Florida Senate - 2015                                    SB 1448
       
       
        
       By Senator Legg
       
       
       
       
       
       17-01022C-15                                          20151448__
    1                        A bill to be entitled                      
    2         An act relating to student choice; amending s.
    3         1002.31, F.S.; authorizing a parent to enroll his or
    4         her child in and transport his or her child to any
    5         public school that has not reached capacity, including
    6         charter schools, in any school district in this state;
    7         requiring the school to accept and report the student
    8         for funding purposes; defining the term “capacity”;
    9         amending s. 1002.33, F.S.; clarifying requirements for
   10         the creation of a virtual charter school; revising
   11         required contents of charter school applications;
   12         conforming provisions regarding the appeal process for
   13         denial of a high-performing charter school
   14         application; revising charter provisions relating to
   15         long-term charters and termination of a charter;
   16         revising conditions for termination of a charter;
   17         requiring a charter school’s governing board to
   18         appoint a representative to provide information and
   19         assistance to parents; requiring the governing board
   20         to hold a certain number of meets that are noticed,
   21         open, and accessible to the public per school year;
   22         revising the participants in and activities of charter
   23         school cooperatives; providing requirements for
   24         payment to charter schools; requiring the Department
   25         of Education to include a standard application form
   26         when providing information to the public on how to
   27         form, operate, and enroll in a charter school;
   28         amending ss. 1002.331 and 1002.37, F.S.; conforming
   29         cross-references and provisions to changes made by the
   30         act; amending s. 1002.45, F.S.; revising conditions
   31         for termination of a virtual instruction provider’s
   32         contract; conforming a cross-reference; repealing s.
   33         1002.455, F.S., relating to student eligibility for K
   34         12 virtual instruction; amending s. 1003.498, F.S.;
   35         conforming a cross-reference; creating s. 1003.5711,
   36         F.S.; providing that certain students who are deemed
   37         eligible for hospitalized program services are
   38         considered students with a disability; authorizing an
   39         individual education plan to be modified to
   40         accommodate the services; requiring the student to
   41         continue to receive educational instruction; requiring
   42         a school district to provide the student with a
   43         certified teacher under certain circumstances;
   44         requiring the department to transfer funds for the
   45         student; creating s. 1004.6491, F.S.; establishing the
   46         Florida Charter School Innovation Institute;
   47         specifying requirements for the institute; requiring
   48         an annual report to the Governor and the Legislature;
   49         requiring a report on the institute’s annual financial
   50         audit to the Auditor General, the Board of Governors
   51         of the State University System, and the State Board of
   52         Education; amending s. 1011.62, F.S.; revising
   53         eligibility requirements for charter school capital
   54         outlay funding; providing an effective date.
   55          
   56  Be It Enacted by the Legislature of the State of Florida:
   57  
   58         Section 1. Subsection (6) is added to section 1002.31,
   59  Florida Statutes, to read:
   60         1002.31 Controlled open enrollment; public school parental
   61  choice.—
   62         (6) Notwithstanding any law, a parent may choose to enroll
   63  his or her child in, and transport his or her child to, any
   64  public school, including a charter school, which has not reached
   65  capacity in any school district in this state.
   66         (a) The school district shall accept the student and report
   67  the student for purposes of the district’s funding pursuant to
   68  the Florida Education Finance Program.
   69         (b) As used in this subsection, the term capacity” means a
   70  school in which the capital outlay FTE enrollment exceeds 95
   71  percent of the space and occupant design capacity of its
   72  nonrelocatable facilities. However, if a school’s initial design
   73  incorporated relocatable or modular instructional space, the
   74  term means a school in which the capital outlay FTE enrollment
   75  exceeds 95 percent of the space and occupant design capacity of
   76  its core facilities.
   77         Section 2. Subsection (1), paragraphs (a), (b), and (c) of
   78  subsection (6), subsection (7), paragraphs (e), (f), and (g) of
   79  subsection (8), paragraphs (g), (n), and (p) of subsection (9),
   80  subsection (13), paragraph (e) of subsection (17), and paragraph
   81  (a) of subsection (21) of section 1002.33, Florida Statutes, are
   82  amended, and paragraphs (h) and (i) are added to subsection (8)
   83  of that section, to read:
   84         1002.33 Charter schools.—
   85         (1) AUTHORIZATION.—Charter schools are shall be part of the
   86  state’s program of public education. All charter schools in this
   87  state Florida are public schools. A charter school may be formed
   88  by creating a new school or converting an existing public school
   89  to charter status. A charter school may operate a virtual
   90  charter school pursuant to s. 1002.45(1)(d) to provide full-time
   91  online instruction to eligible students, pursuant to s.
   92  1002.455, in kindergarten through grade 12. An existing A
   93  charter school that is seeking to become a virtual charter
   94  school must amend its charter or submit a new application
   95  pursuant to subsection (6) to become a virtual charter school. A
   96  virtual charter school is subject to the requirements of this
   97  section; however, a virtual charter school is exempt from
   98  subsections (18) and (19), subparagraphs (20)(a)2., 4., 5., and
   99  7., paragraph (20)(c), and s. 1003.03. A public school may not
  100  use the term charter in its name unless it has been approved
  101  under this section.
  102         (6) APPLICATION PROCESS AND REVIEW.—Charter school
  103  applications are subject to the following requirements:
  104         (a) A person or entity seeking wishing to open a charter
  105  school shall prepare and submit an application on a model
  106  application form prepared by the Department of Education which:
  107         1. Demonstrates how the school will use the guiding
  108  principles and meet the statutorily defined purpose of a charter
  109  school.
  110         2. Provides a detailed curriculum plan that illustrates how
  111  students will be provided services to attain the Sunshine State
  112  Standards.
  113         3. Contains goals and objectives for improving student
  114  learning and measuring that improvement. These goals and
  115  objectives must indicate how much academic improvement students
  116  are expected to show each year, how success will be evaluated,
  117  and the specific results to be attained through instruction.
  118         4. Describes the reading curriculum and differentiated
  119  strategies that will be used for students reading at grade level
  120  or higher and a separate curriculum and strategies for students
  121  who are reading below grade level. A sponsor shall deny an
  122  application a charter if the school does not propose a reading
  123  curriculum that is consistent with effective teaching strategies
  124  that are grounded in scientifically based reading research, but
  125  the sponsor may not require the school to implement any
  126  curriculum adopted by the school district.
  127         5. Contains an annual financial plan for each year
  128  requested by the charter for operation of the school for up to 5
  129  years. This plan must contain anticipated fund balances based on
  130  revenue projections, a spending plan based on projected revenues
  131  and expenses, and a description of controls that will safeguard
  132  finances and projected enrollment trends.
