HF 3484

as introduced - 93rd Legislature (2023 - 2024) Posted on 02/13/2024 04:33pm

A bill for an act
relating to education; modifying charter school provisions; amending Minnesota
Statutes 2022, sections 124E.01, subdivision 1; 124E.05, subdivisions 2, 5; 124E.07;
124E.10, subdivision 4; 124E.12, subdivision 2; 124E.14; 124E.17; Minnesota
Statutes 2023 Supplement, sections 124E.02; 124E.05, subdivision 4; 124E.11.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2022, section 124E.01, subdivision 1, is amended to read:

Subdivision 1.

new text begin Goal and new text end purposes.

The deleted text begin primary purpose deleted text end new text begin goal new text end of deleted text begin charter deleted text end new text begin mission-driven
chartered public new text end schools is to improve deleted text begin all pupil deleted text end new text begin the new text end learning deleted text begin and all student deleted text end new text begin , new text end achievement new text begin ,
and success of students new text end . deleted text begin Additional purposes include to deleted text end new text begin The purposes of chartered public
schools are to new text end :

(1) increase new text begin quality new text end learning opportunities for all deleted text begin pupils deleted text end new text begin students new text end ;

(2) encourage the use of different and innovative teaching methods;

(3) measure learning outcomes and create different and innovative forms of measuring
outcomes;

(4) establish new forms of accountability for schools; or

(5) create new professional opportunities for teachers, including the opportunity to be
responsible for the learning program at the school site.

new text begin A chartered public school must identify the purposes it will address in the charter contract
and document the implementation of those purposes in the school's annual report.
Documentation of the implementation of those purposes shall be a component of the
authorizer's performance review of the school.
new text end

Sec. 2.

Minnesota Statutes 2023 Supplement, section 124E.02, is amended to read:

124E.02 DEFINITIONS.

(a) For purposes of this chapter, the terms defined in this section have the meanings
given them.

(b) "Affidavit" means a written statement the authorizer submits to the commissioner
for approval to establish a charter school under section 124E.06, subdivision 4, attesting to
its review and approval process before chartering a school.

(c) "Affiliate" means a person that directly or indirectly, through one or more
intermediaries, controls, is controlled by, or is under common control with another person.

(d) "Charter management organization" or "CMO" means any nonprofit or for-profit
entity that contracts with a charter school board of directors to provide, manage, or oversee
all or substantially all of a school's education program or a school's administrative, financial,
business, or operational functions.

(e) "Control" means the ability to affect the management, operations, or policy actions
or decisions of a person, whether by owning voting securities, by contract, or otherwise.

(f) "Educational management organization" or "EMO" means a nonprofit or for-profit
entity that provides, manages or oversees all or substantially all of the education program,
or the school's administrative, financial, business, or operational functions.

(g) "Immediate family" means deleted text begin an individual whose deleted text end new text begin any new text end relationship by blood, marriage,
adoption, or partnership deleted text begin is no more remote than first cousin deleted text end new text begin of spouses, parents, grandparents,
siblings, children, aunts, uncles, grandchildren, nieces, and nephews new text end .

(h) "Market need and demand study" means a study that includes the following for the
proposed locations of the school or additional site:

(1) current and projected demographic information;

(2) student enrollment patterns;

(3) information on existing schools and types of educational programs currently available;

(4) characteristics of proposed students and families;

(5) availability of properly zoned and classified facilities; and

(6) quantification of existing demand for the school or site.

(i) "Person" means an individual or entity of any kind.

(j) "Related party" means an affiliate or immediate relative of the other interested party,
an affiliate of an immediate relative who is the other interested party, or an immediate
relative of an affiliate who is the other interested party.

(k) For purposes of this chapter, the terms defined in section 120A.05 have the same
meanings.

Sec. 3.

