00 SENATE CS FOR CS FOR HOUSE BILL NO. 278(FIN) 01 "An Act relating to the exemption from jury service for certain teachers; relating to the 02 powers of the Department of Education and Early Development; relating to high school 03 course credit earned through assessment; relating to school performance reports; 04 relating to assessments and accountability standards; providing for funding for Internet 05 services; relating to the secondary school competency examination and related 06 requirements; relating to charter schools and student transportation; establishing a 07 grant program to be administered by the Association of Alaska School Boards for the 08 purchase of student equipment and technology services; establishing a public school 09 grant program for innovative approaches to learning; relating to correspondence study 10 programs, funding, and student allotments; relating to residential school applications; 11 increasing the stipend for boarding school students; relating to school construction bond 12 debt reimbursement; relating to the local contribution to public school funding; relating 01 to funding of and reporting by Alaska technical and vocational education programs; 02 relating to earning high school credit for completion of vocational education courses 03 offered by institutions receiving technical and vocational education program funding; 04 relating to schools operated by a federal agency; relating to education tax credits; 05 establishing an optional municipal tax exemption for privately owned real property 06 rented or leased for use as a charter school; requiring the Legislative Budget and Audit 07 Committee to provide for studies on the school size factor and the school district cost 08 factor for public education funding and for a study on school staff salary and benefits; 09 requiring the Department of Education and Early Development to report to the 10 legislature on school design and construction; establishing a pilot project for public 11 middle schools; and providing for an effective date." 12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 13  * Section 1. AS 09.20.030(b) is amended to read: 14 (b) A person may claim exemption and shall be excused by the court from 15 service as a juror during the school term if it is shown that the person is a teacher in a 16 school that is designated as a low performing school under regulations adopted by  17 the state Board of Education and Early Development [FAILING TO MAKE 18 ADEQUATE YEARLY PROGRESS UNDER P.L. 107-110]. In this subsection, 19 "teacher" means a person who serves a school district in a teaching capacity in a 20 classroom setting and is required to be certificated in order to hold the position. 21  * Sec. 2. AS 14.03 is amended by adding a new section to read: 22 Sec. 14.03.073. Course credit earned through mastery of course content.  23 (a) A school district shall provide a high school student with the opportunity to earn 24 credit for a course offered in the school in mathematics, language arts, science, social 25 studies, and world languages, if the student proves mastery of the course content 26 through a district-approved assessment. Course credit earned under this subsection 27 must meet district and statewide requirements for graduation and course credit 01 requirements of the Alaska performance scholarship program under AS 14.43.810 - 02 14.43.849. 03 (b) The board shall adopt regulations implementing this section. 04  * Sec. 3. AS 14.03.075 is repealed and reenacted to read: 05 Sec. 14.03.075. College and career readiness assessment. (a) A school may 06 not issue a secondary school diploma to a student unless the student takes a college 07 and career readiness assessment or receives a waiver from the governing body. 08 (b) A school shall award a certificate of achievement to a student who fails to 09 qualify for a diploma under (a) of this section by the end of the student's final semester 10 of attendance but who has met all other graduation requirements of the governing 11 body and the state. 12 (c) The department shall provide funding for the fee for a single 13 administration of a college and career readiness assessment for each secondary student 14 within two years of the student's expected graduation. 15 (d) In this section, "college and career readiness assessment" means the SAT, 16 ACT, or WorkKeys assessment. 17  * Sec. 4. AS 14.03.078 is amended to read: 18 Sec. 14.03.078. Report. The department shall provide to the legislature by 19 February 15 of each year by electronic means an annual report regarding the progress 20 of each school and school district toward high academic performance by all students. 21 The report required under this section must include 22 (1) information described under AS 14.03.120(d); 23 (2) [THE NUMBER AND PERCENTAGE OF STUDENTS IN 24 EACH SCHOOL WHO PASS THE EXAMINATION REQUIRED UNDER 25 AS 14.03.075, AND THE NUMBER WHO PASS EACH SECTION OF THE 26 EXAMINATION; 27 (3)] progress of the department 28 (A) toward implementing the school accountability provisions 29 of AS 14.03.123; and 30 (B) in assisting high schools to become accredited; 31 (3) [(4)] a description of the resources provided to each school and 01 school district for coordinated school improvement activities and staff training in each 02 school and school district; 03 (4) [(5)] each school district's and each school's progress in aligning 04 curriculum with state education performance standards; 05 (5) [(6)] a description of the efforts by the department to assist a public 06 school or district that receives a low performance designation under AS 14.03.123  07 [OF DEFICIENT OR IN CRISIS]; 08 (6) [(7)] a description of intervention efforts by each school district 09 and school for students who are not meeting state performance standards; and  10 (7) [(8)] the number and percentage of turnover in certificated 11 personnel and superintendents [; 12 (9) THE NUMBER OF TEACHERS BY DISTRICT AND BY 13 SCHOOL WHO ARE TEACHING OUTSIDE THE TEACHER'S AREA OF 14 ENDORSEMENT BUT IN AREAS TESTED BY THE HIGH SCHOOL 15 COMPETENCY EXAMINATION]. 16  * Sec. 5. AS 14.03.120(d) is amended to read: 17 (d) Annually, before the date set by the district under (e) of this section, each 18 public school shall deliver to the department for posting on the department's Internet 19 website and provide, in a public meeting of parents, students, and community 20 members, a report on the school's performance and the performance of the school's 21 students. The report shall be prepared on a form prescribed by the department and 22 must include 23 (1) information on accreditation; 24 (2) results of norm-referenced achievement tests; 25 (3) results of state standards-based assessments in language arts 26 [READING, WRITING,] and mathematics; 27 (4) a description, including quantitative and qualitative measures, of 28 student, parent, community, and business involvement in student learning; 29 (5) a description of the school's attendance, retention, dropout, and 30 graduation rates [, INCLUDING THE NUMBER AND PERCENTAGE OF 31 STUDENTS WHO RECEIVED A DIPLOMA UNDER A WAIVER FROM THE 01 COMPETENCY EXAMINATION REQUIRED UNDER AS 14.03.075(a),] as 02 specified by the state board; 03 (6) the annual percent of enrollment change, regardless of reason, and 04 the annual percent of enrollment change due to student transfers into and out of the 05 school district; 06 (7) if Native language education is provided, a summary and 07 evaluation of the curriculum described in AS 14.30.420; 08 (8) [THE NUMBER AND PERCENTAGE OF STUDENTS IN 09 EACH SCHOOL WHO TAKE AND WHO SUCCESSFULLY COMPLETE AN 10 ALTERNATIVE ASSESSMENT PROGRAM IN READING, ENGLISH, OR 11 MATHEMATICS; AND THE NUMBER AND PERCENTAGE OF PUPILS IN 12 EACH SCHOOL WHO SUCCESSFULLY COMPLETE THE ALTERNATIVE 13 ASSESSMENT PROGRAM BUT WHO DO NOT REACH THE STATE 14 PERFORMANCE STANDARDS AT THE COMPETENCY EXAM LEVEL IN 15 READING, ENGLISH, OR MATHEMATICS; A SCHOOL MAY NOT REPORT 16 RESULTS UNDER THIS PARAGRAPH UNLESS THE SCHOOL COMPLIES 17 WITH THE FAMILY EDUCATIONAL RIGHTS AND PRIVACY 18 REQUIREMENTS OF 34 C.F.R. 99; 19 (9)] the performance designation assigned the school under 20 AS 14.03.123 and the methodology used to assign the performance designation, 21 including the measures used and their relative weights; [AND] 22 (9) [(10)] other information concerning school performance and the 23 performance of the school's students as required by the state board in regulation; and 24 (10) information on the number, attendance, and performance of  25 students enrolled in the school whose parents or guardians are on active duty in  26 the armed forces of the United States, the United States Coast Guard, the Alaska  27 National Guard, the Alaska Naval Militia, or the Alaska State Defense Force. 28  * Sec. 6. AS 14.03.123(f) is amended to read: 29 (f) In the accountability system for schools and districts required by this 30 section, the department shall 31 (1) implement 20 U.S.C. 6301 - 7941 (Elementary and Secondary 01 Education Act of 1965), as amended; 02 (2) implement state criteria and priorities for accountability including 03 the use of 04 (A) measures of student performance on standards-based 05 assessments in language arts [READING, WRITING,] and mathematics [, 06 AND INCLUDING COMPETENCY TESTS REQUIRED UNDER 07 AS 14.03.075]; 08 (B) measures of student improvement; and 09 (C) other measures identified that are indicators of student 10 success and achievement; and 11 (3) to the extent practicable, minimize the administrative burden on 12 districts. 13  * Sec. 7. AS 14.03 is amended by adding new sections to read: 14 Sec. 14.03.126. Funding for Internet services. (a) Each fiscal year, a district 15 in which one or more schools qualify for a discounted rate for Internet services under 16 the federal universal services program is eligible to receive an amount for each school 17 that is equal to the amount needed to bring the applicant's share to 10 megabits of 18 download a second of the Internet services. 19 (b) If insufficient funding is appropriated to provide funding authorized under 20 this section, the state share shall be distributed pro rata to eligible school districts. 21 (c) In this section, 22 (1) "applicant's share" means the difference between the cost of 23 Internet services that are eligible for the discount under the federal universal services 24 program and the discount received for those services under the federal universal 25 services program; 26 (2) "federal universal services program" means the program 27 established in 47 U.S.C. 254 and regulations implementing that section. 28 Sec. 14.03.127. Personalized learning opportunity grant program. (a) The 29 personalized learning opportunity grant program is established in the department for 30 the purpose of providing technological equipment, technical support, and training in 31 the use of one electronic device for each student. The program shall be administered 01 consistent with state law by the Association of Alaska School Boards recognized 02 under AS 14.14.150 through a direct grant from the department using funds 03 appropriated from the state general fund. As a condition of the grant, the Association 04 of Alaska School Boards shall submit to the legislature an annual report of its 05 activities under the grant. The department may deny subsequent grants on the basis of 06 the report if the commissioner finds that the Association of Alaska School Boards has 07 not served the purpose of the grant program. 