Bill Text: TX SB1301 | 2013-2014 | 83rd Legislature | Introduced
Bill Title: Relating to granting and revoking licenses for open-enrollment charter schools and to exempting certain open-enrollment charter schools from assignment of a performance rating.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2013-03-13 - Referred to Education [SB1301 Detail]
Download: Texas-2013-SB1301-Introduced.html
83R9096 CAS-D | ||
By: Davis | S.B. No. 1301 |
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relating to granting and revoking licenses for open-enrollment | ||
charter schools and to exempting certain open-enrollment charter | ||
schools from assignment of a performance rating. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 5.001(6), Education Code, is amended to | ||
read as follows: | ||
(6) "Open-enrollment charter school" means a school | ||
that has been granted a license [ |
||
Chapter 12. | ||
SECTION 2. Section 7.028(a), Education Code, is amended to | ||
read as follows: | ||
(a) Except as provided by Section 29.001(5), 29.010(a), | ||
39.056, or 39.057, the agency may monitor compliance with | ||
requirements applicable to a process or program provided by a | ||
school district, campus, program, or school granted a charter or | ||
license [ |
||
described by Subchapter F, Chapter 11, or a program described by | ||
Subchapter B, C, D, E, F, H, or I, Chapter 29, Subchapter A, Chapter | ||
37, or Section 38.003, and the use of funds provided for such a | ||
program under Subchapter C, Chapter 42, only as necessary to | ||
ensure: | ||
(1) compliance with federal law and regulations; | ||
(2) financial accountability, including compliance | ||
with grant requirements; and | ||
(3) data integrity for purposes of: | ||
(A) the Public Education Information Management | ||
System (PEIMS); and | ||
(B) accountability under Chapter 39. | ||
SECTION 3. Section 7.102(c)(9), Education Code, is amended | ||
to read as follows: | ||
(9) The board may grant an open-enrollment license | ||
[ |
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D, Chapter 12. | ||
SECTION 4. The heading to Chapter 12, Education Code, is | ||
amended to read as follows: | ||
CHAPTER 12. CHARTERS AND LICENSES | ||
SECTION 5. Section 12.001(b), Education Code, is amended to | ||
read as follows: | ||
(b) This chapter shall be applied in a manner that ensures | ||
the fiscal and academic accountability of persons holding charters | ||
or licenses granted [ |
||
not be applied in a manner that unduly regulates the instructional | ||
methods or pedagogical innovations of charter schools. | ||
SECTION 6. Sections 12.101(a), (b), and (d), Education | ||
Code, are amended to read as follows: | ||
(a) In accordance with this subchapter, the State Board of | ||
Education may grant a license [ |
||
eligible entity for an open-enrollment charter school to operate in | ||
a facility of a commercial or nonprofit entity, an eligible entity, | ||
or a school district, including a home-rule school district. In | ||
this subsection, "eligible entity" means: | ||
(1) an institution of higher education as defined | ||
under Section 61.003; | ||
(2) a private or independent institution of higher | ||
education as defined under Section 61.003; | ||
(3) an organization that is exempt from taxation under | ||
Section 501(c)(3), Internal Revenue Code of 1986 (26 U.S.C. Section | ||
501(c)(3)); or | ||
(4) a governmental entity. | ||
(b) The State Board of Education may grant a license | ||
[ |
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applicant that meets any financial, governing, and operational | ||
standards adopted by the commissioner under this subchapter. The | ||
State Board of Education may not grant a total of more than 215 | ||
licenses [ |
||
(d) An educator employed by a school district before the | ||
effective date of a license [ |
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charter school operated at a school district facility may not be | ||
transferred to or employed by the open-enrollment charter school | ||
over the educator's objection. | ||
SECTION 7. Section 12.1012, Education Code, is amended by | ||
amending Subdivisions (2), (3), and (4) and adding Subdivision | ||
(3-a) to read as follows: | ||
(2) "Governing body of a license [ |
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means the board of directors, board of trustees, or other governing | ||
body of a license [ |
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(3) "Governing body of an open-enrollment charter | ||
school" means the board of directors, board of trustees, or other | ||
governing body of an open-enrollment charter school. The term | ||
includes the governing body of a license [ |
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body acts as the governing body of the open-enrollment charter | ||
school. | ||
(3-a) "License holder" means the entity to which a | ||
license is granted under this subchapter. | ||
(4) "Management company" means a person, other than a | ||
license [ |
||
open-enrollment charter school. | ||
SECTION 8. Section 12.102, Education Code, is amended to | ||
read as follows: | ||
Sec. 12.102. AUTHORITY UNDER LICENSE [ |
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open-enrollment charter school: | ||
(1) shall provide instruction to students at one or | ||
more elementary or secondary grade levels as provided by the | ||
license [ |
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(2) is governed under the governing structure | ||
described by the license [ |
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(3) retains authority to operate under the license | ||
[ |
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provided by the charter in accordance with Section 12.111; and | ||
(4) does not have authority to impose taxes. | ||
SECTION 9. Section 12.1051(a), Education Code, is amended | ||
to read as follows: | ||
(a) With respect to the operation of an open-enrollment | ||
charter school, the governing body of a license [ |
||
and the governing body of an open-enrollment charter school are | ||
considered to be governmental bodies for purposes of Chapters 551 | ||
and 552, Government Code. | ||
SECTION 10. Sections 12.1052(b), (c), and (e), Education | ||
