PRINTER'S NO. 3480
No. 2514 Session of 2000
INTRODUCED BY BISHOP, MYERS, M. COHEN, PESCI, WATERS, CURRY,
YOUNGBLOOD, WILLIAMS, MANDERINO AND THOMAS, MAY 3, 2000
REFERRED TO COMMITTEE ON EDUCATION, MAY 3, 2000
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," further providing for distress in
6 first class school districts.
7 The General Assembly of the Commonwealth of Pennsylvania
8 hereby enacts as follows:
9 Section 1. Section 696 of the act of March 10, 1949 (P.L.30,
10 No.14), known as the Public School Code of 1949, amended or
11 added April 27, 1998 (P.L.270, No.46) and December 21, 1998
12 (P.L.1194, No.154), is amended to read:
13 Section 696. Distress in School Districts of the First
14 Class.--(a) The Secretary of Education shall appoint a chief
15 executive officer to oversee and manage a school district within
16 fifteen (15) days after appointment of a School Reform Advisory
17 Committee under subsection (a.1). The chief executive officer
18 shall serve at the pleasure of the Secretary of Education.
19 (a.1) Upon a declaration by the Secretary of Education that
20 a school district of the first class is distressed under section
1 691(c) [to oversee and manage the school district. The chief
2 executive officer shall serve at the pleasure of the Secretary
3 of Education.], a Local Education Advisory Committee shall be
4 appointed. The committee shall be comprised of fifteen members
5 who are residents of the school district and represent a broad
6 cross-section of local constituencies and concerns. Ten members
7 shall be appointed by the mayor of the city served by the school
8 district: four of whom must be parents or guardians of children
9 enrolled in a school in the school district; two of whom must be
10 basic and/or secondary education professionals; one of whom must
11 be a representative of the local business community; and one of
12 whom must be a representative of local higher educational
13 institutions. One member shall be appointed by the Majority
14 Leader of the Senate. One member shall be appointed by the
15 Minority Leader of the Senate. One member shall be appointed by
16 the Majority Leader of the House of Representatives. One member
17 shall be appointed by the Minority Leader of the House of
18 Representatives. All members shall serve at the pleasure of the
19 appointing authority and the committee will exist as long as the
20 School Reform Commission remains in effect. The committee shall
21 meet regularly with the chief executive officer and the School
22 Reform Commission to provide local perspectives and make
23 recommendations to be considered in oversight, management and
24 policy decisions.
25 (b) The chief executive officer and the School Reform
26 Commission shall assume control of the affairs of the district.
27 Except as provided in this section, the chief executive officer
28 shall assume the powers and duties of the superintendent and the
29 board of school directors until termination of the period of
30 distress under subsection (n).
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1 (c) Upon the appointment of the chief executive officer, the
2 superintendent shall be suspended or dismissed, and the powers
3 and duties of the board of school directors shall be suspended.
4 (d) Within fifteen (15) days of [a declaration by the
5 Secretary of Education that a school district of the first class
6 is distressed] appointment of the committee under [section
7 691(c)] subsection (a.1), a five-member School Reform Commission
8 shall be established. Members shall serve at the pleasure of the
9 appointing authority. The School Reform Commission shall consist
10 of the following:
11 (1) Three members appointed by the Governor, at least two of
12 whom shall be residents of the school district.
13 (2) One member appointed by the mayor who shall be a
14 resident of the school district. In the event the mayor fails to
15 appoint the member to the commission within fifteen (15) days of
16 the date the Secretary of Education declared the district to be
17 distressed, the Governor shall appoint the remaining member.
18 (3) The Secretary of Education, who shall serve as chairman,
19 or his designee.
20 (e) The School Reform Commission shall advise and assist the
21 chief executive officer regarding the operation, management and
22 educational program of the school district. The powers and
23 duties granted heretofore to the board of school directors of a
24 school district of the first class under this act or any other
25 law regarding the authority to levy taxes and incur debt shall
26 be vested in the School Reform Commission until the Secretary of
27 Education issues a declaration under subsection (n).
28 (f) The commission members shall be reimbursed for expenses
29 incurred in the performance of their official duties from funds
30 of the Department of Education.
