Bill Text: PA HB1802 | 2009-2010 | Regular Session | Introduced

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Bill Title: Further providing for funding for charter schools and for annual reports and assessments.

Spectrum: Moderate Partisan Bill (Democrat 13-4)

Status: (Introduced - Dead) 2009-06-30 - Referred to EDUCATION [HB1802 Detail]

Download: Pennsylvania-2009-HB1802-Introduced.html

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PRINTER'S NO. 2338
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 1802 Session of2009
INTRODUCED BY McILVAINE SMITH, MICOZZIE, GRUCELA, MILLER, HARHAI, MOUL, KORTZ, O'NEILL, KULA, MUNDY, ROEBUCK, SANTONI, SEIP, STURLA, WHITE AND READSHAW, JUNE 30, 2009
REFERRED TO COMMITTEE ON EDUCATION, JUNE 30, 2009
AN ACT
Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An
act relating to the public school system, including certain
provisions applicable as well to private and parochial
schools; amending, revising, consolidating and changing the
laws relating thereto," further providing for funding for
charter schools and for annual reports and assessments.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 1725-A(a) of the act of March 10, 1949
(P.L.30, No.14), known as the Public School Code of 1949,
amended June 29, 2002 (P.L.524, No.88), is amended to read:
Section 1725-A. Funding for Charter Schools.--(a) Funding
for a charter school shall be provided in the following manner:
(1) There shall be no tuition charge for a resident or
nonresident student attending a charter school.
(1.1) For the 2009-2010 school year and each school year
thereafter, the department shall establish a cyber education
actual cost level and a cyber special education actual cost
level as follows:
(i) The department shall establish the cyber education
actual cost level for the 2009-2010 school year by determining
the lowest 2007-2008 total expenditures per average daily
membership, after having subtracted all expenditures for special
education, of all cyber charter schools that achieved adequate
yearly progress in the 2006-2007 or 2007-2008 school years. The
amount shall be certified by the department and adjusted
annually by the percentage increase in the average of the
Statewide average weekly wage and the employment cost index.
(ii) The department shall establish the cyber special
education actual cost level for the 2009-2010 school year by
calculating the sum of the amount determined under subparagraph
(i) and the lowest 2007-2008 expenditures for special education
per special education student of all cyber charter schools that
achieved adequate yearly progress in the 2006-2007 or 2007-2008
school years. The amount shall be certified by the department
and adjusted annually by the percentage increase in the average
of the Statewide average weekly wage and the employment cost
index.
(2) (i) For non-special education students enrolled in a
charter school that is not a cyber charter school, the charter
school shall receive for each student enrolled no less than the
budgeted total expenditure per average daily membership of the
prior school year, as defined in section 2501(20), minus the
budgeted expenditures of the district of residence for nonpublic
school programs; adult education programs; community/junior
college programs; student transportation services; for special
education programs; facilities acquisition, construction and
improvement services; and other financing uses, including debt
service and fund transfers as provided in the Manual of
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Accounting and Related Financial Procedures for Pennsylvania
School Systems established by the department. This amount shall
be paid by the district of residence of each student[.] or, upon
written request of the charter school, by the department to the
charter school in which a Pennsylvania resident student is
enrolled from any allocation for basic education funding to
which the school district in which the student resides is
entitled. The department shall establish payment guidelines and
notify the school district of receipt of a request for direct
payment by the department.
(ii) (A) In the 2009-2010 school year and each school year
thereafter, for non-special education students enrolled in a
cyber charter school, the cyber charter school shall receive for
each student enrolled the lesser of:
(I) An amount equal to the cyber education actual cost
level.
(II) The amount determined under subparagraph (i).
(B) The amount under this subparagraph shall be paid by the
district of residence of each student or, upon written request
of the charter school, by the department to the charter school
in which a Pennsylvania resident student is enrolled from any
allocation for basic education funding to which the school
district in which the student resides is entitled. The
department shall establish payment guidelines and notify the
school district of the receipt of a request for direct payment
by the department.
(3) (i) For special education students enrolled in a
charter school that is not a cyber charter school, the charter
school shall receive for each student enrolled the same funding
as for each non-special education student as provided in clause
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(2), plus an additional amount determined by dividing the
district of residence's total special education expenditure by
the product of multiplying the combined percentage of section
2509.5(k) times the district of residence's total average daily
membership for the prior school year, except that, for students
identified as speech or language impaired, the charter shall
receive for each student twenty per centum of the additional
amount calculated under this subsection. This amount shall be
paid by the district of residence of each student or, upon
written request of the charter school, by the department to the
charter school in which a Pennsylvania resident student is
enrolled from any allocation for basic education funding to
which the school district in which the student resides is
entitled. The department shall establish payment guidelines and
notify the school district of the receipt of a request for
direct payment by the department.
(ii) (A) In the 2009-2010 school year and each school year
thereafter, for special education students enrolled in a cyber
charter school, the cyber charter school shall receive for each
student enrolled the lesser of:
(I) An amount equal to the cost of the cyber special
education actual cost level.
(II) The amount determined under subclause (i).
(B) The amount under this subclause shall be paid by the
district of residence of each student or, upon written request
of the charter school, by the department to the charter school
in which a Pennsylvania resident student is enrolled from any
