I 
118TH CONGRESS 
1ST SESSION H. R. 4083 
To amend the Elementary and Secondary Education Act of 1965 to improve 
oversight of private charter management organizations, and for other 
purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 13, 2023 
Ms. TLAIB (for herself, Ms. WILSON of Florida, and Mr. BOWMAN) introduced 
the following bill; which was referred to the Committee on Education and 
the Workforce 
A BILL 
To amend the Elementary and Secondary Education Act 
of 1965 to improve oversight of private charter manage-
ment organizations, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Charter Oversight, Ac-
countability, and Transparency Act’’ or the ‘‘COAT Act’’. 
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SEC. 2. OVERSIGHT OF PRIVATE CHARTER MANAGEMENT 
ORGANIZATIONS. 
(a) STATE PLAN ASSURANCE.—Section 1111(g) of 
the Elementary and Secondary Education Act of 1965 (20 
U.S.C. 6311(g)) is amended— 
(1) in paragraph (2)— 
(A) in subparagraph (M), by striking 
‘‘and’’ at the end; 
(B) in subparagraph (N), by striking the 
period at the end and inserting ‘‘; and’’; and 
(C) by adding at the end the following new 
subparagraph: 
‘‘(O) the State educational agency will en-
sure that each contract between a charter 
school located in the State and a private char-
ter management organization for the operation 
or management of the charter school satisfies 
the requirements described in paragraph (5).’’; 
and 
(2) by adding at the end the following new 
paragraph: 
‘‘(5) PRIVATE CHARTER MANAGEMENT ORGANI-
ZATION OVERSIGHT.— 
‘‘(A) IN GENERAL.—A contract described 
in paragraph (2)(O) shall require a private 
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charter management organization to comply, 
while under contract, with the following: 
‘‘(i) ANNUAL DISCLOSURES.—The pri-
vate charter management organization 
shall disclose annually to the Secretary, for 
the most recently completed fiscal year, the 
following information: 
‘‘(I) The identity of each charter 
school operated or managed by the 
private charter management organiza-
tion. 
‘‘(II) The identity of each execu-
tive, including the chief executive offi-
cer, chief operating officer, chief fi-
nancial officer, and general counsel, of 
the private charter management orga-
nization (with updates provided to the 
Secretary not later than one month 
after a change with respect to any 
such executive). 
‘‘(III) The salary of each such 
executive. 
‘‘(IV) The amount earned in ex-
cess of salary by each such executive. 
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‘‘(V) The amount expended by 
the private charter management orga-
nization on the following: 
‘‘(aa) The operations of each 
charter school that is served by 
the private charter management 
organization. 
‘‘(bb) The administration of 
the private charter management 
organization, excluding amounts 
accounted for under item (aa). 
‘‘(VI) An audited income state-
ment and balance sheet demonstrating 
revenue, costs, and profit margin 
(prepared in accordance with gen-
erally accepted accounting principles). 
‘‘(VII) The amount expended by 
the private charter management orga-
nization, and the percentage of the 
annual budget of the private charter 
management organization that each 
such amount comprises, for the fol-
lowing: 
‘‘(aa) Administrative costs. 
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‘‘(bb) Costs of advertising 
and marketing. 
‘‘(cc) Salary and benefits for 
teachers, support staff, school 
leaders (including the principal 
and vice principal), and special 
education instructional support 
staff. 
‘‘(dd) Costs of instructional 
supplies, including books, writing 
material, and curriculum mate-
rial. 
‘‘(ee) Any other cost exceed-
ing one percent of the annual 
budget of the private charter 
management organization. 
‘‘(VIII) 
Whether 
the 
private 
charter management organization is a 
for-profit or nonprofit organization. 
‘‘(IX) The identity of any entity 
that has entered into a contract with 
the private charter management orga-
nization and with respect to which the 
private charter management organiza-
tion— 
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‘‘(aa) owns a security; 
‘‘(bb) extends credit; 
‘‘(cc) is a parent, subsidiary, 
or sibling company; or 
‘‘(dd) is under common con-
trol. 
‘‘(ii) BOARD MEETINGS.—The private 
charter management organization shall— 
‘‘(I) hold board meetings that are 
open to the public; 
‘‘(II) one week prior to the date 
of a board meeting, issue a public no-
tice of the meeting; and 
‘‘(III) ensure that board meet-
ings are reasonably accessible to the 
community by holding the meetings 
during a time of day that is reason-
ably convenient for the parents of 
children enrolled in a charter school 
served by the private charter manage-
ment organization. 
‘‘(B) PRIVATE CHARTER MANAGEMENT OR-
GANIZATION
DEFINED.—For purposes of this 
subsection, the term ‘private charter manage-
ment organization’ means a private organiza-
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tion that operates or manages a charter school 
or a network of charter schools linked by cen-
tralized support, operations, and oversight, 
without regard to whether such organization is 
a for-profit or nonprofit organization.’’. 
(b) PUBLIC AVAILABILITY AND REPORT TO CON-
GRESS.—Not later than 6 months after receiving informa-
tion disclosed pursuant to section 1111(g)(5) of the Ele-
mentary and Secondary Education Act of 1965, as added 
by subsection (a), the Secretary of Education shall— 
(1) make available the information on a public 
website of the Department of Education; and 
(2) submit to the Committee on Education and 
Labor of the House of Representatives and the Com-
mittee on Health, Education, Labor, and Pensions 
of the Senate a report containing the information. 
(c) EFFECTIVE DATE.—The amendment made in 
subsection (a) shall apply with respect to contracts entered 
into, renewed, or modified on or after the date of the en-
actment of this Act. 
Æ 
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