North Carolina § 115C-218 - 5. Final approval of applications for charter schools.

§ 115C-218. 5. Final approval of applications for charter schools.

The State Board may grant final approval of an application if it finds the following: The application meets the requirements set out in this Article and such other requirements as may be adopted by the State Board of Education. The applicant has the ability to operate the school and would be likely to operate the school in an educationally and economically sound manner. Granting the application would achieve one or more of the purposes set out in G.S. 115C-218. The State Board shall make final decisions on the approval or denial of applications by August 15 of a calendar year on all applications it receives prior to a date established by the Office of Charter Schools for receipt of applications in that application cycle. The State Board may make the final decision for approval contingent upon the successful completion of a planning period prior to enrollment of students. The State Board of Education may authorize a school before the applicant has secured its space, equipment, facilities, and personnel if the applicant indicates the authority is necessary for it to raise working capital. The State Board shall not allocate any funds to the school until the school has obtained space. The State Board of Education may grant the initial charter for a period not to exceed 10 years. , (f) Repealed by Session Laws 2016-79, s. 1.1, effective June 30, 2016, and applicable beginning with the 2016-2017 school year. In reviewing applications for the establishment of charter schools within a local school administrative unit, the State Board is encouraged to give preference to applications that demonstrate the capability to provide comprehensive learning experiences to students identified by the applicants as at risk of academic failure. History (1995 (Reg. Sess., 1996), c. 731, s. 2; 1997-430, s. 3; 2000-67, s. 8.23; 2001-424, s. 28.26; 2003-354, s. 2; 2004-203, s. 45(a); 2011-164, ss. 1, 2(a), 3; 2013-355, s. 1(d); 2013-359, s. 2; 2014-101, ss. 1.5, 2, 2.5(a), 7; 2015-248, s. 5; 2016-79, s. 1.1.) Virtual Charter School Pilot Program. - Session Laws 2014-100, s. 8.35(a)-(g), as amended by Session Laws 2016-94, s. 8.13(a), and Session Laws 2018-5, s. 7.13, provides: "(a) Notwithstanding G.S. 115C-218.5 or any other provision of law to the contrary, the State Board of Education shall establish a pilot program to authorize the operation of two virtual charter schools serving students in kindergarten through twelfth grade. The State Board shall establish an application process to allow student enrollment in the selected virtual charter schools beginning with the 2015-2016 school year. A virtual charter school participating in the pilot may serve any grade span of students in kindergarten through twelfth grade. The pilot program shall continue for a period of eight school years and shall end with the 2022-2023 school year. "(b) The virtual charter schools participating in the pilot program authorized by this section shall be subject to the statutes and rules applicable to charter schools pursuant to Article 14A of Chapter 115C of the General Statutes, except as follows: "(1) The maximum student enrollment in any participating school shall be no greater than 1,500 in its first year of operation and may increase by twenty percent (20%) for each participating school up to a maximum student enrollment of 2,592 in the fourth year of the pilot. The State Board of Education may waive this maximum student enrollment threshold, beginning in the fourth year of the school's operation, if the State Board determines that doing so would be in the best interest of North Carolina students. "(2) The maximum overall ratio of teachers to students for kindergarten through eighth grade shall be 1:50, and for ninth through twelfth grade shall be 1:150. "(3) A student who regularly fails to participate in courses may be withdrawn from enrollment pursuant to procedures adopted by the virtual charter school. The procedures adopted by the virtual charter school shall ensure that (i) fair notice is provided to the parent and student and (ii) an opportunity is provided, prior to withdrawal of the student by the school, for the student and parent to demonstrate that failure to participate in courses is due to a lawful absence recognized under Part I of Article 26 of Chapter 115C of the General Statutes and any applicable rules adopted by the State Board of Education. "(c) In addition to the operating requirements applicable to a virtual charter school participating in the pilot program pursuant to Article 14A of Chapter 115C of the General Statutes, the following requirements shall apply to a participating virtual charter school: "(1) The school shall maintain an administrative office within North Carolina. In addition, the school shall maintain at least one testing center or meeting place within each of the eight State Board of Education districts where the participating students reside, to allow educators and administrators from the school to meet students and parents. When utilizing the testing center or meeting place for test administration, the school is permitted to do the following: "a. Administer tests to multiple grade levels at the same time and location. "b. Contract with a test administrator who is not employed by the board of directors of the school and meets the following criteria: "1. Holds a valid, North Carolina educator license. "2. Passes a criminal history check as defined in G.S. 115C-332(a)(1) performed by the school. "3. Is trained on test administration in accordance with the North Carolina Testing Program. "(2) If the school contracts with a third party for the provision of administrative staff, such staff fulfilling the equivalent