87R5071 GCB-F     By: Lucio S.B. No. 1081       A BILL TO BE ENTITLED   AN ACT   relating to the regulation and operation of open-enrollment charter   schools.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:   SECTION 1.  Section 12.104(b), Education Code, as amended by   Chapters 262 (H.B. 1597), 464 (S.B. 11), 467 (H.B. 4170), and 943   (H.B. 3), Acts of the 86th Legislature, Regular Session, 2019, is   reenacted and amended to read as follows:          (b)  An open-enrollment charter school is subject to:                (1)  a provision of this title establishing a criminal   offense;                (2)  the provisions in Chapter 554, Government Code;   and                (3)  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)  criminal history records under Subchapter C,   Chapter 22;                      (C)  reading instruments and accelerated reading   instruction programs under Section 28.006;                      (D)  accelerated instruction under Section   28.0211;                      (E)  high school graduation requirements under   Section 28.025;                      (F)  special education programs under Subchapter   A, Chapter 29;                      (G)  bilingual education under Subchapter B,   Chapter 29;                      (H)  prekindergarten programs under Subchapter E   or E-1, Chapter 29;                      (I)  extracurricular activities under Section   33.081;                      (J)  discipline management practices or behavior   management techniques under Sections [Section] 37.0021, 37.0023,   and 37.004;                      (K)  health and safety under Chapter 38;                      (L)  public school accountability under   Subchapters B, C, D, F, G, and J, Chapter 39, and Chapter 39A;                      (M)  the requirement under Section 21.006 to   report an educator's misconduct;                      (N)  intensive programs of instruction under   Section 28.0213;                      (O)  the right of a school employee to report a   crime, as provided by Section 37.148;                      (P)  bullying prevention policies and procedures   under Section 37.0832;                      (Q)  the right of a school under Section 37.0052   to place a student who has engaged in certain bullying behavior in a   disciplinary alternative education program or to expel the student;                      (R)  the right under Section 37.0151 to report to   local law enforcement certain conduct constituting assault or   harassment;                      (S)  a parent's right to information regarding the   provision of assistance for learning difficulties to the parent's   child as provided by Sections 26.004(b)(11) and 26.0081(c) and (d);                      (T)  establishment of residency under Section   25.001;                      (U) [(T)]  school safety requirements under   Sections 37.108, 37.1081, 37.1082, 37.109, 37.113, 37.114, 37.115,   37.207, and 37.2071;                      (V) [(T)]  the early childhood literacy and   mathematics proficiency plans under Section 11.185; [and]                      (W) [(U)]  the college, career, and military   readiness plans under Section 11.186;                      (X)  educator certification requirements under   Chapter 21; and                      (Y)  elementary class size limits under Section   25.112.          SECTION 2.  Section 12.1051, Education Code, is amended by   adding Subsection (c) to read as follows:          (c)  The governing body of a charter holder and the governing   body of an open-enrollment charter school shall:                (1)  hold each open meeting within the geographical   area served by the school; and                (2)  in the manner prescribed by Section 551.128,   Government Code, broadcast the open meeting over the Internet if   the school includes campuses that are located in noncontiguous   municipalities.          SECTION 3.  Section 12.106(a-2), Education Code, is amended   to read as follows:          (a-2)  In addition to the funding provided by Subsection (a),   a charter holder is entitled to receive for the open-enrollment   charter school an allotment per student in average daily attendance   equal to the allotment under Section 48.101 the charter holder   would be entitled to under that section if the school were a school   district [in an amount equal to the difference between:                [(1)  the product of:                      [(A)  the quotient of:                            [(i)  the total amount of funding provided   to eligible school districts under Section 48.101(b) or (c); and                            [(ii)  the total number of students in   average daily attendance in school districts that receive an   allotment under Section 48.101(b) or (c); and                      [(B)  the sum of one and the quotient of:                            [(i)  the total number of students in   average daily attendance in school districts that receive an   allotment under Section 48.101(b) or (c); and                            [(ii)  the total number of students in   average daily attendance in school districts statewide; and                [(2)  $125].          