CS for CS for CS for SB 1546                    Second Engrossed
       
       
       
       
       
       
       
       
       20111546e2
       
    1                        A bill to be entitled                      
    2         An act relating to school choice; creating s.
    3         1002.331, F.S.; establishing criteria for high
    4         performing charter schools; authorizing a high
    5         performing charter school to increase enrollment,
    6         expand grade levels served, submit a quarterly
    7         financial statement, consolidate the charters of
    8         certain charter schools, and receive certain
    9         modification or renewal of its charter; authorizing a
   10         high-performing charter school to apply to establish a
   11         charter school that replicates its educational
   12         program; providing application requirements; limiting
   13         the number of charter schools that may be established;
   14         requiring eligibility verification by the Commissioner
   15         of Education; creating s. 1002.332, F.S.; providing
   16         definitions; establishing criteria for high-performing
   17         charter school systems; providing for eligibility
   18         verification by the Commissioner of Education;
   19         authorizing a high-performing charter school system to
   20         replicate its high-performing charter schools;
   21         amending s. 1002.33, F.S.; requiring a charter school
   22         sponsor to allow a charter school applicant to correct
   23         technical deficiencies in its application before
   24         approval or denial; establishing standards for sponsor
   25         review of a charter school application submitted by a
   26         high-performing charter school; authorizing direct
   27         appeal to the State Board of Education of a denial of
   28         an application; establishing standards for reviewing
   29         such an appeal; revising applicant training
   30         requirements; requiring inclusion in the charter of
   31         procedures relating to high-performing charter
   32         schools; requiring charter school governing boards to
   33         appoint representatives; providing meeting
   34         requirements; revising the procedure for nonrenewal or
   35         termination of a charter; authorizing a charter
   36         school’s governing board to request a hearing
   37         regarding charter nonrenewal or termination, including
   38         immediate termination; authorizing the sponsor to
   39         choose to provide a direct hearing or a hearing before
   40         an administrative law judge; authorizing the award of
   41         costs and attorney’s fees to a charter school if
   42         certain criteria are met; authorizing quarterly
   43         financial reporting for certain charter schools;
   44         establishing additional student enrollment
   45         preferences; prohibiting a sponsor from limiting or
   46         requiring waiver of certain high-performing charter
   47         school benefits as a condition of charter approval or
   48         renewal; providing that student capacity of a high
   49         performing charter school shall be determined annually
   50         by the governing board; requiring the governing board
   51         to provide notice of enrollment increases to the
   52         sponsor; revising requirements relating to the
   53         imposition of requirements and restrictions on charter
   54         school facilities; revising provisions relating to
   55         charter school capital outlay funding; providing
   56         requirements for charter schools using shared
   57         facilities; deleting provisions relating to the
   58         Charter School Review Panel; correcting a cross
   59         reference relating to the disclosure of financial
   60         interests; authorizing certain charter school systems
   61         to be the local educational agency for administering
   62         federal funding received by the system’s schools;
   63         requiring the Department of Education to examine
   64         certain charter school funding and costs and report
   65         its findings to the Governor and the Legislature;
   66         providing that certain provisions control with respect
   67         to other legislation adopted in the same legislative
   68         session or an extension thereof; providing an
   69         effective date.
   70  
   71  Be It Enacted by the Legislature of the State of Florida:
   72  
   73         Section 1. Section 1002.331, Florida Statutes, is created
   74  to read:
   75         1002.331 High-performing charter schools.—
   76         (1) A charter school is a high-performing charter school if
   77  it:
   78         (a) Received at least two school grades of “A” and no
   79  school grade below “B,” pursuant to s. 1008.34, during each of
   80  the previous 3 school years.
   81         (b) Received an unqualified opinion on each annual
   82  financial audit required under s. 218.39 in the most recent 3
   83  fiscal years for which such audits are available.
   84         (c) Did not receive a financial audit that revealed one or
   85  more of the financial emergency conditions set forth in s.
   86  218.503(1) in the most recent 3 fiscal years for which such
   87  audits are available. However, this requirement is deemed met
   88  for a charter school-in-the-workplace if there is a finding in
   89  an audit that the school has the monetary resources available to
   90  cover any reported deficiency or that the deficiency does not
   91  result in a deteriorating financial condition pursuant to s.
   92  1002.345(1)(a)3.
   93  
   94  A virtual charter school established under s. 1002.33 is not
   95  eligible for designation as a high-performing charter school.
   96         (2) A high-performing charter school is authorized to:
   97         (a) Increase its student enrollment once per school year by
   98  up to 15 percent more than the capacity identified in the
   99  charter.
  100         (b) Expand grade levels within kindergarten through grade
  101  12 to add grade levels not already served if any annual
  102  enrollment increase resulting from grade level expansion is
  103  within the limit established in paragraph (a).
  104         (c) Submit a quarterly, rather than a monthly, financial
  105  statement to the sponsor pursuant to s. 1002.33(9)(g).
  106         (d) Consolidate under a single charter the charters of
  107  multiple high-performing charter schools operated in the same
  108  school district by the charter schools’ governing board
  109  regardless of the renewal cycle.
  110         (e) Receive a modification of its charter to a term of 15
  111  years or a 15-year charter renewal. The charter may be modified
  112  or renewed for a shorter term at the option of the high
  113  performing charter school. The charter must be consistent with
  114  s. 1002.33(7)(a)19. and (10)(h) and (i), is subject to annual
  115  review by the sponsor, and may be terminated during its term
  116  pursuant to s. 1002.33(8).
  117  
  118  A high-performing charter school shall notify its sponsor in
  119  writing by March 1 if it intends to increase enrollment or
  120  expand grade levels the following school year. The written
  121  notice shall specify the amount of the enrollment increase and
  122  the grade levels that will be added, as applicable.
