Current Status Bill Number:1031 Type of Legislation:General Bill GB Introducing Body:Senate Introduced Date:19960118 Primary Sponsor:Wilson All Sponsors:Wilson Drafted Document Number:gjk\22237sd.96 Companion Bill Number:4443 Residing Body:Senate Current Committee:Education Committee 04 SED Subject:Charter Schools Act
Body Date Action Description Com Leg Involved
______ ________ _______________________________________ _______ ____________
Senate 19960118 Introduced, read first time, 04 SED
referred to Committee
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TO AMEND TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EDUCATION, BY ADDING CHAPTER 40 SO AS TO ENACT THE SOUTH CAROLINA CHARTER SCHOOL ACT WHICH PROVIDES FOR THE MANNER IN WHICH A CHARTER SCHOOL SHALL BE FORMED, FUNDED, REGULATED, AND GOVERNED, AND TO ESTABLISH A CHARTER SCHOOLS REVIEW COMMITTEE TO REVIEW THE IMPLEMENTATION AND EFFECTIVENESS OF THIS ACT.
Whereas, the General Assembly desires to provide an opportunity for the organization and operation of flexible, innovative, and substantially deregulated public schools as part of its effort to reform and improve the state's educational system; and
Whereas, it is believed that charter schools are a way to provide flexible, innovative, and substantially deregulated public schools with full accountability for student achievement; and
Whereas, the General Assembly will not allow greater flexibility and deregulation to result in segregation of students by race, gender, ethnic background, income, disability, or religious belief, whether in public charter schools or in public noncharter schools; and
Whereas, the General Assembly desires to foster cooperation among parents, teachers, local school districts, and charter schools. Now, therefore,
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Title 59 of the 1976 Code is amended by adding:
Section 59-40-10. This act may be cited as the `South Carolina Charter Schools Act'.
Section 59-40-20. It is the purpose of this act to:
(1) improve student learning;
(2) increase learning opportunities for students;
(3) encourage the use of different and innovative teaching methods;
(4) establish new forms of accountability for schools;
(5) create new professional opportunities for teachers, including the opportunity to be responsible for the learning program at the school site; and
(6) assist South Carolina in reaching the national education goals.
Section 59-40-30. (A) `Charter school' means any publicly-financed educational institution which provides a comprehensive program of instruction for at least one grade or age group from five through eighteen years of age, is managed by an independent board of directors, competes for voluntary student enrollment, has been relieved of certain provisions of law, rules, and regulations otherwise applicable to public schools in this State, and is organized and operates under the provisions of this act.
(B) `State board' means the State Board of Education.
(C) `Department' means the State Department of Education.
(D) `Teacher' means a person certificated by the State of South Carolina to teach in public elementary or secondary schools.
(E) `Sponsor' means the local school district established pursuant to Section 59-17-10 after the local school board approves a charter school application.
(F) `Local school board' or `school board' means the board of trustees of a school district established pursuant to Section 59-19-10.
Section 59-40-40. (A) Except as provided in Section 59-40-40(B), an applicant who wishes to form a charter school shall:
(1) organize the charter school as a nonprofit corporation or a for-profit corporation under the laws of this State;
(2) appoint an initial board of directors for the charter school which includes one or more teachers;
(3) submit a written application to the school board in the district in which the charter school will be located, at a time determined by the school board.
(B) A public school may convert into a charter school only if the public school's principal, two-thirds of all teachers and instructional staff employed at the public school, two-thirds of all parents or guardians of students enrolled in the public school, and a majority of all members of the school board for the school district in which the public school is located file an affidavit with the state board stating their intent to authorize, sponsor, and form a charter school. This affidavit shall constitute an application and shall include all information required by other applicants under Section 59-40-40(A) and (C). The state board shall approve this application, except for good cause shown for rejection of the application.
