2004 Legislation
Print Friendly

SENATE BILL NO. 1310 – Charter school, financial rpt

SENATE BILL NO. 1310

View Bill Status

View Bill Text

View Amendment

View Engrossed Bill (Original Bill with Amendment(s) Incorporated)

View Statement of Purpose / Fiscal Impact



Text to be added within a bill has been marked with Bold and
Underline. Text to be removed has been marked with
Strikethrough and Italic. How these codes are actually displayed will
vary based on the browser software you are using.

This sentence is marked with bold and underline to show added text.

This sentence is marked with strikethrough and italic, indicating
text to be removed.

Bill Status



S1310aa........................................................by EDUCATION
CHARTER SCHOOLS - Amends existing law to clarify application of financial
reporting requirements to charter schools.
                                                                        
02/13    Senate intro - 1st rdg - to printing
02/16    Rpt prt - to Educ
02/23    Rpt out - to 14th Ord
03/02    Rpt out amen - to engros
03/03    Rpt engros - 1st rdg - to 2nd rdg as amen
03/04    2nd rdg - to 3rd rdg as amen
03/12    Ret'd to Educ

Bill Text


                                                                        
                                                                        
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-seventh Legislature                 Second Regular Session - 2004
                                                                        
                                                                        
                                       IN THE SENATE
                                                                        
                                    SENATE BILL NO. 1310
                                                                        
                                   BY EDUCATION COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO CHARTER SCHOOLS; AMENDING SECTION 33-5210, IDAHO CODE, TO  CLARIFY
  3        APPLICATION OF FINANCIAL REPORTING REQUIREMENTS TO CHARTER SCHOOLS.
                                                                        
  4    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
  5        SECTION  1.  That  Section 33-5210, Idaho Code, be, and the same is hereby
  6    amended to read as follows:
                                                                        
  7        33-5210.  APPLICATION OF SCHOOL LAW -- ACCOUNTABILITY  --  EXEMPTION  FROM
  8    STATE  RULES. (1) All public charter schools are under the general supervision
  9    of the state board of education.
 10        (2)  The local board of trustees and the  state  board  of  education  are
 11    responsible  to  ensure  that each charter school program approved by it meets
 12    the terms of the charter, complies with the  general  education  laws  of  the
 13    state  unless  specifically  directed  otherwise in this chapter 52, title 33,
 14    Idaho Code, and operates in accordance with the state educational standards of
 15    thoroughness as defined in section 33-1612, Idaho Code.
 16        (3)  Each  charter  school  shall  comply  with  the  financial  reporting
 17    requirements of section 33-701 subsections 5. through 10., Idaho Code, in  the
 18    same manner as those requirements are imposed upon school districts.
 19        (4)  Each  charter  school is otherwise exempt from rules governing school
 20    districts which have been promulgated by the state board of  education  or  by
 21    the  superintendent  of  public instruction, with the exception of state rules
 22    relating to:
 23        (a)  Waiver of teacher certification as necessitated by the provisions  of
 24        section 33-5205(3)(g), Idaho Code;
 25        (b)  Accreditation of the school as necessitated by the provisions of sec-
 26        tion 33-5205(3)(e), Idaho Code;
 27        (c)  Qualifications  of  a student for attendance at an alternative school
 28        as necessitated by the provisions of section 33-5208(3), Idaho Code; and
 29        (d)  The requirement that all employees of the school undergo  a  criminal
 30        history check as required by section 33-130, Idaho Code.

Amendment


                                                                        
                                                                        
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-seventh Legislature                 Second Regular Session - 2004
                                                                        
                                                                        
                                                     Moved by    Gannon              
                                                                        
                                                     Seconded by Goedde              
                                                                        
                                                                        
                                       IN THE SENATE
                             SENATE AMENDMENT TO S.B. NO. 1310
                                                                        
  1                                AMENDMENT TO THE BILL
  2        On page 1 of the printed bill, following line 4,  insert:
  3        "SECTION 1.  That Section 33-5204, Idaho Code, be, and the same is  hereby
  4    amended to read as follows:
                                                                        
