An Act To Permit Charter Schools in Maine
Maine Legislature, Session 122, LD 1640
Committee Amendment CA_A_S471 (Senate)

COMMITTEE AMENDMENT "A" to S.P. 606, L.D. 1640, Bill, 
Act To Permit Charter Schools in Maine" 
"An 
Amend the bill in section 4 in §24ll by striking out all of 
the first indented paragraph (page 1, lines 36 to 49 in L.D.) and 
inserting in its place the following: 
'Charter 
schools 
may 
be 
established 
as 
public 
schools 
pursuant to this chapter to provide varied learning environments 
and 
expand existing efforts 
to 
support 
student 
learning 
bv 
providing different, often small, learning settings. 
The charter 
school 
pilot 
program 
established 
pursuant 
to 
section 
2413, 
subsection 5 is authorized to provide incentives to teachers and 
community members to establish new kinds of public schools and t.o 
seek to improve student achievement through the use of different 
and innovative learning methods. 
Local 
school administrative 
units are encouraged to use the charter school pilot program to 
offer 
more 
options 
to 
students 
and 
parents, 
to 
develop 
complementary 
programs 
tailored 
to 
meet 
student 
needs,_-...tQ 
collaborate with other 
school 
administrative units 
to offer 
regional programs, to increase the likelihood that students will 
excel in a 
standards-based educational 
system 
and to 
expand 
learning 
opportunities 
for 
disengaged 
students 
who 
are 
underserved by the current system.' 
Further amend the bill in section 4 in §24l2 by striking out 
all of subsection 2 
(page 
2, 
lines 42 
to 
in L.D.) 
and 
inserting in its place the fOllowing: 
Page l-LR0136(2} 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT .. A .. to S.P. 606, L.D. 1640 
'2. 
Hew schools. 
An application for a new charter school 
may be proposed by a 
school administrative unit. by a public 
al ternative 
education 
program 
or 
school 
approved 
by 
the 
commissioner in accordance with section 2501 or section 7253 or 
by 
a 
nonprofit, 
nonsectarian 
organization. 
An 
existing 
nonprofit. nonsectarian school may apply to eligible chartering 
authorities under section 2413 to become a charter school.' 
Further amend the bill in section 4 by striking out all of 
§2413 and inserting in its place the following: 
'§2413. 
CbftTtering authnrities 
1. 
Eligible chartering authorities. 
The organizers may 
apply to and the school may be granted a charter by: 
A. 
A school board: or 
B. 
An officially recognized unit of the University of Maine 
System that is authorized to confer a baccalaureate degree 
in education. 
For 
purposes 
of this chapter. 
unless 
the 
context 
otherwise 
indicates, "chartering authority" means one of the entities in 
paragraphs A and B. 
If an eligible chartering authority rejects 
a charter application, the applicant may appeal that decision to 
the 
state board in accordance 
with major 
substantive 
rules 
adopted by the department pursuant to Title 5. 
chapter 375, 
subchapter 2-1.. 
If the state board determines that the rejection 
was arbitrary. capricious or without a 
reasonable basis. 
the 
state board may approve the charter application and serve as the 
chartering authority for that charter school. 
2. 
AI!prova~ by chartering authority. 
A school may not 
operftte as 
a 
charter school unless approved by a 
chartering 
authority. 
A charter must be approved for a renewable 5-year_ 
term, with a major review for compliance with the terms of the 
charter prior to each renewal. 
A charter may be approved for any 
portion of a school that provides instruction in any combination 
of grades from kindergarten to grade 12. including al ternati ve 
secondary programs for students requiring basic literacy trailJing 
up to 20 years of age. 
A school board may approve the conversion 
of an existing public school to a charter school only in its own 
jurisdiction. 
Only 
one 
school 
board 
may 
be 
the 
chartering 
authority for a charter school that is a regional collaboration 
between 2 or more school administrative units. 
3. 
establish 
Approval 
criteria 
criteria. 