Code, are amended to read as follows: | ||
(b) Records of an open-enrollment charter school and | ||
records of a license [ |
||
open-enrollment charter school are government records for all | ||
purposes under state law. | ||
(c) Any requirement in Subtitle C, Title 6, Local Government | ||
Code, or Subchapter J, Chapter 441, Government Code, that applies | ||
to a school district, the board of trustees of a school district, or | ||
an officer or employee of a school district applies to an | ||
open-enrollment charter school, the governing body of a license | ||
[ |
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school, or an officer or employee of an open-enrollment charter | ||
school except that the records of an open-enrollment charter school | ||
that ceases to operate shall be transferred in the manner | ||
prescribed by Subsection (d). | ||
(e) If the license [ |
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charter school that ceases to operate or an officer or employee of | ||
such a school refuses to transfer school records in the manner | ||
specified by the commissioner under Subsection (d), the | ||
commissioner may ask the attorney general to petition a court for | ||
recovery of the records. If the court grants the petition, the | ||
court shall award attorney's fees and court costs to the state. | ||
SECTION 11. Sections 12.1053(a) and (c), Education Code, | ||
are amended to read as follows: | ||
(a) This section applies to an open-enrollment charter | ||
school unless the school's license [ |
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procedures for purchasing and contracting and the procedures are | ||
approved by the State Board of Education. | ||
(c) To the extent consistent with this section, a | ||
requirement in a law listed in this section that applies to a school | ||
district or the board of trustees of a school district applies to an | ||
open-enrollment charter school, the governing body of a license | ||
[ |
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charter school. | ||
SECTION 12. Section 12.1054, Education Code, is amended to | ||
read as follows: | ||
Sec. 12.1054. APPLICABILITY OF LAWS RELATING TO CONFLICT OF | ||
INTEREST. (a) A member of the governing body of a license | ||
[ |
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open-enrollment charter school, or an officer of an open-enrollment | ||
charter school is considered to be a local public official for | ||
purposes of Chapter 171, Local Government Code. For purposes of | ||
that chapter: | ||
(1) a member of the governing body of a license | ||
[ |
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open-enrollment charter school is considered to have a substantial | ||
interest in a business entity if a person related to the member or | ||
officer in the third degree by consanguinity or affinity, as | ||
determined under Chapter 573, Government Code, has a substantial | ||
interest in the business entity under Section 171.002, Local | ||
Government Code; | ||
(2) notwithstanding Subdivision (1) [ |
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school that has been assigned an [ |
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rating [ |
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preceding three school years may serve as a member of the governing | ||
body of the license [ |
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the school if the employees do not constitute a quorum of the | ||
governing body or any committee of the governing body; however, all | ||
members shall comply with [ |
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171.003-171.007, Local Government Code. | ||
(b) To the extent consistent with this section, a | ||
requirement in a law listed in this section that applies to a school | ||
district or the board of trustees of a school district applies to an | ||
open-enrollment charter school, the governing body of a license | ||
[ |
||
charter school. | ||
(c) An open-enrollment charter school rated as academically | ||
acceptable or higher under Subchapter D, Chapter 39, as that | ||
subchapter existed January 1, 2009, for the 2010-2011 school year | ||
is considered to have been assigned an acceptable performance | ||
rating for the 2010-2011 school year. This subsection expires | ||
September 1, 2015. | ||
SECTION 13. Section 12.1055, Education Code, is amended by | ||
amending Subsection (b) and adding Subsection (c) to read as | ||
follows: | ||
(b) Notwithstanding Subsection (a), if an open-enrollment | ||
charter school has been assigned an [ |
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performance rating [ |
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two of the preceding three school years, [ |
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Government Code, does not apply to that school; however, a member of | ||
the governing body of a license [ |
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governing body or officer of an open-enrollment charter school | ||
shall comply with [ |
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Local Government Code, with respect to a personnel matter | ||
concerning a person related to the member or officer within the | ||
degree specified by Section 573.002, Government Code, as if the | ||
personnel matter were a transaction with a business entity subject | ||
to those sections, and persons described [ |
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573.021-573.025, Government Code, may [ |
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quorum of the governing body or any committee of the governing body. | ||
(c) An open-enrollment charter school rated as academically | ||
acceptable or higher under Subchapter D, Chapter 39, as that | ||
subchapter existed January 1, 2009, for the 2010-2011 school year | ||
is considered to have been assigned an acceptable performance | ||
rating for the 2010-2011 school year. This subsection expires | ||
September 1, 2015. | ||
SECTION 14. Section 12.1056, Education Code, is amended to | ||
read as follows: | ||
Sec. 12.1056. IMMUNITY FROM LIABILITY. In matters related | ||
to operation of an open-enrollment charter school, an | ||
