HB3769ham001 100TH GENERAL ASSEMBLY

Rep. Rita Mayfield

Filed: 4/25/2017

10000HB3769ham001 LRB100 10477 MLM 25564 a

AMENDMENT TO HOUSE BILL 3769

AMENDMENT NO. ______. Amend House Bill 3769 by replacing everything after the enacting clause with the following:

"Section 5. The School Code is amended by changing Sections 27A-3 and 27A-7.10 and by adding Section 27A-7.15 as follows:

(105 ILCS 5/27A-3)

Sec. 27A-3. Definitions. For purposes of this Article:

"At-risk pupil" means a pupil who, because of physical, emotional, socioeconomic, or cultural factors, is less likely to succeed in a conventional educational environment.

"Authorizer" means an entity authorized under this Article to review applications, decide whether to approve or reject applications, enter into charter contracts with applicants, oversee charter schools, and decide whether to renew, not renew, or revoke a charter.

"Commission" means the State Charter School Commission established under Section 27A-7.5 of this Code.

"Local school board" means the duly elected or appointed school board or board of education of a public school district, including special charter districts and school districts located in cities having a population of more than 500,000, organized under the laws of this State.

"State Board" means the State Board of Education.

"University authorizer" means an institution that grants 4-year degrees that is approved by the State Board for chartering authority, as established under Section 27A-7.15 of this Code. Such institutions must be either:

(1) a public institution of higher education, as defined in Section 1 of the Board of Higher Education Act; or

(2) a university or college that is deemed a post-secondary educational institution, as defined in Section 1 of the Private College Act.

(Source: P.A. 97-152, eff. 7-20-11.)

(105 ILCS 5/27A-7.10)

Sec. 27A-7.10. Authorizer powers and duties; immunity; principles and standards.

(a) Authorizers are responsible for executing, in accordance with this Article, all of the following powers and duties:

(1) Soliciting and evaluating charter applications.

(2) Approving quality charter applications that meet identified educational needs and promote a diversity of educational choices.

(3) Declining to approve weak or inadequate charter applications.

(4) Negotiating and executing sound charter contracts with each approved charter school.

(5) Monitoring, in accordance with charter contract terms, the performance and legal compliance of charter schools.

(6) Determining whether each charter contract merits renewal, nonrenewal, or revocation.

(b) An authorizing entity may delegate its duties to officers, employees, and contractors.

(c) Regulation by authorizers is limited to the powers and duties set forth in subsection (a) of this Section and must be consistent with the spirit and intent of this Article.

(d) An authorizing entity, members of the local school board, or the Commission, in their official capacity, and employees of an authorizer are immune from civil and criminal liability with respect to all activities related to a charter school that they authorize, except for willful or wanton misconduct.

(e) The Commission, and all local school boards, and university authorizers that have a charter school operating are required to develop and maintain chartering policies and practices consistent with recognized principles and standards for quality charter authorizing in all major areas of authorizing responsibility, including all of the following:

(1) Organizational capacity and infrastructure.

(2) Soliciting and evaluating charter applications.

(3) Performance contracting.

(4) Ongoing charter school oversight and evaluation.

(5) Charter renewal decision-making.

Authorizers shall carry out all their duties under this Article in a manner consistent with nationally recognized principles and standards and with the spirit and intent of this Article.

(Source: P.A. 97-152, eff. 7-20-11.)

(105 ILCS 5/27A-7.15 new)

Sec. 27A-7.15. University authorizers; application to State Board; applications to university authorizers.

(a) In any city having a population exceeding 500,000 inhabitants, a public institution of higher education, as defined by Section 1 of the Board of Higher Education Act, or a post-secondary educational institution, as defined in Section 1 of the Private College Act, that grants 4-year degrees may apply to the State Board to authorize high-quality charter schools that prioritize re-enrolled high school dropouts, at-risk students, or students at risk of dropping out.

(b) An eligible university under this Section shall apply to the State Board for approval as an authorizer before the university can authorize a charter school. An applicant must include in its application to the State Board at least the following:

(1) how chartering schools is a way for the applicant to carry out its mission;

(2) a description of the capacity of the applicant to serve as an authorizer, including the personnel who will perform the authorizing duties, their qualifications, the amount of time they will be assigned to this responsibility, and the financial resources allocated by the applicant to this responsibility;

(3) a description of the application and review process the applicant will use to make decisions regarding the granting of charters;

(4) the process to be used for providing ongoing oversight of the charter school consistent with the contract expectations that assures that the schools chartered comply with both the provisions of applicable law and the contract;

(5) the process for making decisions regarding the renewal or termination of the school's charter based on evidence that demonstrates the academic, organizational, and financial competency of the charter school, including its success in increasing student achievement and meeting the goals of the charter school agreement; and

(6) an assurance specifying that the applicant is committed to serving as an authorizer, including a written statement from the applicant's chancellor, president, or other official in a similar role supporting the application for authorization.

The State Board shall approve a university authorizer application if the applicant demonstrates its ability to implement the procedures and satisfy the criteria for authorizer responsibilities as set forth in subsection (a) of Section 27A-7.10.

