Bill Text: FL S1572 | 2017 | Regular Session | Introduced


Bill Title: Education Savings Account Program

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2017-05-05 - Died in Education [S1572 Detail]

Download: Florida-2017-S1572-Introduced.html
       Florida Senate - 2017                                    SB 1572
       
       
        
       By Senator Bean
       
       
       
       
       
       4-01781-17                                            20171572__
    1                        A bill to be entitled                      
    2         An act relating to the Education Savings Account
    3         Program; creating s. 1002.387, F.S.; defining terms;
    4         specifying criteria for student eligibility and
    5         student ineligibility for the program; authorizing a
    6         parent to direct a financial institution trustee of
    7         his or her child’s account to use funds for specified
    8         costs of attending specified private schools or
    9         programs, for participating in a dual enrollment
   10         program, or to make a contribution to the child’s
   11         college savings plan or to a contract under the
   12         Stanley G. Tate Florida Prepaid College Program;
   13         requiring a financial institution to transfer an
   14         account to another participating financial institution
   15         upon the request of a parent as provided by the Chief
   16         Financial Officer by rule; providing for the
   17         distribution of unspent program funds; requiring a
   18         parent to apply for the program to the Department of
   19         Education; specifying responsibilities of a parent or
   20         student for using funds in an account to attend a
   21         private school or private virtual school; requiring
   22         certain students to take norm-referenced tests
   23         required by the department; specifying
   24         responsibilities of a parent or student for using
   25         funds in an account to hire a private tutor or private
   26         tutoring program and for participating in a dual
   27         enrollment program; specifying eligibility criteria
   28         for private schools, private tutors, private tutoring
   29         programs, and private postsecondary institutions to
   30         participate in the program; providing that all public
   31         postsecondary institutions are eligible to participate
   32         in the program; providing duties of the department;
   33         requiring the department to process student
   34         applications, submit a list of eligible institutions
   35         to participating financial institutions, notify the
   36         financial institutions of students approved to
   37         participate in the program, and submit a report to the
   38         Governor and the Legislature by specified dates;
   39         providing duties of the Chief Financial Officer;
   40         requiring the Chief Financial Officer to provide a
   41         list of participating financial institutions to the
   42         department by a specified date each year and to make
   43         payments to the accounts of participating students in
   44         specified situations; providing obligations of
   45         financial institutions; limiting the fees that may be
   46         charged by a financial institution for its services
   47         under the program; requiring a financial institution
   48         to make timely quarterly payments directly to a
   49         private school, private tutor, private tutoring
   50         program, or postsecondary institution or to a selected
   51         college savings plan or the Stanley G. Tate Florida
   52         Prepaid College Program; requiring a financial
   53         institution to notify the department of the identity
   54         of certain students at specified dates; requiring a
   55         financial institution to annually notify the Chief
   56         Financial Officer of its intent to continue to
   57         participate in, or intent to withdraw from, the
   58         program; requiring a financial institution to provide
   59         advance notice to the Chief Financial Officer and
   60         parents of students participating in the program
   61         before withdrawing from the program; specifying
   62         criteria and procedures by which the Commissioner of
   63         Education may deny, suspend, or revoke a private
   64         school’s participation in the program; specifying
   65         procedures by which a private school may challenge the
   66         decision of the commissioner to deny, suspend, or
   67         revoke the school’s participation in the program;
   68         requiring the director of the Division of
   69         Administrative Hearings to expedite a hearing in
   70         certain situations; authorizing the commissioner to
   71         order participating financial institutions to
   72         immediately suspend payments from a student’s account
   73         to a participating private school under certain
   74         circumstances; providing for appeal against a payment
   75         suspension; authorizing the Office of Inspector
   76         General of the department to release otherwise
   77         confidential student information under certain
   78         circumstances involving allegations of fraudulent
   79         activity under the program; specifying a formula to be
   80         used in determining the amount of annual payments made
   81         to a student’s account under the program; providing
   82         for the random selection of applicants to the program
   83         who are attending a home education program or a
   84         private school; providing a calculation to determine
   85         the number of such students who may participate in the
   86         program; authorizing the Legislative Budget Commission
   87         to transfer funds in excess of amounts required to
   88         fully fund the accounts of all participating students
   89         to the Florida Education Finance Program; requiring
   90         the department and the Department of Financial
   91         Services to develop an agreement to assist in the
   92         administration of the program; requiring the State
   93         Board of Education to adopt rules for the Department
   94         of Education and the commissioner to administer the
   95         program; requiring the Chief Financial Officer to
   96         adopt rules to administer its responsibilities under
   97         the program; providing for the enrollment period and
   98         for the number of eligible students for the 2017-2018
   99         school year; requiring the department to randomly
  100         select participating students in specified situations;
  101         authorizing the state board to adopt emergency rules
  102         for the department and the commissioner to implement
  103         the program; providing an effective date.
