House File 535 - Reprinted HOUSE FILE 535 BY COMMITTEE ON EDUCATION (SUCCESSOR TO HSB 145) (As Amended and Passed by the House March 8, 2011 ) A BILL FOR An Act creating an Iowa preschool scholarship program for 1 four-year-old children, repealing the statewide preschool 2 program for four-year-old children, and including effective 3 date and applicability provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 HF 535 (5) 84 kh/nh/mb

H.F. 535 DIVISION I 1 STATEWIDE PRESCHOOL PROGRAM FOR FOUR-YEAR-OLD CHILDREN 2 Section 1. Section 237A.21, subsection 3, paragraph p, Code 3 2011, is amended to read as follows: 4 p. One person who is part of a local program implementing 5 the statewide preschool program for four-year-old children 6 under chapter 256C 256J . 7 Sec. 2. Section 237A.22, subsection 1, paragraph f, Code 8 2011, is amended to read as follows: 9 f. Make recommendations for improving collaborations between 10 the child care programs involving the department and programs 11 supporting the education and development of young children 12 including but not limited to the federal head start program , 13 the statewide preschool program for four-year-old children 14 and the early childhood, at-risk, and other early education 15 programs administered by the department of education. 16 Sec. 3. Section 256.11, subsection 1, paragraph c, Code 17 2011, is amended to read as follows: 18 c. For the purposes of this subsection , “prekindergarten 19 program” includes but is not limited to a school district’s 20 implementation of the preschool program established pursuant to 21 chapter 256C 256J . 22 Sec. 4. Section 257.16, subsection 1, Code 2011, is amended 23 to read as follows: 24 1. There is appropriated each year from the general fund 25 of the state an amount necessary to pay the foundation aid 26 under this chapter , the preschool foundation aid under chapter 27 256C , supplementary aid under section 257.4, subsection 2 , and 28 adjusted additional property tax levy aid under section 257.15, 29 subsection 4 . 30 Sec. 5. Section 272.2, subsection 18, Code 2011, is amended 31 to read as follows: 32 18. May adopt rules for practitioners who are not eligible 33 for a statement of professional recognition under subsection 34 10 , but have received a baccalaureate degree and provide a 35 -1- HF 535 (5) 84 kh/nh/mb 1/ 13

H.F. 535 service to students at any or all levels from prekindergarten 1 through grade twelve for a school district, accredited 2 nonpublic school, area education agency, or preschool program 3 established pursuant to chapter 256C 256J . 4 Sec. 6. Section 285.1, subsection 1, paragraph a, 5 subparagraph (3), Code 2011, is amended to read as follows: 6 (3) Children attending prekindergarten programs offered or 7 sponsored by the district or nonpublic school and approved by 8 the department of education or department of human services 9 or children participating in preschool in an approved local 10 program under chapter 256C 256J may be provided transportation 11 services. However, transportation services provided to 12 nonpublic school children are not eligible for reimbursement 13 under this chapter . 14 Sec. 7. REPEAL. Chapter 256C, Code 2011, is repealed. 15 Sec. 8. EFFECTIVE DATE AND APPLICABILITY. This division of 16 this Act takes effect July 1, 2011, and applies to budget years 17 beginning on or after July 1, 2011. 18 DIVISION II 19 PRESCHOOL PROGRAM FOR FOUR-YEAR-OLD CHILDREN 20 Sec. 9. NEW SECTION . 256J.1 Definitions. 21 As used in this chapter: 22 1. “Department” means the department of education. 23 2. “Director” means the director of the department of 24 education. 25 3. “Eligible school district” or “school district” means 26 a school corporation organized under chapter 274 that meets 27 the requirements of section 256J.3, subsection 4, and has been 28 approved by the department to implement preschool programs as 29 provided in this chapter. 30 4. “High-quality preschool program” means a preschool 31 program that meets the federal head start program performance 32 standards adopted pursuant to the federal Improving Head Start 33 for School Readiness Act of 2007, Pub. L. No. 110-134, the Iowa 34 quality preschool program standards and criteria as determined 35 -2- HF 535 (5) 84 kh/nh/mb 2/ 13