  133         6. Discloses the name of each applicant, governing board
  134  member, and proposed management company, if any; the name and
  135  sponsor of any charter school operated by such parties; and the
  136  academic and financial history of such charter schools, which
  137  the sponsor shall consider in deciding to approve or deny the
  138  application.
  139         7.6. Contains additional information a sponsor may require,
  140  which shall be attached as an addendum to the charter school
  141  application described in this paragraph.
  142         8.7. For the establishment of a virtual charter school,
  143  documents that the applicant has contracted with a provider of
  144  virtual instruction services pursuant to s. 1002.45(1)(d).
  145         (b) A sponsor shall receive and review all applications for
  146  a charter school using the an evaluation instrument developed by
  147  the Department of Education. A sponsor shall receive and
  148  consider charter school applications received on or before
  149  August 1 of each calendar year for charter schools to be opened
  150  at the beginning of the school district’s next school year, or
  151  to be opened at a time agreed to by the applicant and the
  152  sponsor. A sponsor may not refuse to receive a charter school
  153  application submitted before August 1 and may receive an
  154  application submitted later than August 1 if it chooses. In
  155  order to facilitate greater collaboration in the application
  156  process, an applicant may submit a draft charter school
  157  application on or before May 1 with an application fee of $500.
  158  If a draft application is timely submitted, the sponsor shall
  159  review and provide feedback as to material deficiencies in the
  160  application by July 1. The applicant shall then have until
  161  August 1 to resubmit a revised and final application. The
  162  sponsor may approve the draft application. Except as provided
  163  for a draft application, a sponsor may not charge an applicant
  164  for a charter any fee for the processing or consideration of an
  165  application, and a sponsor may not base its consideration or
  166  approval of a final application upon the promise of future
  167  payment of any kind. Before approving or denying any final
  168  application, the sponsor shall allow the applicant, upon receipt
  169  of written notification, at least 7 calendar days to make
  170  technical or nonsubstantive corrections and clarifications,
  171  including, but not limited to, corrections of grammatical,
  172  typographical, and like errors or missing signatures, if such
  173  errors are identified by the sponsor as cause to deny the final
  174  application.
  175         1. In order to facilitate an accurate budget projection
  176  process, a sponsor shall be held harmless for FTE students who
  177  are not included in the FTE projection due to approval of
  178  charter school applications after the FTE projection deadline.
  179  In a further effort to facilitate an accurate budget projection,
  180  within 15 calendar days after receipt of a charter school
  181  application, a sponsor shall report to the Department of
  182  Education the name of the applicant entity, the proposed charter
  183  school location, and its projected FTE.
  184         2. In order to ensure fiscal responsibility, an application
  185  for a charter school shall include a full accounting of expected
  186  assets, a projection of expected sources and amounts of income,
  187  including income derived from projected student enrollments and
  188  from community support, and an expense projection that includes
  189  full accounting of the costs of operation, including start-up
  190  costs.
  191         3.a. A sponsor shall by a majority vote approve or deny an
  192  application no later than 60 calendar days after the application
  193  is received, unless the sponsor and the applicant mutually agree
  194  in writing to temporarily postpone the vote to a specific date,
  195  at which time the sponsor shall by a majority vote approve or
  196  deny the application. If the sponsor fails to act on the
  197  application, an applicant may appeal to the State Board of
  198  Education as provided in paragraph (c). If an application is
  199  denied, the sponsor shall, within 10 calendar days after such
  200  denial, articulate in writing the specific reasons, based upon
  201  good cause, supporting its denial of the charter application and
  202  shall provide the letter of denial and supporting documentation
  203  to the applicant and to the Department of Education.
  204         b. An application submitted by a high-performing charter
  205  school identified pursuant to s. 1002.331 may be denied by the
  206  sponsor only if the sponsor demonstrates by clear and convincing
  207  evidence that:
  208         (I) The application does not materially comply with the
  209  requirements in paragraph (a);
  210         (II) The charter school proposed in the application does
  211  not materially comply with the requirements in paragraphs
  212  (9)(a)-(f);
  213         (III) The proposed charter school’s educational program
  214  does not substantially replicate that of the applicant or one of
  215  the applicant’s high-performing charter schools;
  216         (IV) The applicant has made a material misrepresentation or
  217  false statement or concealed an essential or material fact
  218  during the application process; or
  219         (V) The proposed charter school’s educational program and
  220  financial management practices do not materially comply with the
  221  requirements of this section.
  222  
  223  Material noncompliance is a failure to follow requirements or a
  224  violation of prohibitions applicable to charter school
  225  applications, which failure is quantitatively or qualitatively
  226  significant either individually or when aggregated with other
  227  noncompliance. An applicant is considered to be replicating a
  228  high-performing charter school if the proposed school is
  229  substantially similar to at least one of the applicant’s high
  230  performing charter schools and the organization or individuals
  231  involved in the establishment and operation of the proposed
  232  school are significantly involved in the operation of replicated
  233  schools.
  234         c. If the sponsor denies an application submitted by a
  235  high-performing charter school, the sponsor must, within 10
  236  calendar days after such denial, state in writing the specific
  237  reasons, based upon the criteria in sub-subparagraph b.,
  238  supporting its denial of the application and must provide the
  239  letter of denial and supporting documentation to the applicant
  240  and to the Department of Education. The applicant may appeal the
  241  sponsor’s denial of the application directly to the State Board
  242  of Education pursuant to paragraph (c) and must provide the
  243  sponsor with a copy of the appeal sub-subparagraph (c)3.b.
  244         4. For budget projection purposes, the sponsor shall report
  245  to the Department of Education the approval or denial of an a
  246  charter application within 10 calendar days after such approval
  247  or denial. In the event of approval, the report to the
  248  Department of Education shall include the final projected FTE
  249  for the approved charter school.
  250         5. Upon approval of an a charter application, the initial
  251  startup shall commence with the beginning of the public school
  252  calendar for the district in which the charter is granted unless
  253  the sponsor allows a waiver of this subparagraph for good cause.
  254         (c)1. An applicant may appeal any denial of that
  255  applicant’s application or failure to act on an application to
  256  the State Board of Education within no later than 30 calendar
  257  days after receipt of the sponsor’s decision or failure to act
  258  and shall notify the sponsor of its appeal. Any response of the
  259  sponsor shall be submitted to the State Board of Education
  260  within 30 calendar days after notification of the appeal. Upon
  261  receipt of notification from the State Board of Education that a
  262  charter school applicant is filing an appeal, the Commissioner
  263  of Education shall convene a meeting of the Charter School
  264  Appeal Commission to study and make recommendations to the State
  265  Board of Education regarding its pending decision about the
  266  appeal. The commission shall forward its recommendation to the
  267  state board at least 7 calendar days before the date on which
  268  the appeal is to be heard. An appeal regarding the denial of an
  269  application submitted by a high-performing charter school
  270  pursuant to s. 1002.331 shall be conducted by the State Board of
  271  Education in accordance with this paragraph, except that the
  272  commission shall not convene to make recommendations regarding
  273  the appeal. However, the Commissioner of Education shall review
  274  the appeal and make a recommendation to the state board.
