NY State Senate Bill 2009-S6469

Archive: Last Bill Status - In Senate Committee Education Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Date of Action	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 01, 2010	print number 6469a
Jun 01, 2010	amend and recommit to education
May 03, 2010	notice of committee consideration - requested
Jan 18, 2010	referred to education

Bill Amendments

Original

A (Active)

2009-S6469 - Details

Current Committee:: Senate Education
Law Section:: Education Law
Laws Affected:: Amd §§2851, 2852, 2853, 2854, 2855, 2856, 2857, 1608, 1716 & 3602, Ed L

2009-S6469 - Summary

Relates to charter schools; clarifies the transparency and accountability of charter schools and provides fiscal relief to the school districts where charter schools are located.

2009-S6469 - Sponsor Memo

                                 BILL NUMBER:  S6469               REVISED 5/14/10

 TITLE OF BILL :  An act to amend the education law, in relation to
charter schools

 PURPOSE OR GENERAL IDEA OF BILL :  To clarify the transparency and
accountability of charter schools and provide fiscal relief to the
school districts where charter schools are located.

 SUMMARY OF SPECIFIC PROVISIONS :  Section 1 describes the legislative
intent behind this law to increase the transparency and accountability
of charter schools and to provide fiscal relief to local school
districts.

Sections 2 Amends Paragraph 1 of Subdivision 1 of Section 2851 of the
education law to remove for profit operators from the law and limits
salaries of not for profit management companies to the comparable
salaries of the school district.

Section 3 Amends Paragraphs (d), (h), (p), and (v) of subdivision 2 of
section 2851 of the education law to require that charter schools up
for renewal include a plan on how they will ensure student enrollment
reflects local school district enrollment. Requires charter schools to
show how they intend to provide services to students on long term
suspension or expulsion. Allows charter schools to provide instruction
for 5 years before renewal of the charter. Requires the board to adopt

a code of ethics in compliance with the general municipal law.

Section 4 Amends Paragraph (a) of subdivision 4 of Section 2851 of the
education law to require a charter school applying for renewal to
include disaggregated student performance data in the progress report.

Section 5 Amends Paragraph (d) of Subdivision 2 of Section 2852 of the
education law to remove the language allowing a charter entity to
approve a charter where the enrollment would exceed 5 percent of the
enrollment of the school district of location. For New York City,
school district of location is the community school district. The
current language allows approval if there is a significant educational
benefit which has led the Regents to disregard the provision.

Section 6 Amends Subdivision 2 of Section 2852 of the education law by
adding paragraphs (e) and (f) to require the approval of the
application by the board of education.

Section 7 Amends Subdivision 5-b of Section 2852 of the education law
to require SUNY to provide an explanation why they are not making
modifications in a charter suggested by the Regents and removes the
automatic approval of second submissions by SUNY.

Section 8 Amends Subdivision 7 of Section 2852 by adding a new
paragraph (c) of the education law that requires charter entities to
deny a charter revision that would increase charter school enrollment
above 5 percent of the enrollment of the school district where the
charter school is located and defines the school district of location
as the community school district for New York City.

Section 9 Amends Subdivision 10 of Section 2852 of the education law
to change the approval date from March 15 to January 15 in order for a
school to open the following September. This provision gives school
district more ability to plan in their budget process.

Section 10 Amends Subdivision 2 of Section 2853 of the education law
to require State Education Department to include charter schools in
any review or audit of state test administration and scoring.


Section 11 Amends Paragraph (a) of Subdivision 3 of Section 2853 of
the education law to set limits on shared space when a school district
is not meeting class size targets.

Section 12 Amends Subdivision 3 of Section 2853 by adding Paragraphs
(d) and (e) of the education law to require charter school facility
projects to follow the prevailing wage statutes and to require schools
to make equitable improvements in shared facilities.

Section 13 Amends Paragraphs (c) and (e) of Subdivision 1 of Section
2854 of the education law to clarify that charter school boards must
have a code of ethics in conformance with the general municipal law
and that charter schools are subject to audits by the charter entity.

Section 14 Amends Subdivision 1 of Section 2854 of the education law
by adding Paragraph (f) to require charter schools to have a code of
ethics.

Section 15 Amends Subdivision 2 Section 2854 of the education law and
paragraphs (a) and (b)as amended by section 5 of Part-D2 of chapter 57
of laws of 2007 to require the charter school to develop a plan for
enrolling students with disabilities and limited English proficient
students at the same levels as the local school district.  It requires
Charter schools to give a preference to students on free and reduced
price lunch, students with disabilities and students with limited
English proficiency when conducting a lottery. It requires charter
schools to provide a report to the chartering entity indicating the
number students leaving the school, why they left and when they left.
It requires the charter entity to ensure the random selection process
of the lottery is conducted properly.

Section 16 Amends Paragraphs (b-1), (c) and (c-1) of Subdivision 3 of
Section 2854 of the education law to clarify that charter schools
employees are members of the local collective bargaining unit and that
charter school teachers are members of the retirement system.

Section 17 Amends Subdivision 1 of Section 2855 of the education law
to clarify that a charter shall be revoked if a school would be
subject to registration revocation and had not met AYP in the last
three years. The previous language only required growth rather than
meeting AYP. It allows for revocation when the school does not meet
performance targets contained in the charter and student demographics
of the district of location for 2 years.

Section 18 Amends Subdivision 1 of Section 2856 of the education law
to require the state to reimburse school districts for the local share
of charter school tuition in the June State aid payment. This
provision removes charter school funding from local school districts.
School districts already receive state aid for these students so the
only portion not paid by the state is the local share. We may have to
phase in this change due to the state fiscal crisis but I think this
is a good starting point. It leaves room for compromise. It also
requires charter schools to provide actual enrollment counts after the
initial payment each year.

Section 19 Amends Subdivisions 2 and 3 of Section 2857 of the
education law to require that Charter school annual reports be placed
on school district web sites. It requires the report to include
disaggregated student performance data and additional financial
information. It requires SED to do an annual report by December first
of each year to include information on best practices.

Section 20 Amends Paragraph (a) of Subdivision 7 of Section 1608 of
the education law to require that school districts include charter
school payments in the property tax report card.

Section 21 Amends Paragraph (a) of Subdivision 7 of Section 1716 of
the education law to require school districts to include charter
school payments in the property tax report card.

Section 22 Amends Paragraph (t) of subdivision 1 of Section 3602 of
the education law to adjust the formula used to compute approved
operating expenses (AOE). When the state aid formula was revised in
2007-08, categorical grant programs were merged into a new Foundation
Aid formula which has had the unintended consequence of artificially
inflating AOE.

Section 23 is the effective date.

 JUSTIFICATION :  New York's charter school law was enacted 11 years
ago in an effort to create new learning opportunities for all
students, to encourage different and innovative teaching methods and
to provide parents and students with expanded choice within the public
schools. Eleven years provides the state with enough information to
make judgments about changes that are needed in the law to ensure the
public knows how their tax dollars are being spent and to ensure
public schools serving the majority of students have the resources
needed to provide a quality education to all students. This
legislation will clarify the transparency and accountability of
charter schools and provide fiscal relief to the school districts
where charter schools are located.

This bill would provide fiscal relief to local property taxpayers by
reimbursing the local share of the charter school tuition payment
going forward. The savings to property taxpayers and the cost to the
State would be approximately $163 million. This bill would ensure
fairness in funding, so that both charter schools and regular schools
can provide a quality education for all students. Fairness in
resources means charter school funding cannot come at the expense of
neighborhood public schools.

Just as the deregulation of Wall Street led to the economic and
sub-prime mortgage crisis, the Madoff scandal and excessive executive
bonuses, deregulating public education and turning over taxpayers'
dollars to private operators without sufficient accountability and
transparency has created opportunities for mismanagement and abuses.

Many charter schools send 30 percent of this money to management
companies, both for-profit and not-for-profit - money that never makes
it into the classroom. Charter school board members and employees
should be subject to the exact same financial disclosure requirements
and conflict-of-interest prohibitions as other public officials and
employees. For-profit operators should be banned from owning or
operating charter schools, and management fees and charter operator
salaries should be publicly disclosed.

Charter operators are currently exempt from having to issue property
tax report cards; do not hold public votes on their school budgets or
elect independent school board members in a public vote. This bill
would include charter school payments in the property tax report card.

Charter operators, who receive more than 95 percent of their revenue
from public funds, currently are also exempt from audits by the Office
of the State Comptroller, which recently completed audits of all other
regular public schools. This bill would allow the State and City
comptroller to conduct audits.

 PRIOR LEGISLATIVE HISTORY : New Bill.

 FISCAL IMPLICATIONS :  In New York state, we currently have 140
charter schools operating in 2009- 10, serving about 44,000 kids.

Traditional public schools sent $530 million this year to charter
schools via their tuition payments.

Tuition payments come from a combination of state and local dollars.
In the 2009-10 school year, almost 50 percent or $263 million came
from local revenue or property taxes.

If the state legislature raises the charter cap to 460 we will more
than triple the number of schools, students and costs. If school sizes
remain consistent - New York will have 145,000 kids in charter schools
and taxpayers will be sending $2 billion to charter schools.

If the new charter schools are similarly distributed around the state
- this would add an additional $1 billion cost to property taxpayers.

This is an overall increase in costs which is more than twice the
value of Race to the Top, a one-time grant.

 EFFECTIVE DATE : This act shall take effect immediately.