H.F. 535 by the department in accordance with 281 IAC 16.3, and the 1 national association for the education of young children 2 program standards and accreditation criteria. 3 5. “Preschool scholarship” means the state funding allocated 4 to school districts to pay tuition for eligible children 5 enrolled in preschool programs implemented pursuant to this 6 chapter. 7 6. “Private education partner” means a private preschool 8 provider that may submit claims for reimbursement to a school 9 district for providing high-quality preschool instruction to 10 four-year-old children receiving scholarships in accordance 11 with this chapter. 12 7. “State board” means the state board of education. 13 Sec. 10. NEW SECTION . 256J.2 Preschool program for 14 four-year-old children —— scholarships —— purpose. 15 1. A preschool program for four-year-old children is 16 established in the department to provide an opportunity for 17 all eligible children, including economically disadvantaged 18 children, to enter school ready to learn. The purpose 19 of the preschool scholarship program shall be to provide 20 scholarships to pay for eligible four-year-old children to 21 attend high-quality preschool provided by school districts or 22 private education partners. 23 2. The state board shall adopt rules pursuant to chapter 24 17A, and may adopt emergency rules under section 17A.4, 25 subsection 3, and section 17A.5, subsection 2, paragraph “b” , as 26 necessary to implement this chapter. 27 Sec. 11. NEW SECTION . 256J.3 Preschool program 28 requirements. 29 1. Eligible children. A child who is a resident of Iowa 30 and is four years of age on or before September 15 of a school 31 year is eligible to enroll, based on order of registration, in 32 a preschool program implemented pursuant to this chapter and 33 may be eligible for a preschool scholarship based upon the most 34 current sliding tuition scale determined and published by the 35 -3- HF 535 (5) 84 kh/nh/mb 3/ 13

H.F. 535 department in accordance with subsection 5. A school district 1 approved to participate in the preschool program pursuant to 2 this chapter may enroll a younger child or an older child in 3 the preschool program if space is available; however, the child 4 shall not be counted in the preschool enrollment count for 5 preschool scholarship funding purposes under section 256J.5. 6 a. A family may choose to enroll the family’s four-year- 7 old child in an approved school district preschool program or a 8 preschool program implemented by a private education partner. 9 Families shall complete all enrollment requirements, including 10 but not limited to income verification. 11 b. A school district or a private education partner may 12 charge tuition for children participating in the preschool 13 program, but shall not charge more for tuition than the amount 14 determined and published by the department. All families 15 enrolling eligible children are required to pay tuition based 16 on income and the most current sliding tuition scale determined 17 and published by the department. 18 2. Teacher requirements. 19 a. An individual serving as a preschool teacher in the 20 preschool program for four-year-old children shall be employed 21 by or under contract with the approved school district or by a 22 private education partner located within the approved school 23 district’s boundaries and shall meet one of the following 24 qualifications: 25 (1) The individual is appropriately licensed under chapter 26 272 and meets the requirements of chapter 284. 27 (2) The individual possesses, or is working toward 28 obtaining within two years of starting employment under this 29 subsection, an early childhood certificate of eligibility 30 issued under chapter 272, and meets either of the following 31 conditions: 32 (a) Holds a bachelor’s or graduate degree from an accredited 33 college or university. 34 (b) Holds an associate of arts degree and is working 35 -4- HF 535 (5) 84 kh/nh/mb 4/ 13

H.F. 535 toward obtaining a bachelor’s degree within three years. This 1 subparagraph division (b) is repealed August 31, 2014. 2 b. A preschool teacher in an approved preschool program 3 shall collaborate with other agencies, organizations, and 4 boards in the community to further the program’s capacity to 5 meet the diverse needs of the children enrolled in the program 6 and the families of the children, such as needs for early 7 care, health, and human services. In addition, the approved 8 preschool program shall work to maintain relationships with 9 each child’s family in order to enhance the child’s development 10 in all settings by collaborating with providers of parent 11 education and family support opportunities. 12 3. Program requirements —— program approval. The state board 13 shall adopt rules to further define the following preschool 14 program requirements, which shall be used to determine whether 15 or not a local program implemented by a school district or 16 private education partner qualifies for approval to implement a 17 preschool program: 18 a. Maximum and minimum teacher-to-child ratios and class 19 sizes. 20 b. Applicable state and federal program standards, including 21 but not limited to the federal head start program performance 22 standards adopted pursuant to the federal Improving Head Start 23 for School Readiness Act of 2007, Pub. L. No. 110-134, the Iowa 24 quality preschool program standards and criteria as determined 25 by the department in accordance with 281 IAC 16.3, and the 26 national association for the education of young children 27 program standards and accreditation criteria. 28 c. Student learning standards. 29 d. Applicable comprehensive statewide child assessment 30 determined by the department. 31 e. Provisions for the integration of children from other 32 state and federally funded preschools. 33 f. Collaboration with participating families, early care 34 providers, and community partners including but not limited 35 -5- HF 535 (5) 84 kh/nh/mb 5/ 13