(C) A charter school application shall take the form of a proposed contract and contain at least:
(1) a description of the charter school's educational program that carries out one or more of the purposes in Section 59-40-20 and is nonsectarian in form and content;
(2) a description of the specific educational goals students are to achieve under Section 59-40-100 and the techniques by which the charter school will determine if students have achieved these educational goals;
(3) a description of the charter school's admission policies and procedures, consistent with Section 59-40-90;
(4) a description of the charter school's management and administrative policies and procedures;
(5) a description of the charter school's requirements and procedures for program and financial audits, consistent with Section 59-40-70(B)(5);
(6) provide annual reports that trace dollars to the classroom and compare that data to productivity and student performance and success similar to current public school filings;
(7) an assumption of liability by the charter school for the activities of the charter school and an agreement that the charter school will indemnify and hold harmless the school district, its servants, agents, and employees, from any and all liability, damage, expense, causes of action, suits, claims, or judgments arising from injury to persons or property or otherwise which arises out of the act, failure to act or negligence of the charter school, its agents and employees, in connection with or arising out of the activity of the charter school;
(8) a description of the types and amounts of insurance coverage to be obtained by the charter school;
(9) the term of the proposed contract for operation of the charter school, which must be at least one year and not more than three years;
(10) the names and addresses of the members of the initial board of directors of the charter school;
(11) a description of the charter school's building, facilities, and equipment and how they shall be obtained;
(12) a description of a reasonable grievance and termination procedure for employees, including notice and a hearing before the board of directors of the charter school; and
(13) a description of student rights and responsibilities, including behavior and discipline standards, and a reasonable hearing procedure, including notice and a hearing before the board of directors of the charter school prior to expulsion.
Section 59-40-50. (A) Except as provided in Section 59-40-40(B), the local school board of the district in which the charter school is proposed shall review a charter school's application, and approve or deny that application, within ninety calendar days after its submission. The local school board may deny a charter school application only if the application does not meet the requirements of this act or if the charter school will have an adverse effect on the racial or ethnic composition of noncharter public schools.
(B) If the local school board approves a charter school application, the local school district shall become the charter school's sponsor and the approved application shall constitute a written contract between the charter school and the local school district. The contract shall contain the terms stated in the application. A copy of the contract shall be filed with the department.
(C) The local school board may approve the charter school application subject to the agreement of the applicant to modifications specified by the school board. If the applicant does not agree to the school board's modifications, the application is deemed denied as of the date of the applicant's rejection of the school board's modifications.
(D) If the local school board denies a charter school application, it shall give a written explanation of the reasons for denial, citing the specific provisions of this act that the application violates. This written denial must be sent to the applicant and filed with the department.
(E) If the local school board to which application has been made has not approved or denied a charter school application within ninety calendar days after a complete application is submitted to the local school board, the charter school application must be considered approved. The local school board shall become the charter school's sponsor and shall execute a written contract with the board of directors of the charter school, as provided in Section 59-40-50(B).
(F) If the local school board denies a charter school application, the applicant may appeal the denial to the state board but has no right to take any legal action against the school board or the school district other than the appeal to the state board provided in this act. The appeal procedure is as follows:
(1) The applicant shall submit a notice of appeal in writing to the State Superintendent within ten days after receipt of the written denial by the local school board, and the applicant must notify the local school board of the appeal;
(2) The district superintendent shall send to the State Superintendent a copy of the written denial of the application, the minutes of the meeting held by the local school board to consider the charter school application, and any other relevant materials;
(3) The appeal must be referred to the state board or its designee. The applicant and the local board must be notified of the date on which the state board shall consider the appeal. The parties may submit written briefs at least five working days before the date set for consideration of the appeal. The state board shall invite the parties to make an oral presentation. The chairperson of the state board shall notify the parties in writing of the final decision of the state board. The state board may affirm, reverse, or remand the application for action by the local school board in accordance with the order of the state board;
(4) The order of the state board may be appealed by any party to the circuit court for the county in which the proposed charter school was to have been located, pursuant to the Administrative Procedures Act.