08 (b) A school district may apply for a subgrant under this section by 09 (1) agreeing to grant conditions established by the Association of 10 Alaska School Boards consistent with the purpose of the program; 11 (2) submitting an application on an approved form to the Association 12 of Alaska School Boards; the application must include 13 (A) A description of the grant project; 14 (B) proof of district readiness to fulfill the grant project; 15 (C) project goals; 16 (3) providing written assurances that the district will implement the 17 grant project in a manner that is consistent with the district's grant application and 18 conditions; 19 (4) agreeing to use competitive procedures to procure technological 20 equipment, support, and training purchased with funds from the grant program 21 including, whenever possible, using prices solicited by the Association of Alaska 22 School Boards under (c) of this section; 23 (5) agreeing to provide a final grant report that compares student 24 performance data before and after the grant period; and 25 (6) providing a matching amount equivalent to 20 percent of the total 26 amount of the grant project costs; the match may be met using 10 percent or less from 27 the value of in-kind services. 28 (c) Before making a subgrant to a school district under (b) of this section, the 29 Association of Alaska School Boards shall use competitive procedures to solicit prices 30 from vendors, including, where possible, seeking bulk purchase discounts, for the 31 technological equipment, support, and training to be purchased with funds from the 01 grant program. The procurement procedures required under this subsection shall 02 provide vendors reasonable and equitable opportunities to participate in the 03 procurement process. 04 (d) The department shall require the Association of Alaska School Boards to 05 use a percentage of the total grant distributed under this section to evaluate the 06 effectiveness of a subgrant made under this section. The Association of Alaska School 07 Boards shall employ an independent education evaluation organization to evaluate the 08 effectiveness of the grant program under this section. The Association of Alaska 09 School Boards shall include the evaluation of the effectiveness of the grant program 10 under this section in the annual report to the legislature under (a) of this section. An 11 evaluation of effectiveness under this section shall include a summary of changes 12 resulting from the grant program in 13 (1) educator practices; 14 (2) student outcomes, including academic performance; and 15 (3) efficiency of school operations. 16 Sec. 14.03.128. Innovative approach to learning grant. (a) The department 17 shall establish a grant program to make grants for the purpose of encouraging 18 innovative approaches to learning by school districts. 19 (b) A school district may apply to the department for a grant under this section 20 by submitting an application on a form approved by the department in an amount and 21 for a period established by the department. The department shall give priority to grant 22 awards for 23 (1) a district-operated boarding school operated on a regional basis as 24 described in AS 14.16.200; 25 (2) a public correspondence program; 26 (3) a public charter school; 27 (4) a vocational education program in a public school; 28 (5) a pre-elementary demonstration project; 29 (6) other public programs. 30 (c) A grant awarded under this section may be used for planning or 31 implementation of an innovative approach to learning. The department may not award 01 a grant for implementation of a project unless the applicant can demonstrate, to the 02 satisfaction of the department, that the project has been planned and shown to be 03 feasible. 04 (d) A district that has been awarded a grant for implementation of a project 05 under this section shall provide to the department a description of a method for 06 replicating successful results of the grant project. 07 (e) The department shall submit an annual report to the legislature that 08 describes the 09 (1) number and time period of grants awarded; 10 (2) purpose of each grant project; 11 (3) results obtained from each grant project; and 12 (4) methods available to replicate successful results under the project 13 that demonstrate an innovative approach to learning. 14  * Sec. 8. AS 14.03.250 is repealed and reenacted to read: 15 Sec. 14.03.250. Application for charter school. (a) A local school board shall 16 prescribe an application procedure for the establishment of a charter school in that 17 school district. The application procedure must include provisions for an academic 18 policy committee consisting of parents of students attending the school, teachers, and 19 school employees and a proposed form for a contract between a charter school and the 20 local school board, setting out the contract elements required under AS 14.03.255(c). 21 (b) A decision of a local school board approving or denying an application for 22 a charter school must be in writing, must be issued within 60 days after the 23 application, and must include all relevant findings of fact and conclusions of law. 24 (c) If a local school board approves an application for a charter school, the 25 local school board shall forward the application to the state Board of Education and 26 Early Development for review and approval. 27 (d) If a local school board denies an application for a charter school, the 28 applicant may appeal the denial to the commissioner. The appeal to the commissioner 29 shall be filed not later than 60 days after the local school board issues its written 30 decision of denial. The commissioner shall review the local school board's decision to 31 determine whether the findings of fact are supported by substantial evidence and 01 whether the decision is contrary to law. A decision of the commissioner upholding the 02 denial by the local school board may be appealed within 30 days to the state Board of 03 Education and Early Development. 04 (e) If the commissioner approves a charter school application, the 05 commissioner shall forward the application to the state Board of Education and Early 06 Development for review and approval. The application shall be forwarded not later 07 than 30 days after the commissioner issues a written decision. The state Board of 08 Education and Early Development shall exercise independent judgment in evaluating 09 the application. 10 (f) A local school board that denied an application for a charter school 11 approved by the state board on appeal shall operate the charter school as provided in 12 AS 14.03.255 - 14.03.290. 13  * Sec. 9. AS 14.03 is amended by adding a new section to read: 14 Sec. 14.03.253. Charter school application appeal. (a) In an appeal to the 15 commissioner under AS 14.03.250, the commissioner shall review the record before 16 the local school board. The commissioner may request written supplementation of the 17 record from the applicant or the local school board. The commissioner may 18 (1) remand the appeal to the local school board for further review; 19 (2) approve the charter school application and forward the application 20 to the state Board of Education and Early Development with or without added 21 conditions; or 22 (3) uphold the decision denying the charter school application; if the 23 commissioner upholds a local school board's decision to deny a charter school 24 application and the applicant appeals to the State Board of Education and Early 25 Development, the commissioner shall immediately forward the application and record 26 to the state Board of Education and Early Development. 27 (b) In an appeal to the state Board of Education and Early Development of a 28 denial of a charter school application under (a)(3) of this section, the state board shall 29 determine, based on the record, whether the commissioner's findings are supported by 30 substantial evidence and whether the decision is contrary to law. The state board shall 31 issue a written decision within 90 days after an appeal. 01  * Sec. 10. AS 14.03.255(a) is amended to read: 02 (a) A charter school operates as a school in the local school district except that 03 the charter school (1) is exempt from the local school district's textbook, program, 04 curriculum, and scheduling requirements; (2) is exempt from AS 14.14.130(c); the 05 principal of the charter school shall be selected by the academic policy committee and 06 shall select, appoint, or otherwise supervise employees of the charter school; and (3) 07 operates under the charter school's annual program budget as set out in the contract 08 between the local school board and the charter school under (c) of this section. A local 09 school board may exempt a charter school from other local school district 10 requirements if the exemption is set out in the contract. A charter school is subject to 11 [SECONDARY SCHOOL COMPETENCY TESTING AS PROVIDED IN 12 AS 14.03.075 AND OTHER COMPETENCY] tests required by the department. 13  * Sec. 11. AS 14.03.255(d) is amended to read: 14 (d) A school district shall offer to a charter school the right of first refusal  15 for a lease of space [CHARTER SCHOOL MAY BE OPERATED] in an existing 16 school district facility or in a facility within the school district that is not currently 17 being used as a public school, if the chief school administrator determines the facility 18 meets requirements for health and safety applicable to public buildings or other public 19 schools in the district. If the school district requires lease payments by a charter  20 school, the school district shall negotiate a lease agreement with the charter  21 school for an amount that does not exceed the true operational costs calculated  22 on a square foot basis for space leased under this subsection. 23  * Sec. 12. AS 14.03.260(a) is amended to read: 24 (a) A local school board shall provide an approved charter school with an 25 annual program budget. The budget shall be not less than the amount generated by the 26 students enrolled in the charter school less administrative costs retained by the local 27 school district, determined by applying the indirect cost rate approved by the 28 department up to four percent. Costs directly related to charter school facilities,  29 including rent, utilities, and maintenance, may not be included in an annual  30 program budget for the purposes of calculating the four percent cap on  31 administrative costs under this subsection. A local school board shall provide a  01 charter school with a report itemizing the administrative costs retained by the  02 local school board under this section [DEPARTMENT OF EDUCATION AND 03 EARLY DEVELOPMENT]. The "amount generated by students enrolled in the 04 charter school" is to be determined in the same manner as it would be for a student 05 enrolled in another public school in that school district and includes funds generated  06 by grants, appropriations, federal impact aid, the required local contribution, the  07 local contribution under AS 14.17.410(c), special needs under AS 14.17.420(a)(1),  08 and secondary school vocational and technical instruction under  09 AS 14.17.420(a)(3). A school district shall direct state aid under AS 14.11 for the  10 construction or major maintenance of a charter school facility to the charter  11 school that generated the state aid, subject to the same terms and conditions that  12 apply to state aid under AS 14.11 for construction or major maintenance of a  13 school facility that is not a charter school. 14  * Sec. 13. AS 14.03 is amended by adding a new section to read: 15 Sec. 14.03.263. Charter school grant program. (a) A charter school that is 16 established on or after the effective date of this section may receive a one-time grant 17 from the department equal to the amount of $500 for each student enrolled in the 18 school on October 1 of the first year in which the school applies for the grant. The 19 charter school shall use a grant received under this section to provide educational 20 services. In this subsection, "educational services" includes curriculum development, 21 program development, and special education services. 