Empowerment Zone Legislation Draft

DR

AF

TB

ILL

No

.____

DR

AF

TB

ILL

No

.____

DRAFT 1 07/16/2015CONFIDENTIAL

ADVISORY AND PRELIMINARY TO A FINAL DETERMINATION(School Empowerment Zones)

______'15 ____

DRAFT BILL No. _____

________ ____, 2015, Introduced by Rep./Sen. _______________ and referred to the Committee on__________________________________.

A bill to amend 1976 PA 451, entitled

"The revised school code,"

by amending sections 4, 5, 7, 11a, 502, 504, 507, 522, 524, 528,

552, 556, and 561 of the revised school code, (MCL 380.3, 380.4,

380.5, 380.7, 380.11a, 380.502, 380.504, 380.507, 380.522, 380.524,

380.528, 380.552, 380.556, 380.561, sections 4 and 5 as amended by

2011 PA 232, section 7 as amended by 2007 PA 45, section 11a as

amended by 2010 PA 91, sections 502, 504, 507, 522, 524, 528, 556,

and 561 as amended by 2011 PA 277, section 552 as amended by 2012

PA 129, and by adding part 7C.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

Sec. 4. (1) "EDUCATION DISTRICT" MEANS A SCHOOL DISTRICT1

ORGANIZED UNDER PART 2A.2

2

______'15 ____

(2) "EDUCATION MANAGER" MEANS AN EDUCATION MANAGER APPOINTED1

UNDER SECTION ___.2

(3) (1) "Educational media center" means a program operated by3

an intermediate school district and approved by the state board4

SUPERINTENDENT OF PUBLIC INSTRUCTION that provides services to5

local school districts or constituent districts under section 671.6

(4) "EMPOWERED DISTRICT" MEANS AN EDUCATION DISTRICT OR A7

SCHOOL DISTRICT DEFINED UNDER PART 7C.8

(5) "EMPOWERMENT ZONE" MEANS A SCHOOL EMPOWERMENT ZONE9

ESTABLISHED UNDER PART 7C.10

(6) "EMPOWERMENT ZONE SCHOOL" MEANS A PUBLIC SCHOOL BUILDING11

LOCATED WITHIN AN EMPOWERMENT ZONE.12

(7) "EMPOWERMENT ZONE SCHOOL BOARD" MEANS THE BOARD OR BOARD13

OF DIRECTORS OF A PUBLIC SCHOOL THAT OCCUPIES A SCHOOL BUILDING14

LOCATED WITHIN A SCHOOL EMPOWERMENT ZONE.15

(8) "HIGH-PERFORMING SCHOOL" MEANS A PUBLIC SCHOOL BUILDING16

THAT SATISFIES ALL OF THE FOLLOWING:17

(i) IS LOCATED IN AN EMPOWERMENT ZONE.18

(ii) FOR A BUILDING THAT INCLUDES PUPILS IN SOME CONFIGURATION19

OF GRADES BETWEEN KINDERGARTEN AND 12TH GRADE, 80 PERCENT OR MORE20

OF THE PUPILS RECEIVED A SCORE OF PROFICIENT OR BETTER ON THE21

MICHIGAN STUDENT TEST OF EDUCATIONAL PROGRESS (M-STEP) MATHEMATICS22

AND READING TESTS OR ANY SUCCESSOR STATE ASSESSMENT.23

(iii) FOR A BUILDING THAT INCLUDES PUPILS IN GRADES 9 TO 12, 80%24

OR MORE OF THE PUPILS IN THE PRIOR YEAR FOR WHICH IS DATA IS25

AVAILABLE HAVE GONE ON TO A PUBLIC OR PRIVATE UNIVERSITY, A26

COMMUNITY COLLEGE, AN APPRENTICE OR SKILLED TRADES PROGRAM,27

MILITARY SERVICE, OR ANY OTHER TRAINING PROGRAM THAT RESULTS IN A28

3

______'15 ____

MARKETABLE LABOR CERTIFICATE UPON COMPLETION, AS DETERMINED BY THE1

EDUCATION MANAGER FOR THE BUILDING.2

(iv) HAS 70 PERCENT OR MORE OF PUPILS THAT MEET THE INCOME3

ELIGIBILITY CRITERIA FOR THE FEDERAL FREE OR REDUCED-PRICE LUNCH4

PROGRAM, AS DETERMINED UNDER THE RICHARD B. RUSSELL NATIONAL SCHOOL5

LUNCH ACT, 42 USC 1751 TO 1769I, BASED UPON INFORMATION REPORTED TO6

THE DEPARTMENT.7

(v) PARTICIPATES IN A ZONE ENROLLMENT PLAN UNDER PART 7C.8

(9) (2) "Intermediate school board" means the board of an9

intermediate school district.10

(10) (3) "Intermediate school district" means a corporate body11

established under part 7.12

(11) (4) "Intermediate school district election" means an13

election called by an intermediate school board and held on the14

date of the regular school elections of constituent districts or on15

a date determined by the intermediate school board under section16

642c of the Michigan election law, MCL 168.642c.17

(12) (5) "Intermediate school elector" means a person who is a18

school elector of a constituent district and who is registered in19

the city or township in which the person resides.20

(13) (6) "Intermediate superintendent" means the21

superintendent of an intermediate school district.22

Sec. 5. (1) "Local act school district" or "special act school23

district" means a district governed by a special or local act or24

chapter of a local act. "Local school district" and "local school25

district board" as used in article 3 include a local act school26

district and a local act school district board.27

4

______'15 ____

(2) "LOCAL EDUCATION COMMISSION" MEANS THE BOARD OF AN1

EMPOWERMENT ZONE.2

(3) (2) "Membership" means the number of full-time equivalent3

pupils in a public school as determined by the number of pupils4

registered for attendance plus pupils received by transfer and5

minus pupils lost as defined by rules promulgated by the state6

boardSUPERINTENDENT OF PUBLIC INSTRUCTION.7

(4) (3) "Michigan election law" means the Michigan election8

law, 1954 PA 116, MCL 168.1 to 168.992.9

(5) (4) "Nonpublic school" means a private, denominational, or10

parochial school.11

(6) (5) "Objectives" means measurable pupil academic skills12

and knowledge.13

(7) "OPERATOR" MEANS A PARTNERSHIP, NONPROFIT OR BUSINESS14

CORPORATION, LABOR ORGANIZATION, OR ANY OTHER ASSOCIATION,15

CORPORATION, TRUST, OR OTHER LEGAL ENTITY, INCLUDING AN EDUCATIONAL16

MANAGEMENT ORGANIZATION UNDER SECTIONS 503, 523C AND 553C, THAT17

CONTRACTS WITH A PUBLIC SCHOOL ACADEMY OR EMPOWERMENT ZONE SCHOOL,18

AS APPLICABLE, TO MANAGE OR PROVIDE EDUCATIONAL SERVICES TO THE19

PUBLIC SCHOOL ACADEMY OR EMPOWERMENT ZONE SCHOOL.20

(8) (6) "Public school" means a public elementary or secondary21

educational entity or agency that is established under this act OR22

OTHER LAWS OF THIS STATE, has as its primary mission the teaching23

and learning of academic and vocational-technical skills and24

knowledge, and is operated by a school district, local act school25

district, special act school district, intermediate school26

district, school of excellence, public school academy corporation,27

strict discipline academy corporation, urban high school academy28

5

______'15 ____

corporation, EMPOWERMENT ZONE SCHOOL, or by the department, or1

state board, OR OTHER PUBLIC BODY. Public school also includes a2

laboratory school or other elementary or secondary school that is3

controlled and operated by a state public university described in4

section 4, 5, or 6 of article VIII of the state constitution of5

1963. PUBLIC SCHOOL DOES NOT INCLUDE A NONPUBLIC SCHOOL.6

(9) (7) "Public school academy" means a public school academy7

established under part 6a and, except as used in part 6a, also8

includes an urban high school academy established under part 6c, a9

school of excellence established under part 6e, and a strict10

discipline academy established under sections 1311b to 1311m.11

(10) (8) "Pupil membership count day" of a school district12

means that term as defined in section 6 of the state school aid act13

of 1979, MCL 388.1606.14

(11) "RECONSTITUTE" OR "RECONSTITUTION" MEANS THE PROCESS BY15

WHICH AN AUTHORIZING BODY OR EDUCATION MANAGER REMOVES AN OPERATOR16

FROM, OR MAKES SIGNIFICANT CHANGES TO THE GOVERNANCE,17

ADMINISTRATION, MANAGEMENT, EDUCATIONAL PROGRAMMING, CURRICULA, OR18

INSTRUCTIONAL STAFFING OF A PUBLIC SCHOOL ACADEMY OR EMPOWERMENT19

ZONE SCHOOL, FOR THE PURPOSE OF IMPROVING THE EDUCATIONAL20

PERFORMANCE OF PUPILS ENROLLED IN THE PUBLIC SCHOOL ACADEMY OR21

EMPOWERMENT ZONE SCHOOL.22

(12) (9) "Regular school election" or "regular election" means23

the election held in a school district, local act school district,24

or intermediate school district to elect a school board member in25

the regular course of the terms of that office and held on the26

school district's regular election date as determined under section27

642c of the Michigan election law, MCL 168.642c.28

6

______'15 ____

(13) "REMOVE AND REPLACE" MEANS THE PROCESS WITHIN AN1

EMPOWERMENT ZONE BY WHICH AN EMPOWERMENT ZONE SCHOOL IS REMOVED2

FROM A SCHOOL BUILDING AND REPLACED BY ANOTHER PUBLIC SCHOOL IN3

THAT THE SCHOOL BUILDING TO DELIVER PUBLIC EDUCATIONAL SERVICES, AS4

AUTHORIZED BY AN EDUCATION MANAGER UNDER PART 7C.5

(14) (10) "Reorganized intermediate school district" means an6

intermediate school district formed by consolidation or annexation7

of 2 or more intermediate school districts under sections 701 and8

702.9

(15) "REPLICATE" OR "REPLICATION" MEANS THE PROCESS USED BY A10

SCHOOL DISTRICT OR PUBLIC SCHOOL ACADEMY WITHIN AN EMPOWERMENT ZONE11

THAT SUBSTANTIALLY REPRODUCES THE SCHOOL FACILITIES, ACADEMIC12

PROGRAM, CURRICULA, OR AGE OR GRADE RANGE CONFIGURATION OF A HIGH-13

PERFORMING SCHOOL, AS APPROVED BY AN EDUCATION MANAGER UNDER PART14

7C.15

(16) (11) "Rule" means a rule promulgated under the16

administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to17

24.328.18

Sec. 7. (1) "Valuation of a fractional school district" means19

the sum of the valuations of the fractions thereof, each of which20

shall be computed in the same manner as the valuation of a whole21

school district.22

(2) "Valuation of the state" means the equalized value as23

determined by the state board of equalization.24

(3) "Valuation of a whole school district" means the total25

assessed value of the property contained in the district as fixed26

by the township or city board of review, which in turn is27

proportionately increased or decreased to the basis of the28

7

______'15 ____

valuation of the county containing the district as fixed by the1

county board of equalization, and the result in turn2

proportionately increased or decreased to the basis of the3

valuation of the county containing the district as last fixed by4

the state board of equalization, known as the "state equalized5

valuation".6

(4) "Vocational education" or "career and technical education"7

means education designed to provide career development and the8

knowledge and skills leading to technical employment or higher9

education in a technical field. Career and technical education10

programs include classroom and laboratory experiences and work-11

based instruction. The term includes guidance and counseling for a12

pupil related to the career for which the pupil is being educated13

and trained or designed to help the pupil benefit from the14

training. Allowable expenses related to career and technical15

education delivery include all instructional, support, and16

administrative costs associated with providing these activities,17

including, but not limited to, staff salaries, wages, and benefits18

for career and technical education programs only; information and19

awareness activities; acquisition and rental of real property;20

construction of buildings; acquisition of equipment and supplies;21

and maintenance, repair, and replacement of buildings, lands,22

equipment, and supplies.23

(5) "ZONE ACCOUNTABILITY PLAN" MEANS A PLAN DEVELOPED BY AN24

EDUCATION MANAGER TO MEASURE ACADEMIC GROWTH AND ACCOUNTABILITY OF25

AN EMPOWERMENT ZONE SCHOOL UNDER PART 7C.26

8

______'15 ____

(6) “ZONE ENROLLMENT PLAN” MEANS A PLAN DEVELOPED BY AN1

EDUCATION MANAGER UNDER PART 7C FOR THE ENROLLMENT OF PUPILS IN2

EMPOWERMENT ZONE SCHOOLS.3

(7) "ZONE FACILITIES PLAN" MEANS A PLAN DEVELOPED BY AN4

EDUCATION MANAGER UNDER PART 7C FOR THE USE OF SCHOOL BUILDINGS5

WITHIN AN SCHOOL EMPOWERMENT ZONE AND THE REPURPOSING OF UNUSED OR6

VACANT SCHOOL BUILDINGS UNDER PART 7C.7

Sec. 11a. (1) Beginning on July 1, 1996, each school district8

formerly organized as a primary school district or as a school9

district of the fourth class, third class, or second class shall be10

a general powers school district under this act.11

(2) Beginning on July 1, 1996, a school district operating12

under a special or local act shall operate as a general powers13

school district under this act except to the extent that the14

special or local act is inconsistent with this act. Upon repeal of15

a special or local act that governs a school district, that school16

district shall become a general powers school district under this17

act.18

(3) SUBJECT TO PART 7C, A A general powers school district has19

all of the rights, powers, and duties expressly stated in this act;20

may exercise a power implied or incident to a power expressly21

stated in this act; and, except as OTHERWISE provided by law, may22

exercise a power incidental or appropriate to the performance of a23

function related to operation of the school district PUBLIC SCHOOLS24

AND THE PROVISION OF PUBLIC EDUCATION SERVICES in the interests of25

public elementary and secondary education in the school district,26

including, but not limited to, all of the following:27

9

______'15 ____

(a) Educating pupils. In addition to educating pupils in1

grades K-12, this function may include operation of preschool,2

lifelong education, adult education, community education, training,3

enrichment, and recreation programs for other persons. A SCHOOL4

DISTRICT MAY DO EITHER OR BOTH OF THE FOLLOWING:5

(i) EDUCATE PUPILS BY DIRECTLY OPERATING 1 OR MORE PUBLIC6

SCHOOLS ON ITS OWN.7

(ii) CAUSE PUBLIC EDUCATION SERVICES TO BE PROVIDED TO8

RESIDENTS OF THE SCHOOL DISTRICT THROUGH AN AGREEMENT, CONTRACT, OR9

OTHER COOPERATIVE AGREEMENT WITH ANOTHER PUBLIC ENTITY, INCLUDING,10

BUT NOT LIMITED TO, ANOTHER SCHOOL DISTRICT OR AN INTERMEDIATE11

SCHOOL DISTRICT.12

(b) Providing for the safety and welfare of pupils while at13

school or a school sponsored activity or while en route to or from14

school or a school sponsored activity.15

(c) EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, ACQUIRING,16

Acquiring, constructing, maintaining, repairing, renovating,17

disposing of, or conveying school property, facilities, equipment,18

technology, or furnishings.19

(d) SUBJECT TO PART 7C, HIRING, Hiring, contracting for,20

scheduling, supervising, or terminating employees, independent21

contractors, and others, INCLUDING, BUT NOT LIMITED TO, ANOTHER22

SCHOOL DISTRICT OR AN INTERMEDIATE SCHOOL DISTRICT, to carry out23

school district powers. A school district may indemnify its24

employees AND CONTRACTORS.25

(e) Receiving, accounting for, investing, or expending school26

district PUBLIC SCHOOL money; borrowing money and pledging school27

district PUBLIC SCHOOL funds for repayment; and qualifying for28

10

______'15 ____

state school aid and other public or private money from local,1

regional, state, or federal sources.2

(4) A general powers school district may enter into3

agreements, CONTRACTS, or OTHER cooperative arrangements with other4

entities, public or private, INCLUDING, BUT NOT LIMITED TO, ANOTHER5

SCHOOL DISTRICT OR INTERMEDIATE SCHOOL DISTRICT, or join6

organizations as part of performing the functions of the school7

district. An agreement, CONTRACT, or OTHER cooperative arrangement8

that is entered into under this act is not required to comply with9

the provisions of the urban cooperation act of 1967, 1967 (Ex Sess)10

PA 7, MCL 124.501 to 124.512, as provided under section 503 of that11

act, MCL 124.503.12

(5) SUBJECT TO PART 7C, A A general powers school district is13

a body corporate and shall be governed by a school board. An act of14

a school board is not valid unless approved, at a meeting of the15

school board, by a majority vote of the members lawfully serving on16

the board.17

(6) The board of a general powers school district shall adopt18

bylaws. These bylaws may establish or change board procedures, the19

number of board officers, titles and duties of board officers, and20

any other matter related to effective and efficient functioning of21

the board. Regular meetings of the board shall be held at least22

once each month, at the time and place fixed by the bylaws. Special23

meetings may be called and held in the manner and for the purposes24

specified in the bylaws. Board procedures, bylaws, and policies in25

effect on the effective date of this section shall continue in26

effect until changed by action of the board.27

11

______'15 ____

(7) The board of a school district shall be elected as1

provided under this act and the Michigan election law. The number2

of members of the board of a general powers school district shall3

remain the same as for that school district before July 1, 19964

unless changed by the school electors of the school district at a5

regular or special school election. A ballot question for changing6

the number of board members may be placed on the ballot by action7

of the board or by petition submitted by school electors as8

provided under chapter XIV of the Michigan election law, MCL9

168.301 to 168.316.10

(8) Members of the board of a general powers school district11

shall be elected by the school electors for terms of 4 or 6 years,12

as provided by the school district's bylaws. At each regular school13

election, members of the board shall be elected to fill the14

positions of those whose terms will expire. A term of office begins15

as provided in section 302 of the Michigan election law, MCL16

168.302, and continues until a successor is elected and qualified.17

(9) The board of a general powers school district may submit18

to the school electors of the school district a question that is19

within the scope of the powers of the school electors and that the20

board considers proper for the management of the school system or21

the advancement of education in the school district. Upon the22

adoption of a question by the board, the board shall submit the23

question to the school electors by complying with section 312 of24

the Michigan election law, MCL 168.312.25

(10) A special election may be called by the board of a26

general powers school district as provided under chapter XIV of the27

Michigan election law, MCL 168.301 to 168.316.28

12

______'15 ____

(11) Unless expressly provided in 1995 PA 289, the THE powers1

of a school board or school district are not diminished by this2

section or by 1995 PA 289.3

(12) A school district operating a public library, public4

museum, or community recreational facility as of July 1, 1996 may5

continue to operate the public library, public museum, or community6

recreational facility.7

(13) A school district may establish and administer8

scholarships for its students or graduates to support their9

attendance at a postsecondary educational institution from funds10

the school district receives as a result of a compact entered into11

between this state and a federally recognized Indian tribe pursuant12

to the Indian gaming regulatory act, Public Law 100-497. A school13

district that establishes a scholarship program funded under this14

subsection shall ensure that the scholarship program provides for15

all of the following:16

(a) That a student or graduate is not eligible to be awarded a17

scholarship unless the student or graduate is enrolled in the18

school district for all of grades 9 to 12 and meets 1 of the19

following:20

(i) Is a resident of the school district for all of grades 9 to21

12.22

(ii) Was enrolled in the school district for the 2009-201023

school year but was not a resident of the school district for that24

school year, and is enrolled in the school district continuously25

after that school year until graduation.26

(b) That the amount of a scholarship awarded to a student or27

graduate who was not enrolled in and a continuous resident of the28

13

______'15 ____

school district for all of grades K to 12 shall be adjusted based1

on length of enrollment and continuous residency or, for a student2

or graduate described in subdivision (a)(ii), based on length of3

enrollment.4

(14) BEFORE OPENING A NEW PUBLIC SCHOOL BUILDING OR CHANGING5

THE CONFIGURATION OF AGES OR GRADE RANGES AT A PUBLIC SCHOOL6

BUILDING WITHIN A EMPOWERMENT ZONE, THE PUBLIC BODY SEEKING TO OPEN7

OR OCCUPY THE BUILDING MUST FIRST OBTAIN APPROVAL FROM THE8

EDUCATION MANAGER FOR THE EMPOWERMENT ZONE. A REQUEST FOR APPROVAL9

UNDER THIS SUBSECTION MUST BE SUBMITTED TO THE EDUCATION MANAGER10

WITHIN 10 DAYS OF APPROVAL BY PUBLIC BODY. WITHIN 30 DAYS OF11

RECEIPT, THE EDUCATION MANAGER SHALL APPROVE THE REQUEST AS12

CONSISTENT WITH THE ZONE ACCOUNTABILITY PLAN AND ZONE FACILITIES13

PLAN FOR THE EMPOWERMENT ZONE, OR DENY THE REQUEST AS INCONSISTENT14