2009-S6469 - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  6469

                            I N  S E N A T E

                            January 18, 2010
                               ___________

Introduced  by  Sen. PERKINS -- read twice and ordered printed, and when
  printed to be committed to the Committee on Education

AN ACT to amend the education law, in relation to charter schools

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Legislative  Intent.  New  York's  charter school law was
enacted 11 years ago in an effort to create new  learning  opportunities
for all students, to encourage different and innovative teaching methods
and  to  provide  parents  and  students with expanded choice within the
public schools. Eleven years provides the state with enough  information
to make judgments about changes that are needed in the law to ensure the
public  knows how their tax dollars are being spent and to ensure public
schools serving the majority of students have the  resources  needed  to
provide  a  quality  education  to  all  students.  This  legislation is
intended to clarify  the  transparency  and  accountability  of  charter
schools  and provide fiscal relief to the school districts where charter
schools are located.
  S 2. Subdivision 1 of section 2851 of the education law, as  added  by
chapter 4 of the laws of 1998, is amended to read as follows:
  1.  An  application  to establish a charter school may be submitted by
teachers, parents, school administrators,  community  residents  or  any
combination  thereof.  Such application may be filed in conjunction with
a college, university, museum, educational  institution,  not-for-profit
corporation  exempt from taxation under paragraph 3 of subsection (c) of
section 501 of the internal revenue  code  [or  for-profit  business  or
corporate  entity authorized to do business in New York state. For char-
ter schools established in conjunction with  a  for-profit  business  or
corporate  entity,  the charter shall specify the extent of the entity's
participation in the  management  and  operation  of  the  school],  AND
PROVIDED THAT UNDER NO CIRCUMSTANCES SHALL AN APPLICATION TO ESTABLISH A
CHARTER  SCHOOL  OR APPROVAL TO OPERATE A CHARTER SCHOOL BE GRANTED TO A
FOR-PROFIT BUSINESS OR CORPORATE ENTITY AUTHORIZED  TO  DO  BUSINESS  IN
THIS  STATE  NOR IN ANY MANNER WHATSOEVER SHALL THEY HAVE AN INVOLVEMENT
IN THE MANAGEMENT AND OPERATION OF A  CHARTER  SCHOOL.  THE  APPLICATION

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

                                                           LBD15479-01-0

S. 6469                             2

SHALL  INCLUDE  THE  AMOUNT  OF  ANY  MANAGEMENT  FEE  TO BE PAID TO ANY
NOT-FOR-PROFIT CORPORATION WORKING IN CONJUNCTION WITH  THE  APPLICANTS.
SALARIES  OF  THE  EMPLOYEES  OF SUCH NOT-FOR-PROFIT CORPORATION MAY NOT
EXCEED  THE  SALARIES FOR COMPARABLE POSITIONS IN THE SCHOOL DISTRICT OF
LOCATION.
  S 3. Paragraphs (d), (h), (p) and (v) of subdivision 2 of section 2851
of the education law, as added by chapter 4 of the  laws  of  1998,  are
amended to read as follows:
  (d)  Admission  policies and procedures for the school, which shall be
consistent with the requirements of subdivision two of  section  twenty-
eight  hundred  fifty-four  of this article.  FOR CHARTER RENEWALS, SUCH
POLICIES AND PROCEDURES SHALL INCLUDE PLANS  FOR  ENSURING  THE  STUDENT
ENROLLMENT  OF  THE  CHARTER  SCHOOL INCLUDES A COMPARABLE PERCENTAGE OF
STUDENTS ON FREE LUNCH, STUDENTS WITH DISABILITIES AND ENGLISH  LANGUAGE
LEARNERS AS THE SCHOOL DISTRICT IN WHICH THE CHARTER SCHOOL IS LOCATED.
  (h)  The  rules  and  procedures by which students may be disciplined,
including but not limited to expulsion or suspension  from  the  school,
which  shall be consistent with the requirements of due process and with
federal laws and regulations governing the placement  of  students  with
disabilities.  SUCH  RULES AND PROCEDURES SHALL INCLUDE THE PROVISION OF
EDUCATIONAL SERVICES TO ANY STUDENT ON LONG TERM  SUSPENSION  OR  EXPUL-
SION.
  (p)  The  term  of  the  proposed charter, which shall not exceed five
years DURING WHICH INSTRUCTION IS PROVIDED TO PUPILS.
  (v) A code of ethics for the charter school,  setting  forth  for  the
guidance  of  its  trustees,  officers  and  employees  the standards of
conduct expected of them. SUCH CODE OF ETHICS  SHALL  BE  IN  COMPLIANCE
WITH SECTION EIGHT HUNDRED SIX OF THE GENERAL MUNICIPAL LAW.
  S  4.  Paragraph (a) of subdivision 4 of section 2851 of the education
law, as added by chapter 4 of the laws of 1998, is amended  to  read  as
follows:
  (a)  A  report  of the progress of the charter school in achieving the
educational objectives set forth  in  the  charter.  SUCH  REPORT  SHALL
INCLUDE   DISAGGREGATED   STUDENT   PERFORMANCE  DATA  FOR  ALL  STUDENT
SUBGROUPS.
  S 5. Paragraph (d) of subdivision 2 of section 2852 of  the  education
law,  as  added  by  section  2 of part D-2 of chapter 57 of the laws of
2007, is amended to read as follows:
  (d) in a school  district  where  the  total  enrollment  of  resident
students attending charter schools in the base year is greater than five
percent  of the total public school enrollment of the school district in
the base year [(i) granting the application  would  have  a  significant
educational  benefit  to  the  students  expected to attend the proposed
charter school or (ii) the school district in which the  charter  school
will  be  located  consents  to  such application]. FOR PURPOSES OF THIS
PARAGRAPH, IN A CITY HAVING A POPULATION OF ONE  MILLION  OR  MORE,  THE
SCHOOL DISTRICT SHALL BE THE COMMUNITY SCHOOL DISTRICT.
  S  6. Subdivision 2 of section 2852 of the education law is amended by
adding two new paragraphs (e) and (f) to read as follows:
  (E) THE APPLICATION FOR THE CHARTER SCHOOL IS APPROVED BY THE BOARD OF
EDUCATION OF THE SCHOOL DISTRICT WHERE  THE  CHARTER  SCHOOL  IS  TO  BE
LOCATED; AND
  (F)  THE  CHARTER  ENTITY  SHALL NOT APPROVE AN APPLICATION THAT WOULD
HAVE THE EFFECT OF INCREASING THE RACIAL ISOLATION OF A SCHOOL DISTRICT.
  S 7. Subdivision 5-b of section 2852 of the education law, as added by
chapter 4 of the laws of 1998, is amended to read as follows:

S. 6469                             3

  5-b. If the board of regents returns a proposed charter to the charter
entity pursuant to the provisions of subdivision five-a of this section,
such charter entity shall reconsider the proposed charter,  taking  into
consideration  the  comments and recommendation of the board of regents.
Thereafter,  the  charter  entity shall resubmit the proposed charter to
the board of regents with modifications,  provided  that  the  applicant
consents in writing to such modifications, resubmit the proposed charter
to  the  board  of regents without modifications WITH AN EXPLANATION WHY
THE MODIFICATIONS ARE NOT BEING MADE, or abandon the  proposed  charter.
The board of regents shall review each such resubmitted proposed charter
in  accordance  with  the  provisions  of  subdivision  five-a  of  this
section[; provided, however, that it shall be the duty of the  board  of
regents to approve and issue a proposed charter resubmitted by the char-
ter  entity  described  in paragraph (b) of subdivision three of section
twenty-eight hundred fifty-one of this article within thirty days of the
resubmission of such proposed charter or such proposed charter shall  be
deemed approved and issued at the expiration of such period].
  S  8. Subdivision 7 of section 2852 of the education law is amended by
adding a new paragraph (c) to read as follows:
  (C) WHEN A REVISION OF A CHARTER INVOLVES AN  INCREASE  IN  ENROLLMENT
WHICH  BRINGS TOTAL ENROLLMENT IN CHARTER SCHOOLS IN THE SCHOOL DISTRICT
OF LOCATION ABOVE FIVE PERCENT THE REVISION SHALL BE DENIED  UNLESS  THE
SCHOOL  DISTRICT  OF  LOCATION APPROVES THE REVISION OR THE RESIDENTS OF
THE SCHOOL DISTRICT APPROVE THE REVISION THROUGH  A  REFERENDUM  OF  THE
ELIGIBLE  VOTERS  TO BE HELD IN CONJUNCTION WITH THE ANNUAL BUDGET VOTE.
FOR PURPOSES OF THIS PARAGRAPH IN A CITY  HAVING  A  POPULATION  OF  ONE
MILLION  OR  MORE THE SCHOOL DISTRICT OF LOCATION SHALL BE THE COMMUNITY
SCHOOL DISTRICT WHERE THE CHARTER SCHOOL IS LOCATED.
  S 9. Subdivision 10 of section 2852 of the education law, as added  by
section  3  of part D-2 of chapter 57 of the laws of 2007, is amended to
read as follows:
  10. Except in the case of a charter school formed by a school district
as a charter entity pursuant to paragraph (a) of  subdivision  three  of
section twenty-eight hundred fifty-one of this article, a charter school
formed  by  approval  of  the regents or by operation of law on or after
[March] JANUARY fifteenth in any school year shall not commence instruc-
tion until July of the second school year next following.
  S 10. Subdivision 2 of section 2853 of the education law, as added  by
chapter 4 of the laws of 1998, is amended to read as follows:
  2.  The  board of regents and charter entity shall oversee each school
approved by such entity, and may visit, examine  into  and  inspect  any
charter  school,  including  the records of such school, under its over-
sight. Oversight by a charter entity and the board of regents  shall  be
sufficient  to  ensure that the charter school is in compliance with all
applicable laws, regulations and charter  provisions.    THE  DEPARTMENT
SHALL INCLUDE CHARTER SCHOOLS IN ANY REVIEW OR AUDIT OF STATE ASSESSMENT
ADMINISTRATION OR SCORING.
  S  11. Paragraph (a) of subdivision 3 of section 2853 of the education
law, as amended by section 4 of part D-2 of chapter 57 of  the  laws  of
2007, is amended is to read as follows:
  (a)  A  charter  school  may  be located in part of an existing public
school building, in space provided on a private work site, in  a  public
building or in any other suitable location, PROVIDED, HOWEVER, A CHARTER
SCHOOL  SHALL  NOT BE LOCATED IN ANY PART OF AN EXISTING SCHOOL BUILDING
WHEN SUCH SHARING WOULD IMPACT THE PUBLIC SCHOOL'S ABILITY TO  MEET  THE
CLASS  SIZE TARGETS ESTABLISHED PURSUANT TO SECTION TWO-HUNDRED ELEVEN-D

