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S.B. 5 Enrolled
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AMENDMENTS TO THE MINIMUM SCHOOL
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PROGRAM BUDGET
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2006 GENERAL SESSION
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STATE OF UTAH
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Chief Sponsor: Howard A. Stephenson
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House Sponsor:
Gordon E. Snow
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LONG TITLE
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General Description:
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This bill provides funding for the Minimum School Program.
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Highlighted Provisions:
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This bill:
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. creates a cap on the number of charter schools that the State Charter School Board
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may authorize to begin operations in the 2007-08 school year;
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. modifies provisions governing the inclusion of foreign exchange students for the
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purpose of apportioning state monies;
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. establishes the value of the weighted pupil unit at $2,417;
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. establishes a ceiling for the state contribution to the maintenance and operations
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portion of the Minimum School Program for fiscal year 2006-07 of $2,032,219,545;
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. authorizes the State Board of Education to use nonlapsing balances to restore
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special education funding;
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. makes one-time appropriations for fiscal year 2006-07 for:
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. pupil transportation;
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. library books and supplies;
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. the Enrollment Growth Program;
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. charter schools;
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. classroom supplies; and
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. a charter school study.
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Monies Appropriated in this Bill:
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This bill appropriates:
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. as an ongoing appropriation, $2,011,119,545 from the Uniform School Fund for
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fiscal year 2006-07;
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. for fiscal year 2006-07 only, $150,000 from the General Fund; and
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. for fiscal year 2006-07 only, $31,100,000 from the Uniform School Fund.
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Other Special Clauses:
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This bill takes effect on July 1, 2006.
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This bill coordinates with S.B. 3 by providing that certain amendments in this bill
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supersede the amendments in S.B. 3.
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Utah Code Sections Affected:
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AMENDS:
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53A-1a-515, as last amended by Chapter 291, Laws of Utah 2005
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53A-2-206, as last amended by Chapter 257, Laws of Utah 2004
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53A-17a-103, as last amended by Chapters 9 and 184, Laws of Utah 2005
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53A-17a-104, as last amended by Chapters 9 and 184, Laws of Utah 2005
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53A-17a-148, as last amended by Chapters 9 and 184, Laws of Utah 2005
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ENACTS:
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53A-1a-502.5, Utah Code Annotated 1953
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Be it enacted by the Legislature of the state of Utah:
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Section 1.
Section
53A-1a-502.5
is enacted to read:
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53A-1a-502.5. State Charter School Board to authorize the establishment of
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charter schools.
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The State Charter School Board may only authorize:
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(1) a maximum of five charter schools that will begin operation in the 2007-08 school
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year; and
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(2) a combined maximum student capacity of 5,000 students for the charter schools
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authorized in accordance with Subsection (1).
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Section 2.
Section
53A-1a-515
is amended to read:
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53A-1a-515. Charters authorized by local school boards.
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(1) (a) Individuals and entities identified in Section
53A-1a-504
may enter into an
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agreement with a local school board to establish and operate a charter school within the
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geographical boundaries of the school district administered by the board.
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(b) The charter schools described in Subsection (1)(a) are in addition to the limited
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number of charter schools authorized by the State Charter School Board in Section
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53A-1a-502.5
.
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(2) (a) An existing public school that converts to charter status under a charter granted
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by a local school board may:
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(i) continue to receive the same services from the school district that it received prior to
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its conversion; or
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(ii) contract out for some or all of those services with other public or private providers.
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(b) Any other charter school authorized by a local school board may contract with the
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board to receive some or all of the services referred to in Subsection (3)(a).
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(3) (a) (i) A public school that converts to a charter school under a charter granted by a
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local school board shall receive funding:
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(A) through the school district; and
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(B) on the same basis as it did prior to its conversion to a charter school.
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(ii) The school may also receive federal monies designated for charter schools under
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any federal program.
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(b) (i) A local school board-authorized charter school operating in a facility owned by
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the school district and not paying reasonable rent to the school district shall receive funding:
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(A) through the school district; and
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(B) on the same basis that other district schools receive funding.
