Bill Text: MI SB0250 | 2019-2020 | 100th Legislature | Introduced


Bill Title: Education; public school academies; types of authorizing bodies; modify. Amends secs. 502, 522, 552 & 1311d of 1976 PA 451 (MCL 380.502 et seq.).

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2019-04-09 - Referred To Committee On Education And Career Readiness [SB0250 Detail]

Download: Michigan-2019-SB0250-Introduced.html


 

SENATE BILL No. 250

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SENATE BILL No. 250

 

 

 

 

 

 

 

 

 

 

SENATE BILL No. 250

 

 

April 9, 2019, Introduced by Senator ALEXANDER and referred to the Committee on Education and Career Readiness.

 

 

 

        A bill to amend 1976 PA 451, entitled

 

"The revised school code,"

 

by amending sections 502, 522, 552, and 1311d (MCL 380.502,

 

380.522, 380.552, and 380.1311d), sections 502, 522, and 552 as

 

amended by 2018 PA 601 and section 1311d as added by 1999 PA 23.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

        Sec. 502. (1) A public school academy shall be organized and

 

administered under the direction of a board of directors in

 

accordance with this part and with bylaws adopted by the board of

 

directors. A public school academy corporation shall be organized

 

under the nonprofit corporation act, 1982 PA 162, MCL 450.2101 to

 

450.3192, except that a public school academy corporation is not

 

required to comply with sections 170 to 177 of 1931 PA 327, MCL

 

 

450.170 to 450.177. To the extent disqualified under the state or

 

federal constitution, a public school academy shall not be

 

organized by a church or other religious organization and shall not

 

have any organizational or contractual affiliation with or

 

constitute a church or other religious organization.

 

        (2) Subject to subsection (9), any of the following may act as

 

an authorizing body to issue a contract to organize and operate 1

 

or more public school academies under this part:

 

        (a) The board of a school district. However, the board of a

 

school district shall not issue a contract for a public school

 

academy to operate outside the school district's boundaries, and a

 

public school academy authorized by the board of a school district

 

shall not operate outside that school district's boundaries.

 

        (b) An intermediate school board. However, the board of an

 

intermediate school district shall not issue a contract for a

 

public school academy to operate outside the intermediate school

 

district's boundaries, and a public school academy authorized by

 

the board of an intermediate school district shall not operate

 

outside that intermediate school district's boundaries.

 

        (c) The board of a community college, if the board is

 

popularly elected under the Michigan election law. However, except

 

as otherwise provided in this subdivision, the board of a community

 

college shall not issue a contract for a public school academy to

 

operate in a school district organized as a school district of the

 

first class, a public school academy authorized by the board of a

 

community college shall not operate in a school district organized

 

as a school district of the first class, the board of a community

 

college shall not issue a contract for a public school academy to

 

operate outside the boundaries of the community college district,

 

and a public school academy authorized by the board of a community

 

college shall not operate outside the boundaries of the community

 

college district. The board of a community college also may issue a

 

contract for not more than 1 public school academy to operate on

 

the grounds of an active or closed federal military installation

 

located outside the boundaries of the community college district,

 

or may operate a public school academy itself on the grounds of

 

such a federal military installation, if the federal military

 

installation is not located within the boundaries of any community

 

college district and the community college has previously offered

 

courses on the grounds of the federal military installation for at

 

least 10 years.

 

        (d) The governing board of a state public university, if the

 

board is popularly elected under the Michigan election law.

 

However, the combined total number of contracts for public school

 

academies issued by all state public universities shall must not

 

exceed 300 through December 31, 2012 and shall must not exceed 500

 

through December 31, 2014. After December 31, 2014, there is no

 

limit on the combined total number of contracts for public school

 

academies that may be issued by all state public universities.

 

        (e) Two or more of the public agencies described in

 

subdivisions (a) to (d) exercising power, privilege, or authority

 

jointly pursuant to an interlocal agreement under the urban

 

cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to

 

124.512.

 

        (3) To obtain a contract to organize and operate 1 or more

 

public school academies, 1 or more persons or an entity may apply

 

to an authorizing body described in subsection (2). The application

 

shall must include at least all of the following:

 

        (a) Identification of the applicant for the contract.

 

        (b) Subject to the resolution adopted by the authorizing body

 

under section 503(5), a list of the proposed members of the board

 

of directors of the public school academy and a description of the

 

qualifications and method for appointment or election of members of

 

the board of directors.

 

        (c) The proposed articles of incorporation, which shall must

 

include at least all of the following:

 

        (i) The name of the proposed public school academy.

 

        (ii) The purposes for the public school academy corporation.

 

This language shall must provide that the public school academy is

 

incorporated pursuant to this part and that the public school

 

academy corporation is a governmental entity.

 

        (iii) The name of the authorizing body.

 

        (iv) The proposed time when the articles of incorporation will

 

be effective.

 

        (v) Other matters considered expedient to be in the articles

 

of incorporation.

 

        (d) A copy of the proposed bylaws of the public school

 

academy.

 

        (e) Documentation meeting the application requirements of the

 

authorizing body, including at least all of the following:

 

        (i) The governance structure of the public school academy.

 

        (ii) A copy of the educational goals of the public school

 

academy and the curricula to be offered and methods of pupil

 

assessment to be used by the public school academy. The educational

 

goals shall must include demonstrated improved pupil academic

 

achievement for all groups of pupils. To the extent applicable, the

 

progress of the pupils in the public school academy shall must be

 

assessed using both the mathematics and reading portions of the

 

Michigan student test of educational progress (M-STEP) or the

 

Michigan merit examination under section 1279g, as applicable.