Section 59-40-60. (A) A sponsor shall distribute state, county, and school district funds of the sponsor to a charter school as determined by the following formula: The previous year's audited total general fund expenditures including capital outlay and maintenance, but not including expenditures from bonded indebtedness or debt repayment, shall be divided by the previous year's weighted students, then increased by the Education Finance Act (EFA) inflation factor for the years following the audited expenditures, then multiplied by the weighted students enrolled in the charter school, which shall be subject to adjustment for student attendance and state budget allocations based on the same criteria as the local school district. All state and local funding must be distributed by the local school district to the charter school monthly beginning the first day of July following approval of the charter school application.
(B) During the year of the charter school's operation, as received, and to the extent allowed by federal law, a sponsor shall distribute to the charter school federal funds which are allocated to the local school district on the basis of the number or special characteristics of the students attending the charter school.
Section 59-40-70. (A) Except as provided in this act, a charter school is exempt from all provisions of law, rules, and regulations applicable to a public school, a school board, or a school district, although a charter school may elect to comply with one or more provisions of these provisions of law, rules, and regulations.
(B) A charter school shall meet the following requirements.
(1) A charter school shall adhere to the same health and safety requirements as are applied to public schools operating in the same school district. A charter school is exempt from applicable building codes except as to matters related to health and safety;
(2) A charter school shall meet, but may exceed, the same minimum student attendance requirements as are applied to public schools operating in the same school district;
(3) The primary focus of a charter school must be to provide a comprehensive program of instruction for at least one grade or age group from five through eighteen years of age. Instruction may be provided to people younger than five years and older than eighteen years of age;
(4) A charter school shall not charge tuition fees or other charges of any kind, except as allowed by the sponsor and those charges allowed by Section 59-40-90(E);
(5) A charter school shall adhere to the same financial audits, audit procedures, and audit requirements as are applied to public schools operating in the same school district;
(6) A charter school shall be considered a school district for purposes of tort liability under South Carolina law, except that tort immunity and the school district's duty to defend shall not include acts of intentional or wilful racial discrimination by the board of directors or employees of the charter school;
(7) A charter school shall adhere to the student admission requirements specified in Section 59-40-90;
(8) A charter school shall elect its board of directors annually. All employees of the charter school and all parents or guardians of students enrolled in the charter school shall be eligible to participate in the election. Parents or guardians of a student shall have one vote for each student enrolled in the charter school. At all times, the board of directors of the charter school shall include one or more teachers;
(9) Gifts or grants to a charter school must be treated in the same manner as gifts or grants to a noncharter school of the sponsor. A charter school shall appeal a sponsor's denial of a gift or grant to the state board under the procedure of Section 59-40-50(F);
(10) A charter school and the board of directors of a charter school are subject to the Freedom of Information Act; and
(11) At least fifty-one percent of the teaching staff of the charter school must be certificated and teach in the teacher's area of certification.
(C) Charges of racial discrimination against a charter school shall be filed with the local district. Within ten days after receiving the charge, the district, through the superintendent, shall initiate an investigation of the charges. If the superintendent concludes that the charter school engaged in intentional or wilful racial discrimination, the superintendent shall notify the charter school of the findings and recommend to the local school board termination of the charter. Within thirty days after the superintendent's recommendation, the local school board shall hold a hearing on the termination of the charter. Within ten days after the close of the hearing, the local board shall provide the charter school with its written decision. A decision to terminate a charter shall become effective at the end of the then current school year. The charter school may appeal termination to the state board under the procedure of Section 59-40-50(F). All costs of a proceeding under this section, including attorneys' fees, shall be paid by the charter school.
Section 59-40-80. A charter school's board of directors shall be responsible for and have the power to:
(1) submit an application to operate as a charter school, sign a charter school contract, and ensure compliance with all of the requirements for charter schools provided in this act;
(2) employ and contract with teachers and nonteaching employees, contract for other services, and develop pay scales, performance criteria and discharge policies for its employees; and
(3) decide all other matters related to the operation of the charter school, including budgeting, curriculum, and operating procedures.
