House File 740 - Introduced HOUSE FILE BY COMMITTEE ON EDUCATION (SUCCESSOR TO HSB 243) Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to the duties and responsibilities of school 2 districts, area education agencies, and the department of 3 education by expanding school district audit requirements, 4 requiring the department to submit an achievement gap report, 5 changing deadlines and adding reporting requirements related 6 to dropout and dropout prevention programs, changing testing 7 requirements for the issuance of high school equivalency 8 diplomas, eliminating certain requirements for school district 9 payments and settlements, authorizing school site sale 10 revenues to be used for physical plant and equipment levy fund 11 expenditures, allowing school districts to establish nonprofit 12 entities or organizations, eliminating Code provisions related 13 to extended school programs and evening and part=time schools, 14 providing for changes to open enrollment requirements, 15 deadlines, and authorizations, repealing a school district 16 lawful fence requirement, providing for the confidentiality of 17 records regarding a child receiving competent private 18 instruction, eliminating a requirement that school bus drivers 19 submit a certificate of physical fitness annually, expanding 20 the penalties for school bus drivers in violation of Code 21 requirements, revising requirements for prior authorization 22 and a certificate of need for local option and services tax 1 for school infrastructure fund use, and reinstating open 2 enrollment eligibility under a certain circumstance related to 3 desegregation plans. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2925HV 81 6 kh/sh/8 PAG LIN 1 1 Section 1. Section 11.6, subsection 1, paragraph a, 1 2 unnumbered paragraph 1, Code 2005, is amended to read as 1 3 follows: 1 4 The financial condition and transactions of all cities and 1 5 city offices, counties, county hospitals organized under 1 6 chapters 347 and 347A, memorial hospitals organized under 1 7 chapter 37, entities organized under chapter 28E having gross 1 8 receipts in excess of one hundred thousand dollars in a fiscal 1 9 year, merged areas, area education agencies, and all school 1 10 offices in school districts, shall be examined at least once 1 11 each year, except that cities having a population of seven 1 12 hundred or more but less than two thousand shall be examined 1 13 at least once every four years, and cities having a population 1 14 of less than seven hundred may be examined as otherwise 1 15 provided in this section. The examination shall cover the 1 16 fiscal year next preceding the year in which the audit is 1 17 conducted. The examination of school offices shall include an 1 18 audit of all school funds, the certified annual financial 1 19 report,andthe certified enrollment as provided in section 1 20 257.6, and the revenues and expenditures of any nonprofit 1 21 school organization established pursuant to section 279.60. 1 22 Differences in certified enrollment shall be reported to the 1 23 department of management. The examination of a city that owns 1 24 or operates a municipal utility providing local exchange 1 25 services pursuant to chapter 476 shall include an audit of the 1 26 city's compliance with section 388.10. The examination of a 1 27 city that owns or operates a municipal utility providing 1 28 telecommunications services pursuant to section 388.10 shall 1 29 include an audit of the city's compliance with section 388.10. 1 30 Sec. 2. Section 256.9, Code 2005, is amended by adding the 1 31 following new subsection: 1 32 NEW SUBSECTION. 53. Prepare and submit to the 1 33 chairpersons and ranking members of the senate and house 1 34 education committees a report on the state's progress toward 1 35 closing the achievement gap, including student achievement for 2 1 minority subgroups, and a comprehensive summary of state 2 2 agency and local district activities and practices taken in 2 3 the past year to close the achievement gap. 2 4 Sec. 3. Section 257.38, unnumbered paragraph 1, Code 2005, 2 5 is amended to read as follows: 2 6 Boards of school districts, individually or jointly with 2 7 boards of other school districts, requesting to use additional 2 8 allowable growth for programs for returning dropouts and 2 9 dropout prevention pursuant to section 257.40, shall annually 2 10 submit comprehensive program plans for the programs and budget 2 11 costs, including requests for additional allowable growth for 2 12 funding the