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CSHB 278(EDC) Detail
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CSHB 278(EDC): "An Act increasing the base student allocation used in the formula for state funding of public education; relating to the secondary student competency examination and related requirements; relating to high school course credit earned through assessment; relating to school performance reports; relating to assessments; relating to charter schools and student transportation; relating to school construction bonds; relating to residential school applications; increasing the stipend for boarding school students; relating to unemployment contributions for the Alaska technical and vocational education program; relating to earning high school credit for completion of vocational education courses offered by institutions receiving technical and vocational education program funding; relating to education tax credits; making conforming amendments; and providing for an effective date."

00 CS FOR HOUSE BILL NO. 278(EDC) 01 "An Act increasing the base student allocation used in the formula for state funding of 02 public education; relating to the secondary student competency examination and related 03 requirements; relating to high school course credit earned through assessment; relating 04 to school performance reports; relating to assessments; relating to charter schools and 05 student transportation; relating to school construction bonds; relating to residential 06 school applications; increasing the stipend for boarding school students; relating to 07 unemployment contributions for the Alaska technical and vocational education 08 program; relating to earning high school credit for completion of vocational education 09 courses offered by institutions receiving technical and vocational education program 10 funding; relating to education tax credits; making conforming amendments; and 11 providing for an effective date." 12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:

01 * Section 1. AS 14.03 is amended by adding a new section to read: 02 Sec. 14.03.073. Secondary school course credit. (a) A school district shall 03 provide the opportunity for students enrolled in a secondary school in the district to 04 challenge a course provided by the district by demonstrating mastery in the subject at 05 the level of the course challenged. A school district shall give full credit for a course to 06 a student who successfully challenges that course as provided under this section. 07 (b) A school district shall establish, within a reasonable time, an assessment 08 tool and a standard for demonstrating mastery in secondary school courses provided 09 by the district that are likely to be or have been the subject of a challenge requested 10 under this section. 11 (c) The board shall adopt regulations to implement this section. 12 (d) In this section, "school district" has the meaning given in AS 14.30.350. 13 * Sec. 2. AS 14.03.078 is amended to read: 14 Sec. 14.03.078. Report. The department shall provide to the legislature by 15 February 15 of each year an annual report regarding the progress of each school and 16 school district toward high academic performance by all students. The report required 17 under this section must include 18 (1) information described under AS 14.03.120(d); 19 (2) [THE NUMBER AND PERCENTAGE OF STUDENTS IN 20 EACH SCHOOL WHO PASS THE EXAMINATION REQUIRED UNDER 21 AS 14.03.075, AND THE NUMBER WHO PASS EACH SECTION OF THE 22 EXAMINATION; 23 (3)] progress of the department 24 (A) toward implementing the school accountability provisions 25 of AS 14.03.123; and 26 (B) in assisting high schools to become accredited; 27 (3) [(4)] a description of the resources provided to each school and 28 school district for coordinated school improvement activities and staff training in each 29 school and school district; 30 (4) [(5)] each school district's and each school's progress in aligning 31 curriculum with state education performance standards;

01 (5) [(6)] a description of the efforts by the department to assist a public 02 school or district that receives a low performance designation under AS 14.03.123 03 [OF DEFICIENT OR IN CRISIS]; 04 (6) [(7)] a description of intervention efforts by each school district 05 and school for students who are not meeting state performance standards; and 06 (7) [(8)] the number and percentage of turnover in certificated 07 personnel and superintendents [; 08 (9) THE NUMBER OF TEACHERS BY DISTRICT AND BY 09 SCHOOL WHO ARE TEACHING OUTSIDE THE TEACHER'S AREA OF 10 ENDORSEMENT BUT IN AREAS TESTED BY THE HIGH SCHOOL 11 COMPETENCY EXAMINATION]. 12 * Sec. 3. AS 14.03.120(d) is amended to read: 13 (d) Annually, before the date set by the district under (e) of this section, each 14 public school shall deliver to the department for posting on the department's Internet 15 website and provide, in a public meeting of parents, students, and community 16 members, a report on the school's performance and the performance of the school's 17 students. The report shall be prepared on a form prescribed by the department and 18 must include 19 (1) information on accreditation; 20 (2) results of norm-referenced achievement tests; 21 (3) results of state standards-based assessments in language arts 22 [READING, WRITING,] and mathematics; 23 (4) a description, including quantitative and qualitative measures, of 24 student, parent, community, and business involvement in student learning; 25 (5) a description of the school's attendance, retention, dropout, and 26 graduation rates [, INCLUDING THE NUMBER AND PERCENTAGE OF 27 STUDENTS WHO RECEIVED A DIPLOMA UNDER A WAIVER FROM THE 28 COMPETENCY EXAMINATION REQUIRED UNDER AS 14.03.075(a),] as 29 specified by the state board; 30 (6) the annual percent of enrollment change, regardless of reason, and 31 the annual percent of enrollment change due to student transfers into and out of the

01 school district; 02 (7) if Native language education is provided, a summary and 03 evaluation of the curriculum described in AS 14.30.420; 04 (8) [THE NUMBER AND PERCENTAGE OF STUDENTS IN 05 EACH SCHOOL WHO TAKE AND WHO SUCCESSFULLY COMPLETE AN 06 ALTERNATIVE ASSESSMENT PROGRAM IN READING, ENGLISH, OR 07 MATHEMATICS; AND THE NUMBER AND PERCENTAGE OF PUPILS IN 08 EACH SCHOOL WHO SUCCESSFULLY COMPLETE THE ALTERNATIVE 09 ASSESSMENT PROGRAM BUT WHO DO NOT REACH THE STATE 10 PERFORMANCE STANDARDS AT THE COMPETENCY EXAM LEVEL IN 11 READING, ENGLISH, OR MATHEMATICS; A SCHOOL MAY NOT REPORT 12 RESULTS UNDER THIS PARAGRAPH UNLESS THE SCHOOL COMPLIES 13 WITH THE FAMILY EDUCATIONAL RIGHTS AND PRIVACY 14 REQUIREMENTS OF 34 C.F.R. 99; 15 (9)] the performance designation assigned the school under 16 AS 14.03.123 and the methodology used to assign the performance designation, 17 including the measures used and their relative weights; [AND] 18 (9) [(10)] other information concerning school performance and the 19 performance of the school's students as required by the state board in regulation; and 20 (10) information on the number, attendance, and performance of 21 students enrolled in the school whose parents or guardians are on active duty in 22 the armed forces of the United States, the United States Coast Guard, the Alaska 23 National Guard, the Alaska Naval Militia, or the Alaska State Defense Force. 24 * Sec. 4. AS 14.03.123(f) is amended to read: 25 (f) In the accountability system for schools and districts required by this 26 section, the department shall 27 (1) implement 20 U.S.C. 6301 - 7941 (Elementary and Secondary 28 Education Act of 1965), as amended; 29 (2) implement state criteria and priorities for accountability including 30 the use of 31 (A) measures of student performance on standards-based