Section 59-40-90. (A) Except as provided in this section, all children eligible to attend public school in a school district shall be eligible to apply for admission to a charter school operating in that school district.
(B) Except as provided in this section, a charter school may not limit or deny admission or show preference in admission decisions to any individual or group of individuals.
(C) A charter school may limit admission or show preference in admission decisions to:
(1) students within a specific age group or grade level;
(2) students who have a specific affinity for the school's teaching methods, the school's learning philosophy, or a subject such as mathematics, science, fine arts, performing arts, or a foreign language;
(3) students who live in the school district in which the charter school is located;
(4) students who currently have a sibling or parent enrolled or employed in the charter school; or
(5) any other criteria approved by the sponsor, consistent with state law.
(D) A charter school shall enroll an eligible student who submits a timely application, unless the number of applications exceeds the capacity of a program, class, grade level, or building. In this case, students shall be accepted by lot and there is no appeal to the sponsor.
(E) If a charter school enrolls a student who resides in a school district other than the district in which the charter school is located, then the charter school's sponsor may charge that student tuition up to an amount equal to the per student amount distributed to the charter school.
(F) If a charter school denies admission to a student, the student may appeal the denial to the sponsor. The decision of the sponsor shall be binding on the student and the charter school.
(G) If a charter school suspends or expels a student, the sponsor or the local school district of the student's residence, if different from the sponsor, shall have the authority but not the obligation to refuse admission to the student.
(H) The sponsor, or the local school district of the student's residence if different from the sponsor, shall have no obligation to provide extracurricular activities or access to facilities of the school district for students enrolled in the charter school.
Section 59-40-100. A charter school must design its programs to meet the educational goals contained in its contract with the sponsor. These educational goals must meet or exceed those adopted by the state board for all public schools.
Section 59-40-110. Transportation for students enrolled at a charter school shall be provided in the same manner as for other students of the district.
Section 59-40-120. A charter school may lease real or personal property from its sponsor, from a public school in the same school district, or from any other public or private organization.
Section 59-40-130. A sponsor may conditionally authorize a charter school before the applicant has secured its space, equipment, facilities, and personnel if the applicant indicates such authority is necessary for it to meet the requirements of this act. Conditional authorization does not give rise to any equitable or other claims based on reliance, notwithstanding any promise, oral, written, or otherwise, contained in the authorization or acceptance of it, whether preceding or following the conditional authorization.
Section 59-40-140. A charter school shall report to its sponsor and the department any change to information provided under Section 59-40-40. In addition, a charter school shall report at least annually to its sponsor and the department all information required by the sponsor or the department and including, at least, the number of students enrolled in the charter school, the success of students in achieving the specific educational goals for which the charter school was established under Section 59-40-40(C)(2), and the identity and certification status of the teaching staff.
Section 59-40-150. (A) The department shall disseminate information to the public, directly and through sponsors, on how to form and operate a charter school and how to utilize the offerings of a charter school.
(B) At least annually, the department shall provide upon request a directory of all charter schools authorized under this act with information concerning the educational goals of each charter school, the success of each charter school in meeting its educational goals, and procedures to apply for admission to each charter school.
(C) The department shall bear the cost of complying with this section.
Section 59-40-160. (A) If an employee of a local school district makes a written request for a leave to be employed at a charter school, the school district shall grant the leave for any number of years requested by the employee, and must extend the leave at the employee's request. The school district may require that the request for leave or extension of leave be made by the date provided by law for the return of teachers' contracts. Employees returning to employment with the local school district shall be entitled to employment with the same teaching or administrative contract status as when they left, but without assurance as to the school or supplemental position to which they may be assigned.
(B) During a leave, the employee may continue to accrue benefits and credits in the South Carolina Retirement System by paying the employee contributions based upon the annual salary of the employee, and the charter school shall pay the employer contribution. The South Carolina Retirement System may impose reasonable requirements to administer this section.
(C) Employment at a charter school counts as creditable service under the South Carolina Retirement System and as creditable service for other applicable provisions of law.