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(ii) The school may also receive federal monies designated for charter schools under
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any federal program.
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(c) Any other charter school authorized by a local school board shall receive funding as
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provided in Section
53A-1a-513
.
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(4) (a) A local school board that receives an application for a charter school under this
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section shall, within 45 days, either accept or reject the application.
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(b) If the board rejects the application, it shall notify the applicant in writing of the
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reason for the rejection.
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(c) The applicant may submit a revised application for reconsideration by the board.
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(d) If the local school board refuses to authorize the applicant, the applicant may seek a
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charter from the State Charter School Board under Section
53A-1a-505
.
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(5) The State Board of Education shall make a rule providing for a timeline for the
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opening of a charter school following the approval of a charter school application by a local
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school board.
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(6) (a) After approval of a charter school application, the applicant and the local school
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board shall set forth the terms and conditions for the operation of the charter school in a written
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contractual agreement.
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(b) The agreement is the school's charter.
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(7) A local school board shall:
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(a) annually review and evaluate the performance of charter schools authorized by the
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local school board and hold the schools accountable for their performance;
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(b) monitor charter schools authorized by the local school board for compliance with
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federal and state laws, rules, and regulations; and
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(c) provide technical support to charter schools authorized by the local school board to
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assist them in understanding and performing their charter obligations.
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(8) A local school board may terminate a charter school it authorizes as provided in
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Sections
53A-1a-509
and
53A-1a-510
.
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(9) The governing body of a local school board-authorized charter school shall be
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independent of the local school board except as otherwise specifically provided in this chapter.
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Section 3.
Section
53A-2-206
is amended to read:
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53A-2-206. Exchange and interstate compact students -- Inclusion in attendance
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count -- Annual report -- Requirements for exchange student agencies.
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(1) A school district or charter school may include the following students in the
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district's or school's membership and attendance count for the purpose of apportionment of
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state monies:
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(a) a foreign exchange student sponsored by an agency approved by the district's local
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school board or charter school's governing board, subject to the limitation of Subsection (2);
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(b) a student enrolled under an interstate compact, established between the State Board
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of Education and the state education authority of another state, under which a student from one
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compact state would be permitted to enroll in a public school in the other compact state on the
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same basis as a resident student of the receiving state; or
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(c) a student receiving services under the Compact on Placement of Children.
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(2) (a) [The] Through June 30, 2007, number of foreign exchange students that may be
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counted for the purpose of apportioning state monies shall be the lesser of:
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[(a)] (i) the number of foreign exchange students:
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[(i)] (A) enrolled in the school district or charter school; and
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[(ii)] (B) sponsored by an exchange student agency approved by the district's local
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school board or charter school's governing board; or
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[(b)] (ii) the number of students that have withdrawn from the school district or charter
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school to participate in a foreign exchange program in a foreign country.
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(b) (i) Beginning July 1, 2007, the total number of foreign exchange students in the
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state that may be counted for the purpose of apportioning state monies shall be the lesser of:
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(A) the number of foreign exchange students enrolled in public schools in the state on
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October 1 of the previous fiscal year; or
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(B) 328 foreign exchange students.
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(ii) The State Board of Education shall make rules in accordance with Title 63, Chapter
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46a, Utah Administrative Rulemaking Act, to administer the cap on the number of foreign
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exchange students that may be counted for the purpose of apportioning state monies.
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(3) A school district or charter school may:
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(a) enroll foreign exchange students that do not qualify for state monies; and
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(b) pay for the costs of those students with other funds available to the school district
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or charter school.
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(4) Due to the benefits to all students of having the opportunity to become familiar
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with individuals from diverse backgrounds and cultures, school districts are encouraged to
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enroll foreign exchange students, as provided in Subsection (3), particularly in schools with
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declining or stable enrollments where the incremental cost of enrolling the foreign exchange
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student may be minimal.
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(5) The board shall make an annual report to the Legislature on the number of
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exchange students and the number of interstate compact students sent to or received from
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public schools outside the state.
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(6) (a) A local school board or charter school governing board shall require each
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approved exchange student agency to provide it with a sworn affidavit of compliance prior to
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the beginning of each school year.