WITH THE ZONE ACCOUNTABILITY PLAN AND ZONE FACILITIES PLAN. THE15

DECISION OF AN EDUCATION MANAGER UNDER THIS SUBSECTION IS FINAL AND16

NOT SUBJECT TO APPEAL.17

(15) CLOSURE OF A SCHOOL BUILDING WITHIN A EMPOWERMENT ZONE18

DOES NOT REQUIRE APPROVAL BY AN EDUCATION MANAGER. A PUBLIC SCHOOL19

BUILDING WITHIN A EMPOWERMENT ZONE THAT IS VOLUNTARILY CLOSED,20

CLOSED BY A SUPERINTENDENT CLOSURE ORDER UNDER PART 7C, OR CLOSED21

BY AN EDUCATION MANAGER PURSUANT TO A ZONE ACCOUNTABILITY PLAN,22

SHALL BE MADE AVAILABLE FOR USE BY THE EDUCATION MANAGER FOR THE23

EMPOWERMENT ZONE AT THE BEGINNING OF THE NEXT SCHOOL FISCAL YEAR24

AFTER THE CLOSURE.25

(16) A PUBLIC BODY OPERATING A PUBLIC SCHOOL WITHIN A26

EMPOWERMENT ZONE IS NOT REQUIRED TO OBTAIN THE APPROVAL OF AN27

EDUCATION MANAGER TO OPERATE A SCHOOL BUILDING IN USE AS A PUBLIC28

14

______'15 ____

SCHOOL ON THE EFFECTIVE DATE OF THE AMENDATORY ACT THAT ADDED THIS1

SUBSECTION.2

(17) A PUBLIC BODY OPERATING A HIGH-PERFORMING SCHOOL WITHIN A3


EDUCATION MANAGER TO OPEN A NEW SCHOOL BUILDING IF THE EDUCATION5

MANAGER DETERMINES THAT THE PUBLIC BODY IS OPENING THE NEW SCHOOL6

BUILDING TO REPLICATE A HIGH-PERFORMING SCHOOL.7

(18) A PUBLIC BODY OPERATING A HIGH-PERFORMING SCHOOL WITHIN A8


EDUCATION MANAGER TO CHANGE THE AGE OR GRADE RANGE CONFIGURATION AT10

THE HIGH-PERFORMING SCHOOL.11

(19) THE ENROLLMENT AND ADMISSIONS PROCESS OF A EMPOWERMENT12

ZONE SCHOOL SHALL BE CONSISTENT WITH THE ZONE ENROLLMENT PLAN UNDER13

PART 7C.14

(4) IF AN EDUCATION DISTRICT IS AN EMPOWERED DISTRICT OR IS A15

EMPOWERMENT ZONE SCHOOL, AND THE EDUCATION DISTRICT SEEKS TO OPEN A16

NEW SCHOOL BUILDING OR CHANGE THE AGE OR GRADE RANGE CONFIGURATION17

AT ANY EDUCATION DISTRICT BUILDING, THE EDUCATION DISTRICT MUST18

OBTAIN THE APPROVAL OF THE EDUCATION MANAGER. WITHIN 10 BUSINESS19

DAYS FOLLOWING SCHOOL BOARD APPROVAL, A EDUCATION DISTRICT SHALL20

SUBMIT THE EDUCATION DISTRICT'S REQUEST TO THE EDUCATION MANAGER.21

WITHIN 30 DAYS OF RECEIPT, THE EDUCATION MANAGER SHALL, CONSISTENT22

WITH THE ZONE ACCOUNTABILITY PLAN AND THE ZONE FACILITIES PLAN,23

APPROVE OR DENY THE SCHOOL DISTRICT'S REQUEST. THE DECISION OF THE24

EDUCATION MANAGER IS FINAL AND NOT SUBJECT TO APPEAL.25

Sec. 502. (1) SUBJECT TO PART 7C, A A public school academy26

shall be organized and administered under the direction of a board27

of directors in accordance with this part and with bylaws adopted28

15

______'15 ____

by the board of directors. A public school academy corporation1

shall be organized under the nonprofit corporation act, 1982 PA2

162, MCL 450.2101 to 450.3192, except that a public school academy3

corporation is not required to comply with sections 170 to 177 of4

1931 PA 327, MCL 450.170 to 450.177. To the extent disqualified5

under the state or federal constitution, a public school academy6

shall not be organized by a church or other religious organization7

and shall not have any organizational or contractual affiliation8

with or constitute a church or other religious organization.9

(2) EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, Any ANY of10

the following may act as an authorizing body to issue a contract to11

organize and operate 1 or more public school academies under this12

part:13

(a) The board of a school district that operates grades K to14

12. However, the board of a school district shall not issue a15

contract for a public school academy to operate outside the school16

district's boundaries, and a public school academy authorized by17

the board of a school district shall not operate outside that18

school district's boundaries. FOR PURPOSES OF THIS PART, THE BOARD19

OF A SCHOOL DISTRICT DOES NOT INCLUDE A LOCAL EDUCATION COMMISSION.20

(b) An intermediate school board. However, the board of an21

intermediate school district shall not issue a contract for a22

public school academy to operate outside the intermediate school23

district's boundaries, and a public school academy authorized by24

the board of an intermediate school district shall not operate25

outside that intermediate school district's boundaries.26

(c) The board of a community college. However, except as27

otherwise provided in this subdivision, the board of a community28

16

______'15 ____

college shall not issue a contract for a public school academy to1

operate in a school district organized as a school district of the2

first class, a public school academy authorized by the board of a3

community college shall not operate in a school district organized4

as a school district of the first class, the board of a community5

college shall not issue a contract for a public school academy to6

operate outside the boundaries of the community college district,7

and a public school academy authorized by the board of a community8

college shall not operate outside the boundaries of the community9

college district. The board of a community college also may issue a10

contract for not more than 1 public school academy to operate on11

the grounds of an active or closed federal military installation12

located outside the boundaries of the community college district,13

or may operate a public school academy itself on the grounds of14

such a federal military installation, if the federal military15

installation is not located within the boundaries of any community16

college district and the community college has previously offered17

courses on the grounds of the federal military installation for at18

least 10 years.19

(d) The governing board of a state public university. However,20

the combined total number of contracts for public school academies21

issued by all state public universities shall not exceed 30022

through December 31, 2012 and shall not exceed 500 through December23

31, 2014. After December 31, 2014, there is no limit on the24

combined total number of contracts for public school academies that25

may be issued by all state public universities.26

(e) Two or more of the public agencies described in27

subdivisions (a) to (d) exercising power, privilege, or authority28

17

______'15 ____

jointly pursuant to an interlocal agreement under the urban1

cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to2

124.512.3

(3) To obtain a contract to organize and operate 1 or more4

public school academies, 1 or more persons or an entity may apply5

to an authorizing body described in subsection (2). The application6

shall include at least all of the following:7

(a) Identification of the applicant for the contract.8

(b) Subject to the resolution adopted by the authorizing body9

under section 503(5), a list of the proposed members of the board10

of directors of the public school academy and a description of the11

qualifications and method for appointment or election of members of12

the board of directors.13

(c) The proposed articles of incorporation, which shall14

include at least all of the following:15

(i) The name of the proposed public school academy.16

(ii) The purposes for the public school academy corporation.17

This language shall provide that the public school academy is18

incorporated pursuant to this part and that the public school19

academy corporation is a governmental entity.20

(iii) The name of the authorizing body.21

(iv) The proposed time when the articles of incorporation will22

be effective.23

(v) Other matters considered expedient to be in the articles24

of incorporation.25

(d) A copy of the proposed bylaws of the public school26

academy.27

18

______'15 ____

(e) Documentation meeting the application requirements of the1

authorizing body, including at least all of the following:2

(i) The governance structure of the public school academy.3

(ii) A copy of the educational goals of the public school4

academy and the curricula to be offered and methods of pupil5

assessment to be used by the public school academy. The educational6

goals shall include demonstrated improved pupil academic7

achievement for all groups of pupils. To the extent applicable, the8

progress of the pupils in the public school academy shall be9

assessed using at least a Michigan education assessment program10

(MEAP) test or the Michigan merit examination under section 1279g,11

as applicable.12

(iii) The admission policy and criteria to be maintained by the13

public school academy. The admission policy and criteria shall14

comply with section 504. This part of the application also shall15

include a description of how the applicant will provide to the16

general public adequate notice that a public school academy is17

being created and adequate information on the admission policy,18

criteria, and process.19

(iv) The school calendar and school day schedule.20

(v) The age or grade range of pupils to be enrolled.21

(f) Descriptions of staff responsibilities and of the public22

school academy's governance structure.23

(g) For an application to the board of a school district, an24

intermediate school board, or board of a community college,25

identification of the local and intermediate school districts in26

which the public school academy will be located.27

19

______'15 ____

(h) An agreement that the public school academy will comply1

with the provisions of this part and, subject to the provisions of2

this part, with all other state law applicable to public bodies and3

with federal law applicable to public bodies or school districts.4

(i) A description of and address for the proposed physical5

plant in which the public school academy will be located. An6

applicant may request the authorizing body to issue a contract7

allowing the public school academy board of directors to operate8

the same configuration of age or grade levels at more than 1 site.9

(4) An authorizing body shall oversee, or shall contract with10

an intermediate school district, community college, or state public11

university to oversee, each public school academy operating under a12

contract issued by the authorizing body. The authorizing body is13

responsible for overseeing compliance by the board of directors14

with the contract and all applicable law. This subsection does not15

relieve any other government entity of its enforcement or16

supervisory responsibility.17

(5) If the superintendent of public instruction finds that an18

authorizing body is not engaging in appropriate continuing19

oversight of 1 or more public school academies operating under a20

contract issued by the authorizing body, the superintendent of21

public instruction may suspend the power of the authorizing body to22

issue new contracts to organize and operate public school23

academies. A contract issued by the authorizing body during the24

suspension is void. A contract issued by the authorizing body25

before the suspension is not affected by the suspension.26

(6) An authorizing body shall not charge a fee, or require27

reimbursement of expenses, for considering an application for a28

20

______'15 ____

contract, for issuing a contract, or for providing oversight of a1

contract for a public school academy in an amount that exceeds a2

combined total of 3% of the total state school aid received by the3

public school academy in the school year in which the fees or4

expenses are charged. An authorizing body may provide other5

services for a public school academy and charge a fee for those6

services, but shall not require such an arrangement as a condition7

to issuing the contract authorizing the public school academy.8

(7) A public school academy shall be presumed to be legally9

organized if it has exercised the franchises and privileges of a10

public school academy for at least 2 years.11

(8) EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, An AN12

authorizing body may enter into an intergovernmental agreement with13

another authorizing body to issue public school academy contracts.14

At a minimum, the agreement shall further the purposes set forth in15

section 501, describe which authorizing body shall issue the16

contract, and set forth which authorizing body will be responsible17

for monitoring compliance by the board of directors of the public18

school academy with the contract and all applicable law.19

(9) IF AN AUTHORIZING BODY ISSUES A CONTRACT FOR A NEW PUBLIC20

SCHOOL ACADEMY TO OPERATE WITHIN A EMPOWERMENT ZONE, THE21

AUTHORIZING BODY MUST FIRST OBTAIN THE APPROVAL OF THE EDUCATION22

MANAGER FOR THE EMPOWERMENT ZONE UNDER THIS SUBSECTION. WITHIN 1023

BUSINESS DAYS OF ISSUANCE OF THE CONTRACT, THE AUTHORIZING BODY24

SHALL SUBMIT ITS REQUEST TO THE EDUCATION MANAGER. WITHIN 30 DAYS25

OF RECEIPT, THE EDUCATION MANAGER SHALL APPROVE OR DENY THE26

REQUEST. THE DECISION OF THE EDUCATION MANAGER TO DENY AN27

AUTHORIZING BODY'S REQUEST TO ISSUE A CONTRACT FOR A NEW PUBLIC28

21

______'15 ____

SCHOOL ACADEMY WITHIN THE EMPOWERMENT ZONE UNDER THIS SUBSECTION IS1

FINAL AND NOT SUBJECT TO APPEAL.2

(10) AN AUTHORIZING BODY IS NOT REQUIRED TO OBTAIN THE3

APPROVAL OF AN EDUCATION MANAGER TO REVOKE OR TERMINATE AN EXISTING4

PUBLIC SCHOOL ACADEMY CONTRACT.5


APPROVAL OF AN EDUCATION MANAGER TO REAUTHORIZE OR NOT REAUTHORIZE7

AN EXISTING PUBLIC SCHOOL ACADEMY CONTRACT.8


APPROVAL OF AN EDUCATION MANAGER FOR THE MERGER OR CONSOLIDATION OF10

2 OR MORE PUBLIC SCHOOL ACADEMIES LOCATED WITHIN THE EMPOWERMENT11

ZONE.12

(13) AN AUTHORIZING BODY THAT ISSUES A CONTRACT TO A PUBLIC13

SCHOOL ACADEMY THAT IS A HIGH-PERFORMING SCHOOL OPERATING WITHIN A14

EMPOWERMENT ZONE IS NOT REQUIRED TO OBTAIN THE APPROVAL OF THE15

EDUCATION MANAGER FOR THE EMPOWERMENT ZONE TO ISSUE A NEW CONTRACT16

FOR A PUBLIC SCHOOL ACADEMY IF THE EDUCATION MANAGER DETERMINES17

THAT THE AUTHORIZING BODY IS ISSUING THE NEW CONTRACT TO REPLICATE18

THE HIGH-PERFORMING SCHOOL.19

(14) A PUBLIC SCHOOL ACADEMY SCHOOL BUILDING THAT IS CLOSED BY20

AN AUTHORIZING BODY BECAUSE OF A CONTRACT REVOCATION, TERMINATION,21

OR NON-REAUTHORIZATION; VOLUNTARILY CLOSED BY A PUBLIC SCHOOL22

ACADEMY; CLOSED BY A SUPERINTENDENT CLOSURE ORDER UNDER PART 7C; OR23

CLOSED BY AN EDUCATION MANAGER PURSUANT TO A ZONE ACCOUNTABILITY24

PLAN UNDER PART 7C, SHALL AUTOMATICALLY BE MADE AVAILABLE FOR USE25

BY THE EDUCATION MANAGER FOR THE EMPOWERMENT ZONE IN WHICH THE26

BUILDING IS LOCATED AT THE BEGINNING OF THE NEXT SCHOOL FISCAL27

YEAR.28

22

______'15 ____

Sec. 504. (1) A public school academy may be located in all or1

part of an existing public school building. EXCEPT AS OTHERWISE2

PROVIDED IN THIS SECTION, A A public school academy shall not3

operate at a site other than the site or sites requested for the4

configuration of age or grade levels that will use the site or5

sites, as specified in the contract. Under a contract AND EXCEPT AS6

OTHERWISE PROVIDED IN THIS SECTION, an authorizing body may permit7

a public school academy to operate the same configuration of age or8

grade levels at more than 1 site, and a public school academy may9

operate the same configuration of age or grade levels at more than10

1 site, as long as the public school academy is operating in11

compliance with its contract and is making measurable progress12

toward meeting its educational goals. EXCEPT AS OTHERWISE PROVIDED13

IN THIS SECTION, For FOR a contract for a new public school14

academy, an authorizing body may permit a public school academy to15


1 site, and a public school academy may operate the same17

configuration of age or grade levels at more than 1 site, if the18

applicant for the proposed public school academy presents19

documentation to the authorizing body demonstrating that the20

applicant's proposed educational model has resulted in schools21

making measurable progress toward meeting their education goals.22

(2) A public school academy shall not charge tuition and shall23

not discriminate in its pupil admissions policies or practices on24

the basis of intellectual or athletic ability, measures of25

achievement or aptitude, status as a student with a disability, or26

any other basis that would be illegal if used by a school district.27

However, EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, a public28

23

______'15 ____

school academy may limit admission to pupils who are within a1

particular range of age or grade level or on any other basis that2

would be legal if used by a school district and may give enrollment3

priority as provided in subsection (4).4

(3) Except for a foreign exchange student who is not a United5

States citizen, a public school academy shall not enroll a pupil6

who is not a resident of this state. EXCEPT AS OTHERWISE PROVIDED7

IN THIS SECTION, For FOR a public school academy authorized by a8

school district, intermediate school district, or community9

college, enrollment in the public school academy may be open to all10

individuals who reside in this state who meet the admission policy11

and shall be open to all pupils who reside within the geographic12

boundaries of that authorizing body who meet the admission policy,13

except that admission to a public school academy authorized by the14

board of a community college to operate, or operated by the board15

of a community college, on the grounds of a federal military16

installation, as described in section 502(2)(c), shall be open to17

all pupils who reside in the county in which the federal military18

installation is located. EXCEPT AS OTHERWISE PROVIDED IN THIS19

SECTION, For FOR a public school academy authorized by a state20

public university, enrollment shall be open to all pupils who21

reside in this state who meet the admission policy. Subject to22

subsection (4) AND SUBSECTION (10), if there are more applications23

to enroll in the public school academy than there are spaces24

available, pupils shall be selected to enroll using a random25

selection process. A public school academy shall allow any pupil26

who was enrolled in the public school academy in the immediately27

preceding school year to enroll in the public school academy in the28

24

______'15 ____

appropriate grade unless the appropriate grade is not offered at1

that public school academy.2

(4) A public school academy may give enrollment priority to 13

or more of the following:4

(a) A sibling of a pupil enrolled in the public school5

academy.6

(b) A pupil who transfers to the public school academy from7

another public school pursuant to a matriculation agreement between8

the public school academy and other public school that provides for9

this enrollment priority, if all of the following requirements are10

met:11

(i) Each public school that enters into the matriculation12

agreement remains a separate and independent public school.13

(ii) The public school academy that gives the enrollment14

priority selects at least 5% of its pupils for enrollment using a15

random selection process.16

(iii) The matriculation agreement allows any pupil who was17

enrolled at any time during elementary school in a public school18

that is party to the matriculation agreement and who was not19

expelled from the public school to enroll in the public school20

academy giving enrollment priority under the matriculation21

agreement.22

(c) A child of a person who is employed by or at the public23

school academy or who is on the board of directors of the public24

school academy. As used in this subdivision, "child" includes an25

adopted child or a legal ward.26

(5) A public school academy may include any grade up to grade27

12 or any configuration of those grades, including kindergarten and28

25

______'15 ____

early childhood education, as specified in its contract. If1

specified in its contract, a public school academy may also operate2

an adult basic education program, adult high school completion3

program, or general education development testing preparation4

program. SUBJECT TO PART 7C, The THE authorizing body may approve5

amendment of a contract with respect to ages of pupils or grades6

offered.7

(6) EXCEPT AS OTHERWISE PERMITTED IN THIS SECTION, FOR A8

PUBLIC SCHOOL ACADEMY THAT IS AN EMPOWERMENT ZONE SCHOOL, AN9

AUTHORIZING BODY SHALL NOT APPROVE A PUBLIC SCHOOL ACADEMY TO ADD10

ANOTHER SITE TO ITS CONTRACT FOR THE SAME CONFIGURATION OF AGE OR11