programs, to the department of education as 2 13provided in this chaptera component of the comprehensive 2 14 school improvement plan submitted to the department pursuant 2 15 to section 256.7, subsection 21. The program plans shall 2 16 include: 2 17 Sec. 4. Section 257.38, unnumbered paragraph 2, Code 2005, 2 18 is amended to read as follows: 2 19 Program plans shall identify the parts of the plan that 2 20 will be implemented first upon approval of theapplication2 21 request. If a district is requesting to use additional 2 22 allowable growth to finance the program,itthe district shall 2 23 not identify more than five percent of its budget enrollment 2 24 for the budget year as returning dropouts and potential 2 25 dropouts. 2 26 Sec. 5. Section 257.40, Code 2005, is amended to read as 2 27 follows: 2 28 257.40 PLANS FOR RETURNING DROPOUTS AND DROPOUT 2 29 PREVENTION. 2 30 1. The board of directors of a school district requesting 2 31 to use additional allowable growth for programs for returning 2 32 dropouts and dropout prevention shall submitapplicationsa 2 33 request forapproval for the programsadditional allowable 2 34 growth, including budget costs, to the department not later 2 35 thanNovember 1December 15 preceding the budget year during 3 1 which the program will be offered. The department shall 3 2 review theprogram plansrequest and shall prior to January 15 3 3 either grant approval for theprogramrequest or return the 3 4 request for approval with comments of the department included. 3 5 An unapproved request for a program may be resubmitted with 3 6 modifications to the department not later than February 1. 3 7 Not later than February 15, the department shall notify the 3 8 department of management and the school budget review 3 9 committee of the names of the school districts for which 3 10 programs using additional allowable growth for funding have 3 11 been approved and the approved budget of each program listed 3 12 separately for each school district having an approvedprogram3 13 request. 3 14 2. Beginning January 15, 2006, the department shall submit 3 15 an annual report to the chairpersons and ranking members of 3 16 the senate and house education committees that includes the 3 17 ways school districts are using additional allowable growth 3 18 approved under subsection 1; identifies, by grade level, age, 3 19 and district size, the students in the dropout and dropout 3 20 prevention programs for which the department approves a 3 21 request; describes school district progress toward increasing 3 22 student achievement and attendance for the students in the 3 23 programs; and describes how the school districts are using the 3 24 revenues from the additional allowable growth to improve 3 25 student achievement among minority subgroups. 3 26 Sec. 6. Section 259A.1, Code 2005, is amended to read as 3 27 follows: 3 28 259A.1 TESTS. 3 29 The department of education shall cause to be made 3 30 available for qualified individuals a high school equivalency 3 31 diploma. The diploma shall be issued on the basis of 3 32 satisfactory competence as shown by tests covering:The 3 33 correctness and effectiveness of expression; the 3 34 interpretation of reading materials in the social studies; 3 35 interpretation of reading material in the natural sciences; 4 1 interpretation of literary materials; and general mathematical 4 2 abilitylanguage arts, reading; language arts, writing; 4 3 mathematics; science; and social studies. 4 4 Sec. 7. Section 279.30, Code 2005, is amended to read as 4 5 follows: 4 6 279.30 EXCEPTIONS. 4 7 Eachwarrantpayment must be made payable to the person 4 8 entitled to receive the money. The board of directors of a 4 9 school district or an area education agency may by resolution 4 10 authorize the secretary or administrator, in the case of an 4 11 area education agency, to issuewarrantspayments when the 4 12 board of directors is not in session in payment offreight, 4 13 drayage, express, postage, printing, water, light, and 4 14 telephone rentsreasonable and necessary expenses, but only 4 15 upon verified bills filed with the secretary or administrator, 4 16 and for the payment of salaries or wages pursuant to the terms 4 17 ofa written contract, and the secretary or administrator 4 18 shall either deliver in person or mail the warrants to the 4 19 payees. In addition, the board of directors may by resolution 4 20 authorize the secretary or administrator, upon approval of the 4 21 president of the board, to issue warrants when the board of 4 22 directors is not in session, but only upon verified bills 4 23 filed with the secretary or administrator, and the secretary 4 24 or administrator shall either deliver in person or mail the 4 25 warrants to the payeesemployment. Eachwarrantpayment must 4 26 be made payable only to the person performing the service or 4 27 presenting the verified bill, and must state the purpose for 4 28 which thewarrantpayment is issued. All bills and salaries 4 29 for whichwarrantspayments are issued prior to audit and 4 30 allowance by the board must be passed upon by the board of 4 31 directors at the next meeting and be entered in the regular 4 32 minutes of the secretary. 