  5        33-5204.  NONPROFIT  CORPORATION  -- LIABILITY -- INSURANCE. (1) A charter
  6    school shall be organized and managed under the  Idaho  nonprofit  corporation
  7    act.  The board of directors of a charter school shall be deemed public agents
  8    authorized by a public school district or the state board of education to con-
  9    trol the charter school, but shall function independently of any school  board
 10    of trustees, except as provided in the charter. A charter school shall be con-
 11    sidered  a  public  school  for  all  purposes and shall comply with the audit
 12    reporting requirements of section 33-701 6., Idaho Code,  and  shall  annually
 13    file financial and statistical reports as required in section 33-701 7., Idaho
 14    Code.  For  the  purposes of section 59-1302(15), Idaho Code, a charter school
 15    created pursuant to this chapter shall be deemed a governmental entity. Pursu-
 16    ant to the provisions of section 63-3622O, Idaho Code, sales to  or  purchases
 17    by a public charter school are exempt from payment of the sales and use tax. A
 18    charter  school  and the board of directors of a charter school are subject to
 19    the provisions of chapter 23, title 67, and chapter 3, title 9, Idaho Code, in
 20    the same manner that a public school and the board of school trustees are sub-
 21    ject to those provisions.
 22        (2)  A charter school may sue or be sued, purchase, receive, hold and con-
 23    vey real and personal property for school purposes, and borrow money for  such
 24    purposes,  to  the  same  extent and on the same conditions as a public school
 25    district, and its employees, directors and officers shall enjoy the same immu-
 26    nities as employees, directors and officers of  public  school  districts  and
 27    other  public  schools. The approving authority of a charter school shall have
 28    no liability for the acts, omissions, debts or other obligations of a  charter
 29    school,  except  as  may  be  provided  in  an agreement or contract with such
 30    charter school.
 31        (3)  Nothing in this chapter shall prevent the board  of  directors  of  a
 32    charter  school, operating as a nonprofit corporation, from borrowing money to
 33    finance the purchase of school building facilities. Subject to the terms of  a
 34    contractual  agreement  between  the  board and a lender, nothing herein shall
 35    prevent the board from using the facility as collateral for the loan.
 36        (4)  Charter schools shall secure insurance  for  liability  and  property
 37    loss.";
 38    and renumber the subsequent section of the bill accordingly.
                                                                        
 39                                 CORRECTION TO TITLE
 40        On  page  1,  in  line  2,  following "SCHOOLS;" insert: "AMENDING SECTION
 41    33-5204, IDAHO CODE, TO REMOVE CODE CITATIONS; AND".

Engrossed Bill (Original Bill with Amendment(s) Incorporated)


                                                                        
                                                                        
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-seventh Legislature                 Second Regular Session - 2004
                                                                        
                                                                        
                                       IN THE SENATE
                                                                        
                              SENATE BILL NO. 1310, As Amended
                                                                        
                                   BY EDUCATION COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO CHARTER SCHOOLS; AMENDING SECTION 33-5204, IDAHO CODE,  TO  REMOVE
  3        CODE  CITATIONS;  AND  AMENDING  SECTION  33-5210,  IDAHO CODE, TO CLARIFY
  4        APPLICATION OF FINANCIAL REPORTING REQUIREMENTS TO CHARTER SCHOOLS.
                                                                        
  5    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
  6        SECTION 1.  That Section 33-5204, Idaho Code, be, and the same  is  hereby
  7    amended to read as follows:
                                                                        