S. 6469                             4

OF THIS CHAPTER. Provided, however,  before  a  charter  school  may  be
located in part of an existing public school building, the charter enti-
ty shall provide notice to the parents or guardians of the students then
enrolled in the existing school building and shall hold a public hearing
for purposes of discussing the location of the charter school. A charter
school  may  own, lease or rent its space. For purposes of local zoning,
land use regulation and building code compliance, a charter school shall
be deemed a nonpublic school.
  S 12. Subdivision 3 of section 2853 of the education law is amended by
adding two new paragraphs (d) and (e) to read as follows:
  (D) NOTWITHSTANDING ANY LAW TO THE CONTRARY, ANY CAPITAL FACILITY,  OR
OTHER  IMPROVEMENTS  MADE IN PUBLIC SCHOOL BUILDINGS OR EQUIPMENT WITH A
PERIOD OF PROBABLE USEFULNESS OF FIVE OR  MORE  YEARS,  WITH  PUBLIC  OR
PRIVATE FUNDS, TO ACCOMMODATE CHARTER SCHOOLS, SHALL REQUIRE MATCHING OR
COMPARABLE  IMPROVEMENTS  BE  MADE FOR OTHER DISTRICT SCHOOLS LOCATED IN
THE SAME BUILDING.
  (E) NOTWITHSTANDING ANY LAW TO THE CONTRARY, ANY CONSTRUCTION OR CAPI-
TAL IMPROVEMENT MADE IN ACCORDANCE WITH THIS ARTICLE SHALL  BE  MADE  IN
ACCORDANCE WITH AND SUBJECT TO THE PROVISIONS OF ARTICLES EIGHT AND NINE
OF THE LABOR LAW.
  S  13.  Paragraphs (c) and (e) of subdivision 1 of section 2854 of the
education law, paragraph (c) as amended by chapter 267 of  the  laws  of
2005,  and  paragraph (e) as added by chapter 4 of the laws of 1998, are
amended to read as follows:
  (c) A charter school shall be subject to  the  financial  audits,  the
audit  procedures,  and  the audit requirements set forth in the charter
and [shall be subject to audits of  the  comptroller  as  set  forth  in
section  thirty-three  of  the  general municipal law] MAY BE SUBJECT TO
AUDITS BY THE STATE COMPTROLLER OR BY THE CHARTER  ENTITY.  Such  proce-
dures and standards shall be consistent with generally accepted account-
ing  and audit standards. Independent fiscal audits shall be required at
least once annually.
  (e) A charter school shall be subject to the  provisions  of  articles
six  and  seven  of the public officers law IN THE SAME MANNER AS PUBLIC
SCHOOL DISTRICTS.
  S 14. Subdivision 1 of section 2854 of the education law is amended by
adding a new paragraph (f) to read as follows:
  (F) A CHARTER SCHOOL SHALL BE SUBJECT TO  THE  PROVISIONS  OF  SECTION
EIGHT HUNDRED SIX OF THE GENERAL MUNICIPAL LAW.
  S  15. Subdivision 2 of section 2854 of the education law, as added by
chapter 4 of the laws of 1998, paragraphs (a)  and  (b)  as  amended  by
section  5  of part D-2 of chapter 57 of the laws of 2007, is amended to
read as follows:
  2. Admissions; enrollment; students. (a) A  charter  school  shall  be
nonsectarian  in its programs, admission policies, employment practices,
and all other operations and shall not charge tuition or fees;  provided
that  a charter school may require the payment of fees on the same basis
and to the same extent as other public schools. A charter  school  shall
not  discriminate  against  any student, employee or any other person on
the basis of ethnicity, national origin, gender, or  disability  or  any
other  ground  that  would be unlawful if done by a school. Admission of
students shall not be limited on  the  basis  of  intellectual  ability,
measures of achievement or aptitude, athletic ability, disability, race,
creed,  gender, national origin, religion, or ancestry; provided, howev-
er, that nothing in this article  shall  be  construed  to  prevent  the
establishment  of  a  single-sex  charter  school  or  a  charter school

S. 6469                             5

designed to provide expanded learning opportunities for students at-risk
of academic failure; and provided,  further,  that  the  charter  school
shall  [demonstrate good faith efforts to] attract and retain a compara-
ble  or  greater  enrollment  of  students with disabilities and limited
English proficient students when compared to the enrollment figures  for
such  students  in  the  school  district in which the charter school is
located.  IF A CHARTER SCHOOL IS NOT SUCCESSFUL IN ATTRACTING A COMPARA-
BLE OR GREATER ENROLLMENT OF  STUDENTS  WITH  DISABILITIES  AND  LIMITED
ENGLISH  PROFICIENT  STUDENTS  AS COMPARED TO THE ENROLLMENT FIGURES FOR
SUCH STUDENTS IN THE SCHOOL DISTRICT IN  WHICH  THE  CHARTER  SCHOOL  IS
LOCATED  SUCH  CHARTER SCHOOL SHALL PROVIDE THE CHARTERING ENTITY WITH A
PLAN FOR IMPROVING THE ENROLLMENT OF  SUCH  STUDENTS  IN  THE  FOLLOWING
YEAR.  FAILURE TO COMPLY WITH THIS REQUIREMENT FOR TWO CONSECUTIVE YEARS
SHALL BE SUBJECT TO REVOCATION IN ACCORDANCE  WITH  SUBDIVISION  ONE  OF
SECTION TWO THOUSAND EIGHT HUNDRED FIFTY-FIVE OF THIS ARTICLE. A charter
shall  not be issued to any school that would be wholly or in part under
the control or direction of any religious denomination, or in which  any
denominational tenet or doctrine would be taught.
  (b) Any child who is qualified under the laws of this state for admis-
sion  to a public school is qualified for admission to a charter school.
The school shall enroll each  eligible  student  who  submits  a  timely
application  by  the  first day of April each year, unless the number of
applications exceeds the capacity of the grade  level  or  building.  In
such cases, students shall be accepted from among applicants by a random
selection  process,  provided,  however,  that  an enrollment preference
shall be provided to pupils WHEN THE CHARTER SCHOOL  IS  LOCATED  WITHIN
ONE  MILE  OF  THE  PUPILS'  RESIDENCE,  PUPILS returning to the charter
school in the second or any subsequent  year  of  operation  and  pupils
residing  in the school district in which the charter school is located,
and siblings of pupils  already  enrolled  in  the  charter  school  AND
STUDENTS  ON  FREE  LUNCH,  AND STUDENTS WITH DISABILITIES, AND STUDENTS
WITH LIMITED ENGLISH PROFICIENCY.  For the purposes  of  this  paragraph
and  paragraph (a) of this subdivision, the school district in which the
charter school is located shall mean, for the city  school  district  of
the city of New York, the community district in which the charter school
is  located.    THE  CHARTER  ENTITY  IS  RESPONSIBLE  FOR  ENSURING THE
SELECTION PROCESS IS CONDUCTED IN ACCORDANCE WITH THIS PARAGRAPH. IF THE
CHARTER ENTITY DETERMINES THE PROCESS IS NOT  IN  COMPLIANCE  WITH  THIS
PARAGRAPH, THE CHARTER ENTITY SHALL CONDUCT THE PROCESS.
  (c) A charter school shall serve one or more of the grades one through
twelve,  and  shall  limit  admission  to pupils within the grade levels
served. Nothing herein shall prohibit a charter school from establishing
a kindergarten program.
  (d) A student may withdraw from a  charter  school  at  any  time  and
enroll in a public school. A CHARTER SCHOOL MUST PROVIDE A REPORT TO THE
CHARTERING  ENTITY  EACH  YEAR INDICATING THE NUMBER OF STUDENTS LEAVING
THE CHARTER SCHOOL, THE MONTHS IN WHICH THE STUDENTS LEAVE  THE  SCHOOL,
THE  REASON  THE STUDENTS LEAVE THE SCHOOL AND THE SCHOOL THE STUDENT IS
CURRENTLY ATTENDING. A  charter  school  may  refuse  admission  to  any
student  who  has  been expelled or suspended from a public school until
the period of  suspension  or  expulsion  from  the  public  school  has
expired, consistent with the requirements of due process.
  S 16. Paragraphs (b-1), (c) and (c-1) of subdivision 3 of section 2854
of  the  education  law, paragraph (b-1) as amended by section 6 of part
D-2 of chapter 57 of the laws of 2007, and paragraphs (c) and  (c-1)  as
added by chapter 4 of the laws of 1998, are amended to read as follows:

S. 6469                             6

  (b-1)  The employees of a charter school that is not a conversion from
an existing public school shall [not] be deemed  members  of  [any]  THE
existing collective bargaining unit representing employees of the school
district  in which the charter school is located, and the charter school
and  its  employees  shall  [not]  be subject to any existing collective
bargaining agreement between the  school  district  and  its  employees.
[Provided,  however,  that  (i) if the student enrollment of the charter
school on the first day on which the charter  school  commences  student
instruction  exceeds  two  hundred fifty or if the average daily student
enrollment of such school exceeds two  hundred  fifty  students  at  any
point  during  the  first  two  years after the charter school commences
student instruction, all employees of the school who  are  eligible  for
representation  under article fourteen of the civil service law shall be
deemed to be represented in a separate negotiating unit at  the  charter
school  by  the same employee organization, if any, that represents like
employees in the  school  district  in  which  such  charter  school  is
located;  (ii)  the provisions of subparagraph (i) of this paragraph may
be waived in up to ten charters issued  on  the  recommendation  of  the
charter  entity  set  forth  in  paragraph  (b)  of subdivision three of
section twenty-eight  hundred  fifty-one  of  this  article;  (iii)  the
provisions of subparagraph (i) of this paragraph shall not be applicable
to  the  renewal  or  extension  of  a charter; and (iv) nothing in this
sentence shall be construed to subject a charter school subject  to  the
provisions of this paragraph or its employees to any collective bargain-
ing agreement between any public school district and its employees or to
make  the  employees of such charter school part of any negotiating unit
at such school district. The charter school may, in its sole discretion,
choose whether or not to offer the  terms  of  any  existing  collective
bargaining  to  school employees.] PROVIDED, HOWEVER, THAT A MAJORITY OF
THE MEMBERS OF A NEGOTIATING UNIT WITHIN A CHARTER SCHOOL MAY MODIFY, IN
WRITING, A COLLECTIVE BARGAINING AGREEMENT FOR THE PURPOSES  OF  EMPLOY-
MENT IN THE CHARTER SCHOOL WITH THE APPROVAL OF THE BOARD OF TRUSTEES OF
THE CHARTER SCHOOL.
  (c)  The employees of the charter school [may] SHALL be deemed employ-
ees of the local school district for the purpose of providing retirement
benefits, including membership in the teachers'  retirement  system  and
other retirement systems open to employees of public schools. The finan-
cial  contributions for such benefits shall be the responsibility of the
charter school and the school's employees. The commissioner, in  consul-
tation  with the comptroller, shall develop regulations to implement the
provisions of this paragraph in a manner that allows charter schools  to
provide retirement benefits to its employees in the same manner as other
public school employees.
  (c-1)  Reasonable  access.  (i) If employees of the charter school are
not represented, any charter school chartered pursuant to  this  article
must  afford  reasonable  access to any employee organization during the
reasonable proximate period before any representation question is raised
IN THE SAME MANNER AS ANY PUBLIC EMPLOYER; or
  (ii) If the  employee  organization  is  a  challenging  organization,
reasonable access must be provided to any organization seeking to repre-
sent employees beginning with a date reasonably proximate to a challenge
period. Reasonableness is defined, at a minimum, as access equal to that
provided to the incumbent organization.
  S  17. Subdivision 1 of section 2855 of the education law, as added by
chapter 4 of the laws of 1998, is amended to read as follows:

