Source: http://www.legis.state.pa.us/CFDOCS/Legis/PN/Public/btCheck.cfm?txtType=HTM&sessYr=2013&sessInd=0&billBody=H&billTyp=B&billNbr=0618&pn=2371
Timestamp: 2015-11-30 19:38:20
Document Index: 170326302

Matched Legal Cases: ['§ 501', '§ 11', '§ 1103', '§ 1102', '§ 1103', '§ 1102', '§ 1103', '§ 1103', 'application no22', 'art.22', '§ 1', 'art30', '§ 140019', '§ 8125', '§ 8125', '§51232', 'art.9', '§ 5103']

Regular Session 2013-2014 House Bill 0618 P.N. 2371 PRIOR PRINTER'S NOS. 680, 1159, 1917PRINTER'S NO. 2371 THE GENERAL ASSEMBLY OF PENNSYLVANIA HOUSE BILL No.618 Session of 2013 INTRODUCED BY EMRICK, BENNINGHOFF, R. BROWN, CARROLL, CAUSER, CLYMER, COHEN, D. COSTA, CUTLER, DAVIDSON, DENLINGER, DUNBAR, EVANKOVICH, EVERETT, FLECK, FREEMAN, GILLEN, GINGRICH, GOODMAN, GROVE, HALUSKA, HICKERNELL, KORTZ, KRIEGER, MACKENZIE, MASSER, MATZIE, MILLARD, R. MILLER, MUNDY, MURT, O'NEILL, PEIFER, PETRI, PICKETT, REED, ROCK, SAYLOR, STERN, TALLMAN, TOBASH, TOEPEL, MOUL, MULLERY, SWANGER AND HELM, FEBRUARY 8, 2013 AS AMENDED ON SECOND CONSIDERATION, HOUSE OF REPRESENTATIVES, SEPTEMBER 24, 2013 AN ACT 1Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An 2act relating to the public school system, including certain 3provisions applicable as well to private and parochial 4schools; amending, revising, consolidating and changing the 5laws relating thereto," in terms and courses of study, 6further providing for agreements with institutions of higher 7education; in opportunities for educational excellence, 8further providing for definitions and for concurrent 9enrollment agreements; and extensively revising and adding 10charter school provisions.11The General Assembly of the Commonwealth of Pennsylvania12hereby enacts as follows:13Section 1. Section 1525 of the act of March 10, 1949 14(P.L.30, No.14), known as the Public School Code of 1949, added 15July 4, 2004 (P.L.536, No.70), is amended to read:16Section 1525. Agreements with Institutions of Higher17Education.--Notwithstanding any other provision of law to the 20130HB0618PN2371
1contrary, a school district, charter school, regional charter 2school, cyber charter school or area vocational-technical school3may enter into an agreement with one or more institutions of4higher education approved to operate in this Commonwealth in5order to allow [resident] students to attend such institutions6of higher education while the [resident] students are enrolled7in the school district, charter school, regional charter school, 8cyber charter school or area vocational-technical school. The9agreement may be structured so that high school students may10receive credits toward completion of courses at the school11district, charter school, regional charter school, cyber charter 12school or area vocational-technical school and at institutions13of higher education approved to operate in this Commonwealth.14Section 2. The definitions of "concurrent student" and15"school entity" in section 1602-B of the act, added July 13,162005 (P.L.226, No.46), are amended to read:17Section 1602-B. Definitions.18The following words and phrases when used in this article19shall have the meanings given to them in this section unless the20context clearly indicates otherwise:21* * *22"Concurrent student." A student who is enrolled in a school23district, a charter school, a regional charter school, a cyber 24charter school, an area vocational-technical school, a nonpublic25school, a private school or a home education program under26section 1327.1 and who takes a concurrent course through a27concurrent enrollment program.28* * *29"School entity." A school district, a charter school, a 30regional charter school, a cyber charter school or an area 20130HB0618PN2371
1vocational-technical school.2* * *3Section 3. Section 1613-B of the act is amended by adding a4subsection to read:5Section 1613-B. Concurrent enrollment agreements.6* * *7(c) Charter schools, regional charter schools and cyber8charter schools.--Charter schools, regional charter schools and9cyber charter schools shall have the power and authority to10enter into a concurrent enrollment agreement with an institution11of higher education, and appropriate credit shall be awarded to12students concurrently enrolled under the agreement.13Section 4. Section 1703-A of the act, amended June 29, 200214(P.L.524, No.88), is amended to read:15Section 1703-A. Definitions.--As used in this article,16"Administrator" shall include an employe of a charter school17entity, including the chief administrator of a charter school18entity and any other employe, who by virtue of the employe's19position is responsible for taking official action of a20nonministerial nature with regard to contracting or procurement,21administering or monitoring grants or subsidies, managing or22regulating staff, student and school activities or any activity23where the official action has an economic impact of greater than24a de minimis nature on the interests of any person.25"Appeal board" shall mean the State Charter School Appeal26Board established by this article.27"Assessment" shall mean the Pennsylvania System of School28Assessment test, the Keystone Exam or another test established29by the State board to meet the requirements of section 2603-30B(d)(10)(i) and required under the No Child Left Behind Act of 20130HB0618PN2371
12001 (Public Law 107-110, 115 Stat. 1425) or its successor2Federal statute.3"At-risk student" shall mean a student at risk of educational4failure because of limited English proficiency, poverty,5community factors, truancy, academic difficulties or economic6disadvantage.7"Charter school" shall mean an independent public school8established and operated under a charter from the local board of9school directors and in which students are enrolled or attend. A10charter school must be organized as a public, nonprofit11corporation. Charters may not be granted to any for-profit12entity.13"Charter school entity" shall mean a charter school, regional14charter school or cyber charter school.15"Charter school foundation" shall mean a nonprofit16organization under section 501(c)(3) of the Internal Revenue17Code of 1986 (Public Law 99-514, 26 U.S.C. § 501(c)(3)), that18provides funding, resources or otherwise serves to support a19charter school entity, either directly or through an affiliated20entity.21"Chief administrator" shall mean an individual appointed by a22board of trustees to oversee and manage the operation of a23charter school entity. The term shall not include a professional24staff member under this article.25["Chief executive officer" shall mean an individual appointed26by the board of trustees to oversee and manage the operation of27the charter school, but who shall not be deemed a professional28staff member under this article.]29"Cyber charter school" shall mean an independent public30school established and operated under a charter from the 20130HB0618PN2371
1Department of Education and in which the school uses technology2in order to provide a significant portion of its curriculum and3to deliver a significant portion of instruction to its students4through the Internet or other electronic means. A cyber charter5school must be organized as a public, nonprofit corporation. A6charter may not be granted to a for-profit entity.7"Department" shall mean the Department of Education of the8Commonwealth.9"Educational management service provider" shall mean a10nonprofit charter management organization, for-profit education11management organization, school design provider, business12manager or any other partner entity with which a board of13trustees of a charter school entity contracts to provide14educational design, business services, comprehensive management15or personnel functions or to implement the charter. The term16shall not include a charter school foundation.17"Immediate family member" shall mean a parent, spouse, child,18brother or sister.19"Local board of school directors" shall mean the board of20directors, School Reform Commission or other governing authority21of a school district in which a proposed or an approved charter22school is located.23"Nonrelated" shall mean an individual who is not an immediate24family member.25"Regional charter school" shall mean an independent public26school established and operated under a charter from more than27one local board of school directors and in which students are28enrolled or attend. A regional charter school must be organized29as a public, nonprofit corporation. Charters may not be granted30to any for-profit entity.	20130HB0618PN2371
1"School district of residence" shall mean the school district2in this Commonwealth in which [the parents or guardians of a3child reside] a child resides as determined under section 1302 4and 22 Pa. Code § 11.11(a)(1) (relating to entitlement of 5resident children to attend public schools).6"School entity" shall mean a school district, intermediate7unit, joint school or area vocational-technical school.8"Secretary" shall mean the Secretary of Education of the9Commonwealth.10"State board" shall mean the State Board of Education of the11Commonwealth.12Section 4.1. The act is amended by adding a section to read:13Section 1704-A. Charter School Funding Advisory14Commission.--(1) The Governor shall immediately convene a15Statewide advisory commission, to be known as the Charter School16Funding Advisory Commission, to examine the financing of charter17schools, regional charter schools and cyber charter schools in18the public education system. The commission shall examine how19charter school, regional charter school and cyber charter school20finances affect opportunities for teachers, parents, pupils and21community members to establish and maintain schools that operate22independently from the existing school district structure as a23method to accomplish the requirements of section 1702-A. The24Office of the Budget and the department shall provide25administrative support, meeting space and any other assistance26required by the commission to carry out its duties under this27section.28(2) The commission shall consist of the following members:29(i) <-Three Four members of the Senate appointed by the30President pro tempore of the Senate, in consultation with the 20130HB0618PN2371
1Majority Leader of the Senate and the Minority Leader of the2Senate, with two appointees from the majority party and <-one 3appointee <-two appointees from the minority party.4(ii) <-Three Four members of the House of Representatives5appointed by the Speaker of the House of Representatives, in6consultation with the Majority Leader of the House of7Representatives and the Minority Leader of the House of8Representatives, with two appointees from the majority party and9one appointee <-two appointees from the minority party.10(iii) The secretary or a designee.11(iv) To represent the interests of charter school entities,12the following members, who shall be appointed by the Governor:13(A) One member who shall represent charter schools.14(B) One member who shall represent regional charter schools.15(C) One member who shall represent cyber charter schools.16(D) One member who shall be a teacher in a charter school17entity.18(E) One member who shall be a parent of a child attending a19charter school entity.20(v) To represent the interests of school districts, the21following members, who shall be appointed by the Governor:22(A) One member who shall be a teacher in a public school23that is not a charter school entity.24(B) One member who shall represent school administrators.25(C) Two members who shall represent school board members.26(D) One member who shall be a business manager of a school27district.28(vi) One member who shall represent an institution of higher29education and who shall be appointed by the Governor.30(3) Members of the commission shall be appointed within 20130HB0618PN2371
1twenty (20) days of the effective date of this section. Any2vacancy on the commission shall be filled by the original3appointing authority. The commission shall select a chairman and4vice chairman from among its membership at an organizational5meeting. The organizational meeting shall take place not later6than forty-five (45) days following the effective date of this7section.8(4) The commission shall hold meetings at the call of the9chairman. The commission may also hold public hearings on the10matters to be considered by the commission at locations11throughout this Commonwealth. All meetings and public hearings12of the commission shall be deemed public meetings for the13purpose of 65 Pa.C.S. Ch. 7 (relating to open meetings). Ten14(10) members of the commission shall constitute a quorum at any15meeting. Each member of the commission may designate another16person to represent that member at meetings of the commission.17(5) Commission members shall receive no compensation for18their services but shall be reimbursed by the department for all19necessary travel and other reasonable expenses incurred in20connection with the performance of their duties as members.21Whenever possible, the commission shall utilize the services and22expertise of existing personnel and staff of State government.23The department may utilize undistributed funds not expended,24encumbered or committed from appropriations for grants and25subsidies made to the department, not to exceed three hundred26thousand dollars ($300,000), to carry out this section.27(6) The commission shall have the following powers and28duties:29(i) Meet with current charter school entity operators,30school district personnel and representatives of institutions of 20130HB0618PN2371
