By Dunnam H.B. No. 6
77R1606 BDH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to open-enrollment charter schools.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Subchapter D, Chapter 12, Education Code, is
1-5 amended by adding Sections 12.1012-12.1015 to read as follows:
1-6 Sec. 12.1012. DEFINITIONS. In this subchapter:
1-7 (1) "Charter holder" means the entity to which a
1-8 charter is granted under this subchapter.
1-9 (2) "Governing body of a charter holder" means the
1-10 board of directors, board of trustees, or other governing body of a
1-11 charter holder.
1-12 (3) "Governing body of an open-enrollment charter
1-13 school" means the board of directors, board of trustees, or other
1-14 governing body of an open-enrollment charter school. The term
1-15 includes the governing body of a charter holder if that body acts
1-16 as the governing body of the open-enrollment charter school.
1-17 (4) "Management company" means a person who provides
1-18 management services for an open-enrollment charter school.
1-19 (5) "Management services" means services related to
1-20 the management or operation of an open-enrollment charter school,
1-21 including:
1-22 (A) planning, operating, supervising, and
1-23 evaluating the school's educational programs, services, and
1-24 facilities;
2-1 (B) making recommendations to the governing body
2-2 of the school relating to the selection of school personnel;
2-3 (C) managing the school's day-to-day operations
2-4 as its administrative manager;
2-5 (D) preparing and submitting to the governing
2-6 body of the school a proposed budget;
2-7 (E) recommending policies to be adopted by the
2-8 governing body of the school, developing appropriate procedures to
2-9 implement policies adopted by the governing body of the school, and
2-10 overseeing the implementation of adopted policies; and
2-11 (F) providing leadership for the attainment of
2-12 student performance at the school based on the indicators adopted
2-13 under Section 39.051 or by the governing body of the school.
2-14 (6) "Officer of an open-enrollment charter school"
2-15 means:
2-16 (A) the principal, director, or other chief
2-17 operating officer of an open-enrollment charter school;
2-18 (B) an assistant principal or assistant director
2-19 of an open-enrollment charter school; or
2-20 (C) a person charged with managing the finances
2-21 of an open-enrollment charter school.
2-22 Sec. 12.1013. DELEGATION BY STATE BOARD OF EDUCATION. (a)
2-23 The State Board of Education may delegate to the commissioner any
2-24 power or duty of the board under this subchapter, other than the
2-25 power to grant, deny, modify, place on probation, deny renewal of,
2-26 or revoke a charter for an open-enrollment charter school.
2-27 (b) The commissioner may conduct hearings on any issue as to
3-1 which a hearing is authorized under this subchapter.
3-2 Sec. 12.1014. MINIMUM STUDENT ENROLLMENT. (a) The State
3-3 Board of Education may not grant a charter to or renew the charter
3-4 of an open-enrollment charter school unless the board determines
3-5 that the school will have and maintain an enrollment of at least 50
3-6 students, except that a school may have an enrollment of not fewer
3-7 than 20 students if the board specifically finds that the nature of
3-8 the school requires an enrollment of fewer than 50 students.
3-9 (b) The State Board of Education may revoke an
3-10 open-enrollment charter school's charter if, for a period
3-11 prescribed by board rule, the school's enrollment is lower than the
3-12 number of students authorized under Subsection (a).
3-13 Sec. 12.1015. MORATORIUM ON NEW CHARTERS. (a)
3-14 Notwithstanding Sections 12.101 and 12.1011, the State Board of
3-15 Education may not issue a charter for an open-enrollment charter
3-16 school after August 31, 2001.
3-17 (b) This section expires September 1, 2003.
3-18 SECTION 2. Section 12.103, Education Code, is amended to
3-19 read as follows:
3-20 Sec. 12.103. GENERAL APPLICABILITY OF LAWS AND RULES TO
3-21 OPEN-ENROLLMENT CHARTER SCHOOL. An open-enrollment charter school
3-22 is subject to federal and state laws and rules governing public
3-23 schools or public school districts, including state laws listed in
3-24 Sections 12.1051 and 12.1053, except that an open-enrollment
3-25 charter school is subject to this code and rules adopted under this
3-26 code only to the extent the applicability to an open-enrollment
3-27 charter school of a provision of this code or a rule adopted under
4-1 this code is specifically provided.
4-2 SECTION 3. Section 12.104, Education Code, is amended by
4-3 amending Subsection (b) and adding Subsections (c) and (d) to read
4-4 as follows:
4-5 (b) An open-enrollment charter school is subject to:
4-6 (1) a provision of this title establishing a criminal
4-7 offense; and
4-8 (2) a prohibition, restriction, or requirement, as
4-9 applicable, imposed by this title or a rule adopted under this
4-10 title, relating to:
4-11 (A) the Public Education Information Management
4-12 System (PEIMS) to the extent necessary to monitor compliance with
4-13 this subchapter as determined by the commissioner;
4-14 (B) notification to parents concerning
4-15 inappropriately certified or uncertified teachers under Section
4-16 21.057;
4-17 (C) criminal history records under Subchapter C,
4-18 Chapter 22;
4-19 (D) [(C)] reading instruments and accelerated
4-20 reading instruction programs under Section 28.006;
4-21 (E) [(D)] satisfactory performance on assessment
4-22 instruments and to accelerated instruction under Section 28.0211;
4-23 (F) [(E)] high school graduation under Section
4-24 28.025;
4-25 (G) [(F)] special education programs under
4-26 Subchapter A, Chapter 29;
4-27 (H) [(G)] bilingual education under Subchapter
5-1 B, Chapter 29;
5-2 (I) [(H)] prekindergarten programs under
5-3 Subchapter E, Chapter 29;
5-4 (J) [(I)] extracurricular activities under
5-5 Section 33.081;
5-6 (K) [(J)] health and safety under Chapter 38;
5-7 [and]
5-8 (L) [(K)] public school accountability under
5-9 Subchapters B, C, D, and G, Chapter 39;
5-10 (M) purchasing and contracting under Subchapter
5-11 B, Chapter 44; and
5-12 (N) selection of a depository under Subchapter
5-13 G, Chapter 45.
5-14 (c) To the extent the commissioner determines is necessary
5-15 or advisable to provide and account for state funding of
5-16 open-enrollment charter schools under Section 12.106, the
5-17 commissioner may adopt rules applying provisions of this code other
5-18 than those listed in Subsection (b) to open-enrollment charter
5-19 schools.
5-20 (d) An open-enrollment charter school is subject to the
5-21 requirement relating to the length of the school day under Section
5-22 25.082 unless the commissioner grants the open-enrollment charter
5-23 school a waiver from that requirement under Section 12.1041.
5-24 SECTION 4. Subchapter D, Chapter 12, Education Code, is
5-25 amended by adding Section 12.1041 to read as follows:
5-26 Sec. 12.1041. WAIVER OF REQUIREMENT RELATING TO LENGTH OF
5-27 SCHOOL DAY. (a) An open-enrollment charter school that, for
6-1 purposes of Section 12.104(d), is seeking a waiver of the
6-2 requirement relating to the length of the school day under Section
6-3 25.082 must submit a written application to the commissioner not
6-4 later than the 31st day before the date the open-enrollment charter
6-5 school intends to provide a shorter school day. The application
6-6 must include a statement of achievement objectives of the
6-7 open-enrollment charter school and the inhibition imposed on those
6-8 objectives by the requirement.
6-9 (b) The commissioner may not grant a waiver under this
6-10 section if, as determined by the commissioner, a purpose of the
6-11 waiver application is to support any school-sponsored athletic or
6-12 artistic activity.