S. 6469                             7

  1. The charter entity, or the board of regents, [may] SHALL  terminate
a charter upon any of the following grounds:
  (a)  When  a  charter  school's outcome on student assessment measures
adopted by the board of regents falls below the level that  would  allow
the  commissioner  to  revoke the registration of another public school,
and student achievement on such measures [has not shown improvement] HAS
NOT MET ANNUAL YEARLY PROGRESS over the preceding three school years[:];
  (b) Serious violations of law;
  (c) Material and  substantial  violation  of  the  charter,  including
fiscal  mismanagement  AND  FAILURE TO MEET STUDENT PERFORMANCE TARGETS;
[or]
  (d) When the public employment relations board makes  a  determination
that the charter school demonstrates a practice and pattern of egregious
and  intentional  violations  of  subdivision one of section two hundred
nine-a of the civil service law involving interference with or discrimi-
nation against employee rights  under  article  fourteen  of  the  civil
service law; OR
  (E)  FAILURE  TO ENROLL A COMPARABLE PERCENTAGE OF STUDENTS QUALIFYING
FOR FREE LUNCH, STUDENTS WITH DISABILITIES AND ENGLISH LANGUAGE LEARNERS
FOR TWO CONSECUTIVE YEARS.
  S 18. Subdivision 1 of section 2856 of the education law,  as  amended
by  chapter 378 of the laws of 2007, paragraph (a) as amended by section
12 of part A of chapter 57 of the laws of 2009, is amended  to  read  as
follows:
  1.  (a)  The enrollment of students attending charter schools shall be
included in the enrollment, attendance, membership and,  if  applicable,
count  of students with disabilities of the school district in which the
pupil resides. The charter school shall report  all  such  data  to  the
school  districts  of residence in a timely manner. Each school district
shall report such enrollment, attendance  and  count  of  students  with
disabilities  to  the department. The school district of residence shall
pay directly to the charter school for  each  student  enrolled  in  the
charter  school  who  resides  in the school district the charter school
basic tuition, which shall be an amount equal to one hundred percent  of
the  amount  calculated  pursuant  to  paragraph f of subdivision one of
section thirty-six hundred two of this chapter for the  school  district
for  the  year prior to the base year increased by the percentage change
in the state total approved operating  expense  calculated  pursuant  to
paragraph t of subdivision one of section thirty-six hundred two of this
chapter  from  two  years  prior  to  the  base  year  to the base year;
provided, however, that for the  two  thousand  nine--two  thousand  ten
school  year, the charter school basic tuition shall be the amount paya-
ble by such district as charter school basic tuition for the  two  thou-
sand  eight--two  thousand  nine  school  year.    FOR  THE TWO THOUSAND
TEN--TWO THOUSAND ELEVEN SCHOOL YEAR  AND  THEREAFTER  THE  STATE  SHALL
REIMBURSE  SCHOOL  DISTRICTS  FOR  THE LOCAL SHARE OF THE CHARTER SCHOOL
TUITION PAYMENT OF ANY STUDENTS ATTENDING A CHARTER SCHOOL IN  THE  JUNE
PAYMENT  REQUIRED  BY  SECTION THREE THOUSAND SIX HUNDRED NINE-A OF THIS
CHAPTER. SUCH LOCAL SHARE SHALL BE  CALCULATED  BY  DEDUCTING  FROM  THE
CHARTER  SCHOOL  TUITION  PAYMENT  THE  PER  PUPIL FOUNDATION AID AMOUNT
ATTRIBUTABLE TO SUCH PUPIL.
  (b) The school district shall also pay directly to the charter  school
any  federal  or  state  aid attributable to a student with a disability
attending charter school in proportion to the level of services for such
student with a disability that the charter school provides  directly  or
indirectly.  Notwithstanding  anything  in this section to the contrary,

S. 6469                             8

amounts payable pursuant to this subdivision from state or  local  funds
may be reduced pursuant to an agreement between the school and the char-
ter  entity  set  forth  in  the charter. Payments made pursuant to this
subdivision  shall  be  made by the school district in six substantially
equal installments each year beginning on the first business day of July
and every two months thereafter. Amounts payable under this  subdivision
shall  be  determined  by the commissioner. Amounts payable to a charter
school in its first year of operation shall be based on the  projections
of initial-year enrollment set forth in the charter until actual enroll-
ment data is reported to the school district by the charter school. SUCH
ACTUAL ENROLLMENT SHALL BE REPORTED TO THE SCHOOL DISTRICT PRIOR TO EACH
PAYMENT  FOLLOWING  THE  INITIAL  JULY  PAYMENT  WHICH SHALL BE BASED ON
PROJECTED ENROLLMENT. Such projections  shall  be  reconciled  with  the
actual  enrollment  as  actual enrollment data is so reported and at the
end of the school's first year of operation  and  each  subsequent  year
based  on a final report of actual enrollment by the charter school, and
any necessary adjustments resulting from such final report shall be made
to payments during the school's following year of operation.
  (c) Notwithstanding any other provision of  this  subdivision  to  the
contrary,  payment  of  the federal aid attributable to a student with a
disability attending a charter school shall be made in  accordance  with
the  requirements of section 8065-a of title twenty of the United States
code and sections 76.785-76.799 and 300.209 of title thirty-four of  the
code of federal regulations.
  S  19.  Subdivisions  2 and 3 of section 2857 of the education law, as
amended by section 7 of part D-2 of chapter 57 of the laws of 2007,  are
amended to read as follows:
  2.  Each  charter school shall submit to the charter entity and to the
board of regents an annual report. Such report shall be issued no  later
than  the first day of August of each year for the preceding school year
AND PROVIDED TO THE SCHOOL DISTRICT WHERE THE CHARTER SCHOOL IS  LOCATED
FOR DISPLAY ON THE SCHOOL DISTRICT WEB SITE.  The annual report shall be
in  such  form  as  shall  be  prescribed  by the commissioner and shall
include at least the following components:
  (a) a charter school report card, which shall include measures of  the
comparative academic and fiscal performance of the school, as prescribed
by  the commissioner in regulations adopted for such purpose. Such meas-
ures shall include, but not be limited  to,  graduation  rates,  dropout
rates,  performance  of students on standardized tests DISAGGREGATED FOR
SUBGROUPS, college entry rates, total spending per pupil and administra-
tive spending per pupil.  Such measures shall be presented in  a  format
that  is  easily  comparable to similar public schools. In addition, the
charter school shall ensure that such information is  easily  accessible
to the community.
  (b)  discussion  of the progress made towards achievement of the goals
set forth in the charter.
  (c) a certified financial  statement  setting  forth,  by  appropriate
categories, the revenues FROM ALL SOURCES and expenditures INCLUDING THE
SALARY  OF  THE  SCHOOL  LEADER  AND ANY OTHER SALARIES IN EXCESS OF THE
REPORTING REQUIREMENTS FOR PUBLIC SCHOOL DISTRICTS CONTAINED IN  SECTION
ONE  THOUSAND  SIX  HUNDRED  EIGHT  OF  THIS  CHAPTER AND CONTRACTS WITH
CONSULTANTS AND VENDORS for the preceding school year, including a  copy
of the most recent independent fiscal audit of the school.
  3. The board of regents shall report annually BY DECEMBER FIRST to the
governor,  the temporary president of the senate, and the speaker of the
assembly AND THE PUBLIC the following information:

S. 6469                             9

  (a) The number, distribution, and a brief description of  new  charter
schools established during the preceding year;
  (b)  The department's assessment of the current and projected program-
matic and fiscal impact of charter schools on the delivery  of  services
by school districts;
  (c)  The  academic  progress of students attending charter schools, as
measured against comparable public and nonpublic  schools  with  similar
student population characteristics [wherever practicable];
  (d)  A list of all actions taken by a charter entity on charter appli-
cation and the rationale for the renewal or revocation of any  charters;
and
  (e)  Any other information regarding charter schools that the board of
regents deems necessary INCLUDING INFORMATION ON BEST PRACTICES OF CHAR-
TER SCHOOLS THAT IMPROVE STUDENT PERFORMANCE.
  The format for this annual report shall be developed  in  consultation
with representatives of school districts and charter school officials.
  S  20.  Paragraph  a of subdivision 7 of section 1608 of the education
law is amended by adding a new subparagraph (v) to read as follows:
  (V) THE PROJECTED AMOUNT OF PAYMENTS TO BE MADE TO CHARTER SCHOOLS  IN
THE NEXT SCHOOL YEAR.
  S  21.  Paragraph  a of subdivision 7 of section 1716 of the education
law is amended by adding a new subparagraph (v) to read as follows:
  (V) THE PROJECTED AMOUNT OF PAYMENTS TO BE MADE TO CHARTER SCHOOLS  IN
THE NEXT SCHOOL YEAR.
  S  22. Paragraph (t) of subdivision 1 of section 3602 of the education
law is amended by adding a new closing paragraph to read as follows:
  NOTWITHSTANDING ANY OTHER  PROVISIONS  OF  LAW  TO  THE  CONTRARY,  IN
COMPUTING APPROVED OPERATING EXPENSE PURSUANT TO THIS PARAGRAPH FOR CITY
SCHOOL  DISTRICTS  OF  THOSE CITIES HAVING A POPULATION IN EXCESS OF ONE
HUNDRED TWENTY-FIVE THOUSAND BUT LESS THAN ONE MILLION; AN AMOUNT  EQUAL
TO_(I)  THE AMOUNT COMPUTED FOR THE SCHOOL DISTRICT FOR THE TWO THOUSAND
SIX--TWO THOUSAND SEVEN SCHOOL YEAR PURSUANT TO SUBDIVISION THIRTY-SEVEN
OF THIS SECTION AS THIS SECTION EXISTED ON JUNE THIRTIETH, TWO  THOUSAND
SEVEN,  (II)  THE  STATE  FUNDS  WHICH SUCH DISTRICT RECEIVED IN THE TWO
THOUSAND SIX--TWO THOUSAND SEVEN SCHOOL YEAR FOR MAGNET SCHOOL GRANTS TO
PUBLIC SCHOOLS, AND (III) THE STATE FUNDS WHICH SUCH  DISTRICT  RECEIVED
IN  THE  TWO  THOUSAND  SIX--TWO  THOUSAND SEVEN SCHOOL YEAR FOR TEACHER
SUPPORT, SHALL BE ACCOUNTED FOR IN THE SAME WAY AS STATE FUNDS  RECEIVED
FOR  SUCH  PURPOSE  IN  THE  TWO THOUSAND SIX--TWO THOUSAND SEVEN SCHOOL
YEAR.
  S 23. This act shall take effect immediately; provided, however,  that
the  amendments  to  subdivision  1 of section 2856 of the education law
made by section eighteen of this act shall not affect the expiration  of
such subdivision and shall expire therewith.