 

        (iii) The admission policy and criteria to be maintained by

 

the public school academy. The admission policy and criteria shall

 

must comply with section 504. This part of the application also

 

shall must include a description of how the applicant will provide

 

to the general public adequate notice that a public school academy

 

is being created and adequate information on the admission policy,

 

criteria, and process.

 

        (iv) The school calendar and school day schedule.

 

        (v) The age or grade range of pupils to be enrolled.

 

        (f) Descriptions of staff responsibilities and of the public

 

school academy's governance structure.

 

        (g) For an application to the board of a school district, an

 

intermediate school board, or board of a community college,

 

identification of the local and intermediate school districts in

 

which the public school academy will be located.

 

        (h) An agreement that the public school academy will comply

 

with the provisions of this part and, subject to the provisions of

 

this part, with all other state law applicable to public bodies and

 

with federal law applicable to public bodies or school districts.

 

        (i) A description of and address for the proposed physical

 

plant in which the public school academy will be located. An

 

applicant may request the authorizing body to issue a contract

 

allowing the public school academy board of directors to operate

 

the same configuration of age or grade levels at more than 1 site.

 

        (4) An authorizing body shall oversee, or shall contract with

 

an intermediate school district, community college, or state public

 

university to oversee, each public school academy operating under a

 

contract issued by the authorizing body. The authorizing body is

 

responsible for overseeing compliance by the board of directors

 

with the contract and all applicable law. This subsection does not

 

relieve any other government entity of its enforcement or

 

supervisory responsibility.

 

        (5) If the superintendent of public instruction finds that an

 

authorizing body is not engaging in appropriate continuing

 

oversight of 1 or more public school academies operating under a

 

contract issued by the authorizing body, the superintendent of

 

public instruction may suspend the power of the authorizing body to

 

issue new contracts to organize and operate public school

 

academies. A contract issued by the authorizing body during the

 

suspension is void. A contract issued by the authorizing body

 

before the suspension is not affected by the suspension.

 

        (6) An authorizing body shall not charge a fee, or require

 

reimbursement of expenses, for considering an application for a

 

contract, for issuing a contract, or for providing oversight of a

 

contract for a public school academy in an amount that exceeds a

 

combined total of 3% of the total state school aid received by the

 

public school academy in the school year in which the fees or

 

expenses are charged. An authorizing body may provide other

 

services for a public school academy and charge a fee for those

 

services, but shall not require such an arrangement as a condition

 

to issuing the contract authorizing the public school academy.

 

        (7) A public school academy shall be presumed to be legally

 

organized if it has exercised the franchises and privileges of a

 

public school academy for at least 2 years.

 

        (8) An authorizing body may enter into an intergovernmental

 

agreement with another authorizing body to issue public school

 

academy contracts. At a minimum, the agreement shall must further

 

the purposes set forth in section 501, describe which authorizing

 

body shall issue the contract, and set forth which authorizing body

 

will be responsible for monitoring compliance by the board of

 

directors of the public school academy with the contract and all

 

applicable law.

 

        (9) Both of the following apply to the issuance of a contract

 

for a public school academy to be located within a community

 

district:

 

        (a) An authorizing body shall not issue a contract to organize

 

and operate a new public school academy to be located in a

 

community district unless, before issuing the contract, the

 

governing board of the authorizing body has certified to the

 

department that the authorizing body has been accredited as an

 

authorizing body by a nationally recognized accreditation body. For

 

an authorizing body described in subsection (2)(e), the authorizing

 

body shall not issue a contract to organize and operate a new

 

public school academy to be located in a community district unless,

 

before issuing the contract, the governing board of each of the

 

public agencies that is party to the interlocal agreement has

 

certified to the department that the public agency has been

 

accredited as an authorizing body by a nationally recognized

 

accreditation body.

 

        (b) An authorizing body shall not issue a contract for a new

 

public school academy to be located in a community district if both

 

of the following circumstances exist:

 

        (i) Either of the following:

 

        (A) The proposed public school academy would operate at the

 

same location as a public school that currently is on the list

 

under former section 1280c(1) or section 1280g(3), as applicable,

 

of the public schools in this state determined to be among the

 

lowest achieving public schools in this state or has been on the

 

list under section 1280c(1) or 1280g(3), as applicable, during the

 

immediately preceding 3-year period.

 

        (B) The proposed public school academy would operate at the

 

same location as a public school academy, urban high school

 

academy, school of excellence, or strict discipline academy that

 

has had its contract revoked or terminated by an authorizing body

 

under the applicable part or section.

 

        (ii) The proposed public school academy would have

 

substantially the same board of directors, substantially the same

 

leadership, and substantially the same curriculum offerings as the

 

public school that previously operated at that location.

 

        Sec. 522. (1) An urban high school academy shall be organized

 

and administered under the direction of a board of directors in

 

accordance with this part and with bylaws adopted by the board of

 

directors. An urban high school academy corporation shall be

 

organized under the nonprofit corporation act, 1982 PA 162, MCL

 

450.2101 to 450.3192, except that an urban high school academy

 

corporation is not required to comply with sections 170 to 177 of

 

1931 PA 327, MCL 450.170 to 450.177. To the extent disqualified

 

under the state or federal constitution, an urban high school

 

academy shall not be organized by a church or other religious

 

organization and shall not have any organizational or contractual

 

affiliation with or constitute a church or other religious

 

organization.

