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  82R4404 CAS-D
 
  By: Shapiro S.B. No. 738
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to alternative methods of operating public schools.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 12.013, Education Code, is amended by
  amending Subsection (b) and adding Subsections (c), (d), and (e) to
  read as follows:
         (b)  A home-rule school district is subject to:
               (1)  a provision of this title establishing a criminal
  offense;
               (2)  a provision of this title relating to limitations
  on liability; and
               (3)  unless a waiver is granted under Subsection (c), a
  prohibition, restriction, or requirement, as applicable, imposed
  by this title or a rule adopted under this title, relating to:
                     (A)  the Public Education Information Management
  System (PEIMS) to the extent necessary to monitor compliance with
  this subchapter as determined by the commissioner;
                     (B)  [educator certification under Chapter 21 and
  educator rights under Sections 21.407, 21.408, and 22.001;
                     [(C)]  criminal history records under Subchapter
  C, Chapter 22;
                     (C) [(D)]  student admissions under Section
  25.001;
                     (D) [(E)]  school attendance under Sections
  25.085, 25.086, and 25.087;
                     (E) [(F)]  inter-district or inter-county
  transfers of students under Subchapter B, Chapter 25;
                     (F)  [(G) elementary class size limits under
  Section 25.112, in the case of any campus in the district that fails
  to satisfy any standard under Section 39.054(d);
                     [(H)]  high school graduation under Section
  28.025;
                     (G) [(I)]  special education programs under
  Subchapter A, Chapter 29;
                     (H) [(J)]  bilingual education under Subchapter
  B, Chapter 29;
                     (I) [(K)]  prekindergarten programs under
  Subchapter E, Chapter 29;
                     (J) [(L)]  safety provisions relating to the
  transportation of students under Sections 34.002, 34.003, 34.004,
  and 34.008;
                     (K) [(M)]  computation and distribution of state
  aid under Chapters 31, 42, and 43;
                     (L) [(N)]  extracurricular activities under
  Section 33.081;
                     (M) [(O)]  health and safety under Chapter 38;
                     (N) [(P)]  public school accountability under
  Subchapters B, C, D, E, G, and J, Chapter 39;
                     (O) [(Q)]  equalized wealth under Chapter 41;
                     (P) [(R)]  a bond or other obligation or tax rate
  under Chapters 42, 43, and 45; and
                     (Q) [(S)]  purchasing under Chapter 44.
         (c)  The commissioner may grant to a home-rule school
  district a waiver of a prohibition, restriction, or requirement to
  which the district is otherwise subject under Subsection (b)(3),
  other than a prohibition, restriction, or requirement to which the
  district is subject under Subsection (b)(3)(N), if:
               (1)  the district:
                     (A)  submits a written request for the waiver in
  the time and manner required by commissioner rule; and
                     (B)  states in the waiver request the purpose of
  the request, including the manner in which the waiver is intended
  to:
                           (i)  improve student performance; or
                           (ii)  reduce district operational costs
  without detrimentally affecting student performance; and
               (2)  the commissioner reasonably determines that the
  waiver is likely to assist the district in achieving the purpose
  stated in the waiver request.
         (d)  The commissioner shall adopt rules as necessary to
  administer Subsection (c).
         (e)  Not later than December 31 of each even-numbered year,
  the commissioner shall submit to the governor, the lieutenant
  governor, the speaker of the house of representatives, and the
  presiding officer of the standing committee of each house of the
  legislature with primary jurisdiction over public education a
  written report of each waiver request made and granted under
  Subsection (c) for the preceding two complete school years.
         SECTION 2.  Section 12.014, Education Code, is amended to
  read as follows:
         Sec. 12.014.  APPOINTMENT OF CHARTER COMMISSION. (a) The
  board of trustees of a school district shall appoint a charter
  commission to frame a home-rule school district charter if:
               (1)  the board receives a petition requesting the
  appointment of a charter commission to frame a home-rule school
  district charter signed by at least five percent of the registered
  voters of the district; [or]
               (2)  at least two-thirds of the total membership of the
  board adopt a resolution ordering that a charter commission be
  appointed; or
               (3)  a majority of the total membership of the board of
  a district that, for the preceding two school years, has been
  awarded an exemplary distinction designation under Subchapter G,
  Chapter 39, adopts a resolution ordering that a charter commission
  be appointed.