  123         (3)(a) A high-performing charter school may submit an
  124  application pursuant to s. 1002.33(6) in any school district in
  125  the state to establish and operate a new charter school that
  126  will substantially replicate its educational program. An
  127  application submitted by a high-performing charter school must
  128  state that the application is being submitted pursuant to this
  129  paragraph and must include the verification letter provided by
  130  the Commissioner of Education pursuant to subsection (5). If the
  131  sponsor fails to act on the application within 60 days after
  132  receipt, the application is deemed approved and the procedure in
  133  s. 1002.33(6)(h) applies. If the sponsor denies the application,
  134  the high-performing charter school may appeal pursuant to s.
  135  1002.33(6).
  136         (b) A high-performing charter school may not establish more
  137  than one charter school within the state under paragraph (a) in
  138  any year. A subsequent application to establish a charter school
  139  under paragraph (a) may not be submitted unless each charter
  140  school established in this manner achieves high-performing
  141  charter school status.
  142         (4) A high-performing charter school may not increase
  143  enrollment or expand grade levels following any school year in
  144  which it receives a school grade of “C” or below. If the charter
  145  school receives a school grade of “C” or below in any 2 years
  146  during the term of the charter awarded under subsection (2), the
  147  term of the charter may be modified by the sponsor and the
  148  charter school loses its high-performing charter school status
  149  until it regains that status under subsection (1).
  150         (5) The Commissioner of Education, upon request by a
  151  charter school, shall verify that the charter school meets the
  152  criteria in subsection (1) and provide a letter to the charter
  153  school and the sponsor stating that the charter school is a
  154  high-performing charter school pursuant to this section.
  155         (6) A high-performing charter school replicated under this
  156  section may not be replicated as a virtual charter school.
  157         Section 2. Section 1002.332, Florida Statutes, is created
  158  to read:
  159         1002.332 High-performing charter school system.—
  160         (1) For purposes of this section, the term:
  161         (a) “Entity” means a municipality or other public entity
  162  that is authorized by law to operate a charter school; a
  163  private, nonprofit corporation with tax-exempt status under s.
  164  501(c)(3) of the Internal Revenue Code; or a private, for-profit
  165  education management corporation.
  166         (b) “High-performing charter school system” means an entity
  167  that:
  168         1. Operates at least three high-performing charter schools
  169  in the state;
  170         2. Operates a system of charter schools in which at least
  171  50 percent of the charter schools are high-performing charter
  172  schools pursuant to s. 1002.331 and no charter school received a
  173  school grade of “D” or “F” pursuant to s. 1008.34, except that:
  174         a. If the entity has assumed operation of a public school
  175  pursuant to s. 1008.33(5)(a)3. with a school grade of “D” or
  176  “F,” that school’s grade shall not be considered in determining
  177  high-performing charter school system status for a period of 3
  178  years.
  179         b. If the entity establishes a new charter school that
  180  serves a student population the majority of which resides in a
  181  school zone served by a public school that is identified as
  182  lowest performing under s. 1008.33(4)(b), that charter school’s
  183  grade shall not be considered in determining high-performing
  184  charter school system status if it attains and maintains a
  185  school grade that is higher than that of the public school
  186  serving that school zone within 3 years after establishment; and
  187         3. Has not received a financial audit that revealed one or
  188  more of the financial emergency conditions set forth in s.
  189  218.503(1) for any charter school assumed or established by the
  190  entity.
  191         (2)(a) The Commissioner of Education, upon request by an
  192  entity, shall verify that the entity meets the criteria in
  193  subsection (1) for the prior school year and provide a letter to
  194  the entity stating that it is a high-performing charter school
  195  system.
  196         (b) A high-performing charter school system may replicate
  197  its high-performing charter schools pursuant to s. 1002.331(3).
  198         Section 3. Paragraphs (b), (c), (e), and (f) of subsection
  199  (6), subsection (7), paragraphs (b), (c), and (d) of subsection
  200  (8), paragraph (g) of subsection (9), paragraphs (d) and (h) of
  201  subsection (10), paragraph (a) of subsection (18), subsections
  202  (19) and (22), and paragraph (b) of subsection (25) of section
  203  1002.33, Florida Statutes, are amended, paragraph (i) is added
  204  to subsection (10), subsection (26) is renumbered as subsection
  205  (27), and a new subsection (26) is added to that section, to
  206  read:
  207         1002.33 Charter schools.—
  208         (6) APPLICATION PROCESS AND REVIEW.—Charter school
  209  applications are subject to the following requirements:
  210         (b) A sponsor shall receive and review all applications for
  211  a charter school using an evaluation instrument developed by the
  212  Department of Education. Beginning with the 2007-2008 school
  213  year, A sponsor shall receive and consider charter school
  214  applications received on or before August 1 of each calendar
  215  year for charter schools to be opened at the beginning of the
  216  school district’s next school year, or to be opened at a time
  217  agreed to by the applicant and the sponsor. A sponsor may
  218  receive applications later than this date if it chooses. A
  219  sponsor may not charge an applicant for a charter any fee for
  220  the processing or consideration of an application, and a sponsor
  221  may not base its consideration or approval of an application
  222  upon the promise of future payment of any kind. Before approving
  223  or denying any application, the sponsor shall allow the
  224  applicant, upon receipt of written notification, at least 7
  225  calendar days to make technical or nonsubstantive corrections
  226  and clarifications, including, but not limited to, corrections
  227  of grammatical, typographical, and like errors or missing
  228  signatures, if such errors are identified by the sponsor as
  229  cause to deny the application.
  230         1. In order to facilitate an accurate budget projection
  231  process, a sponsor shall be held harmless for FTE students who
  232  are not included in the FTE projection due to approval of
  233  charter school applications after the FTE projection deadline.