01 assessments in language arts [READING, WRITING,] and mathematics [, 02 AND INCLUDING COMPETENCY TESTS REQUIRED UNDER 03 AS 14.03.075]; 04 (B) measures of student improvement; and 05 (C) other measures identified that are indicators of student 06 success and achievement; and 07 (3) to the extent practicable, minimize the administrative burden on 08 districts. 09 * Sec. 5. AS 14.03.250 is repealed and reenacted to read: 10 Sec. 14.03.250. Application for charter school. (a) A local school board shall 11 prescribe an application procedure for the establishment of a charter school in that 12 school district. The application procedure must include provisions for an academic 13 policy committee consisting of parents of students attending the school, teachers, and 14 school employees and a proposed form for a contract between a charter school and the 15 local school board, setting out the contract elements required under AS 14.03.255(c). 16 (b) A decision of a local school board approving or denying an application for 17 a charter school must be in writing, must be issued within 60 days after the 18 application, and must include all relevant findings of fact and conclusions of law. 19 (c) If a local school board approves an application for a charter school, the 20 local school board shall forward the application to the state Board of Education and 21 Early Development for review and approval. 22 (d) If a local school board denies an application for a charter school, the 23 applicant may appeal the denial to the commissioner. The appeal to the commissioner 24 shall be filed not later than 60 days after the local school board issues its written 25 decision of denial. The commissioner shall review the local school board's decision to 26 determine whether the findings of fact are supported by substantial evidence and 27 whether the decision is contrary to law. A decision of the commissioner upholding the 28 denial by the local school board is a final decision not subject to appeal to the state 29 Board of Education and Early Development. 30 (e) If the commissioner approves a charter school application, the 31 commissioner shall forward the application to the state Board of Education and Early

01 Development for review and approval. The application shall be forwarded not later 02 than 30 days after the commissioner issues a written decision. The state Board of 03 Education and Early Development shall exercise independent judgment in evaluating 04 the application. 05 (f) Except as provided in (g) of this section, the state board shall operate a 06 charter school that has been approved by the state board on appeal of a denial of the 07 charter school application by the local school board under the laws governing the 08 operation and maintenance of a charter school, as if the state board were a school 09 district. 10 (g) A local school board that denied an application for a charter school 11 approved by the state board on appeal may elect to operate the charter school as 12 provided in AS 14.03.255 - 14.03.290. 13 * Sec. 6. AS 14.03 is amended by adding a new section to read: 14 Sec. 14.03.253. Charter school application appeal to commissioner. In an 15 appeal to the commissioner under AS 14.03.250, the commissioner shall review the 16 record before the local school board. The commissioner may request written 17 supplementation of the record from the applicant or the local school board. The 18 commissioner may 19 (1) remand the appeal to the local school board for further review; 20 (2) approve the charter school application and forward the application 21 to the state Board of Education and Early Development with or without added 22 conditions; or 23 (3) uphold the decision denying the charter school application. 24 * Sec. 7. AS 14.03.255(a) is amended to read: 25 (a) A charter school operates as a school in the local school district except that 26 the charter school (1) is exempt from the local school district's textbook, program, 27 curriculum, and scheduling requirements; (2) is exempt from AS 14.14.130(c); the 28 principal of the charter school shall be selected by the academic policy committee and 29 shall select, appoint, or otherwise supervise employees of the charter school; and (3) 30 operates under the charter school's annual program budget as set out in the contract 31 between the local school board and the charter school under (c) of this section. A local

01 school board may exempt a charter school from other local school district 02 requirements if the exemption is set out in the contract. A charter school is subject to 03 [SECONDARY SCHOOL COMPETENCY TESTING AS PROVIDED IN 04 AS 14.03.075 AND OTHER COMPETENCY] tests required by the department. 05 * Sec. 8. AS 14.03.255(d) is amended to read: 06 (d) A school district shall offer to a charter school the right of first refusal 07 for a lease of space [CHARTER SCHOOL MAY BE OPERATED] in an existing 08 school district facility or in a facility within the school district that is not currently 09 being used as a public school, if the chief school administrator determines the facility 10 meets requirements for health and safety applicable to public buildings or other public 11 schools in the district. The school district may negotiate a lease agreement with the 12 charter school for the true operational costs calculated on a square foot basis for 13 space leased under this subsection. 14 * Sec. 9. AS 14.03.260(a) is amended to read: 15 (a) A local school board shall provide an approved charter school with an 16 annual program budget. The budget shall be not less than the amount generated by the 17 students enrolled in the charter school less administrative costs retained by the local 18 school district, determined by applying the indirect cost rate approved by the 19 department up to 4 percent [DEPARTMENT OF EDUCATION AND EARLY 20 DEVELOPMENT]. The "amount generated by students enrolled in the charter school" 21 is to be determined in the same manner as it would be for a student enrolled in another 22 public school in that school district and includes funds generated by special needs 23 under AS 14.17.420(a)(1) and secondary school vocational and technical 24 instruction under AS 14.17.420(a)(3). A school district shall direct state aid under 25 AS 14.11 for the construction or major maintenance of a charter school facility to 26 the charter school that generated the state aid, subject to the same terms and 27 conditions that apply to state aid under AS 14.11 for construction or major 28 maintenance of a school facility that is not a charter school. 29 * Sec. 10. AS 14.07.020(a)(16) is amended to read: 30 (16) establish by regulation criteria, based on low student performance, 31 under which the department may intervene in a school district to improve instructional

