The rules for audits of local governmental 303 entities, charter schools, charter technical career centers, and 304 district school boards must include, but are not limited to, 305 requirements for the reporting of information necessary to carry 306 out the purposes of the Local Governmental Entity, Charter 307 School, Charter Technical Career Center, and District School 308 Board Financial Emergencies Act as stated in s. 218.501. 309 Section 2. Section 211.0251, Florida Statutes, is amended 310 to read: 311 211.0251 Credit for contributions to K-12 education funding 312eligible nonprofit scholarship-funding organizations.—There is 313 allowed a credit of 100 percent of an eligible contribution 314 directedmadeto K-12 education fundingan eligible nonprofit315scholarship-funding organizationunder s. 1002.395 foragainst316 any tax due under s. 211.02 or s. 211.025.However, a credit317allowed under this section may not exceed 50 percent of the tax318due on the return the credit is taken.For purposes of the 319 distributions of tax revenue under s. 211.06, the department 320 shall disregard any tax credits allowed under this section to 321 ensure that any reduction in tax revenue received which is 322 attributable to the tax credits results only in a reduction in 323 distributions to the General Revenue Fund. The provisions of s. 324 1002.395 apply to the credit authorized by this section. 325 Section 3. Section 212.099, Florida Statutes, is amended to 326 read: 327 212.099 Credit for contributions to K-12 education funding 328eligible nonprofit scholarship-funding organizations.— 329 (1) As used in this section, the term: 330 (a) “Eligible business” means a tenant or person actually 331 occupying, using, or entitled to the use of any property from 332 which the rental or license fee is subject to taxation under s. 333 212.031. 334 (b) “Eligible contribution” or “contribution” means the 335 amount of tax, or portion thereof, paid bya monetary336contribution froman eligible business to a collecting dealer 337 and designated for K-12 education funding by the eligible 338 businessan eligible nonprofit scholarship-funding organization339to be used pursuant to s. 1002.395. The eligible business making340the contribution may not designate a specific student as the341beneficiary of the contribution. 342(c) “Eligible nonprofit scholarship-funding organization”343or “organization” has the same meaning as provided in s.3441002.395(2)(f).345 (2) An eligible business shall be granted a creditagainst346the tax imposed under s. 212.031 and collected from the eligible347business by a dealer. The credit shall be in an amountequal to 348 100 percent of an eligible contributionmade to an organization. 349 (3) A dealer shall take a creditagainst the tax imposed350under s. 212.031in an amount equal to the credit taken by the 351 eligible business under subsection (2). 352 (4)(a)An eligible business must apply to the department 353 for an allocation of tax credits under this section. The 354 eligible business must specify in the application the state 355 fiscal year during which the contribution will be made,the356organization that will receive the contribution,the planned 357 amount of the contribution, the address of the property from 358 which the rental or license fee is subject to taxation under s. 359 212.031, and the federal employer identification number of the 360 dealer who collects the tax imposed under s. 212.031 from the 361 eligible businessand who will reduce collection of taxes from362the eligible business pursuant to this section. The department 363 shall approve allocations of tax credits on a first-come, first 364 served basis and shall provide to the eligible business a 365 separate approval or denial letter for each dealer for which the 366 eligible business applied for an allocation of tax credits. 367Within 10 days after approving or denying an application, the368department shall provide a copy of its approval or denial letter369to the organization specified by the eligible business in the370application.An approval letter must include the name and 371 federal employer identification number of the dealer from whom a 372 credit under this section can be taken and the amount of tax 373 credits approved for use with that dealer. 374(b) Upon receipt of an eligible contribution, the375organization shall provide the eligible business that made the376contribution with a separate certificate of contribution for377each dealer from whom a credit can be taken as approved under378paragraph (a). A certificate of contribution must include the379contributor’s name and, if available, federal employer380identification number, the amount contributed, the date of381contribution, the name of the organization, and the name and382federal employer identification number of the dealer.383 (5) Each dealer that receives from an eligible business a 384 copy of the department’s approval letterand a certificate of385contribution, both of which identify the dealer as the dealer386who collects the tax imposed under s. 212.031 from the eligible387business and who will reduce collection of taxes from the388eligible business pursuant to this section,shall identify on 389 the dealer’s return the amount of the eligible contribution by 390reduce the tax collected fromthe eligible business, which 391 amountunder s. 212.031 by the total amount of contributions392indicated in the certificate of contribution. The reductionmay 393 not exceed the amount of credit allocation approved by the 394 department and may not exceed the amount of tax that would 395 otherwise be collected from the eligible business by a dealer 396 when a payment is made under the rental or license fee 397 arrangement.However, payments by an eligible business to a398dealer may not be reduced before October 1, 2018.399 (a) If the total amount of credits an eligible business may 400 take cannot be fully used within any period that a payment is 401 due under the rental or license fee arrangement because of an 402 insufficient amount of tax that the dealer would collect from 403 the eligible business during that period, the unused amount may 404 be carried forward for a period not to exceed 10 years. 405 (b) A tax credit may not be claimed on an amended return or 406 through a refund. 407 (c) A dealer that claims a tax credit must file returns and 408 pay taxes by electronic means under s. 213.755. 409 (d) An eligible business may not convey, assign, or 410 transfer an approved tax credit or a carryforward tax credit to 411 another entity unless all of the assets of the eligible business 412 are conveyed, assigned, or transferred in the same transaction 413 and the successor business continues the same lease with the 414 dealer. 415 (e) Within any state fiscal year, an eligible business may 416 rescind all or part of a tax credit approved under this section. 417 The amount rescinded shall become available for that state 418 fiscal year to another eligible business as approved by the 419 department if the business receives notice from the department 420 that the rescindment has been accepted by the department. Any 421 amount rescinded under this subsection shall become available to 422 an eligible business on a first-come, first-served basis based 423 on tax credit applications received after the date the 424 rescindment is accepted by the department. 425(f) Within 10 days after the rescindment of a tax credit426under paragraph (e) is accepted by the department, the427department shall notify the eligible nonprofit scholarship428funding organization specified by the eligible business. The429department shall also include the eligible nonprofit430scholarship-funding organization specified by the eligible431business on all letters or correspondence of acknowledgment for432tax credits under this section.433 (6)An organization shall report to the department, on or434before the 20th day of each month, the total amount of435contributions received pursuant to subsection (4) in the436preceding calendar month on a form provided by the department.437Such report shall include the amount of contributions received438during that reporting period and the federal employer439identification number of each dealer associated with the440contribution.441(7)(a)Eligible contributions may be used to fund the 442 program established under s. 1002.395. 443(b) The organization shall separately account for each444scholarship funded pursuant to this section.445(c) The organization may, subject to the limitations of s.4461002.395(6)(j)1., use eligible contributions received during the447state fiscal year in which such contributions are collected for448administrative expenses.449 (7)(8)The sum of tax credits that may be approved by the 450 department in any state fiscal year is $57.5 million. 451 (8)(9)The department shall ensure that receipts designated 452 by a remitting dealer as eligible contributions under this 453 section are deposited into a designated student fund. For 454 purposes of the distributions of tax revenue under s. 212.20, 455 the department shall disregard any tax credits allowed under 456 this section to ensure that any reduction in tax revenue 457 received that is attributable to the tax credits results only in 458 a reduction in distributions to the General Revenue Fund. 459 (9)(10)The department may adopt rules to administer this 460 section. 461 Section 4. Section 212.1831, Florida Statutes, is amended 462 to read: 463 212.1831 Credit for contributions to K-12 education funding 464eligible nonprofit scholarship-funding organizations.—There is 465 allowed a credit of 100 percent of an eligible contribution made 466to an eligible nonprofit scholarship-funding organizationunder 467 s. 1002.395against any tax imposed by the state and due under468this chapterfrom a direct pay permit holder as a result of the 469 direct pay permit held pursuant to s. 212.183. For purposes of 470 the dealer’s credit granted for keeping prescribed records, 471 filing timely tax returns, and properly accounting and remitting 472 taxes under s. 212.12, the amount of tax due used to calculate 473 the credit shall include any eligible contributionmade to an474eligible nonprofit scholarship-funding organizationfrom a 475 direct pay permit holder. For purposes of the distributions of 476 tax revenue under s. 212.20, the department shall disregard any 477 tax credits allowed under this section to ensure that any 478 reduction in tax revenue received that is attributable to the 479 tax credits results only in a reduction in distributions to the 480 General Revenue Fund. The provisions of s. 1002.395 apply to the 481 credit authorized by this section. 482 Section 5. Section 212.1832, Florida Statutes, is amended 483 to read: 484 212.1832 Credit for contributions to K-12 education funding 485eligible nonprofit scholarship-funding organizations.— 486 (1) The purchaser of a motor vehicle shall be granted a 487 credit of 100 percent of an eligible contributionmade to an488eligible nonprofit scholarship-funding organizationunder s. 489 1002.40against any tax imposed by the state under this chapter490and collected from the purchaser by a dealer, designated agent,491or private tag agentas a result of the purchase or acquisition 492 of a motor vehicle, except that a credit may not exceed the tax 493 that would otherwise be collected from the purchaser by a 494 dealer, designated agent, or private tag agent. For purposes of 495 this subsection, the term “purchase” does not include the lease 496 or rental of a motor vehicle. 497 (2) A dealer shall take a credit against any tax imposed by 498 the state under this chapter on the purchase of a motor vehicle 499 in an amount equal to the credit granted to the purchaser under 500 subsection (1). 501 (3) For purposes of the distributions of tax revenue under 502 s. 212.20, the department shall disregard any tax credits 503 allowed under this section to ensure that any reduction in tax 504 revenue received that is attributable to the tax credits results 505 only in a reduction in distributions to the General Revenue 506 Fund. The provisions of s. 1002.40 apply to the credit 507 authorized by this section. 508 Section 6. Paragraph (s) of subsection (8) and subsections 509 (21) and (22) of section 213.053, Florida Statutes, are amended 510 to read: 511 213.053 Confidentiality and information sharing.— 512 (8) Notwithstanding any other provision of this section, 513 the department may provide: 514(s) Information relative to ss. 211.0251, 212.1831,515220.1875, 561.1211, 624.51055, and 1002.395 to the Department of516Education and the Division of Alcoholic Beverages and Tobacco in517the conduct of official business.518 519 Disclosure of information under this subsection shall be 520 pursuant to a written agreement between the executive director 521 and the agency. Such agencies, governmental or nongovernmental, 522 shall be bound by the same requirements of confidentiality as 523 the Department of Revenue. Breach of confidentiality is a 524 misdemeanor of the first degree, punishable as provided by s. 525 775.082 or s. 775.083. 526(21)(a) For purposes of this subsection, the term:5271. “Eligible nonprofit scholarship-funding organization”528means an eligible nonprofit scholarship-funding organization as529defined in s. 1002.395(2) that meets the criteria in s.5301002.395(6) to use up to 3 percent of eligible contributions for531administrative expenses.5322. “Taxpayer” has the same meaning as in s. 220.03, unless533disclosure of the taxpayer’s name and address would violate any534term of an information-sharing agreement between the department535and an agency of the Federal Government.536(b) The department, upon request, shall provide to an537eligible nonprofit scholarship-funding organization that538provides scholarships under s. 1002.395 a list of the 200539taxpayers with the greatest total corporate income or franchise540tax due as reported on the taxpayer’s return filed pursuant to541s. 220.22 during the previous calendar year. The list must be in542alphabetical order based on the taxpayer’s name and shall543contain the taxpayer’s address. The list may not disclose the544amount of tax owed by any taxpayer.545(c) An eligible nonprofit scholarship-funding organization546may request the list once each calendar year. The department547shall provide the list within 45 days after the request is made.548(d) Any taxpayer information contained in the list may be549used by the eligible nonprofit scholarship-funding organization550only to notify the taxpayer of the opportunity to make an551eligible contribution to the Florida Tax Credit Scholarship552Program under s. 1002.395. Any information furnished to an553eligible nonprofit scholarship-funding organization under this554subsection may not be further disclosed by the organization555except as provided in this paragraph.556(e) An eligible nonprofit scholarship-funding organization,557its officers, and employees are subject to the same requirements558of confidentiality and the same penalties for violating559confidentiality as the department and its employees. Breach of560confidentiality is a misdemeanor of the first degree, punishable561as provided by s. 775.082 or s. 775.083.562(22)(a) The department may provide to an eligible nonprofit563scholarship-funding organization, as defined in s. 1002.40, a564dealer’s name, address, federal employer identification number,565and information related to differences between credits taken by566the dealer pursuant to s. 212.1832(2) and amounts remitted to567the eligible nonprofit scholarship-funding organization under s.5681002.40(13)(b)3. The eligible nonprofit scholarship-funding569organization may use the information for purposes of recovering570eligible contributions designated for that organization that571were collected by the dealer but never remitted to the572organization.573(b) Nothing in this subsection authorizes the disclosure of574information if such disclosure is prohibited by federal law. An575eligible nonprofit scholarship-funding organization is bound by576the same requirements of confidentiality and the same penalties577for a violation of the requirements as the department.578 Section 7. Paragraph (a) of subsection (4) of section 579 220.1105, Florida Statutes, is amended to read: 580 220.1105 Tax imposed; automatic refunds and downward 581 adjustments to tax rates.— 582 (4) For fiscal years 2018-2019 through 2020-2021, any 583 amount by which net collections for a fiscal year exceed 584 adjusted forecasted collections for that fiscal year shall only 585 be used to provide refunds to corporate income tax payers as 586 follows: 587 (a) For purposes of this subsection, the term: 588 1. “Eligible taxpayer” means: 589 a. For fiscal year 2018-2019, a taxpayer whose taxable year 590 begins between April 1, 2017, and March 31, 2018, and whose 591 final tax liability for such taxable year is greater than zero; 592 b. For fiscal year 2019-2020, a taxpayer whose taxable year 593 begins between April 1, 2018, and March 31, 2019, and whose 594 final tax liability for such taxable year is greater than zero; 595 or 596 c. For fiscal year 2020-2021, a taxpayer whose taxable year 597 begins between April 1, 2019, and March 31, 2020, and whose 598 final tax liability for such taxable year is greater than zero. 599 2. “Excess collections” for a fiscal year means the amount 600 by which net collections for a fiscal year exceeds adjusted 601 forecasted collections for that fiscal year. 602 3. “Final tax liability” means the taxpayer’s amount of tax 603 due under this chapter for a taxable year, reported on a return 604 filed with the department, plus the amount of any credit taken605on such return under s. 220.1875. 606 4. “Total eligible tax liability” for a fiscal year means 607 the sum of final tax liabilities of all eligible taxpayers for a 608 fiscal year as such liabilities are shown on the latest return 609 filed with the department as of February 1 immediately following 610 that fiscal year. 611 5. “Taxpayer refund share” for a fiscal year means an 612 eligible taxpayer’s final tax liability as a percentage of the 613 total eligible tax liability for that fiscal year. 614 6. “Taxpayer refund” for a fiscal year means the taxpayer 615 refund share for a fiscal year multiplied by the excess 616 collections for a fiscal year. 617 Section 8. Paragraph (a) of subsection (1) of section 618 220.13, Florida Statutes, is amended to read: 619 220.13 “Adjusted federal income” defined.— 620 (1) The term “adjusted federal income” means an amount 621 equal to the taxpayer’s taxable income as defined in subsection 622 (2), or such taxable income of more than one taxpayer as 623 provided in s. 220.131, for the taxable year, adjusted as 624 follows: 625 (a) Additions.—There shall be added to such taxable income: 626 1.a.The amount of any tax upon or measured by income, 627 excluding taxes based on gross receipts or revenues, paid or 628 accrued as a liability to the District of Columbia or any state 629 of the United States which is deductible from gross income in 630 the computation of taxable income for the taxable year. 631b. Notwithstanding sub-subparagraph a., if a credit taken632under s. 220.1875 is added to taxable income in a previous633taxable year under subparagraph 11. and is taken as a deduction634for federal tax purposes in the current taxable year, the amount635of the deduction allowed shall not be added to taxable income in636the current year. The exception in this sub-subparagraph is637intended to ensure that the credit under s. 220.1875 is added in638the applicable taxable year and does not result in a duplicate639addition in a subsequent year.640 2. The amount of interest which is excluded from taxable 641 income under s. 103(a) of the Internal Revenue Code or any other 642 federal law, less the associated expenses disallowed in the 643 computation of taxable income under s. 265 of the Internal 644 Revenue Code or any other law, excluding 60 percent of any 645 amounts included in alternative minimum taxable income, as 646 defined in s. 55(b)(2) of the Internal Revenue Code, if the 647 taxpayer pays tax under s. 220.11(3). 648 3. In the case of a regulated investment company or real 649 estate investment trust, an amount equal to the excess of the 650 net long-term capital gain for the taxable year over the amount 651 of the capital gain dividends attributable to the taxable year. 652 4. That portion of the wages or salaries paid or incurred 653 for the taxable year which is equal to the amount of the credit 654 allowable for the taxable year under s. 220.181. This 655 subparagraph shall expire on the date specified in s. 290.016 656 for the expiration of the Florida Enterprise Zone Act. 657 5. That portion of the ad valorem school taxes paid or 658 incurred for the taxable year which is equal to the amount of 659 the credit allowable for the taxable year under s. 220.182. This 660 subparagraph shall expire on the date specified in s. 290.016 661 for the expiration of the Florida Enterprise Zone Act. 662 6. The amount taken as a credit under s. 220.195 which is 663 deductible from gross income in the computation of taxable 664 income for the taxable year. 665 7. That portion of assessments to fund a guaranty 666 association incurred for the taxable year which is equal to the 667 amount of the credit allowable for the taxable year. 668 8. In the case of a nonprofit corporation which holds a 669 pari-mutuel permit and which is exempt from federal income tax 670 as a farmers’ cooperative, an amount equal to the excess of the 671 gross income attributable to the pari-mutuel operations over the 672 attributable expenses for the taxable year. 673 9. The amount taken as a credit for the taxable year under 674 s. 220.1895. 675 10. Up to nine percent of the eligible basis of any 676 designated project which is equal to the credit allowable for 677 the taxable year under s. 220.185. 678 11.The amount taken as a credit for the taxable year under679s. 220.1875. The addition in this subparagraph is intended to680ensure that the same amount is not allowed for the tax purposes681of this state as both a deduction from income and a credit682against the tax. This addition is not intended to result in683adding the same expense back to income more than once.68412.The amount taken as a credit for the taxable year under 685 s. 220.193. 686 12.13.Any portion of a qualified investment, as defined in 687 s. 288.9913, which is claimed as a deduction by the taxpayer and 688 taken as a credit against income tax pursuant to s. 288.9916. 689 13.14.The costs to acquire a tax credit pursuant to s. 690 288.1254(5) that are deducted from or otherwise reduce federal 691 taxable income for the taxable year. 692 14.15.The amount taken as a credit for the taxable year 693 pursuant to s. 220.194. 694 15.16.The amount taken as a credit for the taxable year 695 under s. 220.196. The addition in this subparagraph is intended 696 to ensure that the same amount is not allowed for the tax 697 purposes of this state as both a deduction from income and a 698 credit against the tax. The addition is not intended to result 699 in adding the same expense back to income more than once. 700 Section 9. Subsection (2) of section 220.186, Florida 701 Statutes, is amended to read: 702 220.186 Credit for Florida alternative minimum tax.— 703 (2) The credit pursuant to this section shall be the amount 704 of the excess, if any, of the tax paid based upon taxable income 705 determined pursuant to s. 220.13(2)(k) over the amount of tax 706 which would have been due based upon taxable income without 707 application of s. 220.13(2)(k), before application of this 708 creditwithout application of any credit under s. 220.1875. 709 Section 10. Section 220.1875, Florida Statutes, is amended 710 to read: 711 220.1875 Credit for contributions to K-12 education funding 712eligible nonprofit scholarship-funding organizations.— 713 (1) There is allowed a credit of 100 percent of an eligible 714 contribution madeto an eligible nonprofit scholarship-funding715organizationunder s. 1002.395against any tax due for a taxable716year under this chapter after the application of any other717allowable credits by the taxpayer. An eligible contribution must 718 be made when the taxpayer makes an estimated paymentto an719eligible nonprofit scholarship-funding organization on or before720the date the taxpayer is required to file a return pursuant to721s. 220.222. The credit granted by this section shall be reduced 722 by the difference between the amount of federal corporate income 723 tax taking into account the credit granted by this section and 724 the amount of federal corporate income tax without application 725 of the credit granted by this section. 726 (2) A taxpayer who files a Florida consolidated return as a 727 member of an affiliated group pursuant to s. 220.131(1) may be 728 allowed the credit on a consolidated return basis; however, the 729 total credit taken by the affiliated group is subject to the 730 limitation established under subsection (1). 731 (3) The provisions of s. 1002.395 apply to the credit 732 authorized by this section. 733(4) If a taxpayer applies and is approved for a credit734under s. 1002.395 after timely requesting an extension to file735under s. 220.222(2):736(a) The credit does not reduce the amount of tax due for737purposes of the department’s determination as to whether the738taxpayer was in compliance with the requirement to pay tentative739taxes under ss. 220.222 and 220.32.740(b) The taxpayer’s noncompliance with the requirement to741pay tentative taxes shall result in the revocation and742rescindment of any such credit.743(c) The taxpayer shall be assessed for any taxes,744penalties, or interest due from the taxpayer’s noncompliance745with the requirement to pay tentative taxes.746 Section 11. Section 561.1211, Florida Statutes, is amended 747 to read: 748 561.1211 Credit for contributions to K-12 education funding 749eligible nonprofit scholarship-funding organizations.—There is 750 allowed a credit of 100 percent of an eligible contribution made 751to an eligible nonprofit scholarship-funding organizationunder 752 s. 1002.395 against any tax due under s. 563.05, s. 564.06, or 753 s. 565.12, except excise taxes imposed on wine produced by 754 manufacturers in this state from products grown in this state. 755However, a credit allowed under this section may not exceed 90756percent of the tax due on the return the credit is taken.For 757 purposes of the distributions of tax revenue under ss. 561.121 758 and 564.06(10), the division shall disregard any tax credits 759 allowed under this section to ensure that any reduction in tax 760 revenue received that is attributable to the tax credits results 761 only in a reduction in distributions to the General Revenue 762 Fund. The provisions of s. 1002.395 apply to the credit 763 authorized by this section. 764 Section 12. Section 624.51055, Florida Statutes, is amended 765 to read: 766 624.51055 Credit for contributions to K-12 education 767 fundingeligible nonprofit scholarship-funding organizations.— 768 (1) There is allowed a credit of 100 percent of an eligible 769 contribution madeto an eligible nonprofit scholarship-funding770organizationunder s. 1002.395against any tax due for a taxable771year under s. 624.509(1) after deducting from such tax772deductions for assessments made pursuant to s. 440.51; credits773for taxes paid under ss. 175.101 and 185.08; credits for income774taxes paid under chapter 220; and the credit allowed under s.775624.509(5), as such credit is limited by s. 624.509(6). An776eligible contribution must be made to an eligible nonprofit777scholarship-funding organization on or before the date the778taxpayer is required to file a return pursuant to ss. 624.509779and 624.5092. An insurer claiming a credit against premium tax 780 liability under this section shall not be required to pay any 781 additional retaliatory tax levied pursuant to s. 624.5091 as a 782 result of claiming such credit. Section 624.5091 does not limit 783 such credit in any manner. 784 (2) The provisions of s. 1002.395 apply to the credit 785 authorized by this section. 786 Section 13. Paragraph (a) of subsection (6) of section 787 1002.20, Florida Statutes, is amended to read: 788 1002.20 K-12 student and parent rights.—Parents of public 789 school students must receive accurate and timely information 790 regarding their child’s academic progress and must be informed 791 of ways they can help their child to succeed in school. K-12 792 students and their parents are afforded numerous statutory 793 rights including, but not limited to, the following: 794 (6) EDUCATIONAL CHOICE.— 795 (a) Public educational school choices.—Parents of public 796 school students may seek any public educational school choice 797 options that are applicable and available to students throughout 798 the state. These options may include controlled open enrollment, 799 single-gender programs, lab schools, virtual instruction 800 programs, charter schools, charter technical career centers, 801 magnet schools, alternative schools, special programs, auditory 802 oral education programs, advanced placement, dual enrollment, 803 International Baccalaureate, International General Certificate 804 of Secondary Education (pre-AICE), CAPE digital tools, CAPE 805 industry certifications, collegiate high school programs, 806 Advanced International Certificate of Education, early 807 admissions, credit by examination or demonstration of 808 competency, the New World School of the Arts, the Florida School 809 for the Deaf and the Blind, and the Florida Virtual School. 810 These options may also include the public educational choice 811 options of the Opportunity Scholarship Program and the Family 812 Empowerment ScholarshipMcKay Scholarships for Students with813DisabilitiesProgram. 814 Section 14. Subsection (2) of section 1002.23, Florida 815 Statutes, is amended to read: 816 1002.23 Family and School Partnership for Student 817 Achievement Act.— 818 (2) To facilitate meaningful parent and family involvement, 819 the Department of Education shall develop guidelines for a 820 parent guide to successful student achievement which describes 821 what parents need to know about their child’s educational 822 progress and how they can help their child to succeed in school. 