  234  In a further effort to facilitate an accurate budget projection,
  235  within 15 calendar days after receipt of a charter school
  236  application, a sponsor shall report to the Department of
  237  Education the name of the applicant entity, the proposed charter
  238  school location, and its projected FTE.
  239         2. In order to ensure fiscal responsibility, an application
  240  for a charter school shall include a full accounting of expected
  241  assets, a projection of expected sources and amounts of income,
  242  including income derived from projected student enrollments and
  243  from community support, and an expense projection that includes
  244  full accounting of the costs of operation, including start-up
  245  costs.
  246         3.a. A sponsor shall by a majority vote approve or deny an
  247  application no later than 60 calendar days after the application
  248  is received, unless the sponsor and the applicant mutually agree
  249  in writing to temporarily postpone the vote to a specific date,
  250  at which time the sponsor shall by a majority vote approve or
  251  deny the application. If the sponsor fails to act on the
  252  application, an applicant may appeal to the State Board of
  253  Education as provided in paragraph (c). If an application is
  254  denied, the sponsor shall, within 10 calendar days after such
  255  denial, articulate in writing the specific reasons, based upon
  256  good cause, supporting its denial of the charter application and
  257  shall provide the letter of denial and supporting documentation
  258  to the applicant and to the Department of Education supporting
  259  those reasons.
  260         b. An application submitted by a high-performing charter
  261  school identified pursuant to s. 1002.331 may be denied by the
  262  sponsor only if the sponsor demonstrates by clear and convincing
  263  evidence that:
  264         (I) The application does not materially comply with the
  265  requirements in paragraph (a);
  266         (II) The charter school proposed in the application does
  267  not materially comply with the requirements in paragraphs
  268  (9)(a)-(f);
  269         (III) The proposed charter school’s educational program
  270  does not substantially replicate that of the applicant or one of
  271  the applicant’s high-performing charter schools;
  272         (IV) The applicant has made a material misrepresentation or
  273  false statement or concealed an essential or material fact
  274  during the application process; or
  275         (V) The proposed charter school’s educational program and
  276  financial management practices do not materially comply with the
  277  requirements of this section.
  278  
  279  Material noncompliance is a failure to follow requirements or a
  280  violation of prohibitions applicable to charter school
  281  applications, which failure is quantitatively or qualitatively
  282  significant either individually or when aggregated with other
  283  noncompliance. An applicant is considered to be replicating a
  284  high-performing charter school if the proposed school is
  285  substantially similar to at least one of the applicant’s high
  286  performing charter schools and the organization or individuals
  287  involved in the establishment and operation of the proposed
  288  school are significantly involved in the operation of replicated
  289  schools.
  290         c. If the sponsor denies an application submitted by a
  291  high-performing charter school, the sponsor must, within 10
  292  calendar days after such denial, state in writing the specific
  293  reasons, based upon the criteria in sub-subparagraph b.,
  294  supporting its denial of the application and must provide the
  295  letter of denial and supporting documentation to the applicant
  296  and to the Department of Education. The applicant may appeal the
  297  sponsor’s denial of the application directly to the State Board
  298  of Education pursuant to sub-subparagraph (c)3.b.
  299         4. For budget projection purposes, the sponsor shall report
  300  to the Department of Education the approval or denial of a
  301  charter application within 10 calendar days after such approval
  302  or denial. In the event of approval, the report to the
  303  Department of Education shall include the final projected FTE
  304  for the approved charter school.
  305         5. Upon approval of a charter application, the initial
  306  startup shall commence with the beginning of the public school
  307  calendar for the district in which the charter is granted unless
  308  the sponsor allows a waiver of this subparagraph for good cause.
  309         (c)1. An applicant may appeal any denial of that
  310  applicant’s application or failure to act on an application to
  311  the State Board of Education no later than 30 calendar days
  312  after receipt of the sponsor’s decision or failure to act and
  313  shall notify the sponsor of its appeal. Any response of the
  314  sponsor shall be submitted to the State Board of Education
  315  within 30 calendar days after notification of the appeal. Upon
  316  receipt of notification from the State Board of Education that a
  317  charter school applicant is filing an appeal, the Commissioner
  318  of Education shall convene a meeting of the Charter School
  319  Appeal Commission to study and make recommendations to the State
  320  Board of Education regarding its pending decision about the
  321  appeal. The commission shall forward its recommendation to the
  322  state board no later than 7 calendar days prior to the date on
  323  which the appeal is to be heard.
  324         2. The Charter School Appeal Commission may reject an
  325  appeal submission for failure to comply with procedural rules
  326  governing the appeals process. The rejection shall describe the
  327  submission errors. The appellant shall have 15 calendar days
  328  after notice of rejection in which to resubmit an appeal that
  329  meets the requirements set forth in State Board of Education
  330  rule. An appeal submitted subsequent to such rejection is
  331  considered timely if the original appeal was filed within 30
  332  calendar days after receipt of notice of the specific reasons
  333  for the sponsor’s denial of the charter application.
  334         3.a. The State Board of Education shall by majority vote
  335  accept or reject the decision of the sponsor no later than 90
  336  calendar days after an appeal is filed in accordance with State
  337  Board of Education rule. The Charter School Appeal Commission
  338  may reject an appeal submission for failure to comply with
  339  procedural rules governing the appeals process. The rejection
  340  shall describe the submission errors. The appellant may have up
  341  to 15 calendar days from notice of rejection to resubmit an
  342  appeal that meets requirements of State Board of Education rule.
