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H0397aaS.......................................................by EDUCATION
PUBLIC CHARTER SCHOOLS - Amends existing law to revise the grounds when
written notice is required from the authorized chartering entity to the
public charter school.
01/23 House intro - 1st rdg - to printing
01/24 Rpt prt - to Educ
02/08 Rpt out - rec d/p - to 2nd rdg
02/11 2nd rdg - to 3rd rdg
02/14 3rd rdg - PASSED - 67-0-3
AYES -- Anderson, Andrus, Barrett, Bayer, Bedke, Bell, Bilbao, Block,
Bock, Boe, Bolz, Bowers, Brackett, Bradford, Chadderdon, Chavez,
Chew, Clark, Collins, Crane, Durst, Eskridge, Hagedorn, Hart,
Harwood, Henbest, Henderson, Jaquet, Killen, King, Kren, Labrador,
Lake, LeFavour, Loertscher, Luker, Marriott, Mathews, McGeachin,
Mortimer, Moyle, Nonini, Pasley-Stuart, Patrick, Pence, Raybould,
Ringo(Cooke), Roberts, Ruchti, Rusche, Sayler, Schaefer,
Shepherd(02), Shepherd(08), Shirley, Shively, Smith(30), Smith(24),
Snodgrass, Thayn, Thomas, Trail, Vander Woude, Wills, Wood(27),
Wood(35), Mr. Speaker
NAYS -- None
Absent and excused -- Black, Nielsen, Stevenson
Floor Sponsor - Mortimer
Title apvd - to Senate
02/15 Senate intro - 1st rdg - to Educ
03/05 Rpt out - to 14th Ord
03/11 Rpt out amen - to 1st rdg as amen
1st rdg - to 2nd rdg as amen
03/12 2nd rdg - to 3rd rdg as amen
03/13 3rd rdg as amen - PASSED - 35-0-0
AYES -- Andreason, Bair, Bastian, Bilyeu, Broadsword, Burkett,
Cameron, Coiner, Corder, Darrington, Davis, Fulcher, Gannon, Geddes,
Goedde, Hammond, Heinrich, Hill, Jorgenson, Kelly, Keough, Langhorst,
Little, Lodge, Malepeai(Sagness), McGee, McKague, McKenzie, Pearce,
Richardson, Schroeder, Siddoway, Stegner, Stennett, Werk
NAYS -- None
Absent and excused -- None
Floor Sponsor - Schroeder
Title apvd - to House
03/14 House concurred in Senate amens - to engros
03/17 Rpt engros - 1st rdg - to 2nd rdg as amen
03/18 2nd rdg - to 3rd rdg as amen
03/19 3rd rdg as amen - PASSED - 66-0-4
AYES -- Anderson, Andrus, Barrett, Bayer, Bedke, Bell, Bilbao, Black,
Block, Bock, Boe, Bolz, Bowers, Brackett, Bradford, Chadderdon,
Chavez, Chew, Clark, Collins, Crane, Durst, Eskridge, Hagedorn, Hart,
Harwood, Henbest, Henderson, Jaquet, Killen, King, Kren, Labrador,
Lake, LeFavour, Loertscher, Luker, Marriott, Mathews, McGeachin,
Mortimer, Moyle, Nielsen, Nonini, Pasley-Stuart, Patrick, Pence,
Raybould, Ringo, Roberts, Ruchti, Rusche, Sayler, Schaefer,
Shepherd(02), Shirley, Shively, Smith(24), Snodgrass, Stevenson,
Thayn, Thomas, Vander Woude, Wills, Wood(27), Mr. Speaker
NAYS -- None
Absent and excused -- Shepherd(08), Smith(30), Trail, Wood(35)
Floor Sponsor - Mortimer
Title apvd - to enrol
03/20 Rpt enrol - Sp signed - Pres signed
03/21 To Governor
03/25 Governor signed
Session Law Chapter 251
Effective: 07/01/08
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-ninth Legislature Second Regular Session - 2008IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 397 BY EDUCATION COMMITTEE 1 AN ACT 2 RELATING TO PUBLIC CHARTER SCHOOLS; AMENDING SECTION 33-5209, IDAHO CODE, TO 3 REVISE THE GROUNDS REQUIRING WRITTEN NOTICE FROM THE AUTHORIZED CHARTERING 4 ENTITY TO THE PUBLIC CHARTER SCHOOL. 5 Be It Enacted by the Legislature of the State of Idaho: 6 SECTION 1. That Section 33-5209, Idaho Code, be, and the same is hereby 7 amended to read as follows: 8 33-5209. ENFORCEMENT -- REVOCATION -- APPEAL. (1) An authorized charter- 9 ing entity shall ensure that all public charter schools for which it approved 10 petitions, or for which it has responsibility, operate in accordance with the 11 approved charter. A public charter school or the authorized chartering entity 12 may enter into negotiations to revise its charter at any time. A public 13 charter school may petition to revise its charter at any time. The authorized 14 chartering entity's review of the revised petition shall be limited in scope 15 solely to the proposed revisions. 