 

        (2) Subject to subsection (9), the governing board of a state

 

public university, if the board is popularly elected under the

 

Michigan election law, may act as an authorizing body to issue a

 

contract for the organization and operation of an urban high school

 

academy under this part.

 

        (3) A contract issued under this part shall must be issued for

 

an initial term of 10 years. If the urban high school academy meets

 

the educational goals set forth in the contract and operates in

 

substantial compliance with this part, the authorizing body shall

 

automatically renew the contract for a subsequent 10-year term.

 

        (4) To obtain a contract to organize and operate 1 or more

 

urban high school academies, an entity may apply to an authorizing

 

body described in subsection (2). The contract shall must be issued

 

to an urban high school academy corporation designated by the

 

entity applying for the contract. The application shall must

 

include at least all of the following:

 

        (a) Name of the entity applying for the contract.

 

        (b) Subject to the resolution adopted by the authorizing body

 

under section 528, a list of the proposed members of the board of

 

directors of the urban high school academy and a description of the

 

qualifications and method for appointment or election of members of

 

the board of directors.

 

        (c) The proposed articles of incorporation, which shall must

 

include at least all of the following:

 

        (i) The name of the proposed urban high school academy to

 

which the contract will be issued.

 

        (ii) The purposes for the urban high school academy

 

corporation. This language shall must provide that the urban high

 

school academy is incorporated pursuant to this part and that the

 

urban high school academy corporation is a governmental entity and

 

political subdivision of this state.

 

        (iii) The name of the authorizing body.

 

        (iv) The proposed time when the articles of incorporation will

 

be effective.

 

        (v) Other matters considered expedient to be in the articles

 

of incorporation.

 

        (d) A copy of the proposed bylaws of the urban high school

 

academy.

 

        (e) Documentation meeting the application requirements of the

 

authorizing body, including at least all of the following:

 

        (i) The governance structure of the urban high school academy.

 

        (ii) A copy of the educational goals of the urban high school

 

academy and the curricula to be offered and methods of pupil

 

assessment to be used by the urban high school academy. The

 

educational goals shall must include demonstrated improved pupil

 

academic achievement for all groups of pupils. To the extent

 

applicable, the progress of the pupils in the urban high school

 

academy shall must be assessed using both the mathematics and

 

reading portions of the Michigan student test of educational

 

progress (M-STEP) or the Michigan merit examination under section

 

1279g, as applicable.

 

        (iii) The admission policy and criteria to be maintained by

 

the urban high school academy. The admission policy and criteria

 

shall must comply with section 524. This part of the application

 

also shall must include a description of how the applicant will

 

provide to the general public adequate notice that an urban high

 

school academy is being created and adequate information on the

 

admission policy, criteria, and process.

 

        (iv) The school calendar and school day schedule.

 

        (v) The age or grade range of pupils to be enrolled.

 

        (f) Descriptions of staff responsibilities and of the urban

 

high school academy's governance structure.

 

        (g) A description of and address for the proposed building or

 

buildings in which the urban high school academy will be located,

 

and a financial commitment by the entity applying for the contract

 

to construct or renovate the building or buildings that will be

 

occupied by the urban high school academy that is issued the

 

contract.

 

        (5) If a particular state public university issues a contract

 

that allows an urban high school academy to operate the same

 

configuration of grades at more than 1 site, as provided in section

 

524(1), each of those sites shall be under the direction of the

 

board of directors that is a party to the contract.

 

        (6) If the superintendent of public instruction finds that an

 

authorizing body is not engaging in appropriate continuing

 

oversight of 1 or more urban high school academies operating under

 

a contract issued by the authorizing body, the superintendent of

 

public instruction may suspend the power of the authorizing body to

 

issue new contracts to organize and operate urban high school

 

academies. A contract issued by the authorizing body during the

 

suspension is void. A contract issued by the authorizing body

 

before the suspension is not affected by the suspension.

 

        (7) An authorizing body shall not charge a fee, or require

 

reimbursement of expenses, for considering an application for a

 

contract, for issuing a contract, or for providing oversight of a

 

contract for an urban high school academy in an amount that exceeds

 

a combined total of 3% of the total state school aid received by

 

the urban high school academy in the school year in which the fees

 

or expenses are charged. All of the following apply to this fee:

 

        (a) An authorizing body may use this fee only for the

 

following purposes:

 

        (i) Considering applications and issuing or administering

 

contracts.

 

        (ii) Compliance monitoring and oversight of urban high school

 

academies.

 

        (iii) Training for urban high school academy applicants,

 

administrators, and boards of directors.

 

        (iv) Technical assistance to urban high school academies.

 

        (v) Academic support to urban high school academies or to

 

pupils or graduates of urban high school academies.

 

        (vi) Evaluation of urban high school academy performance.

 

        (vii) Training of teachers, including supervision of teacher

 

interns.

 

        (viii) Other purposes that assist the urban high school

 

academies or traditional public schools in achieving improved

 

academic performance.

 

        (b) An authorizing body may provide other services for an

 

urban high school academy and charge a fee for those services, but

 

shall not require such an arrangement as a condition to issuing the

 

contract authorizing the urban high school academy.

 

        (8) An urban high school academy shall be presumed to be

 

legally organized if it has exercised the franchises and privileges

 

of an urban high school academy for at least 2 years.

 

        (9) Both of the following apply to the issuance of a contract

 

for an urban high school academy to be located within a community

 

district:

 

        (a) An authorizing body shall not issue a contract to organize

 

and operate a new urban high school academy to be located in a

 

community district unless, before issuing the contract, the

 

governing board of the authorizing body has certified to the

 

department that the authorizing body has been accredited as an

 

authorizing body by a nationally recognized accreditation body.