01 practices, as described in AS 14.07.030(14) or (15); the regulations must include 02 (A) a notice provision that alerts the district to the deficiencies 03 and the instructional practice changes proposed by the department; 04 (B) an end date for departmental intervention, as described in 05 AS 14.07.030(14)(A) and (B) and (15), after the district demonstrates three 06 consecutive years of improvement consisting of not less than two percent 07 increases in student proficiency on standards-based assessments in language 08 arts and mathematics, [READING, AND WRITING] as provided in 09 AS 14.03.123(f)(2)(A); and 10 (C) a process for districts to petition the department for 11 continuing or discontinuing the department's intervention; 12 * Sec. 11. AS 14.07.020(b) is amended to read: 13 (b) In implementing its duties under (a)(2) of this section, the department shall 14 develop 15 (1) performance standards in language arts [READING, WRITING,] 16 and mathematics to be met at designated age levels by each student in public schools 17 in the state; and 18 (2) a comprehensive system of student assessments, composed of 19 multiple indicators of proficiency in language arts [READING, WRITING,] and 20 mathematics; this comprehensive system must 21 (A) be made available to all districts and regional educational 22 attendance areas; 23 (B) include a developmental profile for students entering 24 kindergarten or first grade; and 25 (C) include performance standards in language arts 26 [READING, WRITING,] and mathematics for students in age groups five 27 through seven, eight through 10, and 11 - 14. 28 * Sec. 12. AS 14.09.010 is amended by adding new subsections to read: 29 (e) A school district that provides transportation services under this section 30 shall provide transportation services to students attending a charter school operated by 31 the district under a policy adopted by the district. The policy must

01 (1) be developed with input solicited from individuals involved with 02 the charter school, including staff, students, and parents; and 03 (2) at a minimum, provide transportation services for students enrolled 04 in the charter school on a space available basis along the regular routes that the 05 students attending schools in an attendance area in the district are transported; and 06 (3) be approved by the department. 07 (f) If a school district fails to adopt a policy under (e) of this section, the 08 school district shall allocate the amount received for each student under (a) of this 09 section to each charter school operated by the district based on the number of students 10 enrolled in the charter school. 11 (g) Nothing in (e) of this section requires a school district to establish 12 dedicated transportation routes for the exclusive use of students enrolled in a charter 13 school or authorizes a charter school to opt out of a policy adopted by a school district 14 for the purpose of acquiring transportation funding. 15 * Sec. 13. AS 14.11.100(a) is amended to read: 16 (a) During each fiscal year, the state shall allocate to a municipality that is a 17 school district the following sums: 18 (1) payments made by the municipality during the fiscal year two years 19 earlier for the retirement of principal and interest on outstanding bonds, notes, or other 20 indebtedness incurred before July 1, 1977, to pay costs of school construction; 21 (2) 90 percent of 22 (A) payments made by the municipality during the fiscal year 23 two years earlier for the retirement of principal and interest on outstanding 24 bonds, notes, or other indebtedness incurred after June 30, 1977, and before 25 July 1, 1978, to pay costs of school construction; 26 (B) cash payments made after June 30, 1976, and before July 1, 27 1978, by the municipality during the fiscal year two years earlier to pay costs 28 of school construction; 29 (3) 90 percent of 30 (A) payments made by the municipality during the fiscal year 31 two years earlier for the retirement of principal and interest on outstanding

01 bonds, notes, or other indebtedness incurred after June 30, 1978, and before 02 January 1, 1982, to pay costs of school construction projects approved under 03 AS 14.07.020(a)(11); 04 (B) cash payments made after June 30, 1978, and before July 1, 05 1982, by the municipality during the fiscal year two years earlier to pay costs 06 of school construction projects approved under AS 14.07.020(a)(11); 07 (4) subject to (h) and (i) of this section, up to 90 percent of 08 (A) 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 incurred after December 31, 1981, and authorized 11 by the qualified voters of the municipality before July 1, 1983, to pay costs of 12 school construction, additions to schools, and major rehabilitation projects that 13 exceed $25,000 and are approved under AS 14.07.020(a)(11); 14 (B) cash payments made after June 30, 1982, and before July 1, 15 1983, by the municipality during the fiscal year two years earlier to pay costs 16 of school construction, additions to schools, and major rehabilitation projects 17 that exceed $25,000 and are approved under AS 14.07.020(a)(11); and 18 (C) payments made by the municipality during the current 19 fiscal year for the retirement of principal and interest on outstanding bonds, 20 notes, or other indebtedness to pay costs of school construction, additions to 21 schools, and major rehabilitation projects that exceed $25,000 and are 22 submitted to the department for approval under AS 14.07.020(a)(11) before 23 July 1, 1983, and approved by the qualified voters of the municipality before 24 October 15, 1983, not to exceed a total project cost of (i) $6,600,000 if the 25 annual growth rate of average daily membership of the municipality is more 26 than seven percent but less than 12 percent, or (ii) $20,000,000 if the annual 27 growth rate of average daily membership of the municipality is 12 percent or 28 more; payments made by a municipality under this subparagraph on total 29 project costs that exceed the amounts set out in (i) and (ii) of this subparagraph 30 are subject to (5)(A) of this subsection; 31 (5) subject to (h) - (j) of this section, 80 percent of

01 (A) payments made by the municipality during the fiscal year 02 for the retirement of principal and interest on outstanding bonds, notes, or 03 other indebtedness authorized by the qualified voters of the municipality 04 (i) after June 30, 1983, but before March 31, 1990, to 05 pay costs of school construction, additions to schools, and major 06 rehabilitation projects that exceed $25,000 and are approved under 07 AS 14.07.020(a)(11); or 08 (ii) before July 1, 1989, and reauthorized before 09 November 1, 1989, to pay costs of school construction, additions to 10 schools, and major rehabilitation projects that exceed $25,000 and are 11 approved under AS 14.07.020(a)(11); and 12 (B) cash payments made after June 30, 1983, by the 13 municipality during the fiscal year two years earlier to pay costs of school 14 construction, additions to schools, and major rehabilitation projects that exceed 15 $25,000 and are approved by the department before July 1, 1990, under 16 AS 14.07.020(a)(11); 17 (6) subject to (h) - (j) and (m) of this section, 70 percent of payments 18 made by the municipality during the fiscal year for the retirement of principal and 19 interest on outstanding bonds, notes, or other indebtedness authorized by the qualified 20 voters of the municipality on or after April 30, 1993, but before July 1, 1996, to pay 21 costs of school construction, additions to schools, and major rehabilitation projects 22 that exceed $200,000 and are approved under AS 14.07.020(a)(11); 23 (7) subject to (h) - (j) and (m) of this section, 70 percent of payments 24 made by the municipality during the fiscal year for the retirement of principal and 25 interest on outstanding bonds, notes, or other indebtedness authorized by the qualified 26 voters of the municipality after March 31, 1990, but before April 30, 1993, to pay 27 costs of school construction, additions to schools, and major rehabilitation projects; 28 (8) subject to (h), (i), (j)(2) - (5), and (n) of this section and after 29 projects funded by the bonds, notes, or other indebtedness have been approved by the 30 commissioner, 70 percent of payments made by the municipality during the fiscal year 31 for the retirement of principal and interest on outstanding bonds, notes, or other