823 The guidelines shall include, but need not be limited to: 824 (a) Parental information regarding: 825 1. Requirements for their child to be promoted to the next 826 grade, as provided for in s. 1008.25; 827 2. Progress of their child toward achieving state and 828 district expectations for academic proficiency; 829 3. Assessment results, including report cards and progress 830 reports; 831 4. Qualifications of their child’s teachers; and 832 5. School entry requirements, including required 833 immunizations and the recommended immunization schedule; 834 (b) Services available for parents and their children, such 835 as family literacy services; mentoring, tutorial, and other 836 academic reinforcement programs; college planning, academic 837 advisement, and student counseling services; and after-school 838 programs; 839 (c) Opportunities for parental participation, such as 840 parenting classes, adult education, school advisory councils, 841 and school volunteer programs; 842 (d) Opportunities for parents to learn about rigorous 843 academic programs that may be available for their child, such as 844 honors programs, dual enrollment, advanced placement, 845 International Baccalaureate, International General Certificate 846 of Secondary Education (pre-AICE), Advanced International 847 Certificate of Education, Florida VirtualHighSchool courses, 848 and accelerated access to postsecondary education; 849 (e) Educational choices, as provided for in s. 1002.20(6),850and Florida tax credit scholarships, as provided for in s.8511002.395; 852 (f) Classroom and test accommodations available for 853 students with disabilities; 854 (g) School board rules, policies, and procedures for 855 student promotion and retention, academic standards, student 856 assessment, courses of study, instructional materials, and 857 contact information for school and district offices; and 858 (h) Resources for information on student health and other 859 available resources for parents. 860 Section 15. Paragraph (c) of subsection (2) of section 861 1002.31, Florida Statutes, is amended to read: 862 1002.31 Controlled open enrollment; Public school parental 863 choice.— 864 (2) 865 (c) Each district school board must provide preferential 866 treatment in its controlled open enrollment process to all of 867 the following: 868 1. Dependent children of active duty military personnel 869 whose move resulted from military orders;.870 2. Children who have been relocated due to a foster care 871 placement in a different school zone;.872 3. Children who move due to a court-ordered change in 873 custody due to separation or divorce, or the serious illness or 874 death of a custodial parent;.875 4. Students with an individual education plan or a 504 876 accommodation plan under s. 504 of the Rehabilitation Act of 877 1973 who are eligible for a McKay-Gardiner Scholarship pursuant 878 to s. 1002.381; and 879 5. Students residing in the school district. 880 Section 16. Section 1002.381, Florida Statutes, is created 881 to read: 882 1002.381 The McKay-Gardiner Scholarship.— 883 (1) ESTABLISHMENT OF PROGRAM.—Beginning with the 2021-2022 884 school year, the McKay-Gardiner Scholarship Program is 885 established to provide the option for a parent to better meet 886 the individual educational needs of his or her eligible child. 887 All written explanatory materials, including state websites, 888 scholarship organization materials, letters to parents, 889 scholarship agreements, and any other written information 890 describing the program to the public, must refer to a 891 scholarship granted under this program as a “McKay-Gardiner 892 Scholarship.” 893 (2) DEFINITIONS.—As used in this section, the term: 894 (a) “Approved provider” means a provider approved by the 895 Agency for Persons with Disabilities, a health care practitioner 896 as defined in s. 456.001(4), or a provider approved by the 897 department pursuant to s. 1002.66. 898 (b) “Curriculum” has the same meaning as provided in s. 899 1002.394(2)(b). 900 (c) “Department” means the Department of Education. 901 (d) “Disability” means: 902 1. For a 3-year-old or 4-year-old child or for a student in 903 kindergarten through grade 12, that the child has been diagnosed 904 with any of the following: autism spectrum disorder; cerebral 905 palsy; Down syndrome; an intellectual disability; Phelan 906 McDermid syndrome; Prader-Willi syndrome; spina bifida; being a 907 high-risk child, as defined in s. 393.063(23)(a); muscular 908 dystrophy; Williams syndrome; rare diseases which affect patient 909 populations of fewer than 200,000 individuals in the United 910 States, as defined by the National Organization for Rare 911 Disorders; anaphylaxis; deaf; visually impaired; traumatic 912 brain-injured; hospital or homebound; or dual sensory impaired, 913 as defined by rules of the State Board of Education and 914 evidenced by reports from local school districts. As used in 915 this subparagraph, the term “hospital or homebound” includes a 916 student who has a medically diagnosed physical or psychiatric 917 condition or illness, as defined by state board rule, and who is 918 confined to the home or hospital for more than 6 months. 919 2. For a student in kindergarten through grade 12, that the 920 child has been diagnosed with any of the following: a speech 921 impairment; a language impairment; a hearing impairment; an 922 orthopedic impairment; an emotional or behavioral disability; a 923 specific learning disability, including, but not limited to, 924 dyslexia, dyscalculia, or developmental aphasia; or a 925 developmental delay. 926 (e) “Eligible nonprofit scholarship-funding organization” 927 or “organization” means a state university; or an independent 928 college or university that is eligible to participate in the 929 William L. Boyd, IV, Effective Access to Student Education Grant 930 Program located and chartered in this state which is not for 931 profit and is accredited by the Commission on Colleges of the 932 Southern Association of Colleges and Schools; or is a charitable 933 organization that: 934 1. Is exempt from federal income tax pursuant to s. 935 501(c)(3) of the Internal Revenue Code; 936 2. Is a Florida entity formed under chapter 605, chapter 937 607, or chapter 617 and whose principal office is located in 938 this state; and 939 3. Complies with subsections (12) and (13). 940 (f) “Eligible postsecondary educational institution” has 941 the same meaning as s. 1002.394(2)(f). 942 (g) “Eligible private school” has the same meaning as s. 943 1002.394(2)(g). 944 (h) “IEP” means an individual education plan, regardless of 945 whether the plan has been reviewed or revised within the last 12 946 months. 947 (i) “Inactive” means that no eligible expenditures have 948 been made from a student scholarship account funded pursuant to 949 this section. 950 (j) “Job coach” means an individual employed to help people 951 with disabilities learn, accommodate, and perform their work 952 duties. 953 (k) “Parent” means a resident of this state who is a 954 parent, as defined in s. 1000.21(5). 955 (l) “Program” means the McKay-Gardiner Scholarship Program 956 established in this section. 957 (3) PROGRAM ELIGIBILITY.—A parent of a student with a 958 disability may request and receive from the state a McKay 959 Gardiner Scholarship for the purposes specified in subsection 960 (5) if: 961 (a) The student: 962 1. Is a resident of this state; 963 2. Is 3 or 4 years of age on or before September 1 of the 964 year in which the student applies for program participation, or 965 is eligible to enroll in kindergarten through grade 12 in a 966 public school in this state; and 967 3. Meets at least one of the following criteria: 968 a. Has a diagnosis of a disability from a physician who is 969 licensed under chapter 458 or chapter 459, a psychologist who is 970 licensed under chapter 490, or a physician who holds an active 971 license issued by another state or territory of the United 972 States, the District of Columbia, or the Commonwealth of Puerto 973 Rico; 974 b. Has an individual education plan that has been written 975 in accordance with the rules of the State Board of Education; or 976 c. Has a 504 accommodation plan issued under s. 504 of the 977 Rehabilitation Act of 1973. 978 979 A student with a disability who meets the requirements of 980 subparagraph 1. and sub-subparagraph 3.a., but who turns 3 years 981 of age after September 1, may be determined to be eligible on or 982 after his or her third birthday and may be awarded a scholarship 983 if program funds are available. 984 (b) The parent has applied to an eligible nonprofit 985 scholarship-funding organization to participate in the program 986 by a date as set by the organization for any vacant slots. The 987 request must be communicated directly to the organization in a 988 manner that creates a written or electronic record of the 989 request and the date of receipt of the request. 990 (4) PROGRAM PROHIBITIONS.—A student is not eligible for the 991 program if he or she is: 992 (a) Enrolled in a public school, including, but not limited 993 to, the Florida School for the Deaf and the Blind, the College 994 Preparatory Boarding Academy, a developmental research school 995 authorized under s. 1002.32, or a charter school authorized 996 under this chapter. For purposes of this paragraph, a 3- or 4 997 year-old child who receives services funded through the Florida 998 Education Finance Program is considered to be a student enrolled 999 in a public school. 1000 (b) Enrolled in a school operating for the purpose of 1001 providing educational services to youth in Department of 1002 Juvenile Justice commitment programs. 1003 (c) Issued a temporary 504 accommodation plan under s. 504 1004 of the Rehabilitation Act of 1973 which is valid for 6 months or 1005 less. 1006 (d) Receiving any other educational scholarship pursuant to 1007 this chapter. 1008 (e) Not having regular and direct contact with his or her 1009 private school teachers pursuant to s. 1002.421(1)(i), unless he 1010 or she is enrolled in the private school’s transition-to-work 1011 program pursuant to subsection (14) or a home education program 1012 pursuant to s. 1002.41. 1013 (f) Participating in a virtual school, correspondence 1014 school, or distance learning program that receives state funding 1015 pursuant to the student’s participation. 1016 (5) AUTHORIZED USES OF PROGRAM FUNDS.—Program funds must be 1017 used to meet the individual educational needs of an eligible 1018 student and may be spent only for the following purposes: 1019 (a) Instructional materials, including digital devices, 1020 digital periphery devices, and assistive technology devices that 1021 allow a student to access instruction or instructional content; 1022 training on the use of these devices and related maintenance 1023 agreements; and Internet access to digital instructional 1024 materials. 1025 (b) Curriculum as defined in paragraph (2)(b). 1026 (c) Specialized services by approved providers or by a 1027 hospital in this state which are selected by the parent. These 1028 specialized services may include, but are not limited to: 1029 1. Applied behavior analysis services as provided in ss. 1030 627.6686 and 641.31098. 1031 2. Services provided by a speech-language pathologist as 1032 defined in s. 468.1125(8). 1033 3. Occupational therapy services as specified in s. 1034 468.203. 1035 4. Services provided by a physical therapist as defined in 1036 s. 486.021(5). 1037 5. Services provided by listening and spoken language 1038 specialists and an appropriate acoustical environment for a 1039 child who is deaf or hard of hearing and who has received an 1040 implant or assistive hearing device. 1041 (d) Tuition or fees associated with full-time or part-time 1042 enrollment in any of the following: a home education program, an 1043 eligible private school, or an eligible postsecondary 1044 educational institution; a program offered by the postsecondary 1045 institution, a private tutoring program authorized under s. 1046 1002.43, a virtual program offered by a department-approved 1047 private online provider that meets the provider qualifications 1048 specified in s. 1002.45(2)(a), or a program offered by the 1049 Florida Virtual School to a private paying student; or an 1050 approved online course offered pursuant to s. 1003.499 or s. 1051 1004.0961. 1052 (e) Fees for nationally standardized, norm-referenced 1053 achievement tests, Advanced Placement examinations, industry 1054 certification examinations, assessments related to postsecondary 1055 education, or other such assessments. 1056 (f) Contributions to the Stanley G. Tate Florida Prepaid 1057 College Program pursuant to s. 1009.98 or the Florida College 1058 Savings Program pursuant to s. 1009.981, for the benefit of the 1059 eligible student. 1060 (g) Contracted services provided by a public school or a 1061 school district, including classes. A student who receives 1062 services under this paragraph is not considered enrolled in a 1063 public school for the purpose of eligibility as provided in 1064 subsection (4). 1065 (h) Tuition and fees for part-time tutoring services 1066 provided by a person who holds a valid Florida educator’s 1067 certificate issued pursuant to s. 1012.56; a person who holds an 1068 adjunct teaching certificate issued pursuant to s. 1012.57; a 1069 person who has a bachelor’s degree or a graduate degree in the 1070 subject area in which instruction is given; or a person who has 1071 demonstrated a mastery of subject area knowledge as provided in 1072 s. 1012.56(5). Any part-time tutoring undertaken pursuant to 1073 this paragraph does not qualify as regular school attendance as 1074 defined in s. 1003.01(13)(e). 1075 (i) Fees for summer education programs. 1076 (j) Fees for after-school education programs. 1077 (k) Transition services, including a coordinated set of 1078 activities focused on improving the academic and functional 1079 achievement of the student to facilitate his or her movement 1080 from school to post-school activities and based on the 1081 individual student’s needs. Transition services may be provided 1082 by job coaches or pursuant to subsection (14). 1083 (l) Fees for an annual evaluation of educational progress 1084 by a state-certified teacher under s. 1002.41(1)(f), if this 1085 option is chosen for a home education student. 1086 (m) Tuition and fees associated with programs offered by 1087 Voluntary Prekindergarten Education Program providers approved 1088 pursuant to s. 1002.55 and school readiness providers approved 1089 pursuant to s. 1002.88. 1090 (n) Fees for services provided at a center that is a member 1091 of the Professional Association of Therapeutic Horsemanship 1092 International. 1093 (o) Fees for services provided by a therapist who is 1094 certified by the Certification Board for Music Therapists or 1095 credentialed by the Art Therapy Credentials Board, Inc. 1096 (p) Tuition and fees associated with enrollment in a 1097 nationally or internationally recognized research-based training 1098 program, for a child with a neurological disorder or brain 1099 damage. 1100 (q) Tuition and fees associated with a student’s 1101 participation in classes or lessons relating to art, music, or 1102 theater. The instructor of the classes or lessons must: 1103 1. Hold a valid or expired Florida educator’s certificate 1104 issued under s. 1012.56 in art, music, or drama; 1105 2. Have 3 years of employment experience in art, music, or 1106 theater, as demonstrated by employment records; 1107 3. Hold a baccalaureate degree or higher from a 1108 postsecondary educational institution with a major in music, 1109 art, theater, or drama or related field; or 1110 4. Hold a certification or national accreditation in music, 1111 art, theater, or drama. 1112 (r) Transportation expenses, which may not exceed $750 1113 annually, in connection with meeting the student’s educational 1114 needs under this section. 1115 1116 A service provider who receives payments pursuant to this 1117 subsection may not share or refund any moneys from the McKay 1118 Gardiner Scholarship with the parent or participating student 1119 and may not issue rebates to such persons. A parent, student, or 1120 service provider may not bill an insurance company, Medicaid, or 1121 any other agency for the same services that are paid for with 1122 McKay-Gardiner Scholarship funds. Funding provided pursuant to 1123 this subsection for a child eligible for enrollment in the 1124 Voluntary Prekindergarten Education Program constitutes funding 1125 for the child under part V of this chapter, and no additional 1126 funding may be provided for the child under part V. 1127 (6) TERMS OF THE PROGRAM.—For purposes of continuity of 1128 educational choice and program integrity: 1129 (a)1. Program payments made by the state to an organization 1130 for a McKay-Gardiner Scholarship under this section must 1131 continue until: 1132 a. A program student’s parent does not renew program 1133 eligibility; 1134 b. The organization determines that a program student is 1135 not eligible for program renewal; 1136 c. The Commissioner of Education suspends or revokes 1137 program participation or use of funds pursuant to subparagraph 1138 (b)(1); 1139 d. A program student’s parent has forfeited participation 1140 in the program for failure to comply with subsection (11); 1141 e. A program student enrolls in a public school; or 1142 f. A program student graduates from high school or attains 1143 22 years of age, whichever occurs first. 1144 2. Reimbursements for program expenditures may continue 1145 until the account balance is expended or the account is closed 1146 pursuant to paragraph (b). 1147 (b)1. The commissioner must close a student’s scholarship 1148 account, and any remaining funds, including, but not limited to, 1149 contributions made to the Stanley G. Tate Florida Prepaid 1150 College Program or earnings from or contributions made to the 1151 Florida College Savings Program using program funds pursuant to 1152 paragraph (5)(f), revert to the state after: 1153 a. Denial or revocation of program eligibility by the 1154 commissioner for fraud or abuse, including, but not limited to, 1155 the student or student’s parent accepting any payment, refund, 1156 or rebate from a provider of services received pursuant to 1157 subsection (5); however, a private school may discount tuition 1158 if the private school deems it necessary; 1159 b. Any period of 3 consecutive years after high school 1160 completion or graduation during which the student has not been 1161 enrolled in an eligible postsecondary educational institution or 1162 a program offered by such an institution; or 1163 c. Two consecutive fiscal years in which an account has 1164 been inactive. 1165 2. The commissioner must notify the parent and the 1166 organization when a McKay-Gardiner Scholarship account is closed 1167 and program funds revert to the state. 1168 (7) SCHOOL DISTRICT OBLIGATIONS; PARENTAL OPTIONS.— 1169 (a) By each April 1 and within 10 days after an individual 1170 education plan meeting or a 504 accommodation plan is issued 1171 under s. 504 of the Rehabilitation Act of 1973, a school 1172 district shall notify the parent of the student of all options 1173 available pursuant to this section, and shall inform the parent 1174 of the availability of the department’s website for additional 1175 information on McKay-Gardiner Scholarships. 1176 (b)1. The parent of a student with a disability who does 1177 not have an IEP or who seeks a reevaluation of an existing IEP 1178 may request an IEP meeting and evaluation from the school 1179 district in order to obtain or revise a matrix of services. The 1180 school district shall notify a parent who has made a request for 1181 an IEP that the district is required to complete the IEP and 1182 matrix of services within 30 days after receiving notice of the 1183 parent’s request. The school district shall conduct a meeting 1184 and develop an IEP and matrix of services within 30 days after 1185 receipt of the parent’s request in accordance with State Board 1186 of Education rule. 1187 2.a. The school district must provide the student’s parent 1188 and the department with the student’s matrix level within 10 1189 calendar days after its completion. 1190 b. A school district may change a matrix of services only 1191 if the change is a result of an IEP reevaluation or to correct a 1192 technical, typographical, or calculation error. 1193 (c) For each student participating in the program who 1194 chooses to participate in statewide, standardized assessments 1195 under s. 1008.22 or the Florida Alternate Assessment, the school 1196 district in which the student resides must notify the student 1197 and his or her parent about the locations and times of all 1198 statewide, standardized assessments. 1199 (8) PRIVATE SCHOOL ELIGIBILITY AND OBLIGATIONS.—An eligible 1200 private school may be sectarian or nonsectarian and shall: 1201 (a) Comply with all requirements for private schools 1202 participating in state school choice scholarship programs 1203 pursuant to s. 1002.421. 1204 (b)1. Annually administer or make provision for students 1205 participating in the program in grades 3 through 10 to take one 1206 of the nationally norm-referenced tests identified by the 1207 Department of Education or the statewide assessments 1208 administered pursuant to s. 1008.22. This subparagraph does not 1209 apply to students with disabilities for whom standardized 1210 testing is not appropriate. A participating private school shall 1211 report a student’s scores to the parent. 1212 2. Administer the statewide assessments pursuant to s. 1213 1008.22 if a private school chooses to offer the statewide 1214 assessments. A participating private school may choose to offer 1215 and administer the statewide assessments to all students who 1216 attend the private school in grades 3 through 10 and must submit 1217 a request in writing to the Department of Education by March 1 1218 of each year in order to administer the statewide assessments in 1219 the subsequent school year. 1220 1221 If a private school fails to meet the requirements of this 1222 subsection or s. 1002.421, the commissioner may determine that 1223 the private school is ineligible to participate in the 1224 scholarship program. 1225 (9) DEPARTMENT OF EDUCATION OBLIGATIONS.—The department 1226 shall: 1227 (a) Comply with s. 1002.394(8)(a)-(g). 1228 (b) Maintain on its website a list of approved providers as 1229 required by s. 1002.66, eligible postsecondary educational 1230 institutions, eligible private schools, and eligible 1231 organizations and may identify or provide links to lists of 1232 other approved providers. 1233 (c) Require each organization to verify eligible 1234 expenditures before the distribution of funds for any 1235 expenditures made pursuant to paragraphs (5)(a) and (b). Review 1236 of expenditures made for services specified in paragraphs 1237 (5)(c)-(r) may be completed after the purchase is made. 1238 (d) Investigate any written complaint of a violation of 1239 this section by a parent, a student, a private school, a public 1240 school, a school district, an organization, a provider, or 1241 another appropriate party in accordance with the process 1242 established under s. 1002.421. 1243 (e) Require quarterly reports by an organization, which 1244 must include, at a minimum, the number of students participating 1245 in the program; the demographics of program participants; the 1246 disability category of program participants; the matrix level of 1247 services, if known; the program award amount per student; the 1248 total expenditures for the purposes specified in subsection (5); 1249 the types of providers of services to students; and any other 1250 information deemed necessary by the department. 1251 (f) Compare the list of students participating in the 1252 program with the public school student enrollment lists, 1253 Voluntary Prekindergarten Education Program enrollment lists, 1254 and the list of students participating in school choice 1255 scholarship programs established pursuant to this chapter before 1256 each scholarship award is provided to the organization, and 1257 subsequently throughout the school year, to avoid duplicate 1258 payments and confirm program eligibility. 1259 (10) COMMISSIONER OF EDUCATION AUTHORITY AND OBLIGATIONS.— 1260 (a) The Commissioner of Education: 1261 1. May suspend or revoke program participation or use of 1262 program funds by the student or participation or eligibility of 1263 an organization, eligible postsecondary educational institution, 1264 approved provider, or other party for a violation of this 1265 section. 1266 2. May determine the length of, and conditions for lifting, 1267 a suspension or revocation specified in this subsection. 1268 3. May recover unexpended program funds or withhold payment 1269 of an equal amount of program funds to recover program funds 1270 that were not authorized for use. 1271 4. Shall deny or terminate program participation upon a 1272 parent’s forfeiture of a McKay-Gardiner Scholarship pursuant to 1273 subsection (11). 1274 (b) In determining whether to suspend or revoke 1275 participation or lift a suspension or revocation in accordance 1276 with this subsection, the commissioner may consider factors that 1277 include, but are not limited to, acts or omissions that led to a 1278 previous suspension or revocation of participation in a state or 1279 federal program or an education scholarship program; failure to 1280 reimburse the organization for funds improperly received or 1281 retained; failure to reimburse government funds improperly 1282 received or retained; imposition of a prior criminal sanction 1283 related to the person or entity or its officers or employees; 1284 imposition of a civil fine or administrative fine, license 1285 revocation or suspension, or program eligibility suspension, 1286 termination, or revocation related to a person’s or entity’s 1287 management or operation; or other types of criminal proceedings 1288 in which the person or entity or its officers or employees were 1289 found guilty of, regardless of adjudication, or entered a plea 1290 of nolo contendere or guilty to, any offense involving fraud, 1291 deceit, dishonesty, or moral turpitude. 1292 (11) PARENT AND STUDENT RESPONSIBILITIES FOR PROGRAM 1293 PARTICIPATION.—A parent who applies for program participation 1294 under this section is exercising his or her parental option to 1295 determine the appropriate placement or services that best meet 1296 the needs of his or her child. 1297 (a) To satisfy or maintain program eligibility, including 1298 eligibility to receive and spend program payments, the parent 1299 must sign an agreement with the organization and annually submit 1300 a sworn compliance statement to the organization to: 1301 1. Affirm that the student is enrolled in a program that 1302 meets regular school attendance requirements as provided in s. 1303 1003.01(13)(b), (c), or (d). 1304 2. Affirm that the program funds are used only for 1305 authorized purposes serving the student’s educational needs, as 1306 described in subsection (5). 1307 3. Affirm that the parent is responsible for the education 1308 of his or her student by, as applicable: 1309 a. Requiring the student to take an assessment in 1310 accordance with paragraph (8)(b); 1311 b. Providing an annual evaluation in accordance with s. 1312 1002.41(1)(f); or 1313 c. Requiring the child to take any preassessments and 1314 postassessments selected by the provider if the child is 4 years 1315 of age and is enrolled in a program provided by an eligible 1316 Voluntary Prekindergarten Education Program provider. This sub 1317 subparagraph does not apply to a student with disabilities for 1318 whom a preassessment and postassessment are not appropriate. A 1319 participating provider shall report a student’s scores to the 1320 parent. 1321 4. Affirm that the student remains in good standing with 1322 the provider or school if one of those options is selected by 1323 the parent. 1324 (b) The parent must file an application for initial program 1325 participation with an organization by a date established by the 1326 organization. 1327 (c) The parent must enroll his or her child in a program 1328 from a Voluntary Prekindergarten Education Program provider 1329 authorized under s. 1002.55, a school readiness provider 1330 authorized under s. 1002.88, or an eligible private school if 1331 either option is selected by the parent. 1332 (d) The parent must renew participation in the program by a 1333 date set by the nonprofit scholarship-funding organization in 1334 order for a student to be eligible to receive funding. A student 1335 whose participation in the program is not renewed may continue 1336 to spend scholarship funds that are in his or her account from 1337 prior years unless the account is closed pursuant to paragraph 1338 (6)(b). Notwithstanding any changes to the student’s IEP, a 1339 student who was previously eligible for participation in the 1340 program remains eligible to apply for renewal. However, for a 1341 high-risk child to continue to participate in the program in the 1342 school year after he or she reaches 6 years of age, the child’s 1343 application for renewal of program participation must contain 1344 documentation that the child has a disability as defined in 1345 paragraph (2)(d), other than high-risk status. 1346 (e) The parent is responsible for procuring the services 1347 necessary to educate the student. If a parent does not procure 1348 the necessary educational services for the student and the 1349 student’s account has been inactive for 2 consecutive fiscal 1350 years, the student’s account must be closed pursuant to 1351 paragraph (6)(b). When the student receives a McKay-Gardiner 1352 Scholarship, the district school board is not obligated to 1353 provide the student with a free, appropriate public education. 1354 For purposes of s. 1003.57 and the Individuals with Disabilities 1355 in Education Act, a participating student has only those rights 1356 that apply to all other unilaterally, parentally placed 1357 students, except that, when requested by the parent, school 1358 district personnel must develop an individual education plan or 1359 matrix level of services. 1360 (f) The parent is responsible for all eligible expenses in 1361 excess of the amount of the McKay-Gardiner Scholarship. 1362 (g) The parent may not transfer any prepaid college plan or 1363 college savings plan funds contributed pursuant to paragraph 1364 (5)(f) to another beneficiary while the plan contains funds 1365 contributed pursuant to this section. 1366 (h) The parent may not receive a payment, refund, or rebate 1367 from an approved provider of any services under this program. 1368 1369 A participant who fails to comply with this subsection forfeits 1370 the McKay-Gardiner Scholarship. 1371 (12) NONPROFIT SCHOLARSHIP-FUNDING ORGANIZATIONS; 1372 APPLICATION.—In order to participate in the scholarship program 1373 created under this section, a charitable organization that seeks 1374 to be a nonprofit scholarship-funding organization must submit 1375 an application for initial approval or renewal to the Office of 1376 Independent Education and Parental Choice no later than 1377 September 1 of each year before the school year for which the 1378 organization intends to offer scholarships. 