  343  An application for appeal submitted subsequent to such rejection
  344  shall be considered timely if the original appeal was filed
  345  within 30 calendar days after receipt of notice of the specific
  346  reasons for the sponsor’s denial of the charter application. The
  347  State Board of Education shall remand the application to the
  348  sponsor with its written decision that the sponsor approve or
  349  deny the application. The sponsor shall implement the decision
  350  of the State Board of Education. The decision of the State Board
  351  of Education is not subject to the provisions of the
  352  Administrative Procedure Act, chapter 120.
  353         b. If an appeal concerns an application submitted by a
  354  high-performing charter school identified pursuant to s.
  355  1002.331, the State Board of Education shall determine whether
  356  the sponsor has shown, by clear and convincing evidence, that:
  357         (I) The application does not materially comply with the
  358  requirements in paragraph (a);
  359         (II) The charter school proposed in the application does
  360  not materially comply with the requirements in paragraphs
  361  (9)(a)-(f);
  362         (III) The proposed charter school’s educational program
  363  does not substantially replicate that of the applicant or one of
  364  the applicant’s high-performing charter schools;
  365         (IV) The applicant has made a material misrepresentation or
  366  false statement or concealed an essential or material fact
  367  during the application process; or
  368         (V) The proposed charter school’s educational program and
  369  financial management practices do not materially comply with the
  370  requirements of this section.
  371  
  372  The State Board of Education shall approve or reject the
  373  sponsor’s denial of an application no later than 90 calendar
  374  days after an appeal is filed in accordance with State Board of
  375  Education rule. The State Board of Education shall remand the
  376  application to the sponsor with its written decision that the
  377  sponsor approve or deny the application. The sponsor shall
  378  implement the decision of the State Board of Education. The
  379  decision of the State Board of Education is not subject to the
  380  Administrative Procedure Act, chapter 120.
  381         (e)1. A Charter School Appeal Commission is established to
  382  assist the commissioner and the State Board of Education with a
  383  fair and impartial review of appeals by applicants whose charter
  384  applications have been denied, whose charter contracts have not
  385  been renewed, or whose charter contracts have been terminated by
  386  their sponsors.
  387         2. The Charter School Appeal Commission may receive copies
  388  of the appeal documents forwarded to the State Board of
  389  Education, review the documents, gather other applicable
  390  information regarding the appeal, and make a written
  391  recommendation to the commissioner. The recommendation must
  392  state whether the appeal should be upheld or denied and include
  393  the reasons for the recommendation being offered. The
  394  commissioner shall forward the recommendation to the State Board
  395  of Education no later than 7 calendar days prior to the date on
  396  which the appeal is to be heard. The state board must consider
  397  the commission’s recommendation in making its decision, but is
  398  not bound by the recommendation. The decision of the Charter
  399  School Appeal Commission is not subject to the provisions of the
  400  Administrative Procedure Act, chapter 120.
  401         3. The commissioner shall appoint a number of the members
  402  to of the Charter School Appeal Commission sufficient to ensure
  403  that no potential conflict of interest exists for any commission
  404  appeal decision. Members shall serve without compensation but
  405  may be reimbursed for travel and per diem expenses in
  406  conjunction with their service. Of the members hearing the
  407  appeal, one-half of the members must represent currently
  408  operating charter schools, and one-half of the members must
  409  represent sponsors. The commissioner or a named designee shall
  410  chair the Charter School Appeal Commission.
  411         4. The chair shall convene meetings of the commission and
  412  shall ensure that the written recommendations are completed and
  413  forwarded in a timely manner. In cases where the commission
  414  cannot reach a decision, the chair shall make the written
  415  recommendation with justification, noting that the decision was
  416  rendered by the chair.
  417         5. Commission members shall thoroughly review the materials
  418  presented to them from the appellant and the sponsor. The
  419  commission may request information to clarify the documentation
  420  presented to it. In the course of its review, the commission may
  421  facilitate the postponement of an appeal in those cases where
  422  additional time and communication may negate the need for a
  423  formal appeal and both parties agree, in writing, to postpone
  424  the appeal to the State Board of Education. A new date certain
  425  for the appeal shall then be set based upon the rules and
  426  procedures of the State Board of Education. Commission members
  427  shall provide a written recommendation to the state board as to
  428  whether the appeal should be upheld or denied. A fact-based
  429  justification for the recommendation must be included. The chair
  430  must ensure that the written recommendation is submitted to the
  431  State Board of Education members no later than 7 calendar days
  432  prior to the date on which the appeal is to be heard. Both
  433  parties in the case shall also be provided a copy of the
  434  recommendation.
  435         (f)1. The Department of Education shall provide offer or
  436  arrange for training and technical assistance to charter schools
  437  school applicants in developing and adjusting business plans and
  438  accounting for estimating costs and income. Training and
  439  technical This assistance shall also address, at a minimum,
  440  state and federal grant and student performance accountability
  441  reporting requirements and provide assistance in estimating
  442  startup costs, projecting enrollment, and identifying and
  443  applying for the types and amounts of state and federal
  444  financial assistance the charter school may be eligible to
  445  receive. The department may provide other technical assistance
  446  to an applicant upon written request.
  447         2. A charter school applicant must participate in the
  448  training provided by the Department of Education after approval
  449  of an application but at least 30 calendar days before the first
  450  day of classes at the charter school before filing an
  451  application. However, a sponsor may require the charter school
  452  applicant to attend training provided by the sponsor in lieu of
  453  the department’s training if the sponsor’s training standards
  454  meet or exceed the standards developed by the department of
  455  Education. In such case, the sponsor may not require the charter
  456  school applicant to attend the training within 30 calendar days
  457  before the first day of classes at the charter school. The
  458  training must shall include instruction in accurate financial
  459  planning and good business practices. If the applicant is a
  460  management company or a other nonprofit organization, the
  461  charter school principal and the chief financial officer or his
  462  or her equivalent must also participate in the training. A
  463  sponsor may not require a high-performing charter school or
  464  high-performing charter school system applicant to participate
  465  in the training described in this subparagraph more than once.