01 indebtedness authorized by the qualified voters of the municipality on or after July 1, 02 1995, but before July 1, 1998, to pay costs of school construction, additions to 03 schools, and major rehabilitation projects that exceed $200,000 and are approved 04 under AS 14.07.020(a)(11); 05 (9) subject to (h), (i), (j)(2) - (5), and (n) of this section and after 06 projects funded by the bonds, notes, or other indebtedness have been approved by the 07 commissioner, 70 percent of payments made by the municipality during the fiscal year 08 for the retirement of principal and interest on outstanding bonds, notes, or other 09 indebtedness authorized by the qualified voters of the municipality on or after July 1, 10 1998, but before July 1, 2006, to pay costs of school construction, additions to 11 schools, and major rehabilitation projects that exceed $200,000 and are approved 12 under AS 14.07.020(a)(11); 13 (10) subject to (h), (i), (j)(2) - (5), and (o) of this section, and after 14 projects funded by the bonds, notes, or other indebtedness have been approved by the 15 commissioner, 70 percent of payments made by the municipality during the fiscal year 16 for the retirement of principal and interest on outstanding bonds, notes, or other 17 indebtedness authorized by the qualified voters of the municipality on or after June 30, 18 1998, to pay costs of school construction, additions to schools, and major 19 rehabilitation projects that exceed $200,000, are approved under AS 14.07.020(a)(11), 20 and are not reimbursed under (n) of this section; 21 (11) subject to (h), (i), and (j)(2) - (5) of this section, and after projects 22 funded by the bonds, notes, or other indebtedness have been approved by the 23 commissioner, 70 percent of payments made by a municipality during the fiscal year 24 for the retirement of principal and interest on outstanding bonds, notes, or other 25 indebtedness authorized by the qualified voters of the municipality on or after June 30, 26 1999, but before January 1, 2005, to pay costs of school construction, additions to 27 schools, and major rehabilitation projects and education-related facilities that exceed 28 $200,000, are approved under AS 14.07.020(a)(11), and are not reimbursed under (n) 29 or (o) of this section; 30 (12) subject to (h), (i), and (j)(2), (3), and (5) of this section, 60 percent 31 of payments made by a municipality during the fiscal year for the retirement of

01 principal and interest on outstanding bonds, notes, or other indebtedness authorized by 02 the qualified voters of the municipality on or after June 30, 1999, but before January 1, 03 2005, to pay costs of school construction, additions to schools, and major 04 rehabilitation projects and education-related facilities that exceed $200,000, are 05 reviewed under AS 14.07.020(a)(11), and are not reimbursed under (n) or (o) of this 06 section; 07 (13) subject to (h), (i), (j)(2) - (5), and (p) of this section, and after 08 projects funded by the tax exempt bonds, notes, or other indebtedness have been 09 approved by the commissioner, 70 percent of payments made by a municipality during 10 the fiscal year for the retirement of principal and interest on outstanding tax exempt 11 bonds, notes, or other indebtedness authorized by the qualified voters of the 12 municipality on or after June 30, 1999, but before October 31, 2006, to pay costs of 13 school construction, additions to schools, and major rehabilitation projects and 14 education-related facilities that exceed $200,000, are approved under 15 AS 14.07.020(a)(11), and are not reimbursed under (n) or (o) of this section; 16 (14) subject to (h), (i), (j)(2), (3), and (5), and (p) of this section, 60 17 percent of payments made by a municipality during the fiscal year for the retirement 18 of principal and interest on outstanding tax exempt bonds, notes, or other indebtedness 19 authorized by the qualified voters of the municipality on or after June 30, 1999, but 20 before October 31, 2006, to pay costs of school construction, additions to schools, and 21 major rehabilitation projects and education-related facilities that exceed $200,000, are 22 reviewed under AS 14.07.020(a)(11), and are not reimbursed under (n) or (o) of this 23 section; 24 (15) subject to (h), (i), (j)(2) - (5), and (q) of this section, and after 25 projects funded by the bonds, notes, or other indebtedness have been approved by the 26 commissioner, 90 percent of payments made by a municipality during the fiscal year 27 for the retirement of principal and interest on outstanding bonds, notes, or other 28 indebtedness authorized by the qualified voters of the municipality on or after June 30, 29 1999, but before October 31, 2006, to pay costs of school construction, additions to 30 schools, and major rehabilitation projects and education-related facilities that exceed 31 $200,000, are approved under AS 14.07.020(a)(11), meet the 10 percent participating

01 share requirement for a municipal school district under the former participating share 02 amounts required under AS 14.11.008(b), and are not reimbursed under (n) or (o) of 03 this section; 04 (16) subject to (h), (i), and (j)(2) - (5) of this section, and after projects 05 funded by the tax exempt bonds, notes, or other indebtedness have been approved by 06 the commissioner, 70 percent of payments made by a municipality during the fiscal 07 year for the retirement of principal and interest on outstanding tax exempt bonds, 08 notes, or other indebtedness authorized by the qualified voters of the municipality on 09 or after October 1, 2006, to pay costs of school construction, additions to schools, and 10 major rehabilitation projects and education-related facilities that exceed $200,000, are 11 approved under AS 14.07.020(a)(11), and are not reimbursed under (o) of this section; 12 (17) subject to (h), (i), and (j)(2), (3), and (5) of this section, 60 percent 13 of payments made by a municipality during the fiscal year for the retirement of 14 principal and interest on outstanding tax exempt bonds, notes, or other indebtedness 15 authorized by the qualified voters of the municipality on or after October 1, 2006, to 16 pay costs of school construction, additions to schools, and major rehabilitation projects 17 and education-related facilities that exceed $200,000, are reviewed under 18 AS 14.07.020(a)(11), and are not reimbursed under (o) of this section; 19 (18) subject to (h), (i), and (j)(2), (3), and (5) of this section, 70 20 percent of payments made by a municipality during the fiscal year in which a 21 charter school is operated, for the retirement of principal and interest on 22 outstanding tax exempt bonds, notes, or other indebtedness authorized by the 23 qualified voters of the municipality on or after July 1, 2014, but before 24 December 31, 2017, to pay costs of school construction, additions to schools, and 25 major rehabilitation projects for the purpose of operating the charter school 26 approved under AS 14.03.250; projects reimbursed under this paragraph must 27 exceed $200,000 and must be reviewed under AS 14.07.020(a)(11). 28 * Sec. 14. AS 14.16.050(a) is amended to read: 29 (a) The following provisions apply with respect to the operation and 30 management of a state boarding school as if it were a school district: 31 (1) requirements relating to school district operations:

01 (A) AS 14.03.030 - 14.03.050 (defining the school term, day in 02 session, and school holidays); 03 (B) AS 14.03.073 and 14.03.083 - 14.03.140 [AS 14.03.083 - 04 14.03.140] (miscellaneous provisions applicable to school district operations); 05 (C) regulations adopted by the board under authority of 06 AS 14.07.020(a) that are applicable to school districts and their schools, unless 07 the board specifically exempts state boarding schools from compliance with a 08 regulation; 09 (D) AS 14.12.150 (authorizing school districts to establish and 10 participate in the services of a regional resource center); 11 (E) AS 14.14.050 (imposing the requirement of an annual 12 audit); 13 (F) AS 14.14.110 (authorizing cooperation with other school 14 districts); 15 (G) AS 14.14.140(b) (establishing a prohibition on 16 employment of a relative of the chief school administrator); 17 (H) AS 14.18 (prohibiting discrimination based on sex in 18 public education); 19 (2) requirements relating to the public school funding program and the 20 receipt and expenditure of that funding: 21 (A) AS 14.17.500 (relating to student count estimates); 22 (B) AS 14.17.505 (relating to school operating fund balances); 23 (C) AS 14.17.500 - 14.17.910 (setting out the procedure for 24 payment of public school funding and imposing general requirements and 25 limits on money paid); 26 (3) requirements relating to teacher employment and retirement: 27 (A) AS 14.14.105 and 14.14.107 (relating to sick leave); 28 (B) AS 14.20.095 - 14.20.215 (relating to the employment and 29 tenure of teachers); 30 (C) AS 14.20.220 (relating to the salaries of teachers 31 employed);

01 (D) AS 14.20.280 - 14.20.350 (relating to sabbatical leave 02 provisions for teachers); 03 (E) AS 23.40.070 - 23.40.260 (authorizing collective 04 bargaining by certificated employees), except with regard to teachers who are 05 administrators and except that the board may delegate some or all of its 06 responsibilities under those statutes; 07 (F) AS 14.25 (provisions regarding the teachers' retirement 08 system); 09 (4) requirements relating to students and educational programs: 10 (A) AS 14.30.180 - 14.30.350 (relating to educational services 11 for children with disabilities); 12 (B) AS 14.30.360 - 14.30.370 (establishing health education 13 program standards); 14 (C) AS 14.30.400 - 14.30.410 (relating to bilingual and 15 bicultural education). 16 * Sec. 15. AS 14.16 is amended by adding a new section to article 2 to read: 17 Sec. 14.16.100. Application for residential school. A school district shall 18 apply to the department for approval to establish and operate a statewide or district- 19 wide residential school. The department shall accept applications during an open 20 application period conducted annually. A period of open application in itself does not 21 indicate that the department will approve the establishment of a new residential 22 school. 23 * Sec. 16. AS 14.16.200(b) is amended to read: 24 (b) Costs that may be claimed by a district for reimbursement under (a) of this 25 section are 26 (1) one round trip on the least expensive means of transportation 27 between the student's community of residence and the school during the school year if 28 the district expends money for the trip; and 29 (2) a per-pupil monthly stipend to cover room and board expenses as 30 determined by the department on a regional basis and not to exceed the following 31 amounts:

01 (A) for the Southeast Region (Region I), $1,230 [$820]; 02 (B) for the Southcentral Region (Region II), $1,200 [$800]; 03 (C) for the Interior Region (Region III), $1,452 [$968]; 04 (D) for the Southwest Region (Region IV), $1,509 [$1,006]; 05 (E) for the Northern Remote Region (Region V), $1,776 06 [$1,184]. 07 * Sec. 17. AS 14.17.450(d) is amended to read: 08 (d) If a charter school has a student count of more than 74 [120] but less than 09 150 for the current year and is in the first three years [YEAR] of operation or had a 10 student count of at least 75 [150 OR MORE] in the previous year of operation, 11 (1) the adjusted student count for the school shall be calculated by 12 multiplying the student count by [95 PERCENT OF] the student rate for a school that 13 has a student count of 150; and 14 (2) not later than February 15, the charter school shall submit for 15 approval of the governing board of the district a plan for the following school year that 16 includes a statement about whether the school will continue to operate if the student 17 count remains the same that year and, if so, a projection of the funding anticipated 18 from the state and other sources, a proposed budget, and a description of anticipated 19 changes to the school staff, program, and curriculum; if the school intends to close if 20 the student count remains the same the following year, the plan must describe transfer 21 plans for students, staff, facilities, and materials. 22 * Sec. 18. AS 14.17.470 is amended to read: 23 Sec. 14.17.470. Base student allocation. The base student allocation is $5,765 24 [$5,680]. 25 * Sec. 19. AS 14.17.470, as amended by sec. 18 of this Act, is amended to read: 26 Sec. 14.17.470. Base student allocation. The base student allocation is $5,823 27 [$5,765]. 28 * Sec. 20. AS 14.17.470, as amended by secs. 18 and 19 of this Act, is amended to read: 29 Sec. 14.17.470. Base student allocation. The base student allocation is $5,881 30 [$5,823]. 31 * Sec. 21. AS 23.15.835(d) is amended to read:

01 (d) Notwithstanding AS 23.15.840(a), for the fiscal years ending June 30, 02 2015 [2009], through June 30, 2024 [2014], the money collected under this section or 03 otherwise appropriated to the Alaska Workforce Investment Board, formerly known as 04 the Alaska Human Resource Investment Council, shall be allocated directly in the 05 following percentages to the following institutions for programs consistent with 06 AS 23.15.820 - 23.15.850 and capital improvements: 07 University of Alaska 42 [45] percent 08 University of Alaska Southeast 5 percent 09 Galena Project Education Vocational Training Center 4 percent 10 Kotzebue Technical Center 9 percent 11 Alaska Vocational Technical Center 17 percent 12 Northwestern Alaska Career and Technical Center 3 percent 13 Southwest Alaska Vocational and Education Center 3 percent 14 Yuut Elitnaurviat, Inc. People's Learning Center 9 percent 15 Delta Career Advancement Center 3 percent 16 New Frontier Vocational Technical Center 2 percent 17 Southern Southeast Alaska Technical Education Center 3 percent. 18 * Sec. 22. AS 23.15.835(e) is amended to read: 19 (e) The institutions receiving funding under (d) of this section shall provide an 20 expenditure and performance report to the department by November 1 of each year 21 that includes [THE] 22 (1) the percentage of former participants in the program who have jobs 23 one year after leaving the program; 24 (2) the median wage of former participants seven to 12 months after 25 leaving the program; 26 (3) the percentage of former participants who were employed after 27 leaving the program who received training under the program that was related or 28 somewhat related to the former participants' jobs seven to 12 months after leaving the 29 program; 30 (4) the percentage of former participants who indicate some level of 31 satisfaction with the training received under the program; [AND]