2009-S6469A (ACTIVE) - Details

Current Committee:: Senate Education
Law Section:: Education Law
Laws Affected:: Amd §§2851, 2852, 2853, 2854, 2855, 2856, 2857, 1608, 1716 & 3602, Ed L

2009-S6469A (ACTIVE) - Summary

Relates to charter schools; clarifies the transparency and accountability of charter schools and provides fiscal relief to the school districts where charter schools are located.

2009-S6469A (ACTIVE) - Sponsor Memo

                                BILL NUMBER:S6469A

TITLE OF BILL:
An act
to amend the education law, in relation to charter schools

PURPOSE OR GENERAL IDEA OF BILL:
To clarify the transparency and
accountability of charter schools and provide fiscal relief to the
school districts where charter schools are located.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1 describes the legislative
intent behind this law to increase the transparency and
accountability of charter schools and to provide fiscal relief to
local school districts.

Sections 2 Amends Paragraph 1 of subdivision 1 of section 2851 of the
education law to remove for profit operators from the law and limits
salaries of not for profit management companies to the comparable
salaries of the school district.

Section 3 Amends Paragraphs (d), (h), (p), and (v) of subdivision 2
of section 2851 of the education law to require that charter schools
up for renewal include a plan on how they will ensure student
enrollment reflects local school district enrollment. Requires

charter schools to show how they intend to provide services to
students on long term suspension or expulsion. Allows charter schools
to provide instruction for 5 years before renewal of the charter.
Requires the board to adopt a code of ethics in compliance with the
general municipal law.

Section 4 Amends Paragraph (a) of subdivision 4 of Section 2851 of the
education law to require a charter school applying for renewal to
include disaggregated student performance data in the progress report.

Section 5 Amends Paragraph (d) of subdivision 2 of Section 2852 of the
education law to remove the language allowing a charter entity to
approve a charter where the enrollment would exceed 5 percent of the
enrollment of the school district of location. For New York City,
school district of location is the community school district. The
current language allows approval if there is a significant
educational benefit which has led the Regents to disregard the
provision.

Section 6 Amends subdivision 2 of Section 2852 of the education law by
adding paragraphs (e) and (f) to require the approval of the
application by the board of education.

Section 7 Amends Subdivision 5-b of section 2852 of the education law
to require SUNY to provide an explanation why they are not making

modifications
in a charter suggested by the Regents and removes the automatic
approval of second submissions by SUNY.

Section 8 Amends Subdivision 7 of Section 2852 by adding a new
paragraph (c) of the education law that requires charter entities to
deny a charter revision that would increase charter school enrollment
above 5 percent of the enrollment of the school district where the
charter school is located and defines the school district of location
as the community school district for New York City.

Section 9 Amends Subdivision 10 of Section 2852 of the education law
to change the approval date from March 15 to January 15 in order for
a school to open the following September. This provision gives school
district more ability to plan in their budget process.

Section 10 Amends Subdivision 2 of Section 2853 of the education law
to require State Education Department to include charter schools in
any review or audit of state test administration and scoring.

Section 11 Amends Paragraph (a) of Subdivision 3 of Section 2853 of
the education law to set limits on shared space when a school
district is not meeting class size targets.

Section 12 Amends Subdivision 3 of Section 2853 by adding Paragraphs
(d) and (e) of the education law to require charter school facility
projects to follow the prevailing wage statutes and to require
schools to make equitable improvements in shared facilities.

Section 13 Amends Paragraphs (c) and (e) of Subdivision 1 of Section
2854 of the education law to clarify that charter school boards must
have a code of ethics in conformance with the general municipal law
and that charter schools are subject to audits by the charter entity.

Section 14 Amends Subdivision 1 of Section 2854 of the education law
by adding Paragraph (f) to require charter schools to have a code of
ethics.

Section 15 Amends Subdivision 2 Section 2854 of the education law and
paragraphs (a) and (b)as amended by section 5 of Part-D2 of chapter
57 of laws of 2007 to require the charter school to develop a plan
for enrolling students with disabilities and limited English
proficient students at the same levels as the local school district.
It requires Charter schools to give a preference to students on free
and reduced price lunch, students with disabilities and students with
limited English proficiency when conducting a lottery. It requires
charter schools to provide a report to the chartering entity
indicating the number students leaving the school, why they left and
when they left. It requires the charter entity to ensure the random
selection process of the lottery is conducted properly.

Section 16 Amends Paragraphs (b-l), (c) and (c-l) of Subdivision 3 of
Section 2854 of the education law to clarify that charter schools
employees are members of the local collective bargaining unit and
that charter school teachers are members of the retirement system.

Section 17 Amends Subdivision 1 of Section 2855 of the education law
to clarify that a charter shall be revoked if a school would be
subject to
registration revocation and had not met AYP in the last three years.
The previous language only required growth rather than meeting AYP.
It allows for revocation when the school does not meet performance
targets contained in the charter and student demographics of the
district of location for 2 years.

Section 18 Amends subdivision 1 of Section 2856 of the education law
to require the state to reimburse school districts for the local
share of charter school tuition in the June State aid payment. This
provision removes charter school funding from local school districts.
School districts already receive state aid for these students so the
only portion not paid by the state is the local share. We may have to
phase in this change due to the state fiscal crisis but I think this
is a good starting point. It leaves room for compromise. It also
requires charter schools to provide actual enrollment counts after
the initial payment each year.

Section 19 Amends subdivisions 2 and 3 of Section 2857 of the
education law to require that Charter school annual reports be placed
on school district web sites. It requires the report to include
disaggregated student performance data and additional financial
information. It requires SED to do an annual report by December first
of each year to include information on best practices.

Section 20 Amends Paragraph (a) of Subdivision 7 of Section 1608 of
the education law to require that school districts include charter
school payments in the property tax report card.

Section 21 Amends Paragraph (a) of Subdivision 7 of Section 1716 of
the education law to require school districts to include charter
school payments in the property tax report card.

Section 22 Amends Paragraph (t) of subdivision 1 of Section 3602 of
the education law to adjust the formula used to compute approved
operating expenses (AGE). When the state aid formula was revised in
2007-08, categorical grant programs were merged into a new Foundation
Aid formula which has had the unintended consequence of artificially
inflating AGE.

Section 23 is the effective date.

JUSTIFICATION:
New York's charter school law was enacted 11 years ago
in an effort to create new learning opportunities for all students,

to encourage different and innovative teaching methods and to provide
parents and students with expanded choice within the public schools.
Eleven years provides the state with enough information to make
judgments about changes that are needed in the law to ensure the
public knows how their tax dollars are being spent and to ensure
public schools serving the majority of students have the resources
needed to provide a quality education to all students. This
legislation will clarify the transparency and accountability of
charter schools and provide fiscal relief to the school districts
where charter schools are located.

This bill would provide fiscal relief to local property taxpayers by
reimbursing the local share of the charter school tuition payment
going forward. The savings to property taxpayers and the cost to the
State would be approximately $163 million. This bill would ensure
fairness in
funding, so that both charter schools and regular schools can provide
a quality education for all students. Fairness in resources means
charter school funding cannot come at the expense of neighborhood
public schools.

Just as the deregulation of Wall street led to the economic and
subprime mortgage crisis, the Madoff scandal and excessive executive
bonuses, deregulating public education and turning over taxpayers'
dollars to private operators without sufficient accountability and
transparency has created opportunities for mismanagement and abuses.

Many charter schools send 30 percent of this money to management
companies, both for-profit and not-for-profit - money that never
makes it into the classroom. Charter school board members and
employees should be subject to the exact same financial disclosure
requirements and conflict-of-interest prohibitions as other public
officials and employees. For-profit operators should be banned from
owning or operating charter schools, and management fees and charter
operator salaries should be publicly disclosed.

Charter operators are currently exempt from having to issue property
tax report cards; do not hold public votes on their school budgets or
elect independent school board members in a public vote. This bill
would include charter school payments in the property tax report card.

Charter operators, who receive more than 95 percent of their revenue
from public funds, currently are also exempt from audits by the
Office of the State Comptroller, which recently completed audits of
all other regular public schools. This bill would allow the state and
City comptroller to conduct audits.

PRIOR LEGISLATIVE HISTORY:
New Bill.

FISCAL IMPLICATIONS:

In New York state, we currently
have 140 charter
schools operating in 2009-10, serving about 44,000 kids. Traditional
public schools sent $530 million this year to charter schools via
their tuition payments.

Tuition payments come from a combination of state and local dollars.
In the 2009-10 school year, almost 50 percent or $263 million came
from local revenue or property taxes.

If the state legislature raises the charter cap to 460 we will more
than triple the number of schools, students and costs. If school
sizes remain consistent - New York will have 145,000 kids in charter
schools and taxpayers will be sending $2 billion to charter schools.

If the new charter schools are similarly distributed around the state
this would add an additional $1 billion cost to property taxpayers.

This is an overall increase in costs which is more than twice the
value of Race to the Top, a one-time grant.

EFFECTIVE DATE:
This act shall take effect immediately.