22 (b) The department shall establish by regulation procedures for the application 23 for and expenditure of grant funds under (a) of this section. 24 (c) If the amount appropriated in a fiscal year for the charter school grant 25 program is insufficient to meet the amounts authorized under (a) of this section, the 26 department shall reduce pro rata the per pupil grant amount by the necessary 27 percentage as determined by the department. If a charter school grant is reduced under 28 this subsection, the charter school may apply to the department in a subsequent fiscal 29 year for the balance of the grant amount. 30  * Sec. 14. AS 14.03 is amended by adding new sections to read: 31 Article 3. Correspondence Study Programs.  01 Sec. 14.03.300. Correspondence study programs; individual learning  02 plans. (a) A district or the department that provides a correspondence study program 03 shall annually provide an individual learning plan for each student enrolled in the 04 program developed in collaboration with the student, the parent or guardian of the 05 student, a certificated teacher assigned to the student, and other individuals involved in 06 the student's learning plan. An individual learning plan must 07 (1) be developed with the assistance and approval of the certificated 08 teacher assigned to the student by the district; 09 (2) provide for a course of study for the appropriate grade level 10 consistent with state and district standards; 11 (3) provide for an ongoing assessment plan that includes statewide 12 assessments required for public schools under AS 14.03.123(f); 13 (4) include a provision for modification of the individual learning plan 14 if the student is below proficient on a standardized assessment in a core subject; 15 (5) provide for a signed agreement between the certificated teacher 16 assigned to the student and at least one parent or the guardian of each student that 17 verifies compliance with an individual learning plan; 18 (6) provide for monitoring of each student's work and progress by the 19 certificated teacher assigned to the student. 20 (b) Notwithstanding another provision of law, the department may not impose 21 additional requirements, other than the requirements specified under (a) of this section 22 and under AS 14.03.320, on a student who is proficient or advanced on statewide 23 assessments required under AS 14.03.123(f). 24 Sec. 14.03.320. Student allotments. (a) Except as provided in (e) of this 25 section, the department or a district that provides a correspondence study program may 26 provide an annual student allotment to a parent or guardian of a student enrolled in the 27 correspondence study program for the purpose of meeting instructional expenses for 28 the student enrolled in the program as provided in this section. 29 (b) A parent or guardian may purchase nonsectarian services and materials 30 from a public, private, or religious organization with a student allotment provided 31 under (a) of this section if 01 (1) the services and materials are required for the course of study in the 02 individual learning plan developed for the student under AS 14.03.300; 03 (2) textbooks, services, and other curriculum materials and the course 04 of study 05 (A) are approved by the school district; 06 (B) are appropriate for the student; 07 (C) are aligned to state standards; and 08 (D) comply with AS 14.03.090 and AS 14.18.060; and 09 (3) otherwise support a public purpose. 10 (c) Except as provided in (d) of this section, an annual student allotment 11 provided under this section is reserved and excluded from the unreserved portion of a 12 district's year-end fund balance in the school operating fund under AS 14.17.505. 13 (d) The department or a district that provides for an annual student allotment 14 under (a) of this section shall 15 (1) account for the balance of an unexpended annual student allotment 16 during the period in which a student continues to be enrolled in the correspondence 17 program for which the annual allotment was provided; 18 (2) return the unexpended balance of a student allotment to the budget 19 of the department or district for a student who is no longer enrolled in the 20 correspondence program for which the allotment was provided; 21 (3) maintain a record of expenditures and allotments; and 22 (4) implement a routine monitoring of audits and expenditures. 23 (e) A student allotment provided under (a) of this section may not be used to 24 pay for services provided to a student by a family member. In this subsection, "family 25 member" means the student's spouse, guardian, parent, stepparent, sibling, stepsibling, 26 grandparent, stepgrandparent, child, uncle, or aunt. 27  * Sec. 15. AS 14.07.020(a)(16) is amended to read: 28 (16) establish by regulation criteria, based on low student performance, 29 under which the department may intervene in a school district to improve instructional 30 practices, as described in AS 14.07.030(14) or (15); the regulations must include 31 (A) a notice provision that alerts the district to the deficiencies 01 and the instructional practice changes proposed by the department; 02 (B) an end date for departmental intervention, as described in 03 AS 14.07.030(14)(A) and (B) and (15), after the district demonstrates three 04 consecutive years of improvement consisting of not less than two percent 05 increases in student proficiency on standards-based assessments in language  06 arts and mathematics, [READING, AND WRITING] as provided in 07 AS 14.03.123(f)(2)(A); and 08 (C) a process for districts to petition the department for 09 continuing or discontinuing the department's intervention; 10  * Sec. 16. AS 14.07.020(b) is amended to read: 11 (b) In implementing its duties under (a)(2) of this section, the department shall 12 develop 13 (1) performance standards in language arts [READING, WRITING,] 14 and mathematics to be met at designated age levels by each student in public schools 15 in the state; and 16 (2) a comprehensive system of student assessments, composed of 17 multiple indicators of proficiency in language arts [READING, WRITING,] and 18 mathematics; this comprehensive system must 19 (A) be made available to all districts and regional educational 20 attendance areas; 21 (B) include a developmental profile for students entering 22 kindergarten or first grade; and 23 (C) include performance standards in language arts 24 [READING, WRITING,] and mathematics for students in age groups five 25 through seven, eight through 10, and 11 - 14. 26  * Sec. 17. AS 14.07.165 is amended to read: 27 Sec. 14.07.165. Duties. The board shall adopt 28 (1) statewide goals and require each governing body to adopt written 29 goals that are consistent with local needs; 30 (2) regulations regarding the application for and award of grants under 31 AS 14.03.125; 01 (3) regulations implementing provisions of AS 14.11.014(b); 02 (4) regulations requiring approval by the board before a charter school, 03 state boarding school, or a public school may provide domiciliary services; 04 (5) regulations implementing the college and career readiness  05 assessment [SECONDARY SCHOOL STUDENT COMPETENCY 06 EXAMINATION] provisions of AS 14.03.075, providing for the needs of a student  07 who is a child with a disability, and setting standards for a waiver under  08 AS 14.03.075; the regulations may address the conditions, criteria, procedure,  09 and scheduling of the assessment [, INCLUDING THE CRITERIA AND 10 PROCEDURE UNDER WHICH A GOVERNING BODY USES A WAIVER TO 11 GRANT A DIPLOMA TO A STUDENT; CRITERIA REGARDING GRANTING A 12 WAIVER MUST INCLUDE PROVISIONS THAT A WAIVER MAY ONLY BE 13 GRANTED FOR STUDENTS WHO ENTER THE SYSTEM LATE OR HAVE 14 RARE OR UNUSUAL CIRCUMSTANCES MERITING A WAIVER]. 15 * Sec. 18. AS 14.07.165 is amended by adding a new subsection to read: 16 (b) In this section, "child with a disability" has the meaning given in 17 AS 14.30.350. 18  * Sec. 19. AS 14.09.010 is amended by adding new subsections to read: 19 (e) A school district that provides transportation services under this section 20 shall provide transportation services to students attending a charter school operated by 21 the district under a policy adopted by the district. The policy must 22 (1) be developed with input solicited from individuals involved with 23 the charter school, including staff, students, and parents; 24 (2) at a minimum, provide transportation services for students enrolled 25 in the charter school on a space available basis along the regular routes that the 26 students attending schools in an attendance area in the district are transported; and 27 (3) be approved by the department. 28 (f) If a school district fails to adopt a policy under (e) of this section, the 29 school district shall allocate the amount received for each student under (a) of this 30 section to each charter school operated by the district based on the number of students 31 enrolled in the charter school. 01 (g) Nothing in (e) of this section requires a school district to establish 02 dedicated transportation routes for the exclusive use of students enrolled in a charter 03 school or authorizes a charter school to opt out of a policy adopted by a school district 04 for the purpose of acquiring transportation funding. 05  * Sec. 20. AS 14.11.100(a) is amended to read: 06 (a) During each fiscal year, the state shall allocate to a municipality that is a 07 school district the following sums: 08 (1) payments made by the municipality during the fiscal year two years 09 earlier for the retirement of principal and interest on outstanding bonds, notes, or other 10 indebtedness incurred before July 1, 1977, to pay costs of school construction; 11 (2) 90 percent of 12 (A) payments made by the municipality during the fiscal year 13 two years earlier for the retirement of principal and interest on outstanding 14 bonds, notes, or other indebtedness incurred after June 30, 1977, and before 15 July 1, 1978, to pay costs of school construction; 16 (B) cash payments made after June 30, 1976, and before July 1, 17 1978, by the municipality during the fiscal year two years earlier to pay costs 18 of school construction; 19 (3) 90 percent of 20 (A) payments made by the municipality during the fiscal year 21 two years earlier for the retirement of principal and interest on outstanding 22 bonds, notes, or other indebtedness incurred after June 30, 1978, and before 23 January 1, 1982, to pay costs of school construction projects approved under 24 AS 14.07.020(a)(11); 25 (B) cash payments made after June 30, 1978, and before July 1, 26 1982, by the municipality during the fiscal year two years earlier to pay costs 27 of school construction projects approved under AS 14.07.020(a)(11); 28 (4) subject to (h) and (i) of this section, up to 90 percent of 29 (A) payments made by the municipality during the current 30 fiscal year for the retirement of principal and interest on outstanding bonds, 31 notes, or other indebtedness incurred after December 31, 1981, and authorized 01 by the qualified voters of the municipality before July 1, 1983, to pay costs of 02 school construction, additions to schools, and major rehabilitation projects that 03 exceed $25,000 and are approved under AS 14.07.020(a)(11); 04 (B) cash payments made after June 30, 1982, and before July 1, 05 1983, by the municipality during the fiscal year two years