Bill Text: MN HF3389 | 2013-2014 | 88th Legislature | Introduced
Bill Title: Charter school authorizers annual review required.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2014-05-16 - Introduction and first reading, referred to Education Policy [HF3389 Detail]
Download: Minnesota-2013-HF3389-Introduced.html
1.2relating to education; requiring annual review of charter school authorizers;
1.3amending Minnesota Statutes 2013 Supplement, section 124D.10, subdivision 3.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. Minnesota Statutes 2013 Supplement, section 124D.10, subdivision 3,
1.6is amended to read:
1.7 Subd. 3. Authorizer. (a) For purposes of this section, the terms defined in this
1.8subdivision have the meanings given them.
1.9 "Application" to receive approval as an authorizer means the proposal an eligible
1.10authorizer submits to the commissioner under paragraph (c) before that authorizer is able
1.11to submit any affidavit to charter to a school.
1.12 "Application" under subdivision 4 means the charter school business plan a
1.13school developer submits to an authorizer for approval to establish a charter school that
1.14documents the school developer's mission statement, school purposes, program design,
1.15financial plan, governance and management structure, and background and experience,
1.16plus any other information the authorizer requests. The application also shall include a
1.17"statement of assurances" of legal compliance prescribed by the commissioner.
1.18 "Affidavit" means a written statement the authorizer submits to the commissioner
1.19for approval to establish a charter school under subdivision 4 attesting to its review and
1.20approval process before chartering a school.
1.21 (b) The following organizations may authorize one or more charter schools:
1.22 (1) a school board, intermediate school district school board, or education district
1.23organized under sections123A.15 to
123A.19 ;
2.1 (2) a charitable organization under section 501(c)(3) of the Internal Revenue Code
2.2of 1986, excluding a nonpublic sectarian or religious institution; any person other than a
2.3natural person that directly or indirectly, through one or more intermediaries, controls,
2.4is controlled by, or is under common control with the nonpublic sectarian or religious
2.5institution; and any other charitable organization under this clause that in the federal IRS
2.6Form 1023, Part IV, describes activities indicating a religious purpose, that:
2.7 (i) is a member of the Minnesota Council of Nonprofits or the Minnesota Council on
2.8Foundations;
2.9 (ii) is registered with the attorney general's office; and
2.10 (iii) is incorporated in the state of Minnesota and has been operating continuously
2.11for at least five years but does not operate a charter school;
2.12 (3) a Minnesota private college, notwithstanding clause (2), that grants two- or
2.13four-year degrees and is registered with the Minnesota Office of Higher Education under
2.14chapter 136A; community college, state university, or technical college governed by the
2.15Board of Trustees of the Minnesota State Colleges and Universities; or the University
2.16of Minnesota;
2.17 (4) a nonprofit corporation subject to chapter 317A, described in section317A.905 ,
2.18and exempt from federal income tax under section 501(c)(6) of the Internal Revenue Code
2.19of 1986, may authorize one or more charter schools if the charter school has operated
2.20for at least three years under a different authorizer and if the nonprofit corporation has
2.21existed for at least 25 years; or
2.22 (5) single-purpose authorizers that are charitable, nonsectarian organizations formed
2.23under section 501(c)(3) of the Internal Revenue Code of 1986 and incorporated in the
2.24state of Minnesota under chapter 317A as a corporation with no members whose sole
2.25purpose is to charter schools. Eligible organizations interested in being approved as an
2.26authorizer under this paragraph must submit a proposal to the commissioner that includes
2.27the provisions of paragraph (c) and a five-year financial plan. Such authorizers shall
2.28consider and approve charter school applications using the criteria provided in subdivision
2.294 and shall not limit the applications it solicits, considers, or approves to any single
2.30curriculum, learning program, or method.