  275         2. The Charter School Appeal Commission or, in the case of
  276  an appeal regarding an application submitted by a high
  277  performing charter school, the State Board of Education may
  278  reject an appeal submission for failure to comply with
  279  procedural rules governing the appeals process. The rejection
  280  shall describe the submission errors. The appellant shall have
  281  15 calendar days after notice of rejection in which to resubmit
  282  an appeal that meets the requirements set forth in State Board
  283  of Education rule. An appeal submitted subsequent to such
  284  rejection is considered timely if the original appeal was filed
  285  within 30 calendar days after receipt of notice of the specific
  286  reasons for the sponsor’s denial of the charter application.
  287         3.a. The State Board of Education shall by majority vote
  288  accept or reject the decision of the sponsor no later than 90
  289  calendar days after an appeal is filed in accordance with State
  290  Board of Education rule. The State Board of Education shall
  291  remand the application to the sponsor with its written decision
  292  that the sponsor approve or deny the application. The sponsor
  293  shall implement the decision of the State Board of Education.
  294  The decision of the State Board of Education is not subject to
  295  the provisions of the Administrative Procedure Act, chapter 120.
  296         b. If an appeal concerns an application submitted by a
  297  high-performing charter school identified pursuant to s.
  298  1002.331, the State Board of Education shall determine whether
  299  the sponsor’s denial of the application complies with the
  300  requirements in sub-subparagraph (b)3.b. sponsor has shown, by
  301  clear and convincing evidence, that:
  302         (I) The application does not materially comply with the
  303  requirements in paragraph (a);
  304         (II) The charter school proposed in the application does
  305  not materially comply with the requirements in paragraphs
  306  (9)(a)-(f);
  307         (III) The proposed charter school’s educational program
  308  does not substantially replicate that of the applicant or one of
  309  the applicant’s high-performing charter schools;
  310         (IV) The applicant has made a material misrepresentation or
  311  false statement or concealed an essential or material fact
  312  during the application process; or
  313         (V) The proposed charter school’s educational program and
  314  financial management practices do not materially comply with the
  315  requirements of this section.
  316  
  317  The State Board of Education shall approve or reject the
  318  sponsor’s denial of an application no later than 90 calendar
  319  days after an appeal is filed in accordance with State Board of
  320  Education rule. The State Board of Education shall remand the
  321  application to the sponsor with its written decision that the
  322  sponsor approve or deny the application. The sponsor shall
  323  implement the decision of the State Board of Education. The
  324  decision of the State Board of Education is not subject to the
  325  Administrative Procedure Act, chapter 120.
  326         (7) CHARTER.—The major issues involving the operation of a
  327  charter school shall be considered in advance and written into
  328  the charter. The charter shall be signed by the governing board
  329  of the charter school and the sponsor, following a public
  330  hearing to ensure community input.
  331         (a) The charter shall address and criteria for approval of
  332  the charter shall be based on:
  333         1. The school’s mission, the students to be served, and the
  334  ages and grades to be included.
  335         2. The focus of the curriculum, the instructional methods
  336  to be used, any distinctive instructional techniques to be
  337  employed, and identification and acquisition of appropriate
  338  technologies needed to improve educational and administrative
  339  performance which include a means for promoting safe, ethical,
  340  and appropriate uses of technology which comply with legal and
  341  professional standards.
  342         a. The charter shall ensure that reading is a primary focus
  343  of the curriculum and that resources are provided to identify
  344  and provide specialized instruction for students who are reading
  345  below grade level. The curriculum and instructional strategies
  346  for reading must be consistent with the Next Generation Sunshine
  347  State Standards and grounded in scientifically based reading
  348  research.
  349         b. In order to provide students with access to diverse
  350  instructional delivery models, to facilitate the integration of
  351  technology within traditional classroom instruction, and to
  352  provide students with the skills they need to compete in the
  353  21st century economy, the Legislature encourages instructional
  354  methods for blended learning courses consisting of both
  355  traditional classroom and online instructional techniques.
  356  Charter schools may implement blended learning courses which
  357  combine traditional classroom instruction and virtual
  358  instruction. Students in a blended learning course must be full
  359  time students of the charter school and receive the online
  360  instruction in a classroom setting at the charter school.
  361  Instructional personnel certified pursuant to s. 1012.55 who
  362  provide virtual instruction for blended learning courses may be
  363  employees of the charter school or may be under contract to
  364  provide instructional services to charter school students. At a
  365  minimum, such instructional personnel must hold an active state
  366  or school district adjunct certification under s. 1012.57 for
  367  the subject area of the blended learning course. The funding and
  368  performance accountability requirements for blended learning
  369  courses are the same as those for traditional courses.
  370         3. The current incoming baseline standard of student
  371  academic achievement, the outcomes to be achieved, and the
  372  method of measurement that will be used. The criteria listed in
  373  this subparagraph shall include a detailed description of:
  374         a. How the baseline student academic achievement levels and
  375  prior rates of academic progress will be established.
  376         b. How these baseline rates will be compared to rates of
  377  academic progress achieved by these same students while
  378  attending the charter school.
  379         c. To the extent possible, how these rates of progress will
  380  be evaluated and compared with rates of progress of other
  381  closely comparable student populations.
  382  
  383  The district school board is required to provide academic
  384  student performance data to charter schools for each of their
  385  students coming from the district school system, as well as
  386  rates of academic progress of comparable student populations in
  387  the district school system.
  388         4. The methods used to identify the educational strengths
  389  and needs of students and how well educational goals and
  390  performance standards are met by students attending the charter
  391  school. The methods shall provide a means for the charter school
  392  to ensure accountability to its constituents by analyzing
  393  student performance data and by evaluating the effectiveness and
  394  efficiency of its major educational programs. Students in
  395  charter schools shall, at a minimum, participate in the
  396  statewide assessment program created under s. 1008.22.
  397         5. In secondary charter schools, a method for determining
  398  that a student has satisfied the requirements for graduation in
  399  s. 1002.3105(5), s. 1003.4281, or s. 1003.4282.
  400         6. A method for resolving conflicts between the governing
  401  board of the charter school and the sponsor.
  402         7. The admissions procedures and dismissal procedures,
  403  including the school’s code of student conduct.
