Assigned to ED & APPROP FOR COMMITTEE
ARIZONA STATE SENATE
Fifty-Third Legislature, Second Regular Session
CTE certifications; incentive bonus program
Purpose
Expands the College Credit by Examination Incentive Program to include students who obtain industry certifications or licensure and appropriates $1,000,000 from the state General Fund (GF) for this purpose.
Background
The College Credit by Examination Incentive Program, established within the Department of Education (ADE), provides an incentive bonus to teachers, school districts and charter schools for students who obtain a passing score on a qualifying examination for college credit while in high school. School districts and charter schools receive an incentive bonus for each student in grades 9 through 12 who receives a passing score during the previous fiscal year on a qualifying examination identified by the Arizona Board of Regents.
For students enrolled in a school where 50 percent or more of students are eligible for free or reduced-price lunches, the incentive bonus is $450 per passing score on a qualifying examination. For students enrolled in a school where less than 50 percent of the students are eligible for free or reduced-price lunches, the incentive bonus is $300 per passing score on a qualifying examination. If the statewide sum of per-student bonuses awarded exceeds the amount of available monies, the bonus monies must be reduced proportionally to cover all eligible bonus awards. Schools that receive an incentive bonus must distribute at least 50 percent of the bonus monies to the associated classroom teacher for each student who passes a qualifying examination. The remainder of bonus monies received must be used for teacher performance development or student instructional support or materials (A.R.S. § 15-249.06).
In FY 2018, $5,000,000 was appropriated to ADE for the College Credit by Examination Incentive Program.
S.B. 1270 appropriates $1,000,000 from the state GF to the Certification or License Incentive Program Fund (Fund) for distribution of incentive bonuses for students who obtain an industry certification or license.
Provisions
1. Renames the College Credit by Examination Incentive Program as the College Credit by Examination, Certification or Licensure Incentive Program (Program).
2. Expands the Program to provide an incentive bonus to teachers, school districts and charter schools for students who obtain a vocation or industry accepted certification or license through a career and technical education (CTE) course or program.
3. Establishes the Fund and appropriates $1,000,000 from the state GF in FY 2019 to the Fund.
4. Requires ADE to distribute incentive bonuses from the Fund to students who obtain a qualifying certification or license.
5. Directs the Workforce Arizona Council to maintain a list of qualifying certifications and licenses accepted by a vocation or industry through a CTE course or program.
6. Requires, to qualify for inclusion on the list, certifications or licenses to lead to an occupation with wages of at least 70 percent of the average annual wage in Arizona or be a stackable credential required for the next level of occupation which does meet the wage criterion.
7. Requires, to qualify for inclusion on the list, certifications or licenses to be one of the following:
a) in an industry that addresses a critical statewide, regional or local economic need;
b) linked to an occupation included in the Workforce Arizona Council's targeted occupation list; or
c) linked to an occupation identified as emerging.
8. Includes, in ADE's annual report on the Program the:
a) number of students enrolled in CTE courses or programs that lead to vocation-accepted or industry‑accepted certification or licensure;
b) number of students who obtained a qualifying certification or license and the number of incentive bonus awards distributed; and
c) number and types of qualifying certifications or licenses obtained by students.
9. Requires the Workforce Arizona Council to submit the list of qualifying certifications and licenses to the Joint Legislative Budget Committee for review by September 1 of each year.
10. Specifies that monies in the Fund are subject to legislative appropriation.
11. Makes conforming changes.
12. Becomes effective on the general effective date.
Prepared by Senate Research
January 30, 2018
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