H.F. 535 to early childhood Iowa area boards, head start programs, 1 shared visions, licensed child care centers, registered child 2 development homes, early childhood special education programs, 3 services funded by Tit. I of the federal Elementary and 4 Secondary Education Act of 1965, and family support programs. 5 g. A minimum of ten hours per week, thirty-four weeks per 6 year, of instruction delivered on the skills and knowledge 7 included in the student learning standards developed for the 8 preschool program. 9 h. Family involvement in the preschool program. 10 i. Provision for ensuring that children receiving care from 11 other child care arrangements can participate in the preschool 12 program with minimal disruption due to transportation and 13 movement from one site to another. 14 4. School district requirements. The state board shall 15 adopt rules to further define the following requirements for 16 school districts implementing a preschool program pursuant to 17 this chapter: 18 a. Collect documentation of school district and private 19 education partner readiness to meet program requirements. The 20 school district shall submit documentation to the department 21 that demonstrates that the school district contacted all 22 known potential private education partners within the school 23 district, including but not limited to, and only as applicable, 24 accredited nonpublic schools and faith-based preschools, 25 the early childhood Iowa area board, the federal head start 26 program, shared visions and other programs provided under the 27 auspices of the child development coordinating council, and 28 center-based providers of child care services. 29 b. Collaborate with all approved high-quality preschool 30 program sites in the district to better serve children enrolled 31 in the preschool program in the following ways: 32 (1) Extending the day, for children eligible for preschool 33 scholarships, through other state funding and federal funding, 34 including but not limited to funding available through early 35 -6- HF 535 (5) 84 kh/nh/mb 6/ 13

H.F. 535 childhood Iowa area boards, federal head start programs, shared 1 visions and other programs provided under the auspices of the 2 child development coordinating council, licensed child care 3 centers, registered child development homes, early childhood 4 special education programs, services funded by Tit. I of the 5 federal Elementary and Secondary Education Act of 1965, and 6 family support programs. 7 (2) Promoting family involvement through family support 8 programs as well as district programs. 9 c. Participate in data collection and performance 10 measurement processes and reporting, including reporting fall 11 and spring applicable comprehensive statewide child assessment 12 data as specified by the department. 13 d. Identify eligible children through targeted outreach to 14 all families in partnership with the early childhood Iowa area 15 board. 16 e. Collect information regarding and verify family income to 17 implement the sliding tuition scale determined and published by 18 the department in accordance with subsection 5. 19 f. Address professional development for school district 20 preschool teachers in the school district’s professional 21 development plan implemented in accordance with section 284.6. 22 g. Collaborate with private education partners to provide a 23 coordinated system of appropriate professional development for 24 preschool teachers and staff employed in the preschool program. 25 h. Pay only those claims submitted by the school district’s 26 private education partners which are verified by the process 27 set forth in section 279.29. 28 5. Department requirements. The department shall do the 29 following: 30 a. Implement an application and approval process for school 31 district participation in the preschool program that includes 32 but is not limited to the enrollment requirements provided 33 under subsection 1. 34 b. Track the progress of all children served by a school 35 -7- HF 535 (5) 84 kh/nh/mb 7/ 13