Minnesota Statutes 2022, section 124E.05, subdivision 2, is amended to read:

Subd. 2.

new text begin Roles, responsibilities, and new text end requirements deleted text begin for deleted text end new text begin of new text end authorizers.

deleted text begin The authorizer
must participate in department-approved training. deleted text end new text begin (a) The role of an authorizer is to ensure
that the schools it authorizes have the autonomy to which the school is entitled, fulfills the
purposes of a chartered public school, and is accountable to the agreed upon terms of the
charter school contract in order to safeguard quality educational opportunities for students
and maintain public trust and confidence.
new text end

new text begin (b) An authorizer has the following responsibilities:
new text end

new text begin (1) to review applications and make ready-to-open determinations for new schools,
including grade and site expansions and transfers of current schools, and to determine
whether to approve or deny an application based on the authorizer's approved criteria;
new text end

new text begin (2) to negotiate and execute the performance charter contracts with the schools it
authorizes;
new text end

new text begin (3) to conduct ongoing monitoring, oversight, and evaluation of the school's academic,
operational, and financial performance commensurate with the school's circumstances during
the term of the charter contract;
new text end

new text begin (4) to evaluate the academic, operational, and financial performance of the school as
defined in the charter contract prior to the end of the contract to determine the renewal,
nonrenewal, or termination of the contract; and
new text end

new text begin (5) to comply with authorizer requirements in chapter 124E.
new text end

new text begin (c) The commissioner shall not require an authorizer to undertake any role or
responsibility beyond those in statute or the charter contract, or perform any function which
the department or other government agency exercises in relation to a public school, school
board, or school district.
new text end

new text begin (d) The authorizer shall document in the annual income and expenditure report under
subdivision 8 or the authorizer annual report under section 124E.16, subdivision 2, paragraph
(b), the annual successful completion of training of its staff members during the previous
year relative to chartering and an authorizer's role or responsibilities.
new text end

Sec. 4.

Minnesota Statutes 2023 Supplement, section 124E.05, subdivision 4, is amended
to read:

Subd. 4.

Application content.

(a) To be approved as an authorizer, an applicant must
include in its application to the commissioner at least the following:

(1) how the organization carries out its mission by chartering schools;

(2) a description of the capacity of the organization to serve as an authorizer, including
the positions allocated to authorizing duties, the qualifications for those positions, the
full-time equivalencies of those positions, and the financial resources available to fund the
positions;

(3) the application and review process the authorizer uses to decide whether to grant
charters;

(4) the type of contract it arranges with the schools it charters to meet the provisions of
section 124E.10;

(5) the process for overseeing the school, consistent with clause (4), to ensure that the
schools chartered comply with applicable law and rules and the contract;

(6) the criteria and process the authorizer uses to approve applications adding grades or
sites under section 124E.06, subdivision 5; new text begin and
new text end

(7) the process for renewing or terminating the school's charter based on evidence
showing the academic, organizational, and financial competency of the school, including
its success in increasing student achievement and meeting the goals of the charter school
agreement deleted text begin ; and deleted text end new text begin .
new text end

deleted text begin (8) an assurance specifying that the organization is committed to serving as an authorizer
until the commissioner terminates the organization's ability to authorize charter schools
under subdivision 6 or the organization formally withdraws as an approved authorizer under
subdivision 7.
deleted text end

(b) Notwithstanding paragraph (a), an authorizer that is a school district may satisfy the
requirements of paragraph (a), clauses (1) and (2), and any requirement governing a conflict
of interest between an authorizer and its charter schools or ongoing evaluation or continuing
education of an administrator or other professional support staff by submitting to the
commissioner a written promise to comply with the requirements.

Sec. 5.

Minnesota Statutes 2022, section 124E.05, subdivision 5, is amended to read:

Subd. 5.

Review by commissioner.

(a) The commissioner shall review an authorizer's
performance every five years in a manner and form determined by the commissioner, subject
to paragraphs (b) and (c), and may review an authorizer's performance more frequently at
the commissioner's own initiative or at the request of a charter school deleted text begin operator deleted text end new text begin lead
administrator new text end , charter school board deleted text begin member deleted text end new text begin of directors new text end , or other interested party. The
commissioner, after completing the review, shall transmit a report with findings to the
authorizer new text begin and the schools authorized by the authorizer new text end .