SECTION 4.  Subchapter D, Chapter 12, Education Code, is   amended by adding Section 12.1072 to read as follows:          Sec. 12.1072.  PROHIBITION AGAINST USE OF STATE FUNDING TO   PURCHASE, LEASE, OR MAINTAIN AN AIRCRAFT; EXCEPTION. (a) In this   section, "aircraft" means a self-propelled motor vehicle that can   be used to transport a person by flight in the air.          (b)  Except as provided by Subsection (c), a charter holder   may not use funds received under Section 12.106 for the purpose of   purchasing, leasing, or maintaining an aircraft.          (c)  This section does not prohibit a charter holder from   purchasing, leasing, or maintaining an aircraft for purposes of an   agency-approved career and technical education course involving   aviation or aviation maintenance.          SECTION 5.  Section 12.111, Education Code, is amended by   amending Subsection (a) and adding Subsection (a-1) to read as   follows:          (a)  Each charter granted under this subchapter must:                (1)  describe the educational program to be offered,   which must include the required curriculum as provided by Section   28.002;                (2)  provide that continuation of the charter is   contingent on the status of the charter as determined under Section   12.1141 or 12.115 or under Chapter 39A;                (3)  specify the academic, operational, and financial   performance expectations by which a school operating under the   charter will be evaluated, which must include applicable elements   of the performance frameworks adopted under Section 12.1181;                (4)  specify:                      (A)  any basis, in addition to a basis specified   by this subchapter or Chapter 39A, on which the charter may be   revoked, renewal of the charter may be denied, or the charter may be   allowed to expire; and                      (B)  the standards for evaluation of a school   operating under the charter for purposes of charter renewal, denial   of renewal, expiration, revocation, or other intervention in   accordance with Section 12.1141 or 12.115 or Chapter 39A, as   applicable;                (5)  prohibit discrimination in admission policy on the   basis of sex, national origin, ethnicity, religion, disability,   eligibility for special education programs under Subchapter A,   Chapter 29, or bilingual education and special language programs   under Subchapter B, Chapter 29, discipline history, academic,   artistic, or athletic ability, or the district the child would   otherwise attend in accordance with this code, although the charter   may:                      (A)  provide for the exclusion of a student who is   currently:                            (i)  placed in a disciplinary alternative   education program or a juvenile justice alternative education   program; or                            (ii)  subject to an order of expulsion from a   school district or open-enrollment charter school [has a documented   history of a criminal offense, a juvenile court adjudication, or   discipline problems under Subchapter A, Chapter 37]; and                      (B)  provide for an admission policy that requires   a student to demonstrate artistic ability if the school specializes   in performing arts;                (6)  specify the grade levels to be offered;                (7)  describe the governing structure of the program,   including:                      (A)  the officer positions designated;                      (B)  the manner in which officers are selected and   removed from office;                      (C)  the manner in which members of the governing   body of the school are selected and removed from office;                      (D)  the manner in which vacancies on that   governing body are filled;                      (E)  the term for which members of that governing   body serve; and                      (F)  whether the terms are to be staggered;                (8)  specify the powers or duties of the governing body   of the school that the governing body may delegate to an officer;                (9)  specify the manner in which the school will   distribute to parents information related to the qualifications of   each professional employee of the program, including any   professional or educational degree held by each employee, a   statement of any certification under Subchapter B, Chapter 21, held   by each employee, and any relevant experience of each employee;                (10)  describe the process by which the person   providing the program will adopt an annual budget;                (11)  describe the manner in which an annual audit of   the financial and programmatic operations of the program is to be   conducted, including the manner in which the person providing the   program will provide information necessary for the school district   in which the program is located to participate, as required by this   code or by commissioner rule, in the Public Education Information   Management System (PEIMS);                (12)  describe the facilities to be used;                (13)  describe the geographical area served by the   program;                (14)  specify any type of enrollment criteria to be   used;                (15)  provide information, as determined by the   commissioner, relating to any management company that will provide   management services to a school operating under the charter; and                (16)  specify that the governing body of an   open-enrollment charter school accepts and may not delegate   ultimate responsibility for the school, including the school's   academic performance and financial and operational viability, and   is responsible for overseeing any management company providing   management services for the school and for holding the management   company accountable for the school's performance.          (a-1)  Notwithstanding Subsection (a)(5), a charter granted   under this subchapter may provide for the exclusion of a student   from an open-enrollment charter school campus that includes a   child-care facility based on the student's conviction for a   criminal offense that would preclude the student from being   admitted to a school district campus that includes a child-care   facility.          SECTION 6.  Section 12.1141, Education Code, is amended by   amending Subsections (a), (b), and (c) and adding Subsections   (a-1), (a-2), (a-3), and (b-1) to read as follows:          (a)  The commissioner shall develop and by rule adopt a   procedure for renewal, denial of renewal, or expiration of a   charter for an open-enrollment charter school at the end of the term   of the charter. The procedure must include:                (1)  consideration of the performance under Chapters 39   and 39A of the charter holder and each campus operating under the   charter; and                (2)  a determination under Subsection (a-2) of whether   the charter holder had an excessive number of students transfer   during the term of the charter.          (a-1)  The procedure developed under Subsection (a) must   include three distinct processes, which must be expedited renewal,   discretionary consideration of renewal or denial of renewal, and   expiration.          (a-2)  The commissioner shall by rule adopt a standard for   determining whether a charter holder had an excessive number of   students transfer to schools other than schools operated by the   charter holder:                (1)  after completing the second grade and before   entering the third grade; or                (2)  during the 60 days before the date the   transferring student would be administered an assessment   instrument under Section 39.023.          (a-3)  To renew a charter at the end of the term, the charter   holder must submit a petition for renewal to the commissioner in the   time and manner established by commissioner rule.          (b)  At the end of the term of a charter for an   open-enrollment charter school, if a charter holder submits to the   commissioner a petition for expedited renewal of the charter, the   charter automatically renews unless, not later than the 30th day   after the date the charter holder submits the petition, the   commissioner provides written notice to the charter holder that   expedited renewal of the charter is denied. Except as provided by   Subsection (b-1), the [The] commissioner may not deny expedited   renewal of a charter if:                (1)  the charter holder has been assigned the highest   or second highest performance rating under Subchapter C, Chapter   39, for the three preceding school years;                (2)  the charter holder has been assigned a financial   performance accountability rating under Subchapter D, Chapter 39,   indicating financial performance that is satisfactory or better for   the three preceding school years; and                (3)  no campus operating under the charter has been   assigned the lowest performance rating under Subchapter C, Chapter   39, for the three preceding school years or such a campus has been   closed.          (b-1)  The commissioner may deny expedited renewal of a   charter if, under the standard adopted under Subsection (a-2), the   commissioner determines that an excessive number of student   transfers occurred during the term of the charter.          (c)  At the end of the term of a charter for an   open-enrollment charter school, if a charter holder submits to the   commissioner a petition for renewal of the charter and the charter   does not meet the criteria for expedited renewal under Subsection   (b) or for expiration under Subsection (d) or if the commissioner   denies expedited renewal under Subsection (b-1), the commissioner   shall use the discretionary consideration process. The   commissioner's decision under the discretionary consideration   process must take into consideration the results of annual   evaluations under the performance frameworks established under   Section 12.1181. The renewal of the charter of an open-enrollment   charter school that is registered under the agency's alternative   education accountability procedures for evaluation under Chapter   39 shall be considered under the discretionary consideration   process regardless of the performance ratings