1higher education within this Commonwealth.2(ii) Review charter school entity financing laws in3operation throughout the United States.4(iii) Explore the actual cost of educating a child in a5cyber charter school.6(iv) Evaluate and make recommendations on the following:7(A) Consideration of establishing a higher education8authorizer of charter school entities.<-9(a.1) Consideration of establishing an independent State10level board to authorize charter school entities and support11charter school quality and accountability through performance12monitoring and technical assistance.13(B) Appropriate assessment of fees on charter school14entities for potentially funding a higher education authorizer15of charter school entities, including review of independent16authorizer fees and structures throughout the United States.17(C) The process by which charter school entities are funded18under section 1725-A, including the continuation of school19district deductions for food services and for retirement20contributions paid to the Public School Employees' Retirement21System and addressing other potential funding inequities.22(v) Issue a report pursuant to paragraph (7).23(7) The commission shall, no later than March 31, 2014,24issue a report of its findings and recommendations to the25Governor, the President pro tempore of the Senate, the Majority26Leader of the Senate, the Minority Leader of the Senate, the27chairman and minority chairman of the Appropriations Committee28of the Senate, the chairman and minority chairman of the29Education Committee of the Senate, the Speaker of the House of30Representatives, the Majority Leader of the House of 20130HB0618PN2371
1Representatives, the Minority Leader of the House of2Representatives, the chairman and minority chairman of the3Appropriations Committee of the House of Representatives and the4chairman and minority chairman of the Education Committee of the5House of Representatives. The recommendations of the commission6shall not take effect unless the recommendations are approved by7an act of the General Assembly enacted after the effective date8of this section.9Section 5. Section 1715-A of the act, amended or added June1019, 1997 (P.L.225, No.22) and July 9, 2008 (P.L.846, No.61), is11amended to read:12Section 1715-A. Charter School Entity Requirements.--(a) 13Charter [schools] school entities shall be required to comply14with the following provisions:15(1) Except as otherwise provided in this article, a charter16school entity is exempt from statutory requirements established17in this act, from regulations of the State board and the18standards of the secretary not specifically applicable to19charter [schools] school entities. Charter [schools] school 20entities are not exempt from statutes applicable to public21schools other than this act.22(2) A charter school entity shall be accountable to the23parents, the public and the Commonwealth, with the delineation24of that accountability reflected in the charter. Strategies for25meaningful parent and community involvement shall be developed26and implemented by each school.27(3) A charter school entity shall not unlawfully28discriminate in admissions, hiring or operation.29(4) A charter school entity shall be nonsectarian in all30operations.	20130HB0618PN2371
1(5) (i) [A] Subject to subparagraph (ii), a charter school2entity shall not provide any religious instruction, nor shall it3display religious objects and symbols on the premises of the4charter school[.] entity.5(ii) It shall not be a violation of this paragraph for a6charter school entity to utilize a sectarian facility:7(A) if the charter school entity provides for discrete and8separate entrances to buildings utilized for school purposes9only;10(B) if the religious objects and symbols within the portions11of the facility utilized by the school are covered or removed to12the extent reasonably feasible; or13(C) in which the unused portion of the facility or its14common areas contain religious symbols and objects.15(6) A charter school entity shall not advocate unlawful16behavior.17(7) A charter school or regional charter school shall only18be subject to the laws and regulations as provided for in19section 1732-A, or as otherwise provided for in this [article]20act.21(7.1) A cyber charter school shall only be subject to the22laws and regulations as provided for in section 1749-A, or as23otherwise provided for in this act.24(8) A charter school entity shall participate in [the25Pennsylvania State Assessment System as provided for in 22 Pa.26Code Ch. 5 (relating to curriculum), or subsequent regulations27promulgated to replace 22 Pa. Code Ch. 5,] assessments in the28manner in which the school district in which the charter school29entity is located is scheduled to participate.30(9) A charter school entity shall provide a minimum of one 20130HB0618PN2371
1hundred eighty (180) days of instruction or nine hundred (900)2hours per year of instruction at the elementary level, or nine3hundred ninety (990) hours per year of instruction at the4secondary level. Nothing in this clause shall preclude the use5of computer and satellite linkages for delivering instruction to6students.7(10) Boards of trustees and contractors of charter [schools]8school entities shall be subject to the following statutory9requirements governing construction projects and construction-10related work:11(i) The following provisions of this act:12(A) Sections 751 and 751.1.13(B) Sections 756 and 757 insofar as they are consistent with14the act of December 20, 1967 (P.L.869, No.385), known as the15"Public Works Contractors' Bond Law of 1967."16(ii) Section 1 of the act of May 1, 1913 (P.L.155, No.104),17entitled "An act regulating the letting of certain contracts for18the erection, construction, and alteration of public buildings."19(iii) The act of August 11, 1961 (P.L.987, No.442), known as20the "Pennsylvania Prevailing Wage Act."21(iv) The "Public Works Contractors' Bond Law of 1967."22(v) The act of March 3, 1978 (P.L.6, No.3), known as the23"Steel Products Procurement Act."24(11) Trustees of a charter school entity shall be public25officials[.] for the purposes of 65 Pa.C.S. Ch. 11 (relating to 26ethics standards and financial disclosure) and shall file a 27statement of financial interests for the preceding calendar year 28with the State Ethics Commission and either the local board of 29school directors in the case of a charter school or regional 30charter school, or the department in the case of a cyber charter 20130HB0618PN2371
1school, not later than May 1 of each year that members hold the 2position and of the year after a member leaves the position. All 3members of the board of trustees of a charter school entity 4shall take the oath of office as required under section 321 5before entering upon the duties of their office.6[(12) A person who serves as an administrator for a charter7school shall not receive compensation from another charter8school or from a company that provides management or other9services to another charter school. The term "administrator"10shall include the chief executive officer of a charter school11and all other employes of a charter school who by virtue of12their positions exercise management or operational oversight13responsibilities. A person who serves as an administrator for a14charter school shall be a public official under 65 Pa.C.S. Ch.1511 (relating to ethics standards and financial disclosure). A16violation of this clause shall constitute a violation of 6517Pa.C.S. § 1103(a) (relating to restricted activities), and the18violator shall be subject to the penalties imposed under the19jurisdiction of the State Ethics Commission.]20(b) An individual who serves as an administrator for a21charter school entity shall be a public employe for the purposes22of 65 Pa.C.S. Ch. 11 and shall file a statement of financial23interests for the preceding calendar year with the board of24trustees not later than May 1 of each year that the person holds25the position and of the year after the person leaves the26position.27(c) (1) No individual who serves as an administrator for a28charter school entity may receive compensation from another29charter school entity or from an educational management service30provider, unless:	20130HB0618PN2371
1(i) The administrator has submitted a sworn statement to the2board of trustees of the charter school entity and the sworn3statement details the work for the other entity and includes the4projected number of hours, rate of compensation and projected5duration.6(ii) The board of trustees of the charter school entity has7reviewed the sworn statement under subclause (i) and agreed, by8resolution, to grant permission to the administrator.9(2) A copy of the sworn statement under clause (1)(i) and10the resolution by the board of trustees granting the permission11under clause (1)(ii) shall be provided to, and kept on file12with, the charter school entity and the local board of school13directors or, in the case of a cyber charter school, the14department.15(3) No administrator of a charter school entity or immediate16family member of the administrator may serve as a voting member17of the board of trustees of the charter school entity that18employs the administrator.19(4) (i) No administrator of a charter school entity may20participate in the selection, award or administration of a21contract if the person has a conflict of interest as that term22is defined in 65 Pa.C.S. § 1102 (relating to definitions).23(ii) An administrator who knowingly violates this clause24commits a violation of 65 Pa.C.S. § 1103(a) (relating to25restricted activities) and shall be subject to the penalties26imposed under the jurisdiction of the State Ethics Commission.27(iii) Any contract made in violation of this clause shall be28voidable by the board of trustees of the charter school entity.29(5) An administrator shall be immediately dismissed upon30conviction for an offense graded as a felony, an infamous crime, 20130HB0618PN2371
1an offense pertaining to fraud, theft or mismanagement of public2funds or any crime involving moral turpitude.3Section 6. Section 1716-A(c) of the act, added June 19, 19974(P.L.225, No.22), is amended and the section is amended by5adding subsections to read:6Section 1716-A. Powers of Board of Trustees.--* * *7(b.1) (1) For a charter school or regional charter school8chartered after the effective date of this subsection, an9individual shall be prohibited from serving as a voting member10of the board of trustees of the charter school or regional11charter school if the individual or an immediate family member12receives compensation from or is employed by or is a member of13the local board of school directors who participated in the14initial review, approval, oversight, evaluation or renewal15process of the charter school or regional charter school16chartered by that board.17(2) An employe of the school district that chartered a18charter school or regional charter school may serve as a member19of the board of trustees of the charter school or regional20charter school without voting privileges.21(b.2) (1) No member of the board of trustees of a charter22school entity may participate in the selection, award or23administration of any contract if the member has a conflict of24interest as that term is defined in 65 Pa.C.S. § 1102 (relating25to definitions).26(2) Any member of the board of trustees of a charter school27entity who in the discharge of the person's official duties28would be required to vote on a matter that would result in a29conflict of interest shall abstain from voting and follow the30procedures required under 65 Pa.C.S. § 1103(j) (relating to 20130HB0618PN2371
1restricted activities).2(3) A member of the board of trustees of a charter school3entity who knowingly violates this subsection commits a4violation of 65 Pa.C.S. § 1103(a) and shall be subject to the5penalties imposed under the jurisdiction of the State Ethics6Commission.7(4) A contract made in violation of this subsection shall be8voidable by a court of competent jurisdiction, if the suit is9commenced within ninety (90) days of the making of the contract.10(5) No member of the board of trustees of a charter school11entity shall be compensated for duties on the board of trustees.12(b.3) A member of the board of trustees of a charter school13entity shall be automatically disqualified and immediately14removed from the board of trustees upon conviction for an15offense graded as a felony, an infamous crime, an offense16pertaining to fraud, theft or mismanagement of public funds, any17offense pertaining to his official capacity as a member of the18board of trustees or any crime involving moral turpitude.19(c) The board of trustees shall comply with [the act of July 203, 1986 (P.L.388, No.84), known as the "Sunshine Act."] 6521Pa.C.S. Ch. 7 (relating to open meetings).22(d) (1) (i) The board of trustees of a charter school23entity shall consist of a minimum of five (5) nonrelated voting24members.25(ii) If a charter school entity has fewer than five (5)26nonrelated voting members serving on its board of trustees on27the effective date of this subsection, the charter school entity28shall, within sixty (60) days, appoint additional members to the29board of trustees to meet the minimum requirements of this30section.	20130HB0618PN2371
1(2) Within one (1) year of the effective date of this2subsection, at least one member of the board of trustees of a3charter school entity shall be a parent of a child currently4attending the charter school entity. The board of trustees5member required by this paragraph shall be eligible to serve6only so long as the child attends the charter school entity.7(e) (1) A majority of the voting members of the board of8trustees shall constitute a quorum. If less than a majority is9present at any meeting, no business may be transacted at the10meeting.11(2) The affirmative vote of a majority of all the voting12members of the board of trustees, duly recorded, shall be13required in order to take official action on the subjects14enumerated under subsection (a).15Section 7. The act is amended by adding a section to read:16Section 1716.1-A. Payment of Indebtedness by Charter School 17Entities.--(a) The board of trustees of a charter school entity 18shall supply the secretary and, in the case of a charter school 19or regional charter school, the local board of school directors 20a list of the amount of rental payments which are guarantees for 21school building debt or bonds that become due during the fiscal 22year together with the amount paid on each item of indebtedness. 23Any charter school entity that elects to issue debt shall hold 24in escrow an amount sufficient to pay the annual amount of the 25sum of the principal maturing or subject to mandatory redemption 26and interest owing by the charter school entity or sinking fund 27deposit due by the charter school entity.28(b) (1) In any case where the board of trustees of a29charter school entity fails to pay or to provide for the payment30of:	20130HB0618PN2371