GRADE RANGE WITHOUT THE APPROVAL OF THE EDUCATION MANAGER FOR THE12

EMPOWERMENT ZONE SCHOOL. WITHIN 10 BUSINESS DAYS AFTER A PUBLIC13

SCHOOL ACADEMY'S APPROVAL OF AN ADDITIONAL SITE REQUEST, THE PUBLIC14

SCHOOL ACADEMY’S AUTHORIZING BODY SHALL SUBMIT THE ADDITIONAL SITE15

REQUEST TO THE EDUCATION MANAGER. WITHIN 30 DAYS OF RECEIPT, THE16

EDUCATION MANAGER SHALL, APPROVE THE ADDITIONAL SITE REQUEST AS17


PLAN FOR THE EMPOWERMENT ZONE OR DENY THE ADDITIONAL SITE REQUEST19

AS INCONSISTENT WITH THE ZONE ACCOUNTABILITY PLAN AND ZONE20

FACILITIES PLAN. THE DECISION OF AN EDUCATION MANAGER UNDER THIS21

SUBSECTION IS FINAL AND NOT SUBJECT TO APPEAL.22

(7) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBSECTION, AN23

AUTHORIZING BODY THAT ISSUES A CONTRACT TO A PUBLIC SCHOOL ACADEMY24

OPERATING A HIGH-PERFORMING SCHOOL IS NOT REQUIRED TO OBTAIN THE25

APPROVAL OF AN EDUCATION MANAGER TO ADD AN ADDITIONAL SITE IF THE26

EDUCATION MANAGER FOR THE EMPOWERMENT ZONE IN WHICH THE ADDITION27

SITE WOULD BE LOCATED DETERMINES THAT THE ADDITIONAL SITE IS FOR28

26

______'15 ____

THE REPLICATION OF A HIGH-PERFORMING SCHOOL. NOTHING IN THIS1

SUBSECTION REQUIRES AN AUTHORIZING BODY TO APPROVE AN ADDITIONAL2

SITE REQUEST FOR A PUBLIC SCHOOL ACADEMY.3


PUBLIC SCHOOL ACADEMY THAT IS A EMPOWERMENT ZONE SCHOOL, AN5

AUTHORIZING BODY SHALL NOT PERMIT A PUBLIC SCHOOL ACADEMY TO CHANGE6

THE AGE OR GRADE RANGE CONFIGURATION AT THE SITE OF THE PUBLIC7

SCHOOL ACADEMY WITHOUT THE APPROVAL OF THE EDUCATION MANAGER FOR8

THE SCHOOL EMPOWERMENT ZONE IN WHICH THE PUBLIC SCHOOL ACADEMY IS9

LOCATED. WITHIN 10 BUSINESS DAYS AFTER A PUBLIC SCHOOL ACADEMY'S10

APPROVAL OF AN AGE OR GRADE RANGE CHANGE REQUEST, THE AUTHORIZING11

BODY FOR THE PUBLIC SCHOOL ACADEMY SHALL SUBMIT THE PUBLIC SCHOOL12

ACADEMY'S AGE OR GRADE RANGE CHANGE REQUEST TO THE EDUCATION13

MANAGER. WITHIN 30 DAYS OF RECEIPT, THE EDUCATION MANAGER SHALL14

APPROVE THE REQUEST AS CONSISTENT WITH THE ZONE ACCOUNTABILITY PLAN15

AND ZONE FACILITIES PLAN FOR THE EMPOWERMENT ZONE OR DENY THE16

REQUEST AS INCONSISTENT WITH THE ZONE ACCOUNTABILITY PLAN AND ZONE17



(9) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBSECTION, A PUBLIC20

SCHOOL ACADEMY OPERATING A HIGH-PERFORMING SCHOOL IS NOT REQUIRED21

TO OBTAIN THE APPROVAL OF AN EDUCATION MANAGER TO CHANGE THE22

CONFIGURATION OF AGE OR GRADE RANGE AT THE HIGH-PERFORMING SCHOOL.23

NOTHING IN THIS SUBSECTION REQUIRES AN AUTHORIZING BODY TO APPROVE24

AN AGE OR GRADE RANGE REQUEST FOR A PUBLIC SCHOOL ACADEMY.25

(10) FOR A PUBLIC SCHOOL ACADEMY THAT IS AN EMPOWERMENT ZONE26

SCHOOL, AN AUTHORIZING BODY SHALL ENSURE THAT THE ENROLLMENT AND27

ADMISSIONS PROCESS OF THE PUBLIC SCHOOL ACADEMY INCORPORATED INTO28

27

______'15 ____

THE CONTRACT FOR THE PUBLIC SCHOOL ACADEMY IS CONSISTENT WITH ZONE1

ENROLLMENT PLAN UNDER PART 7C.2

Sec. 507. (1) An authorizing body that issues a contract for a3

public school academy under this part shall do all of the4

following:5

(a) Ensure that the contract and the application for the6

contract comply with the requirements of this part AND PART 7C.7

(b) Within 10 days after issuing the contract, submit to the8

department a copy of the contract.9

(c) Establish the method of selection, length of term, and10

number of members of the board of directors of each public school11

academy that it authorizes. The authorizing body shall ensure that12

the board of directors includes representation from the local13

community.14

(d) Oversee each public school academy operating under a15

contract issued by the authorizing body. The oversight shall be16

sufficient to ensure that the board of directors is in compliance17

with the terms of the contract and with applicable law.18

(e) Develop and implement a process for holding a public19

school academy accountable for meeting applicable academic20

performance standards set forth in the contract and for21

implementing corrective action for a public school academy that22

does not meet those standards.23

(f) Take necessary measures to ensure that the board of24

directors of a public school academy operates independently of any25

educational management company involved in the operations of the26

public school academy.27

28

______'15 ____

(g) Oversee and ensure that the pupil admission process used1

by the public school academy is operated in a fair and open manner2

and is in compliance with the contract ,this part AND PART 7C.3

(h) Ensure that the board of directors of the public school4

academy maintains and releases information as necessary to comply5

with applicable law.6

(2) An authorizing body may enter into an agreement with 1 or7

more other authorizing bodies to carry out any function of an8

authorizing body under this act.9

(3) The authorizing body for a public school academy is the10

fiscal agent for the public school academy. A state school aid11

payment for a public school academy shall be paid to the12

authorizing body that is the fiscal agent for that public school13

academy, and the authorizing body shall then forward the payment to14

the public school academy. Within 30 days after a contract is15

submitted to the department by an authorizing body under subsection16

(1), the department shall issue a district code to the public17

school academy for which the contract was issued. If the department18

does not issue a district code within 30 days after a contract is19

filed, the state treasurer shall assign a temporary district code20

in order for the public school academy to receive funding under the21

state school aid act of 1979.22

(4) A contract issued under this part may be revoked by the23

authorizing body if the authorizing body determines that 1 or more24

of the following have occurred:25

(a) Failure of the public school academy to demonstrate26

improved pupil academic achievement for all groups of pupils or27

meet the educational goals set forth in the contract.28

29

______'15 ____

(b) Failure of the public school academy to comply with all1

applicable law.2

(c) Failure of the public school academy to meet generally3

accepted public sector accounting principles and demonstrate sound4

fiscal stewardship.5

(d) The existence of 1 or more other grounds for revocation as6

specified in the contract.7

(5) Except for a public school academy that is an alternative8

school serving a special student population, if the superintendent9

of public instruction STATE SCHOOL REFORM/REDESIGN OFFICER10

determines that a public school academy site that has been11

operating for at least 4 years is among the lowest achieving 5% of12

all public schools in this state FOR 3 CONSECUTIVE YEARS, as13

defined IN SECTION 1280C, for the purposes of the federal incentive14

grant program created under sections 14005 and 14006 of title XIV15

of the American recovery and reinvestment act of 2009, Public Law16

111-5, is in year 2 of restructuring sanctions under the no child17

left behind act of 2001, Public Law 107-110, not to include the ANY18

individualized education plan subgroup, and is not currently19

undergoing reconstitution under this section, the superintendent of20

public instruction STATE SCHOOL REFORM/REDESIGN OFFICER shall21

notify the public school academy's authorizing body. If an22

authorizing body receives notice from the superintendent of public23

instruction STATE SCHOOL REFORM/REDESIGN OFFICER under this24

subsection, the authorizing body shall amend the public school25

academy's contract to eliminate the public school academy's26

authority to operate the existing age and grade levels at the site27

and the public school academy shall cease operating the existing28

30

______'15 ____

age and grade levels at the site, effective at the end of the1

current school year. If the public school academy operates at only2

1 site, and the authorizing body receives notice from the3

superintendent of public instruction STATE SCHOOL REFORM/REDESIGN4

OFFICER under this subsection, the authorizing body shall revoke5

the public school academy's contract, effective at the end of the6

current school year.7

(6) FOR A PUBLIC SCHOOL ACADEMY THAT IS A SCHOOL EMPOWERMENT8

ZONE SCHOOL AND IS LISTED ON THE CLOSURE LIST UNDER PART 7C, AN9

AUTHORIZING BODY SHALL PERMIT AN EDUCATION MANAGER TO RECONSTITUTE10

THE PUBLIC SCHOOL ACADEMY IF THE PUBLIC SCHOOL ACADEMY IS LISTED ON11

THE LOWEST ACHIEVING SCHOOLS LIST UNDER SECTION 1280C FOR THREE12

CONSECUTIVE YEARS. AN AUTHORIZING BODY SHALL INCLUDE A13

RECONSTITUTION PROVISION IN THE CONTRACT FOR THE PUBLIC SCHOOL14

ACADEMY THAT IDENTIFIES CORRECTIVE MEASURES, INCLUDING, BUT NOT15

LIMITED TO, 1 OR MORE OF THE FOLLOWING:16

(A) AUTOMATIC CANCELLATION OF A CONTRACT WITH AN EDUCATIONAL17

MANAGEMENT ORGANIZATION.18

(B) WITHDRAWAL OF APPROVAL OF A CONTRACT UNDER SECTION 506.19

(C) AUTHORIZING AN EDUCATION MANAGER TO CONDUCT ON BEHALF OF20

THE PUBLIC SCHOOL ACADEMY BOARD OF DIRECTORS A REQUEST FOR PROPOSAL21

PROCESS AND THE SELECTION OF A NEW PROVIDER OF SERVICES FOR THE22

PUBLIC SCHOOL ACADEMY.23

(D) IF THE BUILDING IS SUBJECT TO A SUPERINTENDENT'S CLOSURE24

ORDER UNDER PART 7C, A REQUEST FOR PROPOSAL PROCESS TO REMOVE AND25

REPLACE, OR APPOINTING A NEW BOARD OF DIRECTORS OR A TRUSTEE TO26

TAKE OVER OPERATION OF THE PUBLIC SCHOOL ACADEMY.27

31

______'15 ____

(7) NOTHING IN THIS SECTION PROHIBITS AN AUTHORIZING BODY FROM1

RECONSTITUTING A PUBLIC SCHOOL ACADEMY THAT IS A EMPOWERMENT ZONE2

SCHOOL IF THE RECONSTITUTION OCCURS DURING THE FIRST TWO YEARS THAT3

A PUBLIC SCHOOL ACADEMY IS LISTED ON THE LOWEST ACHIEVING SCHOOLS4

LIST UNDER SECTION 1280C.5

(6)(8) EXCEPT AS PROVIDED IN SECTION 502, The THE decision of6

an authorizing body to issue, not issue, or reconstitute a contract7

under this part, or to terminate or revoke a contract under this8

section, is solely within the discretion of the authorizing body,9

is final, and is not subject to review by a court or any state10

agency. An authorizing body that issues, does not issue, or11

reconstitutes a contract under this part, or that terminates or12

revokes a contract under this section, is not liable for that13

action to the public school academy, the public school academy14

corporation, a pupil of the public school academy, the parent or15

guardian of a pupil of the public school academy, or any other16

person.17

(7) (11) Except as otherwise provided in subsection (5),18

before EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, BEFORE an19

authorizing body revokes OR ELECTS NOT TO REISSUE a contract, the20

authorizing body may consider and take corrective measures to avoid21

revocation. An authorizing body may reconstitute the public school22

academy in a final attempt to improve student educational23

performance or to avoid interruption of the educational process. An24

authorizing body shall include a reconstituting provision in the25

contract that identifies these corrective measures, including, but26

not limited to, canceling a contract with an educational management27

organization, if any, withdrawing approval of a contract under28

32

______'15 ____

section 506, or appointing a new board of directors or a trustee to1

take over operation of the public school academy.2

(8) (12) If an authorizing body revokes a contract, the3

authorizing body shall work with a school district or another4

public school, or with a combination of these entities, to ensure a5

smooth transition for the affected pupils. If the revocation occurs6

during the school year, the authorizing body, as the fiscal agent7

for the public school academy under this part, shall return any8

school aid funds held by the authorizing body that are attributable9

to the affected pupils to the state treasurer for deposit into the10

state school aid fund. The state treasurer shall distribute funds11

to the public school in which the pupils enroll after the12

revocation pursuant to a methodology established by the department13

and the center for educational performance and information.14

(9) (13) Not more than 10 days after a public school academy's15

contract terminates or is revoked, the authorizing body shall16

notify the superintendent of public instruction in writing of the17

name of the public school academy whose contract has terminated or18

been revoked and the date of contract termination or revocation.19

Sec. 522.(1) SUBJECT TO PART 7C, An AN urban high school20

academy shall be organized and administered under the direction of21

a board of directors in accordance with this part and with bylaws22

adopted by the board of directors. An urban high school academy23

corporation shall be organized under the nonprofit corporation act,24

1982 PA 162, MCL 450.2101 to 450.3192, except that an urban high25

school academy corporation is not required to comply with sections26

170 to 177 of 1931 PA 327, MCL 450.170 to 450.177. To the extent27

disqualified under the state or federal constitution, an urban high28

33

______'15 ____

school academy shall not be organized by a church or other1

religious organization and shall not have any organizational or2

contractual affiliation with or constitute a church or other3

religious organization.4

(2) EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, The THE5

governing board of a state public university may act as an6

authorizing body to issue a contract for the organization and7

operation of an urban high school academy under this part.8

(3) A contract issued under this part shall be issued for an9

initial term of 10 years. If the urban high school academy meets10

the educational goals set forth in the contract and operates in11

substantial compliance with this part, the authorizing body shall12

automatically renew the contract for a subsequent 10-year term.13


urban high school academies, an entity may apply to an authorizing15

body described in subsection (2). The contract shall be issued to16

an urban high school academy corporation designated by the entity17

applying for the contract. The application shall include at least18


(a) Name of the entity applying for the contract.20


under section 528, a list of the proposed members of the board of22

directors of the urban high school academy and a description of the23





34

______'15 ____

(i) The name of the proposed urban high school academy to which1

the contract will be issued.2

(ii) The purposes for the urban high school academy3

corporation. This language shall provide that the urban high school4

academy is incorporated pursuant to this part and that the urban5

high school academy corporation is a governmental entity and6

political subdivision of this state.7



be effective.10


of incorporation.12

(d) A copy of the proposed bylaws of the urban high school13

academy.14



(i) The governance structure of the urban high school academy.17

(ii) A copy of the educational goals of the urban high school18

academy and the curricula to be offered and methods of pupil19

assessment to be used by the urban high school academy. The20

educational goals shall include demonstrated improved pupil21

academic achievement for all groups of pupils. To the extent22

applicable, the progress of the pupils in the urban high school23

academy shall be assessed using at least a Michigan education24

assessment program (MEAP) test or the Michigan merit examination25

under section 1279g, as applicable.26


urban high school academy. The admission policy and criteria shall28

35

______'15 ____



general public adequate notice that an urban high school academy is3

being created and adequate information on the admission policy,4

criteria, and process.5

(iv) The school calendar and school day schedule.6


(f) Descriptions of staff responsibilities and of the urban8

high school academy's governance structure.9

(g) A description of and address for the proposed building or10

buildings in which the urban high school academy will be located,11

and a financial commitment by the entity applying for the contract12

to construct or renovate the building or buildings that will be13

occupied by the urban high school academy that is issued the14

contract.15

(5) If a particular state public university issues a contract16

that allows an urban high school academy to operate the same17

configuration of grades at more than 1 site, as provided in section18

524(1), each of those sites shall be under the direction of the19

board of directors that is a party to the contract.20



oversight of 1 or more urban high school academies operating under23

a contract issued by the authorizing body, the superintendent of24


issue new contracts to organize and operate urban high school26

academies. A contract issued by the authorizing body during the27

36

______'15 ____

suspension is void. A contract issued by the authorizing body1

before the suspension is not affected by the suspension.2




contract for an urban high school academy in an amount that exceeds6

a combined total of 3% of the total state school aid received by7

the urban high school academy in the school year in which the fees8

or expenses are charged. All of the following apply to this fee:9

(a) An authorizing body may use this fee only for the10

following purposes:11

(i) Considering applications and issuing or administering12

contracts.13

(ii) Compliance monitoring and oversight of urban high school14

academies.15

(iii) Training for urban high school academy applicants,16

administrators, and boards of directors.17

(iv) Technical assistance to urban high school academies.18

(v) Academic support to urban high school academies or to19

pupils or graduates of urban high school academies.20

(vi) Evaluation of urban high school academy performance.21

(vii) Training of teachers, including supervision of teacher22

interns.23

(viii) Other purposes that assist the urban high school24

academies or traditional public schools in achieving improved25

academic performance.26

(b) An authorizing body may provide other services for an27

urban high school academy and charge a fee for those services, but28

37

______'15 ____

shall not require such an arrangement as a condition to issuing the1

contract authorizing the urban high school academy.2

(8) An urban high school academy shall be presumed to be3

legally organized if it has exercised the franchises and privileges4

of an urban high school academy for at least 2 years.5

(9) IF AN AUTHORIZING BODY ISSUES A CONTRACT FOR A NEW URBAN6

HIGH SCHOOL ACADEMY TO OPERATE WITHIN A EMPOWERMENT ZONE, THE7

AUTHORIZING BODY MUST FIRST OBTAIN THE APPROVAL OF THE EDUCATION8

MANAGER FOR THE EMPOWERMENT ZONE UNDER THIS SUBSECTION. WITHIN 109

BUSINESS DAYS OF ISSUANCE OF THE CONTRACT, THE AUTHORIZING BODY10

SHALL SUBMIT ITS REQUEST TO THE EDUCATION MANAGER. WITHIN 30 DAYS11

OF RECEIPT, THE EDUCATION MANAGER SHALL APPROVE OR DENY THE12

REQUEST. THE DECISION OF THE EDUCATION MANAGER TO DENY AN13

AUTHORIZING BODY'S REQUEST TO ISSUE A CONTRACT FOR A NEW URBAN HIGH14

SCHOOL ACADEMY WITHIN THE EMPOWERMENT ZONE UNDER THIS SUBSECTION IS15

FINAL AND NOT SUBJECT TO APPEAL.16



URBAN HIGH SCHOOL ACADEMY CONTRACT.19



AN EXISTING URBAN HIGH SCHOOL ACADEMY CONTRACT.22




ZONE.26

(13) AN AUTHORIZING BODY THAT ISSUES A CONTRACT TO A URBAN27

HIGH SCHOOL ACADEMY THAT IS A HIGH-PERFORMING SCHOOL OPERATING28

38

______'15 ____

WITHIN A EMPOWERMENT ZONE IS NOT REQUIRED TO OBTAIN THE APPROVAL OF1

THE EDUCATION MANAGER FOR THE EMPOWERMENT ZONE TO ISSUE A NEW2

CONTRACT FOR A URBAN HIGH SCHOOL ACADEMY IF THE EDUCATION MANAGER3

DETERMINES THAT THE AUTHORIZING BODY IS ISSUING THE NEW CONTRACT TO4

REPLICATE THE HIGH-PERFORMING SCHOOL.5

(14) A URBAN HIGH SCHOOL ACADEMY SCHOOL BUILDING THAT IS6

CLOSED BY AN AUTHORIZING BODY BECAUSE OF A CONTRACT REVOCATION,7

TERMINATION, OR NON-REAUTHORIZATION; VOLUNTARILY CLOSED BY A URBAN8

HIGH SCHOOL ACADEMY; CLOSED BY A SUPERINTENDENT CLOSURE ORDER UNDER9

PART 7C; OR CLOSED BY AN EDUCATION MANAGER PURSUANT TO A ZONE10

ACCOUNTABILITY PLAN UNDER PART 7C, SHALL AUTOMATICALLY BE MADE11

AVAILABLE FOR USE BY THE EDUCATION MANAGER FOR THE EMPOWERMENT ZONE12