 

        (b) An authorizing body shall not issue a contract for a new

 

urban high school academy to be located in a community district if

 

both of the following circumstances exist:

 

        (i) Either of the following:

 

        (A) The proposed urban high school academy would operate at

 

the same location as a public school that currently is on the list

 

under former section 1280c(1) or section 1280g(3), as applicable,

 

of the public schools in this state determined to be among the

 

lowest achieving public schools in this state or has been on that

 

list during the immediately preceding 3-year period.

 

        (B) The proposed urban high school academy would operate at

 

the same location as a public school academy, urban high school

 

academy, school of excellence, or strict discipline academy that

 

has had its contract revoked or terminated by an authorizing body

 

under the applicable part or section.

 

        (ii) The proposed urban high school academy would have

 

substantially the same board of directors, substantially the same

 

leadership, and substantially the same curriculum offerings as the

 

public school that previously operated at that location.

 

        Sec. 552. (1) An authorizing body may issue contracts under

 

this subsection to organize and operate a school of excellence. All

 

of the following apply to the issuance of a contract by an

 

authorizing body under this subsection:

 

        (a) The issuance of the contract must be approved by the

 

superintendent of public instruction. The superintendent of public

 

instruction shall approve issuance of a contract if he or she

 

determines that the proposed school of excellence is modeled after

 

a high-performing school or program.

 

        (b) The first 5 contracts issued by all authorizing bodies

 

under this subsection shall must be for schools of excellence that

 

offer 1 or more of high school grades 9 to 12, or any combination

 

of those grades, as specified in the contract.

 

        (c) A school of excellence authorized under this subsection

 

shall not be located in a school district that has a graduation

 

rate of over 75%, on average, for the most recent 3 school years

 

for which the data are available, as determined by the department.

 

        (2) Subject to the limitations in this subsection and

 

subsections (14) and (15), an authorizing body may issue contracts

 

under this subsection for 1 or more schools of excellence that are

 

cyber schools. The combined total number of contracts issued by all

 

statewide authorizing bodies under this subsection for schools of

 

excellence that are cyber schools shall must not exceed 15. The

 

board of a school district, an intermediate school board, the board

 

of a community college that is not a statewide authorizing body, or

 

2 or more public agencies acting jointly as described in subsection

 

(6)(e) may not act as the authorizing body for more than 1 school

 

of excellence that is a cyber school. An authorizing body shall not

 

issue a contract for a school of excellence that is a cyber school

 

unless the school of excellence that is a cyber school meets all of

 

the following requirements:

 

        (a) Is available for enrollment to all pupils in this state.

 

        (b) Offers some configuration of or all of grades K to 12.

 

        (c) The entity applying for the school of excellence that is a

 

cyber school demonstrates experience in delivering a quality

 

education program that improves pupil academic achievement. In

 

determining whether this requirement is met, an authorizing body

 

shall refer to the standards for quality online learning

 

established by the national association of charter school

 

authorizers or other similar nationally recognized standards for

 

quality online learning.

 

        (d) The enrollment in the school of excellence that is a cyber

 

school is limited to not more than 2,500 pupils in membership for

 

the first school year of operation of the school of excellence that

 

is a cyber school, not more than 5,000 pupils in membership for the

 

second school year of operation of the school of excellence that is

 

a cyber school, and not more than 10,000 pupils in membership for

 

the third and subsequent school years of operation of the school of

 

excellence that is a cyber school. As used in this subdivision,

 

"membership" means that term as defined in section 6 of the state

 

school aid act of 1979, MCL 388.1606.

 

        (e) The school of excellence that is a cyber school offers

 

each pupil's family a computer and subsidizes the cost of internet

 

access.

 

        (3) For a public school academy operating under part 6a that

 

meets the requirements of subsection (4), with the approval of its

 

authorizing body, the board of directors of the public school

 

academy may adopt a resolution choosing to convert the public

 

school academy to a school of excellence under this part. If the

 

board of directors of a public school academy that meets the

 

requirements of subsection (4) is issued a contract as a school of

 

excellence under this subsection, all the following apply:

 

        (a) The public school academy shall cease to operate as a

 

public school academy under part 6a and shall operate as a school

 

of excellence upon the issuance of a contract or at another time as

 

determined by the authorizing body.

 

        (b) The public school academy shall be considered to be a

 

school of excellence for all purposes upon the issuance of a

 

contract or at another time as determined by the authorizing body,

 

but shall retain its corporate identity.

 

        (c) The conversion of a public school academy under part 6a to

 

a school of excellence operating under this part shall must not

 

impair any agreement, mortgage, loan, bond, note or other

 

instrument of indebtedness, or any other agreement entered into by

 

a public school academy while it was operating under part 6a.

 

        (d) The contract issued to the public school academy under

 

part 6a shall must automatically terminate upon the issuance of a

 

contract or at another time as determined by the authorizing body.

 

        (4) Subsection (3) applies to a public school academy that is

 

determined by the department to meet all of the following, as

 

applicable:

 

        (a) If the public school academy operates only some or all of

 

grades K to 8, meets at least 1 of the following:

 

        (i) On average over a 3-year period, at least 90% of the

 

pupils enrolled in the public school academy achieved a score of

 

proficient or better on the Michigan education assessment program

 

mathematics and reading tests or successor state assessment

 

program.