4 33 Sec. 8. Section 279.33, Code 2005, is amended to read as 4 34 follows: 4 35 279.33 ANNUAL SETTLEMENTS. 5 1 At a regular or special meeting held on or after August 31 5 2 and prior to the organizational meeting held after the regular 5 3 school election, the board of each school corporation shall 5 4 meet, examine the books of, and settle with the secretary and 5 5 treasurer for the year ending on the preceding June 30, and 5 6 transact other business as necessary.The treasurer at the 5 7 time of settlement shall furnish the board with a sworn 5 8 statement from each depository showing the balance then on 5 9 deposit in the depository. If the secretary or treasurer 5 10 fails to make proper reports for the settlement, the board 5 11 shall take action to obtain the balance information.5 12 Sec. 9. Section 279.41, Code 2005, is amended to read as 5 13 follows: 5 14 279.41 SCHOOLHOUSES AND SITES SOLD == FUNDS. 5 15 Moneys received from the condemnation, sale, or other 5 16 disposition for public purposes of schoolhouses, school sites, 5 17 or both schoolhouses and school sites, shall be deposited in 5 18 the physical plant and equipment levy fund and may without a 5 19 vote of the electorate be used forthe purchase of school 5 20 sites or the erection or repair of schoolhouses, or both5 21 purposes authorized under section 298.3, as ordered by the 5 22 board of directors of the school district. 5 23 Sec. 10. NEW SECTION. 279.60 NONPROFIT SCHOOL 5 24 ORGANIZATIONS. 5 25 The board of directors of a school district may take action 5 26 to adopt a resolution to establish, and authorize expenditures 5 27 for the operational support of, an entity or organization for 5 28 the sole benefit of the school district and its students that 5 29 is exempt from federal income taxation under section 501(c)(3) 5 30 of the Internal Revenue Code. Prior to establishing such an 5 31 entity or organization, the board of directors shall hold a 5 32 public hearing on the proposal to establish such an entity or 5 33 organization. Such an entity or organization shall maintain 5 34 its records in accordance with chapter 22. The board of 5 35 directors of a school district shall annually report to the 6 1 department of education and to the local community the 6 2 administrative expenditures, revenues, and activities of the 6 3 entity or organization established by the school district 6 4 pursuant to this section. The department shall include in its 6 5 annual condition of education report a statewide summary of 6 6 the expenditures and revenues submitted in accordance with 6 7 this section. 6 8 Sec. 11. Section 282.1, unnumbered paragraph 1, Code 2005, 6 9 is amended to read as follows: 6 10 Persons between five and twenty=one years of age are of 6 11 school age.A board may establish and maintain evening 6 12 schools or an educational program under section 282.1A for 6 13 residents of the corporation regardless of age and for which 6 14 no tuition need be charged.Nonresident children shall be 6 15 charged the maximum tuition rate as determined in section 6 16 282.24, subsection 1, with the exception that those residing 6 17 temporarily in a school corporation may attend school in the 6 18 corporation upon terms prescribed by the board, and boards 6 19 discontinuing grades under section 282.7, subsection 1 or 6 20 subsections 1 and 3, shall be charged tuition as provided in 6 21 section 282.24, subsection 2. 