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(b) The affidavit shall include the following assurances:
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(i) that the agency has complied with all applicable policies of the board;
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(ii) that a household study, including a background check of all adult residents, has
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been made of each household where an exchange student is to reside, and that the study was of
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sufficient scope to provide reasonable assurance that the exchange student will receive proper
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care and supervision in a safe environment;
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(iii) that host parents have received training appropriate to their positions, including
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information about enhanced criminal penalties under Subsection
76-5-406
(10) for persons who
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are in a position of special trust;
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(iv) that a representative of the exchange student agency shall visit each student's place
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of residence at least once each month during the student's stay in Utah;
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(v) that the agency will cooperate with school and other public authorities to ensure
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that no exchange student becomes an unreasonable burden upon the public schools or other
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public agencies;
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(vi) that each exchange student will be given in the exchange student's native language
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names and telephone numbers of agency representatives and others who could be called at any
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time if a serious problem occurs; and
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(vii) that alternate placements are readily available so that no student is required to
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remain in a household if conditions appear to exist which unreasonably endanger the student's
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welfare.
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(7) (a) A local school board or charter school governing board shall provide each
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approved exchange student agency with a list of names and telephone numbers of individuals
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not associated with the agency who could be called by an exchange student in the event of a
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serious problem.
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(b) The agency shall make a copy of the list available to each of its exchange students
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in the exchange student's native language.
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Section 4.
Section
53A-17a-103
is amended to read:
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53A-17a-103. Definitions.
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As used in this chapter:
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(1) "Basic state-supported school program" or "basic program" means public education
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programs for kindergarten, elementary, and secondary school students that are operated and
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maintained for the amount derived by multiplying the number of weighted pupil units for each
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district by [$2,280] $2,417, except as otherwise provided in this chapter.
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(2) "Certified revenue levy" means a property tax levy that provides an amount of ad
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valorem property tax revenue equal to the sum of:
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(a) the amount of property tax revenue to be generated statewide in the previous year
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from imposing a minimum basic tax rate, as specified in Subsection
53A-17a-135
(1)(a); and
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(b) the product of:
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(i) new growth, as defined in Section
59-2-924
and rules of the State Tax Commission;
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and
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(ii) the minimum basic tax rate certified by the State Tax Commission for the previous
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year.
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(3) "Leeway program" or "leeway" means a state-supported voted leeway program or
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board leeway program authorized under Section
53A-17a-133
or
53A-17a-134
.
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(4) "Pupil in average daily membership (ADM)" means a full-day equivalent pupil.
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(5) (a) "State-supported minimum school program" or "minimum school program"
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means public school programs for kindergarten, elementary, and secondary schools as
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described in this Subsection (5).
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(b) The minimum school program established in the districts shall include the
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equivalent of a school term of nine months as determined by the State Board of Education.
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(c) (i) The board shall establish the number of days or equivalent instructional hours
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that school is held for an academic school year.
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(ii) Education, enhanced by utilization of technologically enriched delivery systems,
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when approved by local school boards, shall receive full support by the State Board of
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Education as it pertains to fulfilling the attendance requirements, excluding time spent viewing
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commercial advertising.
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(d) The program includes the total of the following annual costs:
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(i) the cost of a basic state-supported school program; and
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(ii) other amounts appropriated in this chapter in addition to the basic program.
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(6) "Weighted pupil unit or units or WPU or WPUs" means the unit of measure of
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factors that is computed in accordance with this chapter for the purpose of determining the
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costs of a program on a uniform basis for each district.
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Section 5.
Section
53A-17a-104
is amended to read:
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53A-17a-104. Amount of state's contribution toward minimum school program.
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(1) The total contribution of the state toward the cost of the minimum school program
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may not exceed the sum of [$1,794,543,275] $2,032,219,545 for the fiscal year beginning July
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1, [2005] 2006, except as otherwise provided by the Legislature through supplemental
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appropriations.