1379 (a) An application for initial approval must include: 1380 1. A copy of the organization’s incorporation documents and 1381 registration with the Division of Corporations of the Department 1382 of State. 1383 2. A copy of the organization’s Internal Revenue Service 1384 determination letter as a s. 501(c)(3) not-for-profit 1385 organization. 1386 3. A description of the organization’s financial plan which 1387 demonstrates sufficient funds to operate throughout the school 1388 year. 1389 4. A description of the geographic region that the 1390 organization intends to serve and an analysis of the demand and 1391 unmet need for eligible students in that area. 1392 5. The organization’s organizational chart. 1393 6. A description of the criteria and methodology that the 1394 organization will use to evaluate scholarship eligibility. 1395 7. A description of the application process, including 1396 deadlines and any associated fees. 1397 8. A description of the deadlines for attendance 1398 verification and scholarship payments. 1399 9. A copy of the organization’s policies on conflict of 1400 interest and whistleblowers. 1401 10. A copy of a surety bond or letter of credit to secure 1402 the faithful performance of the obligations of the eligible 1403 nonprofit scholarship-funding organization in accordance with 1404 this section in an amount equal to 25 percent of the scholarship 1405 funds anticipated for each school year or $100,000, whichever is 1406 greater. The surety bond or letter of credit must specify that 1407 any claim against the bond or letter of credit may be made only 1408 by an eligible nonprofit scholarship-funding organization to 1409 provide scholarships to and on behalf of students who would have 1410 had scholarships funded if it were not for the diversion of 1411 funds giving rise to the claim against the bond or letter of 1412 credit. 1413 (b) In addition to the information required under paragraph 1414 (a), an application for renewal must include: 1415 1. A surety bond or letter of credit to secure the faithful 1416 performance of the obligations of the eligible nonprofit 1417 scholarship-funding organization in accordance with this section 1418 equal to the amount of undisbursed funds held by the 1419 organization based on the annual report submitted pursuant to 1420 paragraph (13)(l). The amount of the surety bond or letter of 1421 credit must be at least $100,000, but not more than $25 million. 1422 The surety bond or letter of credit must specify that any claim 1423 against the bond or letter of credit may be made only by an 1424 eligible nonprofit scholarship-funding organization to provide 1425 scholarships to and on behalf of students who would have had 1426 scholarships funded if it were not for the diversion of funds 1427 giving rise to the claim against the bond or letter of credit. 1428 2. The organization’s completed Internal Revenue Service 1429 Form 990 submitted no later than November 30 of the year before 1430 the school year for which the organization intends to offer the 1431 scholarships, notwithstanding the September 1 application 1432 deadline. 1433 3. A copy of any statutorily required audit which the 1434 organization must provide to the Department of Education and 1435 Auditor General. 1436 4. An annual report that includes: 1437 a. The number of students who completed applications, by 1438 county and by grade. 1439 b. The number of students who were approved for 1440 scholarships, by county and by grade. 1441 c. The number of students who received funding for 1442 scholarships within each funding category, by county and by 1443 grade. 1444 d. The amount of funds received, the amount of funds 1445 distributed in scholarships, and an accounting of remaining 1446 funds and the obligation of those funds. 1447 e. A detailed accounting of how the organization spent the 1448 administrative funds allowable under paragraph (13)(f). 1449 (c) In consultation with the Department of Revenue and the 1450 Chief Financial Officer, the Office of Independent Education and 1451 Parental Choice shall review the application. The Department of 1452 Education shall notify the organization in writing of any 1453 deficiencies within 30 days after receipt of the application and 1454 allow the organization 30 days to correct any deficiencies. 1455 (d) Within 30 days after receipt of the finalized 1456 application by the Office of Independent Education and Parental 1457 Choice, the Commissioner of Education shall recommend approval 1458 or disapproval of the application to the State Board of 1459 Education. The State Board of Education shall consider the 1460 application and recommendation at the next scheduled meeting, 1461 adhering to appropriate meeting notice requirements. If the 1462 State Board of Education disapproves the organization’s 1463 application, it must provide the organization with a written 1464 explanation of that determination. The State Board of 1465 Education’s action is not subject to chapter 120. 1466 (e) If the State Board of Education disapproves the renewal 1467 of a nonprofit scholarship-funding organization, the 1468 organization must notify the affected eligible students and 1469 parents of the decision within 15 days after disapproval. An 1470 eligible student affected by the disapproval of an 1471 organization’s participation remains eligible under this section 1472 until the end of the school year in which the organization was 1473 disapproved. The student must apply and be accepted by another 1474 eligible nonprofit scholarship-funding organization for the 1475 upcoming school year. The student must be given priority under 1476 paragraph (13)(e). 1477 (f) All remaining student accounts with funds held by a 1478 nonprofit scholarship-funding organization that is disapproved 1479 for participation must be transferred to the student’s account 1480 established with the eligible nonprofit scholarship-funding 1481 organization that accepts the student. All transferred funds 1482 must be deposited by the eligible nonprofit scholarship-funding 1483 organization receiving such funds into the student’s scholarship 1484 account. All other remaining funds must be transferred to the 1485 department. All transferred amounts received by any eligible 1486 nonprofit scholarship-funding organization must be separately 1487 disclosed in the annual financial audit required under 1488 subsection (13). 1489 (g) A nonprofit scholarship-funding organization is a 1490 renewing organization if it maintains continuous approval and 1491 participation in the program. An organization that chooses not 1492 to participate for 1 year or more or is disapproved to 1493 participate for 1 year or more must submit an application for 1494 initial approval in order to participate in the program again. 1495 (h) The State Board of Education shall adopt rules 1496 providing guidelines for receiving, reviewing, and approving 1497 applications for new and renewing nonprofit scholarship-funding 1498 organizations. The rules must include a process for compiling 1499 input and recommendations from the Chief Financial Officer, the 1500 Department of Revenue, and the Department of Education. The 1501 rules also must require that the nonprofit scholarship-funding 1502 organization make a brief presentation to assist the State Board 1503 of Education in its decision. 1504 (i) A state university; or an independent nonprofit college 1505 chartered in this state or independent nonprofit university 1506 chartered in this state that are eligible to participate in the 1507 William L. Boyd, IV, Effective Access to Student Education Grant 1508 Program and are accredited by the Commission on Colleges of the 1509 Southern Association of Colleges and Schools is exempt from the 1510 initial or renewal application process, but must file a 1511 registration notice with the Department of Education to be an 1512 eligible nonprofit scholarship-funding organization. The State 1513 Board of Education shall adopt rules that identify the procedure 1514 for filing the registration notice with the department. The 1515 rules must identify appropriate reporting requirements for 1516 fiscal, programmatic, and performance accountability purposes 1517 consistent with this section, but may not exceed the 1518 requirements for eligible nonprofit scholarship-funding 1519 organizations for charitable organizations. 1520 (13) OBLIGATIONS OF ELIGIBLE SCHOLARSHIP-FUNDING 1521 ORGANIZATIONS.—An organization may establish McKay-Gardiner 1522 Scholarships for eligible students by: 1523 (a) Complying with the requirements of s. 1002.394(11)(a) 1524 (h). 1525 (b) Receiving applications and determining student 1526 eligibility in accordance with the requirements of this section. 1527 When an application is approved, the organization must provide 1528 the department with information on the student to enable the 1529 department to determine student funding in accordance with 1530 subsection (15). 1531 (c) Providing scholarships on a first-come, first-served 1532 basis, based upon the funds provided, and notifying parents of 1533 their respective student’s receipt of a scholarship. 1534 (d) Establishing a date by which a parent must confirm 1535 initial or continuing participation in the program. 1536 (e) Reviewing applications and awarding scholarship funds 1537 to approved applicants using the following order of priority: 1538 1.a. For the 2021-2022 school year, a student who received 1539 a John M. McKay Scholarship for Students with Disabilities or a 1540 Gardiner Scholarship in the 2020-2021 school year and meets the 1541 eligibility requirements in subsection (3) is eligible for a 1542 McKay-Gardiner Scholarship in the 2021-2022 school year. 1543 b. For the 2022-2023 school year and thereafter, renewing 1544 students from the previous school year under this section. 1545 2. Students retained on the previous school year’s waiting 1546 list. 1547 3. An eligible student who meets the criteria for an 1548 initial award pursuant to subsection (3). 1549 1550 An approved student who does not receive a scholarship must be 1551 placed on the waiting list in the order in which his or her 1552 application is approved. An eligible student who does not 1553 receive a scholarship within the fiscal year shall be retained 1554 on the waiting list for the subsequent year. 1555 (f) Using an amount not to exceed 2.5 percent of the total 1556 calculated amount of all scholarships awarded under this section 1557 for administrative expenses associated with performing functions 1558 authorized under this section. 1559 (g) Verifying qualifying educational expenditures pursuant 1560 to paragraph (9)(c) and requesting the return of any funds used 1561 for unauthorized purposes. 1562 (h) Returning any remaining program funds to the department 1563 pursuant to paragraph (6)(b). 1564 (i) Notifying the parent about the availability of, and the 1565 requirements associated with requesting, an initial IEP or IEP 1566 reevaluation every 3 years for each student participating in the 1567 program. 1568 (j) Documenting each scholarship student’s eligibility for 1569 a fiscal year before granting a scholarship for that fiscal year 1570 pursuant to paragraph (3)(b). A student is ineligible for a 1571 scholarship if the student’s account has been inactive for 2 1572 consecutive fiscal years and the student’s account has been 1573 closed pursuant to paragraph (6)(b). 1574 (k) Submitting in a timely fashion any information 1575 requested by the department relating to the program. 1576 (l) Preparing and submitting quarterly reports to the 1577 department pursuant to paragraph (9)(e). 1578 (m) Notifying the department of any violation of this 1579 section. 1580 (14) TRANSITION-TO-WORK PROGRAM.—A student participating in 1581 the McKay-Gardiner Scholarship Program who is at least 17 years 1582 of age, but not older than 22 years of age, and who has not 1583 received a high school diploma or certificate of completion is 1584 eligible for enrollment in a transition-to-work program provided 1585 by a private school or job coach. A transition-to-work program 1586 must consist of academic instruction, work skills training, and 1587 a volunteer or paid work experience. 1588 (a) To offer a transition-to-work program, a participating 1589 private school or job coach must: 1590 1. Develop a transition-to-work program plan, which must 1591 include a written description of the academic instruction and 1592 work skills training students will receive and the goals for 1593 students in the program. 1594 2. Submit the transition-to-work program plan to the Office 1595 of Independent Education and Parental Choice. 1596 3. Develop a personalized transition-to-work program plan 1597 for each student enrolled in the program. The student’s parent, 1598 the student, and the school principal or job coach must sign the 1599 personalized plan. The personalized plan must be submitted to 1600 the Office of Independent Education and Parental Choice upon 1601 request by the office. 1602 4. Provide a release of liability form that must be signed 1603 by the student’s parent, the student, and a representative of 1604 the business offering the volunteer or paid work experience. 1605 5. Assign a case manager or job coach to visit the 1606 student’s job site on a weekly basis to observe the student and, 1607 if necessary, provide support and guidance to the student. 1608 6. Provide to the parent and student a quarterly report 1609 that documents and explains the student’s progress and 1610 performance in the program. 1611 7. Maintain accurate attendance and performance records for 1612 the student. 1613 (b) A student enrolled in a transition-to-work program 1614 must, at a minimum: 1615 1. Receive 15 instructional hours that must include 1616 academic instruction and work skills training. 1617 2. Participate in 10 hours of work at the student’s 1618 volunteer or paid work experience. 1619 (c) To participate in a transition-to-work program, a 1620 business must: 1621 1. Maintain an accurate record of the student’s performance 1622 and hours worked and provide the information to the private 1623 school. 1624 2. Comply with all state and federal child labor laws. 1625 (15) FUNDING AND PAYMENT.— 1626 (a) The scholarship is established for up to 50,000 student 1627 FTE annually beginning with the 2021-2022 school year. For the 1628 2022-2023 school year and each year thereafter, the maximum 1629 number of student FTE in the scholarship program under this 1630 section must increase by 7 percent of the total student FTE for 1631 the prior year. 1632 1. For a student who has a Level I to Level III matrix of 1633 services or a doctor’s diagnosis, the calculated scholarship 1634 amount for a student participating in the program must be based 1635 upon the grade level and district school to which the student 1636 would have been assigned as 97.5 percent of the funds per 1637 unweighted full-time equivalent in the Florida Education Finance 1638 Program for a student in the basic exceptional student education 1639 program pursuant to s. 1011.62(1)(c)1. and (e)1.c., plus a per 1640 full-time equivalent share of funds for all categorical 1641 programs, as funded in the General Appropriations Act, except 1642 that for the exceptional student education guaranteed allocation 1643 as provided in s. 1011.62(1)(e)1.c. and 2., the funds must be 1644 allocated based on the school district’s average funds per 1645 Exceptional Student Education student. 1646 2. For a student with a Level IV or Level V matrix of 1647 services, the calculated scholarship amount must be based upon 1648 the district school to which the student would have been 1649 assigned as 97.5 percent of the funds per full-time equivalent 1650 for the Level IV or Level V Exceptional Student Education 1651 program pursuant to s. 1011.62(1)(c)2.a. or b., plus a per-full 1652 time equivalent share of funds for all categorical programs, as 1653 funded in the General Appropriations Act. 1654 3. For a student with a 504 plan, the calculated 1655 scholarship amount must be based upon the grade level and 1656 district school to which the student would have been assigned as 1657 97.5 percent of the funds per unweighted full-time equivalent in 1658 the Florida Education Finance Program for a student in the basic 1659 education program established pursuant to s. 1011.62(1)(c)1., 1660 plus a per-full-time equivalent share of funds for all 1661 categorical programs, as funded in the General Appropriations 1662 Act. 1663 (b) At the time of each Florida Education Finance Program 1664 student membership survey, the scholarship funding organization 1665 shall report to the Department of Education student enrollment, 1666 FTE, and total award amounts by county, delineated by FEFP 1667 program, and grade and matrix level for all students who are 1668 participating in the McKay-Gardiner Scholarship Program. 1669 Students with a 504 plan must be separately identified. For the 1670 purpose of this paragraph, an FTE shall be equal to four 1671 quarterly scholarship payments. 1672 (c) Following notification on July 1, September 1, December 1673 1, and February 1 of the number of program participants, the 1674 department shall transfer the amount calculated pursuant to 1675 paragraph (a) to organizations for quarterly disbursement to 1676 accounts maintained by organizations pursuant to paragraph 1677 (13)(a) for parents of participating students. When a student 1678 enters the scholarship program, the department must receive from 1679 an organization all documentation required for the student’s 1680 participation at least 30 days before the first quarterly 1681 scholarship payment is made for the student. 1682 (d) Upon notification from the organization that an 1683 application has been approved for the program, the department 1684 shall release the student’s scholarship funds to the 1685 organization, to be deposited into the student’s account in four 1686 equal amounts no later than September 1, November 1, February 1, 1687 and April 1 of each school year in which the scholarship is in 1688 force. 1689 (e) Accrued interest in the student’s account is in 1690 addition to, and not part of, the awarded funds. Program funds 1691 include both the awarded funds and accrued interest. 1692 (f) The organization may develop a system for payment of 1693 benefits by funds transfer, including, but not limited to, debit 1694 cards, electronic payment cards, or any other means of payment 1695 which the department deems to be commercially viable or cost 1696 effective. A student’s scholarship award may not be reduced for 1697 debit card or electronic payment fees. Commodities or services 1698 related to the development of such a system must be procured by 1699 competitive solicitation unless they are purchased from a state 1700 term contract pursuant to s. 287.056. 1701 (g) Moneys received pursuant to this section do not 1702 constitute taxable income to the qualified student or the parent 1703 of the qualified student. 1704 (16) OBLIGATIONS OF THE AUDITOR GENERAL.— 1705 (a) The Auditor General shall review all audit reports 1706 submitted pursuant to subsection (13). The Auditor General shall 1707 request any significant items that were omitted in violation of 1708 a rule adopted by the Auditor General. The organization shall 1709 provide such items within 45 days after the date of the request. 1710 If the scholarship-funding organization does not comply with the 1711 Auditor General’s request, the Auditor General must notify the 1712 Legislative Auditing Committee. 1713 (b) At least once every 3 years, the Auditor General shall 1714 conduct an operational audit of accounts and records of each 1715 organization that participates in the program. As part of this 1716 audit, the Auditor General, at a minimum, shall verify the total 1717 number of students served and the eligibility of reimbursements 1718 made by the organization and transmit that information to the 1719 department. The Auditor General shall provide the commissioner 1720 with a copy of each annual operational audit performed pursuant 1721 to this subsection within 10 days after the audit is finalized. 1722 (c) The Auditor General shall notify the department of any 1723 organization that fails to comply with a request for 1724 information. 1725 (17) OBLIGATIONS RELATED TO APPROVED PROVIDERS.—The 1726 Department of Health, the Agency for Persons with Disabilities, 1727 and the Department of Education shall coordinate with an 1728 organization to provide easy or automated access to lists of 1729 licensed providers of services specified in paragraph (5)(c) to 1730 ensure efficient administration of the program. 1731 (18) LIABILITY.—The state is not liable for the awarding of 1732 funds or for any use of funds awarded under this section. 1733 (19) SCOPE OF AUTHORITY.—This section does not expand the 1734 authority of the state, its officers, or any school district to 1735 impose additional regulation on participating private schools, 1736 independent postsecondary educational institutions, and private 1737 providers beyond that reasonably necessary to enforce 1738 requirements expressly set forth in this section. 1739 (20) RULES.—The State Board of Education shall adopt rules 1740 pursuant to ss. 120.536(1) and 120.54 to administer this 1741 section. 1742 Section 17. Section 1002.385, Florida Statutes, is 1743 repealed. 1744 Section 18. Section 1002.39, Florida Statutes, is repealed. 1745 Section 19. Section 1002.394, Florida Statutes, is amended 1746 to read: 1747 1002.394 The Family Empowerment Scholarship Program.— 1748 (1) PURPOSE.—The Family Empowerment Scholarship Program is 1749 established to provide children of families in this state which 1750 have limited financial resources with educational options to 1751 achieve success in their education. 1752 (2) DEFINITIONS.—As used in this section, the term: 1753 (a) “Approved provider” means a provider approved by the 1754 department“Department” means the Department of Education. 1755 (b) “Curriculum” means a complete course of study for a 1756 particular content area or grade level, including any required 1757 supplemental materials, teachers’ manuals, and associated online 1758 instruction. 1759 (c) “Department” means the Department of Education. 1760 (d) “Direct certification list” means the certified list of 1761 children who qualify for the food assistance program, the 1762 Temporary Assistance for Needy Families Program, or the Food 1763 Distribution Program on Indian Reservations provided to the 1764 Department of Education by the Department of Children and 1765 Families. 1766 (e) “Eligible nonprofit scholarship-funding organization” 1767 or “organization” means a state university, an independent 1768 college or university that is eligible to participate in the 1769 William L. Boyd, IV, Effective Access to Student Education Grant 1770 Program located and chartered in this state which is not for 1771 profit and is accredited by the Commission on Colleges of the 1772 Southern Association of Colleges and Schools, or is a charitable 1773 organization that:has the same meaning as provided in s.17741002.395(2)(f).1775 1. Is exempt from federal income tax pursuant to s. 1776 501(c)(3) of the Internal Revenue Code; 1777 2. Is a Florida entity formed under chapter 605, chapter 1778 607, or chapter 617 and whose principal office is located in 1779 this state; and 1780 3. Complies with subsections (11) and (14). 1781 (f) “Eligible postsecondary educational institution” means 1782 a Florida College System institution; a state university; a 1783 school district technical center; a school district adult 1784 general education center; an independent college or university 1785 that is eligible to participate in the William L. Boyd, IV, 1786 Effective Access to Student Education Grant Program under s. 1787 1009.89; or an accredited independent postsecondary educational 1788 institution, as defined in s. 1005.02, which is licensed to 1789 operate in this state under part III of chapter 1005. 1790 (g)(c)“Eligible private school” means a private school as 1791 defined in s. 1002.01 located in this state which offers an 1792 education to students in any grade from Kindergarten through 1793 grade 12 and: 1794 1. Meets the requirements of ss. 1002.42 and 1002.421; and 1795 2. Meets the applicable requirements imposed under this 1796 chapter, if the private school participates in a scholarship 1797 program under this chapterhas the same meaning as provided in1798s. 1002.395(2)(g). 1799 (h) “Household income” has the same meaning as the term 1800 “income” as defined in the Income Eligibility Guidelines for 1801 free and reduced price meals under the National School Lunch 1802 Program in 7 C.F.R. part 210 as published in the Federal 1803 Register by the United States Department of Agriculture. 1804 (i) “Inactive” means that no eligible expenditures have 1805 been made from a student scholarship account funded pursuant to 1806 this section. 1807 (j) “Incident” means battery; harassment; hazing; bullying; 1808 kidnapping; physical attack; robbery; sexual offenses, 1809 harassment, assault, or battery; threat or intimidation; or 1810 fighting at school, as defined by the department in accordance 1811 with s. 1006.147(4). 1812 (k) “Owner or operator” includes: 1813 1. An owner, president, officer, or director of an eligible 1814 nonprofit scholarship-funding organization or a person with 1815 equivalent decisionmaking authority over an eligible nonprofit 1816 scholarship-funding organization. 1817 2. An owner, operator, superintendent, or principal of an 1818 eligible private school or a person with equivalent 1819 decisionmaking authority over an eligible private school. 1820 (l)(d)“Parent” means a resident of this state who is a 1821 parent, as defined in s. 1000.21. 1822 (m)(e)“Program” means the Family Empowerment Scholarship 1823 Program. 1824 (n) “School” means any educational program or activity 1825 conducted by a public K-12 educational institution, any school 1826 related or school-sponsored program or activity, and riding on a 1827 school bus as defined in s. 1006.25(1), including waiting at a 1828 school bus stop. 1829 (3) INITIAL SCHOLARSHIP ELIGIBILITY.—A student is eligible 1830 for a Family Empowerment Scholarship under this section if the 1831 student meets the following criteria: 1832 (a)1. The student is on the direct certification list as 1833 defined in paragraph (2)(d)pursuant tos. 1002.395(2)(c)or the 1834 student’s household income level does not exceed 300185percent 1835 of the federal poverty level or an adjusted maximum percent of 1836 the federal poverty level established pursuant to paragraph (e); 1837 or 1838 2. The student is: 1839 a. Currently placed, or during the previous state fiscal 1840 year was placed, in foster care or in out-of-home care as 1841 defined in s. 39.01; 1842 b. A sibling of a student who is participating in the 1843 scholarship program under this subsection, if the student 1844 resides in the same household as the sibling; or 1845 c. Enrolled in a Florida public school in kindergarten 1846 through grade 12 and reported an incident in accordance with 1847 paragraph (7)(b) 18483.Thestudent’s household income level does not exceed 3001849percent of the federal poverty level or an adjusted maximum1850percent of the federal poverty level as established pursuant to1851paragraph (e). 1852 1853 A student who initially receives a scholarship based on 1854 eligibility under this subsectionsubparagraph 2.remains 1855 eligible to participate until the student graduates from high 1856 school or attains the age of 21 years, whichever occurs first, 1857 regardless of the student’s household income level.A sibling of1858a student who is participating in the scholarship program under1859this subsection is eligible for a scholarship if the student1860resides in the same household as the sibling.1861 (b)1.The student is eligible to enroll in kindergarten 1862 through grade 12 in a public school in this state;18632. The student has spent the prior school year in1864attendance at a Florida public school; or18653. Beginning with the 2020-2021 school year, the student1866received a scholarship pursuant to s. 1002.395 during the1867previous school year but did not receive a renewal scholarship1868based solely on the eligible nonprofit scholarship-funding1869organization’s lack of available funds after the organization1870fully exhausts its efforts to use funds available for awards1871under ss. 1002.395 and 1002.40(11)(i). Eligible nonprofit1872scholarship-funding organizations with students who meet the1873eligibility criterion of this subparagraph must annually notify1874the department in a format and by a date established by the1875department.1876 1877For purposes of this paragraph, the term “prior school year in1878attendance” means that the student was enrolled full time and1879reported by a school district for funding during the preceding1880October and February Florida Education Finance Program surveys1881in kindergarten through grade 12, which includes time spent in a1882Department of Juvenile Justice commitment program if funded1883under the Florida Education Finance Program. However, a1884dependent child of a member of the United States Armed Forces1885who transfers to a school in this state from out of state or1886from a foreign country due to a parent’s permanent change of1887station orders or a foster child is exempt from the prior public1888school attendance requirement under this paragraph, but must1889meet the other eligibility requirements specified under this1890section to participate in the program. 1891 (c) The parent has applied to an eligible nonprofit 1892 scholarship-funding organization to participate in the program 1893 by a date set by the organizationobtained acceptance for1894admission of the student to a private school that is eligible1895for the program under subsection (8), and the parent has1896requested a scholarship from the Department of Education by a1897date established by the department pursuant to paragraph (7)(e),1898but no later than at least 60 days before the date of the first1899scholarship payment. The applicationrequestmust be 1900 communicated directly to the organizationdepartmentin a manner 1901 that creates a written or electronic record of the application 1902requestand the date of receipt of the applicationrequest.The1903department must notify the school district of the parent’s1904intent upon receipt of the parent’s request.1905 (d) The student is awarded a scholarship in accordance with 1906 the following priority order: 1907 1. An eligible student who received a Family Empowerment 1908 Scholarship during the previous school yearschool year, or a 1909 Florida Tax Credit Scholarship or Hope Scholarship during the 1910 2020-2021 school year, and requested a renewal scholarship 1911 award. 