6 22 Sec. 12. Section 282.18, subsection 2, Code 2005, is 6 23 amended to read as follows: 6 24 2. ByJanuaryApril 1 of the preceding school year for 6 25 students entering grades one through twelve, or by September 1 6 26 of the current school year for students entering kindergarten, 6 27 the parent or guardian shall send notification to the district 6 28 of residence and the receiving district, on forms prescribed 6 29 by the department of education, that the parent or guardian 6 30 intends to enroll the parent's or guardian's child in a public 6 31 school in another school district. If a parent or guardian 6 32 fails to file a notification that the parent intends to enroll 6 33 the parent's or guardian's child in a public school in another 6 34 district by the deadlineof January 1 of the previous year6 35 specified in this subsection,and one ofthecriteria defined 7 1 inprocedures of subsection 4exists for the failure to meet 7 2 the deadline or if the request is to enroll a child in 7 3 kindergarten in a public school in another district, the 7 4 parent or guardian shall be permitted to enroll the child in 7 5 the other district in the same manner as if the deadline had 7 6 been metapply. 7 7 The board of the receiving district shall enroll the pupil 7 8 in a school in the receiving district for the following school 7 9 year unless the receiving district does not have classroom 7 10 space for the pupil. The board of directors of a receiving 7 11 district may adopt a policy granting the superintendent of the 7 12 school district authority to approve open enrollment 7 13 applications. If the request is granted, the board shall 7 14 transmit a copy of the form to the parent or guardian and the 7 15 school district of residence within five days after board 7 16 action, but not later thanMarchJune 1 of the preceding 7 17 school year. The parent or guardian may withdraw the request 7 18 at any time prior to the start of the school year. A denial 7 19 of a request by the board of a receiving district is not 7 20 subject to appeal. 7 21 Sec. 13. Section 282.18, subsection 4, paragraphs a and b, 7 22 Code 2005, are amended to read as follows: 7 23 a. AfterJanuaryApril 1 of the preceding school year and 7 24 until the third Friday in September of that calendar year, the 7 25 parent or guardian shall send notification to the district of 7 26 residence and the receiving district, on forms prescribed by 7 27 the department of education, that good cause, as defined in 7 28 paragraph "b", exists for failure to meet theJanuaryApril 1 7 29 deadline. The board of directors of a school district may 7 30 adopt a policy granting the superintendent of the school 7 31 district authority to approve open enrollment applications 7 32 submitted after the April 1 deadline if good cause exists. 7 33 Upon approval of the resident district, the board of the 7 34 receiving district shall take action to approve the request if 7 35 good cause exists. If the request is granted, the board in 8 1 the resident district shall transmit a copy of the form to the 8 2 parent or guardian and theschoolreceiving districtof 8 3 residencewithin five days after board action. A denial of a 8 4 request by the board of areceivingresident district isnot8 5 subject to appeal to the director of the department of 8 6 education. 8 7 b. For purposes of this section, "good cause" means a 8 8 change in a child's residence due to a change in family 8 9 residence, a change in the state in which the family residence 8 10 is located, a change in a child's parents' marital status, a 8 11 guardianship or custody proceeding, placement in foster care, 8 12 adoption, participation in a foreign exchange program, or 8 13 participation in a substance abuse or mental health treatment 8 14 program, or a similar set of circumstances consistent with the 8 15 definition of "good cause"; or a change in the status of a 8 16 child's resident district such as removal of accreditation by 8 17 the state board, surrender of accreditation, or permanent 8 18 closure of a nonpublic school, revocation of a charter school 8 19 contract as provided in section 256F.8, the failure of 8 20 negotiations for a whole=grade sharing, reorganization, 8 21 dissolution agreement or the rejection of a current whole= 8 22 grade sharing agreement, or reorganization plan, or a similar 8 23 set of circumstances consistent with the definition of "good 8 24 cause". If the good cause relates to a change in status of a 8 25 child's school district of residence, however, action by a 8 26 parent or guardian must be taken to file the notification 8 27 within forty=five days of the last board action or within 8 28 thirty days of the certification of the election, whichever is 8 29 applicable to the circumstances. 