  404         8. The ways by which the school will achieve a
  405  racial/ethnic balance reflective of the community it serves or
  406  within the racial/ethnic range of other public schools in the
  407  same school district.
  408         9. The financial and administrative management of the
  409  school, including a reasonable demonstration of the professional
  410  experience or competence of those individuals or organizations
  411  applying to operate the charter school or those hired or
  412  retained to perform such professional services and the
  413  description of clearly delineated responsibilities and the
  414  policies and practices needed to effectively manage the charter
  415  school. A description of internal audit procedures and
  416  establishment of controls to ensure that financial resources are
  417  properly managed must be included. Both public sector and
  418  private sector professional experience shall be equally valid in
  419  such a consideration.
  420         10. The asset and liability projections required in the
  421  application which are incorporated into the charter and shall be
  422  compared with information provided in the annual report of the
  423  charter school.
  424         11. A description of procedures that identify various risks
  425  and provide for a comprehensive approach to reduce the impact of
  426  losses; plans to ensure the safety and security of students and
  427  staff; plans to identify, minimize, and protect others from
  428  violent or disruptive student behavior; and the manner in which
  429  the school will be insured, including whether or not the school
  430  will be required to have liability insurance, and, if so, the
  431  terms and conditions thereof and the amounts of coverage.
  432         12. The term of the charter which shall provide for
  433  cancellation of the charter if insufficient progress has been
  434  made in attaining the student achievement objectives of the
  435  charter and if it is not likely that such objectives can be
  436  achieved before expiration of the charter. The initial term of
  437  the a charter is either shall be for 4 years or 5 years. In
  438  order to facilitate access to long-term financial resources for
  439  charter school construction, Charter schools that are operated
  440  by a municipality or other public entity, as provided by law, or
  441  a private, not-for-profit corporation granted 501(c)(3) status
  442  by the Internal Revenue Service are eligible for up to a 15-year
  443  charter, subject to approval by the district school board. A
  444  charter lab school is also eligible for a charter for a term of
  445  up to 15 years. In addition, to facilitate access to long-term
  446  financial resources for charter school construction, charter
  447  schools that are operated by a private, not-for-profit, s.
  448  501(c)(3) status corporation are eligible for up to a 15-year
  449  charter, subject to approval by the district school board. Such
  450  long-term charters remain subject to annual review and may be
  451  terminated during the term of the charter, but only according to
  452  the provisions set forth in subsection (8) or paragraph (9)(n).
  453         13. Termination or nonrenewal of the charter pursuant to
  454  subsection (8) or paragraph (9)(n).
  455         14.13. The facilities to be used and their location. The
  456  sponsor may not require a charter school to have a certificate
  457  of occupancy or a temporary certificate of occupancy for such a
  458  facility earlier than 15 calendar days before the first day of
  459  school.
  460         15.14. The qualifications to be required of the teachers
  461  and the potential strategies used to recruit, hire, train, and
  462  retain qualified staff to achieve best value.
  463         16.15. The governance structure of the school, including
  464  the status of the charter school as a public or private employer
  465  as required in paragraph (12)(i).
  466         17.16. A timetable for implementing the charter which
  467  addresses the implementation of each element thereof and the
  468  date by which the charter shall be awarded in order to meet this
  469  timetable.
  470         18.17. In the case of an existing public school that is
  471  being converted to charter status, alternative arrangements for
  472  current students who choose not to attend the charter school and
  473  for current teachers who choose not to teach in the charter
  474  school after conversion in accordance with the existing
  475  collective bargaining agreement or district school board rule in
  476  the absence of a collective bargaining agreement. However,
  477  alternative arrangements shall not be required for current
  478  teachers who choose not to teach in a charter lab school, except
  479  as authorized by the employment policies of the state university
  480  which grants the charter to the lab school.
  481         19.18. Full disclosure of the identity of all relatives
  482  employed by the charter school who are related to the charter
  483  school owner, president, chairperson of the governing board of
  484  directors, superintendent, governing board member, principal,
  485  assistant principal, or any other person employed by the charter
  486  school who has equivalent decisionmaking authority. For the
  487  purpose of this subparagraph, the term “relative” means father,
  488  mother, son, daughter, brother, sister, uncle, aunt, first
  489  cousin, nephew, niece, husband, wife, father-in-law, mother-in
  490  law, son-in-law, daughter-in-law, brother-in-law, sister-in-law,
  491  stepfather, stepmother, stepson, stepdaughter, stepbrother,
  492  stepsister, half brother, or half sister.
  493         20.19. Implementation of the activities authorized under s.
  494  1002.331 by the charter school when it satisfies the eligibility
  495  requirements for a high-performing charter school. A high
  496  performing charter school shall notify its sponsor in writing by
  497  March 1 if it intends to increase enrollment or expand grade
  498  levels the following school year. The written notice shall
  499  specify the amount of the enrollment increase and the grade
  500  levels that will be added, as applicable.
  501         (b)1. A charter may be renewed provided that a program
  502  review demonstrates that the criteria in paragraph (a) have been
  503  successfully accomplished and that none of the grounds for
  504  nonrenewal established by paragraph (8)(a) has been documented.
  505  In order to facilitate long-term financing for charter school
  506  construction, Charter schools operating for a minimum of 3 years
  507  and demonstrating exemplary academic programming and fiscal
  508  management are eligible for a 15-year charter renewal. Such
  509  long-term charter is subject to annual review and may be
  510  terminated during the term of the charter.
  511         2. The 15-year charter renewal that may be granted pursuant
  512  to subparagraph 1. shall be granted to a charter school that has
  513  received a school grade of “A” or “B” pursuant to s. 1008.34 in
  514  3 of the past 4 years and is not in a state of financial
  515  emergency or deficit position as defined by this section. Such
  516  long-term charter is subject to annual review and may be
  517  terminated during the term of the charter pursuant to subsection
  518  (8).
  519         (c) A charter may be modified during its initial term or
  520  any renewal term upon the recommendation of the sponsor or the
  521  charter school’s governing board and the approval of both
  522  parties to the agreement. Modification may include, but is not
  523  limited to, consolidation of multiple charters into a single
  524  charter if the charters are operated under the same governing
  525  board and physically located on the same campus, regardless of
  526  the renewal cycle.
  527         (d)1. Each charter school’s governing board must appoint a
  528  representative to facilitate parental involvement, provide
  529  access to information, assist parents and others with questions
  530  and concerns, and resolve disputes. The representative must
  531  reside in the school district in which the charter school is
  532  located and may be a governing board member, charter school
  533  employee, or individual contracted to represent the governing
  534  board. If the governing board oversees multiple charter schools
  535  in the same school district, the governing board must appoint a
  536  separate individual representative for each charter school in
  537  the district. The representative’s contact information must be
  538  provided annually in writing to parents and posted prominently
  539  on the charter school’s website if a website is maintained by
  540  the school. The sponsor may not require that governing board
  541  members reside in the school district in which the charter
  542  school is located if the charter school complies with this
  543  paragraph.
