BILL REQ. #: S-3629.1
| State of Washington | 62nd Legislature | 2012 Regular Session |
Read first time 01/13/12. Referred to Committee on Early Learning & K-12 Education.
AN ACT Relating to establishing alternative forms of governance for certain public schools; amending RCW 28A.150.010 and 28A.310.140; reenacting and amending RCW 41.05.011; adding a new section to chapter 41.32 RCW; adding a new section to chapter 41.35 RCW; adding a new section to chapter 41.40 RCW; adding a new section to chapter 41.56 RCW; adding a new section to chapter 41.59 RCW; adding a new section to chapter 28A.315 RCW; adding a new section to chapter 28A.323 RCW; adding a new section to chapter 28A.343 RCW; adding new chapters to Title 28A RCW; and creating a new section.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
NEW SECTION. Sec. 1
(a) The gap in reading test scores between students of color and
white students on the seventh grade Washington measurement of student
progress averages twenty-five percentage points, with just over
one-third of African-American, Latino, Native American, and Pacific
Islander students able to meet grade-level standard in reading compared
to sixty-two percent of white students;
(b) The gap in reading test scores between low-income and
nonlow-income students on the seventh grade Washington measurement of
student progress is equally stark, with only forty-two percent of
low-income students able to meet grade-level standard in reading
compared to sixty-eight percent of nonlow-income students; and
(c) More than one-fifth of low-income students and students of
color who enter seventh grade will have dropped out of school by the
time their peers graduate in twelfth grade. For students with limited
English proficiency, nearly one-third will drop out before their peers
graduate in twelfth grade.
(2) The legislature further finds that although there are multiple
initiatives broadly intended to improve student achievement, including
a small number of initiatives to address the educational opportunity
gap for disadvantaged students generally, some schools continue to
struggle in the current system. They are often hindered by outdated
laws, rules, and practices and need much greater flexibility to
innovate and quickly improve results for low-income students, students
of color, English language learners, and others who are currently
educationally disadvantaged. Incremental change has not been a
successful strategy to turn around performance in every school, and a
more dramatic transformation of school governance, staffing,
leadership, and management is necessary.
(3) Therefore, the legislature intends to authorize new school
models with alternative forms of school governance that focus on
improving academic achievement for educationally disadvantaged students
and have increased autonomy, flexibility, and oversight.
NEW SECTION. Sec. 101
(1) "Applicant" means a nonprofit corporation that has submitted an
application to a sponsor or has filed an appeal with the superintendent
of public instruction to obtain approval to operate a charter school.
The nonprofit corporation must be either a public benefit nonprofit
corporation as defined in RCW 24.03.490, or a nonprofit corporation as
defined in RCW 24.03.005 that has applied for tax exempt status under
section 501(c)(3) of the internal revenue code of 1986 (26 U.S.C. Sec.
501(c)(3)). The nonprofit corporation may not be a sectarian or
religious organization and must meet all of the requirements for a
public benefit nonprofit corporation before receiving any funding under
section 122 of this act.
(2) "Authorizer" means an entity approved under section 109 of this
act to review, approve, or reject charter school applications; enter
into, renew, or revoke charter contracts with applicants; and oversee
the charter schools the entity has authorized.
(3) "Charter contract" means a fixed term, renewable contract
between a charter school and an authorizer that outlines the roles,
powers, responsibilities, and performance expectations for each party
to the contract.
(4) "Charter school" means a public school governed by a charter
school board and operated according to the terms of a charter contract
executed under this chapter and includes a new charter school and a
conversion charter school.
(5) "Charter school board" means the board of directors appointed
or selected under the terms of a charter application to manage and
operate the charter school.
(6) "Conversion charter school" means a charter school created by
converting an existing noncharter public school in its entirety to a
charter school under this chapter.
(7) "Educationally disadvantaged students" means students in
racial, ethnic, English language proficiency, or income groups who are
overrepresented in measures of school disciplinary sanctions, failure
to meet state academic standards, failure to graduate, enrollment in
special education, and enrollment in underperforming schools and who
are underrepresented in AP courses, honors programs, college
preparatory classes, and enrollment in and completion of college.
(8) "New charter school" means any charter school established under
this chapter that is not a conversion charter school.
(9) "Parent" means a parent, guardian, or other person or entity
having legal custody of a child.
(10) "Student" means any child eligible under RCW 28A.225.160 to
attend a public school in the state.
NEW SECTION. Sec. 102
(1) Is a public school offering any program or course of study that
a noncharter public school may offer, including one or more of grades
kindergarten through twelve;
(2) Is governed by a charter school board according to the terms of
a renewable, five-year charter contract executed under section 116 of
this act;
(3) Is a public school to which parents choose to send their
children;
(4) Functions as a local education agency under applicable federal
laws and regulations and is responsible for meeting the requirements of
local education agencies and public schools under those federal laws
and regulations, including but not limited to compliance with the
individuals with disabilities education improvement act (20 U.S.C. Sec.
1401 et seq.), the federal educational rights and privacy act (20
U.S.C. Sec. 1232g), and the elementary and secondary education act (20
U.S.C. Sec. 6301 et seq.).
NEW SECTION. Sec. 103
(a) Hire, manage, and discharge any charter school employee in
accordance with the terms of this chapter and that school's charter
contract;
(b) Receive and disburse funds for the purposes of the charter
school;
(c) Enter into contracts with any school district, educational
service district, or other public or private entity for the provision
of real property, equipment, goods, supplies, and services, including
educational instructional services and including for the management and
operation of the charter school as long as the charter school board
maintains oversight authority over the charter school;
(d) Rent, lease, purchase, or own real property. All charter
contracts and contracts with other entities must include provisions
regarding the disposition of the property if the charter school fails
to open as planned or closes, or if the charter contract is revoked or
not renewed;
(e) Issue secured and unsecured debt, including pledging,
assigning, or encumbering its assets to be sued as collateral for loans
or extensions of credit to manage cash flow, improve operations, or
finance the acquisition of real property or equipment. The issuance is
not a general, special, or moral obligation of the state, the charter
school authorizer, the school district in which the charter school is
located, or any other political subdivision or agency of the state.
Neither the full faith and credit nor the taxing power of the state or
any political subdivision or agency of the state may be pledged for the
payment of the debt;
(f) Solicit, accept, and administer for the benefit of the charter
school and its students, gifts, grants, and donations from individuals
or public or private entities, excluding from sectarian or religious
organizations. Charter schools may not accept any gifts or donations
the conditions of which violate this chapter or other state laws; and
(g) Issue diplomas to students who meet state high school
graduation requirements established under RCW 28A.230.090. A charter
school board may establish additional graduation requirements.
(2) A charter school board may not levy taxes or issue tax-backed
bonds. A charter school board may not acquire property by eminent
domain.
NEW SECTION. Sec. 104
(2) Charter schools are exempt from all state statutes and rules
applicable to school districts and school district boards of directors,
except those statutes and rules made applicable to charter schools
under this chapter and in the school's charter contract. Charter
schools authorized by a school district are exempt from all school
district policies except policies made applicable in the school's
charter contract.
