PRINTER'S NO. 331
No. 324 Session of 1999
INTRODUCED BY GERLACH, ARMSTRONG, SALVATORE, MOWERY AND TOMLINSON, FEBRUARY 4, 1999
REFERRED TO EDUCATION, FEBRUARY 4, 1999
AN ACT 1 Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An 2 act relating to the public school system, including certain 3 provisions applicable as well to private and parochial 4 schools; amending, revising, consolidating and changing the 5 laws relating thereto," providing for a pilot project; 6 authorizing students in certain school districts to attend 7 the public schools selected by their parents; providing for 8 tuition grants; creating the Office of Educational 9 Opportunity and the School Choice Exploratory Commission; 10 further providing for payments on account of transportation; 11 and making an appropriation. 12 The General Assembly of the Commonwealth of Pennsylvania 13 hereby enacts as follows: 14 Section 1. The act of March 10, 1949 (P.L.30, No.14), known 15 as the Public School Code of 1949, is amended by adding an 16 article to read: 17 ARTICLE XIII-B. 18 SCHOOL CHOICE. 19 Section 1301-B. Short Title of Article.-- This article shall 20 be known and may be cited as the "Pennsylvania School Choice 21 Act." 22 Section 1302-B. Definitions.--As used in this article,
1 "Commission" shall mean the School Choice Exploratory 2 Commission. 3 "Department" shall mean the Department of Education of the 4 Commonwealth. 5 "Eligible student" shall mean a school-age resident of this 6 Commonwealth who attends or is about to attend a kindergarten or 7 an elementary or secondary school within this Commonwealth on a 8 tuition-paying basis and whose parents received taxable income, 9 as defined in section 63 of the Internal Revenue Code of 1986 10 (Public Law 99-514, 26 U.S.C. § 1 et seq.) or the corresponding 11 provision of any successor statute thereto, during the calendar 12 year preceding the beginning of the school year for which a 13 grant is sought under this article, which did not exceed 14 seventy-five thousand dollars ($75,000). For each school year 15 thereafter during the period prescribed in subsection (b) of 16 section 1307-B, the taxable income limit shall be adjusted by 17 the commission to reflect any percentage change in the Consumer 18 Price Index calculated by the United States Department of Labor. 19 "Office" shall mean the Office of Educational Opportunity in 20 the Department of Education. 21 "Parent" shall mean a resident of this Commonwealth who is a 22 parent of an eligible student or a person standing in loco 23 parentis to an eligible student. 24 "School" shall mean any public or nonpublic elementary or 25 secondary school wherein a resident of this Commonwealth may 26 fulfill the compulsory school attendance requirements of this 27 act, and which does not discriminate on the basis of race in its 28 admissions or other educational policies. The term also includes 29 a kindergarten program operated by a school. 30 "Selected districts" shall mean districts participating under 19990S0324B0331 - 2 -
1 subsection (a) of section 1307-B and whose students, residing 2 therein, are eligible to participate in the pilot project 3 pursuant to this article. 4 Section 1303-B. Educational Choice.--The General Assembly 5 finds that many disadvantaged school-age residents of this 6 Commonwealth enjoy comparatively fewer educational opportunities 7 or options than other counterparts of greater economic means. In 8 addition, the General Assembly finds it appropriate to review 9 and consider the lifting of limitations and restrictions on 10 their ability to select the educational settings best suited to 11 their needs. In order to assist in equalizing educational 12 opportunities for its citizens, to better prepare its citizens 13 to compete for employment opportunities and to foster 14 development of a more capable and better-educated work force for 15 Commonwealth employers, the General Assembly hereby creates a 16 pilot project to explore the enhancement of educational choice 17 in this Commonwealth. 18 Section 1304-B. School Choice Exploratory Commission.--(a) 19 The General Assembly hereby establishes the School Choice 20 Exploratory Commission. The commission shall consist of thirteen 21 (13) members, appointed by the Governor, composed of the 22 following: 23 (1) The Secretary of Education. 24 (2) The chairman of the Education Committee of the Senate. 25 (3) The minority chairman of the Education Committee of the 26 Senate. 27 (4) The chairman of the Education Committee of the House of 28 Representatives. 29 (5) The minority chairman of the Education Committee of the 30 House of Representatives. 19990S0324B0331 - 3 -