(b) Consistent with this subdivision, the commissioner must:

deleted text begin (1) use criteria appropriate to the authorizer and the schools it charters to review the
authorizer's performance; and
deleted text end

deleted text begin (2) consult with authorizers, charter school operators, and other charter school
stakeholders in developing review criteria under this paragraph.
deleted text end

deleted text begin (c) The commissioner's form must use existing department data on the authorizer to
minimize duplicate reporting to the extent practicable. When reviewing an authorizer's
performance under this subdivision, the commissioner must not:
deleted text end

deleted text begin (1) fail to credit;
deleted text end

deleted text begin (2) withhold points; or
deleted text end

deleted text begin (3) otherwise penalize an authorizer for failing to charter additional schools or for the
absence of complaints against the authorizer's current portfolio of charter schools.
deleted text end

new text begin (1) develop the criteria and process of the performance review system in consultation
with authorizers, school administrators, charter school boards of directors, and other charter
school stakeholders;
new text end

new text begin (2) publish the authorizer performance review criteria and process at least 12 months
before any change or process takes effect;
new text end

new text begin (3) base the performance review system on and limit it to the authorizer's role and
responsibilities in sections 124E.05, subdivision 2, and 124E.10;
new text end

new text begin (4) evaluate the authorizer's performance on adherence and implementation of the
authorizer's policies, procedures, and processes that are subject to section 124E.05,
subdivision 5, paragraph (b), and must include input from the authorizer, charter school
administrators, and charter school boards of directors; and
new text end

new text begin (5) develop and maintain a portfolio of all reports and data submitted to the department
since the last review to minimize any duplicative submissions and reporting of information
for the review.
new text end

new text begin (c) Consistent with this subdivision the commissioner must not:
new text end

new text begin (1) penalize in any way an authorizer for not chartering additional schools or the absence
of complaints against an authorizer or an authorizer's portfolio of schools; or
new text end

new text begin (2) penalize an authorizer for not undertaking any role or responsibilities beyond those
defined in the authorizer's approved policies, procedures or processes, the charter contract,
or this section.
new text end

Sec. 6.

Minnesota Statutes 2022, section 124E.07, is amended to read:

124E.07 BOARD OF DIRECTORS.

Subdivision 1.

Initial board of directors.

Before entering into a contract or other
agreement for professional or other services, goods, or facilities, the operators authorized
to organize and operate a school must establish a board of directors composed of at least
five members deleted text begin who are not related parties deleted text end . new text begin The initial board members must not be related
parties. new text end The initial board continues to serve until a timely election for members of the
ongoing charter school board of directors is held according to the school's articles and
bylaws under subdivision 4. new text begin The initial board of directors and school developers must
comply with the training requirements in subdivision 7 upon the incorporation of the school.
new text end

Subd. 2.

Ongoing board of directors.

deleted text begin The ongoing board must be elected before the
school completes its third year of operation. deleted text end new text begin The ongoing board must begin the transition
to the ongoing board structure by the end of the first year of operation and complete the
transition by the end of the second year of operation. The terms of board members shall
begin on July 1. Terms shall be no less than two years. The bylaws shall set the number of
terms an individual may serve on the board and as an officer of the board. new text end Board elections
must be held during the school year but may not be conducted on days when the school is
closed.

Subd. 3.

Membership criteria.