8 30 Sec. 14. Section 282.18, subsections 5 and 6, Code 2005, 8 31 are amended to read as follows: 8 32 5. Open enrollment applications filed afterJanuaryApril 8 33 1 of the preceding school year that do not qualify for good 8 34 cause as provided in subsection 4 shall be subject to the 8 35 approval of the board of the resident district and the board 9 1 of the receiving district. The parent or guardian shall send 9 2 notification to the district of residence and the receiving 9 3 district that the parent or guardian seeks to enroll the 9 4 parent's or guardian's child in the receiving district. A 9 5 decision of either board to deny an application filed under 9 6 this subsection involving repeated acts of harassment of the 9 7 student or serious health condition of the student that the 9 8 resident district cannot adequately address is subject to 9 9 appeal under section 290.1. The state board shall exercise 9 10 broad discretion to achieve just and equitable results that 9 11 are in the best interest of the affected child or children. 9 12 6. A request under this section is for a period of not 9 13 less than one year. If the request is for more than one year 9 14 and the parent or guardian desires to have the pupil enroll in 9 15 a different district, the parent or guardian may petition the 9 16 current receiving district byJanuaryApril 1 of the previous 9 17 school year for permission to enroll the pupil in a different 9 18 district for a period of not less than one year. Upon receipt 9 19 of such a request, the current receiving district board may 9 20 act on the request to transfer to the other school district at 9 21 the next regularly scheduled board meeting after the receipt 9 22 of the request. The new receiving district shall enroll the 9 23 pupil in a school in the district unless there is insufficient 9 24 classroom space in the district or unless enrollment of the 9 25 pupil would adversely affect the court=ordered or voluntary 9 26 desegregation plan of the district. A denial of a request to 9 27 change district enrollment within the approved period is not 9 28 subject to appeal. However, a pupil who has been in 9 29 attendance in another district under this section may return 9 30 to the district of residence and enroll at any time, once the 9 31 parent or guardian has notified the district of residence and 9 32 the receiving district in writing of the decision to enroll 9 33 the pupil in the district of residence. 9 34 Sec. 15. Section 285.11, subsection 9, Code 2005, is 9 35 amended by striking the subsection. 10 1 Sec. 16. Section 297.14, Code 2005, is amended to read as 10 2 follows: 10 3 297.14 BARBED WIRE. 10 4 No fenceprovided for in section 297.13built where the 10 5 school grounds adjoin cultivated or improved lands shall be 10 6 constructed of barbed wire, nor shall any barbed wire fence be 10 7 placed within ten feet of any school grounds. Any person 10 8 violating the provisions of this section shall be guilty of a 10 9 simple misdemeanor. 10 10 Sec. 17. NEW SECTION. 299A.11 STUDENT RECORDS 10 11 CONFIDENTIAL. 10 12 Notwithstanding any provision of law or rule to the 10 13 contrary, personal information in records regarding a child 10 14 receiving competent private instruction pursuant to this 10 15 chapter, which are maintained, created, collected, or 10 16 assembled by or for a state agency shall be kept confidential 10 17 in the same manner as personal information in student records 10 18 maintained, created, collected, or assembled by or for a 10 19 school corporation or educational institution in accordance 10 20 with section 22.7, subsection 1. 10 21 Sec. 18. Section 321.376, subsection 1, Code 2005, is 10 22 amended to read as follows: 10 23 1. The driver of a school bus shall hold a driver's 10 24 license issued by the department of transportation valid for 10 25 the operation of the school bus and a certificate of 10 26 qualification for operation of a commercial motor vehicle 10 27 issued by a physician licensed pursuant to chapter 148 or 10 28 150A, physician's assistant, advanced registered nurse 10 29 practitioner, or chiropractor or any other person identified 10 30 by federal and state law as authorized to perform physical 10 31 examinations, and shall successfully complete an approved 10 32 course of instruction in accordance with subsection 2. A 10 33 person holding a temporary restricted license issued under 10 34 chapter 321J shall be prohibited from operating a school bus. 10 35 The department of education shallrevoke orrefuse to issue an 11 1 authorization to operate a school bus to any person who, after 11 2 notice and opportunity for hearing, is determined to have 11 3 committed any of the acts proscribed under section 321.375, 11 4 