  466         (7) CHARTER.—The major issues involving the operation of a
  467  charter school shall be considered in advance and written into
  468  the charter. The charter shall be signed by the governing board
  469  body of the charter school and the sponsor, following a public
  470  hearing to ensure community input.
  471         (a) The charter shall address and criteria for approval of
  472  the charter shall be based on:
  473         1. The school’s mission, the students to be served, and the
  474  ages and grades to be included.
  475         2. The focus of the curriculum, the instructional methods
  476  to be used, any distinctive instructional techniques to be
  477  employed, and identification and acquisition of appropriate
  478  technologies needed to improve educational and administrative
  479  performance which include a means for promoting safe, ethical,
  480  and appropriate uses of technology which comply with legal and
  481  professional standards. The charter shall ensure that reading is
  482  a primary focus of the curriculum and that resources are
  483  provided to identify and provide specialized instruction for
  484  students who are reading below grade level. The curriculum and
  485  instructional strategies for reading must be consistent with the
  486  Sunshine State Standards and grounded in scientifically based
  487  reading research.
  488         3. The current incoming baseline standard of student
  489  academic achievement, the outcomes to be achieved, and the
  490  method of measurement that will be used. The criteria listed in
  491  this subparagraph shall include a detailed description of:
  492         a. How the baseline student academic achievement levels and
  493  prior rates of academic progress will be established.
  494         b. How these baseline rates will be compared to rates of
  495  academic progress achieved by these same students while
  496  attending the charter school.
  497         c. To the extent possible, how these rates of progress will
  498  be evaluated and compared with rates of progress of other
  499  closely comparable student populations.
  500  
  501  The district school board is required to provide academic
  502  student performance data to charter schools for each of their
  503  students coming from the district school system, as well as
  504  rates of academic progress of comparable student populations in
  505  the district school system.
  506         4. The methods used to identify the educational strengths
  507  and needs of students and how well educational goals and
  508  performance standards are met by students attending the charter
  509  school. The methods shall provide a means for the charter school
  510  to ensure accountability to its constituents by analyzing
  511  student performance data and by evaluating the effectiveness and
  512  efficiency of its major educational programs. Students in
  513  charter schools shall, at a minimum, participate in the
  514  statewide assessment program created under s. 1008.22.
  515         5. In secondary charter schools, a method for determining
  516  that a student has satisfied the requirements for graduation in
  517  s. 1003.428, s. 1003.429, or s. 1003.43.
  518         6. A method for resolving conflicts between the governing
  519  board body of the charter school and the sponsor.
  520         7. The admissions procedures and dismissal procedures,
  521  including the school’s code of student conduct.
  522         8. The ways by which the school will achieve a
  523  racial/ethnic balance reflective of the community it serves or
  524  within the racial/ethnic range of other public schools in the
  525  same school district.
  526         9. The financial and administrative management of the
  527  school, including a reasonable demonstration of the professional
  528  experience or competence of those individuals or organizations
  529  applying to operate the charter school or those hired or
  530  retained to perform such professional services and the
  531  description of clearly delineated responsibilities and the
  532  policies and practices needed to effectively manage the charter
  533  school. A description of internal audit procedures and
  534  establishment of controls to ensure that financial resources are
  535  properly managed must be included. Both public sector and
  536  private sector professional experience shall be equally valid in
  537  such a consideration.
  538         10. The asset and liability projections required in the
  539  application which are incorporated into the charter and shall be
  540  compared with information provided in the annual report of the
  541  charter school.
  542         11. A description of procedures that identify various risks
  543  and provide for a comprehensive approach to reduce the impact of
  544  losses; plans to ensure the safety and security of students and
  545  staff; plans to identify, minimize, and protect others from
  546  violent or disruptive student behavior; and the manner in which
  547  the school will be insured, including whether or not the school
  548  will be required to have liability insurance, and, if so, the
  549  terms and conditions thereof and the amounts of coverage.
  550         12. The term of the charter which shall provide for
  551  cancellation of the charter if insufficient progress has been
  552  made in attaining the student achievement objectives of the
  553  charter and if it is not likely that such objectives can be
  554  achieved before expiration of the charter. The initial term of a
  555  charter shall be for 4 or 5 years. In order to facilitate access
  556  to long-term financial resources for charter school
  557  construction, charter schools that are operated by a
  558  municipality or other public entity as provided by law are
  559  eligible for up to a 15-year charter, subject to approval by the
  560  district school board. A charter lab school is eligible for a
  561  charter for a term of up to 15 years. In addition, to facilitate
  562  access to long-term financial resources for charter school
  563  construction, charter schools that are operated by a private,
  564  not-for-profit, s. 501(c)(3) status corporation are eligible for
  565  up to a 15-year charter, subject to approval by the district
  566  school board. Such long-term charters remain subject to annual
  567  review and may be terminated during the term of the charter, but
  568  only according to the provisions set forth in subsection (8).
  569         13. The facilities to be used and their location.
  570         14. The qualifications to be required of the teachers and
  571  the potential strategies used to recruit, hire, train, and
  572  retain qualified staff to achieve best value.
  573         15. The governance structure of the school, including the
  574  status of the charter school as a public or private employer as
  575  required in paragraph (12)(i).
  576         16. A timetable for implementing the charter which
  577  addresses the implementation of each element thereof and the
  578  date by which the charter shall be awarded in order to meet this
  579  timetable.
  580         17. In the case of an existing public school that is being
  581  converted to charter status, alternative arrangements for
  582  current students who choose not to attend the charter school and
  583  for current teachers who choose not to teach in the charter
  584  school after conversion in accordance with the existing
  585  collective bargaining agreement or district school board rule in
  586  the absence of a collective bargaining agreement. However,
  587  alternative arrangements shall not be required for current
  588  teachers who choose not to teach in a charter lab school, except
  589  as authorized by the employment policies of the state university
  590  which grants the charter to the lab school.