positions of superintendent, principal, or business officer shall be residents of North Carolina. "(3) All teaching staff shall carry the appropriate State certification to instruct any course and shall receive professional development in virtual instruction pursuant to the school's application to the State Board of Education to participate in the pilot program within 30 days of the employee's date of hire. At least eighty percent (80%) of the teaching staff shall reside within North Carolina. "(4) The school shall have a withdrawal rate below twenty-five percent (25%). A student who meets any of the following criteria shall not be counted in measuring the school's withdrawal rate: "a. A student enrolled in a school with the intent expressed prior to enrollment of only being enrolled for a finite period of time within the school year. The school shall keep a written record of a student's stated intent for finite enrollment. "b. A student who is withdrawn from the school pursuant to subdivision (3) of subsection (b) of this section. "c. A student who is no longer qualified under the laws of this State for admission to a public school in North Carolina, including due to the student relocating to another state. "d. A student who (i) withdraws from the school for a family, personal, or medical reason and (ii) notifies the school of the reason for withdrawal. The school shall keep a written record of a student's stated reason for withdrawal under this sub-subdivision. "e. A student who withdraws from the school within the first 30 days following the date of the student's enrollment. "(4a) A count of school attendance shall be taken at least once during each semester for funding purposes. "(5) The school shall ensure that each student is assigned a learning coach. The learning coach shall provide (i) daily support and supervision of students, (ii) ensure student participation in online lessons, and (iii) coordinate teacher-led instructional sessions and State assessments. "(d) Notwithstanding G.S. 115C-218.1 and G.S. 115C-218.5 , a participating virtual charter school that is successful in meeting the requirements of this section and the applicable requirements of Article 14A of Chapter 115C of the General Statutes during the period of the pilot program shall be eligible to be approved by the State Board of Education, at its discretion, without additional application requirements. "(e) The State Board of Education shall provide State funding to a virtual charter school participating in the pilot program as provided in G.S. 115C-218.105(a) and G.S. 115C-218.105(b) . The amount allocated pursuant to G.S. 115C-218.105(a) (1) shall not, however, include the allocation for low-wealth counties supplemental funding and the allocation for small county supplemental funding. Virtual charter schools participating in the pilot program shall also be subject to the requirements in G.S. 115C-218.105(c) through G.S. 115C-218.105(e) . The amount of local funds provided to participating schools pursuant to G.S. 115C-218.105(c) shall be the lesser of seven hundred ninety dollars ($790.00) per pupil or the amount computed in accordance with G.S. 115C-218.105(c). "(f) A participating virtual charter school that does not comply with the provisions of this section may result in deferment or termination of enrollment expansion, or termination of a pilot. Schools are subject to presentation of data to the State Board of Education at the call of the Chair of the State Board with a minimum of 21 days' notice. "(g) The State Board shall report on the initial implementation of the pilot program to the Joint Legislative Education Oversight Committee by November 15, 2016, and on findings from (i) five years of operation of the pilot program by November 15, 2020, and (ii) seven years of operation of the pilot program by November 15, 2022. At a minimum, the reports shall include the following: "(1) The number of students who have enrolled in courses offered by the schools. "(2) The number and type of courses offered by the schools. "(3) The withdrawal rate of students after enrollment. "(4) Student performance and accountability data. "(5) Information on the implementation, administration, and funding for the pilot program. "(6) Recommendations on the modification, continuation, and potential expansion of the program." Two-Year Dropout Prevention and Recovery Pilot Program. - Session Laws 2014-104, s. 2, provides: "The State Board of Education shall establish a two-year Dropout Prevention and Recovery Pilot Program (Pilot Program). The State Board of Education shall select one charter school that has been approved by the State Board under G.S. 115C-238.29D to provide the educational services and programming for the Pilot Program. The purpose of the Pilot Program is to reengage students and increase the graduation rates in North Carolina through an educational program that provides flexible scheduling and a blended learning environment with individualized and self-paced learning options." Session Laws 2014-104, s. 3, provides: "To be eligible to participate in the Pilot Program, the charter school's enrollment shall only include high school students who have (i) dropped out of high school or (ii) transferred from their high school to the charter school. For the purposes of this act, high school shall include ninth through twelfth grades. Transfer decisions shall be made by the student who is 18 years of age or older or the student's parents or guardians. The charter school, its affiliated charter management organization, or its education management organization must be accredited by the Southern Association of Colleges and Schools as an indicator of quality instructional programming. All teachers employed by the charter school participating in the Pilot Program shall be licensed teachers