1912 2. An eligible student who meets the criteria for an 1913 initial award under both paragraphsparagraph(a) and (b) and 1914 was retained on the previous school year’s wait list 1915subparagraph(b)3. 1916 3. An eligible student who meets the criteria for an 1917 initial award under subparagraph (a)2. and paragraph (b)(b)2.1918and either subparagraph (a)1. or subparagraph (a)2. 1919 4. An eligible student who meets the criteria for an 1920 initial award under subparagraph (a)1.(b)1.and paragraph (b), 1921 and the student’s household income level does not exceed 185 1922 percent of the federal poverty leveleither subparagraph (a)1.1923or subparagraph (a)2. 1924 5. An eligible student who meets the criteria for an 1925 initial award under subparagraph (a)1.(a)3.and,paragraph (b) 1926in priority order, either subparagraph (b)2. or subparagraph1927(b)1. 1928 1929 An approved student who does not receive a scholarship must be 1930 placed on the wait list in the order in which his or her 1931 application is approved. An eligible student who does not 1932 receive a scholarship within the fiscal year must be retained on 1933 the wait list for the subsequent year. 1934 (e) The student’s household income level does not exceed an 1935 adjusted maximum percent of the federal poverty level that is 1936 increased by 25 percent in the fiscal year following any fiscal 1937 year in which more than 5 percent of the available scholarships 1938 authorized under subsection (12)(11)have not been awarded. 1939 (4) TERM OF SCHOLARSHIP.—For purposes of continuity of 1940 educational choice and program integrity: 1941 (a)1. Program payments made by the state to an organization 1942 for a Family Empowerment Scholarship under this section must 1943 continue until: 1944 a. The parent does not renew program eligibility; 1945 b. The organization determines that the student is not 1946 eligible for program renewal; 1947 c. The Commissioner of Education suspends or revokes 1948 program participation or use of funds pursuant to subparagraph 1949 (b)(1); 1950 d. The student’s parent has forfeited participation in the 1951 program for failure to comply with subsection (10); 1952 e. The student enrolls in a public school; or 1953 f. The student graduates from high school or attains 21 1954 years of age, whichever occurs first. However, if a student 1955 enters a Department of Juvenile Justice detention center for a 1956 period of no more than 21 days, the student is not considered to 1957 have returned to a public school for that purpose. 1958 2. Reimbursements for program expenditures may continue 1959 until the account balance is expended or the account is closed 1960 pursuant to paragraph (b)For purposes of continuity of1961educational choice, a Family Empowerment Scholarship shall1962remain in force until the student returns to a public school,1963graduates from high school, or reaches the age of 21, whichever1964occurs first. A scholarship student who enrolls in a public1965school or public school program is considered to have returned1966to a public school for the purpose of determining the end of the1967scholarship’s term. However, if a student enters a Department of1968Juvenile Justice detention center for a period of no more than196921 days, the student is not considered to have returned to a1970public school for that purpose. 1971 (b)1. The commissioner shall close a student’s scholarship 1972 account, and any remaining funds, including, but not limited to, 1973 contributions made to the Stanley G. Tate Florida Prepaid 1974 College Program or earnings from or contributions made to the 1975 Florida College Savings Program using program funds pursuant to 1976 paragraph (6)(e), revert to the state after: 1977 a. Denial or revocation of program eligibility by the 1978 commissioner for fraud or abuse, including, but not limited to, 1979 the student or the student’s parent accepting any payment, 1980 refund, or rebate in any manner from a provider of any services 1981 received pursuant to subsection (6); however, a private school 1982 may discount tuition if the private school deems it necessary; 1983 b. Any period of 2 consecutive years after high school 1984 completion or graduation during which the student has not been 1985 enrolled in an eligible postsecondary educational institution or 1986 a program offered by the institution; or 1987 c. The account has been inactive for 2 consecutive fiscal 1988 years prior to high school completion or graduationUpon1989reasonable notice to the department and the school district, the1990student’s parent may remove the student from the private school1991and place the student in a public school in accordance with this1992section. 1993 2. The commissioner must notify the parent and the 1994 organization when a Family Empowerment Scholarship account is 1995 closed and program funds revert to the state. 1996(c) Upon reasonable notice to the department, the student’s1997parent may move the student from one participating private1998school to another participating private school.1999 (5) SCHOLARSHIP PROHIBITIONS.—A student is not eligible for 2000 a Family Empowerment Scholarship while he or she is: 2001 (a) Enrolled in a public school, including, but not limited 2002 to, the Florida School for the Deaf and the Blind, the College 2003 Preparatory Boarding Academy, a developmental research school 2004 authorized under s. 1002.32, or a charter school authorized 2005 under this chapter; 2006 (b) Enrolled in a school operating for the purpose of 2007 providing educational services to youth in a Department of 2008 Juvenile Justice commitment program; 2009 (c) Receiving any other educational scholarship pursuant to 2010 this chapter; or 2011 (d)Participating in a home education program as defined in2012s. 1002.01(1);2013(e) Participating in a private tutoring program pursuant to2014s. 1002.43; or2015(f)Participating in a virtual school, correspondence 2016 school, or distance learning program that receives state funding 2017 pursuant to the student’s participation. 2018 (6) AUTHORIZED USES OF PROGRAM FUNDS.—Program funds must be 2019 used to meet the individual educational needs of an eligible 2020 student and may be spent for the following purposes: 2021 (a) Instructional materials, including digital devices and 2022 Internet access to access digital instructional materials. 2023 (b) Curriculum as defined in paragraph (2)(b). 2024 (c) Tuition or fees associated with full-time or part-time 2025 enrollment in a home education program, an eligible private 2026 school, an eligible postsecondary educational institution or a 2027 program offered by the postsecondary institution, a private 2028 tutoring program authorized under s. 1002.43, a virtual program 2029 offered by a department-approved private online provider that 2030 meets the provider qualifications specified in s. 1002.45(2)(a), 2031 the Florida Virtual School as a private paying student, or an 2032 approved online course offered pursuant to s. 1003.499 or s. 2033 1004.0961. 2034 (d) Fees for nationally standardized, norm-referenced 2035 achievement tests, Advanced Placement examinations, industry 2036 certification examinations, assessments related to postsecondary 2037 education, or other assessments. 2038 (e) Contributions to the Stanley G. Tate Florida Prepaid 2039 College Program pursuant to s. 1009.98 or the Florida College 2040 Savings Program pursuant to s. 1009.981, for the benefit of the 2041 eligible student. 2042 (f) Contracted services provided by a public school or 2043 school district, including classes. A student who receives 2044 services under a contract under this paragraph is not considered 2045 enrolled in a public school for eligibility purposes as 2046 specified in subsection (5). 2047 (g) Tuition and fees for part-time tutoring services 2048 provided by a person who holds a valid Florida educator’s 2049 certificate pursuant to s. 1012.56; a person who holds an 2050 adjunct teaching certificate pursuant to s. 1012.57; a person 2051 who has a bachelor’s degree or a graduate degree in the subject 2052 area in which instruction is given; or a person who has 2053 demonstrated a mastery of subject area knowledge pursuant to s. 2054 1012.56(5). As used in this paragraph, the term “part-time 2055 tutoring services” does not qualify as regular school attendance 2056 as defined in s. 1003.01(13)(e). 2057 (h) Fees for summer education programs. 2058 (i) Fees for after-school education programs. 2059 (j) Fees for an annual evaluation of educational progress 2060 by a state-certified teacher under s. 1002.41(1)(f), if this 2061 option is chosen for a home education student. 2062 (k) Transportation expenses that may not exceed $750 2063 annually to meet the student’s educational needs under this 2064 subsection. 2065 2066 A provider of any services receiving payments pursuant to this 2067 subsection may not share, refund, or rebate any moneys from the 2068 Family Empowerment Scholarship with the parent or participating 2069 student in any manner. 2070 (7)(6)SCHOOL DISTRICT OBLIGATIONS.— 2071 (a) By July 15, 2019, and by April 1 of each year 2072 thereafter, a school district shall inform all households within 2073 the district receiving free or reduced-priced meals under the 2074 National School Lunch Act of their eligibility to applyto the2075departmentfor a Family Empowerment Scholarship. A parent who 2076 chooses to enroll his or her eligible student in a public school 2077 that is different from the school in which the student was 2078 assigned pursuant to s. 1002.31 or enrolls his or her eligible 2079 student in a lab school as defined in s. 1002.32 is eligible for 2080 a scholarship to transport the student as provided in paragraph 2081 (12)(c). The form of such notice shall be provided by the 2082 department, and the school district shall include the provided 2083 form in any normal correspondence with eligible households. Such 2084 notice is limited to once a year. 2085 (b) Upon receipt of a report of an incident, the school 2086 principal, or his or her designee, shall provide a copy of the 2087 report to the parent and investigate the incident to determine 2088 if the incident must be reported as required by s. 1006.147(4). 2089 Within 24 hours after receipt of the report, the principal or 2090 his or her designee shall provide a copy of the report to the 2091 parent of the alleged offender and to the superintendent. Upon 2092 conclusion of the investigation or within 15 days after the 2093 incident was reported, whichever occurs first, the school 2094 district shall notify the parent of the program and offer the 2095 parent an opportunity to request and receive a Family 2096 Empowerment Scholarship. 2097 (c) The school district in which a participating student 2098 resides must notify the student and his or her parent about the 2099 locations and times to take all statewide assessments under s. 2100 1008.22 if the student chooses to participate in such 2101 assessments. Upon the request of the department, a school 2102 district shall coordinate with the department to provide to a 2103 participating private school the statewide assessments 2104 administered under s. 1008.22 and any related materials for 2105 administering the assessments. For a student who participates in 2106 the Family Empowerment Scholarship Program whose parent requests 2107 that the student take the statewide assessments under s. 2108 1008.22, the district in which the student attends a private 2109 school shall provide locations and times to take all statewide 2110 assessments. A school district is responsible for implementing 2111 test administrations at a participating private school, 2112 including the: 2113 1. Provision of training for private school staff on test 2114 security and assessment administration procedures; 2115 2. Distribution of testing materials to a private school; 2116 3. Retrieval of testing materials from a private school; 2117 4. Provision of the required format for a private school to 2118 submit information to the district for test administration and 2119 enrollment purposes; and 2120 5. Provision of any required assistance, monitoring, or 2121 investigation at a private school. 2122 (d)(c)Each school district must publish information about 2123 the Family Empowerment Scholarship Program on the district’s 2124 website homepage, which,.at a minimum,the published2125informationmust include a website link to the Family 2126 Empowerment Scholarship Program published on the Department of 2127 Education websiteas well as a telephone number and e-mail that2128students and parents may use to contact relevant personnel in2129the school district to obtain information about the scholarship. 2130 (8)(7)DEPARTMENT OF EDUCATION OBLIGATIONS.—The department 2131 shall: 2132 (a) Annually verify the eligibility of nonprofit 2133 scholarship-funding organizations that meet the requirements of 2134 paragraph (2)(e). 2135 (b)(a)Publish and update, as necessary, information on the 2136 department website about the scholarship programs under this 2137 chapterFamily Empowerment Scholarship Program, including, but 2138 not limited to, student eligibility criteria, parental 2139 responsibilities, and relevant data. 2140 (c)(b)Cross-check prior to each distribution of funds the 2141 list of participating scholarship students with the public 2142 school enrollment lists before each scholarship payment to avoid 2143 duplication. 2144 (d)(c)Maintain and publish a list of nationally norm 2145 referenced tests identified for purposes of satisfying the 2146 testing requirement in subparagraph (9)(c)1.(8)(c)1.The tests 2147 must meet industry standards of quality in accordance with state 2148 board rule. 2149 (e)(d)Notify eligible nonprofit scholarship-funding 2150 organizations of the deadlines for submitting the verified list 2151 of students determined to be eligible for an initial or renewal 2152 scholarship. 2153 (f)(e)Distribute each student’s scholarship funds on a 2154 quarterly basis to the eligible nonprofit scholarship-funding 2155 organization, to be deposited into the student’s account 2156Establish deadlines for the receipt of initial applications and2157renewal notifications in order to implement the priority order2158for scholarship awards pursuant to paragraph (3)(d). 2159 (g) Notify an eligible nonprofit scholarship-funding 2160 organization of any of the organization’s or other eligible 2161 nonprofit scholarship-funding organization’s identified students 2162 who are receiving educational scholarships pursuant to chapter 2163 1002. 2164 (h) Issue a project grant award to a state university, to 2165 which participating private schools must report the scores of 2166 participating students on the nationally norm-referenced tests 2167 or the statewide assessments administered by the private school 2168 in grades 3 through 10. The project term is 2 years, and the 2169 amount of the project is up to $250,000 per year. The project 2170 grant award must be reissued in 2-year intervals in accordance 2171 with this paragraph. 2172 1. The state university must annually report to the 2173 Department of Education on the student performance of 2174 participating students: 2175 a. On a statewide basis. The report shall also include, to 2176 the extent possible, a comparison of scholarship students’ 2177 performance to the statewide student performance of public 2178 school students with socioeconomic backgrounds similar to those 2179 of students participating in the scholarship program. To 2180 minimize costs and reduce time required for the state 2181 university’s analysis and evaluation, the Department of 2182 Education shall coordinate with the state university to provide 2183 data in order to conduct analyses of matched students from 2184 public school assessment data and calculate control group 2185 student performance using an agreed-upon methodology; and 2186 b. On an individual school basis. For the 2020-2021 school 2187 year, the annual report must include student performance for 2188 each participating private school in which at least 51 percent 2189 of the total enrolled students in the private school 2190 participated in the Florida Tax Credit Scholarship Program or 2191 the Family Empowerment Scholarship Program. Beginning with the 2192 2021-2022 school year, the annual report must include student 2193 performance for each participating private school in which at 2194 least 51 percent of the total enrolled students in the private 2195 school participated in the Family Empowerment Scholarship 2196 Program. The report shall be according to each participating 2197 private school, and for participating students, in which there 2198 are at least 30 participating students who have scores for tests 2199 administered. If the state university determines that the 30 2200 participating-student cell size may be reduced without 2201 disclosing personally identifiable information, as described in 2202 34 C.F.R. s. 99.12, of a participating student, the state 2203 university may reduce the participating-student cell size, but 2204 the cell size may not be reduced to less than 10 participating 2205 students. The department shall provide each private school’s 2206 prior school year student enrollment information to the state 2207 university no later than June 15 of each year, or as requested 2208 by the state university. 2209 2. The sharing and reporting of student performance data 2210 under this paragraph must be in accordance with the requirements 2211 of ss. 1002.22 and 1002.221 and 20 U.S.C. s. 1232g, the Family 2212 Educational Rights and Privacy Act, and the applicable rules and 2213 regulations issued pursuant thereto, and must be for the sole 2214 purpose of creating the annual report required by subparagraph 2215 1. All parties must preserve the confidentiality of such 2216 information as required by law. The annual report may not 2217 disaggregate data to a level that will identify individual 2218 participating schools, except as required under sub-subparagraph 2219 1.b., or disclose the academic level of individual students. 2220 3. The annual report required by subparagraph 1. must be 2221 published by the Department of Education on its website. 2222 (i) Maintain on its website a list of approved providers, 2223 including eligible postsecondary educational institutions, 2224 eligible private schools, and organizations. The department may 2225 identify or provide links to lists of other approved providers. 2226 (j) Require each organization to verify eligible 2227 expenditures before the distribution of funds for any 2228 expenditures made pursuant to paragraphs (6)(a) and (b). Review 2229 of expenditures made for services specified in paragraphs 2230 (6)(c)-(k) may be completed after the purchase is made. 2231 (k) Require quarterly reports by an eligible nonprofit 2232 scholarship-funding organization regarding the overall number of 2233 students participating in the scholarship program, the number of 2234 home education students participating in the scholarship 2235 program, the number of students attending a private school 2236 participating in the scholarship program, the private schools at 2237 which the students are enrolled, and other information the 2238 department deems necessary. 2239 (l) Provide a process to match the direct certification 2240 list with the scholarship application data submitted by any 2241 nonprofit scholarship-funding organization eligible to receive 2242 the 2.5 percent administrative allowance under paragraph 2243 (11)(k). 2244 (m) Contract with an independent entity to provide an 2245 annual evaluation of the program by: 2246 1. Reviewing the school bullying prevention education 2247 program, school climate, and code of student conduct of each 2248 public school from which 10 or more students transferred to 2249 another public school or private school using the Hope 2250 Scholarship or Family Empowerment Scholarship to determine areas 2251 in the school or school district procedures involving reporting, 2252 investigating, and communicating a parent’s and student’s rights 2253 which are in need of improvement. At a minimum, the review must 2254 include: 2255 a. An assessment of the investigation time and quality of 2256 the response of the school and the school district. 2257 b. An assessment of the effectiveness of communication 2258 procedures with the students involved in an incident, the 2259 students’ parents, and the school and school district personnel. 2260 c. An analysis of school incident and discipline data. 2261 d. The challenges and obstacles relating to implementing 2262 recommendations from the review. 2263 2. Reviewing the school bullying prevention education 2264 program, school climate, and code of student conduct of each 2265 public school to which a student transferred if the student was 2266 from a school identified in subparagraph 1. in order to identify 2267 best practices and make recommendations to the public school at 2268 which the incidents occurred. 2269 3. Surveying the parents of participating students to 2270 determine academic, safety, and school climate satisfaction and 2271 to identify any challenges to or obstacles in addressing an 2272 incident or relating to the use of the scholarship. 2273 (n) Investigate any written complaint of a violation of 2274 this section by a parent, a student, a private school, a public 2275 school, a school district, an organization, a provider, or 2276 another appropriate party in accordance with the process 2277 established under s. 1002.421. 2278 (9)(8)PRIVATE SCHOOL ELIGIBILITY AND OBLIGATIONS.—To be 2279 eligible to participate in the Family Empowerment Scholarship 2280 Program, a private school may be sectarian or nonsectarian and 2281 must: 2282 (a) Comply with all requirements for private schools 2283 participating in state school choice scholarship programs 2284 pursuant to s. 1002.421. 2285 (b) Provide to the organizationdepartmentall 2286 documentation required for a student’s participation, including 2287 the private school’s and student’s fee schedules, at least 30 2288 days before any quarterly scholarship payment is made for the 2289 student pursuant to paragraph (12)(f)(11)(f). A student is not2290eligible to receive a quarterly scholarship payment if the2291private school fails to meet this deadline. 2292 (c)1. Annually administer or make provision for students 2293 participating in the program in grades 3 through 10 to take one 2294 of the nationally norm-referenced tests that are identified by 2295 the department pursuant to paragraph (8)(d)(7)(c)or to take 2296 the statewide assessments pursuant to s. 1008.22. Students with 2297 disabilities for whom standardized testing is not appropriate 2298 are exempt from this requirement. A participating private school 2299 shall report a student’s scores to his or her parent. By August 2300 15 of each year, a participating private school must report the 2301 scores of all participating students to a state university as 2302 described in paragraph (8)(h)s. 1002.395(9)(f). 2303 2. Administer the statewide assessments pursuant to s. 2304 1008.22 if the private school chooses to offer the statewide 2305 assessments. A participating private school may choose to offer 2306 and administer the statewide assessments to all students who 2307 attend the private school in grades 3 through 10 and must submit 2308 a request in writing to the department by March 1 of each year 2309 in order to administer the statewide assessments in the 2310 subsequent school year. 2311 2312 If a private school fails to meet the requirements of this 2313 subsection or s. 1002.421, the commissioner may determine that 2314 the private school is ineligible to participate in the 2315 scholarship program. 2316 (10)(9)PARENT AND STUDENT RESPONSIBILITIES FOR PROGRAM 2317 PARTICIPATION.—A parent who applies for a Family Empowerment 2318 Scholarship is exercising his or her parental option to 2319 determine the appropriate placement or the services that best 2320 meets the needs of his or her childplace his or her child in a2321private school. 2322 (a) To satisfy or maintain program eligibility, including 2323 eligibility to receive and spend program payments, the parent 2324 must sign an agreement with the organization and annually submit 2325 a sworn compliance statement to the organization to: 2326 1. Affirm that the student is enrolled in a program that 2327 meets regular school attendance requirements as provided in s. 2328 1003.01(13)(b)-(e). 2329 2. Affirm that the program funds are used only for 2330 authorized purposes serving the student’s educational needs, as 2331 described in subsection (6). 2332 3. Affirm that the parent is responsible for the education 2333 of his or her student by, as applicable: 2334 a. Requiring the student to take an assessment in 2335 accordance with paragraph (9)(c); or 2336 b. Providing an annual evaluation in accordance with s. 2337 1002.41(1)(f). 2338 4. Affirm that the student remains in good standing with 2339 the provider or school if those options are selected by the 2340 parentThe parent must select the private school and apply for2341the admission of his or her student. 2342 (b)The parent must request the scholarship at least 602343days before the date of the first scholarship payment.2344(c)The parent must inform the applicable school district2345when the parent withdraws his or her student from a public2346school to attend an eligible private school.2347(d)Any student participating in the program must remain in 2348 attendance throughout the school year unless excusedby the2349schoolfor illness or other good cause. 2350 (c)(e)IfBeforeenrolling in a private school, a student 2351 and his or her parent or guardian must meet with the private 2352 school’s principal or the principal’s designee to review the 2353 school’s academic programs and policies, customized educational 2354 programs, code of student conduct, and attendance policies. 2355 (d)(f)The parent shall ensure that athestudent 2356 participating in the scholarship program and enrolled in a 2357 private school takes the norm-referenced assessment offered by 2358 the private school. The parent may also choose to have the 2359 student participate in the statewide assessments pursuant to 2360 paragraph (9)(c)(6)(b). 2361 (e)(g)If the parent requests that the student 2362 participating in the program take all statewide assessments 2363 required pursuant to s. 1008.22, the parent is responsible for 2364 transporting the student to the assessment site designated by 2365 the school district. 2366(h)Upon receipt of a scholarship warrant, the parent to2367whom the warrant is issued must restrictively endorse the2368warrant to the private school for deposit into the private2369school’s account. The parent may not designate any entity or2370individual associated with the participating private school as2371the parent’s attorney in fact to endorse a scholarship warrant.2372A participant who fails to comply with this paragraph forfeits2373the scholarship.2374 (f)(i)The parent must annually renew participation in the 2375 program by the date established by the organizationdepartment2376pursuant to paragraph (7)(e). A student whose participation in 2377 the program is not renewed may continue to spend scholarship 2378 funds that are in his or her account from prior years unless the 2379 account must be closed pursuant to paragraph (4)(b). 2380 (g) The parent is responsible for procuring the services 2381 necessary to educate the student. If a parent does not procure 2382 the necessary educational services for the student and the 2383 student’s account has been inactive for 2 consecutive fiscal 2384 years, the student is ineligible and the student’s account must 2385 be closed pursuant to paragraph (4)(b). 2386 (h) The parent is responsible for all eligible expenses in 2387 excess of the Family Empowerment Scholarship. 2388 (i) The parent may not transfer any prepaid college plan or 2389 college savings plan funds contributed pursuant to paragraph 2390 (6)(e) to another beneficiary while the plan contains funds 2391 contributed pursuant to this section. 2392 (j) The parent may not receive a payment, refund, or rebate 2393 from an approved provider of any services under this program. 2394 2395 A participant who fails to comply with this subsection forfeits 2396 the Family Empowerment Scholarship. 2397 (11)(10)OBLIGATIONS OF ELIGIBLE SCHOLARSHIP-FUNDING 2398 ORGANIZATIONS.—An eligible nonprofit scholarship-funding 2399 organization: 2400 (a) Must comply with the antidiscrimination provisions of 2401 42 U.S.C. s. 2000d. 2402 (b) Must comply with the following background check 2403 requirements: 2404 1. All owners and operators as defined in subparagraph 2405 (2)(k)1., before employment or engagement to provide services, 2406 are subject to a level 2 background screening as provided under 2407 chapter 435. The fingerprints for the background screening must 2408 be electronically submitted to the Department of Law Enforcement 2409 and can be taken by an authorized law enforcement agency or by 2410 an employee of the eligible nonprofit scholarship-funding 2411 organization or a private company who is trained to take 2412 fingerprints. However, the complete set of fingerprints of an 2413 owner or operator may not be taken by the owner or operator. The 2414 results of the state and national criminal history check must be 2415 provided to the Department of Education for screening under 2416 chapter 435. The cost of the background screening may be borne 2417 by the eligible nonprofit scholarship-funding organization or 2418 the owner or operator. 2419 2. Every 5 years following employment or engagement to 2420 provide services or association with an eligible nonprofit 2421 scholarship-funding organization, each owner or operator must 2422 meet level 2 screening standards as described in s. 435.04, at 2423 which time the nonprofit scholarship-funding organization shall 2424 request the Department of Law Enforcement to forward the 2425 fingerprints to the Federal Bureau of Investigation for level 2 2426 screening. If the fingerprints of an owner or operator are not 2427 retained by the Department of Law Enforcement under subparagraph 2428 3., the owner or operator must electronically file a complete 2429 set of fingerprints with the Department of Law Enforcement. Upon 2430 submission of fingerprints for this purpose, the eligible 2431 nonprofit scholarship-funding organization shall request that 2432 the Department of Law Enforcement forward the fingerprints to 2433 the Federal Bureau of Investigation for level 2 screening, and 2434 the fingerprints must be retained by the Department of Law 2435 Enforcement under subparagraph 3. 