earlier to pay costs 06 of school construction, additions to schools, and major rehabilitation projects 07 that exceed $25,000 and are approved under AS 14.07.020(a)(11); and 08 (C) payments made by the municipality during the current 09 fiscal year for the retirement of principal and interest on outstanding bonds, 10 notes, or other indebtedness to pay costs of school construction, additions to 11 schools, and major rehabilitation projects that exceed $25,000 and are 12 submitted to the department for approval under AS 14.07.020(a)(11) before 13 July 1, 1983, and approved by the qualified voters of the municipality before 14 October 15, 1983, not to exceed a total project cost of (i) $6,600,000 if the 15 annual growth rate of average daily membership of the municipality is more 16 than seven percent but less than 12 percent, or (ii) $20,000,000 if the annual 17 growth rate of average daily membership of the municipality is 12 percent or 18 more; payments made by a municipality under this subparagraph on total 19 project costs that exceed the amounts set out in (i) and (ii) of this subparagraph 20 are subject to (5)(A) of this subsection; 21 (5) subject to (h) - (j) of this section, 80 percent of 22 (A) payments made by the municipality during the fiscal year 23 for the retirement of principal and interest on outstanding bonds, notes, or 24 other indebtedness authorized by the qualified voters of the municipality 25 (i) after June 30, 1983, but before March 31, 1990, to 26 pay costs of school construction, additions to schools, and major 27 rehabilitation projects that exceed $25,000 and are approved under 28 AS 14.07.020(a)(11); or 29 (ii) before July 1, 1989, and reauthorized before 30 November 1, 1989, to pay costs of school construction, additions to 31 schools, and major rehabilitation projects that exceed $25,000 and are 01 approved under AS 14.07.020(a)(11); and 02 (B) cash payments made after June 30, 1983, by the 03 municipality during the fiscal year two years earlier to pay costs of school 04 construction, additions to schools, and major rehabilitation projects that exceed 05 $25,000 and are approved by the department before July 1, 1990, under 06 AS 14.07.020(a)(11); 07 (6) subject to (h) - (j) and (m) of this section, 70 percent of payments 08 made by the municipality during the fiscal year for the retirement of principal and 09 interest on outstanding bonds, notes, or other indebtedness authorized by the qualified 10 voters of the municipality on or after April 30, 1993, but before July 1, 1996, to pay 11 costs of school construction, additions to schools, and major rehabilitation projects 12 that exceed $200,000 and are approved under AS 14.07.020(a)(11); 13 (7) subject to (h) - (j) and (m) of this section, 70 percent of payments 14 made by the municipality during the fiscal year for the retirement of principal and 15 interest on outstanding bonds, notes, or other indebtedness authorized by the qualified 16 voters of the municipality after March 31, 1990, but before April 30, 1993, to pay 17 costs of school construction, additions to schools, and major rehabilitation projects; 18 (8) subject to (h), (i), (j)(2) - (5), and (n) of this section and after 19 projects funded by the bonds, notes, or other indebtedness have been approved by the 20 commissioner, 70 percent of payments made by the municipality during the fiscal year 21 for the retirement of principal and interest on outstanding bonds, notes, or other 22 indebtedness authorized by the qualified voters of the municipality on or after July 1, 23 1995, but before July 1, 1998, to pay costs of school construction, additions to 24 schools, and major rehabilitation projects that exceed $200,000 and are approved 25 under AS 14.07.020(a)(11); 26 (9) subject to (h), (i), (j)(2) - (5), and (n) of this section and after 27 projects funded by the bonds, notes, or other indebtedness have been approved by the 28 commissioner, 70 percent of payments made by the municipality during the fiscal year 29 for the retirement of principal and interest on outstanding bonds, notes, or other 30 indebtedness authorized by the qualified voters of the municipality on or after July 1, 31 1998, but before July 1, 2006, to pay costs of school construction, additions to 01 schools, and major rehabilitation projects that exceed $200,000 and are approved 02 under AS 14.07.020(a)(11); 03 (10) subject to (h), (i), (j)(2) - (5), and (o) of this section, and after 04 projects funded by the bonds, notes, or other indebtedness have been approved by the 05 commissioner, 70 percent of payments made by the municipality during the fiscal year 06 for the retirement of principal and interest on outstanding bonds, notes, or other 07 indebtedness authorized by the qualified voters of the municipality on or after June 30, 08 1998, to pay costs of school construction, additions to schools, and major 09 rehabilitation projects that exceed $200,000, are approved under AS 14.07.020(a)(11), 10 and are not reimbursed under (n) of this section; 11 (11) subject to (h), (i), and (j)(2) - (5) of this section, and after projects 12 funded by the bonds, notes, or other indebtedness have been approved by the 13 commissioner, 70 percent of payments made by a municipality during the fiscal year 14 for the retirement of principal and interest on outstanding bonds, notes, or other 15 indebtedness authorized by the qualified voters of the municipality on or after June 30, 16 1999, but before January 1, 2005, to pay costs of school construction, additions to 17 schools, and major rehabilitation projects and education-related facilities that exceed 18 $200,000, are approved under AS 14.07.020(a)(11), and are not reimbursed under (n) 19 or (o) of this section; 20 (12) subject to (h), (i), and (j)(2), (3), and (5) of this section, 60 percent 21 of payments made by a municipality during the fiscal year for the retirement of 22 principal and interest on outstanding bonds, notes, or other indebtedness authorized by 23 the qualified voters of the municipality on or after June 30, 1999, but before January 1, 24 2005, to pay costs of school construction, additions to schools, and major 25 rehabilitation projects and education-related facilities that exceed $200,000, are 26 reviewed under AS 14.07.020(a)(11), and are not reimbursed under (n) or (o) of this 27 section; 28 (13) subject to (h), (i), (j)(2) - (5), and (p) of this section, and after 29 projects funded by the tax exempt bonds, notes, or other indebtedness have been 30 approved by the commissioner, 70 percent of payments made by a municipality during 31 the fiscal year for the retirement of principal and interest on outstanding tax exempt 01 bonds, notes, or other indebtedness authorized by the qualified voters of the 02 municipality on or after June 30, 1999, but before October 31, 2006, to pay costs of 03 school construction, additions to schools, and major rehabilitation projects and 04 education-related facilities that exceed $200,000, are approved under 05 AS 14.07.020(a)(11), and are not reimbursed under (n) or (o) of this section; 06 (14) subject to (h), (i), (j)(2), (3), and (5), and (p) of this section, 60 07 percent of payments made by a municipality during the fiscal year for the retirement 08 of principal and interest on outstanding tax exempt bonds, notes, or other indebtedness 09 authorized by the qualified voters of the municipality on or after June 30, 1999, but 10 before October 31, 2006, to pay costs of school construction, additions to schools, and 11 major rehabilitation projects and education-related facilities that exceed $200,000, are 12 reviewed under AS 14.07.020(a)(11), and are not reimbursed under (n) or (o) of this 13 section; 14 (15) subject to (h), (i), (j)(2) - (5), and (q) of this section, and after 15 projects funded by the bonds, notes, or other indebtedness have been approved by the 16 commissioner, 90 percent of payments made by a municipality during the fiscal year 17 for the retirement of principal and interest on outstanding bonds, notes, or other 18 indebtedness authorized by the qualified voters of the municipality on or after June 30, 19 1999, but before October 31, 2006, to pay costs of school construction, additions to 20 schools, and major rehabilitation projects and education-related facilities that exceed 21 $200,000, are approved under AS 14.07.020(a)(11), meet the 10 percent participating 22 share requirement for a municipal school district under the former participating share 23 amounts required under AS 14.11.008(b), and are not reimbursed under (n) or (o) of 24 this section; 25 (16) subject to (h), (i), and (j)(2) - (5) of this section, and after projects 26 funded by the tax exempt bonds, notes, or other indebtedness have been approved by 27 the commissioner, 70 percent of payments made by a municipality during the fiscal 28 year for the retirement of principal and interest on outstanding tax exempt bonds, 29 notes, or other indebtedness authorized by the qualified voters of the municipality on 30 or after October 1, 2006, but before January 1, 2015, to pay costs of school 31 construction, additions to schools, and major rehabilitation projects and education- 01 related facilities that exceed $200,000, are approved under AS 14.07.020(a)(11), and 02 are not reimbursed under (o) of this section; 03 (17) subject to (h), (i), and (j)(2), (3), and (5) of this section, 60 percent 04 of payments made by a municipality during the fiscal year for the retirement of 05 principal and interest on outstanding tax exempt bonds, notes, or other indebtedness 06 authorized by the qualified voters of the municipality on or after October 1, 2006, but  07 before January 1, 2015, to pay costs of school construction, additions to schools, and 08 major rehabilitation projects and education-related facilities that exceed $200,000, are 09 reviewed under AS 14.07.020(a)(11), and are not reimbursed under (o) of this section; 10 (18) subject to (h), (i), and (j)(2) - (5) of this section, and after  11 projects funded by the tax exempt bonds, notes, or other indebtedness have been  12 approved by the commissioner, 60 percent of payments made by a municipality  13 during the fiscal year for the retirement of principal and interest on outstanding  14 tax exempt bonds, notes, or other indebtedness authorized by the qualified voters  15 of the municipality on or after January 1, 2015, to pay costs of school  16 construction, additions to schools, and major rehabilitation projects and  17 education-related facilities that exceed $200,000, are approved under  18 AS 14.07.020(a)(11), and are not reimbursed under (o) of this section; 19 (19) subject to (h), (i), and (j)(2), (3), and (5) of this section, 40  20 percent of payments made by a municipality during the fiscal year for the  21 retirement of principal and interest on outstanding tax exempt bonds, notes, or  22 other indebtedness authorized by the qualified voters of the municipality on or  23 after January 1, 2015, to pay costs of school construction, additions to schools,  24 and major rehabilitation projects and education-related facilities that exceed  25 $200,000, are reviewed under AS 14.07.020(a)(11), and are not reimbursed under  26 (o) of this section.  