open-enrollment charter school is immune from liability to the same | ||
extent as a school district, and its employees and volunteers are | ||
immune from liability to the same extent as school district | ||
employees and volunteers. A member of the governing body of an | ||
open-enrollment charter school or of a license [ |
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immune from liability to the same extent as a school district | ||
trustee. | ||
SECTION 15. Section 12.1057(a), Education Code, is amended | ||
to read as follows: | ||
(a) An employee of an open-enrollment charter school | ||
operating under a license [ |
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Education who qualifies for membership in the Teacher Retirement | ||
System of Texas shall be covered under the system to the same extent | ||
a qualified employee of a school district is covered. | ||
SECTION 16. Section 12.106(a), Education Code, as effective | ||
until September 1, 2017, is amended to read as follows: | ||
(a) A license [ |
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the open-enrollment charter school funding under Chapter 42 equal | ||
to the greater of: | ||
(1) the percentage specified by Section 42.2516(i) | ||
multiplied by the amount of funding per student in weighted average | ||
daily attendance, excluding enrichment funding under Sections | ||
42.302(a-1)(2) and (3), as they existed on January 1, 2009, that | ||
would have been received for the school during the 2009-2010 school | ||
year under Chapter 42 as it existed on January 1, 2009, and an | ||
additional amount of the percentage specified by Section 42.2516(i) | ||
multiplied by $120 for each student in weighted average daily | ||
attendance; or | ||
(2) the amount of funding per student in weighted | ||
average daily attendance, excluding enrichment funding under | ||
Section 42.302(a), to which the license [ |
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entitled for the school under Chapter 42 if the school were a school | ||
district without a tier one local share for purposes of Section | ||
42.253 and without any local revenue for purposes of Section | ||
42.2516. | ||
SECTION 17. Section 12.106(a), Education Code, as effective | ||
September 1, 2017, is amended to read as follows: | ||
(a) A license [ |
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the open-enrollment charter school funding under Chapter 42 equal | ||
to the amount of funding per student in weighted average daily | ||
attendance, excluding enrichment funding under Section 42.302(a), | ||
to which the license [ |
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school under Chapter 42 if the school were a school district without | ||
a tier one local share for purposes of Section 42.253. | ||
SECTION 18. Section 12.106(a-2), Education Code, is amended | ||
to read as follows: | ||
(a-2) In addition to the funding provided by Subsection (a), | ||
a license [ |
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open-enrollment charter school enrichment funding under Section | ||
42.302 based on the state average tax effort. | ||
SECTION 19. Sections 12.1061, 12.107, and 12.1071, | ||
Education Code, are amended to read as follows: | ||
Sec. 12.1061. RECOVERY OF CERTAIN FUNDS. The commissioner | ||
may not garnish or otherwise recover funds paid to an | ||
open-enrollment charter school under Section 12.106 if: | ||
(1) the basis of the garnishment or recovery is that: | ||
(A) the number of students enrolled in the school | ||
during a school year exceeded the student enrollment described by | ||
the school's license [ |
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(B) the school received funding under Section | ||
12.106 based on the school's actual student enrollment; | ||
(2) the school: | ||
(A) submits to the commissioner a timely request | ||
to revise the maximum student enrollment described by the school's | ||
license [ |
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in writing of an objection to the proposed revision before the 90th | ||
day after the date on which the commissioner received the request, | ||
provided that the number of students enrolled at the school does not | ||
exceed the enrollment described by the school's request; or | ||
(B) exceeds the maximum student enrollment | ||
described by the school's license [ |
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mandated that a specific child enroll in that school; and | ||
(3) the school used all funds received under Section | ||
12.106 to provide education services to students. | ||
Sec. 12.107. STATUS AND USE OF FUNDS. (a) Funds received | ||
under Section 12.106 after September 1, 2001, by a license | ||
[ |
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(1) are considered to be public funds for all purposes | ||
under state law; | ||
(2) are held in trust by the license [ |
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for the benefit of the students of the open-enrollment charter | ||
school; | ||
(3) may be used only for a purpose for which a school | ||
may use local funds under Section 45.105(c); and | ||
(4) pending their use, must be deposited into a bank, | ||
as defined by Section 45.201, with which the license [ |
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holder has entered into a depository contract. | ||
(b) A license [ |
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copy of the depository contract between the license [ |
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holder and any bank into which state funds are deposited. | ||
Sec. 12.1071. EFFECT OF ACCEPTING STATE FUNDING. (a) A | ||
license [ |
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12.106 after the effective date of a provision of this subchapter | ||
agrees to be subject to that provision, regardless of the date on | ||
which the license [ |
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(b) A license [ |
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Section 12.106 after September 1, 2001, agrees to accept all | ||
liability under this subchapter for any funds accepted under that | ||
section before September 1, 2001. This subsection does not create | ||
liability for charter holder conduct occurring before September 1, | ||