1(i) any indebtedness at date of maturity or date of2mandatory redemption or on any sinking fund deposit date; or3(ii) any interest due on such indebtedness on any interest4payment date or on any sinking fund deposit date in accordance5with the schedule under which the bonds were issued,6the bank or trustee for the bonds shall notify the board of7trustees of its obligation and shall immediately notify the8secretary and, in the case of a charter school or regional9charter school, the local board of school directors.10(2) The secretary shall withhold any payment due the charter11school entity in any amount necessary to fully fund the amount12held in escrow by the charter school entity which shall be equal13to the sum of the principal amount maturing or subject to14mandatory redemption and interest owing by the charter school15entity or sinking fund deposit due by the charter school entity16and shall require payover of the amount withheld to the bank or17trustee acting as the sinking fund depositary for the bond issue18from the escrow account.19Section 8. <-Sections 1717-A(c), (d), (e) and (f) and 1719-A 20of the act, added June 19, 1997 (P.L.225, No.22), are amended to 21read: <-Section 1717-A(c), (d), (e) and (f) of the act, added June 2219, 1997 (P.L.225, No.22), are amended and the section is 23amended by adding subsections to read:24Section 1717-A. Establishment of Charter School.--* * *25(c) An application to establish a charter school shall be26submitted to the local board of school directors of the district27where the charter school will be located by [November 15]28October 1 of the school year preceding the school year in which29the charter school will be established except that for a charter30school beginning in the 1997-1998 school year, an application 20130HB0618PN2371
1must be received by July 15, 1997. In the 1997-1998 school year2only, applications shall be limited to recipients of fiscal year31996-1997 Department of Education charter school planning4grants.5(d) Within forty-five (45) days of receipt of an6application, the local board of school directors in which the7proposed charter school is to be located shall hold at least one8public hearing on the provisions of the charter application,9under [the act of July 3, 1986 (P.L.388, No.84), known as the10"Sunshine Act."] 65 Pa.C.S. Ch. 7 (relating to open meetings).11At least forty-five (45) days must transpire between the first12public hearing and the final decision of the board on the13charter application except that for a charter school beginning14in the 1997-1998 school year, only thirty (30) days must15transpire between the first public hearing and the final16decision of the board.17(e) (1) Not later than seventy-five (75) days after the18first public hearing on the application, the local board of19school directors shall grant or deny the application. For a20charter school beginning in the 1997-1998 school year, the local21board of school directors shall grant or deny the application no22later than sixty (60) days after the first public hearing.23(2) A charter school application submitted under this24article shall be evaluated by the local board of school25directors based on criteria, including, but not limited to, the26following:27(i) The demonstrated, sustainable support for the charter28school plan by teachers, parents, other community members and29students, including comments received at the public hearing held30under subsection (d).	20130HB0618PN2371
1(ii) The capability of the charter school applicant, in2terms of support and planning, to provide comprehensive learning3experiences to students pursuant to the adopted charter.4(iii) The extent to which the application considers the5information requested in section 1719-A and conforms to the6legislative intent outlined in section 1702-A.7(iv) The extent to which the charter school may serve as a8model for other public schools.9(3) The local board of school directors, in the case of an10existing school being converted to a charter school, shall11establish the alternative arrangements for current students who12choose not to attend the charter school.13(4) A charter application shall be deemed approved by the14local board of school directors of a school district upon15affirmative vote by a majority of all the directors. Formal16action approving or denying the application shall be taken by17the local board of school directors at a public meeting, with18notice or consideration of the application given by the board,19under [the "Sunshine Act."] 65 Pa.C.S. Ch. 7.20(5) Written notice of the board's action shall be sent to21the applicant, the department and the appeal board. If the22application is denied, the reasons for the denial, including a23description of deficiencies in the application, shall be clearly24stated in the notice sent by the local board of school directors25to the charter school applicant.26(f) At the option of the charter school applicant, a denied27application may be revised and resubmitted to the local board of28school directors. Following the appointment and confirmation of29the Charter School Appeal Board under section 1721-A, the30decision of the local board of school directors may be appealed 20130HB0618PN2371
1to the appeal board. When an application is revised and2resubmitted to the local board of school directors, the board3may schedule additional public hearings on the revised4application. The board shall consider the revised and5resubmitted application at the first board meeting occurring at6least forty-five (45) days after receipt of the revised7application by the board. For a revised application resubmitted8for the 1997-1998 school year, the board shall consider the9application at the first board meeting occurring at least thirty10(30) days after its receipt. The board shall provide notice of11consideration of the revised application under [the "Sunshine12Act."] 65 Pa.C.S. Ch. 7. No appeal from a decision of a local13school board may be taken until July 1, 1999.14* * *<-15(j) Notwithstanding the provisions of section 696(i) or any16other provision of law to the contrary, a school reform17commission considering an application to establish a charter18school in a school district of the first class shall comply with19subsection (e)(5).20(k) Notwithstanding the provisions of section 696(i) or any21other provision of law to the contrary, a charter school22applicant may appeal a decision of a school reform commission to23deny an application to establish a charter school in a school24district of the first class to the Charter School Appeal Board.25Subsections (g), (h) and (i) shall apply to an appeal under this26subsection.27Section 8.1. Section 1719-A of the act, added June 19, 199728(P.L.225, No.22), is amended to read:29Section 1719-A. Contents of Application.--[An] (a) The 30department shall create a standard application form for charter 20130HB0618PN2371
1school applicants seeking to establish a charter school entity 2and for existing charter school entities seeking renewal of 3their charters. The form shall be published in the Pennsylvania 4Bulletin and posted on the department's publicly accessible 5Internet website. The form shall include all of the following6information:7(1) The identification of the charter school applicant.8(2) The name of the proposed charter school entity.9(3) The grade or age levels served by the school.10(4) [The proposed governance structure of the charter11school, including a description and method for the appointment12or election of members of the board of trustees.] An 13organization chart clearly presenting the proposed governance 14structure of the school, including lines of authority and 15reporting between the board of trustees, administrators, staff 16and any educational management service provider that will 17provide management services to the charter school entity.18(4.1) A clear description of the roles and responsibilities19of the board of trustees, administrators and any other entities,20including a charter school foundation, shown in the organization21chart.22(4.2) A clear description of the method for the appointment23or election of members of the board of trustees.24(4.3) Standards for board of trustees performance, including25compliance with all applicable laws, regulations and terms of26the charter.27(4.4) If the charter school entity intends to contract with28an educational management service provider for services, all of29the following:30(i) Evidence of the educational management service 20130HB0618PN2371
1provider's record in serving student populations, including2demonstrated academic achievement and demonstrated management of3nonacademic school functions, including proficiency with public4school-based accounting, if applicable.5(ii) A draft contract stating all of the following:6(A) The officers, chief administrator and administrators of7the educational management service provider.8(B) The proposed duration of the service contract.9(C) Roles and responsibilities of the board of trustees, the10school staff and the educational management service provider.11(D) The scope of services, personnel and resources to be12provided by the educational management service provider.13(E) Performance evaluation measures and timelines.14(F) The compensation structure, including clear15identification of all fees to be paid to the educational16management service provider.17(G) Methods of contract oversight and enforcement.18(H) Investment disclosure or the advance of moneys by the19educational management service provider on behalf of the charter20school entity.21(I) Conditions for renewal and termination of the contract.22(iii) Disclosure and explanation of any existing or23potential conflicts of interest between the members of the board24of trustees and the proposed educational management service25provider or any affiliated business entities, including a26charter school foundation qualified as a support organization27under the Internal Revenue Code of 1986 (Public Law 99-514, 2628U.S.C. § 1 et seq.).29(5) The mission and education goals of the charter school30entity, the curriculum to be offered and the methods of 20130HB0618PN2371
1assessing whether students are meeting educational goals.2(6) The admission policy and criteria for evaluating the3admission of students which shall comply with the requirements4of section 1723-A.5(7) Procedures which will be used regarding the suspension6or expulsion of pupils. Said procedures shall comply with7section 1318.8(8) Information on the manner in which community groups will9be involved in the charter school entity planning process.10(9) The financial plan for the charter school entity and the11provisions which will be made for auditing the school under12[section] sections 437 and 1728-A, including the role of any 13charter school foundation.14(10) Procedures which shall be established to review15complaints of parents regarding the operation of the charter16school entity.17(11) A description of and address of the physical facility18in which the charter school entity will be located and the19ownership thereof and any lease arrangements.20(12) Information on the proposed school calendar for the21charter school entity, including the length of the school day22and school year consistent with the provisions of section 1502.23(13) The proposed faculty, if already determined, and a24professional development and continuing education plan for the25faculty and professional staff of [a] the charter school entity.26(14) Whether any agreements have been entered into or plans27developed with the local school district regarding participation28of the charter school entity's students in extracurricular29activities within the school district. Notwithstanding any30provision to the contrary, no school district of residence shall 20130HB0618PN2371
1prohibit a student of a charter school entity from participating2in any extracurricular activity of that school district of3residence: Provided, That the student is able to fulfill all of4the requirements of participation in such activity and the5charter school entity does not provide the same extracurricular6activity.7(15) A report of criminal history record, pursuant to8section 111, for all individuals identified in the application9who shall have direct contact with students and a plan for 10satisfying the proper criminal history record clearances 11required for all other staff.12(16) An official clearance statement regarding child injury13or abuse from the Department of Public Welfare as required by 2314Pa.C.S. Ch. 63 Subch. C.2 (relating to background checks for15employment in schools) for all individuals identified in the 16application who shall have direct contact with students and a 17plan for satisfying the proper official clearance statement 18regarding child injury or abuse required for all other staff.19(17) How the charter school entity will provide adequate20liability and other appropriate insurance for the charter school21entity, its employes and the board of trustees of the charter22school entity.23(18) Policies regarding truancy, absences and withdrawal of24students, including the manner in which the charter school25entity will monitor attendance consistent with section 1715-A(a)26(9). The charter school entity's policy shall establish, to the27satisfaction of the local board of school directors or, in the28case of a cyber charter school, to the satisfaction of the29department, that the charter school entity will comply with30sections 1332 and 1333, including the institution of truancy 20130HB0618PN2371