IN WHICH THE BUILDING IS LOCATED AT THE BEGINNING OF THE NEXT13

SCHOOL FISCAL YEAR.14

Sec. 524. (1) An urban high school academy may be located in15

all or part of an existing public school building. EXCEPT AS16

OTHERWISE PROVIDED IN THIS SECTION, An AN urban high school academy17

shall not operate at a site other than the site or sites, requested18

for the configuration of age or grade levels that will use the site19

or sites, as specified in the contract. Under a contract AND EXCEPT20

AS OTHERWISE PROVIDED IN THIS SECTION, an authorizing body may21

permit an urban high school academy to operate the same22

configuration of age or grade levels at more than 1 site, and an23

urban high school academy may operate the same configuration of age24

or grade levels at more than 1 site, as long as the urban high25

school academy is operating in compliance with its contract and is26

making measurable progress toward meeting its educational goals.27

EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, For FOR a contract28

39

______'15 ____

for a new urban high school academy, an authorizing body may permit1

an urban high school academy to operate the same configuration of2

age or grade levels at more than 1 site, and an urban high school3

academy may operate the same configuration of age or grade levels4

at more than 1 site, if the applicant for the proposed urban high5

school academy presents documentation to the authorizing body6

demonstrating that the applicant's proposed educational model has7

resulted in schools making measurable progress toward meeting their8

educational goals.9

(2) An urban high school academy shall not charge tuition.10

Except as otherwise provided in this section, an urban high school11

academy shall not discriminate in its pupil admissions policies or12

practices on the basis of intellectual or athletic ability,13

measures of achievement or aptitude, status as a handicapped14

person, or any other basis that would be illegal if used by a15

school district. EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION,16

However, an urban high school academy may limit admission to pupils17

who are within a particular range of age or grade level or on any18

other basis that would be legal if used by a school district and19

may give enrollment priority as provided in subsection (4).20


States citizen, an urban high school academy shall not enroll a22

pupil who is not a resident of this state. EXCEPT AS OTHERWISE23

PROVIDED IN THIS SECTION, Enrollment ENROLLMENT in an urban high24

school academy shall be open to all pupils who reside in this state25

who meet the admission policy. Subject to subsection (4) AND26

SUBSECTION (11), if there are more applications to enroll in the27

urban high school academy than there are spaces available, pupils28

40

______'15 ____

shall be selected to attend using a random selection process. An1

urban high school academy shall allow any pupil who was enrolled in2

the urban high school academy in the immediately preceding school3

year to enroll in the urban high school academy in the appropriate4

grade unless the appropriate grade is not offered at that urban5

high school academy.6

(4) An urban high school academy may give enrollment priority7

to 1 or more of the following:8

(a) A sibling of a pupil enrolled in the urban high school9

academy.10

(b) A child of a person who is employed by or at the urban11

high school academy or who is on the board of directors of the12

urban high school academy. As used in this subdivision, "child"13

includes an adopted child or a legal ward.14

(5) Subject to the terms of the contract authorizing the urban15

high school academy, an urban high school academy shall include at16

least grades 9 through 12 within 5 years after beginning operations17

and may include other grades or any configuration of those grades,18

including kindergarten and early childhood education, as specified19

in its contract. If specified in its contract, an urban high school20

academy may also operate an adult basic education program, adult21

high school completion program, or general education development22

testing preparation program.23

(6) EXCEPT AS OTHERWISE PERMITTED IN THIS SECTION, FOR A URBAN24

HIGH SCHOOL ACADEMY THAT IS AN EMPOWERMENT ZONE SCHOOL, AN25

AUTHORIZING BODY SHALL NOT APPROVE A URBAN HIGH SCHOOL ACADEMY TO26

ADD ANOTHER SITE TO ITS CONTRACT FOR THE SAME CONFIGURATION OF AGE27

OR GRADE RANGE WITHOUT THE APPROVAL OF THE EDUCATION MANAGER FOR28

41

______'15 ____

THE EMPOWERMENT ZONE SCHOOL. WITHIN 10 BUSINESS DAYS AFTER A URBAN1

HIGH SCHOOL ACADEMY'S APPROVAL OF AN ADDITIONAL SITE REQUEST, THE2

URBAN HIGH SCHOOL ACADEMY’S AUTHORIZING BODY SHALL SUBMIT THE3

ADDITIONAL SITE REQUEST TO THE EDUCATION MANAGER. WITHIN 30 DAYS OF4

RECEIPT, THE EDUCATION MANAGER SHALL, APPROVE THE ADDITIONAL SITE5

REQUEST AS CONSISTENT WITH THE ZONE ACCOUNTABILITY PLAN AND ZONE6

FACILITIES PLAN FOR THE EMPOWERMENT ZONE OR DENY THE ADDITIONAL7

SITE REQUEST AS INCONSISTENT WITH THE ZONE ACCOUNTABILITY PLAN AND8

ZONE FACILITIES PLAN. THE DECISION OF AN EDUCATION MANAGER UNDER9

THIS SUBSECTION IS FINAL AND NOT SUBJECT TO APPEAL.10


AUTHORIZING BODY THAT ISSUES A CONTRACT TO A URBAN HIGH SCHOOL12

ACADEMY OPERATING A HIGH-PERFORMING SCHOOL IS NOT REQUIRED TO13

OBTAIN THE APPROVAL OF AN EDUCATION MANAGER TO ADD AN ADDITIONAL14

SITE IF THE EDUCATION MANAGER FOR THE EMPOWERMENT ZONE IN WHICH THE15

ADDITION SITE WOULD BE LOCATED DETERMINES THAT THE ADDITIONAL SITE16

IS FOR THE REPLICATION OF A HIGH-PERFORMING SCHOOL. NOTHING IN THIS17


SITE REQUEST FOR A URBAN HIGH SCHOOL ACADEMY.19

(8) EXCEPT AS OTHERWISE PERMITTED IN THIS SECTION, FOR A URBAN20

HIGH SCHOOL ACADEMY THAT IS A EMPOWERMENT ZONE SCHOOL, AN21

AUTHORIZING BODY SHALL NOT PERMIT A URBAN HIGH SCHOOL ACADEMY TO22

CHANGE THE AGE OR GRADE RANGE CONFIGURATION AT THE SITE OF THE23

URBAN HIGH SCHOOL ACADEMY WITHOUT THE APPROVAL OF THE EDUCATION24

MANAGER FOR THE EMPOWERMENT ZONE IN WHICH THE URBAN HIGH SCHOOL25

ACADEMY IS LOCATED. WITHIN 10 BUSINESS DAYS AFTER A URBAN HIGH26

SCHOOL ACADEMY'S APPROVAL OF AN AGE OR GRADE RANGE CHANGE REQUEST,27

THE AUTHORIZING BODY FOR THE URBAN HIGH SCHOOL ACADEMY SHALL SUBMIT28

42

______'15 ____

THE URBAN HIGH SCHOOL ACADEMY'S AGE OR GRADE RANGE CHANGE REQUEST1

TO THE EDUCATION MANAGER. WITHIN 30 DAYS OF RECEIPT, THE EDUCATION2

MANAGER SHALL, APPROVE THE REQUEST AS CONSISTENT WITH THE ZONE3

ACCOUNTABILITY PLAN AND ZONE FACILITIES PLAN FOR THE EMPOWERMENT4

ZONE OR DENY THE REQUEST AS INCONSISTENT WITH THE ZONE5

ACCOUNTABILITY PLAN AND ZONE FACILITIES PLAN. THE DECISION OF AN6

EDUCATION MANAGER UNDER THIS SUBSECTION IS FINAL AND NOT SUBJECT TO7

APPEAL.8

(9) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBSECTION, A URBAN9

HIGH SCHOOL ACADEMY OPERATING A HIGH-PERFORMING SCHOOL IS NOT10

REQUIRED TO OBTAIN THE APPROVAL OF AN EDUCATION MANAGER TO CHANGE11

THE CONFIGURATION OF AGE OR GRADE RANGE AT THE HIGH-PERFORMING12

SCHOOL. NOTHING IN THIS SUBSECTION REQUIRES AN AUTHORIZING BODY TO13

APPROVE AN AGE OR GRADE RANGE REQUEST FOR A URBAN HIGH SCHOOL14

ACADEMY.15

(10) FOR A URBAN HIGH SCHOOL ACADEMY THAT IS AN EMPOWERMENT16

ZONE SCHOOL, AN AUTHORIZING BODY SHALL ENSURE THAT THE ENROLLMENT17

AND ADMISSIONS PROCESS OF THE URBAN HIGH SCHOOL ACADEMY18

INCORPORATED INTO THE CONTRACT FOR THE PUBLIC SCHOOL ACADEMY IS19

CONSISTENT WITH ZONE ENROLLMENT PLAN UNDER PART 7C.20

Sec. 528. (1) An authorizing body that issues a contract for21

an urban high school academy under this part shall do all of the22

following:23





43

______'15 ____

(c) Adopt a resolution establishing the method of selection,1

length of term, and number of members of the board of directors of2

each urban high school academy that it authorizes. The resolution3

shall be written or amended as necessary to include a requirement4

that each member of the board of directors must be a citizen of the5

United States.6

(d) Oversee the operations of each urban high school academy7

operating under a contract issued by the authorizing body. The8

oversight shall be sufficient to ensure that the urban high school9

academy is in compliance with the terms of the contract and with10

applicable law. An authorizing body may enter into an agreement11

with 1 or more other authorizing bodies to oversee an urban high12

school academy operating under a contract issued by the authorizing13

body.14

(e) Develop and implement a process for holding an urban high15

school academy board of directors accountable for meeting16

applicable academic performance standards set forth in the contract17

and for implementing corrective action for an urban high school18

academy that does not meet those standards.19

(f) Take necessary measures to ensure that an urban high20

school academy board of directors operates independently of any21

educational management company involved in the operations of the22

urban high school academy.23


by the urban high school academy is operated in a fair and open25

manner and is in compliance with the contract and , this part AND26

PART 7C.27

44

______'15 ____

(h) Ensure that the board of directors of the urban high1

school academy maintains and releases information as necessary to2

comply with applicable law.3

(2) An authorizing body may enter into an agreement with 1 or4

more other authorizing bodies to carry out any function of an5

authorizing body under this act.6

(3) The authorizing body for an urban high school academy is7

the fiscal agent for the urban high school academy. A state school8

aid payment for an urban high school academy shall be paid to the9

authorizing body that is the fiscal agent for that urban high10

school academy, which shall then forward the payment to the urban11

high school academy. Within 30 days after a contract is submitted12

to the department by an authorizing body under subsection (1), the13

department shall issue a district code to the urban high school14

academy for which the contract was issued. If the department does15

not issue a district code within 30 days after a contract is filed,16

the state treasurer shall assign a temporary district code in order17

for the urban high school academy to receive funding under the18

state school aid act of 1979.19


authorizing body that issued the contract if the authorizing body21

determines that 1 or more of the following have occurred:22

(a) Failure of the urban high school academy to demonstrate23



(b) Failure of the urban high school academy to comply with26

all applicable law.27

45

______'15 ____

(c) Failure of the urban high school academy to meet generally1





(5) Except for an urban high school academy that is an6

alternative school serving a special student population, if the7


OFFICER determines that an urban high school academy site that has9

been operating for at least 4 years is among the lowest achieving10

5% of all public schools in this state FOR 3 CONSECUTIVE YEARS, as11

defined IN SECTION 1280C, for the purposes of the federal incentive12

grant program created under sections 14005 and 14006 of title XIV13

of the American recovery and reinvestment act of 2009, Public Law14

111-5, is in year 2 of restructuring sanctions under the no child15

left behind act of 2001, Public Law 107-110, not to include the ANY16




notify the urban high school academy's authorizing body. If an20



subsection, the authorizing body shall amend the urban high school23

academy's contract to eliminate the urban high school academy's24


and the urban high school academy shall cease operating the26

existing age and grade levels at the site, effective at the end of27

the current school year. If the urban high school academy operates28

46

______'15 ____

at only 1 site, and the authorizing body receives notice from the1


OFFICER under this subsection, the authorizing body shall revoke3

the urban high school academy's contract, effective at the end of4

the current school year.5

(6) FOR A URBAN HIGH SCHOOL ACADEMY THAT IS A EMPOWERMENT ZONE6

SCHOOL AND IS LISTED ON THE CLOSURE LIST UNDER PART 7C, AN7


THE URBAN HIGH SCHOOL ACADEMY IF THE URBAN HIGH SCHOOL ACADEMY IS9

LISTED ON THE LOWEST ACHIEVING SCHOOLS LIST UNDER SECTION 1280C FOR10

THREE CONSECUTIVE YEARS. AN AUTHORIZING BODY SHALL INCLUDE A11

RECONSTITUTION PROVISION IN THE CONTRACT FOR THE URBAN HIGH SCHOOL12

ACADEMY THAT IDENTIFIES CORRECTIVE MEASURES, INCLUDING, BUT NOT13






THE URBAN HIGH SCHOOL ACADEMY BOARD OF DIRECTORS A REQUEST FOR19

PROPOSAL PROCESS AND THE SELECTION OF A NEW PROVIDER OF SERVICES20

FOR THE URBAN HIGH SCHOOL ACADEMY.21




TAKE OVER OPERATION OF THE URBAN HIGH SCHOOL ACADEMY.25


RECONSTITUTING A URBAN HIGH SCHOOL ACADEMY THAT IS A EMPOWERMENT27

ZONE SCHOOL IF THE RECONSTITUTION OCCURS DURING THE FIRST TWO YEARS28

47

______'15 ____

THAT A URBAN HIGH SCHOOL ACADEMY IS LISTED ON THE LOWEST ACHIEVING1

SCHOOLS LIST UNDER SECTION 1280C.2

(6) (8) EXCEPT AS PROVIDED IN SECTION 522, The THE decision3

of an authorizing body to issue, not issue, or reconstitute a4

contract under this part, or to terminate or revoke a contract5

under this section, is solely within the discretion of the6

authorizing body, is final, and is not subject to review by a court7

or any state agency. An authorizing body that issues, does not8

issue, or reconstitutes a contract under this part, or that9

terminates or revokes a contract under this section, is not liable10

for that action to the urban high school academy, the urban high11

school academy corporation, a pupil of the urban high school12

academy, the parent or guardian of a pupil of the urban high school13

academy, or any other person.14

(7) (9) Except as otherwise provided in subsection (5), before15

EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, BEFORE an authorizing16

body revokes OR ELECTS NOT TO REISSURE a contract, the authorizing17

body may consider and take corrective measures to avoid revocation.18

An authorizing body may reconstitute the urban high school academy19

in a final attempt to improve student educational performance or to20

avoid interruption of the educational process. An authorizing body21

shall include a reconstituting provision in the contract that22

identifies these corrective measures, including, but not limited23

to, removing 1 or more members of the board of directors,24

withdrawing approval to contract under section 527, or appointing a25

new board of directors or a trustee to take over operation of the26

urban high school academy.27

48

______'15 ____

(8) (10) If an authorizing body revokes a contract, the1





for the urban high school academy under this part, shall return any6







(9) If an authorizing body revokes a contract issued under13

this part, the authorizing body may issue a new contract within the14

1-year period following the revocation without the new contract15

counting toward the maximum number of contracts that may be issued16

under this part.17

(10) (11) Not more than 10 days after an urban high school18

academy's contract terminates or is revoked, the authorizing body19

shall notify the superintendent of public instruction in writing of20

the name of the urban high school academy whose contract has21

terminated or been revoked and the date of contract termination or22

revocation.23

(11) (12) If an urban high school academy's contract24

terminates or is revoked, title to all real and personal property,25

interest in real or personal property, and other assets owned by26

the urban high school academy shall revert to the state. This27

property shall be distributed in accordance with the following:28

49

______'15 ____

(a) Within 30 days following the termination or revocation,1

the board of directors of an urban high school academy shall hold a2

public meeting to adopt a plan of distribution of assets and to3

approve the dissolution of the urban high school academy4

corporation, all in accordance with chapter 8 of the nonprofit5

corporation act, 1982 PA 162, MCL 450.2801 to 450.2864.6

(b) The urban high school academy shall file a certificate of7

dissolution with the bureau of commercial services within 108

business days following board approval.9

(c) Simultaneously with the filing of the certificate of10

dissolution under subdivision (b), the urban high school academy11

board of directors shall provide a copy of the board of directors'12

plan of distribution of assets to the state treasurer for approval.13

Within 30 days, the state treasurer, or his or her designee, shall14

review and approve the board of directors' plan of distribution of15

assets. If the proposed plan of distribution of assets is not16

approved within 30 days, the state treasurer, or his or her17

designee, shall provide the board of directors with an acceptable18

plan of distribution of assets.19

(d) The state treasurer, or his or her designee, shall monitor20

the urban high school academy's winding up of the dissolved21

corporation in accordance with the plan of distribution of assets22

approved or provided under subdivision (c).23

(e) As part of the plan of distribution of assets, the urban24

high school academy board of directors shall designate the director25

of the department of technology, management, and budget, or his or26

her designee, to dispose of all real property of the urban high27

school academy corporation in accordance with the directives28

50

______'15 ____

developed for disposition of surplus land and facilities under1

section 251 of the management and budget act, 1984 PA 431, MCL2

18.1251.3

(f) If the board of directors of an urban high school academy4

fails to take any necessary action under this section, the state5

treasurer, or his or her designee, may suspend the urban high6

school academy board of directors and appoint a trustee to carry7

out the board's plan of distribution of assets. Upon appointment,8

the trustee shall have all the rights, powers, and privileges under9

law that the urban high school academy board of directors had10

before being suspended.11

(g) Following the sale of the real or personal property or12

interests in the real or personal property, and after payment of13

any urban high school academy debt secured by the property or14

interest in property, whether real or personal, the urban high15

school academy board of directors, or a trustee appointed under16

this section, shall forward any remaining money to the state17

treasurer. Following receipt, the state treasurer, or his or her18

designee, shall deposit this remaining money in the state school19

aid fund.20

Sec. 552. (1) SUBJECT TO SUBSECTION (22), An AN authorizing21

body may issue contracts under this subsection to organize and22

operate a school of excellence. All of the following apply to the23

issuance of a contract by an authorizing body under this24

subsection:25

(a) The issuance of the contract must be approved by the26

superintendent of public instruction. The superintendent of public27

instruction shall approve issuance of a contract if he or she28

51

______'15 ____

determines that the proposed school of excellence is modeled after1

a high-performing school or program.2

(b) The first 5 contracts issued by all authorizing bodies3

under this subsection shall be for schools of excellence that offer4

1 or more of high school grades 9 to 12, or any combination of5

those grades, as specified in the contract.6

(c) A school of excellence authorized under this subsection7

shall not be located in a school district that has a graduation8

rate of over 75%, on average, for the most recent 3 school years9

for which the data are available, as determined by the department.10

(2) Subject to the limitations in this subsection, and11

subsection (14) AND SUBSECTION (22), an authorizing body may issue12

contracts under this subsection for 1 or more schools of excellence13

that are cyber schools. Until December 31, 2013, the combined total14

number of contracts that may be issued by all statewide authorizing15

