Florida Senate - 2017                        COMMITTEE AMENDMENT
       Bill No. CS for SB 796
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  05/09/2017           .                                

       The Committee on Appropriations (Bean) recommended the
    1         Senate Amendment (with title amendment)
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Section 1002.333, Florida Statutes, is created
    6  to read:
    7         1002.333High-impact school; high-impact school operator.—
    8         (1)DEFINITIONS.—As used in this section, the term:
    9         (a)“High-impact school operator” means an entity
   10  identified by the department pursuant to subsection (2). The
   11  term does not include a for-profit entity.
   12         (b)“Persistently low-performing school” means a school
   13  defined pursuant to s. 1008.33(3)(c).
   14         (c)“High-impact school” means a full-time public school
   15  operated by a high-impact school operator which primarily serves
   16  students who were attending, or were assigned to attend, a
   17  persistently low-performing school and who comprise at least 60
   18  percent of its total enrollment; which is located in the
   19  attendance zone of a persistently low-performing school; and
   20  which is a Title I eligible school. The term does not include a
   21  part-time school or a virtual charter school.
   22         (2)HIGH-IMPACT SCHOOL OPERATOR.—A high-impact school
   23  operator is a nonprofit organization with tax exempt status
   24  under s. 501(c)(3) of the Internal Revenue Code which operates
   25  three or more charter schools that serve students in grades K-12
   26  in Florida or other states has a record of serving students from
   27  low-income families, and is designated by the State Board of
   28  Education as a high-impact school operator based on a
   29  determination that it meets at least one of the following
   30  requirements:
   31         (a)The past performance of the high-impact school operator
   32  meets or exceeds the following criteria:
   33         1.The achievement of enrolled students exceeds the
   34  district and state averages of the states in which the
   35  operator’s schools operate;
   36         2.The average college attendance rate at all schools
   37  currently operated by the operator exceeds 80 percent, if such
   38  data is available;
   39         3.The percentage of students eligible for a free or
   40  reduced price lunch under the National School Lunch Act enrolled
   41  at all schools currently operated by the operator exceeds 70
   42  percent;
   43         4.The operator is in good standing with the authorizer in
   44  each state in which it operates;
   45         5.The audited financial statements of the operator are
   46  free of material exceptions and going concern issues; and
   47         6.Other outcome measures as determined by the State Board
   48  of Education.
   49         (b)The operator was awarded a United States Department of
   50  Education Charter School Program grant for Replication and
   51  Expansion of High-Quality Charter Schools within the preceding 3
   52  years before applying to be a high-impact school operator.
   53         (c)The operator receives funding through the National Fund
   54  or a Regional Fund of the Charter School Growth Fund to
   55  accelerate the growth of the nation’s best charter schools.
   56         (d)The operator is selected by a district school board in
   57  accordance with s. 1008.33.
   59  An entity that meets the requirements of paragraph (b),
   60  paragraph (c), or paragraph (d) before the adoption by the state
   61  board of measurable criteria pursuant to paragraph (a) shall be
   62  designated as a high-impact school operator. After the adoption
   63  of the measurable criteria, an entity shall be designated as a
   64  high-impact school operator if it meets the criteria or is
   65  selected by a district school board in accordance with s.
   66  1008.33.
   68  status as a high-impact school operator is valid for 5 years
   69  after the opening of a high-impact school. If a high-impact
   70  school operator seeks the renewal of its status, such renewal
   71  shall solely be based upon the academic and financial
   72  performance of all schools established by the operator in the
   73  state since its initial designation and the operator’s material
   74  compliance with the terms of its performance-based agreement
   75  established pursuant to subsection (5).
   76         (4)ESTABLISHMENT OF HIGH-IMPACT SCHOOLS.—A high-impact
   77  school operator may submit a notice of intent to open a high
   78  impact school to the school district in which a persistently
   79  low-performing school has been identified by the State Board of
   80  Education pursuant to subsection (9).
   81         (a)The notice of intent must include:
   82         1.An academic focus and plan;
   83         2.A financial plan;
   84         3.Goals and objectives for increasing student achievement
   85  for the students from any persistently low-performing school and
   86  students from low-income families;
   87         4.A completed or planned community outreach plan;
   88         5.The organizational history of success in working with
   89  students with similar demographics;
   90         6.The grade levels to be served and enrollment
   91  projections;
   92         7.The proposed location or geographic area proposed for
   93  the school and its proximity to the persistently low-performing
   94  school; and
   95         8.A staffing plan.