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(2) There is appropriated from state and local funds for fiscal year [2005-06] 2006-07
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for distribution to school districts and charter schools, in accordance with this chapter, monies
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for the following purposes and in the following amounts:
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(a) basic program - kindergarten, [$50,992,200 (22,365 WPUs)] $57,234,560 (23,680
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WPUs);
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(b) basic program - grades 1-12, [$1,014,932,880 (445,146 WPUs)] $1,118,053,443
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(462,579 WPUs);
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(c) basic program - professional staff, [$99,273,480 (43,541 WPUs)] $106,128,053
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(43,909 WPUs);
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(d) basic program - administrative costs, [$3,789,360 (1,662 WPUs)] $3,937,293
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(1,629 WPUs);
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(e) basic program - necessarily existent small schools and units for consolidated
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schools, [$17,779,440 (7,798 WPUs)] $18,487,633 (7,649 WPUs);
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(f) special education - regular program - add-on WPUs for students with disabilities,
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[$125,076,240 (54,858 WPUs)] $136,350,221 (56,413 WPUs);
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(g) preschool special education program, [$16,509,480 (7,241 WPUs)] $19,717,886
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(8,158 WPUs);
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(h) self-contained regular WPUs, [$28,999,320 (12,719 WPUs)] $32,148,517 (13,301
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WPUs);
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(i) extended year program for severely disabled, [$813,960 (357 WPUs)] $887,039
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(367 WPUs);
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(j) special education programs in state institutions and district impact aid, [$3,196,560
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(1,402 WPUs)] $3,487,731 (1,443 WPUs);
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(k) applied technology and technical education district programs, [$54,943,440 (24,098
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WPUs)] $59,934,349 (24,797 WPUs), including [$985,880] $1,045,033 for summer applied
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technology agriculture programs;
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(l) applied technology district set-aside, [$2,348,400 (1,030 WPUs)] $2,562,020 (1,060
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WPUs);
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(m) class size reduction, [$70,162,440 (30,773 WPUs)] $74,378,341 (30,773 WPUs);
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(n) Social Security and retirement programs, [$272,224,533] $310,891,038;
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(o) pupil transportation to and from school, [$59,058,267] $62,601,763, of which not
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less than [$2,050,537] $2,173,569 shall be allocated to the Utah Schools for the Deaf and Blind
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to pay for transportation costs of the schools' students;
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(p) guarantee transportation levy, $500,000;
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(q) Local Discretionary Block Grant Program, $21,820,748;
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(r) Interventions for Student Success Block Grant Program, [$15,842,347]
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$16,792,888;
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(s) Quality Teaching Block Grant Program, [$59,428,023] $62,993,704;
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(t) highly impacted schools, $5,123,207;
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(u) at-risk programs, [$26,557,600] $27,992,056;
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(v) adult education, [$7,630,805] $9,148,653;
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(w) accelerated learning programs, [$8,999,293] $12,010,853;
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(x) electronic high school, [$1,000,000] $1,300,000;
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(y) School LAND Trust Program, [$9,920,000] $15,000,000;
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(z) state-supported voted leeway, [$175,975,385] $196,085,303;
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(aa) state-supported board leeway, [$48,387,919] $54,704,476;
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(bb) charter schools, pursuant to Section
53A-1a-513
, [$12,559,950] $21,552,450;
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(cc) K-3 Reading Improvement Program, $12,500,000 ; and
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(dd) state-supported board leeway for K-3 Reading Improvement Program,
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$15,000,000.
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Section 6.
Section
53A-17a-148
is amended to read:
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53A-17a-148. Use of nonlapsing balances.
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[(1) For the fiscal year beginning on July 1, 2005, the State Board of Education may
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use up to $300,000 of nonlapsing balances for the following:]
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[(a) to stabilize the value of the weighted pupil unit;]
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[(b) to maintain program levels in school districts that may experience unanticipated
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and unforeseen losses of students;]
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[(c) to equalize programs in school districts where a strict application of the law
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provides inequity;]
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[(d) to pay the added cost when students attend school out of state; and]
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[(e) other uses approved by the board.]