2001. | ||
SECTION 20. Sections 12.110(a), (b), and (c), Education | ||
Code, are amended to read as follows: | ||
(a) The State Board of Education shall adopt: | ||
(1) an application form and a procedure that must be | ||
used to apply for a license [ |
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charter school; and | ||
(2) criteria to use in selecting a program for which to | ||
grant a license [ |
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(b) The application form must provide for including the | ||
information required under Section 12.111 to be contained in a | ||
license [ |
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(c) As part of the application procedure, the board may | ||
require a petition supporting a license [ |
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signed by a specified number of parents or guardians of school-age | ||
children residing in the area in which a school is proposed or may | ||
hold a public hearing to determine parental support for the school. | ||
SECTION 21. Sections 12.1101, 12.111, 12.112, 12.113, and | ||
12.114, Education Code, are amended to read as follows: | ||
Sec. 12.1101. NOTIFICATION OF LICENSE [ |
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APPLICATION. The commissioner by rule shall adopt a procedure for | ||
providing notice to the following persons on receipt by the State | ||
Board of Education of an application for a license [ |
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open-enrollment charter school under Section 12.110: | ||
(1) the board of trustees of each school district from | ||
which the proposed open-enrollment charter school is likely to draw | ||
students, as determined by the commissioner; and | ||
(2) each member of the legislature that represents the | ||
geographic area to be served by the proposed school, as determined | ||
by the commissioner. | ||
Sec. 12.111. CONTENT. (a) Each license [ |
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under this subchapter must: | ||
(1) describe the educational program to be offered, | ||
which must include the required curriculum as provided by Section | ||
28.002; | ||
(2) specify the period for which the charter or any | ||
charter renewal is valid; | ||
(3) provide that continuation or renewal of the | ||
license [ |
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on assessment instruments adopted under Subchapter B, Chapter 39, | ||
and on compliance with any accountability provision specified by | ||
the license [ |
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the license [ |
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(4) establish the level of student performance that is | ||
considered acceptable for purposes of Subdivision (3); | ||
(5) specify any basis, in addition to a basis | ||
specified by this subchapter, on which the license [ |
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placed on probation or revoked or on which renewal of the license | ||
[ |
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(6) prohibit discrimination in admission policy on the | ||
basis of sex, national origin, ethnicity, religion, disability, | ||
academic, artistic, or athletic ability, or the district the child | ||
would otherwise attend in accordance with this code, although the | ||
license [ |
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(A) provide for the exclusion of a student who | ||
has a documented history of a criminal offense, a juvenile court | ||
adjudication, or discipline problems under Subchapter A, Chapter | ||
37; and | ||
(B) provide for an admission policy that requires | ||
a student to demonstrate artistic ability if the school specializes | ||
in performing arts; | ||
(7) specify the grade levels to be offered; | ||
(8) describe the governing structure of the program, | ||
including: | ||
(A) the officer positions designated; | ||
(B) the manner in which officers are selected and | ||
removed from office; | ||
(C) the manner in which members of the governing | ||
body of the school are selected and removed from office; | ||
(D) the manner in which vacancies on that | ||
governing body are filled; | ||
(E) the term for which members of that governing | ||
body serve; and | ||
(F) whether the terms are to be staggered; | ||
(9) specify the powers or duties of the governing body | ||
of the school that the governing body may delegate to an officer; | ||
(10) specify the manner in which the school will | ||
distribute to parents information related to the qualifications of | ||
each professional employee of the program, including any | ||
professional or educational degree held by each employee, a | ||
statement of any certification under Subchapter B, Chapter 21, held | ||
by each employee, and any relevant experience of each employee; | ||
(11) describe the process by which the person | ||
providing the program will adopt an annual budget; | ||
(12) describe the manner in which an annual audit of | ||
the financial and programmatic operations of the program is to be | ||
conducted, including the manner in which the person providing the | ||
program will provide information necessary for the school district | ||
in which the program is located to participate, as required by this | ||
code or by State Board of Education rule, in the Public Education | ||
Information Management System (PEIMS); | ||
(13) describe the facilities to be used; | ||
(14) describe the geographical area served by the | ||
program; and | ||
(15) specify any type of enrollment criteria to be | ||
used. | ||
(b) A license [ |
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charter school shall consider including in the school's license | ||
[ |
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personal graduation plans under Section 28.0212. | ||
Sec. 12.112. FORM. A license [ |
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open-enrollment charter school shall be in the form of a written | ||
contract signed by the chair of the State Board of Education and the | ||
chief operating officer of the school. | ||
Sec. 12.113. LICENSE [ |
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CHARTERS. (a) Each license [ |