  104  
  105         WHEREAS, the Legislature finds that it has a duty to
  106  provide for a high-quality education for all children residing
  107  in this state, and
  108         WHEREAS, the Legislature finds that it has a duty to
  109  provide for the establishment, maintenance, and operation of
  110  institutions of higher learning, and
  111         WHEREAS, a high-quality education for children is
  112  facilitated by parents’ involvement in educational choices for
  113  their children, competition among schools and other learning
  114  environments, and the measurement and evaluation of student
  115  learning gains, and
  116         WHEREAS, the Legislature finds that competition between
  117  public schools and private schools will enhance the quality of
  118  education at public schools by encouraging innovation,
  119  flexibility, and efficiency, and
  120         WHEREAS, providing a child with an opportunity to attend a
  121  public school or with funds to pay for private schooling or
  122  tutoring enables the child to access the high-quality education
  123  best suited for his or her specific needs, and
  124         WHEREAS, the Legislature finds that, under the right to
  125  religious freedom in the State Constitution, the state may not
  126  prohibit a person from using private funds to pay the cost of
  127  private schooling or tutoring at an institution having any
  128  religious affiliation, NOW, THEREFORE,
  129  
  130  Be It Enacted by the Legislature of the State of Florida:
  131  
  132         Section 1. Section 1002.387, Florida Statutes, is created
  133  to read:
  134         1002.387Education Savings Account Program.—
  135         (1) DEFINITIONS.—As used in this section, the term:
  136         (a) “Account” means an education savings account belonging
  137  to a student who is participating in, or who participated in,
  138  the program. Funds in an account are private funds.
  139         (b) “College savings plan” means a qualified tuition plan
  140  under s. 529 of the Internal Revenue Code which allows the
  141  establishment of an account for a beneficiary for the purpose of
  142  paying the beneficiary’s eligible college expenses.
  143         (c) “Department” means the Department of Education.
  144         (d) “Eligible private postsecondary institution” means a
  145  private postsecondary institution that is a member of the
  146  Independent Colleges and Universities of Florida and is located
  147  in this state.
  148         (e)“Eligible private school” means a private school that
  149  offers an education to students in kindergarten through grade
  150  12, is located in this state, and meets the requirements in
  151  subsection (6).
  152         (f) “Financial institution” has the same meaning as defined
  153  in s. 655.005.
  154         (g) “Program” means the Education Savings Account Program.
  155         (2)ELIGIBLE STUDENTS.—
  156         (a) A student is eligible to receive funds under the
  157  program if the student resides in this state and:
  158         1.Is eligible to enter kindergarten or first grade;
  159         2.Is the sibling of a student who participates in the
  160  program and who resides in the same household;
  161         3. Was counted as a full-time equivalent student during the
  162  previous state fiscal year for purposes of state per-student
  163  funding; or
  164         4. Attends a home education program or a private school and
  165  was randomly selected to participate in the program pursuant to
  166  subsection (13).
  167         (b)A student remains eligible for the program until he or
  168  she graduates from high school and as long as the student does
  169  not enroll in a public school, a charter school, or a virtual
  170  instruction program, excluding the Florida Virtual School, which
  171  receives state funding as a result of the student’s
  172  participation.