A 
for 
approval 
chartering 
and 
a 
authority 
time 
frame 
shall 
for 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT ·A .. to S.P. 606, L.D. 1640 
considering applications to start a charter school. 
Criteria 
established by a chartering authority must include, but are not 
limited to. statement of purpose. size, scope, funding, goals and 
outcomes. 
governance 
and operational structure, 
accountability 
for finances, accountability for academic outcomes. the manner in 
which 
the 
charter 
school 
will 
complement 
existing 
public 
education programs in the region and an indication of public 
interest in the proposed school. 
A chartering authority may grant a charter only to an applicant 
whose proposal has 
as its primary purpose the expansion of 
learning 
opportunities 
for 
disengaged 
students 
who 
are 
underserved by the current system, including, without limitation, 
students who: 
• 
A. 
Have a history of high absenteeism: 
B. 
Are at least one year behind their expected grade levels 
or who are at serious risk of academic failure: or 
C. 
Have other special needs. 
4. 
Oversight. 
A chartering authority is responsible for: 
A. 
Establishing 
a 
process 
for 
receiving 
and 
reviewing 
applications for charter schools on an annual or semiannual 
basis. taking into account the deadlines reguired by the 
United States Department of Education for applications for 
the federal charter school grant program. 
A decision on a 
charter school application must be made within 90 days of 
receipt of the a£p1ication and conveyed in writing to the 
applicant. 
A decision may grant approval or conditional 
approval. reguest resubmission or reject the application and 
must include written reasons for the decisions: 
B. 
Monitoring the operations of each charter school to 
which 
the 
chartering 
authority has 
granted 
a 
charter, 
including 
requ1r1ng performance plans 
for 
the 
educa~ion 
programs, financial management, organizational structure and 
governance of the proposed charter school. 
The chartering 
authority is responsible for conducting an annual site visit 
and reguiring an annual report. periodic financial reports 
and periodic enrollment reports from the charter school, 
including a major review of the charter school prior to 
renewal of each 5-year contract granted under subsection 2; 
C. 
Ensuring 
that 
each 
charter 
school 
to 
which 
the 
chartering authority has granted a charter complies with 
applicable laws and the charter. including provisions of the 
system of learning results established in section 6209 and 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT .~ .. to S.P. 606, L.D. 1640 
the federal No Child Left Behind Act of 2001, 
United 
States Code, Chapter 70, and that the charter school follows 
generally accepted 
accounting principles 
as 
reguired 
by 
state law or as necessary for the school to be eligible to 
receive federal assistance: 
D. 
Ensuring 
that 
each 
charter 
school 
to 
which 
the 
chartering authority has granted a charter has in place a 
policy to comply with the rules adopted by the department 
and any federal regulations pertaining to the education of 
children with special 
needs. 
The 
manner 
in which 
the 
charter school delivers those services may be innovative and 
its services may be integrated into services provided for 
all children; 
~, 
E. 
Monitoring the progress of each charter school to which 
the chartering authority has granted a charter in meeting 
student academic expectations specified in the charter; and 
F. 
Placing 
a 
charter school 
on probation if there is 
evidence that the school is not performing according to its 
charter. 
A school must be given 30 days' notice before 
being placed on probation, 
and the chartering authority 
shall hold a public hearing within 30 days of placing a 
school on probation. 
The chartering authority may reguire a charter school to which 
the chartering authority has granted a charter to produce any 
book, 
record, 
paper 
or 
document 
the 
chartering 
authority 
determines necessary for carrying out its functions under this 
chapter. 
5. 
Pilot program; 
repeal. 
The 
charter 
school 
program 
begins with a 10-year pilot phase. 
A. 
During the pilot phase the following liITjits apply: 
(1) 
No more than 20 charter schools statewide may be 
approved during the pilot phase, of which no more t::.lan 
may be authorized by eligible units of the University 
of Maine System: and 
(2) 
A charter school may not enroll more .than 10% of a 
school administrative unit's public school students per 
grade 
level 
unless 
a 
school 
board 
acting 
as 
the 
chartering authority approves 
a 
different percentage 
for 
students 
residing in the 
school 
administrative 
unit. 
