Bill Text: MI HB4019 | 2011-2012 | 96th Legislature | Introduced

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Bill Title: Education; public school academies; cap on number of public school academies authorized by state public universities under part 6a; eliminate. Amends secs. 502, 502a & 503 of 1976 PA 451 (MCL 380.502 et seq.).

Spectrum: Partisan Bill (Republican 3-0)

Status: (Introduced - Dead) 2011-01-18 - Printed Bill Filed 01/14/2011 [HB4019 Detail]

Download: Michigan-2011-HB4019-Introduced.html

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HOUSE BILL No. 4019

 

January 13, 2011, Introduced by Reps. McMillin, Knollenberg and Johnson and referred to the Committee on Education.

 

     A bill to amend 1976 PA 451, entitled

 

"The revised school code,"

 

by amending sections 502, 502a, and 503 (MCL 380.502, 380.502a, and

 

380.503), sections 502 and 503 as amended and section 502a as added

 

by 2009 PA 205.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 502. (1) A public school academy shall be organized and

 

administered under the direction of a board of directors in

 

accordance with this part and with bylaws adopted by the board of

 

directors. A public school academy corporation shall be organized

 

under the nonprofit corporation act, 1982 PA 162, MCL 450.2101 to

 

450.3192, except that a public school academy corporation is not

 

required to comply with sections 170 to 177 of 1931 PA 327, MCL

 

450.170 to 450.177. To the extent disqualified under the state or

 

federal constitution, a public school academy shall not be

 

organized by a church or other religious organization and shall not

 

have any organizational or contractual affiliation with or

 

constitute a church or other religious organization.

 

     (2) Any of the following may act as an authorizing body to

 

issue a contract to organize and operate 1 or more public school

 

academies under this part:

 

     (a) The board of a school district that operates grades K to

 

12. However, the board of a school district shall not issue a

 

contract for a public school academy to operate outside the school

 

district's boundaries, and a public school academy authorized by

 

the board of a school district shall not operate outside that

 

school district's boundaries.

 

     (b) An intermediate school board. However, the board of an

 

intermediate school district shall not issue a contract for a

 

public school academy to operate outside the intermediate school

 

district's boundaries, and a public school academy authorized by

 

the board of an intermediate school district shall not operate

 

outside that intermediate school district's boundaries.

 

     (c) The board of a community college. However, except as

 

otherwise provided in this subdivision, the board of a community

 

college shall not issue a contract for a public school academy to

 

operate in a school district organized as a school district of the

 

first class, a public school academy authorized by the board of a

 

community college shall not operate in a school district organized

 

as a school district of the first class, the board of a community

 

college shall not issue a contract for a public school academy to

 

operate outside the boundaries of the community college district,

 

and a public school academy authorized by the board of a community

 

college shall not operate outside the boundaries of the community

 

college district. The board of a community college also may issue a

 

contract for not more than 1 public school academy to operate on

 

the grounds of an active or closed federal military installation

 

located outside the boundaries of the community college district,

 

or may operate a public school academy itself on the grounds of

 

such a federal military installation, if the federal military

 

installation is not located within the boundaries of any community

 

college district and the community college has previously offered

 

courses on the grounds of the federal military installation for at

 

least 10 years.

 

     (d) The governing board of a state public university. However,

 

the combined total number of contracts for public school academies

 

issued by all state public universities shall not exceed 150.

 

Further, the total number of contracts issued by any 1 state public

 

university shall not exceed 50% of the maximum combined total

 

number that may be issued under this subdivision.

 

     (3) To obtain a contract to organize and operate 1 or more

 

public school academies, 1 or more persons or an entity may apply

 

to an authorizing body described in subsection (2). The application

 

shall include at least all of the following:

 

     (a) Identification of the applicant for the contract.

 

     (b) Subject to the resolution adopted by the authorizing body

 

under section 503(4), a list of the proposed members of the board

 

of directors of the public school academy and a description of the

 

qualifications and method for appointment or election of members of

 

the board of directors.