1 (6) A representative of the Pennsylvania School Board 2 Association. 3 (7) A representative of the Pennsylvania State Education 4 Association. 5 (8) A representative of the Pennsylvania Catholic 6 Conference. 7 (9) A representative of the State System of Higher 8 Education. 9 (10) A representative of the Pennsylvania Association of 10 Colleges and Universities. 11 (11) A representative of the Reach Alliance. 12 (12) A representative of the Pennsylvania Parent Teachers 13 Association. 14 (13) A representative of a nonparochial private school 15 association. 16 (b) The members shall annually elect, by a majority vote of 17 the members, a chairperson and a vice chairperson of the 18 commission. 19 (c) Seven (7) members shall constitute a quorum for the 20 transaction of any business, and the act by the majority of the 21 members present at any meeting in which there is a quorum shall 22 be deemed to be the act of the commission. 23 Section 1305-B. Meetings of the Commission.--(a) All 24 meetings of the commission shall be advertised and conducted 25 pursuant to the act of July 3, 1986 (P.L.388, No.84), known as 26 the "Sunshine Act," unless otherwise provided in this section. 27 (b) The commission shall meet at least once every two (2) 28 months, and may provide for special meetings as it deems 29 necessary. Meeting dates shall be set by a majority vote of the 30 members of the commission or by the call of the chairperson upon 19990S0324B0331 - 4 -
1 seven (7) days' notice to all commission members. 2 (c) All meetings of the commission shall be publicly 3 advertised, as provided for in this subsection, and shall be 4 open to the public, except that the commission, through its 5 bylaws, may provide for executive sessions of the commission on 6 subjects permitted to be discussed in such sessions under the 7 Sunshine Act. No act of the commission shall be taken in an 8 executive session. 9 (d) The commission shall publish a schedule of its meetings 10 in the Pennsylvania Bulletin and in at least four (4) newspapers 11 in general circulation in this Commonwealth. The notice shall be 12 published at least once in each calendar quarter and shall list 13 the schedule of meetings of the commission to be held in the 14 subsequent calendar quarter. The notice shall specify the date, 15 time and place of the meeting and shall state that the 16 commission's meetings are open to the general public, except 17 that notice under this subsection shall not be required for 18 executive sessions of the commission. 19 (e) All action taken by the commission shall be taken in 20 open public session, and action of the commission shall not be 21 taken except upon the affirmative vote of a majority of the 22 members of the commission present during meetings at which a 23 quorum is present. 24 (f) The commission shall adopt bylaws, not inconsistent with 25 this article, and may appoint such committees or elect such 26 officers as it deems advisable. 27 (g) The members of the commission shall not receive a salary 28 or per diem allowance for serving as members of the commission 29 but shall be reimbursed for actual and necessary expenses 30 incurred in the performance of their duties. Reimbursement may 19990S0324B0331 - 5 -
1 include travel and living expenses while engaged in commission 2 business. 3 Section 1306-B. Powers and Duties.--(a) The commission 4 shall have the power to: 5 (1) Create a pilot project authorizing students to attend 6 schools selected by their parents. 7 (2) Oversee the selection of participating school districts 8 in the pilot project. 9 (3) Monitor implementation and progress of the pilot 10 project. 11 (4) Collect and assimilate pertinent data on the feasibility 12 of a Statewide school choice program. 13 (5) Report its findings, conclusions and recommendations to 14 the Governor and General Assembly upon completion of the pilot 15 project on the feasibility of a Statewide school choice program. 16 (6) Employ an executive director, legal counsel, 17 investigators and other staff necessary to comply with the 18 provisions of this article and regulations promulgated 19 thereunder, and to engage professional consultants, as it deems 20 necessary to perform its duties. 21 (7) Fix the compensation of all employees and prescribe 22 their duties. 23 (8) Make and execute contracts and other instruments, 24 including those for purchase of services and purchase or leasing 25 of equipment and supplies, necessary or convenient to the 26 exercise of the powers of the commission. 27 (9) Conduct examinations, investigations and audits. 28 (10) Hear testimony and take proof, under oath or 29 affirmation, at public or private hearings, on any matter 30 necessary to its duties. 19990S0324B0331 - 6 -