2009-S6469A (ACTIVE) - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 6469--A

                            I N  S E N A T E

                            January 18, 2010
                               ___________

Introduced  by  Sen. PERKINS -- read twice and ordered printed, and when
  printed to be committed to the Committee  on  Education  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

AN ACT to amend the education law, in relation to charter schools

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Legislative Intent.  New  York's  charter  school  law  was
enacted  11  years ago in an effort to create new learning opportunities
for all students, to encourage different and innovative teaching methods
and to provide parents and students  with  expanded  choice  within  the
public  schools. Eleven years provides the state with enough information
to make judgments about changes that are needed in the law to ensure the
public knows how their tax dollars are being spent and to ensure  public
schools  serving  the  majority of students have the resources needed to
provide a  quality  education  to  all  students.  This  legislation  is
intended  to  clarify  the  transparency  and  accountability of charter
schools and provide fiscal relief to the school districts where  charter
schools are located.
  S  2.  Subdivision 1 of section 2851 of the education law, as added by
chapter 4 of the laws of 1998, is amended to read as follows:
  1. An application to establish a charter school may  be  submitted  by
teachers,  parents,  school  administrators,  community residents or any
combination thereof.  Such application may be filed in conjunction  with
a  college,  university, museum, educational institution, not-for-profit
corporation exempt from taxation under paragraph 3 of subsection (c)  of
section  501  of  the  internal  revenue code [or for-profit business or
corporate entity authorized to do business in New York state. For  char-
ter  schools  established  in  conjunction with a for-profit business or
corporate entity, the charter shall specify the extent of  the  entity's
participation  in  the  management  and  operation  of  the school], AND
PROVIDED THAT UNDER NO CIRCUMSTANCES SHALL AN APPLICATION TO ESTABLISH A
CHARTER SCHOOL OR APPROVAL TO OPERATE A CHARTER SCHOOL BE GRANTED  TO  A
FOR-PROFIT  BUSINESS  OR  CORPORATE  ENTITY AUTHORIZED TO DO BUSINESS IN

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

                                                           LBD15479-03-0

S. 6469--A                          2

THIS STATE NOR IN ANY MANNER WHATSOEVER SHALL THEY HAVE  AN  INVOLVEMENT
IN  THE  MANAGEMENT  AND  OPERATION OF A CHARTER SCHOOL. THE APPLICATION
SHALL INCLUDE THE AMOUNT OF  ANY  MANAGEMENT  FEE  TO  BE  PAID  TO  ANY
NOT-FOR-PROFIT  CORPORATION  WORKING IN CONJUNCTION WITH THE APPLICANTS.
SALARIES OF THE EMPLOYEES OF SUCH  NOT-FOR-PROFIT  CORPORATION  MAY  NOT
EXCEED  THE  SALARIES FOR COMPARABLE POSITIONS IN THE SCHOOL DISTRICT OF
LOCATION.
  S 3. Paragraphs (d), (h), (p) and (v) of subdivision 2 of section 2851
of the education law, as added by chapter 4 of the  laws  of  1998,  are
amended to read as follows:
  (d)  Admission  policies and procedures for the school, which shall be
consistent with the requirements of subdivision two of  section  twenty-
eight  hundred  fifty-four  of this article.  FOR CHARTER RENEWALS, SUCH
POLICIES AND PROCEDURES SHALL INCLUDE PLANS  FOR  ENSURING  THE  STUDENT
ENROLLMENT  OF  THE  CHARTER  SCHOOL INCLUDES A COMPARABLE PERCENTAGE OF
STUDENTS ON FREE LUNCH, STUDENTS WITH DISABILITIES AND ENGLISH  LANGUAGE
LEARNERS AS THE SCHOOL DISTRICT IN WHICH THE CHARTER SCHOOL IS LOCATED.
  (h)  The  rules  and  procedures by which students may be disciplined,
including but not limited to expulsion or suspension  from  the  school,
which  shall be consistent with the requirements of due process and with
federal laws and regulations governing the placement  of  students  with
disabilities.  SUCH  RULES AND PROCEDURES SHALL INCLUDE THE PROVISION OF
EDUCATIONAL SERVICES TO ANY STUDENT ON LONG TERM  SUSPENSION  OR  EXPUL-
SION.
  (p)  The  term  of  the  proposed charter, which shall not exceed five
years DURING WHICH INSTRUCTION IS PROVIDED TO PUPILS.
  (v) A code of ethics for the charter school,  setting  forth  for  the
guidance  of  its  trustees,  officers  and  employees  the standards of
conduct expected of them. SUCH CODE OF ETHICS  SHALL  BE  IN  COMPLIANCE
WITH SECTION EIGHT HUNDRED SIX OF THE GENERAL MUNICIPAL LAW.
  S  4.  Paragraph (a) of subdivision 4 of section 2851 of the education
law, as added by chapter 4 of the laws of 1998, is amended  to  read  as
follows:
  (a)  A  report  of the progress of the charter school in achieving the
educational objectives set forth  in  the  charter.  SUCH  REPORT  SHALL
INCLUDE   DISAGGREGATED   STUDENT   PERFORMANCE  DATA  FOR  ALL  STUDENT
SUBGROUPS.
  S 5. Paragraph (d) of subdivision 2 of section 2852 of  the  education
law,  as  added  by  section  2 of part D-2 of chapter 57 of the laws of
2007, is amended to read as follows:
  (d) in a school  district  where  the  total  enrollment  of  resident
students attending charter schools in the base year is greater than five
percent  of the total public school enrollment of the school district in
the base year [(i) granting the application  would  have  a  significant
educational  benefit  to  the  students  expected to attend the proposed
charter school or (ii) the school district in which the  charter  school
will  be  located  consents  to  such application]. FOR PURPOSES OF THIS
PARAGRAPH, IN A CITY HAVING A POPULATION OF ONE  MILLION  OR  MORE,  THE
SCHOOL DISTRICT SHALL BE THE COMMUNITY SCHOOL DISTRICT.
  S  6. Subdivision 2 of section 2852 of the education law is amended by
adding two new paragraphs (e) and (f) to read as follows:
  (E) THE APPLICATION FOR THE CHARTER SCHOOL IS APPROVED BY THE BOARD OF
EDUCATION OF THE SCHOOL DISTRICT WHERE  THE  CHARTER  SCHOOL  IS  TO  BE
LOCATED; AND
  (F)  THE  CHARTER  ENTITY  SHALL NOT APPROVE AN APPLICATION THAT WOULD
HAVE THE EFFECT OF INCREASING THE RACIAL ISOLATION OF A SCHOOL DISTRICT.

S. 6469--A                          3

  S 7. Subdivision 5-b of section 2852 of the education law, as added by
chapter 4 of the laws of 1998, is amended to read as follows:
  5-b. If the board of regents returns a proposed charter to the charter
entity pursuant to the provisions of subdivision five-a of this section,
such  charter  entity shall reconsider the proposed charter, taking into
consideration the comments and recommendation of the board  of  regents.
Thereafter,  the  charter  entity shall resubmit the proposed charter to
the board of regents with modifications,  provided  that  the  applicant
consents in writing to such modifications, resubmit the proposed charter
to  the  board  of regents without modifications WITH AN EXPLANATION WHY
THE MODIFICATIONS ARE NOT BEING MADE, or abandon the  proposed  charter.
The board of regents shall review each such resubmitted proposed charter
in  accordance  with  the  provisions  of  subdivision  five-a  of  this
section[; provided, however, that it shall be the duty of the  board  of
regents to approve and issue a proposed charter resubmitted by the char-
ter  entity  described  in paragraph (b) of subdivision three of section
twenty-eight hundred fifty-one of this article within thirty days of the
resubmission of such proposed charter or such proposed charter shall  be
deemed approved and issued at the expiration of such period].
  S  8. Subdivision 7 of section 2852 of the education law is amended by
adding a new paragraph (c) to read as follows:
  (C) WHEN A REVISION OF A CHARTER INVOLVES AN  INCREASE  IN  ENROLLMENT
WHICH  BRINGS TOTAL ENROLLMENT IN CHARTER SCHOOLS IN THE SCHOOL DISTRICT
OF LOCATION ABOVE FIVE PERCENT THE REVISION SHALL BE DENIED  UNLESS  THE
SCHOOL  DISTRICT  OF  LOCATION APPROVES THE REVISION OR THE RESIDENTS OF
THE SCHOOL DISTRICT APPROVE THE REVISION THROUGH  A  REFERENDUM  OF  THE
ELIGIBLE  VOTERS  TO BE HELD IN CONJUNCTION WITH THE ANNUAL BUDGET VOTE.
FOR PURPOSES OF THIS PARAGRAPH IN A CITY  HAVING  A  POPULATION  OF  ONE
MILLION  OR  MORE THE SCHOOL DISTRICT OF LOCATION SHALL BE THE COMMUNITY
SCHOOL DISTRICT WHERE THE CHARTER SCHOOL IS LOCATED.
  S 9. Subdivision 10 of section 2852 of the education law, as added  by
section  3  of part D-2 of chapter 57 of the laws of 2007, is amended to
read as follows:
  10. Except in the case of a charter school formed by a school district
as a charter entity pursuant to paragraph (a) of  subdivision  three  of
section twenty-eight hundred fifty-one of this article, a charter school
formed  by  approval  of  the regents or by operation of law on or after
[March] JANUARY fifteenth in any school year shall not commence instruc-
tion until July of the second school year next following.
  S 10. Subdivision 2 of section 2853 of the education law, as added  by
chapter 4 of the laws of 1998, is amended to read as follows:
  2.  The  board of regents and charter entity shall oversee each school
approved by such entity, and may visit, examine  into  and  inspect  any
charter  school,  including  the records of such school, under its over-
sight. Oversight by a charter entity and the board of regents  shall  be
sufficient  to  ensure that the charter school is in compliance with all
applicable laws, regulations and charter  provisions.    THE  DEPARTMENT
SHALL INCLUDE CHARTER SCHOOLS IN ANY REVIEW OR AUDIT OF STATE ASSESSMENT
ADMINISTRATION OR SCORING.
  S  11. Paragraph (a) of subdivision 3 of section 2853 of the education
law, as amended by section 4 of part D-2 of chapter 57 of  the  laws  of
2007, is amended is to read as follows:
  (a)  A  charter  school  may  be located in part of an existing public
school building, in space provided on a private work site, in  a  public
building or in any other suitable location, PROVIDED, HOWEVER, A CHARTER
SCHOOL  SHALL  NOT BE LOCATED IN ANY PART OF AN EXISTING SCHOOL BUILDING