1proceedings when required under section 1333.2(19) How the charter school entity will meet the standards3included in the performance matrix developed by the State Board4of Education under section 1731.2-A.5(20) Indicate whether or not the charter school entity will6seek accreditation by a nationally recognized accreditation7agency, including the Middle States Association of Colleges and8Schools or another regional institutional accrediting agency9recognized by the United States Department of Education or an10equivalent federally recognized body for charter school11education.12(b) A local board of school directors may not impose13additional terms, develop its own application or require14additional information outside the standard application form15required under subsection (a).16Section 9. Section 1720-A of the act, amended July 9, 2008,17(P.L.846, No.61), is amended to read:18Section 1720-A. Term and Form of Charter.--(a) (1) Upon19approval of a charter application under section 1717-A, a20written charter shall be developed which shall contain the21provisions of the standardized charter application under section 221719-A and which shall be signed by the local board of school23directors of a school district, by the local boards of school24directors of a school district in the case of a regional charter25school or by the chairman of the appeal board pursuant to26section [1717-A(i)(5)] 1717-A(i)(9) and the board of trustees of27the charter school or regional charter school. This written28charter, when duly signed by the local board of school directors29of a school district, [or] by the local boards of school30directors of a school district in the case of a regional charter 20130HB0618PN2371
1school or by the chairman of the appeal board, and the charter 2school or regional charter school's board of trustees, shall act3as legal authorization for the establishment of a charter school4or regional charter school. This written charter shall be5legally binding on both the local board of school directors of a6school district and the charter school or regional charter7school's board of trustees. [Except as otherwise provided in8subsection (b), the charter shall be for a period of no less9than three (3) nor more than five (5) years and may be renewed10for five (5) year periods upon reauthorization by the local11board of school directors of a school district or the appeal12board.] If the charter school or regional charter school 13contracts with an educational management service provider, a 14contract shall be executed once the charter is approved. A15charter will be granted only for a school organized as a public,16nonprofit corporation.17(2) The following shall apply to all charters granted by a18school district:19(i) An initial charter executed pursuant to section201720-A(a)(1) shall be for a period of five (5) years.21(ii) Prior to the effective date of the regulations22implementing the performance matrix as required pursuant to23section 1731.2-A, a charter may be renewed for five (5) year24periods upon reauthorization by the local board of school25directors or other governing body of a school district or the26appeal board.27(iii) Upon the effective date of the regulations28implementing the performance matrix as required pursuant to29section 1731.2-A, the following shall apply:30(A) For charter schools and regional charter schools that 20130HB0618PN2371
1have satisfied the academic quality benchmark established by the2State Board of Education pursuant to section 1731.2-A, a charter3may be renewed for ten (10) year periods upon reauthorization by4the local board of school directors or other governing body of a5school district or the appeal board.6(B) For charter schools and regional charter schools that7have not satisfied the academic quality benchmark established by8the State Board of Education pursuant to section 1731.2-A, a9charter may be renewed for five (5) year periods upon10reauthorization by the local board of school directors or other11governing body of a school district or the appeal board.12[(b) (1) Notwithstanding subsection (a), a governing board13of a school district of the first class may renew a charter for14a period of one (1) year if the board of school directors15determines that there is insufficient data concerning the16charter school's academic performance to adequately assess that17performance and determines that an additional year of18performance data would yield sufficient data to assist the19governing board in its decision whether to renew the charter for20a period of five (5) years.21(2) A one-year renewal pursuant to paragraph (1) shall not22be considered an adjudication and may not be appealed to the23State Charter School Appeal Board.24(3) A governing board of a school district of the first25class does not have the authority to renew a charter for26successive one (1) year periods.]27(c) (1) A charter school or regional charter school may28request amendments to its approved written charter by filing a29written document describing the requested amendment with the30local board of school directors.	20130HB0618PN2371
1(2) Within twenty (20) days of its receipt of the request2for an amendment, the local board of school directors shall hold3a public hearing on the requested amendment under 65 Pa.C.S. Ch.47 (relating to open meetings).5(3) Within twenty (20) days after the hearing, the local6board of school directors shall grant or deny the requested7amendment. Failure by the local board of school directors to8hold a public hearing and to grant or deny the amendment within9the time period specified in this subsection shall be deemed an10approval.11(4) An applicant for an amendment shall have the right to12appeal the denial of a requested amendment to the appeal board13provided for under section 1721-A.14Section 10. Section 1721-A(a) and (e) of the act, added June1519, 1997 (P.L.225, No.22), are amended to read:16Section 1721-A. State Charter School Appeal Board.--(a) The17State Charter School Appeal Board shall consist of the Secretary18of Education and [six (6)] the following members who shall be19appointed by the Governor by and with the consent of a majority20of all the members of the Senate. [Appointments by the Governor21shall not occur prior to January 1, 1999.] The Governor shall22select the chairman of the appeal board to serve at the pleasure23of the Governor. The members shall include:24(1) A parent of a school-aged child enrolled in a charter 25school entity.26(2) A school board member.27(3) A certified teacher actively employed in a public28school.29(4) A faculty member or administrative employe of an30institution of higher education.	20130HB0618PN2371
1(5) A member of the business community.2(6) A member of the State Board of Education.3(7) An administrator of a charter school entity.4(8) A member of the board of trustees of a charter school5entity.6The term of office of members of the appeal board, other than7the secretary, shall be for a period of four (4) years or until8a successor is appointed and qualified, except that, of the9initial appointees, the Governor shall designate two (2) members10to serve terms of two (2) years, two (2) members to serve terms11of three (3) years and two (2) members to serve terms of four12(4) years. A parent member appointed under paragraph (1) shall 13serve a term of four (4) years, provided the member's child 14remains enrolled in the charter school entity. Any appointment15to fill any vacancy shall be for the period of the unexpired16term or until a successor is appointed and qualified.17* * *18(e) Meetings of the appeal board shall be conducted under 19[the act of July 3, 1986 (P.L.388, No.84), known as the 20"Sunshine Act."] 65 Pa.C.S. Ch. 7 (relating to open meetings). 21Documents of the appeal board shall be subject to the [act of 22June 21, 1957 (P.L.390, No.212), referred to as the Right-to-23Know Law] act of February 14, 2008 (P.L.6, No.3), known as the 24"Right-to-Know Law".25Section 11. Section 1722-A(a), (b) and (d) of the act,26amended November 17, 2010 (P.L.996, No.104), are amended and the27section is amended by adding a subsection to read:28Section 1722-A. Facilities.--(a) A charter school entity29may be located in an existing public school building, in a part30of an existing public school building, in space provided on a 20130HB0618PN2371
1privately owned site, in a public building or in any other2suitable location.3(b) The charter school entity facility shall be exempt from4public school facility regulations except those pertaining to5the health or safety of [the pupils] students.6(d) Notwithstanding any other provision of this act, a7school district [of the first class] may, in its discretion,8permit a charter school or regional charter school to operate9its school at more than one location.10* * *11(f) (1) Alcoholic beverages shall not be available for12consumption, purchase or sale in any charter school entity13facility.14(2) If, in the case of a charter school or regional charter15school, the local board of school directors reasonably believes16that alcoholic beverages have been made available for17consumption, purchase or sale in the charter school or regional18charter school facility, the local board of school directors19shall notify the department.20(3) If alcoholic beverages have been made available for21consumption, purchase or sale in a charter school entity22facility, the secretary shall order the following forfeitures23against the charter school entity:24(i) A fine of one thousand dollars ($1,000) for the first25violation.26(ii) A fine of five thousand dollars ($5,000) for the second27or subsequent violation.28(4) The charter school entity may appeal the order of the29secretary under 2 Pa.C.S. Chs. 5 (relating to practice and30procedure) and 7 (relating to judicial review).	20130HB0618PN2371
1Section 12. Section 1723-A(a) and (d) of the act, amended or2added June 26, 1999 (P.L.394, No.36) and July 9, 2008 (P.L.846,3No.61), are amended to read:4Section 1723-A. Enrollment.--(a) All resident children in5this Commonwealth qualify for admission to a charter school6entity within the provisions of subsection (b). If more students7apply to the charter school entity than the number of attendance8slots available in the school, then students must be selected on9a random basis from a pool of qualified applicants meeting the10established eligibility criteria and submitting an application11by the deadline established by the charter school entity, except12that the charter school entity may give preference in enrollment13to a child of a parent who has actively participated in the14development of the charter school [and] entity, to siblings of15students presently enrolled in the charter school entity and to 16siblings of students selected for enrollment during the lottery 17process. First preference shall be given to students who reside18in the district or districts in which the charter school entity 19is physically located.20* * *21(d) (1) Enrollment of students in a charter school, 22regional charter school or cyber charter school <-or expansion of 23a charter school, regional charter school or cyber charter 24school into additional grade levels shall not be subject to a25cap or otherwise limited by any past or future action of a board26of school directors, a board of control established under27Article XVII-B, a special board of control established under28section 692 or any other governing authority[, unless agreed to29by the charter school or cyber charter school as part of a30written charter pursuant to section 1720-A].	20130HB0618PN2371
1(2) The provisions of this subsection shall apply to a2charter school, regional charter school or cyber charter school3regardless of whether the charter was approved prior to or is4approved subsequent to the effective date of this subsection.5Section 13. Section 1725-A of the act, amended or added June619, 1997 (P.L.225, No.22), June 22, 2001 (P.L.530, No.35) and7June 29, 2002 (P.L.524, No.88), is amended to read:8Section 1725-A. Funding for Charter [Schools] School 9Entities.--(a) Funding for a charter school entity shall be10provided in the following manner:11(1) There shall be no tuition charge for a resident or12nonresident student attending a charter school entity.13(2) [For non-special education students, the charter school14shall receive for each student enrolled no less than the15budgeted total expenditure per average daily membership of the16prior school year, as defined in section 2501(20), minus the17budgeted expenditures of the district of residence for nonpublic18school programs; adult education programs; community/junior19college programs; student transportation services; for special20education programs; facilities acquisition, construction and21improvement services; and other financing uses, including debt22service and fund transfers as provided in the Manual of23Accounting and Related Financial Procedures for Pennsylvania24School Systems established by the department. This amount shall25be paid by the district of residence of each student.] For non-26special education students, the charter school entity shall 27receive for each student enrolled the following, which shall be 28paid by the school district of residence of each student by 29deduction and transfer from all State payments due to the school 30district of residence as provided for under clause (5):	20130HB0618PN2371
1(i) Subject to clause (ii), no less than the budgeted total2expenditure per average daily membership of the prior school3year, as defined in section 2501(20), minus the budgeted4expenditures of the district of residence for nonpublic school5programs; adult education programs; community/junior college6programs; student transportation services; for special education7programs; facilities acquisition, construction and improvement8services; and other financing uses, including debt service and9fund transfers as provided in the Manual of Accounting and10Related Financial Procedures for Pennsylvania School Systems11established by the department.12(ii) Beginning in the 2013-2014 school year and through and13including the 2014-2015 school year, the following:14(A) For each student enrolled in a charter school or15regional charter school, no less than the budgeted total16expenditure per average daily membership of the prior school17year, as defined in section 2501(20), minus the budgeted18expenditures of the district of residence for nonpublic school19programs; adult education programs; community/junior college20programs; student transportation services; special education21programs; facilities acquisition, construction and improvement22services; and other financing uses, including debt service and23fund transfers as provided in the Manual of Accounting and24Related Financial Procedures for Pennsylvania School Systems25established by the department.26(B) For each student enrolled in a cyber charter school, no27less than the budgeted total expenditure per average daily28membership of the prior school year, as defined in section292501(20), minus the budgeted expenditures of the district of30residence for nonpublic school programs; adult education 20130HB0618PN2371