6-13 (c) If the commissioner objects to the application for the
6-14 waiver, not later than the 30th day after the date the commissioner
6-15 receives the application the commissioner must notify the
6-16 open-enrollment charter school in writing that the application is
6-17 denied. If the commissioner does not notify the school of a denial
6-18 within that period, the application is considered approved.
6-19 (d) A waiver granted under this section is effective for the
6-20 period stated in the application, which may not exceed three years.
6-21 An open-enrollment charter school for which the requirement under
6-22 Section 25.082 is waived under this section for a period of three
6-23 years may receive an exemption from that requirement at the end of
6-24 that period if the school has fulfilled the achievement objectives
6-25 stated in the application. The exemption remains in effect until
6-26 the commissioner determines that achievement levels of the school
6-27 have declined.
7-1 SECTION 5. Subchapter D, Chapter 12, Education Code, is
7-2 amended by amending Section 12.105 and adding Sections
7-3 12.1051-12.1055 to read as follows:
7-4 Sec. 12.105. STATUS. [(a)] An open-enrollment charter
7-5 school is part of the public school system of this state.
7-6 Sec. 12.1051. APPLICABILITY OF OPEN MEETINGS, PUBLIC
7-7 INFORMATION, AND NEPOTISM LAWS. (a) [(b)] The governing body of a
7-8 charter holder and the governing body of an open-enrollment charter
7-9 [the] school are [is] considered to be [a] governmental bodies
7-10 [body] for purposes of Chapters 551 and 552, Government Code. A
7-11 member of either governing body or an officer of the school is
7-12 considered to be a public official for purposes of Chapter 573,
7-13 Government Code.
7-14 (b) Any requirement in Chapter 551 or 552, Government Code,
7-15 that applies [those chapters relating] to a school district, the
7-16 board of trustees of a school district [school board], or public
7-17 school students [children] applies to an open-enrollment charter
7-18 school, the governing body of a charter holder, the governing body
7-19 of an open-enrollment charter school, or students [and to children]
7-20 attending an open-enrollment charter school.
7-21 Sec. 12.1052. APPLICABILITY OF LAWS RELATING TO LOCAL
7-22 GOVERNMENT RECORDS. (a) An open-enrollment charter school is
7-23 considered to be a local government for purposes of Subtitle C,
7-24 Title 6, Local Government Code, and Subchapter J, Chapter 441,
7-25 Government Code.
7-26 (b) Records of an open-enrollment charter school and records
7-27 of a charter holder that relate to an open-enrollment charter
8-1 school are government records for all purposes under state law.
8-2 (c) Any requirement in Subtitle C, Title 6, Local Government
8-3 Code, or Subchapter J, Chapter 441, Government Code, that applies
8-4 to a school district, the board of trustees of a school district,
8-5 or an officer or employee of a school district applies to an
8-6 open-enrollment charter school, the governing body of a charter
8-7 holder, the governing body of an open-enrollment charter school, or
8-8 an officer or employee of an open-enrollment charter school except
8-9 that the records of an open-enrollment charter school that ceases
8-10 to operate shall be transferred in the manner prescribed by
8-11 Subsection (d).
8-12 (d) The records of an open-enrollment charter school that
8-13 ceases to operate shall be transferred in the manner specified by
8-14 the commissioner to a custodian designated by the commissioner.
8-15 The commissioner may designate any appropriate entity to serve as
8-16 custodian, including the agency, a regional education service
8-17 center, or a school district. In designating a custodian, the
8-18 commissioner shall ensure that the transferred records, including
8-19 student and personnel records, are transferred to a custodian
8-20 capable of:
8-21 (1) maintaining the records;
8-22 (2) making the records readily accessible to students,
8-23 parents, former school employees, and other persons entitled to
8-24 access; and
8-25 (3) complying with applicable state or federal law
8-26 restricting access to the records.
8-27 (e) If the charter holder of an open-enrollment charter
9-1 school that ceases to operate or an officer or employee of such a
9-2 school refuses to transfer school records in the manner specified
9-3 by the commissioner under Subsection (d), the commissioner may ask
9-4 the attorney general to petition a court for recovery of the
9-5 records. If the court grants the petition, the court shall award
9-6 attorney's fees and court costs to the state.
9-7 Sec. 12.1053. APPLICABILITY OF LAWS RELATING TO PUBLIC
9-8 PURCHASING AND CONTRACTING. (a) An open-enrollment charter school
9-9 is considered to be:
9-10 (1) a governmental entity for purposes of:
9-11 (A) Subchapter D, Chapter 2252, Government Code;
9-12 and
9-13 (B) Subchapter B, Chapter 271, Local Government
9-14 Code;
9-15 (2) a political subdivision for purposes of Subchapter
9-16 A, Chapter 2254, Government Code; and
9-17 (3) a local government for purposes of Sections
9-18 2256.009-2256.016, Government Code.
9-19 (b) A member of the governing body of a charter holder, a
9-20 member of the governing body of an open-enrollment charter school,
9-21 or an officer of an open-enrollment charter school is considered to
9-22 be a local public official for purposes of Chapter 171, Local
9-23 Government Code.
9-24 (c) A requirement in a law listed in this section that
9-25 applies to a school district or the board of trustees of a school
9-26 district applies to an open-enrollment charter school, the
9-27 governing body of a charter holder, or the governing body of an
10-1 open-enrollment charter school.
10-2 Sec. 12.1054. IMMUNITY FROM LIABILITY. An open-enrollment
10-3 charter [(c) The] school is immune from liability to the same
10-4 extent as a school district, and its employees and volunteers are
10-5 immune from liability to the same extent as school district
10-6 employees and volunteers.
10-7 Sec. 12.1055. MEMBERSHIP IN TEACHER RETIREMENT SYSTEM OF
10-8 TEXAS. (a) [(d)] An employee of an open-enrollment charter school
10-9 or management company who qualifies for membership in the Teacher
10-10 Retirement System of Texas shall be covered under the system to the
10-11 same extent a qualified employee of a school district is covered.
10-12 (b) For each employee of the school or company covered under
10-13 the system, the charter holder or company [school] is responsible
10-14 for making any contribution that otherwise would be the legal
10-15 responsibility of the school district, and the state is responsible
10-16 for making contributions to the same extent it would be legally
10-17 responsible if the employee were a school district employee.
10-18 SECTION 6. Sections 12.106-12.108, Education Code, are
10-19 amended to read as follows:
10-20 Sec. 12.106. STATE FUNDING. (a) A charter holder is
10-21 entitled to receive for the open-enrollment charter school funding
10-22 under Chapter 42 as if the school were a school district without a
10-23 tier one local share for purposes of Section 42.253 and without any
10-24 local revenue ("LR") for purposes of Section 42.302. In
10-25 determining funding for an open-enrollment charter school,
10-26 adjustments under Sections 42.103, 42.104, and 42.105 and the
10-27 district enrichment tax rate ("DTR") under Section 42.302 are based
11-1 on the average adjustment and average district enrichment tax rate
11-2 for the state.
11-3 (b) Funds received by a charter holder under this section
11-4 after September 1, 2001:
11-5 (1) are considered to be public funds for all purposes
11-6 under state law;
11-7 (2) are held in trust by the charter holder for the
11-8 benefit of the students of the open-enrollment charter school; and
11-9 (3) may be used only for a purpose for which a school
11-10 district may use local school funds under Section 45.105(c) [An
11-11 open-enrollment charter school is entitled to the distribution from
11-12 the available school fund for a student attending the
11-13 open-enrollment charter school to which the district in which the
11-14 student resides would be entitled.]