under Subchapter C,   Chapter 39, of the open-enrollment charter school or of any campus   operating under the charter, except that if the charter holder has   been assigned a financial accountability performance rating under   Subchapter D, Chapter 39, indicating financial performance that is   lower than satisfactory for any three of the five preceding school   years, the commissioner shall allow the charter to expire under   Subsection (d). In considering the renewal of the charter of an   open-enrollment charter school that is registered under the   agency's alternative education accountability procedures for   evaluation under Chapter 39, such as a dropout recovery school or a   school providing education within a residential treatment   facility, the commissioner shall use academic criteria established   by commissioner rule that are appropriate to measure the specific   goals of the school. The criteria established by the commissioner   shall recognize growth in student achievement as well as   educational attainment. For purposes of this subsection, the   commissioner shall designate as a dropout recovery school an   open-enrollment charter school or a campus of an open-enrollment   charter school:                (1)  that serves students in grades 9 through 12 and has   an enrollment of which at least 50 percent of the students are 17   years of age or older as of September 1 of the school year as   reported for the fall semester Public Education Information   Management System (PEIMS) submission; and                (2)  that meets the eligibility requirements for and is   registered under alternative education accountability procedures   adopted by the commissioner.          SECTION 7.  Section 12.117, Education Code, is amended by   adding Subsection (a-1) to read as follows:          (a-1)  An application required under Subsection (a) or any   communication with the applicant or with the school in which the   applicant is currently enrolled may not include a request for   information regarding the applicant's discipline history except   for a disciplinary action described by Section 12.111(a)(5)(A) or a   notice of disciplinary action under Section 37.022.          SECTION 8.  Section 12.1211, Education Code, is amended to   read as follows:          Sec. 12.1211.  INFORMATION REGARDING [NAMES OF] MEMBERS OF   GOVERNING BODY LISTED ON WEBSITE. An open-enrollment charter   school shall list the names of the members of the governing body on   the home page of the school's Internet website and provide   additional information regarding members of the governing body that   is easily accessible on the website, including:                 (1)  relevant biographical information for each member   related to employment history and educational experience;                (2)  whether a member has a substantial interest in a   business entity as described by Section 171.002, Local Government   Code, and if so, whether that business entity contracts with the   school;                (3)  the total number of members;                (4)  the manner in which the members are selected as   described in the school's charter;                (5)  the terms of service of each member on the   governing body; and                (6)  the total number of years each member has served.          SECTION 9.  The heading to Section 12.131, Education Code,    is amended to read as follows:          Sec. 12.131.  STUDENT DISCIPLINE [REMOVAL OF STUDENTS TO   DISCIPLINARY ALTERNATIVE EDUCATION PROGRAM; EXPULSION OF   STUDENTS].          SECTION 10.  Section 12.131, Education Code, is amended by   amending Subsection (b) and adding Subsections (b-1), (d), (e), and   (f) to read as follows:          (b)  An open-enrollment charter school may:                (1)  only suspend a student for a reason identified in   the school's code of conduct; and                (2)  only [not elect to] expel a student for a reason   for which expulsion [that] is [not] authorized under Subchapter A,   Chapter 37, [by Section 37.007] or [specified in] the school's code   of conduct [as conduct that may result in expulsion].          (b-1)  An open-enrollment charter school's code of conduct   may not authorize expulsion based on:                (1)  a student's attendance or academic ability or   performance; or                (2)  acts or omissions of a student's parent or legal   guardian.          (d)  A suspension under this section may not exceed three   school days.          (e)  Except as required under Section 37.007(e), a student   who is younger than 10 years of age may not be expelled for a period   of more than one school year.          (f)  An employee of an open-enrollment charter school may not   suggest a student withdraw from the school in lieu of being   disciplined as provided by the school's code of conduct.          SECTION 11.  Subchapter D, Chapter 12, Education Code, is   amended by adding Section 12.138 to read as follows:          Sec. 12.138.  