27  * Sec. 21. AS 14.16.050(a) is amended to read: 28 (a) The following provisions apply with respect to the operation and 29 management of a state boarding school as if it were a school district: 30 (1) requirements relating to school district operations: 31 (A) AS 14.03.030 - 14.03.050 (defining the school term, day in 01 session, and school holidays); 02 (B) AS 14.03.073 and 14.03.083 - 14.03.140 [AS 14.03.083 - 03 14.03.140] (miscellaneous provisions applicable to school district operations); 04 (C) regulations adopted by the board under authority of 05 AS 14.07.020(a) that are applicable to school districts and their schools, unless 06 the board specifically exempts state boarding schools from compliance with a 07 regulation; 08 (D) AS 14.12.150 (authorizing school districts to establish and 09 participate in the services of a regional resource center); 10 (E) AS 14.14.050 (imposing the requirement of an annual 11 audit); 12 (F) AS 14.14.110 (authorizing cooperation with other school 13 districts); 14 (G) AS 14.14.140(b) (establishing a prohibition on 15 employment of a relative of the chief school administrator); 16 (H) AS 14.18 (prohibiting discrimination based on sex in 17 public education); 18 (2) requirements relating to the public school funding program and the 19 receipt and expenditure of that funding: 20 (A) AS 14.17.500 (relating to student count estimates); 21 (B) AS 14.17.505 (relating to school operating fund balances); 22 (C) AS 14.17.500 - 14.17.910 (setting out the procedure for 23 payment of public school funding and imposing general requirements and 24 limits on money paid); 25 (3) requirements relating to teacher employment and retirement: 26 (A) AS 14.14.105 and 14.14.107 (relating to sick leave); 27 (B) AS 14.20.095 - 14.20.215 (relating to the employment and 28 tenure of teachers); 29 (C) AS 14.20.220 (relating to the salaries of teachers 30 employed); 31 (D) AS 14.20.280 - 14.20.350 (relating to sabbatical leave 01 provisions for teachers); 02 (E) AS 23.40.070 - 23.40.260 (authorizing collective 03 bargaining by certificated employees), except with regard to teachers who are 04 administrators and except that the board may delegate some or all of its 05 responsibilities under those statutes; 06 (F) AS 14.25 (provisions regarding the teachers' retirement 07 system); 08 (4) requirements relating to students and educational programs: 09 (A) AS 14.30.180 - 14.30.350 (relating to educational services 10 for children with disabilities); 11 (B) AS 14.30.360 - 14.30.370 (establishing health education 12 program standards); 13 (C) AS 14.30.400 - 14.30.410 (relating to bilingual and 14 bicultural education). 15  * Sec. 22. AS 14.16 is amended by adding a new section to article 2 to read: 16 Sec. 14.16.100. Application for residential school. A school district shall 17 apply to the department for approval to establish and operate a statewide or district- 18 wide residential school. The department shall accept applications during an open 19 application period conducted annually. A period of open application in itself does not 20 indicate that the department will approve the establishment of a new residential 21 school. 22  * Sec. 23. AS 14.16.200(b) is amended to read: 23 (b) Costs that may be claimed by a district for reimbursement under (a) of this 24 section are 25 (1) one round trip on the least expensive means of transportation 26 between the student's community of residence and the school during the school year if 27 the district expends money for the trip; and 28 (2) a per-pupil monthly stipend to cover room and board expenses as 29 determined by the department on a regional basis and not to exceed the following 30 amounts: 31 (A) for the Southeast Region (Region I), $1,230 [$820]; 01 (B) for the Southcentral Region (Region II), $1,200 [$800]; 02 (C) for the Interior Region (Region III), $1,452 [$968]; 03 (D) for the Southwest Region (Region IV), $1,509 [$1,006]; 04 (E) for the Northern Remote Region (Region V), $1,776 05 [$1,184]. 06  * Sec. 24. AS 14.17.410(b) is amended to read: 07 (b) Public school funding consists of state aid, a required local contribution, 08 and eligible federal impact aid determined as follows: 09 (1) state aid equals basic need minus a required local contribution and 10 90 percent of eligible federal impact aid for that fiscal year; basic need equals the sum 11 obtained under (D) of this paragraph, multiplied by the base student allocation set out 12 in AS 14.17.470; district adjusted ADM is calculated as follows: 13 (A) the ADM of each school in the district is calculated by 14 applying the school size factor to the student count as set out in AS 14.17.450; 15 (B) the number obtained under (A) of this paragraph is 16 multiplied by the district cost factor described in AS 14.17.460; 17 (C) the ADMs of each school in a district, as adjusted 18 according to (A) and (B) of this paragraph, are added; the sum is then 19 multiplied by the special needs factor set out in AS 14.17.420(a)(1) and the 20 secondary school vocational and technical instruction funding factor set out in 21 AS 14.17.420(a)(3); 22 (D) the number obtained for intensive services under 23 AS 14.17.420(a)(2) and the number obtained for correspondence study under 24 AS 14.17.430 are added to the number obtained under (C) of this paragraph; 25 (E) notwithstanding (A) - (C) of this paragraph, if a school 26 district's ADM adjusted for school size under (A) of this paragraph decreases 27 by five percent or more from one fiscal year to the next fiscal year, the school 28 district may use the last fiscal year before the decrease as a base fiscal year to 29 offset the decrease, according to the following method: 30 (i) for the first fiscal year after the base fiscal year 31 determined under this subparagraph, the school district's ADM adjusted 01 for school size determined under (A) of this paragraph is calculated as 02 the district's ADM adjusted for school size, plus 75 percent of the 03 difference in the district's ADM adjusted for school size between the 04 base fiscal year and the first fiscal year after the base fiscal year; 05 (ii) for the second fiscal year after the base fiscal year 06 determined under this subparagraph, the school district's ADM adjusted 07 for school size determined under (A) of this paragraph is calculated as 08 the district's ADM adjusted for school size, plus 50 percent of the 09 difference in the district's ADM adjusted for school size between the 10 base fiscal year and the second fiscal year after the base fiscal year; 11 (iii) for the third fiscal year after the base fiscal year 12 determined under this subparagraph, the school district's ADM adjusted 13 for school size determined under (A) of this paragraph is calculated as 14 the district's ADM adjusted for school size, plus 25 percent of the 15 difference in the district's ADM adjusted for school size between the 16 base fiscal year and the third fiscal year after the base fiscal year; 17 (F) the method established in (E) of this paragraph is available 18 to a school district for the three fiscal years following the base fiscal year 19 determined under (E) of this paragraph only if the district's ADM adjusted for 20 school size determined under (A) of this paragraph for each fiscal year is less 21 than the district's ADM adjusted for school size in the base fiscal year; 22 (G) the method established in (E) of this paragraph does not 23 apply to a decrease in the district's ADM adjusted for school size resulting 24 from a loss of enrollment that occurs as a result of a boundary change under 25 AS 29; 26 (2) the required local contribution of a city or borough school district is 27 the equivalent of a 2.80 [2.65] mill tax levy on the full and true value of the taxable 28 real and personal property in the district as of January 1 of the second preceding fiscal 29 year, as determined by the Department of Commerce, Community, and Economic 30 Development under AS 14.17.510 and AS 29.45.110, not to exceed 45 percent of a 31 district's basic need for the preceding fiscal year as determined under (1) of this 01 subsection. 02  * Sec. 25. AS 14.17.410(c) is amended to read: 03 (c) In addition to the local contribution required under (b)(2) of this section, a 04 city or borough school district in a fiscal year may make a local contribution of not 05 more than the greater of 06 (1) the equivalent of a two mill tax levy on the full and true value of 07 the taxable real and personal property in the district as of January 1 of the second 08 preceding fiscal year, as determined by the Department of Commerce, Community, 09 and Economic Development under AS 14.17.510 and AS 29.45.110; or 10 (2) 23 percent of the total of the district's basic need for the fiscal year 11 under (b)(1) of this section and any additional funding distributed to the district in  12 a fiscal year according to (b) of this section. 13  * Sec. 26. AS 14.17.430 is amended to read: 14 Sec. 14.17.430. State funding for correspondence study. Except as provided 15 in AS 14.17.400(b), funding for the state centralized correspondence study program or 16 a district correspondence program, including a district that offers a statewide 17 correspondence study program, includes an allocation from the public education fund 18 in an amount calculated by multiplying the ADM of the correspondence program by 19 90 [80] percent. 20  * Sec. 27. AS 14.17.450(d) is amended to read: 21 (d) If a charter school has a student count of at least 75 [MORE THAN 120] 22 but less than 150 for the current year and is in the first three years [YEAR] of 23 operation or had a student count of at least 75 [150 OR MORE] in the previous year 24 of operation, 25 (1) the adjusted student count for the school shall be calculated by 26 multiplying the student count by [95 PERCENT OF] the student rate for a school that 27 has a student count of 150; and 28 (2) not later than February 15, the charter school shall submit for 29 approval of the governing board of the district a plan for the following school year that 30 includes a statement about whether the school will continue to operate if the student 31 count remains the same that year and, if so, a projection of the funding anticipated 01 from the state and other sources, a proposed budget, and a description of anticipated 02 changes to the school staff, program, and curriculum; if the school intends to close if 03 the student count remains the same the following year, the plan must describe transfer 04 plans for students, staff, facilities, and materials. 05  * Sec. 28. AS 23.15.835(a) is amended to read: 06 (a) In the manner provided in AS 23.20 and for the benefit of the program, the 07 department shall collect from each employee an amount equal to .16 [.15] percent of 08 the wages, as set out in AS 23.20.175, on which the employee is required to make 09 contributions under AS 23.20.290(d). The department shall remit to the Department of 10 Revenue, in accordance with AS 37.10.050, money collected under this subsection. 