11-15 [(b) A student attending an open-enrollment charter school
11-16 who is eligible under Section 42.003 is entitled to the benefits of
11-17 the Foundation School Program under Chapter 42. The commissioner
11-18 shall distribute from the foundation school fund to each school an
11-19 amount equal to the cost of a Foundation School Program provided by
11-20 the program for which the charter is granted as determined under
11-21 Section 42.251, including the transportation allotment under
11-22 Section 42.155, for the student that the district in which the
11-23 student resides would be entitled to, less an amount equal to the
11-24 sum of the school's tuition receipts under Section 12.107 plus the
11-25 school's distribution from the available school fund].
11-26 Sec. 12.107. EFFECT OF ACCEPTING STATE FUNDING. (a) A
11-27 charter holder who accepts state funds under Section 12.106 after
12-1 the effective date of a provision of this subchapter agrees to be
12-2 subject to that provision, regardless of the date on which the
12-3 charter holder's charter was granted.
12-4 (b) A charter holder who accepts state funds under Section
12-5 12.106 after September 1, 2001, agrees to accept all liability
12-6 under this subchapter for any funds accepted under that section
12-7 before September 1, 2001 [LOCAL FUNDING. (a) Except as provided
12-8 by Subsection (b), an open-enrollment charter school is entitled to
12-9 receive tuition from the school district in which a student
12-10 attending the school resides in an amount equal to the quotient of
12-11 the tax revenue collected by the school district for maintenance
12-12 and operations for the school year for which tuition is being paid
12-13 divided by the sum of the number of students enrolled in the
12-14 district as reported in the Public Education Information Management
12-15 System (PEIMS), including the number of students for whom the
12-16 district is required to pay tuition.]
12-17 [(b) The tuition to be paid under Subsection (a) by a school
12-18 district with a wealth per student that exceeds the equalized
12-19 wealth level under Chapter 41 shall be based on the district's tax
12-20 revenue after the district has acted to achieve the equalized
12-21 wealth level under Chapter 41].
12-22 Sec. 12.108. TUITION AND FEES RESTRICTED. (a) An [Except
12-23 as provided by Section 12.106, an] open-enrollment charter school
12-24 may not charge tuition to an eligible student who applies under
12-25 Section 12.117.
12-26 (b) The governing body of an open-enrollment charter school
12-27 may require a student to pay any fee that the board of trustees of
13-1 a school district may charge under Section 11.158(a). The
13-2 governing body may not require a student to pay a fee that the
13-3 board of trustees of a school district may not charge under Section
13-4 11.158(b).
13-5 SECTION 7. Sections 12.110(a)-(c), Education Code, are
13-6 amended to read as follows:
13-7 (a) The State Board of Education shall adopt:
13-8 (1) an application form and a procedure that must be
13-9 used to apply for a charter for an open-enrollment charter school
13-10 or a renewal of a charter; and
13-11 (2) criteria to use in selecting a program for which
13-12 to grant a charter.
13-13 (b) The application form for a charter or renewal of a
13-14 charter must provide for including:
13-15 (1) the information required under Section 12.111 to
13-16 be contained in a charter;
13-17 (2) a description of the program to be provided during
13-18 the school day that includes a schedule of the school day; and
13-19 (3) a description of each instructional approach to be
13-20 used.
13-21 (c) As part of the application procedure for a charter for a
13-22 new open-enrollment charter school, the board may require a
13-23 petition supporting the [a] charter [for a school] signed by a
13-24 specified number of parents or guardians of school-age children
13-25 residing in the area in which a school is proposed or may hold a
13-26 public hearing to determine parental support for the school.
13-27 SECTION 8. Section 12.111, Education Code, is amended to
14-1 read as follows:
14-2 Sec. 12.111. CONTENT. Each charter granted under this
14-3 subchapter must:
14-4 (1) describe the educational program to be offered,
14-5 which must include the required curriculum as provided by Section
14-6 28.002;
14-7 (2) specify the period for which the charter or any
14-8 charter renewal is valid;
14-9 (3) provide that continuation or renewal of the
14-10 charter is contingent on acceptable student performance on
14-11 assessment instruments adopted under Subchapter B, Chapter 39, and
14-12 on compliance with any accountability provision specified by the
14-13 charter, by a deadline or at intervals specified by the charter;
14-14 (4) establish the level of student performance that is
14-15 considered acceptable for purposes of Subdivision (3);
14-16 (5) specify any basis, in addition to a basis
14-17 specified by this subchapter, on which the charter may be placed on
14-18 probation or revoked or on which renewal of the charter may be
14-19 denied;
14-20 (6) prohibit discrimination in admission policy on the
14-21 basis of sex, national origin, ethnicity, religion, disability,
14-22 academic, artistic, or athletic ability, or the district the child
14-23 would otherwise attend in accordance with this code, although the
14-24 charter may provide for the exclusion of a student who has a
14-25 documented history of a criminal offense, a juvenile court
14-26 adjudication, or discipline problems under Subchapter A, Chapter
14-27 37;
15-1 (7) specify the grade levels to be offered;
15-2 (8) describe the governing structure of the program,
15-3 including:
15-4 (A) the officer positions designated;
15-5 (B) the manner in which officers are selected
15-6 and removed from office;
15-7 (C) the manner in which members of the governing
15-8 body of the school are selected and removed from office;
15-9 (D) the manner in which vacancies on that [the]
15-10 governing body [board] are filled;
15-11 (E) the term for which members of that [the]
15-12 governing body serve; and
15-13 (F) whether the terms are to be staggered;
15-14 (9) specify the powers or duties of the governing body
15-15 of the school that the governing body may delegate to an officer;
15-16 (10) specify the qualifications to be met by
15-17 professional employees of the program;
15-18 (11) [(10)] describe the process by which the person
15-19 providing the program will adopt an annual budget;
15-20 (12) [(11)] describe the manner in which an annual
15-21 audit of the financial and programmatic operations of the program
15-22 is to be conducted, including the manner in which the person
15-23 providing the program will provide information necessary for the
15-24 school district in which the program is located to participate, as
15-25 required by this code or by State Board of Education rule, in the
15-26 Public Education Information Management System (PEIMS);
15-27 (13) [(12)] describe the facilities to be used;
16-1 (14) [(13)] describe the geographical area served by
16-2 the program; and
16-3 (15) [(14)] specify any type of enrollment criteria to
16-4 be used.
16-5 SECTION 9. Section 12.113, Education Code, is amended to read
16-6 as follows:
16-7 Sec. 12.113. CHARTER GRANTED. (a) Each charter the State
16-8 Board of Education grants for an open-enrollment charter school
16-9 must:
16-10 (1) satisfy this subchapter; and
16-11 (2) include the information that is required under
16-12 Section 12.111 consistent with the information provided in the
16-13 application and any modification the board requires.
16-14 (b) The grant of a charter under this subchapter does not
16-15 create:
16-16 (1) a property right to the charter; or
16-17 (2) an entitlement to a renewal of a charter on the
16-18 same terms as it was originally issued.
16-19 SECTION 10. Section 12.114, Education Code, is amended to
16-20 read as follows:
16-21 Sec. 12.114. REVISION. (a) A revision of a charter of an
16-22 open-enrollment charter school may be made only with the approval
16-23 of the State Board of Education.