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grants for an open-enrollment charter school must: | ||
(1) satisfy this subchapter; and | ||
(2) include the information that is required under | ||
Section 12.111 consistent with the information provided in the | ||
application and any modification the board requires. | ||
(b) The grant of a charter under this subchapter does not | ||
create an entitlement to a renewal of a charter on the same terms as | ||
it was originally issued. A charter granted under this subchapter | ||
before September 1, 2013, may not be renewed. At the time the | ||
charter is eligible to be renewed under the terms of the charter, | ||
the charter may be renewed only as a license under this subchapter | ||
and relevant rules adopted under this subchapter. Except as | ||
otherwise provided by this section, during the period before a | ||
charter may be renewed as a license as provided by this subsection, | ||
this subchapter applies to the charter holder as though the charter | ||
holder were a license holder, to the governing body of the charter | ||
holder as though that governing body were the governing body of a | ||
license holder, and to the charter as though the charter were a | ||
license granted under this subchapter. The terms "charter holder" | ||
and "governing body of a charter holder" have the meanings assigned | ||
to those terms under Section 12.1012, as that section existed | ||
August 31, 2013, and that section is continued in effect for that | ||
purpose. The commissioner shall adopt rules as necessary to | ||
provide for the renewal of a charter as a license as provided by | ||
this subsection. This subsection expires September 1, 2025. | ||
Sec. 12.114. REVISION. (a) A revision of a license | ||
[ |
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with the approval of the commissioner. | ||
(b) Not more than once each year, an open-enrollment charter | ||
school may request approval to revise the maximum student | ||
enrollment described by the school's license [ |
||
SECTION 22. Section 12.115, Education Code, is amended to | ||
read as follows: | ||
Sec. 12.115. BASIS FOR MODIFICATION, PLACEMENT ON | ||
PROBATION, REVOCATION, OR DENIAL OF RENEWAL. (a) The commissioner | ||
may modify, place on probation, revoke, or deny renewal of the | ||
license [ |
||
commissioner determines that the license [ |
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(1) committed a material violation of the license | ||
[ |
||
prescribed by the license [ |
||
(2) failed to satisfy generally accepted accounting | ||
standards of fiscal management; | ||
(3) failed to protect the health, safety, or welfare | ||
of the students enrolled at the school; or | ||
(4) failed to comply with this subchapter or another | ||
applicable law or rule. | ||
(b) Except as provided by Section 12.116(a-1), the [ |
||
action the commissioner takes under Subsection (a) shall be based | ||
on the best interest of the open-enrollment charter school's | ||
students, the severity of the violation, and any previous violation | ||
the school has committed. | ||
SECTION 23. Section 12.116, Education Code, is amended by | ||
amending Subsections (a) and (b) and adding Subsection (a-1) to | ||
read as follows: | ||
(a) The commissioner shall adopt a procedure to be used for | ||
modifying, placing on probation, revoking, or denying renewal of | ||
the license [ |
||
(a-1) The procedure adopted under Subsection (a) must | ||
provide for the commissioner to give written notice to a license | ||
holder of a determination by the commissioner that Section | ||
12.115(a)(1), (2), or (3) applies to the license holder. The notice | ||
must specifically list each failure or violation by the license | ||
holder to which Section 12.115(a)(1), (2), or (3) applies, as | ||
determined by the commissioner. If, not later than the 270th day | ||
after the date of the receipt of notice by the license holder and | ||
after a hearing under Subsection (b), the commissioner determines | ||
that each violation or failure listed by the notice has not been | ||
corrected, the commissioner shall revoke the license holder's | ||
license. | ||
(b) The procedure adopted under Subsection (a) must provide | ||
an opportunity for a hearing to the license [ |
||
parents and guardians of students in the school. A hearing under | ||
this subsection must be held at the facility at which the program is | ||
operated. | ||
SECTION 24. Section 12.1161, Education Code, is amended to | ||
read as follows: | ||
Sec. 12.1161. EFFECT OF REVOCATION, DENIAL OF RENEWAL, OR | ||
SURRENDER OF LICENSE [ |
||
Subsection (b), if the commissioner revokes or denies the renewal | ||
of a license [ |
||
an open-enrollment charter school surrenders its license | ||
[ |
||
(1) continue to operate under this subchapter; or | ||
(2) receive state funds under this subchapter. | ||
(b) An open-enrollment charter school may continue to | ||
operate and receive state funds under this subchapter for the | ||
remainder of a school year if the commissioner denies renewal of the | ||
school's license [ |
||
year. | ||
SECTION 25. Sections 12.1162(a) and (d), Education Code, | ||
are amended to read as follows: | ||
(a) The commissioner shall take any of the actions described | ||
by Subsection (b) or by Section 39.102(a), to the extent the | ||
commissioner determines necessary, if an open-enrollment charter | ||
school, as determined by a report issued under Section 39.058(b): | ||
(1) commits a material violation of the school's | ||
license [ |
||
(2) fails to satisfy generally accepted accounting | ||
standards of fiscal management; or | ||
(3) fails to comply with this subchapter or another | ||
applicable rule or law. | ||
(d) Not later than the third business day after the date the | ||
commissioner acts under Subsection (b), the commissioner shall | ||
provide the license [ |
||
SECTION 26. Sections 12.1163(a) and (c), Education Code, | ||
are amended to read as follows: | ||
(a) To the extent consistent with this section, the | ||
commissioner may audit the records of: | ||
(1) an open-enrollment charter school; | ||
(2) a license [ |
||
(3) a management company. | ||
(c) Unless the commissioner has specific cause to conduct an | ||
additional audit, the commissioner may not conduct more than one | ||
