ENGROSSED SENATE
BILL NO. 425	By:	Jolley of the Senate

			and

		Denney of the House

[ schools - scholarships - scholarship amount - directing deposit - Early Graduation Scholarship Revolving Fund - codification - effective date - 		emergency ]

BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 1210.528 of Title 70, unless there is created a duplication in numbering, reads as follows:
A.  Subject to the availability of funds, students who meet the requirements set forth in Sections 1210.523 and 11-103.6 of Title 70 of the Oklahoma Statutes in order to graduate from a public high school with a standard diploma in fewer than four (4) years, who are United States citizens and who are found to not be in need of remediation shall be eligible to receive a scholarship.  The amount of the scholarship shall be equal to the amount that would otherwise be appropriated to the school district for the instruction of the student.
B.  School districts shall notify the State Department of Education if a student graduates in fewer than four (4) years and is eligible for a scholarship.
C.  1.  The State Department of Education shall calculate the total cost of all scholarships for eligible students in this state.  The State Department of Education shall then reserve or retain from the total amount appropriated to the State Board of Education for State Aid purposes and any other revenues available for allocation for State Aid purposes the total cost for all scholarship payments.
2.  The maximum scholarship granted for an eligible student shall be a calculated amount equivalent to the total State Aid factors for the applicable school year multiplied by the grade weight generated by that student for the applicable school year.
3.  The amount of the scholarship shall be prorated to reflect the number of days remaining in the current school year, if the scholarship request is granted after the beginning of the school year.
4.  The amount of the scholarship shall be deposited in the Early Graduation Scholarship Revolving Fund.
5.  The State Department of Education shall notify the school district in which the eligible student is enrolled of the amount of the scholarship.  The scholarship payment shall be made after the Department verifies that the student has met all applicable requirements for early graduation from high school and is not in need of remedial coursework.
6.  Payment of the scholarship shall be made by the Department to the Early Graduation Scholarship Revolving Fund created in Section 2 of this act.  The Department shall transfer the scholarship amount from the Early Graduation Scholarship Revolving Fund to the institution of higher education in which the student is enrolled upon receipt of a certification that the student is enrolled in the institution and is not enrolled nor is expected to enroll in remedial courses.
D.  The State Board of Education shall promulgate rules to implement the provisions of this section.
SECTION 2.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 1210.529 of Title 70, unless there is created a duplication in numbering, reads as follows:
There is hereby created in the State Treasury a revolving fund for the State Board of Education to be designated the "Early Graduation Scholarship Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies deposited by the State Board of Education as provided for in Section 1 of this act, any state-appropriated funds, federal funds, donations, grants, contributions and gifts from any public or private source.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the State Board of Education for the purposes of providing scholarships to students as provided for in Section 1 of this act.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of the Office of Management and Enterprise Services for approval and payment.
SECTION 3.  This act shall become effective July 1, 2013.
SECTION 4.  It being immediately necessary for the preservation of the public peace, health and safety, an emergency is hereby declared to exist, by reason whereof this act shall take effect and be in full force from and after its passage and approval.
Passed the Senate the 28th day of February, 2013.

	
	Presiding Officer of the Senate

Passed the House of Representatives the ____ day of __________, 2013.

	
	Presiding Officer of the House
	of Representatives