  544         2. Each charter school’s governing board must hold at least
  545  two public meetings per school year in the school district. The
  546  meetings must be noticed, open, and accessible to the public,
  547  and attendees must be provided an opportunity to receive
  548  information and provide input regarding the charter school’s
  549  operations. The appointed representative and charter school
  550  principal or director, or his or her equivalent, must be
  551  physically present at each meeting.
  552         (8) CAUSES FOR NONRENEWAL OR TERMINATION OF CHARTER.—
  553         (e) When a charter is not renewed or is terminated or when
  554  a charter school is closed voluntarily by the operator, the
  555  school shall be dissolved under the provisions of law under
  556  which the school was organized, and any unencumbered public
  557  funds, except for capital outlay funds and federal charter
  558  school program grant funds, from the charter school shall revert
  559  to the sponsor. Capital outlay funds provided pursuant to s.
  560  1013.62 and federal charter school program grant funds that are
  561  unencumbered shall revert to the department to be redistributed
  562  among eligible charter schools. In the event a charter school is
  563  dissolved or is otherwise terminated, all district school board
  564  property and improvements, furnishings, and equipment purchased
  565  with public funds shall automatically revert to full ownership
  566  by the district school board, subject to complete satisfaction
  567  of any lawful liens or encumbrances. Any unencumbered public
  568  funds from the charter school, district school board property
  569  and improvements, furnishings, and equipment purchased with
  570  public funds, or financial or other records pertaining to the
  571  charter school, in the possession of any person, entity, or
  572  holding company, other than the charter school, shall be held in
  573  trust upon the district school board’s request, until any appeal
  574  status is resolved.
  575         (f) If a charter is not renewed or is terminated or a
  576  charter school is closed voluntarily by the operator, the
  577  charter school is responsible for all debts of the charter
  578  school. The district may not assume the debt from any contract
  579  made between the governing body of the school and a third party,
  580  except for a debt that is previously detailed and agreed upon in
  581  writing by both the district and the governing body of the
  582  school and that may not reasonably be assumed to have been
  583  satisfied by the district.
  584         (g) If a charter is not renewed or is terminated, a student
  585  who attended the school may apply to, and shall be enrolled in,
  586  another public school. Normal application deadlines shall be
  587  disregarded under such circumstances.
  588         (h) The governing board of a charter school that closes
  589  voluntarily shall notify the sponsor and the department in
  590  writing within 7 calendar days of its decision to cease
  591  operations. The notice must state the reasons for the closure
  592  and acknowledge that the governing board agrees to follow the
  593  procedures for dissolution and reversion of public funds
  594  specified in this subsection and paragraph (9)(o).
  595         (i) For a high-performing charter school that is having the
  596  charter agreement renewed, the charter contract, as that
  597  contract exists on the day the term of the contract is to
  598  terminate, must be automatically renewed for 15 years if the
  599  charter school governing board and sponsor have not executed the
  600  renewal before the term of the charter agreement is scheduled to
  601  expire.
  602         (9) CHARTER SCHOOL REQUIREMENTS.—
  603         (g)1. In order to provide financial information that is
  604  comparable to that reported for other public schools, charter
  605  schools are to maintain all financial records that constitute
  606  their accounting system:
  607         a. In accordance with the accounts and codes prescribed in
  608  the most recent issuance of the publication titled “Financial
  609  and Program Cost Accounting and Reporting for Florida Schools”;
  610  or
  611         b. At the discretion of the charter school’s governing
  612  board, a charter school may elect to follow generally accepted
  613  accounting standards for not-for-profit organizations, but must
  614  reformat this information for reporting according to this
  615  paragraph.
  616         2. Charter schools shall provide annual financial report
  617  and program cost report information in the state-required
  618  formats for inclusion in district reporting in compliance with
  619  s. 1011.60(1). Charter schools that are operated by a
  620  municipality or are a component unit of a parent nonprofit
  621  organization may use the accounting system of the municipality
  622  or the parent but must reformat this information for reporting
  623  according to this paragraph.
  624         3. A charter school shall, upon execution of the contract,
  625  provide the sponsor with a concise, uniform, monthly financial
  626  statement summary sheet that contains a balance sheet and a
  627  statement of revenue, expenditures, and changes in fund balance.
  628  The balance sheet and the statement of revenue, expenditures,
  629  and changes in fund balance shall be in the governmental funds
  630  format prescribed by the Governmental Accounting Standards
  631  Board. A high-performing charter school pursuant to s. 1002.331
  632  may provide a quarterly financial statement in the same format
  633  and requirements as the uniform monthly financial statement
  634  summary sheet. The sponsor shall review each monthly financial
  635  statement, to identify the existence of any conditions
  636  identified in s. 1002.345 (1)(a).
  637         4. A charter school shall maintain and provide financial
  638  information as required in this paragraph. The financial
  639  statement required in subparagraph 3. must be in a form
  640  prescribed by the Department of Education.
  641         (n)1. The director and a representative of the governing
  642  board of a charter school that has earned a grade of “D” or “F”
  643  pursuant to s. 1008.34 shall appear before the sponsor to
  644  present information concerning each contract component having
  645  noted deficiencies. The director and a representative of the
  646  governing board shall submit to the sponsor for approval a
  647  school improvement plan to raise student performance. Upon
  648  approval by the sponsor, the charter school shall begin
  649  implementation of the school improvement plan. The department
  650  shall offer technical assistance and training to the charter
  651  school and its governing board and establish guidelines for
  652  developing, submitting, and approving such plans.
  653         2.a. If a charter school earns three consecutive grades of
  654  “D,” two consecutive grades of “D” followed by a grade of “F,”
  655  or two nonconsecutive grades of “F” within a 3-year period, the
  656  charter school governing board shall choose one of the following
  657  corrective actions:
  658         (I) Contract for educational services to be provided
  659  directly to students, instructional personnel, and school
  660  administrators, as prescribed in state board rule;
  661         (II) Contract with an outside entity that has a
  662  demonstrated record of effectiveness to operate the school;
  663         (III) Reorganize the school under a new director or
  664  principal who is authorized to hire new staff; or
  665         (IV) Voluntarily close the charter school.
  666         b. The charter school must implement the corrective action
  667  in the school year following receipt of a third consecutive
  668  grade of “D,” a grade of “F” following two consecutive grades of
  669  “D,” or a second nonconsecutive grade of “F” within a 3-year
  670  period.