 

        (ii) On average over a 3-year period, at least 70% of the

 

pupils enrolled in the public school academy achieved a score of

 

proficient or better on the Michigan education assessment program

 

mathematics and reading tests or successor state assessment program

 

and at least 50% of the pupils enrolled in the public school

 

academy met the income eligibility criteria for the federal free or

 

reduced-price lunch program, as determined under the Richard B.

 

Russell national school lunch act, 42 USC 1751 to 1769j, and

 

reported to the department.

 

        (b) If the public school academy operates grades 9 to 12, at

 

least 80% of the school's pupils graduate from high school or are

 

determined by the department to be on track to graduate from high

 

school, the school has at least 80% average attendance, and the

 

school has at least an 80% postsecondary enrollment rate.

 

        (5) A school of excellence shall be organized and administered

 

under the direction of a board of directors in accordance with this

 

part and with bylaws adopted by the board of directors. A school of

 

excellence shall be organized under the nonprofit corporation act,

 

1982 PA 162, MCL 450.2101 to 450.3192, except that a school of

 

excellence is not required to comply with sections 170 to 177 of

 

1931 PA 327, MCL 450.170 to 450.177. To the extent disqualified

 

under the state or federal constitution, a school of excellence

 

shall not be organized by a church or other religious organization

 

and shall not have any organizational or contractual affiliation

 

with or constitute a church or other religious organization.

 

        (6) Any of the following may act as an authorizing body to

 

issue a contract to organize and operate 1 or more schools of

 

excellence under this part:

 

        (a) The board of a school district. However, except as

 

otherwise provided in this subdivision, the board of a school

 

district shall not issue a contract for a school of excellence to

 

operate outside the school district's boundaries, and a school of

 

excellence authorized by the board of a school district shall not

 

operate outside that school district's boundaries. If the board of

 

a school district issues a contract for a school of excellence that

 

is a cyber school, the contract may authorize the school of

 

excellence that is a cyber school to operate outside that school

 

district's boundaries.

 

        (b) An intermediate school board. However, except as otherwise

 

provided in this subdivision, the board of an intermediate school

 

district shall not issue a contract for a school of excellence to

 

operate outside the intermediate school district's boundaries, and

 

a school of excellence authorized by the board of an intermediate

 

school district shall not operate outside that intermediate school

 

district's boundaries. If the board of an intermediate school

 

district issues a contract for a school of excellence that is a

 

cyber school, the contract may authorize the school of excellence

 

that is a cyber school to operate outside that intermediate school

 

district's boundaries.

 

        (c) The board of a community college, if the board is

 

popularly elected under the Michigan election law. Except as

 

otherwise provided in this subdivision, the board of a community

 

college shall not issue a contract for a school of excellence to

 

operate outside the boundaries of the community college district,

 

and a school of excellence authorized by the board of a community

 

college shall not operate outside the boundaries of the community

 

college district. If the board of a community college issues a

 

contract for a school of excellence that is a cyber school, the

 

contract may authorize the school of excellence that is a cyber

 

school to operate outside the boundaries of the community college

 

district. The board of a community college also may issue a

 

contract for not more than 1 school of excellence to operate on the

 

grounds of an active or closed federal military installation

 

located outside the boundaries of the community college district,

 

or may operate a school of excellence itself on the grounds of such

 

a federal military installation, if the federal military

 

installation is not located within the boundaries of any community

 

college district and the community college has previously offered

 

courses on the grounds of the federal military installation for at

 

least 10 years.

 

        (d) The governing board of a state public university, if the

 

board is popularly elected under the Michigan election law.

 

        (e) Two or more of the public agencies described in

 

subdivisions (a) to (d) exercising power, privilege, or authority

 

jointly pursuant to an interlocal agreement under the urban

 

cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to

 

124.512.

 

        (7) To obtain a contract to organize and operate 1 or more

 

schools of excellence, 1 or more persons or an entity may apply to

 

an authorizing body described in this section. The application

 

shall must include at least all of the following:

 

        (a) Identification of the applicant for the contract.

 

        (b) Subject to the resolution adopted by the authorizing body

 

under section 553(4), a list of the proposed members of the board

 

of directors of the school of excellence and a description of the

 

qualifications and method for appointment or election of members of

 

the board of directors.

 

        (c) The proposed articles of incorporation, which shall must

 

include at least all of the following:

 

        (i) The name of the proposed school of excellence.

 

        (ii) The purposes for the school of excellence corporation.

 

This language shall must provide that the school of excellence is

 

incorporated pursuant to this part and that the school of

 

excellence is a governmental entity.

 

        (iii) The name of the authorizing body.

 

        (iv) The proposed time when the articles of incorporation will

 

be effective.

 

        (v) Other matters considered expedient to be in the articles

 

of incorporation.

 

        (d) A copy of the proposed bylaws of the school of excellence.

 

        (e) Documentation meeting the application requirements of the

 

authorizing body, including at least all of the following:

 

        (i) The governance structure of the school of excellence.

 

        (ii) A copy of the educational goals of the school of

 

excellence and the curricula to be offered and methods of pupil

 

assessment to be used by the school of excellence. The educational

 

goals shall must include demonstrated improved pupil academic

 

achievement for all groups of pupils. To the extent applicable, the

 

progress of the pupils in the school of excellence shall must be

 

assessed using both the mathematics and reading portions of the

 

Michigan student test of educational progress (M-STEP) or the

 

Michigan merit examination under section 1279g, as applicable.

 

        (iii) The admission policy and criteria to be maintained by

 

the school of excellence. The admission policy and criteria shall

 

must comply with section 556. This part of the application also

 

shall must include a description of how the applicant will provide

 

to the general public adequate notice that a school of excellence

 

is being created and adequate information on the admission policy,

 

criteria, and process.