16-24 (b) A charter holder must comply with Subsection (c) to
16-25 obtain approval of a revision of the charter for an open-enrollment
16-26 charter school if the revision authorizes the school to:
16-27 (1) expand to additional campuses or sites beyond the
17-1 campuses or sites stated in the charter;
17-2 (2) increase grade levels beyond the levels stated in
17-3 the charter; or
17-4 (3) increase enrollment beyond the maximum enrollment
17-5 stated in the charter.
17-6 (c) For approval of a revision described by Subsection (b):
17-7 (1) a charter holder must submit an application for
17-8 approval in a form approved by the State Board of Education; and
17-9 (2) the State Board of Education must interview
17-10 appropriate school representatives in connection with the
17-11 application and take all other action necessary to thoroughly
17-12 review the application.
17-13 (d) Notwithstanding any other provision of this section, the
17-14 State Board of Education may not approve a revision of the charter
17-15 of an open-enrollment charter school that contains a revision
17-16 described by Subsection (b)(1). This subsection expires September
17-17 1, 2003.
17-18 SECTION 11. Section 12.115(a), Education Code, is amended to
17-19 read as follows:
17-20 (a) The State Board of Education may modify, place on
17-21 probation, revoke, or deny renewal of the charter of an
17-22 open-enrollment charter school if the board determines that the
17-23 charter holder [person operating the school]:
17-24 (1) committed a material violation of the charter,
17-25 including failure to satisfy accountability provisions prescribed
17-26 by the charter;
17-27 (2) failed to satisfy generally accepted accounting
18-1 standards of fiscal management;
18-2 (3) failed to protect the health, safety, or welfare
18-3 of the students enrolled at the school; or
18-4 (4) [(3)] failed to comply with this subchapter or
18-5 another applicable law or rule.
18-6 SECTION 12. Section 12.116, Education Code, is amended by
18-7 amending Subsection (b) and adding Subsection (c) to read as
18-8 follows:
18-9 (b) The procedure adopted under Subsection (a) must provide
18-10 an opportunity for a hearing to the charter holder [person
18-11 operating the open-enrollment charter school] and to parents and
18-12 guardians of students in the school. A hearing under this
18-13 subsection must be held at the facility at which the program is
18-14 operated.
18-15 (c) Chapter 2001, Government Code, does not apply to a
18-16 hearing that is related to a modification, placement on probation,
18-17 revocation, or denial of renewal under this subchapter.
18-18 SECTION 13. Subchapter D, Chapter 12, Education Code, is
18-19 amended by adding Sections 12.1161 and 12.1162 to read as follows:
18-20 Sec. 12.1161. EFFECT OF REVOCATION, DENIAL OF RENEWAL, OR
18-21 SURRENDER OF CHARTER. (a) Except as provided by Subsection (b), if
18-22 the State Board of Education revokes or denies the renewal of a
18-23 charter of an open-enrollment charter school, or if an
18-24 open-enrollment charter school surrenders its charter, the school
18-25 may not:
18-26 (1) continue to operate under this subchapter; or
18-27 (2) receive state funds under this subchapter.
19-1 (b) An open-enrollment charter school may continue to
19-2 operate and receive state funds under this subchapter for the
19-3 remainder of a school year if the board denies renewal of the
19-4 school's charter before the completion of that school year.
19-5 Sec. 12.1162. EMERGENCY SUSPENSION. (a) The commissioner
19-6 may temporarily withhold funding, suspend the authority of an
19-7 open-enrollment charter school to operate, or take any other
19-8 reasonable action the commissioner determines necessary to protect
19-9 the health, safety, or welfare of the students enrolled at the
19-10 school based on evidence that conditions at the school present a
19-11 danger to the health, safety, or welfare of students.
19-12 (b) After the commissioner imposes a suspension under this
19-13 section, the open-enrollment charter school may not receive funding
19-14 and may not resume operating until a determination is made by the
19-15 commissioner or the State Board of Education that:
19-16 (1) despite initial evidence, the conditions at the
19-17 school do not present a danger to the health, safety, or welfare of
19-18 students; or
19-19 (2) the conditions at the school that presented a
19-20 danger to the health, safety, or welfare of students have been
19-21 corrected.
19-22 (c) Not later than the third business day after the date the
19-23 commissioner imposes a suspension under this section, the
19-24 commissioner shall provide an opportunity for a hearing to the
19-25 holder of the charter of the open-enrollment charter school.
19-26 (d) If the commissioner does not lift the suspension imposed
19-27 under this section, the State Board of Education shall consider the
20-1 suspension at the first regularly scheduled meeting of the board
20-2 that occurs after the date the suspension is imposed. At that
20-3 meeting the board must lift the suspension or take action under
20-4 Section 12.116.
20-5 (e) Chapter 2001, Government Code, does not apply to a
20-6 suspension under this section.
20-7 SECTION 14. Section 12.117, Education Code, is amended to
20-8 read as follows:
20-9 Sec. 12.117. [APPLICATION FOR] ADMISSION. For admission to
20-10 an open-enrollment charter school, the governing body of [person
20-11 operating] the school shall:
20-12 (1) [may] require the applicant to complete and submit
20-13 an application not later than a reasonable deadline the school
20-14 establishes; and
20-15 (2) on receipt of more acceptable applications for
20-16 admission under this section than available positions in the
20-17 school, fill the available positions by lottery.
20-18 SECTION 15. Section 12.118, Education Code, is amended by
20-19 amending Subsections (a) and (c) and adding Subsections (d) and (e)
20-20 to read as follows:
20-21 (a) The State Board of Education [board] shall designate an
20-22 impartial organization with experience in evaluating school choice
20-23 programs to conduct an annual evaluation of open-enrollment charter
20-24 schools.
20-25 (c) The evaluation of open-enrollment charter schools must
20-26 also include an evaluation of:
20-27 (1) the costs of instruction, administration, and
21-1 transportation incurred by open-enrollment charter schools; [and]
21-2 (2) whether school district or school campus employees
21-3 are informing students at risk of dropping out of school of the
21-4 opportunity to attend an open-enrollment charter school for the
21-5 purpose of enabling the district or campus to avoid responsibility
21-6 for those students; and
21-7 (3) the effect of open-enrollment charter schools on
21-8 school districts and on teachers, students, and parents in those
21-9 districts.
21-10 (d) The evaluation of an open-enrollment charter school that
21-11 assists students in earning a high school diploma or high school
21-12 equivalency certificate must also include an evaluation of:
21-13 (1) the quality of the educational program offered;
21-14 (2) the number of hours each school day the
21-15 educational program is provided to a student;
21-16 (3) class size and the student/teacher ratio;
21-17 (4) student success in earning a high school diploma;
21-18 and
21-19 (5) student success in earning a high school
21-20 equivalency certificate.
21-21 (e) For purposes of this section, "student at risk of
21-22 dropping out of school" has the meaning assigned by Section 29.081.
21-23 SECTION 16. Subchapter D, Chapter 12, Education Code, is
21-24 amended by adding Sections 12.1181 and 12.1182 to read as follows:
21-25 Sec. 12.1181. STUDY OF CHARTER SCHOOL INNOVATION. (a) The
21-26 agency shall study the instructional methods of open-enrollment
21-27 charter schools to determine the extent to which those schools are:
22-1 (1) using innovative educational concepts; and
22-2 (2) whether any innovative educational concepts used
22-3 by those schools have resulted in improvements in:
22-4 (A) students' performance on assessment
22-5 instruments administered under Subchapter B, Chapter 39;
22-6 (B) student attendance; or
22-7 (C) students' grades.
22-8 (b) The agency shall include the results of the study
22-9 conducted under this section in the report required under Section
22-10 39.182 that is due not later than December 1, 2002.