on-site audit under this section [ |
||
fiscal year, including any financial and administrative records. | ||
For purposes of this subsection, an audit of a license [ |
||
holder or management company associated with an open-enrollment | ||
charter school is not considered an audit of the school. | ||
SECTION 27. Section 12.1164(a), Education Code, is amended | ||
to read as follows: | ||
(a) The commissioner must notify the Teacher Retirement | ||
System of Texas in writing of the revocation, denial of renewal, or | ||
surrender of a license [ |
||
than the 10th business day after the date of the event. | ||
SECTION 28. Section 12.117(c), Education Code, is amended | ||
to read as follows: | ||
(c) An open-enrollment charter school authorized by a | ||
license [ |
||
(1) is considered a work-site open-enrollment charter | ||
school for purposes of federal regulations regarding admissions | ||
policies that apply to open-enrollment charter schools receiving | ||
federal funding; and | ||
(2) notwithstanding Subsection (a), may admit | ||
children of employees of the municipality to the school before | ||
conducting a lottery to fill remaining available positions, | ||
provided that the number of children admitted under this | ||
subdivision constitutes only a small percentage, as may be further | ||
specified by federal regulation, of the school's total enrollment. | ||
SECTION 29. Section 12.118(b), Education Code, is amended | ||
to read as follows: | ||
(b) An evaluation under this section must include | ||
consideration of the following items before implementing the | ||
license [ |
||
(1) students' scores on assessment instruments | ||
administered under Subchapter B, Chapter 39; | ||
(2) student attendance; | ||
(3) students' grades; | ||
(4) incidents involving student discipline; | ||
(5) socioeconomic data on students' families; | ||
(6) parents' satisfaction with their children's | ||
schools; and | ||
(7) students' satisfaction with their schools. | ||
SECTION 30. Section 12.119(a), Education Code, is amended | ||
to read as follows: | ||
(a) A license [ |
||
Board of Education a copy of its articles of incorporation and | ||
bylaws, or comparable documents if the license [ |
||
does not have articles of incorporation or bylaws, within the | ||
period and in the manner prescribed by the board. | ||
SECTION 31. The heading to Section 12.120, Education Code, | ||
is amended to read as follows: | ||
Sec. 12.120. RESTRICTIONS ON SERVING AS MEMBER OF GOVERNING | ||
BODY OF LICENSE [ |
||
OR AS OFFICER OR EMPLOYEE. | ||
SECTION 32. Section 12.120(a), Education Code, is amended | ||
to read as follows: | ||
(a) A person may not serve as a member of the governing body | ||
of a license [ |
||
an open-enrollment charter school, or as an officer or employee of | ||
an open-enrollment charter school if the person: | ||
(1) has been convicted of a felony or a misdemeanor | ||
involving moral turpitude; | ||
(2) has been convicted of an offense listed in Section | ||
37.007(a); | ||
(3) has been convicted of an offense listed in Article | ||
62.001(5), Code of Criminal Procedure; or | ||
(4) has a substantial interest in a management | ||
company. | ||
SECTION 33. Section 12.124, Education Code, is amended to | ||
read as follows: | ||
Sec. 12.124. LOANS FROM MANAGEMENT COMPANY PROHIBITED. (a) | ||
The license [ |
||
open-enrollment charter school may not accept a loan from a | ||
management company that has a contract to provide management | ||
services to: | ||
(1) that charter school; or | ||
(2) another charter school that operates under a | ||
license [ |
||
(b) A license [ |
||
open-enrollment charter school that accepts a loan from a | ||
management company may not enter into a contract with that | ||
management company to provide management services to the school. | ||
SECTION 34. Section 12.127(c), Education Code, is amended | ||
to read as follows: | ||
(c) This section is cumulative of all other remedies and | ||
does not affect: | ||
(1) the liability of a management company to the | ||
license [ |
||
(2) the liability of a license [ |
||
member of the governing body of a license [ |
||
member of the governing body of an open-enrollment charter school | ||
to the state. | ||
SECTION 35. Sections 12.128(a), (b), and (e), Education | ||
Code, are amended to read as follows: | ||
(a) Property purchased or leased with funds received by a | ||
license [ |
||
2001: | ||
(1) is considered to be public property for all | ||
purposes under state law; | ||
(2) is held in trust by the license [ |
||
for the benefit of the students of the open-enrollment charter | ||
school; and | ||
(3) may be used only for a purpose for which a school | ||
district may use school district property. | ||
(b) If at least 50 percent of the funds used by a license | ||
[ |
||
Section 12.106 before September 1, 2001, the property is considered | ||
to be public property to the extent it was purchased with those | ||
funds. | ||
(e) This section does not affect a security interest in or | ||
lien on property established by a creditor in compliance with law if | ||
the security interest or lien arose in connection with the sale or | ||
lease of the property to the license [ |
||
SECTION 36. Section 12.132, Education Code, is amended to | ||
read as follows: | ||
Sec. 12.132. USE OF MUNICIPAL FUNDS FOR CHARTER SCHOOL LAND | ||
OR FACILITIES. A municipality to which a license [ |
||
granted under this subchapter may borrow funds, issue obligations, | ||
or otherwise spend its funds to acquire land or acquire, construct, | ||
expand, or renovate school buildings or facilities and related | ||
improvements for its open-enrollment charter school within the city | ||
limits of the municipality in the same manner the municipality is | ||
authorized to borrow funds, issue obligations, or otherwise spend | ||
its funds in connection with any other public works project. | ||
SECTION 37. Section 12.133, Education Code, is amended to | ||
read as follows: | ||
Sec. 12.133. WAGE INCREASE FOR CERTAIN PROFESSIONAL STAFF. | ||
(a) This section applies to a license [ |
||
January 1, 2006, operated an open-enrollment charter school. | ||
(b) Each school year, using state funds received by the | ||