(a) The ongoing charter school board of directors shall
have at least five deleted text begin nonrelated deleted text end members deleted text begin and include: deleted text end new text begin . The board members must not be related.
The ongoing board shall include: new text end (1) at least one licensed teacher deleted text begin who is employed as a
teacher at the school or provides instruction under contract between the charter school and
a cooperative deleted text end new text begin . A teacher is an individual who holds a valid teaching license issued by the
Professional Educator Licensing and Standards Board (PELSB), is employed by the school
or contracted between the charter school or a teacher cooperative for at least 720 hours in
a school calendar year, serves as a teacher of record, and provides instruction to students
in the areas for which they are approved by PELSB; or a PELSB licensed school psychologist,
social worker, librarian, pathologist, nurse, or counselor who provides the services for
students for which they are licensed. An individual who serves in an administrative or
supervisory capacity for more than 240 hours in a school calendar year is not eligible to
serve on the board of directors new text end ; (2) at least one parent or legal guardian of a student enrolled
in the charter school who is not an employee of the charter school; and (3) at least one
interested community member who resides in Minnesota, is not employed by the charter
school, and does not have a child enrolled in the school. new text begin The board structure must be defined
in the bylaws. new text end The board structure may deleted text begin include deleted text end new text begin (i) be new text end a majority of teachers under this
paragraph deleted text begin or deleted text end new text begin , (ii) be a majority of new text end parents deleted text begin or deleted text end new text begin , (iii) be a majority of new text end community members, or
deleted text begin it may deleted text end new text begin (iv) new text end have no clear majority. The deleted text begin chief financial officer and the deleted text end chief administrator
may only serve as new text begin an new text end ex-officio nonvoting board deleted text begin members deleted text end new text begin member new text end . No charter school
employees shall serve on the board other than teachers under clause (1). Contractors providing
facilities, goods, or services to a charter school shall not serve on the board of directors of
the charter school.

(b) An individual is prohibited from serving as a member of the charter school board of
directors if: (1) the individual, an immediate family member, or the individual's partner is
a full or part owner or principal with a for-profit or nonprofit entity or independent contractor
with whom the charter school contracts, directly or indirectly, for professional services,
goods, or facilities; or (2) an immediate family member is an employee of the school. An
individual may serve as a member of the board of directors if no conflict of interest exists
under this paragraph, consistent with this section. new text begin An individual is prohibited from serving
on more than one charter school board at the same time in either an elected or ex-officio
capacity.
new text end

(c) A violation of paragraph (b) renders a contract voidable at the option of the
commissioner or the charter school board of directors. A member of a charter school board
of directors who violates paragraph (b) is individually liable to the charter school for any
damage caused by the violation.

(d) Any employee, agent, or board member of the authorizer who participates in initially
reviewing, approving, overseeing, evaluating, renewing, or not renewing the charter school
is ineligible to serve on the board of directors of a school chartered by that authorizer.

Subd. 4.

Board structure.

Board bylaws shall outline the process and procedures for
changing the board's governance structure, consistent with chapter 317A. A board may
change its governance structure only:

(1) by a majority vote of the board of directors deleted text begin and a majority vote of the licensed teachers
employed by the school as teachers, including licensed teachers providing instruction under
a contract between the school and a cooperative deleted text end ; deleted text begin and
deleted text end

new text begin (2) by a majority vote of the licensed teachers employed by the school as teachers who
provide instruction to students, including licensed teachers providing instruction under a
contract between the school and a cooperative; and
new text end

deleted text begin (2) deleted text end new text begin (3) new text end with the authorizer's approval.

Any change in board governance structure must conform with the board composition
established under this section.

Subd. 5.

deleted text begin Eligible voters deleted text end new text begin Board elections new text end .

new text begin (a) new text end Staff members employed at the school,
including teachers providing instruction under a contract with a cooperative, members of
the board of directors, and all parents or legal guardians of children enrolled in the school
are the voters eligible to elect the members of the school's board of directors. deleted text begin A charter
school must notify eligible voters of the school board election dates at least 30 days before
the election.
deleted text end

new text begin (b) The board of directors must establish and publish election policies and procedures
on the school's website.
new text end

new text begin (c) The board of directors must notify eligible voters of the school board election dates
and voting procedures at least 30 calendar days before the election and post this information
on the school's website.
new text end

new text begin (d) The board of directors must notify eligible voters of the candidates' names,
biographies, and candidate statements at least ten calendar days before the election and post
this information on the school's website.
new text end

Subd. 6.