22-11 (c) This section expires January 31, 2003.
22-12 Sec. 12.1182. STUDY OF PROCEDURES FOR OBTAINING INFORMATION
22-13 FROM CHARTER SCHOOLS. (a) The agency shall study the procedures by
22-14 which the agency obtains information regarding the performance of
22-15 open-enrollment charter schools, including information regarding
22-16 the number of students attending those schools and the performance
22-17 of those students and schools under the accountability system
22-18 established by Subchapters B, C, D, and G, Chapter 39.
22-19 (b) In conducting the study, the agency shall:
22-20 (1) focus on the extent to which the existing
22-21 procedures for obtaining information results in current data that
22-22 is sufficient to permit effective and timely oversight of
22-23 open-enrollment charter schools;
22-24 (2) solicit comments and suggestions from persons
22-25 involved or otherwise interested in the operation of
22-26 open-enrollment charter schools; and
22-27 (3) develop recommendations for modifications in the
23-1 procedures for obtaining information, including any recommendations
23-2 requiring legislative action, that would improve the agency's
23-3 ability to obtain current information regarding open-enrollment
23-4 charter schools.
23-5 (c) The agency shall include the results of the study
23-6 conducted under this section and the agency's recommendations
23-7 resulting from the study in the report required under Section
23-8 39.182 that is due not later than December 1, 2002.
23-9 (d) This section expires January 1, 2003.
23-10 SECTION 17. Section 12.119(a), Education Code, is amended to
23-11 read as follows:
23-12 (a) A charter holder [The entity to which a charter is
23-13 granted for an open-enrollment charter school] shall file with the
23-14 State Board of Education a copy of its articles of incorporation
23-15 and bylaws, or [a] comparable documents [document] if the charter
23-16 holder [entity] does not have articles of incorporation or bylaws,
23-17 within the period and in the manner prescribed by the board.
23-18 SECTION 18. Section 12.120, Education Code, is amended to
23-19 read as follows:
23-20 Sec. 12.120. RESTRICTIONS [LIMITATION] ON SERVING AS MEMBER
23-21 OF GOVERNING BODY OF CHARTER HOLDER, OFFICER, OR EMPLOYEE. (a) A
23-22 person may not serve as a member of the governing body of a charter
23-23 holder or as an officer or employee of an open-enrollment charter
23-24 school if:
23-25 (1) the person [who] has been convicted of a felony or
23-26 a misdemeanor involving moral turpitude; or
23-27 (2) the person or the person's spouse has a
24-1 substantial interest in a management company.
24-2 (b) For purposes of Subsection (a)(2), a person has a
24-3 substantial interest in a management company if the person:
24-4 (1) has a controlling interest in the company;
24-5 (2) owns more than 10 percent of the voting interest
24-6 in the company;
24-7 (3) owns more than $25,000 of the fair market value of
24-8 the company;
24-9 (4) has a direct or indirect participating interest by
24-10 shares, stock, or otherwise, regardless of whether voting rights
24-11 are included, in more than 10 percent of the profits, proceeds, or
24-12 capital gains of the company;
24-13 (5) is a member of the board of directors or other
24-14 governing body of the company;
24-15 (6) serves as an elected officer of the company; or
24-16 (7) is an employee of the company [may not serve as an
24-17 officer or member of the governing body of an open-enrollment
24-18 charter school].
24-19 SECTION 19. Subchapter D, Chapter 12, Education Code, is
24-20 amended by adding Sections 12.121-12.1281 to read as follows:
24-21 Sec. 12.121. GENERAL POWERS AND DUTIES OF GOVERNING BODY OF
24-22 SCHOOL. (a) The governing body of an open-enrollment charter
24-23 school as a body corporate shall:
24-24 (1) govern and oversee the management of the school,
24-25 including the use of state funds received under Section 12.106;
24-26 (2) if the governing body determines that contracting
24-27 with a management company for the management of the school is
25-1 necessary and desirable, enter into a contract for management
25-2 services, subject to Section 12.125;
25-3 (3) select, determine the compensation of, evaluate
25-4 the performance of, and, if necessary, terminate the employment of
25-5 the principal, director, or other chief operating officer of the
25-6 school;
25-7 (4) approve the employment, compensation, promotion,
25-8 demotion, or termination of employment of other professional
25-9 employees of the school;
25-10 (5) adopt a budget for each school year and ensure
25-11 that funds received under Section 12.106 are spent only as provided
25-12 for in the budget;
25-13 (6) ensure that the school complies with Subchapters
25-14 A, B, and E, Chapter 29; and
25-15 (7) select textbooks for the school as required by
25-16 Section 31.101.
25-17 (b) Except as provided by Section 12.111(9), the governing
25-18 body of an open-enrollment charter school may not delegate the
25-19 governing body's powers and duties under this subchapter to another
25-20 person.
25-21 (c) The governing body of an open-enrollment charter school
25-22 shall provide for appeals to the governing body or its designee
25-23 concerning student disciplinary matters in which a student in a
25-24 school district would be entitled to appeal to the board of
25-25 trustees or its designee under Chapter 37.
25-26 Sec. 12.122. LIABILITY OF MEMBERS OF GOVERNING BODY OF
25-27 CHARTER HOLDER AND MEMBER OF GOVERNING BODY OF SCHOOL. (a)
26-1 Notwithstanding the Texas Non-Profit Corporation Act (Article
26-2 1396-1.01 et seq., Vernon's Texas Civil Statutes) or other law, a
26-3 member of the governing body of a charter holder or a member of the
26-4 governing body of an open-enrollment charter school is personally
26-5 liable for:
26-6 (1) a misuse of state funds received by the charter
26-7 holder under Section 12.106; and
26-8 (2) a misuse of property purchased or leased with
26-9 state funds received by the charter holder under Section 12.106.
26-10 (b) If a charter holder receives state funds under Section
26-11 12.106 after September 1, 2001, a member of the governing body of
26-12 the charter holder or a member of the governing body of the school
26-13 who serves in that capacity after September 1, 2001, accepts the
26-14 liability imposed by Subsection (a) as to any state funds accepted
26-15 under Section 12.106 during the person's service on the governing
26-16 body.
26-17 Sec. 12.123. TRAINING FOR MEMBERS OF GOVERNING BODY OF
26-18 SCHOOL, OFFICERS, AND EMPLOYEES. (a) The State Board of Education
26-19 shall adopt rules prescribing training for:
26-20 (1) members of governing bodies of open-enrollment
26-21 charter schools; and
26-22 (2) officers of open-enrollment charter schools.
26-23 (b) The rules adopted under Subsection (a) must:
26-24 (1) specify the minimum amount and frequency of the
26-25 training;
26-26 (2) require the training to be provided by:
26-27 (A) the agency and regional education service
27-1 centers;
27-2 (B) entities other than the agency and service
27-3 centers, subject to approval by the board; or
27-4 (C) both the agency, service centers, and other
27-5 entities;
27-6 (3) require training to be provided concerning:
27-7 (A) basic school law, including school finance;
27-8 (B) health and safety issues;
27-9 (C) accountability requirements related to the
27-10 use of public funds; and
27-11 (D) other requirements relating to
27-12 accountability to the public, such as open meetings requirements
27-13 under Chapter 551, Government Code, and public information
27-14 requirements under Chapter 552, Government Code; and
27-15 (4) require reporting to the agency to permit the
27-16 agency to monitor compliance with this section.
27-17 (c) A person described by Subsection (a) must complete the
27-18 minimum training required by rules adopted under Subsection (a).