(3) All charter schools must:
(a) Comply with state and federal health, safety, parents' rights,
civil rights, and nondiscrimination laws applicable to school districts
and to the same extent as school districts, including but not limited
to chapter 28A.642 RCW (discrimination prohibition) and chapter 28A.640
RCW (sexual equality);
(b) Provide instruction in the essential academic learning
requirements and participate in the statewide student assessment system
as provided under RCW 28A.655.070;
(c) Employ certificated instructional staff as required in RCW
28A.410.010, however charter schools may hire noncertificated
instructional staff of unusual competence and in exceptional cases as
specified in RCW 28A.150.260;
(d) Comply with the employee record check requirements in RCW
28A.400.303;
(e) Adhere to generally accepted accounting principles and be
subject to financial examinations and audits as determined by the state
auditor, including annual audits for legal and fiscal compliance;
(f) Comply with the annual performance report under RCW
28A.655.110;
(g) Be subject to the performance improvement goals adopted by the
state board of education under RCW 28A.305.130;
(h) Comply with the open public meetings act in chapter 42.30 RCW
and open public records requirements in RCW 42.56.040; and
(i) Be subject to and comply with legislation enacted after the
effective date of this section governing the operation and management
of charter schools.
(4) No charter school may engage in any sectarian practices in its
educational program, admissions or employment policies, or operations.
NEW SECTION. Sec. 105
(2) A charter school may not charge tuition, but may charge fees
for participation in optional extracurricular events and activities.
(3) A conversion charter school must provide sufficient capacity to
enroll all students who wish to remain enrolled in the school after its
conversion to a charter school, and may not displace students enrolled
before the chartering process.
(4) If capacity is insufficient to enroll all students who apply to
a charter school, the charter school must select students through a
lottery. However, a charter school must give an enrollment preference
to siblings of already enrolled students. A charter school may give an
enrollment preference to children of the charter school's founders,
board members, and full-time employees as long as these students
constitute no more than ten percent of the school's total enrollment.
(5) The capacity of a charter school must be determined annually by
the charter school board in consultation with the charter authorizer
and with consideration of the charter school's ability to facilitate
the academic success of its students, achieve the objectives specified
in the charter contract, and assure that its student enrollment does
not exceed the capacity of its facility. An authorizer may not
restrict the number of students a charter school may enroll.
(6) Nothing in this section prevents formation of a charter school
whose mission is to offer a specialized learning environment and
services for particular groups of students, such as educationally
disadvantaged students, students with disabilities, students of the
same gender, or students who pose such severe disciplinary problems
that they warrant a specific educational program. Nothing in this
section prevents formation of a charter school organized around a
special emphasis, theme, or concept as stated in the school's
application and charter contract.
NEW SECTION. Sec. 106
(2) If a student who was previously enrolled in a charter school
enrolls in another public school in the state, the student's new school
must accept credits earned by the student in the charter school in the
same manner and according to the same criteria that credits are
accepted from other public schools.
(3) A charter school is eligible for state or district-sponsored
interscholastic programs, awards, scholarships, or competitions to the
same extent as other public schools.
(4)(a) A charter school student is eligible to participate in
extracurricular activities not offered by the charter school at:
(i) The noncharter public school within whose attendance boundaries
the student's custodial parent resides, as established by the local
school board; or
(ii) The noncharter public school from which the student withdrew
for the purpose of attending the charter school.
(b) A charter school student is eligible for extracurricular
activities at a noncharter public school in the same manner and
according to the same criteria as the students of the noncharter public
school, including being provided with the opportunity to try out for or
compete to participate.
(5) The state board of education shall adopt rules establishing
uniform cost sharing and fee policies for charter school students'
participation in extracurricular activities at noncharter public
schools. The rules must provide that:
(a) Charter school students pay the same fees and are eligible for
the same fee waivers as students in the noncharter public school; and
(b) For each charter school student who participates in an
extracurricular activity at a noncharter public school, the charter
school must pay a share of the noncharter public school's costs for the
extracurricular activity. The uniform cost sharing established by the
board must reflect state and local revenues expended per student to
support the extracurricular activity, except capital facilities
expenditures. The uniform cost sharing may reflect average costs
statewide or average costs within a sample of school districts.
NEW SECTION. Sec. 107
(a) The Washington charter school commission established under
section 108 of this act, for charter schools located anywhere in the
state;
(b) School district boards of directors, for charter schools
located within the school district boundaries; and
(c) The governing boards of public four-year colleges and
universities in the state, for charter schools located anywhere in the
state.
(2) Except for the Washington charter school commission, an entity
must be approved by the state board of education under section 109 of
this act before authorizing a charter school.
NEW SECTION. Sec. 108
(2) The commission shall consist of nine members, no more than five
of whom shall be members of the same political party. Three members
shall be appointed by the governor; three members shall be appointed by
the president of the senate; and three members shall be appointed by
the speaker of the house of representatives. The appointing
authorities shall assure diversity among commission members, including
representation from various geographic areas of the state.
(3) Members appointed to the commission shall collectively possess
strong experience and expertise in public and nonprofit governance;
management and finance; public school leadership, assessment,
curriculum, and instruction; and public education law. All members
shall have demonstrated an understanding of and commitment to charter
schooling as a strategy for strengthening public education.
(4) Members shall be appointed to four-year, staggered terms, with
initial appointments from each of the appointing authorities consisting
of one member appointed to a one-year term, one member appointed to a
two-year term, and one member appointed to a three-year term, all of
whom thereafter may be reappointed for a four-year term. No member may
serve more than two consecutive terms. Initial appointments must be
made no later than ninety days after the effective date of this
section.
(5) A member of the commission may be removed for cause by the
appointing authority. Whenever a vacancy on the commission exists, the
original appointing authority must appoint a member for the remaining
portion of the term.
(6) Commission members shall serve without compensation but may be
reimbursed for travel expenses as authorized in RCW 43.03.050 and
43.03.060.
(7) Operational and staff support for the commission shall be
provided by the office of the governor until the commission has
sufficient resources to hire or contract for separate staff support,
who shall reside within the office of the governor for administrative
purposes only.
(8) Sections 110 and 111 of this act apply to the commission.
NEW SECTION. Sec. 109
(2) At a minimum, each applicant must submit to the state board:
(a) The applicant's strategic vision for chartering;
(b) A plan to support the vision presented, including explanation
and evidence of the applicant's budget and personnel capacity and
commitment to execute the responsibilities of quality charter
authorizing;
(c) A draft or preliminary outline of the request for proposals
that the applicant would, if approved as an authorizer, issue to
solicit charter school applicants;
(d) A draft of the performance framework that the applicant would,
if approved as an authorizer, use to guide the establishment of a
charter contract and for ongoing oversight and evaluation of charter
schools;
(e) A draft of the applicant's proposed renewal, revocation, and
nonrenewal processes, consistent with sections 119 and 120 of this act;
(f) A statement of assurance that the applicant seeks to serve as
an authorizer in fulfillment of the expectations, spirit, and intent of
this chapter, and that if approved as an authorizer, the applicant will
fully participate in any authorizer training provided or required by
the state; and
(g) A statement of assurance that the applicant will provide public
accountability and transparency in all matters concerning charter
authorizing practices, decisions, and expenditures.
(3) The state board of education shall consider the merits of each
application and make its decision within the timelines established by
the board.
(4) Within thirty days of making a decision to approve an
application under this section, the state board of education must
execute a renewable authorizing contract with the entity. The initial
term of an authorizing contract shall be six years. The authorizing
contract must specify each approved entity's agreement to serve as an
authorizer in accordance with the expectations of this chapter, and may
specify additional performance terms based on the applicant's proposal
and plan for chartering. No approved entity may commence charter
authorizing without an authorizing contract in effect.
NEW SECTION. Sec. 110
(a) Soliciting and evaluating charter applications;
(b) Approving quality charter applications that meet identified
educational needs and promote a diversity of educational choices;
(c) Denying weak or inadequate charter applications;
(d) Negotiating and executing sound charter contracts with each
authorized charter school;
(e) Monitoring, in accordance with charter contract terms, the
performance and legal compliance of charter schools; and
(f) Determining whether each charter contract merits renewal,
nonrenewal, or revocation.