(c) The State Board shall approve or deny a university authorizer application within 45 days of receipt of an application. The State Board shall notify a denied applicant in writing of the specific deficiencies. If denied, the applicant may submit a revised application within 30 business days. After receipt of the revised application, the State Board has 30 business days to make a final decision to approve or deny the application. A denied applicant under this Section may resubmit an application in a future application period.

(d) The State Board shall annually review a university authorizer's performance and, after completing the review, shall transmit a report with findings to the university authorizer. The State Board may at any time take corrective action against a university authorizer, including terminating a university authorizer's ability to charter a school for:

(1) failing to demonstrate the criteria under subsection (b) of this Section under which the State Board approved the university authorizer;

(2) unsatisfactory performance as an approved university authorizer; or

(3) any good cause shown that provides the State Board a legally sufficient reason to take corrective action against an authorizer.

The State Board shall adopt rules to ensure that a university authorizer is afforded due process protections during a corrective action process. These rules shall include providing a university authorizer with written notice of the State Board's decision, an opportunity for the university authorizer to be heard, and a timeline for final disposition of the State Board's decision.

(e) In the event that a university authorizer loses its authorizing authority, either voluntarily or through State Board termination, the State Board shall assist any charter school authorized by the university authorizer with securing a new authorizer. Charter schools under a closing university authorizer may transfer to a local school board with the approval of that local school board. If the local school board does not approve a transfer of a charter school as allowed under this subsection (e), the charter school shall be transferred to the Commission. The State Board shall approve the transfer of a charter school authorized by a university authorizer to a local school board or the Commission under this subsection (e).

(f) A university authorizer may approve proposals from new charter school applicants and existing charter schools that are in the final year of their contract with their local school board or boards, and authorize the transfer of an existing charter school that is currently operating under a contract with a local school board or boards.

(1) A charter school currently authorized by a local school board or boards may seek transfer of authorization to a university authorizer during its current term only with the approval of the local school board or boards.

(2) A charter school authorized by a local school board may apply to not more than one university authorizer during its final year of its contract in lieu of applying for a renewal with its current local school board authorizer. A charter school originally authorized by a local school board shall not simultaneously apply to both a university authorizer for a new charter contract and its local school board for a renewed contract. If a university authorizer approves an application from an existing charter school, the charter school and its local school board or boards shall terminate their charter contract on June 30 of that calendar year and shall engage in the closure processes set forth in subsection (a) of Section 27A-10.10, unless the charter school and local school board or boards mutually agree to other terms. If a charter school originally authorized by a local school board or boards is denied approval from a university authorizer, the charter school may appeal its local school board's or boards' decision not to renew to the Commission. The Commission shall abide by the requirements set forth in Section 27A-9 regarding appeals of local school board's decisions not to renew a charter.

(g) A charter school deemed a replicating charter before the effective date of this amendatory Act of the 100th General Assembly that is approved by a university authorizer shall maintain replication status.

(h) In evaluating any charter school proposal submitted to it, a university authorizer shall give preference to proposals that:

(1) demonstrate a high level of local pupil, parental, community, business, and school personnel support;

(2) set rigorous levels of expected pupil achievement and demonstrate feasible plans for attaining those levels of achievement; and

(3) are designed to enroll and serve a substantial proportion of re-enrolled high school dropouts, students at risk of dropping out, or at-risk students.

(i) A charter school approved by a university authorizer shall be its own local education agency.

(j) A university authorizer shall grant charters in accordance with the charter terms set forth in subsection (a) of Section 27A-9. A university authorizer shall evaluate decisions to renew, not to renew, or a revoke a charter in accordance with the requirements set forth in subsections (b) and (c) of Section 27A-9. A charter school authorized by university authorizers may appeal a decision to revoke or not to renew its charter to the Commission, as set forth by the procedures in Section 27A-9.

(k) A university authorizer may charge a charter school that it authorizes a fee, not to exceed 3% of the revenue provided to the school, to cover the cost of undertaking the ongoing administrative responsibilities of the eligible chartering authority with respect to the school. The revenues from those fees shall be used for the following purposes: personal services, contractual services, and other operational and administrative costs related to the authorization and oversight of the university authorizer's charter schools.

(l) In no event shall the funding for university-authorized charter schools be less than 75% or more than 125% of the host school district's per capita student tuition multiplied by the number of students residing in the host school district who are enrolled in the university-authorized charter school. The university authorizer shall report the aggregate number of charter school pupils resident in a school district to the State Board. The State Board shall report the enrollment numbers to that district and shall notify the district of the amount of funding to be paid to the university-authorized charter school enrolling such students. The State Board shall withhold from funds otherwise due the district the funds authorized by this Article to be paid to the university-authorized charter school and shall pay those amounts to the university-authorized charter school.

(m) The State Board shall pay directly to a university-authorized charter school any federal or State aid attributable to a student with a disability attending the school. The proportionate share of moneys generated under other federal or State categorical aid programs shall be directed to those charter schools serving students eligible for that aid. (n) Enrollment in a university-authorized charter school shall be open to any student who resides within 50 miles of the university-authorized charter school.".