Duties.

new text begin (a) new text end The board of directors also shall decide and is responsible for new text begin all
decision making on new text end policy matters related to operating the school, including budgeting,
curriculum programming, personnel, and operating procedures. deleted text begin The board shall adopt a
nepotism policy. deleted text end The board deleted text begin shall deleted text end new text begin must new text end adopt personnel evaluation policies and practices
that, at a minimum:

(1) carry out the school's mission and goals;

(2) evaluate how charter contract goals and commitments are executed;

(3) evaluate student achievement, postsecondary and workforce readiness, and student
engagement and connection goals;

(4) establish a teacher evaluation process under section 124E.03, subdivision 2, paragraph
(h); and

(5) provide professional development related to the individual's job responsibilities.

new text begin (b) The board must adopt a nepotism policy that prohibits the employment of immediate
family members of a board member, a school employee, or a teacher who provides instruction
under a contract between the charter school and a cooperative. The board may waive this
policy if: (1) the position is publicly posted for 20 business days; and (2) a two-thirds
majority of the board of directors vote to approve the hiring. A board member, school
employee, or teacher under contract with a cooperative must not be involved in an interview,
selection process, hiring, supervision, or evaluation of an employee who is an immediate
family member of a board member.
new text end

Subd. 7.

Training.

deleted text begin Every charter school board member shall attend annual training
throughout the member's term. All new board members shall attend initial training on the
board's role and responsibilities, employment policies and practices, and financial
management. A new board member who does not begin the required initial training within
six months after being seated and complete that training within 12 months after being seated
is automatically ineligible to continue to serve as a board member. The school shall include
in its annual report the training each board member attended during the previous year.
deleted text end

new text begin (a) Every charter school board member and nonvoting ex-officio member shall attend
board training.
new text end

new text begin (b) Prior to beginning their term, a new board member must complete training on a
charter school board's role and responsibilities, open meeting law, and data practices law.
An ex-officio member must complete this training within three months of starting
employment at the school.
new text end

new text begin (c) A new board member must complete training on employment policies and practices
under chapter 181; public school funding and financial management; and the board's roles
and responsibilities regarding student success, achievement, and performance within 12
months of being seated on the board or the individual is automatically ineligible to continue
to serve as a board member. A board member who does not complete training within the
12-month period is ineligible to be elected or appointed to a charter school board for a period
of 18 months.
new text end

new text begin (d) Every charter school board member must complete annual training throughout the
member's term based on an annual assessment of the training needs of individual members
and the full board. Ongoing training includes but is not limited to: budgeting, financial
management, recruiting and hiring a charter school director, evaluating a charter school
director, governance-management relationships, student support services, student fair
dismissal, state standards, cultural diversity, succession planning, strategic planning, program
oversight and evaluation, compensation systems, human resources policies, effective parent
and community relationships, authorizer contract and relationships, charter school law, legal
liability, board recruitment and elections, board meetings and operations, policy development
and review, and school health and safety.
new text end

new text begin (e) The organization or person providing training under paragraphs (b), (c), and (d) must
certify the individual's completion of the training provided.
new text end

new text begin (f) The charter school is responsible for covering the costs related to board training. The
charter school must include in its annual report the training each board member completed
during the previous year.
new text end

new text begin (g) The board must ensure that an annual assessment of the board's performance is
conducted and the results are reported in the school's annual report.
new text end

Subd. 8.

Meetings and information.

(a) Board of director meetings must comply with
chapter 13D governing open meetings.

(b) A charter school shall publish and maintain on the school's official website: (1) the
meeting minutes of the board of directors and of members and committees having
board-delegated authority, for at least 365 days from the date of publication; (2) directory
information for the board of directors and for the members of committees having
board-delegated authority; and (3) identifying and contact information for the school's
authorizer.

(c) A charter school must include identifying and contact information for the school's
authorizer in other school materials it makes available to the public.

Sec. 7.

Minnesota Statutes 2022, section 124E.10, subdivision 4, is amended to read:

Subd. 4.

Causes for nonrenewal or termination of charter school contract.