 

        (iv) Except for a school of excellence that is a cyber school,

 

the school calendar and school day schedule.

 

        (v) The age or grade range of pupils to be enrolled.

 

        (f) Descriptions of staff responsibilities and of the school

 

of excellence governance structure.

 

        (g) For an application to the board of a school district, an

 

intermediate school board, or board of a community college,

 

identification of the school district and intermediate school

 

district in which the school of excellence will be located.

 

        (h) An agreement that the school of excellence will comply

 

with the provisions of this part and, subject to the provisions of

 

this part, with all other state law applicable to public bodies and

 

with federal law applicable to public bodies or school districts.

 

        (i) A description of and address for the proposed physical

 

plant in which the school of excellence will be located. An

 

applicant may request the authorizing body to issue a contract

 

allowing the board of directors of the school of excellence to

 

operate the same configuration of age or grade levels at more than

 

1 site.

 

        (8) An authorizing body shall oversee, or shall contract with

 

an intermediate school district, community college, or state public

 

university to oversee, each school of excellence operating under a

 

contract issued by the authorizing body. The authorizing body is

 

responsible for overseeing compliance by the board of directors

 

with the contract and all applicable law. This subsection does not

 

relieve any other government entity of its enforcement or

 

supervisory responsibility.

 

        (9) If the superintendent of public instruction finds that an

 

authorizing body is not engaging in appropriate continuing

 

oversight of 1 or more schools of excellence operating under a

 

contract issued by the authorizing body, the superintendent of

 

public instruction may suspend the power of the authorizing body to

 

issue new contracts to organize and operate schools of excellence.

 

A contract issued by the authorizing body during the suspension is

 

void. A contract issued by the authorizing body before the

 

suspension is not affected by the suspension.

 

        (10) An authorizing body shall not charge a fee, or require

 

reimbursement of expenses, for considering an application for a

 

contract, for issuing a contract, or for providing oversight of a

 

contract for a school of excellence in an amount that exceeds a

 

combined total of 3% of the total state school aid received by the

 

school of excellence in the school year in which the fees or

 

expenses are charged. The authorizing body may provide other

 

services for a school of excellence and charge a fee for those

 

services, but shall not require such an arrangement as a condition

 

to issuing the contract authorizing the school of excellence.

 

        (11) A school of excellence shall be presumed to be legally

 

organized if it has exercised the franchises and privileges of a

 

public school academy for at least 2 years.

 

        (12) A member of the board of directors of a school of

 

excellence is a public officer and shall, must, before entering

 

upon the duties of the office, take the constitutional oath of

 

office for public officers under section 1 of article XI of the

 

state constitution of 1963.

 

        (13) A school of excellence that is a cyber school may make

 

available to other public schools for purchase any of the course

 

offerings that the cyber school offers to its own pupils.

 

        (14) If the department determines that the combined total

 

statewide final audited membership for all pupils in membership in

 

schools of excellence that are cyber schools for the 2012-2013

 

state fiscal year exceeds a number equal to 1% of the combined

 

total statewide final audited membership for all pupils in

 

membership in public schools for the 2011-2012 state fiscal year,

 

then all of the following apply:

 

        (a) An authorizing body may not issue a new contract for a new

 

school of excellence that is a cyber school to begin operations in

 

the 2013-2014 school year.

 

        (b) A school of excellence that is a cyber school may not

 

enroll any new pupils in the school of excellence that is a cyber

 

school in the 2013-2014 school year.

 

        (15) Beginning July 1, 2013, if the department determines that

 

the combined total statewide final audited membership for all

 

pupils in membership in schools of excellence that are cyber

 

schools for a state fiscal year exceeds a number equal to 2% of the

 

combined total statewide final audited membership for all pupils in

 

membership in public schools for the 2011-2012 state fiscal year,

 

then all of the following apply:

 

        (a) Subject to subdivision (c), an authorizing body may not

 

issue a new contract for a new school of excellence that is a cyber

 

school to begin operations in a school year that begins after that

 

determination is made.

 

        (b) Subject to subdivision (c), a school of excellence that is

 

a cyber school may not enroll any new pupils in the school of

 

excellence that is a cyber school in a school year that begins

 

after that determination is made.

 

        (c) If the department determines that the combined total

 

statewide final audited membership for all pupils in membership in

 

schools of excellence that are cyber schools for a state fiscal

 

year does not exceed a number equal to 2% of the combined total

 

statewide final audited membership for all pupils in membership in

 

public schools for the 2011-2012 state fiscal year, then

 

subdivisions (a) and (b) do not apply for a school year that begins

 

after that determination is made unless the department makes a new

 

determination that the membership limits under this subsection have

 

been exceeded.

 

        (16) For the purposes of subsections (14) and (15), not later

 

than July 1 of each year, the department shall determine the

 

percentage of the combined total statewide final audited membership

 

for all pupils in membership in public schools that are pupils in

 

membership in schools of excellence that are cyber schools for the

 

state fiscal year that includes that July 1.

 

        (17) As used in this section:

 

        (a) "Membership" means that term as defined in section 6 of

 

the state school aid act of 1979, MCL 388.1606.

 

        (b) "Statewide authorizing body" means the governing board of

 

a state public university or the board of a federal tribally

 

controlled community college that is recognized under the tribally

 

controlled colleges and universities assistance act of 1978, 25 USC

 

1801 to 1864, if the board is popularly elected under the Michigan

 

election law, and is determined by the department to meet the

 

requirements for accreditation by a recognized regional accrediting

 

body.