27-19 (d) If a person described by Subsection (a) does not
27-20 complete the minimum training, the State Board of Education shall
27-21 direct the charter holder to remove the person failing to complete
27-22 the training or terminate that person's employment. If the person
27-23 is not removed or the person's employment is not terminated, the
27-24 board shall place on probation or revoke the school's charter as
27-25 provided by Sections 12.115 and 12.116.
27-26 Sec. 12.124. LOANS FROM MANAGEMENT COMPANY PROHIBITED. (a)
27-27 The charter holder or the governing body of an open-enrollment
28-1 charter school may not accept a loan from a management company that
28-2 has a contract to provide management services to:
28-3 (1) that charter school; or
28-4 (2) another charter school that operates under a
28-5 charter granted to the charter holder.
28-6 (b) A charter holder or the governing body of an
28-7 open-enrollment charter school that accepts a loan from a
28-8 management company may not enter into a contract with that
28-9 management company to provide management services to the school.
28-10 Sec. 12.125. APPROVAL OF MANAGEMENT CONTRACT. (a) An
28-11 open-enrollment charter school shall submit to the commissioner for
28-12 approval any proposed contract, including a contract renewal,
28-13 between the school and a management company proposing to provide
28-14 management services to the school. The contract may not take
28-15 effect until approved by the commissioner.
28-16 (b) The commissioner shall adopt criteria to use in
28-17 determining whether to approve a contract submitted under this
28-18 section.
28-19 (c) As provided by Section 12.107, if a charter holder
28-20 receives state funds under Section 12.106 after September 1, 2001,
28-21 a contract to provide management services to an open-enrollment
28-22 charter school for the 2001-2002 or a later school year that was
28-23 executed before September 1, 2001, has no effect for the 2001-2002
28-24 or a later school year unless the contract is approved as provided
28-25 by this section.
28-26 Sec. 12.126. LIABILITY OF MANAGEMENT COMPANY. (a) A
28-27 management company that provides management services to an
29-1 open-enrollment charter school is liable for damages incurred by
29-2 the state or an affected school district as a result of the failure
29-3 of the company to comply with its contractual or other legal
29-4 obligation to provide services to the school.
29-5 (b) On request of the State Board of Education, the attorney
29-6 general may bring suit on behalf of the state or any affected
29-7 school district against a management company liable under
29-8 Subsection (a) for:
29-9 (1) damages, including any state funding received by
29-10 the company and any consequential damages suffered by the state or
29-11 affected school district;
29-12 (2) injunctive relief; or
29-13 (3) any other equitable remedy determined to be
29-14 appropriate by the court.
29-15 (c) With the approval of the attorney general, an affected
29-16 school district may participate in a suit brought by the attorney
29-17 general under Subsection (b). An affected school district is not
29-18 entitled to bring suit on its own behalf against a management
29-19 company liable under Subsection (a).
29-20 (d) This section is cumulative of all other remedies and
29-21 does not affect:
29-22 (1) the liability of a management company to the
29-23 charter holder; or
29-24 (2) the liability of a charter holder, a member of the
29-25 governing body of a charter holder, or a member of the governing
29-26 body of an open-enrollment charter school to the state.
29-27 Sec. 12.127. PROPERTY PURCHASED OR LEASED WITH STATE FUNDS.
30-1 (a) Property purchased or leased with funds received by a charter
30-2 holder under Section 12.106 after September 1, 2001:
30-3 (1) is considered to be public property for all
30-4 purposes under state law;
30-5 (2) is held in trust by the charter holder for the
30-6 benefit of the students of the open-enrollment charter school; and
30-7 (3) may be used only for a purpose for which a school
30-8 district may use school district property.
30-9 (b) The commissioner shall:
30-10 (1) take possession and assume control of the property
30-11 described by Subsection (a) of an open-enrollment charter school
30-12 that ceases to operate; and
30-13 (2) supervise the disposition of the property in
30-14 accordance with law.
30-15 (c) The commissioner may adopt rules necessary to administer
30-16 this section.
30-17 (d) This section does not affect a security interest in or
30-18 lien on property established by a creditor in compliance with law
30-19 if the security interest or lien arose in connection with the sale
30-20 or lease of the property to the charter holder.
30-21 Sec. 12.128. MINIMUM TEACHER QUALIFICATIONS. A person
30-22 employed as a teacher by an open-enrollment charter school must
30-23 hold a bachelor's or more advanced degree from an institution of
30-24 higher education.
30-25 Sec. 12.1281. EXCEPTION TO MINIMUM TEACHER QUALIFICATIONS.
30-26 (a) Notwithstanding Section 12.128, a person employed as a teacher
30-27 by an open-enrollment charter school during the 2000-2001 school
31-1 year is not required to hold a bachelor's or more advanced degree
31-2 for employment as a teacher by an open-enrollment charter school
31-3 if:
31-4 (1) the person is employed under a contract that
31-5 guarantees the person the right to remain employed for the
31-6 2001-2002 or a later school year;
31-7 (2) the person holds a high school diploma or high
31-8 school equivalency certificate;
31-9 (3) not later than January 1, 2002, the person enrolls
31-10 in an institution of higher education in a program under which the
31-11 person will obtain a bachelor's degree not later than June 30,
31-12 2007;
31-13 (4) the person makes satisfactory progress in the
31-14 program described by Subdivision (3); and
31-15 (5) the person obtains a bachelor's degree not later
31-16 than June 30, 2007.
31-17 (b) This section expires July 1, 2007.
31-18 SECTION 20. Chapter 12, Education Code, is amended by adding
31-19 Subchapter E to read as follows:
31-20 SUBCHAPTER E. REGISTRATION OF PROVIDERS OF MANAGEMENT
31-21 SERVICES TO OPEN-ENROLLMENT CHARTER SCHOOLS
31-22 Sec. 12.151. DEFINITION. In this subchapter, "management
31-23 services" has the meaning assigned by Section 12.1012.
31-24 Sec. 12.152. REGISTRATION REQUIRED. A person may not
31-25 provide or offer to provide management services to an
31-26 open-enrollment charter school unless the person holds a
31-27 registration issued by the commissioner under this subchapter.
32-1 Sec. 12.153. GENERAL REGISTRATION REQUIREMENTS. The
32-2 commissioner by rule shall adopt minimum standards that must be met
32-3 by an applicant for registration. The standards must require an
32-4 applicant to demonstrate that the applicant:
32-5 (1) possesses substantial experience and expertise
32-6 relevant to providing management services in an educational
32-7 setting;
32-8 (2) has a reliable record of providing management
32-9 services in an educational setting, without:
32-10 (A) a previous suspension, revocation, or
32-11 refusal to renew a registration under Section 12.158, provided that
32-12 the registration was held by a registration holder managed in whole
32-13 or in part by the applicant; or
32-14 (B) unjustified failures to provide services in
32-15 compliance with a contractual or other legal obligation to any
32-16 open-enrollment charter school in this state or to any other
32-17 similar school in another state;
32-18 (3) has the personnel, financial assets, and other
32-19 resources necessary to enable the applicant to provide
32-20 high-quality, reliable management services to an open-enrollment
32-21 charter school; and
32-22 (4) does not employ a person the commissioner finds to
32-23 have engaged in conduct described by Section 12.158.
32-24 Sec. 12.154. REGISTRATION APPLICATION. (a) To become
32-25 registered to provide management services to an open-enrollment
32-26 charter school, an applicant must file with the commissioner a
32-27 written application accompanied by the application fee prescribed
33-1 under Section 12.156.