   96         (b)A school district with a school that is designated, or
   97  is likely to be designated, as a persistently low-performing
   98  school during the 2017-2018 school year may, with the approval
   99  of the State Board of Education contingent on its determination
  100  that the school will likely improve to a grade of “C” or higher
  101  during the 2018-2019 school year, implement a new turnaround
  102  option specified under s. 1008.33(4). Absent the approval of the
  103  state board, a school district must enter into a performance
  104  based agreement with a high-impact operator, or may relinquish
  105  authority to the state board to enter into a performance-based
  106  agreement with a high-impact school operator, to open one or
  107  more high-impact schools.
  108         (5)PERFORMANCE-BASED AGREEMENT.—The performance-based
  109  agreement must include all of the following components:
  110         (a)The notice of intent, which is incorporated by
  111  reference and attached to the agreement.
  112         (b)The location or geographic area proposed for the high
  113  impact school and its proximity to the persistently low
  114  performing school.
  115         (c)An enumeration of the grades to be served in each year
  116  of the agreement and whether the school will serve children in
  117  the school readiness or prekindergarten programs.
  118         (d)A plan of action and specific milestones for student
  119  recruitment and the enrollment of students from persistently
  120  low-performing schools, including enrollment preferences and
  121  procedures for conducting transparent admissions lotteries that
  122  are open to the public; however, enrollment preference must be
  123  given to students who are attending, or are assigned to attend,
  124  a persistently low-performing school. If the high-impact
  125  school’s total enrollment consists of at least 60 percent of
  126  students who were attending, or were assigned to attend, a
  127  persistently low-performing school, students attending the high
  128  impact school are exempt, to the extent permitted by federal
  129  grant requirements, from any enrollment lottery.
  130         (e)A delineation of the current incoming baseline standard
  131  of student academic achievement, the outcomes to be achieved,
  132  and the method of measurement that will be used.
  133         (f)A description of the methods of involving parents and
  134  expected levels for such involvement.
  135         (g)The grounds for termination, including failure to meet
  136  the requirements for student performance established pursuant to
  137  paragraph (e), generally accepted standards of fiscal
  138  management, or material violation of terms of the agreement. The
  139  nonrenewal or termination of a performance-based agreement must
  140  comply with the requirements of s. 1002.33(8).
  141         (h)A provision allowing the high-impact school operator to
  142  open additional schools to serve students enrolled in or zoned
  143  for a persistently low-performing school if the high-impact
  144  school operator maintains its status under subsection (3).
  145         (i)A provision establishing the initial term as 5 years.
  146  The agreement shall be renewed, upon the request of the high
  147  impact school operator, unless the school fails to meet the
  148  requirements for student performance established pursuant to
  149  paragraph (e) or generally accepted standards of fiscal
  150  management, or the high-impact school operator or its high
  151  impact school materially violates the law or the terms of the
  152  agreement.
  153         (j)A requirement to provide transportation consistent with
  154  the requirements of ss. 1006.21-1006.27 and s. 1012.45. The
  155  governing body of the high-impact school may provide
  156  transportation through an agreement or contract with the
  157  district school board, a private provider, or parents of
  158  enrolled students. Transportation may not be a barrier to equal
  159  access for all students residing within a reasonable distance of
  160  the school.
  161         (k)A requirement that any arrangement entered into to
  162  borrow or otherwise secure funds for the high-impact school from
  163  a source other than the state or a school district shall
  164  indemnify the state and the school district from any and all
  165  liability, including, but not limited to, financial
  166  responsibility for the payment of the principal or interest.
  167         (l)A provision that any loans, bonds, or other financial
  168  agreements are not obligations of the state or the school
  169  district but are obligations of the high-impact school and are
  170  payable solely from the sources of funds pledged by such
  171  agreement.
  172         (m)A prohibition on the pledge of credit or taxing power
  173  of the state or the school district.