2436 3. Fingerprints submitted to the Department of Law 2437 Enforcement as required by this paragraph must be retained by 2438 the Department of Law Enforcement in a manner approved by rule 2439 and entered in the statewide automated biometric identification 2440 system authorized by s. 943.05(2)(b). The fingerprints must 2441 continue to be available for all purposes and uses authorized 2442 for arrest fingerprints entered in the statewide automated 2443 biometric identification system pursuant to s. 943.051. 2444 4. The Department of Law Enforcement shall search all 2445 arrest fingerprints received under s. 943.051 against the 2446 fingerprints retained in the statewide automated biometric 2447 identification system under subparagraph 3. Any arrest record 2448 that is identified with an owner’s or operator’s fingerprints 2449 must be reported to the Department of Education. The Department 2450 of Education shall participate in this search process by paying 2451 an annual fee to the Department of Law Enforcement and by 2452 informing the Department of Law Enforcement of any change in the 2453 employment, engagement, or association status of the owners or 2454 operators whose fingerprints are retained under subparagraph 3. 2455 The Department of Law Enforcement shall adopt a rule setting the 2456 amount of the annual fee to be imposed upon the Department of 2457 Education for performing these services and establishing the 2458 procedures for the retention of owner or operator fingerprints 2459 and the dissemination of search results. The fee may be borne by 2460 the owner or operator of the nonprofit scholarship-funding 2461 organization. 2462 5. A nonprofit scholarship-funding organization whose owner 2463 or operator fails the level 2 background screening is not 2464 eligible to provide scholarships under this section. 2465 6. A nonprofit scholarship-funding organization whose owner 2466 or operator in the last 7 years has filed for personal 2467 bankruptcy or corporate bankruptcy in a corporation of which he 2468 or she owned more than 20 percent is not eligible to provide 2469 scholarships under this section. 2470 7. In addition to the offenses listed in s. 435.04, a 2471 person required to undergo background screening pursuant to this 2472 part or authorizing statutes may not have an arrest awaiting 2473 final disposition for, must not have been found guilty of, or 2474 entered a plea of nolo contendere to, regardless of 2475 adjudication, and must not have been adjudicated delinquent, and 2476 the record must not have been sealed or expunged for, any of the 2477 following offenses or any similar offense of another 2478 jurisdiction: 2479 a. Any authorizing statutes, if the offense was a felony. 2480 b. This chapter, if the offense was a felony. 2481 c. Section 409.920, relating to Medicaid provider fraud. 2482 d. Section 409.9201, relating to Medicaid fraud. 2483 e. Section 741.28, relating to domestic violence. 2484 f. Section 817.034, relating to fraudulent acts through 2485 mail, wire, radio, electromagnetic, photoelectronic, or 2486 photooptical systems. 2487 g. Section 817.234, relating to false and fraudulent 2488 insurance claims. 2489 h. Section 817.505, relating to patient brokering. 2490 i. Section 817.568, relating to criminal use of personal 2491 identification information. 2492 j. Section 817.60, relating to obtaining a credit card 2493 through fraudulent means. 2494 k. Section 817.61, relating to fraudulent use of credit 2495 cards, if the offense was a felony. 2496 l. Section 831.01, relating to forgery. 2497 m. Section 831.02, relating to uttering forged instruments. 2498 n. Section 831.07, relating to forging bank bills, checks, 2499 drafts, or promissory notes. 2500 o. Section 831.09, relating to uttering forged bank bills, 2501 checks, drafts, or promissory notes. 2502 p. Section 831.30, relating to fraud in obtaining medicinal 2503 drugs. 2504 q. Section 831.31, relating to the sale, manufacture, 2505 delivery, or possession with the intent to sell, manufacture, or 2506 deliver any counterfeit controlled substance, if the offense was 2507 a felony. 2508 (c) May not have an owner or operator who owns or operates 2509 an eligible private school that is participating in the 2510 scholarship program. 2511 (d) Shall establish and maintain separate accounts for each 2512 eligible student. For each account, the organization must 2513 maintain a record of accrued interest that is retained in the 2514 student’s account and available only for authorized program 2515 expenditures. 2516 (e) May not restrict or reserve scholarships for use at a 2517 particular private school or provide scholarships to a child of 2518 an owner or operator. 2519 (f) Must provide to the Auditor General and the Department 2520 of Education a report on the results of an annual financial 2521 audit of its accounts and records conducted by an independent 2522 certified public accountant in accordance with auditing 2523 standards generally accepted in the United States, government 2524 auditing standards, and rules promulgated by the Auditor 2525 General. The audit report must include a report on financial 2526 statements presented in accordance with generally accepted 2527 accounting principles. Audit reports must be provided to the 2528 Auditor General and the Department of Education within 180 days 2529 after completion of the eligible nonprofit scholarship-funding 2530 organization’s fiscal year. The Auditor General shall review all 2531 audit reports submitted pursuant to this paragraph. The Auditor 2532 General shall request any significant items that were omitted in 2533 violation of a rule adopted by the Auditor General. The items 2534 must be provided within 45 days after the date of the request. 2535 If the scholarship-funding organization does not comply with the 2536 Auditor General’s request, the Auditor General shall notify the 2537 Legislative Auditing Committee. 2538 (g)1.a. Must use agreed-upon procedures that uniformly 2539 apply to all private schools and determine, at a minimum, 2540 whether the private school has been verified as eligible by the 2541 Department of Education under s. 1002.421; has an adequate 2542 accounting system, system of financial controls, and process for 2543 deposit and classification of scholarship funds; and has 2544 properly expended scholarship funds for education-related 2545 expenses. 2546 b. Must participate in a joint review of the agreed-upon 2547 procedures and guidelines under sub-subparagraph a., by February 2548 of each biennium, if the scholarship-funding organization 2549 provided more than $250,000 in scholarship funds to an eligible 2550 private school under this chapter during the state fiscal year 2551 preceding the biennial review. If the procedures and guidelines 2552 are revised, the revisions must be provided to private schools 2553 and the Commissioner of Education by March 15 of the year in 2554 which the revisions were completed. The revised agreed-upon 2555 procedures take effect the subsequent school year. 2556 c. Must monitor the compliance of a private school with s. 2557 1002.421(1)(q) if the scholarship-funding organization provided 2558 the majority of the scholarship funding to the school. For each 2559 private school subject to s. 1002.421(1)(q), the appropriate 2560 scholarship-funding organization shall annually notify the 2561 Commissioner of Education by October 30 of: 2562 (I) A private school’s failure to submit a report required 2563 under s. 1002.421(1)(q); or 2564 (II) Any material exceptions set forth in the report 2565 required under s. 1002.421(1)(q). 2566 2. Must seek input from the accrediting associations that 2567 are members of the Florida Association of Academic Nonpublic 2568 Schools and the Department of Education when conducting a joint 2569 review of the procedures and guidelines under sub-subparagraph 2570 1.b. 2571 (h) Must establish a date by which the parent of a 2572 participating student must confirm continuing participation in 2573 the program. 2574 (i)(a)Shall verify the household income level of students 2575 pursuant to subparagraph (3)(a)1. and submit the verified list 2576 of students and related documentation to the department. 2577 (j)(b)Shall award initial and renewal scholarships to 2578 eligible studentsin priority orderpursuant to subsection (3) 2579 and notify parents of their receipt of a scholarshipparagraph2580(3)(d). The eligible nonprofit scholarship-funding organization 2581 shall implement the deadlines established by the department 2582pursuant to paragraphs (7)(d) and (e). 2583 (k)(c)May, from eligible contributions received pursuant2584to s. 1002.395(6)(j)1.,use an amount not to exceed 2.512585 percent of the total amount of all scholarships awarded under 2586 this section for administrative expenses associated with 2587 performing functions under this section.Such administrative2588expense amount is considered within the 3 percent limit on the2589total amount an organization may use to administer scholarships2590under this chapter.2591 (l) Must verify qualifying educational expenditures 2592 pursuant to the requirement of paragraph (8)(j) and must request 2593 the return of any funds used for unauthorized purposes. 2594 (m) Must return any remaining program funds to the 2595 department pursuant to paragraph (4)(b). 2596 (n) Must document each scholarship student’s eligibility 2597 pursuant to subsection (3) for a fiscal year before granting a 2598 scholarship for that fiscal year. A student is ineligible for a 2599 scholarship if the student’s account has been inactive for 2 2600 fiscal years and the student’s account has been closed pursuant 2601 to paragraph (4)(b). 2602 (o) Must allow a student who meets the requirements of 2603 subparagraph (3)(a)2. or a dependent child of a parent who is a 2604 member of the United States Armed Forces to apply for a 2605 scholarship at any time. 2606 (p)(d)Must, in a timely manner, submit any information 2607 requested by the department relating to the scholarship under 2608 this section. 2609 (q) Must establish a date by which the parent of a 2610 participating student must confirm continuing participation in 2611 the program. 2612 (r) Must prepare and submit quarterly reports to the 2613 department pursuant to paragraph (8)(k). 2614 (s)(e)Must notify the department about any violation of 2615 this section by a parent or a private school. 2616 (12)(11)SCHOLARSHIP FUNDING AND PAYMENT.— 2617 (a) The scholarship is established for up to 18,000 2618 students annually beginning in the 2019-2020 school year. 2619 Beginning in the 2020-2021 school year, the maximum number of 2620 student FTEstudentsparticipating in the scholarship program 2621 under this section shall annually increase by 1.0 percent of the 2622 state’s total public school student FTE student enrollment. A 2623 student who received a Florida Tax Credit Scholarship or a Hope 2624 Scholarship in the 2020-2021 school year and who meets the 2625 eligibility requirements in subsection (3) in the 2021-2022 2626 school year is eligible for a Family Empowerment Scholarship in 2627 the 2021-2022 school year. The scholarship may not be included 2628 in the maximum number of student FTE authorized to participate 2629 in the program under this paragraph. 2630 (b)The scholarship amount provided to a student for any2631single school year shall be for tuition and fees for an eligible2632private school, not to exceed annual limits, which shall be2633determined in accordance with this paragraph.The calculated 2634 scholarship amount for a student participating in the program 2635 mustto attend an eligible private schoolshallbe based upon 2636 the grade level and school district in which the student was 2637 assigned as 97.595percent of the funds per unweighted full 2638 time equivalent in the Florida Education Finance Program for a 2639 student in the basic program established pursuant to s. 2640 1011.62(1)(c)1., plus a per-full-time equivalent share of funds 2641 for all categorical programs, as provided in the General 2642 Appropriations Actexcept for the Exceptional Student Education2643Guaranteed Allocation. 2644 (c) A student who is eligible for a Family Empowerment 2645 Scholarship is eligible for a transportation award limited to 2646 $750, if the student is enrolled in a Florida public school that 2647 is different from the school to which the student was assigned 2648 pursuant to s. 1002.31 or is enrolled in a lab school as defined 2649 in s. 1002.32The amount of the Family Empowerment Scholarship2650shall be the calculated amount or the amount of the private2651school’s tuition and fees, whichever is less. The amount of any2652assessment fee required by the participating private school may2653be paid from the total amount of the scholarship. 2654 (d) At the time of each Florida Education Finance Program 2655 student membership survey, the scholarship-funding organization 2656 shall report to the Department of Education student enrollment, 2657 FTE, and total award amounts by county, delineated by FEFP 2658 program, and grade forThe school district shall reportall 2659 students who are participating inattending a private school2660underthis program.The students attending private schools on2661Family Empowerment Scholarships shall be reported separately2662from other students reportedFor the purposes of this paragraph, 2663 an FTE shall be equal to four quarterly scholarship paymentsthe2664Florida Education Finance Program. 2665 (e) Following notification on July 1, September 1, December 2666 1, andorFebruary 1 of the number of program participants, the 2667 department shall transfer, from general revenue funds only, the 2668 amount calculated pursuant to paragraph (b) to a separate 2669 account for the scholarship program for quarterly disbursement 2670 to parents of participating students.For a student exiting a2671Department of Juvenile Justice commitment program who chooses to2672participate in the scholarship program, the amount of the Family2673Empowerment Scholarship calculated pursuant to paragraph (b)2674must be transferred from the school district in which the2675student last attended a public school before commitment to the2676Department of Juvenile Justice.When a student enters the 2677 scholarship program, the department must receive all 2678 documentation required for the student’s participation, 2679 including the private school’s and the student’s fee schedules, 2680 at least 30 days before the first quarterly scholarship payment 2681 is made for the student. 2682 (f) Upon notification from the organization that an 2683 application has been approved for the program, the department 2684 shall release the student’s scholarship funds to the 2685 organization, to be deposited into the student’s accountby the2686department that it has received the documentation required under2687paragraph (e), the Chief Financial Officer shall make2688scholarship paymentsin four equal amounts no later than 2689 September 1, November 1, February 1, and April 1 of each school 2690 year in which the scholarship is in force.The initial payment2691shall be made after department verification of admission2692acceptance, and subsequent payments shall be made upon2693verification of continued enrollment and attendance at the2694private school. Paymentmust be by individual warrant made2695payable to the student’s parent and mailed by the department to2696the private school of the parent’s choice, and the parent shall2697restrictively endorse the warrant to the private school for2698deposit into the account of the private school.2699 (g) Accrued interest in the student’s account is in 2700 addition to, and not part of, the awarded funds. Program funds 2701 include both the awarded funds and accrued interestSubsequent2702to each scholarship payment, the department shall request from2703the Department of Financial Services a sample of endorsed2704warrants to review and confirm compliance with endorsement2705requirements. 2706 (h) The organization may develop a system for payment of 2707 benefits by funds transfer, including, but not limited to, debit 2708 cards, electronic payment cards, or any other means of payment 2709 that the department deems to be commercially viable or cost 2710 effective. A student’s scholarship award may not be reduced for 2711 debit card or electronic payment fees. Commodities or services 2712 related to the development of such a system must be procured by 2713 competitive solicitation unless they are purchased from a state 2714 term contract pursuant to s. 287.056. 2715 (i) Moneys received pursuant to this section do not 2716 constitute taxable income to the qualified student or parent of 2717 the qualified student. 2718 (13) OBLIGATIONS OF THE AUDITOR GENERAL.— 2719 (a) At least once every 3 years, the Auditor General shall 2720 conduct an operational audit of accounts and records of each 2721 organization that participates in the program. As part of this 2722 audit, the Auditor General shall verify, at a minimum, the total 2723 number of students served and the eligibility of reimbursements 2724 made by the organization and transmit that information to the 2725 department. The Auditor General shall provide the commissioner 2726 with a copy of each annual operational audit performed pursuant 2727 to this subsection within 10 days after the audit is finalized. 2728 (b) The Auditor General shall notify the department of any 2729 organization that fails to comply with a request for 2730 information. 2731 (14) NONPROFIT SCHOLARSHIP-FUNDING ORGANIZATIONS; 2732 APPLICATION.—In order to participate in the scholarship program 2733 created under this section, a charitable organization that seeks 2734 to be a nonprofit scholarship-funding organization shall submit 2735 an application for initial approval or renewal to the Office of 2736 Independent Education and Parental Choice no later than 2737 September 1 of each year before the school year for which the 2738 organization intends to offer scholarships. 2739 (a) An application for initial approval must include: 2740 1. A copy of the organization’s incorporation documents and 2741 registration with the Division of Corporations of the Department 2742 of State. 2743 2. A copy of the organization’s Internal Revenue Service 2744 determination letter as an s. 501(c)(3) not-for-profit 2745 organization. 2746 3. A description of the organization’s financial plan that 2747 demonstrates sufficient funds to operate throughout the school 2748 year. 2749 4. A description of the geographic region that the 2750 organization intends to serve and an analysis of the demand and 2751 unmet need for eligible students in that area. 2752 5. The organization’s organizational chart. 2753 6. A description of the criteria and methodology that the 2754 organization will use to evaluate scholarship eligibility. 2755 7. A description of the application process, including 2756 deadlines and any associated fees. 2757 8. A description of the deadlines for attendance 2758 verification and scholarship payments. 2759 9. A copy of the organization’s policies on conflict of 2760 interest and whistleblowers. 2761 10. A copy of a surety bond or letter of credit to secure 2762 the faithful performance of the obligations of the eligible 2763 nonprofit scholarship-funding organization in accordance with 2764 this section in an amount equal to 25 percent of the scholarship 2765 funds anticipated for each school year or $100,000, whichever is 2766 greater. The surety bond or letter of credit must specify that 2767 any claim against the bond or letter of credit may be made only 2768 by an eligible nonprofit scholarship-funding organization to 2769 provide scholarships to and on behalf of students who would have 2770 had scholarships funded if it were not for the diversion of 2771 funds giving rise to the claim against the bond or letter of 2772 credit. 2773 (b) In addition to the information required by 2774 subparagraphs (a)1.-10., an application for renewal must 2775 include: 2776 1. A surety bond or letter of credit to secure the faithful 2777 performance of the obligations of the eligible nonprofit 2778 scholarship-funding organization in accordance with this section 2779 equal to the amount of undisbursed donations held by the 2780 organization based on the annual report submitted pursuant to 2781 paragraph (11)(r). The amount of the surety bond or letter of 2782 credit must be at least $100,000, but not more than $25 million. 2783 The surety bond or letter of credit must specify that any claim 2784 against the bond or letter of credit may be made only by an 2785 eligible nonprofit scholarship-funding organization to provide 2786 scholarships to and on behalf of students who would have had 2787 scholarships funded if it were not for the diversion of funds 2788 giving rise to the claim against the bond or letter of credit. 2789 2. The organization’s completed Internal Revenue Service 2790 Form 990 submitted no later than November 30 of the year before 2791 the school year that the organization intends to offer the 2792 scholarships, notwithstanding the September 1 application 2793 deadline. 2794 3. A copy of the statutorily required audit to the 2795 Department of Education and Auditor General. 2796 4. An annual report that includes: 2797 a. The number of students who completed applications, by 2798 county and by grade. 2799 b. The number of students who were approved for 2800 scholarships, by county and by grade. 2801 c. The number of students who received funding for 2802 scholarships within each funding category, by county and by 2803 grade. 2804 d. The amount of funds received, the amount of funds 2805 distributed in scholarships, and an accounting of remaining 2806 funds and the obligation of those funds. 2807 e. A detailed accounting of how the organization spent the 2808 administrative funds allowable under paragraph (11)(k). 2809 (c) In consultation with the Department of Revenue and the 2810 Chief Financial Officer, the Office of Independent Education and 2811 Parental Choice shall review the application. The Department of 2812 Education shall notify the organization in writing of any 2813 deficiencies within 30 days after receipt of the application and 2814 allow the organization 30 days to correct any deficiencies. 2815 (d) Within 30 days after receipt of the finalized 2816 application by the Office of Independent Education and Parental 2817 Choice, the Commissioner of Education shall recommend approval 2818 or disapproval of the application to the State Board of 2819 Education. The State Board of Education shall consider the 2820 application and recommendation at the next scheduled meeting, 2821 adhering to appropriate meeting notice requirements. If the 2822 State Board of Education disapproves the organization’s 2823 application, it shall provide the organization with a written 2824 explanation of that determination. The State Board of 2825 Education’s action is not subject to chapter 120. 2826 (e) If the State Board of Education disapproves the renewal 2827 of a nonprofit scholarship-funding organization, the 2828 organization must notify the affected eligible students and 2829 parents of the decision within 15 days after disapproval. An 2830 eligible student affected by the disapproval of an 2831 organization’s participation remains eligible under this section 2832 until the end of the school year in which the organization was 2833 disapproved. The student must apply and be accepted by another 2834 eligible nonprofit scholarship-funding organization for the 2835 upcoming school year. The student must be given priority in 2836 accordance with paragraph (3)(d). 2837 (f) All remaining eligible student accounts with funds held 2838 by a nonprofit scholarship-funding organization that is 2839 disapproved for participation must be transferred to the 2840 student’s account established at the eligible nonprofit 2841 scholarship-funding organization accepting the student. All 2842 transferred funds must be deposited by each eligible nonprofit 2843 scholarship-funding organization receiving such funds into the 2844 student’s scholarship account. All other remaining funds must be 2845 transferred to the department. All transferred amounts received 2846 by any eligible nonprofit scholarship-funding organization must 2847 be separately disclosed in the annual financial audit required 2848 under subsection (11). 2849 (g) A nonprofit scholarship-funding organization is a 2850 renewing organization if it maintains continuous approval and 2851 participation in the program. An organization that chooses not 2852 to participate for 1 year or more or is disapproved to 2853 participate for 1 year or more must submit an application for 2854 initial approval in order to participate in the program again. 2855 (h) The State Board of Education shall adopt rules 2856 providing guidelines for receiving, reviewing, and approving 2857 applications for new and renewing nonprofit scholarship-funding 2858 organizations. The rules must include a process for compiling 2859 input and recommendations from the Chief Financial Officer, the 2860 Department of Revenue, and the Department of Education. The 2861 rules must also require that the nonprofit scholarship-funding 2862 organization make a brief presentation to assist the State Board 2863 of Education in its decision. 2864 (i) A state university or an independent college or 2865 university that is eligible to participate in the William L. 2866 Boyd, IV, Effective Access to Student Education Grant Program, 2867 is located and chartered in this state, is not for profit, and 2868 is accredited by the Commission on Colleges of the Southern 2869 Association of Colleges and Schools is exempt from the initial 2870 or renewal application process, but must file a registration 2871 notice with the Department of Education to be an eligible 2872 nonprofit scholarship-funding organization. The State Board of 2873 Education shall adopt rules that identify the procedure for 2874 filing the registration notice with the department. The rules 2875 must identify appropriate reporting requirements for fiscal, 2876 programmatic, and performance accountability purposes consistent 2877 with this section, but may not exceed the requirements for 2878 eligible nonprofit scholarship-funding organizations for 2879 charitable organizations. 2880 (15)(12)LIABILITY.—No liability shall arise on the part of 2881 the state based on the award or use of a Family Empowerment 2882 Scholarship. 2883 (16)(13)SCOPE OF AUTHORITY.—The inclusion of eligible 2884 private schools and private providers within the options 2885 available to Florida public school students does not expand the 2886 regulatory authority of the state, its officers, or any school 2887 district to impose any additional regulation of private schools 2888 beyond those reasonably necessary to enforce requirements 2889 expressly set forth in this section. 2890 (17)(14)RULES.—The State Board of Education shall adopt 2891 rules pursuant to ss. 120.536(1) and 120.54 to administer this 2892 section. The state board rules must include a requirement that 2893 the department work collaboratively with an approved 2894 scholarship-funding organization to expedite the process for the 2895 verification and reporting obligations specified under 2896 subsection (11)(10). 2897(15) IMPLEMENTATION SCHEDULE FOR THE 2019-2020 SCHOOL2898YEAR.—Notwithstanding the provisions of this section related to2899notification requirements and eligibility timelines, for the29002019-2020 school year:2901(a) A student is eligible for a Family Empowerment2902Scholarship under this section if the student’s parent has2903obtained acceptance of the student’s admission to a private2904school that is eligible for the program under subsection (8),2905and the parent has requested a scholarship from the Department2906of Education no later than August 15, 2019. The request must be2907communicated directly to the department in a manner that creates2908a written or electronic record of the request and the date of2909receipt of the request.2910(b) The department shall expedite the publication of2911information relevant to the Family Empowerment Scholarship2912Program on the department’s website, including, but not limited2913to, the eligibility criteria for students to qualify for the2914scholarship under this section and how parents may request the2915scholarship. The department must immediately notify the school2916district of the parent’s intent upon receipt of the parent’s2917request.2918(c) Upon notification by the department that it has2919received the documentation required under paragraph (10)(a), the2920Chief Financial Officer shall make the first quarter payment of2921scholarships no later than October 1, 2019.2922 2923This subsection shall expire June 30, 2020.2924 Section 20. Section 1002.395, Florida Statutes, is amended 2925 to read: 2926 1002.395 Florida K-12 Education Funding Tax Credit 2927ScholarshipProgram.— 2928 (1) FINDINGS AND PURPOSE.— 2929 (a) The Legislature finds that: 2930 1. It has the inherent power to determine subjects of 2931 taxation for general or particular public purposes. 2932 2. Expanding educational opportunities and improving the 2933 quality of educational services within the state are valid 2934 public purposes that the Legislature may promote using its 2935 sovereign power to determine subjects of taxation and exemptions 2936 from taxation. 2937 3. Ensuring that all parents, regardless of means, may 2938 exercise and enjoy their basic right to educate their children 2939 as they see fit is a valid public purpose that the Legislature 2940 may promote using its sovereign power to determine subjects of 2941 taxation and exemptions from taxation. 2942 4. Expanding educational opportunities and the healthy 2943 competition they promote are critical to improving the quality 2944 of education in the state and to ensuring that all children 2945 receive the high-quality education to which they are entitled. 2946 (b) The purpose of this section is to: 2947 1. Enable taxpayers to designate portions of certain tax 2948 payments asmake private, voluntarycontributions to K-12 2949 education fundingto nonprofit scholarship-funding organizations2950 in order to promote the general welfare. 2951 2. Provide taxpayers who wish to help parents with limited 2952 resources exercise their basic right to educate their children 2953 as they see fit with a means to do so. 2954 3. Promote the general welfare by expanding educational 2955 opportunities for children of families that have limited 2956 financial resources. 2957 4. Enable children in this state to achieve a greater level 2958 of excellence in their education. 