  173         (3) INELIGIBLE STUDENTS.—A student may not participate in
  174  the program if he or she:
  175         (a) Is enrolled in a school operating to provide
  176  educational services to youth in a commitment program for the
  177  Department of Juvenile Justice;
  178         (b)Participates in a virtual school, correspondence
  179  school, or distance learning program that receives state funding
  180  for the student’s participation;
  181         (c)Is enrolled in the Florida School for the Deaf and the
  182  Blind; or
  183         (d) Is receiving an educational scholarship pursuant to
  184  chapter 1002.
  185         (4)PARENT AND STUDENT OPTIONS.—
  186         (a) A parent may direct a financial institution trustee of
  187  his or her child’s account to use the funds in such account, in
  188  whole or in combination, to:
  189         1. Pay the tuition and fees for the child to attend an
  190  eligible private school;
  191         2. Pay the tuition and fees for the child to attend an
  192  eligible private virtual school;
  193         3. Pay a private tutor or private tutoring program
  194  qualified under s. 1002.43 for supplemental educational
  195  services;
  196         4. Pay the cost of tuition, books, or fees for the child to
  197  enroll in a dual enrollment program at a public postsecondary
  198  institution;
  199         5.Pay the cost of tuition, books, or fees for the child to
  200  enroll in a dual enrollment program at an eligible private
  201  postsecondary institution;
  202         6. Contribute to the child’s college savings plan; or
  203         7. Make a payment toward the purchase of a contract under
  204  the Stanley G. Tate Florida Prepaid College Program in s.
  205  1009.98.
  206         (b) A parent may direct the trustee to transfer the account
  207  to another financial institution participating in the program as
  208  provided by the Chief Financial Officer by rule.
  209         (c) Within 3 months after his or her child graduates from
  210  high school or no longer participates in the program, a parent
  211  may direct the trustee to donate any unspent funds in the
  212  account to any private school, private virtual school, private
  213  tutor, private tutoring program, or public or private
  214  postsecondary institution identified in subparagraphs (a)1.
  215  (a)5. or to the school district for the county in which the
  216  child last resided before the child’s participation in the
  217  program was terminated. If a parent fails to identify an
  218  institution to which the trustee must donate the funds, the
  219  trustee must donate the funds to the school district for the
  220  county in which the child last resided before the child’s
  221  participation in the program was terminated.
  222         (5) PARENT AND STUDENT RESPONSIBILITIES FOR PROGRAM
  223  PARTICIPATION.—
  224         (a) A parent must annually apply to the department on
  225  behalf of his or her child during the annual enrollment period.
  226  As part of the enrollment, the parent must identify the
  227  educational option chosen to meet the compulsory attendance
  228  requirements of state law whether through attendance at a
  229  private school or private virtual school, enrollment in a home
  230  education program under s. 1002.41, or a private tutoring
  231  program under s. 1002.43.
  232         (b)1.If a parent elects for his or her child to attend an
  233  eligible private school or private virtual school, the parent or
  234  the child must:
  235         a.Select an eligible private school or private virtual
  236  school and apply for admission;
  237         b.Inform the child’s school district when the parent
  238  withdraws the child to attend the private school or private
  239  virtual school;
  240         c.Remain in attendance in the selected school throughout
  241  the school year unless excused by the school for illness or
  242  other good cause;
  243         d.Comply with the school’s published policies;
  244         e. Ensure that the child participating in the program takes
  245  the nationally norm-referenced tests administered by the school
  246  which are required by the department. The parent may also choose
  247  to have the child participate in a statewide assessment pursuant
  248  to s. 1008.22. If the parent requests that the child take a
  249  statewide assessment, the parent is responsible for transporting
  250  the child to the testing site designated by the school district;
  251  and
  252         f.Pay the balance of the school’s tuition and fees in
  253  excess of the funds in the child’s account.
  254         2. A parent who chooses to comply with the compulsory
  255  attendance requirements by enrolling his or her child in a
  256  private school or private virtual school may also choose to
  257  enroll the child in a dual enrollment program through a public
  258  postsecondary institution or an eligible private postsecondary
  259  institution and use funds from the child’s account for such
  260  purpose. The parent and child must register and apply for
  261  admission during the institution’s registration or application
  262  period and are responsible for paying the balance of tuition and
  263  fees which is not covered by payments from the child’s account.
  264         (c)1.If a parent elects for his or her child to
  265  participate in a home education program, the parent and child
  266  must comply with s. 1002.41.