(a) The
duration of the contract with an authorizer must be for the term contained in the contract
according to subdivision 1, paragraph (a). The authorizer may or may not renew a contract
at the end of the term for any ground listed in paragraph (b). An authorizer may unilaterally
terminate a contract during the term of the contract for any ground listed in paragraph (b).
At least 60 business days before not renewing or terminating a contract, the authorizer shall
notify the board of directors of the charter school of the proposed action in writing. The
notice shall state the grounds for the proposed action in reasonable detail and describe the
informal hearing process, consistent with this paragraph. The charter school's board of
directors may request in writing an informal hearing before the authorizer within 15 business
days after receiving notice of nonrenewal or termination of the contract. Failure by the board
of directors to make a written request for an informal hearing within the 15-business-day
period shall be treated as acquiescence to the proposed action. Upon receiving a timely
written request for a hearing, the authorizer shall give ten business days' notice to the charter
school's board of directors of the hearing date. new text begin The hearing shall be recorded by audio
recording, video recording, or a court reporter. The recording shall be preserved for three
years and shall be made available to the public. new text end The authorizer shall conduct an informal
hearing before taking final action. The authorizer shall take final action to renew or not
renew a contract no later than 20 business days before the proposed date for terminating
the contract or the end date of the contract.

(b) An authorizer may terminate or not renew a contract upon any of the following
grounds:

(1) failure to demonstrate satisfactory academic achievement for all students, including
the requirements for pupil performance contained in the contract;

(2) failure to meet generally accepted standards of fiscal management;

(3) violations of law; or

(4) other good cause shown.

If the authorizer terminates or does not renew a contract under this paragraph, the school
must be dissolved according to the applicable provisions of chapter 317A.

(c) The commissioner, after providing reasonable notice to the board of directors of a
charter school and the existing authorizer, and after providing an opportunity for a public
hearing, may terminate the existing contract between the authorizer and the charter school
board if the charter school has a history of:

(1) failure to meet pupil performance requirements, consistent with state law;

(2) financial mismanagement or failure to meet generally accepted standards of fiscal
management; or

(3) repeated or major violations of the law.

Sec. 8.

Minnesota Statutes 2023 Supplement, section 124E.11, is amended to read:

124E.11 ADMISSION REQUIREMENTS AND ENROLLMENT.

(a) A charter school, including its preschool or prekindergarten program established
under section 124E.06, subdivision 3, paragraph (b), may limit admission to:

(1) pupils within an age group or grade level;

(2) pupils who are eligible to participate in the graduation incentives program under
section 124D.68; or

(3) residents of a specific geographic area in which the school is located when the
majority of students served by the school are members of underserved populations.

(b) A charter school, including its preschool or prekindergarten program established
under section 124E.06, subdivision 3, paragraph (b), must enroll an eligible pupil who
submits a timely application, unless the number of applications exceeds the capacity of a
program, class, grade level, or building. In this case, pupils must be accepted by lot. The
charter school must develop and publish, including on its website, a lottery policy and
process that it must use when accepting pupils by lot.

(c) Admission to a charter school must be free to any eligible pupil who resides within
the state. A charter school must give enrollment preference to a Minnesota resident pupil
over pupils that do not reside in Minnesota. A charter school must require a pupil who does
not reside in Minnesota to annually apply to enroll in accordance with paragraphs (a) to (f).
A charter school must give enrollment preference to a sibling of an enrolled pupil and to a
foster child of that pupil's parents and may give preference for enrolling children of the
school's staff before accepting other pupils by lot. new text begin A staff member eligible for an enrollment
preference for their children is an individual employed by the school for at least 480 hours
in a school calendar year. new text end A charter school that is located in Duluth township in St. Louis
County and admits students in kindergarten through grade 6 must give enrollment preference
to students residing within a five-mile radius of the school and to the siblings of enrolled
children.

(d) A person may not be admitted to a charter school: (1) as a kindergarten pupil, unless
the pupil is at least five years of age on September 1 of the calendar year in which the school
year for which the pupil seeks admission commences; or (2) as a first grade student, unless
the pupil is at least six years of age on September 1 of the calendar year in which the school
year for which the pupil seeks admission commences or has completed kindergarten; except
that a charter school may establish and publish on its website a policy for admission of
selected pupils at an earlier age, consistent with the enrollment process in paragraphs (b)
and (c).