1programs; community/junior college programs; student2transportation services; special education programs; facilities3acquisition, construction and improvement services; other4financing uses, including debt service and fund transfers as5provided in the Manual of Accounting and Related Financial6Procedures for Pennsylvania School Systems established by the7department; food services; and the full employer's share of8retirement contributions paid to the Public School Employees'9Retirement System.10(2.1) The amount under clause (2) shall be calculated by11each school district on a form prescribed by the secretary in12accordance with this section. The secretary, upon receipt of a13school district's calculation, shall review the school14district's calculation and may request supporting documentation15from the school district regarding its calculation. If the16secretary finds an error or discrepancy in a school district's17calculation, the secretary shall require the school district to18correct the calculation and require the school district to19notify affected charter school entities.20(3) [For special education students, the charter school21shall receive for each student enrolled the same funding as for22each non-special education student as provided in clause (2),23plus an additional amount determined by dividing the district of24residence's total special education expenditure by the product25of multiplying the combined percentage of section 2509.5(k)26times the district of residence's total average daily membership27for the prior school year. This amount shall be paid by the28district of residence of each student.] For special education 29students, the charter school entity shall receive for each 30student enrolled the same funding as for each non-special 20130HB0618PN2371
1education student as provided under clause (2), plus an 2additional amount determined by dividing the total special 3education expenditure of the school district of residence by the 4product of:5(i) the combined percentage of section 2509.5(k) applicable6to the school year; and7(ii) the total average daily membership of the school8district of residence for the prior school year.9(3.1) The following apply:10(i) The amount under clauses (2) and (3) shall be paid by11the school district of residence of each student by deduction12and transfer from all State payments due to the school district13of residence as provided under clause (5).14(ii) If a charter school entity disputes the accuracy of a15school district's calculation under clauses (2) and (3), the16charter school entity shall file a notice of the dispute with17the secretary, who shall hold a hearing to determine the18accuracy of the school district's calculation within thirty (30)19days of the notice.20(iii) The secretary shall determine the accuracy of the21school district's calculation and make any necessary billing22adjustment within thirty (30) days of the hearing.23(iv) The school district shall bear the burden of production24and proof with respect to its calculation under this clause.25(v) The school district shall be liable for the reasonable26legal fees incurred by a charter school entity if the charter27school entity is the substantially prevailing party after a28hearing under this section. The charter school entity shall be29liable for the reasonable legal fees incurred by the school30district if the school district is the substantially prevailing 20130HB0618PN2371
1party after a hearing under this section.2(vi) All decisions of the secretary under this clause shall3be subject to appellate review by Commonwealth Court.4(4) [A charter school may request the intermediate unit in5which the charter school is located to provide services to6assist the charter school to address the specific needs of7exceptional students. The intermediate unit shall assist the8charter school and bill the charter school for the services. The9intermediate unit may not charge the charter school more for any10service than it charges the constituent districts of the11intermediate unit.] A charter school entity may request the 12intermediate unit or school district in which the charter school 13entity is located to provide services to assist the charter 14school entity to address the specific needs of non-special 15education and special education students. The intermediate unit 16or school district shall assist the charter school entity and 17bill the charter school entity for the services. The 18intermediate unit may not charge the charter school entity more 19for any service than it charges the constituent districts of the 20intermediate unit. Nothing under this clause shall preclude an 21intermediate unit or school district from contracting with a 22charter school entity to provide the intermediate unit or school 23district with services to assist the intermediate unit or school 24district to address specific needs of non-special education and 25special education students.26(5) [Payments shall be made to the charter school in twelve27(12) equal monthly payments, by the fifth day of each month,28within the operating school year. A student enrolled in a29charter school shall be included in the average daily membership30of the student's district of residence for the purpose of 20130HB0618PN2371
1providing basic education funding payments and special education2funding pursuant to Article XXV. If a school district fails to3make a payment to a charter school as prescribed in this clause,4the secretary shall deduct the estimated amount, as documented5by the charter school, from any and all State payments made to6the district after receipt of documentation from the charter7school.] Beginning in the 2013-2014 school year, the following 8apply:9(i) Payments shall be made to the charter school entity in10twelve (12) equal monthly payments, according to the established11monthly unipay schedule within the operating school year or any12subsequent school year.13(ii) Except as provided for in subclause (v), payments shall14be made directly by the secretary deducting and paying to the15charter school entity the estimated amount, as documented by the16charter school entity, from:17(A) all State payments due to the school district of18residence; or19(B) if no payments are due to the school district of20residence, from all State payments reasonably expected to be due21in the next established monthly unipay schedule, after receipt22of documentation from the charter school entity as to its23enrollment.24(iii) At least thirty (30) days prior to the scheduled25payment date each month, a charter school entity shall provide26to the department and to the school district of residence of27each student enrolled in the charter school entity documentation28of the charter school entity's enrollment, on a form to be29developed by the secretary within sixty (60) days of the30effective date of this section. The form, which shall be 20130HB0618PN2371
1developed in consultation with representatives of charter school2entities and school districts, shall require the charter school3entity to provide to the department and to the school district4of residence of each student enrolled in the charter school5entity, documentation of each student's current enrollment in6the charter school entity and current residence in the school7district, including the following information:8(A) Student's name.9(B) Student's home address.10(C) Name and telephone number of student's parent or11guardian.12(D) Student's date of birth.13(E) Student's grade level.14(F) Type of school in which student was previously enrolled.15(G) Student's date of enrollment.16(H) Whether each student is being educated under an17individualized education plan under the Individuals with18Disabilities Education Act (Public Law 91-230, 20 U.S.C. § 140019et seq.).20(I) The tuition amount due on account of each student.21(J) The total amount due from the school district for that22month.23(K) Copies of the actual documents used by the charter24school entity to verify each student's residence in the school25district.26The secretary shall not make payments under this section until27the charter school entity provides the department and the school28district or residence with a completed form and accompanying29documentation as required under this clause. A charter school30entity may make only one (1) payment request per month under 20130HB0618PN2371
1this clause. After a charter school entity makes a payment2request under this clause, any necessary corrections or3adjustments may be made in the next subsequent monthly payment4request.5(iv) The secretary's obligation to make payments under this6section is mandatory and ministerial, except that payments made7pursuant to this section shall not be given priority over8payments required pursuant to sections 633 and 785 and 539Pa.C.S. § 8125(b) (relating to security for tax anticipation10notes and sinking fund), or an agreement pursuant to which the11Commonwealth is required to make payment to a holder of debt12issued by or on behalf of a school entity. If payments required13under sections 633 and 785 and 53 Pa.C.S. § 8125(b) preclude the14timely payment of funds to a charter school entity under section151725-A or will cause the board of school directors of a school16district to fail to pay or provide for payment under this17subsection, nothing shall preclude the secretary from18withholding funds from any and all State payments made to the19school district for the operating school year or for any20subsequent operating school year.21(v) If there are insufficient State payments due to a school22district in the established monthly unipay schedule to cover all23charter school entity deductions and transfers, the school24district shall be responsible for paying the unpaid balance25directly to the charter school entity not more than ten (10)26days following the established monthly unipay schedule.27(vi) A student enrolled in a charter school entity shall be28included in the average daily membership of the student's school29district of residence for the purpose of providing basic30education funding payments and special education funding under 20130HB0618PN2371
1Article XXV.2(6) [Within thirty (30) days after the secretary makes the3deduction described in clause (5), a school district may notify4the secretary that the deduction made from State payments to the5district under this subsection is inaccurate. The secretary6shall provide the school district with an opportunity to be7heard concerning whether the charter school documented that its8students were enrolled in the charter school, the period of time9during which each student was enrolled, the school district of10residence of each student and whether the amounts deducted from11the school district were accurate.] The following apply:12(i) Within thirty (30) days after the payment is made to the13charter school entity as described under clause (5), a school14district may notify the secretary that the estimated amount, as15documented by the charter school entity, is inaccurate.16(ii) Within thirty (30) days of the notice by the school17district under subclause (i), the secretary shall provide the18school district with a hearing concerning whether the charter19school entity documented that students were enrolled in the20charter school entity, the period of time during which each21student was enrolled in the charter school entity, the school22district of residence of each student enrolled in the charter23school entity and whether the amounts deducted from or paid by24the school district were accurate.25(iii) The burden of proof and production at the hearing26shall be on the school district. A hearing shall not be held27before the secretary deducts and transfers to the charter school28entity the amount estimated by the charter school entity.29(iv) The secretary shall determine the accuracy of the30amount documented by the charter school entity and make any 20130HB0618PN2371
1necessary payment adjustment within thirty (30) days of the2hearing.3(v) The school district shall be liable for the reasonable4legal fees incurred by a charter school entity if the charter5school entity is the substantially prevailing party after a6hearing under this section. The charter school entity shall be7liable for the reasonable legal fees incurred by the school8district if the school district is the substantially prevailing9party after a hearing under this section.10(vi) All decisions of the secretary under this section shall11be subject to appellate review by Commonwealth Court.12(vii) Supersedeas shall not be granted to the secretary or13any party to the proceeding on an appeal from the decision of14the secretary under this section; and, absent a court order, the15secretary shall not hold any payments in escrow.16[(b) The Commonwealth shall provide temporary financial17assistance to a school district due to the enrollment of18students in a charter school who attended a nonpublic school in19the prior school year in order to offset the additional costs20directly related to the enrollment of those students in a public21charter school. The Commonwealth shall pay the school district22of residence of a student enrolled in a nonpublic school in the23prior school year who is attending a charter school an amount24equal to the school district of residence's basic education25subsidy for the current school year divided by the district's26average daily membership for the prior school year. This payment27shall occur only for the first year of the attendance of the28student in a charter school, starting with school year 1997-291998. Total payments of temporary financial assistance to school30districts on behalf of a student enrolling in a charter school 20130HB0618PN2371