This provision does not apply to conversions of 
existing public schools and public school programs. 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT "A" to S.P. 606, L.D. 1640 
B. 
To enforce the limits set out in paragraph A. 
the 
commissioner shall register the charters granted by all 
chartering authorities in chronological order by date of 
approval. 
Each chartering authority shall forward to the 
commissioner a copy of its official approval letter for each 
charter 
school 
it 
authorizes 
within 
days 
of 
such 
approval. 
Once the cap of 20 charters is reached. 
the 
commissioner may not accept further registrations and no 
further charter schools may be chartered until June 30, 2016. 
This subsection is repealed June 30. 2016.' 
Further amend ,the 
all of subsection 4 
inserting in its place 
bill in section 4 in 
(page 
6, 
lines 46 
the following: 
§2415 by striking out 
to 
in L.D.) 
and 
'4. 
Homeschool; 
Internet. 
Charter 
schools 
may 
not 
be 
organized as home-based programs and may not be used as a method 
of providing education or generating revenue for students who are 
being home schooled. 
Charter schools may not offer programs that 
require or permit students to take more than 50% of their studies 
via the Internet.' 
Further amend the 
all of subsection 7 
inserting in its place 
bill in section 4 in 
(page 7, 
lines 14 
the following: 
§2415 by striking out 
to 
in L.D.) 
and 
'7. 
Tuition. 
A charter school may not charge tuition or 
fees to students who are residents of this State beyond those 
allowed in a regular public kindergarten to grade 12 program. 
except that a charter school offering a residential component may 
charge a fee for room and board and. if a fee is charged. shall 
offer assistance to families needing scholarships for room and 
board fees.' 
Further amend the bill in section 4 by striking out all of 
§2416 and inserting in its place the following: 
'§2416. 
Charter agreement 
1. 
Consideration and inclusion of major issues. 
Major 
issues involving the operation of 
a 
charter school must be 
considered and addressed in advance of the opening of the charter 
school and written into the charter agreement. which must be 
signed 
by 
the 
charter 
school's 
board 
of 
trustees 
and 
the 
chartering authority. 
Each charter agreement must indicate the 
responsibilities 
of 
the 
charter 
school 
for 
implementing 
the 
charter 
school's 
programs 
and 
the 
responsibilities 
of 
the 
chartering 
authority 
for 
monitoring 
the 
charter 
school's 
operations. 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT .. A .. to S.P. 606, L.D. 1640 
2. 
Written agreement on issues; contents of charter. 
The 
board of trustees of the charter school 
and the chartering 
authority shall establish a written agreement on the following 
issues and incorporate the agreement into the charter: 
A. 
The education program, including the charter school' s 
mission, the students to be served. the student ages and 
grade span to be included and the focus of the curriculum; 
B. 
The 
outcomes 
to 
be 
achieved 
and 
the 
method 
of 
measurement that will be used. including how the charter 
school will meet any state-required outcomes such as the 
system of learning results established in section 6209; 
C. 
Procedures for the admission and dismissal of students; 
D. 
The ways by which the charter school will try to achieve 
a racial and ethnic balance reflective of the community it 
serves; 
E. 
The manner in which the charter school will comply with 
state and federal requirements for the education of children 
with special needs. including the delivery of appropriate 
special 
education 
services 
and 
any 
innovative 
delivery 
systems; 
F. 
The manner in which financial audits will be conducted; 
G. 
The gualifications required of the teachers in addition 
to those reguired under section 2418; 
H. 
The management and administration of the charter school; 
I. 
The governance structure of the charter school; 
J. 
The learning methods to be used; 
K. 
A draft of a 2-year financial plan showing anticipated 
enrollment 
and 
anticipated 
revenues 
and 
expenses 
and 
a 
description of the system of internal financial controls; 
L. 
How the charter school will be insured; 
M. 
The facilities to be used and their locations; and 
N. 