bodies under this subsection for schools of excellence that are16

cyber schools shall not exceed 5. Until December 31, 2014, the17

combined total number of contracts that may be issued by all18

statewide authorizing bodies under this subsection for schools of19

excellence that are cyber schools shall not exceed 10. After20

December 31, 2014, the combined total number of contracts issued by21

all statewide authorizing bodies under this subsection for schools22

of excellence that are cyber schools shall not exceed 15. The board23

of a school district, an intermediate school board, the board of a24

community college that is not a statewide authorizing body, or 2 or25

more public agencies acting jointly as described in subsection26

(6)(e) may not act as the authorizing body for more than 1 school27

of excellence that is a cyber school. An authorizing body shall not28

52

______'15 ____

issue a contract for a school of excellence that is a cyber school1

unless the school of excellence that is a cyber school meets all of2

the following requirements:3

(a) Is available for enrollment to all pupils in this state.4

(b) Offers some configuration of or all of grades K to 12.5

(c) The entity applying for the school of excellence that is a6

cyber school demonstrates experience in delivering a quality7

education program that improves pupil academic achievement. In8

determining whether this requirement is met, an authorizing body9

shall refer to the standards for quality online learning10

established by the national association of charter school11

authorizers or other similar nationally recognized standards for12

quality online learning.13

(d) The enrollment in the school of excellence that is a cyber14

school is limited to not more than 2,500 pupils in membership for15

the first school year of operation of the school of excellence that16

is a cyber school, not more than 5,000 pupils in membership for the17

second school year of operation of the school of excellence that is18

a cyber school, and not more than 10,000 pupils in membership for19

the third and subsequent school years of operation of the school of20

excellence that is a cyber school. As used in this subdivision,21

"membership" means that term as defined in section 6 of the state22

school aid act of 1979, MCL 388.1606.23

(e) The school of excellence that is a cyber school offers24

each pupil's family a computer and subsidizes the cost of internet25

access.26

(3) For a public school academy operating under part 6a that27

meets the requirements of subsection (4), with the approval of its28

53

______'15 ____

authorizing body, the board of directors of the public school1

academy may adopt a resolution choosing to convert the public2

school academy to a school of excellence under this part. If the3

board of directors of a public school academy that meets the4

requirements of subsection (4) is issued a contract as a school of5

excellence under this subsection, all the following apply:6

(a) The public school academy shall cease to operate as a7

public school academy under part 6a and shall operate as a school8

of excellence upon the issuance of a contract or at another time as9

determined by the authorizing body.10

(b) The public school academy shall be considered to be a11

school of excellence for all purposes upon the issuance of a12

contract or at another time as determined by the authorizing body,13

but shall retain its corporate identity.14

(c) The conversion of a public school academy under part 6a to15

a school of excellence operating under this part shall not impair16

any agreement, mortgage, loan, bond, note or other instrument of17

indebtedness, or any other agreement entered into by a public18

school academy while it was operating under part 6a.19

(d) The contract issued to the public school academy under20

part 6a shall automatically terminate upon the issuance of a21

contract or at another time as determined by the authorizing body.22

(4) Subsection (3) applies to a public school academy that is23

determined by the department to meet all of the following, as24

applicable:25

(a) If the public school academy operates only some or all of26

grades K to 8, meets at least 1 of the following:27

54

______'15 ____

(i) On average over a 3-year period, at least 90% of the pupils1

enrolled in the public school academy achieved a score of2

proficient or better on the Michigan education assessment program3

mathematics and reading tests or successor state assessment4

program.5

(ii) On average over a 3-year period, at least 70% of the6

pupils enrolled in the public school academy achieved a score of7

proficient or better on the Michigan education assessment program8

mathematics and reading tests or successor state assessment program9

and at least 50% of the pupils enrolled in the public school10

academy met the income eligibility criteria for the federal free or11

reduced-price lunch program, as determined under the Richard B.12

Russell national school lunch act, 42 USC 1751 to 1769i, and13

reported to the department.14

(b) If the public school academy operates grades 9 to 12, at15

least 80% of the school's pupils graduate from high school or are16

determined by the department to be on track to graduate from high17

school, the school has at least 80% average attendance, and the18

school has at least an 80% postsecondary enrollment rate.19

(5) A school of excellence shall be organized and administered20

under the direction of a board of directors in accordance with this21

part and with bylaws adopted by the board of directors. A school of22

excellence shall be organized under the nonprofit corporation act,23

1982 PA 162, MCL 450.2101 to 450.3192, except that a school of24

excellence is not required to comply with sections 170 to 177 of25

1931 PA 327, MCL 450.170 to 450.177. To the extent disqualified26

under the state or federal constitution, a school of excellence27

shall not be organized by a church or other religious organization28

55

______'15 ____

and shall not have any organizational or contractual affiliation1

with or constitute a church or other religious organization.2

(6) SUBJECT TO SUBSECTION (22), Any ANY of the following may3

act as an authorizing body to issue a contract to organize and4

operate 1 or more schools of excellence under this part:5

(a) The board of a school district that operates grades K to6

12. However, except as otherwise provided in this subdivision, the7

board of a school district shall not issue a contract for a school8

of excellence to operate outside the school district's boundaries,9

and a school of excellence authorized by the board of a school10

district shall not operate outside that school district's11

boundaries. If the board of a school district issues a contract for12

a school of excellence that is a cyber school, the contract may13

authorize the school of excellence that is a cyber school to14

operate outside that school district's boundaries. FOR PURPOSES OF15

THIS PART, THE BOARD OF A SCHOOL DISTRICT DOES NOT INCLUDE A LOCAL16

EDUCATION COMMISSION.17

(b) An intermediate school board. However, except as otherwise18

provided in this subdivision, the board of an intermediate school19

district shall not issue a contract for a school of excellence to20

operate outside the intermediate school district's boundaries, and21

a school of excellence authorized by the board of an intermediate22

school district shall not operate outside that intermediate school23

district's boundaries. If the board of an intermediate school24

district issues a contract for a school of excellence that is a25

cyber school, the contract may authorize the school of excellence26

that is a cyber school to operate outside that intermediate school27

district's boundaries.28

56

______'15 ____

(c) The board of a community college. Except as otherwise1

provided in this subdivision, the board of a community college2

shall not issue a contract for a school of excellence to operate3

outside the boundaries of the community college district, and a4

school of excellence authorized by the board of a community college5

shall not operate outside the boundaries of the community college6

district. If the board of a community college issues a contract for7

a school of excellence that is a cyber school, the contract may8

authorize the school of excellence that is a cyber school to9

operate outside the boundaries of the community college district.10

The board of a community college also may issue a contract for not11

more than 1 school of excellence to operate on the grounds of an12

active or closed federal military installation located outside the13

boundaries of the community college district, or may operate a14

school of excellence itself on the grounds of such a federal15

military installation, if the federal military installation is not16

located within the boundaries of any community college district and17

the community college has previously offered courses on the grounds18

of the federal military installation for at least 10 years.19

(d) The governing board of a state public university.20

(e) Two or more of the public agencies described in21

subdivisions (a) to (d) exercising power, privilege, or authority22

jointly pursuant to an interlocal agreement under the urban23

cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to24

124.512.25


schools of excellence, 1 or more persons or an entity may apply to27

57

______'15 ____

an authorizing body described in this section. The application1

shall include at least all of the following:2

(a) Identification of the applicant for the contract.3


under section 553(4), a list of the proposed members of the board5

of directors of the school of excellence and a description of the6





(i) The name of the proposed school of excellence.11

(ii) The purposes for the school of excellence corporation.12

This language shall provide that the school of excellence is13

incorporated pursuant to this part and that the school of14

excellence is a governmental entity.15



be effective.18


of incorporation.20

(d) A copy of the proposed bylaws of the school of excellence.21



(i) The governance structure of the school of excellence.24

(ii) A copy of the educational goals of the school of25

excellence and the curricula to be offered and methods of pupil26

assessment to be used by the school of excellence. The educational27

goals shall include demonstrated improved pupil academic28

58

______'15 ____

achievement for all groups of pupils. To the extent applicable, the1

progress of the pupils in the school of excellence shall be2

assessed using at least a Michigan education assessment program3

(MEAP) test or the Michigan merit examination under section 1279g,4

as applicable.5


school of excellence. The admission policy and criteria shall7



general public adequate notice that a school of excellence is being10

created and adequate information on the admission policy, criteria,11

and process.12

(iv) Except for a school of excellence that is a cyber school,13

the school calendar and school day schedule.14


(f) Descriptions of staff responsibilities and of the school16

of excellence governance structure.17

(g) For an application to the board of a school district, an18

intermediate school board, or board of a community college,19

identification of the school district and intermediate school20

district in which the school of excellence will be located.21

(h) An agreement that the school of excellence will comply22

with the provisions of this part and, subject to the provisions of23

this part, with all other state law applicable to public bodies and24

with federal law applicable to public bodies or school districts.25

(i) A description of and address for the proposed physical26

plant in which the school of excellence will be located. An27

applicant may request the authorizing body to issue a contract28

59

______'15 ____

allowing the board of directors of the school of excellence to1


1 site.3

(8) An authorizing body shall oversee, or shall contract with4

an intermediate school district, community college, or state public5

university to oversee, each school of excellence operating under a6

contract issued by the authorizing body. The authorizing body is7

responsible for overseeing compliance by the board of directors8

with the contract and all applicable law. This subsection does not9

relieve any other government entity of its enforcement or10

supervisory responsibility.11



oversight of 1 or more schools of excellence operating under a14

contract issued by the authorizing body, the superintendent of15


issue new contracts to organize and operate schools of excellence.17

A contract issued by the authorizing body during the suspension is18

void. A contract issued by the authorizing body before the19

suspension is not affected by the suspension.20




contract for a school of excellence in an amount that exceeds a24

combined total of 3% of the total state school aid received by the25

school of excellence in the school year in which the fees or26

expenses are charged. The authorizing body may provide other27

services for a school of excellence and charge a fee for those28

60

______'15 ____

services, but shall not require such an arrangement as a condition1

to issuing the contract authorizing the school of excellence.2

(11) A school of excellence shall be presumed to be legally3

organized if it has exercised the franchises and privileges of a4

public school academy for at least 2 years.5

(12) A member of the board of directors of a school of6

excellence is a public officer and shall, before entering upon the7

duties of the office, take the constitutional oath of office for8

public officers under section 1 of article XI of the state9

constitution of 1963.10

(13) A school of excellence that is a cyber school may make11

available to other public schools for purchase any of the course12

offerings that the cyber school offers to its own pupils.13

(14) If the department determines that the combined total14

statewide final audited membership for all pupils in membership in15

schools of excellence that are cyber schools for the 2012-201316

state fiscal year exceeds a number equal to 1% of the combined17

total statewide final audited membership for all pupils in18

membership in public schools for the 2011-2012 state fiscal year,19

then all of the following apply:20

(a) An authorizing body may not issue a new contract for a new21

school of excellence that is a cyber school to begin operations in22

the 2013-2014 school year.23

(b) A school of excellence that is a cyber school may not24

enroll any new pupils in the school of excellence that is a cyber25

school in the 2013-2014 school year.26

(15) Beginning July 1, 2013, if the department determines that27

the combined total statewide final audited membership for all28

61

______'15 ____

pupils in membership in schools of excellence that are cyber1

schools for a state fiscal year exceeds a number equal to 2% of the2

combined total statewide final audited membership for all pupils in3

membership in public schools for the 2011-2012 state fiscal year,4

then all of the following apply:5

(a) Subject to subdivision (c), an authorizing body may not6

issue a new contract for a new school of excellence that is a cyber7

school to begin operations in a school year that begins after that8

determination is made.9

(b) Subject to subdivision (c), a school of excellence that is10

a cyber school may not enroll any new pupils in the school of11

excellence that is a cyber school in a school year that begins12

after that determination is made.13

(c) If the department determines that the combined total14


schools of excellence that are cyber schools for a state fiscal16

year does not exceed a number equal to 2% of the combined total17


public schools for the 2011-2012 state fiscal year, then19

subdivisions (a) and (b) do not apply for a school year that begins20

after that determination is made unless the department makes a new21

determination that the membership limits under this subsection have22

been exceeded.23

(16) For the purposes of subsections (14) and (15), not later24

than July 1, 2012, and by not later than July 1 of each year25

thereafter, the department shall determine the percentage of the26

combined total statewide final audited membership for all pupils in27

membership in public schools that are pupils in membership in28

62

______'15 ____

schools of excellence that are cyber schools for the state fiscal1

year that includes that July 1.2

(17) As used in this section:3

(a) "Membership" means that term as defined in section 6 of4

the state school aid act of 1979, MCL 388.1606.5

(b) "Statewide authorizing body" means the governing board of6

a state public university or the board of a federal tribally7

controlled community college that is recognized under the tribally8

controlled colleges and universities assistance act of 1978, 25 USC9

1801 to 1852, and is determined by the department to meet the10

requirements for accreditation by a recognized regional accrediting11

body.12

(18) Not later than October 1, 2012, If a district, an13

intermediate school district, a public school academy, or the14

education achievement system offers online learning, the board or15

board of directors of the district, intermediate school district,16

or public school academy, or the education achievement system,17

shall submit to the department a report that details the per-pupil18

costs of operating the online learning. The report shall include,19

on a per-pupil basis, at least all of the following costs:20

(a) Textbooks, instructional materials, and supplies,21

including electronic instructional material.22

(b) Computer and other electronic equipment, including23

internet and telephone access.24

(c) Salaries and benefits for the online learning employees.25

(d) Purchased courses and curricula.26

(e) Fees associated with oversight and regulation.27

63

______'15 ____

(f) Travel costs associated with school activities and1

testing.2

(g) Facilities costs.3

(h) Costs associated with special education.4

(19) Not later than December 31, 2012, the department shall5

issue a report to the legislature including the following:6

(a) A review of the data submitted under subsection (14).7

(b) A comparison with costs of substantially similar programs8

in other states and relevant national research on the costs of9

online learning.10

(c) Any conclusions concerning factors or characteristics of11

online learning programs that make a difference in the costs of12

operating the programs.13

(20) The board of directors of a school of excellence that is14

a cyber school, or the board of a school district, intermediate15

school district, or public school academy that operates an online16

or other distance learning program, shall submit a monthly report17

to the department, in the form and manner prescribed by the18

department, that reports the number of pupils enrolled in the19

school of excellence that is a cyber school, or in the online or20

other distance learning program, during the immediately preceding21

month.22

(21) The board of directors of a school of excellence that is23

a cyber school shall ensure that, when a pupil enrolls in the24

school of excellence that is a cyber school, the pupil and his or25

her parent or legal guardian are provided with a parent-student26

orientation. If the pupil is at least age 18 or is an emancipated27

minor, the orientation may be provided to just the pupil.28

64

______'15 ____

(22) IF AN AUTHORIZING BODY ISSUES A CONTRACT FOR A NEW SCHOOL1

OF EXCELLENCE TO OPERATE WITHIN A EMPOWERMENT ZONE, THE AUTHORIZING2

BODY MUST FIRST OBTAIN THE APPROVAL OF THE EDUCATION MANAGER FOR3

THE EMPOWERMENT ZONE UNDER THIS SUBSECTION. WITHIN 10 BUSINESS DAYS4

OF ISSUANCE OF THE CONTRACT, THE AUTHORIZING BODY SHALL SUBMIT ITS5


EDUCATION MANAGER SHALL APPROVE OR DENY THE REQUEST. THE DECISION7

OF THE EDUCATION MANAGER TO DENY AN AUTHORIZING BODY'S REQUEST TO8