33-2 (b) The commissioner shall require an applicant to provide
33-3 information necessary to determine whether the applicant meets the
33-4 registration requirements prescribed under this subchapter.
33-5 (c) The commissioner shall notify the applicant of any
33-6 deficiency in the application not later than the 30th day after the
33-7 date the commissioner receives the application form.
33-8 (d) Before denying a registration application, the
33-9 commissioner shall provide written notice to an applicant
33-10 specifying the reasons for the denial. The commissioner shall
33-11 provide the applicant at least 30 days after the date of the notice
33-12 to address the reasons for the denial. For good cause and on a
33-13 showing of a good faith effort to remedy the reasons for the
33-14 denial, the commissioner may grant an additional 30 days to remedy
33-15 the reasons for denial.
33-16 Sec. 12.155. REGISTRATION ISSUANCE AND RENEWAL; TERM.
33-17 (a) Not later than the 90th day after the date the completed
33-18 application is filed with the commissioner, the commissioner shall
33-19 issue a registration to an applicant who the commissioner
33-20 determines has met the requirements prescribed under this
33-21 subchapter.
33-22 (b) A registration issued or renewed under this subchapter
33-23 is valid for two years from the date of the issuance or renewal.
33-24 The commissioner shall renew a registration on receipt of a
33-25 complete renewal application form and payment of the renewal fee
33-26 prescribed under Section 12.156.
33-27 Sec. 12.156. FEES. (a) Each applicant for an original or
34-1 renewal registration shall pay to the commissioner before the
34-2 issuance of the registration or registration renewal a reasonable
34-3 fee in an amount established by commissioner rule.
34-4 (b) The agency shall use fees collected under this
34-5 subchapter to administer this subchapter.
34-6 Sec. 12.157. REGISTRATION NOT ASSIGNABLE. A registration
34-7 holder may not assign a registration issued under this subchapter.
34-8 Sec. 12.158. SUSPENSION OR REVOCATION OF REGISTRATION;
34-9 REFUSAL TO RENEW. (a) The commissioner may suspend, revoke, or
34-10 refuse to renew a registration if the registration holder:
34-11 (1) fails to provide educational or related services
34-12 in compliance with the registration holder's contractual or other
34-13 legal obligation to any open-enrollment charter school in this
34-14 state or to any other similar school in another state;
34-15 (2) fails to protect the health, safety, or welfare of
34-16 the students enrolled at an open-enrollment charter school served
34-17 by the registration holder, as determined by the commissioner;
34-18 (3) violates this subchapter or a rule adopted under
34-19 this subchapter;
34-20 (4) engages in conduct that could result in action
34-21 under Sections 12.115 and 12.116; or
34-22 (5) refuses, after reasonable notice, to meet
34-23 reasonable health and safety requirements within the registration
34-24 holder's control and made known to the registration holder by a
34-25 federal or state agency or by a political subdivision of this
34-26 state.
34-27 (b) If the commissioner proposes to take action under
35-1 Subsection (a), the registration holder is entitled to a hearing
35-2 conducted by an agency hearings officer. Chapter 2001, Government
35-3 Code, does not apply to a hearing under this subsection.
35-4 Sec. 12.159. CRIMINAL PENALTY. (a) A person commits an
35-5 offense if the person provides or offers to provide management
35-6 services to an open-enrollment charter school without holding a
35-7 registration issued under this subchapter.
35-8 (b) An offense under this section is a Class B misdemeanor.
35-9 Sec. 12.160. RULEMAKING AUTHORITY. The commissioner may
35-10 adopt rules as necessary to administer this subchapter.
35-11 SECTION 21. Section 22.083, Education Code, is amended to
35-12 read as follows:
35-13 Sec. 22.083. ACCESS TO CRIMINAL HISTORY RECORDS BY LOCAL AND
35-14 REGIONAL EDUCATION AUTHORITIES. (a) A school district,
35-15 [open-enrollment charter school,] private school, regional
35-16 education service center, or shared services arrangement may obtain
35-17 from any law enforcement or criminal justice agency all criminal
35-18 history record information that relates to a person:
35-19 (1) whom the district, school, service center, or
35-20 shared services arrangement intends to employ in any capacity; or
35-21 (2) who has indicated, in writing, an intention to
35-22 serve as a volunteer with the district, school, service center, or
35-23 shared services arrangement.
35-24 (b) An open-enrollment charter school shall obtain from any
35-25 law enforcement or criminal justice agency all criminal history
35-26 record information that relates to:
35-27 (1) a person whom the school intends to employ in a
36-1 capacity described by Section 21.003(a) and who does not hold a
36-2 certificate issued under Subchapter B, Chapter 21; and
36-3 (2) a person who serves as or agrees to serve as a
36-4 member of the governing body of the school.
36-5 (c) An open-enrollment charter school may obtain from any
36-6 law enforcement or criminal justice agency all criminal history
36-7 record information that relates to a person:
36-8 (1) whom the school intends to employ in a capacity
36-9 other than a capacity described by Section 21.003(a); or
36-10 (2) who has indicated, in writing, an intention to
36-11 serve as a volunteer with the school.
36-12 (d) A school district, open-enrollment charter school,
36-13 private school, regional education service center, or shared
36-14 services arrangement may obtain from any law enforcement or
36-15 criminal justice agency all criminal history record information
36-16 that relates to:
36-17 (1) a volunteer or employee of the district, school,
36-18 service center, or shared services arrangement; or
36-19 (2) an employee of or applicant for employment by a
36-20 person that contracts with the district, school, service center, or
36-21 shared services arrangement to provide services, if:
36-22 (A) the employee or applicant has or will have
36-23 continuing duties related to the contracted services; and
36-24 (B) the duties are or will be performed on
36-25 school property or at another location where students are regularly
36-26 present.
36-27 (e) [(c)] The superintendent of a district or the director
37-1 of an open-enrollment charter school, private school, regional
37-2 education service center, or shared services arrangement shall
37-3 promptly notify the State Board for Educator Certification in
37-4 writing if the person obtains or has knowledge of information
37-5 showing that an applicant for or holder of a certificate issued
37-6 under Subchapter B, Chapter 21, has a reported criminal history.
37-7 SECTION 22. Section 39.075(a), Education Code, is amended to
37-8 read as follows:
37-9 (a) The commissioner shall authorize special accreditation
37-10 investigations to be conducted under the following circumstances:
37-11 (1) when excessive numbers of absences of students
37-12 eligible to be tested on state assessment instruments are
37-13 determined;
37-14 (2) when excessive numbers of allowable exemptions
37-15 from the required state assessment are determined;
37-16 (3) in response to complaints submitted to the agency
37-17 with respect to alleged violations of civil rights or other
37-18 requirements imposed on the state by federal law or court order;
37-19 (4) in response to established compliance reviews of
37-20 the district's financial accounting practices and state and federal
37-21 program requirements;
37-22 (5) when extraordinary numbers of student placements
37-23 in alternative education programs, other than placements under
37-24 Sections 37.006 and 37.007, are determined; [or]
37-25 (6) in response to an allegation involving a conflict
37-26 between members of the board of trustees or between the board and
37-27 the district administration if it appears that the conflict
38-1 involves a violation of a role or duty of the board members or the
38-2 administration clearly defined by this code; or
38-3 (7) in response to an allegation that school district
38-4 or school campus employees are informing students at risk of
38-5 dropping out of school, as defined by Section 29.081, of the
38-6 opportunity to attend an open-enrollment charter school for the
38-7 purpose of enabling the district or campus to avoid responsibility
38-8 for those students.