  267         2.A parent who chooses to comply with the compulsory
  268  attendance requirements by enrolling his or her child in a home
  269  education program may also choose to enroll the child in a dual
  270  enrollment program through a public postsecondary institution or
  271  an eligible private postsecondary institution and use funds from
  272  the child’s account for such purpose. The parent and child must
  273  register and apply for admission during the institution’s
  274  registration or application period and are responsible for
  275  paying the balance of tuition and fees which is not covered by
  276  payments from the child’s account.
  277         (d)1.If a parent elects for his or her child to receive an
  278  education from an eligible private tutor or private tutoring
  279  program, the parent and the child must comply with this chapter.
  280         2. A parent who chooses to comply with the compulsory
  281  attendance requirements through the use of a private tutor or
  282  private tutoring program may also choose to enroll his or her
  283  child in a dual enrollment program through a public
  284  postsecondary institution or an eligible private postsecondary
  285  institution and use funds from the child’s account for such
  286  purpose. The parent and child must register and apply for
  287  admission during the institution’s registration or application
  288  period and are responsible for paying the balance of tuition and
  289  fees which is not covered by payments from the child’s account.
  290         (e) If a parent elects to use any portion of his or her
  291  child’s account as payment for private tutoring through an
  292  eligible supplemental educational services provider, the parent
  293  is responsible for payments to the provider which are not
  294  covered by the child’s account.
  295         (f) If a parent elects for his or her child to participate
  296  in dual enrollment at a public postsecondary institution or an
  297  eligible private postsecondary institution, the parent or the
  298  child must:
  299         1. Register and apply for admission during the
  300  institution’s registration or application period.
  301         2. Inform the child’s school district when the parent
  302  withdraws the child to attend the postsecondary institution.
  303         3. Remain in attendance in the postsecondary institution
  304  throughout the school year unless excused by the institution for
  305  illness or other good cause.
  306         4. Comply with the institution’s published policies.
  307         5. Pay the balance of the postsecondary institution’s
  308  tuition and fees in excess of the funds in the child’s account.
  309         (g) If a parent elects to use any of the funds in his or
  310  her child’s account to make a contribution to a college savings
  311  plan, the parent must comply with all federal and state laws
  312  related to contributions to a college savings plan.
  313         (h) If a parent elects to use any of the funds in his or
  314  her child’s account toward the purchase of a contract under the
  315  Stanley G. Tate Florida Prepaid College Program, the parent must
  316  comply with all rules and requirements of the program and is
  317  responsible for payments in excess of the funds in the account.
  318  
  319  A child may return to the public school system at any time and
  320  quarterly payments to the child’s account shall cease. The
  321  parent of a child who chooses to return to the public school
  322  system is responsible for the payment of any outstanding balance
  323  owed to the private school, private virtual school, private
  324  tutor, private tutoring program, public postsecondary
  325  institution, or private postsecondary education institution
  326  which was in excess of the funds in the account when payments to
  327  the account ceased.
  328         (6) EDUCATIONAL INSTITUTION ELIGIBILITY AND OBLIGATIONS.—
  329         (a) A private school is eligible to participate in the
  330  program, whether sectarian or nonsectarian, if the school:
  331         1. Is accredited by the Southern Association of Colleges
  332  and Schools or is eligible to participate in the Florida Tax
  333  Credit Scholarship Program or the John M. McKay Scholarships for
  334  Students with Disabilities Program; and
  335         2. Complies with rules adopted by the State Board of
  336  Education for participation in the program.
  337         (b) A private virtual school is eligible to participate in
  338  the program, whether sectarian or nonsectarian, if the school:
  339         1.Is approved by the department to participate in the
  340  school district virtual instruction program under s. 1002.45;
  341  and
  342         2. Complies with rules adopted by the State Board of
  343  Education for participation in the program.
  344         (c) A private tutor or private tutoring program is eligible
  345  to participate in the program if the private tutor or private
  346  tutoring program:
  347         1. Is qualified under s. 1002.43;
  348         2. Complies with rules adopted by the State Board of
  349  Education for participation in the program; and
  350         3. Is a supplemental educational services provider under
  351  the federal Elementary and Secondary Education Act.