license [ |
||
license [ |
||
Chapter 1579, Insurance Code, for the 2005-2006 school year shall | ||
provide employees of the license [ |
||
administrators, compensation in the form of annual salaries, | ||
incentives, or other compensation determined appropriate by the | ||
license [ |
||
increase for classroom teachers, full-time librarians, full-time | ||
counselors, and full-time school nurses who are employed by the | ||
license [ |
||
salary under Section 21.402 if employed by a school district, in an | ||
amount at least equal to $2,500. | ||
(b-1) Using state funds received by the license [ |
||
holder for that purpose under Subsection (d-1), a license [ |
||
holder that participated in the program under Chapter 1579, | ||
Insurance Code, for the 2005-2006 school year shall provide | ||
employees of the license [ |
||
administrators, compensation in the form of annual salaries, | ||
incentives, or other compensation determined appropriate by the | ||
license [ |
||
increases as follows: | ||
(1) for full-time employees other than employees who | ||
would be entitled to a minimum salary under Section 21.402 if | ||
employed by a school district, an average increase at least equal to | ||
$500; and | ||
(2) for part-time employees, an average increase at | ||
least equal to $250. | ||
(c) Each school year, using state funds received by the | ||
license [ |
||
license [ |
||
under Chapter 1579, Insurance Code, for the 2005-2006 school year | ||
shall provide employees of the license [ |
||
administrators, compensation in the form of annual salaries, | ||
incentives, or other compensation determined appropriate by the | ||
license [ |
||
increase for classroom teachers, full-time librarians, full-time | ||
counselors, and full-time school nurses who are employed by the | ||
license [ |
||
salary under Section 21.402 if employed by a school district, in an | ||
amount at least equal to $2,000. | ||
(d) Each school year, in addition to any amounts to which a | ||
license [ |
||
[ |
||
1579, Insurance Code, for the 2005-2006 school year is entitled to | ||
state aid in an amount, as determined by the commissioner, equal to | ||
the product of $2,500 multiplied by the number of classroom | ||
teachers, full-time librarians, full-time counselors, and | ||
full-time school nurses employed by the license [ |
||
an open-enrollment charter school. | ||
(d-1) In addition to any amounts to which a license | ||
[ |
||
[ |
||
1579, Insurance Code, for the 2005-2006 school year is entitled to | ||
state aid in an amount, as determined by the commissioner, equal to | ||
the sum of: | ||
(1) the product of $500 multiplied by the number of | ||
full-time employees other than employees who would be entitled to a | ||
minimum salary under Section 21.402 if employed by a school | ||
district; and | ||
(2) the product of $250 multiplied by the number of | ||
part-time employees. | ||
(e) Each school year, in addition to any amounts to which a | ||
license [ |
||
[ |
||
Chapter 1579, Insurance Code, for the 2005-2006 school year is | ||
entitled to state aid in an amount, as determined by the | ||
commissioner, equal to the product of $2,000 multiplied by the | ||
number of classroom teachers, full-time librarians, full-time | ||
counselors, and full-time school nurses employed by the license | ||
[ |
||
(f) A payment under this section is in addition to wages the | ||
license [ |
||
the school year. | ||
SECTION 38. Section 12.135(a), Education Code, is amended | ||
to read as follows: | ||
(a) On the application of the license [ |
||
commissioner may grant designation as a charter district to an | ||
open-enrollment charter school that meets financial standards | ||
adopted by the commissioner. The financial standards must require | ||
an open-enrollment charter school to have an investment grade | ||
credit rating as specified by Section 45.0541. | ||
SECTION 39. Subchapter D, Chapter 12, Education Code, is | ||
amended by adding Section 12.136 to read as follows: | ||
Sec. 12.136. ADOPTION OF RULES FOR TRANSITION TO LICENSING. | ||
The commissioner may adopt rules as necessary to provide for the | ||
transition from granting charters to granting licenses under this | ||
subchapter. This section expires January 1, 2015. | ||
SECTION 40. Section 12.156, Education Code, is amended to | ||
read as follows: | ||
Sec. 12.156. APPLICABILITY OF CERTAIN PROVISIONS. (a) | ||
Except as otherwise provided by this subchapter, Subchapter D | ||
applies to a college or university charter school or junior college | ||
charter school as though the college or university charter school | ||
or junior college charter school, as applicable, were granted a | ||
license [ |
||
(b) A charter granted under this subchapter is not | ||
considered for purposes of the limit on the number of licenses | ||
[ |
||
SECTION 41. Section 38.152, Education Code, is amended to | ||
read as follows: | ||
Sec. 38.152. APPLICABILITY. This subchapter applies to an | ||
interscholastic athletic activity, including practice and | ||
competition, sponsored or sanctioned by: | ||
(1) a school district, including a home-rule school | ||
district, or a public school, including any school for which a | ||
charter or license has been granted under Chapter 12; or | ||
(2) the University Interscholastic League. | ||
SECTION 42. Section 39.104(a), Education Code, is amended | ||
to read as follows: | ||
(a) Except to the extent of a conflict with Section | ||
12.116(a-1), interventions [ |
||
authorized under this chapter for a school district or campus apply | ||
in the same manner to an open-enrollment charter school. | ||
SECTION 43. Subchapter C, Chapter 39, Education Code, is | ||
amended by adding Section 39.0541 to read as follows: | ||
Sec. 39.0541. EXEMPTION FROM ASSIGNMENT OF PERFORMANCE | ||
RATING FOR ALTERNATIVE EDUCATION OPEN-ENROLLMENT CHARTER SCHOOL. | ||
(a) Notwithstanding any other provision of this subchapter, based | ||
on standards adopted by commissioner rule, the commissioner may | ||
grant an exemption from the assignment of a performance rating | ||
under Section 39.054 to an open-enrollment charter school that is | ||
an alternative education campus serving only or primarily students | ||
who: | ||
(1) have dropped out of school; | ||