2959 5. Improve the quality of education in this state, both by 2960 expanding educational opportunities for children and by creating 2961 incentives for schools to achieve excellence. 2962 (c) The purpose of this section is not to prescribe the 2963 standards or curriculum for private schools. A private school 2964 retains the authority to determine its own standards and 2965 curriculum. 2966 (2) DEFINITIONS.—As used in this section, the term: 2967(a) “Annual tax credit amount” means, for any state fiscal2968year, the sum of the amount of tax credits approved under2969paragraph (5)(b), including tax credits to be taken under s.2970220.1875 or s. 624.51055, which are approved for a taxpayer2971whose taxable year begins on or after January 1 of the calendar2972year preceding the start of the applicable state fiscal year.2973 (b) “Department” means the Department of Revenue. 2974(c) “Direct certification list” means the certified list of2975children who qualify for the food assistance program, the2976Temporary Assistance to Needy Families Program, or the Food2977Distribution Program on Indian Reservations provided to the2978Department of Education by the Department of Children and2979Families.2980 (d) “Division” means the Division of Alcoholic Beverages 2981 and Tobacco of the Department of Business and Professional 2982 Regulation. 2983 (e) “Eligible contribution” means the taxes, or a portion 2984 thereof, remitted by the taxpayer to the department or the 2985 division which the taxpayer elects to designate for K-12 2986 education fundinga monetary contribution from a taxpayer,2987 subject to the restrictions provided in this section, to an2988eligible nonprofit scholarship-funding organization. The2989taxpayer making the contribution may not designate a specific2990child as the beneficiary of the contribution. 2991(f) “Eligible nonprofit scholarship-funding organization”2992means a state university; or an independent college or2993university that is eligible to participate in the William L.2994Boyd, IV, Effective Access to Student Education Grant Program,2995located and chartered in this state, is not for profit, and is2996accredited by the Commission on Colleges of the Southern2997Association of Colleges and Schools; or is a charitable2998organization that:29991. Is exempt from federal income tax pursuant to s.3000501(c)(3) of the Internal Revenue Code;30012. Is a Florida entity formed under chapter 605, chapter3002607, or chapter 617 and whose principal office is located in the3003state; and30043. Complies with subsections (6) and (15).3005(g) “Eligible private school” means a private school, as3006defined in s. 1002.01(2), located in Florida which offers an3007education to students in any grades K-12 and that meets the3008requirements in subsection (8).3009(h) “Household income” has the same meaning as the term3010“income” as defined in the Income Eligibility Guidelines for3011free and reduced price meals under the National School Lunch3012Program in 7 C.F.R. part 210 as published in the Federal3013Register by the United States Department of Agriculture.3014(i) “Owner or operator” includes:30151. An owner, president, officer, or director of an eligible3016nonprofit scholarship-funding organization or a person with3017equivalent decisionmaking authority over an eligible nonprofit3018scholarship-funding organization.30192. An owner, operator, superintendent, or principal of an3020eligible private school or a person with equivalent3021decisionmaking authority over an eligible private school.3022(j) “Tax credit cap amount” means the maximum annual tax3023credit amount that the department may approve for a state fiscal3024year.3025(k) “Unweighted FTE funding amount” means the statewide3026average total funds per unweighted full-time equivalent funding3027amount that is incorporated by reference in the General3028Appropriations Act, or any subsequent special appropriations3029act, for the applicable state fiscal year.3030 (3)PROGRAM; INITIAL SCHOLARSHIP ELIGIBILITY.—3031(a) The Florida Tax Credit Scholarship Program is3032established.3033(b) A student is eligible for a Florida tax credit3034scholarship under this section if the student meets one or more3035of the following criteria:30361. The student is on the direct certification list or the3037student’s household income level does not exceed 260 percent of3038the federal poverty level; or30392. The student is currently placed, or during the previous3040state fiscal year was placed, in foster care or in out-of-home3041care as defined in s. 39.01.3042 3043Priority must be given to a student whose household income level3044does not exceed 185 percent of the federal poverty level or who3045is in foster care or out-of-home care. A student who initially3046receives a scholarship based on eligibility under this paragraph3047remains eligible to participate until he or she graduates from3048high school or attains the age of 21 years, whichever occurs3049first, regardless of the student’s household income level. A3050sibling of a student who is participating in the scholarship3051program under this subsection is eligible for a scholarship if3052the student resides in the same household as the sibling.3053(4) SCHOLARSHIP PROHIBITIONS.—A student is not eligible for3054a scholarship while he or she is:3055(a) Enrolled in a school operating for the purpose of3056providing educational services to youth in Department of3057Juvenile Justice commitment programs;3058(b) Receiving a scholarship from another eligible nonprofit3059scholarship-funding organization under this section;3060(c) Receiving an educational scholarship pursuant to3061chapter 1002;3062(d) Participating in a home education program as defined in3063s. 1002.01(1);3064(e) Participating in a private tutoring program pursuant to3065s. 1002.43;3066(f) Participating in a virtual school, correspondence3067school, or distance learning program that receives state funding3068pursuant to the student’s participation unless the participation3069is limited to no more than two courses per school year; or3070(g) Enrolled in the Florida School for the Deaf and the3071Blind.3072(5)K-12 EDUCATIONSCHOLARSHIPFUNDING TAX CREDITS; 3073 LIMITATIONS.— 3074(a)1. Thetax credit cap amount is $229 million in the30752012-2013 state fiscal year.30762. In the 2013-2014 state fiscal year and each state fiscal3077year thereafter, the tax credit cap amount is the tax credit cap3078amount in the prior state fiscal year. However, in any state3079fiscal year when the annual tax credit amount for the prior3080state fiscal year is equal to or greater than 90 percent of the3081tax credit cap amount applicable to that state fiscal year, the3082tax credit cap amount shall increase by 25 percent. The3083Department of Education and Department of Revenue shall publish3084on their websites information identifying the tax credit cap3085amount when it is increased pursuant to this subparagraph.3086 (a)(b)A taxpayer may elect to make eligible contributions 3087submit an applicationto the department or the division for a 3088 tax credit or credits under one or more of s. 211.0251, s. 3089 212.1831, s. 220.1875, s. 561.1211, or s. 624.51055. For 3090 elections related to taxes imposed under chapter 211, chapter 3091 212, or chapter 561, the taxpayer shall make the election on a 3092 return filed with the department or the division. For elections 3093 related to taxes imposed under chapter 200 or chapter 624, the 3094 taxpayer shall make the election when making the estimated 3095 payment. 3096 (b) The taxpayer shall specify the amount of the eligible 3097 contribution, which amount may not exceed: 3098 1. For elections under s. 211.0251, 50 percent of the tax 3099 due on the return on which the election is made. 3100 2. For elections under s. 212.1831, 100 percent of the tax 3101 due on the return on which the election is made. 3102 3. For elections under s. 220.1875, 25 percent of the final 3103 tax liability shown on the taxpayer’s Florida Corporate Income 3104 Tax Return for the prior taxable year. 3105 4. For elections under s. 561.1211, 90 percent of the tax 3106 due on the return on which the election is made. 3107 5. For elections under s. 624.51055, 33 percent of the tax 3108 due for the prior taxable year under s. 624.509(1) after 3109 deducting from such tax the prior year’s deductions for 3110 assessments made pursuant to s. 440.51; credits for taxes paid 3111 under ss. 175.101 and 185.08; credits for income taxes paid 3112 under chapter 220; and the credit allowed under s. 624.509(5), 3113 as such credit is limited by s. 624.509(6). 31141. The taxpayer shall specify in the application each tax3115for which the taxpayer requests a credit and the applicable3116taxable year for a credit under s. 220.1875 or s. 624.51055 or3117the applicable state fiscal year for a credit under s. 211.0251,3118s. 212.1831, or s. 561.1211. For purposes of s. 220.1875, a3119taxpayer may apply for a credit to be used for a prior taxable3120year before the date the taxpayer is required to file a return3121for that year pursuant to s. 220.222. For purposes of s.3122624.51055, a taxpayer may apply for a credit to be used for a3123prior taxable year before the date the taxpayer is required to3124file a return for that prior taxable year pursuant to ss.3125624.509 and 624.5092. The department shall approve tax credits3126on a first-come, first-served basis and must obtain the3127division’s approval before approving a tax credit under s.3128561.1211.31292. Within 10 days after approving or denying an3130application, the department shall provide a copy of its approval3131or denial letter to the eligible nonprofit scholarship-funding3132organization specified by the taxpayer in the application.3133(c) If a tax credit approved under paragraph (b) is not3134fully used within the specified state fiscal year for credits3135under s. 211.0251, s. 212.1831, or s. 561.1211 or against taxes3136due for the specified taxable year for credits under s. 220.18753137or s. 624.51055 because of insufficient tax liability on the3138part of the taxpayer, the unused amount shall be carried forward3139for a period not to exceed 10 years. For purposes of s.3140220.1875, a credit carried forward may be used in a subsequent3141year after applying the other credits and unused carryovers in3142the order provided in s. 220.02(8).3143(d) A taxpayer may not convey, assign, or transfer an3144approved tax credit or a carryforward tax credit to another3145entity unless all of the assets of the taxpayer are conveyed,3146assigned, or transferred in the same transaction. However, a tax3147credit under s. 211.0251, s. 212.1831, s. 220.1875, s. 561.1211,3148or s. 624.51055 may be conveyed, transferred, or assigned3149between members of an affiliated group of corporations if the3150type of tax credit under s. 211.0251, s. 212.1831, s. 220.1875,3151s. 561.1211, or s. 624.51055 remains the same. A taxpayer shall3152notify the department of its intent to convey, transfer, or3153assign a tax credit to another member within an affiliated group3154of corporations. The amount conveyed, transferred, or assigned3155is available to another member of the affiliated group of3156corporations upon approval by the department. The department3157shall obtain the division’s approval before approving a3158conveyance, transfer, or assignment of a tax credit under s.3159561.1211.3160(e) Within any state fiscal year, a taxpayer may rescind3161all or part of a tax credit approved under paragraph (b). The3162amount rescinded shall become available for that state fiscal3163year to another eligible taxpayer as approved by the department3164if the taxpayer receives notice from the department that the3165rescindment has been accepted by the department. The department3166must obtain the division’s approval prior to accepting the3167rescindment of a tax credit under s. 561.1211. Any amount3168rescinded under this paragraph shall become available to an3169eligible taxpayer on a first-come, first-served basis based on3170tax credit applications received after the date the rescindment3171is accepted by the department.3172(f) Within 10 days after approving or denying the3173conveyance, transfer, or assignment of a tax credit under3174paragraph (d), or the rescindment of a tax credit under3175paragraph (e), the department shall provide a copy of its3176approval or denial letter to the eligible nonprofit scholarship3177funding organization specified by the taxpayer. The department3178shall also include the eligible nonprofit scholarship-funding3179organization specified by the taxpayer on all letters or3180correspondence of acknowledgment for tax credits under s.3181212.1831.3182(g) For purposes of calculating the underpayment of3183estimated corporate income taxes pursuant to s. 220.34 and tax3184installment payments for taxes on insurance premiums or3185assessments under s. 624.5092, the final amount due is the3186amount after credits earned under s. 220.1875 or s. 624.510553187for contributions to eligible nonprofit scholarship-funding3188organizations are deducted.31891. For purposes of determining if a penalty or interest3190shall be imposed for underpayment of estimated corporate income3191tax pursuant to s. 220.34(2)(d)1., a taxpayer may, after earning3192a credit under s. 220.1875, reduce any estimated payment in that3193taxable year by the amount of the credit. This subparagraph3194applies to contributions made on or after July 1, 2014.31952. For purposes of determining if a penalty under s.3196624.5092 shall be imposed, an insurer, after earning a credit3197under s. 624.51055 for a taxable year, may reduce any3198installment payment for such taxable year of 27 percent of the3199amount of the net tax due as reported on the return for the3200preceding year under s. 624.5092(2)(b) by the amount of the3201credit. This subparagraph applies to contributions made on or3202after July 1, 2014.3203(6) OBLIGATIONS OF ELIGIBLE NONPROFIT SCHOLARSHIP-FUNDING3204ORGANIZATIONS.—An eligible nonprofit scholarship-funding3205organization:3206(a) Must comply with the antidiscrimination provisions of320742 U.S.C. s. 2000d.3208(b) Must comply with the following background check3209requirements:32101. All owners and operators as defined in subparagraph3211(2)(i)1. are, before employment or engagement to provide3212services, subject to level 2 background screening as provided3213under chapter 435. The fingerprints for the background screening3214must be electronically submitted to the Department of Law3215Enforcement and can be taken by an authorized law enforcement3216agency or by an employee of the eligible nonprofit scholarship3217funding organization or a private company who is trained to take3218fingerprints. However, the complete set of fingerprints of an3219owner or operator may not be taken by the owner or operator. The3220results of the state and national criminal history check shall3221be provided to the Department of Education for screening under3222chapter 435. The cost of the background screening may be borne3223by the eligible nonprofit scholarship-funding organization or3224the owner or operator.32252. Every 5 years following employment or engagement to3226provide services or association with an eligible nonprofit3227scholarship-funding organization, each owner or operator must3228meet level 2 screening standards as described in s. 435.04, at3229which time the nonprofit scholarship-funding organization shall3230request the Department of Law Enforcement to forward the3231fingerprints to the Federal Bureau of Investigation for level 23232screening. If the fingerprints of an owner or operator are not3233retained by the Department of Law Enforcement under subparagraph32343., the owner or operator must electronically file a complete3235set of fingerprints with the Department of Law Enforcement. Upon3236submission of fingerprints for this purpose, the eligible3237nonprofit scholarship-funding organization shall request that3238the Department of Law Enforcement forward the fingerprints to3239the Federal Bureau of Investigation for level 2 screening, and3240the fingerprints shall be retained by the Department of Law3241Enforcement under subparagraph 3.32423. Fingerprints submitted to the Department of Law3243Enforcement as required by this paragraph must be retained by3244the Department of Law Enforcement in a manner approved by rule3245and entered in the statewide automated biometric identification3246system authorized by s. 943.05(2)(b). The fingerprints must3247thereafter be available for all purposes and uses authorized for3248arrest fingerprints entered in the statewide automated biometric3249identification system pursuant to s. 943.051.32504. The Department of Law Enforcement shall search all3251arrest fingerprints received under s. 943.051 against the3252fingerprints retained in the statewide automated biometric3253identification system under subparagraph 3. Any arrest record3254that is identified with an owner’s or operator’s fingerprints3255must be reported to the Department of Education. The Department3256of Education shall participate in this search process by paying3257an annual fee to the Department of Law Enforcement and by3258informing the Department of Law Enforcement of any change in the3259employment, engagement, or association status of the owners or3260operators whose fingerprints are retained under subparagraph 3.3261The Department of Law Enforcement shall adopt a rule setting the3262amount of the annual fee to be imposed upon the Department of3263Education for performing these services and establishing the3264procedures for the retention of owner and operator fingerprints3265and the dissemination of search results. The fee may be borne by3266the owner or operator of the nonprofit scholarship-funding3267organization.32685. A nonprofit scholarship-funding organization whose owner3269or operator fails the level 2 background screening is not3270eligible to provide scholarships under this section.32716. A nonprofit scholarship-funding organization whose owner3272or operator in the last 7 years has filed for personal3273bankruptcy or corporate bankruptcy in a corporation of which he3274or she owned more than 20 percent shall not be eligible to3275provide scholarships under this section.32767. In addition to the offenses listed in s. 435.04, a3277person required to undergo background screening pursuant to this3278part or authorizing statutes must not have an arrest awaiting3279final disposition for, must not have been found guilty of, or3280entered a plea of nolo contendere to, regardless of3281adjudication, and must not have been adjudicated delinquent, and3282the record must not have been sealed or expunged for, any of the3283following offenses or any similar offense of another3284jurisdiction:3285a. Any authorizing statutes, if the offense was a felony.3286b. This chapter, if the offense was a felony.3287c. Section 409.920, relating to Medicaid provider fraud.3288d. Section 409.9201, relating to Medicaid fraud.3289e. Section 741.28, relating to domestic violence.3290f. Section 817.034, relating to fraudulent acts through3291mail, wire, radio, electromagnetic, photoelectronic, or3292photooptical systems.3293g. Section 817.234, relating to false and fraudulent3294insurance claims.3295h. Section 817.505, relating to patient brokering.3296i. Section 817.568, relating to criminal use of personal3297identification information.3298j. Section 817.60, relating to obtaining a credit card3299through fraudulent means.3300k. Section 817.61, relating to fraudulent use of credit3301cards, if the offense was a felony.3302l. Section 831.01, relating to forgery.3303m. Section 831.02, relating to uttering forged instruments.3304n. Section 831.07, relating to forging bank bills, checks,3305drafts, or promissory notes.3306o. Section 831.09, relating to uttering forged bank bills,3307checks, drafts, or promissory notes.3308p. Section 831.30, relating to fraud in obtaining medicinal3309drugs.3310q. Section 831.31, relating to the sale, manufacture,3311delivery, or possession with the intent to sell, manufacture, or3312deliver any counterfeit controlled substance, if the offense was3313a felony.3314(c) Must not have an owner or operator who owns or operates3315an eligible private school that is participating in the3316scholarship program.3317(d) Must provide scholarships, from eligible contributions,3318to eligible students for the cost of:33191. Tuition and fees for an eligible private school; or33202. Transportation to a Florida public school in which a3321student is enrolled and that is different from the school to3322which the student was assigned or to a lab school as defined in3323s. 1002.32.3324(e) Must give first priority to eligible renewal students3325who received a scholarship from an eligible nonprofit3326scholarship-funding organization or from the State of Florida3327during the previous school year. The eligible nonprofit3328scholarship-funding organization must fully apply and exhaust3329all funds available under this section and s. 1002.40(11)(i) for3330renewal scholarship awards before awarding any initial3331scholarships.3332(f) Must provide a renewal or initial scholarship to an3333eligible student on a first-come, first-served basis unless the3334student qualifies for priority pursuant to paragraph (e). Each3335eligible nonprofit scholarship-funding organization must refer3336any student eligible for a scholarship pursuant to this section3337who did not receive a renewal or initial scholarship based3338solely on the lack of available funds under this section and s.33391002.40(11)(i) to another eligible nonprofit scholarship-funding3340organization that may have funds available.3341(g) May not restrict or reserve scholarships for use at a3342particular private school or provide scholarships to a child of3343an owner or operator.3344(h) Must allow a student in foster care or out-of-home care3345or a dependent child of a parent who is a member of the United3346States Armed Forces to apply for a scholarship at any time.3347(i) Must allow an eligible student to attend any eligible3348private school and must allow a parent to transfer a scholarship3349during a school year to any other eligible private school of the3350parent’s choice.3351(j)1. May use eligible contributions received pursuant to3352this section and ss. 212.099, 212.1832, and 1002.40 during the3353state fiscal year in which such contributions are collected for3354administrative expenses if the organization has operated as an3355eligible nonprofit scholarship-funding organization for at least3356the preceding 3 fiscal years and did not have any findings of3357material weakness or material noncompliance in its most recent3358audit under paragraph (m). Administrative expenses from eligible3359contributions may not exceed 3 percent of the total amount of3360all scholarships awarded by an eligible scholarship-funding3361organization under this chapter. Such administrative expenses3362must be reasonable and necessary for the organization’s3363management and distribution of scholarships awarded under this3364chapter. No funds authorized under this subparagraph shall be3365used for lobbying or political activity or expenses related to3366lobbying or political activity. Up to one-third of the funds3367authorized for administrative expenses under this subparagraph3368may be used for expenses related to the recruitment of3369contributions from taxpayers. An eligible nonprofit scholarship3370funding organization may not charge an application fee.33712. Must expend for annual or partial-year scholarships an3372amount equal to or greater than 75 percent of the net eligible3373contributions remaining after administrative expenses during the3374state fiscal year in which such contributions are collected. No3375more than 25 percent of such net eligible contributions may be3376carried forward to the following state fiscal year. All amounts3377carried forward, for audit purposes, must be specifically3378identified for particular students, by student name and the name3379of the school to which the student is admitted, subject to the3380requirements of ss. 1002.22 and 1002.221 and 20 U.S.C. s. 1232g,3381and the applicable rules and regulations issued pursuant3382thereto. Any amounts carried forward shall be expended for3383annual or partial-year scholarships in the following state3384fiscal year. No later than September 30 of each year, net3385eligible contributions remaining on June 30 of each year that3386are in excess of the 25 percent that may be carried forward3387shall be used to provide scholarships to eligible students or3388transferred to other eligible nonprofit scholarship-funding3389organizations to provide scholarships for eligible students. All3390transferred funds must be deposited by each eligible nonprofit3391scholarship-funding organization receiving such funds into its3392scholarship account. All transferred amounts received by any3393eligible nonprofit scholarship-funding organization must be3394separately disclosed in the annual financial audit required3395under paragraph (m).33963. Must, before granting a scholarship for an academic3397year, document each scholarship student’s eligibility for that3398academic year. A scholarship-funding organization may not grant3399multiyear scholarships in one approval process.3400(k) Must maintain separate accounts for scholarship funds3401and operating funds.3402(l) With the prior approval of the Department of Education,3403may transfer funds to another eligible nonprofit scholarship3404funding organization if additional funds are required to meet3405scholarship demand at the receiving nonprofit scholarship3406funding organization. A transfer is limited to the greater of3407$500,000 or 20 percent of the total contributions received by3408the nonprofit scholarship-funding organization making the3409transfer. All transferred funds must be deposited by the3410receiving nonprofit scholarship-funding organization into its3411scholarship accounts. All transferred amounts received by any3412nonprofit scholarship-funding organization must be separately3413disclosed in the annual financial and compliance audit required3414in this section.3415(m) Must provide to the Auditor General and the Department3416of Education a report on the results of an annual financial3417audit of its accounts and records conducted by an independent3418certified public accountant in accordance with auditing3419standards generally accepted in the United States, government3420auditing standards, and rules promulgated by the Auditor3421General. The audit report must include a report on financial3422statements presented in accordance with generally accepted3423accounting principles. Audit reports must be provided to the3424Auditor General and the Department of Education within 180 days3425after completion of the eligible nonprofit scholarship-funding3426organization’s fiscal year. The Auditor General shall review all3427audit reports submitted pursuant to this paragraph. The Auditor3428General shall request any significant items that were omitted in3429violation of a rule adopted by the Auditor General. The items3430must be provided within 45 days after the date of the request.3431If the scholarship-funding organization does not comply with the3432Auditor General’s request, the Auditor General shall notify the3433Legislative Auditing Committee.3434(n) Must prepare and submit quarterly reports to the3435Department of Education pursuant to paragraph (9)(i). In3436addition, an eligible nonprofit scholarship-funding organization3437must submit in a timely manner any information requested by the3438Department of Education relating to the scholarship program.3439(o)1.a. Must participate in the joint development of3440agreed-upon procedures during the 2009-2010 state fiscal year.3441The agreed-upon procedures must uniformly apply to all private3442schools and must determine, at a minimum, whether the private3443school has been verified as eligible by the Department of3444Education under s. 1002.421; has an adequate accounting system,3445system of financial controls, and process for deposit and3446classification of scholarship funds; and has properly expended3447scholarship funds for education-related expenses. During the3448development of the procedures, the participating scholarship3449funding organizations shall specify guidelines governing the3450materiality of exceptions that may be found during the3451accountant’s performance of the procedures. The procedures and3452guidelines shall be provided to private schools and the3453Commissioner of Education by March 15, 2011.3454b. Must participate in a joint review of the agreed-upon3455procedures and guidelines developed under sub-subparagraph a.,3456by February of each biennium, if the scholarship-funding3457organization provided more than $250,000 in scholarship funds to3458an eligible private school under this chapter during the state3459fiscal year preceding the biennial review. If the procedures and3460guidelines are revised, the revisions must be provided to3461private schools and the Commissioner of Education by March 15 of3462the year in which the revisions were completed. The revised3463agreed-upon procedures shall take effect the subsequent school3464year. For the 2018-2019 school year only, the joint review of3465the agreed-upon procedures must be completed and the revisions3466submitted to the commissioner no later than September 15, 2018.3467The revised procedures are applicable to the 2018-2019 school3468year.3469c. Must monitor the compliance of a private school with s.34701002.421(1)(q) if the scholarship-funding organization provided3471the majority of the scholarship funding to the school. For each3472private school subject to s. 1002.421(1)(q), the appropriate3473scholarship-funding organization shall annually notify the3474Commissioner of Education by October 30 of:3475(I) A private school’s failure to submit a report required3476under s. 1002.421(1)(q); or3477(II) Any material exceptions set forth in the report3478required under s. 1002.421(1)(q).34792. Must seek input from the accrediting associations that3480are members of the Florida Association of Academic Nonpublic3481Schools and the Department of Education when jointly developing3482the agreed-upon procedures and guidelines under sub-subparagraph34831.a. and conducting a review of those procedures and guidelines3484under sub-subparagraph 1.b.3485(p) Must maintain the surety bond or letter of credit3486required by subsection (15). The amount of the surety bond or3487letter of credit may be adjusted quarterly to equal the actual3488amount of undisbursed funds based upon submission by the3489organization of a statement from a certified public accountant3490verifying the amount of undisbursed funds. The requirements of3491this paragraph are waived if the cost of acquiring a surety bond3492or letter of credit exceeds the average 10-year cost of3493acquiring a surety bond or letter of credit by 200 percent. The3494requirements of this paragraph are waived for a state3495university; or an independent college or university which is3496eligible to participate in the William L. Boyd, IV, Effective3497Access to Student Education Grant Program, located and chartered3498in this state, is not for profit, and is accredited by the3499Commission on Colleges of the Southern Association of Colleges3500and Schools.3501(q) Must provide to the Auditor General any information or3502documentation requested in connection with an operational audit3503of a scholarship funding organization conducted pursuant to s.350411.45.3505 3506Information and documentation provided to the Department of3507Education and the Auditor General relating to the identity of a3508taxpayer that provides an eligible contribution under this3509section shall remain confidential at all times in accordance3510with s. 213.053.3511(7) PARENT AND STUDENT RESPONSIBILITIES FOR PROGRAM3512PARTICIPATION.