2.31 (c) An eligible authorizer under this subdivision must apply to the commissioner for
2.32approval as an authorizer before submitting any affidavit to the commissioner to charter
2.33a school. The application for approval as a charter school authorizer must demonstrate
2.34the applicant's ability to implement the procedures and satisfy the criteria for chartering a
2.35school under this section. The commissioner must approve or disapprove an application
2.36within 45 business days of the application deadline. If the commissioner disapproves
3.1the application, the commissioner must notify the applicant of the specific deficiencies
3.2in writing and the applicant then has 20 business days to address the deficiencies to the
3.3commissioner's satisfaction. After the 20 business days expire, the commissioner has 15
3.4business days to make a final decision to approve or disapprove the application. Failing to
3.5address the deficiencies to the commissioner's satisfaction makes an applicant ineligible to
3.6be an authorizer. The commissioner, in establishing criteria for approval, must consider
3.7the applicant's:
3.8 (1) capacity and infrastructure;
3.9 (2) application criteria and process;
3.10 (3) contracting process;
3.11 (4) ongoing oversight and evaluation processes; and
3.12 (5) renewal criteria and processes.
3.13 (d) An applicant must include in its application to the commissioner to be an
3.14approved authorizer at least the following:
3.15 (1) how chartering schools is a way for the organization to carry out its mission;
3.16 (2) a description of the capacity of the organization to serve as an authorizer,
3.17including the personnel who will perform the authorizing duties, their qualifications, the
3.18amount of time they will be assigned to this responsibility, and the financial resources
3.19allocated by the organization to this responsibility;
3.20 (3) a description of the application and review process the authorizer will use to
3.21make decisions regarding the granting of charters;
3.22 (4) a description of the type of contract it will arrange with the schools it charters
3.23that meets the provisions of subdivision 6;
3.24 (5) the process to be used for providing ongoing oversight of the school consistent
3.25with the contract expectations specified in clause (4) that assures that the schools chartered
3.26are complying with both the provisions of applicable law and rules, and with the contract;
3.27 (6) a description of the criteria and process the authorizer will use to grant expanded
3.28applications under subdivision 4, paragraph (j);
3.29 (7) the process for making decisions regarding the renewal or termination of
3.30the school's charter based on evidence that demonstrates the academic, organizational,
3.31and financial competency of the school, including its success in increasing student
3.32achievement and meeting the goals of the charter school agreement; and
3.33 (8) an assurance specifying that the organization is committed to serving as an
3.34authorizer for the full five-year term.
3.35 (e) A disapproved applicant under this section may resubmit an application during a
3.36future application period.
4.1 (f) If the governing board of an approved authorizer votes to withdraw as an
4.2approved authorizer for a reason unrelated to any cause under subdivision 23, the
4.3authorizer must notify all its chartered schools and the commissioner in writing by July
4.415 of its intent to withdraw as an authorizer on June 30 in the next calendar year. The
4.5commissioner may approve the transfer of a charter school to a new authorizer under this
4.6paragraph after the new authorizer submits an affidavit to the commissioner.
4.7 (g) The authorizer must participate in department-approved training.
4.8 (h) The commissioner shall review an authorizer's performance everyfive years year
4.9in a manner and form determined by the commissioner and may review an authorizer's
4.10performance more frequently at the commissioner's own initiative or at the request of a
4.11charter school operator, charter school board member, or other interested party. The
4.12commissioner, after completing the review, shall transmit a report with findings to the
4.13authorizer. If, consistent with this section, the commissioner finds that an authorizer has
4.14not fulfilled the requirements of this section, the commissionermay shall subject the
4.15authorizer to corrective action, which may include terminating the contract with the charter
4.16school board of directors of a school it chartered or suspending the authorizer's authority
4.17to authorize new schools. The commissioner must notify the authorizer in writing of any
4.18findings that may subject the authorizer to corrective action and the authorizer then has 15
4.19business days to request an informal hearing before the commissioner takes corrective
4.20action. If the commissioner terminates a contract between an authorizer and a charter
4.21school under this paragraph, the commissioner may assist the charter school in acquiring a
4.22new authorizer.
4.23 (i) The commissioner may at any time take corrective action against an authorizer,
4.24including terminating an authorizer's ability to charter a school for:
4.25 (1) failing to demonstrate the criteria under paragraph (c) under which the
4.26commissioner approved the authorizer;
4.27 (2) violating a term of the chartering contract between the authorizer and the charter
4.28school board of directors;
4.29 (3) unsatisfactory performance as an approved authorizer; or
4.30 (4) any good cause shown that provides the commissioner a legally sufficient reason
4.31to take corrective action against an authorizer.