1 (11) Do all things necessary to carry out its duties under 2 the provisions of this article. 3 (b) The commission may, in a manner provided by law, 4 promulgate rules and regulations necessary to carry out its 5 duties under this article. 6 Section 1307-B. Pilot Project.--(a) (1) The following 7 school districts shall participate in a pilot project for school 8 choice for a four-year period: 9 (i) Philadelphia. 10 (ii) Chester - Upland. 11 (iii) Aliquippa. 12 (iv) Duquesne. 13 (v) Harrisburg. 14 (vi) Reading. 15 (vii) Wilkensburg. 16 (2) The commission shall establish criteria for and select 17 such other suburban and rural school districts, not to exceed a 18 total of four, as it deems appropriate to participate in the 19 pilot project. 20 (b) The commission shall monitor the project in 21 participating school districts for a period of four (4) school 22 years and collect pertinent information and data on the 23 educational and fiscal feasibility and effectiveness of the 24 school choice pilot project. No grants, as provided in section 25 1310-B, shall be awarded following completion of the pilot 26 project, except as provided in subsection (d). 27 (c) The commission shall provide a public comment and review 28 process, based upon the experience and impact of the four-year 29 pilot project in the participating districts, formulate 30 conclusions and issue a report with recommendations to the 19990S0324B0331 - 7 -
1 Governor and the General Assembly by December 31 of the year 2 following completion of the project. 3 (d) Upon completion and issuance of the report to the 4 Governor and the General Assembly, the pilot project may be 5 retained or expanded only upon act of the General Assembly. 6 Section 1308-B. School Selection.--(a) In accordance with 7 and pursuant to section 1307-B, every public school student in 8 the participating school districts shall be permitted to attend 9 a public school selected by the student's parents or guardians, 10 unless: 11 (1) the school selected has no additional attendance slots 12 available and the district so notifies the department and the 13 student within time limitations to be adopted by the office; or 14 (2) the student's attendance would place either the 15 receiving school district or the selected district in violation 16 of a valid and binding desegregation order. Nothing in this 17 section shall preclude a school district from establishing 18 additional academic criteria for admission to any magnet school 19 within the district. 20 (b) No later than April 1 of each year of the pilot project, 21 the parent or parents having legal responsibility for a school- 22 age student attending or about to attend a public school shall 23 designate the public school which that student shall attend 24 during the succeeding school year, together with up to two 25 alternative choices of schools. If a designation is not timely 26 made or if the designation cannot be honored, the participating 27 district shall determine the school to which the student shall 28 be assigned within the district. 29 Section 1309-B. Office of Educational Opportunity.--There is 30 hereby established within the department the Office of 19990S0324B0331 - 8 -
1 Educational Opportunity, which shall administer the pilot 2 project in accordance with and pursuant to sections 1308-B and 3 1310-B. The office shall fully cooperate with and be advised by 4 the commission. 5 Section 1310-B. Grant Awards.--The office shall, for the 6 period of the pilot project, award grants to parents of eligible 7 students according to the following terms and conditions: 8 (1) Grants shall be made only for use for the payment of 9 tuition at a public or nonprofit nonpublic school within this 10 Commonwealth. 11 (2) For the first year of the pilot project, the grant shall 12 be the lesser of seven hundred dollars ($700) for children in 13 kindergarten through grade eight (8) and one thousand dollars 14 ($1,000) for children in grades nine (9) through twelve (12), or 15 an amount equal to ninety percent (90%) of the actual amount of 16 tuition paid or to be paid by the parent for a program of 17 kindergarten or basic education for an eligible student. For 18 each school year subsequent to the first year of the pilot 19 project, the maximum amount of the grant under this section 20 shall be increased by a percentage factor equal to the 21 percentage increase in the State appropriation for the equalized 22 subsidy for basic education, as defined under Article XXV. 23 (3) Prior to making any grant, the office shall require a 24 parent of each eligible student to make application for the 25 grant and to submit the verified statement of the educational 26 institution or school district which will provide the 27 educational program for which the grant is sought, attesting to 28 the enrollment by the student in the school involved and to the 29 amount of the tuition for the program. 30 (4) The office shall establish reasonable deadline dates for 19990S0324B0331 - 9 -