         (b)  Subsection (a)(3) applies to a school district awarded
  an exemplary distinction designation under Subchapter G, Chapter
  39, only if the distinction designation has been awarded without
  considering the projected performance of district students on
  assessment instruments administered under Subchapter B, Chapter
  39.
         SECTION 3.  Section 12.016, Education Code, is amended to
  read as follows:
         Sec. 12.016.  CONTENT. Each home-rule school district
  charter must:
               (1)  describe the educational program to be offered;
               (2)  provide that continuation of the home-rule school
  district charter is contingent on:
                     (A)  acceptable student performance on assessment
  instruments adopted under Subchapter B, Chapter 39; [and]
                     (B)  compliance with other applicable
  accountability provisions under Chapter 39; and
                     (C)  maintenance of the district's exemplary
  distinction designation, in the case of a district described by
  Section 12.014(a)(3);
               (3)  specify any basis, in addition to a basis
  specified by this subchapter, on which the charter may be placed on
  probation or revoked;
               (4)  describe the governing structure of the district
  and campuses;
               (5)  specify any procedure or requirement, in addition
  to those under Chapter 38, that the district will follow to ensure
  the health and safety of students and employees;
               (6)  describe the process by which the district will
  adopt an annual budget, including a description of the use of
  program-weight funds;
               (7)  describe the manner in which an annual audit of
  financial and programmatic operations of the district is to be
  conducted, including the manner in which the district will provide
  information necessary for the district to participate in the Public
  Education Information Management System (PEIMS) to the extent
  required by this subchapter; and
               (8)  include any other provision the charter commission
  considers necessary.
         SECTION 4.  Section 12.019, Education Code, is amended by
  adding Subsection (e) to read as follows:
         (e)  A school district described by Section 12.014(a)(3) is
  not required to hold an election under this section on the
  district's charter.
         SECTION 5.  Section 12.020, Education Code, is amended by
  adding Subsection (k) to read as follows:
         (k)  A school district described by Section 12.014(a)(3) is
  not required to hold an election under this section on a charter
  amendment.
         SECTION 6.  Section 12.021(a), Education Code, is amended to
  read as follows:
         (a)  Except as provided by Section 12.0211 and subject
  [Subject] to Section 12.022, a proposed home-rule school district
  charter or a proposed charter amendment is adopted if approved by a
  majority of the qualified voters of the district voting at an
  election held for that purpose.
         SECTION 7.  Subchapter B, Chapter 12, Education Code, is
  amended by adding Section 12.0211 to read as follows:
         Sec. 12.0211.  ALTERNATIVE ADOPTION OF CHARTER OR CHARTER
  AMENDMENT; EMPOWERMENT HOME-RULE SCHOOL DISTRICT.  (a)  Section
  12.021 does not apply to a school district described by Section
  12.014(a)(3).
         (b)  A proposed charter or charter amendment in a school
  district described by Section 12.014(a)(3) is considered adopted
  after approval under Section 12.018 or 12.020, as applicable, on
  order by the governing body declaring adoption. The charter or
  charter amendment shall specify an effective date and takes effect
  according to its terms.
         (c)  At the time a school district described by Section
  12.014(a)(3) adopts a charter, the district becomes an empowerment
  home-rule school district.
         SECTION 8.  Section 12.023(a), Education Code, is amended to
  read as follows:
         (a)  As soon as practicable after a school district adopts a
  home-rule school district charter or charter amendment, the
  president of the board of trustees shall certify to the secretary of
  state a copy of the charter or amendment showing the approval by the
  voters of the district, except that a district described by Section
  12.014(a)(3) is not required to show approval by the voters of the
  district.