(2) An authorizer may delegate its responsibilities under this
section to employees or contractors.
(3) All authorizers must develop and follow chartering policies and
practices that are consistent with the principles and standards for
quality charter authorizing developed by the national association of
charter school authorizers in at least the following areas:
(a) Organizational capacity and infrastructure;
(b) Soliciting and evaluating charter applications;
(c) Performance contracting;
(d) Ongoing charter school oversight and evaluation; and
(e) Charter renewal decision making.
(4) Each authorizer must submit an annual report to the state board
of education, according to a timeline, content, and format specified by
the board, that includes:
(a) The authorizer's strategic vision for chartering and progress
toward achieving that vision;
(b) The academic and financial performance of all operating charter
schools overseen by the authorizer, including the progress of the
charter schools based on the authorizer's performance framework;
(c) The status of the authorizer's charter school portfolio,
identifying all charter schools in each of the following categories:
Approved but not yet open, operating, renewed, transferred, revoked,
not renewed, voluntarily closed, or never opened;
(d) The authorizer's operating costs and expenses detailed in
annual audited financial statements that conform with generally
accepted accounting principles; and
(e) The services purchased from the authorizer by the charter
schools under its jurisdiction under section 111 of this act, including
an itemized accounting of the actual costs of these services.
(5) Neither an authorizer, individuals who make up the membership
of an authorizer in their official capacity, nor the employees of an
authorizer are liable for acts or omissions of a charter school they
authorize.
(6) No employee, trustee, agent, or representative of an authorizer
may simultaneously serve as an employee, trustee, agent,
representative, vendor, or contractor of a charter school under the
jurisdiction of that authorizer.
NEW SECTION. Sec. 111
(2) The state board of education may establish a sliding scale for
the authorizer oversight fee, with the funding percentage decreasing
after the authorizer has achieved a certain threshold, such as after a
certain number of years of authorizing or after a certain number of
charter schools have been authorized.
(3) An authorizer must use its oversight fee exclusively for the
purpose of fulfilling its duties under section 110 of this act.
(4) An authorizer may provide contracted, fee-based services to
charter schools under its jurisdiction that are in addition to the
oversight duties under section 110 of this act. An authorizer may not
charge more than market rates for the contracted services provided. A
charter school may not be required to purchase contracted services from
an authorizer. Fees collected by the authorizer under this subsection
must be separately accounted for and reported annually to the state
board of education.
NEW SECTION. Sec. 112
(2) Persistently unsatisfactory performance of an authorizer's
portfolio of charter schools, a pattern of well-founded complaints
about the authorizer or its charter schools, or other objective
circumstances may trigger a special review by the state board of
education.
(3) In reviewing or evaluating the performance of authorizers, the
board must apply the principles and standards for quality charter
authorizing. Evidence of material or persistent failure by an
authorizer to carry out its duties in accordance with the principles
and standards constitutes grounds for revocation of the authorizing
contract by the state board, as provided under this section.
(4) If at any time the state board of education finds that an
authorizer is not in compliance with a charter contract, its
authorizing contract, or the authorizer duties under section 110 of
this act, the board must notify the authorizer in writing of the
identified problems, and the authorizer shall have reasonable
opportunity to respond and remedy the problems.
(5) If an authorizer persists after due notice from the state board
of education in violating a material provision of a charter contract or
its authorizing contract, or fails to remedy other identified
authorizing problems, the state board of education shall notify the
authorizer, within a reasonable amount of time under the circumstances,
that it intends to revoke the authorizer's chartering authority unless
the authorizer demonstrates a timely and satisfactory remedy for the
violation or deficiencies.
(6) In the event of revocation of any authorizer's chartering
authority, the state board of education shall manage the timely and
orderly transfer of each charter contract held by that authorizer to
another authorizer in the state, with the mutual agreement of each
affected charter school and proposed new authorizer. The new
authorizer shall assume the existing charter contract for the remainder
of the charter term.
(7) The state board of education must establish timelines and a
process for taking actions under this section in response to
performance deficiencies by an authorizer.
NEW SECTION. Sec. 113
(b) Each authorizer's request for proposals must:
(i) Present the authorizer's strategic vision for chartering,
including a clear statement of any preferences the authorizer wishes to
grant to applications that employ proven methods for educating
educationally disadvantaged students or students with special needs;
(ii) Include or otherwise direct applicants to the performance
framework that the authorizer has developed for charter school
oversight and evaluation in accordance with section 117 of this act;
(iii) Provide the criteria that will guide the authorizer's
decision to approve or deny a charter application; and
(iv) State clear, appropriately detailed questions as well as
guidelines concerning the format and content essential for applicants
to demonstrate the capacities necessary to establish and operate a
successful charter school.
(2) A charter school application must provide or describe
thoroughly all of the following elements of the proposed school plan:
(a) An executive summary;
(b) The mission and vision of the proposed charter school,
including identification of the targeted student population and the
community the school hopes to serve;
(c) The location or geographic area proposed for the school;
(d) The grades to be served each year for the full term of the
charter contract;
(e) Minimum, planned, and maximum enrollment per grade per year for
the term of the charter contract;
(f) Evidence of need and community support for the proposed charter
school;
(g) Background information on the proposed founding governing board
members and, if identified, the proposed school leadership and
management team;
(h) The school's proposed calendar and sample daily schedule;
(i) A description of the academic program aligned with state
standards;
(j) A description of the school's proposed instructional design,
including the type of learning environment, such as classroom-based or
independent study; class size and structure; curriculum overview; and
teaching methods;
(k) Evidence that the educational program is based on proven
methods;
(l) The school's plan for using internal and external assessments
to measure and report student progress on the performance framework
developed by the authorizer in accordance with section 117 of this act;
(m) The school's plans for identifying, successfully serving, and
complying with applicable laws and regulations regarding students with
disabilities, students who are limited English proficient, students who
are struggling academically, and highly capable students;
(n) A description of cocurricular or extracurricular programs and
how they will be funded and delivered;
(o) Plans and timelines for student recruitment and enrollment,
including targeted plans for recruiting educationally disadvantaged
students and including lottery procedures;
(p) The school's student discipline policies, including for special
education students;
(q) An organization chart that clearly presents the school's
organizational structure, including lines of authority and reporting
between the governing board, staff, any related bodies such as advisory
bodies or parent and teacher councils, and any external organizations
that will play a role in managing the school;
(r) A clear description of the roles and responsibilities for the
governing board, the school's leadership and management team, and any
other entities shown in the organization chart;
(s) A staffing plan for the school's first year and for the term of
the charter;
(t) Plans for recruiting and developing school leadership and
staff;
(u) The school's leadership and teacher employment policies,
including performance evaluation plans;
(v) Proposed governing bylaws;
(w) Explanations of any partnerships or contractual relationships
central to the school's operations or mission;
(x) Plans for providing transportation, food service, and all other
significant operational or ancillary services;
(y) Opportunities and expectations for parent involvement;
(z) A detailed school start-up plan, identifying tasks, timelines,
and responsible individuals;
(aa) A description of the school's financial plan and policies,
including financial controls and audit requirements;
(bb) A description of the insurance coverage the school will
obtain;
(cc) Start-up and five-year cash flow projections and budgets with
clearly stated assumptions;
(dd) Evidence of anticipated fundraising contributions, if claimed
in the application; and
(ee) A sound facilities plan, including backup or contingency plans
if appropriate.
(3) In the case of an application to establish a conversion charter
school, the applicant must also demonstrate support for the proposed
conversion by a petition signed by a majority of teachers assigned to
the school or a petition signed by a majority of parents of students in
the school.