H.F. 535 district preschool program and by the school district’s private 1 education partners and track the children’s performance in 2 elementary and secondary education. 3 c. Implement procedures to monitor the quality of the 4 programming provided under the preschool program at all school 5 district and private education partner sites. 6 d. Determine a statewide comprehensive child assessment to 7 measure child outcomes for all children participating in the 8 preschool program at school districts and private education 9 partner sites. 10 e. Submit an annual report to the governor, the general 11 assembly, the early childhood Iowa state board, and the child 12 development coordinating council. 13 (1) The early childhood Iowa state board and the child 14 development coordinating council shall advise the department 15 regarding collaboration of high-quality preschool programs for 16 eligible children. 17 (2) The early childhood Iowa state board shall promote 18 the preschool program in local communities to increase family 19 awareness of quality preschool programs and scholarship 20 opportunities. 21 (3) The early childhood Iowa area boards shall collaborate 22 with school districts and their private education partners to 23 strengthen preschool quality. 24 f. Develop a statewide list of approved school district 25 and private education partner preschool programs and publish 26 the list on its website. The list shall include information 27 about preschool scholarships and the sliding tuition scale in 28 addition to other information for families. 29 g. Develop and review annually a sliding tuition scale for 30 purposes of granting preschool program scholarships to families 31 whose incomes are at or below three hundred percent of the 32 federal poverty level as defined by the most recently revised 33 poverty income guidelines published by the United States 34 department of health and human services. 35 -8- HF 535 (5) 84 kh/nh/mb 8/ 13

H.F. 535 6. Private education partner —— religious expression. An 1 approved high-quality preschool program offered by a religious 2 entity or organization shall not be prohibited from the free 3 exercise of religion during the program’s hours of instruction 4 if the program meets the program requirements established 5 pursuant to this section. 6 Sec. 12. NEW SECTION . 256J.4 Funding provisions —— 7 enrollment. 8 1. General. 9 a. State funding provided for preschool scholarships shall 10 be allocated to school districts for each school year based 11 upon the amount appropriated and the funding formula set forth 12 in section 256J.5. 13 b. Except as otherwise provided in chapter 298A, a school 14 district approved to participate in the preschool program may 15 authorize expenditures for the school district’s preschool 16 programming from any of the revenue sources available to the 17 district from the sources listed in chapter 298A, provided the 18 expenditures are within the uses permitted for the revenue 19 source. In addition, the use of the revenue source for 20 preschool programming must have been approved prior to any 21 expenditure from the revenue source for the school district’s 22 preschool program. 23 c. Funding provided for the preschool program pursuant to 24 this chapter is intended to supplement, not supplant, existing 25 public funding for preschool programming. 26 d. Preschool scholarship funding shall not be commingled 27 with the other state aid payments made under section 257.16 28 to a school district and shall be accounted for by the school 29 district separately from the other state aid payments. 30 Preschool scholarship payments made to school districts are 31 miscellaneous income for purposes of chapter 257. A school 32 district shall maintain a separate listing within its budget 33 for preschool scholarship payments received and expenditures 34 made. A school district shall certify to the department that 35 -9- HF 535 (5) 84 kh/nh/mb 9/ 13

H.F. 535 preschool scholarship funding received by the school district 1 was used to supplement, not supplant, moneys otherwise received 2 and used by the school district for preschool programming. 3 e. Preschool scholarship funding shall not be used for the 4 costs of constructing a facility in connection with a school 5 district or private education partner preschool program. 6 f. Preschool scholarship funding received by a school 7 district or private education partner may be used in 8 conjunction with funding from family-paid tuition to support 9 the school district or private education partner in providing 10 the preschool program. Not more than five percent of the 11 scholarship funding received annually by a school district 12 shall be used for the costs of supervising the program. 13 2. Eligible student enrollment. 14 a. To be included as an eligible student in the preschool 15 enrollment count by a school district, a child shall meet the 16 requirements of section 256J.3, subsection 1, and shall be 17 enrolled in and attending a preschool program implemented by 18 a school district or a school district’s private education 19 partner. 20 b. The enrollment count for the preschool program shall 21 include all eligible children who are enrolled in and attending 22 a preschool program implemented by a school district and the 23 school district’s private education partners shall be collected 24 by the school district on the date prescribed in section 257.6 25 and shall be certified to the department by the school district 26 by October 15. 27 Sec. 13. NEW SECTION . 256J.5 State funding allocation —— 28 expenditure limitation. 29 1. State funding. 30 a. Allocation formula. For each fiscal year in which 31 moneys are appropriated by the general assembly for purposes 32 of the preschool program for four-year-old children, preschool 33 scholarship funding shall be allocated to approved school 34 districts on a per pupil basis calculated on the proportion 35 -10- HF 535 (5) 84 kh/nh/mb 10/ 13