under G.S. 115C-296 ." Session Laws 2014-104, s. 4, provides: "The charter school participating in the Pilot Program shall develop and implement an alternative accountability model that meets the guidelines adopted by the State Board of Education for alternative learning programs under G.S. 115C-12(24) ." Session Laws 2014-104, s. 5, provides: "For the charter school participating in the Pilot Program, the allotments and adjustments shall be made as provided in G.S. 115C-238.29H and shall be adjusted on the basis of the average daily membership in the fifth month of the school year." Session Laws 2014-104, s. 6, provides: "Existing charter schools meeting the criteria as provided in this act may apply to participate in the Pilot Program no later than August 31, 2014. The State Board of Education shall select by September 30, 2014, the participant for the Pilot Program for the 2014-2015 and 2015-2016 school years." Session Laws 2014-104, s. 7, provides: "The State Board of Education shall submit a report to the Joint Legislative Education Oversight Committee by March 15, 2016, on the outcomes of the Dropout Prevention and Recovery Pilot Program, including (i) the number of students who dropped out of high school, enrolled in the program, and completed a high school diploma, (ii) the results of the alternative accountability model, and (iii) the impact on the ADM Contingency Reserve. The report shall also include any recommendations to enhance the effectiveness and the efficiency of the Pilot Program funding and accountability models." Session Laws 2014-104, s. 8, provides: "The Joint Legislative Education Oversight Committee shall report to the 2016 Regular Session of the 2015 General Assembly on necessary legislation to transition the Pilot Program into alternative charter schools serving high school students who have dropped out of high school." Session Laws 2014-104, s. 8.5, provides: "The State Board of Education and the Charter Schools Advisory Board shall jointly report by December 15, 2014, to the General Assembly on the utilization of contracts for personnel services by local boards of education and charter school boards of directors. The report shall indicate both the purposes and the extent of such contracts prevalent in each local school administrative district and charter schools statewide." Session Laws 2014-104, s. 9, provides: "This act is effective when it becomes law. The Pilot Program shall begin with the 2014-2015 school year and shall conclude at the end of the 2015-2016 school year." Editor's Note. - This section is former G.S. 115C-238.29D. It has been renumbered as this section at the direction of the Revisor of Statutes, pursuant to Session Laws 2014-101, s. 7. Session Laws 2001-462, s. 2, provides: "Notwithstanding the time limitation contained in G.S. 135-5.3(b) , the board of directors of any charter school that received State Board of Education approval under G.S. 115C-238.29D on or after January 1, 2001, may elect to become a participating employer in the Teachers' and State Employees' Retirement System in accordance with Article 1 of Chapter 135 of the General Statutes. The election authorized by this section [s. 2 of Session Laws 2001-462] must be made no later than 30 days after the effective date of this Act [Session Laws 2001-462], and in accordance with all other requirements of G.S. 135-5.3 ." Session Laws 2003-69, s. 1, provides: "Notwithstanding the time limitations contained in G.S. 135-5.3(b) and G.S. 135-40.3A(b), the board of directors of any charter school that received State Board of Education approval under G.S. 115C-238.29D on or after January 1, 2002, and the board of directors of River Mill Academy in Alamance County may elect to become a participating employer in the Teachers' and State Employees' Retirement System in accordance with Article 1 of Chapter 135 of the General Statutes and may also elect to become a participating employing unit in the North Carolina Teachers' and State Employees' Comprehensive Major Medical Plan in accordance with Article 3 of Chapter 135 . The elections authorized by this section shall be made no later than 30 days after the effective date of this act and shall be made in accordance with all other requirements of G.S. 135-5.3 and G.S. 135-40.3A." Subsection (d), as amended by Session Laws 2004-203, s. 45(a)m effective August 17, 2004, is applicable to charters granted or renewed on or after that date. These are the same changes as those made by Session Laws 2003-354, s. 2. Session Laws 2013-355, s. 8, provides in part: "Nothing in this act shall be construed to affect pending litigation." Session Laws 2013-359, s. 3, made the amendments to this section (amended subsections (d) through (f)) by Session Laws 2013-359, s. 2, applicable beginning with the 2013-2014 school year. Session Laws 2014-100, s. 1.1, provides: "This act shall be known as 'The Current Operations and Capital Improvements Appropriations Act of 2014.'" Session Laws 2014-100, s. 38.4, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2014-2015 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2014-2015 fiscal year." Session Laws 2014-100, s. 38.7, is a severability clause. Session Laws 2014-101, s. 2.5(b), provided for the September 1, 2015, expiration of subdivision (f)(4) of this section. Subdivision (f)(4) was added by Session Laws 2014-101, s. 2.5(a). Session Laws 2014-101, s. 8, provides, in part: "Except as otherwise provided, this act is effective when it becomes law [August 6, 2014] and applies beginning with the 2014-2015 school year." Session Laws 2015-248, s. 9(a), provides: "By January 15, 2016, upon written recommendations made by the Charter Schools Advisory Board (Advisory Board), the State Board of Education shall amend the process and rules for replication of high-quality charter schools