  175         (a)A high-impact school may be designated by the State
  176  Board of Education as a local education agency, if requested,
  177  for the purposes of receiving federal funds and, in doing so,
  178  accepts the full responsibility for all local education agency
  179  requirements and the schools for which it will perform local
  180  education agency responsibilities. Students enrolled in a school
  181  established by a high-impact school operator designated as a
  182  local educational agency are not eligible students for purposes
  183  of calculating the district grade pursuant to s. 1008.34(5).
  184         (b)For the purposes of tort liability, the high-impact
  185  school operator, the high-impact school, and its employees or
  186  agents shall be governed by s. 768.28. The school district
  187  sponsor is not liable for civil damages under state law for the
  188  employment actions or personal injury, property damage, or death
  189  resulting from an act or omission of a high-impact school
  190  operator, the high-impact school, or its employees or agents.
  191         (c)A high-impact school may be either a private or a
  192  public employer. As a public employer, the high-impact school
  193  may participate in the Florida Retirement System upon
  194  application and approval as a covered group under s.
  195  121.021(34). If a high-impact school participates in the Florida
  196  Retirement System, the high-impact school’s employees shall be
  197  compulsory members of the Florida Retirement System.
  198         (d)A high-impact school operator may employ school
  199  administrators and instructional personnel who do not meet the
  200  requirements of s. 1012.56 if the school administrators and
  201  instructional personnel are not ineligible for such employment
  202  under s. 1012.315.
  203         (e)Compliance with s. 1003.03 shall be calculated as the
  204  average at the school level.
  205         (f)High-impact schools operated by a high-impact school
  206  operator shall be exempt from chapters 1000-1013 and all school
  207  board policies. However, a high-impact school operator shall be
  208  in compliance with the laws in chapters 1000-1013 relating to:
  209         1.The student assessment program and school grading
  210  system;
  211         2.Student progression and graduation;
  212         3.The provision of services to students with disabilities;
  213         4.Civil rights, including s. 1000.05, relating to
  214  discrimination;
  215         5.Student health, safety, and welfare;
  216         6.Public meetings and records, public inspection, and
  217  criminal and civil penalties pursuant to s. 286.011. The
  218  governing board of a high-impact school must hold at least two
  219  public meetings per school year in the school district in which
  220  the high-impact school is located. Any other meetings of the
  221  governing board may be held in accordance with s.
  222  120.54(2)(b)2.;
  223         7.Public records pursuant to chapter 119; and
  224         8.The code of ethics for public officers and employees
  225  pursuant to ss. 112.313(2), (3), (7), and (12) and 112.3143(3).
  226         (7)FACILITIES.—
  227         (a)A high-impact school shall use facilities that comply
  228  with the Florida Building Code, except for the State
  229  Requirements for Educational Facilities. A high-impact school
  230  that uses school district facilities must comply with the State
  231  Requirements for Educational Facilities only if the school
  232  district and the high-impact school operator have entered into a
  233  mutual management plan for the reasonable maintenance of such
  234  facilities. The mutual management plan shall contain a provision
  235  by which the district school board agrees to maintain the school
  236  facilities in the same manner as its other public schools within
  237  the district. The local governing authority shall not adopt or
  238  impose any local building requirements or site-development
  239  restrictions, such as parking and site-size criteria, which are
  240  addressed by and more stringent than those found in the State
  241  Requirements for Educational Facilities of the Florida Building
  242  Code. A local governing authority must treat high-impact schools
  243  equitably in comparison to similar requirements, restrictions,
  244  and site planning processes imposed upon public schools. The
  245  agency having jurisdiction for inspection of a facility and
  246  issuance of a certificate of occupancy or use shall be the local
  247  municipality or, if in an unincorporated area, the county
  248  governing authority. If an official or employee of the local
  249  governing authority refuses to comply with this paragraph, the
  250  aggrieved school or entity has an immediate right to bring an
  251  action in circuit court to enforce its rights by injunction. An
  252  aggrieved party that receives injunctive relief may be awarded
  253  reasonable attorney fees and court costs.
  254         (b)Any facility, or portion thereof, used to house a high
  255  impact school shall be exempt from ad valorem taxes pursuant to
  256  s. 196.1983. Library, community service, museum, performing
  257  arts, theatre, cinema, church, Florida College System
  258  institution, college, and university facilities may provide
  259  space to high-impact schools within their facilities under their
  260  preexisting zoning and land use designations.