 

        (18) Not later than October 1, 2012, if a district, an

 

intermediate school district, a public school academy, or the

 

education achievement system offers online learning, the board or

 

board of directors of the district, intermediate school district,

 

or public school academy, or the education achievement system,

 

shall submit to the department a report that details the per-pupil

 

costs of operating the online learning. The report shall must

 

include, on a per-pupil basis, at least all of the following costs:

 

        (a) Textbooks, instructional materials, and supplies,

 

including electronic instructional material.

 

        (b) Computer and other electronic equipment, including

 

internet and telephone access.

 

        (c) Salaries and benefits for the online learning employees.

 

        (d) Purchased courses and curricula.

 

        (e) Fees associated with oversight and regulation.

 

        (f) Travel costs associated with school activities and

 

testing.

 

        (g) Facilities costs.

 

        (h) Costs associated with special education.

 

        (19) Not later than December 31, 2012, the department shall

 

issue a report to the legislature including the following:

 

        (a) A review of the data submitted under subsection (14).

 

        (b) A comparison with costs of substantially similar programs

 

in other states and relevant national research on the costs of

 

online learning.

 

        (c) Any conclusions concerning factors or characteristics of

 

online learning programs that make a difference in the costs of

 

operating the programs.

 

        (20) The board of directors of a school of excellence that is

 

a cyber school, or the board of a school district, intermediate

 

school district, or public school academy that operates an online

 

or other distance learning program, shall submit a monthly report

 

to the department, in the form and manner prescribed by the

 

department, that reports the number of pupils enrolled in the

 

school of excellence that is a cyber school, or in the online or

 

other distance learning program, during the immediately preceding

 

month.

 

        (21) The board of directors of a school of excellence that is

 

a cyber school shall ensure that, when a pupil enrolls in the

 

school of excellence that is a cyber school, the pupil and his or

 

her parent or legal guardian are provided with a parent-student

 

orientation. If the pupil is at least age 18 or is an emancipated

 

minor, the orientation may be provided to just the pupil.

 

        (22) Both of the following apply to the issuance of a contract

 

for a school of excellence to be located within a community

 

district:

 

        (a) An authorizing body shall not issue a contract to organize

 

and operate a new school of excellence to be located in a community

 

district unless, before issuing the contract, the governing board

 

of the authorizing body has certified to the department that the

 

authorizing body has been accredited as an authorizing body by a

 

nationally recognized accreditation body. For an authorizing body

 

described in subsection (6)(e), the authorizing body shall not

 

issue a contract to organize and operate a new school of excellence

 

to be located in a community district unless, before issuing the

 

contract, the governing board of each of the public agencies that

 

is party to the interlocal agreement has certified to the

 

department that the public agency has been accredited as an

 

authorizing body by a nationally recognized accreditation body.

 

        (b) An authorizing body shall not issue a contract for a new

 

school of excellence to be located in a community district if both

 

of the following circumstances exist:

 

        (i) Either of the following:

 

        (A) The proposed school of excellence would operate at the

 

same location as a public school that currently is on the list

 

under former section 1280c(1) or section 1280g(3), as applicable,

 

of the public schools in this state determined to be among the

 

lowest achieving public schools in this state or has been on that

 

list during the immediately preceding 3-year period.

 

        (B) The proposed school of excellence would operate at the

 

same location as a public school academy, urban high school

 

academy, school of excellence, or strict discipline academy that

 

has had its contract revoked or terminated by an authorizing body

 

under the applicable part or section.

 

        (ii) The proposed school of excellence would have

 

substantially the same board of directors, substantially the same

 

leadership, and substantially the same curriculum offerings as the

 

public school that previously operated at that location.

 

        Sec. 1311d. (1) A strict discipline academy shall be organized

 

and administered under the direction of a board of directors in

 

accordance with sections 1311b to 1311l 1311m and with bylaws

 

adopted by the board of directors. A strict discipline academy

 

corporation created to operate a strict discipline academy shall be

 

organized under the nonprofit corporation act, 1982 PA 162, MCL

 

450.2101 to 450.3192, except that the strict discipline academy

 

corporation is not required to comply with sections 170 to 177 of

 

1931 PA 327, MCL 450.170 to 450.177. To the extent disqualified

 

under the state or federal constitution, a strict discipline

 

academy shall not be organized by a church or other religious

 

organization and shall not have any organizational or contractual

 

affiliation with or constitute a church or other religious

 

organization.

 

        (2) Any of the following may act as an authorizing body to

 

issue a contract to organize and operate 1 or more strict

 

discipline academies under sections 1311b to 1311l:1311m:

 

        (a) The board of a school district that operates grades K to

 

12. However, the board of a school district shall not issue a

 

contract for a strict discipline academy to operate outside the

 

school district's boundaries, and a strict discipline academy

 

authorized by the board of a school district shall not operate

 

outside that school district's boundaries.

 

        (b) An intermediate school board. However, the board of an

 

intermediate school district shall not issue a contract for a

 

strict discipline academy to operate outside the intermediate

 

school district's boundaries, and a strict discipline academy

 

authorized by the board of an intermediate school district shall

 

not operate outside that intermediate school district's boundaries.