(D) If a charter school terminates an employee, the action by the charter school shall bind the sponsor or the local district employing the employee before the leave, if different from the sponsor.
Section 59-40-170. (A) The duration of the contract between a charter school and its sponsor shall be for the term contained in the contract. The sponsor may refuse to review a contract at the end of the term for any grounds listed in subsection (C) of this section. A sponsor may unilaterally terminate a contract during the term of the contract for any grounds listed in subsection (C) of this section. At least sixty days before not renewing or terminating a contract, the sponsor shall notify the charter school's board of directors of the proposed action in writing. The notification shall state the grounds for the proposed action in reasonable detail. Termination under Section 59-40-70(C) must follow the procedure set forth therein.
(B) The charter school's board of directors may request in writing a hearing before the sponsor within fourteen days of receiving notice of nonrenewal or termination of the contract. Failure by the school's board of directors to make a written request for a hearing within fourteen days shall be treated as acquiescence to the proposed action. Upon receiving a timely written request for a hearing, the sponsor shall give reasonable notice to the school's board of directors of the hearing date. The sponsor shall conduct a hearing before taking final action. The sponsor shall take final action to renew or not renew a contract by the last day of classes in the last school year for which the charter school is authorized.
(C) A contract may be terminated or not renewed upon any of the following grounds:
(1) failure to meet the educational goals for student performance contained in the contract;
(2) failure to meet generally accepted standards of fiscal management; or
(3) violations of law, including not meeting the terms of this act at the time of renewal or termination.
(D) Termination or nonrenewal may be appealed to the State Board following the procedure of Section 59-40-50(F).
(E) If a contract is terminated or not renewed, the charter school shall be dissolved according to the applicable provisions of law and students who attended the charter school may enroll in the public school to which they would have been otherwise assigned or may apply for admission to another charter school for which they are eligible. Application deadlines do not apply under these circumstances.
(F) Upon dissolution of a charter school, unless otherwise agreed, all of its property shall become property of the sponsor and its employees shall be treated as if the leave of absence ended under Section 59-40-160 as of the beginning of the following school year.
Section 59-40-180. (A) The board of directors of a charter school may sue and be sued. The board may not levy taxes or issue bonds.
(B) A sponsor is not liable for any of the debts of the charter school.
(C) A sponsor, members of the board of a sponsor, and employees of a sponsor acting in their official capacity are immune from civil or criminal liability with respect to all activities related to a charter school they sponsor. The board of directors of a charter school shall obtain at least the amount of and types of insurance required by the contract, according to Section 59-40-40(C).
Section 59-40-190. (A) There is created a Charter Schools Review Committee to review the implementation and effectiveness of this act. The committee shall consist of nine members, three of whom shall be members of the House of Representatives appointed by the Chairman of the House Education and Public Works Committee, three of whom shall be members of the Senate appointed by the Chairman of the Senate Education Committee, and three members shall be appointed by the Governor. The three members appointed by the Governor must be from the private sector, one of whom as designated by the Governor shall serve as the chairman. Members appointed by the Governor shall serve until the committee is dissolved as provided in subsection (C). Members of the House of Representatives and the Senate serving on the committee shall serve at the pleasure of their appointing authority. Vacancies shall be filled in the manner of original appointment. Members of the committee shall receive mileage, subsistence, and per diem as provided by law for members of state boards, commissions, and committees to be paid from the approved accounts of the House of Representatives, the Senate, or the Governor as applicable.
(B) A school board shall issue a comprehensive report to the Charter Schools Review Committee concerning the successes or failures, or both, of a charter school within its jurisdiction and with recommendations, at the end of the term of the contract for operation of that charter school.
(C) The committee shall be appointed within one year of the effective date of this act. It shall report to the General Assembly as needed with interim results. However, the committee shall issue a final report and recommendations during the fifth year after the effective date of this act to the General Assembly on the success and performance of charter schools at which time the committee shall be dissolved."
SECTION 2. This act takes effect upon approval by the Governor.