  261         (c)High-impact school facilities are exempt from
  262  assessments of fees for building permits, except as provided in
  263  s. 553.80; fees for building and occupational licenses; impact
  264  fees or exactions; service availability fees; and assessments
  265  for special benefits.
  266         (d)No later than October 1, each school district shall
  267  annually provide to the department a list of all underused,
  268  vacant, or surplus facilities owned or operated by the school
  269  district. A high-impact school operator establishing a high
  270  impact school may use an educational facility identified in this
  271  paragraph at no cost or at a mutually agreeable cost not to
  272  exceed fair market value rates. A high-impact school operator
  273  using a facility pursuant to this paragraph may not sell or
  274  dispose of such facility without the written permission of the
  275  school district. For purposes of this paragraph, “underused,
  276  vacant, or surplus facility” means an entire facility or portion
  277  thereof which is not fully used or is used irregularly or
  278  intermittently by the school district for instructional or
  279  program use.
  280         (8)FUNDING.—
  281         (a)High-impact schools shall be funded in accordance with
  282  s. 1002.33(17).
  283         (b)High-impact schools shall receive priority in the
  284  department’s Public Charter School Grant Program competitions.
  285         (c)High-impact schools shall be considered charter schools
  286  for purposes of s. 1013.62, except charter capital outlay may
  287  not be used to purchase real property or for the construction of
  288  school facilities.
  289         (d)Funding for high-impact schools may be provided in the
  290  General Appropriations Act to support the following eligible
  291  expenditures:
  292         1.Preparing teachers, school leaders, and specialized
  293  instructional support personnel, including costs associated
  294  with:
  295         a.Providing professional development; and
  296         b.Hiring and compensating teachers, school leaders, and
  297  specialized instructional support personnel for services beyond
  298  the school day and year.
  299         2.Acquiring supplies, training, equipment, and educational
  300  materials, including developing and acquiring instructional
  301  materials.
  302         3.Providing one-time startup costs associated with
  303  providing transportation to students to and from the high-impact
  304  school.
  305         4.Carrying out community engagement activities, which may
  306  include paying the cost of student and staff recruitment.
  307         5.Providing funds to cover the nonvoted ad valorem millage
  308  that would otherwise be required for schools and the required
  309  local effort funds calculated pursuant to s. 1011.62 when the
  310  State Board of Education enters into an agreement with a high
  311  impact school operator pursuant to subsection (5).
  312         (e)If a high-impact school is not renewed or is
  313  terminated, any unencumbered funds and all equipment and
  314  property purchased with the funds shall revert to the ownership
  315  of the state. The reversion of such equipment, property, and
  316  furnishings shall focus on tangible or irrecoverable costs such
  317  as rental or leasing fees, normal maintenance, and limited
  318  renovations. The reversion of all property secured with grant
  319  funds is subject to the complete satisfaction of all lawful
  320  liens or encumbrances.
  322  Pursuant to Art. IX of the State Constitution, which prescribes
  323  the duty of the State Board of Education to supervise the public
  324  school system, the State Board of Education shall:
  325         (a)Publish an annual list of persistently low-performing
  326  schools after the release of preliminary school grades.
  327         (b)Adopt a standard notice of intent and performance-based
  328  agreement that must be used by high-impact school operators and
  329  district school boards to eliminate regulatory and bureaucratic
  330  barriers that delay access to high-quality schools for students
  331  in persistently low-performing schools.
  332         (c)Resolve disputes between a high-impact school operator
  333  and a school district arising from a performance-based agreement
  334  or a contract between a charter operator and a school district
  335  under the board’s oversight and enforcement authority and the
  336  requirements of s. 1008.33.
  337         (d)Provide students in persistently low-performing schools
  338  with a public school that meets accountability standards.
  339  Subject to the authorities and approvals specified under
  340  paragraph (4)(b), the State Board of Education may enter into a
  341  performance-based agreement with a high-impact school operator
  342  to establish a high-impact school. Upon the State Board of
  343  Education entering into a performance-based agreement with a
  344  high-impact school operator, the school district shall transfer
  345  to the high-impact school the proportionate share of state funds
  346  allocated from the Florida Education Finance Program.