 

     (c) The proposed articles of incorporation, which shall

 

include at least all of the following:

 

     (i) The name of the proposed public school academy.

 

     (ii) The purposes for the public school academy corporation.

 

This language shall provide that the public school academy is

 

incorporated pursuant to this part and that the public school

 

academy corporation is a governmental entity.

 

     (iii) The name of the authorizing body.

 

     (iv) The proposed time when the articles of incorporation will

 

be effective.

 

     (v) Other matters considered expedient to be in the articles

 

of incorporation.

 

     (d) A copy of the proposed bylaws of the public school

 

academy.

 

     (e) Documentation meeting the application requirements of the

 

authorizing body, including at least all of the following:

 

     (i) The governance structure of the public school academy.

 

     (ii) A copy of the educational goals of the public school

 

academy and the curricula to be offered and methods of pupil

 

assessment to be used by the public school academy. To the extent

 

applicable, the progress of the pupils in the public school academy

 

shall be assessed using at least a Michigan education assessment

 

program (MEAP) test or the Michigan merit examination, as

 

applicable.

 

     (iii) The admission policy and criteria to be maintained by the

 

public school academy. The admission policy and criteria shall

 

comply with section 504. This part of the application also shall

 

include a description of how the applicant will provide to the

 

general public adequate notice that a public school academy is

 

being created and adequate information on the admission policy,

 

criteria, and process.

 

     (iv) The school calendar and school day schedule.

 

     (v) The age or grade range of pupils to be enrolled.

 

     (f) Descriptions of staff responsibilities and of the public

 

school academy's governance structure.

 

     (g) For an application to the board of a school district, an

 

intermediate school board, or board of a community college,

 

identification of the local and intermediate school districts in

 

which the public school academy will be located.

 

     (h) An agreement that the public school academy will comply

 

with the provisions of this part and, subject to the provisions of

 

this part, with all other state law applicable to public bodies and

 

with federal law applicable to public bodies or school districts.

 

     (i) For a public school academy authorized by a school

 

district, an assurance that employees of the public school academy

 

will be covered by the collective bargaining agreements that apply

 

to other employees of the school district employed in similar

 

classifications in schools that are not public school academies.

 

     (j) A description of and address for the proposed physical

 

plant in which the public school academy will be located.

 

     (4) An authorizing body shall oversee, or shall contract with

 

an intermediate school district, community college, or state public

 

university to oversee, each public school academy operating under a

 

contract issued by the authorizing body. The oversight shall be

 

sufficient to ensure that the authorizing body can certify that the

 

public school academy is in compliance with statute, rules, and the

 

terms of the contract.

 

     (5) If the superintendent of public instruction finds that an

 

authorizing body is not engaging in appropriate continuing

 

oversight of 1 or more public school academies operating under a

 

contract issued by the authorizing body, the superintendent of

 

public instruction may suspend the power of the authorizing body to

 

issue new contracts to organize and operate public school

 

academies. A contract issued by the authorizing body during the

 

suspension is void. A contract issued by the authorizing body

 

before the suspension is not affected by the suspension.

 

     (6) An authorizing body shall not charge a fee, or require

 

reimbursement of expenses, for considering an application for a

 

contract, for issuing a contract, or for providing oversight of a

 

contract for a public school academy in an amount that exceeds a

 

combined total of 3% of the total state school aid received by the

 

public school academy in the school year in which the fees or

 

expenses are charged. An authorizing body may provide other

 

services for a public school academy and charge a fee for those

 

services, but shall not require such an arrangement as a condition

 

to issuing the contract authorizing the public school academy.

 

     (7) A public school academy shall be presumed to be legally

 

organized if it has exercised the franchises and privileges of a

 

public school academy for at least 2 years.