         SECTION 9.  Sections 12.052(a) and (c), Education Code, are
  amended to read as follows:
         (a)  In accordance with this subchapter, the board of
  trustees or the superintendent of a school district [or the
  governing body of a home-rule school district] may grant a charter
  to parents and teachers for a campus or a program on a campus if the
  board or superintendent, as applicable, is presented with a
  petition signed by:
               (1)  the parents of a majority of the students at that
  school campus; and
               (2)  a majority of the classroom teachers at that
  school campus.
         (c)  A charter [The board of trustees] may not arbitrarily be
  denied [deny a charter] under this section.
         SECTION 10.  Section 12.0521(a), Education Code, is amended
  to read as follows:
         (a)  Notwithstanding Section 12.052, in accordance with this
  subchapter and in the manner provided by this section, the board of
  trustees or the superintendent of a school district [or the
  governing body of a home-rule school district] may grant a charter
  for:
               (1)  a new district campus; or
               (2)  a program that is operated:
                     (A)  by an entity that has entered into a contract
  with the district under Section 11.157 to provide educational
  services to the district through the campus or program; and
                     (B)  at a facility located in the boundaries of
  the district.
         SECTION 11.  Subchapter C, Chapter 12, Education Code, is
  amended by adding Section 12.0522 to read as follows:
         Sec. 12.0522.  AUTHORIZATION FOR CAMPUS IDENTIFIED AS
  UNACCEPTABLE. Notwithstanding Section 12.052, in accordance with
  this subchapter, the board of trustees of a school district shall,
  as ordered by the commissioner under Section 39.107(a)(2), grant a
  charter for a campus that has been identified as unacceptable for
  two consecutive school years.
         SECTION 12.  Section 12.053(a), Education Code, is amended
  to read as follows:
         (a)  The board of trustees or the superintendent of a school
  district may grant a charter to parents and teachers at two or more
  campuses in the district for a cooperative charter program if the
  board or superintendent, as applicable, is presented with a
  petition signed by:
               (1)  the parents of a majority of the students at each
  school campus; and
               (2)  a majority of the classroom teachers at each
  school campus.
         SECTION 13.  Section 12.057(c), Education Code, is amended
  to read as follows:
         (c)  A campus or program granted a charter under Section
  12.052, 12.0521(a)(1), 12.0522, or 12.053 is immune from liability
  to the same extent as a school district, and its employees and
  volunteers are immune from liability to the same extent as school
  district employees and volunteers.
         SECTION 14.  Sections 12.060, 12.061, 12.062, and 12.063,
  Education Code, are amended to read as follows:
         Sec. 12.060.  FORM.  A charter shall be in the form and
  substance of a written contract signed by the president of the board
  of trustees or the superintendent, as applicable, granting the
  charter and the chief operating officer of the campus or program for
  which the charter is granted.
         Sec. 12.061.  CHARTER GRANTED.  Each charter granted [a
  board of trustees grants] under this subchapter must:
               (1)  satisfy this subchapter; and
               (2)  include the information that is required under
  Section 12.059 consistent with the information provided in the
  application and any modification the board requires.
         Sec. 12.062.  REVISION.  (a)  A charter granted under
  Section 12.052, 12.0522, or 12.053 may be revised:
               (1)  with the approval of the board of trustees or
  superintendent, as applicable, that granted the charter; and
               (2)  on a petition signed by a majority of the parents
  and a majority of the classroom teachers at the campus or in the
  program, as applicable.
         (b)  A charter granted under Section 12.0521 may be revised
  with the approval of the board of trustees or superintendent, as
  applicable, that granted the charter.  A charter may be revised
  under this subsection only before the first day of instruction of a
  school year or after the final day of instruction of a school year.
         Sec. 12.063.  BASIS FOR PLACEMENT ON PROBATION OR
  REVOCATION.  (a)  A board of trustees or superintendent may place
  on probation or revoke a charter the board or superintendent, as
  applicable, [it] grants if the board or superintendent determines
  that the campus or program:
               (1)  committed a material violation of the charter;
               (2)  failed to satisfy generally accepted accounting
  standards of fiscal management; or
               (3)  failed to comply with this subchapter, another
  law, or a state agency rule.