  591         18. Full disclosure of the identity of all relatives
  592  employed by the charter school who are related to the charter
  593  school owner, president, chairperson of the governing board of
  594  directors, superintendent, governing board member, principal,
  595  assistant principal, or any other person employed by the charter
  596  school who has equivalent decisionmaking authority. For the
  597  purpose of this subparagraph, the term “relative” means father,
  598  mother, son, daughter, brother, sister, uncle, aunt, first
  599  cousin, nephew, niece, husband, wife, father-in-law, mother-in
  600  law, son-in-law, daughter-in-law, brother-in-law, sister-in-law,
  601  stepfather, stepmother, stepson, stepdaughter, stepbrother,
  602  stepsister, half brother, or half sister.
  603         19. Implementation of the activities authorized under s.
  604  1002.331 by the charter school when it satisfies the eligibility
  605  requirements for a high-performing charter school. A high
  606  performing charter school shall notify its sponsor in writing by
  607  March 1 if it intends to increase enrollment or expand grade
  608  levels the following school year. The written notice shall
  609  specify the amount of the enrollment increase and the grade
  610  levels that will be added, as applicable.
  611         (b)1. A charter may be renewed provided that a program
  612  review demonstrates that the criteria in paragraph (a) have been
  613  successfully accomplished and that none of the grounds for
  614  nonrenewal established by paragraph (8)(a) has been documented.
  615  In order to facilitate long-term financing for charter school
  616  construction, charter schools operating for a minimum of 3 years
  617  and demonstrating exemplary academic programming and fiscal
  618  management are eligible for a 15-year charter renewal. Such
  619  long-term charter is subject to annual review and may be
  620  terminated during the term of the charter.
  621         2. The 15-year charter renewal that may be granted pursuant
  622  to subparagraph 1. shall be granted to a charter school that has
  623  received a school grade of “A” or “B” pursuant to s. 1008.34 in
  624  3 of the past 4 years and is not in a state of financial
  625  emergency or deficit position as defined by this section. Such
  626  long-term charter is subject to annual review and may be
  627  terminated during the term of the charter pursuant to subsection
  628  (8).
  629         (c) A charter may be modified during its initial term or
  630  any renewal term upon the recommendation of the sponsor or the
  631  charter school’s school governing board and the approval of both
  632  parties to the agreement.
  633         (d)1. Each charter school’s governing board must appoint a
  634  representative to facilitate parental involvement, provide
  635  access to information, assist parents and others with questions
  636  and concerns, and resolve disputes. The representative must
  637  reside in the school district in which the charter school is
  638  located and may be a governing board member, charter school
  639  employee, or individual contracted to represent the governing
  640  board. If the governing board oversees multiple charter schools
  641  in the same school district, the governing board must appoint a
  642  separate individual representative for each charter school in
  643  the district. The representative’s contact information must be
  644  provided annually in writing to parents and posted prominently
  645  on the charter school’s website if a website is maintained by
  646  the school. The sponsor may not require that governing board
  647  members reside in the school district in which the charter
  648  school is located if the charter school complies with this
  649  paragraph.
  650         2. Each charter school’s governing board must hold at least
  651  two public meetings per school year in the school district. The
  652  meetings must be noticed, open, and accessible to the public,
  653  and attendees must be provided an opportunity to receive
  654  information and provide input regarding the charter school’s
  655  operations. The appointed representative and charter school
  656  principal or director, or his or her equivalent, must be
  657  physically present at each meeting.
  658         (8) CAUSES FOR NONRENEWAL OR TERMINATION OF CHARTER.—
  659         (b) At least 90 days prior to renewing or terminating a
  660  charter, the sponsor shall notify the governing board body of
  661  the school of the proposed action in writing. The notice shall
  662  state in reasonable detail the grounds for the proposed action
  663  and stipulate that the school’s governing board body may, within
  664  14 calendar days after receiving the notice, request a an
  665  informal hearing. The hearing shall be conducted at the
  666  sponsor’s election in accordance with one of the following
  667  procedures:
  668         1. A direct hearing conducted by the sponsor within 60 days
  669  after receipt of the request for a hearing. The hearing shall be
  670  conducted in accordance with ss. 120.569 and 120.57. The sponsor
  671  shall decide upon nonrenewal or termination by a majority vote.
  672  The sponsor’s decision shall be a final order; or
  673         2. A hearing conducted by an administrative law judge
  674  assigned by the Division of Administrative Hearings. The hearing
  675  shall be conducted within 60 days after receipt of the request
  676  for a hearing and in accordance with chapter 120. The
  677  administrative law judge’s recommended order shall be submitted
  678  to the sponsor. A majority vote by the sponsor shall be required
  679  to adopt or modify the administrative law judge’s recommended
  680  order. The sponsor shall issue a final order before the sponsor.
  681  The sponsor shall conduct the informal hearing within 30
  682  calendar days after receiving a written request.
  683         (c) The final order shall state the specific reasons for
  684  the sponsor’s decision. The sponsor shall provide its final
  685  order to the charter school’s governing board and the Department
  686  of Education no later than 10 calendar days after its issuance.
  687  If a charter is not renewed or is terminated pursuant to
  688  paragraph (b), the sponsor shall, within 10 calendar days,
  689  articulate in writing the specific reasons for its nonrenewal or
  690  termination of the charter and must provide the letter of
  691  nonrenewal or termination and documentation supporting the
  692  reasons to the charter school governing body, the charter school
  693  principal, and the Department of Education. The charter school’s
  694  governing board body may, within 30 calendar days after
  695  receiving the sponsor’s final order written decision to refuse
  696  to renew or to terminate the charter, appeal the decision
  697  pursuant to s. 120.68 the procedure established in subsection
  698  (6).