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[(2) For the fiscal year beginning on July 1, 2005, the State Board of Education may
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use up to $1,000,000 of uncommitted nonlapsing balances for adult high school completion
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and adult basic skill programs.]
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[(3) For the fiscal year beginning on July 1, 2005, the State Board of Education shall
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use Minimum School Program nonlapsing balances to supplement the appropriation to charter
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schools for the replacement of local property tax revenues, up to the amount allowed under
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their formula detailed in Subsection
53A-1a-513
(4).]
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[(4) The State Board of Education may use Minimum School Program nonlapsing
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balances dedicated to the Public Education Job Enhancement Program to support program
295
administration as follows:]
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[(a) $26,000 is authorized in fiscal year 2004-05; and]
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[(b) $60,000 is authorized in fiscal year 2005-06.]
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The State Board of Education may use Minimum School Program nonlapsing balances
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to restore special education funding as follows:
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(1) up to $902,538 is authorized in fiscal year 2005-06; and
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(2) up to $902,538 is authorized in fiscal year 2006-07.
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Section 7. Ongoing appropriation for charter school administration.
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(1) As an ongoing appropriation subject to future budget constraints, there is
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appropriated for fiscal year 2006-07, $100,000 from the Uniform School Fund to the State
305
Board of Education for charter school administration.
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(2) The State Board of Education, in consultation with the State Charter School Board,
307
shall distribute the money appropriated in Subsection (1) on an equalized per student basis as
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determined by the actual fall enrollment count to charter schools that receive funding through
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the Minimum School Program - Administrative Cost Formula Program.
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Section 8. One-time appropriation for pupil transportation.
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There is appropriated from the Uniform School Fund to the State Board of Education
312
for fiscal year 2006-07 only, $5,000,000 for pupil transportation to and from school as
313
provided in Subsections
53A-17a-127
(1) through (5).
314
Section 9. One-time appropriation for library books and supplies.
315
(1) There is appropriated from the Uniform School Fund to the State Board of
316
Education for fiscal year 2006-07 only, $2,000,000 for library books and supplies.
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(2) It is the intent of the Legislature that the State Board of Education shall distribute
318
the money appropriated in Subsection (1) as follows:
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(a) 25% shall be divided equally among all public schools; and
320
(b) 75% shall be divided among public schools based on each school's average daily
321
membership as compared to the total state average daily membership.
322
Section 10. One-time appropriation for the Enrollment Growth Program.
323
There is appropriated from the Uniform School Fund to the State Board of Education
324
for fiscal year 2006-07 only, $10,000,000 for the Enrollment Growth Program described in
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Section
53A-21-103.5
.
326
Section 11. One-time appropriation for charter schools.
327
(1) There is appropriated from the Uniform School Fund to the State Board of
328
Education for fiscal year 2006-07 only, $7,100,000 for charter schools.
329
(2) It is the intent of the Legislature that the State Board of Education shall distribute
330
the money appropriated in Subsection (1) based upon average daily membership of the charter
331
schools.
332
Section 12. One-time appropriation for classroom supplies.
333
(1) There is appropriated from the Uniform School Fund to the State Board of
334
Education for fiscal year 2006-07 only, $7,000,000 for classroom supplies and materials.
335
(2) (a) The board shall distribute the appropriation to classroom teachers in school
336
districts, the Schools for the Deaf and the Blind, the Edith Bowen Laboratory School, and
337
charter schools on the basis of the number of classroom teachers in each school as compared to
338
the total number of classroom teachers.
339
(b) Teachers shall receive up to the following amounts:
340
(i) a teacher on salary schedule steps one through three teaching in grades kindergarten
341
through six or preschool handicapped - $360;
342
(ii) a teacher on salary schedule steps one through three teaching in grades seven
343
through twelve - $310;
344
(iii) a teacher on salary schedule step four or higher teaching in grades kindergarten
345
through six or preschool handicapped - $285; and
346
(iv) a teacher on salary schedule step four or higher teaching in grades seven through
347
twelve - $235.