  671         c. The sponsor may annually waive a corrective action if it
  672  determines that the charter school is likely to improve a letter
  673  grade if additional time is provided to implement the
  674  intervention and support strategies prescribed by the school
  675  improvement plan. Notwithstanding this sub-subparagraph, a
  676  charter school that earns a second consecutive grade of “F” is
  677  subject to subparagraph 4.
  678         d. A charter school is no longer required to implement a
  679  corrective action if it improves by at least one letter grade.
  680  However, the charter school must continue to implement
  681  strategies identified in the school improvement plan. The
  682  sponsor must annually review implementation of the school
  683  improvement plan to monitor the school’s continued improvement
  684  pursuant to subparagraph 5.
  685         e. A charter school implementing a corrective action that
  686  does not improve by at least one letter grade after 2 full
  687  school years of implementing the corrective action must select a
  688  different corrective action. Implementation of the new
  689  corrective action must begin in the school year following the
  690  implementation period of the existing corrective action, unless
  691  the sponsor determines that the charter school is likely to
  692  improve a letter grade if additional time is provided to
  693  implement the existing corrective action. Notwithstanding this
  694  sub-subparagraph, a charter school that earns a second
  695  consecutive grade of “F” while implementing a corrective action
  696  is subject to subparagraph 4.
  697         3. A charter school with a grade of “D” or “F” that
  698  improves by at least one letter grade must continue to implement
  699  the strategies identified in the school improvement plan. The
  700  sponsor must annually review implementation of the school
  701  improvement plan to monitor the school’s continued improvement
  702  pursuant to subparagraph 5.
  703         4. A charter school’s charter is automatically terminated
  704  if the school earns two consecutive grades of “F” after all
  705  school grade appeals are final The sponsor shall terminate a
  706  charter if the charter school earns two consecutive grades of
  707  “F” unless:
  708         a. The charter school is established to turn around the
  709  performance of a district public school pursuant to s.
  710  1008.33(4)(b)3. Such charter schools shall be governed by s.
  711  1008.33;
  712         b. The charter school serves a student population the
  713  majority of which resides in a school zone served by a district
  714  public school that earned a grade of “F” in the year before the
  715  charter school opened and the charter school earns at least a
  716  grade of “D” in its third year of operation. The exception
  717  provided under this sub-subparagraph does not apply to a charter
  718  school in its fourth year of operation and thereafter; or
  719         c. The state board grants the charter school a waiver of
  720  termination. The charter school must request the waiver within
  721  15 days after the department’s official release of school
  722  grades. The state board may waive termination if the charter
  723  school demonstrates that the Learning Gains of its students on
  724  statewide assessments are comparable to or better than the
  725  Learning Gains of similarly situated students enrolled in nearby
  726  district public schools. The waiver is valid for 1 year and may
  727  only be granted once. Charter schools that have been in
  728  operation for more than 5 years are not eligible for a waiver
  729  under this sub-subparagraph.
  730  
  731  The sponsor shall notify in writing the charter school’s
  732  governing board, the charter school principal, and the
  733  department when a charter is terminated under this subparagraph.
  734  A charter terminated under this subparagraph is governed by the
  735  requirements of paragraphs (8)(e)-(g) and paragraph (o) of this
  736  subsection.
  737         5. The director and a representative of the governing board
  738  of a graded charter school that has implemented a school
  739  improvement plan under this paragraph shall appear before the
  740  sponsor at least once a year to present information regarding
  741  the progress of intervention and support strategies implemented
  742  by the school pursuant to the school improvement plan and
  743  corrective actions, if applicable. The sponsor shall communicate
  744  at the meeting, and in writing to the director, the services
  745  provided to the school to help the school address its
  746  deficiencies.
  747         6. Notwithstanding any provision of this paragraph except
  748  sub-subparagraphs 4.a.-c., the sponsor may terminate the charter
  749  at any time pursuant to subsection (8).
  750         (p)1. Each charter school shall maintain a website that
  751  enables the public to obtain information regarding the school;
  752  the school’s academic performance; the names of the governing
  753  board members; the programs at the school; any management
  754  companies, service providers, or education management
  755  corporations associated with the school; the school’s annual
  756  budget and its annual independent fiscal audit; the school’s
  757  grade pursuant to s. 1008.34; and, on a quarterly basis, the
  758  minutes of governing board meetings.
  759         2. Each charter school’s governing board shall appoint a
  760  representative to facilitate parental involvement, provide
  761  access to information, assist parents and others with questions
  762  and concerns, and resolve disputes. The representative must
  763  reside in the school district in which the charter school is
  764  located and may be a governing board member, charter school
  765  employee, or individual contracted to represent the governing
  766  board. If the governing board oversees multiple charter schools
  767  in the same school district, the governing board must appoint a
  768  separate individual representative for each charter school in
  769  the district. The representative’s contact information must be
  770  provided annually, in writing, to parents and posted prominently
  771  on the charter school’s website. The sponsor may not require
  772  that governing board members reside in the school district in
  773  which the charter school is located if the charter school
  774  complies with this paragraph.
  775         3. Each charter school’s governing board must hold at least
  776  two public meetings per school year in the school district where
  777  the charter school is located. The meetings must be noticed,
  778  open, and accessible to the public, and attendees must be
  779  provided an opportunity to receive information and provide input
  780  regarding the charter school’s operations. The appointed
  781  representative and charter school principal or director, or his
  782  or her equivalent, must be physically present at each meeting.
  783         (13) CHARTER SCHOOL COOPERATIVES.—Charter schools may enter
  784  into cooperative agreements with other charter schools or
  785  educational institutions to form charter school cooperative
  786  organizations that may provide the following services to further
  787  educational, enrollment, operational, and administrative
  788  initiatives in which the participating charter schools share
  789  common interests: charter school planning and development,
  790  direct instructional services, and contracts with charter school
  791  governing boards to provide personnel administrative services,
  792  payroll services, human resource management, evaluation and
  793  assessment services, teacher preparation, and professional
  794  development.
  795         (17) FUNDING.—Students enrolled in a charter school,
  796  regardless of the sponsorship, shall be funded as if they are in
  797  a basic program or a special program, the same as students
  798  enrolled in other public schools in the school district. Funding
  799  for a charter lab school shall be as provided in s. 1002.32.
  800         (e) District school boards shall make timely and efficient
  801  payment and reimbursement to charter schools, including
  802  processing paperwork required to access special state and
  803  federal funding for which they may be eligible. The district
  804  school board may distribute funds to a charter school for up to
  805  3 months based on the projected full-time equivalent student
  806  membership of the charter school. Thereafter, the results of
  807  full-time equivalent student membership surveys shall be used in
  808  adjusting the amount of funds distributed monthly to the charter
  809  school for the remainder of the fiscal year. The payment shall
  810  be issued no later than 10 working days after the district
  811  school board receives a distribution of state or federal funds.