1who attended a nonpublic school in the prior school year shall2be limited to funds appropriated for this program in a fiscal3year. If the total of the amount needed for all students4enrolled in a nonpublic school in the prior school year who5enroll in a charter school exceeds the appropriation for the6temporary financial assistance program, the amount paid to a7school district for each qualifying student shall be pro rata8reduced. Receipt of funds under this subsection shall not9preclude a school district from applying for a grant under10subsection (c).11(c) The Commonwealth shall create a grant program to provide12temporary transitional funding to a school district due to the13budgetary impact relating to any student's first-year attendance14at a charter school. The department shall develop criteria which15shall include, but not be limited to, the overall fiscal impact16on the budget of the school district resulting from students of17a school district attending a charter school. The criteria shall18be published in the Pennsylvania Bulletin. This subsection shall19not apply to a public school converted to a charter school under20section 1717-A(b). Grants shall be limited to funds appropriated21for this purpose.]22(d) It shall be lawful for any charter school entity to23receive, hold, manage and use, absolutely or in trust, any24devise, bequest, grant, endowment, gift or donation of any25property, real or personal and/or mixed, which shall be made to26the charter school entity for any of the purposes of this27article.28(e) It shall be unlawful for any trustee of a charter school29entity or any board of trustees of a charter school entity or30any other person affiliated in any way with a charter school 20130HB0618PN2371
1entity to demand or request, directly or indirectly, any gift,2donation or contribution of any kind from any parent, teacher,3employe or any other person affiliated with the charter school4entity as a condition for employment or enrollment and/or5continued attendance of any pupil. Any donation, gift or6contribution received by a charter school entity shall be given7freely and voluntarily.8(f) A charter school entity may not provide discounts to a9school district or waive payments under this section for any10student.11Section 14. <-Section 1728-A Sections 1728-A and 1729-A(a), 12(b) and (c) of the act, added June 19, 1997<-, (P.L.225, No.22), <-13is are amended to read:14Section 1728-A. Annual Reports and Assessments.--(a) (1) 15The local board of school directors shall annually assess16whether each charter school or regional charter school is17meeting the goals of its charter and shall conduct a18comprehensive review prior to [granting a five (5) year renewal19of the charter] renewing the charter pursuant to section 1720-20A(a)(2). The local board of school directors shall have ongoing21access to the records and facilities of the charter school or 22regional charter school to ensure that the charter school or 23regional charter school is in compliance with its charter and24this act and that requirements for testing, civil rights and25student health and safety are being met.26(2) Ongoing access to a charter school's or regional charter27school's records shall mean that the local board of school28directors shall have access to records such as financial29reports, financial audits, aggregate standardized test scores30without student-identifying information and teacher 20130HB0618PN2371
1certification and personnel records.2(3) Charter schools and regional charter schools shall3comply fully with the requirements of the Family Educational4Rights and Privacy Act of 1974 (Public Law 90-247, 20 U.S.C. §51232g) and associated regulations. No personally identifiable6information from education records shall be provided by the7charter school or regional charter school to the school district8except in compliance with the Family Educational Rights and9Privacy Act of 1974.10(b) In order to facilitate the local board's review and11secretary's report, each charter school or regional charter 12school shall submit an annual report no later than August 1 of13each year to the local board of school directors and the14secretary in the form prescribed by the secretary.15[(c) Five (5) years following the effective date of this16article, the secretary shall contract with an independent17professional consultant with expertise in public and private18education. The consultant shall receive input from members of19the educational community and the public on the charter school20program. The consultant shall submit a report to the secretary,21the Governor and the General Assembly and an evaluation of the22charter school program, which shall include a recommendation on23the advisability of the continuation, modification, expansion or24termination of the program and any recommendations for changes25in the structure of the program.]26(d) A charter school entity shall form an independent audit27committee of its board of trustees members which shall review at28the close of each fiscal year a complete certified audit of the29operations of the charter school entity. The audit shall be30conducted by a qualified independent certified public 20130HB0618PN2371
1accountant. The audit shall be conducted under generally2accepted audit standards of the Governmental Accounting3Standards Board and shall include the following:4(1) An enrollment test to verify the accuracy of student5enrollment and reporting to the State.6(2) Full review of expense reimbursements for board of7trustees members and administrators, including sampling of all8reimbursements.9(3) Review of internal controls, including review of10receipts and disbursements.11(4) Review of annual Federal and State tax filings,12including the Internal Revenue Service Form 990, Return of13Organization Exempt from Income Tax and all related schedules14and appendices for the charter school entity and charter school15foundation, if applicable.16(5) Review of the financial statements of any charter school17foundation.18(6) Review of the selection and acceptance process of all19contracts publicly bid pursuant to section 751.20(7) Review of all board policies and procedures with regard21to internal controls, code of ethics, conflicts of interest,22whistle-blower protections, complaints from parents or the23public, compliance with 65 Pa.C.S. Ch. 7 (relating to open24meetings), finances, budgeting, audits, public bidding and25bonding.26(e) The certified audit under subsection (d) and the annual27budget under subsection (g) are public documents and shall be28made available on the charter school entity's publicly29accessible Internet website, if available, and, in the case of a30charter school or regional charter school, on the school 20130HB0618PN2371
1district's publicly accessible Internet website.2(f) A charter school entity may be subject to an annual3audit by the Auditor General, in addition to any other audits4required by Federal law or this article.5(g) A charter school entity shall annually provide the6department and, in the case of a charter school or regional7charter school, shall annually provide the school district, with8a copy of the annual budget for the operation of the charter9school entity that identifies the following:10(1) The source of funding for all expenditures.11(2) Where funding is provided by a charter school12foundation, the amount of funds and a description of the use of13the funds.14(3) The salaries of all administrators of the charter school15entity.16(4) All expenditures to an educational management service17provider.18(h) (1) Notwithstanding any other provision of law, a19charter school entity and any affiliated charter school20foundation shall make copies of its annual Federal and State tax21filings available upon request and on the charter school22entity's or foundation's publicly accessible Internet website,23if available, including Internal Revenue Service Form 990,24Return of Organization Exempt from Income Tax and all related25schedules and appendices.26(2) The charter school foundation shall also make copies of27its annual budget available upon request and on the foundation's28or the charter school entity's publicly accessible Internet29website within thirty (30) days of the close of the foundation's30fiscal year.	20130HB0618PN2371
1(3) The annual budget shall include the salaries of all2employes of the charter school foundation.<-3Section 15. Section 1729-A(a), (b) and (c) of the act, added4June 19, 1997 (P.L.225, No.22), are amended to read:5Section 1729-A. Causes for Nonrenewal or Termination.--(a)6During the term of the charter or at the end of the term of the7charter, the local board of school directors may choose to8revoke or not to renew the charter based on any of the9following:10(1) One or more material violations of any of the11conditions, standards or procedures contained in the written12charter signed pursuant to section 1720-A.13(2) Failure to meet the requirements for student performance14[set forth in 22 Pa. Code Ch. 5 (relating to curriculum) or15subsequent regulations promulgated to replace 22 Pa. Code Ch. 5] 16on assessments or failure to meet any performance standard set17forth in the written charter signed pursuant to section [1716-A]181720-A.19(3) Failure to meet generally accepted standards of fiscal20management or audit requirements.21(4) Violation of provisions of this article.22(5) Violation of any provision of law from which the charter23school entity has not been exempted, including Federal laws and24regulations governing children with disabilities.25[(6) The charter school has been convicted of fraud.]26* * *27(b) [A member of the board of trustees who is convicted of a28felony or any crime involving moral turpitude shall be29immediately disqualified from serving on the board of trustees.]30If, after a hearing under this section, a local board of school 20130HB0618PN2371
1directors or, in the case of a cyber charter school, the 2department, proves by a preponderance of the evidence that an 3administrator or board member of a charter school entity has 4violated this article, the terms and conditions of the charter 5or any other law, the local board of school directors or, in the 6case of a cyber charter school, the department may require the 7charter school entity to replace an administrator or board of 8trustees member in order to obtain renewal of the charter. The 9local board of school directors or, in the case of a cyber 10charter school, the department may refer its findings to the 11district attorney with jurisdiction or to the Office of Attorney 12General for prosecution if the local board of school directors 13or, in the case of a cyber charter school, the department 14discovers or receives information about possible violations of 15law by any person affiliated with or employed by a charter 16school entity.17(c) Any notice of revocation or nonrenewal of a charter18given by the local board of school directors of a school19district shall state the grounds for such action with reasonable20specificity and give reasonable notice to the [governing] board21of trustees of the charter school or regional charter school of22the date on which a public hearing concerning the revocation or23nonrenewal will be held. The local board of school directors24shall conduct such hearing, present evidence in support of the25grounds for revocation or nonrenewal stated in its notice and26give the charter school or regional charter school reasonable27opportunity to offer testimony before taking final action.28Formal action revoking or not renewing a charter shall be taken29by the local board of school directors at a public meeting held30pursuant to [the act of July 3, 1986 (P.L.388, No.84), known as 20130HB0618PN2371
1the "Sunshine Act,"] 65 Pa.C.S. Ch. 7 (relating to open 2meetings) after the public has had thirty (30) days to provide3comments to the board. All proceedings of the local board4pursuant to this subsection shall be subject to 2 Pa.C.S. Ch. 55Subch. B (relating to practice and procedure of local agencies).6Except as provided in subsection (d), the decision of the local7board shall not be subject to 2 Pa.C.S. Ch. 7 Subch. B (relating8to judicial review of local agency action).9* * *10Section <-16 15. The act is amended by adding sections to11read:12Section 1729.1-A. Evaluation of Educators.--(a) All13applications by a charter school entity for a charter or for the14renewal of a charter shall include a system of evaluation for15educators that <-includes has been preapproved by the department 16as being rigorous and as including both of the following:17(1) At least four (4) rating categories of educator18performance.19(2) Multiple measures of student performance which shall20include, but may not be limited to, value-added assessment21system data made available by the department under section 22122and student performance on the most recent assessments for which23results have been released by the department and may include24goals specific to the mission of the charter school entity's25charter.26(b) Nothing in this section shall preempt the powers of a27board of trustees under section 1716-A(a) nor affect the intent28of the General Assembly provided in section 1702-A(3) and (4).<-29(c) For purposes of this section, the term "educator" shall30include all professional employes who are certified as teachers 20130HB0618PN2371