 

        (c) The board of a community college, if the board is

 

popularly elected under the Michigan election law. However, except

 

as otherwise provided in this subdivision, the board of a community

 

college shall not issue a contract for a strict discipline academy

 

to operate in a school district organized as a school district of

 

the first class, a strict discipline academy authorized by the

 

board of a community college shall not operate in a school district

 

organized as a school district of the first class, the board of a

 

community college shall not issue a contract for a strict

 

discipline academy to operate outside the boundaries of the

 

community college district, and a strict discipline academy

 

authorized by the board of a community college shall not operate

 

outside the boundaries of the community college district. The board

 

of a community college also may issue a contract for not more than

 

1 strict discipline academy to operate on the grounds of an active

 

or closed federal military installation located outside the

 

boundaries of the community college district, or may operate a

 

strict discipline academy itself on the grounds of such a federal

 

military installation, if the federal military installation is not

 

located within the boundaries of any community college district and

 

the community college has previously offered courses on the grounds

 

of the federal military installation for at least 10 years.

 

        (d) The governing board of a state public university, if the

 

board is popularly elected under the Michigan election law.

 

        (3) To obtain a contract to organize and operate 1 or more

 

strict discipline academies, 1 or more persons or an entity may

 

apply to an authorizing body described in subsection (2). The

 

application shall must include at least all of the following:

 

        (a) Identification of the applicant for the contract.

 

        (b) Subject to the resolution adopted by the authorizing body

 

under section 1311e, a list of the proposed members of the board of

 

directors of the strict discipline academy and a description of the

 

qualifications and method for appointment or election of members of

 

the board of directors.

 

        (c) The proposed articles of incorporation, which shall must

 

include at least all of the following:

 

        (i) The name of the proposed strict discipline academy.

 

        (ii) The purposes for the strict discipline academy

 

corporation that will operate the strict discipline academy. This

 

language shall must provide that the strict discipline academy is

 

established pursuant to sections 1311b to 1311l 1311m and that the

 

strict discipline academy corporation is a governmental entity.

 

        (iii) The name of the authorizing body.

 

        (iv) The proposed time when the articles of incorporation will

 

be effective.

 

        (v) Other matters considered expedient to be in the articles

 

of incorporation.

 

        (d) A copy of the proposed bylaws of the strict discipline

 

academy.

 

        (e) Documentation meeting the application requirements of the

 

authorizing body, including at least all of the following:

 

        (i) The governance structure of the strict discipline academy.

 

        (ii) A copy of the educational goals of the strict discipline

 

academy and the curricula to be offered and methods of pupil

 

assessment to be used by the strict discipline academy. To the

 

extent applicable, the progress of the pupils in the strict

 

discipline academy shall must be assessed using at least a the

 

Michigan education assessment program (MEAP) test or an assessment

 

instrument developed under section 1279 for a state-endorsed high

 

school diploma.student test of educational progress (M-STEP) or the

 

Michigan merit examination under section 1279g, as applicable.

 

        (iii) The admission policy and criteria to be maintained by

 

the strict discipline academy. The admission policy and criteria

 

shall must comply with section 1311g. This part of the application

 

also shall must include a description of how the applicant will

 

provide to the general public adequate notice that a strict

 

discipline academy is being created and adequate information on the

 

admission policy, criteria, and process.

 

        (iv) The school calendar and school day schedule.

 

        (v) The age or grade range of pupils to be enrolled.

 

        (vi) The type of pupils to be enrolled in the strict

 

discipline academy, as described in section 1311g(3) and (4).

 

        (f) Descriptions of staff responsibilities and of the strict

 

discipline academy's governance structure.

 

        (g) For an application to the board of a school district, an

 

intermediate school board, or board of a community college,

 

identification of the local and intermediate school districts in

 

which the strict discipline academy will be located.

 

        (h) An agreement that the strict discipline academy will

 

comply with the provisions of sections 1311b to 1311l 1311m and,

 

subject to the provisions of these sections, with all other state

 

law applicable to public bodies and with federal law applicable to

 

public bodies or school districts.

 

        (i) For a strict discipline academy authorized by a school

 

district, an assurance that employees of the strict discipline

 

academy will be covered by the collective bargaining agreements

 

that apply to other employees of the school district employed in

 

similar classifications in schools that are not strict discipline

 

academies.

 

        (j) A description of and address for the proposed physical

 

plant in which the strict discipline academy will be located.

 

        (4) An authorizing body shall oversee, or shall contract with

 

an intermediate school district, community college, or state public

 

university to oversee, each strict discipline academy operating

 

under a contract issued by the authorizing body. The oversight

 

shall be sufficient to ensure that the authorizing body can certify

 

that the strict discipline academy is in compliance with statute,

 

rules, and the terms of the contract.

 

        (5) If the state board finds that an authorizing body is not

 

engaging in appropriate continuing oversight of 1 or more strict

 

discipline academies operating under a contract issued by the

 

authorizing body, the state board may suspend the power of the

 

authorizing body to issue new contracts to organize and operate

 

strict discipline academies. A contract issued by the authorizing

 

body during the suspension is void. A contract issued by the

 

authorizing body before the suspension is not affected by the

 

suspension.

 

        (6) An authorizing body shall not charge a fee, or require

 

reimbursement of expenses, for considering an application for a

 

contract, for issuing a contract, or for providing oversight of a

 

contract for a strict discipline academy in an amount that exceeds

 

a combined total of 3% of the total state school aid received by

 

the strict discipline academy in the school year in which the fees

 

or expenses are charged. An authorizing body may provide other

 

services for a strict discipline academy and charge a fee for those

 

services, but shall not require such an arrangement as a condition

 

to issuing the contract authorizing the strict discipline academy.

 

        (7) A strict discipline academy shall be presumed to be

 

legally organized if it has exercised the franchises and privileges

 

of a strict discipline academy for at least 2 years.

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