16 (2) If the authorized chartering entity has reason to believe that the 17 public charter school has done any of the following, it shall provide the pub- 18 lic charter school written notice of the defect and provide a reasonable 19 opportunity to cure the defect: 20 (a) Committed a material violation of any condition, standard or proce- 21 dure set forth in the approved charter; 22 (b) Failed to substantially meet any of the student educational standards 23 identified in the approved charter; 24 (c) Failed tomeet generally accepted accounting standards ofdemonstrate 25 fiscalmanagementsoundness. In order to be fiscally sound, the public 26 charter school must be: 27 (i) Fiscally stable on a short-term basis, that is, able to service 28 all upcoming obligations; and 29 (ii) Fiscally sustainable as a going concern, that is, able to rea- 30 sonably demonstrate its ability to service any debt and meet its 31 financial obligations for the next fiscal year; 32 (d) Failed to submit required reports to the authorized chartering entity 33 governing the charter; or 34 (e) Violated any provision of law. 35 (3) A charter may be revoked by the authorized chartering entity if the 36 public charter school has failed to cure a defect after receiving reasonable 37 notice and having had a reasonable opportunity to cure the defect. Revocation 38 may not occur until the public charter school has been afforded a public hear- 39 ing and a reasonable opportunity to cure the defect, unless the authorized 40 chartering entity reasonably determines that the continued operation of the 41 public charter school presents an imminent public safety issue, in which case 42 the charter may be revoked immediately. Public hearings shall be conducted by 43 the governing authorized chartering entity, or such other person or persons 2 1 appointed by the authorized chartering entity to conduct public hearings and 2 receive evidence as a contested case in accordance with section 67-5242, Idaho 3 Code. Reasonable notice and opportunity to reply shall include, at a minimum, 4 written notice setting out the basis for consideration of revocation, a period 5 of not less than thirty (30) days within which the public charter school can 6 reply in writing, and a public hearing within thirty (30) days of the receipt 7 of the written reply. 8 (4) A decision to revoke a charter or to deny a revision of a charter may 9 be appealed directly to the state board of education. With respect to such 10 appeal, the state board of education shall substantially follow the procedure 11 as provided in section 33-5207(5)(b), Idaho Code. In the event the state board 12 of education reverses a decision of revocation, the public charter school sub- 13 ject to such action shall then be placed under the chartering authority of the 14 commission.
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-ninth Legislature Second Regular Session - 2008Moved by Bastian Seconded by Sagness IN THE SENATE SENATE AMENDMENT TO H.B. NO. 397 1 AMENDMENTS TO SECTION 1 2 On page 1 of the printed bill, delete lines 24 through 26 and insert: 3 "(c) Failed to meet generally accepted accounting standards of fiscal 4 management; 5 (d) Failed to demonstrate fiscal soundness. In order to be fiscally 6 sound, the public charter school must be:"; 7 in line 32, delete "(d)" and insert: "(de)"; and in line 34, delete "(e)" and 8 insert: "(ef)".