  8        33-5204.  NONPROFIT  CORPORATION  -- LIABILITY -- INSURANCE. (1) A charter
  9    school shall be organized and managed under the  Idaho  nonprofit  corporation
 10    act.  The board of directors of a charter school shall be deemed public agents
 11    authorized by a public school district or the state board of education to con-
 12    trol the charter school, but shall function independently of any school  board
 13    of trustees, except as provided in the charter. A charter school shall be con-
 14    sidered  a  public  school  for  all  purposes and shall comply with the audit
 15    reporting requirements of section 33-701 6., Idaho Code,  and  shall  annually
 16    file financial and statistical reports as required in section 33-701 7., Idaho
 17    Code.  For  the  purposes of section 59-1302(15), Idaho Code, a charter school
 18    created pursuant to this chapter shall be deemed a governmental entity. Pursu-
 19    ant to the provisions of section 63-3622O, Idaho Code, sales to  or  purchases
 20    by a public charter school are exempt from payment of the sales and use tax. A
 21    charter  school  and the board of directors of a charter school are subject to
 22    the provisions of chapter 23, title 67, and chapter 3, title 9, Idaho Code, in
 23    the same manner that a public school and the board of school trustees are sub-
 24    ject to those provisions.
 25        (2)  A charter school may sue or be sued, purchase, receive, hold and con-
 26    vey real and personal property for school purposes, and borrow money for  such
 27    purposes,  to  the  same  extent and on the same conditions as a public school
 28    district, and its employees, directors and officers shall enjoy the same immu-
 29    nities as employees, directors and officers of  public  school  districts  and
 30    other  public  schools. The approving authority of a charter school shall have
 31    no liability for the acts, omissions, debts or other obligations of a  charter
 32    school,  except  as  may  be  provided  in  an agreement or contract with such
 33    charter school.
 34        (3)  Nothing in this chapter shall prevent the board  of  directors  of  a
 35    charter  school, operating as a nonprofit corporation, from borrowing money to
 36    finance the purchase of school building facilities. Subject to the terms of  a
 37    contractual  agreement  between  the  board and a lender, nothing herein shall
 38    prevent the board from using the facility as collateral for the loan.
 39        (4)  Charter schools shall secure insurance  for  liability  and  property
 40    loss.
                                                                        
 41        SECTION  2.  That  Section 33-5210, Idaho Code, be, and the same is hereby
 42    amended to read as follows:
                                                                        
                                           2
                                                                        
  1        33-5210.  APPLICATION OF SCHOOL LAW -- ACCOUNTABILITY  --  EXEMPTION  FROM
  2    STATE  RULES. (1) All public charter schools are under the general supervision
  3    of the state board of education.
  4        (2)  The local board of trustees and the  state  board  of  education  are
  5    responsible  to  ensure  that each charter school program approved by it meets
  6    the terms of the charter, complies with the  general  education  laws  of  the
  7    state  unless  specifically  directed  otherwise in this chapter 52, title 33,
  8    Idaho Code, and operates in accordance with the state educational standards of
  9    thoroughness as defined in section 33-1612, Idaho Code.
 10        (3)  Each  charter  school  shall  comply  with  the  financial  reporting
 11    requirements of section 33-701 subsections 5. through 10., Idaho Code, in  the
 12    same manner as those requirements are imposed upon school districts.
 13        (4)  Each  charter  school is otherwise exempt from rules governing school
 14    districts which have been promulgated by the state board of  education  or  by
 15    the  superintendent  of  public instruction, with the exception of state rules
 16    relating to:
 17        (a)  Waiver of teacher certification as necessitated by the provisions  of
 18        section 33-5205(3)(g), Idaho Code;
 19        (b)  Accreditation of the school as necessitated by the provisions of sec-
 20        tion 33-5205(3)(e), Idaho Code;
 21        (c)  Qualifications  of  a student for attendance at an alternative school
 22        as necessitated by the provisions of section 33-5208(3), Idaho Code; and
 23        (d)  The requirement that all employees of the school undergo  a  criminal
 24        history check as required by section 33-130, Idaho Code.

Statement of Purpose / Fiscal Impact



                       STATEMENT OF PURPOSE
                             RS 13983

The purpose of this legislation is to eliminate the confusion
that exists about charter schools accounting for and reporting
the use of State funds.  It would require the same standards of
accountability for charter school's board of directors that exist
for School District Boards of Directors.  It requires the
preparation of annual financial reports, publishing the annual
statement of financial condition, annual audit of financial
statements and authorizes investment of excess cash with the
interest accruing back to the charter school.


                          FISCAL IMPACT
None


Contact
Name: Senator Tom Gannon 
Phone: 332-1342




STATEMENT OF PURPOSE/FISCAL NOTE                     S 1310