  352         (d)All public postsecondary institutions are eligible to
  353  participate in the program and must comply with rules adopted by
  354  the State Board of Education for participation in the program.
  355         (e) A private postsecondary institution is eligible to
  356  participate in the program, whether sectarian or nonsectarian,
  357  if the institution is a member of the Independent Colleges and
  358  Universities of Florida and complies with rules adopted by the
  359  State Board of Education for participation in the program.
  360         (7) DEPARTMENT OF EDUCATION OBLIGATIONS.—The Department of
  361  Education shall:
  362         (a)Establish an annual enrollment period and a process in
  363  which a parent may apply to enroll his or her child in the
  364  program. The enrollment period must begin by January 1 and end
  365  by March 1 before the school year in which funding for the
  366  child’s account is sought. All applications must be processed by
  367  May 1 of each year.
  368         (b)Randomly select students attending a home education
  369  program or private school who are eligible under subparagraph
  370  (2)(a)4. to participate in the program if the appropriation to
  371  the program is sufficient to fully fund the accounts of all
  372  other applicants but is insufficient to fully fund the accounts
  373  of all applicants who are attending a home education program or
  374  private school.
  375         (c)Annually verify the eligibility of private schools,
  376  private virtual schools, private tutors, private tutoring
  377  programs, and postsecondary institutions to participate in the
  378  program and publish a list of eligible schools, tutors, tutoring
  379  programs, and postsecondary institutions.
  380         (d) Annually, by March 15, submit to participating
  381  financial institutions a list of eligible private schools,
  382  private virtual schools, private tutors, private tutoring
  383  programs, and private postsecondary institutions.
  384         (e) Notify participating financial institutions of students
  385  who are approved to participate in the program. The notice must
  386  be made annually, by May 1, after the department processes all
  387  applications to participate in the program.
  388         (f) Establish a toll-free hotline that provides parents and
  389  private schools with information on the program.
  390         (g) Establish a process by which a person may notify the
  391  department of any violation of laws or rules relating to
  392  participation in the program. The department shall conduct an
  393  inquiry of all signed, written, and legally sufficient
  394  complaints that allege a violation of this section, or must make
  395  a referral to the appropriate agency for an investigation. A
  396  complaint is legally sufficient if it states ultimate facts
  397  showing that this section or a rule adopted under this section
  398  has been violated.
  399         (h)Require participating private schools and private
  400  virtual schools to annually certify compliance with the
  401  requirements of the program. The certification must be made in a
  402  sworn and notarized statement by the head of the private school.
  403         (i) Compare the list of students participating in the
  404  program with the public school enrollment lists to avoid
  405  duplicate payments.
  406         (j) Maintain a list of nationally norm-referenced tests
  407  identified by the department which must be administered by a
  408  participating private school or private virtual school to
  409  students participating in the program. The tests must meet
  410  industry standards of quality under rules of the State Board of
  411  Education.
  412         (k) Select an independent research organization, which may
  413  be a public or private entity or university, to which
  414  participating private schools and private virtual schools must
  415  report the scores of participating students on the nationally
  416  norm-referenced tests administered by the schools in grades 3
  417  through 10.
  418         1. The independent research organization must annually
  419  issue a report to the department which includes:
  420         a. The year-to-year learning gains of students in the
  421  program;
  422         b. To the extent possible, a comparison of the learning
  423  gains of students in the program to the statewide learning gains
  424  of public school students having backgrounds similar to those of
  425  the students in the program. In order to minimize the costs and
  426  time that the independent research organization requires for
  427  analysis and evaluation, the department shall conduct analyses
  428  of assessment data from matched students in public schools and
  429  shall calculate learning gains of control groups using a
  430  methodology outlined in the contract with the independent
  431  research organization; and
  432         c. The aggregate year-to-year learning gains of students in
  433  the program in each participating private school in which there
  434  are at least 30 participating students having scores for tests
  435  for 2 consecutive years at that private school.