11  * Sec. 29. AS 23.15.835(d) is amended to read:  12 (d) Notwithstanding AS 23.15.840(a), for the fiscal years ending June 30, 13 2015 [2009], through June 30, 2017 [2014], the money collected under this section or 14 otherwise appropriated to the Alaska Workforce Investment Board, formerly known as 15 the Alaska Human Resource Investment Council, shall be allocated directly in the 16 following percentages to the following institutions for programs consistent with 17 AS 23.15.820 - 23.15.850 and capital improvements: 18 University of Alaska 45 percent 19 [UNIVERSITY OF ALASKA SOUTHEAST 5 PERCENT] 20 Galena Interior Learning Academy [PROJECT 4 percent 21 EDUCATION VOCATIONAL TRAINING CENTER] 22 Alaska [KOTZEBUE] Technical Center 9 percent 23 Alaska Vocational Technical Center 17 percent 24 Northwestern Alaska Career and Technical Center 3 percent 25 Southwest Alaska Vocational and Education Center 3 percent 26 Yuut Elitnaurviat, Inc. People's Learning Center 9 percent 27 Partners for Progress in Delta, Inc. [DELTA CAREER 3 percent 28 ADVANCEMENT CENTER] 29 Amundsen Educational Center [NEW FRONTIER 2 percent 30 VOCATIONAL TECHNICAL CENTER] 31 Ilisagvik College 5 percent  01  * Sec. 30. AS 23.15.835(e) is amended to read: 02 (e) The institutions receiving funding under (d) of this section shall provide an 03 expenditure and performance report to the department by November 1 of each year 04 that includes [THE] 05 (1) the percentage of former participants in the program who have jobs 06 one year after leaving the program; 07 (2) the median wage of former participants seven to 12 months after 08 leaving the program; 09 (3) the percentage of former participants who were employed after 10 leaving the program who received training under the program that was related or 11 somewhat related to the former participants' jobs seven to 12 months after leaving the 12 program; 13 (4) a description of each vocational education course funded  14 through the allocation set out in (d) of this section that permits high school  15 students to earn dual credit upon course completion, and the number of high  16 school students who earned dual credit in the past year;  17 (5) a copy of any articulation agreement established under (g) of  18 this section that either was in effect for the preceding year or is in process for the  19 next year of funding, and the number of high school students who earned dual  20 credit under each articulation agreement; and  21 (6) the performance and financial information needed to verify the  22 performance of the program as specified by the department by regulation 23 [PERCENTAGE OF FORMER PARTICIPANTS WHO INDICATE SOME LEVEL 24 OF SATISFACTION WITH THE TRAINING RECEIVED UNDER THE 25 PROGRAM; AND 26 (5) PERCENTAGE OF EMPLOYERS WHO INDICATE 27 SATISFACTION WITH THE SERVICES PROVIDED THROUGH THE 28 PROGRAM]. 29  * Sec. 31. AS 23.15.835 is amended by adding new subsections to read: 30 (g) The institutions receiving funding under (d) of this section shall establish 31 and maintain at least one articulation agreement under which dual credit may be 01 earned by high school students upon completion of a vocational education course. 02 (h) An institution's failure to comply with (e) or (g) of this section shall result 03 in a withholding penalty of 20 percent of the funding allocated under (d) of this 04 section in the following year. 05  * Sec. 32. AS 23.15.850 is amended by adding new paragraphs to read: 06 (3) "articulation agreement" means a dual-credit partnership between a 07 school district and an institution receiving funding under AS 23.15.835(d) that 08 describes vocational education courses, student eligibility, course location, academic 09 policies, student support services, credit on a student's transcript, funding, and other 10 items required by the partnering institutions; 11 (4) "dual credit" means simultaneous high school credit and credit 12 toward a career or vocational certification. 13  * Sec. 33. AS 29.45.050 is amended by adding a new subsection to read: 14 (v) A municipality may by ordinance classify and exempt or partially exempt 15 from taxation all or a portion of privately owned real property rented or leased for use 16 as a charter school established under AS 14.03.250. 17  * Sec. 34. AS 43.20.014(a) is amended to read: 18 (a) A taxpayer is allowed a credit against the tax due under this chapter for 19 cash contributions accepted for 20 (1) direct instruction, research, and educational support purposes, 21 including library and museum acquisitions, and contributions to endowment, by an 22 Alaska university foundation, [OR] by a nonprofit, public or private, Alaska two-year 23 or four-year college accredited by a regional accreditation association, or by a public  24 or private nonprofit elementary or secondary school in the state; 25 (2) secondary school level vocational education courses, programs, and 26 facilities by a school district in the state; 27 (3) vocational education courses, programs, equipment, and facilities 28 by a state-operated vocational technical education and training school, a nonprofit  29 regional training center recognized by the Department of Labor and Workforce  30 Development, and an apprenticeship program in the state that is registered with  31 the United States Department of Labor under 29 U.S.C. 50 - 50b (National  01 Apprenticeship Act); 02 (4) a facility [OR AN ANNUAL INTERCOLLEGIATE SPORTS 03 TOURNAMENT] by a nonprofit, public or private, Alaska two-year or four-year 04 college accredited by a regional accreditation association or by a public or private  05 nonprofit elementary or secondary school in the state; 06 (5) Alaska Native cultural or heritage programs and educational 07 support, including mentoring and tutoring, provided by a nonprofit agency for public 08 school staff and for students who are in grades kindergarten through 12 in the state; 09 (6) education, research, rehabilitation, and facilities by an institution 10 that is located in the state and that qualifies as a coastal ecosystem learning center 11 under the Coastal America Partnership established by the federal government; [AND] 12 (7) the Alaska higher education investment fund under AS 37.14.750;  13 (8) funding a scholarship awarded by a nonprofit organization to a  14 dual-credit student to defray the cost of a dual-credit course, including the cost of  15 (A) tuition and textbooks;  16 (B) registration, course, and programmatic student fees;  17 (C) on-campus room and board at the postsecondary  18 institution in the state that provides the dual-credit course;  19 (D) transportation costs to and from a residential school  20 approved by the Department of Education and Early Development under  21 AS 14.16.200 or the postsecondary school in the state that provides the  22 dual-credit course; and  23 (E) other related educational and programmatic costs;  24 (9) constructing, operating, or maintaining a residential housing  25 facility by a residential school in the state approved by the Department of  26 Education and Early Development under AS 14.16.200; 27 (10) childhood early learning and development programs and  28 educational support to childhood early learning and development programs  29 provided by a nonprofit corporation organized under AS 10.20, a tribal entity, or  30 a school district in the state, by the Department of Education and Early  31 Development, or through a state grant; 01 (11) science, technology, engineering, and math programs  02 provided by a nonprofit agency or a school district for school staff and for  03 students in grades kindergarten through 12 in the state; and  04 (12) the operation of a nonprofit organization dedicated to  05 providing educational opportunities that promote the legacy of public service  06 contributions to the state and perpetuate ongoing educational programs that  07 foster public service leadership for future generations of residents of the state. 08  * Sec. 35. AS 43.20.014(a), as amended by sec. 14, ch. 92, SLA 2010, sec. 14, ch. 7, 09 FSSLA 2011, and sec. 15, ch. 74, SLA 2012, is amended to read: 10 (a) A taxpayer is allowed a credit against the tax due under this chapter for 11 cash contributions accepted 12 (1) for direct instruction, research, and educational support purposes, 13 including library and museum acquisitions, and contributions to endowment, by an 14 Alaska university foundation, [OR] by a nonprofit, public or private, Alaska two-year 15 or four-year college accredited by a regional accreditation association, or by a public  16 or private nonprofit elementary or secondary school in the state; 17 (2) for secondary school level vocational education courses and 18 programs by a school district in the state; 19 (3) for vocational education courses, programs, equipment, and  20 facilities by a state-operated vocational technical education and training school, a  21 nonprofit regional training center recognized by the Department of Labor and  22 Workforce Development, and an apprenticeship program in the state that is  23 registered with the United States Department of Labor under 29 U.S.C. 50 - 50b  24 (National Apprenticeship Act); [AND] 25 (4) for the Alaska higher education investment fund under 26 AS 37.14.750;  27 (5) for funding a scholarship awarded by a nonprofit organization  28 to a dual-credit student to defray the cost of a dual-credit course, including the  29 cost of  30 (A) tuition and textbooks;  31 (B) registration, course, and programmatic student fees;  01 (C) on-campus room and board at the postsecondary  02 institution in the state that provides the dual-credit course;  03 (D) transportation costs to and from a residential school  04 approved by the Department of Education and Early Development under  05 AS 14.16.200 or the postsecondary school in the state that provides the  06 dual-credit course; and  07 (E) other related educational and programmatic costs;  08 (6) for constructing, operating, or maintaining a residential  09 housing facility by a residential school approved by the Department of Education  10 and Early Development under AS 14.16.200; 11 (7) for childhood early learning and development programs and  12 educational support to childhood early learning and development programs  13 provided by a nonprofit corporation organized under AS 10.20, a tribal entity, or  14 a school district in the state, by the Department of Education and Early  15 Development, or through a state grant; and  16 (8) for the operation of a nonprofit organization dedicated to  17 providing educational opportunities that promote the legacy of public service  18 contributions to the state and perpetuate ongoing educational programs that  19 foster public service leadership for future generations of residents of the state.  20  * Sec. 36. AS 43.20.014(f) is amended by adding new paragraphs to read: 21 (3) "dual-credit student" means a secondary level student in the state 22 who simultaneously earns college and high school credit for a course; 23 (4) "nonprofit organization" means a charitable or educational 24 organization in the state that is exempt from taxation under 26 U.S.C. 501(c)(3) 25 (Internal Revenue Code). 