By:  Nelson                                           S.B. No. 1653

                                A BILL TO BE ENTITLED

                                       AN ACT

 1-1     relating to campus or campus program charters.

 1-2           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-3           SECTION 1.  Subchapter C, Chapter 12, Education Code, is

 1-4     amended by adding a new Section 12.058 and renumbering existing

 1-5     Sections 12.058 through 12.064 to read as follows:

 1-6           Sec. 12.058.  CHARTER POLICY.  (a)  Each school district

 1-7     shall adopt a campus charter and campus program charter policy.

 1-8     The policy must specify:

 1-9                 (1)  the process to be followed for approval of a

1-10     campus charter or campus program charter;

1-11                 (2)  the statutory requirements with which a campus

1-12     charter or campus program charter must comply; and

1-13                 (3)  the items that must be included in a charter

1-14     application.

1-15           (b)  Each school district shall adopt a campus charter and

1-16     campus program charter policy as required by this section not later

1-17     than January 1, 1998.

1-18           Sec. 12.059.  CONTENT.  Each charter granted under this

1-19     subchapter must:

1-20                 (1)  describe the educational program to be offered,

1-21     which may be a general or specialized program;

1-22                 (2)  provide that continuation of the charter is

1-23     contingent on satisfactory student performance under Subchapter B,

 2-1     Chapter 39, and on compliance with other applicable accountability

 2-2     provisions under Chapter 39;

 2-3                 (3)  specify any basis, in addition to a basis

 2-4     specified by this subchapter, on which the charter may be placed on

 2-5     probation or revoked;

 2-6                 (4)  prohibit discrimination in admission on the basis

 2-7     of national origin, ethnicity, race, religion, or disability;

 2-8                 (5)  describe the governing structure of the campus or

 2-9     program;

2-10                 (6)  specify any procedure or requirement, in addition

2-11     to those under Chapter 38, that the campus or program will follow

2-12     to ensure the health and safety of students and employees; and

2-13                 (7)  describe the manner in which an annual audit of

2-14     financial and programmatic operations of the campus or program is

2-15     to be conducted, including the manner in which the campus or

2-16     program will provide information necessary for the school district

2-17     in which it is located to participate, as required by this code or

2-18     by State Board of Education rule, in the Public Education

2-19     Information Management System (PEIMS).

2-20           Sec. 12.060 [12.059].  FORM.  A charter shall be in the form

2-21     and substance of a written contract signed by the president of the

2-22     board of trustees granting the charter and the chief operating

2-23     officer of the campus or program for which the charter is granted.

2-24           Sec. 12.061 [12.060].  CHARTER GRANTED.  Each charter a board

2-25     of trustees grants under this subchapter must:

 3-1                 (1)  satisfy this subchapter; and

 3-2                 (2)  include the information that is required under

 3-3     Section 12.059 [12.058] consistent with the information provided in

 3-4     the application and any modification the board requires.

 3-5           Sec. 12.062 [12.061].  REVISION.  A charter granted under

 3-6     this subchapter may be revised:

 3-7                 (1)  with the approval of the board of trustees that

 3-8     granted the charter; and

 3-9                 (2)  on a petition signed by a majority of the parents

3-10     and a majority of the classroom teachers at the campus or in the

3-11     program, as applicable.

3-12           Sec. 12.063 [12.062].  BASIS FOR PLACEMENT ON PROBATION OR

3-13     REVOCATION.  (a)  A board of trustees may place on probation or

3-14     revoke a charter it grants if the board determines that the campus

3-15     or program:

3-16                 (1)  committed a material violation of the charter;

3-17                 (2)  failed to satisfy generally accepted accounting

3-18     standards of fiscal management; or

3-19                 (3)  failed to comply with this subchapter, another

3-20     law, or a state agency rule.

3-21           (b)  The action the board takes under Subsection (a) shall be

3-22     based on the best interest of campus or program students, the

3-23     severity of the violation, and any previous violation the campus or

3-24     program has committed.

3-25           Sec. 12.064 [12.063].  PROCEDURE FOR PLACEMENT ON PROBATION

 4-1     OR REVOCATION.  (a)  Each board of trustees that grants a charter

 4-2     under this subchapter shall adopt a procedure to be used for

 4-3     placing on probation or revoking a charter it grants.

 4-4           (b)  The procedure adopted under Subsection (a) must provide

 4-5     an opportunity for a hearing to the campus or program for which a

 4-6     charter is granted under this subchapter and to parents and

 4-7     guardians of students at the campus or in the program.  A hearing

 4-8     under this subsection must be held on the campus or on one of the

 4-9     campuses in the case of a cooperative charter program.

4-10           Sec. 12.065 [12.064].  ADMISSION.  (a)  Eligibility criteria

4-11     for admission of students to the campus or program for which a

4-12     charter is granted under this subchapter must give priority on the

4-13     basis of geographic and residency considerations.  After priority

4-14     is given on those bases, secondary consideration may be given to a

4-15     student's age, grade level, or academic credentials in general or

4-16     in a specific area, as necessary for the type of program offered.

4-17           (b)  The campus or program may require an applicant to submit

4-18     an application not later than a reasonable deadline the campus or

4-19     program establishes.

4-20           SECTION 2.  Section 12.054, Education Code, is amended to

4-21     read as follows:

4-22           Sec. 12.054.  AUTHORITY UNDER CHARTER.  A campus or program

4-23     for which a charter is granted under this subchapter:

4-24                 (1)  is exempt from the instructional and academic

4-25     rules and policies of the board of trustees from which the campus

 5-1     or program is specifically exempted in the charter; and

 5-2                 (2)  retains authority to operate under the charter

 5-3     only if students at the campus or in the program perform

 5-4     satisfactorily as provided by the charter in accordance with

 5-5     Section 12.059 [12.058].

 5-6           SECTION 3.  This Act takes effect September 1, 1997.

 5-7           SECTION 4.  The importance of this legislation and the

 5-8     crowded condition of the calendars in both houses create an

 5-9     emergency and an imperative public necessity that the

5-10     constitutional rule requiring bills to be read on three several

5-11     days in each house be suspended, and this rule is hereby suspended.