The arrangements for covering teachers and other staff 
for health. retirement and other employee benefits .. 
COMM/rrEE AMENDMENT 
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COMMITTEE AMENDMENT ";4,, to S.P. 606, L.D. 1640 
Further amend the bill in section 4 in §2418 in subsection 2 
in the first line (page 10, line 48 in L.D.) by striking out the 
following: 
"At least 50Cj.o of the" and inserting in its place the 
following: 
'All full-time' 
Further amend the bill in section 4 in §2419 in subsection 1 
in the 3rd line (page 11, line 44 in L.D.) by striking out the 
following: 
"student." and inserting in its place the following: 
'student, except that the school administrative unit in which the 
student resides may retain up to 
2~ of the per-pupil allocation 
described in paragraphs A to D to cover associated administrative 
costs. 
This amount must be negotiated with the charter school 
prior to the student's attendance at the charter school.' 
Further amend the bill in section 4 in §2419 in subsection 3 
in the first line (page 12, line 32 in L.D.) by inserting after 
the 
headnote 
the 
following: 
'The 
funding 
and 
education 
decision-making process for special education students attending 
a 
charter 
school 
are 
the 
responsibility 
of 
the 
school 
administrative 
unit 
in 
which 
the 
student 
resides. 
Special 
education students attending a charter school and their parents 
retain the same educational opportunities as special education 
students 
and parents 
who 
receive 
special education 
services 
through the 
school administrative unit in which the student 
resides. ' 
Further amend the bill in section 4 in §2419 in subsection 4 
in the last line (page 12, line 46 in L.D.) by inserting after 
the fallowing: "units." the following: 
'A charter school with 
any students eligible for Title I funds may use these the funds 
during the first year of operation of the charter school. 
A 
charter school may charge tuition to an out-of-state student 
admitted to the school on a space-available basis.' 
Further amend the bill in section 4 in §2424 in the first 
paragraph in the next to the last line (page 14, line 8 in L.D.) 
by striking out the following: 
"following" and inserting in its 
place the following: 
'Qt' 
Further amend the bill in section 5 in the 4th and 5th lines 
(page 
14, 
lines 
and 
in 
L.D.) 
by 
striking out 
the 
following: 
"2005 to the Second Regular Session of the 122nd 
Legislature" and inserting in its place the following: 
'200t' to 
the First Regular Session of the 123rd Legislature' 
Further amend the bill by inserting after section 6 the 
following: 
, Sec. 
7. 
Appropriations 
and 
allocations. 
appropriations and allocations are made. 
The 
following 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT .. A .. to S.P. 606, L.D. 1640 
EDUCATION, DEPAR'I'MENT OF 
Charter School Program 
HEW 
Initiative: 
Provides a base allocation in fiscal year 2006-07 
for the public charter schools pilot program. 
FEDERAL EXPElIDITURES FUND 
All Other 
FEDERAL EXPENDITURES FUND TOTAL 
SUMMARY 
2005-06 
$0 
$0 
2006-07 
$500 
$500' 
This amendment is the minority report of the Joint Standing 
Committee on Education and Cultural Affairs. 
The amendment does 
the following. 
1. 
It clarifies that the central purposes of establishing 
charter 
schools 
are 
to 
expand 
learning 
opportunities 
for 
disengaged 
students 
who 
are 
underserved 
by 
the 
current 
educational system and to increase the likelihood that students 
will excel in a standards-based educational system. 
2. 
It provides that a chartering authority may grant a 
charter 
only 
to 
a 
charter 
school 
organizer 
whose 
proposal 
includes, 
as the primary purpose of the charter school, 
the 
intention to seek to expand learning opportunities for disengaged 
students who are underserved by the current educational system. 
3. 
It provides that only those units of the University of 
Maine System that are authorized to confer baccalaureate degrees 
in education, as well as school boards, are eligible to become 
chartering authorities, and it further provides that no more than 
charter schools may be authorized by an eligible unit of the 
University of Maine System. 
4. 