  699         (d) A charter may be terminated immediately if the sponsor
  700  sets forth in writing the particular facts and circumstances
  701  indicating that an immediate and serious danger to determines
  702  that good cause has been shown or if the health, safety, or
  703  welfare of the charter school’s students exists is threatened.
  704  The sponsor’s determination is not subject to the procedures set
  705  forth in paragraphs an informal hearing under paragraph (b) and
  706  (c), except that the hearing may take place after the charter
  707  has been terminated or pursuant to chapter 120. The sponsor
  708  shall notify in writing the charter school’s governing board
  709  body, the charter school principal, and the department if a
  710  charter is immediately terminated immediately. The sponsor shall
  711  clearly identify the specific issues that resulted in the
  712  immediate termination and provide evidence of prior notification
  713  of issues resulting in the immediate termination when
  714  appropriate. Upon receiving written notice from the sponsor, the
  715  charter school’s governing board has 10 calendar days to request
  716  a hearing. A requested hearing must be expedited and the final
  717  order must be issued within 60 days after the date of request.
  718  The sponsor shall assume operation of the charter school
  719  throughout the pendency of the hearing under paragraphs (b) and
  720  (c) unless the continued operation of the charter school would
  721  materially threaten the health, safety, or welfare of the
  722  students. Failure by the sponsor to assume and continue
  723  operation of the charter school shall result in the awarding of
  724  reasonable costs and attorney’s fees to the charter school if
  725  the charter school prevails on appeal. The school district in
  726  which the charter school is located shall assume operation of
  727  the school under these circumstances. The charter school’s
  728  governing board may, within 30 days after receiving the
  729  sponsor’s decision to terminate the charter, appeal the decision
  730  pursuant to the procedure established in subsection (6).
  731         (9) CHARTER SCHOOL REQUIREMENTS.—
  732         (g) In order to provide financial information that is
  733  comparable to that reported for other public schools, charter
  734  schools are to maintain all financial records that constitute
  735  their accounting system:
  736         1. In accordance with the accounts and codes prescribed in
  737  the most recent issuance of the publication titled “Financial
  738  and Program Cost Accounting and Reporting for Florida Schools”;
  739  or
  740         2. At the discretion of the charter school’s school
  741  governing board, a charter school may elect to follow generally
  742  accepted accounting standards for not-for-profit organizations,
  743  but must reformat this information for reporting according to
  744  this paragraph.
  745  
  746  Charter schools shall provide annual financial report and
  747  program cost report information in the state-required formats
  748  for inclusion in district reporting in compliance with s.
  749  1011.60(1). Charter schools that are operated by a municipality
  750  or are a component unit of a parent nonprofit organization may
  751  use the accounting system of the municipality or the parent but
  752  must reformat this information for reporting according to this
  753  paragraph. A charter school shall provide a monthly financial
  754  statement to the sponsor unless the charter school is designated
  755  as a high-performing charter school pursuant to s. 1002.331, in
  756  which case the high-performing charter school may provide a
  757  quarterly financial statement. The monthly financial statement
  758  required under this paragraph shall be in a form prescribed by
  759  the Department of Education.
  760         (10) ELIGIBLE STUDENTS.—
  761         (d) A charter school may give enrollment preference to the
  762  following student populations:
  763         1. Students who are siblings of a student enrolled in the
  764  charter school.
  765         2. Students who are the children of a member of the
  766  governing board of the charter school.
  767         3. Students who are the children of an employee of the
  768  charter school.
  769         4. Students who are the children of:
  770         a. An employee of the business partner of a charter school
  771  in-the-workplace established under paragraph (15)(b) or a
  772  resident of the municipality in which such charter school is
  773  located; or
  774         b. A resident of a municipality that operates a charter
  775  school-in-a-municipality pursuant to paragraph (15)(c).
  776         5. Students who have successfully completed a voluntary
  777  prekindergarten education program under ss. 1002.51-1002.79
  778  provided by the charter school or the charter school’s governing
  779  board during the previous year.
  780         6. Students who are the children of an active-duty member
  781  of any branch of the United States Armed Forces.
  782         (h) The capacity of the charter school shall be determined
  783  annually by the governing board, in conjunction with the
  784  sponsor, of the charter school in consideration of the factors
  785  identified in this subsection unless the charter school is
  786  designated as a high-performing charter school pursuant to s.
  787  1002.331. A sponsor may not require a charter school to waive
  788  the provisions of s. 1002.331 or require a student enrollment
  789  cap that prohibits a high-performing charter school from
  790  increasing enrollment in accordance with s. 1002.331(2) as a
  791  condition of approval or renewal of a charter.
  792         (i) The capacity of a high-performing charter school
  793  identified pursuant to s. 1002.331 shall be determined annually
  794  by the governing board of the charter school. The governing
  795  board shall notify the sponsor of any increase in enrollment by
  796  March 1 of the school year preceding the increase.
  797         (18) FACILITIES.—
  798         (a) A startup charter school shall utilize facilities which
  799  comply with the Florida Building Code pursuant to chapter 553
  800  except for the State Requirements for Educational Facilities.