01 (5) the percentage of employers who indicate satisfaction with the 02 services provided through the program; 03 (6) a description of each vocational education course funded 04 through the allocation set out in (d) of this section that permits high school 05 students to earn dual credit upon course completion, and the number of high 06 school students who earned dual credit in the past year; 07 (7) a copy of any articulation agreement established under (g) of 08 this section that either was in effect for the preceding year or is in process for the 09 next year of funding, and the number of high school students who earned dual 10 credit under each articulation agreement; and 11 (8) the performance and financial information needed to verify the 12 performance of the program as specified by the department by regulation. 13 * Sec. 23. AS 23.15.835 is amended by adding new subsections to read: 14 (g) The institutions receiving funding under (d) of this section shall establish 15 and maintain at least one articulation agreement under which dual credit may be 16 earned by high school students upon completion of a vocational education course. 17 (h) An institution's failure to comply with (e) or (g) of this section shall result 18 in a withholding penalty of 20 percent of the funding allocated under (d) of this 19 section in the following year. 20 * Sec. 24. AS 23.15.850 is amended by adding new paragraphs to read: 21 (3) "articulation agreement" means a dual-credit partnership between a 22 school district and an institution receiving funding under AS 23.15.835(d) that 23 describes vocational education courses, student eligibility, course location, academic 24 policies, student support services, credit on a student's transcript, funding, and other 25 items required by the partnering institutions; 26 (4) "dual credit" means simultaneous high school credit and credit 27 toward a career or vocational certification. 28 * Sec. 25. AS 43.20.014(a) is amended to read: 29 (a) A taxpayer is allowed a credit against the tax due under this chapter for 30 cash contributions accepted for 31 (1) direct instruction, research, and educational support purposes,

01 including library and museum acquisitions, and contributions to endowment, by an 02 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 03 four-year college accredited by a regional accreditation association; 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 tournament by a 09 nonprofit, public or private, Alaska two-year or four-year college accredited by a 10 regional accreditation association; 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 in the state approved by the Department of 31 Education and Early Development under AS 14.16.200; and

01 (10) childhood early learning and development programs and 02 educational support to childhood early learning and development programs 03 provided by a for-profit corporation, a nonprofit corporation organized under 04 AS 10.20, a tribal entity, or a school district in the state, by the Department of 05 Education and Early Development, or through a state grant. 06 * Sec. 26. AS 43.20.014(a), as amended by sec. 14, ch. 92, SLA 2010, sec. 14, ch. 7, 07 FSSLA 2011, and sec. 15, ch. 74, SLA 2012, is amended to read: 08 (a) A taxpayer is allowed a credit against the tax due under this chapter for 09 cash contributions accepted 10 (1) for direct instruction, research, and educational support purposes, 11 including library and museum acquisitions, and contributions to endowment, by an 12 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 13 four-year college accredited by a regional accreditation association; 14 (2) for secondary school level vocational education courses and 15 programs by a school district in the state; 16 (3) by a state-operated vocational technical education and training 17 school; [AND] 18 (4) for the Alaska higher education investment fund under 19 AS 37.14.750; 20 (5) for funding a scholarship awarded by a nonprofit organization 21 to a dual-credit student to defray the cost of a dual-credit course, including the 22 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 (6) for constructing, operating, or maintaining a residential 02 housing facility by a residential school approved by the Department of Education 03 and Early Development under AS 14.16.200; and 04 (7) for childhood early learning and development programs and 05 educational support to childhood early learning and development programs 06 provided by a for-profit corporation, a nonprofit corporation organized under 07 AS 10.20, a tribal entity, or a school district in the state, by the Department of 08 Education and Early Development, or through a state grant. 09 * Sec. 27. AS 43.20.014(f) is amended by adding new paragraphs to read: 10 (3) "dual-credit student" means a secondary level student in the state 11 who simultaneously earns college and high school credit for a course; 12 (4) "nonprofit organization" means a charitable or educational 13 organization in the state that is exempt from taxation under 26 U.S.C. 501(c)(3) 14 (Internal Revenue Code). 15 * Sec. 28. AS 43.65.018(a) is amended to read: 16 (a) A person engaged in the business of mining in the state is allowed a credit 17 against the tax due under this chapter for cash contributions accepted for 18 (1) 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 or 21 four-year college accredited by a regional accreditation association; 22 (2) secondary school level vocational education courses, programs, and 23 facilities by a school district in the state; 24 (3) vocational education courses, programs, and facilities by a state- 25 operated vocational technical education and training school; 26 (4) a facility or an annual intercollegiate sports tournament by a 27 nonprofit, public or private, Alaska two-year or four-year college accredited by a 28 regional accreditation association; 29 (5) Alaska Native cultural or heritage programs and educational 30 support, including mentoring and tutoring, provided by a nonprofit agency for public 31 school staff and for students who are in grades kindergarten through 12 in the state;

01 (6) education, research, rehabilitation, and facilities by an institution 02 that is located in the state and that qualifies as a coastal ecosystem learning center 03 under the Coastal America Partnership established by the federal government; [AND] 04 (7) the Alaska higher education investment fund under AS 37.14.750; 05 (8) funding a scholarship awarded by a nonprofit organization to a 06 dual-credit student to defray the cost of a dual-credit course, including the cost of 07 (A) tuition and textbooks; 08 (B) registration, course, and programmatic student fees; 09 (C) on-campus room and board at the postsecondary 10 institution in the state that provides the dual-credit course; 11 (D) transportation costs to and from a residential school 12 approved by the Department of Education and Early Development under 13 AS 14.16.200 or the postsecondary school in the state that provides the 14 dual-credit course; and 15 (E) other related educational and programmatic costs; 16 (9) constructing, operating, or maintaining a residential housing 17 facility by a residential school approved by the Department of Education and 18 Early Development under AS 14.16.200; and 19 (10) childhood early learning and development programs and 20 educational support to childhood early learning and development programs 21 provided by a for-profit corporation, a nonprofit corporation organized under 22 AS 10.20, a tribal entity, or a school district in the state, by the Department of 23 Education and Early Development, or through a state grant. 24 * Sec. 29. AS 43.65.018(a), as amended by sec. 35, ch. 92, SLA 2010, sec. 14, ch. 7, 25 FSSLA 2011, and sec. 21, ch. 74, SLA 2012, is amended to read: 26 (a) A person engaged in the business of mining in the state is allowed a credit 27 against the tax due under this chapter for cash contributions accepted 28 (1) for direct instruction, research, and educational support purposes, 29 including library and museum acquisitions, and contributions to endowment, by an 30 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 31 four-year college accredited by a regional accreditation association;