ISSUE A CONTRACT FOR A NEW SCHOOL OF EXCELLENCE WITHIN THE9

EMPOWERMENT ZONE UNDER THIS SUBSECTION IS FINAL AND NOT SUBJECT TO10

APPEAL.11



SCHOOL OF EXCELLENCE CONTRACT.14



AN EXISTING SCHOOL OF EXCELLENCE CONTRACT.17




ZONE.21

(26) AN AUTHORIZING BODY THAT ISSUES A CONTRACT TO A SCHOOL OF22

EXCELLENCE THAT IS A HIGH-PERFORMING SCHOOL OPERATING WITHIN A23

EMPOWERMENT ZONE IS NOT REQUIRED TO OBTAIN THE APPROVAL OF THE24

EDUCATION MANAGER FOR THE EMPOWERMENT ZONE TO ISSUE A NEW CONTRACT25

FOR A SCHOOL OF EXCELLENCE IF THE EDUCATION MANAGER DETERMINES THAT26

THE AUTHORIZING BODY IS ISSUING THE NEW CONTRACT TO REPLICATE THE27

HIGH-PERFORMING SCHOOL.28

65

______'15 ____

(27) A SCHOOL OF EXCELLENCE SCHOOL BUILDING THAT IS CLOSED BY1

AN AUTHORIZING BODY BECAUSE OF A CONTRACT REVOCATION, TERMINATION,2

OR NON-REAUTHORIZATION; VOLUNTARILY CLOSED BY A SCHOOL OF3

EXCELLENCE; CLOSED BY A SUPERINTENDENT CLOSURE ORDER UNDER PART 7C;4

OR CLOSED BY AN EDUCATION MANAGER PURSUANT TO A ZONE ACCOUNTABILITY5

PLAN UNDER PART 7C, SHALL AUTOMATICALLY BE MADE AVAILABLE FOR USE6

BY THE EDUCATION MANAGER FOR THE EMPOWERMENT ZONE IN WHICH THE7

BUILDING IS LOCATED AT THE BEGINNING OF THE NEXT SCHOOL FISCAL8

YEAR.9

Sec. 556. (1) A school of excellence may be located in all or10

part of an existing public school building. EXCEPT AS OTHERWISE11

PROVIDED IN THIS SECTION, A A school of excellence, other than a12

cyber school operated under section 553a, shall not operate at a13

site other than the site or sites requested for the configuration14

of age or grade levels that will use the site or sites, as15

specified in the contract. Under a contract AND EXCEPT AS OTHERWISE16

PROVIDED IN THIS SECTION, an authorizing body may permit a school17

of excellence to operate the same configuration of age or grade18

levels at more than 1 site, and a school of excellence may operate19

the same configuration of age or grade levels at more than 1 site,20

as long as the school of excellence is operating in compliance with21

its contract and is making measurable progress toward meeting its22

educational goals. EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION,23

For FOR a contract for a new school of excellence, an authorizing24

body may permit a school of excellence to operate the same25

configuration of age or grade levels at more than 1 site, and a26

school of excellence may operate the same configuration of age or27

grade levels at more than 1 site, if the applicant for the proposed28

66

______'15 ____

school of excellence presents documentation to the authorizing body1

demonstrating that the applicant's proposed educational model has2

resulted in schools making measurable progress toward meeting their3

educational goals.4

(2) A school of excellence shall not charge tuition and shall5

not discriminate in its pupil admissions policies or practices on6

the basis of intellectual or athletic ability, measures of7

achievement or aptitude, status as a student with a disability, or8

any other basis that would be illegal if used by a school district.9

EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, However, a school of10

excellence may limit admission to pupils who are within a11

particular range of age or grade level or on any other basis that12

would be legal if used by a school district and may give enrollment13

priority as provided in subsection (4).14


States citizen, a school of excellence shall not enroll a pupil who16

is not a resident of this state. EXCEPT AS OTHERWISE PROVIDED IN17

THIS SECTION, For FOR a school of excellence authorized by a school18

district, intermediate school district, or community college,19

enrollment in the school of excellence may be open to all20

individuals who reside in this state who meet the admission policy21

and shall be open to all pupils who reside within the geographic22

boundaries of that authorizing body who meet the admission policy,23

except that admission to a school of excellence authorized by the24

board of a community college to operate, or operated by the board25

of a community college, on the grounds of a federal military26

installation, as described in section 552(6)(c), shall be open to27

all pupils who reside in the county in which the federal military28

67

______'15 ____

installation is located. EXCEPT AS OTHERWISE PROVIDED IN THIS1

SECTION, For FOR a school of excellence authorized by a state2

public university, enrollment shall be open to all pupils who3

reside in this state who meet the admission policy. EXCEPT AS4

OTHERWISE PROVIDED IN THIS SECTION, If IF there are more5

applications to enroll in the school of excellence than there are6

spaces available, pupils shall be selected to attend using a random7

selection process. A school of excellence shall allow any pupil who8

was enrolled in the school of excellence in the immediately9

preceding school year to enroll in the school of excellence in the10

appropriate grade unless the appropriate grade is not offered at11

that school of excellence.12

(4) A school of excellence may give enrollment priority to 113

or more of the following:14

(a) A sibling of a pupil enrolled in the school of excellence.15

(b) A pupil who transfers to the school of excellence from16

another public school pursuant to a matriculation agreement between17

the school of excellence and another public school that provides18

for this enrollment priority, if all of the following requirements19

are met:20

(i) Each school of excellence or other public school that21

enters into the matriculation agreement remains a separate and22

independent public school.23

(ii) The school of excellence that gives the enrollment24

priority selects at least 5% of its pupils for enrollment using a25

random selection process.26

(iii) The matriculation agreement allows any pupil who was27

enrolled at any time during elementary school in a public school28

68

______'15 ____

that is party to the matriculation agreement and who was not1

expelled from the public school to enroll in the school of2

excellence giving enrollment priority under the matriculation3

agreement.4

(c) A child of a person who is employed by or at the school of5

excellence or who is on the board of directors of the school of6

excellence. As used in this subdivision, "child" includes an7

adopted child or a legal ward.8

(5) Subject to subsection (6), a school of excellence may9

include any grade up to grade 12 or any configuration of those10

grades, including kindergarten and early childhood education, as11

specified in its contract. If specified in its contract, a school12

of excellence may also operate an adult basic education program,13

adult high school completion program, or general education14

development testing preparation program. SUBJECT TO PART 7C, The15

THE authorizing body may approve amendment of a contract with16

respect to ages of pupils or grades offered.17

(6) In addition to any other grade levels it operates, a18

school of excellence shall work toward operating all of grades 9 to19

12 within 6 years after it begins operations, unless a20

matriculation agreement has been reached with another public school21

that provides grades 9 to 12.22

(7) If a school of excellence is a cyber school and its23

authorizing body is a school district or intermediate school24

district, the school of excellence shall give enrollment priority25

to pupils who reside in the school district or intermediate school26

district that is the authorizing body.27

69

______'15 ____


SCHOOL OF EXCELLENCE THAT IS AN EMPOWERMENT ZONE SCHOOL, AN2

AUTHORIZING BODY SHALL NOT APPROVE A SCHOOL OF EXCELLENCE TO ADD3

ANOTHER SITE TO ITS CONTRACT FOR THE SAME CONFIGURATION OF AGE OR4

GRADE RANGE WITHOUT THE APPROVAL OF THE EDUCATION MANAGER FOR THE5

EMPOWERMENT ZONE SCHOOL. WITHIN 10 BUSINESS DAYS AFTER A SCHOOL OF6

EXCELLENCE'S APPROVAL OF AN ADDITIONAL SITE REQUEST, THE SCHOOL OF7

EXCELLENCE’S AUTHORIZING BODY SHALL SUBMIT THE ADDITIONAL SITE8


EDUCATION MANAGER SHALL, APPROVE THE ADDITIONAL SITE REQUEST AS10


PLAN FOR THE EMPOWERMENT ZONE OR DENY THE ADDITIONAL SITE REQUEST12

AS INCONSISTENT WITH THE ZONE ACCOUNTABILITY PLAN AND ZONE13




AUTHORIZING BODY THAT ISSUES A CONTRACT TO A SCHOOL OF EXCELLENCE17

OPERATING A HIGH-PERFORMING SCHOOL IS NOT REQUIRED TO OBTAIN THE18

APPROVAL OF AN EDUCATION MANAGER TO ADD AN ADDITIONAL SITE IF THE19

EDUCATION MANAGER FOR THE EMPOWERMENT ZONE IN WHICH THE ADDITION20

SITE WOULD BE LOCATED DETERMINES THAT THE ADDITIONAL SITE IS FOR21

THE REPLICATION OF A HIGH-PERFORMING SCHOOL. NOTHING IN THIS22


SITE REQUEST FOR A SCHOOL OF EXCELLENCE.24


SCHOOL OF EXCELLENCE THAT IS A EMPOWERMENT ZONE SCHOOL, AN26

AUTHORIZING BODY SHALL NOT PERMIT A SCHOOL OF EXCELLENCE TO CHANGE27

THE AGE OR GRADE RANGE CONFIGURATION AT THE SITE OF THE SCHOOL OF28

70

______'15 ____

EXCELLENCE WITHOUT THE APPROVAL OF THE EDUCATION MANAGER FOR THE1

EMPOWERMENT ZONE IN WHICH THE SCHOOL OF EXCELLENCE IS LOCATED.2

WITHIN 10 BUSINESS DAYS AFTER A SCHOOL OF EXCELLENCE'S APPROVAL OF3

AN AGE OR GRADE RANGE CHANGE REQUEST, THE AUTHORIZING BODY FOR THE4

SCHOOL OF EXCELLENCE SHALL SUBMIT THE SCHOOL OF EXCELLENCE'S AGE OR5

GRADE RANGE CHANGE REQUEST TO THE EDUCATION MANAGER. WITHIN 30 DAYS6

OF RECEIPT, THE EDUCATION MANAGER SHALL, APPROVE THE REQUEST AS7


PLAN FOR THE EMPOWERMENT ZONE OR DENY THE REQUEST AS INCONSISTENT9

WITH THE ZONE ACCOUNTABILITY PLAN AND ZONE FACILITIES PLAN. THE10

DECISION OF AN EDUCATION MANAGER UNDER THIS SUBSECTION IS FINAL AND11

NOT SUBJECT TO APPEAL.12

(11) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBSECTION, A SCHOOL13

OF EXCELLENCE OPERATING A HIGH-PERFORMING SCHOOL IS NOT REQUIRED TO14

OBTAIN THE APPROVAL OF AN EDUCATION MANAGER TO CHANGE THE15

CONFIGURATION OF AGE OR GRADE RANGE AT THE HIGH-PERFORMING SCHOOL.16

NOTHING IN THIS SUBSECTION REQUIRES AN AUTHORIZING BODY TO APPROVE17

AN AGE OR GRADE RANGE REQUEST FOR A SCHOOL OF EXCELLENCE.18

(12) FOR A SCHOOL OF EXCELLENCE THAT IS AN EMPOWERMENT ZONE19

SCHOOL, AN AUTHORIZING BODY SHALL ENSURE THAT THE ENROLLMENT AND20

ADMISSIONS PROCESS OF THE SCHOOL OF EXCELLENCE INCORPORATED INTO21

THE CONTRACT FOR THE SCHOOL OF EXCELLENCE IS CONSISTENT WITH ZONE22

ENROLLMENT PLAN UNDER PART 7C.23

Sec. 561. (1) If an authorizing body issues a contract for a24

school of excellence under this part, the authorizing body shall do25




71

______'15 ____



(c) Establish the method of selection, length of term, and3

number of members of the board of directors of each school of4

excellence that it authorizes. The authorizing body shall ensure5

that the board of directors includes representation from the local6

community.7

(d) Oversee the operations of each school of excellence8

operating under a contract issued by the authorizing body. The9

oversight shall be sufficient to ensure that the school of10

excellence is in compliance with the terms of the contract and with11

applicable law. This subdivision does not relieve any other12

governmental entity of its enforcement or supervisory13

responsibility.14

(e) Develop and implement a process for holding a school of15

excellence board of directors accountable for meeting applicable16

academic performance standards set forth in the contract and for17

implementing corrective action for a school of excellence that does18

not meet those standards.19

(f) Take necessary measures to ensure that a school of20

excellence board of directors operates independently of any21

educational management organization involved in the operations of22

the school of excellence.23


by the school of excellence is operated in a fair and open manner25

and is in compliance with the contract and , this part AND PART 7C.26

72

______'15 ____

(h) Ensure that the board of directors of the school of1

excellence maintains and releases information as necessary to2

comply with applicable law.3

(2) The authorizing body may enter into an agreement with 1 or4

more authorizing bodies, as defined under part 6a, to carry out any5

function of the authorizing body under subsection (1)(a) to (h).6

(3) The authorizing body for a school of excellence is the7

fiscal agent for the school of excellence. A state school aid8

payment for a school of excellence shall be paid to the authorizing9

body as the fiscal agent for that school of excellence, and the10

authorizing body shall then forward the payment to the school of11

excellence. Within 30 days after a contract is submitted to the12

department by the authorizing body under subsection (1), the13

department shall issue a district code to the school of excellence14

for which the contract was issued. If the department does not issue15

a district code within 30 days after a contract is filed, the state16

treasurer shall assign a temporary district code in order for the17

school of excellence to receive funding under the state school aid18

act of 1979.19


authorizing body if the authorizing body determines that 1 or more21

of the following have occurred:22

(a) Failure of the school of excellence to demonstrate23



(b) Failure of the school of excellence to comply with all26

applicable law.27

73

______'15 ____

(c) Failure of the school of excellence to meet generally1





(5) Except for a school of excellence that is an alternative6

school serving a special student population, if the superintendent7

of public instruction STATE SCHOOL REFORM/REDESIGN OFFICER8

determines that a school of excellence site that has been operating9

for at least 4 years is among the lowest achieving 5% of all public10

schools in this state FOR 3 CONSECUTIVE YEARS, as defined IN11

SECTION 1280C, for the purposes of the federal incentive grant12

program created under sections 14005 and 14006 of title XIV of the13

American recovery and reinvestment act of 2009, Public Law 111-5,14

is in year 2 of restructuring sanctions under the no child left15

behind act of 2001, Public Law 107-110, not to include the ANY16




notify the school of excellence's authorizing body. If an20



subsection, the authorizing body shall amend the school of23

excellence's contract to eliminate the school of excellence's24


and the school of excellence shall cease operating the existing age26

and grade levels at the site, effective at the end of the current27

school year. If the school of excellence operates at only 1 site or28

74

______'15 ____

is a cyber school, and the authorizing body receives notice from1

the superintendent of public instruction STATE SCHOOL2

REFORM/REDESIGN OFFICER under this subsection, the authorizing body3

shall revoke the school of excellence's contract, effective at the4

end of the current school year.5

(6) FOR A SCHOOL OF EXCELLENCE THAT IS A EMPOWERMENT ZONE6

SCHOOL AND IS LISTED ON THE CLOSURE LIST UNDER PART 7C, AN7


THE SCHOOL OF EXCELLENCE IF THE SCHOOL OF EXCELLENCE IS LISTED ON9

THE LOWEST ACHIEVING SCHOOLS LIST UNDER SECTION 1280C FOR THREE10

CONSECUTIVE YEARS. AN AUTHORIZING BODY SHALL INCLUDE A11

RECONSTITUTION PROVISION IN THE CONTRACT FOR THE SCHOOL OF12

EXCELLENCE THAT IDENTIFIES CORRECTIVE MEASURES, INCLUDING, BUT NOT13






THE SCHOOL OF EXCELLENCE BOARD OF DIRECTORS A REQUEST FOR PROPOSAL19

PROCESS AND THE SELECTION OF A NEW PROVIDER OF SERVICES FOR THE20

SCHOOL OF EXCELLENCE.21




TAKE OVER OPERATION OF THE SCHOOL OF EXCELLENCE.25


RECONSTITUTING A SCHOOL OF EXCELLENCE THAT IS A EMPOWERMENT ZONE27

SCHOOL IF THE RECONSTITUTION OCCURS DURING THE FIRST TWO YEARS THAT28

75

______'15 ____

A SCHOOL OF EXCELLENCE IS LISTED ON THE LOWEST ACHIEVING SCHOOLS1

LIST UNDER SECTION 1280C.2

(6) (8) Except AS PROVIDED IN SECTION 552 AND EXCEPT for a3

contract issued by a school district pursuant to a vote by the4

school electors on a ballot question under section 553(2), the5

decision of the authorizing body to issue, not issue, or6

reconstitute a contract under this part, or to terminate or revoke7

a contract under this section, is solely within the discretion of8

the authorizing body, is final, and is not subject to review by a9

court or any other state agency. If the authorizing body issues,10

does not issue, or reconstitutes a contract under this part, or11

terminates or revokes a contract under this section, the12

authorizing body is not liable for that action to the school of13

excellence, the school of excellence corporation, a pupil of the14

school of excellence, the parent or guardian of a pupil of the15

school of excellence, or any other person.16

(7) (9) Except as otherwise provided in subsection (5), before17

EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, BEFORE the18

authorizing body revokes OR ELECTS NOT TO REISSUE a contract, the19

authorizing body may consider and take corrective measures to avoid20

revocation. The authorizing body may reconstitute the school of21

excellence in a final attempt to improve student educational22

performance or to avoid interruption of the educational process.23

The authorizing body shall include a reconstituting provision in24

the contract that identifies these corrective measures, including,25

but not limited to, canceling a contract with an educational26

management organization, if any, withdrawing approval to contract27

76

______'15 ____

under section 560, or appointing a new board of directors or a1

trustee to take over operation of the school of excellence.2

(8) (10) If the authorizing body revokes a contract, the3





for the school of excellence under this part, shall return any8







(9) (11) Not more than 10 days after a school of excellence's15

contract terminates or is revoked, the authorizing body shall16

notify the superintendent of public instruction in writing of the17

name of the school of excellence whose contract has terminated or18

been revoked and the date of contract termination or revocation.19

(10) (12) If a school of excellence's contract terminates or20

is revoked, title to all real and personal property, interest in21

real or personal property, and other assets owned by the school of22

excellence shall revert to the state. This property shall be23

distributed in accordance with the following:24

(a) Within 30 days following the termination or revocation,25

the board of directors of a school of excellence shall hold a26

public meeting to adopt a plan of distribution of assets and to27

approve the dissolution of the school of excellence corporation,28

77

______'15 ____

all in accordance with chapter 8 of the nonprofit corporation act,1

1982 PA 162, MCL 450.2801 to 450.2864.2

(b) The school of excellence shall file a certificate of3

dissolution with the bureau of commercial services within 104

business days following board approval.5

(c) Simultaneously with the filing of the certificate of6

dissolution under subdivision (b), the school of excellence board7

of directors shall provide a copy of the board of directors' plan8

of distribution of assets to the state treasurer for approval.9

Within 30 days, the state treasurer, or his or her designee, shall10

review and approve the board of directors' plan of distribution of11

assets. If the proposed plan of distribution of assets is not12

approved within 30 days, the state treasurer, or his or her13

designee, shall provide the board of directors with an acceptable14

plan of distribution of assets.15

(d) The state treasurer, or his or her designee, shall monitor16

the school of excellence's winding up of the dissolved corporation17

in accordance with the plan of distribution of assets approved or18

provided under subdivision (c).19

(e) As part of the plan of distribution of assets, the school20

of excellence board of directors shall designate the director of21

the department of technology, management, and budget, or his or her22

designee, to dispose of all real property of the school of23

excellence corporation in accordance with the directives developed24

for disposition of surplus land and facilities under section 251 of25

the management and budget act, 1984 PA 431, MCL 18.1251.26

(f) If the board of directors of a school of excellence fails27