(2) are students at risk of dropping out of school, as | ||
defined by Section 29.081; or | ||
(3) are part of a special population, including | ||
students eligible for a school district special education program | ||
under Section 29.003. | ||
(b) To be granted an exemption under Subsection (a), an | ||
open-enrollment charter school must apply for the exemption in the | ||
time and manner required by commissioner rule. | ||
(c) An exemption under Subsection (a) expires at the end of | ||
the school year for which it is granted. | ||
SECTION 44. Section 45.301(1), Education Code, is amended | ||
to read as follows: | ||
(1) "License [ |
||
assigned by Section 12.1012. | ||
SECTION 45. Section 45.302(a), Education Code, is amended | ||
to read as follows: | ||
(a) The commissioner by rule may establish an | ||
open-enrollment charter school facilities credit enhancement | ||
program to assist license [ |
||
for the purchase, repair, or renovation of real property, including | ||
improvements to real property, for facilities of open-enrollment | ||
charter schools. | ||
SECTION 46. Section 45.303, Education Code, is amended to | ||
read as follows: | ||
Sec. 45.303. LIMITATION ON PARTICIPATION; MINIMUM | ||
REQUIREMENTS FOR DEBT SERVICE RESERVE. In adopting rules under | ||
Section 45.302, the commissioner may: | ||
(1) limit participation in the program to license | ||
[ |
||
charter schools that meet standards established by the | ||
commissioner, including standards for financial stability, | ||
compliance with applicable state and federal program requirements, | ||
and student academic performance; and | ||
(2) impose minimum requirements for a debt service | ||
reserve to secure repayment of obligations for which credit | ||
enhancement is provided under this subchapter. | ||
SECTION 47. Sections 45.306(a), (b), (c), and (e), | ||
Education Code, are amended to read as follows: | ||
(a) If a license [ |
||
state makes a payment under the program does not immediately repay | ||
the Foundation School Program the amount of the payment, the | ||
commissioner shall withhold any funds due from the state to the | ||
license [ |
||
of state and private funds paid on behalf of the license [ |
||
holder under the program. | ||
(b) If a license [ |
||
including revocation or surrender of a license [ |
||
bankruptcy, unable to repay any amount due under this subchapter, | ||
any loss of funds shall be shared equally between the Foundation | ||
School Program and the person providing the private funds obligated | ||
for credit enhancement under this subchapter. | ||
(c) A license [ |
||
is provided under this subchapter to purchase, repair, or renovate | ||
real property for open-enrollment charter school facilities must | ||
agree to execute a lien on that real property in a form prescribed | ||
by the commissioner and approved by the attorney general to secure | ||
repayment of all amounts due to the state from the license [ |
||
holder, including reimbursement of any private funds paid on behalf | ||
of an open-enrollment charter school under this subchapter. | ||
(e) The commissioner shall notify a license [ |
||
holder of any amount determined to be due to the state, including | ||
federal funds. If the full amount due to the state has not been | ||
repaid or recovered by the commissioner from other funds due to the | ||
license [ |
||
year, the commissioner may request the attorney general to file an | ||
action to foreclose on a lien under this section. Funds recovered | ||
from foreclosure of a lien under this section shall be credited | ||
first to any security interest or lien with priority over the lien | ||
under this section, then to the license [ |
||
obligation under this section, and then to any other program to | ||
which the funds are due. | ||
SECTION 48. Section 53.02(10), Education Code, is amended | ||
to read as follows: | ||
(10) "Authorized charter school" means an | ||
open-enrollment charter school that holds a license [ |
||
granted under Subchapter D, Chapter 12, and includes an | ||
open-enrollment charter school designated as a charter district as | ||
provided by Section 12.135. | ||
SECTION 49. Section 221.0071(a), Human Resources Code, is | ||
amended to read as follows: | ||
(a) Notwithstanding any other law and in addition to the | ||
number of licenses [ |
||
12, Education Code, the State Board of Education may grant a charter | ||
on the application of a detention, correctional, or residential | ||
facility established only for juvenile offenders under Section | ||
51.12, 51.125, or 51.126, Family Code. | ||
SECTION 50. Section 221.056(d), Human Resources Code, is | ||
amended to read as follows: | ||
(d) Notwithstanding any other law and in addition to the | ||
number of licenses [ |
||
12, Education Code, the State Board of Education shall grant a | ||
charter on the application of a residential treatment facility | ||
established under this section for a school chartered for the | ||
purposes of this section. | ||
SECTION 51. Sections 375.308(b) and (c), Local Government | ||
Code, are amended to read as follows: | ||
(b) An authority may not: | ||
(1) issue bonds or notes without the prior approval of | ||
the governing body of the municipality that created the authority; | ||
(2) seek a license [ |
||
the boundaries of the authority, an open-enrollment charter school | ||
authorized by Subchapter D, Chapter 12, Education Code; or | ||
(3) levy ad valorem property taxes. | ||
(c) A municipality may not seek a license [ |
||
operate an open-enrollment charter school authorized by Subchapter | ||
D, Chapter 12, Education Code, within the boundaries of the | ||
authority. | ||
SECTION 52. Section 12.1012(1), Education Code, is | ||
repealed. | ||
SECTION 53. The amendment of Subchapter D, Chapter 12, | ||
Education Code, by this Act and amendments to other provisions of | ||
law by this Act to conform to the amendment of Subchapter D, Chapter | ||
12, Education Code, by this Act do not affect the status of a | ||
charter, including any legal rights, duties, and obligations based | ||
on a charter, granted under Subchapter D, Chapter 12, Education | ||
Code, before September 1, 2013. | ||
SECTION 54. This Act takes effect September 1, 2013. |