(e) Except as permitted in paragraphs (d) and (i), a charter school, including its preschool
or prekindergarten program established under section 124E.06, subdivision 3, paragraph
(b), may not limit admission to pupils on the basis of intellectual ability, measures of
achievement or aptitude, or athletic ability and may not establish any criteria or requirements
for admission that are inconsistent with this section.

(f) The charter school new text begin or any agent of the school new text end must not distribute any services or
goods new text begin , payments, or other incentives new text end of value to students, parents, or guardians as an
inducement, term, or condition of enrolling a student in a charter school.

(g) Once a student who resides in Minnesota is enrolled in the school in kindergarten
through grade 12, or in the school's free preschool or prekindergarten program under section
124E.06, subdivision 3, paragraph (b), the student is considered enrolled in the school until
the student formally withdraws new text begin , the school receives a request for the transfer of educational
records from another school or a written election by the parent or legal guardian of the
student withdrawing the student, new text end or new text begin the student new text end is expelled under the Pupil Fair Dismissal
Act in sections 121A.40 to 121A.56.

(h) A charter school with at least 90 percent of enrolled students who are eligible for
special education services and have a primary disability of deaf or hard-of-hearing may
enroll prekindergarten pupils with a disability under section 126C.05, subdivision 1,
paragraph (a), and must comply with the federal Individuals with Disabilities Education
Act under Code of Federal Regulations, title 34, section 300.324, subsection (2), clause
(iv).

(i) A charter school serving at least 90 percent of enrolled students who are eligible for
special education services and have a primary disability of deaf, deafblind, or hard-of-hearing
may give enrollment preference to students who are eligible for special education services
and have a primary disability of deaf, deafblind, or hard-of-hearing. The charter school may
not limit admission based on the student's eligibility for additional special education services.

Sec. 9.

Minnesota Statutes 2022, section 124E.12, subdivision 2, is amended to read:

Subd. 2.

Administrators.

deleted text begin (a) A person, without holding a valid administrator's license,
may perform administrative, supervisory, or instructional leadership duties. The board of
directors shall establish qualifications for all persons who hold administrative, supervisory,
or instructional leadership roles. The qualifications shall cover at least: instruction and
assessment; human resource and personnel management; financial management; legal and
compliance management; effective communication; and board, authorizer, and community
relationships. The board of directors shall use those qualifications as the basis for job
descriptions, hiring, and performance evaluations of those who hold administrative,
supervisory, or instructional leadership roles.
deleted text end

deleted text begin (b) The board of directors and an individual who does not hold a valid administrative
license and who serves in an administrative, supervisory, or instructional leadership position
shall develop a professional development plan. The school's annual report must include
public personnel information documenting the professional development plan.
deleted text end

new text begin (a) A charter school board of directors must establish qualifications for all persons who
hold administrative, academic supervision, or instructional leadership positions. The
qualifications must include a requirement that a person hold a minimum of a four-year
degree from an accredited institution. Other qualifications for these positions shall include,
as appropriate for the specific position: instruction and assessment, curriculum design,
human resource and personnel management, professional ethics, child development, financial
management, legal and compliance management, special education oversight, contract
management, effective communication, cultural competency, board and authorizer
relationships, parent relationships, and community partnerships. A charter school board of
directors must use those qualifications as the basis for the job description, hiring, and
performance evaluation of the charter school director. The charter school director must use
those qualifications as the basis for the job descriptions, hiring, and performance reviews
for the administrative staff, academic program supervisors, and instructional leaders who
report to the charter school director.
new text end

new text begin (b) A person who does not hold a valid administrator's license may perform
administrative, academic supervision, or instructional leadership duties. A person without
a valid administrator's license must complete a minimum of 25 hours annually of
competency-based training corresponding to the individual's annual professional development
needs and plan approved by the charter school board of directors. Training includes but is
not limited to: instruction and curriculum; state standards; teacher and staff hiring,
development, support, and evaluation; social-emotional learning; data collection and usage;
assessment methodologies; use of technology for learning and management; charter school
law and requirements; code of professional ethics; financial management and state accounting
requirements; grant management; legal and compliance management; special education
management; health and safety laws; restorative justice; cultural competencies; effective
communication; parent relationships; board and management relationships; community
partnerships; charter contract and authorizer relationships; and public accountability.
new text end