to take any necessary action under this section, the state28

78

______'15 ____

treasurer, or his or her designee, may suspend the school of1

excellence board of directors and appoint a trustee to carry out2

the board's plan of distribution of assets. Upon appointment, the3

trustee shall have all the rights, powers, and privileges under law4

that the school of excellence board of directors had before being5

suspended.6

(g) Following the sale of the real or personal property or7

interests in the real or personal property, and after payment of8

any school of excellence debt secured by the property or interest9

in property, whether real or personal, the school of excellence10

board of directors, or a trustee appointed under this section,11

shall forward any remaining money to the state treasurer. Following12

receipt, the state treasurer, or his or her designee, shall deposit13

this remaining money in the state school aid fund.14

PART 7C15

EMPOWERMENT ZONES16

SEC. 771. (1) A EMPOWERMENT ZONE IS A BODY CORPORATE AND SHALL17

BE GOVERNED BY THIS PART AND BY THOSE PROVISIONS OF ARTICLES 2, 3,18

AND 4 APPLICABLE TO EMPOWERMENT ZONES, LOCAL EDUCATION COMMISSIONS,19

EMPOWERMENT ZONE SCHOOLS, EMPOWERMENT ZONE SCHOOL BOARDS AND20

EDUCATION MANAGERS.21

(2) A EMPOWERMENT ZONE IS A SCHOOL DISTRICT FOR THE PURPOSE OF22

RECEIVING AID FROM THE STATE SCHOOL AID FUND UNDER SECTION 11 OF23

ARTICLE IX OF THE STATE CONSTITUTION OF 1963.24

(3) EACH EMPOWERMENT ZONE SHALL EMPLOY A EMPOWERMENT ZONE25

EDUCATION MANAGER.26

SEC. 772. (1) A EMPOWERMENT ZONE HAS ALL OF THE RIGHTS,27

POWERS, AND DUTIES EXPRESSLY STATED IN THIS ACT; MAY EXERCISE A28

79

______'15 ____

POWER IMPLIED OR INCIDENT TO ANY POWER EXPRESSLY STATED IN THIS1

ACT; AND, EXCEPT AS PROVIDED BY LAW, MAY EXERCISE A POWER2

INCIDENTAL OR APPROPRIATE TO THE PERFORMANCE OF ANY FUNCTION3

RELATED TO THE OPERATION OF THE EMPOWERMENT ZONE IN THE INTERESTS4

OF PUBLIC ELEMENTARY AND SECONDARY EDUCATION LOCATED WITHIN A5

EMPOWERMENT ZONE CREATED UNDER THIS PART, INCLUDING, IMPLEMENTATION6

OF THE FOLLOWING:7

(A) A ZONE ACCOUNTABILITY PLAN.8

(B) A ZONE FACILITIES PLAN.9

(C) A ZONE ENROLLMENT PLAN.10

(D) HIRING OR CONTRACTING WITH PERSONNEL AS NECESSARY FOR THE11

EDUCATION MANAGER TO CARRY OUT THE ZONE ACCOUNTABILITY PLAN, ZONE12

FACILITIES PLAN, AND ZONE ENROLLMENT PLAN, OR ANY REQUEST FOR13

PROPOSAL PROCESS AUTHORIZED UNDER THIS PART. A EMPOWERMENT ZONE MAY14

INDEMNIFY ITS EMPLOYEES.15

(E) PROCURING APPROPRIATE GOODS AND SERVICES IN KINDS AND16

AMOUNTS NECESSARY TO CARRY OUT THE PURPOSES OF THE EMPOWERMENT17

ZONE.18

(F) PROCURING INSURANCE FOR THE EMPOWERMENT ZONE, LOCAL19

EDUCATION COMMISSION AND ITS EMPLOYEES AND CONTRACTORS IN TYPES AND20

AMOUNTS NECESSARY TO OPERATE THE EMPOWERMENT ZONE.21

(G) RECEIVING, ACCOUNTING FOR, INVESTING, OR EXPENDING22

EMPOWERMENT ZONE MONEY; BORROWING MONEY AND PLEDGING EMPOWERMENT23

ZONE FUNDS FOR REPAYMENT; AND QUALIFYING FOR STATE SCHOOL AID AND24

OTHER PUBLIC OR PRIVATE MONEY FROM LOCAL, REGIONAL, STATE, OR25

FEDERAL SOURCES.26

(H) ADMINISTERING A RECONSTITUTION REQUEST FOR PROPOSAL27

PROCESS.28

80

______'15 ____

(I) ADMINISTERING A REMOVE AND REPLACE REQUEST FOR PROPOSAL1

PROCESS.2

(2) A EMPOWERMENT ZONE MAY ENTER INTO AGREEMENTS OR3

COOPERATIVE ARRANGEMENTS WITH OTHER PUBLIC SCHOOLS, AUTHORIZING4

BODIES AND OTHER ENTITIES, PUBLIC OR PRIVATE, OR JOIN ORGANIZATIONS5

AS PART OF PERFORMING THE FUNCTIONS OF THE EMPOWERMENT ZONE. AN6

AGREEMENT OR COOPERATIVE ARRANGEMENT THAT IS ENTERED INTO UNDER7

THIS PART IS NOT REQUIRED TO COMPLY WITH THE PROVISIONS OF THE8

URBAN COOPERATION ACT OF 1967, 1967 (EX SESS) PA 7, MCL 124.501 TO9

124.512, AS PROVIDED UNDER SECTION 503 OF THAT ACT, MCL 124.503.10

(3) UNLESS OTHERWISE EXPRESSLY PROVIDED IN THIS ACT, A11

EMPOWERMENT ZONE SHALL NOT DIRECTLY OPERATE A PUBLIC SCHOOL OR12

PROVIDE EDUCATIONAL SERVICES TO ANY PUPIL ATTENDING A EMPOWERMENT13

ZONE SCHOOL.14

(4) A EMPOWERMENT ZONE, LOCAL EDUCATION COMMISSION,15

EMPOWERMENT ZONE SCHOOL BOARD, EDUCATION MANAGER, EMPOWERMENT ZONE16

EMPLOYEES, CONTRACTORS AND AGENTS SHALL TREAT ALL EMPOWERMENT ZONE17

SCHOOLS, AND PUPILS ATTENDING EMPOWERMENT ZONE SCHOOLS, FAIRLY AND18

EQUALLY AND SHALL NOT MAKE DECISIONS THAT FAVOR ONE EMPOWERMENT19

ZONE SCHOOL OR PUPIL OVER ANOTHER EMPOWERMENT ZONE SCHOOL OR PUPIL,20

OR THAT DISADVANTAGE OR DISCRIMINATE AGAINST ONE TYPE OF21

EMPOWERMENT ZONE SCHOOL OR PUPIL.22

SEC. 773. (1) A EMPOWERMENT ZONE SHALL BE ORGANIZED TO OPERATE23

WITHIN THE GEOGRAPHICAL BOUNDARIES OF AN EMPOWERED DISTRICT AND THE24

CONTIGUOUS BOUNDARIES OF THE EMPOWERED DISTRICT INCLUDED WITHIN THE25

EMPOWERMENT ZONE UNDER THIS PART. A EMPOWERMENT ZONE IS26

AUTOMATICALLY FORMED FOR AN EDUCATION DISTRICT AND THE CONTIGUOUS27

BOUNDARIES OF THE EDUCATION DISTRICT INCLUDED WITHIN THE28

81

______'15 ____

EMPOWERMENT ZONE FOR THE EDUCATION DISTRICT UNDER THIS PART AND FOR1

A SCHOOL DISTRICT AND THE CONTIGUOUS BOUNDARIES OF THE SCHOOL2

DISTRICT INCLUDED WITHIN THE EMPOWERMENT ZONE FOR THE SCHOOL3

DISTRICT UNDER THIS PART UPON THE DESIGNATION OF THE SCHOOL4

DISTRICT AS AN EMPOWERED DISTRICT UNDER THIS SECTION.5

(2) A SCHOOL DISTRICT OTHER THAN AN EDUCATION DISTRICT BECOMES6

AN EMPOWERED DISTRICT IF ANY OF THE FOLLOWING OCCURS:7

(A) THE SUPERINTENDENT OF PUBLIC INSTRUCTION, THE STATE8

TREASURER, OR THE STATE SCHOOL REFORM/REDESIGN OFFICER DETERMINES9

THAT SCHOOL DISTRICT IS NOT FINANCIALLY VIABLE AND IS UNABLE TO10

EDUCATE PUPILS IN GRADES K-12 RESIDING IN THE SCHOOL DISTRICT BY11

OPERATING SCHOOLS FOR A FULL SCHOOL YEAR AND PROVIDING THE REQUIRED12

NUMBER OF INSTRUCTIONAL HOURS UNDER THIS ACT AND THE STATE SCHOOL13

AID ACT OF 1979. AS USED IN THIS SUBDIVISION "FINANCIALLY VIABLE"14

MEANS THAT A SCHOOL DISTRICT HAS THE FINANCIAL RESOURCES TO CARRY15

OUT AT LEAST THE EDUCATIONAL PROGRAM REQUIRED BY LAW AND PAY ITS16

EXISTING DEBTS AS THEY BECOME DUE TAKING INTO CONSIDERATION THE17

PROJECTED ENROLLMENT, CASH FLOW, REVENUES, AND BORROWING CAPABILITY18

OF THE SCHOOL DISTRICT.19

(B) THE SCHOOL BOARD OF A SCHOOL DISTRICT ADOPTS A RESOLUTION20

DESIGNATING THE SCHOOL DISTRICT AS AN EMPOWERED DISTRICT.21

(C) THE SCHOOL DISTRICT IS DESIGNATED AS AN EMPOWERED DISTRICT22

UNDER SUBSECTION (3).23

(3) A SCHOOL DISTRICT RESIDENT MAY FILE A WRITTEN REQUEST WITH24

THE BOARD OF THE SCHOOL DISTRICT TO DESIGNATE THE SCHOOL DISTRICT25

AS AN EMPOWERED DISTRICT. IF THE SCHOOL DISTRICT BOARD DOES NOT26

APPROVE THE REQUEST TO DESIGNATE THE SCHOOL DISTRICT AS AN27

EMPOWERED DISTRICT, SCHOOL DISTRICT ELECTORS MAY PETITION THE BOARD28

82

______'15 ____

TO SUBMIT THE QUESTION OF DESIGNATING THE SCHOOL DISTRICT AS AN1

EMPOWERED DISTRICT TO THE ELECTORS OF THE SCHOOL DISTRICT. A2

PETITION UNDER THIS SUBSECTION SHALL INCLUDE A WRITTEN REQUEST TO3

DESIGNATE THE SCHOOL DISTRICT AS AN EMPOWERED DISTRICT AND MUST BE4

SIGNED BY A NUMBER OF SCHOOL ELECTORS OF THE SCHOOL DISTRICT EQUAL5

TO AT LEAST 5% OF THE TOTAL NUMBER OF SCHOOL ELECTORS OF THAT6

SCHOOL DISTRICT. THE PETITION SHALL BE FILED WITH THE SCHOOL7

DISTRICT FILING OFFICIAL. IF THE BOARD RECEIVES A PETITION8

SATISFYING THE REQUIREMENTS OF THIS SUBSECTION, THE BOARD SHALL9

HAVE THE QUESTION OF DESIGNATING THE SCHOOL DISTRICT AS AN10

EMPOWERED DISTRICT PLACED ON THE BALLOT AT ITS NEXT REGULAR SCHOOL11

ELECTION HELD AT LEAST 60 DAYS AFTER RECEIVING THE PETITION. IF A12

MAJORITY OF THE SCHOOL ELECTORS OF THE SCHOOL DISTRICT VOTING ON13

THE QUESTION VOTE IF FAVOR OF DESIGNATING THE SCHOOL DISTRICT AS AN14

EDUCATION SCHOOL DISTRICT, THE SUPERINTENDENT OF PUBLIC INSTRUCTION15

SHALL ISSUE AN ORDER ORGANIZING THE EMPOWERMENT ZONE FOR THE16

EMPOWERED DISTRICT AND ITS CONTIGUOUS AREAS UNDER THIS PART WITHIN17

30 DAYS AFTER THE VOTE IS CERTIFIED.18

(4) IF A EMPOWERMENT ZONE IS CREATED UNDER SUBSECTION (2), ALL19

OF THE FOLLOWING SCHOOL BUILDINGS SHALL BE CONSIDERED EMPOWERMENT20

ZONE SCHOOLS SUBJECT TO THE POWERS OF AN EDUCATION MANAGER FOR THE21

EMPOWERMENT ZONE UNDER THIS PART:22

(A) FOR AN EMPOWERED DISTRICT THAT IS AN EDUCATION DISTRICT,23

ALL PUBLIC SCHOOL BUILDINGS OF THE EDUCATION DISTRICT, ALL SCHOOL24

BUILDINGS OF ANY PUBLIC SCHOOL ACADEMY LOCATED WITHIN THE25

GEOGRAPHICAL BOUNDARIES OF THE EDUCATION DISTRICT, AND ALL SCHOOL26

BUILDINGS OF A SCHOOL DISTRICT, OR ANY PUBLIC SCHOOL ACADEMY27

LOCATED IN THAT SCHOOL DISTRICT, WITH A CONTIGUOUS BOUNDARY LINE28

83

______'15 ____

WITH THE EDUCATION DISTRICT AND WHOSE PUPIL MEMBERSHIP COUNT AFTER1

THE EFFECTIVE DATE OF THE AMENDATORY ACT THAT ADDED THIS SECTION,2

AS OF THE MOST RECENT PUPIL MEMBERSHIP COUNT, INCLUDES MORE THAN3

FIFTY PERCENT OF ITS PUPILS WHO ARE RESIDENTS OF THE EDUCATION4

SCHOOL DISTRICT. A SCHOOL DISTRICT THAT HAS A CONTIGUOUS BOUNDARY5

LINE WITH THE EDUCATION DISTRICT, AND THAT INCLUDES MORE THAN FIFTY6

PERCENT OF ITS PUPILS RESIDING IN THE EDUCATION DISTRICT, IS7

SUBJECT TO THE EMPOWERMENT ZONE ACCOUNTABILITY PLAN BUT IS NOT8

SUBJECT TO CLOSE AND REPLACE BY THE EDUCATION MANAGER FOR THE9

EMPOWERMENT ZONE.10

(B) FOR AN EMPOWERED DISTRICT THAT IS NOT AN EDUCATION11

DISTRICT, ALL SCHOOL BUILDINGS OF THAT EMPOWERED DISTRICT, ALL12

SCHOOL BUILDINGS OF ANY PUBLIC SCHOOL ACADEMIES LOCATED WITHIN THE13

GEOGRAPHICAL BOUNDARIES OF THE EMPOWERED DISTRICT, AND ALL SCHOOL14

BUILDINGS OF ANOTHER SCHOOL DISTRICT, OR ANY PUBLIC SCHOOL ACADEMY15

LOCATED IN THAT OTHER SCHOOL DISTRICT, THAT HAS A CONTIGUOUS16

BOUNDARY LINE WITH THE EMPOWERED DISTRICT AND WHOSE PUPIL17

MEMBERSHIP COUNT AFTER THE EFFECTIVE DATE OF THE AMENDATORY ACT18

THAT ADDED THIS SECTION, AS OF THE MOST RECENT PUPIL MEMBERSHIP19

COUNT, INCLUDES MORE THAN FIFTY PERCENT OF ITS PUPILS WHO ARE20

RESIDENTS OF THE EMPOWERED DISTRICT. A SCHOOL DISTRICT THAT HAS A21

CONTIGUOUS BOUNDARY LINE WITH THE EMPOWERED DISTRICT SHALL, AND22

THAT INCLUDES MORE THAN FIFTY PERCENT OF ITS PUPILS RESIDING IN THE23

EMPOWERED DISTRICT, IS SUBJECT TO THE EMPOWERMENT ZONE24

ACCOUNTABILITY PLAN BUT IS NOT SUBJECT TO CLOSE AND REPLACE BY THE25

EDUCATION MANAGER.26

(C) A SCHOOL BUILDING OCCUPIED BY THE EDUCATION ACHIEVEMENT27

AUTHORITY, AND ANY SCHOOL BUILDING OCCUPIED BY A PUBLIC SCHOOL28

84

______'15 ____

ACADEMY AUTHORIZED BY THE EDUCATIONAL ACHIEVEMENT AUTHORITY, IS A1


SEC. 774. A EMPOWERMENT ZONE IS A BODY CORPORATE GOVERNED BY A3

BOARD, TO BE KNOWN AS "THE LOCAL EDUCATION COMMISSION OF THE4

____________ SCHOOL EMPOWERMENT ZONE," AND UNDER THAT NAME MAY SUE5

AND BE SUED.6

SEC. 775. (1) EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, A7

EMPOWERMENT ZONE SHALL BE UNDER THE SUPERVISION AND CONTROL OF A8

LOCAL EDUCATION COMMISSION COMPOSED OF 5 MEMBERS APPOINTED UNDER9

THIS PART AND THE EDUCATION MANAGER FOR THE EMPOWERMENT ZONE WHO10

SHALL SERVE AS AN EX OFFICIO, NO-VOTING MEMBER OF THE LOCAL11


(2) WITHIN 30 DAYS OF THE ISSUANCE OF THE CREATION OF A13

EMPOWERMENT ZONE, THE MAYOR OF THE LARGEST CITY WITHIN THE14

EMPOWERMENT ZONE SHALL APPOINT 2 MEMBERS OF THE LOCAL EDUCATION15

COMMISSION FOR THE EMPOWERMENT ZONE AND THE GOVERNOR SHALL APPOINT16

3 MEMBERS. OF THE INITIAL APPOINTMENTS, UNDER THIS SUBSECTION, 117

MEMBER APPOINTED BY THE MAYOR SHALL BE APPOINTED FOR A TERM OF 318

YEARS, 1 MEMBER APPOINTED BY THE MAYOR SHALL BE APPOINTED FOR A19

TERM OF 2 YEARS, 1 MEMBER APPOINTED BY THE GOVERNOR SHALL BE20

APPOINTED FOR A TERM OF 2 YEARS, 1 MEMBER APPOINTED BY THE GOVERNOR21

SHALL BE APPOINTED FOR A TERM OF 3 YEARS, AND 1 MEMBER APPOINTED BY22

THE GOVERNOR SHALL BE APPOINTED FOR A TERM OF 4 YEARS. AFTER THE23

EXPIRATION OF THE INITIAL TERMS, MEMBERS SHALL BE APPOINTED FOR A24

TERM OF 4 YEARS. A VACANCY IN THE OFFICE OF A MEMBER OF A LOCAL25

EDUCATION COMMISSION SHALL BE FILLED IN THE SAME MANNER AS THE26

ORIGINAL APPOINTMENT WITHIN 30 DAYS OF THE VACANCY. A VACANCY27

ARISING BEFORE THE END OF A TERM SHALL BE FILLED FOR THE BALANCE OF28

85

______'15 ____

THE UNEXPIRED TERM. NOTWITHSTANDING ANY CONTRACT, BYLAW, CHARTER OR1

ORDINANCE, AN APPOINTMENT BY A MAYOR UNDER THIS SUBSECTION IS NOT2

SUBJECT TO APPROVAL OR DISAPPROVAL BY ANY OTHER PUBLIC BODY OR3

OFFICER. IF A MAYOR FAILS TO MAKE AN APPOINTMENT WITHIN THE TIME4

REQUIRED UNDER THIS SUBSECTION, THE GOVERNOR SHALL INSTEAD MAKE THE5

APPOINTMENT.6

(4) A LOCAL EDUCATION COMMISSION MEMBER IS A PUBLIC OFFICER7

AND SHALL, BEFORE ENTERING UPON THE DUTIES OF THE OFFICE, TAKE THE8

CONSTITUTIONAL OATH OF OFFICE FOR PUBLIC OFFICERS UNDER SECTION 19

OF ARTICLE XI OF THE STATE CONSTITUTION OF 1963.10

(5) A MEMBER OF A LOCAL EDUCATION COMMISSION MAY ADMINISTER11

OATHS FOR QUALIFYING BOARD MEMBERS.12

SEC. 776. (1) SUBJECT TO SUBSECTIONS (2),(3) AND (4), ANY13

INDIVIDUAL RESIDING IN THE EMPOWERMENT ZONE IS ELIGIBLE FOR14

APPOINTMENT TO MEMBERSHIP ON THE LOCAL EDUCATION COMMISSION.15

(2) A MEMBER OF THE BOARD OF AN SCHOOL DISTRICT, INTERMEDIATE16

SCHOOL DISTRICT, OR PUBLIC SCHOOL ACADEMY IS INELIGIBLE TO SERVE AS17

A MEMBER OF THE LOCAL EDUCATION COMMISSION.18

(3) A MEMBER OF THE GOVERNING BOARD OR ANY OTHER OFFICER OR19

EMPLOYEE OF A COUNTY, CITY, TOWNSHIP, OR VILLAGE LOCATED WITHIN THE20

EMPOWERMENT ZONE IS INELIGIBLE TO SERVE AS A MEMBER OF THE LOCAL21


(4) THE GOVERNOR MAY APPOINT AN INDIVIDUAL AS A MEMBER OF A23

LOCAL EDUCATION COMMISSION WHO DOES NOT RESIDE IN THE EMPOWERMENT24

ZONE IF THAT PERSON IS A RESIDENT OF THIS STATE.25

SEC. 777. (1) A LOCAL EDUCATION COMMISSION SHALL MEET NOT LESS26

THAN ANNUALLY. THE FIRST ORGANIZATIONAL MEETING OF A LOCAL27

86

______'15 ____

EDUCATION COMMISSION SHALL BE HELD WITHIN 30 DAYS AFTER THE LAST1

APPOINTMENT OF A MEMBER UNDER SECTION 775.2

(2) A NEWLY-FORMED LOCAL EDUCATION COMMISSION SHALL ORGANIZE3

ITSELF BY ELECTING A CHAIRPERSON, A VICE-CHAIRPERSON, A SECRETARY,4

AND A TREASURER. UNTIL JULY 1, 2017, THE CHAIRPERSON AND VICE-5

CHAIRPERSON SHALL BE DESIGNATED BY THE MAYOR OF THE LARGEST CITY6

WITHIN THE EMPOWERMENT ZONE, BUT THE SECRETARY AND TREASURER SHALL7

BE SELECTED BY THE LOCAL EDUCATION COMMISSION. IF THE MAYOR FAILS8

TO DESIGNATE A CHAIRPERSON OR A VICE-CHAIRPERSON, THE CHAIRPERSON9

AND VICE-CHAIRPERSON SHALL BE DESIGNATED BY THE GOVERNOR.10

(3) THE OFFICERS OF A LOCAL EDUCATION COMMISSION SHALL PERFORM11

DUTIES PROVIDED BY LAW AND PRESCRIBED BY THE POLICIES AND12

REGULATIONS OF THE LOCAL EDUCATION COMMISSION NOT INCONSISTENT WITH13

THIS PART OR OTHER LAWS OF THIS STATE.14

SEC. 778. (1) THE GOVERNOR MAY REMOVE ANY MEMBER OF A LOCAL15

EDUCATION COMMISSION FROM OFFICE FOR GROSS NEGLECT OF DUTY, CORRUPT16

CONDUCT IN OFFICE, OR ANY OTHER MISFEASANCE OR MALFEASANCE IN17

OFFICE.18

(2) A PERSON REMOVED FROM OFFICE UNDER THIS SECTION IS NOT19

ELIGIBLE FOR APPOINTMENT TO A PUBLIC SCHOOL BOARD FOR A PERIOD OF 320

YEARS FROM THE DATE OF REMOVAL.21

SEC. 779. (1) A LOCAL EDUCATION COMMISSION MEMBER SHALL SERVE22

ON A VOLUNTARY BASIS AND RECEIVE NO COMPENSATION FOR THEIR SERVICE23

AS A LOCAL EDUCATION COMMISSION MEMBER, BUT MAY BE REIMBURSED FOR24

REASONABLE EXPENSES.25

(2) A EMPOWERMENT ZONE AND ITS BOARD MEMBERS, OFFICERS,26

EMPLOYEES, AND VOLUNTEERS HAVE GOVERNMENTAL IMMUNITY AS PROVIDED IN27

SECTION 7 OF 1964 PA 170, MCL 691.1407. A EMPOWERMENT ZONE AND ITS28

87

______'15 ____

BOARD MEMBERS, OFFICERS, AND EMPLOYEES ARE IMMUNE FROM CIVIL1

LIABILITY, BOTH PERSONALLY AND PROFESSIONALLY, FOR AN ACT OR2

OMISSION IN CARRYING OUT THE FUNCTIONS OF A EMPOWERMENT ZONE IF THE3

EMPOWERMENT ZONE OR THE PERSON ACTED OR REASONABLY BELIEVED HE OR4

SHE ACTED WITHIN THE EMPOWERMENT ZONE'S OR THE PERSON'S SCOPE OF5

AUTHORITY.6

SEC. 780. A EMPOWERMENT ZONE IS EXEMPT FROM ALL TAXATION ON7

ITS EARNINGS AND PROPERTY. INSTRUMENTS OF CONVEYANCE TO OR FROM A8

EMPOWERMENT ZONE ARE EXEMPT FROM ALL TAXATION INCLUDING TAXES9

IMPOSED BY 1966 PA 134, MCL 207.501 TO 207.513. UNLESS THE PROPERTY10

IS ALREADY FULLY EXEMPT FROM REAL AND PERSONAL PROPERTY TAXES UNDER11

THE GENERAL PROPERTY TAX ACT, 1893 PA 206, MCL 211.1 TO 211.155,12

PROPERTY OCCUPIED BY A EMPOWERMENT ZONE AND USED EXCLUSIVELY FOR13

EDUCATIONAL PURPOSES IS EXEMPT FROM REAL AND PERSONAL PROPERTY14

TAXES LEVIED FOR SCHOOL OPERATING PURPOSES UNDER SECTION 1211, TO15

THE EXTENT EXEMPTED UNDER THAT SECTION, AND FROM REAL AND PERSONAL16

PROPERTY TAXES LEVIED UNDER THE STATE EDUCATION TAX ACT, 1993 PA17

331, MCL 211.901 TO 211.906. A EMPOWERMENT ZONE MAY NOT LEVY AD18

VALOREM PROPERTY TAXES OR ANOTHER TAX FOR ANY PURPOSE. HOWEVER,19

OPERATION OF AN EMPOWERMENT ZONE DOES NOT AFFECT THE ABILITY OF ANY20

SCHOOL DISTRICT OR INTERMEDIATE SCHOOL DISTRICT TO LEVY AD VALOREM21

PROPERTY TAXES OR ANOTHER TAX.22

SEC 781. (1) THE LOCAL EDUCATION COMMISSION SHALL SELECT23

FINANCIAL INSTITUTIONS FOR THE DEPOSIT OF SCHOOL FUNDS. THE LOCAL24

EDUCATION COMMISSION SHALL KEEP A SET OF CODED ACCOUNTS TO BE25

APPROVED BY THE SUPERINTENDENT OF PUBLIC INSTRUCTION AND SHALL HAVE26

ITS BOOKS AUDITED AT LEAST ANNUALLY BY A CERTIFIED PUBLIC27

ACCOUNTANT.28

88

______'15 ____

(2) THE TREASURER OF A EMPOWERMENT ZONE, IF AUTHORIZED BY1

RESOLUTION OF THE LOCAL EDUCATION COMMISSION, MAY INVEST FUNDS2

THROUGH A FINANCIAL INSTITUTION THAT IS NOT INELIGIBLE TO BE A3

DEPOSITORY OF SURPLUS FUNDS BELONGING TO THIS STATE UNDER SECTION 64

OF 1855 PA 105, MCL 21.146.5

(3) AS USED IN THIS SECTION, "FINANCIAL INSTITUTION" MEANS A6

STATE OR NATIONALLY CHARTERED BANK OR A STATE OR FEDERALLY7

CHARTERED SAVINGS AND LOAN ASSOCIATION, SAVINGS BANK, OR CREDIT8

UNION WHOSE DEPOSITS ARE INSURED BY AN AGENCY OF THE UNITED STATES9

GOVERNMENT AND THAT MAINTAINS A PRINCIPAL OFFICE OR BRANCH OFFICE10

LOCATED IN THIS STATE UNDER THE LAWS OF THIS STATE OR THE UNITED11

STATES.12

SEC. 782. A EMPOWERMENT ZONE AND ITS LOCAL EDUCATION13

COMMISSION SHALL COMPLY WITH ALL OF THE FOLLOWING:14

(A) THE OPEN MEETINGS ACT, 1976 PA 267, MCL 15.261 TO 15.275.15

(B) THE FREEDOM OF INFORMATION ACT, 1976 PA 442, MCL 15.231 TO16

15.246.17

(C) 1947 PA 336, MCL 423.201 TO 423.217.18

(D) 1968 PA 2, MCL 141.421 TO 141.1440A.19

(E) SECTIONS 1263(3), 1267, AND 1274.20

SEC 783. (1) UPON DESIGNATION OF A EMPOWERMENT ZONE, A21

EMPOWERMENT ZONE SCHOOL SHALL AUTOMATICALLY BE SUBJECT TO THE22

FOLLOWING:23

(A) THE ZONE ACCOUNTABILITY PLAN.24

(B) THE ZONE FACILITIES PLAN.25

(C) THE ZONE ENROLLMENT PLAN.26

(2) UPON DESIGNATION OF A EMPOWERMENT ZONE, AND TO FOCUS27

ATTENTION OF A EMPOWERMENT ZONE SCHOOL ON THE CONTINUED IMPROVEMENT28

89

______'15 ____

OF THE EDUCATIONAL PROGRAM AT THE SCHOOL, THE SUPERINTENDENT OF1

PUBLIC INSTRUCTION SHALL, EXCEPT FOR ANY REQUIREMENT PROVIDED FOR2

IN THIS PART OR SUBSECTION (3), WAIVE ANY OTHERWISE APPLICABLE3

REQUIREMENT PLACED ON A EMPOWERMENT ZONE SCHOOL UNDER THIS ACT OR4

THE STATE SCHOOL AID ACT OF 1979, OR OF A RULE PROMULGATED UNDER5

THIS ACT OR THE STATE SCHOOL AID ACT OF 1979.6

(3) THE SUPERINTENDENT OF PUBLIC INSTRUCTION SHALL NOT WAIVE7

THE REQUIREMENTS SET FORTH IN SECTIONS 1134, 1135, 1137, 1137A,8

1138, 1139, 1146, 1153, 1230 TO 1230H, 1263(3), 1267, 1274, 1278 TO9

1278B, 1280C, 1285A, 1306, 1309 TO 1311A, 1312, 1317, 1535A, AND10

1539B OF THIS ACT.11

(4) IN EXCHANGE FOR PROVIDING EMPOWERMENT ZONE SCHOOLS WITH12

ADMINISTRATIVE, EVALUATION, AND TECHNICAL ASSISTANCE, A EMPOWERMENT13

ZONE SHALL, TO THE EXTENT PERMITTED UNDER APPLICABLE FEDERAL LAW,14

BE ENTITLED TO RECEIVE 1 PERCENT OF THE TITLE I, PART A FUNDING15

ALLOCATED AND AWARDED TO EMPOWERMENT ZONE SCHOOLS WHICH SHALL BE16

PAID BY THE STATE FROM THE DEPARTMENT'S PORTION OF THE STATE17

EDUCATIONAL AGENCY ADMINISTRATIVE COSTS FOR TITLE I, PART A UP TO18

AN AMOUNT EQUAL TO 1 PERCENT OF THE TOTAL STATE SCHOOL AID RECEIVED19

BY ALL EMPOWERMENT ZONE SCHOOLS LOCATED WITHIN A EMPOWERMENT ZONE.20

(5) IF THE ASSESSMENT OF 1 PERCENT OF THE TITLE I, PART A21

FUNDING ALLOCATED AND AWARDED TO EMPOWERMENT ZONE SCHOOLS IS LESS22

THAN 1 PERCENT OF THE TOTAL STATE SCHOOL AID RECEIVED BY23

EMPOWERMENT ZONE SCHOOLS IN ANY GIVEN YEAR, THEN EACH EMPOWERMENT24

ZONE SCHOOL SHALL PAY THE REMAINING AMOUNT TO THE EMPOWERMENT ZONE25

ON A PRO RATA BASIS BASED ON THE TOTAL NUMBER OF PUPILS ENROLLED AT26

THE EMPOWERMENT ZONE SCHOOL IN THE PRIOR SCHOOL FISCAL YEAR, AS27

DETERMINED BY THE STATE BUDGET DIRECTOR. ON AN ANNUAL BASIS, THE28