  812  If a warrant for payment is not issued within 10 working days
  813  after receipt of funding by the district school board, the
  814  school district shall pay to the charter school, in addition to
  815  the amount of the scheduled disbursement, interest at a rate of
  816  1 percent per month calculated on a daily basis on the unpaid
  817  balance from the expiration of the 10 working days until such
  818  time as the warrant is issued. The district school board may not
  819  delay payment to a charter school of any portion of the funds
  820  provided in paragraph (b) based on the timing of receipt of
  821  local funds by the district school board.
  822         (21) PUBLIC INFORMATION ON CHARTER SCHOOLS.—
  823         (a) The Department of Education shall provide information
  824  to the public, directly and through sponsors, on how to form and
  825  operate a charter school and how to enroll in a charter school
  826  once it is created. This information shall include a standard
  827  model application form, standard charter contract, standard
  828  application evaluation instrument, and standard charter renewal
  829  contract, which shall include the information specified in
  830  subsection (7) and shall be developed by consulting and
  831  negotiating with both school districts and charter schools
  832  before implementation. The charter and charter renewal contracts
  833  shall be used by charter school sponsors.
  834         Section 3. Paragraph (e) of subsection (2) and subsection
  835  (5) of section 1002.331, Florida Statutes, are amended to read:
  836         1002.331 High-performing charter schools.—
  837         (2) A high-performing charter school is authorized to:
  838         (e) Receive a modification of its charter to a term of 15
  839  years or a 15-year charter renewal. The charter may be modified
  840  or renewed for a shorter term at the option of the high
  841  performing charter school. The charter must be consistent with
  842  s. 1002.33(7)(a)20. s. 1002.33(7)(a)19. and (10)(h) and (i), is
  843  subject to annual review by the sponsor, and may be terminated
  844  during its term pursuant to s. 1002.33(8).
  845  
  846  A high-performing charter school shall notify its sponsor in
  847  writing by March 1 if it intends to increase enrollment or
  848  expand grade levels the following school year. The written
  849  notice shall specify the amount of the enrollment increase and
  850  the grade levels that will be added, as applicable. If a charter
  851  school notifies the sponsor of its intent to expand, the sponsor
  852  shall modify the charter within 90 days to include the new
  853  enrollment maximum and may not make any other changes. The
  854  sponsor may deny a request to increase the enrollment of a high
  855  performing charter school if the commissioner has declassified
  856  the charter school as high-performing. If a high-performing
  857  charter school requests to consolidate multiple charters, the
  858  sponsor shall have 40 days after receipt of that request to
  859  provide an initial draft charter to the charter school. The
  860  sponsor and charter school shall have 50 days thereafter to
  861  negotiate and notice the charter contract for final approval by
  862  the sponsor.
  863         (5) The Commissioner of Education, upon request by a
  864  charter school, shall verify that the charter school meets the
  865  criteria in subsection (1) and provide a letter to the charter
  866  school and the sponsor stating that the charter school is a
  867  high-performing charter school pursuant to this section. The
  868  commissioner shall annually determine whether a high-performing
  869  charter school under subsection (1) continues to meet the
  870  criteria in that subsection. Such high-performing charter school
  871  shall maintain its high-performing status unless the
  872  commissioner determines that the charter school no longer meets
  873  the criteria in subsection (1), at which time the commissioner
  874  shall send a letter to the charter school and its sponsor
  875  providing notification that the charter school has been
  876  declassified of its declassification as a high-performing
  877  charter school.
  878         Section 4. Paragraph (a) of subsection (8) of section
  879  1002.37, Florida Statutes, is amended to read:
  880         1002.37 The Florida Virtual School.—
  881         (8)(a) The Florida Virtual School may provide full-time and
  882  part-time instruction for students in kindergarten through grade
  883  12. To receive part-time instruction in kindergarten through
  884  grade 5, a student must meet at least one of the eligibility
  885  criteria in s. 1002.455(2).
  886         Section 5. Subsection (5) and paragraphs (c) and (d) of
  887  subsection (8) of section 1002.45, Florida Statutes, are amended
  888  to read:
  889         1002.45 Virtual instruction programs.—
  890         (5) STUDENT ELIGIBILITY.—Students in kindergarten through
  891  grade 12 A student may enroll in a virtual instruction program
  892  provided by the school district or by a virtual charter school
  893  operated in the district in which he or she resides if the
  894  student meets eligibility requirements for virtual instruction
  895  pursuant to s. 1002.455.
  896         (8) ASSESSMENT AND ACCOUNTABILITY.—
  897         (c) An approved provider that receives a school grade of
  898  “D” or “F” under s. 1008.34 or a school improvement rating of
  899  “Unsatisfactory” “Declining” under s. 1008.341 must file a
  900  school improvement plan with the department for consultation to
  901  determine the causes for low performance and to develop a plan
  902  for correction and improvement.
  903         (d) An approved provider’s contract is automatically must
  904  be terminated if the provider earns two consecutive school
  905  grades of receives a school grade of “D” or “F” under s.
  906  1008.34, receives two consecutive or a school improvement
  907  ratings rating of “Unsatisfactory” “Declining” under s.
  908  1008.341, for 2 years during any consecutive 4-year period or
  909  has violated any qualification requirement pursuant to
  910  subsection (2). A provider that has a contract terminated under
  911  this paragraph may not be an approved provider for a period of
  912  at least 1 year after the date upon which the contract was
  913  terminated and until the department determines that the provider
  914  is in compliance with subsection (2) and has corrected each
  915  cause of the provider’s low performance.
  916         Section 6. Section 1002.455, Florida Statutes, is repealed.
  917         Section 7. Subsection (2) of section 1003.498, Florida
  918  Statutes, is amended to read:
  919         1003.498 School district virtual course offerings.—
  920         (2) School districts may offer virtual courses for students
  921  enrolled in the school district. These courses must be
  922  identified in the course code directory. Students who meet the
  923  eligibility requirements of s. 1002.455 may participate in these
  924  virtual course offerings.
  925         (a) Any eligible student who is enrolled in a school
  926  district may register and enroll in an online course offered by
  927  his or her school district.
  928         (b)1. Any eligible student who is enrolled in a school
  929  district may register and enroll in an online course offered by
  930  any other school district in the state. The school district in
  931  which the student completes the course shall report the
  932  student’s completion of that course for funding pursuant to s.
  933  1011.61(1)(c)1.b.(VI), and the home school district shall not
  934  report the student for funding for that course.
  935         2. The full-time equivalent student membership calculated
  936  under this subsection is subject to the requirements in s.
  937  1011.61(4). The Department of Education shall establish
  938  procedures to enable interdistrict coordination for the delivery
  939  and funding of this online option.