 

     Sec. 502a. If a public school academy operating under this

 

part meets the requirements of part 6e, with the approval of its

 

authorizing body, the board of directors of the public school

 

academy may adopt a resolution choosing to convert the public

 

school academy to a school of excellence under part 6e. If a board

 

of directors of a public school academy that meets the requirements

 

of part 6e is issued a contract to operate as a school of

 

excellence under part 6e, all of the following apply:

 

     (a) The public school academy shall cease to operate as a

 

public school academy under this part and shall operate as a school

 

of excellence under part 6e upon the issuance of the contract under

 

part 6e or at another time as determined by the authorizing body.

 

     (b) The public school academy shall be considered to be a

 

school of excellence for all purposes upon the issuance of the

 

contract under part 6e or at another time as determined by the

 

authorizing body, but shall retain its corporate identity.

 

     (c) The conversion of a public school academy to a school of

 

excellence operating under part 6e shall not impair any agreement,

 

mortgage, loan, bond, note or other instrument of indebtedness, or

 

any other agreement entered into by a public school academy while

 

it was operating under this part.

 

     (d) The contract issued to the public school academy under

 

this part shall automatically terminate upon the issuance of a

 

contract under part 6e or at another time as determined by the

 

authorizing body.

 

     (e) If the authorizing body of the public school academy is

 

the governing board of a state university, then all of the

 

following apply to issuance of a new contract for a public school

 

academy under this part after the conversion:

 

     (i) For a period of 12 months after the contract is issued

 

under part 6e, that authorizing body is the only authorizing body

 

that may issue a new contract for a new public school academy to

 

fill the availability under section 502(d) that is created by the

 

conversion of the public school academy to a school of excellence.

 

     (ii) If the board of directors of the public school academy

 

that is issued a contract to fill the availability under section

 

502(d) that is created by the conversion chooses to enter into an

 

agreement with an educational management organization to manage or

 

operate the public school academy, the board of directors may give

 

preference to an educational management organization that has

 

previously operated a school that met the criteria described in

 

section 552(4).

 

     (iii) At the time the contract is issued, the public school

 

academy shall not be located in a school district that has a

 

graduation rate of over 75.5%, on average, for the most recent 3

 

school years for which the data are available, as determined by the

 

department.

 

     Sec. 503. (1) An authorizing body is not required to issue a

 

contract to any person or entity. Public school academy contracts

 

shall be issued on a competitive basis taking into consideration

 

the resources available for the proposed public school academy, the

 

population to be served by the proposed public school academy, the

 

educational goals to be achieved by the proposed public school

 

academy, and the applicant's track record, if any, in operating

 

public school academies or other public schools. However, an

 

authorizing body may give priority to a public school academy that

 

is intended to replace a public school academy that has been closed

 

pursuant to section 507(2), that will operate all of the same grade

 

levels as the public school academy that has been closed, and that

 

will work toward operating all of grades 9 to 12 within 6 years

 

after it begins operations unless a matriculation agreement has

 

been entered into with another public school that provides grades 9

 

to 12.

 

     (2) If a person or entity applies to the board of a school

 

district for a contract to organize and operate 1 or more public

 

school academies within the boundaries of the school district and

 

the board does not issue the contract, the person or entity may

 

petition the board to place the question of issuing the contract on

 

the ballot to be decided by the school electors of the school

 

district. The petition shall contain all of the information

 

required to be in the contract application under section 502 and

 

shall be signed by a number of school electors of the school

 

district equal to at least 15% of the total number of school

 

electors of that school district. The petition shall be filed with

 

the school district filing official. If the board receives a

 

petition meeting the requirements of this subsection, the board

 

shall have the question of issuing the contract placed on the

 

ballot at its next regular school election held at least 60 days

 

after receiving the petition. If a majority of the school electors

 

of the school district voting on the question vote to issue the

 

contract, the board shall issue the contract.

 

     (3) Within 10 days after issuing a contract for a public

 

school academy, the authorizing body shall submit to the

 

superintendent of public instruction a copy of the contract and of

 

the application under section 502.

 

     (4) An authorizing body shall adopt a resolution establishing

 

the method of selection, length of term, and number of members of

 

the board of directors of each public school academy subject to its

 

jurisdiction.