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1 (g) Actions of the School Reform Commission shall be by
2 majority vote. Three members shall constitute a quorum.
3 (h) The chief executive officer and the School Reform
4 Commission shall direct financial matters related to the
5 distressed school district of the first class and:
6 (1) All taxes authorized to be levied by a school district
7 of the first class or for a school district of the first class
8 by a city or county of the first class on the date of the
9 declaration of distress shall continue to be authorized and
10 levied in accordance with this act and shall be transmitted to
11 the school district. For the first fiscal year or part thereof
12 and every fiscal year thereafter in which the school district is
13 declared to be distressed, the amount appropriated or paid by
14 the city or county to the school district shall be in an amount
15 not less than the highest amount paid by the city or county to
16 the school district during any of the three full preceding
17 fiscal years. In addition, the city of the first class shall
18 provide to the school district of the first class all other
19 available local non-tax revenue, including grants, subsidies or
20 payments made during the prior year.
21 (2) In addition to the moneys collected under paragraph (1),
22 the city of the first class shall remit to the school district
23 of the first class for each year that the school district is
24 declared distressed that portion of all other local tax revenue
25 levied for a full fiscal year by a city or county of the first
26 class coterminous with a school district of the first class that
27 was allocated to the school district prior to the school
28 district being declared distressed in accordance with section
29 691(c).
30 (3) All taxes collected on behalf of a school district of
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1 the first class by any person or entity, including a city or
2 county of the first class, shall be promptly paid following
3 collection to the chief executive officer for the benefit of the
4 school district.
5 (4) In the event the city or county of the first class does
6 not meet the financial obligations prescribed in this
7 subsection, the Commonwealth may apply to that obligation any
8 amounts otherwise due from the Commonwealth to the city or
9 county of the first class, including, but not limited to,
10 grants, awards and moneys collected by the Commonwealth on
11 behalf of the city or county of the first class. Funds withheld
12 shall be maintained in a separate account by the State Treasurer
13 to be disbursed as determined by the Secretary of Education in
14 consultation with the State Treasurer.
15 (5) The chief executive officer shall develop and adopt a
16 budget with the assistance of the School Reform Commission.
17 (i) In addition to all powers granted to the superintendent
18 by law and a special board of control under section 693 and
19 notwithstanding any other law to the contrary, the chief
20 executive officer shall have the following powers:
21 (1) To appoint such persons and other entities as needed to
22 conduct fiscal and performance audits and other necessary
23 analyses.
24 (2) Except as otherwise provided for in this section, to
25 approve the establishment of a charter school or the conversion
26 of an existing school to a charter school pursuant to the
27 provisions of Article XVII-A.
28 (i) A school district building converted to a charter school
29 or a charter school otherwise approved under this section shall
30 not be subject to sections 1717-A(b), (c), (d), (e), (f) and
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1 (g), 1722-A(c) and 1724-A.
2 (ii) The chief executive officer may suspend or revoke a
3 charter pursuant to section 1729-A.
4 (3) To suspend the requirements of this act and regulations
5 of the State Board of Education except that the school district
6 shall remain subject to those provisions of this act and
7 regulations set forth in section 1732-A(a), (b) and (c).
8 (4) To employ professional and senior management employes
9 who do not hold State certification if the School Reform
10 Commission has approved the qualifications of the person at a
11 salary established by the commission.
12 (5) To enter into contracts with for-profit or nonprofit
13 entities for the purpose of operating schools or providing
14 educational or other services to or for the school district.
15 (6) Notwithstanding any other provisions of this act, to
16 close or reconstitute a school, including the reassignment,
17 suspension or dismissal of professional employes.
18 (7) To suspend professional employes without regard to the
19 provisions of section 1125.1.
20 (8) To appoint managers or management teams to oversee the
21 operations of a school or group of schools within the school
22 district.
23 (9) To reallocate resources, amend school procedures,
24 develop achievement plans and implement testing or other
25 evaluation procedures for educational purposes.
26 (10) To supervise and direct principals, teachers and
27 administrators.
28 (11) To negotiate any memoranda of understanding under the
29 collective bargaining agreement in existence on the effective
30 date of this section.
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1 (12) To negotiate a new collective bargaining agreement.