1and noncertified staff members who teach in a charter school2entity.3Section 1729.2-A. Multiple Charter School Organizations.--4(a) Establishment shall be as follows:5(1) Subject to the requirements of this section and 156Pa.C.S. Pt. II Subpt. C (relating to nonprofit corporations),7two (2) or more charter schools may consolidate into a multiple8charter school organization if both of the following apply:9(i) The department approves the consolidation as proposed in10the application form submitted to the department pursuant to11subsection (c).12(ii) Each school district that granted the initial charter13of any charter school included in the proposed consolidation14approves, by a majority vote of the local board of school15directors, a resolution approving the consolidation as proposed16in the application submitted to the local board of school17directors pursuant to subsection (c). If a local board of school18directors does not adopt a resolution under this clause19approving or rejecting the proposed consolidation within forty-20five (45) days after receipt of the application, the school21district will be deemed to have approved the consolidation.22(2) The multiple charter school organization shall be:23(i) granted legal authority to operate two (2) or more24individual charter schools under the oversight of a single board25of trustees and a chief administrator who shall oversee and26manage the operation of the individual charter schools under its27organization; and28(ii) subject to all of the requirements of this article29unless otherwise provided for under this section.30(3) Nothing under this section shall be construed to affect 20130HB0618PN2371
1or change the terms or conditions of any individual charter2previously granted that is consolidated under this section.3(b) (1) A charter school that, within either of the most4recent two (2) school years, has failed to meet the requirements5for student performance set forth in 22 Pa. Code Ch. 4 (relating6to academic standards and assessment), accepted standards of7fiscal management or audit requirements or performance standards8set forth by the matrix established under section 1731.2-A shall9not be eligible to consolidate with another charter school10unless the consolidation includes a charter school demonstrating11that it has satisfied such requirements for the most recent two12(2) school years.13(2) This section shall not apply until the effective date of14the regulations implementing the performance matrix required15under section 1731.2-A.16(c) The department shall develop and issue a standard17application form that multiple charter school organization18applicants must submit to the department and to the local board19of school directors of each school district that granted the20initial charter of any charter school included in the proposed21consolidation. The application form shall contain the following22information:23(1) The name of the multiple charter school organization.24(2) The names of the charter schools seeking consolidation25under this section.26(3) A copy of the approved charter of each charter school27seeking to consolidate under this section.28(4) An organizational chart clearly presenting the proposed29governance structure of the multiple charter school30organization, including lines of authority and reporting between 20130HB0618PN2371
1the board of trustees, chief administrator, administrators,2staff and any educational management service provider that will3play a role in providing management services to the charter4schools under its jurisdiction.5(5) A clear description of the roles and responsibilities6for the board of trustees, chief administrator, administrators7and any other entities, including a charter school foundation,8shown in the organizational chart.9(6) A clear description of the method for the appointment or10election of members of the board of trustees.11(7) Standards for board of trustees performance, including12compliance with all applicable laws, regulations and terms of13the charter.14(8) Enrollment procedures for each individual charter school15included in its charter.16(9) Any other information as deemed necessary by the17department.18(d) A multiple charter school organization may:19(1) Participate in the assessment system in the same manner20in which a school district participates, with its individual21charter schools participating in the assessment system in the22same manner as individual schools within school districts. All23data gathered for purposes of evaluation shall be gathered in24the same manner in which data is gathered in the case of school25districts and individual schools within school districts.26Nothing in this paragraph shall alter the manner in which27charter school performance on assessments is measured as28required under the No Child Left Behind Act of 2001 (Public Law29107-110, 115 Stat. 1425), or its successor Federal statute.30(2) Add existing charter schools to its organization by 20130HB0618PN2371
1obtaining the approval of the department and of the school2district that granted the initial charter of each charter school3proposed to be added under subsection (a)(1).4(3) Allow students enrolled in an individual charter school5to matriculate to another individual charter school under its6oversight so as to complete a course of instruction in an7educational institution from kindergarten through grade twelve8or otherwise in the best interests of the student.9(e) A multiple charter school organization shall be regarded10as the holder of the charter of each individual charter school11under its oversight and each previously or subsequently awarded12charter shall be subject to nonrenewal or revocation by the13local board of school directors that granted the initial charter14in accordance with this act. The nonrenewal or revocation of the15charter of an individual charter school under the oversight of a16multiple charter school organization shall not affect the status17of a charter awarded for any other individual charter school18under the oversight of the multiple charter school organization.19(f) For purposes of this section, the term "charter school"20shall include a regional charter school.21Section 1731.1-A. Fund Balance Limits.--Fund balance limits22shall be as follows:23(1) For the 2013-2014 school year and each school year24thereafter, a charter school entity shall not accumulate an25unassigned fund balance greater than the charter school entity26unassigned fund balance limit, which will be determined as27follows:28 29Charter School Entity30Total Budgeted ExpendituresMaximum Unassigned Fund Balance as Percentage of Total Budgeted Expenditures
20130HB0618PN2371
1Less than or equal to $11,999,999 12%2Between $12,000,000 and $12,999,99911.5%3Between $13,000,000 and $13,999,999 11%4Between $14,000,000 and $14,999,99910.5%5Between $15,000,000 and $15,999,999 10%6Between $16,000,000 and $16,999,999 9.5%7Between $17,000,000 and $17,999,999 9%8Between $18,000,000 and $18,999,999 8.5%9Greater Than or Equal to $19,000,000 8%10(2) Any unassigned fund balance in place on June 30, 2013,11that exceeds the charter school entity unassigned fund balance12limit shall be refunded on a pro rata basis within ninety (90)13days to all school districts that paid tuition to the charter14school entity on behalf of students enrolled in the 2011-201215and 2012-2013 school years. The funds in excess of the16unassigned fund balance limit may not be used to pay bonuses to17any administrator, board of trustees member, employe, staff18member or contractor and may not be transferred to a charter19school foundation. If a charter school entity uses funds in20excess of the unassigned fund balance limit to pay bonuses to21any administrator, board of trustees member, employee, staff22member or contractor or transfers such funds to a charter school23foundation, the charter school entity shall pay the department a24penalty equal to one percent (1%) of its unassigned fund25balance.26(3) For the 2013-2014 school year and each school year27thereafter, any unassigned fund balance in place on June 30,282014, and on June 30 of each year thereafter in excess of the29charter school entity unassigned fund balance limit shall be30refunded on a pro rata basis within forty-five (45) days to all 20130HB0618PN2371
1school districts that paid tuition to the charter school entity2in the prior school year.3(4) By September 30, 2013, and August 15 of each year4thereafter, each charter school entity shall provide the5department and all school districts that paid tuition to the6charter school entity in the prior school year with information7certifying compliance with this section. The information shall8be provided in a form and manner prescribed by the department9and shall include information on the charter school entity's10estimated ending unassigned fund balance expressed as a dollar11amount and as a percentage of the charter school entity's total12budgeted expenditures for that school year.13(5) As used in this section, "unassigned fund balance" shall14mean that portion of the fund balance of a charter school entity15or of a charter school foundation that provides funding or16resources or otherwise serves to support the charter school17entity, directly or through an affiliated entity, that is:18(i) available for expenditure or not legally or otherwise19segregated for a specific or tentative future use; and20(ii) held in the General Fund accounts of the charter school21entity or the charter school foundation.22Section 1731.2-A. Performance Matrix.--The following shall23apply:24(1) Within eighteen (18) months of the effective date of25this section, the State Board of Education shall develop a26standard performance matrix to evaluate charter school entity27performance and shall promulgate regulations pursuant to the act28of June 25, 1982 (P.L.633, No.181), known as the "Regulatory29Review Act," to implement this section.30(2) The performance matrix may assess performance by 20130HB0618PN2371
1utilizing objective criteria, including, but not limited to:2student performance on assessments; annual growth as measured by3the Pennsylvania Value-Added Assessment System; attendance;4attrition rates; graduation rates; other standardized test5scores; school safety; parent satisfaction; accreditation by a6nationally recognized accreditation agency, including the Middle7States Association of Colleges and Schools or another regional8institutional accrediting agency recognized by the United States9Department of Education or an equivalent federally recognized10body for charter school education; and other measures of school11quality, including measures for assessing teacher effectiveness.12(2.1) In developing the performance matrix, the State Board13of Education shall determine an academic quality benchmark the14satisfaction of which shall qualify a charter school entity for15a ten (10) year renewal term pursuant to section 1720-A(a)(2) or161745-A(f)(3). The academic quality benchmark shall be included17in the regulations required under clause (1).18(3) In developing the performance matrix, the State Board of19Education may contract for consulting services with an entity20that has experience in developing performance matrices if the21services are procured through a competitive bidding process.22(4) Neither the department nor any local board of school23directors or other school district governing authority may24develop a separate performance matrix for the evaluation of a25charter school entity.26(5) (i) A local board of school directors or other school27district governing authority shall utilize the standard28performance matrix as a primary factor in evaluating new and29renewal charter school and regional charter school applicants30and in annual monitoring and evaluation of charter schools and 20130HB0618PN2371
1regional charter schools.2(ii) The department shall utilize the standard performance3matrix as a primary factor in evaluating new and renewal cyber4charter school applicants, in evaluating consolidation5applications under section 1729.2-A and in annual monitoring and6evaluation of cyber charter schools.7(6) (i) In developing the performance matrix and8promulgating the regulations required under clause (1), the9State Board of Education shall convene and consult with a10Statewide advisory committee which shall consist of11representatives of the department and a minimum of seven (7)12representatives from charter schools, regional charter schools,13cyber charter schools, school district personnel and14institutions of higher education with experience in the15oversight of charter schools. Members of the committee shall be16selected to be representative of the urban, rural and suburban17areas of this Commonwealth.18(ii) The Statewide advisory committee required to be19convened under subparagraph (i) shall be convened not later than20thirty (30) days after the effective date of this section and21shall meet regularly to fulfill requirements of this paragraph.22(7) The department shall distribute the performance matrix23to all school districts and shall publish the matrix on the24department's publicly accessible Internet website.25Section <-17 16. Section 1732-A of the act, amended June 29,262002 (P.L.524, No.88), is amended to read:27Section 1732-A. Provisions Applicable to Charter Schools and 28Regional Charter Schools.--(a) Charter schools and regional 29charter schools shall be subject to the following:30(1) Sections 108, 110, 111, 321, 325, 326, 327, 431, 436, 20130HB0618PN2371
1443, 510, 518, 527, 708, 736, 737, 738, 739, 740, 741, 752, 753,2[755,] 771, 776, 777, 808, 809, 810, 1109, 1111, 1112(a),31205.1, 1205.2, 1205.3, 1205.4, 1205.5, 1301, 1302, 1303, 1310,41317, 1317.1, 1317.2, 1317.3, 1318, 1327, 1330, 1332, 1333,51303-A, 1513, 1517, 1518, 1521, 1523, 1531, 1547, 2014-A,6Article XIII-A and Article XIV.7(2) Act of July 19, 1957 (P.L.1017, No.451), known as the8"State Adverse Interest Act."9(3) Act of July 17, 1961 (P.L.776, No.341), known as the10"Pennsylvania Fair Educational Opportunities Act."11(4) Act of July 19, 1965 (P.L.215, No.116), entitled "An act12providing for the use of eye protective devices by persons13engaged in hazardous activities or exposed to known dangers in14schools, colleges and universities."15(5) Section 4 of the act of January 25, 1966 (1965 P.L.1546,16No.541), entitled "An act providing scholarships and providing17funds to secure Federal funds for qualified students of the18Commonwealth of Pennsylvania who need financial assistance to19attend postsecondary institutions of higher learning, making an20appropriation, and providing for the administration of this21act."22(6) Act of July 12, 1972 (P.L.765, No.181), entitled "An act23relating to drugs and alcohol and their abuse, providing for24projects and programs and grants to educational agencies, other25public or private agencies, institutions or organizations."26(7) Act of December 15, 1986 (P.L.1595, No.175), known as27the "Antihazing Law."28(8) 65 Pa.C.S. Ch. 7 (relating to open meetings).29(9) 65 Pa.C.S. Ch. 11 (relating to ethics standards and30financial disclosure).	20130HB0618PN2371