S. 6469--A                          4

WHEN SUCH SHARING WOULD IMPACT THE PUBLIC SCHOOL'S ABILITY TO  MEET  THE
CLASS  SIZE TARGETS ESTABLISHED PURSUANT TO SECTION TWO HUNDRED ELEVEN-D
OF THIS CHAPTER. Provided, however,  before  a  charter  school  may  be
located in part of an existing public school building, the charter enti-
ty shall provide notice to the parents or guardians of the students then
enrolled in the existing school building and shall hold a public hearing
for purposes of discussing the location of the charter school. A charter
school  may  own, lease or rent its space. For purposes of local zoning,
land use regulation and building code compliance, a charter school shall
be deemed a nonpublic school.
  S 12. Subdivision 3 of section 2853 of the education law is amended by
adding two new paragraphs (d) and (e) to read as follows:
  (D) NOTWITHSTANDING ANY LAW TO THE CONTRARY, ANY CAPITAL FACILITY,  OR
OTHER  IMPROVEMENTS  MADE IN PUBLIC SCHOOL BUILDINGS OR EQUIPMENT WITH A
PERIOD OF PROBABLE USEFULNESS OF FIVE OR  MORE  YEARS,  WITH  PUBLIC  OR
PRIVATE FUNDS, TO ACCOMMODATE CHARTER SCHOOLS, SHALL REQUIRE MATCHING OR
COMPARABLE  IMPROVEMENTS  BE  MADE FOR OTHER DISTRICT SCHOOLS LOCATED IN
THE SAME BUILDING.
  (E) NOTWITHSTANDING ANY LAW TO THE CONTRARY, ANY CONSTRUCTION OR CAPI-
TAL IMPROVEMENT MADE IN ACCORDANCE WITH THIS ARTICLE SHALL  BE  MADE  IN
ACCORDANCE WITH AND SUBJECT TO THE PROVISIONS OF ARTICLES EIGHT AND NINE
OF THE LABOR LAW.
  S  13.  Paragraphs (c) and (e) of subdivision 1 of section 2854 of the
education law, paragraph (c) as amended by chapter 267 of  the  laws  of
2005,  and  paragraph (e) as added by chapter 4 of the laws of 1998, are
amended to read as follows:
  (c) A charter school shall be subject to  the  financial  audits,  the
audit  procedures,  and  the audit requirements set forth in the charter
and [shall be subject to audits of  the  comptroller  as  set  forth  in
section  thirty-three  of  the  general municipal law] MAY BE SUBJECT TO
AUDITS BY THE STATE COMPTROLLER OR BY THE CHARTER  ENTITY.  Such  proce-
dures and standards shall be consistent with generally accepted account-
ing  and audit standards. Independent fiscal audits shall be required at
least once annually.
  (e) A charter school shall be subject to the  provisions  of  articles
six  and  seven  of the public officers law IN THE SAME MANNER AS PUBLIC
SCHOOL DISTRICTS.
  S 14. Subdivision 1 of section 2854 of the education law is amended by
adding a new paragraph (f) to read as follows:
  (F) A CHARTER SCHOOL SHALL BE SUBJECT TO  THE  PROVISIONS  OF  SECTION
EIGHT HUNDRED SIX OF THE GENERAL MUNICIPAL LAW.
  S  15. Subdivision 2 of section 2854 of the education law, as added by
chapter 4 of the laws of 1998, paragraphs (a)  and  (b)  as  amended  by
section  5  of part D-2 of chapter 57 of the laws of 2007, is amended to
read as follows:
  2. Admissions; enrollment; students. (a) A  charter  school  shall  be
nonsectarian  in its programs, admission policies, employment practices,
and all other operations and shall not charge tuition or fees;  provided
that  a charter school may require the payment of fees on the same basis
and to the same extent as other public schools. A charter  school  shall
not  discriminate  against  any student, employee or any other person on
the basis of ethnicity, national origin, gender, or  disability  or  any
other  ground  that  would be unlawful if done by a school. Admission of
students shall not be limited on  the  basis  of  intellectual  ability,
measures of achievement or aptitude, athletic ability, disability, race,
creed,  gender, national origin, religion, or ancestry; provided, howev-

S. 6469--A                          5

er, that nothing in this article  shall  be  construed  to  prevent  the
establishment  of  a  single-sex  charter  school  or  a  charter school
designed to provide expanded learning opportunities for students at-risk
of  academic  failure;  and  provided,  further, that the charter school
shall [demonstrate good faith efforts to] attract and retain a  compara-
ble  or  greater  enrollment  of  students with disabilities and limited
English proficient students when compared to the enrollment figures  for
such  students  in  the  school  district in which the charter school is
located.  IF A CHARTER SCHOOL IS NOT SUCCESSFUL IN ATTRACTING A COMPARA-
BLE OR GREATER ENROLLMENT OF  STUDENTS  WITH  DISABILITIES  AND  LIMITED
ENGLISH  PROFICIENT  STUDENTS  AS COMPARED TO THE ENROLLMENT FIGURES FOR
SUCH STUDENTS IN THE SCHOOL DISTRICT IN  WHICH  THE  CHARTER  SCHOOL  IS
LOCATED  SUCH  CHARTER SCHOOL SHALL PROVIDE THE CHARTERING ENTITY WITH A
PLAN FOR IMPROVING THE ENROLLMENT OF  SUCH  STUDENTS  IN  THE  FOLLOWING
YEAR.  FAILURE TO COMPLY WITH THIS REQUIREMENT FOR TWO CONSECUTIVE YEARS
SHALL BE SUBJECT TO REVOCATION IN ACCORDANCE  WITH  SUBDIVISION  ONE  OF
SECTION TWO THOUSAND EIGHT HUNDRED FIFTY-FIVE OF THIS ARTICLE. A charter
shall  not be issued to any school that would be wholly or in part under
the control or direction of any religious denomination, or in which  any
denominational tenet or doctrine would be taught.
  (b) Any child who is qualified under the laws of this state for admis-
sion  to a public school is qualified for admission to a charter school.
The school shall enroll each  eligible  student  who  submits  a  timely
application  by  the  first day of April each year, unless the number of
applications exceeds the capacity of the grade  level  or  building.  In
such cases, students shall be accepted from among applicants by a random
selection  process,  provided,  however,  that  an enrollment preference
shall be provided to pupils WHEN THE CHARTER SCHOOL  IS  LOCATED  WITHIN
ONE  MILE  OF  THE  PUPILS'  RESIDENCE,  PUPILS returning to the charter
school in the second or any subsequent  year  of  operation  and  pupils
residing  in the school district in which the charter school is located,
and siblings of pupils  already  enrolled  in  the  charter  school  AND
STUDENTS  ON  FREE  LUNCH,  AND STUDENTS WITH DISABILITIES, AND STUDENTS
WITH LIMITED ENGLISH PROFICIENCY.  For the purposes  of  this  paragraph
and  paragraph (a) of this subdivision, the school district in which the
charter school is located shall mean, for the city  school  district  of
the city of New York, the community district in which the charter school
is  located.    THE  CHARTER  ENTITY  IS  RESPONSIBLE  FOR  ENSURING THE
SELECTION PROCESS IS CONDUCTED IN ACCORDANCE WITH THIS PARAGRAPH. IF THE
CHARTER ENTITY DETERMINES THE PROCESS IS NOT  IN  COMPLIANCE  WITH  THIS
PARAGRAPH, THE CHARTER ENTITY SHALL CONDUCT THE PROCESS.
  (c) A charter school shall serve one or more of the grades one through
twelve,  and  shall  limit  admission  to pupils within the grade levels
served. Nothing herein shall prohibit a charter school from establishing
a kindergarten program.
  (d) A student may withdraw from a  charter  school  at  any  time  and
enroll in a public school. A CHARTER SCHOOL MUST PROVIDE A REPORT TO THE
CHARTERING  ENTITY  EACH  YEAR INDICATING THE NUMBER OF STUDENTS LEAVING
THE CHARTER SCHOOL, THE MONTHS IN WHICH THE STUDENTS LEAVE  THE  SCHOOL,
THE  REASON  THE STUDENTS LEAVE THE SCHOOL AND THE SCHOOL THE STUDENT IS
CURRENTLY ATTENDING. A  charter  school  may  refuse  admission  to  any
student  who  has  been expelled or suspended from a public school until
the period of  suspension  or  expulsion  from  the  public  school  has
expired, consistent with the requirements of due process.
  S 16. Paragraphs (b-1), (c) and (c-1) of subdivision 3 of section 2854
of  the  education  law, paragraph (b-1) as amended by section 6 of part

S. 6469--A                          6

D-2 of chapter 57 of the laws of 2007, and paragraphs (c) and  (c-1)  as
added by chapter 4 of the laws of 1998, are amended to read as follows:
  (b-1) The employees of a charter school [that is not a conversion from
an  existing  public  school] shall [not] be deemed members of [any] THE
existing collective bargaining unit representing employees of the school
district in which the charter school is located, and the charter  school
and  its  employees  shall  [not]  be subject to any existing collective
bargaining agreement between the  school  district  and  its  employees.
[Provided,  however,  that  (i) if the student enrollment of the charter
school on the first day on which the charter  school  commences  student
instruction  exceeds  two  hundred fifty or if the average daily student
enrollment of such school exceeds two  hundred  fifty  students  at  any
point  during  the  first  two  years after the charter school commences
student instruction, all employees of the school who  are  eligible  for
representation  under article fourteen of the civil service law shall be
deemed to be represented in a separate negotiating unit at  the  charter
school  by  the same employee organization, if any, that represents like
employees in the  school  district  in  which  such  charter  school  is
located;  (ii)  the provisions of subparagraph (i) of this paragraph may
be waived in up to ten charters issued  on  the  recommendation  of  the
charter  entity  set  forth  in  paragraph  (b)  of subdivision three of
section twenty-eight  hundred  fifty-one  of  this  article;  (iii)  the
provisions of subparagraph (i) of this paragraph shall not be applicable
to  the  renewal  or  extension  of  a charter; and (iv) nothing in this
sentence shall be construed to subject a charter school subject  to  the
provisions of this paragraph or its employees to any collective bargain-
ing agreement between any public school district and its employees or to
make  the  employees of such charter school part of any negotiating unit
at such school district. The charter school may, in its sole discretion,
choose whether or not to offer the  terms  of  any  existing  collective
bargaining  to  school employees.] PROVIDED, HOWEVER, THAT A MAJORITY OF
THE MEMBERS OF A NEGOTIATING UNIT WITHIN A CHARTER SCHOOL MAY MODIFY, IN
WRITING, A COLLECTIVE BARGAINING AGREEMENT FOR THE PURPOSES  OF  EMPLOY-
MENT IN THE CHARTER SCHOOL WITH THE APPROVAL OF THE BOARD OF TRUSTEES OF
THE CHARTER SCHOOL.
  (c)  The employees of the charter school [may] SHALL be deemed employ-
ees of the local school district for the purpose of providing retirement
benefits, including membership in the teachers'  retirement  system  and
other retirement systems open to employees of public schools. The finan-
cial  contributions for such benefits shall be the responsibility of the
charter school and the school's employees. The commissioner, in  consul-
tation  with the comptroller, shall develop regulations to implement the
provisions of this paragraph in a manner that allows charter schools  to
provide retirement benefits to its employees in the same manner as other
public school employees.
  (c-1)  Reasonable  access.  (i) If employees of the charter school are
not represented, any charter school chartered pursuant to  this  article
must  afford  reasonable  access to any employee organization during the
reasonable proximate period before any representation question is raised
IN THE SAME MANNER AS ANY PUBLIC EMPLOYER; or
  (ii) If the  employee  organization  is  a  challenging  organization,
reasonable access must be provided to any organization seeking to repre-
sent employees beginning with a date reasonably proximate to a challenge
period. Reasonableness is defined, at a minimum, as access equal to that
provided to the incumbent organization.