348
(c) If the appropriation in Subsection (1) is not sufficient to provide to each teacher the
349
full amount allowed under Subsection (2)(b), teachers on salary schedule steps one through
350
three shall receive the full amount allowed with the remaining monies apportioned to all other
351
teachers.
352
(d) Teachers shall spend the money for school supplies, materials, or field trips under
353
rules adopted by the State Board of Education.
354
(e) As used in this section, "classroom teacher" or "teacher" means permanent teacher
355
positions filled by one teacher or two or more job-sharing teachers:
356
(i) who are licensed personnel;
357
(ii) who are paid on the teacher's salary schedule;
358
(iii) who are hired for an entire contract period; and
359
(iv) whose primary function is to provide instructional or a combination of
360
instructional and counseling services to students in public schools.
361
Section 13. One-time appropriation for charter school study.
362
(1) (a) There is appropriated $150,000 from the General Fund for fiscal year 2006-07
363
only to the Office of Legislative Research and General Counsel for a charter school study under
364
the direction and approval of the Executive Appropriations Committee.
365
(b) As directed and approved by the Executive Appropriations Committee, the Office
366
of Legislative Research and General Counsel and the Office of the Legislative Fiscal Analyst
367
shall jointly conduct the study.
368
(c) In conducting the study, the Office of Legislative Research and General Counsel
369
and the Office of the Legislative Fiscal Analyst shall consult with the Office of the Legislative
370
Auditor General, State Board of Education, State Charter School Board, charter schools, and
371
school districts.
372
(2) The study shall:
373
(a) evaluate the services provided to charter schools by the divisions within the Utah
374
State Office of Education and by the school districts where charter schools are located;
375
(b) identify tasks required of the State Charter School Board to assume its statutory
376
obligations;
377
(c) identify long-term administrative needs of the state and school districts required to
378
sustain charter schools;
379
(d) evaluate the financial condition of the state's charter schools;
380
(e) examine funding equity between charter schools and district schools;
381
(f) compare the use of a local tax replacement formula to a local revenue sharing
382
mechanism;
383
(g) determine school level administrative costs;
384
(h) identify the financial needs of and sources of funding for charter schools as they
385
begin operations;
386
(i) evaluate a school district's role and responsibility in funding a student attending a
387
charter school;
388
(j) examine the current process used to assess a charter school's financial plan and
389
long-term sustainability;
390
(k) (i) identify requirements for granting charters to schools that primarily serve special
391
needs students; and
392
(ii) examine the financial feasibility of operating a charter school that primarily serves
393
special needs students;
394
(l) identify needs of charter schools relating to securing and maintaining adequate
395
facilities to support the operations of a school;
396
(m) evaluate a school district's role and responsibility in providing for the capital
397
facility needs of students attending a charter school;
398
(n) examine processes governing charter school facility leases and procurement
399
contracts for school construction;
400
(o) summarize the experience of other states relating to growth and oversight of charter
401
schools;
402
(p) evaluate how charter school and student growth affects the public education system
403
as a whole; and
404
(q) make recommendations on how to accommodate growth in the number of charter
405
schools and students attending charter schools, in terms of administration and funding.
406
(3) The Office of Legislative Research and General Counsel and the Office of the
407
Legislative Fiscal Analyst shall coordinate with the Department of Administrative Services to
408
address the liability of the state in regards to charter school facilities and leases.
409
(4) The Office of Legislative Research and General Counsel and the Office of the
410
Legislative Fiscal Analyst shall report the findings of the study to the Executive Appropriations
411
Committee prior to October 31, 2006.
412
Section 14. Effective date.
413
This bill takes effect on July 1, 2006.
414
Section 15. Coordinating S.B. 5 with S.B. 3 -- Superseding amendments.
415
If this S.B. 5 and S.B. 3, Minimum School Program Base Budget Amendments, both
416
pass, it is the intent of the Legislature that the amendments to Sections
53A-17a-103
and
417
53A-17a-104
in S.B. 5 supersede the amendments to Sections
53A-17a-103
and
53A-17a-104
418
in S.B. 3 when the Office of Legislative Research and General Counsel prepares the Utah Code
419
database for publication.
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