(4) In the case of an application where the proposed charter school
intends to contract with an education service provider for substantial
educational services, management services, or both, the applicant must:
(a) Provide evidence of the education service provider's success in
serving student populations similar to the targeted population,
including demonstrated academic achievement as well as successful
management of nonacademic school functions if applicable;
(b) Provide a term sheet setting forth the proposed duration of the
service contract; roles and responsibilities of the governing board,
the school staff, and the service provider; scope of services and
resources to be provided by the service provider; performance
evaluation measures and timelines; compensation structure, including
clear identification of all fees to be paid to the service provider;
methods of contract oversight and enforcement; investment disclosure;
and conditions for renewal and termination of the contract; and
(c) Disclose and explain any existing or potential conflicts of
interest between the charter school board and proposed service provider
or any affiliated business entities.
(5) In the case of an application from an applicant that operates
one or more schools in any state or nation, the applicant must provide
evidence of past performance, including evidence of the applicant's
success in serving educationally disadvantaged students, and capacity
for growth.
(6) Applicants may submit a proposal for a particular public
charter school to no more than one authorizer at a time.
NEW SECTION. Sec. 114
(2) In reviewing and evaluating charter applications, authorizers
shall employ procedures, practices, and criteria consistent with the
principles and standards for quality charter authorizing. The
application review process must include thorough evaluation of each
application, an in-person interview with the applicant group, and an
opportunity in a public forum for local residents to learn about and
provide input on each application.
(3) In deciding whether to approve an application, authorizers
must:
(a) Grant charters only to applicants that have demonstrated
competence in each element of the authorizer's published approval
criteria and are likely to open and operate a successful public charter
school;
(b) Base decisions on documented evidence collected through the
application review process;
(c) Follow charter-granting policies and practices that are
transparent and based on merit; and
(d) Avoid any conflicts of interest whether real or apparent.
(4) An approval decision may include, if appropriate, reasonable
conditions that the charter applicant must meet before a charter
contract may be executed.
(5) For any denial of an application, the authorizer shall clearly
state in writing its reasons for denial. A denied applicant may
subsequently reapply to that authorizer or apply to another authorizer
in the state.
NEW SECTION. Sec. 115
(2) Consistent with the legislative intent of establishing charter
schools, until a date each year established by the state board of
education, a majority of the annual number of charter schools that may
be established under subsection (1) of this section are reserved to
implement charter schools established for the primary purpose of
serving educationally disadvantaged students, and that are located in,
or accessible to students who live in, geographic areas in which a
large proportion of the students have difficulty meeting state academic
content and student achievement standards, or geographic areas,
including urban and rural areas, in which a large proportion or number
of public schools have been identified as needing improvement under
state and federal accountability.
(3) To ensure compliance with the annual limits for establishing
new charter schools, certification from the state board of education
must be obtained before final authorization of a charter school.
Within ten days of taking action to approve or deny an application
under section 114 of this act, an authorizer must submit a report of
the action to the applicant and to the state board of education, which
must include a copy of the authorizer's resolution setting forth the
action taken, the reasons for the decision, and assurances of
compliance with the procedural requirements and application elements
under sections 113 and 114 of this act. The authorizer must also
indicate whether the charter school's primary purpose is to serve
educationally disadvantaged students.
(4) Upon the receipt of notice from an authorizer that a charter
school has been approved, the state board of education shall certify
whether the approval is in compliance with the limits on the maximum
number of charters allowed under subsection (1) of this section and in
compliance with the date until which the majority of charters each year
are reserved under subsection (2) of this section. If the board
receives simultaneous notification of approved charters that exceed the
annual allowable limits in subsections (1) and (2) of this section, the
board must select approved charters for implementation through a
lottery process, and must assign implementation dates accordingly.
(5) If the number of charters reserved each year under subsection
(2) of this section is not reached by the date established by the state
board of education, the board must notify authorizers of any other
approved charters for which authorization has not been granted under
subsection (2) of this section, and must allow implementation of those
charters within the annual limits, regardless of whether those charters
meet the requirements of subsection (2) of this section.
(6) The state board of education must notify authorizers of the
number of applications approved by the date until which the majority of
new charters each year are reserved under subsection (2) of this
section. The board must also notify authorizers when the maximum
allowable number of charter schools has been reached each year.
NEW SECTION. Sec. 116
(2) Within ninety days of approval of a charter application, the
authorizer and the governing board of the approved charter school must
execute a charter contract that clearly sets forth the academic and
operational performance expectations and measures by which the charter
school will be judged and the administrative relationship between the
authorizer and charter school, including each party's rights and
duties. The performance expectations and measures set forth in the
charter contract must include but need not be limited to applicable
federal and state accountability requirements. The performance
provisions may be refined or amended by mutual agreement after the
charter school is operating and has collected baseline achievement data
for its enrolled students.
(3) The charter contract must be signed by the president of the
authorizer's governing board or the chief executive of the authorizer
as applicable and the president of the charter school board. Within
ten days of executing a charter contract, the authorizer must submit to
the state board of education written notification of the charter
contract execution, including a copy of the executed charter contract
and any attachments.
(4) A charter contract may comprise one or more schools to the
extent approved by the authorizer. A single charter school board may
hold one or more charter contracts. However, each charter school that
is part of a charter contract must be separate and distinct from any
others.
(5) An initial charter contract must be granted for a term of five
operating years. The contract term must commence on the charter
school's first day of operation. An approved charter school may delay
its opening for one school year in order to plan and prepare for the
school's opening. If the school requires an opening delay of more than
one school year, the school must request an extension from its
authorizer. The authorizer may grant or deny the extension depending
on the school's circumstances.
(6) Authorizers may establish reasonable preopening requirements or
conditions to monitor the start-up progress of newly approved charter
schools and ensure that they are prepared to open smoothly on the date
agreed, and to ensure that each school meets all building, health,
safety, insurance, and other legal requirements for school opening.
(7) No charter school may commence operations without a charter
contract executed in accordance with this section.
NEW SECTION. Sec. 117
(2) At a minimum, the performance framework must include
indicators, measures, and metrics for:
(a) Student academic proficiency;
(b) Student academic growth;
(c) Achievement gaps in both proficiency and growth between major
student subgroups;
(d) Attendance;
(e) Recurrent enrollment from year to year;
(f) Graduation rates and postsecondary readiness, for high schools;
(g) Financial performance and sustainability; and
(h) Board performance and stewardship, including compliance with
all applicable laws, rules, and terms of the charter contract.
(3) Annual performance targets must be set by each charter school
in conjunction with its authorizer and must be designed to help each
school meet applicable federal, state, and authorizer expectations.
(4) The authorizer and charter school may also include additional
rigorous, valid, and reliable indicators in the performance framework
to augment external evaluations of the charter school's performance.
(5) The performance framework must require the disaggregation of
all student performance data by major student subgroups, including
gender, race and ethnicity, poverty status, special education status,
English language learner status, and highly capable status.
(6) Multiple schools operating under a single charter contract or
overseen by a single charter school board must report their performance
as separate schools, and each school shall be held independently
accountable for its performance.
NEW SECTION. Sec. 118
(2) An authorizer may conduct or require oversight activities that
enable the authorizer to fulfill its responsibilities under this
chapter, including conducting appropriate inquiries and investigations,
so long as those activities are consistent with the intent of this
chapter, adhere to the terms of the charter contract, and do not unduly
inhibit the autonomy granted to charter schools.
(3) In the event that a charter school's performance or legal
compliance appears unsatisfactory, the authorizer must promptly notify
the school of the perceived problem and provide reasonable opportunity
for the school to remedy the problem, unless the problem warrants
revocation in which case the revocation procedures under section 120 of
this act apply.