26  * Sec. 37. AS 43.65.018(a) is amended to read: 27 (a) A person engaged in the business of mining in the state is allowed a credit 28 against the tax due under this chapter for cash contributions accepted for 29 (1) direct instruction, research, and educational support purposes, 30 including library and museum acquisitions, and contributions to endowment, by an 31 Alaska university foundation, [OR] by a nonprofit, public or private, Alaska two-year 01 or four-year college accredited by a regional accreditation association, or by a public  02 or private nonprofit elementary or secondary school in the state; 03 (2) secondary school level vocational education courses, programs, and 04 facilities by a school district in the state; 05 (3) vocational education courses, programs, and facilities by a state- 06 operated vocational technical education and training school; 07 (4) a facility [OR AN ANNUAL INTERCOLLEGIATE SPORTS 08 TOURNAMENT] by a nonprofit, public or private, Alaska two-year or four-year 09 college accredited by a regional accreditation association or by a public or private  10 nonprofit elementary or secondary school in the state; 11 (5) Alaska Native cultural or heritage programs and educational 12 support, including mentoring and tutoring, provided by a nonprofit agency for public 13 school staff and for students who are in grades kindergarten through 12 in the state; 14 (6) education, research, rehabilitation, and facilities by an institution 15 that is located in the state and that qualifies as a coastal ecosystem learning center 16 under the Coastal America Partnership established by the federal government; [AND] 17 (7) the Alaska higher education investment fund under AS 37.14.750;  18 (8) funding a scholarship awarded by a nonprofit organization to a  19 dual-credit student to defray the cost of a dual-credit course, including the cost of  20 (A) tuition and textbooks;  21 (B) registration, course, and programmatic student fees;  22 (C) on-campus room and board at the postsecondary  23 institution in the state that provides the dual-credit course;  24 (D) transportation costs to and from a residential school  25 approved by the Department of Education and Early Development under  26 AS 14.16.200 or the postsecondary school in the state that provides the  27 dual-credit course; and  28 (E) other related educational and programmatic costs;  29 (9) constructing, operating, or maintaining a residential housing  30 facility by a residential school approved by the Department of Education and  31 Early Development under AS 14.16.200; 01 (10) childhood early learning and development programs and  02 educational support to childhood early learning and development programs  03 provided by a nonprofit corporation organized under AS 10.20, a tribal entity, or  04 a school district in the state, by the Department of Education and Early  05 Development, or through a state grant;  06 (11) science, technology, engineering, and math programs  07 provided by a nonprofit agency or a school district for school staff and for  08 students in grades kindergarten through 12 in the state; and  09 (12) the operation of a nonprofit organization dedicated to  10 providing educational opportunities that promote the legacy of public service  11 contributions to the state and perpetuate ongoing educational programs that  12 foster public service leadership for future generations of residents of the state. 13  * Sec. 38. AS 43.65.018(a), as amended by sec. 35, ch. 92, SLA 2010, sec. 14, ch. 7, 14 FSSLA 2011, and sec. 21, ch. 74, SLA 2012, is amended to read: 15 (a) A person engaged in the business of mining in the state is allowed a credit 16 against the tax due under this chapter for cash contributions accepted 17 (1) for direct instruction, research, and educational support purposes, 18 including library and museum acquisitions, and contributions to endowment, by an 19 Alaska university foundation, [OR] by a nonprofit, public or private, Alaska two-year 20 or four-year college accredited by a regional accreditation association, or by a public  21 or private nonprofit elementary or secondary school in the state; 22 (2) for secondary school level vocational education courses and 23 programs by a school district in the state; 24 (3) by a state-operated vocational technical education and training 25 school; [AND] 26 (4) for the Alaska higher education investment fund under 27 AS 37.14.750;  28 (5) for funding a scholarship awarded by a nonprofit organization  29 to a dual-credit student to defray the cost of a dual-credit course, including the  30 cost of  31 (A) tuition and textbooks;  01 (B) registration, course, and programmatic student fees;  02 (C) on-campus room and board at the postsecondary  03 institution in the state that provides the dual-credit course;  04 (D) transportation costs to and from a residential school  05 approved by the Department of Education and Early Development under  06 AS 14.16.200 or the postsecondary school in the state that provides the  07 dual-credit course; and  08 (E) other related educational and programmatic costs;  09 (6) for constructing, operating, or maintaining a residential  10 housing facility by a residential school approved by the Department of Education  11 and Early Development under AS 14.16.200; 12 (7) for childhood early learning and development programs and  13 educational support to childhood early learning and development programs  14 provided by a nonprofit corporation organized under AS 10.20, a tribal entity, or  15 a school district in the state, by the Department of Education and Early  16 Development, or through a state grant; and  17 (8) for the operation of a nonprofit organization dedicated to  18 providing educational opportunities that promote the legacy of public service  19 contributions to the state and perpetuate ongoing educational programs that  20 foster public service leadership for future generations of residents of the state.  21  * Sec. 39. AS 43.65.018(f) is amended by adding new paragraphs to read: 22 (3) "dual-credit student" means a secondary level student in the state 23 who simultaneously earns college and high school credit for a course; 24 (4) "nonprofit organization" means a charitable or educational 25 organization in the state that is exempt from taxation under 26 U.S.C. 501(c)(3) 26 (Internal Revenue Code). 27  * Sec. 40. AS 43.75.018(a) is amended to read: 28 (a) A person engaged in a fisheries business is allowed a credit against the tax 29 due under this chapter for cash contributions accepted for 30 (1) direct instruction, research, and educational support purposes, 31 including library and museum acquisitions, and contributions to endowment, by an 01 Alaska university foundation, [OR] by a nonprofit, public or private, Alaska two-year 02 or four-year college accredited by a regional accreditation association, or by a public  03 or private nonprofit elementary or secondary school in the state; 04 (2) secondary school level vocational education courses, programs, and 05 facilities by a school district in the state; 06 (3) vocational education courses, programs, and facilities by a state- 07 operated vocational technical education and training school; 08 (4) a facility [OR AN ANNUAL INTERCOLLEGIATE SPORTS 09 TOURNAMENT] by a nonprofit, public or private, Alaska two-year or four-year 10 college accredited by a regional accreditation association or by a public or private  11 nonprofit elementary or secondary school in the state; 12 (5) Alaska Native cultural or heritage programs and educational 13 support, including mentoring and tutoring, provided by a nonprofit agency for public 14 school staff and for students who are in grades kindergarten through 12 in the state; 15 (6) education, research, rehabilitation, and facilities by an institution 16 that is located in the state and that qualifies as a coastal ecosystem learning center 17 under the Coastal America Partnership established by the federal government; [AND] 18 (7) the Alaska higher education investment fund under AS 37.14.750;  19 (8) funding a scholarship awarded by a nonprofit organization to a  20 dual-credit student to defray the cost of a dual-credit course, including the cost of  21 (A) tuition and textbooks;  22 (B) registration, course, and programmatic student fees;  23 (C) on-campus room and board at the postsecondary  24 institution in the state that provides the dual-credit course;  25 (D) transportation costs to and from a residential school  26 approved by the Department of Education and Early Development under  27 AS 14.16.200 or the postsecondary school in the state that provides the  28 dual-credit course; and  29 (E) other related educational and programmatic costs;  30 (9) constructing, operating, or maintaining a residential housing  31 facility by a residential school approved by the Department of Education and  01 Early Development under AS 14.16.200; 02 (10) childhood early learning and development programs and  03 educational support to childhood early learning and development programs  04 provided by a nonprofit corporation organized under AS 10.20, a tribal entity, or  05 a school district in the state, by the Department of Education and Early  06 Development, or through a state grant;  07 (11) science, technology, engineering, and math programs  08 provided by a nonprofit agency or a school district for school staff and for  09 students in grades kindergarten through 12 in the state; and  10 (12) the operation of a nonprofit organization dedicated to  11 providing educational opportunities that promote the legacy of public service  12 contributions to the state and perpetuate ongoing educational programs that  13 foster public service leadership for future generations of residents of the state. 14  * Sec. 41. AS 43.75.018(a), as amended by sec. 42, ch. 92, SLA 2010, sec. 14, ch. 7, 15 FSSLA 2011, and sec. 23, ch. 74, SLA 2012, is amended to read: 16 (a) A person engaged in a fisheries business is allowed a credit against the tax 17 due under this chapter for cash contributions accepted 18 (1) for direct instruction, research, and educational support purposes, 19 including library and museum acquisitions, and contributions to endowment, by an 20 Alaska university foundation, [OR] by a nonprofit, public or private, Alaska two-year 21 or four-year college accredited by a regional accreditation association, or by a public  22 or private nonprofit elementary or secondary school in the state; 23 (2) for secondary school level vocational education courses and 24 programs by a school district in the state; 25 (3) by a state-operated vocational technical education and training 26 school; [AND] 27 (4) for the Alaska higher education investment fund under 28 AS 37.14.750;  29 (5) for funding a scholarship awarded by a nonprofit organization  30 to a dual-credit student to defray the cost of a dual-credit course, including the  31 cost of  01 (A) tuition and textbooks;  02 (B) registration, course, and programmatic student fees;  03 (C) on-campus room and board at the postsecondary  04 institution in the state that provides the dual-credit course;  05 (D) transportation costs to and from a residential school  06 approved by the Department of Education and Early Development under  07 AS 14.16.200 or the postsecondary school in the state that provides the  08 dual-credit course; and  09 (E) other related educational and programmatic costs;  10 (6) for constructing, operating, or maintaining a residential  11 housing facility by a residential school approved by the Department of Education  12 and Early Development under AS 14.16.200; 13 (7) for childhood early learning and development programs and  14 educational support to childhood early learning and development programs  15 provided by a nonprofit corporation organized under AS 10.20, a tribal entity, or  16 a school district in the state, by the Department of Education and Early  17 Development, or through a state grant; and  18 (8) for the operation of a nonprofit organization dedicated to  19 providing educational opportunities that promote the legacy of public service  20 contributions to the state and perpetuate ongoing educational programs that  21 foster public service leadership for future generations of residents of the state.  22  * Sec. 42. AS 43.75.018(f) is amended by adding new paragraphs to read: 23 (3) "dual-credit student" means a secondary level student in the state 24 who simultaneously earns college and high school credit for a course; 25 (4) "nonprofit organization" means a charitable or educational 26 organization in the state that is exempt from taxation under 26 U.S.C. 501(c)(3) 27 (Internal Revenue Code). 