1 submission of applications for grants and shall make the grants 2 no later than fifteen (15) days prior to the beginning of the 3 school year for which the grant will be utilized. 4 (5) Grants shall be made in the form of certificates 5 delivered to the parents and shall be used solely for the 6 purpose of paying tuition at the educational institution or 7 school district designated in the grant application as the 8 school of choice. 9 (6) Within fifteen (15) days after the beginning of the 10 basic kindergarten or education program, the educational 11 institution or school district shall confirm in writing to the 12 office that the student for whom the grant has been made is in 13 attendance at the school of choice. The school or school 14 district, or the designated agent of either, may then present 15 the grant certificate to the office for redemption. 16 Section 1311-B. Subsidy Credit; Tuition; Balance.--(a) In 17 addition to the grant awarded to an eligible public school 18 student attending a public school outside his selected district, 19 an amount equal to the greater of the per pupil equalized 20 subsidy for basic education, as defined in Article XXV, in the 21 student's selected district or of the receiving district shall 22 be credited toward the tuition charged to that student by the 23 receiving district. Should the grant plus the subsidy credit 24 exceed the receiving district's tuition charge, the grant shall 25 be reduced by the amount in excess of the tuition charge. Should 26 the grant plus the subsidy credit not be sufficient to meet the 27 full amount of the receiving district's tuition charge, an 28 amount equal to ten percent (10%) of the balance of the charge 29 still remaining shall be payable by the eligible child's parents 30 and, when paid, shall be treated, along with the grant and the 19990S0324B0331 - 10 -
1 subsidy credit, as payment in full of the receiving district's 2 tuition charge. In the case of a child who is ineligible for a 3 grant by reason of the income limitation on eligibility, only 4 the subsidy credit authorized by this subsection shall be 5 credited toward the receiving district's tuition charge, and the 6 balance of the tuition charge shall be payable by the child's 7 parents. 8 (b) The Commonwealth shall pay to each school district which 9 accepts a nonresident student on a tuition basis an amount equal 10 to the greater of the per pupil equalized subsidy for basic 11 education, as defined in Article XXV, of the selected district 12 or of the receiving district. No student attending a public 13 school outside of the selected district shall be included in the 14 average daily membership for purposes of determining the 15 equalized subsidy for basic education in either the receiving 16 district or the selected district. 17 (c) During the period of the pilot project, the Commonwealth 18 shall also pay an additional five hundred dollars ($500) per 19 year to any participating district eligible for small district 20 assistance under section 2502.13 on account of any eligible 21 student who transfers from the participating district to a 22 nonpublic school, so long as that student continues to reside in 23 the district and continues to attend a nonpublic school. 24 Section 1312-B. Available Attendance Slots.--Each school 25 district, within a certain geographical radius of participating 26 districts as set by the office, shall determine the number of 27 available attendance slots at each of its schools and report 28 that number to the office each year by a date to be established 29 by the office. In determining the number of attendance slots 30 available each such school district shall make provision for the 19990S0324B0331 - 11 -