(4) An authorizer may take appropriate corrective actions or
exercise sanctions short of revocation in response to apparent
deficiencies in charter school performance or legal compliance. Such
actions or sanctions may include, if warranted, requiring a school to
develop and execute a corrective action plan within a specified time
frame.
NEW SECTION. Sec. 119
(2) No later than six months before the expiration of a charter
contract, the authorizer must issue a performance report and charter
contract renewal application guidance to that charter school. The
performance report must summarize the charter school's performance
record to date based on the data required by the charter contract, and
must provide notice of any weaknesses or concerns perceived by the
authorizer concerning the charter school that may jeopardize its
position in seeking renewal if not timely rectified. The charter
school has thirty days to respond to the performance report and submit
any corrections or clarifications for the report.
(3) The renewal application guidance must, at a minimum, provide an
opportunity for the charter school to:
(a) Present additional evidence, beyond the data contained in the
performance report, supporting its case for charter contract renewal;
(b) Describe improvements undertaken or planned for the school; and
(c) Detail the school's plans for the next charter contract term.
(4) The renewal application guidance must include or refer
explicitly to the criteria that will guide the authorizer's renewal
decisions, which shall be based on the performance framework set forth
in the charter contract.
(5) In making charter renewal decisions, an authorizer must:
(a) Ground its decisions in evidence of the school's performance
over the term of the charter contract in accordance with the
performance framework set forth in the charter contract;
(b) Ensure that data used in making renewal decisions are available
to the school and the public; and
(c) Provide a public report summarizing the evidence basis for its
decision.
NEW SECTION. Sec. 120
(a) Committed a material and substantial violation of any of the
terms, conditions, standards, or procedures required under this chapter
or the charter contract;
(b) Failed to meet or make sufficient progress toward the
performance expectations set forth in the charter contract;
(c) Failed to meet generally accepted standards of fiscal
management; or
(d) Substantially violated any material provision of law from which
the charter school is not exempt.
(2) A charter contract may not be renewed if, at the time of the
renewal application, the charter school's performance falls in the
bottom quartile of schools on the accountability index developed by the
state board of education under RCW 28A.657.110, unless the charter
school demonstrates exceptional circumstances that the authorizer finds
justifiable.
(3) A charter contract must be revoked or nonrenewed if the charter
school is identified as meeting the criteria for temporary transfer to
the transformation zone district as provided under section 203 of this
act.
(4) Each authorizer must develop revocation and nonrenewal
processes that:
(a) Provide the charter school board with a timely notification of
the prospect of and reasons for revocation or nonrenewal;
(b) Allow the charter school board a reasonable amount of time in
which to prepare a response;
(c) Provide the charter school board with an opportunity to submit
documents and give testimony challenging the rationale for closure and
in support of the continuation of the school at a recorded public
proceeding held for that purpose;
(d) Allow the charter school board to be represented by counsel and
to call witnesses on its behalf; and
(e) After a reasonable period for deliberation, require a final
determination to be made and conveyed in writing to the charter school
board.
(5) If an authorizer revokes or does not renew a charter, the
authorizer must clearly state in a resolution the reasons for the
revocation or nonrenewal.
(6) Within ten days of taking action to renew, not renew, or revoke
a charter contract, an authorizer must submit a report of the action to
the applicant and to the state board of education, which must include
a copy of the authorizer's resolution setting forth the action taken,
the reasons for the decision, and assurances of compliance with the
procedural requirements established by the authorizer under this
section.
NEW SECTION. Sec. 121
(2) In the event of a charter school closure for any reason, the
assets of the school must be distributed first to satisfy outstanding
payroll obligations for employees of the school, then to creditors of
the school, and then to the state treasurer to the credit of the
general fund. If the assets of the school are insufficient to pay all
parties to whom the school owes compensation, the prioritization of the
distribution of assets may be determined by decree of a court of law.
(3) A charter contract may not be transferred from one authorizer
to another before the expiration of the charter contract term except by
petition to the state board of education by the charter school or its
authorizer. The state board of education must review such petitions on
a case-by-case basis and may grant transfer requests in response to
special circumstances and evidence that such a transfer would serve the
best interests of the charter school's students.
NEW SECTION. Sec. 122
(2) According to the schedule established under RCW 28A.510.250,
the superintendent of public instruction shall allocate funding for a
charter school including general apportionment, special education,
categorical, and other nonbasic education moneys. Allocations must be
based on the statewide average staff mix ratio of all noncharter public
schools from the prior school year and the school's actual full-time
equivalent enrollment. A charter school is not eligible for enhanced
small school assistance funding. Categorical funding must be allocated
to a charter school based on the same funding criteria used for
noncharter public schools, except that the charter school is exempt
from rules and statutes regarding the expenditure of these funds. A
charter school is eligible to apply for state grants on the same basis
as a school district.
(3) Allocations for pupil transportation must be calculated on a
per student basis based on the allocation for the previous school year
to the school district in which the charter school is located. A
charter school may enter into a contract with a school district or
other public or private entity to provide transportation for the
students of the school.
(4) Amounts payable to a charter school under this section in the
school's first year of operation must be based on the projections of
first-year student enrollment established in the charter contract. The
office of the superintendent of public instruction must reconcile the
amounts paid in the first year of operation to the amounts that would
have been paid based on actual student enrollment and make adjustments
to the charter school's allocations over the course of the second year
of operation.
(5) For charter schools authorized by a school district board of
directors:
(a) Allocations to a charter school that are included in RCW
84.52.0531(3) (a) through (c) shall be included in the levy base of the
district in which the charter school is located.
(b) Conversion charter schools are eligible for local levy moneys
approved by the voters before the start-up date of the school as
determined by the authorizer, and the school district must allocate
levy moneys to a conversion charter school.
(c) New charter schools are not eligible for local levy moneys
approved by the voters before the start-up date of the school as
determined by the authorizer, and the district may not allocate those
levy moneys to a new school.
(d) For levies submitted to voters after the start-up date of a
charter school, the school must be included in levy planning, budgets,
and funding distribution in the same manner as other public schools in
the district.
(e) A conversion charter school is entitled to the continued rent-free use of its existing facility. The district remains responsible
for major repairs and safety upgrades that may be required for the
continued use of the facility as a public school. The charter school
is responsible for routine maintenance of the facility, including but
not limited to, cleaning, painting, gardening, and landscaping.
(6) No local levy money may be allocated to a charter school if the
charter school is not authorized by a school district board of
directors.
(7) Any moneys received by a charter school from any source and
remaining in the school's accounts at the end of any budget year shall
remain in the school's accounts for use by the school during subsequent
budget years.
NEW SECTION. Sec. 123
(2) A charter school has a right of first refusal to purchase or
lease at or below fair market value a closed public school facility or
property or unused portions of a public school facility or property
located in a school district from which it draws its students if the
school district decides to sell or lease the public school facility or
property.
(3) A charter school may negotiate and contract at or below fair
market value with a school district, the governing body of a public
college or university, or any other public or private entity for the
use of a facility for a school building.
(4) Public libraries, community service organizations, museums,
performing arts venues, theaters, churches, and public or private
colleges and universities may provide space to charter schools within
their facilities under their preexisting zoning and land use
designations.
NEW SECTION. Sec. 124
NEW SECTION. Sec. 125
(2) The annual report must be based on the reports submitted by
each authorizer as well as any additional relevant data compiled by the
board. The report must include a comparison of the performance of
charter school students with the performance of academically,
ethnically, and economically comparable groups of students in
noncharter public schools. In addition, the annual report must include
the state board of education's assessment of the successes, challenges,
and areas for improvement in meeting the purposes of this chapter,
including the board's assessment of the sufficiency of funding for
charter schools, the efficacy of the formula for authorizer funding,
and any suggested changes in state law or policy necessary to
strengthen the state's charter schools.