It expands the list of entities that are eligible to 
apply 
to 
be 
charter 
school 
organizers 
to 
include 
scr.'Jol 
administrative units, public alternative educational programs and 
schools that are approved by the Commissioner of Education in 
accordance with the Maine Revised Statutes, Title 20-10., section 
2501 or section 7253. 
5. 
It lowers the limit established in the bill for the 
percentage 
of 
a 
school 
administrative unit's 
public 
school 
students per grade level that a charter school may enroll from 
20°1> to 10%. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT 'A" to S.P. 606, L.D. 1640 
6. 
It requires that all of the full-time teachers at a 
charter school hold an appropriate teaching certificate and meet 
the highly qualified standards for teachers in accordance with 
the provisions of the federal No Child Left Behind Act of 2001. 
7. 
It provides that the school administrative unit in which 
the 
student 
resides 
may 
retain 
up 
to 
2% 
of 
the per-pupil 
allocation, 
which would otherwise 
follow the 
student to 
the 
charter school, to cover associated administrative costs. 
8. 
It provides that charter schools may not be established 
as home-based programs. 
9. 
It makes a technical correction to change the date of 
the Maine State Retirement System review of the laws governing 
participating local districts' retirement plans to November 28, 
2006. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 02121106 .;:'/;!?ae 
LD 1640 
LR 0136(02) 
An Act To Permit Charter Schools in Maine 
Fiscal Note for Bill as Amended by Committee Amendment "Il" 
Committee: Education and Cultural Affairs 
Fiscal Note Required: Yes 
Minority Report 
Fiscal Note 
Undetermined current biennium cost increase - General Fund 
Potential current biennium revenue increase - Federal Expenditures Fund 
2005-06 
2006-07 
Projections 
2007-08 
Appropriations! Allocations 
Federal Expenditures Fund 
$0 
$500 
$500 
Revenue 
Federal Expenditures Fund 
$0 
$500 
$500 
Fiscal Detail and Notes 
Projections 
2008-09 
$500 
$500 
This bill establishes a pilot program for charter schools as a new type of public school that will be part of the State's 
program of public education. The requirement that all except up to 2% of the state and local funding associated with 
operating, other subsidizable and special education costs follow each child to the charter school the child attends may 
result in a significant redistribution of the funds available from the General Purpose Aid for Local Schools program. 
The impact to individual school units can not be determined at this time. Additionally, this legislation may affect the 
local share of funding K -12 education. The impact can not be determined at this time and will depend on whether the 
per-pupil-cost to send a student to a charter school is higher or lower than sending the student to a non-charter school. 
The additional cost to the Department of Education and the State Board of Education associated with implementing 
this legislation can not be determined at this time. 
This bill allows for teachers in a non-charter school who are members of the Maine State Retirement System and take 
a leave of absence to teach in a charter school to continue to participate in the retirement system while on leave. 
Although this legislation is not clear who will be responsible for the cost, the employee and employer contribution rate 
for those teachers must continue to be paid. 
This bill includes a Federal Expenditures Fund allocation of $500 in fiscal year 2006-07 to establish a base allocation 
for any federal grants that may be received by the Department of Education for the Public Charter Schools Program. 
LR0136(2) - Fiscal Note - Page 1 of 2 
f 
State Educational Agencies (SEAs) are eligible to compete for grants if the State has a charter school law in place. 
The amount of grants that may be received by the State can not be determined at this time. However, according to 
information at the U.S. Department of Education's website, the average award for an SEA is $3,000,000 and ranges 
from approximately $500,000 to $8,000,000. The grants provide up to 3 years of assistance for planning and 
implementation and SEAs may reserve up to 5% of the grant funds for administrative expenses related to operating the 
charter school program. 
Additional costs to the Maine State Retirement System associated with conducting the required review of retirement 
plans for participating local districts can be absorbed within the System's operating budget. 
Additional costs to the Maine Labor Relations Board associated with this legislation can be absorbed within existing 
budgeted resources. 
LR0136(2) - Fiscal Note - Page 2 of 2