  436         2. The sharing and reporting of the learning gains of
  437  students pursuant to this paragraph must be in accordance with
  438  s. 20 U.S.C. s. 1232g, the Family Educational Rights and Privacy
  439  Act, and may be for the sole purpose of creating the annual
  440  report required by subparagraph 1. The department and the
  441  independent research organization shall preserve the
  442  confidentiality of such information as required by law. The
  443  organization may not disaggregate data in its annual report to a
  444  level that will identify individual participating schools,
  445  except as required under sub-subparagraph 1.c., or disclose the
  446  academic level of individual students.
  447         3.The department shall publish the annual report on its
  448  website.
  449         (l)Conduct random site visits to private schools, private
  450  tutors, private tutoring programs, and private postsecondary
  451  institutions participating in the program. During a site visit,
  452  the department may conduct only activities to verify the
  453  information reported by the schools concerning the enrollment
  454  and attendance of students, the credentials of teachers, and the
  455  results of criminal history record checks of teachers.
  456         (m) Annually, by December 15, submit a report to the
  457  Governor, the President of the Senate, and the Speaker of the
  458  House of Representatives describing the implementation of
  459  accountability mechanisms for the program; identifying any
  460  violations of a law or rule governing the program concerning the
  461  enrollment and attendance of students, the credentials of
  462  teachers, or the background screening of teachers; and
  463  describing the corrective actions taken by the department
  464  relating to violations of a law or rule governing the program.
  465         (8)CHIEF FINANCIAL OFFICER OBLIGATIONS.—The Chief
  466  Financial Officer shall:
  467         (a) Process applications from financial institutions
  468  applying to participate in the program.
  469         (b) Provide a list of participating financial institutions
  470  to the department by March 1 of each year.
  471         (c) Conduct random audits of financial institutions
  472  participating in the program to ensure compliance with this
  473  section.
  474         (d) Revoke the eligibility of a financial institution that
  475  fails to comply with its obligations under this section.
  476         (e) Upon notice from the department, make payments to the
  477  accounts of participating students in four equal installments by
  478  September 1, November 1, February 1, and April 1.
  479         (9) OBLIGATIONS OF FINANCIAL INSTITUTIONS.—
  480         (a)A financial institution must apply to the Chief
  481  Financial Officer for approval to participate in the program.
  482  The Chief Financial Officer must approve the application of a
  483  financial institution if the institution agrees to do all of the
  484  following:
  485         1. Serve as a trustee of the funds in a student’s account.
  486         2. Limit its fees imposed on each account to 3 percent or
  487  less of each payment it makes from an account.
  488         3. Make timely quarterly payments directly to the eligible
  489  private school, private virtual school, private tutor, private
  490  tutoring program, or eligible private postsecondary institution
  491  selected by the parent. The amount of the quarterly payment to
  492  these institutions may not exceed:
  493         a. The amount of the state quarterly payment to the
  494  financial institution, less the financial institution’s fees; or
  495         b. The reported tuition and fee schedule provided to the
  496  department for the educational institution.
  497         4. Make timely quarterly payments directly to a public
  498  postsecondary institution selected by the parent for the payment
  499  of books, tuition, and fees charged for a student’s
  500  participation in a dual enrollment program. The amount of the
  501  quarterly payment to these institutions may not exceed:
  502         a. The amount of the state quarterly payment to the
  503  financial institution, less the financial institution’s fees; or
  504         b. The full cost of books, tuition, and fees charged for
  505  the student’s participation in the dual enrollment program.
  506         5.Make timely quarterly payments directly to the selected
  507  college savings plan or the Stanley G. Tate Florida Prepaid
  508  College Program. The amount of such quarterly payment may not
  509  exceed the amount of the state quarterly payment to the
  510  financial institution, less the financial institution’s fees.
  511         6. Notify the department by February 1, July 1, September
  512  1, and December 1 of the identity of students who have accounts
  513  with the institution under this section.
  514         (b) A participating financial institution must annually
  515  notify the Chief Financial Officer of its intent to continue
  516  participating in or its intent to withdraw from the program. A
  517  financial institution must provide 180 days’ notice to the Chief
  518  Financial Officer and to the parents of students having an
  519  account at the institution before it may withdraw from the
  520  program. The institution must also transfer each account to
  521  another participating institution selected by a parent or to
  522  another participating institution randomly selected by the Chief
  523  Financial Officer if the parent fails to make a timely
  524  selection.