NEW SECTION. Sec. 201
(1) "Learning management organization" means a nonprofit
corporation with expertise in managing both the daily operations and
the academic and instructional learning environment of a school under
a contract with the governing authority of the school. A learning
management organization must be either a public benefit nonprofit
corporation as defined in RCW 24.03.490, or a nonprofit corporation as
defined in RCW 24.03.005 that has applied for tax-exempt status under
section 501(c)(3) of the internal revenue code of 1986 (26 U.S.C. Sec.
501(c)(3)).
(2) "Original school district" means the school district within
whose boundaries a school is located and does not include the
transformation zone district.
(3) "Transformation zone district" means an office within the
office of the superintendent of public instruction that has been
assigned the powers and responsibilities of a school district as
provided under this chapter.
(4) "Transformation zone school" means a school that has been
temporarily transferred from its original school district to the
jurisdiction of the transformation zone district as provided under this
chapter.
NEW SECTION. Sec. 202
(2) The transformation zone district and the superintendent of
public instruction as the governing authority of the district have
jurisdiction over all transformation zone schools that have been
temporarily transferred to the district under section 203 of this act.
(3) The transformation zone district is not a local taxing district
and the superintendent of public instruction may not levy taxes under
RCW 84.52.053. The superintendent of public instruction may not buy or
sell real property under RCW 28A.335.120 or incur bonded indebtedness
under RCW 28A.530.010 or 28A.530.080, and does not have the power of
eminent domain under RCW 28A.335.220. The state treasurer shall act as
the treasurer for the transformation zone district, with the same
responsibilities for transformation zone district funds as are assigned
by law to the county treasurer for local school district funds.
(4) The transformation zone district shall be designated as a local
education agency of the state under applicable federal laws and rules
and is responsible for meeting the requirements of local education
agencies under those laws and rules, including those regarding the
receipt and expenditure of federal funds.
NEW SECTION. Sec. 203
(2) The superintendent of public instruction shall adopt criteria
for the recommendation, including:
(a) The school has been identified under RCW 28A.657.020 as a
persistently lowest-achieving school and is furthermore among the
persistently lowest-achieving of these schools;
(b) The school is not the subject of a required action plan in a
required action district under chapter 28A.657 RCW, except that a
school that has been the subject of a required action plan for at least
three years and has not been released from required action under RCW
28A.657.100 may be recommended for transfer to the transformation zone
district; and
(c) The school is not the subject of a currently active federal
school improvement grant.
(3) At least ten and no more than twenty schools that meet the
superintendent's criteria shall be transferred to the transformation
zone district each single year.
(4) If a charter school established under chapter 28A.--- RCW (the
new chapter created in section 401 of this act) is identified as
meeting the criteria for temporary transfer to the transformation zone
district under this section, the superintendent of public instruction
shall notify the state board of education and the authorizer of the
charter school that the charter contract must be nonrenewed or revoked
as provided under section 120 of this act.
(5) The superintendent of public instruction shall provide a school
district superintendent with written notice of the recommendation for
transfer of a school to the transformation zone district by certified
mail or personal service. A school district superintendent may request
reconsideration of the superintendent of public instruction's
recommendation. The reconsideration is limited to a determination of
whether the school met the criteria for being recommended for transfer
to the transformation zone district. A request for reconsideration
must be in writing and served on the superintendent of public
instruction within ten days of service of the notice of the
superintendent's recommendation.
(6) The state board of education must consider the recommendations
of the superintendent of public instruction under subsection (1) of
this section at a public meeting. The state board of education may
modify the superintendent's recommendations before directing the annual
transfer of schools to the jurisdiction of the transformation zone
district. The transfer shall take effect on September 1st following
the board's decision.
(7) During the period of time between the board's decision and the
effective date of the transfer of a school under this section, the
original school district must cooperate with the superintendent of
public instruction in developing a transfer plan, including but not
limited to providing necessary financial and staffing information to
the superintendent.
NEW SECTION. Sec. 204
(2) The superintendent's requests for proposals for learning
management organizations must require an applicant to provide:
(a) The applicant's strategic vision for operation, management, and
transformation of a persistently lowest-achieving school;
(b) A plan to support the vision presented, including explanation
and evidence of the applicant's budget and personnel capacity and
commitment to execute the responsibilities of school operation and
management;
(c) A draft of the performance framework that the applicant would
use to guide the transformation of the school; and
(d) A statement of assurance that the applicant will provide public
accountability and transparency in all matters concerning practices,
decisions, and expenditures related to its management of a
transformation zone school.
(3) A contract with a learning management organization must contain
a performance framework that clearly sets forth the academic and
operational performance indicators, measures, and metrics for the
improvement of student learning in the transformation zone school.
Annual performance targets must be established under the contract. The
learning management organization must develop, oversee, and implement
a school transformation plan based on the performance framework.
(4) At a minimum, the performance framework must include
indicators, measures, and metrics for:
(a) Student academic proficiency;
(b) Student academic growth;
(c) Achievement gaps in both proficiency and growth between major
student subgroups;
(d) Attendance;
(e) Recurrent enrollment from year to year;
(f) Graduation rates and postsecondary readiness, for high schools;
(g) Financial performance and sustainability; and
(h) Performance and stewardship by the learning management
organization, including compliance with all applicable laws, rules, and
terms of the contract with the superintendent of public instruction.
(5) The superintendent of public instruction and the learning
management organization may also include additional rigorous, valid,
and reliable indicators in the performance framework to augment
external evaluations of the performance of the transformation zone
school.
(6) The performance framework must require the disaggregation of
all student performance data by major student subgroups, including
gender, race and ethnicity, poverty status, special education status,
English learner status, and highly capable status.
(7) A contract with a learning management organization must include
expectations and indicators for parent and community involvement in the
transformation zone school. The learning management organization must
establish and hold regular public meetings with a standing parent and
community advisory committee.
(8) A learning management organization may contract with
individuals, organizations, educational service districts, and school
districts including the original school district to provide goods and
services to a transformation zone school.
NEW SECTION. Sec. 205
(2) Certificated and classified employees assigned to a school that
is scheduled to be transferred to the transformation zone district may
apply to the original school district for a transfer of assignment
within the original district, which request must be considered
according to the policies and procedures of the district regarding
transfers of assignment.
(3) The superintendent of public instruction shall exercise the
powers of a school district board of directors under RCW 28A.400.300
with regard to employment of certificated and classified employees who
shall be considered employees of the transformation zone district.
(4) Under the terms of the contracts executed under section 204 of
this act, the superintendent must delegate to the learning management
organization the responsibility to hire, assign, evaluate, and dismiss
all staff of a transformation zone school.
(5) Classified and certificated staff previously assigned to a
school that is transferred to the transformation zone district may
apply to the learning management organization to become employees of
the transformation zone district assigned to that school.
(6) Years of service in a transformation zone school by
certificated instructional staff shall be included in the years of
service calculation for purposes of the statewide salary allocation
schedule under RCW 28A.150.410.
NEW SECTION. Sec. 206
(2) A parent of a student scheduled to attend a transformation zone
school must be permitted to transfer the student to another school
within the original school district, but may be required to follow
other school assignment policies of the original school district.
(3) Except for transfers requested by a parent under this section,
assignment of students to a transformation zone school must be based on
the same policies for student assignment to other schools in the
original school district.