38-9 SECTION 23. Section 411.097, Government Code, is amended by
38-10 amending Subsections (c) and (d) and adding Subsection (e) to read
38-11 as follows:
38-12 (c) An open-enrollment charter school is entitled to obtain
38-13 from the department criminal history record information maintained
38-14 by the department that the school is required to obtain under
38-15 Subchapter C, Chapter 22, Education Code, that relates to a person
38-16 who:
38-17 (1) is a member of the governing body of the school,
38-18 as defined by Section 12.1012, Education Code; or
38-19 (2) has agreed to serve as a member of the governing
38-20 body of the school.
38-21 (d) Criminal history record information obtained by a school
38-22 district, charter school, private school, service center,
38-23 commercial transportation company, or shared services arrangement
38-24 under Subsection (a), [or] (b), or (c) may not be released or
38-25 disclosed to any person, other than the individual who is the
38-26 subject of the information, the Texas Education Agency, the State
38-27 Board for Educator Certification, or the chief personnel officer of
39-1 the transportation company, if the information is obtained under
39-2 Subsection (a)(2).
39-3 (e) [(d)] If a regional education service center or
39-4 commercial transportation company that receives criminal history
39-5 record information from the department under this section requests
39-6 the information by providing to the department a list, including
39-7 the name, date of birth, and any other personal descriptive
39-8 information required by the department for each person, through
39-9 electronic means, magnetic tape, or disk, as specified by the
39-10 department, the department may not charge the service center or
39-11 commercial transportation company more than the lesser of:
39-12 (1) the department's cost for providing the
39-13 information; or
39-14 (2) the amount prescribed by another law.
39-15 SECTION 24. Section 140.005, Local Government Code, is
39-16 amended to read as follows:
39-17 Sec. 140.005. ANNUAL FINANCIAL STATEMENT OF SCHOOL, ROAD, OR
39-18 OTHER DISTRICT. The governing body of a school district,
39-19 open-enrollment charter school, junior college district, or a
39-20 district or authority organized under Article III, Section 52, or
39-21 Article XVI, Section 59, of the Texas Constitution, shall prepare
39-22 an annual financial statement showing for each fund subject to the
39-23 authority of the governing body during the fiscal year:
39-24 (1) the total receipts of the fund, itemized by source
39-25 of revenue, including taxes, assessments, service charges, grants
39-26 of state money, gifts, or other general sources from which funds
39-27 are derived;
40-1 (2) the total disbursements of the fund, itemized by
40-2 the nature of the expenditure; and
40-3 (3) the balance in the fund at the close of the fiscal
40-4 year.
40-5 SECTION 25. Sections 140.006(c) and (d), Local Government
40-6 Code, are amended to read as follows:
40-7 (c) The presiding officer of a school district or
40-8 open-enrollment charter school shall submit a financial statement
40-9 prepared under Section 140.005 to a daily, weekly, or biweekly
40-10 newspaper published within the boundaries of the district or the
40-11 geographical area served by the charter school. If a daily,
40-12 weekly, or biweekly newspaper is not published within the
40-13 boundaries of the school district, the financial statement shall be
40-14 published in the manner provided by Subsections (a) and (b). If a
40-15 daily, weekly, or biweekly newspaper is not published within the
40-16 area served by the charter school, the financial statement shall be
40-17 published in a newspaper that has general circulation in the area
40-18 served by the charter school.
40-19 (d) A statement shall be published not later than two months
40-20 after the date the fiscal year ends, except that a school
40-21 district's or charter school's statement shall be published not
40-22 later than the 120th day after the date the fiscal year ends and in
40-23 accordance with the accounting method required by the Texas
40-24 [Central] Education Agency.
40-25 SECTION 26. (a) The Texas Education Agency shall
40-26 investigate existing open-enrollment charter schools to determine
40-27 if any of those schools are operating in a manner that effectively
41-1 requires students to possess special artistic, athletic, or other
41-2 abilities, the consideration of which in admissions policies is
41-3 prohibited under Section 12.111, Education Code, as amended by this
41-4 Act.
41-5 (b) Not later than January 1, 2002, the Texas Education
41-6 Agency shall report any violations to the State Board of Education,
41-7 and that board shall take appropriate action.
41-8 SECTION 27. Not later than January 1, 2002, the State Board
41-9 of Education shall adopt rules relating to training for the members
41-10 of governing bodies, officers, and employees of open-enrollment
41-11 charter schools, as required by Section 12.123, Education Code, as
41-12 added by this Act.
41-13 SECTION 28. Not later than November 1, 2001, the
41-14 commissioner of education shall adopt the criteria concerning
41-15 approval of open-enrollment charter school management contracts as
41-16 required under Section 12.125(b), Education Code, as added by this
41-17 Act.
41-18 SECTION 29. A person is not required to be registered under
41-19 Subchapter E, Chapter 12, Education Code, as added by this Act, to
41-20 provide management services to an open-enrollment charter school
41-21 until September 1, 2002.
41-22 SECTION 30. (a) Beginning September 1, 2001, an
41-23 open-enrollment charter school shall obtain, in compliance with
41-24 Section 22.083, Education Code, as amended by this Act, criminal
41-25 history record information relating to:
41-26 (1) each prospective employee whom the school intends
41-27 to employ in a capacity described by Section 21.003(a), Education
42-1 Code, and who does not hold a certificate issued under Subchapter
42-2 B, Chapter 21, Education Code; and
42-3 (2) each person who agrees to serve as a member of the
42-4 governing body of the school.
42-5 (b) Not later than January 1, 2002, an open-enrollment
42-6 charter school shall obtain, in compliance with Section 22.083,
42-7 Education Code, as amended by this Act, all criminal history record
42-8 information that relates to:
42-9 (1) a person whom the school initially employed in a
42-10 capacity described by Section 21.003(a), Education Code, on or
42-11 before September 1, 2001, other than a person:
42-12 (A) who holds a certificate issued under
42-13 Subchapter B, Chapter 21, Education Code;
42-14 (B) whom the school will not employ after
42-15 January 1, 2002; or
42-16 (C) as to whom the school obtained criminal
42-17 history record information under Section 22.083, Education Code, at
42-18 the time of the person's initial employment or subsequent to the
42-19 initial employment; and
42-20 (2) a person who serves as a member of the governing
42-21 body of the school other than a person:
42-22 (A) who holds a certificate issued under
42-23 Subchapter B, Chapter 21, Education Code; or
42-24 (B) who will not be serving on the governing
42-25 body after January 1, 2002.
42-26 SECTION 31. Not later than September 1, 2002, an
42-27 open-enrollment charter school in existence on September 1, 2001,
43-1 shall fulfill the requirements of Sections 203.025, 203.026, and
43-2 203.041, Local Government Code.
43-3 SECTION 32. (a) The change in law made by Section 12.114,
43-4 Education Code, as amended by this Act, applies to a revision
43-5 proposed by an open-enrollment charter school that has not been
43-6 approved by the State Board of Education before September 1, 2001,
43-7 regardless of the date on which the school proposed the revision.
43-8 (b) The change in law made by Section 12.126, Education
43-9 Code, as added by this Act, applies only to a cause of action that
43-10 accrues on or after September 1, 2001. A cause of action that
43-11 accrued before September 1, 2001, is governed by the law in effect
43-12 at the time the cause of action accrued, and that law is continued
43-13 in effect for that purpose.
43-14 SECTION 33. This Act takes effect September 1, 2001, except
43-15 that Section 12.159, Education Code, as added by this Act, takes
43-16 effect September 1, 2002.