  801  Conversion charter schools shall utilize facilities that comply
  802  with the State Requirements for Educational Facilities provided
  803  that the school district and the charter school have entered
  804  into a mutual management plan for the reasonable maintenance of
  805  such facilities. The mutual management plan shall contain a
  806  provision by which the district school board agrees to maintain
  807  charter school facilities in the same manner as its other public
  808  schools within the district. Charter schools, with the exception
  809  of conversion charter schools, are not required to comply, but
  810  may choose to comply, with the State Requirements for
  811  Educational Facilities of the Florida Building Code adopted
  812  pursuant to s. 1013.37. The local governing authority shall not
  813  adopt or impose any local building requirements or site
  814  development restrictions, such as parking and site-size
  815  criteria, that are addressed by and more stringent than those
  816  found in the State Requirements for Educational Facilities of
  817  the Florida Building Code. Beginning July 1, 2011, a local
  818  governing authority must treat charter schools equitably in
  819  comparison to similar requirements, restrictions, and processes
  820  imposed upon public schools that are not charter schools. The
  821  agency having jurisdiction for inspection of a facility and
  822  issuance of a certificate of occupancy or use shall be the local
  823  municipality or, if in an unincorporated area, the county
  824  governing authority.
  825         (19) CAPITAL OUTLAY FUNDING.—Charter schools are eligible
  826  for capital outlay funds pursuant to s. 1013.62. Capital outlay
  827  funds authorized in ss. s. 1011.71(2) and 1013.62 that have been
  828  shared with a charter school-in-the-workplace prior to July 1,
  829  2010, are deemed to have met the authorized expenditure
  830  requirements for such funds.
  831         (22) FACILITIES SHARED BY CHARTER SCHOOLS CHARTER SCHOOL
  832  REVIEW PANEL AND LEGISLATIVE REVIEW.—
  833         (a) If a charter school moves out of a facility that is
  834  shared with another charter school having a separate Master
  835  School Identification Number, the charter school must provide
  836  for an audit of all equipment, educational materials and
  837  supplies, curriculum materials, and other items purchased or
  838  developed with federal charter school program grant funds, and
  839  such items must be transferred to the charter school’s new
  840  location. The audit report must be submitted to the Department
  841  of Education within 60 days after completion.
  842         (b) A charter school may not transfer an enrolled student
  843  to another charter school having a separate Master School
  844  Identification Number without first obtaining the written
  845  approval of the student’s parent.
  846         (a) The Department of Education shall staff and regularly
  847  convene a Charter School Review Panel in order to review issues,
  848  practices, and policies regarding charter schools. The
  849  composition of the review panel shall include individuals with
  850  experience in finance, administration, law, education, and
  851  school governance, and individuals familiar with charter school
  852  construction and operation. The panel shall include two
  853  appointees each from the Commissioner of Education, the
  854  President of the Senate, and the Speaker of the House of
  855  Representatives. The Governor shall appoint three members of the
  856  panel and shall designate the chair. Each member of the panel
  857  shall serve a 1-year term, unless renewed by the office making
  858  the appointment. The panel shall make recommendations to the
  859  Legislature, to the Department of Education, to charter schools,
  860  and to school districts for improving charter school operations
  861  and oversight and for ensuring best business practices at and
  862  fair business relationships with charter schools.
  863         (b) The Legislature shall review the operation of charter
  864  schools during the 2010 Regular Session of the Legislature.
  865         (25) STANDARDS OF CONDUCT AND FINANCIAL DISCLOSURE.—
  866         (b) A member of a governing board of a charter school
  867  operated by a municipality or other public entity is subject to
  868  s. 112.3145 112.3144, which relates to the disclosure of
  869  financial interests.
  870         (26) LOCAL EDUCATIONAL AGENCY STATUS FOR CERTAIN CHARTER
  871  SCHOOL SYSTEMS.—A charter school system shall be designated a
  872  local educational agency solely for the purpose of receiving
  873  federal funds, in the same manner as if the charter school
  874  system were a school district, if the governing board of the
  875  charter school system has adopted and filed a resolution with
  876  its sponsoring district school board and the Department of
  877  Education in which the governing board accepts full
  878  responsibility for all local educational agency requirements and
  879  if the charter school system meets all of the following:
  880         (a) Includes both conversion charter schools and
  881  nonconversion charter schools;
  882         (b) Has all schools located in the same county;
  883         (c) Has a total enrollment exceeding the total enrollment
  884  of at least one school district in the state;
  885         (d) Has the same governing board; and
  886         (e) Does not contract with a for-profit service provider
  887  for management of school operations.
  888  
  889  Such designation does not apply to other provisions of law
  890  unless specifically provided by law.
  891         Section 4. (1) For the 2011-2012 fiscal year, the
  892  Department of Education shall:
  893         (a) Identify the school districts that distribute funds or
  894  provide facilities, renovation, or new construction with funds
  895  generated by the capital improvement millage authorized under s.
  896  1011.71(2), Florida Statutes, to charter schools and the use of
  897  such funds by the charter schools.
  898         (b) Examine the costs associated with supervising charter
  899  schools and determine whether the 5-percent administrative fee
  900  for administrative and educational services for charter schools
  901  covers the costs associated with the provision of the services.
  902         (c) Examine the distribution of federal education funding
  903  to eligible students who are enrolled in charter schools,
  904  including, without limitation, funding provided under Title I of
  905  the Elementary and Secondary Education Act and the Individuals
  906  with Disabilities Education Act.
  907         (d) Examine the impacts of removing the discretion given to
  908  school districts regarding the distribution of capital
  909  improvement millage authorized under s. 1011.71(2), Florida
  910  Statutes, to charter schools-in-a-municipality as set forth in
  911  s. 1002.33(15)(c), Florida Statutes.
  912         (2) The Department of Education shall report its findings
  913  to the Governor, the President of the Senate, and the Speaker of
  914  the House of Representatives no later than January 1, 2012.
  915         Section 5. Section 1002.33(7)(d), Florida Statutes, as
  916  created by this act, controls over s. 1002.33(7)(d), Florida
  917  Statutes, as created by CS/CS/HB 7197, if both acts are adopted
  918  in the same legislative session or an extension thereof and
  919  become law.
  920         Section 6. This act shall take effect July 1, 2011.