1(b) Charter schools and regional charter schools shall be2subject to the following provisions of 22 Pa. Code:3[Section 5.216 (relating to ESOL).4Section 5.4 (relating to general policies).]5(1) Chapter 4 (relating to academic standards and6assessments).7(2) Chapter 11 (relating to pupil attendance).8(3) Chapter 12 (relating to students).9(4) Section 32.3 (relating to assurances).10(5) Section 121.3 (relating to discrimination prohibited).11(6) Section 235.4 (relating to practices).12(7) Section 235.8 (relating to civil rights).13(8) Chapter 711 (relating to charter school services and14programs for children with disabilities).15(c) (1) The secretary may promulgate additional regulations16relating to charter schools and regional charter schools.17(2) The secretary shall have the authority and the18responsibility to ensure that charter schools and regional 19charter schools comply with Federal laws and regulations20governing children with disabilities. The secretary shall21promulgate regulations to implement this provision.22Section <-18 17. The act is amended by adding a section to23read:24Section 1733-A. Effect on Existing Charter School25Entities.--(a) Within one (1) year of the effective date of26this section, a charter school entity established under section271717-A, 1718-A or 1745-A prior to the effective date of this28section shall amend the current charter through the amendment29process under section 1720-A(c) or 1745-A(f)(5) as needed to30reflect the requirements of this article. Any renewal that takes 20130HB0618PN2371
1effect after June 30, 2013, shall be for the term specified2under section 1720-A(a)(2) or 1745-A(f)(3).3(b) A charter school entity approved after the effective4date of this section shall be in full compliance with this5article.6(c) Within sixty (60) days of the effective date of this7section, each charter school entity shall demonstrate, to the8satisfaction of the local board of school directors or, in the9case of a cyber charter school, to the satisfaction of the10department, that the charter school entity is in compliance with11sections 1332 and 1333, including the institution of truancy12proceedings when required under section 1333.13Section <-19 18. Sections 1741-A(c), 1742-A and 1745-A, 1745-A 14and 1749-A(a) and (c) of the act, added June 29, 2002 (P.L.524,15No.88), are amended to read:16Section 1741-A. Powers and duties of department.17* * *18(c) Documents.--Documents of the appeal board shall be19subject to the act of [June 21, 1957 (P.L.390, No.212), referred20to as the Right-to-Know Law.] act of February 14, 2008 (P.L.6, 21No.3), known as the "Right-to-Know Law."22Section 1742-A. Assessment and evaluation.23The department shall:24(1) Annually assess whether each cyber charter school is25meeting the goals of its charter and is in compliance with26the provisions of the charter and conduct a comprehensive27review prior to granting a [five-year] renewal of the charter28for the period specified in section 1745-A(f)(3).29(2) Annually review each cyber charter school's30performance on the Pennsylvania System of School Assessment 20130HB0618PN2371
1test, standardized tests and other performance indicators to2ensure compliance with 22 Pa. Code Ch. 4 (relating to3academic standards and assessment) or subsequent regulations4promulgated to replace 22 Pa. Code Ch. 4.5(3) Have ongoing access to all records, instructional6materials and student and staff records of each cyber charter7school and to every cyber charter school facility to ensure8the cyber charter school is in compliance with its charter9and this subdivision.10Section 1745-A. Establishment of cyber charter school.11(a) Establishment.--A cyber charter school may be12established by an individual; one or more teachers who will13teach at the proposed cyber charter school; parents or guardians14of students who will enroll in the cyber charter school; a15nonsectarian college, university or museum located in this16Commonwealth; a nonsectarian corporation not-for-profit as17defined in 15 Pa.C.S. § 5103 (relating to definitions); a18corporation, association or partnership; or any combination of19the foregoing. Section 1327.1 shall not apply to a cyber charter20school established under this subdivision.21(b) Sectarian entities.--No cyber charter school shall be22established or funded by and no charter shall be granted to a23sectarian school, institution or other entity.24(b.1) Local board of school directors or intermediate25unit.--26(1) A cyber charter school may be established by a local27board of school directors or an intermediate unit if the28procedures and requirements of this article are satisfied.29(2) Nothing in this article shall be construed to30preclude a school district or an intermediate unit from 20130HB0618PN2371
1offering instruction via the Internet or other electronic2means, except that the instruction shall not be recognized as3a cyber charter school under this article unless the school4district or intermediate unit establishes a cyber charter5school pursuant to subsections (a) and (b.1)(1).6(c) Attendance.--Attendance at a cyber charter school shall7satisfy requirements for compulsory attendance, subject to 8penalties for violation of compulsory attendance requirements 9under section 1333.10(d) Application.--An application to establish a cyber11charter school shall be submitted to the department by October 112of the school year preceding the school year in which the cyber13charter school proposes to commence operation.14(e) Grant or denial.--Within 120 days of receipt of an 15application, the department shall grant or deny the application. 16The department shall review the application and shall hold at 17least one public hearing under 65 Pa.C.S. Ch. 7 (relating to 18open meetings). At least 30 days prior to the hearing, the 19department shall publish in the Pennsylvania Bulletin and on the 20department's [World Wide Web site] publicly accessible Internet 21website notice of the hearing and the purpose of the 22application.23(f) Evaluation criteria.--24(1) A cyber charter school application submitted under25this subdivision shall be evaluated by the department based26on the following criteria:27(i) The demonstrated, sustainable support for the28cyber charter school plan by teachers, parents or29guardians and students.30(ii) The capability of the cyber charter school 20130HB0618PN2371
1applicant, in terms of support and planning, to provide2comprehensive learning experiences to students under the3charter.4(iii) The extent to which the programs outlined in5the application will enable students to meet the academic6standards under 22 Pa. Code Ch. 4 (relating to academic7standards and assessment) or subsequent regulations8promulgated to replace 22 Pa. Code Ch. 4.9(iv) The extent to which the application meets the10requirements of section 1747-A.11(v) The extent to which the cyber charter school may12serve as a model for other public schools.13(2) Written notice of the action of the department shall14be sent by certified mail to the applicant and published on15the department's [World Wide Web site] publicly accessible 16Internet website. If the application is denied, the reasons17for denial, including a description of deficiencies in the18application, shall be clearly stated in the notice.19(3) Upon approval of a cyber charter school application,20a written charter shall be developed which shall contain the21provisions of the charter application and be signed by the22secretary and each member of the board of trustees of the23cyber charter school. The charter, when duly signed, shall24act as legal authorization of the establishment of a cyber25charter school. The charter shall be legally binding on the26department, the cyber charter school and its board of27trustees. The charter [shall be for a period of no less than28three years nor more than five years and may be renewed for a29period of five years by the department.] term shall be as 30follows:	20130HB0618PN2371
1(i) An initial charter granted pursuant to this2section shall be for a period of five years.3(ii) Prior to the effective date of the regulations4implementing the performance matrix as required pursuant5to section 1731.2-A, a charter may be renewed for five6year periods upon reauthorization by the department.7(iii) Upon the effective date of the regulations8implementing the performance matrix as required pursuant9to section 1731.2-A, the following shall apply:10(A) For cyber charter schools that have11satisfied the academic quality benchmark established12by the State Board of Education pursuant to section131731.2-A, a charter may be renewed for ten year14periods upon reauthorization by the department.15(B) For cyber charter schools that have not16satisfied the academic quality benchmark established17by the State Board of Education pursuant to section181731.2-A, a charter may be renewed for five year19periods upon reauthorization by the department.20(4) The decision of the department to deny an21application may be appealed to the appeal board.22(5) (i) A cyber charter school may request amendments23to its approved written charter by filing with the24department a written document describing the requested25amendment.26(ii) Within 20 days of its receipt of the request27for an amendment, the department shall hold a public28hearing on the requested amendment under 65 Pa.C.S. Ch. 729(relating to open meetings).30(iii) Within 20 days after the hearing, the 20130HB0618PN2371
1department shall grant or deny the requested amendment.2Failure by the department to hold a public hearing and to3grant or deny the amendment within the time period4specified shall be deemed an approval.5(iv) An applicant for an amendment shall have the6right to appeal the denial of a requested amendment to7the appeal board provided for under section 1721-A.8(g) Denied application.--A cyber charter school applicant9may revise and resubmit a denied application to the department.10The department shall grant or deny the revised application11within 60 days after its receipt.12(h) Appeal.--If the department fails to hold the required13public hearing or to approve or disapprove the charter, the14applicant may file its application as an appeal to the appeal15board. The appeal board shall review the application and make a16decision to approve or disapprove the charter based on the17criteria in subsection (f).<-18Section 20. Section 1749-A(a) and (c) of the act, added June1929, 2002 (P.L.524, No.88), are amended to read:20Section 1749-A. Applicability of other provisions of this act21and of other acts and regulations.22(a) General requirements.--Cyber charter schools shall be23subject to the following:24(1) Sections 108, 110, 111, 321, 325, 326, 327, 431,25436, 443, 510, 518, 527, 708, 736, 737, 738, 739, 740, 741, 26752, 753, [755,] 771, 776, 777, 808, 809, 810, 1109, 1111,271112(a), 1205.1, 1205.2, 1205.3, 1205.5, 1301, 1302, 1303,281310, 1317, 1317.2, 1318, 1327, 1330, 1332, 1333, 1303-A,291513, 1517, 1518, 1521, 1523, 1525, 1531, 1547, 1602-B, 1613-30B, 1702-A, 1703-A, 1704-A, 1714-A, 1715-A, 1716-A, 1716.1-A, 20130HB0618PN2371
11719-A, 1721-A, 1722-A, [1723-A(a) and (b)] 1723-A(a), (b) 2and (d), 1724-A, 1725-A, 1727-A, 1728-A(d), (e), (f), (g) and 3(h), 1729-A, 1729.1-A, 1730-A, 1731-A(a)(1) and (b), 1731.1-4A, 1731.2-A, 1733-A and 2014-A and Articles [XII-A,] XIII-A5and XIV.6(1.1) Act of July 19, 1957 (P.L.1017, No.451), known as7the State Adverse Interest Act.8(2) The act of July 17, 1961 (P.L.776, No.341), known as9the Pennsylvania Fair Educational Opportunities Act.10(3) The act of July 19, 1965 (P.L.215, No.116), entitled11"An act providing for the use of eye protective devices by12persons engaged in hazardous activities or exposed to known13dangers in schools, colleges and universities."14(4) Section 4 of the act of January 25, 1966 (196515P.L.1546, No.541), entitled "An act providing scholarships16and providing funds to secure Federal funds for qualified17students of the Commonwealth of Pennsylvania who need18financial assistance to attend postsecondary institutions of19higher learning, making an appropriation, and providing for20the administration of this act."21(5) The act of July 12, 1972 (P.L.765, No.181) entitled22"An act relating to drugs and alcohol and their abuse,23providing for projects and programs and grants to educational24agencies, other public or private agencies, institutions or25organizations."26(6) The act of December 15, 1986 (P.L.1595, No.175),27known as the Antihazing Law.28(7) 65 Pa.C.S. Ch. 7 (relating to open meetings).29(8) 65 Pa.C.S. Ch. 11 (relating to ethics standards and30financial disclosure).	20130HB0618PN2371
1* * *2(c) Existing charter schools.--3(1) The charter of a charter school approved under4section 1717-A or 1718-A which provides instruction through5the Internet or other electronic means shall remain in effect6for the duration of the charter and shall be subject to the7provisions of Subdivision (b).8(2) In addition to subsections (a) and (b), the9following provisions of this subdivision shall apply to a10charter school approved under section 1717-A or 1718-A which11provides instruction through the Internet or other electronic12means:13(i) Section 1743-A(c), (d), (e), (f), (g), (h) and14(i).15(ii) Section 1744-A.16(iii) Section 1748-A.17Section <-21 19. The addition of section 1725(a)(2)(ii) <-181725-A(a)(2)(ii) shall expire at the end of the 2014-2015 school19year.20Section <-22 20. This act shall take effect as follows:21(1) The amendment or addition of the following22provisions of the act shall take effect immediately:23(i) Section 1704-A.24(ii) Section 1725-A(a)(1), (2), (2.1), (3) and (4),25(b), (c), (d), (e) and (f).26(iii) Sections 1731.1-A.27(iv) Section 1731.2-A.28(v) Section 1732-A.29(vi) Section 1749-A.30(2) The amendment of section 1725-A(a)(5) and (6) of the 20130HB0618PN2371
1act shall take effect in 90 days.2(3) This section shall take effect immediately.3(4) The remainder of this act shall take effect in 604days.	20130HB0618PN2371