  347         (10)RULES.—The State Board of Education shall adopt rules
  348  pursuant to ss. 120.536(1) and 120.54 to implement this section.
  349         Section 2. Section 1001.292, Florida Statutes, is created
  350  to read:
  351         1001.292High-impact Schools Revolving Loan Program.—
  352         (1)The High-impact Schools Revolving Loan Program is
  353  established within the Department of Education to provide
  354  assistance to a high-impact school operator, as defined in s.
  355  1002.333, to meet school building construction needs and pay for
  356  expenses related to the startup of a new high-impact school. The
  357  program shall consist of funds appropriated by the Legislature,
  358  money received from the repayment of loans made from the
  359  program, and interest earned.
  360         (2)Funds provided pursuant to this section may not exceed
  361  25 percent of the total cost of the project, which shall be
  362  calculated based on 80 percent of the cost per student station
  363  established by s. 1013.64(6)(b) multiplied by the capacity of
  364  the facility.
  365         (3)The department may contract with a third-party
  366  administrator to administer the program. If the department
  367  contracts with a third-party administrator, funds shall be
  368  granted to the third-party administrator to create a revolving
  369  loan fund for the purpose of financing projects that meet the
  370  requirements of subsection (4). The third-party administrator
  371  shall report to the department annually. The department shall
  372  continue to administer the program until a third-party
  373  administrator is selected.
  374         (4)High-impact school operators that have been designated
  375  by the State Board of Education and have executed a performance
  376  based agreement pursuant to s. 1002.333 shall be provided a loan
  377  up to the amount provided in subsection (2) to support the
  378  performance-based contract components of high-impact schools, as
  379  defined in s. 1002.333(1).
  380         (5)The department shall post on its website the projects
  381  that have received loans, the geographic distribution of the
  382  projects, the status of the projects, the costs of the program,
  383  and student outcomes for students enrolled in the high-impact
  384  school receiving funds.
  385         (6)All repayments of principal and interest shall be
  386  returned to the loan fund and made available for loans to other
  387  applicants.
  388         (7)Interest on loans provided under this program may be
  389  used to defray the costs of administration and shall be the
  390  lower of:
  391         (a)The rate paid on moneys held in the fund; or
  392         (b)A rate equal to 50 percent of the rate authorized under
  393  s. 215.84.
  394         Section 3. This act shall take effect July 1, 2017.
  396  ================= T I T L E  A M E N D M E N T ================
  397  And the title is amended as follows:
  398         Delete everything before the enacting clause
  399  and insert:
  400                        A bill to be entitled                      
  401         An act relating to K-12 public schools; creating s.
  402         1002.333, F.S., relating to high-impact schools and
  403         high-impact school operators; defining terms;
  404         providing eligibility criteria for high-impact school
  405         operators; providing for the designation and
  406         redesignation of a high-impact school operator;
  407         authorizing high-impact school operators to establish
  408         high-impact schools in specified areas; providing the
  409         process for the establishment of a high-impact school;
  410         providing the requirements for a performance-based
  411         agreement; authorizing the State Board of Education to
  412         designate a high-impact school as a local education
  413         agency; providing that a school district sponsor is
  414         not liable for specified damages; providing that a
  415         high-impact school may be a private or public
  416         employer; authorizing a high-impact school to
  417         participate in the Florida Retirement System;
  418         authorizing a high-impact school operator to employ
  419         certain staff; providing specific statutory exemptions
  420         for high-impact schools; providing requirements for
  421         facilities used by high-impact schools; requiring
  422         districts to annually provide a list of specified
  423         property to the Department of Education; requiring
  424         that high-impact schools be funded through the Florida
  425         Education Finance Program; establishing additional
  426         funding sources and guidelines for eligible
  427         expenditures; providing authority and obligations of
  428         the State Board of Education; providing a mechanism
  429         for the resolution of disputes; providing for
  430         rulemaking; creating s. 1001.292, F.S.; establishing
  431         the High-impact Schools Revolving Loan Program;
  432         providing criteria for administration of the program;
  433         providing an effective date.