01 (2) for secondary school level vocational education courses and 02 programs by a school district in the state; 03 (3) by a state-operated vocational technical education and training 04 school; [AND] 05 (4) for the Alaska higher education investment fund under 06 AS 37.14.750; 07 (5) for funding a scholarship awarded by a nonprofit organization 08 to a dual-credit student to defray the cost of a dual-credit course, including the 09 cost of 10 (A) tuition and textbooks; 11 (B) registration, course, and programmatic student fees; 12 (C) on-campus room and board at the postsecondary 13 institution in the state that provides the dual-credit course; 14 (D) transportation costs to and from a residential school 15 approved by the Department of Education and Early Development under 16 AS 14.16.200 or the postsecondary school in the state that provides the 17 dual-credit course; and 18 (E) other related educational and programmatic costs; 19 (6) for constructing, operating, or maintaining a residential 20 housing facility by a residential school approved by the Department of Education 21 and Early Development under AS 14.16.200; and 22 (7) for childhood early learning and development programs and 23 educational support to childhood early learning and development programs 24 provided by a for-profit corporation, a nonprofit corporation organized under 25 AS 10.20, a tribal entity, or a school district in the state, by the Department of 26 Education and Early Development, or through a state grant. 27 * Sec. 30. AS 43.65.018(f) is amended by adding new paragraphs to read: 28 (3) "dual-credit student" means a secondary level student in the state 29 who simultaneously earns college and high school credit for a course; 30 (4) "nonprofit organization" means a charitable or educational 31 organization in the state that is exempt from taxation under 26 U.S.C. 501(c)(3)

01 (Internal Revenue Code). 02 * Sec. 31. AS 43.75.018(a) is amended to read: 03 (a) A person engaged in a fisheries business is allowed a credit against the tax 04 due under this chapter for cash contributions accepted for 05 (1) direct instruction, research, and educational support purposes, 06 including library and museum acquisitions, and contributions to endowment, by an 07 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 08 four-year college accredited by a regional accreditation association; 09 (2) secondary school level vocational education courses, programs, and 10 facilities by a school district in the state; 11 (3) vocational education courses, programs, and facilities by a state- 12 operated vocational technical education and training school; 13 (4) a facility or an annual intercollegiate sports tournament by a 14 nonprofit, public or private, Alaska two-year or four-year college accredited by a 15 regional accreditation association; 16 (5) Alaska Native cultural or heritage programs and educational 17 support, including mentoring and tutoring, provided by a nonprofit agency for public 18 school staff and for students who are in grades kindergarten through 12 in the state; 19 (6) education, research, rehabilitation, and facilities by an institution 20 that is located in the state and that qualifies as a coastal ecosystem learning center 21 under the Coastal America Partnership established by the federal government; [AND] 22 (7) the Alaska higher education investment fund under AS 37.14.750; 23 (8) funding a scholarship awarded by a nonprofit organization to a 24 dual-credit student to defray the cost of a dual-credit course, including the cost of 25 (A) tuition and textbooks; 26 (B) registration, course, and programmatic student fees; 27 (C) on-campus room and board at the postsecondary 28 institution in the state that provides the dual-credit course; 29 (D) transportation costs to and from a residential school 30 approved by the Department of Education and Early Development under 31 AS 14.16.200 or the postsecondary school in the state that provides the

01 dual-credit course; and 02 (E) other related educational and programmatic costs; 03 (9) constructing, operating, or maintaining a residential housing 04 facility by a residential school approved by the Department of Education and 05 Early Development under AS 14.16.200; and 06 (10) childhood early learning and development programs and 07 educational support to childhood early learning and development programs 08 provided by a for-profit corporation, a nonprofit corporation organized under 09 AS 10.20, a tribal entity, or a school district in the state, by the Department of 10 Education and Early Development, or through a state grant. 11 * Sec. 32. AS 43.75.018(a), as amended by sec. 42, ch. 92, SLA 2010, sec. 14, ch. 7, 12 FSSLA 2011, and sec. 23, ch. 74, SLA 2012, is amended to read: 13 (a) A person engaged in a fisheries business is allowed a credit against the tax 14 due under this chapter for cash contributions accepted 15 (1) for direct instruction, research, and educational support purposes, 16 including library and museum acquisitions, and contributions to endowment, by an 17 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 18 four-year college accredited by a regional accreditation association; 19 (2) for secondary school level vocational education courses and 20 programs by a school district in the state; 21 (3) by a state-operated vocational technical education and training 22 school; [AND] 23 (4) for the Alaska higher education investment fund under 24 AS 37.14.750; 25 (5) for funding a scholarship awarded by a nonprofit organization 26 to a dual-credit student to defray the cost of a dual-credit course, including the 27 cost of 28 (A) tuition and textbooks; 29 (B) registration, course, and programmatic student fees; 30 (C) on-campus room and board at the postsecondary 31 institution in the state that provides the dual-credit course;

01 (D) transportation costs to and from a residential school 02 approved by the Department of Education and Early Development under 03 AS 14.16.200 or the postsecondary school in the state that provides the 04 dual-credit course; and 05 (E) other related educational and programmatic costs; 06 (6) for constructing, operating, or maintaining a residential 07 housing facility by a residential school approved by the Department of Education 08 and Early Development under AS 14.16.200; and 09 (7) for childhood early learning and development programs and 10 educational support to childhood early learning and development programs 11 provided by a for-profit corporation, a nonprofit corporation organized under 12 AS 10.20, a tribal entity, or a school district in the state, by the Department of 13 Education and Early Development, or through a state grant. 14 * Sec. 33. AS 43.75.018(f) is amended by adding new paragraphs to read: 15 (3) "dual-credit student" means a secondary level student in the state 16 who simultaneously earns college and high school credit for a course; 17 (4) "nonprofit organization" means a charitable or educational 18 organization in the state that is exempt from taxation under 26 U.S.C. 501(c)(3) 19 (Internal Revenue Code). 20 * Sec. 34. AS 43.77.045(a) is amended to read: 21 (a) In addition to the credit allowed under AS 43.77.040, a person engaged in 22 a floating fisheries business is allowed a credit against the tax due under this chapter 23 for cash contributions accepted for 24 (1) direct instruction, research, and educational support purposes, 25 including library and museum acquisitions, and contributions to endowment, by an 26 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 27 four-year college accredited by a regional accreditation association; 28 (2) secondary school level vocational education courses, programs, and 29 facilities by a school district in the state; 30 (3) vocational education courses, programs, and facilities by a state- 31 operated vocational technical education and training school;