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-ninth Legislature Second Regular Session - 2008IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 397, As Amended in the Senate BY EDUCATION COMMITTEE 1 AN ACT 2 RELATING TO PUBLIC CHARTER SCHOOLS; AMENDING SECTION 33-5209, IDAHO CODE, TO 3 REVISE THE GROUNDS REQUIRING WRITTEN NOTICE FROM THE AUTHORIZED CHARTERING 4 ENTITY TO THE PUBLIC CHARTER SCHOOL. 5 Be It Enacted by the Legislature of the State of Idaho: 6 SECTION 1. That Section 33-5209, Idaho Code, be, and the same is hereby 7 amended to read as follows: 8 33-5209. ENFORCEMENT -- REVOCATION -- APPEAL. (1) An authorized charter- 9 ing entity shall ensure that all public charter schools for which it approved 10 petitions, or for which it has responsibility, operate in accordance with the 11 approved charter. A public charter school or the authorized chartering entity 12 may enter into negotiations to revise its charter at any time. A public 13 charter school may petition to revise its charter at any time. The authorized 14 chartering entity's review of the revised petition shall be limited in scope 15 solely to the proposed revisions. 16 (2) If the authorized chartering entity has reason to believe that the 17 public charter school has done any of the following, it shall provide the pub- 18 lic charter school written notice of the defect and provide a reasonable 19 opportunity to cure the defect: 20 (a) Committed a material violation of any condition, standard or proce- 21 dure set forth in the approved charter; 22 (b) Failed to substantially meet any of the student educational standards 23 identified in the approved charter; 24 (c) Failed to meet generally accepted accounting standards of fiscal man- 25 agement; 26 (d) Failed to demonstrate fiscal soundness. In order to be fiscally 27 sound, the public charter school must be: 28 (i) Fiscally stable on a short-term basis, that is, able to service 29 all upcoming obligations; and 30 (ii) Fiscally sustainable as a going concern, that is, able to rea- 31 sonably demonstrate its ability to service any debt and meet its 32 financial obligations for the next fiscal year; 33 (de) Failed to submit required reports to the authorized chartering 34 entity governing the charter; or 35 (ef) Violated any provision of law. 36 (3) A charter may be revoked by the authorized chartering entity if the 37 public charter school has failed to cure a defect after receiving reasonable 38 notice and having had a reasonable opportunity to cure the defect. Revocation 39 may not occur until the public charter school has been afforded a public hear- 40 ing and a reasonable opportunity to cure the defect, unless the authorized 41 chartering entity reasonably determines that the continued operation of the 42 public charter school presents an imminent public safety issue, in which case 43 the charter may be revoked immediately. Public hearings shall be conducted by 2 1 the governing authorized chartering entity, or such other person or persons 2 appointed by the authorized chartering entity to conduct public hearings and 3 receive evidence as a contested case in accordance with section 67-5242, Idaho 4 Code. Reasonable notice and opportunity to reply shall include, at a minimum, 5 written notice setting out the basis for consideration of revocation, a period 6 of not less than thirty (30) days within which the public charter school can 7 reply in writing, and a public hearing within thirty (30) days of the receipt 8 of the written reply. 9 (4) A decision to revoke a charter or to deny a revision of a charter may 10 be appealed directly to the state board of education. With respect to such 11 appeal, the state board of education shall substantially follow the procedure 12 as provided in section 33-5207(5)(b), Idaho Code. In the event the state board 13 of education reverses a decision of revocation, the public charter school sub- 14 ject to such action shall then be placed under the chartering authority of the 15 commission.
STATEMENT OF PURPOSE
RS 17402
Submitted by the Public Charter School Commission:
Idaho Code 33-5209(2)(c) cites “fail[ure] to meet generally
accepted accounting standards of fiscal management” as one
condition obligating an authorized chartering entity to issue a
notice of defect to a public charter school. The generality of
this phrase has led to repeated confusion with regard to the
Public Charter School Commission’s oversight responsibilities as
an authorized chartering entity. Specifically, the Commission
and other authorized chartering entities would benefit from
clarity regarding whether an authorized chartering entity shall
issue a notice of defect based on a school’s detrimental
financial decisions leading to possible financial default, or
only in situations in which the school has violated an
accounting principle such as would be reported in a fiscal
audit. No significant fiscal impact is anticipated as a result
of this clarification.
FISCAL NOTE
There will be no fiscal impact to the state budget as a result
of this clarification.
CONTACT
Name: Tamara Baysinger
Agency: Office of the State Board of Education
Phone: 332-1583
STATEMENT OF PURPOSE/FISCAL NOTE H 397