(4) Students enrolled in a transformation zone school may
participate in interscholastic and extracurricular activities offered
by the original school district in the same manner as other students
enrolled in the original school district, including being required to
pay fees to participate in extracurricular activities.
NEW SECTION. Sec. 207
(2) The transformation zone district and all transformation zone
schools must:
(a) Comply with state and federal health, safety, parents' rights,
civil rights, and nondiscrimination laws applicable to school districts
and to the same extent as school districts, including but not limited
to chapter 28A.642 RCW (discrimination prohibition) and chapter 28A.640
RCW (sexual equality);
(b) Provide instruction in the essential academic learning
requirements and participate in the statewide student assessment system
as provided under RCW 28A.655.070;
(c) Employ certificated instructional staff as required in RCW
28A.410.010, however the transformation zone district may hire
noncertificated instructional staff of unusual competence and in
exceptional cases as specified in RCW 28A.150.260;
(d) Comply with the employee record check requirements in RCW
28A.400.303;
(e) Adhere to generally accepted accounting principles and be
subject to financial examinations and audits as determined by the state
auditor, including annual audits for legal and fiscal compliance;
(f) Comply with the annual performance report under RCW
28A.655.110;
(g) Be subject to the performance improvement goals adopted by the
state board of education under RCW 28A.305.130;
(h) Comply with the open public meetings act in chapter 42.30 RCW
and open public records requirements in RCW 42.56.040; and
(i) Be subject to and comply with legislation enacted after the
effective date of this section governing the operation and management
of the transformation zone district.
NEW SECTION. Sec. 208
(2) The superintendent of public instruction shall place the
deducted funds in a separate account for each transformation zone
school, and funds in such an account may be spent only in support of
that school. Any unspent funds at the end of a school fiscal year
remain in the account to be used in future years for the benefit of
that school.
(3) Federal funds that are made available to the transformation
zone district as a local education agency must be apportioned among the
transformation zone schools by the superintendent of public instruction
based on the programs and criteria that generated the funds.
(4) State funds deducted from the apportionment of an original
school district under subsection (1) of this section and federal funds
apportioned to a transformation zone school under subsection (3) of
this section must be included in the levy base of the school's original
school district under RCW 84.52.0531.
(5) If an original school district has a local levy for maintenance
and operations, the district must transmit to the superintendent of
public instruction a per-student amount of the levy for each annual
average full-time equivalent student enrolled in a transformation zone
school in that district. The superintendent of public instruction must
place the funds in the separate account under subsection (2) of this
section and spend the funds only in support of that school. For levies
submitted to voters after the transfer of a school to the
transformation zone district, the school must be included in levy
planning, budgets, and funding distribution in the same manner as other
schools in the original school district.
(6) Notwithstanding the transfer of a school to the transformation
zone district, the original school district must continue to receive
applicable state and federal funds for pupil transportation under
chapter 28A.160 RCW and for food services under chapter 28A.235 RCW for
students enrolled in a transformation zone school and shall continue to
provide transportation services and food services to the students
enrolled in that school in the same manner as such services would be
provided absent the transfer of the school.
NEW SECTION. Sec. 209
(2) The original school district retains ownership of and legal
title to the land, building, and equipment of a transformation zone
school. After the decision is made by the state board of education to
transfer a school to the transformation zone district, the original
school district may not remove supplies or equipment from the
transformation zone school without written authorization from the
superintendent of public instruction or the contracted learning
management organization for the school.
(3) The superintendent of public instruction may negotiate with the
original school district for payment of the school's share of
insurance, utilities, or other similar shared overhead associated with
the operation of a transformation zone school.
NEW SECTION. Sec. 210
(2) A transformation zone school is eligible to be returned to the
jurisdiction of its original school district after the school has met
the performance improvement criteria of the state board of education
for three consecutive years.
(3) The state board of education must notify the superintendent of
public instruction by January of the year after which a transformation
zone school becomes eligible to be returned to its original school
district. The superintendent of public instruction shall negotiate
with the original school district for the return of the transformation
zone school, including addressing the employment status of employees of
the transformation zone school. Any notices of nonrenewal of contracts
for certificated instructional staff of the transformation zone school
must comply with RCW 28A.405.210 and 28A.405.220. The return of a
transformation zone school to its original school district takes effect
September 1st after the board's decision.
(4) Any unspent balances in the account associated with the
transformation zone school must be credited to the original school
district.
(5) The board of directors of the original school district may
negotiate a new contract with the learning management organization to
continue oversight and management of a returned transformation zone
school.
Sec. 301 RCW 28A.150.010 and 1969 ex.s. c 223 s 28A.01.055 are
each amended to read as follows:
Public schools ((shall)) means the common schools as referred to in
Article IX of the state Constitution and those schools and institutions
of learning having a curriculum below the college or university level
as now or may be established by law and maintained at public expense,
including charter schools established under chapter 28A.--- RCW (the
new chapter created in section 401 of this act).
NEW SECTION. Sec. 302 A new section is added to chapter 41.32
RCW to read as follows:
This section designates charter schools established under chapter
28A.-- RCW (the new chapter created in section 401 of this act) as
employers and charter school employees as members, and applies only if
the department of retirement systems receives determinations from the
internal revenue service and the United States department of labor that
participation does not jeopardize the status of these retirement
systems as governmental plans under the federal employees' retirement
income security act and the internal revenue code.
NEW SECTION. Sec. 303 A new section is added to chapter 41.35
RCW to read as follows:
This section designates charter schools established under chapter
28A.-- RCW (the new chapter created in section 401 of this act) as
employers and charter school employees as members, and applies only if
the department of retirement systems receives determinations from the
internal revenue service and the United States department of labor that
participation does not jeopardize the status of these retirement
systems as governmental plans under the federal employees' retirement
income security act and the internal revenue code.
NEW SECTION. Sec. 304 A new section is added to chapter 41.40
RCW to read as follows:
This section designates charter schools established under chapter
28A.-- RCW (the new chapter created in section 401 of this act) as
employers and charter school employees as members, and applies only if
the department of retirement systems receives determinations from the
internal revenue service and the United States department of labor that
participation does not jeopardize the status of these retirement
systems as governmental plans under the federal employees' retirement
income security act and the internal revenue code.
Sec. 305 RCW 41.05.011 and 2011 1st sp.s. c 15 s 54 are each
reenacted and amended to read as follows:
The definitions in this section apply throughout this chapter
unless the context clearly requires otherwise.
(1) "Authority" means the Washington state health care authority.
(2) "Board" means the public employees' benefits board established
under RCW 41.05.055.
(3) "Dependent care assistance program" means a benefit plan
whereby state and public employees may pay for certain employment
related dependent care with pretax dollars as provided in the salary
reduction plan under this chapter pursuant to 26 U.S.C. Sec. 129 or
other sections of the internal revenue code.
(4) "Director" means the director of the authority.
(5) "Emergency service personnel killed in the line of duty" means
law enforcement officers and firefighters as defined in RCW 41.26.030,
members of the Washington state patrol retirement fund as defined in
RCW 43.43.120, and reserve officers and firefighters as defined in RCW
41.24.010 who die as a result of injuries sustained in the course of
employment as determined consistent with Title 51 RCW by the department
of labor and industries.