allocation for basic education funding to which the school
district in which the student resides is entitled. The
department shall establish payment guidelines and notify the
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school district of the receipt of a request for direct payment
by the department.
(iii) No later than November 15, 2009, and November 15 of
each year thereafter, if in any charter school the total actual
special education expenses for the prior school year are less
than the total special education payments made for that school
year by all school entities based on the result of an
independently audited annual financial report submitted by the
charter school to the department, the difference shall be
distributed to the school entities with students enrolled in the
charter school in the prior school year in proportion to the
number of students in average daily membership from each school
entity and each school's per pupil payment level under clause
(3).
(4) A charter school may request the intermediate unit in
which the charter school is located to provide services to
assist the charter school to address the specific needs of
exceptional students. The intermediate unit shall assist the
charter school and bill the charter school for the services. The
intermediate unit may not charge the charter school more for any
service than it charges the constituent districts of the
intermediate unit.
(5) Payments shall be made to the charter school in twelve
(12) equal monthly payments, by the fifth day of each month,
within the operating school year, unless the charter school
receives direct payment from the department. A student enrolled
in a charter school shall be included in the average daily
membership of the student's district of residence for the
purpose of providing basic education funding payments and
special education funding pursuant to Article XXV. If a school
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district fails to make a payment to a charter school as
prescribed in this clause, the secretary shall deduct the
estimated amount, as documented by the charter school, from any
and all State payments made to the district after receipt of
documentation from the charter school.
(6) Within thirty (30) days after the secretary makes the
deduction described in clause (5) or if the charter school
receives direct payment from the department, a school district
may notify the secretary that the deduction made from State
payments to the district under this subsection is inaccurate.
The secretary shall provide the school district with an
opportunity to be heard concerning whether the charter school
documented that its students were enrolled in the charter
school, the period of time during which each student was
enrolled, the school district of residence of each student and
whether the amounts deducted from the school district were
accurate.
(7) (i) For the 2009-2010 school year and each school year
thereafter, no cyber charter school shall accumulate an
unreserved, undesignated fund balance greater than the cyber
charter fund balance limit, which shall be determined as
follows:
Cyber Charter SchoolBudgeted Expenditures Total Maximum Unreserved, Undesignated Fund Balance as Percentage of Total Budgeted Expenditures
Less Than or Equal to $11,999,999 12%
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Between $12,000,000 and $12,999,999 11.5%
Between $13,000,000 and $13,999,999 11%
Between $14,000,000 and $14,999,999 10.5%
Between $15,000,000 and $15,999,999 10%
Between $16,000,000 and $16,999,999 9.5%
Between $17,000,000 and $17,999,999 9%
Between $18,000,000 and $18,999,999 8.5%
Greater than or equal to $19,000,000 8%
(ii) Any unreserved, undesignated fund balance in place on
June 30, 2009, that exceeds the cyber charter fund balance limit
shall be distributed by the cyber charter school as follows:
(A) The cyber charter school may expend up to forty per
centum of the fund balance in excess of the limit, but no more
than $1,000,000, on professional development, student supplies,
technology, instructional activities directly affecting student
performance, to provide a discount to the cyber education actual
cost level and cyber special education actual cost level to all
school districts on behalf of enrolled students or other
activities as approved by the secretary upon application by the
cyber charter school. The funds may not be used to pay bonuses
to any employe or contractor.
(B) The remainder shall be refunded on a pro rata basis
within ninety (90) days to all school districts that paid
tuition to the cyber charter school on behalf of students
enrolled in the 2007-2008 and 2008-2009 school years.
(iii) For the 2009-2010 school year and each school year
thereafter, any unreserved, undesignated fund balance in excess
of the cyber charter fund balance limit shall be refunded on a
pro rata basis to all school districts that paid tuition to the
cyber charter school in the prior school year.
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(8) Except in the case of any student enrolled in a cyber
charter school on the effective date of this clause, a school
district shall not be required to provide per pupil funding to
cyber charter schools for a student who does not meet the
minimum requirement for the age of kindergarten or beginner
established by the board of school directors in the student's
school district of residence. The term "beginners," as used in
this clause, shall mean any child that should enter the lowest
grade of the primary school or the lowest primary class above
the kindergarten level.
(9) If a student's school district of residence does not
offer full-day kindergarten, the school district of residence
shall only be required to pay a cyber charter school one-half of
the amount calculated under clause (2)(ii) or (3)(ii) for any
student who is enrolled in kindergarten in a cyber charter
school.
* * *
Section 2. Section 1728-A of the act is amended by adding a
subsection to read:
Section 1728-A. Annual Reports and Assessments.--* * *
(d) The department shall publish an annual report that does
all of the following:
(1) Identifies charter schools whose students are
academically out-performing comparable students enrolled in the
chartering school district.
(2) Describes best practices used in the charter schools
identified under clause (1) that should be disseminated to all
school districts and charter schools.
(3) Makes any necessary recommendations to the General
Assembly to further the dissemination and implementation of the
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best practices identified under clause (2).
Section 3. This act shall take effect July 1, 2009, or
immediately, whichever is later.
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