—3513(a) The parent must select an eligible private school and3514apply for the admission of his or her child.3515(b) The parent must inform the child’s school district when3516the parent withdraws his or her child to attend an eligible3517private school.3518(c) Any student participating in the scholarship program3519must remain in attendance throughout the school year unless3520excused by the school for illness or other good cause.3521(d) Each parent and each student has an obligation to the3522private school to comply with the private school’s published3523policies.3524(e) The parent shall ensure that the student participating3525in the scholarship program takes the norm-referenced assessment3526offered by the private school. The parent may also choose to3527have the student participate in the statewide assessments3528pursuant to s. 1008.22. If the parent requests that the student3529participating in the scholarship program take statewide3530assessments pursuant to s. 1008.22 and the private school has3531not chosen to offer and administer the statewide assessments,3532the parent is responsible for transporting the student to the3533assessment site designated by the school district.3534(f) Upon receipt of a scholarship warrant from the eligible3535nonprofit scholarship-funding organization, the parent to whom3536the warrant is made must restrictively endorse the warrant to3537the private school for deposit into the account of the private3538school. If payments are made by funds transfer, the parent must3539approve each payment before the scholarship funds may be3540deposited. The parent may not designate any entity or individual3541associated with the participating private school as the parent’s3542attorney in fact to endorse a scholarship warrant or approve a3543funds transfer. A participant who fails to comply with this3544paragraph forfeits the scholarship.3545(g) The parent shall authorize the nonprofit scholarship3546funding organization to access information needed for income3547eligibility determination and verification held by other state3548or federal agencies, including the Department of Revenue, the3549Department of Children and Families, the Department of3550Education, the Department of Economic Opportunity, and the3551Agency for Health Care Administration.3552(8) PRIVATE SCHOOL ELIGIBILITY AND OBLIGATIONS.—An eligible3553private school may be sectarian or nonsectarian and must:3554(a) Comply with all requirements for private schools3555participating in state school choice scholarship programs3556pursuant to s. 1002.421.3557(b)1. Annually administer or make provision for students3558participating in the scholarship program in grades 3 through 103559to take one of the nationally norm-referenced tests identified3560by the Department of Education or the statewide assessments3561pursuant to s. 1008.22. Students with disabilities for whom3562standardized testing is not appropriate are exempt from this3563requirement. A participating private school must report a3564student’s scores to the parent. A participating private school3565must annually report by August 15 the scores of all3566participating students to a state university described in3567paragraph (9)(f).35682. Administer the statewide assessments pursuant to s.35691008.22 if a private school chooses to offer the statewide3570assessments. A participating private school may choose to offer3571and administer the statewide assessments to all students who3572attend the private school in grades 3 through 10 and must submit3573a request in writing to the Department of Education by March 13574of each year in order to administer the statewide assessments in3575the subsequent school year.3576 3577If a private school fails to meet the requirements of this3578subsection or s. 1002.421, the commissioner may determine that3579the private school is ineligible to participate in the3580scholarship program.3581(9) DEPARTMENT OF EDUCATION OBLIGATIONS.—The Department of3582Education shall:3583(a) Annually submit to the department and division, by3584March 15, a list of eligible nonprofit scholarship-funding3585organizations that meet the requirements of paragraph (2)(f).3586(b) Annually verify the eligibility of nonprofit3587scholarship-funding organizations that meet the requirements of3588paragraph (2)(f).3589(c) Annually verify the eligibility of expenditures as3590provided in paragraph (6)(d) using the audit required by3591paragraph (6)(m) and s. 11.45(2)(l).3592(d) Cross-check the list of participating scholarship3593students with the public school enrollment lists to avoid3594duplication.3595(e) Maintain a list of nationally norm-referenced tests3596identified for purposes of satisfying the testing requirement in3597subparagraph (8)(b)1. The tests must meet industry standards of3598quality in accordance with State Board of Education rule.3599(f) Issue a project grant award to a state university, to3600which participating private schools must report the scores of3601participating students on the nationally norm-referenced tests3602or the statewide assessments administered by the private school3603in grades 3 through 10. The project term is 2 years, and the3604amount of the project is up to $250,000 per year. The project3605grant award must be reissued in 2-year intervals in accordance3606with this paragraph.36071. The state university must annually report to the3608Department of Education on the student performance of3609participating students:3610a. On a statewide basis. The report shall also include, to3611the extent possible, a comparison of scholarship students’3612performance to the statewide student performance of public3613school students with socioeconomic backgrounds similar to those3614of students participating in the scholarship program. To3615minimize costs and reduce time required for the state3616university’s analysis and evaluation, the Department of3617Education shall coordinate with the state university to provide3618data to the state university in order to conduct analyses of3619matched students from public school assessment data and3620calculate control group student performance using an agreed-upon3621methodology with the state university; and3622b. On an individual school basis. The annual report must3623include student performance for each participating private3624school in which at least 51 percent of the total enrolled3625students in the private school participated in the Florida Tax3626Credit Scholarship Program in the prior school year. The report3627shall be according to each participating private school, and for3628participating students, in which there are at least 303629participating students who have scores for tests administered.3630If the state university determines that the 30-participating3631student cell size may be reduced without disclosing personally3632identifiable information, as described in 34 C.F.R. s. 99.12, of3633a participating student, the state university may reduce the3634participating-student cell size, but the cell size must not be3635reduced to less than 10 participating students. The department3636shall provide each private school’s prior school year’s student3637enrollment information to the state university no later than3638June 15 of each year, or as requested by the state university.36392. The sharing and reporting of student performance data3640under this paragraph must be in accordance with requirements of3641ss. 1002.22 and 1002.221 and 20 U.S.C. s. 1232g, the Family3642Educational Rights and Privacy Act, and the applicable rules and3643regulations issued pursuant thereto, and shall be for the sole3644purpose of creating the annual report required by subparagraph36451. All parties must preserve the confidentiality of such3646information as required by law. The annual report must not3647disaggregate data to a level that will identify individual3648participating schools, except as required under sub-subparagraph36491.b., or disclose the academic level of individual students.36503. The annual report required by subparagraph 1. shall be3651published by the Department of Education on its website.3652(g) Notify an eligible nonprofit scholarship-funding3653organization of any of the organization’s identified students3654who are receiving educational scholarships pursuant to chapter36551002.3656(h) Notify an eligible nonprofit scholarship-funding3657organization of any of the organization’s identified students3658who are receiving tax credit scholarships from other eligible3659nonprofit scholarship-funding organizations.3660(i) Require quarterly reports by an eligible nonprofit3661scholarship-funding organization regarding the number of3662students participating in the scholarship program, the private3663schools at which the students are enrolled, and other3664information deemed necessary by the Department of Education.3665(j) Provide a process to match the direct certification3666list with the scholarship application data submitted by any3667nonprofit scholarship-funding organization eligible to receive3668the 3-percent administrative allowance under paragraph (6)(j).3669(10) SCHOOL DISTRICT OBLIGATIONS; PARENTAL OPTIONS.—3670(a) Upon the request of any eligible nonprofit scholarship3671funding organization, a school district shall inform all3672households within the district receiving free or reduced-priced3673meals under the National School Lunch Act of their eligibility3674to apply for a tax credit scholarship. The form of such notice3675shall be provided by the eligible nonprofit scholarship-funding3676organization, and the district shall include the provided form,3677if requested by the organization, in any normal correspondence3678with eligible households. If an eligible nonprofit scholarship3679funding organization requests a special communication to be3680issued to households within the district receiving free or3681reduced-price meals under the National School Lunch Act, the3682organization shall reimburse the district for the cost of3683postage. Such notice is limited to once a year.3684(b) Upon the request of the Department of Education, a3685school district shall coordinate with the department to provide3686to a participating private school the statewide assessments3687administered under s. 1008.22 and any related materials for3688administering the assessments. A school district is responsible3689for implementing test administrations at a participating private3690school, including the:36911. Provision of training for private school staff on test3692security and assessment administration procedures;36932. Distribution of testing materials to a private school;36943. Retrieval of testing materials from a private school;36954. Provision of the required format for a private school to3696submit information to the district for test administration and3697enrollment purposes; and36985. Provision of any required assistance, monitoring, or3699investigation at a private school.3700(11) SCHOLARSHIP AMOUNT AND PAYMENT.—3701(a) The scholarship amount provided to any student for any3702single school year by an eligible nonprofit scholarship-funding3703organization from eligible contributions shall be for total3704costs authorized under paragraph (6)(d), not to exceed annual3705limits, which shall be determined as follows:37061. For a student who received a scholarship in the 201837072019 school year, who remains eligible, and who is enrolled in3708an eligible private school, the amount shall be the greater3709amount calculated pursuant to subparagraph 2. or a percentage of3710the unweighted FTE funding amount for the 2018-2019 state fiscal3711year and thereafter as follows:3712a. Eighty-eight percent for a student enrolled in3713kindergarten through grade 5.3714b. Ninety-two percent for a student enrolled in grade 63715through grade 8.3716c. Ninety-six percent for a student enrolled in grade 93717through grade 12.37182. For students initially eligible in the 2019-2020 school3719year or thereafter, the calculated amount for a student to3720attend an eligible private school shall be based upon the grade3721level and school district in which the student resides as 953722percent of the funds per unweighted full-time equivalent in the3723Florida Education Finance Program for a student in the basic3724program established pursuant to s. 1011.62(1)(c)1., plus a per3725full-time equivalent share of funds for all categorical3726programs, except for the Exceptional Student Education3727Guaranteed Allocation.37283. The scholarship amount awarded to a student enrolled in3729a Florida public school in which a student is enrolled and that3730is different from the school to which the student was assigned3731or in a lab school as defined in s. 1002.32, is limited to $750.3732(b) Payment of the scholarship by the eligible nonprofit3733scholarship-funding organization shall be by individual warrant3734made payable to the student’s parent or by funds transfer,3735including, but not limited to, debit cards, electronic payment3736cards, or any other means of payment that the department deems3737to be commercially viable or cost-effective. If the payment is3738made by warrant, the warrant must be delivered by the eligible3739nonprofit scholarship-funding organization to the private school3740of the parent’s choice, and the parent shall restrictively3741endorse the warrant to the private school. An eligible nonprofit3742scholarship-funding organization shall ensure that the parent to3743whom the warrant is made restrictively endorsed the warrant to3744the private school for deposit into the account of the private3745school or that the parent has approved a funds transfer before3746any scholarship funds are deposited.3747(c) An eligible nonprofit scholarship-funding organization3748shall obtain verification from the private school of a student’s3749continued attendance at the school for each period covered by a3750scholarship payment.3751(d) Payment of the scholarship shall be made by the3752eligible nonprofit scholarship-funding organization no less3753frequently than on a quarterly basis.3754(12) ADMINISTRATION; RULES.—3755(a) The department, the division, and the Department of3756Education shall develop a cooperative agreement to assist in the3757administration of this section.3758(b) The department shall adopt rules necessary to3759administer this section and ss. 211.0251, 212.1831, 220.1875,3760561.1211, and 624.51055, including rules establishing3761application forms, procedures governing the approval of tax3762credits and carryforward tax credits under subsection (5), and3763procedures to be followed by taxpayers when claiming approved3764tax credits on their returns.3765(c) The division shall adopt rules necessary to administer3766its responsibilities under this section and s. 561.1211.3767(d) The State Board of Education shall adopt rules to3768administer the responsibilities of the Department of Education3769and the Commissioner of Education under this section.3770 (4)(13)DEPOSITS OF ELIGIBLE CONTRIBUTIONS.—All eligible 3771 contributions received by the department and the division must 3772by an eligible nonprofit scholarship-funding organization shall3773 be deposited into a designated student fund and used for K-12 3774 education fundingin a manner consistent with s. 17.57(2). 3775(14) PRESERVATION OF CREDIT.—If any provision or portion of3776this section, s. 211.0251, s. 212.1831, s. 220.1875, s.3777561.1211, or s. 624.51055 or the application thereof to any3778person or circumstance is held unconstitutional by any court or3779is otherwise declared invalid, the unconstitutionality or3780invalidity shall not affect any credit earned under s. 211.0251,3781s. 212.1831, s. 220.1875, s. 561.1211, or s. 624.51055 by any3782taxpayer with respect to any contribution paid to an eligible3783nonprofit scholarship-funding organization before the date of a3784determination of unconstitutionality or invalidity. Such credit3785shall be allowed at such time and in such a manner as if a3786determination of unconstitutionality or invalidity had not been3787made, provided that nothing in this subsection by itself or in3788combination with any other provision of law shall result in the3789allowance of any credit to any taxpayer in excess of one dollar3790of credit for each dollar paid to an eligible nonprofit3791scholarship-funding organization.3792(15) NONPROFIT SCHOLARSHIP-FUNDING ORGANIZATIONS;3793APPLICATION.—In order to participate in the scholarship program3794created under this section, a charitable organization that seeks3795to be a nonprofit scholarship-funding organization must submit3796an application for initial approval or renewal to the Office of3797Independent Education and Parental Choice no later than3798September 1 of each year before the school year for which the3799organization intends to offer scholarships.3800(a) An application for initial approval must include:38011. A copy of the organization’s incorporation documents and3802registration with the Division of Corporations of the Department3803of State.38042. A copy of the organization’s Internal Revenue Service3805determination letter as a s. 501(c)(3) not-for-profit3806organization.38073. A description of the organization’s financial plan that3808demonstrates sufficient funds to operate throughout the school3809year.38104. A description of the geographic region that the3811organization intends to serve and an analysis of the demand and3812unmet need for eligible students in that area.38135. The organization’s organizational chart.38146. A description of the criteria and methodology that the3815organization will use to evaluate scholarship eligibility.38167. A description of the application process, including3817deadlines and any associated fees.38188. A description of the deadlines for attendance3819verification and scholarship payments.38209. A copy of the organization’s policies on conflict of3821interest and whistleblowers.382210. A copy of a surety bond or letter of credit to secure3823the faithful performance of the obligations of the eligible3824nonprofit scholarship-funding organization in accordance with3825this section in an amount equal to 25 percent of the scholarship3826funds anticipated for each school year or $100,000, whichever is3827greater. The surety bond or letter of credit must specify that3828any claim against the bond or letter of credit may be made only3829by an eligible nonprofit scholarship-funding organization to3830provide scholarships to and on behalf of students who would have3831had scholarships funded if it were not for the diversion of3832funds giving rise to the claim against the bond or letter of3833credit.3834(b) In addition to the information required by3835subparagraphs (a)1.-9., an application for renewal must include:38361. A surety bond or letter of credit to secure the faithful3837performance of the obligations of the eligible nonprofit3838scholarship-funding organization in accordance with this section3839equal to the amount of undisbursed donations held by the3840organization based on the annual report submitted pursuant to3841paragraph (6)(m). The amount of the surety bond or letter of3842credit must be at least $100,000, but not more than $25 million.3843The surety bond or letter of credit must specify that any claim3844against the bond or letter of credit may be made only by an3845eligible nonprofit scholarship-funding organization to provide3846scholarships to and on behalf of students who would have had3847scholarships funded if it were not for the diversion of funds3848giving rise to the claim against the bond or letter of credit.38492. The organization’s completed Internal Revenue Service3850Form 990 submitted no later than November 30 of the year before3851the school year that the organization intends to offer the3852scholarships, notwithstanding the September 1 application3853deadline.38543. A copy of the statutorily required audit to the3855Department of Education and Auditor General.38564. An annual report that includes:3857a. The number of students who completed applications, by3858county and by grade.3859b. The number of students who were approved for3860scholarships, by county and by grade.3861c. The number of students who received funding for3862scholarships within each funding category, by county and by3863grade.3864d. The amount of funds received, the amount of funds3865distributed in scholarships, and an accounting of remaining3866funds and the obligation of those funds.3867e. A detailed accounting of how the organization spent the3868administrative funds allowable under paragraph (6)(j).3869(c) In consultation with the Department of Revenue and the3870Chief Financial Officer, the Office of Independent Education and3871Parental Choice shall review the application. The Department of3872Education shall notify the organization in writing of any3873deficiencies within 30 days after receipt of the application and3874allow the organization 30 days to correct any deficiencies.3875(d) Within 30 days after receipt of the finalized3876application by the Office of Independent Education and Parental3877Choice, the Commissioner of Education shall recommend approval3878or disapproval of the application to the State Board of3879Education. The State Board of Education shall consider the3880application and recommendation at the next scheduled meeting,3881adhering to appropriate meeting notice requirements. If the3882State Board of Education disapproves the organization’s3883application, it shall provide the organization with a written3884explanation of that determination. The State Board of3885Education’s action is not subject to chapter 120.3886(e) If the State Board of Education disapproves the renewal3887of a nonprofit scholarship-funding organization, the3888organization must notify the affected eligible students and3889parents of the decision within 15 days after disapproval. An3890eligible student affected by the disapproval of an3891organization’s participation remains eligible under this section3892until the end of the school year in which the organization was3893disapproved. The student must apply and be accepted by another3894eligible nonprofit scholarship-funding organization for the3895upcoming school year. The student shall be given priority in3896accordance with paragraph (6)(f).3897(f) All remaining funds held by a nonprofit scholarship3898funding organization that is disapproved for participation must3899be transferred to other eligible nonprofit scholarship-funding3900organizations to provide scholarships for eligible students. All3901transferred funds must be deposited by each eligible nonprofit3902scholarship-funding organization receiving such funds into its3903scholarship account. All transferred amounts received by any3904eligible nonprofit scholarship-funding organization must be3905separately disclosed in the annual financial audit required3906under subsection (6).3907(g) A nonprofit scholarship-funding organization is a3908renewing organization if it maintains continuous approval and3909participation in the program. An organization that chooses not3910to participate for 1 year or more or is disapproved to3911participate for 1 year or more must submit an application for3912initial approval in order to participate in the program again.3913(h) The State Board of Education shall adopt rules3914providing guidelines for receiving, reviewing, and approving3915applications for new and renewing nonprofit scholarship-funding3916organizations. The rules must include a process for compiling3917input and recommendations from the Chief Financial Officer, the3918Department of Revenue, and the Department of Education. The3919rules must also require that the nonprofit scholarship-funding3920organization make a brief presentation to assist the State Board3921of Education in its decision.3922(i) A state university; or an independent college or3923university which is eligible to participate in the William L.3924Boyd, IV, Effective Access to Student Education Grant Program,3925located and chartered in this state, is not for profit, and is3926accredited by the Commission on Colleges of the Southern3927Association of Colleges and Schools, is exempt from the initial3928or renewal application process, but must file a registration3929notice with the Department of Education to be an eligible3930nonprofit scholarship-funding organization. The State Board of3931Education shall adopt rules that identify the procedure for3932filing the registration notice with the department. The rules3933must identify appropriate reporting requirements for fiscal,3934programmatic, and performance accountability purposes consistent3935with this section, but shall not exceed the requirements for3936eligible nonprofit scholarship-funding organizations for3937charitable organizations.3938 Section 21. Section 1002.40, Florida Statutes, is amended 3939 to read: 3940 1002.40The Hope ScholarshipFlorida K-12 Education Funding 3941 Tax Credit Program.— 3942 (1)PURPOSE.—The Hope Scholarship Program is established to3943provide the parent of a public school student who was subjected3944to an incident listed in subsection (3) an opportunity to3945transfer the student to another public school or to request a3946scholarship for the student to enroll in and attend an eligible3947private school.3948(2)DEFINITIONS.—As used in this section, the term: 3949 (a) “Dealer” has the same meaning as provided in s. 212.06. 3950 (b)“Department” means the Department of Education.3951(c)“Designated agent” has the same meaning as provided in 3952 s. 212.06(10). 3953 (c)(d)“Eligible contribution” or “contribution” means the 3954 amount of tax paid bya monetary contribution froma person 3955 purchasing a motor vehicle, subject to the restrictions provided 3956 in this section, and designated by the purchaser to be used for 3957 K-12 education fundingan eligible nonprofit scholarship-funding3958organization.The person making the contribution may not3959designate a specific student as the beneficiary of the3960contribution.3961(e) “Eligible nonprofit scholarship-funding organization”3962or “organization” has the same meaning as provided in s.39631002.395(2)(f).3964(f) “Eligible private school” has the same meaning as3965provided in s. 1002.395(2)(g).3966 (d)(g)“Motor vehicle” has the same meaning as provided in 3967 s. 320.01(1)(a), but does not include a heavy truck, truck 3968 tractor, trailer, or motorcycle. 3969(h) “Parent” means a resident of this state who is a3970parent, as defined in s. 1000.21, and whose student reported an3971incident in accordance with subsection (6).3972(i) “Program” means the Hope Scholarship Program.3973(j) “School” means any educational program or activity3974conducted by a public K-12 educational institution, any school3975related or school-sponsored program or activity, and riding on a3976school bus, as defined in s. 1006.25(1), including waiting at a3977school bus stop.3978(k) “Unweighted FTE funding amount” means the statewide3979average total funds per unweighted full-time equivalent funding3980amount that is incorporated by reference in the General3981Appropriations Act, or by a subsequent special appropriations3982act, for the applicable state fiscal year.3983(3) PROGRAM ELIGIBILITY.—Beginning with the 2018-20193984school year, contingent upon available funds, and on a first3985come, first-served basis, a student enrolled in a Florida public3986school in kindergarten through grade 12 is eligible for a3987scholarship under this program if the student reported an3988incident in accordance with subsection (6). For purposes of this3989section, the term “incident” means battery; harassment; hazing;3990bullying; kidnapping; physical attack; robbery; sexual offenses,3991harassment, assault, or battery; threat or intimidation; or3992fighting at school, as defined by the department in accordance3993with s. 1006.09(6).3994(4) PROGRAM PROHIBITIONS.—Payment of a scholarship to a3995student enrolled in a private school may not be made if a3996student is:3997(a) Enrolled in a public school, including, but not limited3998to, the Florida School for the Deaf and the Blind; the College3999Preparatory Boarding Academy; a developmental research school4000authorized under s. 1002.32; or a charter school authorized4001under s. 1002.33, s. 1002.331, or s. 1002.332;4002(b) Enrolled in a school operating for the purpose of4003providing educational services to youth in the Department of4004Juvenile Justice commitment programs;4005(c) Participating in a virtual school, correspondence4006school, or distance learning program that receives state funding4007pursuant to the student’s participation unless the participation4008is limited to no more than two courses per school year; or4009(d) Receiving any other educational scholarship pursuant to4010this chapter.4011(5) TERM OF HOPE SCHOLARSHIP.—For purposes of continuity of4012educational choice, a Hope scholarship shall remain in force4013until the student returns to public school or graduates from4014high school, whichever occurs first. A scholarship student who4015enrolls in a public school or public school program is4016considered to have returned to a public school for the purpose4017of determining the end of the scholarship’s term.4018(6) SCHOOL DISTRICT OBLIGATIONS; PARENTAL OPTIONS.