(6) "Employee" includes all employees of the state, whether or not
covered by civil service; elected and appointed officials of the
executive branch of government, including full-time members of boards,
commissions, or committees; justices of the supreme court and judges of
the court of appeals and the superior courts; and members of the state
legislature. Pursuant to contractual agreement with the authority,
"employee" may also include: (a) Employees of a county, municipality,
or other political subdivision of the state and members of the
legislative authority of any county, city, or town who are elected to
office after February 20, 1970, if the legislative authority of the
county, municipality, or other political subdivision of the state seeks
and receives the approval of the authority to provide any of its
insurance programs by contract with the authority, as provided in RCW
41.04.205 and 41.05.021(1)(g); (b) employees of employee organizations
representing state civil service employees, at the option of each such
employee organization, and, effective October 1, 1995, employees of
employee organizations currently pooled with employees of school
districts for the purpose of purchasing insurance benefits, at the
option of each such employee organization; (c) employees of a school
district if the authority agrees to provide any of the school
districts' insurance programs by contract with the authority as
provided in RCW 28A.400.350; ((and)) (d) employees of a tribal
government, if the governing body of the tribal government seeks and
receives the approval of the authority to provide any of its insurance
programs by contract with the authority, as provided in RCW
41.05.021(1) (f) and (g); and (e) employees of a charter school
established under chapter 28A.--- RCW (the new chapter created in
section 401 of this act). "Employee" does not include: Adult family
homeowners; unpaid volunteers; patients of state hospitals; inmates;
employees of the Washington state convention and trade center as
provided in RCW 41.05.110; students of institutions of higher education
as determined by their institution; and any others not expressly
defined as employees under this chapter or by the authority under this
chapter.
(7) "Employer" means the state of Washington.
(8) "Employing agency" means a division, department, or separate
agency of state government, including an institution of higher
education; a county, municipality, school district, educational service
district, charter school, or other political subdivision; and a tribal
government covered by this chapter.
(9) "Faculty" means an academic employee of an institution of
higher education whose workload is not defined by work hours but whose
appointment, workload, and duties directly serve the institution's
academic mission, as determined under the authority of its enabling
statutes, its governing body, and any applicable collective bargaining
agreement.
(10) "Flexible benefit plan" means a benefit plan that allows
employees to choose the level of health care coverage provided and the
amount of employee contributions from among a range of choices offered
by the authority.
(11) "Insuring entity" means an insurer as defined in chapter 48.01
RCW, a health care service contractor as defined in chapter 48.44 RCW,
or a health maintenance organization as defined in chapter 48.46 RCW.
(12) "Medical flexible spending arrangement" means a benefit plan
whereby state and public employees may reduce their salary before taxes
to pay for medical expenses not reimbursed by insurance as provided in
the salary reduction plan under this chapter pursuant to 26 U.S.C. Sec.
125 or other sections of the internal revenue code.
(13) "Participant" means an individual who fulfills the eligibility
and enrollment requirements under the salary reduction plan.
(14) "Plan year" means the time period established by the
authority.
(15) "Premium payment plan" means a benefit plan whereby state and
public employees may pay their share of group health plan premiums with
pretax dollars as provided in the salary reduction plan under this
chapter pursuant to 26 U.S.C. Sec. 125 or other sections of the
internal revenue code.
(16) "Retired or disabled school employee" means:
(a) Persons who separated from employment with a school district or
educational service district and are receiving a retirement allowance
under chapter 41.32 or 41.40 RCW as of September 30, 1993;
(b) Persons who separate from employment with a school district
((or)), educational service district, or charter school on or after
October 1, 1993, and immediately upon separation receive a retirement
allowance under chapter 41.32, 41.35, or 41.40 RCW;
(c) Persons who separate from employment with a school district
((or)), educational service district, or charter school due to a total
and permanent disability, and are eligible to receive a deferred
retirement allowance under chapter 41.32, 41.35, or 41.40 RCW.
(17) "Salary" means a state employee's monthly salary or wages.
(18) "Salary reduction plan" means a benefit plan whereby state and
public employees may agree to a reduction of salary on a pretax basis
to participate in the dependent care assistance program, medical
flexible spending arrangement, or premium payment plan offered pursuant
to 26 U.S.C. Sec. 125 or other sections of the internal revenue code.
(19) "Seasonal employee" means an employee hired to work during a
recurring, annual season with a duration of three months or more, and
anticipated to return each season to perform similar work.
(20) "Separated employees" means persons who separate from
employment with an employer as defined in:
(a) RCW 41.32.010(17) on or after July 1, 1996; or
(b) RCW 41.35.010 on or after September 1, 2000; or
(c) RCW 41.40.010 on or after March 1, 2002;
and who are at least age fifty-five and have at least ten years of
service under the teachers' retirement system plan 3 as defined in RCW
41.32.010(33), the Washington school employees' retirement system plan
3 as defined in RCW 41.35.010, or the public employees' retirement
system plan 3 as defined in RCW 41.40.010.
(21) "State purchased health care" or "health care" means medical
and health care, pharmaceuticals, and medical equipment purchased with
state and federal funds by the department of social and health
services, the department of health, the basic health plan, the state
health care authority, the department of labor and industries, the
department of corrections, the department of veterans affairs, and
local school districts.
(22) "Tribal government" means an Indian tribal government as
defined in section 3(32) of the employee retirement income security act
of 1974, as amended, or an agency or instrumentality of the tribal
government, that has government offices principally located in this
state.
NEW SECTION. Sec. 306 A new section is added to chapter 41.56
RCW to read as follows:
(1) Notwithstanding RCW 41.56.060 and 41.56.070, the bargaining
units of classified employees of the transformation zone district
established under section 202 of this act must be limited to the
employees of each transformation zone school within the district and
must be separate from other bargaining units in the district. The
superintendent of public instruction must consult with the learning
management organizations that are under contract to manage and operate
transformation zone schools when fulfilling the responsibilities of a
public employer under this chapter.
(2) In addition to the entities listed in RCW 41.56.020, this
chapter applies to any charter school established under chapter 28A.---RCW (the new chapter created in section 401 of this act).
NEW SECTION. Sec. 307 A new section is added to chapter 41.59
RCW to read as follows:
(1) Notwithstanding RCW 41.59.070 and 41.59.080, the bargaining
units of certificated employees of the transformation zone district
established under section 202 of this act must be limited to the
employees of each transformation zone school within the district and
must be separate from other bargaining units in the district. The
superintendent of public instruction must consult with the learning
management organizations that are under contract to manage and operate
transformation zone schools when fulfilling the responsibilities of an
employer under this chapter.
(2) In addition to school districts, this chapter applies to any
charter school established under chapter 28A.--- RCW (the new chapter
created in section 401 of this act).
Sec. 308 RCW 28A.310.140 and 2006 c 263 s 608 are each amended to
read as follows:
Every school district must be included entirely within a single
educational service district. If the boundaries of any school district
within an educational service district are changed in any manner so as
to extend the school district beyond the boundaries of that educational
service district, the superintendent of public instruction shall change
the boundaries of the educational service districts so affected in a
manner consistent with the purposes of RCW 28A.310.010 and this
section. This section does not apply to the transformation zone
district established under section 202 of this act.
NEW SECTION. Sec. 309 A new section is added to chapter 28A.315
RCW to read as follows:
The provisions of this chapter do not apply to the transformation
zone district established under section 202 of this act.
NEW SECTION. Sec. 310 A new section is added to chapter 28A.323
RCW to read as follows:
The provisions of this chapter do not apply to the transformation
zone district established under section 202 of this act.
NEW SECTION. Sec. 311 A new section is added to chapter 28A.343
RCW to read as follows:
The provisions of this chapter do not apply to the transformation
zone district established under section 202 of this act.
NEW SECTION. Sec. 401 Sections 101 through 125 of this act
constitute a new chapter in Title
NEW SECTION. Sec. 402 Sections 201 through 210 of this act
constitute a new chapter in Title
NEW SECTION. Sec. 403 If any provision of this act or its
application to any person or circumstance is held invalid, the
remainder of the act or the application of the provision to other
persons or circumstances is not affected.