         (b)  The action the board or superintendent takes under
  Subsection (a) shall be based on the best interest of campus or
  program students, the severity of the violation, and any previous
  violation the campus or program has committed.
         SECTION 15.  Section 12.064(a), Education Code, is amended
  to read as follows:
         (a)  Each board of trustees or superintendent that grants a
  charter under this subchapter shall adopt a procedure to be used for
  placing on probation or revoking a charter the board or
  superintendent, as applicable, [it] grants.
         SECTION 16.  Subchapter C, Chapter 12, Education Code, is
  amended by adding Sections 12.066 and 12.067 to read as follows:
         Sec. 12.066.  FUNDING. The amount of funding for a campus or
  program granted a charter under this subchapter may not be less, on
  a per student basis, than the amount of funding for any regular
  campus in the school district in which the campus or program is
  located.
         Sec. 12.067.  ITEMIZATION OF COSTS PROVIDED BY DISTRICT. If
  a charter is granted under Section 12.0521(a)(2) for a program that
  is operated by an entity that has entered into a contract with a
  school district under Section 11.157 to provide educational
  services to the district through the campus or program, the
  district shall provide to the entity:
               (1)  an itemized list of the services that the district
  provided for program purposes before operation of the program under
  the contract and the cost of those services; and
               (2)  an itemized list of any services that the district
  will continue to provide for the program and the cost of those
  services.
         SECTION 17.  The heading to Section 39.107, Education Code,
  is amended to read as follows:
         Sec. 39.107.  RECONSTITUTION, CONVERSION TO CHARTER CAMPUS, 
  REPURPOSING, ALTERNATIVE MANAGEMENT, AND CLOSURE.
         SECTION 18.  Section 39.107, Education Code, is amended by
  amending Subsections (a) and (e) and adding Subsections (a-2),
  (e-2), and (e-3) to read as follows:
         (a)  After a campus has been identified as unacceptable for
  two consecutive school years, the commissioner shall:
               (1)  order the reconstitution of the campus; or
               (2)  order the reconstitution of the campus and direct
  the board of trustees of the school district or governing body of
  the home-rule school district in which the campus is located to
  convert the campus to a charter campus by granting a charter under
  Section 12.0522.
         (a-2)  After a campus is converted to a charter campus under
  Subsection (a)(2), this section continues to apply to the campus.
         (e)  If a campus is considered to have an unacceptable
  performance rating for three consecutive school years after the
  campus is reconstituted under Subsection (a), the commissioner,
  subject to Subsection (e-1) or (e-2), shall order:
               (1)  repurposing of the campus under this section;
               (2)  alternative management of the campus under this
  section; or
               (3)  closure of the campus.
         (e-2)  For purposes of this subsection, "parent" has the
  meaning assigned by Section 12.051. If the commissioner is
  presented, in the time and manner specified by commissioner rule, a
  written petition signed by the parents of a majority of the students
  enrolled at a campus to which Subsection (e) applies, specifying
  the action described by Subsection (e)(1), (2), or (3) that the
  parents request the commissioner to order, the commissioner shall,
  except as otherwise authorized by this subsection, order the
  specific action requested. If the board of trustees of the school
  district in which the campus is located presents to the
  commissioner, in the time and manner specified by commissioner
  rule, a written request that the commissioner order specific action
  authorized under Subsection (e) other than the specific action
  requested in the parents' petition and a written explanation of the
  basis for the board's request, the commissioner may order the
  action requested by the board of trustees.
         (e-3)  For purposes of Subsection (e-2), the signature of
  only one parent of a student is required.
         SECTION 19.  Notwithstanding Section 12.013(e), Education
  Code, as added by this Act, the report submitted by the commissioner
  of education on or before December 31, 2012, must cover only waiver
  requests made and granted for the 2011-2012 school year.
         SECTION 20.  This Act applies beginning with the 2011-2012
  school year.
         SECTION 21.  This Act takes effect immediately if it
  receives a vote of two-thirds of all the members elected to each
  house, as provided by Section 39, Article III, Texas Constitution.  
  If this Act does not receive the vote necessary for immediate
  effect, this Act takes effect September 1, 2011.