—4019(a) Upon receipt of a report of an incident, the school4020principal, or his or her designee, shall provide a copy of the4021report to the parent and investigate the incident to determine4022if the incident must be reported as required by s. 1006.09(6).4023Within 24 hours after receipt of the report, the principal or4024his or her designee shall provide a copy of the report to the4025parent of the alleged offender and to the superintendent. Upon4026conclusion of the investigation or within 15 days after the4027incident was reported, whichever occurs first, the school4028district shall notify the parent of the program and offer the4029parent an opportunity to enroll his or her student in another4030public school that has capacity or to request and receive a4031scholarship to attend an eligible private school, subject to4032available funding. A parent who chooses to enroll his or her4033student in a public school located outside the district in which4034the student resides pursuant to s. 1002.31 shall be eligible for4035a scholarship to transport the student as provided in paragraph4036(11)(b).4037(b) For each student participating in the program in an4038eligible private school who chooses to participate in the4039statewide assessments under s. 1008.22 or the Florida Alternate4040Assessment, the school district in which the student resides4041must notify the student and his or her parent about the4042locations and times to take all statewide assessments.4043(7) PRIVATE SCHOOL ELIGIBILITY AND OBLIGATIONS.—An eligible4044private school may be sectarian or nonsectarian and shall:4045(a) Comply with all requirements for private schools4046participating in state school choice scholarship programs4047pursuant to this section and s. 1002.421.4048(b)1. Annually administer or make provision for students4049participating in the program in grades 3 through 10 to take one4050of the nationally norm-referenced tests identified by the4051department or the statewide assessments pursuant to s. 1008.22.4052Students with disabilities for whom standardized testing is not4053appropriate are exempt from this requirement. A participating4054private school shall report a student’s scores to his or her4055parent.40562. Administer the statewide assessments pursuant to s.40571008.22 if a private school chooses to offer the statewide4058assessments. A participating private school may choose to offer4059and administer the statewide assessments to all students who4060attend the private school in grades 3 through 10 and must submit4061a request in writing to the department by March 1 of each year4062in order to administer the statewide assessments in the4063subsequent school year.4064 4065If a private school fails to meet the requirements of this4066subsection or s. 1002.421, the commissioner may determine that4067the private school is ineligible to participate in the program.4068(8) DEPARTMENT OF EDUCATION OBLIGATIONS.—The department4069shall:4070(a) Cross-check the list of participating scholarship4071students with the public school enrollment lists to avoid4072duplication.4073(b) Maintain a list of nationally norm-referenced tests4074identified for purposes of satisfying the testing requirement in4075paragraph (9)(f). The tests must meet industry standards of4076quality in accordance with State Board of Education rule.4077(c) Require quarterly reports by an eligible nonprofit4078scholarship-funding organization regarding the number of4079students participating in the program, the private schools in4080which the students are enrolled, and other information deemed4081necessary by the department.4082(d) Contract with an independent entity to provide an4083annual evaluation of the program by:40841. Reviewing the school bullying prevention education4085program, climate, and code of student conduct of each public4086school from which 10 or more students transferred to another4087public school or private school using the Hope scholarship to4088determine areas in the school or school district procedures4089involving reporting, investigating, and communicating a parent’s4090and student’s rights that are in need of improvement. At a4091minimum, the review must include:4092a. An assessment of the investigation time and quality of4093the response of the school and the school district.4094b. An assessment of the effectiveness of communication4095procedures with the students involved in an incident, the4096students’ parents, and the school and school district personnel.4097c. An analysis of school incident and discipline data.4098d. The challenges and obstacles relating to implementing4099recommendations from the review.41002. Reviewing the school bullying prevention education4101program, climate, and code of student conduct of each public4102school to which a student transferred if the student was from a4103school identified in subparagraph 1. in order to identify best4104practices and make recommendations to a public school at which4105the incidents occurred.41063. Reviewing the performance of participating students4107enrolled in a private school in which at least 51 percent of the4108total enrolled students in the prior school year participated in4109the program and in which there are at least 10 participating4110students who have scores for tests administered.41114. Surveying the parents of participating students to4112determine academic, safety, and school climate satisfaction and4113to identify any challenges to or obstacles in addressing the4114incident or relating to the use of the scholarship.4115(9) PARENT AND STUDENT RESPONSIBILITIES FOR PROGRAM4116PARTICIPATION.—A parent who applies for a Hope scholarship is4117exercising his or her parental option to place his or her4118student in an eligible private school.4119(a) The parent must select an eligible private school and4120apply for the admission of his or her student.4121(b) The parent must inform the student’s school district4122when the parent withdraws his or her student to attend an4123eligible private school.4124(c) Any student participating in the program must remain in4125attendance throughout the school year unless excused by the4126school for illness or other good cause.4127(d) Each parent and each student has an obligation to the4128private school to comply with such school’s published policies.4129(e) Upon reasonable notice to the department and the school4130district, the parent may remove the student from the private4131school and place the student in a public school in accordance4132with this section.4133(f) The parent must ensure that the student participating4134in the program takes the norm-referenced assessment offered by4135the private school. The parent may also choose to have the4136student participate in the statewide assessments pursuant to s.41371008.22. If the parent requests that the student take the4138statewide assessments pursuant to s. 1008.22 and the private4139school has not chosen to offer and administer the statewide4140assessments, the parent is responsible for transporting the4141student to the assessment site designated by the school4142district.4143(g) Upon receipt of a scholarship warrant, the parent to4144whom the warrant is made must restrictively endorse the warrant4145to the private school for deposit into the account of such4146school. If payment is made by funds transfer in accordance with4147paragraph (11)(d), the parent must approve each payment before4148the scholarship funds may be deposited. The parent may not4149designate any entity or individual associated with the4150participating private school as the parent’s attorney in fact to4151endorse a scholarship warrant or approve a funds transfer. A4152parent who fails to comply with this paragraph forfeits the4153scholarship.4154(10) OBLIGATIONS OF ELIGIBLE NONPROFIT SCHOLARSHIP-FUNDING4155ORGANIZATIONS.—An eligible nonprofit scholarship-funding4156organization may establish scholarships for eligible students4157by:4158(a) Receiving applications and determining student4159eligibility in accordance with the requirements of this section.4160(b) Notifying parents of their receipt of a scholarship on4161a first-come, first-served basis, based upon available funds.4162(c) Establishing a date by which the parent of a4163participating student must confirm continuing participation in4164the program.4165(d) Awarding scholarship funds to eligible students, giving4166priority to renewing students from the previous year.4167(e) Preparing and submitting quarterly reports to the4168department pursuant to paragraph (8)(c). In addition, an4169eligible nonprofit scholarship-funding organization must submit4170in a timely manner any information requested by the department4171relating to the program.4172(f) Notifying the department of any violation of this4173section.4174(11) FUNDING AND PAYMENT.—4175(a) For students initially eligible in the 2019-2020 school4176year or thereafter, the calculated amount for a student to4177attend an eligible private school shall be based upon the grade4178level and school district in which the student was assigned as417995 percent of the funds per unweighted full-time equivalent in4180the Florida Education Finance Program for a student in the basic4181program established pursuant to s. 1011.62(1)(c)1., plus a per4182full-time equivalent share of funds for all categorical4183programs, except for the Exceptional Student Education4184Guaranteed Allocation.4185(b) The maximum amount awarded to a student enrolled in a4186public school located outside of the district in which the4187student resides shall be $750.4188(c) When a student enters the program, the eligible4189nonprofit scholarship-funding organization must receive all4190documentation required for the student’s participation,4191including a copy of the report of the incident received pursuant4192to subsection (6) and the private school’s and student’s fee4193schedules. The initial payment shall be made after verification4194of admission acceptance, and subsequent payments shall be made4195upon verification of continued enrollment and attendance at the4196private school.4197(d) Payment of the scholarship by the eligible nonprofit4198scholarship-funding organization may be by individual warrant4199made payable to the student’s parent or by funds transfer,4200including, but not limited to, debit cards, electronic payment4201cards, or any other means of payment that the department deems4202to be commercially viable or cost-effective. If payment is made4203by warrant, the warrant must be delivered by the eligible4204nonprofit scholarship-funding organization to the private school4205of the parent’s choice, and the parent shall restrictively4206endorse the warrant to the private school. If payments are made4207by funds transfer, the parent must approve each payment before4208the scholarship funds may be deposited. The parent may not4209designate any entity or individual associated with the4210participating private school as the parent’s attorney in fact to4211endorse a scholarship warrant or approve a funds transfer.4212(e) An eligible nonprofit scholarship-funding organization4213shall obtain verification from the private school of a student’s4214continued attendance at the school for each period covered by a4215scholarship payment.4216(f) Payment of the scholarship shall be made by the4217eligible nonprofit scholarship-funding organization no less4218frequently than on a quarterly basis.4219(g) An eligible nonprofit scholarship-funding organization,4220subject to the limitations of s. 1002.395(6)(j)1., may use4221eligible contributions received during the state fiscal year in4222which such contributions are collected for administrative4223expenses.4224(h) Moneys received pursuant to this section do not4225constitute taxable income to the qualified student or his or her4226parent.4227(i) Notwithstanding s. 1002.395(6)(j)2., no more than 54228percent of net eligible contributions may be carried forward to4229the following state fiscal year by an eligible scholarship4230funding organization. For audit purposes, all amounts carried4231forward must be specifically identified for individual students4232by student name and by the name of the school to which the4233student is admitted, subject to the requirements of ss. 1002.214234and 1002.22 and 20 U.S.C. s. 1232g, and the applicable rules and4235regulations issued pursuant to such requirements. Any amounts4236carried forward shall be expended for annual scholarships or4237partial-year scholarships in the following state fiscal year.4238Net eligible contributions remaining on June 30 of each year4239which are in excess of the 5 percent that may be carried forward4240shall be transferred to other eligible nonprofit scholarship4241funding organizations participating in the Hope Scholarship4242Program to provide scholarships for eligible students. All4243transferred funds must be deposited by each eligible nonprofit4244scholarship-funding organization receiving such funds into the4245scholarship account of eligible students. All transferred4246amounts received by an eligible nonprofit scholarship-funding4247organization must be separately disclosed in the annual4248financial audit requirement under s. 1002.395(6)(m). If no other4249eligible nonprofit scholarship-funding organization participates4250in the Hope Scholarship Program, net eligible contributions in4251excess of the 5 percent may be used to fund scholarships for4252students eligible under s. 1002.395 only after fully exhausting4253all contributions made in support of scholarships under that4254section in accordance with the priority established in s.42551002.395(6)(e) prior to awarding any initial scholarships.4256(12) OBLIGATIONS OF THE AUDITOR GENERAL.—4257(a) The Auditor General shall conduct an annual operational4258audit of accounts and records of each organization that4259participates in the program. As part of this audit, the Auditor4260General shall verify, at a minimum, the total number of students4261served and transmit that information to the department. The4262Auditor General shall provide the commissioner with a copy of4263each annual operational audit performed pursuant to this4264paragraph within 10 days after the audit is finalized.4265(b) The Auditor General shall notify the department of any4266organization that fails to comply with a request for4267information.4268 (2)(13)SCHOLARSHIP FUNDING TAX CREDITS.— 4269 (a) A tax credit is available under s. 212.1832(1) for use 4270 by a person that makes an eligible contribution. Eligible 4271 contributions shall be used for K-12 education fundingto fund4272scholarships under this section and may be used to fund4273scholarshipsunder s. 1002.395. Each eligible contribution is 4274 limited to a single designationpaymentof $105 per motor 4275 vehicle purchased at the time of purchase of a motor vehicle or 4276 a single designationpaymentof $105 per motor vehicle purchased 4277 at the time of registration of a motor vehicle that was not 4278 purchased from a dealer, except that a contribution may not 4279 exceed the state tax imposed under chapter 212 that would 4280 otherwise be collected from the purchaser by a dealer, 4281 designated agent, or private tag agent.Payments of4282contributions shall be made to a dealer at the time of purchase4283of a motor vehicle or to a designated agent or private tag agent4284at the time of registration of a motor vehicle that was not4285purchased from a dealer.An eligible contribution shall be 4286 accompanied by a contribution election form provided by the 4287 Department of Revenue, developed in collaboration with the 4288 Department of Education. The form shall include, at a minimum, a 4289the followingbrief description of each scholarship program 4290 available under this chapter and the type of student served in 4291 each programthe Hope Scholarship Program and the Florida Tax4292Credit Scholarship Program: “THE HOPE SCHOLARSHIP PROGRAM4293PROVIDES A PUBLIC SCHOOL STUDENT WHO WAS SUBJECTED TO AN4294INCIDENT OF VIOLENCE OR BULLYING AT SCHOOL THE OPPORTUNITY TO4295APPLY FOR A SCHOLARSHIP TO ATTEND AN ELIGIBLE PRIVATE SCHOOL4296RATHER THAN REMAIN IN AN UNSAFE SCHOOL ENVIRONMENT.THE FLORIDA4297TAX CREDIT SCHOLARSHIP PROGRAM PROVIDES A LOW-INCOME STUDENT THE4298OPPORTUNITY TO APPLY FOR A SCHOLARSHIP TO ATTEND AN ELIGIBLE4299PRIVATE SCHOOL.” The form shall also include, at a minimum, a4300section allowing the consumer to designate, from all4301participating scholarship funding organizations, which4302organization will receive his or her donation.For purposes of 4303 this subsection, the term “purchase” does not include the lease 4304 or rental of a motor vehicle. 4305 (b) A dealer, designated agent, or private tag agent shall:43061. Provide the purchaser the contribution election form, as4307provided by the Department of Revenue, at the time of purchase4308of a motor vehicle or at the time of registration of a motor4309vehicle that was not purchased from a dealer.43102. Collect eligible contributions.43113. Using a form provided by the Department of Revenue,4312which shall include the dealer’s or agent’s federal employer4313identification number, remit to an organization no later than4314the date the return filed pursuant to s. 212.11 is due the total4315amount of contributions made to that organization and collected4316during the preceding reporting period. Using the same form, the4317dealer or agent shall also report this information to the4318Department of Revenue no later than the date the return filed4319pursuant to s. 212.11 is due.43204.report to the Department of Revenue on each return filed 4321 pursuant to s. 212.11 the total amount of credits granted under 4322 s. 212.1832 for the preceding reporting period. 4323 (c)An organization shall report toThe Department of 4324 Revenue shall deposit all receipts designated as eligible 4325 contributions into a designated student fund, on or before the432620th day of each month, the total amount of contributions4327received pursuant to paragraph (b) in the preceding calendar4328month on a form provided by the Department of Revenue.Such4329report shall include:43301. The federal employer identification number of each4331designated agent, private tag agent, or dealer who remitted4332contributions to the organization during that reporting period.43332. The amount of contributions received from each4334designated agent, private tag agent, or dealer during that4335reporting period.4336(d) A person who, with the intent to unlawfully deprive or4337defraud the program of its moneys or the use or benefit thereof,4338fails to remit a contribution collected under this section is4339guilty of theft, punishable as follows:43401. If the total amount stolen is less than $300, the4341offense is a misdemeanor of the second degree, punishable as4342provided in s. 775.082 or s. 775.083. Upon a second conviction,4343the offender is guilty of a misdemeanor of the first degree,4344punishable as provided in s. 775.082 or s. 775.083. Upon a third4345or subsequent conviction, the offender is guilty of a felony of4346the third degree, punishable as provided in s. 775.082, s.4347775.083, or s. 775.084.43482. If the total amount stolen is $300 or more, but less4349than $20,000, the offense is a felony of the third degree,4350punishable as provided in s. 775.082, s. 775.083, or s. 775.084.43513. If the total amount stolen is $20,000 or more, but less4352than $100,000, the offense is a felony of the second degree,4353punishable as provided in s. 775.082, s. 775.083, or s. 775.084.43544. If the total amount stolen is $100,000 or more, the4355offense is a felony of the first degree, punishable as provided4356in s. 775.082, s. 775.083, or s. 775.084.4357(e) A person convicted of an offense under paragraph (d)4358shall be ordered by the sentencing judge to make restitution to4359the organization in the amount that was stolen from the program.4360(f) Upon a finding that a dealer failed to remit a4361contribution under subparagraph (b)3. for which the dealer4362claimed a credit pursuant to s. 212.1832(2), the Department of4363Revenue shall notify the affected organizations of the dealer’s4364name, address, federal employer identification number, and4365information related to differences between credits taken by the4366dealer pursuant to s. 212.1832(2) and amounts remitted to the4367eligible nonprofit scholarship-funding organization under4368subparagraph (b)3.4369(g) Any dealer, designated agent, private tag agent, or4370organization that fails to timely submit reports to the4371Department of Revenue as required in paragraphs (b) and (c) is4372subject to a penalty of $1,000 for every month, or part thereof,4373the report is not provided, up to a maximum amount of $10,000.4374Such penalty shall be collected by the Department of Revenue and4375shall be transferred into the General Revenue Fund. Such penalty4376must be settled or compromised if it is determined by the4377Department of Revenue that the noncompliance is due to4378reasonable cause and not due to willful negligence, willful4379neglect, or fraud.4380(14) LIABILITY.—The state is not liable for the award of or4381any use of awarded funds under this section.4382(15) SCOPE OF AUTHORITY.—This section does not expand the4383regulatory authority of this state, its officers, or any school4384district to impose additional regulation on participating4385private schools beyond those reasonably necessary to enforce4386requirements expressly set forth in this section.4387 (3)(16)RULES.—TheState Board of Education shall adopt4388rules to administer this section, except theDepartment of 4389 Revenue shall adopt rules to administer this sectionsubsection4390(13). 4391 Section 22. Subsection (4) of section 1002.411, Florida 4392 Statutes, is amended to read: 4393 1002.411 Reading scholarship accounts.— 4394 (4) ADMINISTRATION.—An eligible nonprofit scholarship 4395 funding organization participating in a scholarship program 4396 under this chapterthe Florida Tax Credit Scholarship Program4397established by s. 1002.395may establish reading scholarship 4398 accounts for eligible students in accordance with the 4399 requirements of eligible nonprofit scholarship-funding 4400 organizations under this chapter. 4401 Section 23. Paragraphs (i) and (q) of subsection (1) of 4402 section 1002.421, Florida Statutes, are amended to read: 4403 1002.421 State school choice scholarship program 4404 accountability and oversight.— 4405 (1) PRIVATE SCHOOL ELIGIBILITY AND OBLIGATIONS.—A private 4406 school participating in an educational scholarship program 4407 established pursuant to this chapter must be a private school as 4408 defined in s. 1002.01(2) in this state, be registered, and be in 4409 compliance with all requirements of this section in addition to 4410 private school requirements outlined in s. 1002.42, specific 4411 requirements identified within respective scholarship program 4412 laws, and other provisions of Florida law that apply to private 4413 schools, and must: 4414 (i) Maintain a physical location in the state at which each 4415 student has regular and direct contact with teachers. A private 4416 virtual school with at least one administrative office located 4417 in this state which requires all of its administrative staff to 4418 be Florida residents meets this requirement. 4419 (q) Provide a report from an independent certified public 4420 accountant who performs the agreed-upon proceduresdeveloped4421 pursuant to s. 1002.394(11)(g)s. 1002.395(6)(o)if the private 4422 school receives more than $250,000 in funds from scholarships 4423 awarded under this chapter in a state fiscal year. A private 4424 school subject to this subsection must annually submit the 4425 report by September 15 to the scholarship-funding organization 4426 that awarded the majority of the school’s scholarship funds. 4427 However, for the 2020-2021 school year only, a school that 4428 receives more than $250,000 in scholarship funds only through 4429 the John M. McKay Scholarship for Students with Disabilities 4430 Program pursuant to s. 1002.39 must submit the annual report by 4431 September 15 to the department. The agreed-upon procedures must 4432 be conducted in accordance with attestation standards 4433 established by the American Institute of Certified Public 4434 Accountants. 4435 4436 The department shall suspend the payment of funds to a private 4437 school that knowingly fails to comply with this subsection, and 4438 shall prohibit the school from enrolling new scholarship 4439 students, for 1 fiscal year and until the school complies. If a 4440 private school fails to meet the requirements of this subsection 4441 or has consecutive years of material exceptions listed in the 4442 report required under paragraph (q), the commissioner may 4443 determine that the private school is ineligible to participate 4444 in a scholarship program. 4445 Section 24. Paragraph (aa) of subsection (4) of section 4446 1009.971, Florida Statutes, is amended to read: 4447 1009.971 Florida Prepaid College Board.— 4448 (4) FLORIDA PREPAID COLLEGE BOARD; POWERS AND DUTIES.—The 4449 board shall have the powers and duties necessary or proper to 4450 carry out the provisions of ss. 1009.97-1009.988, including, but 4451 not limited to, the power and duty to: 4452 (aa) Adopt rules relating to the purchase and use of a 4453 prepaid college plan authorized under s. 1009.98 or a college 4454 savings plan authorized under s. 1009.981 for the McKay-Gardiner 4455GardinerScholarship Program pursuant to s. 1002.381 or the 4456 Family Empowerment Scholarship Program pursuant to s. 1002.394 4457s. 1002.385, which may include, but need not be limited to: 4458 1. The use of such funds for postsecondary education 4459 programs for students with disabilities; 4460 2. Effective procedures that allow program funds to be used 4461 in conjunction with other funds used by a parent in the purchase 4462 of a prepaid college plan or a college savings plan; 4463 3. The tracking and accounting of program funds separately 4464 from other funds contributed to a prepaid college plan or a 4465 college savings plan; 4466 4. The reversion of program funds, including, but not 4467 limited to, earnings from contributions to the Florida College 4468 Savings Plan; 4469 5. The use of program funds only after private payments 4470 have been used for prepaid college plan or college savings plan 4471 expenditures; 4472 6. Contracting with each eligible nonprofit scholarship 4473 funding organization to establish mechanisms to implement ss. 4474 1002.381 and 1002.394s. 1002.385, including, but not limited 4475 to, identifying the source of funds being deposited in the 4476 plans; and 4477 7. The development of a written agreement that defines the 4478 owner and beneficiary of an account and outlines 4479 responsibilities for the use of the advance payment contract 4480 funds or savings program funds. 4481 Section 25. Subsection (11) of section 1009.98, Florida 4482 Statutes, is amended to read: 4483 1009.98 Stanley G. Tate Florida Prepaid College Program.— 4484 (11) IMPLEMENTATION PROCEDURES.— 4485 (a) A prepaid college plan may be purchased, accounted for, 4486 used, and terminated as provided in ss. 1002.381 and 1002.394s.44871002.385. 4488 (b) A qualified beneficiary may apply the benefits of an 4489 advance payment contract toward the program fees of a program 4490 designed for students with disabilities conducted by a state 4491 postsecondary institution. A transfer authorized under this 4492 subsection may not exceed the redemption value of the advance 4493 payment contract at a state postsecondary institution or the 4494 number of semester credit hours contracted on behalf of a 4495 qualified beneficiary. A qualified beneficiary may not be 4496 changed while a prepaid college plan contains funds contributed 4497 under ss. 1002.381 and 1002.394s. 1002.385. 4498 Section 26. Subsection (10) of section 1009.981, Florida 4499 Statutes, is amended to read: 4500 1009.981 Florida College Savings Program.— 4501 (10) IMPLEMENTATION PROCEDURES.— 4502 (a) A college savings plan may be purchased, accounted for, 4503 used, and terminated as provided in ss. 1002.381 and 1002.394s.45041002.385. 4505 (b) A designated beneficiary may apply the benefits of a 4506 participation agreement toward the program fees of a program 4507 designed for students with disabilities conducted by a state 4508 postsecondary institution. A designated beneficiary may not be 4509 changed while a college savings plan contains funds contributed 4510 under ss. 1002.381 and 1002.394s. 1002.385. 4511 Section 27. Subsection (4) of section 1011.61, Florida 4512 Statutes, is amended to read: 4513 1011.61 Definitions.—Notwithstanding the provisions of s. 4514 1000.21, the following terms are defined as follows for the 4515 purposes of the Florida Education Finance Program: 4516 (4) The maximum value for funding a student in kindergarten 4517 through grade 12 or in a prekindergarten program for exceptional 4518 children as provided in s. 1003.21(1)(e) shall be the sum of the 4519 calculations in paragraphs (a), (b), and (c) as calculated by 4520 the department. 4521 (a) The sum of the student’s full-time equivalent student 4522 membership value for the school year or the equivalent derived 4523 from paragraphs (1)(a) and (b), subparagraph (1)(c)1., sub 4524 subparagraphs (1)(c)2.b. and c.,subparagraph (1)(c)3.,and 4525 subsection (2). If the sum is greater than 1.0, the full-time 4526 equivalent student membership value for each program or course 4527 shall be reduced by an equal proportion so that the student’s 4528 total full-time equivalent student membership value is equal to 4529 1.0. 4530 (b) If the result in paragraph (a) is less than 1.0 full 4531 time equivalent student and the student has full-time equivalent 4532 student enrollment pursuant to sub-sub-subparagraph 4533 (1)(c)1.b.(VIII), calculate an amount that is the lesser of the 4534 value in sub-sub-subparagraph (1)(c)1.b.(VIII) or the value of 4535 1.0 less the value in paragraph (a). 4536 (c) The full-time equivalent student enrollment value in 4537 sub-subparagraph (1)(c)2.a. 4538 4539A scholarship award provided to a student enrolled in the John4540M. McKay Scholarships for Students with Disabilities Program4541pursuant to s. 1002.39 is not subject to the maximum value for4542funding a student under this subsection.4543 Section 28. Paragraph (f) of subsection (18) of section 4544 1011.62, Florida Statutes, is amended to read: 4545 1011.62 Funds for operation of schools.—If the annual 4546 allocation from the Florida Education Finance Program to each 4547 district for operation of schools is not determined in the 4548 annual appropriations act or the substantive bill implementing 4549 the annual appropriations act, it shall be determined as 4550 follows: 4551 (18) TEACHER SALARY INCREASE ALLOCATION.—The Legislature 4552 may annually provide in the Florida Education Finance Program a 4553 teacher salary increase allocation to assist school districts in 4554 their recruitment and retention of classroom teachers and other 4555 instructional personnel. The amount of the allocation shall be 4556 specified in the General Appropriations Act. 4557(f) Notwithstanding any other provision of law, funds4558allocated under this subsection shall not be included in the4559calculated amount for any scholarship awarded under chapter45601002.4561 Section 29. This act shall take effect July 1, 2021.