established in North Carolina State Board of Education Policy TCS-U-016 (Fast Track Replication of High Quality Charter Schools) to authorize consideration for fast-track replication of a charter application from a board of directors of a North Carolina nonprofit corporation who agrees to contract with an education management organization or charter management organization currently operating a charter school or schools in the State for at least a year, regardless of whether the board of directors has previously operated a charter school within the State. The State Board of Education shall report to the Joint Legislative Education Oversight Committee by February 15, 2016, on the amendment to the process and rules for charter school replication as required by this section." Session Laws 2015-248, s. 9(c), provides: "By January 15, 2016, upon written recommendations made by the Advisory Board, the State Board of Education shall adopt a policy on the process for determining whether a school is in substantial compliance as required under G.S. 115C-218.5(d)(3) , (e), and (f) as amended by this act. The State Board of Education shall report to the Joint Legislative Education Oversight Committee by February 15, 2016, on the adoption of the policies required by this section." Session Laws 2016-79, s. 4, made the amendments to this section by Session Laws 2016-79, s. 1.1, applicable beginning with the 2016-2017 school year. Session Laws 2016-94, s. 1.2, provides: "This act shall be known as the 'Current Operations and Capital Improvements Appropriations Act of 2016.'" Session Laws 2016-94, s. 39.4, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2016-2017 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2016-2017 fiscal year." Session Laws 2016-94, s. 39.7, is a severability clause. Session Laws 2018-5, s. 1.1, provides: "This act shall be known as the 'Current Operations Appropriations Act of 2018.'" Session Laws 2018-5, s. 39.4, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2018-2019 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2018-2019 fiscal year." Session Laws 2018-5, s. 39.7, is a severability clause. Effect of Amendments. - Session Laws 2011-164, ss. 1, 2(a), and 3, effective July 1, 2011, substituted "The State Board may grant" for "The State Board shall grant" in the first sentence of subsection (a); repealed subsection (b), which limited the number of charter schools in a local school administrative unit and statewide; and twice substituted "twenty percent (20%)" for "ten percent (10%)" in the third paragraph of subsection (d). Session Laws 2013-355, s. 1(d), effective July 25, 2013, in subsection (a), inserted the clause (i) and (iii) designators and added clause (ii), substituted "and such other requirements as may be" for "or" in clause (i), substituted "January" for "March" and "a date established by the Office of Charter Schools for receipt of applications in the prior calendar year" for "February 15 of that calendar year" in the second sentence, and added the last sentence; substituted "all of the following" for "that" in the third paragraph of subsection (d); deleted subdivision (d)(3) which read: "The board of education of the local school administrative unit in which the charter school is located has had an opportunity to be heard by the State Board of Education on any adverse impact the proposed growth would have on the unit's ability to provide a sound basic education to its students"; and made minor stylistic changes. Session Laws 2013-359, s. 2, effective July 26, 2013, redesignated the former last two paragraphs of subsection (d) as present subsection (e); in subsection (e), deleted the former first sentence, which read: "It shall not be considered a material revision of a charter application and shall not require the prior approval of the State Board for a charter school to increase its enrollment during the charter school's second year of operation and annually thereafter (i) by up to twenty percent (20%) of the school's previous year's enrollment or (ii) in accordance with planned growth as authorized in the charter" and in the present first sentence, substituted "Except as provided in subsection (f) of this section" for "Other" and "finds all of the following" for "finds that"; added subsection (f); and made minor stylistic changes. For applicability, see Editor's note. Session Laws 2014-101, ss. 1.5, 2, 4, effective August 6, 2014, in subsection (a), added "the following" to the introductory paragraph; substituted designations (a)(1)-(3) for (a)(i)-(iii) and made minor, associated stylistic and punctuation changes, and deleted the first sentence in the undesignated paragraph; added subsection (a1) (now subsection (b)); rewrote the introductory paragraph of subsection (d) and added subdivisions (d)(1)-(3); and added subdivision (f)(4). For expiration date of subdivision (f)(4), see Editor's note. See Editor's note for applicability. Session Laws 2015-248, s. 5, effective September 23, 2015, and applicable beginning with the 2015-2016 school year, substituted "G.S. 115C-218" for "G.S. 115C-269.1" in subdivision (a)(3); in subsection (d), substituted "shall" for "may" and "years, unless" for "years each. The renewal may be for less than 10 years if any"; substituted "not, at the time of the request for renewal of the charter, substantially" for "not" in subdivision (d)(3); and rewrote subdivisions (e)(5) and (f)(3). Session Laws 2016-79, s. 1.1, effective June 30, 2016, deleted the last two sentences in subsection (d), including subdivisions (1)-(3), pertaining to subsequent 10-year renewals of charters; and deleted subsections (e) and (f), pertaining to material revisions of charter applications. See editor's note for applicability. Legal Periodicals. - For 1997 legislative survey, see 20 Campbell L. Rev. 437 (1998).