1 accommodation of any resident of the district who desires to 2 attend a public school in the district and, after making 3 provision for the attendance of resident students, shall 4 thereafter give first preference to nonresident students who 5 were in attendance in the district's schools during the school 6 year immediately preceding the school year for which the 7 availability of slots is being determined. Should any attendance 8 slots thereafter remain available, the slots shall be allocated 9 by the district on a random basis to all qualified applicants 10 who have made timely application for the attendance slots 11 pursuant to this article. 12 Section 1313-B. Regulatory Authority.--The State Board of 13 Education, upon approval of the office and the commission, shall 14 by regulation prescribe such further procedures as are needed 15 for the establishment and operation of the pilot project, for 16 subsidy credits and payments authorized in this article, and for 17 assisting school districts in developing and disseminating 18 public information concerning the choice program. Nothing in 19 this section shall be construed to empower the Commonwealth, or 20 any of its agencies or officers or subdivisions, to impose on 21 any school any additional requirements which are not otherwise 22 authorized under the laws of this Commonwealth. 23 Section 1314-B. Apportionment of Funds.--In the event that, 24 in the fiscal year beginning July 1, 1999, or any fiscal year 25 thereafter during the period of the pilot project, the funds 26 appropriated for purposes of the project authorized by this 27 article shall be insufficient to award grants in the total 28 amount for which applications are made, the office shall award 29 such grants in amounts which shall reflect the relative 30 proportions of eligible students and available funds. 19990S0324B0331 - 12 -
1 Section 1315-B. Tax Treatment.--No grant awarded under this 2 article shall be considered income to the recipient for State 3 income tax purposes. 4 Section 1316-B. Audit.--Each nonpublic school which accepts 5 students who have received educational opportunity grants shall 6 cause an annual audit of its financial records to be prepared by 7 an independent auditor in accordance with generally accepted 8 accounting procedures and shall make the audit available upon 9 request for inspection by the parents of students who attend the 10 school or who are applying for admission to the school. 11 Section 1317-B. Mandatory Enrollment.--A nonpublic school 12 may not be compelled or required to permit students enrolled in 13 the school to accept educational opportunity grants. 14 Section 2. Section 2509.3 of the act, amended April 27, 1998 15 (P.L.270, No.46), is amended to read: 16 Section 2509.3. Payments on Account of Transportation of 17 Nonpublic and Public School Pupils.--Each school district, 18 regardless of classification, shall be paid by the Commonwealth 19 the sum of thirty-five dollars ($35) for each nonpublic school 20 pupil transported in the school year 1978-1979 through the 21 school year 1983-1984. For the school year 1984-1985 through the 22 school year 1989-1990, each school district shall be paid the 23 sum of seventy dollars ($70) for each nonpublic school pupil 24 transported. For the school years 1990-1991 and 1991-1992, each 25 school district shall be paid the sum of one hundred twenty-four 26 dollars ($124) for each nonpublic school pupil transported. For 27 the school year 1992-1993 and the 1993-1994 school year, each 28 school district shall be paid the sum of one hundred fifty-nine 29 dollars ($159) for each nonpublic school pupil transported. For 30 the school year 1994-1995 through the school year 1996-1997, 19990S0324B0331 - 13 -
1 each school district shall be paid the sum of two hundred 2 dollars ($200) for each nonpublic school pupil transported. For 3 the school year 1997-1998 and each school year thereafter, each 4 school district shall be paid the sum of two hundred eighty-five 5 dollars ($285) for each nonpublic school pupil transported and 6 for each public school pupil transported to a public school 7 outside the district under Article XIII-B. 8 Section 3. (a) The sum of $300,000, or as much thereof as 9 may be necessary, is hereby appropriated to the Department of 10 Education to establish and operate the Office of Educational 11 Opportunity. 12 (b) The sum of $300,000, or as much thereof as may be 13 necessary, is hereby appropriated to the Department of Education 14 to establish and operate the School Choice Exploratory 15 Commission. 16 Section 4. Except for those provisions establishing the 17 School Choice Exploratory Commission and the Office of 18 Educational Opportunity and providing for the adoption of 19 regulations and other standards necessary for the administration 20 of Article XIII-B of the act which shall apply immediately, 21 Article XIII-B of the act shall apply to all school years or 22 programs commencing after August 15, 1999. 23 Section 5. In the event that a constitutional amendment is 24 not approved, authorizing private vouchers for use by students 25 in nonpublic schools, this act shall apply only to public 26 schools. 27 Section 6. This act shall take effect immediately. A25L24JS/19990S0324B0331 - 14 -