  940         Section 8. Section 1003.5711, Florida Statutes, is created
  941  to read:
  942         1003.5711Instruction for students receiving hospitalized
  943  program services.—
  944         (1)A public school student in prekindergarten through
  945  grade 12 who is deemed eligible for hospitalized program
  946  services in this state is considered a student with a
  947  disability.
  948         (a) If the student has an individual education plan (IEP),
  949  the IEP must be followed, but upon request of the student’s
  950  parent, the IEP may be modified to accommodate the student’s use
  951  of hospitalized program services in a children’s hospital
  952  pursuant to this section.
  953         (b) The student’s IEP may be modified to reduce the
  954  student’s course load to core courses identified in s.
  955  1002.20(19)(a). The student may be excused or exempted from
  956  physical education classes or instruction based on the IEP or
  957  orders from the student’s medical doctor. The student’s IEP may
  958  allow the student to receive instruction beyond the normal
  959  school hours, school day, or school year of the school district.
  960         (2) A student who is admitted to a children’s hospital for
  961  hospitalized program services must continue to receive
  962  educational instruction.
  963         (a) If a student is expected to be absent from school and
  964  admitted to the children’s hospital for hospitalized program
  965  services for at least 15 consecutive days, no later than the
  966  fifth day of the student’s hospital stay, the school district in
  967  which the student is or was most recently enrolled may choose to
  968  provide a certified teacher to the children’s hospital to
  969  provide instruction to the student. If that school district
  970  declines to provide a certified teacher, the school district in
  971  which the children’s hospital is located must provide a
  972  certified teacher to provide the student with instruction, or
  973  must partner with the Florida Virtual School for instructional
  974  services as authorized in this section. Such school district
  975  shall also provide the student’s instructional materials and
  976  other necessary educational support and services identified in
  977  the IEP.
  978         (b) A student in prekindergarten through grade 6 shall be
  979  taught in person by the certified teacher. A student in grades 7
  980  through 12 shall be taught in person by the certified teacher,
  981  or the student may choose to utilize instruction from the
  982  Florida Virtual School. If the Florida Virtual School is used by
  983  any student, at least one certified teacher from the Florida
  984  Virtual School must be present at the hospital to assist with
  985  online learning.
  986         (3) If a school district other than the one in which the
  987  student was previously enrolled provides the hospitalized
  988  program services, the Department of Education must transfer the
  989  funds from the school district in which the student was
  990  previously enrolled to the school district in which the
  991  children’s hospital providing hospitalized program services is
  992  located. This transfer shall occur no later than each subsequent
  993  quarterly FEFP payment.
  994         (4) The children’s hospital providing the hospitalized
  995  program services is responsible for providing adequate
  996  educational space for each student, but is not required to
  997  comply with chapter 1013. The hospital and applicable school
  998  district must enter into an agreement to implement this section.
  999  The agreement may be student-specific or address all students as
 1000  necessary.
 1001         (5) The intent of this section is to supplement existing
 1002  laws, rules, and regulations concerning hospitalized students
 1003  that use hospitalized program services at a children’s hospital.
 1004         Section 9. Section 1004.6491, Florida Statutes, is created
 1005  to read:
 1006         1004.6491Florida Institute for Charter School Innovation.—
 1007         (1) There is established the Florida Institute for Charter
 1008  School Innovation within the Florida State University. The
 1009  purpose of the institute is to advance charter school
 1010  accountability, quality, and innovation; provide support and
 1011  technical assistance to charter school applicants; connect
 1012  aspiring teachers to opportunities to experience teaching in
 1013  schools of choice; and conduct research and develop and promote
 1014  best practices for charter school authorization, financing,
 1015  management, operations, and instructional practices.
 1016         (2) The institute shall:
 1017         (a) Conduct research to inform both policy and practice
 1018  related to charter school accountability, financing, management,
 1019  operations, and instructional practices.
 1020         (b) Partner with state-approved teacher preparation
 1021  programs in this state to provide opportunities for aspiring
 1022  teachers to experience teaching in schools of choice.
 1023         (c) Provide technical assistance and support to charter
 1024  school applicants with innovative charter school concepts.
 1025         (3) The President of the Florida State University shall
 1026  appoint a director of the institute. The director is responsible
 1027  for overall management of the institute and for developing and
 1028  executing the work of the institute consistent with this
 1029  section. The director may engage individuals in other state
 1030  universities with accredited colleges of education to
 1031  participate in the institute.
 1032         (4) By each October 1, the institute shall provide a
 1033  written report to the Governor, the President of the Senate, and
 1034  the Speaker of the House of Representatives which outlines its
 1035  activities in the preceding year, reports significant research
 1036  findings, details expenditures of state funds, and provides
 1037  specific recommendations for improving the institute’s ability
 1038  to fulfil its mission and for changes to statewide charter
 1039  school policy.
 1040         (5) Within 180 days after completion of the institute’s
 1041  fiscal year, the institute shall provide to the Auditor General,
 1042  the Board of Governors of the State University System, and the
 1043  State Board of Education a report on the results of an annual
 1044  financial audit conducted by an independent certified public
 1045  accountant in accordance with s. 11.45.
 1046         Section 10. Subsection (11) of section 1011.62, Florida
 1047  Statutes, is amended to read:
 1048         1011.62 Funds for operation of schools.—If the annual
 1049  allocation from the Florida Education Finance Program to each
 1050  district for operation of schools is not determined in the
 1051  annual appropriations act or the substantive bill implementing
 1052  the annual appropriations act, it shall be determined as
 1053  follows:
 1054         (11) VIRTUAL EDUCATION CONTRIBUTION.—The Legislature may
 1055  annually provide in the Florida Education Finance Program a
 1056  virtual education contribution. The amount of the virtual
 1057  education contribution shall be the difference between the
 1058  amount per FTE established in the General Appropriations Act for
 1059  virtual education and the amount per FTE for each district and
 1060  the Florida Virtual School, which may be calculated by taking
 1061  the sum of the base FEFP allocation, the discretionary local
 1062  effort, the state-funded discretionary contribution, the
 1063  discretionary millage compression supplement, the research-based
 1064  reading instruction allocation, and the instructional materials
 1065  allocation, and then dividing by the total unweighted FTE. This
 1066  difference shall be multiplied by the virtual education
 1067  unweighted FTE for programs and options identified in ss.
 1068  1002.33(1), 1002.45(1)(b), and 1003.498 s. 1002.455(3) and the
 1069  Florida Virtual School and its franchises to equal the virtual
 1070  education contribution and shall be included as a separate
 1071  allocation in the funding formula.
 1072         Section 11. This act shall take effect July 1, 2015.