1.3amending Minnesota Statutes 2013 Supplement, section 124D.10, subdivision 3.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. Minnesota Statutes 2013 Supplement, section 124D.10, subdivision 3,
1.6is amended to read:
1.7 Subd. 3. Authorizer. (a) For purposes of this section, the terms defined in this
1.8subdivision have the meanings given them.
1.9 "Application" to receive approval as an authorizer means the proposal an eligible
1.10authorizer submits to the commissioner under paragraph (c) before that authorizer is able
1.11to submit any affidavit to charter to a school.
1.12 "Application" under subdivision 4 means the charter school business plan a
1.13school developer submits to an authorizer for approval to establish a charter school that
1.14documents the school developer's mission statement, school purposes, program design,
1.15financial plan, governance and management structure, and background and experience,
1.16plus any other information the authorizer requests. The application also shall include a
1.17"statement of assurances" of legal compliance prescribed by the commissioner.
1.18 "Affidavit" means a written statement the authorizer submits to the commissioner
1.19for approval to establish a charter school under subdivision 4 attesting to its review and
1.20approval process before chartering a school.
1.21 (b) The following organizations may authorize one or more charter schools:
1.22 (1) a school board, intermediate school district school board, or education district
1.23organized under sections
2.1 (2) a charitable organization under section 501(c)(3) of the Internal Revenue Code
2.2of 1986, excluding a nonpublic sectarian or religious institution; any person other than a
2.3natural person that directly or indirectly, through one or more intermediaries, controls,
2.4is controlled by, or is under common control with the nonpublic sectarian or religious
2.5institution; and any other charitable organization under this clause that in the federal IRS
2.6Form 1023, Part IV, describes activities indicating a religious purpose, that:
2.7 (i) is a member of the Minnesota Council of Nonprofits or the Minnesota Council on
2.8Foundations;
2.9 (ii) is registered with the attorney general's office; and
2.10 (iii) is incorporated in the state of Minnesota and has been operating continuously
2.11for at least five years but does not operate a charter school;
2.12 (3) a Minnesota private college, notwithstanding clause (2), that grants two- or
2.13four-year degrees and is registered with the Minnesota Office of Higher Education under
2.14chapter 136A; community college, state university, or technical college governed by the
2.15Board of Trustees of the Minnesota State Colleges and Universities; or the University
2.16of Minnesota;
2.17 (4) a nonprofit corporation subject to chapter 317A, described in section
2.18and exempt from federal income tax under section 501(c)(6) of the Internal Revenue Code
2.19of 1986, may authorize one or more charter schools if the charter school has operated
2.20for at least three years under a different authorizer and if the nonprofit corporation has
2.21existed for at least 25 years; or
2.22 (5) single-purpose authorizers that are charitable, nonsectarian organizations formed
2.23under section 501(c)(3) of the Internal Revenue Code of 1986 and incorporated in the
2.24state of Minnesota under chapter 317A as a corporation with no members whose sole
2.25purpose is to charter schools. Eligible organizations interested in being approved as an
2.26authorizer under this paragraph must submit a proposal to the commissioner that includes
2.27the provisions of paragraph (c) and a five-year financial plan. Such authorizers shall
2.28consider and approve charter school applications using the criteria provided in subdivision
2.294 and shall not limit the applications it solicits, considers, or approves to any single
2.30curriculum, learning program, or method.