subsection 2. The department of education shall take adverse 11 5 action against any person who, after notice and opportunity 11 6 for hearing, is determined to have committed any of the acts 11 7 proscribed under section 321.375, subsection 2, paragraphs "a" 11 8 through "d", or is determined not to be physically or mentally 11 9 competent under section 321.375, subsection 2, paragraph "e", 11 10 unless the person was qualified to operate a school bus as 11 11 provided in section 321.375, subsection 3. Notwithstanding 11 12 section 321.375, subsection 2, such action may include a 11 13 reprimand or warning to the person or the suspension or 11 14 revocation of the person's authorization to operate a school 11 15 bus. The department of education shall recommend, and the 11 16 state board of education shall adopt under chapter 17A, rules 11 17 and procedures for issuing, suspending, and revoking 11 18 authorization to operate a school bus in this state. Rules 11 19 and procedures adopted shall include, but are not limited to, 11 20 provisions for the suspension or revocation of, or refusal to 11 21 issue, authorization to persons who are determined to have 11 22 committed any of the acts proscribed under section 321.375, 11 23 subsection 2. 11 24 Sec. 19. Section 423E.4, subsection 6, unnumbered 11 25 paragraph 1, Code 2005, is amended to read as follows: 11 26 A school district with a certified enrollment of fewer than 11 27 two hundred fifty pupils in the entire district or certified 11 28 enrollment of fewer than one hundred pupils in high school 11 29 shall not expend the supplemental school infrastructure amount 11 30 received for new construction or for payments for bonds issued 11 31 for new construction against the supplemental school 11 32 infrastructure amount without prior application to the 11 33 department of education and receipt of a certificate of need 11 34 pursuant to this subsection. However, a certificate of need 11 35 is not required for the payment of outstanding bonds issued 12 1 for new construction pursuant to section 296.1, before April 12 2 1, 2003. A certificate of need is also not required for 12 3 repairing schoolhouses or buildings, equipment, technology, or 12 4 transportation equipment for transporting students as provided 12 5 in section 298.3, or for construction necessary for compliance 12 6 with the federal Americans With Disabilities Act pursuant to 12 7 42 U.S.C. } 12101==12117. In determining whether a 12 8 certificate of need shall be issued or denied, the department 12 9 shall consider all of the following: 12 10 Sec. 20. REINSTATEMENT OF OPEN ENROLLMENT ELIGIBILITY == 12 11 DESEGREGATION PLAN. Notwithstanding section 282.18, a child 12 12 who participated in open enrollment prior to 1997 and prior to 12 13 the adoption of a voluntary desegregation plan on December 10, 12 14 2001, by the child's school district of residence and who 12 15 returns to the district of residence shall be eligible to 12 16 participate in open enrollment in a district other than the 12 17 district of residence once the parent or guardian has notified 12 18 the district of residence and the receiving district in 12 19 writing of the decision to enroll the pupil in a district 12 20 other than the district of residence. The request submitted 12 21 shall be for at least one year, but may be for more than one 12 22 year. 12 23 Sec. 21. Sections 282.1A and 297.13, Code 2005, are 12 24 repealed. 12 25 Sec. 22. Chapters 288 and 289, Code 2005, are repealed. 12 26 EXPLANATION 12 27 This bill amends numerous Code sections relating to school 12 28 districts, including the contents of school district annual 12 29 audits, the confidentiality of personal information in records 12 30 regarding students receiving competent private instruction, 12 31 school aid reduction for early school starts, payments the 12 32 board of directors of a school district or an area education 12 33 agency authorizes the secretary or administrator to issue when 12 34 the board of directors is not in session, the annual 12 35 examination by a school board of district books, the books of 13 1 the school district's secretary and treasurer, the purposes 13 2 for which moneys deposited in the physical plant and equipment 13 3 levy fund may be used, authorizing school boards to establish 13 4 entities or organizations for the support of the school 13 5 district, open enrollment applications, deadlines, and 13 6 appeals, expanding the department of education's options when 13 7 a school bus driver is found to have violated certain Code 13 8 provisions, and providing that a restriction on local option 13 9 sales tax revenues for school infrastructure purposes applies 13 10 only to districts with fewer than 250 students in the 13 11 elementary and secondary schools or fewer than 100 students in 13 12 a high school. 