S. 6469--A                          7

  S  17. Subdivision 1 of section 2855 of the education law, as added by
chapter 4 of the laws of 1998, is amended to read as follows:
  1.  The charter entity, or the board of regents, [may] SHALL terminate
a charter upon any of the following grounds:
  (a) When a charter school's outcome  on  student  assessment  measures
adopted  by  the board of regents falls below the level that would allow
the commissioner to revoke the registration of  another  public  school,
and student achievement on such measures [has not shown improvement] HAS
NOT MET ANNUAL YEARLY PROGRESS over the preceding three school years[:];
  (b) Serious violations of law;
  (c)  Material  and  substantial  violation  of  the charter, including
fiscal mismanagement AND FAILURE TO MEET  STUDENT  PERFORMANCE  TARGETS;
[or]
  (d)  When  the public employment relations board makes a determination
that the charter school demonstrates a practice and pattern of egregious
and intentional violations of subdivision one  of  section  two  hundred
nine-a of the civil service law involving interference with or discrimi-
nation  against  employee  rights  under  article  fourteen of the civil
service law; OR
  (E) FAILURE TO ENROLL A COMPARABLE PERCENTAGE OF  STUDENTS  QUALIFYING
FOR FREE LUNCH, STUDENTS WITH DISABILITIES AND ENGLISH LANGUAGE LEARNERS
FOR TWO CONSECUTIVE YEARS.
  S  18.  Subdivision 1 of section 2856 of the education law, as amended
by chapter 378 of the laws of 2007, paragraph (a) as amended by  section
12  of  part  A of chapter 57 of the laws of 2009, is amended to read as
follows:
  1. (a) The enrollment of students attending charter schools  shall  be
included  in  the enrollment, attendance, membership and, if applicable,
count of students with disabilities of the school district in which  the
pupil  resides.  The  charter  school  shall report all such data to the
school districts of residence in a timely manner. Each  school  district
shall  report  such  enrollment,  attendance  and count of students with
disabilities to the department. The school district of  residence  shall
pay  directly  to  the  charter  school for each student enrolled in the
charter school who resides in the school  district  the  charter  school
basic  tuition, which shall be an amount equal to one hundred percent of
the amount calculated pursuant to paragraph  f  of  subdivision  one  of
section  thirty-six  hundred two of this chapter for the school district
for the year prior to the base year increased by the  percentage  change
in  the  state  total  approved operating expense calculated pursuant to
paragraph t of subdivision one of section thirty-six hundred two of this
chapter from two years  prior  to  the  base  year  to  the  base  year;
provided,  however,  that  for  the  two thousand nine--two thousand ten
school year, the charter school basic tuition shall be the amount  paya-
ble  by  such district as charter school basic tuition for the two thou-
sand eight--two thousand  nine  school  year.    FOR  THE  TWO  THOUSAND
TEN--TWO  THOUSAND  ELEVEN  SCHOOL  YEAR  AND THEREAFTER THE STATE SHALL
REIMBURSE SCHOOL DISTRICTS FOR THE LOCAL SHARE  OF  THE  CHARTER  SCHOOL
TUITION  PAYMENT  OF ANY STUDENTS ATTENDING A CHARTER SCHOOL IN THE JUNE
PAYMENT REQUIRED BY SECTION THREE THOUSAND SIX HUNDRED  NINE-A  OF  THIS
CHAPTER.  SUCH  LOCAL  SHARE  SHALL  BE CALCULATED BY DEDUCTING FROM THE
CHARTER SCHOOL TUITION PAYMENT  THE  PER  PUPIL  FOUNDATION  AID  AMOUNT
ATTRIBUTABLE TO SUCH PUPIL.
  (b)  The school district shall also pay directly to the charter school
any federal or state aid attributable to a  student  with  a  disability
attending charter school in proportion to the level of services for such

S. 6469--A                          8

student  with  a disability that the charter school provides directly or
indirectly. Notwithstanding anything in this section  to  the  contrary,
amounts  payable  pursuant to this subdivision from state or local funds
may be reduced pursuant to an agreement between the school and the char-
ter  entity  set  forth  in  the charter. Payments made pursuant to this
subdivision shall be made by the school district  in  six  substantially
equal installments each year beginning on the first business day of July
and  every two months thereafter. Amounts payable under this subdivision
shall be determined by the commissioner. Amounts payable  to  a  charter
school  in its first year of operation shall be based on the projections
of initial-year enrollment set forth in the charter until actual enroll-
ment data is reported to the school district by the charter school. SUCH
ACTUAL ENROLLMENT SHALL BE REPORTED TO THE SCHOOL DISTRICT PRIOR TO EACH
PAYMENT FOLLOWING THE INITIAL JULY  PAYMENT  WHICH  SHALL  BE  BASED  ON
PROJECTED  ENROLLMENT.  Such  projections  shall  be reconciled with the
actual enrollment as actual enrollment data is so reported  and  at  the
end  of  the  school's  first year of operation and each subsequent year
based on a final report of actual enrollment by the charter school,  and
any necessary adjustments resulting from such final report shall be made
to payments during the school's following year of operation.
  (c)  Notwithstanding  any  other  provision of this subdivision to the
contrary, payment of the federal aid attributable to a  student  with  a
disability  attending  a charter school shall be made in accordance with
the requirements of section 8065-a of title twenty of the United  States
code  and sections 76.785-76.799 and 300.209 of title thirty-four of the
code of federal regulations.
  S 19. Subdivisions 2 and 3 of section 2857 of the  education  law,  as
amended  by section 7 of part D-2 of chapter 57 of the laws of 2007, are
amended to read as follows:
  2. Each charter school shall submit to the charter entity and  to  the
board  of regents an annual report. Such report shall be issued no later
than the first day of August of each year for the preceding school  year
AND  PROVIDED TO THE SCHOOL DISTRICT WHERE THE CHARTER SCHOOL IS LOCATED
FOR DISPLAY ON THE SCHOOL DISTRICT WEB SITE.  The annual report shall be
in such form as shall  be  prescribed  by  the  commissioner  and  shall
include at least the following components:
  (a)  a charter school report card, which shall include measures of the
comparative academic and fiscal performance of the school, as prescribed
by the commissioner in regulations adopted for such purpose. Such  meas-
ures  shall  include,  but  not be limited to, graduation rates, dropout
rates, performance of students on standardized tests  DISAGGREGATED  FOR
SUBGROUPS, college entry rates, total spending per pupil and administra-
tive  spending  per pupil.  Such measures shall be presented in a format
that is easily comparable to similar public schools.  In  addition,  the
charter  school  shall ensure that such information is easily accessible
to the community.
  (b) discussion of the progress made towards achievement of  the  goals
set forth in the charter.
  (c)  a  certified  financial  statement  setting forth, by appropriate
categories, the revenues FROM ALL SOURCES and expenditures INCLUDING THE
SALARY OF THE SCHOOL LEADER AND ANY OTHER  SALARIES  IN  EXCESS  OF  THE
REPORTING  REQUIREMENTS FOR PUBLIC SCHOOL DISTRICTS CONTAINED IN SECTION
ONE THOUSAND SIX HUNDRED  EIGHT  OF  THIS  CHAPTER  AND  CONTRACTS  WITH
CONSULTANTS  AND VENDORS for the preceding school year, including a copy
of the most recent independent fiscal audit of the school.

S. 6469--A                          9

  3. The board of regents shall report annually BY DECEMBER FIRST to the
governor, the temporary president of the senate, and the speaker of  the
assembly AND THE PUBLIC the following information:
  (a)  The  number, distribution, and a brief description of new charter
schools established during the preceding year;
  (b) The department's assessment of the current and projected  program-
matic  and  fiscal impact of charter schools on the delivery of services
by school districts;
  (c) The academic progress of students attending  charter  schools,  as
measured  against  comparable  public and nonpublic schools with similar
student population characteristics [wherever practicable];
  (d) A list of all actions taken by a charter entity on charter  appli-
cation  and the rationale for the renewal or revocation of any charters;
and
  (e) Any other information regarding charter schools that the board  of
regents deems necessary INCLUDING INFORMATION ON BEST PRACTICES OF CHAR-
TER SCHOOLS THAT IMPROVE STUDENT PERFORMANCE.
  The  format  for this annual report shall be developed in consultation
with representatives of school districts and charter school officials.
  S 20. Paragraph a of subdivision 7 of section 1608  of  the  education
law is amended by adding a new subparagraph (v) to read as follows:
  (V)  THE PROJECTED AMOUNT OF PAYMENTS TO BE MADE TO CHARTER SCHOOLS IN
THE NEXT SCHOOL YEAR.
  S 21. Paragraph a of subdivision 7 of section 1716  of  the  education
law is amended by adding a new subparagraph (v) to read as follows:
  (V)  THE PROJECTED AMOUNT OF PAYMENTS TO BE MADE TO CHARTER SCHOOLS IN
THE NEXT SCHOOL YEAR.
  S 22. Paragraph t of subdivision 1 of section 3602  of  the  education
law is amended by adding a new closing paragraph to read as follows:
  NOTWITHSTANDING  ANY  OTHER  PROVISIONS  OF  LAW  TO  THE CONTRARY, IN
COMPUTING APPROVED OPERATING EXPENSE PURSUANT TO THIS PARAGRAPH FOR CITY
SCHOOL DISTRICTS OF THOSE CITIES HAVING A POPULATION IN  EXCESS  OF  ONE
HUNDRED  TWENTY-FIVE THOUSAND BUT LESS THAN ONE MILLION; AN AMOUNT EQUAL
TO_(I) THE AMOUNT COMPUTED FOR THE SCHOOL DISTRICT FOR THE TWO  THOUSAND
SIX--TWO THOUSAND SEVEN SCHOOL YEAR PURSUANT TO SUBDIVISION THIRTY-SEVEN
OF  THIS SECTION AS THIS SECTION EXISTED ON JUNE THIRTIETH, TWO THOUSAND
SEVEN, (II) THE STATE FUNDS WHICH SUCH  DISTRICT  RECEIVED  IN  THE  TWO
THOUSAND SIX--TWO THOUSAND SEVEN SCHOOL YEAR FOR MAGNET SCHOOL GRANTS TO
PUBLIC  SCHOOLS,  AND (III) THE STATE FUNDS WHICH SUCH DISTRICT RECEIVED
IN THE TWO THOUSAND SIX--TWO THOUSAND  SEVEN  SCHOOL  YEAR  FOR  TEACHER
SUPPORT,  SHALL BE ACCOUNTED FOR IN THE SAME WAY AS STATE FUNDS RECEIVED
FOR SUCH PURPOSE IN THE TWO  THOUSAND  SIX--TWO  THOUSAND  SEVEN  SCHOOL
YEAR.
  S  23. This act shall take effect immediately; provided, however, that
the amendments to subdivision 1 of section 2856  of  the  education  law
made  by section eighteen of this act shall not affect the expiration of
such subdivision and shall expire therewith.

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Senate Bill S6469

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Bill Perkins

Archive: Last Bill Status - In Senate Committee Education Committee

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