2.31 (c) An eligible authorizer under this subdivision must apply to the commissioner for
2.32approval as an authorizer before submitting any affidavit to the commissioner to charter
2.33a school. The application for approval as a charter school authorizer must demonstrate
2.34the applicant's ability to implement the procedures and satisfy the criteria for chartering a
2.35school under this section. The commissioner must approve or disapprove an application
2.36within 45 business days of the application deadline. If the commissioner disapproves
3.1the application, the commissioner must notify the applicant of the specific deficiencies
3.2in writing and the applicant then has 20 business days to address the deficiencies to the
3.3commissioner's satisfaction. After the 20 business days expire, the commissioner has 15
3.4business days to make a final decision to approve or disapprove the application. Failing to
3.5address the deficiencies to the commissioner's satisfaction makes an applicant ineligible to
3.6be an authorizer. The commissioner, in establishing criteria for approval, must consider
3.7the applicant's:
3.8 (1) capacity and infrastructure;
3.9 (2) application criteria and process;
3.10 (3) contracting process;
3.11 (4) ongoing oversight and evaluation processes; and
3.12 (5) renewal criteria and processes.
3.13 (d) An applicant must include in its application to the commissioner to be an
3.14approved authorizer at least the following:
3.15 (1) how chartering schools is a way for the organization to carry out its mission;
3.16 (2) a description of the capacity of the organization to serve as an authorizer,
3.17including the personnel who will perform the authorizing duties, their qualifications, the
3.18amount of time they will be assigned to this responsibility, and the financial resources
3.19allocated by the organization to this responsibility;
3.20 (3) a description of the application and review process the authorizer will use to
3.21make decisions regarding the granting of charters;
3.22 (4) a description of the type of contract it will arrange with the schools it charters
3.23that meets the provisions of subdivision 6;
3.24 (5) the process to be used for providing ongoing oversight of the school consistent
3.25with the contract expectations specified in clause (4) that assures that the schools chartered
3.26are complying with both the provisions of applicable law and rules, and with the contract;
3.27 (6) a description of the criteria and process the authorizer will use to grant expanded
3.28applications under subdivision 4, paragraph (j);
3.29 (7) the process for making decisions regarding the renewal or termination of
3.30the school's charter based on evidence that demonstrates the academic, organizational,
3.31and financial competency of the school, including its success in increasing student
3.32achievement and meeting the goals of the charter school agreement; and
3.33 (8) an assurance specifying that the organization is committed to serving as an
3.34authorizer for the full five-year term.
3.35 (e) A disapproved applicant under this section may resubmit an application during a
3.36future application period.
4.1 (f) If the governing board of an approved authorizer votes to withdraw as an
4.2approved authorizer for a reason unrelated to any cause under subdivision 23, the
4.3authorizer must notify all its chartered schools and the commissioner in writing by July
4.415 of its intent to withdraw as an authorizer on June 30 in the next calendar year. The
4.5commissioner may approve the transfer of a charter school to a new authorizer under this
4.6paragraph after the new authorizer submits an affidavit to the commissioner.
4.7 (g) The authorizer must participate in department-approved training.
4.8 (h) The commissioner shall review an authorizer's performance every
4.9in a manner and form determined by the commissioner and may review an authorizer's
4.10performance more frequently at the commissioner's own initiative or at the request of a
4.11charter school operator, charter school board member, or other interested party. The
4.12commissioner, after completing the review, shall transmit a report with findings to the
4.13authorizer. If, consistent with this section, the commissioner finds that an authorizer has
4.14not fulfilled the requirements of this section, the commissioner
4.15authorizer to corrective action, which may include terminating the contract with the charter
4.16school board of directors of a school it chartered or suspending the authorizer's authority
4.17to authorize new schools. The commissioner must notify the authorizer in writing of any
4.18findings that may subject the authorizer to corrective action and the authorizer then has 15
4.19business days to request an informal hearing before the commissioner takes corrective
4.20action. If the commissioner terminates a contract between an authorizer and a charter
4.21school under this paragraph, the commissioner may assist the charter school in acquiring a
4.22new authorizer.
4.23 (i) The commissioner may at any time take corrective action against an authorizer,
4.24including terminating an authorizer's ability to charter a school for:
4.25 (1) failing to demonstrate the criteria under paragraph (c) under which the
4.26commissioner approved the authorizer;
4.27 (2) violating a term of the chartering contract between the authorizer and the charter
4.28school board of directors;
4.29 (3) unsatisfactory performance as an approved authorizer; or
4.30 (4) any good cause shown that provides the commissioner a legally sufficient reason
4.31to take corrective action against an authorizer.