13 13 SCHOOL DISTRICT AUDITS. The bill requires that an 13 14 examination of school offices shall include the revenues and 13 15 expenditures of any organized nonprofit school organization 13 16 that exists for the sole benefit of the school district. 13 17 CONFIDENTIAL STUDENT RECORDS. The bill makes confidential 13 18 the personal information in records regarding a child 13 19 receiving competent private instruction that are maintained, 13 20 created, collected, or assembled by or for a state agency 13 21 maintaining such records. 13 22 DEPARTMENT OF EDUCATION ACHIEVEMENT GAP REPORT. The 13 23 department is directed to prepare and submit to the 13 24 chairpersons and ranking members of the senate and house 13 25 education committees a report on the state's progress toward 13 26 closing the achievement gap. 13 27 DROPOUT AND DROPOUT PREVENTION PROGRAMS. The bill provides 13 28 that plans and budgets for dropout and dropout prevention 13 29 programs, for which school districts are seeking additional 13 30 allowable growth authority from the school budget review 13 31 committee, must be submitted to the department of education as 13 32 a component of the comprehensive school improvement plan that 13 33 school districts must annually submit to the department. The 13 34 bill also delays the date by which requests for additional 13 35 allowable growth for those programs must be submitted from 14 1 November 1 to December 15. Beginning January 15, 2006, the 14 2 department must submit an annual report to the chairpersons 14 3 and ranking members of the senate and house education 14 4 committees that includes the ways school districts are using 14 5 such additional allowable growth approved; identifies, by 14 6 grade level, age, and district size, the students in the 14 7 dropout and dropout prevention programs; describes school 14 8 district progress toward increasing student achievement and 14 9 attendance for those students; and describes how the school 14 10 districts are using the revenues from the additional allowable 14 11 growth to improve student achievement among minority 14 12 subgroups. 14 13 HIGH SCHOOL EQUIVALENCY DIPLOMA. The bill changes the 14 14 criteria for evidence of satisfactory competence necessary for 14 15 issuance of a high school equivalency diploma. The bill 14 16 requires that a diploma be issued on the basis of satisfactory 14 17 competence as shown by tests covering language arts, including 14 18 reading and writing, mathematics, science, and social studies. 14 19 SCHOOL DISTRICT PAYMENTS AND SETTLEMENTS. Currently, the 14 20 Code lists the purposes for which a secretary or administrator 14 21 of a school district may make payments while the school board 14 22 is not in session. This bill replaces the list with general 14 23 permission to issue payments for reasonable and necessary 14 24 expenses. 14 25 The bill also strikes language that requires the school 14 26 district's treasurer to furnish the board with a sworn 14 27 statement showing each depository balance and providing that 14 28 if the secretary or treasurer fails to make proper reports for 14 29 a settlement, the board must take action to obtain balance 14 30 information. 14 31 AUTHORIZED PPEL EXPENDITURES. The bill permits moneys 14 32 received from the sale of school sites that are deposited in 14 33 the physical plant and equipment levy (PPEL) fund to be used 14 34 for the same purposes for which revenues from the PPEL levies 14 35 may be used. 15 1 NONPROFIT SCHOOL ORGANIZATIONS. The bill allows school 15 2 boards to establish and authorize expenditures for the 15 3 operational support of a nonprofit entity or organization for 15 4 the sole benefit of the school district and its students after 15 5 holding a public hearing on the proposal. Such an entity or 15 6 organization shall maintain its records in accordance with 15 7 Code chapter 22. The school district must annually report to 15 8 the department of education and the local community the 15 9 administrative expenditures, revenues, and activities of the 15 10 entity or organization. The department must include a 15 11 statewide summary of the expenditures and revenues in its 15 12 annual condition of education report. 