new text begin (c) A person serving as a new charter school director with a valid administrator's license
must complete a minimum of ten hours of competency-based training during the first year
of employment on the following: charter school law and requirements, board and management
relationships, and charter contract and authorizer relationships.
new text end

new text begin (d) The training a person must complete under paragraphs (b) and (c) may not be
self-instructional. The organization or instructor providing the training must certify
completion of the training. The person must submit the certification of completion of training
to the charter school board of directors and certifications must be maintained in the personnel
file. Completing required training must be a component of annual performance evaluations.
new text end

new text begin (e) All professional development training completed by the school director in the previous
academic year must be documented in the charter school's annual report.
new text end

new text begin (f) No charter school administrator may serve as a paid administrator or consultant with
another charter school without the knowledge and a two-thirds vote of approval of the boards
of directors of the charter schools involved in such an arrangement. The boards of directors
involved in such arrangements must send notice of this arrangement to authorizers upon
approval by the boards.
new text end

new text begin (g) No charter school administrator may serve on the board of directors of another charter
school.
new text end

Sec. 10.

Minnesota Statutes 2022, section 124E.14, is amended to read:

124E.14 CONFLICTS OF INTEREST.

(a) No member of the board of directors, employee, officer, or agent of a charter school
shall participate in selecting, awarding, or administering a contract if a conflict of interest
exists. A conflict exists when:

(1) the board member, employee, officer, or agent;

(2) the immediate family of the board member, employee, officer, or agent;

(3) the partner of the board member, employee, officer, or agent; or

(4) an organization that employs, or is about to employ any individual in clauses (1) to
(3),

has a financial or other interest in the entity with which the charter school is contracting. A
violation of this prohibition renders the contract void.

(b) The conflict of interest provisions under this section do not apply to compensation
paid to a teacher employed as a teacher by the charter school or a teacher who provides
instructional services to the charter school through a cooperative formed under chapter
308A when the teacher also serves on the charter school board of directors.

(c) A charter school board member, employee, or officer is a local official for purposes
of section 471.895 with regard to receipt of gifts as defined under section 10A.071,
subdivision 1, paragraph (b). A board member, employee, or officer must not receive
compensation from a group health insurance provider.

new text begin (d) No charter school employee or board member may serve on the board or
decision-making committee of the school's authorizer. An employee or school board member
must disclose to the school board of directors any paid compensation they receive from the
school's authorizer.
new text end

Sec. 11.

Minnesota Statutes 2022, section 124E.17, is amended to read:

124E.17 DISSEMINATION OF INFORMATION.

Subdivision 1.

Charter school information.

(a) Charter schools must disseminate
information about deleted text begin how to use the charter school offerings to targeted groups, among others.
Targeted groups include low-income families and communities, students of color, and
students who are at risk of academic failure. deleted text end new text begin the school's offerings and enrollment procedures
to families that reflect the diversity of Minnesota's population and targeted groups. Targeted
groups include low-income families and communities, students of color, students at risk of
academic failure, and students underrepresented in the school's student body relative to
Minnesota's population. The school must document its dissemination activities in the school's
annual report and be a component of the authorizer's performance review of the school.
new text end

(b) Authorizers and the commissioner must disseminate information to the public on
how to form and operate a charter school. Authorizers, operators, and the commissioner
also may disseminate information to interested stakeholders about the successful best
practices in teaching and learning demonstrated by charter schools.

Subd. 2.

Financial information.

Upon request of an individual, the charter school must
make available in a timely fashion financial statements showing all operations and
transactions affecting the school's income, surplus, and deficit during the last annual
accounting period; and a balance sheet summarizing assets and liabilities on the closing
date of the accounting period. deleted text begin A charter school also must include that same information
about its authorizer in other school materials that it makes available to the public.
deleted text end