An Act To Amend the Maine Online Learning Program
Maine Legislature, Session 126, LD 1533
Committee: Education and Cultural Affairs
Sponsors: ALFOND
Amends: 20-A MRSA §19153, 20-A MRSA §19155, 20-A MRSA §19157

Legislative Document 
No. 1533 
S.P. 580 
In Senate, May 14, 2013 
An Act To Amend the Maine Online Learning Program 
Reference to the Committee on Education and Cultural Affairs suggested and ordered 
printed. 
DAREK M. GRANT 
Secretary of the Senate 
Presented by President ALFOND of Cumberland. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  20-A MRSA §19153, sub-§1, as enacted by PL 2009, c. 330, §4, is 
repealed and the following enacted in its place: 
1.  Approval of online learning providers.  The department shall approve an online 
learning provider on the basis of: 
A.  The online learning provider's demonstrated experience in the operation and 
management of online learning programs and courses, including the number of 
students served and proven academic success as measured by student performance 
and state assessment results, as appropriate; 
B.  The online learning provider's demonstrated experience in collaborating with 
schools to develop innovative practices related to online learning; and 
C.  The online learning provider's ability to satisfy the requirements under subsection 
2. 
The requirements and process for applying for approval may change annually.  An online 
learning provider must apply for approval annually. 
Sec. 2.  20-A MRSA §19153, sub-§2, ¶B, as enacted by PL 2009, c. 330, §4, is 
amended to read: 
B.  Each course offered for a unit of credit must correlate with applicable state-
adopted academic standards prior to being offered.  Courses may be of varying 
lengths and may be worth varying amounts of credit to assist in remedial course work 
and proficiency-based pathways to graduation.  All courses must include 
assessments. 
Sec. 3.  20-A MRSA §19153, sub-§2, ¶H is enacted to read: 
H.  The online learning provider must use surveys to gauge the satisfaction of its 
students with the online learning provider and the courses offered by that online 
learning provider.  These surveys must be approved by the department. 
Sec. 4.  20-A MRSA §19155, sub-§§3 to 5, as enacted by PL 2009, c. 330, §4, 
are amended to read: 
3.  Student performance.  Student performance for students enrolled in online 
learning programs or courses, including the academic achievement of students enrolled in 
each course offered through the program and rates of success for completion of courses 
and meeting standards; 
4.  Expenditures.  Expenditures of state and nonstate funds made for online learning 
programs and courses and cost comparisons between online learning programs or courses 
and programs delivered by means of traditional methods; and 
5.  Limitation.  The number of students who were unable to enroll in an online 
learning program or course because of space limitation.; and 
Sec. 5.  20-A MRSA §19155, sub-§6 is enacted to read: 
6.  Surveys.  The results of surveys administered pursuant to section 19153, 
subsection 2, paragraph H that are used to help gauge the quality of the online learning 
provider and the courses offered by that online learning provider. 
Sec. 6.  20-A MRSA §19157 is enacted to read: 
§19157.  Maine Online Learning Program Reimbursement Fund 
The Maine Online Learning Program Reimbursement Fund is established as a 
nonlapsing fund in the department.  The reimbursement fund is administered by the 
department to provide reimbursement to school administrative units as provided in this 
section. 
1.  Definitions.  As used in this section, unless the context otherwise indicates, the 
following terms have the following meanings. 
A.  "Cost of an online course" means the cost to a school administrative unit of the 
services provided by an online learning provider for an online learning program or 
course taken by a student of the school administrative unit. 
B.  "Full-year online course" means an online learning program or course that is the 
equivalent of a course of study that is provided for an entire academic year. 
C.  "Guaranteed reimbursement course" means an online learning program or course 
provided to a student for which a school administrative unit may receive guaranteed 
reimbursement from the reimbursement fund. 
D.  "Module unit" means 1/20th of a full-year online course. 
E.  "Reimbursement fund" means the Maine Online Learning Program 
Reimbursement Fund established in this section. 
2.  Eligibility.  A school administrative unit is eligible for reimbursement for the cost 
of an online course administered to a student if: 
A.  The online learning program or course is a secondary level course; 
B.  The student is enrolled in public school in the school administrative unit, not 
including a nonresident tuition student who resides, and whose parents reside, outside 
the State; 
C.  The entire educational program for the student does not consist solely of online 
learning programs and courses; and 
D.  The online learning provider: 
(1)  Has been approved by the department pursuant to section 19153; and 
(2)  Uses only teachers who are residents of this State and who have been 
certified by the department. 
The requirements of this paragraph may be waived by the department if the online 
learning program or course taken by the student is not offered by an approved online 
learning provider. 
3.  Reimbursement upon completion.  A school administrative unit may receive 
reimbursement for the cost of an online course from the reimbursement fund only after 
providing the department with satisfactory evidence, as determined by the department, of 
successful completion of the online learning program or course by the student of that 
school administrative unit. 
4.  Reimbursement rate; responsibility of school administrative unit.  The rate of 
reimbursement to a school administrative unit under this section is 90% of the cost of the 
online course for each student, up to a maximum reimbursement of $900 for a full-year 
online course or $45 per module unit for an online learning program or course that is 
shorter than a full-year online course.  The school administrative unit is responsible for: 
A.  Ten percent of the cost of an online course that is no more than $1,000 for a full-
year online course or, for a course shorter than a full-year online course, 10% of the 
cost of the module unit that is no more than $50 per module unit; 
B.  Any amount of the cost of an online course that exceeds $1,000 for a full-year 
online course or $50 per module unit for an online learning program or course that is 
shorter than a full-year online course; and 
C.  The cost of an online course that is not completed by the student, including any 
costs under an agreement between the school administrative unit and the online 
learning provider. 