90

______'15 ____

STATE BUDGET DIRECTOR SHALL DETERMINE THE DIFFERENCE BETWEEN TITLE1

I, PART A FUNDING ALLOCATED AND AWARDED TO EMPOWERMENT ZONE SCHOOLS2

AND 1% OF THE TOTAL STATE SCHOOL AID FUNDS RECEIVED BY EMPOWERMENT3

ZONE SCHOOLS AND SHALL REPORT SUCH AMOUNT TO THE STATE TREASURER.4

THE STATE TREASURER IS AUTHORIZED TO DIRECTLY INTERCEPT THE5

DIFFERENCE FROM THE STATE SCHOOL AID FUNDS ATTRIBUTABLE TO EACH6

EMPOWERMENT ZONE SCHOOL, AND SHALL FORWARD SUCH FUNDS TO THE7

EMPOWERMENT ZONE IN ACCORDANCE WITH THE PAYMENT SCHEDULE OF STATE8

SCHOOL AID FUNDS.9

SEC. 784. (1) IF A EMPOWERMENT ZONE SCHOOL HAS OPERATED FOR AT10

LEAST 4 YEARS AND IS LISTED ON THE LOWEST ACHIEVING SCHOOLS LIST11

ISSUED UNDER SECTION 1280C FOR 3 CONSECUTIVE YEARS, AND THE12

EMPOWERMENT ZONE SCHOOL HAS NOT BEEN RECONSTITUTED BY ITS13

AUTHORIZING BODY, IF APPLICABLE, THEN THE EMPOWERMENT ZONE SCHOOL14

SHALL, SUBJECT TO SUBSECTION (3), BE CLOSED AT THE END OF THE15

CURRENT SCHOOL FISCAL YEAR.16

(2) BY SEPTEMBER 1 OF EACH YEAR, THE EDUCATION MANAGER SHALL17

PROVIDE THE STATE SCHOOL REFORM/REDESIGN OFFICE WITH A LIST OF18

EMPOWERMENT ZONE SCHOOLS THAT HAVE RECEIVED A LETTER GRADE OF "D"19

FOR 3 CONSECUTIVE YEARS, AS DEFINED IN THE EMPOWERMENT ZONE'S20

ACCOUNTABILITY PLAN. UPON RECEIPT, THE STATE SCHOOL REFORM/21

REDESIGN OFFICE SHALL INCLUDE THESE EMPOWERMENT ZONE SCHOOLS ON THE22

LIST OF SCHOOLS SUBJECT TO CLOSURE UNDER SUBSECTION (3).23

(3) BY OCTOBER 1 OF EACH YEAR, THE STATE SCHOOL24

REFORM/REDESIGN OFFICE SHALL PREPARE AND PUBLISH A LIST OF25

EMPOWERMENT ZONE SCHOOLS SUBJECT TO CLOSURE UNDER THIS SECTION. THE26

LIST SHALL BE MADE PUBLICLY AVAILABLE ON THE DEPARTMENT'S WEBSITE27

91

______'15 ____

AND SHALL BE PROVIDED TO EACH EDUCATION MANAGER WHERE A EMPOWERMENT1

ZONE SCHOOL IS SUBJECT TO CLOSURE.2

(4) WITHIN 30 DAYS OF THE PUBLICATION OF THE STATE SCHOOL3

REFORM/REDESIGN OFFICE'S LIST OF EMPOWERMENT ZONE SCHOOL CLOSURES,4

THE SUPERINTENDENT OF PUBLIC INSTRUCTION SHALL ISSUE AN ORDER5

SUBJECTING EACH EMPOWERMENT ZONE SCHOOL ON THE LIST TO CLOSURE AT6

THE END OF THE CURRENT SCHOOL FISCAL YEAR.7

(5) UPON ISSUANCE OF THE SUPERINTENDENT'S CLOSURE ORDER, THE8

EDUCATION MANAGER SHALL INITIATE A PROCESS TO EVALUATE WHETHER THE9

EMPOWERMENT ZONE SCHOOL THAT IS SUBJECT TO CLOSURE SHOULD BE10

RECONSTITUTED. ALL OF THE FOLLOWING APPLY TO THE RECONSTITUTE11

REQUEST FOR PROPOSAL PROCESS:12

(A) THE EDUCATION MANAGER MAY ISSUE A REQUEST FOR PROPOSAL TO13

RECONSTITUTE THE EMPOWERMENT ZONE SCHOOL.14

(B) IF THE EDUCATION MANAGER IDENTIFIES AN OPERATOR FOR THE15

EMPOWERMENT ZONE SCHOOL, THE EDUCATION MANAGER MAY SELECT THE16

OPERATOR FOR THE EMPOWERMENT ZONE SCHOOL COMMENCING AT THE17

BEGINNING OF THE NEXT SCHOOL FISCAL YEAR.18

(C) THE EDUCATION MANAGER SHALL NEGOTIATE A CONTRACT WITH AN19

OPERATOR FOR THE EMPOWERMENT ZONE SCHOOL. THE CONTRACT SHALL20

INCLUDE AGREEMENT BY THE OPERATOR TO COMPLY WITH THE ZONE21

ACCOUNTABILITY PLAN AND OTHER PLANS ADOPTED BY THE EDUCATION22

MANAGER.23

(D) IF AN EDUCATION MANAGER ELECTS NOT TO RECONSTITUTE THE24

EMPOWERMENT ZONE SCHOOL, THEN THE SUPERINTENDENT'S CLOSURE ORDER25

SHALL TAKE EFFECT.26

(E) THE EDUCATION MANAGER SHALL ACT IN PLACE AND STEAD OF THE27

EMPOWERMENT ZONE SCHOOL BOARD FOR THE PURPOSE OF RECONSTITUTING THE28

92

______'15 ____

SCHOOL. THE EMPOWERMENT ZONE SCHOOL BOARD SHALL CONTINUE TO OPERATE1

THE SCHOOL FOR THE REMAINDER OF THE SCHOOL YEAR FOLLOWING ISSUANCE2

OF THE SUPERINTENDENT'S CLOSURE ORDER.3

(6) FOR A EMPOWERMENT ZONE SCHOOL LISTED ON THE4

SUPERINTENDENT'S CLOSURE ORDER, THE EMPOWERMENT ZONE SCHOOL BOARD5

SHALL DO ALL OF THE FOLLOWING:6

(A) CONTINUE DELIVERY OF EDUCATIONAL SERVICES TO THE7

EMPOWERMENT ZONE SCHOOL FOR THE REMAINDER OF THE SCHOOL FISCAL8

YEAR.9

(B) COOPERATE WITH THE EDUCATION MANAGER IN THE RECONSTITUTION10

OF THE EMPOWERMENT ZONE SCHOOL.11

(C) CONSIDER SUBMITTING A PROPOSAL IN RESPONSE TO ANY12

EDUCATION MANAGER'S REQUEST FOR PROPOSALS OFFERING TO PROVIDE A13

DIFFERENT EDUCATIONAL, ADMINISTRATIVE AND INSTRUCTIONAL STAFFING14

MODELS AT THE SCHOOL BUILDING. THE EDUCATION MANAGER SHALL CONSIDER15

THE EMPOWERMENT ZONE SCHOOL BOARD'S PROPOSAL ALONG WITH OTHER16

SUBMITTED PROPOSALS.17

(D) TAKE THE NECESSARY STEPS TO FACILITATE THE RECONSTITUTION18

PROCESS INCLUDING, BUT NOT LIMITED TO, THE ORDERLY TRANSFER OF19

FINANCIAL, PUPIL AND EDUCATIONAL RECORDS TO A NEW OPERATOR, IF20

APPLICABLE.21

(7) SUBJECT TO SUBSECTION (8), THE EDUCATION MANAGER MAY22

CONTRACT WITH AN AUTHORIZING BODY TO ASSIST THE EDUCATION MANAGER23

IN ADMINISTERING A RECONSTITUTE REQUEST FOR PROPOSAL. SELECTION OF24

ANY PROPOSAL SHALL BE MADE BY THE EDUCATION MANAGER.25

(8) IF AN ACCREDITATION SYSTEM IS IMPLEMENTED FOR AUTHORIZING26

BODIES UNDER THIS ACT, THEN AN EDUCATION MANAGER MAY ONLY CONTRACT27

WITH AUTHORIZING BODIES THAT ARE ACCREDITED.28

93

______'15 ____

SEC. 785. (1) IF AN EDUCATION MANAGER DOES NOT RECONSTITUTE A1

EMPOWERMENT ZONE SCHOOL AND A SUPERINTENDENT CLOSURE ORDER ISSUED2

UNDER SECTION 784 TAKES EFFECT, THEN ALL OF THE FOLLOWING SHALL3

OCCUR:4

(A) THE SCHOOL BUILDING THAT WAS SUBJECT TO THE5

SUPERINTENDENT'S CLOSURE ORDER SHALL AUTOMATICALLY BE CLOSED AND6

MADE AVAILABLE FOR USE BY ANOTHER PUBLIC SCHOOL, AS DETERMINED BY7

THE EDUCATION MANAGER.8

(B) IN ACCORDANCE WITH THE ZONE ACCOUNTABILITY PLAN AND ZONE9

FACILITIES PLAN, THE EDUCATION MANAGER SHALL ISSUE REQUEST FOR10

PROPOSALS TO REMOVE AND REPLACE.11

(C) UPON CLOSURE, ALL POSITIONS AT THE SCHOOL BUILDING SHALL12

IMMEDIATELY BE ABOLISHED WITH NOTICES ISSUED AS REQUIRED BY THE13

APPLICABLE COLLECTIVE BARGAINING AGREEMENTS. THE INDIVIDUALS14

SUBJECT TO THE POSITION ABOLISHMENT SHALL BE ENTITLED TO EXERCISE15

SUCH BUMPING AND SENIORITY RIGHTS AS PERMITTED BY THE APPLICABLE16

COLLECTIVE BARGAINING AGREEMENTS.17

(D) A PERSON WHOSE POSITION HAS BEEN ABOLISHED BY THE BUILDING18

CLOSURE MAY APPLY FOR A NEWLY CREATED POSITION WITH THE NEW PUBLIC19

SCHOOL SELECTED AS PART OF THE REMOVE AND REPLACE PROCESS.20

(E) A PUBLIC SCHOOL SELECTED BY THE EDUCATION MANAGER AS PART21

OF A REMOVE AND REPLACE PROCESS IS NOT CONSIDERED TO BE THE22

SUCCESSOR EMPLOYER TO ANY EXISTING COLLECTIVE BARGAINING AGREEMENT23

AND IS NOT SUBJECT TO ANY COLLECTIVE BARGAINING AGREEMENT THAT24

APPLIED TO THE EMPOWERMENT ZONE SCHOOL BUILDING THAT WAS CLOSED.25

ANY NEW PUBLIC SCHOOL SELECTED BY THE EMPOWERMENT ZONE EDUCATIONAL26

MANAGER SHALL NOT BE DEEMED A SUCCESSOR EMPLOYER FOR ANY PURPOSE27

FOR ANY EMPLOYEES WHO WORKED AT THE EMPOWERMENT ZONE SCHOOL28

94

______'15 ____

BUILDING THAT WAS CLOSED. ANY RIGHTS AND OBLIGATIONS UNDER EXISTING1

COLLECTIVE BARGAINING AGREEMENTS ENTERED INTO BY A EMPOWERMENT ZONE2

SCHOOL THAT INCLUDED THE SCHOOL BUILDING THAT WAS CLOSED SHALL3

REMAIN THE SOLE RESPONSIBILITY OF THAT EMPOWERMENT ZONE SCHOOL.4

(F) ANY CONTRACT OR PORTION OF A CONTRACT ENTERED INTO BY A5

EMPOWERMENT ZONE SCHOOL THAT APPLIED TO A CLOSED SCHOOL BUILDING,6

INCLUDING, BUT NOT LIMITED TO COLLECTIVE BARGAINING AGREEMENTS,7

SHALL NO LONGER APPLY TO THAT BUILDING BUT SHALL REMAIN AN8

OBLIGATION OF THE EMPOWERMENT ZONE SCHOOL SUBJECT TO THE9

SUPERINTENDENT'S CLOSURE ORDER. HOWEVER, THIS SUBSECTION DOES NOT10

ALLOW ANY TERMINATION OR DIMINISHMENT OF A VALID LEASE AGREEMENT,11

OR OBLIGATIONS TO PAY DEBT SERVICE ON LEGALLY AUTHORIZED CONTRACTS12

ENTERED INTO BY THE EMPOWERMENT ZONE SCHOOL BOARD. A CONTRACT13

TERMINATED BY THE CLOSURE OF A EMPOWERMENT ZONE SCHOOL BUILDING14

UNDER THIS SUBSECTION IS VOID.15

(2) ANY NEW OR EXISTING PUBLIC SCHOOL LOCATED IN THE16

EMPOWERMENT ZONE IS ELIGIBLE TO SUBMIT A REMOVE AND REPLACE17

PROPOSAL. FOR NEW OR EXISTING PUBLIC SCHOOL ACADEMIES, AN18

AUTHORIZING BODY SHALL SUBMIT THE PROPOSAL TO THE EDUCATION19

MANAGER.20

(3) IF THE EDUCATION MANAGER SELECTS A REMOVE AND REPLACE21

PROPOSAL, THE PUBLIC SCHOOL IDENTIFIED IN THE PROPOSAL SHALL22

COMMENCE OPERATIONS AT THE SCHOOL BUILDING AT THE BEGINNING OF THE23

NEXT SCHOOL FISCAL YEAR. THE SELECTED PUBLIC SCHOOL MAY EXERCISE24

ALL THE POWERS AND DUTIES OTHERWISE VESTED BY LAW IN THE25

EMPOWERMENT ZONE SCHOOL BOARD THAT PREVIOUSLY USED THE SCHOOL26

BUILDING PLACED IN THE EMPOWERMENT ZONE AND IN ITS OFFICERS, EXCEPT27

THOSE RELATING TO TAXATION OR BORROWING, AND MAY EXERCISE ALL28

95

______'15 ____

ADDITIONAL POWERS AND DUTIES PROVIDED UNDER THIS SECTION; AND,1

EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, THE PUBLIC SCHOOL2

IDENTIFIED IN THE PROPOSAL ACCEDES TO ALL THE RIGHTS, DUTIES, AND3

OBLIGATIONS OF THE EMPOWERMENT ZONE SCHOOL BOARD WITH RESPECT TO4

THAT SCHOOL BUILDING. THESE POWERS, RIGHTS, DUTIES, AND OBLIGATIONS5

INCLUDE, BUT ARE NOT LIMITED TO, ALL OF THE FOLLOWING:6

(A) AUTHORITY OVER THE EXPENDITURE OF ALL FUNDS ATTRIBUTABLE7

TO PUPILS AT THAT SCHOOL, INCLUDING THAT PORTION OF PROCEEDS FROM8

BONDED INDEBTEDNESS AND OTHER FUNDS DEDICATED TO CAPITAL PROJECTS,9

THAT WOULD OTHERWISE BE APPORTIONED TO THAT SCHOOL BY THE10

EMPOWERMENT ZONE SCHOOL BOARD THAT PREVIOUSLY USED THE SCHOOL11

ACCORDING TO THE TERMS OF THE BOND ISSUE OR FINANCING DOCUMENTS.12

(B) ASSIGNMENT OF ANY LEASE AGREEMENT WITH A THIRD PARTY FOR13

THE USE OF THE SCHOOL BUILDING.14

(C) RIGHTS TO PROSECUTE AND DEFEND LITIGATION RELATED TO THE15

SCHOOL BUILDING AND PUPILS AT THAT SCHOOL.16

(D) RIGHTS AND OBLIGATIONS UNDER STATUTE, RULE, AND COMMON17

LAW.18

(E) AUTHORITY TO DELEGATE ANY OF THE PUBLIC SCHOOL'S POWERS19

AND DUTIES TO 1 OR MORE DESIGNEES, WITH PROPER SUPERVISION BY THE20

SELECTED PUBLIC SCHOOL'S GOVERNING BOARD.21

SEC 786. (1) THE LOCAL EDUCATION COMMISSION FOR A EMPOWERMENT22

ZONE SHALL IDENTIFY AND SELECT AN EDUCATION MANAGER CANDIDATE FOR23

APPOINTMENT AND EMPLOYMENT BY THE EMPOWERMENT ZONE. A CANDIDATE24

SHALL BE SELECTED ON THE BASIS OF HIS OR HER DEMONSTRATED ABILITY25

OF COMPETENCE, EXPERIENCE IN INCREASING ACADEMIC ACHIEVEMENT IN26

SCHOOLS OR SCHOOL SYSTEMS, EDUCATIONAL REFORM AND REDESIGN27

EXPERIENCE, DEMONSTRATED ABILITY TO MAKE EVIDENCE BASED DECISIONS28

96

______'15 ____

REGARDING THE OPENING, CLOSING AND RECONSTITUTION OF PUBLIC1

SCHOOLS, AND EXPERTISE IN THE TURN AROUND OF ACADEMICALLY FAILING2

PUBLIC SCHOOLS. THE EMPLOYMENT AGREEMENT SHALL INCLUDE THE PROPOSED3

TERMS AND CONDITIONS OF EMPLOYMENT, INCLUDING PROPOSED SALARY AND4

BENEFITS WHICH ARE TO BE PAID BY THE EMPOWERMENT ZONE.5

(2) IF A LOCAL EDUCATION COMMISSION TERMINATES AN EDUCATION6

MANAGER, THE LOCAL EDUCATION COMMISSION SHALL IDENTIFY AND SELECT A7

SUCCESSOR EDUCATION MANAGER IN ACCORDANCE WITH THIS SECTION.8

SEC. 787. (1) THE EDUCATION MANAGER SHALL BE THE CHIEF9

EXECUTIVE OFFICER AND SUPERINTENDENT OF THE EMPOWERMENT ZONE AND10

SHALL BE RESPONSIBLE FOR ALL OF THE FOLLOWING:11

(A) DEVELOPING AND IMPLEMENTING A ZONE ACCOUNTABILITY PLAN FOR12

ALL EMPOWERMENT ZONE SCHOOLS. IN DEVELOPING THE ZONE ACCOUNTABILITY13

PLAN, THE EDUCATION MANAGER SHALL CONSULT WITH EXPERTS, INCLUDING14

PSYCHOMETRICIANS, KNOWLEDGEABLE IN THE DESIGN OF SCHOOL15

ACCOUNTABILITY SYSTEMS. THE STATE SCHOOL REFORM/REDESIGN OFFICER16

SHALL REVIEW AND APPROVE THE INITIAL ZONE ACCOUNTABILITY PLAN FOR A17

EMPOWERMENT ZONE WITHIN 45 DAYS AFTER SUBMISSION BY THE EDUCATION18

MANAGER. THE EDUCATION MANAGER MAY AMEND THE ZONE ACCOUNTABILITY19

PLAN AT ANYTIME. IF THE EDUCATION MANAGER AMENDS THE ZONE20

ACCOUNTABILITY PLAN, THE AMENDED PLAN SHALL BE APPROVED BY THE21

STATE SCHOOL REFORM/REDESIGN OFFICER BEFORE IT TAKES EFFECT. IF THE22

STATE SCHOOL REFORM/REDESIGN OFFICER DOES NOT APPROVE THE AMENDED23

PLAN WITHIN 45 DAYS FOLLOWING SUBMISSION, THEN THE LAST APPROVED24

ZONE ACCOUNTABILITY PLAN SHALL REMAIN IN EFFECT UNTIL THE AMENDED25

PLAN IS APPROVED BY THE STATE SCHOOL REFORM/REDESIGN OFFICER. A26

ZONE ACCOUNTABILITY PLAN SHALL INCLUDE THE FOLLOWING ELEMENTS:27

97

______'15 ____

(i) STUDENT PERFORMANCE STANDARDS THAT ARE NO LESS STRINGENT1

THAN THE STATE'S ACCOUNTABILITY PLAN, WHICH MUST INCLUDE ACADEMIC2

MEASUREMENTS TO ASSESS STUDENT GROWTH AND PROFICIENCY FOR THE3

SCHOOL AND SUBGROUPS AT THE SCHOOL. NOT MORE THAN 10 PERCENT OF THE4

SCORE FOR ANY SCHOOL MAY INCLUDE NON-ACADEMIC FACTORS FOR THAT5

SCHOOL.6

(ii) AN A-F LETTER GRADING SYSTEM, WITH AN "A" SCHOOL BEING7

PART OF THE DEFINITION OF AS A HIGH-PERFORMING SCHOOL, AN "F"8

SCHOOL BEING DEFINED AS A SCHOOL THAT IS ON THE LOWEST ACHIEVING9

SCHOOLS LIST UNDER SECTION 1280C, AND THAT UTILIZES INDIVIDUAL10

STUDENT GROWTH, AS MEASURED IN YEARS OF ACADEMIC PROGRESS, AS BEING11

AT LEAST 33% BUT NOT MORE THAN 50% OF A SCHOOL'S OVERALL GRADE12

CALCULATION.13

(iii) IF THE LEGISLATURE ADOPTS A LETTER GRADING SYSTEM FOR ALL14

PUBLIC SCHOOLS IN THIS STATE, THE EDUCATION MANAGER SHALL ADOPT THE15

STATE'S LETTER GRADING SYSTEM AS PART OF THE ZONE ACCOUNTABILITY16

PLAN.17

(B) DEVELOPING AND IMPLEMENTING THE ZONE FACILITIES PLAN FOR18

THE EMPOWERMENT ZONE. IF THE EMPOWERED DISTRICT IS LOCATED WITHIN19

THE GEOGRAPHICAL BOUNDARIES OF ONE OR MORE CITIES, THE EDUCATION20

MANAGER SHALL DEVELOP THE ZONE FACILITIES PLAN IN COORDINATION WITH21

ANY MASTER FACILITIES PLAN DEVELOPED FOR THE LARGEST CITY LOCATED22

WITHIN THE EMPOWERMENT ZONE.23

(C) DEVELOPING AND IMPLEMENTING A ZONE ENROLLMENT PLAN FOR ALL24

EMPOWERMENT ZONE SCHOOLS THAT MEETS ALL OF THE FOLLOWING:25

(i) THE ZONE ENROLLMENT PLAN SHALL APPLY ONLY TO PROSPECTIVE26

ADMISSIONS AND ENROLLMENTS AT A EMPOWERMENT ZONE SCHOOL, AND SHALL27

98

______'15 ____

NOT AFFECT THE ENROLLMENT OF ANY PUPIL ALREADY ENROLLED AT A1


(ii) THE ZONE ENROLLMENT PLAN SHALL NOT DISCRIMINATE IN ITS3

PUPIL ADMISSIONS POLICIES OR PRACTICES ON THE BASIS OF INTELLECTUAL4

OR ATHLETIC ABILITY, MEASURES OF ACHIEVEMENT OR APTITUDE, STATUS AS5

A STUDENT WITH A DISABILITY, OR ANY OTHER BASIS THAT WOULD BE6

ILLEGAL IF USED BY ANY OTHER PUBLIC SCHOOL.7

(iii) THE ZONE ENROLLMENT PLAN SHALL ALLOW ANY PUPIL WHO WAS8

ENROLLED IN A EMPOWERMENT ZONE SCHOOL IN THE IMMEDIATELY PRECEDING9

SCHOOL YEAR TO ENROLL IN THE SAME EMPOWERMENT ZONE SCHOOL IN THE10

APPROPRIATE GRADE UNLESS THE APPROPRIATE GRADE IS NOT OFFERED AT11

THE SCHOOL.12

(iv) THE ZONE ENROLLMENT PLAN SHALL RECOGNIZE ANY EXISTING13

ENROLLMENT PREFERENCE PERMITTED UNDER THIS ACT.14

(v) THE ZONE ENROLLMENT PLAN SHALL TREAT PROSPECTIVE PUPILS15

SEEKING TO ATTEND AND PUPILS ATTENDING EMPOWERMENT ZONE SCHOOLS,16

FAIRLY AND EQUALLY, AND SHALL NOT FAVOR ONE PUPIL OVER ANOTHER17

PUPIL, OR DISADVANTAGE OR DISCRIMINATE AGAINST ANY PUPIL.18

(vi) IF MORE PUPILS APPLY TO ENROLL IN A EMPOWERMENT ZONE19

SCHOOL THAN THERE ARE SPACES AVAILABLE, THE ZONE ENROLLMENT PLAN20

SHALL USE A RANDOM SELECTION PROCESS TO DETERMINE ADMISSIONS.21

(vii) THE ZONE ENROLLMENT PLAN SHALL GRANT EACH PARENT OR LEGAL22

GUARDIAN OF A PUPIL THEIR FIRST SCHOOL CHOICE EXCEPT IN THE CASE OF23

ENROLLMENT OVERCAPACITY AT THAT SCHOOL. IF THE RANDOM SELECTION24

PROCESS RESULTS IN A PUPIL'S PARENT OR LEGAL GUARDIAN NOT BEING25

ABLE TO ENROLL THE PUPIL IN THEIR FIRST SCHOOL CHOICE, THEN THE26

PUPIL SHALL BE GRANTED ADMISSION INTO THE PARENT'S OR LEGAL27

GUARDIAN'S SECOND CHOICE EXCEPT IN THE CASE OF ENROLLMENT28

99

______'15 ____

OVERCAPACITY AT THAT SCHOOL. THE ZONE ENROLLMENT PLAN SHALL PROVIDE1

FOR AN ENROLLMENT PROCESS THAT CONTINUES UNTIL ALL PUPILS HAVE BEEN2

ENROLLED IN A SCHOOL CHOSEN BY THEIR PARENT OR LEGAL GUARDIAN.3

(viii) THE ZONE ENROLLMENT PLAN SHALL NOT TREAT PUPILS,4

DISTRICTS, PROVIDERS OF EDUCATIONAL SERVICES, OR SCHOOLS5

INEQUITABLY IN ANY FASHION, INCLUDING BUT NOT LIMITED TO UTILIZING6

BALANCING, WEIGHTING, OR QUOTAS OTHER THAN ENROLLMENT CAPACITY.7

(ix) THE ZONE ENROLLMENT PLAN SHALL NOT LIMIT A EMPOWERMENT8

ZONE SCHOOL'S ABILITY TO MARKET OR ADVERTISE FOR PROSPECTIVE9

PUPILS.10

(D) DETERMINE WHETHER A EMPOWERMENT ZONE SCHOOL MEETS THE11

DEFINITION OF A HIGH-PERFORMING SCHOOL UNDER THIS ACT.12

(E) DETERMINE WHETHER A EMPOWERMENT ZONE SCHOOL IS BEING13

REPLICATED AS A HIGH-PERFORMING SCHOOL.14

(F) DETERMINE WHETHER TO RECONSTITUTE A EMPOWERMENT ZONE15

SCHOOL.16

(G) DETERMINE WHETHER TO REMOVE AND REPLACE A EMPOWERMENT ZONE17

SCHOOL.18

(H) DETERMINE, IN ACCORDANCE WITH THE ZONE FACILITIES PLAN,19

WHETHER A SCHOOL BUILDING MADE AVAILABLE FOR USE BY THE EDUCATION20

MANAGER UNDER THIS ACT, SHOULD BE REMOVED AND REPLACED.21

(2) THE EDUCATION MANAGER MAY PERFORM OTHER DUTIES PRESCRIBED22

UNDER THIS ACT, MAKE REGULAR REPORTS TO AND AS REQUESTED BY THE23

LOCAL EDUCATION COMMISSION, AND AT THE CLOSE OF HIS OR HER TERM OF24

OFFICE DELIVER ALL RECORDS, BOOKS, AND PAPERS BELONGING TO THE25

OFFICE TO THE EDUCATION MANAGER’S SUCCESSOR.26

100

______'15 ____

(3) THE EDUCATION MANAGER MAY MAKE WRITTEN REPORTS TO THE1

BOARDS OF EMPOWERMENT ZONE SCHOOLS AND AUTHORIZING BODIES IN REGARD2

TO MATTERS PERTAINING TO THE EMPOWERMENT ZONE.3

(4) ON AN ANNUAL BASIS, THE EDUCATION MANAGER SHALL BE4

EVALUATED BY THE LOCAL EDUCATION COMMISSION. THE EVALUATION5

CRITERIA SHALL BE DETERMINED BY THE LOCAL EDUCATION COMMISSION AND6

SHALL, AT A MINIMUM, INCLUDE THE INCREASING PROPORTION OF PUPILS IN7

THE EMPOWERMENT ZONE WHO ACHIEVE SCORES EQUIVALENT TO PROFICIENCY8

OR HIGHER ON ASSESSMENTS, THE REDUCING PROPORTION OF PUPILS IN THE9

EMPOWERMENT ZONE WHO ATTEND SCHOOLS THAT RECEIVE A LETTER GRADE OF10

"D" OR LOWER, AND THE INCREASING PROPORTION OF PUPILS IN THE11

EMPOWERMENT ZONE SCHOOL DISTRICT WHO ATTEND SCHOOLS THAT RECEIVE A12

LETTER GRADE OF "B" OR HIGHER.13

SEC. 778. (1) A EMPOWERMENT ZONE MAY BORROW, SUBJECT TO THE14

REVISED MUNICIPAL FINANCE ACT, 2001 PA 34, MCL 141.2101 TO15

141.2821, SUMS OF MONEY ON TERMS THE LOCAL EDUCATION COMMISSION16

CONSIDERS NECESSARY FOR 1 OR MORE OF THE FOLLOWING PURPOSES:17

(A) FOR TEMPORARY PURPOSES FOR WHICH THE LOCAL EDUCATION18

COMMISSION MAY GIVE NOTES OF THE EMPOWERMENT ZONE IN ACCORDANCE19

WITH SECTION 1225.20

(B) TO PURCHASE SITES FOR BUILDINGS; TO PURCHASE, ERECT,21

COMPLETE, REMODEL, IMPROVE, FURNISH, REFURNISH, EQUIP, OR REEQUIP22

BUILDINGS AND FACILITIES THE BOARD IS AUTHORIZED TO ACQUIRE,23

INCLUDING, BUT NOT LIMITED TO, GENERAL ADMINISTRATIVE, VOCATIONAL,24

OR SPECIAL EDUCATION BUILDINGS OR FACILITIES, OR PARTS OF THOSE25

BUILDINGS OR FACILITIES, OR ADDITIONS TO THOSE BUILDINGS OR26

FACILITIES, AND PREPARE, DEVELOP, OR IMPROVE SITES FOR THOSE27

BUILDINGS OR FACILITIES; TO PURCHASE AND INSTALL INFORMATION28

101

Final Page

TECHNOLOGY SYSTEMS, TOGETHER WITH THE EQUIPMENT AND SOFTWARE, AS1

ARE NECESSARY FOR PROGRAMS CONDUCTED BY THE EMPOWERMENT ZONE; AND2

TO ISSUE AND SELL BONDS OF THE EMPOWERMENT ZONE IN THE FORM AND ON3

THE TERMS THE BOARD CONSIDERS ADVISABLE.4

SEC. 791. WITHIN SIX MONTHS OF ITS FIRST MEETING, A LOCAL5

EDUCATION COMMISSION SHALL ADOPT AND IMPLEMENT A CONFLICT OF6

INTEREST POLICY DESIGNED TO AVOID CONFLICTS OF INTEREST BY7

EMPOWERMENT ZONE OFFICIALS AND EMPLOYEES. A LOCAL EDUCATION8

COMMISSION'S CONFLICT OF INTEREST POLICY SHALL COMPLY WITH 1968 PA9

317, MCL 15.321 TO 15.330.10

SEC. 792. (1) NOTWITHSTANDING ANY OTHER PROVISIONS IN THIS11

ACT, THE STATE SCHOOL REFORM/REDESIGN OFFICER SHALL NOT ISSUE AN12

ORDER PLACING ANY EMPOWERMENT ZONE SCHOOL UNDER THE SUPERVISION OF13

THE STATE SCHOOL REFORM/REDESIGN OFFICE FOR TWO YEARS AFTER A14

EMPOWERMENT ZONE IS CREATED.15

(2) IF AN EDUCATION MANAGER RECONSTITUTES A EMPOWERMENT ZONE16

SCHOOL, AND THE EMPOWERMENT ZONE SCHOOL REMAINS ON THE CLOSURE LIST17

UNDER SECTION 784 FOR 2 CONSECUTIVE YEARS AFTER RECONSTITUTION,18

THEN STATE SCHOOL REFORM/REDESIGN OFFICER SHALL HAVE THE AUTHORITY19

TO ISSUE AN ORDER PLACING THE EMPOWERMENT ZONE SCHOOL WITHIN THE20

STATE SCHOOL REFORM/REDESIGN DISTRICT.21

(3) IF AN EDUCATION MANAGER ELECTS TO REMOVE AND REPLACE A22

SCHOOL BUILDING IN THE EMPOWERMENT ZONE, AND THE EMPOWERMENT ZONE23

SCHOOL REMAINS ON THE CLOSURE LIST UNDER SECTION 784 FOR 424

CONSECUTIVE YEARS AFTER BEING REMOVED AND REPLACED, THEN THE STATE25

SCHOOL REFORM/ REDESIGN OFFICER SHALL HAVE THE AUTHORITY TO ISSUE26

AN ORDER PLACING THE EMPOWERMENT ZONE SCHOOL WITHIN THE STATE27

SCHOOL REFORM/REDESIGN DISTRICT.28

Empowerment Zone Legislation Draft

Documents

Transcript of Empowerment Zone Legislation Draft