15 13 EXTENDED SCHOOL PROGRAMS == EVENING AND PART=TIME SCHOOLS 15 14 REPEAL. The bill repeals a provision related to extended 15 15 school programs, which are identified in the Code as programs 15 16 school districts may voluntarily establish for residents of 15 17 the school district who are over 21 years of age, do not 15 18 possess a high school diploma or a high school equivalency 15 19 diploma under Code chapter 259A, and are enrolled in an 15 20 education program in the district. Residents attending such a 15 21 program are counted in the district's basic enrollment and 15 22 attend on a tuition=free basis. The bill also repeals two 15 23 Code chapters that authorize evening and part=time schools. 15 24 The Code chapters require school districts to establish an 15 25 evening school when 10 or more persons over age 16 express a 15 26 desire for instruction at an evening school for not less than 15 27 two hours each evening for at least two evenings each week for 15 28 not less than three months of each school year; and, in cities 15 29 of 12,000 or more, to establish and maintain part=time schools 15 30 when 15 or more children residing in the district who are 15 31 between 14 and 16 years of age cease to attend the full=time 15 32 day school. The bill includes a conforming amendment. 15 33 OPEN ENROLLMENT. The bill moves the application deadline 15 34 for open enrollment from January 1 to April 1 of the preceding 15 35 school year for students entering grades 1 through 12, and to 16 1 September 1 of the current school year for students entering 16 2 kindergarten. The bill expands the exception that allows 16 3 parents to miss the deadline, by allowing "good cause" to 16 4 include a similar set of circumstances consistent with the 16 5 definition of "good cause". The bill also allows a school 16 6 board to grant a superintendent the authority to approve "good 16 7 cause" applications and allows a receiving district to grant a 16 8 superintendent the authority to approve a timely filed 16 9 application. The bill requires the resident district to 16 10 approve a good cause application before the receiving district 16 11 takes action on the request, and permits a denial by the 16 12 resident district to be appealed to the department of 16 13 education. 16 14 FENCING NEAR SCHOOL GROUNDS. The bill repeals a provision 16 15 that requires school boards to maintain a lawful fence between 16 16 school grounds and adjoining cultivated or improved lands. 16 17 However, the bill maintains language that prohibits such land 16 18 to be fenced using barbed wire. 16 19 SCHOOL BUS DRIVER FITNESS CERTIFICATION AND GROUNDS FOR 16 20 SUSPENSION. The bill eliminates a provision that requires 16 21 school bus drivers to present a certificate of physical 16 22 fitness each year before being permitted to operate any 16 23 vehicles transporting children to and from school. The bill 16 24 expands the department of education's options when a school 16 25 bus driver is found to have violated certain Code provisions, 16 26 by allowing the department to take adverse action, which may 16 27 include a reprimand or warning, rather than an immediate 16 28 suspension. 16 29 LOCAL OPTION AND SERVICES TAX FOR SCHOOL INFRASTRUCTURE 16 30 PURPOSES == FUND USE PROHIBITION. Revenues collected under 16 31 the local sales and services tax for school infrastructure are 16 32 deposited in the secure an advanced vision for education fund 16 33 for school infrastructure purposes or property tax relief. 16 34 The Code requires that a school district receive prior 16 35 authorization and a certificate of need from the department of 17 1 education before expending the supplemental school 17 2 infrastructure amount received for new construction or for 17 3 payments for bonds issued for new construction against the 17 4 amount. Under the bill, only a school district with a 17 5 certified enrollment of fewer than 250 pupils in the entire 17 6 school district, or fewer than 100 high school pupils, need 17 7 meet these requirements. 17 8 REINSTATEMENT OF OPEN ENROLLMENT ELIGIBILITY == 17 9 DESEGREGATION PLAN. The bill provides that under a very 17 10 limited circumstance, a student who once participated in open 17 11 enrollment prior to 1997, from a school district that on 17 12 December 10, 2001, adopted a voluntary desegregation plan, may 17 13 have their open enrollment status reinstated to allow the 17 14 student to open enroll to a district other than their district 17 15 of residence. 17 16 LSB 2925HV 81 17 17 kh:nh/sh/8