  525         (10) COMMISSIONER OF EDUCATION AUTHORITY AND OBLIGATIONS.—
  526         (a)1. The Commissioner of Education shall deny, suspend, or
  527  revoke the participation of a private school, private virtual
  528  school, private tutor, or private tutoring program in the
  529  program if the commissioner determines that the school, tutor,
  530  or tutoring program has failed to comply with this section or
  531  the rules of the department adopted under this section. However,
  532  if the noncompliance is correctable within a reasonable amount
  533  of time and the health, safety, or welfare of the students is
  534  not threatened, the commissioner may issue a notice of
  535  noncompliance that shall provide the school, tutor, or tutoring
  536  program with a timeframe within which to show evidence of
  537  compliance before action may be taken to suspend or revoke the
  538  school’s, tutor’s, or tutoring program’s participation in the
  539  program.
  540         2. The commissioner may deny, suspend, or revoke a private
  541  school’s participation in the program if the commissioner
  542  determines that an owner or operator of the private school is
  543  operating or has operated an educational institution in this
  544  state or another state in a manner that is contrary to the
  545  health, safety, or welfare of the public. In making this
  546  determination, the commissioner may consider factors including,
  547  but not limited to, acts or omissions by the owner or operator
  548  which led to a previous denial or revocation of participation in
  549  an education scholarship program or an education savings account
  550  program; an owner’s or operator’s failure to reimburse a
  551  student’s account for funds improperly received or retained by a
  552  school; imposition of a prior criminal or civil administrative
  553  sanction related to an owner’s or operator’s management or
  554  operation of an educational institution; or the existence of
  555  other types of criminal proceedings in which the owner or
  556  operator was found guilty of, regardless of adjudication, or
  557  entered a plea of nolo contendere or guilty to any offense
  558  involving fraud, deceit, dishonesty, or moral turpitude.
  559         (b) The commissioner’s determination to deny, suspend, or
  560  revoke a private school’s participation in the program is
  561  subject to the following:
  562         1. The department must notify the private school of the
  563  proposed action in writing by certified mail and regular mail to
  564  the private school’s address of record with the department. The
  565  notice shall state the reasons for the proposed action and
  566  notice of the timelines and procedures set forth in this
  567  paragraph.
  568         2. The private school that is adversely affected by the
  569  proposed action has 15 days after receipt of the notice of
  570  proposed action to file with the clerk of the department a
  571  request for a proceeding pursuant to ss. 120.569 and 120.57. If
  572  the private school is entitled to a hearing under s. 120.57(1),
  573  the department shall forward the request to the Division of
  574  Administrative Hearings.
  575         3. Upon receipt of a request for a proceeding referred
  576  pursuant to this paragraph, the director of the Division of
  577  Administrative Hearings shall expedite the hearing and assign an
  578  administrative law judge who shall commence a hearing within 30
  579  days after the receipt of the formal written request from the
  580  department and enter a recommended order within 30 days after
  581  the hearing or within 30 days after receipt of the hearing
  582  transcript, whichever is later. Each party may submit written
  583  exceptions to the recommended order within 10 days after the
  584  recommended order is entered. The department shall enter a final
  585  order within 30 days after the entry of the recommended order.
  586  The provisions of this subparagraph may be waived upon
  587  stipulation by all parties.
  588         (c) The commissioner may order participating financial
  589  institutions to suspend payment of funds from accounts to a
  590  private school if the commissioner finds that probable cause of
  591  any of the following exists:
  592         1. An imminent threat to the health, safety, and welfare of
  593  a student; or
  594         2. Fraudulent activity on the part of the private school.
  595  
  596  The commissioner’s order suspending payment pursuant to this
  597  paragraph may be appealed pursuant to the same procedures and
  598  timelines as the notice of proposed action set forth in
  599  paragraph (b).
  600         (11) AUTHORIZED RELEASE OF CONFIDENTIAL INFORMATION.