2 (j) The board of school directors of the distressed school
3 district of the first class shall continue in office for the
4 remainder of their terms during the time the district is
5 operated by the chief executive officer and the commission
6 unless removed for neglect of duty under section 318 by the
7 court of common pleas or unless the director is elected to
8 another position not compatible with the position of school
9 director or is appointed to a position for which there is a
10 requirement that the appointee shall hold no elective office.
11 The board of school directors shall perform any duties delegated
12 to it by the commission. The assumption of control by the chief
13 executive officer and the School Reform Commission shall not
14 interfere with the regular selection of school directors for the
15 school district of the first class.
16 (k) Collective bargaining between employes and the school
17 district of the first class shall be conducted in accordance
18 with this subsection.
19 (1) Whether or not a declaration of distress has been made
20 under section 691(c), a collective bargaining agreement in
21 effect on the effective date of this section shall not be
22 extended and shall have no force or effect beyond the existing
23 term of the contract, notwithstanding any other law to the
24 contrary.
25 (2) No distressed school district of the first class shall
26 be required to engage in collective bargaining negotiations or
27 enter into memoranda of understanding or other agreements
28 regarding any of the following issues:
29 (i) Contracts with third parties for the provision of goods
30 or services, including educational services or the potential
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1 impact of such contracts on employes.
2 (ii) Decisions related to reductions in force.
3 (iii) Staffing patterns and assignments, class schedules,
4 academic calendar, places of instruction, pupil assessment and
5 teacher preparation time.
6 (iv) The use, continuation or expansion of programs
7 designated by the chief executive officer as pilot or
8 experimental programs.
9 (v) The approval or designation of a school as a charter or
10 magnet school.
11 (vi) The use of technology to provide instructional or other
12 services.
13 (3) A collective bargaining agreement for professional
14 employes entered into after the expiration of the agreement in
15 effect on the date of the declaration of distress shall provide
16 for the following:
17 (i) A school day for professional employes that is equal to
18 or exceeds the State average as determined by the department. An
19 extension of the school day resulting from this requirement
20 shall be used exclusively for instructional time for students.
21 (ii) The number of instructional days shall be equal to or
22 exceed the State average number of instructional days.
23 (iii) The chief executive officer and the commission shall
24 not increase compensation for employes solely to fulfill the
25 requirements under subparagraphs (i) and (ii).
26 (4) A provision in any contract in effect on the date of the
27 declaration of distress under this subsection that is in
28 conflict with this subsection shall be discontinued in any new
29 or renewed contract.
30 (5) Nothing in this subsection shall eliminate, supersede or
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1 preempt any provision of an existing collective bargaining
2 agreement until the expiration of the agreement unless otherwise
3 authorized by law.
4 (6) If upon the termination of a collective bargaining
5 agreement in effect on the date of the declaration of distress
6 under this section a new collective bargaining agreement has not
7 been ratified, the Secretary of Education shall establish a
8 personnel salary schedule to be used until a new agreement is
9 ratified.
10 (l) During the time the school district of the first class
11 is under the direction of the chief executive officer, all
12 school employes shall be prohibited from engaging in any strike
13 as defined in Article XI-A and section 301 of the act of July
14 23, 1970 (P.L.563, No.195), known as the "Public Employe
15 Relations Act." The Secretary of Education may suspend the
16 certificate of an employe who violates this subsection.
17 (m) If a vacancy occurs in the position of chief executive
18 officer, the Secretary of Education may implement a temporary
19 transfer of all powers and duties of the chief executive officer
20 to the School Reform Commission until a new chief executive
21 officer is appointed.
22 (n) The Secretary of Education, upon the recommendation of
23 the chief executive officer and with the concurrence of a
24 majority of the School Reform Commission, may issue a
25 declaration to dissolve the commission and terminate the
26 services of the chief executive officer. The dissolution
27 declaration shall be effective ninety (90) days after issuance
28 by the Secretary of Education.
29 (o) The provisions of this section are severable. If any
30 provision of this section or its application to any person or
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1 circumstance is held invalid, the invalidity shall not affect
2 the remaining provisions or applications.
3 Section 2. This act shall take effect in 60 days.
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