H.F. 535 that the number of the approved school district’s first grade 1 children who are eligible for free or reduced price meals under 2 the federal Healthy, Hungry-Free Kids Act of 2010, Pub. L. No. 3 111-296, multiplied by the average of the previous three years 4 of certified kindergarten enrollment, bears to the sum of the 5 number of first grade children in all approved school districts 6 who are eligible for free or reduced price meals under the 7 federal Healthy, Hungry-Free Kids Act of 2010, Pub. L. No. 8 111-296, multiplied by the average of the previous three years 9 of certified kindergarten enrollment in all approved school 10 districts in the state for the base year. 11 b. Redistribution of state funding. Based on the October 12 1 certified preschool enrollment count determined pursuant to 13 section 256J.4, subsection 2, the department shall evaluate 14 the needs of approved school districts and approved private 15 education partners and shall take action to redistribute unused 16 state funding as appropriate. 17 c. Limited purpose. State funds provided for purposes 18 of this chapter shall not be expended for any purpose not 19 expressly authorized in this chapter or in administrative rules 20 adopted to administer this chapter. 21 2. Program sites —— conditional allocation. A school 22 district shall not receive preschool scholarship funding 23 without school district or private education partner preschool 24 program sites. 25 3. Program continuation subject to approval. For subsequent 26 budget years, continuation of a school district’s participation 27 in the preschool program is subject to the approval of the 28 department based upon the school district’s compliance with 29 accountability provisions and the department’s on-site review 30 of the school district’s implementation of the preschool 31 program. 32 4. Insufficient funding. If the amount appropriated 33 annually for purposes of this section is not sufficient to 34 pay the total allocation to approved school districts, the 35 -11- HF 535 (5) 84 kh/nh/mb 11/ 13

H.F. 535 allocation shall be based on the proportion that the total 1 allocation for each approved school district bears to the sum 2 of the total allocations to all approved school districts. 3 5. Payments to private education partners. Reimbursements 4 shall be provided to private education partners by approved 5 school districts on a monthly basis, beginning with the month 6 in which the school district receives payment under subsection 7 1, paragraph “a” , and ending in July, upon submission and 8 verification of actual instructional costs incurred in the 9 school year. 10 6. Department administration and oversight. Except as 11 otherwise provided by law for a fiscal year, of the amount 12 appropriated by the general assembly for a fiscal year for 13 purposes of this chapter, the department may use an amount 14 sufficient to fund up to four full-time equivalent positions 15 which shall be in addition to the number of positions 16 authorized for the department for the fiscal year to provide 17 administration and oversight of the preschool program. 18 Oversight shall include but not be limited to data collection 19 requirements, maintenance of website listings of school 20 district and private education partners providing high-quality 21 preschool programs, and assessment results. 22 7. Open enrollment not applicable. Section 282.18 shall not 23 apply to preschool programs implemented under this chapter. 24 However, approved programs shall be open to all eligible Iowa 25 children, regardless of a child’s district of residence. 26 8. Participation in preschool not good cause. Participation 27 by a child in an approved preschool program under this chapter 28 does not qualify as “good cause” , as defined in section 29 282.18, subsection 4, paragraph “b” , for purposes of claiming 30 continuous enrollment in a school district other than the 31 district of residence. 32 Sec. 14. Section 272.2, Code 2011, is amended by adding the 33 following new subsection: 34 NEW SUBSECTION . 19. Adopt rules establishing an early 35 -12- HF 535 (5) 84 kh/nh/mb 12/ 13

H.F. 535 childhood certificate of eligibility for individuals who meet 1 the requirements of section 256J.3, subsection 2, paragraph 2 “a” , subparagraph (2), for preschool teachers. The rules for 3 obtaining such a certificate shall require that an applicant 4 successfully complete twelve hours of coursework from an 5 accredited institution of higher education in early childhood 6 education, child development, elementary education, or 7 early childhood special education, and this coursework shall 8 encompass child development and learning of children from birth 9 through kindergarten; family and community relationships; 10 observing, documenting, and assessing young children; teaching 11 and learning; and professional practices and development. 12 -13- HF 535 (5) 84 kh/nh/mb 13/ 13