  601  Notwithstanding s. 1002.22, in incidents of alleged fraudulent
  602  activity relating to participation in the program, the Office of
  603  Inspector General of the department may release personally
  604  identifiable records or reports of students to the following
  605  persons or organizations:
  606         (a)A court of competent jurisdiction in compliance with an
  607  order of that court or the attorney of record in accordance with
  608  a lawfully issued subpoena, consistent with the Family
  609  Educational Rights and Privacy Act, 20 U.S.C. s. 1232g.
  610         (b)A person or entity authorized by a court of competent
  611  jurisdiction in compliance with an order of that court or the
  612  attorney of record pursuant to a lawfully issued subpoena,
  613  consistent with the Family Educational Rights and Privacy Act,
  614  20 U.S.C. s. 1232g.
  615         (c)A person, entity, or authority issuing a subpoena for
  616  law enforcement purposes if the court or other issuing agency
  617  has ordered that the existence or the contents of the subpoena
  618  or the information furnished in response to the subpoena not be
  619  disclosed, consistent with the Family Educational Rights and
  620  Privacy Act, 20 U.S.C. s. 1232g, and 34 C.F.R. s. 99.31.
  621         (12) EDUCATION SAVINGS ACCOUNT AMOUNT.—The total amount of
  622  payments to a participating student’s account for a single
  623  school year shall be equal to 40 percent of the base student
  624  allocation under the Florida Education Finance Program
  625  multiplied by the appropriate cost factor for the educational
  626  program that would have been provided for the student in the
  627  district school to which he or she was assigned, multiplied by
  628  the district cost differential plus the per-student share of
  629  instructional materials funds and other categorical funds as
  630  appropriated in the General Appropriations Act.
  631         (13)RANDOM SELECTION OF PROGRAM PARTICIPANTS.—By April 1
  632  of each year, the department shall randomly select applicants to
  633  participate in the program who are in home education programs
  634  and private schools and who did not participate in the program
  635  during the prior school year. The number of spaces available for
  636  these students shall equal the number of students who enrolled
  637  in the program during the annual enrollment period and were
  638  counted as full-time equivalent students at a public school
  639  during the previous state fiscal year for purposes of state per
  640  student funding. For purposes of this calculation, the number of
  641  new participants in the program who were public school students
  642  does not include kindergarten and first grade students and
  643  siblings of other students participating in the program.
  644         (14) LEGISLATIVE BUDGET COMMISSION.—Each quarter the
  645  Legislative Budget Commission may transfer any funds
  646  appropriated for the program in excess of amounts required to
  647  fully fund the accounts of all participating students to the
  648  Florida Education Finance Program.
  649         (15) ADMINISTRATION; RULES.—
  650         (a) The department and the Department of Financial Services
  651  shall develop a cooperative agreement to assist in the
  652  administration of this section.
  653         (b) The State Board of Education shall adopt rules
  654  necessary for the department and the Commissioner of Education
  655  to administer this section, including rules relating to the
  656  establishment of the enrollment period, enrollment forms, and
  657  reporting requirements for financial institutions and schools.
  658         (c) The Chief Financial Officer shall adopt rules necessary
  659  to administer this section, including rules relating to the
  660  eligibility and auditing of participating financial
  661  institutions.
  662         Section 2. Enrollment period for the 2017-2018 school
  663  year.—
  664         (1) Notwithstanding s. 1002.387(7), Florida Statutes, the
  665  enrollment period to participate in the Education Savings
  666  Account Program for the 2017-2018 school year is July 1 through
  667  July 31. The number of students who may participate is limited
  668  to the number of participants specified in the General
  669  Appropriations Act.
  670         (2)Notwithstanding s. 1002.387(2), Florida Statutes, the
  671  students eligible to participate in the Education Savings
  672  Account Program during the 2017-2018 school year are limited to
  673  students identified in s. 1002.387(2)a.1. and 3., Florida
  674  Statutes.
  675         (3) If the Department of Education receives more
  676  applications for eligible students during the enrollment period
  677  for the 2017-2018 school year than the number specified in the
  678  General Appropriations Act, the department shall randomly select
  679  the students who may participate in the program.
  680         (4)(a) The State Board of Education may adopt emergency
  681  rules for the department and the Commissioner of Education to
  682  implement the program.
  683         (b) The Chief Financial Officer may adopt emergency rules
  684  to implement the program.
  685         Section 3. This act shall take effect upon becoming a law.

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