01 (4) a facility or an annual intercollegiate sports tournament by a 02 nonprofit, public or private, Alaska two-year or four-year college accredited by a 03 regional accreditation association; 04 (5) Alaska Native cultural or heritage programs and educational 05 support, including mentoring and tutoring, provided by a nonprofit agency for public 06 school staff and for students who are in grades kindergarten through 12 in the state; 07 (6) education, research, rehabilitation, and facilities by an institution 08 that is located in the state and that qualifies as a coastal ecosystem learning center 09 under the Coastal America Partnership established by the federal government; [AND] 10 (7) the Alaska higher education investment fund under AS 37.14.750; 11 (8) funding a scholarship awarded by a nonprofit organization to a 12 dual-credit student to defray the cost of a dual-credit course, including the cost of 13 (A) tuition and textbooks; 14 (B) registration, course, and programmatic student fees; 15 (C) on-campus room and board at the postsecondary 16 institution in the state that provides the dual-credit course; 17 (D) transportation costs to and from a residential school 18 approved by the Department of Education and Early Development under 19 AS 14.16.200 or the postsecondary school in the state that provides the 20 dual-credit course; and 21 (E) other related educational and programmatic costs; 22 (9) constructing, operating, or maintaining a residential housing 23 facility by a residential school approved by the Department of Education and 24 Early Development under AS 14.16.200; and 25 (10) childhood early learning and development programs and 26 educational support to childhood early learning and development programs 27 provided by a for-profit corporation, a nonprofit corporation organized under 28 AS 10.20, a tribal entity, or a school district in the state, by the Department of 29 Education and Early Development, or through a state grant. 30 * Sec. 35. AS 43.77.045(a), as amended by sec. 49, ch. 92, SLA 2010, sec. 14, ch. 7, 31 FSSLA 2011, and sec. 25, ch. 74, SLA 2012, is amended to read:

01 (a) In addition to the credit allowed under AS 43.77.040, a person engaged in 02 a floating fisheries business is allowed a credit against the tax due under this chapter 03 for cash contributions accepted 04 (1) for direct instruction, research, and educational support purposes, 05 including library and museum acquisitions, and contributions to endowment, by an 06 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 07 four-year college accredited by a regional accreditation association; 08 (2) for secondary school level vocational education courses and 09 programs by a school district in the state; 10 (3) by a state-operated vocational technical education and training 11 school; [AND] 12 (4) for the Alaska higher education investment fund under 13 AS 37.14.750; 14 (5) for funding a scholarship awarded by a nonprofit organization 15 to a dual-credit student to defray the cost of a dual-credit course, including the 16 cost of 17 (A) tuition and textbooks; 18 (B) registration, course, and programmatic student fees; 19 (C) on-campus room and board at the postsecondary 20 institution in the state that provides the dual-credit course; 21 (D) transportation costs to and from a residential school 22 approved by the Department of Education and Early Development under 23 AS 14.16.200 or the postsecondary school in the state that provides the 24 dual-credit course; and 25 (E) other related educational and programmatic costs; 26 (6) for constructing, operating, or maintaining a residential 27 housing facility by a residential school approved by the Department of Education 28 and Early Development under AS 14.16.200; and 29 (7) for childhood early learning and development programs and 30 educational support to childhood early learning and development programs 31 provided by a for-profit corporation, a nonprofit corporation organized under

01 AS 10.20, a tribal entity, or a school district in the state, by the Department of 02 Education and Early Development. 03 * Sec. 36. AS 43.77.045(f) is amended by adding new paragraphs to read: 04 (3) "dual-credit student" means a secondary level student in the state 05 who simultaneously earns college and high school credit for a course; 06 (4) "nonprofit organization" means a charitable or educational 07 organization in the state that is exempt from taxation under 26 U.S.C. 501(c)(3) 08 (Internal Revenue Code). 09 * Sec. 37. Section 3, ch. 91, SLA 2010, is repealed. 10 * Sec. 38. AS 14.03.075 and AS 14.07.165(5) are repealed. 11 * Sec. 39. The uncodified law of the State of Alaska is amended by adding a new section to 12 read: 13 TRANSITION: STUDENT TESTING IN PROGRESS. Until June 30, 2015, a school 14 district shall continue to administer the competency examination under former AS 14.03.075, 15 and the regulations adopted under former AS 14.03.075, in effect on August 31, 2014, to a 16 student who seeks to qualify for a secondary school diploma under former AS 14.03.075, as it 17 read on August 31, 2014. 18 * Sec. 40. The uncodified law of the State of Alaska is amended by adding a new section to 19 read: 20 TRANSITION: CHARTER SCHOOL APPLICATIONS. Sections 5 and 6 of this Act 21 apply to charter school applications filed with a local school board on or after September 1, 22 2014. 23 * Sec. 41. The uncodified law of the State of Alaska is amended by adding a new section to 24 read: 25 TRANSITION: REGULATIONS. The Department of Education and Early 26 Development, the Department of Labor and Workforce Development, and the Department of 27 Revenue may adopt regulations necessary to implement their respective changes made by this 28 Act. The regulations take effect under AS 44.62 (Administrative Procedure Act), but not 29 before the effective date of the relevant provision of this Act implemented by the regulation. 30 * Sec. 42. Sections 21 and 41 of this Act take effect immediately under AS 01.10.070(c). 31 * Sec. 43. Sections 15, 16, and 18 of this Act take effect July 1, 2014.

01 * Sec. 44. Sections 1, 19, and 22 - 24 of this Act take effect July 1, 2015. 02 * Sec. 45. Section 20 of this Act takes effect July 1, 2016. 03 * Sec. 46. Sections 26, 29, 32, and 35 of this Act take effect January 1, 2021. 04 * Sec. 47. Except as provided in secs. 42 - 46 of this Act, this Act takes effect September 1, 05 2014.