5.  Allocation of guaranteed reimbursement courses.  Each school year, a school 
administrative unit may reserve funds in the reimbursement fund for which 
reimbursement is guaranteed. A school administrative unit may reserve funds for full-
year online courses or module units of online learning programs or courses.  The number 
of guaranteed reimbursement courses a school administrative unit may reserve funds for 
is based on the student population of each secondary school in that school administrative 
unit as follows: 
A.  A school administrative unit may reserve funds for up to 10 full-year online 
courses or 200 module units per school year for each secondary school in that school 
administrative unit with at least 875 students; 
B.  A school administrative unit may reserve funds for up to 7 full-year online 
courses or 140 module units per school year for each secondary school in that school 
administrative unit with at least 600 students but fewer than 875 students; 
C.  A school administrative unit may reserve funds for up to 5 full-year online 
courses or 100 module units per school year for each secondary school in that school 
administrative unit with at least 455 students but fewer than 600 students; and 
D.  A school administrative unit may reserve funds for up to 3 full-year online 
courses or 60 module units per school year for each secondary school in that school 
administrative unit with fewer than 455 students. 
6.  Timing and method of reservation of guaranteed reimbursement courses.  A 
school administrative unit may reserve funds in the reimbursement fund in accordance 
with this subsection. 
A.  A school administrative unit may reserve up to 50% of the guaranteed 
reimbursement courses as specified in subsection 5 during the first 4 months of the 
academic school year.  The balance of the funds for the cost of guaranteed 
reimbursement courses as specified in subsection 5 may be reserved during the 2nd 4 
months of the academic school year. 
B.  By September 1st annually of an academic year and by February 1st annually for 
that same academic year, each superintendent of a school administrative unit shall 
notify the department of the guaranteed reimbursement courses for which the school 
administrative unit is reserving funds.  For each guaranteed reimbursement course, 
the superintendent shall provide the name and state identification number of the 
student, the title of the online learning program or course or module unit and the 
length and cost of that program or course or module unit. 
7.  Additional course reservations.  A school administrative unit may request more 
guaranteed reimbursement course reservations beyond those specified in subsection 5 at 
any time. The department, using any available unused funds in the reimbursement fund, 
shall grant such reservation requests on a first-come first-served basis. 
8.  Release of reimbursement funds.  Once a school administrative unit has reserved 
reimbursement funds pursuant to subsection 6 or been granted additional course 
reservation funds pursuant to subsection 7, those funds remain reserved for that school 
administrative unit until: 
A.  The school administrative unit requests reimbursement and provides satisfactory 
evidence of successful student completion of the online learning program or course.  
Upon receipt of the request and accompanying evidence, the department shall provide 
the reimbursement funds related to that online learning program or course to the 
school administrative unit; 
B.  The school administrative unit reports to the department that the student has 
terminated work on the online learning program or course without successful 
completion; or 
C.  The funds are unclaimed by the school administrative unit more than 2 years after 
the school administrative unit reserved the funds pursuant to subsection 6 or was 
granted additional course reservation funds pursuant to subsection 7. 
9.  Unused guaranteed reimbursement course reservations.  Unused guaranteed 
reimbursement course reservations and the funds related to those unused reservations are 
controlled by this subsection. 
A.  If a school administrative unit does not reserve the total number of guaranteed 
reimbursement courses allowed pursuant to subsection 5 by the date specified in 
subsection 6, the guaranteed reimbursement courses not reserved by that school 
administrative unit are available for reservation by another school administrative unit 
on a first-come first-served basis. 
B.  Funds related to guaranteed reimbursement course reservations not used in an 
academic year carry over to the following academic year. 
C.  Funds reserved pursuant to subsection 6 or granted pursuant to subsection 7 that 
are not used for a reason specified in subsection 8, paragraph B or C may be reserved 
by a school administrative unit on a first-come first-served basis. 
10.  Rules.  The department shall adopt routine technical rules, as defined in Title 5, 
chapter 375, subchapter 2-A, to implement the provisions of this section. 
Sec. 7.  Transfer of funds.  Notwithstanding any provision of law to the contrary, 
the State Controller shall transfer the available balance remaining in the Maine Learning 
Technology Fund, Other Special Revenue Funds account to the Maine Online Learning 
Program Reimbursement Fund as established in the Maine Revised Statutes, Title 20-A, 
section 19157 no later than 10 days following the effective date of this Act. 
SUMMARY 
This bill amends the laws governing the Maine Online Learning Program by: 
1.  Including an online learning provider's demonstrated experience in collaborating 
with schools to develop innovative practices related to online learning as a basis for 
approval of the online learning provider by the Department of Education; 
2.  Requiring an online learning provider to reapply for approval annually; 
3.  Allowing courses offered by online learning providers to be of varying lengths and 
worth varying amounts of credit; 
4.  Requiring an online learning provider to use surveys approved by the department 
to gauge the satisfaction of its students with the online learning provider and the courses 
offered by that online learning provider and the department to provide the results of these 
surveys to the Legislature; and 
5.  Establishing the Maine Online Learning Program Reimbursement Fund to provide 
funds to a school administrative unit for the cost of courses provided by an online 
learning provider to students in that school administrative unit.  The bill establishes 
eligibility requirements, guaranteed reimbursement allocations, dollar amount limits and 
procedures for carrying over unused allocations.  The fund is funded by a transfer of the 
balance of funds remaining in the Maine Learning Technology Fund.