 

     (5) A contract issued to organize and administer a public

 

school academy shall contain at least all of the following:

 

     (a) The educational goals the public school academy is to

 

achieve and the methods by which it will be held accountable. To

 

the extent applicable, the pupil performance of a public school

 

academy shall be assessed using at least a Michigan education

 

assessment program (MEAP) test or the Michigan merit examination,

 

as applicable.

 

     (b) A description of the method to be used to monitor the

 

public school academy's compliance with applicable law and its

 

performance in meeting its targeted educational objectives.

 

     (c) A description of the process for amending the contract

 

during the term of the contract.

 

     (d) All of the matters set forth in the application for the

 

contract.

 

     (e) For a public school academy authorized by a school

 

district, an agreement that employees of the public school academy

 

will be covered by the collective bargaining agreements that apply

 

to employees of the school district employed in similar

 

classifications in schools that are not public school academies.

 

     (f) Procedures for revoking the contract and grounds for

 

revoking the contract, including at least the grounds listed in

 

section 507.

 

     (g) A description of and address for the proposed physical

 

plant in which the public school academy will be located. At the

 

time the contract is issued for a public school academy under

 

section 502a, the public school academy shall not be located in a

 

school district that has a graduation rate of over 75.5%, on

 

average, for the most recent 3 school years for which the data are

 

available, as determined by the department.

 

     (h) Requirements and procedures for financial audits. The

 

financial audits shall be conducted at least annually by a

 

certified public accountant in accordance with generally accepted

 

governmental auditing principles.

 

     (i) The term of the contract and a description of the process

 

and standards for renewal of the contract at the end of the term.

 

The standards for renewal shall include student growth as measured

 

by assessments and other objective criteria as a significant factor

 

in the decision of whether or not to renew the contract.

 

     (6) A public school academy shall comply with all applicable

 

law, including all of the following:

 

     (a) The open meetings act, 1976 PA 267, MCL 15.261 to 15.275.

 

     (b) The freedom of information act, 1976 PA 442, MCL 15.231 to

 

15.246.

 

     (c) 1947 PA 336, MCL 423.201 to 423.217.

 

     (d) 1965 PA 166, MCL 408.551 to 408.558.

 

     (e) Sections 1134, 1135, 1146, 1153, 1263(3), 1267, and 1274.

 

     (7) A public school academy and its incorporators, board

 

members, officers, employees, and volunteers have governmental

 

immunity as provided in section 7 of 1964 PA 170, MCL 691.1407. An

 

authorizing body and its board members, officers, and employees are

 

immune from civil liability, both personally and professionally,

 

for an act or omission in authorizing a public school academy if

 

the authorizing body or the person acted or reasonably believed he

 

or she acted within the authorizing body's or the person's scope of

 

authority.

 

     (8) A public school academy is exempt from all taxation on its

 

earnings and property. Instruments of conveyance to or from a

 

public school academy are exempt from all taxation including taxes

 

imposed by 1966 PA 134, MCL 207.501 to 207.513. A public school

 

academy may not levy ad valorem property taxes or another tax for

 

any purpose. However, operation of 1 or more public school

 

academies by a school district or intermediate school district does

 

not affect the ability of the school district or intermediate

 

school district to levy ad valorem property taxes or another tax.

 

     (9) A public school academy may acquire by purchase, gift,

 

devise, lease, sublease, installment purchase agreement, land

 

contract, option, or by any other means, hold and own in its own

 

name buildings and other property for school purposes, and

 

interests therein, and other real and personal property, including,

 

but not limited to, interests in property subject to mortgages,

 

security interests, or other liens, necessary or convenient to

 

fulfill its purposes. For the purposes of condemnation, a public

 

school academy may proceed under the uniform condemnation

 

procedures act, 1980 PA 87, MCL 213.51 to 213.75, excluding

 

sections 6 to 9 of that act, MCL 213.56 to 213.59, or other

 

applicable statutes, but only with the express, written permission

 

of the authorizing body in each instance of condemnation and only

 

after just compensation has been determined and paid.