ELECTIONEERING PROHIBITED. Notwithstanding   any other law, the governing body or a member of the governing body   of an open-enrollment charter school or an employee or contractor   of an open-enrollment charter school may not use state or local   funds or other resources of the school to electioneer for or against   any candidate, measure, or political party.          SECTION 12.  Chapter 255, Election Code, is amended by   adding Section 255.0011 to read as follows:          Sec. 255.0011.  OPEN-ENROLLMENT CHARTER SCHOOLS. In this   chapter, "open-enrollment charter school" has the meaning assigned   by Section 5.001, Education Code.          SECTION 13.  Sections 255.003(a), (b-1), (d), and (e),   Election Code, are amended to read as follows:          (a)  An officer or employee of a political subdivision or   open-enrollment charter school may not knowingly spend or authorize   the spending of public funds for political advertising.          (b-1)  An officer or employee of a political subdivision or   open-enrollment charter school may not spend or authorize the   spending of public funds for a communication describing a measure   if the communication contains information that:                (1)  the officer or employee knows is false; and                (2)  is sufficiently substantial and important as to be   reasonably likely to influence a voter to vote for or against the   measure.          (d)  It is an affirmative defense to prosecution for an   offense under this section or the imposition of a civil penalty for   conduct under this section that an officer or employee of a   political subdivision or open-enrollment charter school reasonably   relied on a court order or an interpretation of this section in a   written opinion issued by:                (1)  a court of record;                (2)  the attorney general; or                (3)  the commission.          (e)  On written request of the governing body of a political   subdivision or open-enrollment charter school that has ordered an   election on a measure, the commission shall prepare an advance   written advisory opinion as to whether a particular communication   relating to the measure does or does not comply with this section.          SECTION 14.  Sections 255.0031(a) and (b), Election Code,   are amended to read as follows:          (a)  An officer or employee of a state agency, [or] political   subdivision, or open-enrollment charter school may not knowingly   use or authorize the use of an internal mail system for the   distribution of political advertising.          (b)  Subsection (a) does not apply to:                (1)  the use of an internal mail system to distribute   political advertising that is delivered to the premises of a state   agency, [or] political subdivision, or open-enrollment charter   school through the United States Postal Service; or                (2)  the use of an internal mail system by a state   agency or municipality to distribute political advertising that is   the subject of or related to an investigation, hearing, or other   official proceeding of the agency or municipality.          SECTION 15.  Section 255.0031(d)(1), Election Code, is   amended to read as follows:                (1)  "Internal mail system" means a system operated by   a state agency, [or] political subdivision, or open-enrollment   charter school to deliver written documents to officers or   employees of the agency or subdivision.          SECTION 16.  Section 554.001(2), Government Code, is amended   to read as follows:                (2)  "Local governmental entity" means:                      (A)  a political subdivision of the state,   including a[:                      [(A)]  county,[;                      [(B)]  municipality,[;                      [(C)  public] school district,[;] or                      [(D)]  special-purpose district or authority; or                      (B)  an open-enrollment charter school.          SECTION 17.  (a) Notwithstanding Section 12.104(b),   Education Code, as amended by this Act, a person employed by an   open-enrollment charter school on the effective date of this Act is   not required to comply with the changes in law made by this Act   until the beginning of the 2023-2024 school year.          (b)  The change in law made to Section 12.1051, Education   Code, applies only to an open meeting held on or after the effective   date of this Act.          (c)  Notwithstanding the effective date of this Act, a   charter holder that, on the effective date of this Act, owns or   leases an aircraft in a manner other than as authorized under   Section 12.1072, Education Code, as added by this Act, must, by a   date not later than September 1, 2022:                (1)  offer an agency-approved career and technical   education course involving aviation or aviation maintenance, and   cease use of the aircraft for any other purpose; or                (2)  sell the aircraft or terminate the lease for the   aircraft, as applicable.          SECTION 18.  To the extent of any conflict, this Act prevails   over another Act of the 87th Legislature, Regular Session, 2021,   relating to nonsubstantive additions to and corrections in enacted   codes.          SECTION 19.  This Act takes effect September 1, 2021.