28  * Sec. 43. AS 43.77.045(a) is amended to read: 29 (a) In addition to the credit allowed under AS 43.77.040, a person engaged in 30 a floating fisheries business is allowed a credit against the tax due under this chapter 31 for cash contributions accepted for 01 (1) direct instruction, research, and educational support purposes, 02 including library and museum acquisitions, and contributions to endowment, by an 03 Alaska university foundation, [OR] by a nonprofit, public or private, Alaska two-year 04 or four-year college accredited by a regional accreditation association, or by a public  05 or private nonprofit elementary or secondary school in the state; 06 (2) secondary school level vocational education courses, programs, and 07 facilities by a school district in the state; 08 (3) vocational education courses, programs, and facilities by a state- 09 operated vocational technical education and training school; 10 (4) a facility [OR AN ANNUAL INTERCOLLEGIATE SPORTS 11 TOURNAMENT] by a nonprofit, public or private, Alaska two-year or four-year 12 college accredited by a regional accreditation association or by a public or private  13 nonprofit elementary or secondary school in the state; 14 (5) Alaska Native cultural or heritage programs and educational 15 support, including mentoring and tutoring, provided by a nonprofit agency for public 16 school staff and for students who are in grades kindergarten through 12 in the state; 17 (6) education, research, rehabilitation, and facilities by an institution 18 that is located in the state and that qualifies as a coastal ecosystem learning center 19 under the Coastal America Partnership established by the federal government; [AND] 20 (7) the Alaska higher education investment fund under AS 37.14.750;  21 (8) funding a scholarship awarded by a nonprofit organization to a  22 dual-credit student to defray the cost of a dual-credit course, including the cost of  23 (A) tuition and textbooks;  24 (B) registration, course, and programmatic student fees;  25 (C) on-campus room and board at the postsecondary  26 institution in the state that provides the dual-credit course;  27 (D) transportation costs to and from a residential school  28 approved by the Department of Education and Early Development under  29 AS 14.16.200 or the postsecondary school in the state that provides the  30 dual-credit course; and  31 (E) other related educational and programmatic costs;  01 (9) constructing, operating, or maintaining a residential housing  02 facility by a residential school approved by the Department of Education and  03 Early Development under AS 14.16.200; 04 (10) childhood early learning and development programs and  05 educational support to childhood early learning and development programs  06 provided by a nonprofit corporation organized under AS 10.20, a tribal entity, or  07 a school district in the state, by the Department of Education and Early  08 Development, or through a state grant;  09 (11) science, technology, engineering, and math programs  10 provided by a nonprofit agency or a school district for school staff and for  11 students in grades kindergarten through 12 in the state; and  12 (12) the operation of a nonprofit organization dedicated to  13 providing educational opportunities that promote the legacy of public service  14 contributions to the state and perpetuate ongoing educational programs that  15 foster public service leadership for future generations of residents of the state. 16  * Sec. 44. AS 43.77.045(a), as amended by sec. 49, ch. 92, SLA 2010, sec. 14, ch. 7, 17 FSSLA 2011, and sec. 25, ch. 74, SLA 2012, is amended to read: 18 (a) In addition to the credit allowed under AS 43.77.040, a person engaged in 19 a floating fisheries business is allowed a credit against the tax due under this chapter 20 for cash contributions accepted 21 (1) for direct instruction, research, and educational support purposes, 22 including library and museum acquisitions, and contributions to endowment, by an 23 Alaska university foundation, [OR] by a nonprofit, public or private, Alaska two-year 24 or four-year college accredited by a regional accreditation association, or by a public  25 or private nonprofit elementary or secondary school in the state; 26 (2) for secondary school level vocational education courses and 27 programs by a school district in the state; 28 (3) by a state-operated vocational technical education and training 29 school; [AND] 30 (4) for the Alaska higher education investment fund under 31 AS 37.14.750;  01 (5) for funding a scholarship awarded by a nonprofit organization  02 to a dual-credit student to defray the cost of a dual-credit course, including the  03 cost of  04 (A) tuition and textbooks;  05 (B) registration, course, and programmatic student fees;  06 (C) on-campus room and board at the postsecondary  07 institution in the state that provides the dual-credit course;  08 (D) transportation costs to and from a residential school  09 approved by the Department of Education and Early Development under  10 AS 14.16.200 or the postsecondary school in the state that provides the  11 dual-credit course; and  12 (E) other related educational and programmatic costs;  13 (6) for constructing, operating, or maintaining a residential  14 housing facility by a residential school approved by the Department of Education  15 and Early Development under AS 14.16.200; 16 (7) for childhood early learning and development programs and  17 educational support to childhood early learning and development programs  18 provided by a nonprofit corporation organized under AS 10.20, a tribal entity, or  19 a school district in the state, by the Department of Education and Early  20 Development; and  21 (8) for the operation of a nonprofit organization dedicated to  22 providing educational opportunities that promote the legacy of public service  23 contributions to the state and perpetuate ongoing educational programs that  24 foster public service leadership for future generations of residents of the state.  25  * Sec. 45. AS 43.77.045(f) is amended by adding new paragraphs to read: 26 (3) "dual-credit student" means a secondary level student in the state 27 who simultaneously earns college and high school credit for a course; 28 (4) "nonprofit organization" means a charitable or educational 29 organization in the state that is exempt from taxation under 26 U.S.C. 501(c)(3) 30 (Internal Revenue Code). 31  * Sec. 46. AS 14.07.165(5) and AS 14.20.147(b) are repealed. 01  * Sec. 47. Section 3, ch. 91, SLA 2010, is repealed. 02  * Sec. 48. The uncodified law of the State of Alaska is amended by adding a new section to 03 read: 04 TRANSITION: CHARTER SCHOOL APPLICATIONS. Sections 8 and 9 of this Act 05 apply to charter school applications filed with a local school board on or after July 1, 2014. 06  * Sec. 49. The uncodified law of the State of Alaska is amended by adding a new section to 07 read: 08 TRANSITION: REGULATIONS. The Department of Education and Early 09 Development, the Department of Labor and Workforce Development, and the Department of 10 Revenue may adopt regulations necessary to implement their respective changes made by this 11 Act. The regulations take effect under AS 44.62 (Administrative Procedure Act), but not 12 before the effective date of the relevant provision of this Act implemented by the regulation. 13  * Sec. 50. The uncodified law of the State of Alaska is amended by adding a new section to 14 read: 15 SCHOOL DISTRICT COST FACTOR STUDY. The Legislative Budget and Audit 16 Committee shall provide for a study to be completed not later than January 31, 2017, by an 17 entity with expertise in school finance to evaluate the school district cost factor under 18 AS 14.17.460. The study must either validate the school district cost factor or recommend 19 changes to update the school district cost factor. The study must include a review of the most 20 recent school district operating cost data and the same criteria as the study conducted by the 21 Institute of Social and Economic Research in 2005 titled "Alaska School District Cost Study 22 Update." The committee shall provide a copy of the study conducted under this section to the 23 legislature not later than January 31, 2017. 24  * Sec. 51. The uncodified law of the State of Alaska is amended by adding a new section to 25 read: 26 SCHOOL SIZE FACTOR STUDY. The Legislative Budget and Audit Committee 27 shall provide for a study to be completed not later than January 31, 2017, by an entity with 28 expertise in school finance to evaluate the school size factor under AS 14.17.450. The study 29 must either validate the school size factor or recommend changes to update the school size 30 factor. The study must include a review of the most recent school operating cost data and the 31 same criteria as the study conducted by the McDowell Group in 1998 titled "Alaska School 01 Operating Cost Study." The committee shall provide a copy of the study conducted under this 02 section to the legislature not later than January 31, 2017. 03  * Sec. 52. The uncodified law of the State of Alaska is amended by adding a new section to 04 read: 05 SCHOOL DESIGN AND CONSTRUCTION REPORT. The Department of 06 Education and Early Development shall prepare and submit a report to the legislature not later 07 than January 31, 2016, on the benefits and disadvantages of using prototypical designs for 08 school construction in both the Railbelt and rural areas of the state. 09  * Sec. 53. The uncodified law of the State of Alaska is amended by adding a new section to 10 read: 11 PILOT PROJECT TO EXPAND MIDDLE SCHOOL SCIENCE, TECHNOLOGY, 12 ENGINEERING, AND MATHEMATICS EDUCATION. (a) Subject to appropriation, the 13 Department of Education and Early Development may award a grant to a nonprofit 14 organization for a pilot project for the purpose of expanding science, technology, engineering, 15 and mathematics education for underserved and unrepresented middle school students with 16 limited opportunities who are enrolled in a public school in the state. A nonprofit organization 17 may apply for the grant by submitting an application to the commissioner of education and 18 early development. A grant may be awarded only to a nonprofit organization with experience 19 in administering a similar education program. 20 (b) A nonprofit organization receiving a grant under (a) of this section shall provide 21 data on educational opportunities provided under the pilot project in an annual report to the 22 Department of Education and Early Development and the legislature. 23 (c) The pilot project established under (a) of this section terminates June 30, 2017. 24  * Sec. 54. The uncodified law of the State of Alaska is amended by adding a new section to 25 read: 26 RETROACTIVE ISSUANCE OF A HIGH SCHOOL DIPLOMA. (a) At the request 27 of a student, a school district shall issue a high school diploma to a student who did not 28 receive a high school diploma because the student failed to pass all or a portion of the 29 secondary school competency examination but who received a certificate of achievement 30 under former AS 14.03.075. A school district shall mail a notice consistent with this section to 31 each student who qualifies for a diploma under this section to the student's last known 01 address. 02 (b) The Department of Education and Early Development shall post a notice 03 consistent with this section on the department's Internet website with information about how 04 to request a high school diploma. 05 (c) In this section, "school district" has the meaning given in AS 14.30.350. 06  * Sec. 55. The uncodified law of the State of Alaska is amended by adding a new section to 07 read: 08 LEGISLATIVE BUDGET AND AUDIT COMMITTEE SALARY AND BENEFITS 09 STUDY. The Legislative Budget and Audit Committee shall provide for a study of salary and 10 benefits schedules of school districts as defined under AS 14.30.350 and present to the 11 legislature, not later than January 1, 2016, a written report on the study. 12  * Sec. 56. Sections 29, 49, and 54 of this Act take effect immediately under 13 AS 01.10.070(c). 14  * Sec. 57. Sections 2 and 30 - 32 of this Act take effect July 1, 2015. 15  * Sec. 58. Sections 35, 38, 41, and 44 of this Act take effect January 1, 2021. 16  * Sec. 59. Except as provided in secs. 56 - 58 of this Act, this Act takes effect July 1, 2014.